MIRA
INFORM REPORT
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Report Date : |
14.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
BAJAJSONS LIMITED |
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Formerly Known As : |
BAJAJSONS PRIVATE LIMITED |
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Registered Office : |
C-103, Phase 5, Focal Point, Ludhiana – 141010, Punjab |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
31.01.1985 |
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Com. Reg. No.: |
006127 |
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CIN No.: [Company
Identification No.] |
U34300PB1985PLC006127 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
JLDB00544F |
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PAN No.: [Permanent
Account No.] |
AAACB6875H |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacture and Importer of Water Parts. |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 1037288 |
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Status : |
Good |
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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 fine track.
Trade relations are fair. Business is active. Payments are reported as
usually correct and as per commitments. The company can be considered good for normal business dealings at
usual trade terms and conditions. |
INFORMATION PARTED
BY
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Name : |
Mr. Rajesh Gupta |
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Designation : |
Accounta Manager |
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Contact No.: |
91-161-2677993 |
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Date : |
14.05.2008 |
LOCATIONS
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Registered Office : |
C-103, Phase 5, Focal Point, Ludhiana – 141010, Punjab, India |
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Tel. No.: |
91-161-2670824/ 2670825/ 2670105 |
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Fax No.: |
91-161-2670104 |
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E-Mail : |
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Website : |
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Area : |
40000 sq. ft. |
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Location : |
Owned by Company |
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Factory 1: |
Punjab Unit I C-68,
Focal Point, Phase-III, Ludhiana – 141010, Punjab, India Tel No.:91-161-2673294,
2675990 Fax
No.:91-161-2673024 Email
: info@bajajsons.com |
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Area : |
54000 sq. ft. |
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Location : |
Owned by company |
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Factory 2: |
Punjab Unit II C-92-94, Focal Point, Phase-V, Ludhiana - 141010, Punjab, India Tel No.: 91-161-2677993, 5017557, 5035779 Fax No.: 91-161-2671008 Email
: info@bajajsons.com |
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Area : |
100000 sq. ft. |
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Location : |
Owned by company |
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Factory 3 : |
Nashik
Unit I Plot No. 31, MIDC, Satpur, Nashik - 422001, Maharashtra,
India Tel No.:91-253-6610020, 6610021 Fax No.: 91-253-2361515 Email : nashik@bajajsons.com |
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Area : |
60000 sq. ft. |
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Location : |
Owned by company |
DIRECTORS
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Name : |
Mr. S P Bajaj |
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Designation : |
Chairman cum Managing Director |
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Address : |
2746/1 Gurdev Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
28.06.1938 |
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Date of Appointment : |
01.03.1985 |
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Name : |
Mr. Subash C Bajaj |
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Designation : |
Director |
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Address : |
2788, Gurdev Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
18.01.1941 |
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Date of Appointment : |
31.01.1995 |
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Name : |
Mr. V P Bajaj |
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Designation : |
Director |
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Address : |
1804, Sector -17, Gurgaon, Haryana, India |
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Date of Birth/Age : |
20.04.1939 |
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Date of Appointment : |
01.01.1989 |
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Email : |
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Name : |
Mr. Sanjay Bajaj |
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Designation : |
Whole Time Director |
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Address : |
2746/1 Gurdev Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
11.12.1964 |
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Date of Appointment : |
25.04.1999 |
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Name : |
Mr. Sumeet Bajaj |
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Designation : |
Director |
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Address : |
2746/1 Gurdev Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
25.06.1969 |
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Date of Appointment : |
25.04.1999 |
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Name : |
Mr. Vikas Bajaj |
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Designation : |
Director |
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Name : |
Mr. J B Sharma |
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Designation : |
Director |
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Address : |
1960, Sector 32-A, 2746/1, Ludhiana, Punjab, India |
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Date of Birth/Age : |
04.06.1968 |
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Date of Appointment : |
04.02.2005 |
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Name : |
Mr. Ajit Singh |
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Designation : |
Director |
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Address : |
142 Green Field, Ludhiana, Punjab, India |
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Date of Birth/Age : |
08.02.1940 |
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Date of Appointment : |
29.09.1986 |
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Name : |
Mr. Satpal Bajaj |
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Designation : |
Director |
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Address : |
63-B, Rishi Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
13.07.1945 |
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Date of Appointment : |
02.03.2005 |
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Name : |
Mr. Deepak Bajaj |
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Designation : |
Whole Time Director |
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Address : |
70-A, Shastri Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
23.09.1964 |
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Date of Appointment : |
01.04.2002 |
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Name : |
Mr. Anand Bhargav |
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Designation : |
Director |
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Address : |
51-A, Shastri Nagar, Ludhiana, Punjab, India |
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Date of Birth/Age : |
12.12.1937 |
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Date of Appointment : |
15.05.2002 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 30.09.2005)
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Names of Shareholders |
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No. of Shares |
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Mr. V P Bajaj |
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489755 |
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Mr. Subash C Bajaj |
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1117312 |
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Mr. S P Bajaj |
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2555 |
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Mrs. Sushma Bajaj |
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978600 |
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Mrs. Sushma Bajaj |
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406000 |
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Mrs. Sheetal S. Bajaj |
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342300 |
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Mr. Surabh Bajaj |
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273350 |
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Mr. Nirmal Bajaj |
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192500 |
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Mr. Sumeet Bajaj |
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597500 |
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Mr. Sanjay Bajaj |
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447300 |
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Mr. Vikas Bajaj |
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253235 |
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Bajaj Precision Foregings (Private) Limited |
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1064000 |
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Mrs. Vimmal Bajaj |
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227500 |
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Dr. Preeti Bajaj |
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383410 |
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Mrs. Ekta Bjaja |
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70000 |
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Mr. Sanjay Bajaj (HUF) |
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122500 |
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Mr. Surabh Bajaj (HUF) |
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348430 |
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Mr. Kamna Bajaj |
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383425 |
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Mr. V P Bajaj (HUF) |
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140000 |
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Mr. S P Bajaj (HUF) |
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328 |
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Total |
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7840000 |
(As on 31.03.2007)
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Category |
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Percentage |
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Bodies Corporate (Not mentioned above) |
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14.00 |
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Directors or relatives of directors |
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86.00 |
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Total |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacture and Importer of Water Parts. |
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Products : |
· Water Parts · Automobile
Ancillaries · Sheet Metal · Tubular · Assembles · Turned · Machined
Forgings |
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Imports : |
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Products : |
Machinery |
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Countries : |
· Germany · Singapore · Uk · Japan |
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Terms : |
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Selling : |
Credit (30 days) |
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Purchasing : |
Credit (60-75 days) and T/T |
GENERAL
INFORMATION
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Customers : |
OEM’s |
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No. of Employees : |
Around 6400 |
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Bankers : |
· State Bank of
India, Miller Ganj, Ludhiana, Punjab, India · CITI Bank,
Phiroz Gandhi Market, Ludhiana, Punjab, India · CITI Bank NA,
Jeevan Vihar, 3 Sansad Marg, New Delhi, India · Standard
Chartered Bank, Phiroz Gandhi Market, Ludhiana, Punjab, India |
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Facilities : |
CC, ECB and FCNRB of Rs.550.000 Millions Comprising all 3 banks |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
A Kumar Gupta and Company Chartered Accountant |
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Address : |
1st Floor, Kismat Complex, G T Road, Millerganj, Ludhiana -
141010, Punjab, India |
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Financial Institute : |
Governor of Punjab through joint Director of Industries Chandigarh – 160017, India |
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Associates/Subsidiaries : |
Saroopsons
Industries Limited Incorporate Date : 1960 Key products: Transmission Parts, Propeller Shafts and
Components, Chassis Components, Axles etc. Key customers: Telco, Ashok Leyland, State Transport
Undertakings, Export and Replacement market Ludhiana Motors
Agencies Incorporate Date : 1979 Key
products: Transmission, Chassis Parts and Fasteners Key
customers: Replacement market. State transport corporation Bajaj Motors
Limited Incorporate Date : 1987 Key products: Rocker Arms, Shifter Forks, Piston Pin, Crank
Pin, Stem Steering Key customers: Hero Honda, TATA Motors, New Holland, Mahindra Renault Microtek Forging
Incorporate Date : 2001 Key products: Forging for Stem Steering, Rocker Arm
Valves, Shifter Forks, Hubs and Stub Axles. Key customers: Hero Honda, Yamaha, Exports to Renault,
Electrolux, etc. Apex Petroleum Apex Enterprise |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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8000000 |
Equity Shares |
Rs.10/- each |
Rs.80.000 Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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7840000 |
Equity Shares |
Rs.10/- each |
Rs.78.400
Millions |
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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 |
78.400 |
78.400 |
78.400 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
180.922 |
155.122 |
118.903 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
259.322 |
233.522 |
197.303 |
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LOAN FUNDS |
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1] Secured Loans |
276.205 |
248.474 |
112.400 |
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2] Unsecured Loans |
85.312 |
52.076 |
28.402 |
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TOTAL BORROWING |
361.517 |
300.550 |
140.802 |
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DEFERRED TAX LIABILITIES |
42.433 |
39.102 |
36.512 |
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TOTAL |
663.272 |
573.174 |
374.617 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
410.119 |
297.108 |
218.942 |
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Capital work-in-progress |
6.230 |
6.707 |
6.609 |
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INVESTMENT |
0.851 |
1.089 |
1.520 |
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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 |
212.975
|
141.790 |
75.556 |
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Sundry Debtors |
217.231
|
202.582 |
144.506 |
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Cash & Bank Balances |
13.350
|
54.993 |
32.800 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
62.875
|
43.645 |
44.397 |
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Total
Current Assets |
506.431
|
443.010 |
297.259 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
146.786
|
114.463 |
65.363 |
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Provisions |
113.573
|
60.276 |
84.350 |
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Total
Current Liabilities |
260.359
|
174.739 |
149.713 |
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Net Current Assets |
246.072
|
268.271 |
147.546 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
663.272 |
573.175 |
374.617 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
1078.519 |
959.836 |
817.427 |
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Other Income |
4.934 |
1.439 |
165.017 |
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Total Income |
1083.453 |
961.275 |
833.444 |
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Profit/(Loss) Before Tax |
40.537 |
54.291 |
67.416 |
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Provision for Taxation |
14.406 |
17.587 |
21.274 |
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Profit/(Loss) After Tax |
26.131 |
36.704 |
46.142 |
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Export Value |
3.288 |
0.656 |
NA |
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Expenditures : |
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Raw Material Consumed |
606.963 |
510.211 |
423.314 |
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Consumption of stores and spares parts |
135.940 |
128.132 |
109.888 |
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Increase/(Decrease) in Finished Goods |
(55.044) |
18.512 |
7.928 |
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Salaries, Wages, Bonus, etc. |
144.534 |
130.740 |
117.515 |
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Managerial Remuneration |
3.254 |
5.996 |
5.853 |
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Payment to Auditors |
0.1423 |
0.050 |
0.050 |
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Interest |
23.423 |
12.927 |
0.887 |
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Insurance Expenses |
1.195 |
0.944 |
34.022 |
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Power & Fuel |
52.267 |
41.659 |
20.677 |
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Depreciation & Amortization |
30.865 |
25.617 |
40.185 |
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Other Expenditure |
99.376 |
32.196 |
5.708 |
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Total Expenditure |
1042.916 |
906.984 |
766.027 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
2.41
|
3.82 |
5.54 |
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Net Profit Margin (PBT/Sales) |
(%) |
3.76
|
5.66 |
8.25 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
4.42
|
7.33 |
13.06 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.16
|
0.23 |
0.34 |
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Debt Equity Ratio (Total Liability/Networth) |
|
2.40
|
2.03 |
1.47 |
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Current Ratio (Current Asset/Current Liability) |
|
1.95
|
2.53 |
1.98 |
LOCAL AGENCY FURTHER
INFORMATION
Trade Reference:
· Hero Honda Motor Limited
· Bajaj Auto
· Kinetic Engineering Limited
· Rockman Industries Limited
· New Holland Tractors Limited
· Endurance Complete Solution
· Hero Motor Limited
· Gabriel India Limited
· Ask Automobile Private Limited
· Aerostar International Inc.
· ORIS, Germany
· CNH, USA and Turkey
· Mico Industries Limited
· RICO Auto Industries Limited
· Munjal Sowa Limited
· Majestic Auto Limited
Profile:
Subject
was incorporated in the year 1985 by Mr. S P Bajaj, Mr. V.P. Bajaj and Mr. Subhash
Bajaj. This venture set out to manufacture Precision Engineered
Automotive Machined Components especially for Two-Wheelers. Over the years the
company has achieved an impeccable reputation in terms of reliability, quality
and delivery. With the result that the company is meeting the varied
requirements of all major automotive companies both two wheelers and four
wheelers.
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.42.16 |
|
UK Pound |
1 |
Rs.82.28 |
|
Euro |
1 |
Rs.65.54 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
67 |
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 |
|