MIRA
INFORM REPORT
|
Report Date : |
08.11.2008 |
IDENTIFICATION
DETAILS
|
Name : |
IPCA LABORATORIES LIMITED |
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Registered Office : |
48, Kandivli Industrial Estate, Kandivli (West), Mumbai – 400 067, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
19.10.1949 |
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Com. Reg. No.: |
11-007837 |
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CIN No.: [Company
Identification No.] |
L24239MH1949PLC007837 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMI05234F |
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PAN No.: [Permanent
Account No.] |
AAACI1220M |
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Legal Form : |
Subject is a
public limited liability company. The company’s shares are listed on the
Stock Exchanges. |
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Line of Business : |
Manufacturing and
Selling of Pharmaceutical Products such as Tablets/Capsules, Orals/Liquids,
Injectables, Basic Drugs/Intermediates and Psyllium Husk. |
RATING &
COMMENTS
|
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 30385000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a
well-established and reputed pharmaceutical company. Famous Cine Artist
Amitabh Bachchan disinvested in the company sometime back and now majority shares
are held by Mr. Premchand Godha and Mr. M. R. Chandurkar (both Managing
Directors of the company). Available information indicates high financial
responsibility of the company. General financial position of the company is
satisfactory. Payments are usually correct and as per commitments. The company can
be considered good for normal business dealings at usual trade terms and
conditions. |
LOCATIONS
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Registered
Office : |
48, Kandivali Industrial
Estate, Kandivali (West), Mumbai - 400 067, Maharashtra, India |
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Tel. No.: |
91-22-66474444/
28682270 / 28682253 / 28682271 / 28682275 / 28682030 / 4241 / 28688566 |
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Fax No.: |
91-22-28682279 /
28686613 / 28686954 |
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E-Mail : |
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Website : |
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Corporate
Office : |
142-AB, Kandivali
Industrial Estate, Kandivali (West), Mumbai - 400 067, Maharashtra, India |
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Tel. No.: |
91-22-28688566 /
4848 / 28684241 / 28687074 / 66474444 |
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Fax No.: |
91-22-28686954 /
2875 / 28686613 |
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Domestic marketing Division : |
IPCA House, 63-E,
Kandivali Industrial Estate, Kandivali (West), Mumbai - 400 067, Maharashtra,
India |
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Tel. No.: |
91-22-8687678 /
2869 / 28683868 / 28684790 / 28686613/ 66474222 |
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Fax No.: |
91-22-66474114/28688561/28686613 |
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Research & development center : |
123-AB, Kandivali
Industrial Estate, Kandivali (West), Mumbai – 400 067, Maharashtra, India |
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Tel. No.: |
91-22-28684787 /
2867 / 28683589 / 28674518 / 66474755 |
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Fax No.: |
91-22-28683589 /
66474757 |
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Plant locations: |
Registered office: Sejavata, Ratlam - 457 002, Madhya
Pradesh Tel.
91-7412-279079 Fax.
91-7412-279083 ·
Plot No. 89 A-D/90/91, Industrial Estate, Pologround, Indore - 452
003, Madhya Pradesh Tel. 91-731-2421172/422081 Fax. 91-731-2422082 ·
Plot No. 69 to 72 (B), Sector II, Kandla Free Trade Zone, Gandhidham -
370 230, Gujarat Tel. 91-2836-252385/252389 Fax. 91-2836-2523213 · Plot No. 255/1, Village Athal, (Silvassa) - 396 230, Dadra & Nagar Haveli, Union Territory Tel. 91-260-2640301/0309 Fax. 91-260-2640303 · Plot No. 65 and 99, Danudyog Industrial Estate, Piparia (Silvassa), Dadra & Nagar Haveli (Union Territory) Tel. 91-260-2640850/894 Fax. 91-260-2640646 · H-4, MIDC, Waluj, Aurangabad-431 136, Maharashtra Tel: 91-240-2564993 Fax: 91-240-2564113 · C-6, Sara Industrial Estate, Chakrata Road, Rampur, Dehradun – 248197, Uttaranchal Tel: 91-135-3255544 Fax: 91-135-2728766 |
DIRECTORS
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Name : |
Mr. R. S. Hugar |
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Designation : |
Chairman |
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Name : |
Mr. Premchand
Godha |
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Designation : |
Managing Director |
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Name : |
Mr. M. R.
Chandurkar |
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Designation : |
Managing Director |
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Name : |
Mr. A. K. Jain |
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Designation : |
Executive
Director |
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Name : |
Mr. T. Ramachandran |
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Designation : |
Executive
Director |
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Qualification |
B. Com. |
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Date of
Appointment |
21.08.1994 |
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Other
Directorships :- |
1.
Haysinth Investments and
Traders Private Limited 2.
IPCA Pharma Nigeria Limited,
Nigeria 3.
Solway Investments Limited,
Mauritius 4.
Sundridge Management Limited,
Mauritius 5.
National Druggists (Pty)
Limited, South Africa |
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Name : |
Mr. Babulal Jain |
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Designation : |
Director |
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Qualification |
C. A. |
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Profile |
He is practicing
Chartered Accountant by profession. He is also the Chairman of the Audit
Committee of the Company. He has professional experience of over 25 years in
the field of Audit, Finance, Company Law and Taxation. His professional
knowledge and vast experience will be of immense benefit to the Company. |
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Name : |
Dr. V. V. Subba
Rao |
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Designation : |
Director |
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Qualification |
Science Post
Graduate in Chemistry and Ph.D. |
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Other
Directorship |
Pratista
Industries Limited |
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Profile |
He has also
carried out post doctoral research in surface Chemistry in USA. He has rich
experience of nearly 35 years in the field of science and technology. He
retired as Advisor of the Ministry of Science & Technology (DSIR),
Government of India. He technical knowledge and vast experience will be of
immense benefit to the company. He had been a independent Director on the
Board of the Company since September, 2000. |
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Name : |
Mr. V. A. Gore |
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Designation : |
Director –
Nominee ICICI |
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Qualification |
B. Com. |
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Date of
Appointment |
16.04.2003 |
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Other
Directorships:- |
1.
Apar Industries 2.
Gujarat Borosil Limited |
KEY EXECUTIVES
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Name : |
Mr. Harish P.
Kamath |
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Designation : |
Company Secretary
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Name : |
Mr. J. L. Nagori |
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Designation : |
Vice
President and Head - Bulk Drugs
Business |
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Name : |
Dr. Ashok Kumar |
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Designation : |
Vice President -
R and D Chemicals |
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Name : |
Mr. M. D. Sharma |
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Designation : |
Vice President –
Domestic Marketing |
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Name : |
Mr. Y. K. Bansal |
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Designation : |
Vice President –
R and D (Formulations) |
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Name : |
Mr. Prakash
Shanware |
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Designation : |
Vice President –
HR |
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Name : |
Mr. B. G. Kini |
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Designation : |
Vice President -
Quality |
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Name : |
Mr. Rajesh
Srivastava |
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Designation : |
Vice President –
Commercial |
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Name : |
Mr. N. Guhaprasad |
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Designation : |
Sr. Vice President - International Marketing |
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Name : |
Mr. Pranay Godha |
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Designation : |
Vice President - Generics |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As On 31.03.2008)
|
Category |
No. of Shareholders |
No. of Shares |
% holding |
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Indian Promoters |
22 |
11552520 |
46.05 |
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Banks and
Insurance Companies |
1 |
200 |
0.00 |
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UTI and Mutual
Funds |
49 |
8066207 |
32.15 |
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Flls and NRIs |
154 |
404607 |
1.61 |
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Domestic
Companies |
357 |
2240914 |
8.93 |
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Resident
Individuals |
13932 |
2824302 |
11.26 |
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Total |
14515 |
25088750 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and
Selling of Pharmaceutical Products such as Tablets/Capsules, Orals/Liquids, Injectables,
Basic Drugs/Intermediates and Psyllium Husk. |
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Products : |
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Exports : |
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Countries : |
Australia,
Canada, Ethiopia, Germany, Italy, Japan, Sri Lanka, USA, UK, Yemen |
PRODUCTION STATUS
|
Particulars |
Unit |
Basis |
Installed Capacity |
Actual Production |
|
Tablets/Capsules |
Millions |
Single Shift |
6072.000 |
10519.300 |
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Orals/Liquids |
Kilo Ltrs. |
Single Shift |
16.320 |
29.300 |
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Injectables |
Millions |
Single Shift |
-- |
60.800 |
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Basic Drugs/
Intermediates |
Tonnes |
Triple Shift |
303.700 |
275.900 |
GENERAL
INFORMATION
|
No. of
Employees : |
4361 |
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Bankers : |
· Canara Bank · Corporation Bank · State Bank of India · ICICI Bank · Exim Bank of India |
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Facilities : |
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Banking Relations : |
Satisfactory |
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Auditors : |
Natvarlal Vepari and Company Chartered Accountants, |
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Associates: |
· Kaygee Investments Private Limited · Chandurkar Investments Private Limited · Halewood Laboratories Private Limited · Harleystreet Pharmaceuticals
Private Limited · Ipca Surgical Specialities Private Limited · Makers Laboratories Limited · Mexin Medicaments Private Limited · Paschim Chemicals Private Limited · Win Laboratories Private Limited |
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Subsidiaries : |
· Solway Investments Limited, Mauritius · Sundridge Management Limited, Mauritius · Laboratories Ipca Do Brasil Limited · IPCA Pharmaceuticals, Inc. USA · IPCA Laboratories U.K. Limited, United Kingdom · IPCA Pharma (Australia) Pty Limited, Australia · IPCA Pharma Nigeria Limited Nigeria · National Druggists (Pty) Limited South Africa · Exon Laboratories Private Limited · CCPL Software Private Limited |
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Other Related Parties: |
· Nipra Industries Private Limited · Oasis Packaging Private Limited · Orbit Packaging Private Limited · Keymed · Oscar Industries · Priti Packaging Private Limited · Mr.Pranay Godha · Mrs. Usha R Godha · Kaygee Papers Private Limited · Trimurthi Developers · Vandhara Resorts Private Limited · Jain Packaging Private Limited · Great Heights Trade lines Private Limited |
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Joint Venture Company : |
Active Pharmaceuticals [FZC] |
CAPITAL STRUCTURE
(As On 31.03.2008)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
45000000 |
Equity Shares |
Rs.10/- each |
Rs.450.000 Millions |
Issued, Subscribed
& Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
25088750 |
Equity Shares |
Rs.10/- each |
Rs.250.900 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
250.900 |
250.000 |
250.000 |
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2] Share Application Money |
0.400 |
0.400 |
0.000 |
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3] Reserves & Surplus |
5825.700 |
4610.200 |
3608.900 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
6077.000 |
4860.600 |
3858.900 |
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LOAN FUNDS |
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|
1] Secured Loans |
3002.700 |
2153.900 |
1732.300 |
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2] Unsecured Loans |
527.400 |
235.500 |
236.700 |
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TOTAL BORROWING |
3530.100 |
2389.400 |
1969.000 |
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DEFERRED TAX LIABILITIES |
573.600 |
511.900 |
0.000 |
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TOTAL |
10180.700 |
7761.900 |
5827.900 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
4134.300 |
3744.800 |
3438.000 |
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Capital work-in-progress |
1276.100 |
570.000 |
297.200 |
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INVESTMENT |
319.100 |
249.200 |
139.300 |
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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 |
2595.200
|
2322.100
|
1833.200 |
|
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Sundry Debtors |
2718.100
|
1809.800
|
1429.400 |
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Cash & Bank Balances |
75.900
|
55.700
|
36.700 |
|
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Other Current Assets |
0.000
|
0.000
|
0.000 |
|
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Loans & Advances |
665.000
|
414.600
|
340.700 |
|
Total
Current Assets |
6054.200
|
4602.200
|
3640.000 |
|
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Less : CURRENT
LIABILITIES & PROVISIONS |
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|
|
|
|
Current Liabilities |
1371.400
|
1208.900
|
1556.400 |
|
|
Provisions |
231.600
|
195.400
|
130.200 |
|
Total
Current Liabilities |
1603.000
|
1404.300
|
1686.600 |
|
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Net Current Assets |
4451.200
|
3197.900
|
1953.400 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
10180.700 |
7761.900 |
5827.900 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
|
Sales Turnover |
10419.400 |
9091.400 |
8098.900 |
|
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Other Income |
432.000 |
157.000 |
140.900 |
|
|
Stock Adjustments |
0.000 |
0.000 |
[1.600] |
|
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Total Income |
10851.400 |
9248.400 |
8238.200 |
|
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|
|
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|
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Profit/(Loss) Before Tax |
1768.700 |
1504.000 |
783.400 |
|
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Provision for Taxation |
357.500 |
290.100 |
143.600 |
|
|
Profit/(Loss) After Tax |
1411.200 |
1213.900 |
639.800 |
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Earnings in Foreign Currency : |
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|
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Export Earnings |
5164.100 |
4673.100 |
3857.659 |
|
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Commission Earnings |
2.600 |
0.000 |
0.000 |
|
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Other Earnings |
31.700 |
15.600 |
0.000 |
|
Total Earnings |
5198.400 |
4688.700 |
3857.659 |
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Imports : |
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|
|
|
|
|
Raw Materials |
1215.000 |
1179.000 |
115029.900 |
|
|
Stores & Spares |
4.000 |
2.300 |
0.000 |
|
|
Capital Goods |
153.800 |
102.300 |
0.000 |
|
|
Others |
42.800 |
22.100 |
0.000 |
|
Total Imports |
1415.600 |
1305.700 |
115029.900 |
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Expenditures : |
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|
|
|
|
|
Raw material |
4631.000 |
3979.000 |
3550.000 |
|
|
Excise duty |
0.000 |
0.000 |
400.200 |
|
|
Power and Fuel |
0.000 |
0.000 |
296.300 |
|
|
Other manufacturing expenses |
2490.000 |
2106.100 |
299.100 |
|
|
Employee cost |
1438.800 |
1146.500 |
895.800 |
|
|
Selling and Administration Expenses |
0.000 |
0.000 |
1581.200 |
|
|
Miscellaneous Expenses |
0.000 |
0.000 |
65.300 |
|
|
Interest and financial Charges |
200.800 |
221.200 |
157.100 |
|
|
Depreciation |
322.100 |
291.600 |
209.800 |
|
Total Expenditure |
9082.700 |
7744.400 |
7454.800 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2008 |
30.09.2008 |
|
Type |
|
1st Quarter |
2nd Quarter |
|
Sales Turnover |
|
2950.700 |
3475.500 |
|
Other Income |
|
3.700 |
5.000 |
|
Total Income |
|
2954.400 |
3480.500 |
|
Total Expenditure |
|
2530.400 |
2879.100 |
|
Operating Profit |
|
424.000 |
601.400 |
|
Interest |
|
39.800 |
70.600 |
|
Gross Profit |
|
384.200 |
530.800 |
|
Depreciation |
|
89.700 |
93.500 |
|
Tax |
|
58.200 |
72.200 |
|
Reported PAT |
|
236.300 |
365.100 |
KEY RATIOS
|
Year |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
Debt-Equity Ratio |
0.54 |
0.50 |
0.58 |
|
Long Term Debt-Equity Ratio |
0.28 |
0.26 |
0.32 |
|
Current Ratio |
1.43 |
1.40 |
1.48 |
|
Fixed Assets |
2.08 |
2.03 |
1.94 |
|
Inventory |
4.59 |
4.71 |
4.53 |
|
Debtors |
4.99 |
6.04 |
5.40 |
|
Interest Cover Ratio |
8.47 |
7.21 |
5.99 |
|
Operating Profit Margin(%) |
20.15 |
20.48 |
14.20 |
|
Profit Before Interest And Tax Margin(%) |
17.76 |
17.95 |
11.61 |
|
Cash Profit Margin(%) |
14.89 |
15.03 |
10.49 |
|
Adjusted Net Profit Margin(%) |
12.50 |
12.50 |
7.90 |
|
Return On Capital Employed(%) |
23.79 |
26.84 |
16.48 |
LOCAL AGENCY FURTHER
INFORMATION
MANAGEMENT
DISCUSSION AND ANALYSIS:
a) Industry
Structure and Development:
The global pharmaceutical market is estimated to be worth about US $660 billion
and is growing at a rate of about 6% per annum. US, Japan and Europe constitute
about 85% of the global pharmaceutical market and are growing at a slower rate
of about 5% per annum mainly due to loss of exclusivity and lesser new product
approvals.
In contrast, pharmaceutical market of emerging economies like India,
Brazil, Mexico, Russia, etc., are growing at a much faster rate of over 12% per
annum backed by improving per capita income and increased access and rising
awareness of modern medicines.
b) Opportunities, threat and
concerns:
Though in the world pharmaceutical market, India has a share about 2% by value
and 8% by volume, India today is recognized as one of the leading global
players with large number of drug master file registrations and regulatory
approved manufacturing facilities. The Indian pharmaceutical industry is poised
to grow to a staggering US$ 25 billion by 2010.
Indian companies are today focusing on global generic business, R and D
activities and contract research and manufacturing alliances with multinational
companies. India is also fast emerging as a preferred pharmaceuticals
manufacturing location. These shall act as future growth drivers for Indian
Pharmaceutical Industry.
However, poor public healthcare funding and infrastructure, low per capita
consumption of medicines in developing and under developed countries are a few
causes of concern.
Financial Performance and Operations Review:
The Company had another successful financial year with a net total income of
Rs.10851.400 Millions as against Rs.9248.400 Millions in the previous year, a
growth of 17%
.
The Company's focus on formulations business resulted into increase in overall
formulation sales to Rs.7735.900 Millions, an increase of 23% over previous
year formulations sales of Rs.6272.400 Millions
The company further expanded its therapeutic coverage with introduction of new
formulations, both in the domestic and export markets, especially in the fast
growing life style related segments
However, the Active Pharmaceutical Ingredients (APIs) and Drug Intermediates
business declined by 5% to Rs.2683.500 Millions mainly on account of lower Drug
Intermediates sales.
The operations have resulted in a net profit of Rs.1411.200 Millions during the
financial year under report as against a net profit of Rs.1222.300 Millions in
the previous financial year, a growth of 15%.
OTHER INFORMATION:
Its’ products
range includes:-
·
Antimalarials
·
Antiemetics
·
Antibiotics
·
Analgesics
·
Antidiabetics
·
Cardiac Care Products
·
Cough and Cold Therapy Products
Subject is a
Government Recognized Trading House.
The company imports
raw materials, capital goods, traded goods, hospital products and machine
components from Europe and Far East against L/C terms.
The Athal
plant's total land area is approximately 103200 sq.mtrs. It has also been recommended by SGS-IGS for
ISO 9001 certification.
The company is
in trade terms with:
- Adam Fibrepack
Industries
- Atlas Fibrepack
Industries
- Blue Circle Speciality
Chemicals
- Budhraja Containers
- Daman Polymers
- D. M. Printers
- Excelarts Private
Limited
- Gemini Data Loggers
(India) Private Limited
- Hiral Chemical
Industries
- Indian Scientific
Glass
- Laxmi Print Art
- Lucid Prints
- Mono Lisa Printers
- Nipra Industries
Private Limited
- Perfect Packaging
- Priti Packaging
Private Limited
- Radiant Plastruders
(India)
- Reliance Industrial
Products
- Roto Polymers India
- Shantilal and Company
- Span Packers Private
Limited
- Swastik Flexipack
Private Limited
- Uni Packs (India)
- Vial Seal Industries
- Harleystreet
Pharmaceuticals Limited
- Kishor Industries
- Klasspack Private
Limited
- Modern Corrugators
- Niranjan Plastics
- Shakti Packers
- Shakti Plastics
- Shantilal and Company
- Universal Medicaps
Limited
Fixed Assets
- Tangible
Assets
- Land
- Freehold
-
Leasehold
2. Buildings
3. Plant and Machinery
4. Effluent Treatment Plant
5.
Furniture and Fixtures
6.
Vehicles
7. R and D Assets
- Building
- Equipments
- Furniture
B. Intangible Assets
1.
Software
- Know-how
- Brands and
trademarks
As Per Websites
Subject is a fully integrated, rapidly growing
Indian pharmaceutical company with a strong thrust on exports. Ipca's APIs
and Formulations produced at world class manufacturing facilities are approved
by leading drug regulatory authorities including the US-Food and Drug
Administration (FDA), UK-Medicines and Healthcare products Regulatory Agency
(MHRA), South Africa-Medicines Control Council (MCC), Brazil-Brazilian National
Health Vigilance Agency (ANVISA) and Australia-Therapeutic Goods Administration
(TGA). With operations in 110 countries, exports account for nearly 50% of
the company's income.
Forbes, a leading US business magazine, awarded
Ipca as one of the "Best
under a Billion" Forbes Global 200 Best Small Companies, 2007. In the past
also they have been awarded by Forbes for 3 consecutive years in
2003, 2004 and 2005.
From a modest income of Rs. 5.400 Millions in 1975-76, the net income
has soared to Rs.10850.000 Millions in 2007-08 with exports accounting for
Rs.5360.000 Millions the net profit
for the year ending 31st March, 2008 stood at Rs. 1411.200 Millions.
Formulations constitute 71 percent of the total income for 2007-08.
Today, Ipca is one of the biggest manufacturers in the world of
APIs Atenolol (Antihypertensive), Chloroquine Phosphate (Antimalarial),
Furosemide (Diuretic) and Pyrantel Salts (Anthelmintic) right from the basic
stage. Ipca is also one of the
largest suppliers of these APIs and their intermediates world over.
One of the first modern pharma factory of yesteryears was commissioned
by subject at Mumbai in 1969.
The company was originally promoted by a group of medical professionals and
businessmen and was
Incorporated as 'The Indian
Pharmaceutical Combine Association Limited.' in October 1949.
The present management took over in November 1975 when the total turnover of
the company was just Rs5.400 Millions
Currently, this premise where Ipca started its operations, houses the
Registered Office of the company. Key departments like International Marketing,
R and D (Formulations) and Analytical Development Lab are located here.
Press Releases:
October 13, 2008: Ipca
- Heritage Alliance Introduces Propranolol Tablets in the U.S. Market
Subject (Ipca) and Heritage Pharmaceuticals Inc. have entered into a
strategic alliance. Under this strategic alliance, Ipca has received approval
from U.S. Food and Drugs Administration to manufacture and market Propranolol
HCl Oral Tablets in 10, 20, 40, 60 and 80 mg strength in the US market.
Propranolol Tablets has multiple cardiovascular related indications,
including the management of hypertension, treatment of angina and atrial
fibrillation. Propranolol had U.S. brand and generic sales of approximately $25
million for the 12 month period ending Dec. 31, 2007 according to IMS
Health.
Ipca will manufacture and Heritage will market this formulation in the
US healthcare system using Ipca's DMF approved Active Pharmaceutical Ingredient
(API) - Propranolol. Heritage will commercialise this product in the U.S.
market utilizing its established marketing expertise and distribution network.
About Ipca
Ipca is a fully integrated pharmaceutical company engaged in the manufacturing
and marketing of a range of Active Pharmaceutical Ingredients (APIs) and
pharmaceuticals world over. Ipca's exports to over 110 countries across the
globe contributed about 50% of the Company's income of Rs.10850.000 Millions in
the financial year 2007-08.
About Heritage
Heritage Pharmaceuticals Inc. is a rapidly growing generic
pharmaceutical company engaged in the acquisition, licensing, development,
marketing, sale and distribution of generic pharmaceutical products for the
global prescription drug markets. Heritage launched its U.S. label in 2006 and
currently markets 5 products over 17 SKU's, including Ethambutol oral tablets,
Hydralazine oral tablets, Hydrochlorothiazide oral tablets, Sulindac oral
tablets and Nimodipine soft gel capsules. The Company's business
model utilizes strategic outsourcing to U.S.F.D.A. qualified manufacturing and
development organisations in both North America and Asia. The Company will
continue to introduce its new generic products during 2008 following its
tradition of premier quality, value and service in generics.
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July 17, 2008: Ipca signs Partnership Agreement with Clinton
Foundation.
They are glad to inform you that Ipca is the 1st company in the world
with whom the Clinton Foundation has signed a partnership agreement for supply
of Artesunate 50mg+ Amodiaquine 153.1mg Co-blister tablets at a reduced price
to the Clinton Foundation Consortium to ensure wider access. They have also
signed an agreement for supply of Artemether 20mg+ Lumefantine 120mg Tablets.
Mr. Premchand Godha and Mr. Murali Sarma were invited to the Clinton
Foundation office in New York for the official announcement of the partnership
agreement on 17th July 2008, which got an excellent coverage on TV and in the
press in USA as well as other countries including India.
In his speech Mr. Godha mentioned, "As one of the largest
manufacturers of anti malarial Active Pharmaceutical Ingredients and
Formulations worldwide, and with over 30% of the Indian anti malarial market, they
are proud to partner with the Clinton Foundation in providing affordable and
effective treatment for malaria. Ipca has been supplying anti malarial
medicines for over thirty years and treating malaria has been a personal
mission of mine and my company. At Ipca, they have been spearheading their own
efforts under the initiatives of "Mission Malaria" with the sole
objective of helping treat and save millions of lives."
Former President Bill Clinton, announced agreements with Six companies -
Ipca Laboratories and Cipla (2 Formulations manufacturers) Calyx and Mangalam
Drugs (2 APIs manufacturers) Holleypharm and PIDI - China (2 Artemisinin
Manufacturers). Ipca is the only company which is into production of
Formulations, APIs and the crop.
Mr. Raymond Chambers the UN Special Envoy on Malaria and Mr. Daniel
Vassela, the Chairman and CEO of Novartis were also present.
Clinton Foundation HIV/AIDS Initiative
Since 2002, the Clinton HIV/AIDS Initiative (CHAI) has assisted
countries in implementing integrated and large-scale programs for the treatment
and prevention of HIV/AIDS. CHAI provides technical assistance, resources and
also helps to reduce prices for drugs and diagnostics, which can be accessed by
69 countries in its Procurement Consortium. Today, 1.4 million people are
benefiting from medicines purchased under agreements negotiated by CHAI. With
the support of the Bill and Melinda Gates Foundation, CHAI began working on
malaria in 2007 with an initial focus on supporting expanded access on ACTs.
June 17, 2008:
Ipca - Ranbaxy Alliance receives U.S. FDA Marketing Approval
for Metoclopramide Tablets.
Ipca Laboratories Ltd. (Ipca) had earlier announced strategic alliance
with Ranbaxy Pharmaceuticals Inc. (Ranbaxy) based in Jacksonville, Florida (USA),
a wholly owned subsidiary of Ranbaxy Laboratories Ltd. (RLL), India's largest
pharmaceutical company.
Under the strategic alliance, Ipca has now received approval from U.S.
Food and Drugs Administration to manufacture and market Metoclopramide Tablets
USP 5mg and 10mg in the US market. Total annual market sales for Metoclopramide
tablets in U.S. were US $ 27 millions (IMS-MAT: March 2008). This is the sixth
such product approval received under the alliance from U.S. FDA.
Ipca will manufacture and Ranbaxy will market this formulation in the US
healthcare system using Ipca's DMF approved Active Pharmaceutical ingredient
(API) - Metoclopramide. Ranbaxy will commercialise this product in the U.S.
market utilizing its established marketing expertise and distribution network.
Ipca is a fully integrated pharmaceutical Company engaged in the
manufacturing and marketing of a range of pharmaceuticals world over. Ipca's
exports to over 110 countries across the globe contributed about 50% of the
Company's income of Rs.10850.000 Millions in the financial year 2007-08.
July 25, 2008
Q1 FINANCIAL RESULTS
Ipca Laboratories Ltd. (Ipca) has posted a net total income of
Rs.2954.400 Millions for the quarter ended 30th June, 2008 as against
Rs.2498.800 Millions in the same quarter of the previous financial year, a
growth of 18%. Export Sales for the quarter increased by 40% to Rs.1525.200
Millions as against Rs.1093.000 Millions in the same quarter previous year.
The profit before foreign exchange translation loss and provision
for taxes for the quarter is up by 56% to Rs.471.000 Millions as against
Rs.302.200 Millions in the same quarter previous year.
After providing for foreign exchange translation loss of Rs.176.5
Millions (Q1 previous year - foreign exchange translation gain of Rs.136.5
Millions) and for taxes, the Net Profit for the quarter is
Rs.236.300 Millions as against profit of Rs.347.200 Millions in the
same quarter previous year. The diluted Earnings Per Share works out
to Rs.9.38 per share of Rs.10/- each.
The Company has no foreign exchange transaction / liability in its books
that are speculative in nature.
Q1 at a glance
|
1st Quarter ended |
30.06.2008 |
30.06.2007 |
Growth |
|
Net Total Income |
2954.400 |
2498.800 |
18% |
|
Export Income |
1525.200 |
1093.000 |
40% |
|
Profit before Forex
(loss) / gain and tax |
471.000 |
302.200 |
56% |
|
Forex (loss) / gain |
(176.500) |
136.500 |
- |
|
Net Profit after
Forex (loss) / gain and tax |
236.300 |
347.200 |
-32% |
|
Earnings per share
(Rs.) |
93.800 |
137.900 |
-32% |
Ipca Laboratories is a backward integrated, fast growing pharmaceutical
major, with a strong thrust on exports. Exports to over 110 countries, now account for more than half of
Company's income.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.47.76 |
|
UK Pound |
1 |
Rs.74.87 |
|
Euro |
1 |
Rs.60.81 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
--- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
47 |
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 |
|