MIRA
INFORM REPORT
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Report Date : |
01.10.2008 |
IDENTIFICATION
DETAILS
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Name : |
CONCORD BIOTECH LIMITED |
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Registered Office : |
1482-86, Trasad Road, Dholka, Ahmedabad-387810, Gujarat |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
23.11.1984 |
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Com. Reg. No.: |
04-7440 |
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CIN No.: [Company
Identification No.] |
U24230GJ1984PLC007440 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
AHMC00391G |
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PAN No.: [Permanent
Account No.] |
AAACC8514G |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer of Penicilin G Amidase |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Maximum Credit Limit : |
USD 2600000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed company having fine track.
Trade relations are fair. Business is active. General financial position is
good. Payments are reported as usually correct and as per commitments. The company can be considered good for normal business dealings. |
LOCATIONS
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Registered Office : |
1482-86, Trasad Road, Dholka, Ahmedabad-387810, Gujarat, India |
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Tel. No.: |
91-2714-222604/ 221904 |
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Fax No.: |
91-2714-222504 |
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E-Mail : |
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Website : |
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Head Office : |
302, Sakar III, Opposite Old Gujarat High Court, Off ITO Circle,
Ahmedabad-380014, Gujarat, India |
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Tel. No.: |
91-79-27544998 |
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Fax No.: |
91-79-27540802 |
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E-Mail : |
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Purchase Department E Mail: |
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Projects Department E Mail: |
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Sales Department
E Mail: |
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Finance
Department E Mail: |
DIRECTORS
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Name : |
Mr. Srinivaan Seshan |
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Designation : |
Director |
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Address : |
Flat No. 402, Meghanashanti Residency, 10-2-243/44, West Maredpally,
Secunderbad-500026, Andhra Pradesh, India |
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Date of Birth/Age : |
31.07.1966 |
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Date of Appointment : |
25.08.2006 |
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Other Directorship: |
Astrix Laboratories Limited U24239AP2005PLC047551 |
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Name : |
Mr. Chinnashara Varma Sundarsan Murlidharan |
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Designation : |
Director |
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Address : |
Plot No. 302, Wing B- Avalon Building, Iranandani Gardens, Powai,
Mumbai-400076, Maharashtra, India |
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Date of Birth/Age : |
05.02.1963 |
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Date of Appointment : |
25.08.2006 |
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Name : |
Mr. Yashr Yusufali Rawjee |
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Designation : |
Additional Director |
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Address : |
8-2-287/ 11/A, F. No. 104, Totem Banjara, Bhaya Nagar, Studio
Premises, Road No. 14, Banjara Hills, Htyderabad-500034, Andhra Pradesh,
India |
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Date of Birth/Age : |
25.12.1965 |
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Date of Appointment : |
29.09.2007 |
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Name : |
Mr. Malik Rajiv |
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Designation : |
Director |
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Address : |
B-6B, Gangori Enclave, Alkananda, New Delhi-110019, India |
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Date of Birth/Age : |
12.03.1961 |
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Date of Appointment : |
29.09.2007 |
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Name : |
Mr. Om Dutta Tyagi |
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Designation : |
Director |
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Address : |
Flat No. 103, Royal Banjara Apartments, Road No. 12, Banjara Hills,
Hyderabad-500034, Andhra Pradesh, India |
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Date of Birth/Age : |
01.09.1958 |
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Date of Appointment : |
29.09.2007 |
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Name : |
Mr. Nimmagadda Prasad |
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Designation : |
Director |
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Address : |
Plot No. 10 and 11, Asha Deep, Radheswamy Colony, Secunderabad-500009,
Andhra Pradesh, India |
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Date of Birth/Age : |
30.09.1961 |
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Date of Appointment : |
10.02.2006 |
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Name : |
Mr. Ravi Kapoor |
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Designation : |
Director |
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Address : |
202, Pravesh, 10 Mahadev Nagar Society, Sardar Patel,
Ahmedabad-380014, Gujarat, India |
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Date of Birth/Age : |
25.07.1963 |
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Date of Appointment : |
15.12.2003 |
KEY EXECUTIVES
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Name : |
Mr. Sudir Vaid |
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Designation : |
Managing Director |
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Name : |
Mr. Arvind K Sharma |
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Designation : |
General Manager |
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Name : |
Mr. Tapas K Saha |
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Designation : |
Plant Manager |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
As on 25.07.2005
|
Names of Shareholders |
|
No. of Shares |
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Sudhir Vaid |
|
695935 |
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Ankur Vaid |
|
12040 |
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Anita Kumari |
|
4000 |
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Anita Shad |
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27365 |
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Sonal Vaid |
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20 |
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Manju Vaid |
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340000 |
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Akansha Shah |
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1520 |
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Astha Shad |
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1520 |
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Astha Shad |
|
190000 |
|
1575773 Ontario Incorporation |
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229450 |
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Rakesh Junhjunhwala |
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255000 |
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Hemang Raichand Dharamsi |
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12500 |
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Ravindra Raichand Dharmsi |
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14500 |
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Amit Himmatlal Shah |
|
800 |
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Devnathan Govindrajan |
|
2100 |
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Navneet Sinha |
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1500 |
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Prashant Desai |
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2000 |
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Sushiladevi Pursottam Gupta |
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5000 |
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Rajeshkumar Radhesyam Junhjunhwala |
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5000 |
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Nipa Utpal Seth |
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5000 |
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Pankaj Hargovind Murarka |
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5000 |
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Ankush Mussaddi |
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600 |
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Chetan R Shah |
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1000 |
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Amal Niranjan Parikh |
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25000 |
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Total |
|
1836850 |
Equity Share Breakup (Percentage of Total Equity)
As on 30.09.2007
|
Category |
|
Percentage |
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Foreign holdings (Foreign institutional investor(s), Foreign
Companie(s), Foreign financial institution(s), Non-resident Indian(s) or
Overseas Corporate Bodies or Others |
|
5.31 |
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Bodies Corporate (not Mentioned above) |
|
62.98 |
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Directors or Relatives of Directors |
|
27.85 |
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Other top fifty (50) shareholders (Other than listed above) |
|
3.86 |
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Total |
|
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Penicilin G Amidase |
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Products : |
·
Penicillin G Amidase Enzyme ·
Lovastatin ·
Pravastatin ·
Simvastatin ·
Tacrolimus |
GENERAL
INFORMATION
|
Bankers : |
Axis Bank
Limited, Trishul, 3rd Floor, Opposite Samartheshwar Temple, Law Garden
Ellisbridge, Ahmedabad-3800006, Gujarat, India |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Deloitte Haskins and Sells – Gaurav Shah Chartered Accountant |
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Address : |
Heritage, 3rd Floor, Near Gujarat, Vidhyapity, off Ashram
Road, Ahmedabad-380014, Gujarat, India |
CAPITAL STRUCTURE
As on 29.09.2007
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
6000000 |
Equity Shares |
Rs. 10/- each |
Rs. 60.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
2412890 |
Equity Shares |
Rs. 10/-
each |
Rs. 24.128
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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|
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1] Share Capital |
24.128 |
23.129 |
22.529 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
515.608 |
451.900 |
339.188 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
539.736 |
475.029 |
361.717 |
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LOAN FUNDS |
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1] Secured Loans |
76.163 |
79.249 |
109.285 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
76.163 |
79.249 |
109.285 |
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DEFERRED TAX LIABILITIES |
31.471 |
31.377 |
21.719 |
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TOTAL |
647.370 |
585.655 |
492.721 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
356.229 |
385.005 |
282.454 |
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Capital work-in-progress |
1.211 |
0.000 |
5.332 |
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INVESTMENT |
0.000 |
0.144 |
23.654 |
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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 |
193.831
|
133.124
|
61.330 |
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Sundry Debtors |
99.552
|
100.925
|
85.719 |
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Cash & Bank Balances |
11.813
|
15.761
|
58.503 |
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Other Current Assets |
0.000
|
0.000
|
0.000 |
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Loans & Advances |
82.963
|
28.893
|
25.823 |
|
Total
Current Assets |
388.159
|
278.703
|
231.375 |
|
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Less : CURRENT
LIABILITIES & PROVISIONS |
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|
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Current Liabilities |
27.675
|
75.264
|
47.728 |
|
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Provisions |
64.554
|
2.933
|
2.366 |
|
Total
Current Liabilities |
92.229
|
78.197
|
50.094 |
|
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Net Current Assets |
295.930
|
200.506
|
181.281 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
653.370 |
588.655 |
492.721 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
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Sales Turnover |
269.490 |
358.701 |
180.152 |
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Other Income |
4.199 |
4.597 |
20.011 |
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Total Income |
273.689 |
363.298 |
200.163 |
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Profit/(Loss) Before Tax |
52.104 |
142.053 |
41.545 |
|
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Provision for Taxation |
0.000 |
0.000 |
14.629 |
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Profit/(Loss) After Tax |
52.104 |
142.053 |
29.916 |
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Expenditures : |
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Raw Material Consumed |
60.647 |
98.209 |
71.609 |
|
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Consumption of stores and spares parts |
7.214 |
7.510 |
5.484 |
|
|
Increase/(Decrease) in Finished Goods |
[47.528] |
[68.165] |
[36.712] |
|
|
Salaries, Wages, Bonus, etc. |
34.147 |
30.996 |
15.260 |
|
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Payment to Auditors |
0.168 |
0.224 |
0.154 |
|
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Interest |
0.000 |
0.000 |
5.767 |
|
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Insurance Expenses |
3.053 |
1.292 |
1.577 |
|
|
Power & Fuel |
64.883 |
65.912 |
42.298 |
|
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Depreciation & Amortization |
43.024 |
33.914 |
22.515 |
|
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Other Expenditure |
55.977 |
51.353 |
30.666 |
|
|
|
269.113 |
289.41 |
195.33 |
|
Total Expenditure |
221.585 |
212.245 |
158.618 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
PAT / Total Income |
(%) |
19.03
|
39.10 |
14.95 |
|
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Net Profit Margin (PBT/Sales) |
(%) |
19.33
|
39.60 |
23.06 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
6.99
|
21.40 |
8.08 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.09
|
0.29 |
0.11 |
|
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|
Debt Equity Ratio (Total Liability/Networth) |
|
0.31
|
0.33 |
0.44 |
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Current Ratio (Current Asset/Current Liability) |
|
4.21
|
3.56 |
4.62 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges
Report as per Registry
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified
|
90099613 |
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Corporate
identity number of the company |
U24230GJ1984PLC007440 |
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Name of the
company |
CONCORD BIOTECH LIMITED |
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Address of the registered
office or of the principal place of
business in India of the company |
1482-86, Trasad Road, Dholka, Ahmedabad-387810, Gujarat, India |
|
Type of charge |
Book Debts Movable Property Immovable
Property |
|
Particular of
charge holder |
Axis Bank
Limited, Trishul, 3rd Floor, Opposite Samartheshwar Temple, Law
Garden Ellisbridge, Ahmedabad-3800006, Gujarat, India |
|
Nature of
description of the instrument creating or modifying the charge |
Memorandum Entry
and Supplementary Deed of Hypothecation |
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Date of
instrument Creating the charge |
29.11.2006 |
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Amount secured by
the charge |
Rs. 175.200
Millions |
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Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest Term Loan IV –Interest
Rate @ 3.75% below BPLR (i.e. 9.25% p.a. at present) with monthly rests.
Presently BPLR is 13.00% Terms of
Repayment In 16 Quarterly
installments of Rs.3.750 Millions each commencing from 01.10.2007 Margin 44.18% Extent and
Operation of the charge For securing the
overall limit of Rs. 175.20 Millions |
|
Short particulars
of the property charged |
E.M on land
bearing Revenue Survey No. 1482, 1483, 1484, 1485, 1486 adm. In aggr. 112907 sq
mtrs. Of Mouje: Dholka, in the registration District of Dholka, and sub
district of Dholka to gater with all or any superstructure standing thereon,
and all that undivided properties share on land bearing final Plot No. 159 of
T.P.S No. 3 (Varied) of Mouje Sheikhpur-Khanpur, of city talka in the
registered of Ahmedabad Details of property charged is attached as Annexure. |
|
Date of latest
modification prior to the present modification |
09.09.2005 |
|
Particulars of
the present modification |
Overall Limit
stands increased from Rs.129.940 Millions to Rs. 175.200 Millions. Details of
which are as under : CC Rs. 50.000 Millions sub-Limit bill Discounting of Rs.
30.000 Millions, Term Loan II – Rs. 21.200 Millions, Term LoanIII Rs. 32.500
Millions, Term Loan IV Rs. 60.000 Millions L/C Rs. 10.000 Millions Bank
Guarantee Rs. 1.500 Millions |
AS PER WEBSITE:
Company Profile:
Subject is an R and D based biotechnology company having state
of the art fermentation facility. Acquired by Mr. Sudhir Vaid , a
biotechnologist with 29 years experience , from DSM a Dutch Multinational
Company, it started operations in the year 2000 with the manufacturing of
Penicillin-G Amidase immobilized enzyme using it's own polymer matrix. Using
its expertise in the field of Biotechnology and chemistry, concord is
concentrating on the fermentation-based products. Concord has diversified in
the field of active pharmaceutical ingredients namely Lovastatin, Pravastatin,
Simvastatin and Tacrolimus. Concord has provided number of technologies on
biotech products to many companies in Europe and India. Concord has received
USFDA approval for its lovastafin facilities and striving to go for EDMF
shortly.
Concord Biotech Limited (CBL) offers fermentation services
that rely on more than 30 years of experienced staff. CBL has the capacity and
flexibility to ferment and develop processes for a variety of microbial
organisms.
CBL is the largest producer of Penicillin-G Amidase enzyme
and is exporting this enzyme to a number of companies in China , Europe, USA
besides having 90% market share in India . CBL is also producing and exporting
Lovastatin and Tacrolimus to Europe and other countries. It is also starting
the production of Simvastatin and Pravastatin in its newly US-FDA approvable
facility.
Mission:
They strive to be a global power in the field of
biotechnology based products through research and development to create
sustainable earnings growth and to establish long term business success. They
continue to reinforce the commitment to safety, health and environment. They
endeavor for an environment where creativity and effectiveness are encouraged
with the technologies for the niche market.
Vision:
Create products through biotechnology route and service
offerings that enrich the lives of people by continually building on the
expertise in Biotechnology.
Manufacturing:
Company's manufacturing facility is located at 1482-1486,
Trasad Road , Dholka, Dist. Ahmedabad, Gujarat State ( India ), and is spread
over about 28 Acres of land. The manufacturing site of Concord is about 50 Km
from Ahmedabad airport.
Concord is equipped with the state of the art facility not
only for the fermentation but also for the recovery and the powder processing
areas. It has the largest shake flask capacity in India, where the wild strains
can be manipulated by conventional mutation programs by a team of trained
scientists. Concord believes in the philosophy of an employee as an asset and
is proud of its workforce which is instrumental in the development,
commercialization and transfer of bio-technology based pharmaceutical products.
Company has put up a state of the art manufacturing facility
for the production of Hypolipemic agent Lovastatin, Pravastatin and
Simvastatin. It has also a dedicated facility for the production of Tacrolimus
an immunosuppressant. The new facility is approved by FDCA of India and is now
awaiting USFDA approval.
Concord undertakes the Custom Synthesis projects in biotechnology area.
The institutional framework includes the responsibilities
for environmental management as well as responsibilities for implementing the
environmental measures. As a responsible corporate Concord has taken all the
necessary steps to maintain the balance of Eco-system by setting up a
sophisticated facility for the treatment of the effluents generated from the
process.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l Anti-Money
Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.94 |
|
UK Pound |
1 |
Rs.85.57 |
|
Euro |
1 |
Rs.67.79 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
64 |
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 |
|