MIRA
INFORM REPORT
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Report Date : |
03.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
POSS DELHI STEEL PROCESSING CENTRE PRIVATE LIMITED |
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Registered Office : |
Suite No.445, Ashok Hotel, Chanakyapuri, New Delhi – 110021 |
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Country : |
India |
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Date of Incorporation : |
18.01.2007 |
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Com. Reg. No.: |
158123 |
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CIN No.: [Company
Identification No.] |
U27310DL2007PTC158123 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELP13099C |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Importer of Slitting and Cutting of Coils in different size and
shapes. |
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 : |
New Company |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a new company promoted by Posco, Korea with a strong
capital base. Available information indicate high financial reported of the company.
Trade relations are fair. Nothing adverse reported. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office : |
Suite No.445, Ashok Hotel, Chanakyapuri, New Delhi, Delhi – 110021,
India |
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Tel. No.: |
91-11-24673686/7/24678959 |
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Fax No.: |
91-11-24673688 |
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E-Mail : |
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Website : |
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Area : |
3000 sq. yards |
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Location : |
Leased |
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Factory : |
Plot No.193, Sector – 4, Phase – 2, G.C., Bawal – 123501, Haryana,
India |
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Tel. No.: |
91-124-42166003 |
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Fax No.: |
91-124-4216605 |
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Area : |
58500 sq. yards |
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Location : |
Owned by company |
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Marketing Office : |
A-143, Sector 55, Sushant Lok, Phase II, Gurgaon |
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Tel. No.: |
91-1284-308328 |
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Area : |
2500 sq. yards |
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Location : |
Leased |
DIRECTORS
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Name : |
Mr. Sang Moo Doh |
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Designation : |
Managing Director |
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Address : |
1021-50, Sadang 1 Dong, Dongjak-gu, Seoul Korea, KP |
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Date of Birth : |
20.01.1958 |
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Date of Appointment : |
18.01.2007 |
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Name : |
Mr. Sung Kwon Kim |
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Designation : |
Director |
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Address : |
102-902, SK Chungamadae, 64-29, Chungam-dong, Yongsan-gu, Seoul Korea,
KP |
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Date of Birth : |
28.01.1961 |
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Date of Appointment : |
18.01.2007 |
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Other Directorship Company : |
Pos-India Steel Processing Centre Private Limited Director U27107PN2005PTC021580 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 16.01.2007)
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Names of Shareholders |
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No. of Shares |
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Mr. Sang Moo Doh |
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5000 |
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Mr. Sang Koo Kim |
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5000 |
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Total |
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10000 |
BUSINESS DETAILS
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Line of Business : |
Importer of Slitting and Cutting of Coils in different size and
shapes. |
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Exports : |
(Deemed Exports) – Looking forward to direct exports. |
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Imports : |
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Products : |
Coils |
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Countries : |
Korea |
GENERAL
INFORMATION
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Customers : |
Automobiles Companies |
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No. of Employees : |
150 |
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Bankers : |
· Shinhan Bank,
K.G.Marg, Delhi · HSBC Bank,
Gurgaon Branch · Standard
Chartered Bank, Gurgaon |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Nagpal and Associates Chartered Accountants |
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Address : |
Delhi |
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Associates/Subsidiaries
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Pos-India Steel Processing Centre Private Limited U27107PN2005PTC021580 |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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55700000 |
Equity shares |
Rs.10/- each |
Rs.557.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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Not Available |
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FINANCIAL DATA
[all figures are in Rupees Millions]
Expected Sales (2007-08): Rs.2400.000 Millions
As the Subject is a new company, no financials
are available.
LOCAL AGENCY
FURTHER INFORMATION
Press Releases:
Indian Government grants environmental approval to
POSCO for its integrative steelworks in India
Aug. 10, 2007
Plans to start the
harbor construction and the ground work next year
POSCO recently acquired environmental approval from the Indian government for
the construction of a steel plant.
POSCO India was granted environmental approval for harbor construction work
from the central government of India last April followed by another
environmental clearance for the construction of a steel plant in the country.
The local media told that POSCO passed the necessary approval process, passing
the 1st phase of the construction of a steel plant.
On June 2005, POSCO signed a MOU with the Orissa State government of India for
the steel plant construction in Orissa State located in the northeastern part
of India, then established a local subsidiary and acquired the necessary
administrative approval for land acquisition from the State government.
In 2006, the central government of India also approved the right for the use of
railways for the transfer of raw materials while getting recognized as special
economic zone. Also, the state government approved for water usage needed by
the plant, precisely preparing the construction of this steel plant step by
step.
At this stage, POSCO awaits for final approval of the central government for
the release of forest area to secure plant sites with recommendation from the
state government. The securing of plant sites will be completed by the end of
this year with the harbor construction and the ground work scheduled to
commence in the first half of the next year.
POSCO construction of a steel plant in India was highly rated by investors as
an important investment decision for the company’s further growth globally,
especially by Warren Buffett, President of Berkshire Hathaway, who said that it
was a very wise decision for improving the company’s corporate values.
The production capacity of this integrated steel plant in India will be 12
million tons upon completion after its total investment of 12 billion USD.
Strategic Alliance with SAIL of h India
Aug. 24, 2007
Comprehensive Cooperation in Management Techniques and Human Exchange
POSCO has established a strategic alliance with Steel Authority of India Ltd. (SAIL),
the largest state-run steel producer in India, to enhance comprehensive
cooperation.
On the 16th, the Vice President Seong-Sik Cho of POSCO and HR Executive Manager
G.Ojha of SAIL singed a memorandum of understanding (MOU) and promised mutual
cooperation for the strategic alliance in SAIL`s headquarter in Delhi, India.
Consequently, POSCO and SAIL will be sharing management information and
innovative management techniques including enterprise resource programs (ERP)
and 6-Sigma and exchanging skilled talents over the next three years. In
addition, they will join efforts to develop and purchase raw materials and to
co-use sales networks in India.
The two companies will organize a working-group to map out detailed activities
in the near future, and establish concrete action plans for each activity to
maximize synergy effects.
Furthermore, POSCO and SAIL opened the door for possibilities in which both
companies will be able to add other cooperation sectors in their MOU, such as
joint research on steel technology and joint cooperation projects.
The CEO Ku-Taek Lee welcomed the alliance between the two companies with a
message saying that the strategic alliance established between SAIL, the
largest steel producer in India, and POSCO, the fourth-largest steel producer
in the world, will bring significant opportunities to both companies. He also
noted that the new era for cooperation is set to begin through this alliance
based on the partnership that the two companies have built on.
Lee also said, `The alliance will be a chance for SAIL and POSCO to achieve
their visions to sustain the growth in the global steel market, which has been
dynamically developing. I firmly believe that the two companies` sustainable
partnership and cooperation will also strengthen the economic ties between the
two nations.
SAIL is a state-run steel producer which the Indian government holds 88 percent
of the shares. It is capable of producing 15 million tones of steel a year, and
it produced 13.5 million tones of steel, which accounted for 22 percent of the
total steel production in India last year. In particular, as SAIL plans to
expand its annual production to 25 million tones by 2010, the strategic
alliance with POSCO can boost its growth in various aspects in terms of management,
human exchange, and technology research.
Furthermore, the partnership with SAIL has grabbed a lot of attention, since it
is the second strategic alliance established with foreign steel producers,
following Sinilcheol. POSCO expects to accelerate its efforts to become a giant
global steel producer, cementing global cooperation networks by facilitating
collaborative relationships with overseas steel producers.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.40.65 |
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UK Pound |
1 |
Rs.80.35 |
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Euro |
1 |
Rs.62.78 |
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 |
7 |
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OPERATING SCALE |
1~10 |
4 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
7 |
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--PROFITABILIRY |
1~10 |
- |
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--LIQUIDITY |
1~10 |
8 |
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--LEVERAGE |
1~10 |
7 |
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--RESERVES |
1~10 |
- |
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--CREDIT LINES |
1~10 |
6 |
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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 |
YES |
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--AFFILIATION |
YES/NO |
YES |
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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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42 |
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
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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 |
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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 |
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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 |
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<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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