MIRA
INFORM REPORT
|
Report Date : |
09.09.2008 |
IDENTIFICATION
DETAILS
|
Name : |
BONAI INDUSTRIAL
COMPANY LIMITED |
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Registered Office : |
Main Road,
Barbil, District Keonjhar-758035, Orissa |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
06.10.1939 |
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Com. Reg. No.: |
15-246 |
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CIN No.: [Company
Identification No.] |
U14109OR1939PLC000246 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BBNB00067E |
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Legal Form : |
Closely held
Public Limited Liability Company |
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Line of Business : |
Manufacturers of
Iron Ore and Manganese Ore |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 4000000 |
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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 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. |
LOCATIONS
|
Registered Office : |
Main Road,
Barbil, District Keonjhar-758035, Orissa, India |
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Tel. No. : |
91-6767-275221/
277441/ 277481 |
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Fax No. : |
91-6767-276161 |
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E-Mail : |
DIRECTORS
|
Name : |
Mr. Nand Lal
Rungta |
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Designation : |
Director |
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Address : |
Rungta House,
Chaibasa (West), Singhbhum, Jharkhand-833201, India |
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Date of Birth/Age : |
05.04.1950 |
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Date of Appointment : |
15.10.1984 |
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Name : |
Mr. Mukund Rungta |
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Designation : |
Director |
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Address : |
Rungta House,
Chaibasa (West), Singhbhum, Jharkhand-833201, India |
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Date of Birth/Age : |
14.01.1958 |
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Date of Appointment : |
27.06.1992 |
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Name : |
Mr. Siddharth
Rungta |
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Designation : |
Director |
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Address : |
Rungta House,
Chaibasa (West), Singhbhum, Jharkhand-833201, India |
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Date of Birth/Age : |
15.07.1977 |
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Date of Appointment : |
30.04.2005 |
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Name : |
Mr. Ravi Chandra
Bahadur Shrivastava |
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Designation : |
Director |
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Address : |
House No. 72,
Amlatola, Chaibasa (West), Singhbhum, Jharkhand-833201, India |
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Date of Birth/Age : |
01.01.1920 |
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Date of Appointment : |
30.03.1999 |
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Name : |
Mr. Mahesh Dutt
Rustagi |
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Designation : |
Director |
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Address : |
Punjabi Para,
Bhola Garage Road, District – Keonjhar, Barbil – 758035, Orissa, India. |
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Date of Birth/Age : |
01.09.1940 |
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Date of Appointment : |
04.02.2008 |
MAJOR SHAREHOLDERS
As on 16.08.2006
|
Names of Shareholders |
No. of Shares |
|
Mr. Hari Krishna
Mishra |
05 |
|
Mr. Jitendra Nath
Mishra |
05 |
|
H. D. Gauntia |
10 |
|
J. N. Mahapatra |
05 |
|
N. Boomin |
100 |
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N. B. Deo |
10 |
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H. K. P. Prasad |
250 |
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Annapurna Mohanty |
1795 |
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Rudra Pratap Deo |
15 |
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Rabindra Nath Deo |
20 |
|
Manju Nand Rungta |
5575 |
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P.M. G. Sahu |
15 |
|
Tulloch Holdings
Private Limited |
100 |
|
Mr. Mukund R.
Rungta |
81075 |
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Mr. Nand Lal Rungta |
85750 |
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Mr. R.C.B.
Shrivastava |
250 |
|
Sitaram Rungta |
8500 |
|
Preeti Rungta |
6000 |
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Siddharth Rungta |
52200 |
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Total |
241680 |
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Names of
Allottees |
No. of Shares |
|
Mr. Hari Kishore
Prasad |
200 |
|
Mrs. Manju Nand
Rungta |
4460 |
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Mr. Mukund R.
Rungta (HUF) |
8860 |
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Mr. Mukund R.
Rungta |
56000 |
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Mr. Nand Lal Rungta |
57400 |
|
Mr. Nand Lal Rungta (HUF) |
11200 |
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Mr. R.C.B.
Shrivastava |
200 |
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Mr. Sitaram
Rungta (HUF) |
6800 |
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Mrs. Preeti
Rungta |
4800 |
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Mr. Siddharth
Rungta |
41760 |
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Total |
191680 |
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Equity Share
Break-up (as on 01.08.2007) |
|
Percentage of
Holding |
|
Foreign holdings (Foreign institutional
investor(s), Foreign companie(s), Foreign financial
institution(s),Non-residentIndian(s), or Overseas corporate bodies or Others |
|
0.04 |
|
Bodies Corporate |
|
0.04 |
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Directors or Relatives Of Directors |
|
99.03 |
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Other top fifty(50) shareholders (other
than listed above) |
|
0.89 |
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Total |
|
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers of Iron
Ore and Manganese Ore |
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Products : |
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GENERAL
INFORMATION
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Bankers : |
Sadar Bazar, Chaibasa –
833201, Jharkhand, India. |
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Banking Relations : |
Satisfactory |
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Auditors : |
H. Naik and
Company Chartered
Accountants |
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Address : |
Telenga Bazar,
Cuttack-753009, Orissa, India |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500000 |
Equity Shares |
Rs.10/- each |
Rs.5.000 millions |
Issued
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
250000 |
Equity Shares |
Rs.10/- each |
Rs.2.500 millions |
Subscribed
& Paid-up Capital
:
|
No. of Shares |
Type |
Value |
Amount |
|
241680 |
Equity Shares |
Rs.10/- each |
Rs.2.417 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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1] Share Capital |
2.417 |
0.500 |
0.500 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
797.991 |
191.037 |
20.675 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
800.408 |
191.537 |
21.175 |
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LOAN FUNDS |
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1] Secured Loans |
50.681 |
0.000 |
0.000 |
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2] Unsecured Loans |
0.078 |
0.078 |
0.078 |
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TOTAL BORROWING |
50.759 |
0.078 |
0.078 |
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DEFERRED TAX LIABILITIES |
2.066 |
1.144 |
0.000 |
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TOTAL |
853.233 |
192.759 |
21.253 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
160.817 |
66.130 |
3.754 |
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Capital work-in-progress |
12.104 |
63.922 |
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 |
90.589
|
24.788 |
71.244 |
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Sundry Debtors |
832.537
|
197.679 |
5.694 |
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Cash & Bank Balances |
82.939
|
95.184 |
3.530 |
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Other Current Assets |
0.144
|
0.103 |
0.444 |
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Loans & Advances |
340.441
|
112.811 |
53.617 |
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Total Current Assets |
1346.650
|
430.565 |
134.529 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
283.149
|
282.776 |
107.124 |
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Provisions |
383.585
|
85.492 |
10.300 |
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Total Current Liabilities |
666.734
|
368.268 |
117.424 |
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Net Current Assets |
679.916
|
62.297 |
17.105 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.015 |
0.394 |
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Goodwill |
0.396 |
0.395 |
0.000 |
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TOTAL |
853.233 |
192.759 |
21.253 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
1872.234 |
968.893 |
553.037 |
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Other Income |
4.307 |
3.281 |
0.000 |
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Total Income |
1876.541 |
972.174 |
553.037 |
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Profit/(Loss) Before Tax |
905.984 |
257.185 |
28.115 |
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Provision for Taxation |
299.016 |
86.636 |
0.103 |
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Profit/(Loss) After Tax |
606.968 |
170.549 |
28.012 |
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Expenditures : |
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Purchases made for re-sale |
51.483 |
162.894 |
NA |
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Increase/(Decrease) in Finished Goods |
(65.279) |
46.583 |
NA |
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Salaries, Wages, Bonus, etc. |
4.689 |
2.103 |
NA |
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Payment to Auditors |
0.008 |
0.006 |
NA |
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Interest |
3.011 |
0.981 |
NA |
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Insurance Expenses |
0.053 |
0.016 |
NA |
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Power & Fuel |
30.050 |
4.247 |
NA |
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Depreciation & Amortization |
20.489 |
4.732 |
NA |
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Other Expenditure |
926.053 |
493.427 |
524.922 |
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Total Expenditure |
970.557 |
714.989 |
524.922 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
32.35
|
17.54 |
5.07 |
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Net Profit Margin (PBT/Sales) |
(%) |
48.39
|
26.54 |
5.08 |
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Return on Total
Assets (PBT/Total Assets} |
(%) |
59.62
|
45.88 |
20.33 |
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Return on
Investment (ROI) (PBT/Networth) |
|
1.13
|
1.34 |
1.33 |
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Debt Equity Ratio (Total
Liability/Networth) |
|
0.90
|
1.92 |
5.55 |
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Current Ratio (Current
Asset/Current Liability) |
|
2.02
|
1.17 |
1.15 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8
|
Name of the company |
BONAI INDUSTRIAL
COMPANY LIMITED |
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Presented
By |
Mr.
Mukund Rungta, Director |
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1) Date and description of instrument creating the change |
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2) Amount secured by the charge/amount owing on the securities of charge |
PC/FDB (PBLC)= Rs.150.000 FLC = Rs.50.000 |
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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 |
For PC/FDB : Hypothecation of stock meant for export under PBLC For FLC : Goods received under FLC |
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4) Gist of the terms and conditions and extent and operation of the charge. |
As per Agreement |
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5) Name and Address and description of the person entitled to the charge. |
Canara Bank Chaibasa Branch, Chaibasa |
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6) Date and brief description of instrument modifying the charge |
N.A. |
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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. |
N.A. |
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This form is for |
Modification of
charge |
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Charge
identification number of the modified
|
90082099 |
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Corporate
identity number of the company |
U14109OR1939PLC000246 |
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Name of the
company |
BONAI INDUSTRIAL
COMPANY LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
Main Road, Barbil,
District Keonjhar-758035, Orissa, India. |
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Type of charge |
Others
(Hypothecation) |
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Particular of
charge holder |
Canara Bank Sadar Bazar, Chaibasa –
833201, Jharkhand, India. E-Mail: pat0247@canarabank.co.in |
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Nature of
description of the instrument creating or modifying the charge |
|
|
Date of
instrument Creating the charge |
03.01.2008 |
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Amount secured by
the charge |
Rs.725.000
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:
20 quarterly installments of Rs.14.250 Millions each with repayment holiday
of 12 months from the date of first disbursement. Margin: 32.14% Extent and
Operation of the charge: As per agreement |
|
Short particulars
of the property charged |
Three Railway
rakes along with wheel sets |
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Date of latest
modification prior to the present modification |
22.06.2007 |
|
Particulars of
the present modification |
Existing limit of
Rs.440.000 Millions comprising PC/ FBP of Rs.150.000 Millions, FLC of Rs.100.000
Millions and Term Loan of Rs.190.000 Millions has been enhanced to Rs.725.000
Millions comprising PC/ FBP of Rs.150.000 Millions, FLC of Rs.100.000
Millions and Term Loan of Rs.475.000 Millions. |
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 |
9 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--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 |
|
58 |
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 |
|