MIRA
INFORM REPORT
|
Report Date : |
04.10.2008 |
IDENTIFICATION
DETAILS
|
Name : |
S B PACKAGINGS LIMITED |
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Formerly Known as : |
S B PACKAGINGS PRIVATE LIMITED |
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Registered Office : |
Vardhaman Plaza Corner, 3rd Floor, Indira Enclave Enclave,
Paschim Vihar, New Delhi – 110041 |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
06.09.1989 |
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Com. Reg. No.: |
037604 |
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CIN No.: [Company
Identification No.] |
U25202DL1989PLC037604 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELS21357A DELS24320C |
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PAN No.: [Permanent
Account No.] |
AABCS3731Q |
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Legal Form : |
Closely held Public Limited Liability Company |
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Line of Business : |
Manufacturer of Flexible Packaging Material |
RATING &
COMMENTS
|
MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having moderate track.
Company’s profitability is under severe pressure and continues to incur
losses. Financial positions are weak having huge accumulated losses. Payments
are reported as slow and delayed The company can be considered for business dealings on fully safe and
secured terms only. |
LOCATIONS
|
Registered Office : |
Vardhaman Plaza Corner, 3rd Floor, Indira Enclave Enclave,
Paschim Vihar, New Delhi – 110041 |
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Tel. No.: |
91-11-25279191 |
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Fax No.: |
91-11-25279191 |
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E-Mail : |
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Export Office : |
A-63/5, G.T. Karnal Road Industrial Area, Delhi – 110033 |
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E-Mail : |
DIRECTORS
|
Name : |
Mr. Prakash Banga |
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Designation : |
Director |
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Address : |
G-7, Anand Niketan, New Delhi |
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Date of Birth/Age : |
04.01.1935 |
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Date of Appointment : |
01.08.2003 |
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Name : |
Mr. Amit Banga |
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Designation : |
Direcotr |
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Address : |
G-7, Anand Niketan, New Delhi |
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Date of Birth/Age : |
13.02.1968 |
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Date of Appointment : |
13.02.1968 |
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Name : |
Mr. Anurag Malhotra |
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Designation : |
Director |
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Address : |
39, KMP, Delhi Jaipur Road, N.H.-8, Narsighpur, Gurgaon – 122004 |
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Date of Birth/Age : |
15.07.1970 |
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Date of Appointment : |
30.12.2002 |
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Name : |
Mr. Satpal Khattar |
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Designation : |
Director |
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Address : |
3-D, Tanglin Hill, Singapore – 248035 |
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Date of Birth/Age : |
22.11.1942 |
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Date of Appointment : |
13.06.2002 |
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Name : |
Mr. Sanjeev Ahuja |
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Designation : |
Director |
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Address : |
03-52, 52 Mayer Road, Singapore
437875 |
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Date of Birth/Age : |
04.08.1966 |
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Date of Appointment : |
13.06.2002 |
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Name : |
Mr. Narinder Sethi |
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Designation : |
Director |
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Address : |
R-32, Sector-XI, Noida – 201301, Uttar Pradesh |
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Date of Birth/Age : |
04.11.1953 |
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Date of Appointment : |
16.12.2000 |
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Name : |
Mr. Aditya Bhide |
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Designation : |
Director |
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Address : |
E-63, Vasant Marg, Vasant Vihar, New Delhi – 110057 |
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Date of Birth/Age : |
19.02.1945 |
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Date of Appointment : |
16.12.2000 |
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Name : |
Mrs. Parul Chanchal |
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Designation : |
Director |
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Address : |
4255, Arya Paura, Roshanara Road, Delhi |
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Date of Appointment : |
28.04.2003 |
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Name : |
Mr. Harvinder Singh |
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Designation : |
Director |
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Address : |
35, Saubhagya Apartment, Sector – IX, Delhi - 110085 |
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Date of Birth/Age : |
10.06.1977 |
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Date of Appointment : |
14.07.2002 |
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Name : |
Mr. Mrinal Kumar Chatterjee |
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Designation : |
Director |
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Address : |
18/721 Ram Nagar Colony, Bahaduragh, Haryana |
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Date of Birth/Age : |
01.06.1963 |
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Date of Appointment : |
01.09.2006 |
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Name : |
Mr. Sudhansu Goswami |
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Designation : |
Director |
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Address : |
1/334, Ram Nagar Colony, Bahaduragh, Haryana |
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Date of Birth/Age : |
17.01.1962 |
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Date of Appointment : |
01.09.2006 |
SHAREHOLDING
PATTERN
Equity Share
Breakup (percentage of total equity)
As on: 30.09.2007
|
Category |
|
Percentage of
Holding |
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Foreign Holding (FIIs, FCs, FFIs, NRIs or OCB or Others) |
|
64.81 |
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Bodies Corporate |
|
16.73 |
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Directors or relatives of Directors |
|
17.75 |
|
Other top fifty shareholders |
|
0.71 |
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Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Flexible Packaging Material |
GENERAL
INFORMATION
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Bankers : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
V.D. Aggarwal & Co. Chartered Accountants |
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Address : |
BM-1, Dilkhush Indl. Cum Commercial Complex, G.T. Karnal Road,
Azadpur, Delhi - 110033 |
CAPITAL STRUCTURE
As on :30.09.2007
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
14000000 |
Equity Shares |
Rs.10/- each |
Rs.140.000 millions |
|
7000000 |
Preferences Shares |
Rs.10/- each |
Rs.70.000 millions |
|
|
Total |
|
Rs.210.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
12763636 |
Equity Shares |
Rs.10/- each |
Rs.127.636
millions |
|
960000 |
Preferences Shares |
Rs.10/- each |
9.600
millions |
|
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Total |
|
Rs.137.236 millions |
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|
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FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.12.2004 |
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|
SHAREHOLDERS FUNDS |
|
|
|
|
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1] Share Capital |
137.236 |
137.236 |
137.236 |
|
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
39.264 |
39.264 |
39.264 |
|
|
4] (Accumulated Losses) |
(505.194) |
(443.111) |
(309.438) |
|
|
NETWORTH |
(328.694) |
(266.611) |
(132.938) |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
515.599 |
515.556 |
488.480 |
|
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2] Unsecured Loans |
7.311 |
7.311 |
7.317 |
|
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TOTAL BORROWING |
522.910 |
522.867 |
495.797 |
|
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
194.216 |
256.256 |
362.859 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
141.533 |
160.773 |
189.886 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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|
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INVESTMENT |
2.100 |
2.100 |
2.100 |
|
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
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|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
43.510
|
74.884 |
111.437 |
|
|
Sundry Debtors |
40.928
|
45.231 |
84.080 |
|
|
Cash & Bank Balances |
22.036
|
18.387 |
3.750 |
|
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Other Current Assets |
0.000
|
0.000 |
0.000 |
|
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Loans & Advances |
3.233
|
5.998 |
12.875 |
|
Total
Current Assets |
109.707
|
144.500 |
212.142 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
54.282
|
47.499 |
33.740 |
|
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Provisions |
4.842
|
3.618 |
7.528 |
|
Total
Current Liabilities |
59.124
|
51.117 |
41.268 |
|
|
Net Current Assets |
50.583
|
93.383 |
170.873 |
|
|
|
|
|
|
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|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
194.216 |
256.256 |
362.859 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.12.2004 |
|
|
Sales Turnover |
67.089 |
79.337 |
431.181 |
|
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Other Income |
2.181 |
3.908 |
3.794 |
|
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Total Income |
69.270 |
83.245 |
434.975 |
|
|
|
|
|
|
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Profit/(Loss) Before Tax |
(62.058) |
(133.648) |
(325.107) |
|
|
Provision for Taxation |
0.000 |
0.000 |
0.000 |
|
|
Profit/(Loss) After Tax |
(62.058) |
(133.648) |
(325.107) |
|
|
|
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Expenditures : |
|
|
|
|
|
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Raw Material Consumed |
55.335 |
57.761 |
458.975 |
|
|
Consumption of stores and spares parts |
1.257 |
8.575 |
15.529 |
|
|
Increase/(Decrease) in Finished Goods |
(0.820) |
9.707 |
35.243 |
|
|
Salaries, Wages, Bonus, etc. |
11.203 |
23.647 |
35.243 |
|
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Payment to Auditors |
0.022 |
0.084 |
0.331 |
|
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Interest |
0.000 |
31.277 |
29.713 |
|
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Insurance Expenses |
0.155 |
0.122 |
2.088 |
|
|
Power & Fuel |
7.746 |
13.593 |
32.279 |
|
|
Depreciation & Amortization |
19.240 |
21.908 |
760.082 |
|
|
Other Expenditure |
37.190 |
50.219 |
101.350 |
|
Total Expenditure |
131.328 |
216.893 |
1470.833 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.12.2004 |
|
PAT / Total Income |
(%) |
(89.58) |
(160.54) |
(74.74) |
|
|
|
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|
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|
Net Profit Margin (PBT/Sales) |
(%) |
(0.92) |
(1.68) |
(0.75) |
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
(24.70) |
(43.77) |
(80.86) |
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.18 |
0.50 |
2.44 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
(0.17)
|
(0.19) |
(0.31) |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.85
|
2.82 |
5.14 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges
Report as per Registry
|
Name of the company |
S B PACKAGING LIMITED |
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Presented
By |
Mr. O. P. Banga |
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1) Date and description of instrument creating the change |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.255.500
millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
Book Debts and
Stocks of raw materials, WIP, Finished Goods and Spares |
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4) List of the terms and conditions and extent and operation of the charge. |
Margin 30% on
book debts and 25% on stock other conditions as per agreement. |
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5) Name and Address and description of the person entitled to the charge. |
State Bank of India, IF Branch, Barakhamba Road, New Delhi ING Vysya Bank Limited, G-35 Connaught Place, New Delhi |
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6) Date and brief description of instrument modifying the charge |
Consortium
Agreement dated 28.03.2003 |
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7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
Enhancement of
working capital limits from Rs. 255.500 millions of SBI and Rs.80.000
millions of ING Vysya Bank to a combine limit of Rs.435.000 millions under
consortium of SBI and ING Vysya Bank Limited Existing
Limits Revised Limits
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* Outside
Consortium present outstanding against sanctioned Term Loan Rs.3.320 millions
and Corporate Loan Rs.15.000 millions, respectively |
As per Website:
Subject is a manufacturer of flexible packaging material in India
with an integrated production facility at Sampla (Haryana), on the outskirt of
Delhi. They are one of the first packaging companies to be certified ISO-9002. The unit is set-up on 20,000 sq. meters land, covered area
of about 12,000 sq.mtrs. and is exempted
from Sales tax.
They are major supplier of food grade packaging material to Hindustan Lever Limited. For
Ice-Cream, Wheat flour, Salt, Rice, Tea, to ITC for Cigarettes, to Reckitt
& Colmanof India Limited. In Pharmaceuticals, and to various other
customers for packing of Milk, Vanaspati, Snack-Food, Spices, Tea, Liquor,
Noodles, Biscuits, Frozen Foods, etc. They also supply to companies such as Reebok, Nike, Fena Limited,
Balllarpur Industries Limited.,
and many others. The various products being manufactured at SBP are Plastic
bags, pouches, Laminates, Specialty films, Printed Poly-coated Wrappers, etc. They have the capacity to convert more than
500 tons per month.
Looking at the growth perspective and requirement of food packaging
industry. SBP has already embarked upon :
- Setting up state-of –the-art machines
for Printing and Odour-free Lamination.
Creating a pollution-free, dust-free, air-conditioned
environment and compliance of HACCP (Hazard Analysis and Critical Control
Practices) norms.
The facilities at SBP include:
- Extrusion Coating Plants (with world’s
best dies).
- Film Extrusion-Monolayer &
Multilayer Plants.
- 8 Nos. rotogravure Printing machines (8
colours with Computerized Registration Controls).
- Dry Liminators
- Rotogravure Cylinder Plant.
- Bag, Pouch making MachineCentre Seal,
Side Seal, Bottom Seal, etc. with handles. They produce 1.5 million bags
per day.
- Laboratory with state of the art
testing equipments.
They employ scientific systems for checking incoming raw materials and
lay stress on-line Quality checks. There are pre-dispatch QC checks and a
Quality Certificate is given with each consignment. With an In-house cylinder
plant, they can ensure proof of a new job to be dispatched within 48-72 hours
after receiving the artwork.
Catalogue
- Plastic Bangs
- Wrappers
- Laminates and
Pouches
- Speciality
Films
HIGH-END
PACKAGING TECHNOLOGY
In order to cater to a multi-product/process
packaging requirement, SB packagings has set-up its facilities on 20,000
sq.mts. of land on the outskirts of Delhi in Haryana. SB Packaging is equipped
with state-of-art-, Printing machines, lamination and extrusion coating
equipment, slitters and bag/pouch making equipment. The inhouse cylinder making
plant ensures tremendous flexibility and allows SBP to shorten lead times… mere
48 to 72 hours for proofing the sample from the primary design. SBP is also
equipped to research and develop new and breakthrough packaging solutions. SB
Packaging is working towards ISO 9002 certification.
Production
Facilities
- Extrusion
Coating Plants (with world’s best dies).
- Film
Extrusion-Monolayer & Multilayer Plants.
- 8 Nos. rotogravure
Printing machines (8 colours with Computerized Registration Controls).
- Dry
Liminators
- Rotogravure
Cylinder Plant.
- Bag, Pouch
making Machine, Centre Seal, Side Seal, Bottom Seal, etc. with handles. They
produce 1.5 million bags per day.
·
Laboratory with state of the art testing equipments.
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.46.88 |
|
UK Pound |
1 |
Rs.82.97 |
|
Euro |
1 |
Rs.64.99 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
2 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
-- |
|
--CREDIT LINES |
1~10 |
-- |
|
--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 |
|
21 |
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 |
|