MIRA
INFORM REPORT
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Report Date : |
09.09.2008 |
IDENTIFICATION
DETAILS
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Name : |
BG APPLIANCES PRIVATE LIMITED |
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Registered Office : |
214, Mahadkar Chamber, Karve Road, Kothrud, Pune – 411029, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
22.05.1998 |
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Com. Reg. No.: |
25-12536 |
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CIN No.: [Company
Identification No.] |
U31404PN1998PTC012536 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
PNEB02702A |
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PAN No.: [Permanent
Account No.] |
AABCB7635C |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacture of Air Coolers and Water Purifiers, BG Appliances is
committed to quality manufacturing systems and a culture of solution oriented
service. |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 218745 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed company having satisfactory
track. Directors are reported as experienced and respectable businessmen. Trade
relations are reported as fair. Business is active. Payments are usually
correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
INFORMATION PARTED
BY
|
Name : |
Mr. Ganesh Harkal |
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Designation : |
Department Account Manager |
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Contact No.: |
91-9371134905 |
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Date : |
08.09.2008 |
LOCATIONS
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Registered Office : |
214, Mahadkar Chamber, Karve Road, Kothrud, Pune – 411029,
Maharashtra, India |
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Tel. No.: |
91-202-5460505 |
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Fax No.: |
91-202-5460505 |
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E-Mail : |
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Website : |
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Area : |
1000 sq ft |
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Location : |
Rented |
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Factory : |
Gut No. 968, Bidkin, Taluka Paithan, District Aurangabad-431105,
Maharashtra, India |
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Tel. No.: |
91-2431 241154 / 55 |
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Fax No.: |
91-2431 241149 |
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E-Mail : |
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Area : |
7.5 acre |
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Location : |
Owned |
DIRECTORS
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Name : |
Mr. Anant B Kandoi |
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Designation : |
Director |
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Address : |
Plot No. 12, Sector C 4 Town, Centre, CIDCO, Aurangabad – 431003,
Maharashtra, India |
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Qualification : |
C.A. |
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Date of Appointment : |
20.03.2002 |
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Name : |
Mr. Omprakash Somani |
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Designation : |
Director |
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Address : |
8 Vivek Residency, Aurangabad, Maharashtra, India |
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Qualification : |
M.Com |
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Date of Appointment : |
31.07.2003 |
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Name : |
Mr. Navinkumar Kajaria |
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Designation : |
Director |
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Address : |
Gut No. 40, Golwadi Opposite St. John High School, Paithan Road,
Aurangabad – 431005, Maharashtra, India |
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Date of Birth/Age : |
22.10.1964 |
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Qualification : |
B.Com |
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Date of Appointment : |
30.09.2004 |
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Name : |
Mr. Giridhar Kumar Sanganeria |
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Designation : |
Director |
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Address : |
Gut No. 40, Golwadi Opposite St. John High School, Paithan Road,
Aurangabad – 431005, Maharashtra, India |
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Date of Birth/Age : |
22.07.1957 |
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Qualification : |
B.Com |
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Date of Appointment : |
30.09.2004 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
AS ON 27.03.2008
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Names of Shareholders |
|
No. of Shares |
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Rishi Kumar Bagla |
|
10 |
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Raj Narayan Bagla |
|
1010 |
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Waluj Investment and Trading Company Private Limited |
|
3000 |
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Bhanwar Lal Kandoi |
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12000 |
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Anant Kandoi |
|
8000 |
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Deccan Carbon Products Private Limited |
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11000 |
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Om Prakash G Somani |
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10 |
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Sweta Kandoi |
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30 |
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Aurangabad Auto Engineering Private Limited |
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20000 |
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Sangkaj Steel Limited |
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20000 |
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Girdhar Kumar Sanganeria |
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30 |
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Navin Kumar Kamlaprasad Kajaria |
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30 |
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Aurangabad Electrical Private Limited |
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5000 |
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Total |
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80120 |
ALLOTMENT OF NON- CUMULATIVE REDEEMABLE PREFERENCE SHARES (As On
27.03.2008)
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Names of Shareholders |
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No. of Shares |
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Sangkaj Steel Limited |
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52000 |
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Waluj Investment and Trading Company Private Limited |
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2500 |
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Aurangabad Auto Engineering Private Limited |
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57000 |
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Aurangabad Motors Manufacturers Limited |
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30000 |
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Anant Distributors |
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5000 |
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Rishikumar Bagla |
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5000 |
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Deccan Carbon Product Private Limited |
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5000 |
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Sweta Kandoi |
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21500 |
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Devanshi Rishikumar Bagla |
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5000 |
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Rajnarayan Bagla |
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7000 |
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Geetadevi Kandoi |
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10000 |
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B.L. Kandoi |
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6000 |
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Anju Khemka |
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12000 |
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Total |
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218000 |
AS ON 29.09.2007
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Equity Share
Breakup |
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Percentage of
Holding |
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Category |
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Bodies corporate |
|
92.00 |
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Directors or relatives of directors |
|
8.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacture of Air Coolers and Water Purifiers, BG Appliances is committed
to quality manufacturing systems and a culture of solution oriented service. |
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Export : |
Dubai |
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Import : |
China |
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Terms : |
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Selling : |
L/C |
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Purchasing : |
L/C and T/T |
GENERAL
INFORMATION
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Customers : |
Wholesaler |
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No. of Employee : |
404 (Office – 4, Factory - 400) |
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Bankers : |
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Banking Relations
: |
Satisfactory |
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Auditors : |
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Name : |
Sharad Shah and Company Chartered Accountants |
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Address : |
Gokul Nagar, ‘B’, 1184/4, Fergusson College Road, Pune – 411005,
Maharashtra, India |
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Group Companies : |
·
Aurangabad
Motor Manufacturers Private Limited Products: Shafts & spindles, Gravity Die casting (Intake
Manifolds). Wire on tube condenser, Shelf Net. Gut
No. 65, Village Chitegaon, Taluka Paithan, Dist. Aurangabad,
Maharashtra, India Tel: +91-2431-251793,
251482-87 Email:
ammpl_agd@sancharnet.in Plot No. 175, Sector
25, Ballabhgarh, Dist. Faridabad, INDIA Tel: +91-129-5063721-4 email:
ammpl_agd@sancharnet.in ·
Aurangabad Electricals Private
Limited Products: Fully finished Die cast parts,
Dies & moulds tool room. Magnetos, Charging Coils, Capacitors, Break
Switch, CDI HT Coils, Ignition Coil. Break panel & Wheel Assembly. Gut
No. 120/122, Pangra, Taluka Paithan, Dist. Aurangabad, Maharashtra, India Tel:
+91-2431-251482-87 email:
aelpliii_agd@sancharnet.in Sector B, Plot No.7, M.I.D.C
Chakan, Dist. Pune, Maharashtra, India ·
BG
Li-In Private Limited Products: All auto
electrical products like ACG, Regulators, Flashers and Relays. Sector M, Plot No.137, M.I.D.C Waluj,
Dist. Aurangabad, Maharashtra, India Allotments
of Share (As On 05.03.2006)
|
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
499,750 |
Equity Shares |
Rs. 100/- each |
Rs. 49.975 Millions |
|
250 |
Preference Shares |
Rs. 100/- each |
Rs. 0.025 Million |
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Total |
|
Rs. 50.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
280,120 |
Equity Shares |
Rs. 100/- each |
Rs. 28.012
Millions |
|
120 |
Preference Shares |
Rs. 100/- each |
Rs. 0.012
Million |
|
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Total |
|
Rs. 28.024 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
|
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|
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1] Share Capital |
28.024 |
28.024 |
8.012 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
15.725 |
10.377 |
6.211 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
43.749 |
38.401 |
14.223 |
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LOAN FUNDS |
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1] Secured Loans |
31.788 |
33.521 |
42.998 |
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2] Unsecured Loans |
23.228 |
21.100 |
9.000 |
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TOTAL BORROWING |
55.016 |
54.621 |
51.998 |
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DEFERRED TAX LIABILITIES |
1.146 |
2.730 |
0.000 |
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TOTAL |
99.911 |
95.752 |
66.221 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
56.626 |
54.409 |
59.848 |
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Capital work-in-progress |
0.375 |
0.000 |
0.000 |
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INVESTMENT |
39.907 |
0.008 |
0.008 |
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DEFERREX TAX ASSETS |
0.297 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
14.064
|
10.825 |
20.620 |
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Sundry Debtors |
12.418
|
19.222 |
0.047 |
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Cash & Bank Balances |
0.589
|
0.669 |
1.502 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
7.138
|
42.855 |
16.132 |
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Total
Current Assets |
34.209
|
73.571 |
38.301 |
|
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Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
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Current Liabilities |
31.698
|
32.508 |
31.993 |
|
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Provisions |
0.000
|
0.000 |
0.000 |
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Total
Current Liabilities |
31.698
|
32.508 |
31.993 |
|
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Net Current Assets |
2.511
|
41.063 |
6.308 |
|
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MISCELLANEOUS EXPENSES |
0.195 |
0.272 |
0.057 |
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TOTAL |
99.911 |
95.752 |
66.221 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
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Sales Turnover |
150.531 |
128.404 |
83.039 |
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Total Income |
150.531 |
128.404 |
83.039 |
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Profit/(Loss) Before Tax |
6.495 |
9.144 |
[5.527] |
|
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Provision for Taxation |
NA |
4.988 |
[1.998] |
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Profit/(Loss) After Tax |
NA |
4.156 |
[3.529] |
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Expenditures : |
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Depreciation & Amortization |
10.224 |
11.195 |
5.950 |
|
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Other Expenditure |
133.812 |
108.065 |
82.616 |
|
Total Expenditure |
144.036 |
119.260 |
88.566 |
|
Expected Sales (2008-09) : Rs.210.000 Millions
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
NA
|
3.24 |
[4.25] |
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Net Profit Margin (PBT/Sales) |
(%) |
04.31
|
7.12 |
[6.66] |
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Return on Total Assets (PBT/Total Assets} |
(%) |
04.94
|
7.14 |
[5.63] |
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Return on Investment (ROI) (PBT/Networth) |
|
14.84
|
0.24 |
[0.39] |
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Debt Equity Ratio (Total Liability/Networth) |
|
1.98
|
2.27 |
5.91 |
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Current Ratio (Current Asset/Current Liability) |
|
1.07
|
2.26 |
1.20 |
LOCAL AGENCY
FURTHER INFORMATION
Trade Reference
· Videocon Industries Estate
· Videocon Appliance Limited
· Kenstar Kitchen Appliance – Mumbai
Bankers Charges
Report as per Registry
|
Name of the company |
BG APPLIANCES
PRIVATE LIMITED |
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Presented By |
Mr. Anant B
Kandoi, Director |
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1) Date and description of instrument creating the change |
3rd August, 2004 Letter of Hypothecation |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 46.200
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
machineries and stock of consumables and book debts. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Term Loan : Rate
of Interest BPLR + 0.50
% - 11.50 % overall Margin – 30 % Repayment – 18 quarterly
installments of Rs. 2.500 Millions each w.e.f. 01.12.2004 Cash Credit Rate of Interest BPLR + 0.50
% - 11.50 % overall Margin – 25 % Book Debts : 50 %
Repayable on demand |
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5) Name and Address and description of the person entitled to the charge. |
Indian Overseas
bank Jalna Road,
Aurangabad, Maharashtra, India |
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6) Date and brief description of instrument modifying the charge |
4th
November, 2004 Memorandum of
Equitable Mortgage Deed |
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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. |
Original charge
was created on 03.08.2004 Now by present
modification, amount of cash credit limit has been increased from Rs. 1.200
Millions to Rs. 2.200 Millions thereby increasing the amount secured by the
charge from Rs. 46.200 Millions to Rs. 47.200 Millions |
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This form is for |
Modification of
charge |
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Charge identification
number of the modified |
90086912 |
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Corporate
identity number of the company |
U31404PN1998PTC012536 |
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Name of the
company |
BG APPLIANCES PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
214, Mahadkar Chamber, Karve Road, Kothrud, Pune – 411029,
Maharashtra, India |
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Type of charge |
Book Debts Movable Property Floating Charge |
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Particular of
charge holder |
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Nature of
description of the instrument creating or modifying the charge |
Letter of hypothecation
Supplementary
narration applicable for limited company mortgagor evidencing creation of
supplemental mortgage (Both the documents constitute single charge) |
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Date of
instrument Creating the charge |
22.04.2008 |
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Amount secured by
the charge |
Rs.103.400
Millions |
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Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest As Per Agreement Terms of
Repayment 18 quarterly
installment starting from march, 2009 for term loan Cash credit
renewable after one year Margin 25% on stock and
50% on book debt for cash credit 50% on building
and 25% on machinery for term loan Extent and
Operation of the charge The charge will be
operative till the entire loan is repaid by the company |
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Short particulars
of the property charged |
Mortgage of
property situated at gut no.968, Bidkin, Aurangabad Hypothecation of
stock, book debts and machineries |
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Particulars of
the present modification |
Existing loan of
Rs.46.200 millions consisting of term loan 1: Rs.45.500 Millions, Cash Credit
1: Rs.1.200 Millions, was enhanced to Rs.103.400 Millions consist of term
loan 1: Rs.45.000 Millions, Cash Credit 1: Rs.8.200 Millions, Cash Credit 2:
Rs.1.200 Millions, Cash Credit 3: Rs.10.000 Millions, Term Loan 2: Rs.12.000
Millions, Term Loan 3: Rs.22.000 millions, Letter of Guarantee: |
As Per Website
Profile
Subject, the Domestic Appliances Division of the Bagla Group, is located in Aurangabad in the western state of Maharashtra, India. Currently engaged in the business of manufacture of Air Coolers and Water Purifiers, BG Appliances is committed to quality manufacturing systems and a culture of solution oriented service. Resultantly, their products enjoy the highest levels of production excellence and quality supervision and they in turn, satisfied customers.
They also offer a comprehensive capability for companies to outsource their assembly requirements. They manage the program, identify and develop suitable vendors, source components, develop production processes and deliver finished products to the markets schedule. In other words, they can be the one stop service answer to all the assembly needs.
Infrastructure
Housed over 7 acres of level land, the total built up area of the factory shed is 17,700 square feet with an office block additional 1200 square feet. A lot of plantation, quality construction, concrete flooring and sufficient ventilation provide for a clean and green working environment.
Subject use the latest machinery and other line equipment for their production processes. Their Internal Quality Control (IQC) department has a wide array of testing and measuring equipment.
They are committed to the setting up of a fully equipped Research and Development facility that will further aid and assist in their efforts towards continuous value engineering.
Team
Their single
greatest strength is their people. At BG Appliances they firmly adhere to the
belief that progress and development can be realized only through the
participation, combined efforts and cooperation of each employee of their
Company. They are jointly involved in efforts to continually improve the value
of their products, processes and services and they pool their abilities to
accomplish shared goals.
Accordingly, they
are committed to:
• Acquiring and retaining the best in every field
• Maintaining a work environment conducive to optimum performance
• Ongoing training and development of their personnel
Subject are united
in their resolve to perform their corporate duties with utmost dedication,
diligence, and integrity.
About Group
BG
Appliances is a part of the Bagla Group. Headquartered in Aurangabad, the
Rs.150 crore Bagla Group is highly diversified with over 11 manufacturing
facilities located at various parts of India. The Group has significant
interests in Aluminum Die Casting and Electrical and Engineering Automotive
Components.
Under
the able leadership of Mr. R.N Bagla and Mr. R.K. Bagla, the group has rapidly
involved into a manufacturing behemoth from its conception in 1986 with a large
customer base both Domestic and International.
Over the years, the Group has acquired a very high reputation in the Auto
Components Industry due to its emphasis on quality, service and low cost
production.
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.44.26 |
|
UK Pound |
1 |
Rs.79.00 |
|
Euro |
1 |
Rs.63.53 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
45 |
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 |
|