MIRA
INFORM REPORT
|
Report Date : |
10.08.2011 |
IDENTIFICATION DETAILS
|
Name : |
INDIAN STITCHES PRIVATE LIMITED |
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Registered
Office : |
24/ 64, Asher Nagar, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
27.06.2003 |
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Com. Reg. No.: |
18-010648 |
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Capital
Investment / Paid-up Capital : |
Rs.34.964 millions |
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CIN No.: [Company Identification
No.] |
U18101TZ2003PTC010648 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
CMBI03305B |
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PAN No.: [Permanent Account No.] |
AABCI1268C |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacturer of Hosiery Products, Undergarments, Yarn, Textiles and
Fabrics. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 569000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track. Trade
relation are reported as fair. Business is active. Payments are reported to
be usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and condition. |
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) |
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|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
24/ 64, Asher Nagar, |
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Tel. No.: |
91-421-2481623 / 2481625 |
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Fax No.: |
91-421-2481626 |
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E-Mail : |
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Factory 1 : |
Plot No. J 26, K 10 and K 11, SIPCOT Industrial Growth Centre,
Perundurai – 638 052, |
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Factory 2: |
# Plot J 10,4th |
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Tel. No.: |
91-4285-264145 |
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Mobile No.: |
91-9952424813 |
DIRECTORS
As on 30.09.2010
|
Name : |
Mr. Vishal Kumar Sehgal |
|
Designation : |
Director |
|
Address : |
24/ 64, Asher Nagar, |
|
Date of Birth/Age : |
04.07.1974 |
|
Date of Appointment : |
27.06.2003 |
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DIN No.: |
00398587 |
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Name : |
Mr. Vijay Kurana |
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Designation : |
Director |
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Address : |
6, Ktitika Apartment, Near AEPC, Tirupur, |
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Date of Birth/Age : |
24.03.1972 |
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Date of Appointment : |
27.06.2003 |
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DIN No.: |
00507763 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2010
|
Names of Shareholders |
|
No. of Shares |
|
Vishal Kumar Sehgal |
|
2984640 |
|
Vijay Khurana |
|
3750 |
|
Tailors Creation Private Limited |
|
28000 |
|
Sonal Sehgal |
|
480000 |
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Total |
|
3496390 |
As on 30.09.2010
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage |
|
Bodies corporate |
0.80 |
|
Directors or relatives of Directors |
99.20 |
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Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Hosiery Products, Undergarments, Yarn, Textiles and
Fabrics. |
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Products : |
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GENERAL INFORMATION
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Bankers : |
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Rs In Millions |
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Facilities : |
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Banking
Relations : |
-- |
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Financial Institution : |
Cholamandalam DBS Finance Limited |
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Auditors : |
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Name : |
R. Balasubramanian and Associates Chartered Accountants |
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Address : |
32-G, Subhalakshmi Complex, Binny |
CAPITAL STRUCTURE
After 30.09.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
3500000 |
Equity Shares |
Rs.10/- each |
Rs.35.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
3496390 |
Equity Shares |
Rs.10/- each |
Rs.34.964
millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
34.964 |
29.964 |
29.964 |
|
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
107.477 |
53.436 |
36.955 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
(2.288) |
|
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NETWORTH |
142.441 |
83.400 |
64.631 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
103.270 |
131.772 |
162.494 |
|
|
2] Unsecured Loans |
71.769 |
81.089 |
109.795 |
|
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TOTAL BORROWING |
175.039 |
212.861 |
272.289 |
|
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DEFERRED TAX LIABILITIES |
0.000 |
4.166 |
0.000 |
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|
|
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|
|
|
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TOTAL |
317.480 |
300.427 |
336.920 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
258.048 |
283.826 |
301.663 |
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Capital work-in-progress |
0.705 |
0.000 |
0.000 |
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INVESTMENT |
1.526 |
1.527 |
1.527 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
1.453 |
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
10.085
|
6.919
|
4.447 |
|
|
Sundry Debtors |
104.258
|
78.193
|
30.406 |
|
|
Cash & Bank Balances |
1.280
|
2.651
|
3.048 |
|
|
Other Current Assets |
2.346
|
3.057
|
1.365 |
|
|
Loans & Advances |
19.560
|
17.588
|
34.178 |
|
Total
Current Assets |
137.529
|
108.408
|
73.444 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
58.407
|
57.360
|
39.818 |
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Other Current Liabilities |
15.282
|
32.127
|
0.105 |
|
|
Provisions |
6.639
|
3.847
|
1.244 |
|
Total
Current Liabilities |
80.328
|
93.334
|
41.167 |
|
|
Net Current Assets |
57.201
|
15.074
|
32.277 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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|
|
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|
|
|
|
TOTAL |
317.480 |
300.427 |
336.920 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
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SALES |
|
|
|
|
|
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Income |
426.392 |
355.355 |
122.186 |
|
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Other Income |
6.996 |
(3.520) |
8.861 |
|
|
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TOTAL (A) |
433.388 |
351.835 |
131.047 |
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|
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Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material Purchase |
191.407 |
161.331 |
53.146 |
|
|
|
Manufacturing Expenses |
171.287 |
131.634 |
52.104 |
|
|
|
Administrative Expenses |
4.198 |
3.487 |
3.043 |
|
|
|
Selling Expenses |
1.756 |
1.953 |
2.008 |
|
|
|
Preliminary Expenses W/off |
0.000 |
0.000 |
0.032 |
|
|
|
Exchange Loss/ (Gain) |
0.000 |
0.000 |
(0.762) |
|
|
|
Increase/ Decrease in stock |
(3.166) |
(2.471) |
1.188 |
|
|
|
TOTAL (B) |
365.482 |
295.934 |
110.759 |
|
|
|
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|
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
67.906 |
55.901 |
20.288 |
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Less |
FINANCIAL
EXPENSES (D) |
13.886 |
16.146 |
13.342 |
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|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
54.020 |
39.755 |
6.946 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
29.145 |
15.268 |
12.878 |
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PROFIT BEFORE
TAX (E-F) (G) |
24.875 |
24.487 |
(5.932) |
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Less |
TAX (I) |
0.000 |
5.718 |
(1.972) |
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PROFIT AFTER TAX
(G-I) (J) |
24.875 |
18.769 |
(3.960) |
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
15.481 |
(2.288) |
1.672 |
|
|
|
|
|
|
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|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
11.567 |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
28.789 |
16.481 |
(2.288) |
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EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
USD |
71239.51 |
103846.62 |
23617.55 |
|
|
|
EURO |
250464.08 |
746176.62 |
252584.35 |
|
|
|
GBP |
0.000 |
1616.90 |
181760.98 |
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|
|
|
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|
Earnings Per
Share (Rs.) |
7.11 |
6.26 |
-1.48 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
5.74
|
5.33
|
(3.02) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.83
|
6.89
|
(4.85) |
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|
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
6.27
|
6.24
|
(1.58) |
|
|
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|
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.17
|
0.29
|
(0.09) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.79
|
3.67
|
4.85 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.71
|
1.16
|
1.78 |
LOCAL AGENCY FURTHER INFORMATION
|
Corporate
identity number of the company |
U18101TZ2003PTC010648 |
|
Name of the
company |
INDIAN STITCHES PRIVATE LIMITED |
|
Address of the registered
office or of the principal place of
business in |
24/ 64, Asher Nagar, E-Mail: pktodi@internationaltrading.in |
|
This form is for |
Creation of
charge |
|
Type of charge |
Immovable
Property Book Debts Movable Property |
|
Particular of
charge holder |
Bank of India,
Tirupur SME Branch, Park Avenue, Avinashi Road Junction, Kumar Nagar, Tirupur
– 641 603, Tamilnadu, India |
|
Nature of
description of the instrument creating or modifying the charge |
Letter from bank
dated 10.02.2010 to create charge stating the terms set out
in sanction letter dated 24.12.2009 executed on 09.01.2009 |
|
Date of
instrument Creating the charge |
10.02.2010 |
|
Amount secured by
the charge |
Rs.115.300
millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest: Working Capital:
13% (BPLR+1%) Term Loan: 13%
(BPLR+1%) PCFC/FBC
LIBOR+3.5% Terms of
Repayment: 1. Term loan:
loan amount of Rs.86.100 millions is repayable in 76 monthly Installments of
1.132 millions each commencing from one month after the sanction. 2. Working
capital : on demand Margin: CC 25% PC 25% PCFC 25% FBP 10% Extent and
Operation of the charge: Rs.115.300
millions secured by 1. Exclusive charge on stocks and book debts
of the company. 2. Equitable mortgage of land and building at 3. Equitable mortgage of land and building at
SIPCOT Perundarai 4. Hypothecation of all machineries and fixed assets of the company |
|
Short particulars
of the property charged |
Equitable
mortgage on: i) Land to the extend of 1.8 acres situated at ii) Equitable mortgage
on: All piece and parcel of land known as J-26, K-11 in the SIPCOT Industrial
Growth Centre, Perundurai District of Erode containing by adme. 9.46 acre or
thereabout and marked by Gree. iii)
Hypothecation of all machineries and
fixed assets of the company iv) Exclusive
charge on stocks and book debts of the
company |
FIXED ASSETS:
- Land and
Building
- Computer and
Appliances
- Machinery
- Vehicles
- Furniture and
Fittings
- Electrical
and Fittings
- Computer and Appliances
- Software Purchase
- Boiler
- Office Equipments
- UPS
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.45.17 |
|
|
1 |
Rs.73.72 |
|
Euro |
1 |
Rs.64.26 |
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 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--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 |
NO |
|
--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 |
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 |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.