MIRA
INFORM REPORT
|
Report Date : |
21.03.2008 |
IDENTIFICATION
DETAILS
|
Name : |
L. N. ENGINEERING WORKS PRIVATE LIMITED |
|
|
|
|
Registered Office : |
210, Kalindas Udyog Bhawan, Century Bazar, Worli, Mumbai 400025,
Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as on) : |
31.03.2005 |
|
|
|
|
Date of Incorporation : |
06.10.1989 |
|
|
|
|
Com. Reg. No.: |
053803 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U29300MH1989PTC053803 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
MUML01495E |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturer, Exporter and Importer of Aluminium Utensils viz Tawa,
Frypan, Saucepan, Toaster, Kadhai with Teflon coating inside and decorative
coating from outside, other all Kitchen Appliances operated with electricity
as well as manually. |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 22000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an old and established company but it has not filed its
latest financials with the Government Departments. We spoke to Mr. Deepak,
Accounts Manager of the Company, who parted general information but declined
to part with financials. 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
|
Name : |
Mr. Deepak |
|
Designation : |
Accounts Manager |
|
Contact No.: |
91-22-24315500 |
|
Date : |
17.03.2008 |
LOCATIONS
|
Registered Office : |
210, Kalindas Udyog Bhawan, Century Bazar, Worli, Mumbai 400025,
Maharashtra, India |
|
Tel. No.: |
91-22-24315500 / 24379457 |
|
Fax No.: |
91-22-24362543 |
|
E-Mail : |
|
|
Website : |
|
|
Area : |
550 Sq. fts. |
|
Location : |
Owned |
|
|
|
|
Factory 1 : |
Plot No. 54, Vasai Taluka, Industrial Estate, Sector II, Goudaipada,
Vasai [East], Thane, Maharashtra, India |
|
Location : |
Owned |
DIRECTORS
|
Name : |
Mr. Ratanshi Velji Gada |
|
Designation : |
Director |
|
Address : |
2, Vincent View Block No. 5, Dr. B. A. Road, Dadar, Mumbai 400014,
Maharashtra, India |
|
Date of Birth/Age : |
03.09.1935 |
|
Date of Appointment : |
06.10.1989 |
|
|
|
|
Name : |
Mr. Indravadan Chimanlal Shah |
|
Designation : |
Director |
|
Address : |
146 – A, Jain Society, Block No. 2, Sion [West], Mumbai 400022,
Maharashtra, India |
|
Date of Birth/Age : |
16.07.1952 |
|
Date of Appointment : |
06.10.1989 |
|
|
|
|
Name : |
Mr. Rita Bhailal Gada |
|
Designation : |
Director |
|
Address : |
2, Vincent View, Dr. B. A. Road, Dadar, Mumbai 400014, Maharashtra, India
|
|
Date of Birth/Age : |
07.04.1966 |
|
Date of Appointment : |
01.04.1992 |
|
|
|
|
Name : |
Mr. Navin Ratanshi Gada |
|
Designation : |
Director |
|
Address : |
701, Royal Grace, 7th floor, Lokmanya Vasahat Marg, Dadar
[East], Mumbai 400014, Maharashtra, India |
|
Date of Appointment : |
01.04.2003 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
[As on 30.09.2005]
|
Names of Shareholders |
|
No. of Shares |
|
Ratanshi Velji Gada |
|
7620 |
|
Navin Ratanshi Gada |
|
7310 |
|
Total |
|
14930 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer, Exporter and Importer of Aluminium Utensils viz Tawa,
Frypan, Saucepan, Toaster, Kadhai with Teflon coating inside and decorative
coating from outside, other all Kitchen Appliances operated with electricity
as well as manually. |
|
|
|
|
Products : |
Ř Taper Frypans Ř Fast Pans Ř Tawa Ř Casserole Ř Kadhai Ř Pathiri Tawa Ř Sauce Pot Ř Fry Pan |
|
|
|
|
Brand Name : |
Ř Nirali |
|
|
|
|
Exports : |
|
|
Products : |
All Products |
|
Countries : |
Ř UK Ř US Ř Sri Lanka Ř South Africa |
|
|
|
|
Imports : |
|
|
Products : |
Raw Materials |
|
Countries : |
Ř UK Ř China |
|
|
|
|
Terms : |
|
|
Selling : |
L/C, Cash and Credit or Advance
[30 days to 60 days] |
|
|
|
|
Purchasing : |
L/C, Cash and Credit [30 days to 60 days] |
GENERAL
INFORMATION
|
Customers : |
Ř Wholesalers Ř Retailers Ř End Users |
|
|
|
|
No. of Employees : |
Around 75 |
|
|
|
|
Bankers : |
Ř
The Saraswat
Co-operative Bank Limited Kanchwala
Building, Opposite Old Passport Office, Dr. A. B. Road, Worli, Mumbai 400030,
Maharashtra, India Ř State Bank of India (Vasai) |
|
|
|
|
Facilities : |
C/C and Term Loan from The Saraswat Co-operative Bank Limited |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
Chetan N. Dedhia Chartered Accountants |
|
Address : |
48, Patwa Chambers, 104/108, Olive Road, Mumbai 400009, Maharashtra,
India |
|
Tel. No.: |
91-22-23729354 |
|
|
|
|
Associates/Subsidiaries : |
Ř Jyoti India
Metals Address: 210, Kalindas
Udyog Bhawan, Century Bazar, Worli, Mumbai 400025, Maharashtra, India Line of Business: Manufacturer,
Exporter and Importer of Aluminium Utensils viz Tawa, Frypan, Saucepan,
Toaster, Kadhai with Teflon coating inside and decorative coating from
outside, other all kitchen appliances operated with electricity as well as
manually. |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
25000 |
Equity Shares |
Rs. 100/- each |
Rs. 2.500 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
14930 |
Equity Shares |
Rs. 100/-
each |
Rs. 1.493
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
|
Particulars |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
Sales Turnover |
160.000 |
150.000 |
120.000 |
Expected Sales (2007-08): Rs. 170.000 Millions
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
1.493 |
1.493 |
|
|
2] Share Application Money |
|
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
|
4.196 |
3.083 |
|
|
4] (Accumulated Losses) |
|
0.000 |
0.000 |
|
|
NETWORTH |
|
5.689 |
4.576 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
16.772 |
11.510 |
|
|
2] Unsecured Loans |
|
18.557 |
14.548 |
|
|
TOTAL BORROWING |
|
35.329 |
26.058 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
41.018 |
30.634 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
15.614 |
11.360 |
|
|
Capital work-in-progress |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
0.010 |
0.010 |
|
|
DEPOSITS |
|
0.508 |
0.464 |
|
|
DEFERREX TAX ASSETS |
|
[2.615] |
[1.552] |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
15.208 |
10.240 |
|
|
Sundry Debtors |
|
19.496 |
14.917 |
|
|
Cash & Bank Balances |
|
1.148 |
1.175 |
|
|
Other Current Assets |
|
0.000 |
0.000 |
|
|
Loans & Advances |
|
1.526 |
0.829 |
|
Total
Current Assets |
|
37.378 |
27.161 |
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
|
9.877 |
6.809 |
|
|
Provisions |
|
0.000 |
0.000 |
|
Total
Current Liabilities |
|
9.877 |
6.809 |
|
|
Net Current Assets |
|
27.501 |
20.352 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
41.018 |
30.634 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
|
|
Total Income |
|
97.343 |
63.515 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
|
2.530 |
2.698 |
|
|
Provision for Taxation |
|
1.417 |
1.087 |
|
|
Profit/(Loss) After Tax |
|
1.113 |
1.611 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Interest |
|
2.476 |
2.382 |
|
|
Depreciation & Amortization |
|
0.987 |
0.947 |
|
|
Other Expenditure |
|
91.350 |
57.488 |
|
Total Expenditure |
|
94.813 |
60.817 |
|
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2005 |
31.03.2004 |
|
PAT / Total
Income |
(%) |
|
1.14 |
2.53 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
|
2.59 |
4.24 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
4.77 |
7.00 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
|
0.44 |
0.58 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
|
7.94 |
7.18 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
|
3.78 |
3.98 |
LOCAL AGENCY
FURTHER INFORMATION
The company’s fixed assets of important value include Leasehold Land (Plot), Building, Plant and Machinery, Furniture and Fixtures, Vehicles, Computers, Office Equipments, Air Conditioners, electrical Installation, etc.
Form 8
Bankers Charges
Report as per Registry
|
This Form is for |
Creation of charge |
|
Charge
identification number of the charge to be modified |
NA |
|
Corporate
identity number of the company |
U29300MH1989PTC053803 |
|
Name of the
company |
L. N.
ENGINEERING WORKS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
210, Kalindas Udyog Bhawan, Century Bazar, Worli, Mumbai 400025,
Maharashtra, India |
|
Type of charge |
Ř Book Debts Ř Movable Property
|
|
Particular of
charge holder |
The Saraswat
Co-operative Bank Limited Kanchwala
Building, Opposite Old Passport Office, Dr. A. B. Road, Worli, Mumbai 400030,
Maharashtra, India E-mail: incharge_worli@saraswatbank.com
|
|
Nature of
description of the instrument creating or modifying the charge |
Agreement of
hypothecation of movable property |
|
Date of
instrument Creating the charge |
18.07.2007 |
|
Amount secured by
the charge |
Rs. 5.000
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
[a] Rate of
interest Rate of interest
12.50% per annum [b] Term of
repayment on demand [c] Extent and
operation of the charge The charge will
operate to the extent of Rs. 5.000 Millions on the company stock and debtors
offered as security. |
|
Short particulars
of the property charged |
The borrowers
doth do hereby hypothecate to and in favour of the bank all the goods tangible
movable property including the stock for the time being whether new or
manufacture or in process of manufacturing and every tangible movable
good/property/machineries/plant. Both present and future as and when import
or procured by the borrowers place of business at Kalindas udyog bhavan
[Worli] |
|
Name of the company |
L. N.
ENGINEERING WORKS PRIVATE LIMITED |
|
Presented By |
The Saraswat
Co-operative Bank Limited Worli Branch,
Mumbai 400018 |
|
1) Date and description of instrument creating the change |
Agreement dated 02.04.1990 1] Hypothecation of movable property 2] Hypothecation of Book Debts [Both these agreements together constitute a single charge] |
|
2) Amount secured by the charge/amount owing on the securities of
charge |
Rs. 2.700
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 |
1] All the stocks
including the stocks for the time being whether new or manufactured or in
process of manufacturing and every tangible movable property, of the
borrower. 2] All present
and future, book debts, moneys, receivables claims and approved book debts
due to the borrower. |
|
4) Gist of the terms and conditions and extent and operation of the
charge. |
To secure cash
credit facility granted by the bank to the borrower 1] Rate of
interest : 16.5& p.a. 2] Period : on
Demand 3] Basia : 70% |
|
5) Name and Address and description of the person entitled to the
charge. |
The Saraswat
Co-operative bank Limited Worli Branch,
Mumbai 400018 |
|
6) Date and brief description
of instrument modifying the charge |
Agreement dated
12.03.2001 1] Supplementary
deed of hypothecation for additional advances 2] Supplementary
deed for additional advances against hypothecation of book debts [both these
agreements together constitute a single modification] |
|
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. |
By earlier
modification dated 18.01.1991, 01.08.1991, 07.08.1992, 26.04.1995 and
01.06.1996, the limits had been enhanced upto Rs. 11.400 Millions. By this
modification the cash credit limit has further been increased by Rs. 1.500
Millions. Hence, the overall limit
has been enhanced from Rs. 11.400 Millions to Rs. 12.900 Millions. Rate of interest
has also been modified to 17.75% p.a. Therefore, the
overall charge now stands at Rs. 12.900 Millions |
AS PER WEBSITE DETAILS:
PROFILE:
Subject established in 1986 is a premier
manufacturer of non-stick cookware in India. However, the company sells its
non-stick cookware under its brand names "Nirali". The company has
equipped itself with a state of art of technology standard equivalent to
international standards. The company has a brilliant turnover of over US $ 2
billion that enlist itself as one of the top multi-national company existing in
similar trade in Mumbai. With 200 employees network, the company has a
production capacity equivalent to 1 million per annum per shift.
With an overwhelming performance from the Indian market, the company has
broadened its vision by exporting its non-stick cookwares in several counters
like USA, UK, Australia, Kenya, Oman, New Zealand etc. For its brilliant
overseas performances, the company is also recognised as licencee of Dupont,
USA and the non-stick cookware are manufactured with international Dupont
coating. In India, the cookware products are approved by ISI, which is the
national institution for quality certification in India. The pioneer leader in
non-stick cookware items gives guarantee on its various range of products. Plus
it sees that at every stage of manufacturing strict international Dupont
coating is met to reduce calorie intake in food and that is why products are
not only a smart choice of housewives but even amongst chefs and cooks of the
corporate world
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. 40.45 |
|
UK Pound |
1 |
Rs. 81.20 |
|
Euro |
1 |
Rs. 63.48 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
45 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial condition
(40%) Ownership background
(20%) Payment record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|