MIRA INFORM REPORT

 

 

 

Report Date :

20.10.2008

 

IDENTIFICATION DETAILS

 

Name :

A S PRECISION MACHINES PRIVATE LIMITED

 

 

Registered Office :

G T Roadmandi Gobindgarh, District Fatehgarh Sahib, Punjab

 

 

Country :

India

 

 

Financials (as on) :

31.03.2007

 

 

Date of Incorporation :

19.12.1995

 

 

Com. Reg. No.:

16-17458

 

 

CIN No.:

[Company Identification No.]

U29299PB1995PTC017458

 

 

IEC No.:

3096000701

 

 

PAN No.:

[Permanent Account No.]

AABCA4598B

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer, Exporter and Supplier of Complete Steel Rolling Mills like Hot Rolling Mills and Cold Rolling Mills

 

 

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 550000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow but Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established company having satisfactory track. Trade relations are fair. Payments are reported as slow but correct.

 

However the company can be considered normal for business dealings at usual trade terms and conditions.

 

 

INFORMATION PARTED BY

 

Name :

Mr. Jitendra Mehta

Designation :

Account Manager

Contact No.:

91-93579+46947

Date :

17.10.2008

 

 

LOCATIONS

 

Registered Office :

G T Roadmandi Gobindgarh, District Fatehgarh Sahib, Punjab, India

E-Mail :

Rahul_agga@yahoo.com

Website :

http://www.asrollingmachines.com

Area :

Owned

 

 

Factory /Branch office:

Bhadla Road, Khanna Side, Mandi Govind Garh, Khanna-141401, Punjab, India

Tel. No.:

91-1765-256737/ 324647

Fax No.:

91-1765-253448

Mobile No.:

91-9814092073/ 9888376117

E-Mail :

asprecision@rediffgmail.com

Website:

http://www.asrollingmachines.com

Area :

Owned

 

 

DIRECTORS

 

Name :

Mr. Ajit Singh

Designation :

Director

Address :

Warid IV, Shastri Nagar, Mandi Gobindgarh-147301, Punjab, India

Date of Birth/Age :

01.03.1962

Qualification :

Graduate

Date of Appointment :

19.12.1995

 

 

Name :

Mr. Amarjit Singh

Designation :

Director

Address :

Shastri Nagar, Mandi Gobindgarh, Iatehgarh Sahid, Punjab-147301, India

Date of Birth/Age :

01.04.1951

Qualification :

Matric

Date of Appointment :

19.12.1995

 

 

KEY EXECUTIVES

 

Name :

Anil Jindal and Associates

Designation :

Company Secretary

Address :

63, Rose Enclaves, Civil Lines, Ludhiana, Yash Painter Street, Ahmedgarh, Punjab, India

Date of Birth/Age :

91-1765-2410386

 

 

Name :

Mr. Jitendra Mehta

Designation :

Account Manager

Mobile No. :

91-93579+46947

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 01.08.2005

 

Names of Shareholders

 

 

No. of Shares

S Amarjit Singh

 

179000

S Charan Singh

 

377820

S Ajit Singh

 

401500

S Babu Singh

 

97000

S Sat Pal Singh

 

182500

Manjit Kaur

 

88000

Jaswant Kaur

 

128000

Mohinder Kaur

 

170000

Kuldip Kaur

 

183900

Sanjay Singh

 

100

Amarjit Singh (HUF)

 

10000

Ashok Bansal (HUF)

 

29000

Prithi chan Bansal

 

19000

Ashvin Kumar HUF

 

2000

Tarsem Lal

 

15500

Kaur Singh

 

2850

Jaswinder Kaur

 

9160

Raj Deep Singh

 

14300

Suman Deep Kaur

 

9900

Jaspreet Kaur

 

9450

Gurdeep Singh

 

14935

Hardeep Singh

 

14080

Prem Lal

 

100

Kamlesh Rani

 

100

Total

 

1958195

 

As on 31.03.2007

 

List of Allottees

 

No. of Shares

Allotted

A P Metals

 

100

Universal Steel Tubes

 

100

Shiva Ispat Udyog

 

100

Sheikhu Enterprises

 

100

Regent Steel Industries

 

100

Vibhuti Shares and Stock Private Limited, Ludhiana

 

20000

MRH Finance Company Limited, Delhi

 

371818

Total

 

392318

 

 

Equity Share Breakup (Percentage of Total Equity)

As on 29.09.2007

 

Category

 

 

Percentage

Directors or relatives of directors

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Exporter and Supplier of Complete Steel Rolling Mills like Hot Rolling Mills and Cold Rolling Mills

 

 

Products :

Hot Rolling Mills

 

·         Fly Wheel Assembly

·         Pulley Assembly

·         Reduction Gear Box

·         Speed Increaser

·         Pinior Stand

·         Steel Rolling Mill Stand

·         Hot Saw Machine

·         Gear Coupling

·         Straightening Machine

·         Shearing Machines

·         Roller Conveyor

·         Forged rolls

·         Automatic Cooling Bed

·         Speed Reducer

·         Sprockets

 

Cold Rolling Mills

 

·         Reduction Gear Box

·         Pinion Stand

·         Steel Rolling Mill Stand

·         Gear Couplings

·         Shearing Machines

·         Forged Rolls

 

 

Exports :

 

Products :

Hot Rolling Mills and Cold Rolling Mills

Countries :

·         Sri Lanka

·         Bangladesh

·         Nepal

·         Middle East

·         African Countries

 

 

Imports :

 

Products :

Machines

Countries :

Russia and America

 

 

Terms :

 

Selling :

L/C and Credit

 

 

Purchasing :

L/C, Cash and Credit

 

 

GENERAL INFORMATION

 

Customers :

·         Wholesalers

·         Retailers

·         End Users

·         OEM’s

 

o        Shri Bajrang Alloy Limited, Raipur ( C.G)

o        Sangam Structural Limited, Allahbad ( Uttar Pradesh)

o        K.L Steels Limited, Ghaziabad (Uttar Pradesh)

o        Aarti Steels Limited, Ludhiana

o        Sunflag Iron and Steel Company Limited, Bhandara Nagpur

o        Viraj Alloys Limited, Tarapur, (District Thane)

o        S.K.S Ispat Private Limited, Raipur (C.G)

o        Monnet Ispat Limited, Raipur (C.G)

o        Bhushan Limited, Chandigarh

o        Global Smelters, Kanpur

o        Electrotherm India Limited, Ahmedabad

o        Rolling Mill Customers

o        Straightening Machines Customers

o        Shearing Machine Customers

 

 

No. of Employees :

300

 

 

Bankers :

Oriental Bank of Commerce

 

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

P.K Goel And Associates

Chartered Accountant

Address :

63, Rose Enclaves, Civil Lines, Ludhiana-141001, Punjab, India

 

 

Holding Company :

MRH Finance Company Limited, Delhi

 

 

Group Companies :

Name of Company

 

Products

A.S. Precision Machines (Private) Limited,  Mandi Gobindgarh

 

Turnkey Structural Bar/Wire Rod Rolling Mills Heavy Duty Shearing Machines, Straightening Machines, Coilers, Slitting Lines as per ASPM designs and steel Plant equipments as per customer drawings and specifications.

Ajit Engineering Enterprises Mandi Gobindgarh

 

Reduction Gear Boxes, Pinion Stands, Gear Couplings, Billet Shearing Machines and Section Straightening Machines.

AMT International Mandi Gobindgarh

 

E.O.T. Cranes, Capacity Upto 100 MT . Rubber Reclamation Machinery and structural fabrication

A.S. Mechanical Works Mandi Gobindgarh

 

Complete Steel Rolling Mills and their accessories and precision machined components

A.S. Forgings Mandi Gobindgarh

 

Steel and Alloy Steel forgings, Rolls, Shafts Steel and Alloy Steel forgings, Rolls, Shafts

Mithila Malleables (Private) Limited G.T. Road, Harbanspura Sirhind

 

Steel, Alloy Steel Castings and Components (Wt. upto 45 MT/Pc) Metal Rolls, Forging quality Ingots and pre-forged Ingots and Forgings.

Jorawar Engg. and Foundry Forge Private Limited. Siltara, Raipur (C.G.)

 

Steel, Alloy Steel Castings and Components Wt. upto 70 MT/Pc. Forgings upto 5 MT/Pc Steel and Alloy Steel Billets.

 

 

CAPITAL STRUCTURE

 

As on 29.09.2007

 

Authorised Capital :

No. of Shares

Type

Value

Amount

4000000

Equity Shares

Rs. 10/- each

Rs. 40.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

2749433

Equity Shares

Rs. 10/- each

Rs. 27.494 Millions

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

 

31.03.2007

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

27.494

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

83.028

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

110.522

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

0.000

2] Unsecured Loans

 

 

13.111

TOTAL BORROWING

 

 

13.111

DEFERRED TAX LIABILITIES

 

 

0.000

 

 

 

 

TOTAL

 

 

123.633

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

45.353

Capital work-in-progress

 

 

0.000

 

 

 

 

INVESTMENT

 

 

0.000

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

42.217

 

Sundry Debtors

 

 

52.543

 

Cash & Bank Balances

 

 

32.425

 

Other Current Assets

 

 

0.000

 

Loans & Advances

 

 

30.039

Total Current Assets

 

 

157.224

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Current Liabilities

 

 

78.955

 

Provisions

 

 

0.000

Total Current Liabilities

 

 

78.955

Net Current Assets

 

 

78.269

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.011

 

 

 

 

TOTAL

 

 

123.633

 


PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

31.03.2007

31.03.2006

31.03.2005

Sales Turnover

359.594

239.812

112.269

Other Income

0.000

0.000

0.000

Total Income

359.594

239.812

112.269

 

 

 

 

Profit/(Loss) Before Tax

29.055

15.216

5.373

Provision for Taxation

7.362

3.710

0.421

Profit/(Loss) After Tax

21.693

11.506

4.952

 

 

 

 

Expenditures :

 

 

 

 

Depreciation & Amortization

5.401

3.406

2.255

 

Other Expenditure

325.138

221.190

104.641

Total Expenditure

330.539

224.596

106.896

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2007

31.03.2006

31.03.2005

PAT / Total Income

(%)

6.03

4.79

4.09

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

8.07

6.34

4.79

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

14.34

NA

NA

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.26

NA

NA

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

0.83

NA

NA

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.99

NA

NA

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

                                            Additional Requirement of Indiamart for Trust-Seal

 

Excise Registration No.: AABCA 4598 B XM 001

VAT / TIN : 03321084919

IEC Code :3096000701

 

PAN / TAN : AABCA4598B

 

Bank Name : Oriental Bank of Commerce

Bank Address : Mandi, Govindgarh, Punjab

Account Since : 2005

 

In case of any affiliations / memberships / certifications :

Name : ISO 9001: 2000 and Engineering Export Promotion Council

 

 

Trade References:

 

·         Shri Bajrang Alloy Limited, Raipur

·         Sangam Structural Limited, Alahbad, Uttar Pradesh

·         K L Steels limited, Ghaziabad, Uttar Pradesh

·         Aarti Steels Limited, Ludhiana

 

 

Bankers Charges Report as per Registry

 

 

Name of the company

A S PRECISION MACHINES PRIVATE LIMITED

Presented By

Mr. Ajit Singh

1) Date and description of instrument creating the change

Hypothecation Agreement dated 20.05.1999 of Cash Credit (Stock) Limit

2) Amount secured by the charge/amount owing on the securities of charge

Rs. 2.700 Millions

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

1) Hypothecation of Stocks and Raw Material, Stock in process, Finished goods, Receivables, Plant and Machinery and Stores etc

2) Equitable Mortgage of Factory land measuring 8 Kanals 15 Marlas and 8 Kanal 15 Marlas situated at Bhadia Road, Alour, Khanna Vide Salke Deed No. 4075 and 4076 dated 18.01.1996 respectively in the  name of company

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of Interest 3.07% over Prime Lending Rate with a minimum of P.a. quarterly cents. Margin 25% Repayable on demand of operation 100%

5) Name and Address and description of the person entitled to the charge.

Oriental Bank of Commerce, Mandi Bodinagrh

6) Date  and brief description of instrument modifying the charge

N.A

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.

N.A

 

AS PER WEBSITE

 

Profile:

 

Subject is an ISO 9001:2000 certified flagship company of A.S. Group of Enterprises, engaged for the last 25 Years in Consultancy, Manufacturing and Supply of Complete Steel Rolling Mills in the Country as well as export in Sri Lanka, Bangladesh, Nepal, Middle East countries and also in certain African Countries. They manufacture and supply Turnkey Rolling Mills practically in unlimited range of sizes and product specifications. Nearly 80% of the Structural Mills installed in India are supplied by the group, producing Channels, Angles, I and H Beams, maximum upto 600 mm, Heavy RCS and Rounds in Alloy and Stainless Steel to National and International Standards. Reputed Indian companies like Prakash Industries, Shri Bajrang Alloys, Monnet Ispat, Viraj Group of Industries, S.K.S. Ispat, Shah Alloys Limited Industry Power Limited, Electrotherm (India) Limited , Aarti Steels and Bhushan Steel Limited are some of the best clients .

 

Management

 

The key to success of an organization lies in it's management and this fact is well followed by them. They have an able management that serves as a base for the success story. The top level management ensures that –

 

·         Meeting the customer's statutory and regulatory requirements

·         Establishing and approving the quality policy as per the clause 5.3 of ISO-9001-2000 norms

·         Establishes quality objectives as in -

·         Conducting management review

·         Providing resources required for implementing and maintaining the quality management system


Such a high grade Management has enabled them to maintain international standards of production both in terms of quality, finishing and even delivering. The management has years of experience in the related field and has intense knowledge thus all the resources are utilized to it's maximum useful potential.

 

Team

 

The success of an organization lies in it's workforce and how well it is divided into different divisions for better output. Here they have a dedicated and committed team of professionals who are dedicated to deliver their best in their respective field of work thus paving a way to success for the company. The team is divided into divisions and each division has an in-charge , this ensures that there is accountability and hence a healthy work environment. The different important positions are-

 

Purchase Manager-

 

·         He arranges the required materials that is required for the production

·         Coordinates with all the departments

·         Maintains the quality records of the company

·         The supplier's performance is monitored and reviewed by him

 

Production and Quality Control Manager-

 

·         He is responsible for the activities of all the departments that are scheduled

·         To achieve planned production by identifying adequate resources

·         To make sure that the quality plans are implemented as are documented

·         To keep an eye on the fact that all the quality checks and inspections are carried out as required

·         Planning the day to day production procedure

·         To report and take action on any non-conformity

·         Maintenance of quality records of all his departments

 

Store in charge- He takes care of the raw materials and maintains the records of raw materials and issues the required materials as and when required for production or supply.

 

Management Representative-

 

·         He is responsible for the establishment of the quality norms according to the ISO 9001-2000 standards

·         Reports the quality management levels to the commercial director of the company

·         Conducts the internal audits

 

Customization Capabilities

 

They are known for the innate capability of knowing the customers well and delivering the goods as per their specific requirements of the clients. A fact is believed by them that customer satisfaction leads to a successful business enterprise and thus they strive to achieve to the fullest. Certain parameters are followed to ensure full customer satisfaction, liked-

 

·         The customer needs and expectations are well understood while entering into a contract with the customer this actually ensures appropriate results

·         The clients requirements are well communicated in the different respective production departments

·         It is aimed to achieve total customer satisfaction by strictly following the quality management system

 

The Services

 

·         The services that they offer to the customers is very unique and are a complete solution in themselves , the diverse range of services include-

·         A thorough preparation of the proposed and the final layout is done

·         A detailed engineering of the project and the engineering is done

·         They offer roll pass design

·         Working on the existing mill in order to increase the production capacity

·         To expand and modernize the existing mill in order to increase the production capacity

·         To supply manpower

·         To train the technical staff

·         Supervising the erection and commissioning of the plant

 

 


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.48.68

UK Pound

1

Rs.84.37

Euro

1

Rs.65.70

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

 

54

 

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

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions