MIRA
INFORM REPORT
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Report Date : |
20.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
MEGH STEELS PRIVATE LIMITED |
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Registered Office : |
No. A/85, 31st Cross, 7th Block, Jayanagar, Bangalore-
560011, Karnataka |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Year of Establishment: |
23.06.1993 |
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Com. Reg. No.: |
08-14464 |
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CIN No.: [Company
Identification No.] |
U27101KA1993PTC014464 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Dealer of Iron and Steel |
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 30000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Mr. Mukundan, Managing Director of the company confirmed the details.
Subject is a well established company having satisfactory track. The company
is progressing well. It’s financial position is satisfactory. Its payments
are correct and as per commitments. The company can be considered good for normal business dealings at
usual trade terms. |
INFORMATION PARTED
BY
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Name : |
Mr. Mukundan |
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Designation : |
Managing Director |
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Date : |
17.05.2008 |
LOCATIONS
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Registered Office : |
No. A/85, 31st Cross, 7th Block, Jayanagar,
Bangalore- 560011, Karnataka, India |
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Tel. No.: |
91—80-26346025 / 26546384 |
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Mobile No.: |
91-9845013513 |
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E-Mail : |
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Area : |
800 sq ft (Owned) |
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Warehouse : |
167 and 183 Sharif Khader Garden, Lal Bagh, 4th cross,
Bangalore-560027 |
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Area : |
2000 sq ft 2000 (Rented) |
DIRECTORS
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Name : |
Ms. Prasanna Mukundan |
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Designation : |
Director |
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Address : |
A/85, 31st Cross, 7th Block, Jayangar,
Bangalore-560011, Karnataka, India |
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Date of Birth/Age : |
23.10.1957 |
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Date of Appointment : |
23.06.1993 |
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Name : |
Mr. N.S. Mukundan |
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Designation : |
Managing Director |
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Address : |
A/85, 31st Cross, 7th Block, Jayanagar,
Bangalore- 560011, Karnataka |
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Date of Birth/Age : |
15.03.1950 |
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Date of Appointment : |
23.06.1993 |
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Name : |
Mr. Deepak Mukundan |
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Designation : |
Whole Time Director |
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Address : |
A/85, 31st Cross, 7th Block, Jayanagar,
Bangalore- 560011, Karnataka |
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Date of Birth/Age : |
26.02.1981 |
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Date of Appointment : |
11.07.2005 |
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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Prasanna Mukundan |
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13191 |
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N. S. Mukundan |
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13369 |
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Deepak Mukundan |
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2500 |
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Total |
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29060 |
Equity Share Capital Breakup (percentage of Total Equity)
As on 30.09.2007
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Category |
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Percentage |
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Directors or Relatives of Directors |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Dealer of Iron and Steel |
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Agencies Held : |
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Terms : |
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Selling : |
Credit (7-10 Days) |
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Purchasing : |
Cash (0-7 Days) Advance
Payments |
GENERAL
INFORMATION
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Customers : |
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No. of Employees : |
12 |
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Bankers : |
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Banking
Relations : |
Satisfactroy |
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Auditors : |
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Name : |
K.S. Krishnan and Company Chartered Accoutant |
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Address : |
93, IST Temple Street Between 8th and 10th Cross,
Malleshwaram, Bangalore-560003, Karnataka, India |
CAPITAL STRUCTURE
As on 30.09.2007
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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40000 |
Equity Shares |
Rs. 100/- each |
Rs. 4.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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32260 |
Equity Shares |
Rs. 100/- each |
Rs. 3.226
Millions |
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 |
3.226 |
3.226 |
2.594 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
5.356 |
4.100 |
2.985 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
8.582 |
7.326 |
5.579 |
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LOAN FUNDS |
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1] Secured Loans |
18.515 |
28.456 |
19.114 |
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2] Unsecured Loans |
16.853 |
3.430 |
0.300 |
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TOTAL BORROWING |
35.368 |
31.886 |
19.414 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.062 |
0.128 |
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TOTAL |
35.950 |
39.274 |
25.121 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1.324 |
2.448 |
2.834 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.001 |
0.001 |
0.001 |
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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 |
9.521
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2.822 |
2.862 |
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Sundry Debtors |
34.585
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48.825 |
22.725 |
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Cash & Bank Balances |
0.210
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0.625 |
0.194 |
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Other Current Assets |
0.400
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0.550 |
0.549 |
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Loans & Advances |
0.609
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1.822 |
1.255 |
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Total
Current Assets |
45.325
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54.644 |
27.585 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
2.621
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17.651 |
5.298 |
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Provisions |
0.079
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0.168 |
0.001 |
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Total
Current Liabilities |
2.700
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17.819 |
5.299 |
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Net Current Assets |
42.625
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36.825 |
22.286 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
43.950 |
39.274 |
25.121 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2008 |
31.03.2007 |
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Sales Turnover (approximately) |
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310.000 |
180.000 |
Expected Sales (2008-09) : Rs 400.000 Millions
KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
31.03.2005 |
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Debt Equity Ratio (Total Liability/Networth) |
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4.44
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6.78 |
4.97 |
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Current Ratio (Current Asset/Current Liability) |
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16.79
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3.07 |
5.21 |
LOCAL AGENCY
FURTHER INFORMATION
Trade references:
- Tata Steel
Limited
- Tubes Division,
Kolkatta
- Desics India
Limited, Bangalore
- Octonech
Engineer Limited, Mumbai
- HYVA India
Limited, Mumbai
Bankers Charges
Report as per Registry
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Name of the company |
MEGH STEELS PRIVATE LIMITED |
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Presented By |
Standard Chartered Bank |
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1) Date and description of instrument creating the change |
The Borrower (Company) has by declaration created a charge on the
stocks and Book Debts in favour of the Standard Charted Bank on 21.11.2004.
The certified copy of
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2) Amount secured by the charge/amount owing on the securities of
charge |
Total facilities of Rs. 15.000 Millions to M/S Megh Steels Private
Limited |
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3) Short particular of the property charged. If the property acquired
is subject to charge, date of the acquired of the property should be given |
First charge on Stocks and Book Debts Security for the Drafted facility granted to Megh Steel Private
Limited charges operate as first and Permanent charge in favour of the Bank
as security for all dues under the overdraft facility. Terms of overdraft: Rate interst: 10.00% p.a. payable on usage |
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5) Name and Address and description of the person entitled to the
charge. |
Standard Chartered Bank, Raheja Towers, No-265, M.G. Road,
Bangalore-560001 |
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6) Date and brief description
of instrument modifying the charge |
Not Applicable |
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7) Particulars of modifications specifying the terms and conditions or
the extent of operations of the charge in which modification is made and the
details of the modification. |
Not Applicable |
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 42.64 |
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UK Pound |
1 |
Rs. 83.00 |
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Euro |
1 |
Rs. 66.00 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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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 |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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54 |
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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