MIRA
INFORM REPORT
|
Report Date : |
11.09.2008 |
IDENTIFICATION
DETAILS
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Name : |
BONAVENTURE SHOES PRIVATE LIMITED |
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Registered Office : |
29, EVK, Sampath Road, Chennai – 600 007, Tamilnadu |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
03.06.1986 |
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Com. Reg. No.: |
18-13074 |
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CIN No.: [Company
Identification No.] |
U18209TN1986PTC013074 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEB00424E |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer of Ladies and Gents Formal and Casual Shoes. |
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 210000 |
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Status : |
Moderate |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having satisfactory track.
Profit margin is low and shows downward trend. Trade relations are fair.
Payments are usually correct and as per commitment. The company can be considered normal for business dealings at usual
trade terms and conditions with slight caution. |
INFORMATION PARTED
BY
|
Name : |
Mr. Amin |
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Designation : |
Admin Manager |
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Date : |
10.09.2008 |
LOCATIONS
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Registered Office : |
55, E.V.K. Sampath Road, Vepery, Chennai – 600007, Tamilandu India |
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Tel. No.: |
91-44-25611349/25611431/25611145/2561068/25366574/5365313/
5381408/25362065/25388072/5381421/2561068225612372/25611145 |
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Fax No.: |
91-44-25610462/25611658 |
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E-Mail : |
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Website : |
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Location : |
Owned |
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Head Office : |
29, EVK, Sampath Road, Chennai – 600 007, Tamilnadu, India |
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Tel. No.: |
91-44-25611431 |
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Fax No.: |
91-44-25610462 |
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E-Mail : |
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Area : |
Plus 3000 Sq. ft. |
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Location : |
Owned |
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Corporate Office : |
30 EVK Sampath Road, Vepery, Chennai – 600 007, Tamilnadu, India |
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Tel. No.: |
91-4174-244207 |
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Factory : |
Post Box 30, Venkatasamudra Road, Elmanguppam Village, Ambur, North
Arcot District, Tamilnadu- 635 802, India |
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Tel. No.: |
91-4174-244207 / 208 |
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Area : |
Owned |
DIRECTORS
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Name : |
Mr. N. Shafeeq Ahmed |
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Designation : |
Managing Director |
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Address : |
44 Barnaby Road, Kilpauk, Chennai - 600
010, Tamil Nadu |
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Qualification : |
BA |
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Date of Appointment : |
03.06.1986 |
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Name : |
Mr. N. Mohamed Sayeed |
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Designation : |
Whole Time Director |
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Address : |
23, Maligai Shaik Meeran Street, Ambur,
Vellore – 635 802, Tamil Nadu, India |
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Qualification : |
HSC |
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Date of Appointment : |
03.06.1986 |
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Name : |
Mr. Medekar Intisar Mohamed |
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Designation : |
Whole Time Director |
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Qualification : |
BA |
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Date of Appointment : |
01.04.2005 |
KEY EXECUTIVES
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Name : |
D. Mohana Sundaram |
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Designation : |
Company Secretary |
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Name : |
Mr. V Sudhindar |
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Designation : |
Company Secretary |
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Address : |
New No. 10 (Old No. 9), Arunagirl Street, First Floor, Mandaveli,
Chennai – 600 028, Tamilnadu, India |
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Tel No. : |
91-44-24936838 |
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Fax No. : |
91-9444036838 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 31.03.2007)
|
Names of Shareholders |
No. of Shares |
|
N Mohamed Sayeed |
17100 |
|
Mehrunnisa Begum |
17000 |
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N Shafeeq Ahmed |
52100 |
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N Parveen Banu |
12600 |
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N Nasreen Banu |
12600 |
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N Jabeen Banu |
12600 |
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N Yasmeen Banu |
12600 |
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Thasreen Fathima |
2600 |
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Total |
139200 |
List of Allotment as on 27.03.2008
|
Names of Shareholders |
No. of Shares |
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N Shafeeq Ahmed |
100000 |
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Total |
100000 |
Equity shares Breakup (percentage of total equity)
(As on 30.09.2007)
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Category |
Percentage |
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Directors or relatives of directors |
100.00 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Ladies and Gents Formal and Casual Shoes. |
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Exports : |
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Countries : |
·
Europe ·
USA ·
Italy ·
Germany ·
U.K |
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Imports : |
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Products : |
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Countries : |
·
Italy ·
Brazil ·
Far East Countries |
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Terms : |
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Selling : |
L/C – CAD |
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Purchasing : |
Credit (60 days) |
PRODUCTION STATUS
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
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Full Shoes |
Pairs |
1000 |
350 |
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Shoe Uppers |
|
500 |
125 |
GENERAL
INFORMATION
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Customers : |
·
Wholesalers ·
Retailers |
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No. of Employees : |
70 (In Office 20 and In Factory 50) |
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Bankers : |
·
State Bank of India ·
ICICI Bank ·
Indian Overseas Bank ·
State Bank of India- Vepery ·
State Bank of India – Ambur ·
State Bank of India- Meenambakkam |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Kalyanasundaram and Company Chartered Accountants |
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Address : |
18 (Old No. 22), Lake Area, Second Cross Street, Nungambakkam, Chennai
– 600 034, Tamilnadu, India |
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Tel. No.: |
91-44-28172873 |
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Fax No.: |
91-44-28175393 |
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Associates/Subsidiaries : |
·
Shafeeq Shameel and Company ·
S.S.C. Shoes Private Limited ·
N. M. Zakriah Group |
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Group Companies : |
·
SSC Shoes Private Limited ·
Shafeeq Shameel and Company ·
Bonaventure Shoes Private Limited |
CAPITAL STRUCTURE
(As on 30.09.2007)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
150000 |
Equity Shares |
Rs.100/- each |
Rs.15.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
139200 |
Equity Shares |
Rs.100/- each |
Rs.13.920
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 |
13.920 |
11.420 |
11.420 |
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2] Share Application Money |
10.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
17.997 |
17.430 |
54.387 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
41.917 |
28.850 |
65.807 |
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LOAN FUNDS |
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1] Secured Loans |
119.436 |
150.041 |
135.379 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
119.436 |
150.041 |
135.379 |
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DEFERRED TAX LIABILITIES |
6.259 |
6.259 |
6.259 |
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TOTAL |
167.612 |
185.150 |
207.445 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
47.715 |
48.837 |
52.501 |
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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 |
223.642
|
167.626 |
148.413 |
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Sundry Debtors |
57.761
|
78.873 |
77.009 |
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Cash & Bank Balances |
6.894
|
7.815 |
6.842 |
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Other Current Assets |
12.312
|
4.751 |
3.951 |
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Loans & Advances |
10.183
|
7.694 |
26.575 |
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Total
Current Assets |
310.792
|
266.759 |
262.790 |
|
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Less : CURRENT
LIABILITIES & PROVISIONS |
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|
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|
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Current Liabilities |
190.766
|
130.446 |
102.598 |
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Provisions |
0.129
|
0.000 |
5.248 |
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Total
Current Liabilities |
190.895
|
130.446 |
107.846 |
|
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Net Current Assets |
119.897
|
136.313 |
154.944 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
167.612 |
185.150 |
207.445 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
431.921 |
346.133 |
434.473 |
|
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Other Income |
0.000 |
0.000 |
0.000 |
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Total Income |
431.921 |
346.133 |
434.473 |
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Profit/(Loss) Before Tax |
0.696 |
(37.144) |
0.585 |
|
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Provision for Taxation |
0.129 |
0.000 |
0.291 |
|
|
Profit/(Loss) After Tax |
0.567 |
(37.144) |
0.294 |
|
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Imports : |
|
|
|
|
|
Raw Materials |
63.853 |
51.489 |
0.000 |
|
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Capital Goods |
2.827 |
0.062 |
0.000 |
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Total Imports |
66.680 |
51.551 |
0.000 |
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Expenditures : |
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Financial charges |
15.763 |
12.453 |
10.465 |
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Depreciation & Amortization |
7.288 |
7.489 |
7.402 |
|
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Other Expenditure |
408.174 |
363.335 |
416.021 |
|
Total Expenditure |
431.225 |
383.277 |
433.888 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
0.13
|
(10.73) |
0.07 |
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|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.16
|
(10.73) |
0.13 |
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|
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Return on Total Assets (PBT/Total Assets} |
(%) |
0.19
|
(11.77) |
0.19 |
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|
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.02
|
(1.29) |
0.01 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
7.40
|
9.72 |
3.70 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.63
|
2.04 |
2.44 |
LOCAL AGENCY
FURTHER INFORMATION
Trade References
·
Farida Shoes – Chennai
·
NMZ Shoes - Chennai
Form No. 8
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Name of the company |
BONAVENTURE SHOES PRIVATE LIMITED |
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Presented By |
N Shafeeq Ahmed (Managing Director) |
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1) Date and description of instrument creating the change |
Hypothecation Agreement
dated 09.10.1987, Export Packing Credit – Rs.1.000 million and FDBL Rs.0.500
million |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs.1.500 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 |
Secured by
present and future Book Debts, Goods, movables and other Assets including
Outstanding Moneys, Receivables, Claims, Bills, Invoices, All the present and
future Machines Belonging to or in possession. Third Party in
India or Abroad. Equitable
Mortgage of Factory Land and Building at Ambur standing in the name of
company and Pledge of Company Machinery. |
|
4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of Interest
9.5% for Export Packing Credit, FDBL A/C’s subject to RBI Guidelines overdue
interest at 18.5% + 15.5% on EPC/FDBL/ Account Period for One year |
|
5) Name and Address and description of the person entitled to the charge. |
State Bank of
India Leather and
International Branch, 177/1, Poonamallee High Road, Kilpauk, Chennai – 600
010, Tamilnadu, India |
|
6) Date and brief description of instrument modifying the charge |
1.
Form C.1-A
Supplemental agreement of loan for increase in the overall limit 2.
Form C.2-A
supplemental agreement of hypothecation of Goods and Assets for increase in
the overall limit 3.
Form C.3-A
supplemental agreement of pledge of Goods and Assets for increase in the
overall limit 4.
Form C.4-A supplemental
deed of guarantee for increase in overall limit 5.
Form C.5-A
Letter regarding the grant of individuals limits within the overall limits. Letter confirming
the equitable Mortgage for deposit of title deeds on 27.09.2004 All the Document
Dated 27.09.2004 |
|
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. |
The Overall Limit
increased from Rs.162.000 millions to 192.700 millions by addition of
Rs.30.700 millions. |
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Corporate
identity number of the company |
U18209TN1986PTC013074 |
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Name of the
company |
BONAVENTURE SHOES PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
55, EVK, Sampath Road, Vepery, Chennai – 600 007,
Tamilnadu |
|
This form is for |
Modification of
charge |
|
Type of charge |
Hypothecation |
|
Particular of
charge holder |
State Bank of
India Leather and
International Branch, MVJ Towers, P H Road, Chennai – 600 010, Tamilnadu,
India |
|
Nature of
instrument creating charge |
Hypothecation
Agreement dated 09.10.1987 Export Packing Credit Rs.1.000 millions and FDBL
Rs.0.500 million |
|
Date of instrument
Creating the charge |
09.10.1987 |
|
Amount secured by
the charge |
Rs.1.500 millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest 9.5%
for Export Packing Credit, FDBL A/C’s Subject to RBI Guidelines overdue
interest at 18.5% + 15.5% on EPC/FDBL Account period for one year. |
|
Description of
the property charged indicating whether it is a charged on |
·
Book Debts ·
Plant and
Machinery Others Secured by
present and future Book Debts, Goods, movables and other Assets including
Outstanding Moneys, Receivables, Claims, Bills, invoices. All the present and
future Machines belonging to or in possession of Third Party in India or
Abroad Equitable Mortgage of factory Land and building at Ambur standing in
the of Company and pledge of Company Machinery. |
|
Brief description
of the instrument modifying the charge under section 135 |
Supplemental
Agreement of Loan for increase in the overall limit in Form C.1-A Supplemental
Agreement of Hypothecation of goods and assets for increase in the overall
limit in Form C.2-A Supplemental
Agreement of Pledge of goods and assets for increase in the overall limit in
Form C.3-A Letter regarding
the grant of individual limits within the overall limit in Form C.5 All the above
documents were made on 22nd May 2006 and relate to one and the
same modification of charge. |
Fixed Assets :
·
Land
·
Factory Building
·
Administrative Building
·
Plant And Machinery
·
Heavy Vehicle
·
Light Vehicle
·
Electrical Installation And Fitting
·
Furniture And Fittings
·
Office Equipments
Web Details
Shafeeq Shameel and Company
The flagship company manufactures finished leather for shoes
and garments and comprises of large tanning as well as environment
infrastructure. Using modern and imported machineries, the tanning process that
is carried out here is among the best available in the country.
The
tannery has a capacity to produce 15 million sq ft of finished leather per
annum. SSC is exporting finished leather for shoes and garments to leading
international companies in Italy, Spain, UK, Hong Kong, Singapore, China,
Australia, Holland, Taiwan, Korea, Greece, Portugal, France, Malaysia, Belgium,
Germany and U.S.A.
Tannery with all in-house facilities is equipped with hi-tech machineries and
testing facilities for processing leather
from raw to finished leather. A modern Effluent treatment
plant takes care of pollution control in an effective manner.
Shoes Private Limited
Established in 1977, SSC Shoes Limited has a current
capacity to produce 3000 pairs a day. The company exports shoes to U.K. and
U.S.A., Italy, France and other European countries. SSC Shoes Limited is
equipped with modern machineries and full fledged Computer Aided Design
facility.
Bonaventure Shoes Private Limited
Established in 1987, Subject is engaged in manufacturing men/women’s
formals and casuals in contemporary fashions from line building to reach
ultimate customer, with a current capacity to produce 5000 pairs a day.
The shoe manufacturing units are well organized with modern equipments
and other infrastructures like CAD/CAM, On-line updates of order status for
tracking purpose to our customers etc.,
Shoe factories are audited and meet European Social and Ethical
Standards and are also certified under ISO 9001 - 2000 and ETI Base Code.
About SSC Group
The SSC group,
started in 1967, under the banner Shafeeq Shameel and Company, as a producer
and exporter of finished leather to the European and U.S. markets. The group
diversified into full shoe manufacturing by late 1970’s and at present have two
modern shoes manufacturing factories.
The
group turn over exceeds US $ 25 million and caters various markets US, Europe,
China, Far East and Asia. The factory complex laid out as an industrial park is
located on a 40-acre land in Ambur, which is in the heart of the leather belt
of Madras (Chennai) - South India. The Group employs trained labour force of
over 2000 people in three factories.
The production units and corporate offices
of SSC Group are spread across various location in Chennai, in South India. The
vantage location facilitates them to dispatch the consignments in the fastest
means – by road, air or water.
Apart from this, they have exclusive dealers in all the western markets
including North America, Europe and South East Asia.
Infrastructure
With over 40 years in the leather industry, they have built an enviable infrastructure network that connects the production, marketing and corporate units for effective servicing.
The tanning facility, with its imported and latest machinery is among the best in the country. The tannery has a capacity to produce over 15 million sq.ft. of finished leather per annum. They also constantly upgrade the machinery to stay ahead of the rest.
The two most modern shoe manufacturing units are equipped with state-of-the-art imported machinery with a combined capacity of 1.5 million pairs per annum.
The design studio is well equipped with the latest CAD/CAM design tools and systems. A team of widely experienced engineers constantly create fashion products that sets the trend in leather fashion, worldwide!
They have advanced
in-house testing facility for both Tannery and Shoe units. The Shoe unit
testing is approved by SATRA, UK. The Tannery testing lab is set up in
assistance with CLRI (Central Leather Research Institute).
All the production units are equipped with the latest affluent treatment plants
to effectively treat pollution and keep the environment green and healthy.
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.45.12 |
|
UK Pound |
1 |
Rs.79.60 |
|
Euro |
1 |
Rs.63.83 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--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 |
|
40 |
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 |
|