MIRA
INFORM REPORT
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Report Date : |
24.10.2008 |
IDENTIFICATION DETAILS
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Name : |
ATAM VALVES PRIVATE LIMITED |
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Registered Office : |
1050-51 Industrial Area, Jalandhar – 144 001, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
30.09.1985 |
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Com. Reg. No.: |
16-6476 |
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CIN No.: [Company
Identification No.] |
U27109PB1985PTC006476 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
JLDA00576C |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers and Exporter of Valves, Cocks and Boiler Mountings |
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 20000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having moderate track records. It’s
payments are slow but correct. Trade relations are fair. Profit margin is
under severe pressure. The company can be considered for small to moderate business dealings
at usual trade terms and conditions. |
LOCATIONS
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Registered Office/ Factory: |
1050-51 Industrial Area, Jalandhar – 144 001, Punjab, India |
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Tel. No.: |
91-181-2490 111/113 /114 / 2227112 / 2226520 / 5001111/5063111/ 5019601/ 5063111 |
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Mobile No.: |
91-9815185311 |
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Fax No.: |
91-181-2290611 |
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E-Mail : |
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Website : |
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Area : |
1.5 Acres |
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Location : |
Owned |
DIRECTORS
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Name : |
Mrs. Vimal Prakash Jain |
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Designation : |
Managing Director |
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Address : |
95, S.U.S Nagar, Jalandhar – 144001, Punjab, India |
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Date of Appointment : |
30.09.1985 |
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Name : |
Mr. Amit Jain |
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Designation : |
Director |
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Address : |
95, S.U.S Nagar, Jalandhar – 144001, Punjab, India |
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Date of Birth/Age : |
06.10.1977 |
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Date of Appointment : |
06.10.1998 |
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Name : |
Mrs. Pramila Jain |
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Designation : |
Director |
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Address : |
95, S.U.S Nagar, Jalandhar – 144001, Punjab, India |
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Date of Birth/Age : |
10.04.1978 |
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Date of Appointment : |
01.04.2004 |
KEY EXECUTIVES
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Name : |
Mr. R P Jolly |
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Designation : |
Company Secretary |
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Address : |
House No. 511, Guru Govind Singh Avenue, Bye Pass Road, Opposite
Indian Gas, Jalandhar – 144 004, Punjab, India |
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Name : |
Mr. Ved Prakash Vimal Jain |
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Designation : |
Chief Executive Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(As on 29.09.2007)
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Names of Shareholders |
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No. of Shares |
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Mr. Vimal Parkash Jain |
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19900 |
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Ms. Pamila Jain |
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8500 |
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Mr. Amit Jain |
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11199 |
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Mr. Muni Lala Jain |
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1 |
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Mr. Amit Jain HUF |
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200 |
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Others |
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200 |
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Total
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40000 |
(As on 31.03.2007)
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Category |
Percentage |
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Directors or relatives of directors |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporter of Valves, Cocks and Boiler Mountings |
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Products : |
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Exports : |
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Products : |
Pipe Fittings |
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Countries : |
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Terms : |
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Selling : |
L/C, Cash or Credit (45 days) terms. |
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Purchasing : |
L/C or Credit (60 days) terms. |
GENERAL INFORMATION
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Customers : |
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No. of Employees : |
50 |
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Bankers : |
Jalandhar, Punjab
Main Branch, Civil Lines, Jalandhar – 144 001, Punjab, India (The company enjoys credit limits facility of Rs. 5.000 millions from its bankers.) |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Y K Sud and Company Chartered Accountants |
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Address : |
Durga Niwas, Opposite Friends Cinema, Civil Lines, Jalandhar – 144001,
Punjab, India |
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Tel. No.: |
91-181-2220220 / 2224174 |
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Fax No.: |
91-181-2230214 |
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Memberships: |
Engineering Export Promotion Council |
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Associates/Subsidiaries : |
Febi Valves Private Limited Jalandhar, Punjab, India Line of Business – Manufacturers of Pipe and Pipe Fittings |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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80000 |
Equity shares |
Rs.100/- each |
Rs.8.000 millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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40000 |
Equity shares |
Rs.100/- each |
Rs.4.000 millions |
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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 |
4.000 |
4.000 |
4.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
0.471 |
1.479 |
1.161 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
4.471 |
5.479 |
5.161 |
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LOAN FUNDS |
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1] Secured Loans |
29.867 |
20.677 |
15.024 |
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2] Unsecured Loans |
30.739 |
23.683 |
22.856 |
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TOTAL BORROWING |
60.606 |
44.360 |
37.880 |
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DEFERRED TAX LIABILITIES |
0.399 |
0.212 |
0.234 |
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TOTAL |
65.476 |
50.051 |
43.275 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
19.680 |
12.628 |
12.552 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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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 |
24.950
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16.585 |
21.726 |
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Sundry Debtors |
26.172
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24.671 |
13.640 |
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Cash & Bank Balances |
0.758
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1.216 |
0.356 |
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Other Current Assets |
1.087
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0.978 |
0.665 |
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Loans & Advances |
2.147
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2.938 |
1.808 |
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Total
Current Assets |
55.114
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46.388 |
38.195 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
9.207
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8.502 |
7.382 |
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Provisions |
0.111
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0.463 |
0.090 |
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Total
Current Liabilities |
9.318
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8.965 |
7.472 |
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Net Current Assets |
45.796
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37.423 |
30.723 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
65.476 |
50.051 |
43.275 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
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Sales Turnover |
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89.709 |
88.251 |
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Other Income |
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0.000 |
0.000 |
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Total Income |
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89.709 |
88.251 |
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Profit/(Loss) Before Tax |
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0.030 |
0.670 |
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Provision for Taxation |
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0.000 |
0.242 |
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Profit/(Loss) After Tax |
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0.030 |
0.428 |
KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
0.03
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0.48 |
NA |
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Net Profit Margin (PBT/Sales) |
(%) |
0.03
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0.75 |
NA |
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Return on Total Assets (PBT/Total Assets} |
(%) |
0.04
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1.13 |
NA |
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Return on Investment (ROI) (PBT/Networth) |
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0.01
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0.12 |
NA |
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Debt Equity Ratio (Total Liability/Networth) |
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15.64
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9.73 |
8.78 |
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Current Ratio (Current Asset/Current Liability) |
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5.91
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5.17 |
5.11 |
LOCAL AGENCY FURTHER INFORMATION
Form 8:
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Corporation identity number or foreign company registrations number of
the company |
U27109PB1985PTC006476 |
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Name of the company |
ATAM VALVES PRIVATE LIMITED |
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Address |
1051 Industrial Area, Jalandhar – 144 001, Punjab |
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This Form is for |
Modification of charge |
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Type of Charges |
· Immovable property · Book debts · Movable property |
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Particular of the charge holder
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State Bank of India Address: Main Branch, Civil Lines,
Jalandhar - 144 001, Punjab, India Email Id: pankaj.chauhan@sbi.co.in |
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Nature or description of the instrument creating charge |
Agreement of loan cum hypothecation SME II
dated 14.11.2006 |
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Date of the instrument creating charge |
14.11.2006 |
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Amount Secure by the charge |
Rs. 7.000 millions |
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Brief of the principal terms and conditions and extent and operation
of the charge |
Rate
of interests: @ 1.25% below SBAR with a minimum of 9.75%
p.a raising or falling therewith on daily products with monthly rests. Terms
of repayments: On Demand Margin:
Stocks 25% and book debts 40% Extent
and operation of the charge: 100% Others: Terms and conditions remains the same. |
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Shorts particulars of the
Property charged |
· · Equitable mortgage of factory land and building No. 1050-52, industrial Area, Jalandhar · · Book debts and receivable · · Hypothecation of raw material, semi finished goods and finished goods. |
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Particulars of the present modification |
Working capital limit is enhanced from Rs. 14.000 lacs to Rs. 20.500 lacs. |
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Name of the
company |
ATAM VALVES PRIVATE LIMITED |
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Presented
By |
Mr. Vimal
Prakash Jain, Managing Director |
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1) Date and
description of instrument creating the change |
General agreement
for grant of small scale industries. Advance and hypothecation of movable,
book debts and other assets (W/C finance) dated 21.07.2004. Ancillary agreement
No. 11 and 2 dated 21.07.2004 |
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2) Amount secured
by the charge/amount owing on the securities of charge |
Rs. 7.000 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
raw materials, semi finished goods, finished goods, book debts, receivables. |
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4) Gist of the
terms and conditions and extent and operation of the charge. |
Rate of interest: 1.50% over S B advance rate with minimum margin 11.75% p.
a, Margin C/C hypothecation 25%, Book debts 40%, rate of interest on EPC 10%
repayable on demand |
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5) Name and
Address and description of the person entitled to the charge. |
State Bank of India , Civil Lines,
Jalandhar |
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6) Date and brief description of instrument
modifying the charge |
Supplement
agreement dated 06.12.2005 Working capital limit
enhanced from Rs.10.000 Millions to Rs.14.000 Millions |
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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. |
Earlier working
capital limit was enhanced from Rs. 7.000 millions to Rs.10.000 millions by
supplement agreement dated 14.10.2004 Now working
capital limit is further enhanced from Rs.10.000 millions to Rs.14.000
millions : · C/C hypothecation enhanced from Rs.3.500 millions to Rs.5.500 millions · Book debts enhanced from Rs.1.500 millions to Rs.2.500 millions · EPC / FBP enhanced from Rs.5.000 millions to Rs.6.000 millions Further the rate
of interest is 9.50% p.a i.e, 0.75% below state Bank Advance rate (SBAR) |
TRADE REFERENCES:
- Febri Valves Private Limited, Jalandhar, Punjab
- B. L. Dogra Engineering Company
- J. H. Metal
- Punjab Pipe Store
WEBSITE DETAILS:
The ability to dream, the will to do – this vision and determination has
propelled AMCO Industries, ATAM, FEBIs
rapid growth from a small beginning in
the year 1972 to a well – known exporting house that it is today. Under the
expertise guidance of Mr. Vimal Jain and director of Export Mr. Amit Jain, AMCO
industries, ATAM and FEBI Valves Private limited have taken giant Strides
forward.
Since its inception, AMCO, ATAM and FEBI has
emerged as one of the major players in the manufacturing of Gun – Metal, Bronze
and Brass Brushes, Valves and Cocks marketed and sold under the brand name
“AMCO”, “ATAM” and “FEBI”. This name has today become synonymous with the best
in quality and performance with consonance with the changing trends and most
modern lifestyles. The desire to achieve the best is not just about quality,
but also about continuously evolving a consistently adding new dimension via
thorough research and proper insight of specific customer requirements. In its
short but intensive existence.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.49.79 |
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UK Pound |
1 |
Rs.81.27 |
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Euro |
1 |
Rs.63.91 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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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 |
4 |
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--PROFITABILIRY |
1~10 |
2 |
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--LIQUIDITY |
1~10 |
4 |
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--LEVERAGE |
1~10 |
4 |
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--RESERVES |
1~10 |
4 |
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--CREDIT LINES |
1~10 |
4 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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37 |
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
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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