MIRA INFORM REPORT

 

 

Report Date :

26.08.2011

 

IDENTIFICATION DETAILS

 

Name :

M AND B ENGINEERING LIMITED (w.e.f. 30.03.2011)

 

PHENIX CONSTRUCTION TECHNOLOGIES (DIVISION OF M AND B ENGINEERING LIMITED)

 

 

Formerly Known As :

M AND B ENGINEERING PRIVATE LIMITED

 

 

Registered Office :

‘M.B. House’, 51, Chandrodaya Society, Opposite Golden Triangle, Stadium Road, Post Navjivan,  Ahmedabad – 380 014, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

16.06.1981

 

 

Com. Reg. No.:

04-004437

 

 

Capital Investment / Paid-up Capital :

Rs.200.000 Millions

 

 

CIN No.:

[Company Identification No.]

U45200GJ1981PLC004437

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

AHMM00926C

 

 

PAN No.:

[Permanent Account No.]

AAACM7430Q

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of Steel Structure and Pre Engineering Building.

 

 

No. of Employees :

1800 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (54)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 2010000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established company having fine track. General financial position is good. Trade relations are reported as fair. Business is active. Payments are reported to be correct and as per commitments.

 

The company can be considered good for normal business dealings at usual trade terms and conditions.

 

NOTES :

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

 

INFORMATION PARTED BY

 

Name :

Mr. Keyur Shah

Designation :

Senior General Manager – Finance

Date :

25.08.2011

 

 

LOCATIONS

 

Registered/ Corporate Office :

‘M.B. House’, 51, Chandrodaya Society, Opposite Golden Triangle, Stadium Road, Post Navjivan,  Ahmedabad – 380 014, Gujarat, India

Tel. No.:

91-79-26405563/ 26405572/ 26461314

Fax No.:

91-79-26400828/ 26400826/ 26568433/ 26561588

E-Mail :

gmfin@mbproflex.com

pmsystem@sancharnet.in

keyur@mbproflex.com

info@mbproflex.com

sanjivseth2004@yahoo.com

Website :

www.mbproflex.com

www.phenixvp.com

Area :

15000 sq. ft.

Location :

Owned

 

 

Factory :

Phenix Construction Technologies

Plot No.30 P, Village Naranpura, Taluka Sanand, District Ahmedabad – 382 213, Gujarat, India

Tel. No.:

91-2717-273051-52-53-54-55-56

Fax No.:

91-2717-273052

Area :

20 Acers

Location :

Owned

 

 

Sales Offices :

Located at:

 

v      Ahmedabad

v      Mumbai

v      Chennai

v      Delhi 

v      Indore

v      Pune 

v      Bangalore

 

 

DIRECTORS

 

As on 30.09.2010

 

Name :

Mr. Manibhai Shivabhai Patel

Designation :

Chairman

Address :

7, Friends Colony, Near D.K. Patel Hall, Naranpura, Ahmedabad - 380 013, Gujarat, India

Date of Birth/Age :

03.08.1924

Date of Appointment:

16.06.1981

DIN No.:

00261802

PAN No. :

AATPP0123E

 

 

Name :

Mr. Hasmukhbhai Shivabhai Patel

Designation :

Vice Chairman

Address :

7, Friends Colony, Near D.K. Patel Hall, Naranpura, Ahmedabad - 380 013, Gujarat, India

Date of Birth/Age :

24.09.1935

Qualification :

B.E. Civil and Electrical

Date  of Appointment:

16.06.1981

DIN No.:

00260955

PAN No. :

ACVPP7829P

 

 

Name :

Mr. Chirag Hasmukhbhai Patel

Designation :

Managing Director

Address :

7, Friends Colony, Near D.K. Patel Hall, Naranpura, Ahmedabad - 380 013, Gujarat, India

Date of Birth/Age :

26.03.1971

Qualification :

B.E. Civil

Date of Appointment:

01.05.1993

DIN No.:

00260514

PAN No. :

AEHPP8762P

 

 

Name :

Mr. Malav Girishbhai Patel

Designation :

Managing Director

Address :

Nisarg Farm, Mumatpura Road, B/H Karnavati Club, Opposite Sarkhej Gandhinagar Highway, Ahmedabad – 380 051, Gujarat, India

Date of Birth/Age :

20.10.1976

Date of Appointment:

01.03.2001

DIN No.:

00260602

 

 

Name :

Dr. Rangarajan Krishnan Vijaya Raghavan

Designation :

Joint Managing Director and Chief Executive Officer

Address :

Plot No.35, 8-2-120/86/9/A/35, Rao and Raju Colony, Road No.14, Banjara Hills, Hyderabad – 500 034, Andhra Pradesh, India

Date of Birth/Age :

07.08.1948

Qualification :

BE Hons, MBA – Business Management, Ph.D.

Experience :

36 Years

Date of Appointment:

01.09.2007

DIN No.:

01839422

 

 

Name :

Mr. Vipinbhai Kantilal Patel

Designation :

Director – Finance

Address :

2, Nandanvan, Near Shyam Vihar Bunglow, Thaltej-Shilaj Road, Ahmedabad – 380 051, Gujarat, India

Date of Birth/Age :

17.03.1948

Qualification :

B. Com. Inter CA

Date of Appointment:

31.12.1984

DIN No.:

00260734

PAN No. :

AEQPP4916C

 

 

Name :

Mr. Girishbhai Manibhai Patel

Designation :

Director – Technical

Address :

Nisarg Farm, Mumatpura Road, B/H Karnavati Club, Opposite Sarkhej Gandhinagar Highway, Ahmedabad – 380 051, Gujarat, India

Date of Birth/Age :

31.08.1947

Qualification :

Diploma in Hydraulic Engineering

Date of Appointment:

31.12.1984

DIN No.:

00261624

PAN No. :

AAWPP1120E

 

 

KEY EXECUTIVES

 

Name :

Ms. Briva Chiragbhai Patel

Designation :

Company Secretary

Address :

7, Friends Colony, Near D.K. Patel Hall, Naranpura, Ahmedabad - 380 013, Gujarat, India

Date of Birth/Age :

02.06.1973

Date of Appointment:

01.11.2008

PAN No.:

AEVPP5751L

 

 

Name :

Mehta Hurkat and Associates

Designation :

Practising Company Secretary (Company Secretaries)

Address :

503, Diwan Chambers, Opposite Loha Bhawan, Ahsram Road, Ahmedabad – 380 009, Gujarat, India

 

 

Name :

Mr. Keyur Shah

Designation :

Senior General Manager – Finance

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2010

 

Names of Shareholders

 

 

No. of Shares

Manibhai S. Patel

 

1120000

Hasmukhbhai S. Patel

 

1120000

Girishbhai M. Patel

 

1040000

Umaben G. Patel

 

320000

Malav G. Patel

 

1120000

Chirag H. Patel

 

1680000

Vipinbhai K. Patel

 

400000

Leenaben V. Patel

 

160000

Aditya V. Patel

 

240000

Birvaben C. Patel

 

800000

Total

 

8000000

 

As on 04.03.2011

 

Names of Allottees

 

 

No. of Shares

Manibhai S. Patel

 

1400000

Hasmukhbhai S. Patel

 

1400000

Girishbhai M. Patel

 

1300000

Umaben G. Patel

 

400000

Malav G. Patel

 

1400000

Chirag H. Patel

 

2100000

Vipinbhai K. Patel

 

500000

Leenaben V. Patel

 

200000

Aditya V. Patel

 

300000

Birvaben C. Patel

 

1000000

Total

 

10000000

 

As on 24.02.2011

 

Names of Allottees

 

 

No. of Shares

Manibhai S. Patel

 

280000

Hasmukhbhai S. Patel

 

280000

Girishbhai M. Patel

 

260000

Umaben G. Patel

 

80000

Chirag H. Patel

 

420000

Birvaben C. Patel

 

200000

Vipinbhai K. Patel

 

100000

Leenaben V. Patel

 

40000

Aditya V. Patel

 

60000

Malav G. Patel

 

280000

Total

 

2000000

 

As on 30.09.2010

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Steel Structure and Pre Engineering Building.

 

 

Products :

Pre Engineered Metal Building

 

 

Exports :

 

Countries :

v      Gulf Countries

v      African Countries

 

 

Imports :

 

Countries :

v      Korea

v      China

v      Australia

 

 

Terms :

 

Selling :

L/C, Cash and Credit (30/ 60 days)

 

 

Purchasing :

L/C, Cash and Credit (30/ 60 days) 

 

PRODUCTION STATUS (AS ON 31.03.2010)

 

Particulars

Unit

Installed Capacity

Actual Production

 

Pre Engineered Metal Buildings

MT

60000

20108.386

 

 

 

 

 

 

GENERAL INFORMATION

 

Customers :

Corporate

 

v      Adani         

v      AIA Engineering        

v      AMW (Asia Motor Works)      

v      Anand Engineering Limited    

v      Ashapura Garment  

v      Asian Paints             

v      Big Mall       

v      BMW           

v      DMRC          

v      Emerson Process Control      

v      Essenar Transformers         

v      Field Fresh Foods   

v      Future Group          

v      Gardenreach Shipbuilders and Engineers (Ministry of Defense)             

v      Hitachi       

v      Indian Steel Corporation       

v      Kolsite       

 

 

No. of Employees :

1800 (Approximately)

 

 

Bankers :

v      Bank of Baroda, Bhadra Branch, Opposite Dinubhai Tower, Lal Darwaja, Ahmedabad – 380 001, Gujarat, India

v      Standard Chartered Bank, Ground Floor, Abhijeet II, Near Mithakhali Six Roads, Ahmedabad – 380 006, Gujarat, India

v      Axis Bank Limited

 

 

Facilities :

Cash Credit – Rs.700.000 millions (Bank of Baroda)

 

Secured Loans

31.03.2010

Rs. In Millions

31.03.2009

Rs. In Millions

Term Loan from Bank

(Secured by Mortgage on Land and Building, hypothecation of Plant and Machinery, hypothecation of current assets of the company and guaranteed by directors and corporate guarantee of associates)

391.532

471.358

Cash Credit from Bank

(Secured by hypothecation of current assets of the company and second charge on land and building and plant and machinery and guaranteed by directors and corporate guarantee of associates)

178.259

177.930

Car Loans

(Against pledge of Motor Cars Purchased)

4.696

5.105

Total

574.487

654.393

 

Unsecured Loans

31.03.2010

Rs. In Millions

31.03.2009

Rs. In Millions

Loans from Shareholders

370.326

334.744

Buyer’s Credit

204.610

21.522

Total

574.936

356.266

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Talati and Talati

Chartered Accountants

Address :

Ambika Chambers, Near Old High Court Lane, Ashram Road, Navarangpura, Ahmedabad – 380 009, Gujarat, India

Tel. No.:

91-79-30084523

Income-tax PAN of auditor or auditor's firm :

AAAFT4520A

 

 

Related Party : (Control Exists – As on 31.03.2010):

Name of the Company :

M B Enterprise

 

Address :

MB House, 51 Chandoday Society, Opposite Golden, Triangle Stadium Road, Ahmedabad – 380014, Gujarat, India

Tel No. :

91-79-26405563

Fax No.:

91-79-26461314

Line of Business :

Trading of Steel Coil

Bankers :

Bank of Baroda

Auditor :

 

Talati and Talati

Chartered Accountants

Ahmedabad

 

 

Name of the Company :

Manibhai Brothers

 

Address :

MB House, 51 Chandoday Society, Opposite Golden, Triangle Stadium Road, Ahmedabad – 380014, Gujarat, India

Tel No. :

91-79-26405563

Fax No.:

91-79-26461314

Line of Business :

Construction

Bankers :

Bank of Baroda, Bhadra Branch, Ahmedabad

Auditor :

 

Talati and Talati

Chartered Accountants

Ahmedabad

 

 

Name of the Company :

Usha Prestressed Sleeper Udyog Piplod

 

Address :

MB House, 51 Chandoday Society, Opposite Golden, Triangle Stadium Road, Ahmedabad – 380014, Gujarat, India

Tel No. :

91-79-26405563

Fax No.:

91-79-26461314

Line of Business :

Manufacturing of Railway Sleepers

Bankers :

Bank of Baroda, Bhadra Branch, Ahmedabad

Auditor :

 

Talati and Talati

Chartered Accountants

Ahmedabad

 

 

Name of the Company :

Manibhai Brothers Finance Corporation

 

Address :

MB House, 51 Chandoday Society, Opposite Golden, Triangle Stadium Road, Ahmedabad – 380014, Gujarat, India

Tel No. :

91-79-26405563

Fax No.:

91-79-26461314

Line of Business :

Group Financing

Bankers :

Bank of Baroda, Bhadra Branch, Ahmedabad

Auditor :

 

Talati and Talati

Chartered Accountants

Ahmedabad

 

 

Name of the Company :

Phenix Building Solutions Private Limited

Address :

MB House, 51 Chandoday Society, Opposite Golden, Triangle Stadium Road, Ahmedabad – 380014, Gujarat, India

Tel No. :

91-79-26405563

Fax No.:

91-79-26461314

Line of Business :

Supply and erection of pre Engineered Building

Bankers :

Bank of Baroda, Bhadra Branch, Ahmedabad

Auditor :

 

Talati and Talati

Chartered Accountants

Ahmedabad

 

 

Name of the Company :

Highten Steels

 

 

Name of the Company :

Manibhai Brothers PCC Sarkhej

 

 

CAPITAL STRUCTURE

 

After 30.09.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

30000000

Equity Shares

Rs.10/- each

Rs.300.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

20000000

Equity Shares

Rs.10/- each

Rs.200.000 Millions

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2011

31.03.2010

31.03.2009

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

200.000

80.000

80.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

302.483

202.109

132.111

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

502.483

282.109

212.111

LOAN FUNDS

 

 

 

1] Secured Loans

469.728

574.487

654.393

2] Unsecured Loans

460.686

574.936

356.266

TOTAL BORROWING

930.414

1149.423

1010.659

DEFERRED TAX LIABILITIES

54.717

50.787

37.407

 

 

 

 

TOTAL

1487.614

1482.319

1260.177

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

731.434

729.774

721.307

Capital work-in-progress

0.585

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.455

0.455

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
422.569
253.634

405.792

 

Sundry Debtors
902.578
612.202

282.507

 

Cash & Bank Balances
299.625
150.124

82.686

 

Other Current Assets
99.550
59.854

33.376

 

Loans & Advances
227.653
137.199

172.592

Total Current Assets
1951.975
1213.013

976.953

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

1057.475

202.576

231.575

 

Other Current Liabilities
 
221.442

188.338

 

Provisions
138.905
36.905

18.625

Total Current Liabilities
1196.380
460.923

438.538

Net Current Assets
755.595
752.090

538.415

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

1487.614

1482.319

1260.177

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Net Sales and Services

3608.708

2070.745

1874.185

 

 

Other Income

28.997

8.172

15.102

 

 

TOTAL                                     (A)

3637.705

2078.917

1889.287

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Direct Expenses

2737.475

1546.635

1415.679

 

 

Administrative and Other Expenses

347.099

255.474

225.066

 

 

Selling and Distribution Expenses

119.194

43.076

28.859

 

 

Increase/ Decrease in Inventories

(68.499)

(37.253)

(8.497)

 

 

TOTAL                                     (B)

3135.269

1807.932

1661.107

 

 

 

 

 

Less

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

502.436

270.985

228.180

 

 

 

 

 

Less

INTEREST EXPENSES                                      (D)

124.367

114.120

120.004

 

 

 

 

 

 

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

378.069

156.865

108.176

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

71.765

54.488

44.601

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

306.304

102.377

63.575

 

 

 

 

 

Less

TAX                                                                  (H)

105.929

32.380

27.067

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

200.375

69.997

36.508

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

NA

65.612

0.000

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

NA

326.930

171.799

 

 

Components – Spare Parts

NA

8.064

4.226

 

 

Capital Goods

NA

23.945

96.429

 

TOTAL IMPORTS

NA

358.939

272.454

 

 

 

 

 

 

Earnings Per Share (Rs.)

11.01

3.89

45.63

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

5.50
3.37

1.93

 

 

 
 

 

Net Profit Margin

(PBT/Sales)

(%)

8.49
4.94

3.39

 

 

 
 

 

Return on Total Assets

(PBT/Total Assets}

(%)

11.41
5.27

3.74

 

 

 
 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.61
0.36

0.30

 

 

 
 

 

Debt Equity Ratio

(Total Liability/Networth)

 

4.23
5.71

6.83

 

 

 
 

 

Current Ratio

(Current Asset/Current Liability)

 

1.63
2.63

2.23

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Details of Sundry Creditors:

 

Particulars

 

31.03.2011

(Rs. in millions)

31.03.2010

(Rs. in millions)

31.03.2009

(Rs. in millions)

Sundry Creditors

 

 

 

- For Trade

NA

136.606

177.969

- For Expenses

NA

64.745

41.397

Creditors for Capital Goods

NA

1.225

12.209

Total

NA

202.576

231.575

 

THE YEAR UNDER RETROSPECT (As on 31.03.2010)

 

As envisaged in their report for the year 2008-09, sluggish market condition, higher steel price and stiff condition has adversely affected profitability.

 

PEB and vision has achieved production of about 20000 MT during the year, which is 33% increase over previous year. However these orders were procured and executed at a very low price. Even though, because of the weak market sentiment, order position remained under pressure. Thus low production at lower margin has significantly affected financial performance during the year under report.

 

However the year 2010-12 has started with good recovery in terms of volume and pricing and they expect good results for the year 2010-11. They are also targeting export markets in African countries.

 

Proflex division has fared better this year. Company still enjoys the 80% share in Indian market. Turnover has increased by 23%. They have added one more machine and its related fleet of equipment this year. They have also placed order for one more machine fox 2010-11 keeping in mind infrastructure deveIoprne11t-s in the country.

 

They have ambitious plans for 2010-11 which to their opinion shall be one more good year for Proflex Division.

 

FUTURE GROWTH

 

There is tremendous scope for Infrastructure and Industrial growth for coming two decades in India. Capital expenditure of the companies as well as government spending on infrastructure is increasing.

 

They, as a growing Company, can not just sit idle or contended. They are planning to add new line of product, viz. highrise building structures. There is a wide scope for such kind of commercial and residential projects in the county. This will add more value in their product mix and will enable them-to grab more market share. They also have plants to manufacture heavy structures.

 

JOINT VENTURE WITH MANIBHAI AND BROTHERS:

 

The Company entered in to Joint Venture with Manibhai and Brothers to participate in the Western Railway Tender of Indian Railways.

 

FINANCE

 

The company has efficiently managed working capital cycle.

 

The secured and unsecured loan has increased from 1010.658 millions to 1149.423 millions during the year. All term loan installments have been regularly paid.

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U45200GJ1981PTC004437

Name of the company

M AND B ENGINEERING PRIVATE LIMITED

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

‘M.B. House’, 51, Chandrodaya Society, Opposite Golden Triangle, Stadium Road, Post Navjivan,  Ahmedabad – 380 014, Gujarat, India

This form is for

Modification of charge

Charge identification number of the modified 

10073163

Type of charge

Book Debts

Movable Property

Others 

Stock of raw materials, semi finished and finished Goods

Particular of charge holder

Bank of Baroda, Bhadra Branch, Opposite Dinubhai Tower, Lal Darwaja, Ahmedabad – 380 001, Gujarat, India

Nature of description of the instrument creating or modifying the charge

Second supplemental joint deed of hypothecation

Date of instrument Creating the charge

20.10.2010

Amount secured by the charge

Rs.1395.000 millions

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

Terms of Repayment

Bank of Baroda:

1. Term loan: Rs.230 Millions: 24 quarterly installments commencing 12 months after completion or 18 months after completion or 18 months after 1st disbursement which ever is earlier.

2. Term loan: Rs.106.500 millions: 24 quarterly installments commencing 12 months after completion or 18 months after 1st disbursement which ever is earlier

3. W/c, loc and bk. Guarantee: 12 months

Standard chartered bank: repayment remain same

Axis Bank Limited: repayment remain same

 

Margin

Bank of Baroda

1. Term loan iii: building 35% and machinery 25%

2. Cash credit: stock 30% and book debts 50%

3. Working capital and bank guarantee: 15% cash margin

Standard chartered bank

1. Term loan: fixed deposit receipt of Rs.6.300 millions keep during the moratorium

2. Import l/c: 10% in the form of fixed deposit to be furniture. At the time of opening of L/C.

Axis bank

1. Term loan: 29.54%, 2. Cash credit: inventory 25% and book debts 50%, 3. L/C 10% cash margin,

4. Bank guarantee: 10%

 

 

Others

Personal guarantee of

1. Mr. Manibhai S. Patel 2. Mr. Hasmukhbhai S. Patel 3. Mr. Girishbhai M. Patel

4. Mr. Chirag H. Patel 5. Mr. Vipinbhai K. Patel 6. Mr. Malav G. Patel

Date of latest modification prior to the present modification

12.09.2008

Particulars of the present modification 

Additional amount sanctioned by bank of Baroda:

 

Working capital and overdraft Rs.35.000 millions

Letter of credit Rs.30 Millions

Bank guarantee Rs.130 millions

Thus total: Rs.195.000 millions

The bifurcation of financial assistance granted through the said modification

 

TRADE REFERENCES:

 

v      Larsen and Toubro

v      Adani

 

CONTINGENT LIABILITIES NOT PROVIDED FOR IN ACCOUNTS:

 

Particulars

31.03.2010

(Rs. in millions)

Outstanding Bank Guarantee

157.438

 

 

 

FIXED ASSETS:

 

v      Land

v      Factory Building

v      Plant and Machinery

v      Electrical Installation

v      Furniture and Fixtures

v      Computer

v      Office Equipments

v      Vehicles

v      Motor Buses

v      License Fees

 

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.44.37

UK Pound

1

Rs.72.20

Euro

1

Rs.62.87

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

 

54

 

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.