MIRA
INFORM REPORT
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Report Date : |
06.03.2008 |
IDENTIFICATION
DETAILS
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Name : |
KNOWLEDGEWORKS GLOBAL LIMITED |
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Registered Office : |
Marwah Center, 5th Floor, Krishanlal Marwah
Marg, Andheri (East), Mumbai -
400072, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
05.02.2003 |
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Com. Reg. No.: |
139027 |
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CIN No.: [Company
Identification No.] |
U72200MH2003PLC139027 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMK10479A |
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PAN No.: [Permanent
Account No.] |
AACCK0612M |
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Legal Form : |
A closely held Public Limited Liability Company. |
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Line of Business : |
Publication of Educational, Magazine, Gernals and other |
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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Maximum Credit Limit : |
USD 160000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed company having satisfactory
track records. Trade relations are
fair. Business is active. Payments are reported as usually correct
and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions. |
INFORMATION PARTED
BY
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Name : |
Mr. Venkatesh |
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Designation : |
Administrative Manager |
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Date : |
29.02.2008 |
LOCATIONS
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Registered Office : |
Marwah Center, 5th Floor, Krishanlal Marwah
Marg, Andheri (East), Mumbai -
400072, India |
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Tel. No.: |
91-22-40985200 |
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Fax No.: |
91-22-40985210 |
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E-Mail : |
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Website : |
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Area : |
30000 sq. fts. |
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Location: |
Rented |
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Corporate Office : |
36, Barnaby Road, Kilpauk, Chennai
-600 010, Tamil Nadu India |
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Tel. No.: |
91-44-420-58888 |
DIRECTORS
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Name : |
Mr. Atul Goel |
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Designation : |
Director |
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Date of Birth/Age : |
42 Years |
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Qualification : |
Post Graduate |
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Name : |
Mr. John Thomas Brohel |
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Designation : |
Director |
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Address : |
2671N, Greenview, Unit A, Chicago 60614, US |
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Tel. No. : |
91-18475403006 |
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Fax No. : |
91-12035353079 |
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Date of Birth/Age : |
09.10.1964 |
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Date of Appointment : |
26.03.2007 |
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Name : |
Mr. Harry Rondal Brohel |
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Designation : |
Director |
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Address : |
3104, Kewanee Lane, Naperville, US |
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Date of Birth/Age : |
26.01.1961 |
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Date of Appointment : |
26.03.2007 |
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Name : |
Mr. Lalit Surajmal Kanodia |
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Designation : |
Director |
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Address : |
1201, Red Rose Chsl, 44, Pochankhanwala Road, Worli |
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Date of Birth/Age : |
30.03.1941 |
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Date of Appointment : |
05.02.2003 |
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Name : |
Mr. Walter Peter |
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Designation : |
Director |
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Address : |
1801, Bayberry Street, Suite 200, Richmond VA 23226, USA |
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Date of Birth/Age : |
24.02.1943 |
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Date of Appointment : |
12.08.2003 |
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Name : |
Mr. Stephen Hare |
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Designation : |
Director |
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Address : |
101, Lock Green Place, Richmond VA 23226, USA |
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Date of Birth/Age : |
02.06.1953 |
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Date of Appointment : |
12.08.2003 |
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Name : |
Mustafa Motiwala |
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Designation : |
Director |
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Address : |
501, Dheeraj Gaurav, Heights Andheri Link Road, Andheri [West], Mumbai
400053, Maharashtra, India |
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Date of Birth/Age : |
06.10.1970 |
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Date of Appointment : |
25.03.2004 |
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Name : |
Mr. Soman Thomas |
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Designation : |
Director |
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Address : |
12, Gautam Darshan Seven Bunglows, Andheri [West], Mumbai 400053,
Maharashtra, India |
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Date of Birth/Age : |
24.02.1952 |
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Date of Appointment : |
08.08.2005 |
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KEY EXECUTIVES
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Name : |
Mr. Atul Goel |
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Designation : |
President and Chief Operating Officer |
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Tel No.: |
91-22-555-65200 |
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Fax No.: |
91-22-555-65233 |
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Email : |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Datamatics Technologies Limited |
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100099 |
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Dr. Lalit Kanodia |
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1 |
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Cadmus Knowledgeworks International Limited |
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400396 |
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Cadmus Marketing Inc. |
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1 |
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Garamond/Pridemark Press Inc. |
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1 |
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Cadmus Keefe Marketing Inc. |
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1 |
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Cadmus UK Inc. |
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1 |
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Total |
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500500 |
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Equity Share
Break-up |
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Percentage of
Holding |
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Foreign Holdings |
|
100.00 |
BUSINESS DETAILS
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Line of Business : |
Publication of Educational, Magazine, Gernals and other |
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Exports : |
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Products : |
All products |
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Countries : |
US and Australia |
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Imports : |
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Products : |
Machineries, Computer Parts |
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Countries : |
Hongkong, US and Singapore |
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Terms : |
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Purchasing : |
L/C |
GENERAL
INFORMATION
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Customers : |
Individual Company |
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No. of Employees : |
Around 450 |
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Bankers : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Loddha and Company Chartered Accountants |
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Address : |
6, Karim Chambers, 40, Ambalal Doshi Marg, [Hamam Marg], Mumbai
400023, Maharashtra, India |
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Associates/Subsidiaries : |
Not Divulged |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
|
1000000 |
Equity Shares |
Rs. 10/- each |
Rs. 10.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500500 |
Equity Shares |
Rs. 10/- each |
Rs. 5.005
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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5.005 |
5.000 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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36.841 |
15.228 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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41.846 |
20.228 |
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LOAN FUNDS |
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1] Secured Loans |
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0.000 |
0.000 |
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2] Unsecured Loans |
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0.000 |
0.000 |
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TOTAL BORROWING |
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0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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41.846 |
20.228 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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68.784 |
14.164 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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0.000 |
0.000 |
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Sundry Debtors |
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34.718 |
13.249 |
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Cash & Bank Balances |
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9.909 |
2.144 |
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Other Current Assets |
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14.956 |
6.945 |
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Loans & Advances |
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16.962 |
14.306 |
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Total
Current Assets |
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76.545 |
36.644 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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98.957 |
28.952 |
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Provisions |
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4.526 |
1.628 |
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Total
Current Liabilities |
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103.483 |
30.580 |
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Net Current Assets |
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[26.938] |
6.064 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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41.846 |
20.228 |
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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 |
351.669 |
198.043 |
99.047 |
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Other Income |
0.333 |
0.060 |
0.388 |
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Total Income |
352.002 |
198.103 |
99.435 |
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Profit/(Loss) Before Tax |
54.105 |
64.973 |
[9.861] |
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Provision for Taxation |
0.925 |
0.852 |
- |
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Profit/(Loss) After Tax |
53.180 |
64.121 |
[9.861] |
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Expenditures : |
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Salaries, Wages, Bonus, etc. |
135.865 |
99.184 |
42.959 |
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Payment to Auditors |
0.940 |
0.946 |
0.720 |
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Insurance Expenses |
0.622 |
0.552 |
0.371 |
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Power & Fuel |
8.009 |
5.449 |
2.098 |
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Depreciation & Amortization |
50.551 |
26.999 |
5.597 |
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Other Expenditure |
101.910 |
0.000 |
57.551 |
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Total Expenditure |
297.897 |
133.130 |
109.296 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
15.10
|
32.36 |
[9.91] |
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Net Profit Margin (PBT/Sales) |
(%) |
15.38
|
32.80 |
[9.95] |
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Return on Total Assets (PBT/Total Assets} |
(%) |
NA
|
44.70 |
[19.40] |
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Return on Investment (ROI) (PBT/Networth) |
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NA
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1.55 |
[0.48] |
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Debt Equity Ratio (Total Liability/Networth) |
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NA
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2.47 |
1.51 |
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Current Ratio (Current Asset/Current Liability) |
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NA
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0.73 |
1.19 |
LOCAL AGENCY
FURTHER INFORMATION
AS PER WEBSITE
Company Information
Subject provides content management, page design and data
management services to scientific, technical, medical (STM), educational and magazine
publishers. Their facilities located in Mumbai and Chennai, India are a
wholly-owned subsidiary of Cadmus Communications and are increasingly the ‘hub’
of Cadmus’ global content production services.
Guided by the expertise of Cadmus’ 100+ years serving the publishing industry,
KGL understands publishers’ needs. Proven workflow processes and technology
combined with a highly flexible and specialized workforce in India ensure that
the projects will be produced in a timely and cost efficient manner.
Expertise
Publishing Expertise
Subject is a wholly-owned subsidiary of Cadmus
Communications, the world’s largest provider of content processing and
production services to scientific, technical and medical journal publishers.
Their experience and established end-to-end publishing solutions can be
extended to educational, magazine and other markets.
Customer Support
Recognizing that each publisher has unique needs and cost
drivers, KGL works with its clients to establish the necessary level of project
management and service support for each project to manage communication, drive
production and ensure the desired results for the projects.
Cost Effective Services
Matching the appropriate service levels, specialized skill
sets and workflow processes to the requirements ensures that the project is
produced in the most cost effective manner to match the delivery expectations.
Highly Automated Workflows
In stark contrast to many overseas operations which rely
solely on manual labor, KGL combines a cost-efficient workforce with full
access to the highly automated content processing technology and systems
developed by Cadmus.
Specialized Work Force
Facilities in Mumbai and Chennai are staffed with highly
skilled content production associates who have undergone extensive training and
a formal certification process.
Market Driven Solutions
Cadmus/KGL has over 125 years of experience providing
publisher services to the top scientific, technical, and medical publishers.
KGL is successfully leveraging this experience to serve markets such as
educational, legal, magazine and professional publishers.
Technology-Enabled Systems
Subject leverages the automation of the KnowledgeWorks
web-based content processing system to fuel a highly flexible and efficient
production environment for publishers.
Multi-Platform
Subject composes on all major platforms including 3B2,
InDesign®, Quark®, TeX and XPP.
Content
Processing Services
Project Management
Comprehensive project management services deliver on publishers’
needs for greater efficiency and cost control. KGL can provide assistance in
defining project scope, designing optimum workflows, initial project planning,
or ongoing project management as the needs and internal resource constraints
dictate. The KGL team has access to Cadmus experts who have a long history of
providing high levels of service and support to publishers and authors.
Copyediting
Their automated pre-editing services can programmatically “cleaned up” files
that will accelerate the delivery and increase the accuracy of the copyediting.
This software performs mundane copyediting tasks such as spell-checking,
abbreviation and punctuation standardization, tagging, and reference-checking.
These files can be used directly for composition or as the starting point for
more extensive manual copyediting.
Composition
Subject composes on all major platforms including Quark®, InDesign®, 3B2, TeX,
and XPP.
Data Capture
Subject can work from existing print materials, raw
manuscripts, copyedited files and most printer files to generate composed pages
or XML-coded files, by using a combination of automated software tools and
manual data-entry. Their double-entry, triple-compare process ensures the
optimal level of accuracy at the character level.
Data Conversion
Subject has extensive experience with data conversion
projects from both paper-based media and electronic files. Subject hundreds of
thousands of pages of legacy content annually through either scanning or keying
processes to generate both PDF pages and XML coded files.
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. 40.29 |
|
UK Pound |
1 |
Rs. 79.97 |
|
Euro |
1 |
Rs. 61.23 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
51 |
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 |
|