MIRA
INFORM REPORT
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Report Date : |
17.10.2008 |
IDENTIFICATION
DETAILS
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Name : |
SERVEL UDYOG PRIVATE LIMITED |
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Registered Office : |
A-28, Kailash Colony, New Delhi |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
07.07.1982 |
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Com. Reg. No.: |
55-13994 |
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CIN No.: [Company
Identification No.] |
U74900DL1982PTC013994 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELS20952B |
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PAN No.: [Permanent
Account No.] |
AAACS0616B |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer and Supplier of telecommunication Wires and Cables |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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Maximum Credit Limit : |
USD 100000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow and delayed |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having moderate track records. Profit
margin is low. Payments are reported as slow and delayed. The company can be considered moderate fort business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office : |
A-28, Kailash Colony, New Delhi, India |
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E-Mail : |
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Head Office : |
S-15, Okhla Industrial Area, Phase – III, New Delhi – 110 020, India |
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Tel. No.: |
91-11-26385900 / 01 / 02 / 03 |
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Fax No.: |
91-11-26386879 |
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Factory : |
A-136, Okhla II, New Delhi – 110 020, India. |
DIRECTORS
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Name : |
Mr. Sushil Prakash
Chaudhary |
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Designation : |
Managing Director |
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Date of Birth/Age : |
24.02.1937 |
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Date of Appointment : |
07.07.1982 |
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Name : |
Ms. Chitra Chaudhary |
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Designation : |
Director |
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Date of Birth/Age : |
19.08.1938 |
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Date of Appointment : |
07.07.1982 |
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Name : |
Mr. Akhilesh Gautam |
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Designation : |
Director |
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Date of Birth/Age : |
13.09.1948 |
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Date of Appointment : |
01.03.1997 |
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Name : |
Mr. Kesri Chand Bothra |
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Designation : |
Director |
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Date of Birth/Age : |
27.08.1941 |
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Date of Appointment : |
01.03.1997 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
S. P. Chaudhary |
8000 |
5.38% |
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Chitra Chaudhary |
25600 |
17.20% |
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Rahul Chaudhary |
22239 |
14.95% |
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Sushil Chaudhary &
Ms. Chitra Chaudhary |
12800 |
8.60% |
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Akhilesh Gautam |
12800 |
8.60% |
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Rani Jain |
12800 |
8.60% |
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Sushil Chaudhary &
Sons |
25600 |
17.20% |
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Others |
28961 |
19.46% |
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Total |
148800 |
100.00% |
Equity shares Breakup (percentage of total equity)
(As on 30.09.2007)
|
Category |
Percentage |
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Directors or relatives of directors |
91.29 |
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Other top fifty (50) shareholders |
8.71 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer and Supplier of telecommunication Wires and Cables |
GENERAL
INFORMATION
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Bankers : |
Canara Bank 37-38, Community Centre, East of Kailash, New Delhi – 110 065, India |
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Banking
Relations : |
Unknown |
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Auditors : |
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Name : |
B L Khandewal and Company Chartered Accountants |
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Address : |
1, Doctors Lane, Gole Market, New Delhi – 110 001, India |
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Associates/Subsidiaries : |
Servel India Private
Limited |
CAPITAL STRUCTURE
(As on 30.09.2007)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
300000 |
Equity Shares |
Rs.100/- each |
Rs.30.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
148800 |
Equity Shares |
Rs.100/- each |
Rs.14.880
millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
14.880 |
14.880 |
14.880 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
5.919 |
4.414 |
4.462 |
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4] (Accumulated Losses) |
0.000 |
(7.047) |
(13.923) |
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NETWORTH |
20.799 |
12.247 |
5.419 |
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LOAN FUNDS |
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1] Secured Loans |
30.480 |
28.592 |
37.399 |
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2] Unsecured Loans |
41.420 |
41.109 |
40.169 |
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TOTAL BORROWING |
71.900 |
69.701 |
77.568 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
92.699 |
81.948 |
82.987 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
26.146 |
26.486 |
24.474 |
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Capital work-in-progress |
0.794 |
0.756 |
0.756 |
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INVESTMENT |
2.859 |
1.560 |
1.319 |
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DEFERREX TAX ASSETS |
2.880 |
5.317 |
8.137 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
26.026
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23.351 |
25.280 |
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Sundry Debtors |
53.490
|
40.958 |
43.774 |
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Cash & Bank Balances |
5.331
|
1.265 |
3.088 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
21.826
|
17.023 |
13.698 |
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Total
Current Assets |
106.673
|
82.597 |
85.840 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
44.953
|
34.268 |
37.539 |
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Provisions |
1.700
|
0.500 |
0.000 |
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Total
Current Liabilities |
46.653
|
34.768 |
37.539 |
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Net Current Assets |
60.020
|
47.829 |
48.301 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
92.699 |
81.948 |
82.987 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
|
31.03.2007 |
31.03.2006 |
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Sales Turnover |
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239.557 |
222.535 |
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Other Income |
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0.808 |
0.548 |
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Total Income |
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240.365 |
223.083 |
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Profit/(Loss) Before Tax |
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14.984 |
10.430 |
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Provision for Taxation |
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6.389 |
3.555 |
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Profit/(Loss) After Tax |
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8.595 |
6.875 |
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Expenditures : |
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Financial charges |
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10.130 |
9.452 |
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Increase/(Decrease) in Finished Goods |
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(1.709) |
5.571 |
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Depreciation & Amortization |
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2.188 |
2.026 |
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Other Expenditure |
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214.772 |
195.604 |
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Total Expenditure |
|
225.381 |
212.653 |
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KEY RATIOS
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PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
3.58
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3.08 |
NA |
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Net Profit Margin (PBT/Sales) |
(%) |
6.25
|
4.69 |
NA |
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Return on Total Assets (PBT/Total Assets} |
(%) |
11.28
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9.56 |
NA |
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Return on Investment (ROI) (PBT/Networth) |
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0.72
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0.85 |
NA |
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Debt Equity Ratio (Total Liability/Networth) |
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5.70
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8.53 |
21.24 |
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Current Ratio (Current Asset/Current Liability) |
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2.29
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2.38 |
2.29 |
LOCAL AGENCY
FURTHER INFORMATION
Form No. 8
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Name of the company |
SERVEL UDYOG PRIVATE LIMITED |
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Presented By |
Canara Bank |
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1) Date and description of instrument creating the change |
Deed of hypothecation
regarding machinery dated 08.06.2002. |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.2.450 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 |
Hypothecation of
all plant, machinery, tools, accessories, tools and accessories already
purchased / to be purchased and more particularly described in schedule ‘A’
and stored at premises at A-136, Okhla, Phase – II, New Delhi or at any other
place wheresoever including those in transit. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
The above is to
secure machine loan of Rs.2.450 millions with interest @ 15.75% p.a. or at such
other rates as may be specified by the Bank from time to time. The loan is
repayable in 24 monthly instalments. 23 instalments of Rs.0.102 million each
commencing from 08.09.2002 and last 24th instalment of Rs.0.104
million due on 08.08.2004. |
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5) Name and Address and description of the person entitled to the charge. |
Canara Bank 37-38, Community Centre, East of Kailash, New Delhi – 110 065, India |
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6) Date and brief description of instrument modifying the charge |
Letter evidencing
deposit of title deeds dated 08.06.2002 |
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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. |
Extent of operation
of charge over equitable mortgage of all that piece and parcel of land and
building situated at Industrial Plot No. SPI – 26, Industrial Area,
Neemarana, Alwar, Rajasthan admeasuring 40000 sq. meters existing and / or to
be constructed thereon and shown under Schedule ‘B’ together with easementary
and appurtenants thereto including all structures and machinery items
standing / installed thereon and to be put up in entire for ML of Rs.2.450
millions. Other terms and conditions remaining unchanged. |
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Corporate
identity number of the company |
U74900DL1982PTC013994 |
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Name of the
company |
SERVEL UDYOG PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
A-28, Kailash Colony, New Delhi, India |
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This form is for |
Modification of
charge |
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Type of charge |
Immovable
property |
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Particular of
charge holder |
Canara Bank 37-38, Community Centre, East of Kailash, New Delhi – 110 065, India |
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Nature of instrument
creating charge |
Mortgage Deed |
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Date of
instrument Creating the charge |
04.02.2008 |
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Amount secured by
the charge |
Rs.108.700
millions |
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Brief of the
principal terms an conditions and extent and operation of the charge |
·
Rate of interest As may be specified by the Bank from time to time. ·
Terms of
repayment As per agreement ·
Margin As per agreement ·
Extent and
operation of the charge 100% to secure various credit facilities up to Rs.108.700 millions |
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Particulars of the
property charged |
Equitable
mortgage of all that piece and parcel of land situated at Plot No. SP 1-26,
Neemrana, Rajasthan, admeasuring 4000 sq. meters together with all building
and structures existing and / or to be constructed thereon and described
under SCH-B, together all machinery items standing / installed thereon and to
be put up in future. |
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Particulars of
the present modification |
Extent of
operation of charge over immovable property situated at all that piece and
parcel of land and building situated at Plot no. SP 1-26, Neemrana,
Rajasthan, stands enhanced to Rs.108.700 millions to secure various credit
facilities granted / sanctioned by the bank to company. |
about servel group
Servel Group of companies are
primarily engaged in design, development, manufacturing and marketing of
communication cables. The product range
comprises of signalling and telecommunication cables, instrumentation and
control cables, radio frequency and coaxial cables, high frequency pair cables,
high temperature cables, coil cords and cordages and other specialised cables.
The group was founded and
managed by the team of highly qualified engineers with several years of
experience in the cable and related industry.
The group commenced operation in the year 1983 with the mission to
develop and manufactured specialised cables for the growing needs of the Indian
Communication industry.
Servel products are made to
confirm to various international standards such as :
·
JSS-51100, 51004. 51026,
51034
·
MIL (USA) – 16878,
81822/13, C-17, 22759
·
DIN VDE – 0815, 0293, 0295
·
ITD – 2732, 2733, 274
·
BS : 5308 II
·
IS – 5608, 1554, 8784
The products developed by
the group have been evaluated and approved by the prominent multinationals in
the field of communications such as CIT – Alcatel of France, Siemens of
Germany, Fujitsu of Japan, Lucent Technologies of USA, NTK of Denmark and Xerox
of USA to be sued in their products in India and internationally.
Its’ products are certified
for its quality by national certifying agencies such as LCSO (Electronic
Components & Standardisation Organisation), Ministry of Defence, Centre for
Development of Telematics (C-DOT), Department of Telecommunications, Bharat
Electronics Limited, etc.
Starting with communication
industry the group, today has on its list of prestigious customers from
industries such as Thermal and nuclear power stations, chemical and fertiliser,
cement, sugar, oil, space centres and ministries such as railways and defence.
Servel is equipped with the
modern manufacturing and test facilities.
This includes state-of-the-art extrusion lines both for high temperature
ETFE, FEP and also for polythene and PVC insulating compounds.
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] 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.48.86 |
|
UK Pound |
1 |
Rs.84.22 |
|
Euro |
1 |
Rs.65.51 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
4 |
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FINANCIAL CONDITION |
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|
--BUSINESS SCALE |
1~10 |
3 |
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--PROFITABILIRY |
1~10 |
3 |
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--LIQUIDITY |
1~10 |
2 |
|
--LEVERAGE |
1~10 |
3 |
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--RESERVES |
1~10 |
3 |
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--CREDIT LINES |
1~10 |
3 |
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--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
32 |
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 |
|