MIRA INFORM REPORT

 

 

Report Date :

29.04.2011

 

IDENTIFICATION DETAILS

 

Name :

JAYALAKSHMI ENGINEERING WORKS

 

 

Registered Office :

5/35-A, Sulur Industrial Estate, Kadampadi Post, Sulur Air Force Station, Coimbatore- 641401, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2009

 

 

Date of Incorporation :

05.03.1996

 

 

IEC No.:

3204021246

 

 

PAN No.:

[Permanent Account No.]

AAEFJ7862R

 

 

Legal Form :

Partnership concern with an unlimited liability of the partner

 

 

Line of Business :

Manufacture of all types of Buffing Blades, Buffing Blade Hubs, Knives, Tungsten Carbide Rasps, Ball Bearing Stitchers, Twisted Steel Wire Bush, Quick Couplers and Adopters.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (26)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 14570

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established partnership concern having moderate track. Mr. Govindrajan partner provided general information and denied for financial details. Trade relations are fair. Business is active. Payments are reported to be slow but correct.

 

The concern can be considered for business dealings with some cautions. .

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – April 1, 2010

 

Country Name

Previous Rating

(31.12.2009)

Current Rating

(01.04.2010)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INFORMATION PARTED BY (General Details)

 

Name :

Mr. K. Govindarajan

Designation :

Managing Partner

Contact No.:

91-9363102996

Date :

28.04.2011

 

 

LOCATIONS

 

Registered Office/ Factory :

5/35-A, Sulur Industrial Estate, Kadampadi Post, Sulur Air Force Station, Coimbatore- 641401, Tamilnadu, India

Tel. No.:

91-422-2684858 / 2689286

Mobile No.:

91-9363102996 (Mr. K. Govindarajan)

Fax No.:

91-422-2683055

E-Mail :

retreadingtools@rediffmail.com

Website :

www.jayalakshmiengg.com

Area:

8500 Sq.ft

Location:

Owned

 

 

PARTNERS

 

Name :

Mr. K. Govindarajan

Designation :

Managing Partner

Address:

13/55-F, S.K.K. Nagar, Sulur, Coimbatore – 641402, Tamilnadu, India

Date of Birth/Age :

36 Years

Qualification :

Bachelor Degree

Experience :

16 Years

 

 

Name :

Mr. K. Karuppannan

Designation :

Partner

Address:

1/434, Kullegounden Pudur, Periyandipalayam (PO), Tirupur – 641687, Tamilnadu, India

Date of Birth/Age :

58 Years

Qualification :

Pre Univercity

Experience :

40 Years

 

 

Name :

Ms K. Palanniammal

Designation :

Partner

Date of Birth/Age :

55 Years

 

 

Name :

Ms G. Parvathi

Designation :

Partner

Address:

13/55-F, S.K.K. Nagar, Sulur, Coimbatore – 641402, Tamilnadu, India

Date of Birth/Age :

34 Years

Qualification :

Bachelor Degree

Experience :

6 Years

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacture of all types of Buffing Blades, Buffing Blade Hubs, Knives, Tungsten Carbide Rasps, Ball Bearing Stitchers, Twisted Steel Wire Bush, Quick Couplers and Adopters.

 

 

Products :
  • Tungsten Carbide Rasps
  • Buffing Rasp Blades
  • Buffing Accessories
  • Tyre Retreading Spaces
  • Retreading Knives
  • Retreading Consumables

 

 

Exports :

 

Countries :
  • South Africa
  • Asia
  • UAE

 

 

Terms :

 

Selling :

Cash, Credit

 

 

Purchasing :

Cash, Credit

 

 

GENERAL INFORMATION

 

Suppliers :
  • Jaipur Steel Strips Private Limited, India
  • Indrajit Industries, India
  • Jupiter Paacmart, India
  • Natural Canvas Company. India
  • Sri Angalamman Traders, India

 

 

Customers :

Retailers and End Users

 

  • Rajmahaal Tyre Equipments Private Limited, India
  • MRF Limited, India
  • T N S T C, Coimbatore Limited, India

 

 

No. of Employees :

18 Approximately

 

 

Bankers :

ICICI Bank, Trichy Road Branch, Coimbatore, Tamilnadu, India

 

 

Facilities :

Credit Limit: Rs.0.800 Million (Estimated)

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

S. Prakasam (STP), C/O R. Saravanan

Chartered Accounts

Address :

201, Mokambikai Complex, 320 (1), Kongu Main Road, Tirupur – 641607, Tamilnadu, India

Tel. No.:

91-421-2232349

Fax No.:

91-421-4334992

 

 

Associates/Subsidiaries :

Nil

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2009

 

Capital Investment :

 

Owned :

Rs.3.352 Millions

Borrowed :

Rs.1.455 Millions

Total :

Rs.4.807 Millions

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

Particulars

 

 

31.03.2010

Sales Turnover (Approximately)

 

 

Not Divulged

 

.ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2009

31.03.2008

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

3.643

3.352

2] Share Application Money

 

0.000

0.000

3] Reserves & Surplus

 

0.322

0.153

4] (Accumulated Losses)

 

(0.322)

(0.154)

NETWORTH

 

3.643

3.351

LOAN FUNDS

 

 

 

1] Secured Loans

 

1.330

1.455

2] Unsecured Loans

 

0.075

0.000

TOTAL BORROWING

 

1.405

1.455

DEFERRED TAX LIABILITIES

 

0.000

0.000

 

 

 

 

TOTAL

 

5.048

4.806

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

4.745

3.810

Capital work-in-progress

 

0.000

0.000

 

 

 

 

INVESTMENT

 

0.000

0.000

DEFERREX TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

0.000

0.000

 

Sundry Debtors

 

1.471

0.766

 

Cash & Bank Balances

 

0.141

0.124

 

Other Current Assets

 

0.460

0.905

 

Loans & Advances

 

0.107

0.151

Total Current Assets
 

2.179

1.946

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities

 

1.851

0.937

 

Provisions

 

0.025

0.013

Total Current Liabilities
 

1.876

0.950

Net Current Assets

 

0.303

0.996

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.000

0.000

 

 

 

 

TOTAL

 

5.048

4.806

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2009

31.03.2008

 

SALES

 

 

 

 

 

Sales

 

8.854

5.799

 

 

Other Income

 

0.070

0.115

 

 

TOTAL                                     (A)

 

8.924

5.914

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Manufacturing Expenses

 

1.339

0.652

 

 

Other Expenditure

 

1.349

1.242

 

 

TOTAL                                     (B)

 

2.688

1.894

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

 

6.236

4.020

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

 

0.274

0.227

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

 

5.962

3.793

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

 

0.250

0.201

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

 

NA

NA

 

 

 

 

 

Less

TAX                                                                  (H)

 

NA

NA

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

 

0.322

0.154

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

 

5.390

3.544

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

--

--

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2009

31.03.2008

PAT / Total Income

(%)
 

3.61

2.60

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

0.90

0.72

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

1.16

2.05

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Trade References:

 

  • Jaipur Steel Strips Private Limited, Jaipur

       Mr. Mageh Goyal – Manager

 

  • MRF Limited, Chennai

      Mr. Titus John, Manager Engineering (Project)

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.44.33

UK Pound

1

Rs.74.14

Euro

1

Rs.65.78

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

2

--CREDIT LINES

1~10

2

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

26

 

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

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

 

 

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.