MIRA
INFORM REPORT
|
Report Date : |
22.11.2008 |
IDENTIFICATION DETAILS
|
Name : |
ALOK INDUSTRIES LIMITED |
|
|
|
|
Registered Office : |
3-43, Mittal Tower, Nariman Point, Mumbai - 400 021, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2008 |
|
|
|
|
Date of Incorporation : |
12.03.1986 |
|
|
|
|
Com. Reg. No.: |
11-39194 |
|
|
|
|
CIN No.: [Company
Identification No.] |
L17110MH1986PTC039194 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
MUMA02206B |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACA0201C |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The company's shares are listed on the Stock Exchanges. |
|
|
|
|
Line of Business : |
Manufacturing of cotton and viscose / blended grey and
processed fabrics and 100% cotton knitted fabrics and intermingled yarn. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 66000000 |
|
|||
|
|
|
|
|||
|
Status : |
Moderate |
|
|||
|
|
|
|
|||
|
Payment Behaviour : |
Slow |
|
|||
|
|
|
|
|||
|
Litigation : |
Clear |
|
|||
|
|
|
|
|||
|
Comments : |
Subject is a well
established company having satisfactory track. Financial position is satisfactory. Payments are Slow. The company is
doing well. The company can
be considered normal for business dealings at usual trade terms and
conditions. |
|
|||
|
|
|
|
|
|
|
|
LOCATIONS
|
Registered Office : |
3-43, Mittal Tower, Nariman Point, Mumbai - 400 021, |
|
Tel. No.: |
91-22-22874865 / 22832923 / 24940129 / 22845233 / 22881279 / 22832923 |
|
Fax No.: |
91-22-22874864 / 24936078 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate
Office : |
Peninsula Tower 'A' Wing, Peninsula Corporate Park, G. K.
Marg, Lower Parel, Mumbai – 400013, |
|
Tel. No. : |
91-22-24996200 /
6500 |
|
|
|
|
Marketing
Offices (Domestic) |
·
177, Alok House, Sant Nagar, East of Kailash, ·
F/29,Okhla Industrial Area Phase-I, Ground
floor, Rajee, 8-3/1, Lang Fort Road, ,Lang Fort Town, Bangalore - 560 025,
India Chennai
Office Office No. D, First Floor, Doshi Towers
No. 156, |
|
|
|
|
Marketing offices: (Overseas) |
Sri
Lanka Office 31/2,
·
7 West, ·
123 OAK, BOBKOVA, 747/30-Cerny Most, Praha,190 00 Dureck House, |
|
|
|
|
Factory : |
Spinning 412, Saily, Silvassa,
Weaving Division
17/5/1 and 521/1, Rakholi, Silvassa,
209/1 and 209/4, Silvassa, Village Dadra, Yarn Division 65, A, Piparia Industrial Estate, Silvassa - 396 230,
103 / 2, Rakholi, Silvassa,
Processing C-16 / 2, TTC Industrial Area, MIDC, Navi Mumbai,
S. No. 268, Village Balitha, Pardi, Valsad,
254, Village Balitha, Taluka Pardi, District Valsad, State
Knitting Division 17/5/1, Rakholi, Silvassa,
521/1, Saily, Union
254, 261, 268, Balitha, Taluka Pardi, Dist:
110, Morai, Pardi, Valsad,
Garments 374 Saily, Silvassa,
C – 271/2, TTC Industrial Area, Turbhe, Navi Mumbai
Made Ups 374/2/2, Village Saily, Silvassa, 268, Balitha, Taluka Pardi, Dist. Valsad,
POY 521/1, Saily, Union
Texturising (yarn) 103/2, Rakholi, Silvassa,
521/1, Saily, Union
17/5/1 and 521/1 Rakholi / Saily, Silvassa Hemming 103/2, Rakholi, Silvassa, |
|
|
|
|
Branches : |
177, Alok House, Sant Nagar, East of Kailash, |
DIRECTORS
|
Name : |
Mr. Ashok B.
Jiwrajka |
|
Designation : |
Executive
Chairman |
|
Date of
Birth/Age : |
58 Years |
|
Qualification : |
Commerce Graduate |
|
Experience : |
30 Years |
|
Other Directorship : |
·
Grabal Alok Impex Limited ·
Alok Knit Exports Limited ·
·
Alspun Infrastructure Limited ·
Alok Infrastructure Private Limited ·
Alok Apparels Private Limited ·
Alok Clothing Private Limited ·
Alok Realtors Private Limited ·
Alok Homes and Apparels Private Limited ·
Alok Land Holdings Private Limited ·
Alok Aurangabad Infratex Private Limited ·
Alok New City Infratex Private Limited ·
Alok Industries International Limited ·
Grabal Alok International Limited |
|
Other Committee Memberships : |
Chairman of the Executive Committee of Grabal Alok Impex Limited Member of Share Transfer and Investors’ Grievances Committee of Grabal
Alok Impex Limited |
|
|
|
|
Name : |
Mr. Dilip B. Jiwrajka |
|
Designation : |
Managing Director
|
|
|
|
|
Name : |
Mr. Surendra B. Jiwrajka |
|
Designation : |
Joint Managing Director
|
|
|
|
|
Name : |
Mr. K. C. Jani |
|
Designation : |
Nominee Director
of Industrial Development Bank of India Limited |
|
|
|
|
Name : |
Mr. Rakesh Kapoor |
|
Designation : |
Nominee Director
of IFCI Limited |
|
|
|
|
Name : |
Mr. K. J. Punnathara |
|
Designation : |
Nominee Director
of Life Insurance Corporation of |
|
|
|
|
Name : |
Mr. Ashok G. Rajani |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. C. K. Bubna |
|
Designation : |
Executive
Director |
|
|
|
|
Name : |
Mr. K. R. Modi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R. J. Kamat |
|
Designation : |
Nominee Director
of Industrial Development Bank of |
|
|
|
|
Name : |
Ms. Hiroo S.
Advani |
|
Designation : |
Nominee Director of
Export Import Bank of |
|
|
|
|
Name : |
Mr. Tim Ingram |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Rakesh Kapoor
|
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. S. Sridhar |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Sunil O Khandelwal |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. K H Gopal |
|
Designation : |
President (Corporate Affairs) and Secretary |
|
|
|
|
CORPORATE
: |
|
|
Name : |
Mr. Alok Jiwrajka |
|
Designation : |
Head – Home Textiles |
|
|
|
|
Name : |
Mr. Gopinath Kamath |
|
Designation : |
Asst. Vice President (Sales) |
|
|
|
|
Name : |
Mr. Jayesh Mehta |
|
Designation : |
Sr. Manager - Home Furnishing |
|
|
|
|
Name : |
Mr. K. H. Gopal |
|
Designation : |
VP (Legal) and Company Secretary |
|
|
|
|
Name : |
Mr. Mesmer Michaeli |
|
Designation : |
Vice President (Marketing) |
|
|
|
|
Name : |
Mr. Nagori M. V. |
|
Designation : |
Vice President - Corporate Accounts |
|
|
|
|
Name : |
Mr. Prakash Thombre |
|
Designation : |
Head - Human Resources |
|
|
|
|
Name : |
Mr. Ramesh Sharma |
|
Designation : |
Vice President (Marketing) |
|
|
|
|
Name : |
Mr. Shaji Varghese |
|
Designation : |
Head - Information Technology |
|
|
|
|
Name : |
Mr. Sunil Mehta |
|
Designation : |
Vice President (Retail) |
|
|
|
|
Name : |
Mr. Sunil O. Khandelwal |
|
Designation : |
Chief Financial Officer |
|
Tel No.: |
91-22- 24996241 |
|
Email : |
|
|
|
|
|
Name : |
Mr. Suraj Alva |
|
Designation : |
Vice President (Marketing) |
|
|
|
|
Name : |
Mr. Suresh H. Sanghvi |
|
Designation : |
Vice President (Sales Yarn and Knit) |
|
|
|
|
NAVI
MUMBAI |
|
|
Name : |
Mr. Devang Mehta |
|
Designation : |
CEO - Processing |
|
|
|
|
Name : |
Mr. Raju Kapadia |
|
Designation : |
General Manager - Commercial (Garments) |
|
|
|
|
Name : |
Ms. Tulsi Karnani |
|
Designation : |
General Manager - Commercial (Processing) |
|
|
|
|
SILVASSA |
|
|
Name : |
Mr. B. N. Rai |
|
Designation : |
Vice – President |
|
|
|
|
Name : |
Mr. K. V. S. Nair |
|
Designation : |
General Manager (Texturising) |
|
|
|
|
Name : |
Mr. M. C. Chaturvedi |
|
Designation : |
General Manager (Weaving) |
|
|
|
|
Name : |
Mr. R. B. Mahapatra |
|
Designation : |
Vice - President |
|
|
|
|
Name : |
Mr. Rambilas Bidada |
|
Designation : |
General Manager – Commercial |
|
|
|
|
Name : |
Mr. S. S. Shirolkar |
|
Designation : |
General Manager (Knitting) |
|
|
|
|
Name : |
Mr. Sapan K. Mukerjee |
|
Designation : |
Chief Executive Officer (Spinning) |
|
|
|
|
Name : |
Mr. A. K. Pal |
|
Designation : |
President - Processing (Apparel Fabric) |
|
|
|
|
Name : |
Mr. G. C. Gupta |
|
Designation : |
President - Operations (Processing) |
|
|
|
|
Name : |
Mr. P.K. Das |
|
Designation : |
President - Technical |
|
|
|
|
Name : |
Mr. S. C. Goyal |
|
Designation : |
Director - Projects |
|
|
|
|
Name : |
Mr. Vidya Sravanthi |
|
Designation : |
Adfactors PR |
|
Tel No.: |
91-22- 22813565 |
|
Email : |
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(As on 31.03.2008)
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
Promoters holding |
|
|
|
Foreign promoters |
102000 |
0.05 |
|
Indian promoters |
60152940 |
32.14 |
|
Institutional
Investors |
|
|
|
Mutual funds and UTI |
3981159 |
2.13 |
|
Bank Financial Institution and insurance |
13779207 |
7.36 |
|
FII’s |
55897385 |
29.86 |
|
Other investors |
|
|
|
Private corporate bodies |
33096966 |
17.68 |
|
Indian public |
18957969 |
10.13 |
|
NRIs / OCBs |
1205343 |
0.65 |
|
Trusts |
2000 |
0.00 |
|
Total |
187174969 |
100.00 |
(As on 30.09.2008)
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
Promoters holding |
|
|
|
Foreign promoters |
102000 |
0.05 |
|
Indian promoters |
69952940 |
35.51 |
|
Institutional
Investors |
|
|
|
Mutual funds and UTI |
5913079 |
3.00 |
|
Bank Financial Institution and insurance |
13719352 |
6.97 |
|
FII’s |
47620216 |
24.18 |
|
Other investors |
|
|
|
Private corporate bodies |
27929069 |
14.18 |
|
Indian public |
21919384 |
11.13 |
|
NRIs / OCBs/ Foreign Other |
1286775 |
0.65 |
|
Others |
8532154 |
4.33 |
|
Total |
196974969 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing of cotton and viscose / blended grey and
processed fabrics and 100% cotton knitted fabrics and intermingled yarn. |
||||||||||||||
|
|
|
||||||||||||||
|
Products : |
|
||||||||||||||
|
|
|
||||||||||||||
|
Imports : |
·
·
· Hongkong ·
·
·
·
·
|
PRODUCTION STATUS
(As on 31.03.2008)
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Woven Fabric Manufactured |
Lacs Mtrs. |
1237 Looms* and
15 Stenters* |
946.52 |
|
Knitted Fabric |
M.T. |
158 Machines |
6807.50 |
|
Cotton Yarn |
M.T. |
150912 Spindles |
1775.22 |
|
Texturised Yarn |
M.T. |
17796 Spindles |
43614.67 |
|
POY |
M.T. |
2208 Spindles |
23837.16 |
|
Handkerchief |
Pcs. |
64 Machines |
1499508 |
|
Garments |
Pcs |
1636 Machines |
4316691 |
|
Garments |
Sets |
907 Machines |
4299501 |
|
Made-ups |
Pcs. |
- |
905066 |
|
Made-ups |
Pairs |
- |
1413015 |
* Includes 598 Nos. Double width Looms
GENERAL INFORMATION
|
Suppliers : |
·
Zellweger Luwa AG, ·
Benninger Company Limited, ·
Bonas Machine Company Limited, ·
Staubli AG, ·
Atlas Copco Airpower N. V., ·
Electronia Contractor AG, ·
Itochu Middle East E.C., ·
Dunham-Bush Industries Sdn Bhd, Salangor ·
Todo Seisakusho Limited, ·
Benninger Company Limited, ·
Gematex Textivered Lungs-Maschinen Gmbh,
Wettinerstrasse 4, D-08280, Aue ·
Fong's National Engineering Company Limited,
Tsing Yi Island, ·
Osthoff-Senge GmbH and Company Kg. Postfach 11
04 65 D-42304, ·
Mayer and Cie Gmbh and Company, |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
No. of Employees : |
1500 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
·
Bank of · Calyon Bank · Citigroup · Dena Bank · IDBI Bank · ING Vysya Bank Limited ·
State Bank of · State Bank of Saurashtra · State Bank of Travancore ·
Standard Chartered Bank ·
State Bank of Backbay
Reclamation Branch, Raheja Chambers, Ground Floor, Nariman Point, Mumbai -
400 021, Tel. No. 91-22-22819539 / 22840754 / 1458 Fax No. 91-22-22043252 ·
Bank of Bank
of · Jammu and Kashmir Bank Limited · Andhra Bank Nanavati
Mahalaya, 18, · Centurion Bank of Punjab Limited 25/26,
Maker Chamber III, 2nd Floor, Nariman Point, Mumbai - 400 021, Tel. No. 91-22-22819124 / 22831922 Fax No. 91-22-22048165 · The Federal Bank Limited Mimson
House, 1st Floor, Crawford Market, Mumbai – 400 003, Tel. No. 91-22-23453202 Fax No. 91-22-23453204 ·
State Bank of 214,
·
State Bank of · Punjab National Bank PNB
House, Tel. No. 91-22-22660040 Fax No. 91-22-22663521 · The Karur Vysya Bank Limited Kamanwala
Chambers, Ground Floor, Tel No. 91-22-22665467 / 5914 Fax No. 91-22-22654260 · Development Credit Bank Limited 6,
Tulsiani Chambers, Ground Floor, Nariman Point, Mumbai - 400 021, Tel. No. 91-22-22830115 Fax No. 91-22-22885272 ·
State Bank of 11-C,
Mittal Tower, 1st Floor, Nariman Point, Mumbai - 400 021, Tel. No. 91-22-22844096 Fax No. 91-22-22841096 · Syndicate Bank 11,
Ballard Estate, Tel. No. 91-22-22626622 / 22618536 Fax No. 91-22-22626619 · Syndicate Bank · The Vysya Bank Limited 210,
Mittal Tower, ‘A’ Wing, Nariman Point, Mumbai – 400 021, · Standard Chartered Grindlays Bank 90,
Tel. No. 91-22-22642245 Fax No. 91-22-22619866 ·
State Bank of Overseas
Branch, 240-242, · Citi Bank · Industrial Developments Bank of India Limited · ING Vysya Bank Limited · Axis Bank ·
Canara Bank · The Federal Bank Limited |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Facilities: |
NOTES: 1 Debentures are
secured by: a) Nil (Previous
year 500) 8.75% Redeemable Non convertible Debentures of Rs.1000000/- each,
and Nil (Previous year 200) 9.00% Redeemable non convertible debentures of
Rs. 1000000/- each were redeemed on 25th June 2007 and 24th December 2007
respectively. b) Debentures issued
during the year are reedemable as follows:
c) All the
debentures in a) and b) above are /were secured by pari passu charge on the immovable
property situated at Mouje Irana,Taluka Kadi, District Mehsana in the state
of Gujarat. 2. Term loans
are secured as under : a) Term loans
from financial institutions and from banks (Including foreign currency loans)
to the extent of Rs. 2024.100 millions (Previous year Rs.1954.400 millions)
and Rs. 26892.900 millions (Previous year Rs.16387.200 millions)
respectively, are secured by (i) a pari passu first charge created/to be
created on all present and future movable and immovable assets of the company
subject to exclusive charges created/to be created on specific fixed assets
in favour of specified lenders. (ii) a charge created/ to be created on all
current assets of the company subject to a prior charge on such current
assets created/to be created in favour of the company’s bankers towards
working capital requirements and (iii) the personal guarantees of three
promoter directors. b) Term loan
from banks to the extent of Rs.1528.100 millions (Previous year Rs.1873.200
millions) is secured by (i) an exclusive charge created on specific assets
financed by them and (ii) the personal guarantees of three promoter
directors. c) Term loan
from the banks to the extent of Rs. Nil (Previous year Rs.76.100 millions)
are secured by (i) an exclusive charge created on specific assets financed by
them (ii) a charge created/ to be created on all the assets of the company
present and future subject to a prior charge created/to be created in favour
of company’s term lenders and towards working capital requirements (iii) the
personal guarantee of three Promoter Directors of the Company. d) Term loans
from the Banks and Financial Institutions to the extent of Rs. 2252.100
millions (Previous year Rs.1095.300 millions) and Rs. 777.400 millions
(Previous year Rs.463.500 millions) respectively, are secured by (i)
subservient charge on all movable assets of the Company present and future
subject to prior charge on specific movable assets in favour of the company’s
term lenders and towards working capital requirements (ii) the personal
guarantee of three Promoter Directors of the Company. e) Term loan
from franks to the extent of Rs. 155.800 millions 9Previous year rs.Nil) are
secured by (i) subsorvient charge on all assets of the company excluding land
and building (ii) Pledge of company’s investment in a subsidiary viz Alok
Industries International Limited (iii) The personal guarantee of three
promoter Directors of the company. f) Term loans
from the Banks to the extent of Rs. 5819.200 millions (Previous year Rs. Nil
) , are secured by subservient charge on all present and future moveable
fixed assets, stocks and receivables of the company subject to prior charge
in favour of the Company’s term lenders and working capital requirements. 3 . Working Capital
limits from banks are secured by (i) hypothecation of Company’s inventories,
book debts etc. (ii) second charge created / to be created on the fixed
assets of the Company (iii) immovable properties belonging to the Company /
Guarantors and (iv) the personal guarantees of three promoter directors of
the Company. 4 . Hire Purchase
Loans are secured by the respective assets, mainly Plant and Machinery and
Equipments, purchased under the said loans.
NOTES: 1. Term Loans
from Banks a) Includes commercial
paper of Rs. Nil (Previous year Rs.800.000 millions) maximum amount
outstanding at any time during the year Rs. 1100.000 millions (Previous year
Rs.800.000 millions) b) To the extent
of Rs. 1599.900 millions (Previous year Rs. Nil) are secured by Personal
Guarantee of three Promoter Directors 2. Short term
Foreign Currency Loan Rs. 150.100 millions (Previous year Rs. 434.400
millions) from Banks are secured by (i) Personal Guarantee of three Promoter
Directors and (ii) Power of Attorney to create first charge on the fixed
assets of the Company in case of default. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Banking Relations : |
-- |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Auditors : |
Gandhi and Parekh Chartered Accountant, Saraswati Darshan, Malad (West), Mumbai – 400 064, |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
International Accountants : |
Deloitte Haskins and Sells Chartered Accountants Member – Deloitte Touche and Tohmatsu (DTT) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Internal Auditors: |
· Bhandarkar and company Chartered Accountants
· Devdhar Joglekar and Srinivasan Chartered Accountants
· N T Jain and company Chartered Accountants
· Shah Gupta and company Chartered Accountants
· T R Chadha and company Chartered Accountants |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Legal Advisors
and Solicitors : |
Kanga and Company |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Associates : |
· Grabal Alok Impex Limited 106/107, Shah and Nahar (Worli)
Industrial Estate, Off Manufacture of all types of embroidered products
· Alok Knit Exports Limited 109, Shah and Nahar (Worli)
Industrial Estate, Off
· Nirvan Holdings Private Limited 109, Shah and Nahar (Worli)
Industrial Estate, Off Investment Company · Jiwarjka Associates Private Limited 109, Shah and Nahar (Worli)
Industrial Estate, Off Trading in textiles
· Jiwarjka Investment Private Limited 2, Shah and Nahar (Worli)
Industrial Estate, Off Trading in textiles
· Niraj Realtors and Shares Private Limited 107, Shah and Nahar (Worli)
Industrial Estate, Off Dealing in real estate, properties and shares
· Alok Finance Private Limited 106/107, Shah and Nahar (Worli)
Industrial Estate, Off Finance company
· Nirvan Capital Services Limited 109, Shah and Nahar (Worli)
Industrial Estate, Off Dr. E, Finance Company
· Ashok Realtors and Shares Private Limited 302, Krishnakunj, 3rd
Floor, Plot No. TPS – 170, Dealing in real estate, properties and shares
· Alok Denims (Private) Limited 106/107, Shah and Nahar (Worli)
Industrial Estate, Off Manufacturing of Denim fabric
· Alok Textile Traders · Pramatex Enterprises · Alok Knit Exports Limited · Nirvan Clothing Company Limited · Nirvan Exports · Alok Finance Private Limited · D. Surendra and Company ·
· Lipren Knit-Fab Private Limited · Galaxy Gloknit Private Limited (Formerly known as Renhok Tex-Knit Private Limited · Pramita Creations Private Limited (Formerly Pramita Fashions Private Limited) · Vidhi Gloknit Private Limited (Formerly Known as Vidhi Apptex Private Limited) · Globus E-Commerce Limited (Formerly Known as Globus Technologies Limited) · Alok Itec Limited · Buds Clothing Company ·
· Honey Comb Knit Fabrics · Maclon Textiles · Mircon Knits · Pique Knits · Tulip Textiles · Vaibhav Knit-Fabs · Viraj Textiles · The Waffle Knits · Daffodil Knitfab · Alok Incorporation · Alok Industries International Limited · Alok Infrastructure Private Limited ·
· Dilip B Jiwrajka (HUF) · Grabal Alok (UK) Limited ((formerly known as Hamsard 2353 Limited) · Grabal Alok international Limited ·
· Nirvan Exports · Pramatex Enterprises · Pramita Creation Private Limited |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Subsidiaries : |
·
Alok Inc. ·
Alok Industries International Limited. ·
Alok Homes and Apparel Private Limited ·
Alok Land Holdings Private Limited ·
Alok Aurangabad Infratex Private Limited ·
Mileta a.s. ·
Alok Infrastructure Private Limited ·
Alok Apparels Private Limited ·
Alok Realtors Private Limited ·
Alok New City Infratex Private Limited · Alok Aurangabad Infratex Private Limited |
CAPITAL STRUCTURE
(As on 31.03.2008)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
275000000 |
Equity shares |
Rs.10/- each |
Rs.2750.000 millions |
|
25000000 |
Preferences shares |
Rs.10/- each |
Rs.250.000 millions |
|
|
Total |
|
Rs.3000.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
187174969 |
Equity shares |
Rs.10/- each |
Rs.1871.700
millions |
Notes :
a) During the year
16802995 (previous year 12903518) equity shares are issued as under :
i] 15869202
(previous year 1755978) equity shares of Rs.10/- each are issued on conversion of
459 (previous year 55), 1% Foreign Currency Convertible Bonds (FCCBs) of USD
50000/- each together with interest at a premium aggregating to Rs.977.400
millions (previous year Rs.108.100 millions).
ii] 933793
(previous year Nil) equity shares of Rs.10/- each are issued on preferential
allotment to promoter group at a premium aggregating to Rs. 85.900 millions.
iii] Nil (previous
year 11147540) Equity shares of Rs.10/- each are issued on conversion of
680000.00 10% Optionally Convertible Preference Shares of Rs. 10/- each at a
premium aggregating to Rs. Nil (Previous year Rs. 568.600 millions) on
exercising of option by the holders thereoff.
b) Of the above
shares :
i] 745396 equity
shares were allotted as Bonus shares by way of capitalisation of General
Reserves.
ii] 62550 equity
shares being forfeited shares were reissued during 2001.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
1871.700 |
1703.700 |
2254.700 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
11340.100 |
8540.700 |
6500.600 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
13211.800 |
10244.400 |
8755.300 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
48241.500 |
28330.500 |
18002.100 |
|
|
2] Unsecured Loans |
9431.600 |
5037.100 |
3442.900 |
|
|
TOTAL BORROWING |
57673.100 |
33367.600 |
21445.000 |
|
|
DEFERRED TAX LIABILITIES |
2104.800 |
1418.200 |
1001.000 |
|
|
Share Warrants |
1101.600 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
74091.300 |
45030.200 |
31201.300 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
28949.800 |
19753.200 |
11557.700 |
|
|
Capital work-in-progress |
9963.200 |
5888.900 |
7069.000 |
|
|
Incidental Expenditure during Construction |
0.000 |
195.900 |
115.700 |
|
|
|
|
|
|
|
|
INVESTMENT |
6189.600 |
2194.900 |
397.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
6875.800
|
4644.600
|
3581.500 |
|
|
Sundry Debtors |
6077.100
|
5445.200
|
3545.300 |
|
|
Cash & Bank Balances |
16737.400
|
7853.000
|
5330.300 |
|
|
Other Current Assets |
0.000
|
0.000
|
0.000 |
|
|
Loans & Advances |
4085.000
|
1983.800
|
1581.600 |
|
Total
Current Assets |
33775.300
|
19926.600
|
14038.700 |
|
|
Less : CURRENT LIABILITIES
& PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
4421.700
|
2554.600
|
1713.500 |
|
|
Provisions |
364.900
|
374.700
|
263.300 |
|
Total
Current Liabilities |
4786.600
|
2929.300
|
1976.800 |
|
|
Net Current Assets |
28988.700
|
16997.300
|
12061.900 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
74091.300 |
45030.200 |
31201.300 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
|
Sales Turnover |
21559.900 |
18102.000 |
14074.500 |
|
|
Increase In Stock of Finished Goods and Process Stocks |
1014.400 |
653.300 |
205.900 |
|
|
Other Income |
823.600 |
517.800 |
183.900 |
|
|
Total Income |
23397.900 |
19273.100 |
14464.300 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
2975.900 |
2323.100 |
1540.000 |
|
|
Provision for Taxation |
989.300 |
676.100 |
447.900 |
|
|
Profit/(Loss) After Tax |
1986.600 |
1647.000 |
1092.100 |
|
|
|
|
|
|
|
|
Export Value |
9690.000 |
6081.700 |
3656.600 |
|
|
|
|
|
|
|
|
Import Value |
|
|
|
|
|
Raw Materials |
751.200 |
339.900 |
|
|
|
Stores & Spares |
90.600 |
41.200 |
|
|
|
Capital Goods |
3583.800 |
2787.700 |
|
|
|
|
4425.600 |
3168.800 |
2995.500 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Purchases of traded goods |
2986.200 |
984.100 |
218.800 |
|
|
Manufacturing and other expenses |
14497.900 |
13845.100 |
11232.900 |
|
|
Interest |
1318.300 |
890.400 |
667.800 |
|
|
Depreciation |
1619.600 |
1230.400 |
804.800 |
|
Total Expenditure |
20422.000 |
16950.000 |
12924.300 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2008 |
30.09.2008 |
|
Type |
1st
Quarter |
2nd
Quarter |
|
Sales Turnover |
5434.400 |
6981.400 |
|
Other Income |
10.100 |
4.200 |
|
Total Income |
5444.500 |
6985.600 |
|
Total Expenditure |
4116.300 |
5294.600 |
|
Operating Profit |
1328.200 |
1691.000 |
|
Interest |
413.200 |
514.700 |
|
Gross Profit |
915.000 |
1176.300 |
|
Depreciation |
488.100 |
530.500 |
|
Tax |
52.400 |
82.800 |
|
Reported PAT |
283.500 |
421.500 |
KEY RATIOS
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
Debt-Equity Ratio |
3.88 |
2.88 |
2.23 |
|
Long Term Debt-Equity Ratio |
3.39 |
2.42 |
1.77 |
|
Current Ratio |
2.25 |
2.08 |
2.19 |
|
TURNOVER
RATIOS |
|
|
|
|
Fixed Assets |
0.77 |
0.99 |
1.28 |
|
Inventory |
3.80 |
4.52 |
4.03 |
|
Debtors |
3.80 |
4.14 |
3.84 |
|
Interest Cover Ratio |
2.23 |
2.64 |
2.97 |
|
Operating Profit Margin(%) |
32.06 |
26.74 |
21.51 |
|
Profit Before Interest And Tax
Margin(%) |
24.67 |
20.12 |
15.98 |
|
Cash Profit Margin(%) |
16.46 |
15.47 |
13.05 |
|
Adjusted Net Profit Margin(%) |
9.07 |
8.86 |
7.51 |
|
Return On Capital Employed(%) |
9.44 |
10.14 |
9.26 |
|
Return On Net Worth(%) |
16.94 |
17.9 |
14.49 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY
Subject is one of the textile group and amongst the fastest growing vertically
integrated textile companies in
Subject was incorporated in the year 1986 with the name Alok Textile Industries
Private Limited. The company commenced their activities with the manufacture of
texturised yarn by setting up manufacturing facilities at Silvassa. In the year
1991, they commenced weaving operation at Bhiwandi in Thane. In the year 1993,
they became a puiblic limited company. In the year 1994, the company expanded
the weaving capacity to 50 cimmco looms in Thane and texturising capacity of 3
Nos Texturising machines in Silvasaa.
In the year 1995, they made a technical collaboration with Grabal, Albert
Grabher Gesellshaft mbH and Company of Austria for manufacture of embroidered
products through a joint venture company named Grabal Alok Impex Limited. In
the year 1996, they set up Knitting Division at Silvassa with 8 Machines and
state-of-the-art eco-friendly Process House at Navi Mumbai with 3
Stenter.
In the year 1998, the company modernised and expanded the weaving division with
24 Sulzer Projectile Looms at Silvassa and in the next year, they further
expanded to 28 Sulzer Projectile Looms. Also they completed the modernisation
and expansion of weaving project with 88 Air Jet/ Rapier Sulzer Looms at
Silvassa in the year 2002, and the processing project with 2 Stenters at Vapi
in the year 2003. In the same year, they set up a Garment Unit at Navi mumbai
with 100 Stitching Machines.
In the year 2004, the company expanded the Texturising capacity to 30 machines,
Knitting capacity to 40 machines and Weaving capacity to 170 Air Jet/ Rapier
Looms. Also they forayed into Home Textiles for direct export. In the year
2006, they set up a new plant for knitted fabric at Vapi in
The company was awarded Silver Trophy for fabric exports and Bronze Trophy for
made-ups exports by Texpocil for the financial year 2006. Also they got award
from the All India Exporters Chambers in recognition of role played by the
company in the development of exports of 'made ups'. They have got Certificate
of Excellence by Kohi's Department Stores for partnership and teamwork. They
have also got Supima license for use of their cotton in manufacture of woven
and knitted fabrics.
In the year 2007, the company has acquired 60% stake in Mileta a s, a company
based in the
The company has entered into Trademark License Agreement with Peacock Alley
Inc,
In September 2007, the company has entered into an MOU with Zameen Organic
Private Limited for developing and promoting organic fair trade cotton. This
will ensure Fair price of seed cotton to the marginal cotton growers in
Vidarbha and Adilabad.
PERFORMANCE
During the
financial year, the Company recorded sales of Rs. 21704.100 millions and profit
before tax (from ordinary activities) of Rs.2539.600 millions, an increase of
18.95% and 27.70% respectively over the previous year. Including extraordinary
items, the Company’s profit before tax grew 28.10% to Rs. 2975.900 millions.
The Company’s exports (including incentives) increased 62.11%, from Rs.
6417.100 millions in 2006-07 to Rs. 10368.900 millions during the year, the
first time that the Company has crossed Rs.10000 millions in exports during a
financial year.
BUSINESS AND
OPERATIONS
The Company’s
businesses and operations are now in three broad areas: Textiles, Retail and Realty.
The Company believes that sustained focus in each of these areas would unlock
significant shareholder value over a period of time.
The textiles
business, which remains a part of the parent Company, will capitalise on
growing international and domestic demand for Indian textile products, both for
apparel and for home textiles. The Company has also initiated measures that
allow it to expand capacities by setting up subsidiaries and joint ventures,
especially in the high potential area of garmenting.
To capitalise on
opportunities in the growing retail segment, the Company has set up Alok Retail
(
Simultaneously,
among its international retail initiatives, the Company has invested in Grabal
Alok (UK) Limited (previously known as Hamsard 2353 Limited), a
The Company,
through its wholly owned subsidiary, Alok Industries International Limited
(AIIL), signed an exclusive license agreement with Aisle 5, LLC with its
portfolio of brands like aworld, Cotton + Clay etc. for distribution of home
textile products to the US supermarket chains. This opens an exciting
opportunity for a very large and hitherto untapped distribution channel in one
of the largest home textile markets in the world.
The Indian realty
space offers exciting business opportunities, both for capital appreciation as
well as for securing a stream of revenue. To leverage these opportunities, your
Company has set up two wholly owned subsidiaries for its realty foray — Alok
Infrastructure Private Limited and Alok Land Holdings Private Limited. These
subsidiaries are currently involved in three projects, which have a total project
cost of approximately Rs. 20000 millions, which would be funded by a mixture of
debt, equity and internal accruals.
In addition, the
Company has entered into an Agreement with the National Textile Corporation
(NTC) to form a joint venture (JV) with 51% share of NTC and 49% of your
Company. The JV would undertake the development of New City Mills at Mumbai and
Aurangabad Textile Mills at
More details about
the Company’s business structure and initiatives are contained in the
Management Discussion and Analysis.
MANAGEMENT
DISCUSSION AND ANALYSIS:
Economic Overview
2007-08 was a year
characterised by the sustained performance of the Asian economies.
This was the third
straight year when
Despite the Indian
Rupee appreciating against the US Dollar more or less throughout 2007-08,
Indian exports increased by nearly 23% to reach US$ 155 billion. According to
the RBI,
Textile Industry
Overview
The World Market
The global textile
trade (including clothing) is estimated to be around US$ 530 billion, with a 4.5%
share of the world’s merchandise. World demand for apparels and textiles is
expected to reach US$ 700 billion by 2012, with
the US and Europe
continuing to be the dominant markets for textiles and apparel, though a
substantial portion of the incremental demand will be driven by the Asian
countries.
Textile capacities
in the developed economies have shrunk during the last few years, mainly due to
high production and labour costs. On the other hand, Asian countries like
The Indian
textiles industry is estimated at US$ 52 billion. Indian apparel and textiles
are exported to over a hundred countries and have reached US$ 19 billion in
2006-07.
THE INDIAN TEXTILE
INDUSTRY
·
Second largest producer of textiles and garments in
the world – industry size US$ 52 bln
·
Directly employs 35 million people
·
Contributes to 4% of Indian GDP
·
US$ 19 bln of Indian textiles are exported to over
a hundred countries
·
Expected to have strong domestic demand growth
·
Government is actively encouraging investments in
the textile sector through TUFS
The domestic
textile market, which had US$ 33 billion of sales in 2006-07, is expected to
grow at a CAGR of 10%, while exports are expected to grow at 19% CAGR. By 2012,
the industry is expected to be at US$ 110 billion, of which US$ 50 billion
would be in exports and US$ 60 billion would be domestic sales.
On the export
front, international retailers and private label brands are increasingly
looking at
Indian exports
during 2007-08 were adversely impacted by a strong rupee. To mitigate this, GoI
has increased the amount of duty drawback on exports of textiles and apparels
by 3% (with retrospective effect from 1 April 2007), while also lowering the
rate on exports credits.
The domestic textiles
market is expected to show strong growth over the coming years, on account of
the following demand drivers.
·
Increased retail
penetration. The share of organised retailing is expected to increase from 3.5% to
8% by 2010 and textiles forms 40% of the retail market.
·
Higher annual disposable
income levels. The average household with annual income greater than Rs. 0.080 millions
is expected to reach 48% by 2010. Coupled with the fact that the urban
population is due to grow to 287 million by 2015 and that retailing growth
focus is now shifting to Tier 2 and Tier 3 cities, the demand for textile
products is also expected to grow substantially.
·
Changing demographic
profile. An increase in the proportion of working women, more nuclear families
and a growth in the number of earning people are all favourable indicators for
increasing domestic textile demand.
·
Increasing housing units
and rapid growth of the healthcare and hospitality sectors are expected to
fuel demand for home textiles and furnishing items in
There is, however,
a need for investment if demand projections are to be reached. The industry
will need to more than double its current production base to achieve its vision
targets. That translates to an investment of Rs. 1940000 millions from 2007 to
2012. It is estimated that projects totalling approximately Rs. 480000 millions
have been executed or are in progress since 2007. GoI, on its part, has
encouraged investments by extending the
Technology
Upgradation Funds Scheme (TUFS) to 2012 and it is expected that the industry
will take full advantage of this extension.
Company Performance: Highlights
2007-08 was another year of growth and profitability for subject (‘Alok’
or ‘the Company’). The Company has grown its topline, increased is pre-tax
operating profits and post-tax profits, with exports crossing the ‘Rs. 10000
millions milestone’ to reach Rs. 10368.900 millions.
Over the past few years, Subject has established itself as provider of
integrated solutions across the textile value chain. The Company has now made
its initial foray into the retail and realty business segments.
The stand-alone financial performance of subject for the year ended 31
March 2008 is highlighted below.
Financial
Highlights for Alok Industries Ltd. for the year ended 31 March 2008
·
Net Sales grew 18.95% over last year to reach Rs.
21704.100 millions.
·
Export Sales grew 61.58% over the last year’s
figure (Rs. 6417.100 millions) to reach Rs. 10368.900 millions. For the first
time, the Company’s annual exports exceeded Rs. 10000 millions.
·
Operating Earnings before Interest, Depreciation,
Taxes and Amortisation (Operating EBIDTA), at Rs. 5477.500 millions, was higher
by 33.28% than the previous year’s figures of Rs. 4109.600 millions. Taking
gross extraordinary income into account, EBIDTA stood at Rs. 5913.800 millions,
a 33.07% increase over the previous year.
·
Operating Profit before TAX (Operating PBT) for the
year ended 31 March 2008 was Rs. 2539.600 millions, reflecting an improvement
of 27.70% over 2006-07 (Rs. 1988.800 millions). PBT including non-operating
income improved by 28.10% over last year to touch Rs. 2975.900 millions
·
Operating Profit after TAXES (Operating PAT) grew
24.23% compared to the last year to reach Rs. 1677.300 millions (2006-07: Rs.
1350.200 millions). After factoring extraordinary income (net of tax), PAT for
the year was at Rs. 1986.600 millions — an increase of 20.62% over the previous
year’s figure (Rs. 1647.000 millions).
·
Earning per Share (EPS) was Rs.11.40 during the
year (the previous year’s EPS was Rs. 9.70). Return on Net Worth (RONW) for the
year was 11.72%.
·
Book Value per Share was Rs. 70.59 as on 31 March
2008 (Rs. 60.13 as on 31 March 2007) Note: Previous years’ figures have been
regrouped wherever necessary to bring them in line with the current year’s
figures
OPERATIONS: TEXTILES
Overview
Subject has five
major divisions — Cotton Spinning, Apparel Fabric, Home Textiles, Garments and
POY and Texturising. Apart from these divisions, the Company also has retail
operations.
Subject’s presence
in the entire textile value chain (cotton procurement, yarn spinning, knitting,
weaving and texturising and preparing finished home textiles) has enabled the
Company to offer premium products at extremely competitive prices and thus gain
market share.
During the year,
the Company had sales of Rs. 21704.100 millions, of which domestic sales
contributed Rs. 11335.200 millions and exports were Rs. 10368.900 millions.
Exports comprised of 47.77% of the Company’s sales, compared to 35.17% during 2006-07.
Exports
Subject has always
recognised that if it is to become a significant global player, it must be able
to produce textiles that are sought after all over the world. Developing the
exports market has been a key area of focus for the Company, especially after
the quota system had been abolished. In 2003-04, the Company’s exports crossed
Rs. 1000 millions for the first time and, in a span of five years, Subject’s
exports have reached Rs. 10368.900 millions in 2007-08.
Today, exports
contributes about 48% of the Company’s total share of business up from about
10% in 2003-04. The entire range of Subject’s products is now sold to over 56
countries. Through its constant focus on quality, design and adherence to tight
delivery schedules, the Company today supplies to most of the global market
leaders, to whom it has become a ‘supplier of choice’. Subject’s exports
journey over the past six years.
Although the
Wovens
Subject has 639 apparel
width weaving looms, which can produce 45.20 million metres of apparel width
fabrics per annum. Subject’s textile processing units at Navi Mumbai and Vapi
have 82.50 million metres of apparel-width weaving processing capacity through
2 continuous lines and 1 batch line. The product range includes all types of
weaves — from coarse to superfine including plain, twill, drill, jacquard,
satin and dobby, as well as value-added yarn dyed fabrics and trouser fabrics.
During the year, sales
of woven apparel fabrics showed a marginal decline of 6.06% to reach Rs.
7546.700 millions. However, export sales of woven fabrics increased (from Rs.
588.000 millions in 2006-07 to Rs. 1085.900 millions in 2007-08) through the
addition of new international customers. The increased export of apparel fabric
to overseas customers is an encouraging sign and the Company proposes to
further grow this segment in the near future.
The Company has
moved up the value chain, making ‘finer counts’ yarn dyed fabric that is used
for top-end shirting. Moreover, bottom weight production (for the manufacture
of trousers) has also increased, with finishes such as peach finish,
wrinkle-free finish and stain and oil-free finishes.
Subject has
started manufacturing organic cotton products, which are now in demand by large
department stores in the
Subject has
increased focus on manufacturing speciality fabrics that are targeted towards
institutional customers like the armed forces, aviation companies, fire departments,
hospitals, the hospitality sector and the infrastructure industry.
Among these are:
High visibility fabrics , Fire retardant fabrics, Water repellent and soil
release,Infra-red resistant fabrics,Water resistant fabrics,Anti – bacterial
fabrics,Insect repellent fabrics,Aroma finish fabrics etc.
Knitting
The Company has
158 knitting machines, capable of producing 16,800 TPA. The Company also has
knit processing capacity of equivalent tonnage. During the year, knitted
apparel fabrics increased by 59.09% over last year’s figures to reach Rs.
1257.000 millions. The growth has been on account of both volume growth and
better realisation. This division’s share of business also increased from 4.33%
to 5.79%. Exports growth has been encouraging, going up from Rs. 254.300
millions during the previous year to Rs. 632.400 millions in 2007-08.
Subject has
increased its range in knits to encompass high value-add yarn dyed knits and
fleece, which are used for sweatshirts.
Mileta
As mentioned in
last year’s Management Discussion and Analysis, Subject acquired 60% of the
equity of Mileta, a ‘top of the line’ integrated textile entity situated in the
Czech Republic in April 2007. The company manufactures handkerchiefs, shirting
fabrics, table linen and bed linen, which it sells to various countries in
Europe, the
Through the
acquisition of Mileta, Subject has also acquired brands such as Mileta, Erba,
Cottonova, Lord Nelson and Wall Street, some of which the Company has launched
in the Indian markets through its retail outlets.
For the year ended
31 March 2008, Mileta had revenues of Czech Kronor (CKR) 611 million (Rs.
1522.500 millions) .
Subject’s
acquisition of Mileta has benefited the Company by way of technology inputs
from the Czech entity, especially in value added yarn dyed fabrics. Given that
this is a focus area for company, the synergies are expected to grow even more.
Subsequently during the year FY 2008-09. Subject has acquired an additional
19.80% to take its stake to 79.80%.
Home Textiles
Subject has the
following capacities in the manufacture of wider width home textile fabrics.
·
598 wider width looms with a capacity to produce
45.20 million metres per annum.
·
2 continuous lines for woven processing, capable of
producing 60.00 million metres per annum.
·
907 machines that can produce up to 8.52 million
pieces of made-ups.
2007-08 witnessed
a 16.27% growth in sales in home textiles — from Rs. 3345.900 millions to Rs.
3890.200 millions. The entire sales of home textiles products are to overseas
markets, where Subject’s products are sold to some of the most discerning
customers, including large retail chains and private labels.The Company
exported to new markets in South America, notably
During the year,
Subject developed new products in terms of high end luxury bed linen and home
textile products from organic cotton, which are supplied to upmarket retail
overseas chains and private labels. The company also plans to start supplying
to some of the domestic retailers in this segment.
With sustained
demand for Subject’s home textiles in the overseas markets, the Company has
focused on excellence in execution, targeting 100% on-time delivery for all
major supplies. Subject’s terry towels facility, which is likely to start from
the third quarter of 2008-09, would also add to topline.
Garments
Subject has 1,636
machines capable of producing 11.86 million pieces of garments during the year.
In 2007-08, the company added 723 machines, with capacity for 3.86 million
garment pieces. In 2007-08, Subject’s garments division’s sales (including
outsourced sales) was Rs.995.600 millions . The division added significant
international garment retailers from
Alok Apparels
Private Limited
During the year,
Subject formed Alok Apparels Private
Limited as its wholly subsidiary to enhance overall garment capacity. It
would produce garments for the domestic and export market in line with
production efficiencies and quality control parameters of Alok.
Alok Apparels has
set up a garmenting unit at Silvassa and achieved sales of Rs. 7.600 millions
during 2007-08.
FIXED ASSESTS
·
· Leasehold land
·
· Office premises
· Plant and machinery
· Computer and Peripherals
· Office equipments
· Furniture and fittings
· Vehicles
· Tools and Equipment
The company is in
trade terms with:
·
Embassy Silicones (
· Happy Hardware
· Keshari Enterprises
· Sumedha Fiscal Services Limited
· B R Corporation
· Atmaram Maneklal Industries Limited
·
Bindu Synthetics Limited, Silvassa, Vapi,
· Professional
· Esha Exim Private Limited
· Century Textile and Industries Limited
· Century Bhavan
Contact Person : Mr. Sultan
· Bharat Petroleum Corporation Limited, Chembur
Contact Person : Mr. M. L. Mahadevan
Tel No. 91-22-25543493
·
Ciba Speciality Chemical (
Contact Person : Mr. S. Kumar
· Vardhaman Spinning Limited
Contact Person : Mr. B. K. Jain
Tel. No. 91-22-28578823News:
AS PER WEBSITE
Origin and Growth
Established in 1986 as a private limited company, the company began with texturising of yarn and steadily expanded into weaving, knitting, processing, home textiles and readymade garments. The company also controls an extensive embroidery operation through its sister concern, Grabal Alok Impex Limited
In 1993, they became a public limited company. Since then they
have continued to increase the scale of their operations and the range of their
activities. Today, the company is amongst the A Group listed companies on
In less than two decades, the company has grown to become a
diversified manufacturer of world-class home textiles, apparel fabrics,
garments and polyester yarns selling directly to manufacturers, exporters,
importers, retailers and brands the world over. With the sales turnover of
around Rs. 12500 Millions in F.Y. 2004-05, The company is amongst the fastest
growing vertically integrated textile companies in
Infrastructure
The company is fully geared for innovation and product
developments… manufacturing and quality assurance. Spread over 6 locations in
Navi Mumbai, Vapi and Silvassa, their major plants are backed by 100%
captive power, global standard effluent treatment units, high standard
facilities for their manufacturing, product development and marketing teams,
enabling us meet their customers' expectations in terms of precision, quality,
in-time delivery, environmental and social concerns.
Total Quality Assurance
A huge investment in their sophisticated, ISO 9001:2000 compliant world-class testing lab is the reflection of The company’s commitment, confidence as well as philosophy towards maintaining global standards.
Passionate Quality Management has endeared the company to its highly demanding customers. They have empowered themselves with one of the finest in-house textile testing laboratories in India, equipped with the world’s best testing equipment from Datacolour, Macbeth, Werner Mathis and James Heal.
Right from the inputs like yarn, dyestuffs and chemicals, every batch of fabric is tested for weaving and knitting standards, colour fastness under different conditions, strength, consistency, and all pre-defined parameters of their own and of course, their customers.
Board of Directors
Mr. Ashok Jiwrajka - Executive Chairman
Commerce graduate with 29 years of experience in the marketing of textiles.Responsible
for the marketing and exports of the company.
Mr. Dilip Jiwrajka -
Managing Director Science graduate with a diploma in
Business Entrepreneurship and Management. 25 years of experience in the
manufacturing and trading of fabric for the garment industry. Responsible for
the weaving and processing divisions and overseeing the strategic planning,
administration, finance functions and overall working of the
company.
Mr. Surendra Jiwrajka - Jt.
Managing Director Commerce graduate with 23 years of
experience in the trading and manufacturing of yarn, implementation of projects
and marketing of knitted fabrics/Texturised yarn. Responsible for the
manufacturing, marketing and purchase functions of the yarn and knitting
divisions. Overseeing the implementation of projects of the
company.
Mr. Chandrakumar Bubna - Executive Director Mr.
Bubna has over two decades of experience in textile marketing. He helps
in formulating the company’s sales and marketing strategy and overseas its
implementation in the Northern region of
Mr. Ashok Rajani - Director Mr.
Rajani is the former President of The Clothing Manufacturers’ Association
of India and the Vice-President, Western Region, Apparel Export Promotion
Council, the apex body of the Indian garment export industry.
Mr. K.R. Modi - Director A senior partner in Kanga and
Company, one of Mumbai’s leading law firms. He is well-versed in issues
relating to company law, property matters and other allied acts.
Mr. K.J. Punnathara - Director Mr.
Punnathara, Executive Director(Estates), Life Insurance Corporation of
Mr. K.C. Jani - Director Mr Jani, General Manager, IDBI
is their nominee on the board.
Mr. A.K. Bhan - Director Mr. Bhan, is the nominee
director of IFCI Limited
Mr. R.J. Kamath - Director Mr. Kamath, is the nominee
director of Industrial Development Bank of India Limited.
Mr. S. Sridhar - Director
Mr. Sridhar, is the nominee director of Export Import Bank of
Mr. Tim Ingram - Director Mr. Ingram, is presently
the Chief Executive of Caledonia Investments Plc., a
Major Milestones
|
FY 1989 |
Setting up manufacturing facilities for Texturising at
Silvassa. (1 no. Texturising machine). |
|
FY 1991 |
Commencement of weaving operation at Bhiwandi, District
Thane. |
|
FY 1993 |
Conversion into Public Limited Company and IPO of 22,50,000
equity shares of Rs.10/- each for cash at a premium of Rs.10/- each per share
aggregating Rs. 45 Millions to part finance Weaving capacity (50 nos. Cimmco
looms) at Bhiwandi and expansion of Texturising capacity (1 no. Texturising
machine) at Silvassa. |
|
FY 1994 |
Expansion of weaving capacity (50 Cimmco Looms) at
Bhiwandi and texturising capacity (3 nos. Texturising machines) at
Silvassa. |
|
|
Turnover of Rs. 500 Millions achieved. |
|
FY 1995 |
Financial and Technical collaboration with Grabal, Albert
Grabher Gesellshaft mbH and Co of Austria for manufacture of embroidered
products through a Joint Venture Company viz. Grabal Alok Impex Limited |
|
FY 1996 |
Setting up of Knitting Division at Silvassa (8 machines)
and state-of-the-art eco-friendly Process House at Navi Mumbai (3
Stenter). |
|
|
Turn over of Rs.1000 Millions achieved. |
|
FY 1997 |
Expansion of Texturising capacity (5 nos. Texturising
machines) at Silvassa. |
|
|
Turn over of Rs. 1500 Millions achieved. |
|
|
Completion of Rights Issue of 7490192/- equity shares of
Rs.10/- each at a premium of Rs.10/- per share aggregating to R.149.804 Millions
to part-finance the process house and knitting projects. |
|
FY 1998 |
Modernization and expansion of weaving (24 Sulzer
Projectile Looms) at Silvassa. |
|
|
Private placement of 9142700/- equity shares of Rs.10/- each
at a premium of Rs.7.50 per share aggregating to Rs.160 Millions with
FIIs. |
|
FY 1999 |
Expansion of weaving (28 Sulzer Projectile Looms) and
knitting capacities (20 machines) at Silvassa. |
|
|
Turn over of Rs. 2500 Millions achieved. |
|
FY 2000 |
Turnover surpasses Rs. 3500 Millions. |
|
FY 2001 |
Undertaken expansion of weaving and processing capacities
under TUFS at an aggregate cost of Rs.1900 Millions. |
|
|
Foray into the domestic ready-made Garments sector (OWL
Brand). |
|
FY 2002 |
Rights Issue of 5670098/- FCDS of Rs.90/- each aggregating
to Rs.510.300 Millions to part-finance the weaving and processing
projects. |
|
|
Completion of Modernisation and Expansion of weaving
project (88 Air Jet / Rapier Sulzer Looms) at Silvassa. |
|
|
Expansion of knitting capacities (28 machines) at
Silvassa. |
|
|
Turnover surpasses Rs. 5500 Millions. |
|
FY 2003 |
“Export Trading House” Status awarded. |
|
|
Completion of Modernisation and Expansion of processing project
at Vapi. (2 Stenters). |
|
|
Expansion of Texturising Capacity at Silvassa (10
machines). |
|
|
Setting Up of Garment Unit at Navi Mumbai (100 stitching
machines). |
|
|
Turnover Surpasses Rs. 7500 Millions. |
|
FY 2004 |
Turnover surpasses Rs.10000 Millions. (Exports exceeded
Rs.1000 Millions). |
|
|
Expansion of Texturising Capacity at Silvassa (30
machines). |
|
|
Expansion of Knitting Capacity at Silvassa (40
machines). |
|
|
Expansion of Weaving Capacity at Silvassa (170 Airjet /
Rapier Looms). |
|
|
Foray in to Home Textiles (Bed Sheets) for Direct
Exports. |
|
|
Concluded Mezzanine Finance Transaction of Rs.1010
Millions (Rs.680 Millions Redeemable Preference Shares and 330 Millions
warrants) arranged by CLSA. |
|
|
Preferential allotment of 538890 Equity shares of Rs.10/-
each at premium of Rs.55.67 to Body Corporate. |
|
FY 2005 |
Completed FCCB issued of USD 35 mn (Rs. 1530 Millions) comprising
of 1400 Bonds of USD 25000 each. Out of these bonds, 1380 bonds have been
converted into 31870334 equity shares of Rs. 10/- each at an average price of
Rs. 49.68 per share. The proceeds of the issue are used for augmenting long
term margin for working capital, repayment of debt and normal capex. |
|
|
Preferential allotment of 11311400 Equity shares of
Rs.10/- each at premium of Rs.51/- per share (promoters 5573700 and IL and FS
5737700) aggregating to Rs. 690 Millions. The proceeds of the same are used
to part finance the expansion programme of the Company. |
|
|
Conversion of 1450000 OFCDs (part) issued to LIC into
2604634 equity shares of Rs. 10/- each at a premium of Rs.45.67 per
share. |
|
|
Exports exceeded Rs. 3000 Millions. |
|
|
Expansion of Weaving Capacity at Silvassa (170 Airjet /
Rapier Looms). |
|
FY 2006 |
Texprocil Silver Trophy for 2nd Highest export
award in the Manufacturer Exporter – Made ups Category. |
|
|
Completed FCCB issue of USD 70 mn about Rs. 3062.500 Millions
(Assumed price 1 USD=43.75) in May and June 2005. |
|
|
Conversion of balance 1450000 OFCDs issued to LIC into
2604634 equity shares of Rs. 10/- each at a premium of Rs.45.67 per share in
June 2005. |
|
|
Conversion of 5966400 warrants into 5966400 equity shares
of Rs. 10 each for cash at a premium of Rs. 45.67 per share by Niraj Realtors
and Shares Private Limited (purchased from TAD (Mauritius) Limited .) in the
month of August 2005. |
|
|
Completion of wider width weaving and processing under Rs.
10700 Millions project in October 2005. |
|
|
Setting up of new plant for processing of knitted fabric
at Vapi and POY plant at Silvassa. |
ATED TEXTILE SOLUTIONS
MEDIA
RELEASE
Alok Industries FY08
net sales up by 18.34% at Rs 21592.500 millions
PAT up by 23.79%
at Rs. 1673.400 millions
Alok Industries Limited, one of the leading integrated
textile companies in
Operating Net Profit for the fourth quarter stood at Rs
609.800 millions, a growth of 24.45% as compared to Rs 490.000 millions posted
in the same period of last year. The operating margin for Q4 FY08 was at 24.89%
as against 23.34% recorded in Q4 FY 07.
Net sales for the year ended March 31, 2008 grew by 18.34%
to Rs 21592.500 millions compared to Rs 18246.800 millions in the previous
year, while operating net profit for the year ended March 31, 2008 rose by
23.79% to Rs 1673.400 millions, as against Rs 1351.800 millions posted in the
same period of last fiscal. Earnings Per Share (EPS) for FY08 worked out to Rs
11.51 as compared to Rs 9.70 for the same period last fiscal.
Export Sales for the fourth quarter stood at Rs 3854.500
millions, a growth of 50.16% as compared to Rs 2566.900 millions posted in the
same period of last year. The figure of Export Sales for 2007-08 rose by 59.87%
to Rs 10258.700 millions as compared to Rs 6417.100 millions in 2006-07.
Commenting on the results, Mr. Dilip Jiwrajka, Managing
Director, Alok Industries Limited said, “It is indeed a gratifying feeling to
have record export growth in a year when the rupee was in an appreciation mode
and generally testing conditions had set in towards the latter half of the
year. All of which goes to prove that if one has the right size, right product,
right quality and right price, then most challenges can be surmounted. We will
consolidate operations this year and enhance efficiencies and endeavor to
surpass expectations. In the course of last year, we also foot printed the real
estate sector and expect to generate reasonable returns from this sector in the
current fiscal.”
Alok’s Phase III and IV projects are progressing
satisfactorily while its joint venture with the National Textile Corporation
for two mills in Mumbai and
Alok’s real estate ventures are moving smoothly and its
financing plans are also nearing completion with its merchant bankers hopeful
of clinching a major deal shortly.
Q1FY09 Net Sales up by
29.73% at Rs. 5434.4 Millions
Operating PAT up by
8.70% at Rs. 298.3 Millions
Editors Synopsis
• Net
sales for Q1FY09 grew by 29.73% at Rs.5434.4 Millions
• Operating
PAT for Q1FY09 rose by 8.70% at Rs.298.3 Millions
• EPS
for Q1 FY09 works out to Rs.1.54 per share
Mumbai, 30th July,
2008:
Alok Industries Limited, one of the leading
integrated textile companies in
Operating PAT for the first quarter stood at
Rs.298.3 Millions, a growth of 8.70% as compared to Rs.274.4 Millions posted in
the same period of last year. The operating EBITDA margin for Q1FY09 was at 24.71%
as against 24.29% recorded in Q1FY08.
Earnings per Share (EPS) for Q1FY09 worked out to Rs.1.54.
Export Sales for the first quarter stood at
Rs.1979.4 Millions, a growth of 5.51% as compared to Rs.1876.1 Millions posted
in the same period of last year.
Commenting on the results, Mr. Dilip Jiwrajka,
Managing Director, Alok Industries Limited said, “While weakening of the
Rupee has provided some relief, it has generally been a challenging environment
for industry with rising input costs. Our order book position is comfortable
and we are geared to meet the challenges appropriately. We look forward to the
rest of this fiscal with quiet confidence.”
About Alok Industries Limited:
(BSE Code: 521070) (NSE Code:
ALOKTEXT) (Reuters Code: ALOK.BO) (Bloomberg Code: ALOK@IN)
Established in 1986, Alok Industries Limited is
amongst the fastest growing vertically integrated textiles solutions provider
in
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.50.03 |
|
|
1 |
Rs.74.42 |
|
Euro |
1 |
Rs.63.12 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
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 |
|
46 |
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 |
|