MIRA INFORM REPORT

 

 

 

Report Date :

28.02.2008

 

 

IDENTIFICATION DETAILS

 

Name :

SANGIR PLASTICS PRIVATE LIMITED

 

 

Registered Office :

507 Adamji Building, 413 Narsinatha Street, Masjid Bunder, Mumbai – 400009, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2006

 

 

Date of Incorporation :

24.04.1982

 

 

Com. Reg. No.:

11-27000

 

 

CIN No.:

[Company Identification No.]

U25200MH1982PTC027000

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMS36969C

 

 

PAN No.:

[Permanent Account No.]

AABCS3737J

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of thermoplastics piping solutions

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 100000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well – established and reputed company having satisfactory track records. Trade relations are fair. Business is active. Payments are usually correct and as per commitments.

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

 

LOCATIONS

 

Registered Office :

507 Adamji Building, 413 Narsinatha Street, Masjid Bunder, Mumbai – 400009, Maharashtra, India

Tel. No.:

91-22-23446208/23436448/28724023

Fax No.:

91-22-23437340

E-Mail :

sangirnp@bom7.vsnl.net.in

sangir@vsnl.com

Website :

http://www.sangirplastics.com

 

 

Factory :

A1/2213 and 2213, III Phase, GIDC, Vapi - 396195, Gujarat, India

Tel No.:

91-260-2430238/2420310

Telefax No.:

91-260-2430238

Email :

sangir@sancharnet.in

 

 

Administrative Office 1 :

25, Hiramani Ratan, Bangur Nagar, Goregaon (West), Mumbai - 400090, Maharashtra, India

Tel. No.:

91-22-28738071/28724023/28765287/2014

Fax No.:

91-22-28741794

E-Mail :

sangirnp@bom7.vsnl.net.in

Website :

http://www.sangirplastics.com

 

 

Administrative Office 2 :

366/2933, Motilal Nagar No.2, Link Road, Goregaon (West), Mumbai – 400062, Maharashtra, India

Tel. No.:

91-22-28724023/28726120/30924578

Fax No.:

91-22-28741794

E-Mail :

sangir@vsnl.com

 

 

Branch Office :

159, Heera Nagar, Near DCM, Ajmer Road, Jaipur – 302024, Rajasthan, India

Tel No.:

91-141-2246898

 

 

DIRECTORS

 

Name :

Mr. Ramkumar M. Mandhana

Designation :

Director

Address :

501, B-1, Jammuotri, Bangur Nagar, Goregaon (West), Mumbai - 400090, Maharashtra, India

Date of Birth/Age :

06/10/1946

Date of Appointment :

20/08/1996

 

 

Name :

Mr. Sushil kumar Mandhana

Designation :

Whole Time Director

Address :

501, B/1, Jammuotri, Bangur Nagar, Goregaon (West), Mumbai - 400090, Maharashtra, India

Date of Birth/Age :

10/02/1971

Date of Appointment :

20/08/1996

 

 

Name :

Mr. Kamalkishore N. Mandhana

Designation :

Director

Address :

C-3/16, Hariratan, Bangur Nagar, Goregaon (West), Mumbai – 400090, India

Date of Birth/Age :

18/10/1976

Date of Appointment :

20/08/1996

 

 

Name :

Mr. Sanjay kumar Mandhana

Designation :

Director

Address :

P - 4/19, Ushakiran, Bangur Nagar, Goregaon (West), Mumbai - 400090, Maharashtra, India

Date of Birth/Age :

06/06/1972

Date of Appointment :

20/08/1996

 

 

Name :

Mr. Anand kumar Mandhana

Designation :

Director

Address :

501, B/1, Jammuotri, Bangur Nagar, Goregaon (West), Mumbai - 400090, Maharashtra, India

Date of Birth/Age :

04.07.1977

Date of Appointment :

27.12.2003

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Names of Shareholders

 

No. of Shares

 

 

 

Mr. Ramkumar M. Mandhana

 

3950

Mr. Anand kumar Mandhana

 

2415

Mr. Sumitradevi Mandhana

 

1370

Mr. Sushil kumar Mandhana

 

1590

Mrs. Sunita Sushil Mandhana

 

100

Mr. Amarchand Jethaliya

 

5

 

 

 

Category

 

Percentage

 

 

 

Directors or relatives of directors

 

75.82

Other top fifty (50) shareholders (other than listed above)

 

24.18

 

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of thermoplastics piping solutions

 

 

Products :
  • PP Pipes and  Fittings
  • PPGL Pipes
  • HDPE Pipes and Fittings
  • Fire Retardant PP Tubings
  • HIPs Tubes
  • HDPE and PP welding Rods
  • CPVC pipes and Fittings

 

 

GENERAL INFORMATION

 

No. of Employees :

38

 

 

Bankers :

·         Bharat Overseas Bank Limited

Bangur Nagar, Goregaon (West), Mumbai - 400090, Maharashtra, India

 

·         Indian Overseas Bank

Goregaon Branch, Plot No.7, Bhanumati Premises CHS. Bangur Nagar, Goregaon (West) Branch, Mumbai – 400090, Maharashtra, India

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

S. S. Rathi and Company

Chartered Accountants

Address :

401 Shreeshivdutta Apartment, Station Road, Goregaon (West), Mumbai - 400062, Maharashtra, India

Tel. No.:

91-22-23434382

 

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

20000

Equity Share

Rs.100/- each

Rs.2.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

12430

Equity Share

Rs.100/- each

Rs.1.243 Million

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2006

31.03.2005

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

1.243

0.942

2] Share Application Money

 

0.000

0.000

3] Reserves & Surplus

 

23.681

15.862

4] (Accumulated Losses)

 

0.000

0.000

NETWORTH

 

24.924

16.804

LOAN FUNDS

 

 

 

1] Secured Loans

 

14.090

0.000

2] Unsecured Loans

 

26.542

11.864

TOTAL BORROWING

 

40.632

11.864

DEFERRED TAX LIABILITIES

 

0.908

0.526

 

 

 

 

TOTAL

 

66.464

29.194

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

24.945

8.489

Capital work-in-progress

 

0.000

0.000

 

 

 

 

INVESTMENT

 

0.000

0.000

DEFERREX TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

20.031

8.005

 

Sundry Debtors
 

36.339

23.668

 

Cash & Bank Balances
 

3.048

2.931

 

Other Current Assets
 

0.000

0.000

 

Loans & Advances
 

16.477

12.174

Total Current Assets
 

75.895

46.778

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
 

27.131

20.609

 

Provisions
 

7.245

5.464

Total Current Liabilities
 

34.376

26.073

Net Current Assets
 

41.519

20.705

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.000

0.000

 

 

 

 

TOTAL

 

66.464

29.194

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

 

31.03.2006

31.03.2005

Sales Turnover

 

208.761

119.491

Other Income

 

0.000

0.000

Total Income

 

208.761

119.491

 

 

 

 

Profit/(Loss) Before Tax

 

14.104

7.961

Provision for Taxation

 

0.000

0.000

Profit/(Loss) After Tax

 

14.104

7.961

 

 

 

 

Export Sales

 

0.568

0.338

 

 

 

 

Expenditures :

 

 

 

 

Interest

 

3.500

1.591

 

Depreciation & Amortization

 

3.859

2.513

 

Other Expenditure

 

187.298

107.426

Total Expenditure

 

194.657

111.530

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2006

31.03.2005

PAT / Total Income

(%)
 

6.75

6.66

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
 

6.75

6.66

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
 

13.99

14.40

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
 

0.56

0.47

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

3.01

2.26

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

2.21

1.79

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Form 8:

 

Corporate identity number (CIN) Foreign company registration number

U25200MH1982PTC027000

Name of the Company

SANGIR PLASTICS PRIVATE LIMITED

Address

507 Adamji Building, 413 Narsinatha Street, Masjid Bunder, Mumbai – 400009, Maharashtra, India

This form is for

Modification of charge

Type of Charge

Immovable Property

Particulars of the charge holder 

Indian Overseas Bank

Goregaon Branch, Plot No.7, Bhanumati Premises CHS. Bangur Nagar, Goregaon (West) Branch, Mumbai – 400090, Maharashtra, India

roplan@mummsco.iobnet.co.in

Nature or description of the instrument(s) creating or modifying the charge

Memorandum of Equitable Mortgage

Date of the instrument creating or modifying the charge

15.01.2008

Amount secured by the charge

Rs.45.600 Millions

Brief particulars of the principal terms and conditions and extent and operation of the charge

Rate of Interest:

Term Loan BPLR-1.00%

Cash Credit/Stocks and Book Debts-BPLR-1.00%

Inland/Import LC DP/DA-90 days Term-Commission as per latest Central Office Circular.

Letter of Guarantee Favouring Customers Excise and Others-commission as per last central office circular.

 

Term of repayment:

Term Loan repayable in 60 monthly installments of Rs.0.190 Million.

 

Margin:

Term Loan- 40% on building and 25% on plant and Machinery.

Cash credit 25% on stocks and 50% on Book debts

Inland/Import LC DP/DA/Days term 25%

Letter of Guarantee FVG Customs excise and others 25%

 

Extent and operation of the charge:

The limit of Rs.0.456 Million is further secured by extension of immovable properties stated at column No.14 together with the hypothecation of movables and book debts.

Short particulars of the property charged (including location of the property)

All that piece of leasehold land with structure standing thereon known as Plot No.A-1/2213, Adm.2798.14 sq. MTRS, situated at Vapi, GIDC, Consisting of revenue Nos 116p and 117p within Village limits of Chiri, Taluka, Pardi, and District Valsad.

 

A1Type of shed No.2212 and.2702 sq. MTRS built up on plot No.2212, consisting on revenue survey Nos.117/p, and 116/p in the Vapi notified industrial area/estate, within the village limits of Chiri, Taluka Pardi, and District Valsad.

Particular of the present modification 

Rs.0.456 Million Additionally secured by extension of property mentioned at column no.14 above.

 

Name of the company

SANGIR PLASTICS PRIVATE LIMITED

Presented By

Mr. Sushil Kumar Mandhana, Director

1) Date and description of instrument creating the change

Dated 16.07.1999

Memorandum recording deposit of Title Deeds.

2) Amount secured by the charge/amount owing on the securities of charge

Cash Credit against Hypothecation

Rs.1.500 Million

Import Letter of credit

Rs.1.000 Million

Letter of Guarantee

Rs.0.500 Million

 

 

Total

Rs.3.000 Millions

3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given

Equitable Mortgage by deposit of Title Deed of Property being Land and Building located at A-1/2213, GIDC, 3rd Phase, Vapi (Gujarat)

4) Gist of the terms and conditions and extent and operation of the charge.

To Secure Cash Credit Facilities granted by Bank Interests Rate 16.25% p.a. repayable on demand.

5) Name and Address and description of the person entitled to the charge.

Bharat Overseas Bank Limited

Goregaon Branch, Bangur Nagar, Goregaon (West), Mumbai – 400090, Maharashtra, India

6) Date  and brief description of instrument modifying the charge

Date

Brief description of instrument

 

 

17.07.2005

Agreement of Hypothecation in case of (Goods, machinery, equipment, furniture and fixtures, vehicles, Book debts and other assets)

17.07.2005

Letter of Hypothecation

(in case of letter of credit)

17.07.2005

Memorandum of Deposit of Title Deeds

17.07.2005

Form of Counter Guarantee

17.07.2005

Letter of Indemnity

7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.

Present Modification on 17.07.2005 (Rs. in Millions)

Modified and increased as under

 

 

Existing

Enhanced

Cash Credit against hypothecation of stock Book debts

1.500

7.500

Term Loan

Nil

12.100

Import/ Inland Letter of Credit

2.500

5.600

Bank Guarantee

3.000

8.000

 

 

 

Total

7.000

33.200

 

Terms and Conditions

 

Cash Credit against stock and Book Debts

PLR Minus 1% with a minimum of 10%

Stock 25%, Book Debts 30%

Term Loan

PLR Minus 1% with a minimum of 10%

Building 40% Machineries 25%

Import/Land Letter of Credit

Commitment/ Usage Charges Import 1.15%/ 0.30% (Minimum 25.000 Millions)

Inland 0.20% / 0.40%

 

25%

Bank Guarantee

2%p.a.+ Rs.10.000 Millions (3% p.a. for financial Guarantee)

25%

 

Fixed Assets:

 

Company Profile:

Subject an ISO 9001:2000 Certified Company, prides itself as a quality manufacturer of thermoplastics piping solutions. A broad array of products includes PP, PPH, Nucleated PP, HDPE, PVDF, PPGL, HIPS, PPFR and PB pipes and fittings and sprinkler irrigation systems. In India, the company competes with global leaders in the PP and PVDF markets and is known for having successfully executed turnkey jobs at the largest companies in the country.

The Company is spread over a total area of over 200000 sq feet, conveniently located in the industrial town of Vapi, Gujarat and Jaipur, Rajasthan in Western India. The company enjoys quick access to the Western Express Highway and is suitably within close reach of the Mumbai port. The company prides in the loyalty of approximately 80 talented employees, who move in tandem with the leadership of an experienced management team, well qualified in their functional fields. To achieve its quality benchmarks, the company sources its extrusion machinery only from the best suppliers in India and abroad, with technological superiority and in-house research teams.

 

 

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                  None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 

 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.39.73

UK Pound

1

Rs.78.96

Euro

1

Rs.59.60

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

45

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions