MIRA
INFORM REPORT
|
Report Date : |
10.08.2011 |
IDENTIFICATION DETAILS
|
Name : |
TVS NOVOTEMA ELASTOMERIC ENGINEERED PRODUCTS PRIVATE LIMITED |
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Registered
Office : |
TVS Building, 7-B West Veli Street, Madurai-625001, Tamilnadu |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
12.12.2007 |
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Com. Reg. No.: |
18-065714 |
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Capital Investment
/ Paid-up Capital : |
Rs.70.000
Millions |
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CIN No.: [Company Identification
No.] |
U34300TN2007PTC065714 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
MRIT02253G |
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PAN No.: [Permanent Account No.] |
AACCT8231B |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacturer of Elastomeric Products. |
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No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (27) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 230000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is a joint venture between Sundaram Industries Limited, It is a company having moderate track. There appears some accumulated losses
recorded by the company. 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 caution.
|
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 |
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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: |
TVS Building, 7-B West Veli Street, Madurai-625001, |
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Tel. No.: |
91-452-2420355 |
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E-Mail : |
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Factory: |
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Tel No.: |
91-452-2420355 |
DIRECTORS
As on 30.08.2010
|
Name : |
Mr. Naresh Ramachandhran |
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Designation : |
Director |
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Address : |
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Date of Birth/Age : |
28.02.1957 |
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Date of Appointment : |
12.12.2007 |
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Din No.: |
00273609 |
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Name : |
Ms. Shobhana Ramachandharan |
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Designation : |
Director |
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Address : |
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Date of Birth/Age : |
30.01.1960 |
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Date of Appointment : |
12.12.2007 |
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Din No.: |
00273837 |
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Name : |
Mr. Costanzo Pederzani |
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Designation : |
Director |
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Address : |
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Date of Birth/Age : |
09.06.1957 |
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Date of Appointment : |
12.12.2007 |
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Din No.: |
01829686 |
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Name : |
Mr. Massimo Ranzani |
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Designation : |
Director |
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Address : |
Via Brera 17, 20011, Corbettami-20011, |
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Date of Birth/Age : |
06.11.1968 |
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Date of Appointment : |
12.12.2007 |
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Din No.: |
00273609 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.08.2010
|
Names of Shareholders |
|
No. of Shares |
|
Sundaram Industries Limited |
|
3494900 |
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Sundaram Industries Limited and Naresh Ramachandhran |
|
5100 |
|
Novotema S.P.A |
|
3500000 |
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|
|
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Total |
|
7000000 |
As on 30.08.2010
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
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|
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Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
|
50.00 |
|
Bodies
corporate |
|
50.00 |
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Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Elastomeric Products. |
PRODUCTION STATUS (AS ON 31.03.2010)
|
Particulars |
Unit |
Actual
Production |
|
O Rings |
Nos. |
18487980 |
GENERAL INFORMATION
|
Bankers : |
State Bank of |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Deloitte Haskins and Sells Chartered Accountant |
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Address : |
ASV N Ramana Tower, |
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Tel. No.: |
91-44-66885000 |
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Fax No.: |
91-44-66885050 |
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Joint Venture: |
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CAPITAL STRUCTURE
As on 30.08.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs.10/- each |
Rs.150.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
7000000 |
Equity Shares |
Rs.10/- each |
Rs.70.000
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
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|
1] Share Capital |
|
70.000 |
50.000 |
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|
2] Share Application Money |
|
0.000 |
0.000 |
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|
3] Reserves & Surplus |
|
0.000 |
0.000 |
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|
4] (Accumulated Losses) |
|
(10.042) |
(4.009) |
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NETWORTH |
|
59.958 |
45.991 |
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|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
137.000 |
51.194 |
|
|
2] Unsecured Loans |
|
0.000 |
0.000 |
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|
TOTAL BORROWING |
|
137.000 |
51.194 |
|
|
DEFERRED TAX LIABILITIES |
|
1.734 |
0.000 |
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|
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TOTAL |
|
198.692 |
97.185 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
|
88.949 |
1.322 |
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Capital work-in-progress |
|
72.197 |
83.720 |
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INVESTMENT |
|
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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|
|
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Inventories |
|
13.330
|
3.691 |
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|
Sundry Debtors |
|
12.182
|
3.465 |
|
|
Cash & Bank Balances |
|
1.297
|
2.048 |
|
|
Other Current Assets |
|
0.000
|
0.000 |
|
|
Loans & Advances |
|
26.220
|
13.486 |
|
Total
Current Assets |
|
53.029
|
22.690 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
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|
Sundry Creditors |
|
10.746
|
16.039 |
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|
Other Current Liabilities |
|
4.482
|
1.505 |
|
|
Provisions |
|
0.255
|
0.193 |
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Total
Current Liabilities |
|
15.483
|
17.737 |
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|
Net Current Assets |
|
37.546
|
4.953 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
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OTHERS |
|
0.000 |
7.190 |
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|
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TOTAL |
|
198.692 |
97.185 |
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PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
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SALES |
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Income |
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Other Income |
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TOTAL |
|
30.825 |
NA |
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Less |
EXPENSES |
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Office Expenses |
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Administrative Expenses |
|
35.123 |
3.865 |
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Advertising Expenses |
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TOTAL |
|
35.123 |
3.865 |
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PROFIT BEFORE
TAX |
|
(4.298) |
(3.840) |
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Less |
TAX |
|
1.734 |
NA |
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PROFIT AFTER TAX
|
|
(6.032) |
NA |
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EARNINGS IN
FOREIGN CURRENCY |
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Export Earnings |
|
0.065 |
0.035 |
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IMPORTS |
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Raw Materials |
|
20.055 |
5.765 |
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Capital Goods |
|
60.192 |
9.705 |
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TOTAL IMPORTS |
|
80.247 |
15.470 |
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Earnings Per
Share (Rs.) |
|
(1.02) |
(1.59) |
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KEY RATIOS
|
PARTICULARS |
|
|
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
|
(19.57) |
NA |
|
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
(3.03) |
(15.99) |
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Return on Investment (ROI) (PBT/Networth) |
|
|
(0.07) |
(0.08) |
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|
Debt Equity Ratio (Total Liability/Networth) |
|
|
2.54 |
1.50 |
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Current Ratio (Current Asset/Current Liability) |
|
|
3.42 |
1.28 |
LOCAL AGENCY FURTHER INFORMATION
ABOUT THE COMPANY:
The Company was incorporated on 12th December 2007 as a Private Limited
Company. The Company is formed as a Joint Venture between Novetema S.P.A. and
Sundaram Industries Limited to carry on the business of manufacture, produce
and service in pure Elastomeric products. The registered office and
manufacturing facility is situated in
PERFORMANCE
The company has achieved Sales of Rs.31.330 Millions ((Inclusive of Excise Duty) during the period from 01/07/2009 to 31/03/2010.
MARKETING
The Company has the technical capability to cater to all the
segments in the industry. The company has been able to enter into water
distribution system with FDA approved material and having a high market share.
The company is also into green energy sector for critical gaskets and o-rings.
The company has been able to offer many critical parts to the automotive
customers for import substitution. The company has started to Export some
products to
FINANCE
The Company has availed Term Loan from State Bank of
OPERATING RESULTS:
The company has commenced its commercial operations from
July'2009. During the period from July'2009 to March'2010, The Company has done
INR 31.33 Million of sales and INR 1.630 Million on
CONTINGENT LIABILITIES:
|
Particular |
As on 31.03.2010 (Rs. in
Millions) |
As on 31.03.2009 (Rs. in
Millions) |
|
Outstanding Letter of Credit |
0.000 |
8.553 |
|
Capital Commitments Estimated amount of contract remaining to be
executed on capital account and not provided for (excluding capital advances) |
6.762 |
0.000 |
|
Total |
6.762 |
8.553 |
BANKERS CHARGES
REPORT AS PER REGISTRY
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified |
10114176 |
|
Corporate identity
number of the company |
U34300TN2007PTC065714 |
|
Name of the
company |
TVS NOVOTEMA
ELASTOMERIC ENGINEERED PRODUCTS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in |
TVS Building, 7-B West Veli Street, Madurai-625001, |
|
Type of charge |
Book Debts Movable Property
(not being pledge) |
|
Particular of
charge holder |
State Bank of |
|
Email |
|
|
Nature of
description of the instrument creating or modifying the charge |
1. Supplemental
Agreement of Loan for increase in the Overall Limit 2. Supplemental
Agreement of Hypothecation of Goods and assets for increase in the Overall
Limit 3. Letter
regarding the grant of individual limits within the overall Limit |
|
Date of
instrument Creating the charge |
01.04.2011 |
|
Amount secured by
the charge |
Rs.169.200
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Terms of
Repayment 1.Cash Credit
(Hypothecation) and LC (WC): Repayable on demand. Limits are tenable for a period of 12
months from the date of sanction and renewable thereafter after review. 2. TL I, II and
III - There is no change in the existing sanction stipulations Margin 1.
RM/SIP/FG/Receivables - 25% 2. LC (WC) - 10% Others Cover period for
Book Debts - 90 days |
|
Short particulars
of the property charged |
Hypothecation of
Stocks, Book Debts, Plant and Machineries. |
|
Date of latest
modification prior to the present modification |
26.02.2010 |
|
Particulars of
the present modification |
Overall Limit is
increased from Rs.164.000 Millions to Rs.169.200 Millions. Extension of
Hypothecation as exclusive first charge of Company's all present and future
Stocks, Book Debts /Receivables, Plant and Machineries as Security for the enhanced Overall Limit
of Rs.16.92Cr., together with interest, cost, charges and other expenses that
may accrue and/or be debited to the Company's accounts from time to time. All
other terms and conditions remain unaltered. |
FIXED ASSETS:
- Plant and Machinery
- Computer
- Electrical Fittings
- Office Equipments
- Furniture and Fixtures
- Vehicles
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.64.25 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
27 |
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 |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.