MIRA
INFORM REPORT
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Report Date : |
22.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
ROYAL BRUSHES PRIVATE LIMITED |
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Registered Office : |
226/ 228, Narsi Natha Street, Mumbai- 400009, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Year of Establishment: |
29.05.1992 |
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Com. Reg. No.: |
11-66988 |
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CIN No.: [Company
Identification No.] |
U28920MH1992PTC066988 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMR071698B |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer and Exporter of Toothbrushes |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 60000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having moderate track. Its profitability
is under severe pressure. Payments are however reported as slow but correct. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office : |
226/ 228, Narsi Natha Street, Mumbai- 400009, Maharashtra, India |
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Tel. No.: |
91-22-23456901 / 23476121 |
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Fax No.: |
91-22-23475965 |
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E-Mail : |
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Website : |
DIRECTORS
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Name : |
Mr. Dinesh Hirji Kenia |
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Designation : |
Chairman and Managing Director |
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Address : |
552,Adenwala Road, Matunga (Cr.), Mumabi=400019 |
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Name : |
Mrs. Sarla Dinesh Kenia |
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Designation : |
Director |
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Address : |
552,Adenwala Road, Matunga (Cr.), Mumabi=400019 |
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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Dinesh H. Kenia |
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165660 |
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Sarla D. Kenia |
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54000 |
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Bharti P. Kenia |
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4000 |
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Praful H. Kenia |
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12870 |
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Hiren H. Kenia |
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2850 |
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Nisha H. Keniea |
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3190 |
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Ramji D. Kenia |
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1500 |
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Nirav R. Kenia |
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1350 |
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Total |
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245420 |
Equity Share Breakup (Percentage of Total Equity)
As on 29.09.2007
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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 : |
Manufacturer and Exporter of Toothbrushes |
GENERAL
INFORMATION
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Bankers : |
Indusind Bank Limited, Indusind House, Mumbai-400004 |
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Banking
Relations : |
Satisfactory |
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Financial Institution: |
Maharashtra State Financial Corporation, Sundeep Apartment, Trimbak Road,
Nasik -422112, Maharashtra, India |
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Auditors : |
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Name : |
Gangarama Chandwani Chartered Accountant |
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Address : |
8, Nine Aces, 18th Road, Khar (West), Mumbai- 400052,
Maharashtra, India |
CAPITAL STRUCTURE
As on29.09.2007
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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450000 |
Equity Shares |
Rs. 100/- each |
Rs. 45.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
|
245420 |
Equity Shares |
Rs. 100/-
each |
Rs.24.542
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 |
24.542 |
24.542 |
24.542 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
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4] (Accumulated Losses) |
[7.655] |
[1.465] |
[0.342] |
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NETWORTH |
16.887 |
23.077 |
24.200 |
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LOAN FUNDS |
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1] Secured Loans |
81.605 |
85.222 |
86.255 |
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2] Unsecured Loans |
8.975 |
7.146 |
12.042 |
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TOTAL BORROWING |
90.580 |
92.368 |
98.297 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
107.467 |
115.445 |
122.497 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
64.748 |
73.541 |
76.130 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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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 |
25.542
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22.789 |
14.617 |
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Sundry Debtors |
17.214
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18.745 |
28.197 |
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Cash & Bank Balances |
0.369
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0.834 |
1.491 |
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Other Current Assets |
0.000
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0.000 |
0.000 |
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Loans & Advances |
8.162
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6.898 |
6.584 |
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Total
Current Assets |
51.287
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49.266 |
50.889 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
8.714
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7.582 |
4.814 |
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Provisions |
0.000
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0.000 |
0.000 |
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Total
Current Liabilities |
8.714
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7.582 |
4.814 |
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Net Current Assets |
42.573
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41.684 |
46.075 |
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MISCELLANEOUS EXPENSES |
0.146 |
0.220 |
0.292 |
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TOTAL |
107.467 |
115.445 |
122.497 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
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Total Income |
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52.332 |
45.510 |
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Profit/(Loss) Before Tax |
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[6.190] |
[1.123] |
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Provision for Taxation |
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-- |
-- |
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Profit/(Loss) After Tax |
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[6.190] |
[1.123] |
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Export Earnings |
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13.124 |
22.792 |
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Expenditures : |
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Interest |
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4.608 |
4.400 |
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Depreciation & Amortization |
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3.484 |
3.947 |
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Other Expenditure |
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50.429 |
38.286 |
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Total Expenditure |
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58.521 |
46.633 |
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KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
[11.82]
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[2.47] |
N. A. |
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Net Profit Margin (PBT/Sales) |
(%) |
[11.82]
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[2.47] |
N. A. |
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Return on Total Assets (PBT/Total Assets} |
(%) |
[5.33]
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[0.91] |
N. A. |
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Return on Investment (ROI) (PBT/Networth) |
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[0.36]
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[0.048] |
N. A. |
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Debt Equity Ratio (Total Liability/Networth) |
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5.88
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4.33 |
4.26 |
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Current Ratio (Current Asset/Current Liability) |
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5.89
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6.50 |
10.57 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges
Report as per Registry
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Name of the company |
ROYAL BRUSHES PRIVATE LIMITED |
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Presented By |
Indusind Bank Limited, Indusind House Branch, Mumbai-4 |
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1) Date and description of instrument creating the change |
General Agreement for the grant of small Indl. Advance and
Hypothecation of movables book debts and other assets dated 28.02.1995 |
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2) Amount secured by the charge/amount owing on the securities of
charge |
Rs. 28.900 Millions |
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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 |
All present and future goods, book debts, movables and other assets of
the borrower including documents of title to goods and all other assets such
as outstanding money, receivables, claims bills, invoices, documents,
contracts, engagement, securities, investments, and rights and present and
all future machinery. |
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5) Name and Address and description of the person entitled to the
charge. |
Indusind Bank Limited, Indusind House, Mumbai-400004 |
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6) Date and brief description
of instrument modifying the charge |
Supplement Agreement of Hypothecation for stocks book debts,
receivables, etc. dated 26.10.1999 |
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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. |
The original charge was created on 28.02.1995 for Rs. 28.900 Millions
1stly modified on 27.11.1997 for Rs. 43.000 Millions. Now by the present
modification dated 26.10.1999 the limit has been increased by Rs. 3.000
Millions making total to Rs. 46.000 Millions and All stocks/ book Debts/
Current assets and other movable assets. |
As per Website
Profile:
About Royal : Subject began its operations in India's commercial capital, Bombay,
which is now known as Mumbai. Mr. Dinesh Kenia, who is the CEO of the company,
started it in 1981 and today, it is India's largest Toothbrush exporter and a
major manufacturer of toothbrushes with a turnover of UD$ 9 million.
Royal's simple policy to success is :
1. Commitment to Quality
2. Competitive Pricing
3. Customised Customer Service
4. Consistent Delivery of Products
Manufacturing :
They make their toothbrushes in modern factories located in India and China and
have a manufacturing capacity of about 3 hundred thousand units in a day. They
have state of the art moulding, bristling, forming and sealing machines, which
are fully automatic CNC from Germany and Belgium. All their toothbrush
production is under one roof. They keep up with the current international
quality standards - their facilities are ISO 9002 certified, and are audited
for cleanliness and hygiene by the European Laboratory ATS
R & D : Their Research and Design section is on the job to
constantly develop and test new and innovative designs, which are offered to
their customers on a regular basis. Their highly skilled designers produce
attractive and effective toothbrushes with a variety of shapes and colours that
appeal to varied markets. Before marketing a new toothbrush design, their
engineers make a prototype and test it extensively, before approving it for
production.
Achievements : They have been
winning awards for Exports consistently for the past twelve years from Plexconcil in India.
Subject is India's
largest Toothbrush exporter and a major manufacturer of toothbrushes, having
state of the art manufacturing plants in India and in China. Their machines are
fully automatic CNC from Germany and Belgium, with all their toothbrush
production under one roof. They keep up with the current international quality
standards - their facilities are ISO 9002 certified, and are audited for
cleanliness and hygiene by the European
Laboratory ATS.
They have been winning awards for Exports consistently for the past twelve
years from Plexconcil in India. They have been constantly providing their
customers with new and innovative Toothbrush designs for complete dental
hygiene. This fact, along with their Commitment to Quality and their
Competitive Pricing has given us the opportunity to be a regular supplier to
many demanding markets in many parts of the world. Above all, we offer
customized service and clearance of all customer complaints without delay.
Their team, consisting of dedicated Designers, R & D Engineers, Export
Executives, Quality Inspectors and Supervisors, has made Royal
Toothbrushes Private Limited, a name that represents quality at its best.
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.42.72 |
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UK Pound |
1 |
Rs.83.96 |
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Euro |
1 |
Rs.66.90 |
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 |
5 |
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OPERATING SCALE |
1~10 |
3 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
-- |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
4 |
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--CREDIT LINES |
1~10 |
4 |
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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 |
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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38 |
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 |
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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 |
|
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 |
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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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