MIRA INFORM REPORT

 

 

Report Date :

08.08.2011

 

IDENTIFICATION DETAILS

 

Name :

TECHMA ENGINEERING ENTERPRISE PRIVATE LIMITED

 

 

Registered Office :

Stephen House, Room No.51-C, 3rd Floor, 4, Hemant Basu Sarani, Kolkata – 700 001, West Bengal

 

 

Country :

India

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

11.08.2009

 

 

Com. Reg. No.:

21-137679

 

 

Capital Investment / Paid-up Capital :

Rs.15.500 Millions

 

 

CIN No.:

[Company Identification No.]

U27100WB2009PTC137679

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Exporter of Railway Tracks Fittings, Overhead Electric Line Hardware.

 

 

No. of Employees :

50 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (28)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 264000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is a successor of Techma Engineering Enterprises which was started as partnership concern in 1984.

 

It is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow.

 

The company 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

 

Name :

Mr. H. Bhattacharyya

Designation :

Export Manager

Contact No.:

91-33-22314497

Date :

06.08.2011

 

 

LOCATIONS

 

Registered Office :

Stephen House, Room No.51-C, 3rd Floor, 4, Hemant Basu Sarani, Kolkata – 700 001, West Bengal, India

Tel. No.:

91-33-22314497/ 4498/ 26659746

Mobile No.:

91-9830036189 / 9830066566 (Mr. D.K. Jain)

Fax No.:

91-33-22427685

E-Mail :

d.k.jain@vsnl.com

Website :

http://www.techmaforging.com

Area :

2500 sq. ft.

Location :

Rented

 

 

Factory :

Dajor, Hawrah, West Bengal, India

Area :

150000 sq. ft.

Location :

Owned

 

 

DIRECTORS

 

As on 30.09.2010

 

Name :

Mr. Devendra Kumar Jain

Designation :

Director

Address :

13, Salkia School Road, Salika, Howrah – 711 106, West Bengal, India

Date of Birth/Age :

18.10.1956

Qualification :

B. Com

Date of Appointment :

11.08.2009

DIN No.:

01569280

 

 

Name :

Mrs. Kamaladevi Jain

Designation :

Director

Address :

13, Salkia School Road, Salika, Howrah – 711 106, West Bengal, India

Date of Birth/Age :

22.06.1938

Date of Appointment :

11.08.2009

DIN No.:

02734418

 

 

Name :

Ms. Asha Jain

Designation :

Director

Address :

13, Salkia School Road, Salika, Howrah – 711 106, West Bengal, India

Date of Birth/Age :

07.04.1958

Date of Appointment :

07.01.2010

DIN No.:

02905971

 

 

Name :

Mr. Itesh Kumar Devendra Jain

Designation :

Director

Address :

13, Salkia School Road, Salika, Howrah – 711 106, West Bengal, India

Date of Birth/Age :

22.11.1980

Date of Appointment :

11.08.2009

Date of Ceasing :

31.12.2009

DIN No.:

01957368

 

 

KEY EXECUTIVES

 

Name :

Mr. H. Bhattacharyya

Designation :

Export Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2010

 

Names of Shareholders

 

 

No. of Shares

Kamala Devi Jain

 

100000

Devendra Kumar Jain

 

800000

Deepchand Jain

 

20000

Itesh Kumar Jain

 

20000

Kamna Jain

 

20000

Asha Jain

 

20000

Niraj Jain

 

20000

Techma Engineering Private Limited, India

 

550000

Total

 

1550000

 

As on 30.09.2010

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Bodies corporate

 

35.48

Other top fifty shareholders

 

64.52

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Railway Tracks Fittings, Overhead Electric Line Hardware.

 

 

Products :

v      Railways Crossing and Glued Joints

v      Rubber Moulded Products

v      Railways Fasteners

v      Railway Overhead Fitting

v      Railway Clip and Clamps

v      Forged Railway Fasteners

v      Railway Rubber Pads and Rubber Components

 

 

Exports :

 

Products :

v      Railway Tracks Fittings

Countries :

v      European Countries

v      Sri Lanka

v      Bangladesh

 

 

Terms :

 

Selling :

L/C, Cash and Credit

 

 

Purchasing :

Cash and Credit

 

PRODUCTION STATUS (AS ON 31.03.2010)

 

Particulars

2009-10

( Figures in M.T )

Licensed Capacity of Production

9 0,000.000

 

 

Particulars

Production/ Transferred

Qt ( in M.T and units )

Bolts and Nuts (Manufacturing)*

165393.00 Nos.

Clip and Bolt Washer for Export

34600.00 Nos.

Dog Spikes 49000.00 Nos.

49000.00 Nos.

Fish Plate Manufacturing - T-1898

3021.00 Nos.

Fish Plates

170.020 MTs

Fish Plate(Special) T-5916

2750.00 Sets

Fish Plates(T-5848) in Nos.

21301.00 Nos.

Fish Plates - T - 5916

6018.00 Nos.

Fish Plates to T-5915

1559.00 Nos.

Fish Plate (T - 2186) Manufacturing

576.00 Nos.

Fish Plate to T-090(M)

20865.00 Nos.

Jog. Fish Plates to T-5849

2982.00 Nos.

Jogg. Fish Plates (T-5551) in Nos.

28889.00 Nos.

Joggled Fish Plate(T - 5551)

19628.00 Sets

Joggled Fish Plate T-5848

10000.00 Sets

Joggled Fish Plate to T-5849

3000.00 Sets

Metal Liner - T-3738

364945.00 Nos.

Metal Liner to T-3740

120647.00 Nos.

Metal Liner to T-3741

1674241.00 Nos.

Metal Liner to T-3742

1504780.00 Nos.

Single Coil Spring Washers*

12457.00 Nos.

Steel Clamp and Bolt Washer*

305470.00 Nos.

 

 

GENERAL INFORMATION

 

Customers :

End Users

 

 

No. of Employees :

50 (Approximately)

 

 

Bankers :

v      Bank of India, Dobson Lane Branch, P-4, Dobson Lane, Howrah – 711 101, West Bengal, India

v      HDFC Bank Limited

v      Punjab National Bank

v      State Bank of India

v      Corporation Bank

 

 

Facilities :

Unsecured Loans

 

31.03.2010

Rs. In Millions

From Shareholders

 

 

D.K. Jain and Sons (HUF)

 

1.787

Deep Chand Jain

 

0.739

Deep Chand Jain and Sons

 

0.366

Kamla Devi Jain

 

2.622

From Bodies Corporate

 

 

Silverson Mercantile Private Limited

 

19.527

Total

 

25.041

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Bothra Nirmal and Associates

Chartered Accountants

Address :

7/1B, Grant Lane, 1st Floor, Room No.15, Kolkata – 700 012, West Bengal, India

PAN No.:

AACFB3320N

 

 

Memberships :

Engineering Export Promotion Council of India (EEPC)

 

 

Associates :

v      Silverson Mercantile Private Limited

v      Fairdeal Engineering and Body Building Company Private Limited

 

 

CAPITAL STRUCTURE

 

As on 30.09.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

2000000

Equity Shares

Rs.10/- each

Rs.20.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

1550000

Equity Shares

(1550000 equity share of which 1000000 shares are allotted at par on takeover on non cash basis to partners of the firm taken over by the company.)

Rs.10/- each

Rs.15.500 Millions

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

15.500

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

50.619

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

66.119

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

0.000

2] Unsecured Loans

 

 

25.041

TOTAL BORROWING

 

 

25.041

DEFERRED TAX LIABILITIES

 

 

0.060

 

 

 

 

TOTAL

 

 

91.220

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

10.299

Capital work-in-progress

 

 

0.000

 

 

 

 

INVESTMENT

 

 

3.022

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

 

92.351

 

Sundry Debtors
 

 

73.769

 

Cash & Bank Balances
 

 

3.857

 

Other Current Assets
 

 

0.000

 

Loans & Advances
 

 

43.782

Total Current Assets
 

 

213.759

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
 

 

130.236

 

Other Current Liabilities
 

 

4.645

 

Provisions
 

 

1.019

Total Current Liabilities
 

 

135.900

Net Current Assets
 

 

77.859

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.040

 

 

 

 

TOTAL

 

 

91.220

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

 

31.03.2010

 

SALES

 

 

 

 

Income

 

 

292.063

 

 

Other Income

 

 

 

 

 

TOTAL                                    

 

 

292.063

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Office Expenses

 

290.444

 

 

Administrative Expenses

 

 

 

 

 

Advertising Expenses

 

 

 

 

 

TOTAL                                    

 

 

290.444

 

 

 

 

 

 

PROFIT BEFORE TAX

 

 

1.619

 

 

 

 

 

Less

TAX                                                                 

 

 

0.500

 

 

 

 

 

 

PROFIT AFTER TAX

 

 

1.119

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

 

 

0.000

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

 

 

1.119

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

 

 

6.964

 

TOTAL EARNINGS

 

 

6.964

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

 

0.72

 

Particulars

 

 

 

31.03.2011

Sales Turnover (Approximately)

 

 

800.000

 

 

 

 

 

The above information has been parted by Mr. H. Bhattacharyya (Export Manager).

 

 

KEY RATIOS

 

PARTICULARS

 

 

 

 

31.03.2010

PAT / Total Income

(%)
 

 

0.38

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
 

 

0.72

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
 

 

0.02

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

 

2.43

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

 

1.57

 

 

LOCAL AGENCY FURTHER INFORMATION

 

FORM 8:

 

Corporate identity number of the company

U27100WB2009PTC137679

Name of the company

TECHMA ENGINEERING ENTERPRISE PRIVATE LIMITED

Address of the registered office or of the principal place of  business in India of the company

Stephen House, Room No.51-C, 3rd Floor, 4, Hemant Basu Sarani, Kolkata – 700 001, West Bengal, India

E-Mail: dkjain@vsnl.com

This form is for

Modification of charge

Charge identification number of the modified 

10291367

Type of charge

Immovable Property

Book Debts

Movable Property

Others (Plant and Machinery)

Particular of charge holder

Bank of India, Dobson Lane Branch, P-4, Dobson Lane, Howrah – 711 101, West Bengal, India

E-Mail: DobsonLane.Howrah@bankofindia.co.in

Nature of description of the instrument creating or modifying the charge

No Instrument, Oral Assent.

Date of instrument Creating the charge

14.05.2011

Amount secured by the charge

Rs.30.000 millions

Brief particulars of the principal terms an conditions and extent and operation of the charge

Rate of Interest:

Interest will be charged at 3% above Base Rate, effective present rate of 13% p.a. payable with monthly rests.

 

Terms of Repayment:

Cash Credit repayable on demand

 

Margin:

Cash Credit (Stock/ Inventories): 25% And Cash Credit [Book Debts (90 days old)]: 25%,

Bank Guarantee (Inland): 15%, LC (I/F) (DP/DA 60 days): 15%.

 

Extent and Operation of the charge:

EQM of land and building and factory shed with structures situated at Mouza - Chakhari, Domjur, Howrah measuring 1.18 acre.

Short particulars of the property charged

Hypothecation of raw materials i.e. Iron and Steels, SIP, semi finished goods, finished goods like fish plates, metal linus etc, scrap, consumable stores.

All the book debts outstandings, money receivable, claims and bills etc.

Hypothecation of tangible movable machinery and plant (both present and future).

Equitable mortgage of i) Mouza - Chakhari, Domjur, Howrah. Extent 1.18 acre. J.L.No.3, Old Khatian No.111, R.S.No.254 (Kri), L.R. Khatian No.542 (503), L.R. dag No.18, P.S. Domjur, District Howrah.

Particulars of the present modification 

Overall limit has been increased/ revised from Rs.10.000 millions to Rs.30.000 millions, Presently, the borrower has created additional security by way of creation of equitable mortgage over immovable property as described above. The details of credit limits are as under:-

 

Facilities

Amount

(Rs. in millions)

CC  

10.000

NFB

LC (I/F)

(DP/DA 60 days)

 

 

20.000

BG (Inland)  

20.000

Maximum NFB

20.000

Total Maximum

30.000

 

TRADE REFERENCES:

 

v      Indian Railways

v      Bangladesh Railways

 

FIXED ASSETS:

 

v      Air Conditioner

v      Computers

v      Dice and Gauge

v      Electrical Fittings

v      Electronic Weighbridge

v      Factory Building and Shed

v      Furniture and Fixture

v      Generator

v      Laboratory Equipments

v      Land

v      Loose Tools

v      Motor Car

v      Office Equipment

v      Plant and Machinery

v      Scooter

 

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.44.80

UK Pound

1

Rs.72.85

Euro

1

Rs.63.11

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

2

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--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

 

28

 

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

-

NB

                                       New Business

-

 

 

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.