MIRA
INFORM REPORT
|
Report Date : |
22.07.2008 |
IDENTIFICATION
DETAILS
|
Name : |
SIDHI SMELTERS PRIVATE LIMITED |
|
|
|
|
Registered Office : |
A3, Sipcot Industrial Complex, Gummidhi Poondhi, Chennai – 601201, Tamilnadu
|
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as on) : |
31.03.2008 |
|
|
|
|
Date of Incorporation : |
15.06.2004 |
|
|
|
|
Com. Reg. No.: |
053479 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U27109TN2004PTC053479 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CHES21852F |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAICS1660B |
|
|
|
|
Legal Form : |
Private Limited Liability Company. |
|
|
|
|
Line of Business : |
The company is engaged in smelters of ferrous and non- ferrous metals. |
RATING &
COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
Maximum Credit Limit : |
USD 150000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow by are 30 days |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Mr. Elanga, Commercial Manager and Mr. Muthu Swamy (Finance Department) want to have the original inquirer’s
name to disclose new financials. Thus, they remained non-cooperative during
current investigation. Subject is an established company having moderate track. It’s profit
margin is under severe pressure. Payments are reported as slow. However, the company can be considered for small to mediocre business
dealings at usual trade terms and conditions. |
INFORMATION PARTED
BY
|
Name : |
Mr. Elanga |
|
Designation : |
Commercial Manager |
|
Date : |
19.07.2008 |
|
|
|
|
Name : |
Mr. Muthu Swamy |
|
Designation : |
Finance Department |
|
Date : |
19.07.2008 |
LOCATIONS
|
Registered Office/ Factory : |
A3, Sipcot Industrial Complex, Gummidhi Poondhi, Chennai – 601201,
Tamilnadu, India |
|
Tel. No.: |
91-44-27921709 |
|
E-Mail : |
|
|
Area : |
5.58 acres of Large |
|
Location : |
Owned |
DIRECTORS
|
Name : |
Mrs. Leena Shashi |
|
Designation : |
Additional Director |
|
Address : |
Trade Centre, 2nd Floor, 114-115 Wallajah Road, Chennai –
600002, Tamilnadu, India |
|
Date of Birth/Age : |
28.12.1968 |
|
Date of Appointment : |
29.03.2007 |
|
|
|
|
Name : |
Mr. Mayank Lath |
|
Designation : |
Director |
|
Address : |
New No.12, Old No.94, Poes Garden, Chennai – 600086, Tamilnadu, India |
|
|
|
|
Name : |
Mr. Shashi Kumar Nair |
|
Designation : |
Director |
|
Address : |
Flat No.2, 2nd Floor, Trade Centre, 114, Wallajah Road,
Chennai – 600002, Tamilnadu, India |
|
Date of Birth/Age : |
30.05.1964 |
|
Date of Appointment : |
15.06.2004 |
|
|
|
|
|
|
|
Other Directorship Companies : |
Sabari Exim Private Limited Director U51909TN1999PTC042339 Penta Capital Services Private Limited Director U65993TN1992PTC022964 Sabari Textile Private Limited Director U17122TN2006PTC061481 Sabari Infopark Private Limited Director U45200TN2006PTC061278 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 31.03.2007)
|
Category |
|
Percentage |
|
|
|
|
|
Directors or relatives of directors |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The company is engaged in smelters of ferrous and non- ferrous metals. |
|
|
|
|
Products : |
Ferrous and Non- Ferrous Metals |
GENERAL
INFORMATION
|
No. of Employees : |
70 |
|
|
|
|
Bankers : |
Mid Corporate Group, 155 Anna Salai, Industrial Finance Branch,
Chennai – 600002, Tamilnadu, India |
|
Auditors : |
|
|
Name : |
S. V. Venkatachalam Chartered Accountant |
|
Address : |
Trade Centre, Second Floor, 118 Wallajah Road, Chennai – 600002,
Tamilnadu, India |
|
|
|
|
Name : |
Maheshwaran and Company Chartered Accountant |
|
Address : |
Trade Centre, Second Floor, 118 Wallajah Road, Chennai – 600002,
Tamilnadu, India |
|
|
|
|
Associates/Subsidiaries : |
Sabari Exim Private Limited U51909TN1999PTC042339 Penta Capital Services Private Limited U65993TN1992PTC022964 Sabari Textile Private Limited U17122TN2006PTC061481 Sabari Infopark Private Limited U45200TN2006PTC061278 |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2250000 |
Equity Date |
Rs.10/- each |
Rs.22.500 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1950000 |
Equity Date |
Rs.10/- each |
Rs.19.500
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
19.500 |
19.500 |
19.500 |
|
|
2] Share Application Money |
10.000 |
0.000 |
2.550 |
|
|
3] Reserves & Surplus |
0.512 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
30.012 |
19.500 |
22.050 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
98.045 |
81.585 |
73.077 |
|
|
2] Unsecured Loans |
70.155 |
46.830 |
33.581 |
|
|
TOTAL BORROWING |
168.200 |
128.415 |
106.658 |
|
|
DEFERRED TAX LIABILITIES |
7.599 |
5.441 |
4.895 |
|
|
|
|
|
|
|
|
TOTAL |
205.811 |
153.356 |
133.603 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
52.524 |
27.751 |
26.765 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
182.289
|
141.847 |
99.554 |
|
|
Sundry Debtors |
27.871
|
26.694 |
27.297 |
|
|
Cash & Bank Balances |
3.763
|
5.103 |
3.847 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
61.910
|
27.764 |
7.887 |
|
Total
Current Assets |
275.833
|
201.408 |
138.585 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
122.205
|
77.283 |
35.137 |
|
|
Provisions |
0.479
|
0.000 |
0.000 |
|
Total
Current Liabilities |
122.684
|
77.283 |
35.137 |
|
|
Net Current Assets |
153.149
|
124.125 |
103.448 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.138 |
1.480 |
3.390 |
|
|
|
|
|
|
|
|
TOTAL |
205.811 |
153.356 |
133.603 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
|
|
31.03.2008 |
|
Sales Turnover (Estimated) |
|
|
150.000 |
|
|
|
|
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
Debt Equity Ratio (Total Liability/Networth) |
|
9.69
|
10.55 |
6.43 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.25
|
2.61 |
3.94 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges
Report as per Registry
|
Name of the company |
SIDHI SMELTERS PRIVATE LIMITED |
|
Presented By |
Mr. Shashi Kumar Nair, Director |
|
1) Date and description of instrument creating the change |
31st
March, 2005 Agreement of
Hypothecation of Goods and Assets Agreement of Loan
for overall limit |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs.75.000
Millions Nature of Facility Rs. In
Millions Cash Credit
Rs.32.500 Millions (Sub Limit Cash
Credit – BD Rs.20.000 Millions) Letter of
Credit
Rs.42.500 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 |
Hypothecation of
Current assets and receivable both present and future. Hypothecation of
plant and Machinery |
|
4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of
Interests: In case of cash credit
– 2.00% over SBAR, present at 12.255 p.a. Margin: 25% in case of
cash credit other than receivables 50% and 10% in case of letter of credit. All other terms
and conditions as per instrument enclosed. |
|
5) Name and Address and description of the person entitled to the charge. |
State Bank of
India 155, Anna Salai,
Industrial Finance Branch, Chennai – 600002 |
|
6) Date and brief description of instrument modifying the charge |
NA |
|
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. |
NA |
|
Corporate
identity number of the company |
U27109TN2004PTC053479 |
|
Name of the
company |
SIDHI SMELTERS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
A3, Sipcot Industrial Complex, Gummidhi Poondhi, Chennai – 601201,
Tamilnadu, India |
|
This form is for |
Modification of Charge |
|
Type of charge |
Immovable
Property Book Debts Current Assets,
Plant and Machinery |
|
Particular of
charge holder |
State Bank of India Mid Corporate Group, 155 Anna Salai, Industrial Finance Branch,
Chennai – 600002, Tamilnadu, India |
|
Nature of
instrument creating charge |
Supplemental
Agreement of Hypothecation of Goods and Assets Dated 09.02.2007 Supplemental
Agreement of Pledge of Goods and Assets dated 09.02.2007 Supplemental
Agreement of loan dated 09.02.2007 Letter Confirming
the grant of loan dated 09.02.2007 Memorandum of
deposit of title deeds dated 09.02.2007 |
|
Date of
instrument Creating the charge |
09.02.2007 |
|
Amount secured by
the charge |
Rs.78.000
Millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of
Interests: CC/WCDL: 13.50%
p.a. (2.00%) above State Bank Advance Rate. Terms and
Repayment: As per Agreement Margin: As per Agreement Extent and
Operation of the charge: As per Agreement |
|
Particulars of
the property charged |
Primary:- For CC/WC:-
Hypothecation of Current assets and receivable present and future For LC: Goods
covered LC and extension of charge over current assets. Collateral:- Equitable
mortgage on the lease hold land measuring 5.58 acres i.e. apprxmately 1973.02
sq. mtr at SF No. 10.11 (Part) and 13 (Part) in SIPCOT Industrial Estate,
Gummudipundi, Tamilnadu and the Factory buildings there on standings thereon
standing in the name of the company and hypothecation of plant and machinery.
|
|
Particulars of
the present modification |
The State Bank of
India has sanctional facilities by way of the Cash Credit; hence the Cash Credit
facility is enhanced from Rs.32.500 Millions to Rs.35.500 Millions.
Consequent to that overall limit was enhanced from Rs.75.000 Millions to
Rs.78.000 Millions All other Terms
and Conditions are remain same. |
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.42.71 |
|
UK Pound |
1 |
Rs.85.11 |
|
Euro |
1 |
Rs.67.73 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
33 |
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 |
|