MIRA
INFORM REPORT
|
Report Date : |
20.06.2008 |
IDENTIFICATION
DETAILS
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Name : |
RELIANCE TELECOM INFRASTRUCTURE LIMITED |
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Formerly Known As : |
RELIANCE COMMUNICATIONS RAJASTHAN LIMITED |
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Registered Office : |
H Block, 1st Floor Dhirubhai Ambani Knowledge City, Navi
Mumbai – 400709, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
16.04.2001 |
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Com. Reg. No.: |
11-131598 |
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CIN No.: [Company
Identification No.] |
U72900MH2001PLC131598 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMR21559G |
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PAN No.: [Permanent
Account No.] |
AACCR0181Q |
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Legal Form : |
A closely held public limited liability company. The company is a
subsidiary of Reliance Communication Limited, a listed company of the Stock
Exchange. |
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Line of Business : |
Subject is engaged in the business of providing telecommunication
infrastructure services. |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Clear |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a group company of Anil Dhirubhai Ambani Group [ADAG], a
fastest growing industrial house, departed from his Mukesh Dhirubhai Ambani –
Reliance Group. They are world’s richest individuals and doing exceedingly
well Trade relations are fair. This group is coming out with company’s largest IPO of Rs. 120000
Millions for their ambitious power project. The company can be considered good for any normal business dealings at
usual trade terms and conditions. It can be regarded as a promising business partner in a medium to
long-run. |
LOCATIONS
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Registered Office : |
H Block, 1st Floor Dhirubhai Ambani Knowledge City, Navi
Mumbai – 400709, Maharashtra, India |
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Tel. No.: |
91-22-30380435 / 30386286 |
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Fax No.: |
91-22-30376622 |
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E-Mail : |
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Corporate Office : |
DAKC, TFIL Complex, Thane – Belapur Road, Kopar Khairane, Navi Mumbai
– 400710, Maharashtra, India |
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Tel. No.: |
91-22-30382864 / 30380565 |
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Branch Office : |
Survey No. 98, Palaspe Post, Opposite JWC Logistics, Palaspe Village,
Panvel Taluk, Raigad – 410206, Maharashtra, India |
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Tel. No.: |
91-22-32488521/32 |
DIRECTORS
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Name : |
Mr. Anil Dhirubhai Ambani |
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Designation : |
Additional Director |
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Address : |
39, ‘Sea Wind’ Cuffe Parade, Colaba,
Mumbai – 400005, Maharashtra, India |
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Date of Birth/Age : |
04.06.1959 |
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Date of Appointment : |
29.09.2007 |
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Name : |
Mr. Satyapal Talwar |
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Designation : |
Additional Director |
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Address : |
162, Kshitij, 47 Napean Sea Road, Mumbai – 400036, Maharashtra, India |
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Date of Birth/Age : |
14.06.1939 |
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Date of Appointment : |
29.09.2007 |
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Name : |
Mr. Pravin Nanubhai Ghatalia |
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Designation : |
Additional Director |
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Address : |
4 B, Cosmopolis, L. D. Ruparel Marg, Malbar Hill – 400006,
Maharashtra, India |
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Date of Birth/Age : |
06.05.1941 |
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Date of Appointment : |
29.09.2007 |
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Name : |
Mr. Rohit C Shah |
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Designation : |
Director |
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Address : |
B – 901/902, Shanker Park, Opposite Suman Apartments, Shanker Lane,
Kandivali [West], Mumbai – 400067 |
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Date of Birth/Age : |
01.06.1954 |
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Date of Appointment : |
23.07.2005 |
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Name : |
Mr. Sanjay Punkhla |
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Designation : |
Director |
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Address : |
56/1426, Adarsh nagar, Worli, Mumbai – 400025 |
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Date of Birth/Age : |
19.03.1961 |
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Date of Appointment : |
23.07.2005 |
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Name : |
Mr. M Sundar |
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Designation : |
Director |
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Address : |
302-B, Shree Jagjeevan CHS Limited, Sector – 21, Nerul, Navi Mumbai –
400706 |
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Date of Birth/Age : |
30.12.1955 |
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Date of Appointment : |
23.07.2005 |
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Name : |
Mr. K. R. Raja |
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Designation : |
Director |
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Address : |
Flat No. 1703/1704, Raheja Classique, Building No. 1, New Link Road,
Oshiwara, Andheri, Mumbai – 400053, Maharashtra, India |
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Date of Birth/Age : |
19.12.1956 |
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Date of Appointment : |
03.07.2002 |
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Date of Ceasing : |
15.01.2004 |
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Name : |
Mr. Bhagwan Dass Khurana |
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Designation : |
Director |
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Address : |
Abhishek, Row House, No. 1, Near D N Nagar, Police Station, Juhu,
Versova Link Road, Andheri [West], Mumbai – 400061, Maharashtra, India |
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Date of Birth/Age : |
12.05.1944 |
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Date of Appointment : |
23.07.2005 |
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Name : |
Mr. Surendra Pipara |
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Designation : |
Director |
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Address : |
Flat No. 1702, Raheja Classique, Building No. 1, New Link Road,
Oshiwara, Andheri, Mumbai – 400053, Maharashtra, India |
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Date of Birth/Age : |
17.12.1963 |
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Date of Appointment : |
23.07.2005 |
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Name : |
Mr. Hasit Shukla |
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Designation : |
Director |
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Address : |
REL [BSES] Quarters, 2nd Floor, 222, Saint Andrews Road,
Pali Hill, Bandra [West], Mumbai – 400050 |
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Date of Birth/Age : |
28.08.1962 |
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Date of Appointment : |
23.07.2005 |
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Name : |
Mr. Samir Vinodray Raval |
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Designation : |
Director |
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Address : |
A – 106, 1st Floor, Safal Residency, Sector – 25, Nerul [East],
Navi Mumbai – 400706, Maharashtra, India |
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Date of Birth/Age : |
25.08.1964 |
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Date of Appointment : |
18.01.2006 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Reliance Communications Infrastructure Limited |
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49994 |
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L V Merchant Jointly with Reliance Communications Infrastructure
Limited |
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1 |
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V K Gandhi Jointly with Reliance Communications Infrastructure Limited |
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1 |
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Jyotindra Thacker Jointly with Reliance Communications Infrastructure
Limited |
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1 |
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Rohit C Shah Jointly with Reliance Communications Infrastructure
Limited |
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1 |
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K R Raja Jointly with Reliance Communications Infrastructure Limited |
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1 |
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M Sundar Jointly with Reliance Communications Infrastructure Limited |
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1 |
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Total |
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50000 |
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Equity Share
Breakup |
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Category |
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Percentage of
Holding |
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Bodies corporate |
|
100.00 |
BUSINESS DETAILS
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Line of Business : |
Subject is engaged in the business of providing telecommunication
infrastructure services. |
GENERAL
INFORMATION
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Bankers : |
Not Available |
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Auditors : |
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Name : |
Chaturvedi and Shah (Chartered
Accountants) |
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Address : |
714-715, Tulsiani Chambers, 212,Nariman Point, Mumbai – 400021,
Maharashtra, India |
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Holding Company : |
Reliance Communications Infrastructure Limited CIN No. U64203MH1997PLC166329 |
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Parent Company : |
v Reliance
Communications Limited, Mumbai v Anil Dhirubhai
Ambani Group |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1500,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 15000.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
100,060,000 |
Equity Shares |
Rs. 10/- each |
Rs. 1000.600 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
1000.600 |
0.500 |
0.500 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
3.249 |
0.000 |
0.000 |
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4] (Accumulated Losses) |
0.000 |
[0.043] |
[0.034] |
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NETWORTH |
1003.849 |
0.457 |
0.466 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
2.948 |
0.000 |
0.050 |
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TOTAL BORROWING |
2.948 |
0.000 |
0.050 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
1006.797 |
0.457 |
0.516 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
0.000 |
0.000 |
0.000 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
4.531 |
0.096 |
0.096 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Cash & Bank Balances |
2.270
|
0.360 |
0.409 |
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Other Current Assets |
0.000
|
0.007 |
0.007 |
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Loans & Advances |
1002.150
|
0.004 |
0.002 |
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Total
Current Assets |
1004.420
|
0.371 |
0.418 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
0.483
|
0.000 |
0.007 |
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Provisions |
1.671
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0.010 |
0.004 |
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Total
Current Liabilities |
2.154
|
0.010 |
0.011 |
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Net Current Assets |
1002.266
|
0.361 |
0.407 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.013 |
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TOTAL |
1006.797 |
0.457 |
0.516 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Other Income |
0.559 |
0.019 |
0.006 |
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Total Income |
0.559 |
0.019 |
0.006 |
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Profit/(Loss) Before Tax |
0.503 |
[0.008] |
[0.007] |
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Provision for Taxation |
0.176 |
0.000 |
0.002 |
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Profit/(Loss) After Tax |
0.327 |
[0.008] |
[0.009] |
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Expenditures : |
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Salaries, Wages an Bonus |
0.007 |
0.000 |
0.000 |
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Payment to Auditors |
0.017 |
0.010 |
0.007 |
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Other Expenditure |
0.033 |
0.017 |
0.006 |
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Total Expenditure |
0.057 |
0.027 |
0.013 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
58.50
|
[42.11] |
[150.00] |
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Return on Total Assets (PBT/Total Assets} |
(%) |
0.05
|
[2.16] |
[1.67] |
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Return on Investment (ROI) (PBT/Networth) |
|
0.00
|
0.02 |
0.02 |
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Debt Equity Ratio (Total Liability/Networth) |
|
0.01
|
0.02 |
0.13 |
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Current Ratio (Current Asset/Current Liability) |
|
466.30
|
37.10 |
38.00 |
LOCAL AGENCY
FURTHER INFORMATION
The Registered Office of the company has been shifted from E Block
Dhirubhai Ambani Knowledge City, Opposite Kopar Khairane Railway Station, Thane
– Belapur Road, Navi Mumbai – 400709, Maharashtra to the present address w.e.f.
11.10.2006
PRESS RELEASE
RCom divests five per
cent in RTIL for Rs. 14 billion
From correspondents
in Maharashtra, India, 09:00 PM IST
Subject has sold a five percent of its Rs. 270 billion ($6.75 billion) telecom tower business, through a placement to leading institutional investors from the US, Europe and Asia, for Rs. 14 billion ($337.5 million).
Anil Ambani also indicated that his concern may unlock more value through a possible IPO, further placements, strategic equity placements at a press meet convened here Thursday.
Their strategy to create a separate company for the infrastructure business has resulted in tremendous unlocking of value for their shareholders. They hope to continue to take this process forward,' he said.
He also said that the amount raised was much more than previously anticipated.
Subject provides
telecommunication infrastructure services. The company offers Global System for
Mobile communication [GSM] and Code Division Multiple Access [CDMA] solutions. In
addition, it facilitates setting up communication towers. Subject is based in
India.
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 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.42.93 |
|
UK Pound |
1 |
Rs.84.17 |
|
Euro |
1 |
Rs.66.82 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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|
--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
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--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
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 |
|