MIRA
INFORM REPORT
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Report Date : |
01.03.2008 |
IDENTIFICATION
DETAILS
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Name : |
MONARCH INDUSTRIAL PRODUCTS [INDIA] PRIVATE LIMITED |
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Registered Office : |
Monarch House, Post Box No. 3, No. 16E, Second Cross Street, Opposite
Government Hospital, Sivaram Nagar Theni - 625531, Tamilnadu |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
11.07.2001 |
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Com. Reg. No.: |
18-60919 |
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CIN No.: [Company
Identification No.] |
U24295TN2001PTC060919 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Subject is engaged in providing industrial solutions for
maintenance problems in mechanical, electrical and civil maintenance required
by different industries like power plants, cement, petrochemical, refinery,
railways, engineering, sugar, paper, steel and many process industries. |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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Maximum Credit Limit : |
USD 2000 |
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Status : |
Small Company |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is a relatively small company in its field. The company has
been successful in wiping-off all its previous losses during the year
2006-07. Trade relations are fair. Business is active. Payments are reported
as slow but correct. The company can be considered for small to mediocre business dealings
at usual trade terms and conditions.
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LOCATIONS
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Registered Office : |
Monarch House, Post Box No. 3, No. 16E, Second Cross Street, Opposite
Government Hospital, Sivaram Nagar Theni - 625531, Tamilnadu, India |
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Tel. No.: |
91-4546 - 325425, 251020 |
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Mobile No.: |
91-94437-46661 |
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Fax No.: |
91-4546 - 253060 |
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E-Mail : |
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Website : |
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Head Office : |
Post Box No.3, No. 38, SIDCO Industrial Estate, Theni
-625531, Tamilnadu, India |
DIRECTORS
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Name : |
Mr. Kannayyan Ramesh Naidu |
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Designation : |
Managing Director |
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Address : |
Lakshmi Mansion I Floor, B – 2, SIPCOT Housing Colony |
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Date of Birth/Age : |
20.05.1970 |
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Date of Appointment : |
11.07.2001 |
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Name : |
Mrs. R. Sheetal |
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Designation : |
Director |
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Address : |
Lakshmi Mansion I Floor, B – 2, SIPCOT Housing Colony |
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Date of Birth/Age : |
25.05.1978 |
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Date of Appointment : |
11.07.2001 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mr. Kannayyan Ramesh Naidu |
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2500 |
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Mrs. R. Sheetal |
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500 |
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Equity Share
Breakup |
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Percentage of
Holding |
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Category |
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Directors or relatives of directors |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Subject is engaged in providing industrial solutions for
maintenance problems in mechanical, electrical and civil maintenance required
by different industries like power plants, cement, petrochemical, refinery,
railways, engineering, sugar, paper, steel and many process industries. |
GENERAL
INFORMATION
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Suppliers : |
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Customers : |
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Bankers : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Jegadeesh Chartered Accountants |
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Address : |
62 A, N. R. T. Main Road, Theni – 625531, Tamilnadu, India |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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10,000 |
Equity Shares |
Rs. 100/- each |
Rs. 1.000 Million |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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6000 |
Equity Shares |
Rs. 100/- each |
Rs. 0.600
Million |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE SHEET
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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 |
0.600 |
0.600 |
0.300 |
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2] Share Application Money |
0.000 |
0.000 |
0.300 |
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3] Reserves & Surplus |
0.012 |
0.000 |
0.000 |
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4] (Accumulated Losses) |
0.000 |
[0.076] |
[0.189] |
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NETWORTH |
0.612 |
0.524 |
0.411 |
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LOAN FUNDS |
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1] Secured Loans |
1.025 |
0.102 |
0.085 |
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2] Unsecured Loans |
1.170 |
1.324 |
0.600 |
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TOTAL BORROWING |
2.195 |
1.426 |
0.685 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
2.807 |
1.950 |
1.096 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1.446 |
0.196 |
0.122 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.727 |
0.007 |
0.007 |
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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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Inventories |
2.400
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1.826 |
0.925 |
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Sundry Debtors |
2.909
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2.499 |
0.794 |
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Cash & Bank Balances |
0.287
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0.086 |
0.047 |
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Other Current Assets |
0.179
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0.062 |
0.033 |
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Loans & Advances |
0.073
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0.000 |
0.000 |
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Total
Current Assets |
5.848
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4.473 |
1.799 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
4.837
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2.765 |
0.879 |
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Provisions |
0.416
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0.000 |
0.000 |
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Total
Current Liabilities |
5.253
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2.765 |
0.879 |
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Net Current Assets |
0.595
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1.708 |
0.920 |
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MISCELLANEOUS EXPENSES |
0.039 |
0.039 |
0.047 |
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TOTAL |
2.807 |
1.950 |
1.096 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
13.353 |
7.876 |
3.717 |
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Total Income |
13.353 |
7.876 |
3.717 |
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Profit/(Loss) Before Tax |
0.153 |
0.114 |
0.103 |
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Provision for Taxation |
0.000 |
0.000 |
0.000 |
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Profit/(Loss) After Tax |
0.153 |
0.114 |
0.103 |
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Expenditures : |
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Financial Charges |
0.234 |
0.000 |
0.000 |
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Depreciation & Amortization |
0.183 |
0.000 |
0.000 |
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Other Expenditure |
12.783 |
7.762 |
3.614 |
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Total Expenditure |
13.200 |
7.762 |
3.614 |
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KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
31.03.2005 |
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PAT / Total
Income |
(%) |
1.15
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1.45 |
2.77 |
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Net Profit Margin (PBT/Sales) |
(%) |
1.15
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1.45 |
2.77 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
2.10
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2.44 |
5.36 |
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Return on Investment (ROI) (PBT/Networth) |
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0.25
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0.22 |
0.25 |
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Debt Equity Ratio (Total Liability/Networth) |
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12.17
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8.00 |
3.81 |
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Current Ratio (Current Asset/Current Liability) |
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1.11
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1.62 |
2.05 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges
Report as per Registry
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Name of the company |
MONARCH
INDUSTRIAL PRODUCTS [INDIA] PRIVATE LIMITED |
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Presented By |
R Ramesh Naidu, Managing Director |
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1) Date and description of instrument creating the change |
On 17th
June 2002, Deed Promissory Note, Agreement of Cash Credit / Overdraft Demand
Loan. |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 0.500 Million
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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 |
Not Applicable |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Hypothecation of
Stock and Book Debts the Value of Rs. 0.850 Million |
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5) Name and Address and description of the person entitled to the charge. |
The Federal Bank
Limited Hosur |
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6) Date and brief description of instrument modifying the charge |
Not Applicable |
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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. |
Not Applicable |
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This form is for |
Modification of
charge |
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Charge
identification number of the modified
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90003902 |
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Corporate
identity number of the company |
U24295TN2001PTC060919 |
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Name of the
company |
MONARCH INDUSTRIAL PRODUCTS [INDIA] PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
Monarch House, Post Box No. 3, No. 16E, Second Cross Street, Opposite
Government Hospital, Sivaram Nagar Theni - 625531, Tamilnadu, India |
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Type of charge |
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Particular of
charge holder |
The Federal Bank
Limited Madurai Road,
Theni – 625531, Tamilnadu, India |
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Nature of
description of the instrument creating or modifying the charge |
Hypothecation of
goods and book depts. |
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Date of
instrument Creating the charge |
Rs. 05.02.2007 |
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Amount secured by
the charge |
Rs. 2.100
Millions |
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Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest 14.75 % p.a. with
monthly rest rising and falling therewith calculated respectively on the
daily balance of the amount due subject to revisions by the bank and / or RBI
from time to time shall be paid. Terms of
Repayment Repayable on
demand subject to renewal of limit every year. Margin For Stock 25 % Book Debts 50 % Extent and
Operation of the charge Principal amount
together with interest charge and cost |
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Short particulars
of the property charged |
Stock and Book
Debts at 38 SIDCO Industrial Estate, Theni 625531, Tamilnadu, India |
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Date of latest
modification prior to the present modification |
16.07.2002 |
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Particulars of
the present modification |
Enhanced limit
from Rs. 0.500 Million to Rs. 2.100 Millions |
AS PER WEBSITE
Technology
driven maintenance solutions offered by the company:
- Corrosion resistant protective coatings
- Water proofing
- Epoxy & Polyurethane floor
coatings
- Road Marker coatings
- Fire retardant coatings
- High temperature coatings
- Energy Saving Coatings
- Heat insulation / disspation coating
- Heat reflective coatings
- Maintenance Aerosol cans
- Repair & Reclamation metal epoxies
and Sticks
- Under Pressure leak arrest putties
- Injection pressure grouting
- Foundation grouting
- Crusher backing compounds
- Anaerobic Adhesives
- Greases
- Sealants for expansion joints
- Self fusing insulation tapes
- Potting compound
Subject is an ISO9001:2000 Certified Company engaged in
manufacturing of Crusher backing epoxy compounds.
This is 100% Solid epoxy backing compound for backing
wear plate / liners in cone and gyratory crushers. The end users are crusher
OEM's, road construction companies, Iron ore companies, general minerals mining
companies, ball mills etc.
Subject already make OEM supply in India to M/s. Metso, M/s
Sandvik, M/s. Puzzolona, M/s. Voltas etc and Iron ore mining companies like Ms.
Essel mining, M/s Steel authority of India Limited, M/s. Jindal steel and power
limited etc. and Road Construction companies like Soma Enterprise limited, M/s
Patel KNR limited, M/s. Larsen & Toubro Limited etc.
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 |
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US Dollar |
1 |
Rs.39.92 |
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UK Pound |
1 |
Rs.79.31 |
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Euro |
1 |
Rs.60.63 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
3 |
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PAID-UP CAPITAL |
1~10 |
3 |
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OPERATING SCALE |
1~10 |
3 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
2 |
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--LIQUIDITY |
1~10 |
3 |
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--LEVERAGE |
1~10 |
3 |
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--RESERVES |
1~10 |
3 |
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--CREDIT LINES |
1~10 |
3 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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27 |
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 |
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|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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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 |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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