MIRA
INFORM REPORT
|
Report Date : |
10.01.2011 |
IDENTIFICATION DETAILS
|
Name : |
PETRONET MHB LIMITED |
|
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|
|
Registered
Office : |
332, Darus Salam Marg, Queen Road, Bangalore-560 052, Karnataka |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
31.07.1998 |
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|
Com. Reg. No.: |
08-24020 |
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|
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CIN No.: [Company Identification
No.] |
U85110KA1998PLC024020 |
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|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
BLRP02724B |
|
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|
|
PAN No.: [Permanent Account No.] |
AABCP673B |
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|
|
Legal Form : |
A closely held public limited liability company |
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Line of Business
: |
Transportation of Petroleum Products through Pipeline |
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 |
|
Maximum Credit Limit : |
USD 16000000 |
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|
|
Status : |
Moderate |
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|
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having moderate track. There appears
huge 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) |
|
|
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. Chandan Das |
|
Designation : |
Finance Department |
|
Date : |
05.01.2011 |
LOCATIONS
|
Registered Office : |
332, Darus Salam Marg, Queen Road, Bangalore-560 052, |
|
Tel. No.: |
91-80-22262241/43/22262317 |
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Fax No.: |
91-80-22262242 |
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E-Mail : |
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|
Area : |
2500 sq. ft. |
|
Location : |
Rented |
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|
|
|
Branch: |
Located At: ·
Mangalore ·
Neriya ·
Hassan |
DIRECTORS
As on 23.09.2010
|
Name : |
Mr. Subramaniam Ramachandran |
|
Designation : |
Director |
|
Address : |
1/42, Heritage Apartment, 11 Floor, Mannagudda, Mangalore-575 003, |
|
Date of Birth/Age : |
24.10.1950 |
|
Date of Appointment : |
14.09.2007 |
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|
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|
Name : |
Mr. KSR Prasad |
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Designation : |
Director |
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|
|
|
Name : |
Mr. Uttam Kumar Basu |
|
Designation : |
Chairman cum Managing Director |
|
Address : |
A2, Bungalow, |
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Date of Birth/Age : |
18.06.1952 |
|
Date of Appointment : |
23.09.2008 |
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|
|
|
Name : |
Mr. Avinash Bhalchandra Thosar |
|
Designation : |
Director |
|
Address : |
6, HP Aparments, |
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Date of Birth/Age : |
07.11.1956 |
|
Date of Appointment : |
18.12.2008 |
|
|
|
|
Name : |
Mr. Parampalli Prabhakara Upadhya |
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Designation : |
Director |
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Address : |
401, |
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Date of Birth/Age : |
20.07.1954 |
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Date of Appointment : |
09.08.2010 |
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|
|
|
Name : |
Mr. Prakash Prabhakar Nadkarni |
|
Designation : |
Managing Director |
|
Address : |
6, Shirazi Residency, 21/1, |
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Date of Birth/Age : |
26.01.1958 |
|
Date of Appointment : |
13.08.2008 |
KEY EXECUTIVES
|
Name : |
Mr. Sachin Jayaswal |
|
Designation : |
Company Secretary |
|
Address : |
46, 1st Main, 4th Phase, Danashankari, 3rd
Stage, Bangalore-560 085, |
|
Date of Birth/Age : |
23.10.1974 |
|
Date of Appointment : |
09.07.2007 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 23.09.2010
|
Names of Shareholders |
|
No. of Shares |
|
Hindustan Petroleum Corporation Limited, |
|
130000 |
|
Prakash Prabhakar Nadkarni |
|
10 |
|
Avinash Bhalchandra Thosar |
|
10 |
|
Prasad KSR |
|
10 |
|
Bhosekar SM |
|
10 |
|
Nationalized Securities Depository Limited, |
|
505237184 |
|
Sarkar Kanu |
|
10 |
|
Petronet India Limited, |
|
43340030 |
|
Total |
|
548707264 |
|
Names of Shareholders |
|
No. of Shares |
|
Nationalized Securities Depository Limited, |
|
9661 |
|
Total |
|
9661 |
As on 23.09.2010
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Government Companies |
|
66.00 |
|
Nationalied
or other banks |
|
34.00 |
|
Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Transportation of Petroleum Products through Pipeline |
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|
|
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Terms : |
|
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Selling : |
Cash and Credit |
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|
|
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Purchasing : |
Cash and Credit |
GENERAL INFORMATION
|
No. of Employees : |
30 |
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Bankers : |
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Facilities : |
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Banking
Relations : |
- |
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Financial Institution: |
IDBI Trusteeship Services Limited, Asian Bldg., Ground Floor, 17, R.
Kamani Marg, Ballard Estate,, Mumbai- 400 001, |
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|
|
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Auditors : |
|
|
Name : |
P. Chandrasekar Chartered Accountants |
|
Address : |
S-606, Manipal Centre, No.47, Dickenson Road, Bangalore-560 002, |
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Tel. No.: |
91-80-25585443 |
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Fax No.: |
91-80-25597494 |
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E-Mail : |
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Parent Company : |
Petronet, India Limited, Mumbai |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
As on 23.09.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
600000000 |
Equity shares |
Rs.10/- Each |
Rs.6000.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
548707264 |
Equity shares |
Rs.10/- Each |
Rs.5487.073
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 |
5487.073 |
5487.073 |
5487.073 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
(1476.602) |
(1526.542) |
(1546.663) |
|
|
NETWORTH |
4010.471 |
3960.531 |
3940.410 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1011.875 |
1189.975 |
1447.075 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
1011.875 |
1189.975 |
1447.075 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
5022.346 |
5150.506 |
5387.485 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
3379.892 |
3803.313 |
4237.478 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
572.455 |
646.536 |
653.610 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
112.854
|
110.844 |
110.774 |
|
|
Sundry Debtors |
77.026
|
79.165 |
98.187 |
|
|
Cash & Bank Balances |
939.393
|
624.851 |
422.123 |
|
|
Other Current Assets |
0.000 |
0.000 |
0.000 |
|
|
Loans & Advances |
77.195
|
51.935 |
45.775 |
|
Total
Current Assets |
1206.468
|
866.795 |
676.859 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
115.679
|
111.710 |
132.933 |
|
|
Other Current Liabilities |
19.759
|
53.832 |
45.856 |
|
|
Provisions |
1.031
|
0.596 |
1.673 |
|
Total
Current Liabilities |
136.469
|
166.138 |
180.462 |
|
|
Net Current Assets |
1069.999
|
700.657 |
496.397 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
5022.346 |
5150.506 |
5387.485 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
619.891 |
582.627 |
554.897 |
|
|
|
Other Income |
71.955 |
66.064 |
21.572 |
|
|
|
TOTAL (A) |
691.846 |
648.691 |
576.469 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Operating Expenses |
88.333 |
91.393 |
79.101 |
|
|
|
Payments and Benefits to Employees |
19.867 |
16.134 |
9.777 |
|
|
|
Insurance Expenses |
2.995 |
4.416 |
9.867 |
|
|
|
Administrative and Other Expenses |
31.356 |
79.277 |
31.692 |
|
|
|
TOTAL (B) |
142.551 |
191.220 |
130.437 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
549.295 |
456.864 |
446.032 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.758 |
0.752 |
1.137 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
548.537 |
456.112 |
444.895 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
424.516 |
439.056 |
438.469 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
124.021 |
17.663 |
6.426 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
74.082 |
(2.458) |
2.585 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
49.939 |
20.121 |
3.841 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(1526.542) |
(1546.663) |
(1550.505) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED TO
THE B/S |
(1476.602) |
(1526.542) |
(1546.663) |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
0.09 |
0.04 |
0.01 |
|
Expected Sales (2010-2011) : Rs.700.000 millions
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
7.22
|
3.10 |
0.70 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
20.01
|
3.03 |
1.16 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.09
|
0.38 |
1.16 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.03
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.29
|
0.34 |
0.41 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
8.84
|
5.22 |
3.75 |
LOCAL AGENCY FURTHER INFORMATION
Details of Sundry Creditors:
|
Particulars |
31.03.2010 (Rs. in millions) |
31.03.2009 (Rs. in millions) |
31.03.2008 (Rs. in millions) |
|
Sundry Creditors |
|
|
|
|
Total outstanding dues of Micro, Small and Medium Enterprises |
0.000 |
0.000 |
0.000 |
|
Total outstanding dues of other than small scale undertaking |
115.679
|
111.710 |
132.933 |
|
Total outstanding dues to Investors Education Fund |
0.000 |
0.000 |
0.000 |
Trade Reference:
·
Bharat Petroleum
·
Indian Oil
Bankers Charges
Report as per Registry
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified |
80028705 |
|
Corporate identity
number of the company |
U23101KA1998PLC024020 |
|
Name of the
company |
PETRONET MHB
LIMITED |
|
Address of the
registered office or of the principal place of business in |
332, Darus Salam Marg, Queen Road, Bangalore-560 052, |
|
Type of charge |
Book Debts Movable Property |
|
Particular of
charge holder |
|
|
Nature of
description of the instrument creating or modifying the charge |
Second
Supplemental Joint Hypothecation Deed dated 30th March, 2007 executed by the
company in favor of Allahabad Bank, Bank of Maharashtra, Canara Bank, Central
Bank of India, Punjab National Bank, State Bank of Hyderabad, State Bank of
Mysore, State Bank of Travancore, Union Bank of |
|
Date of
instrument Creating the charge |
30.03.2007 |
|
Amount secured by
the charge |
Rs.1644.406
millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest Applicable rate
of interest of 9% p.a. by all the lenders, Terms of
Repayment As per Repayment
Schedule of different banks Extent and Operation
of the charge The terms and
conditions in respect of the PLR/PTLR/BPLR and the margin to be charged by
each lender are in respect of the total facility of Rs.5000 millions granted
by the consortium of bankers. |
|
Short particulars
of the property charged |
Whole of the
movable properties of the Borrower, including its Piepline, movable plant and
machinery, machinery spares, tools and accessories, lying or hereinafter
lying along the pipeline route situated at Mangalore Hassan Bangalore and various other locations in Karnataka |
|
Date of latest
modification prior to the present modification |
12.03.2005 |
|
Particulars of
the present modification |
The existing
security of the Hypothecated assets as specified in First Schedule of the Second
Supplemental Joint Hypothecation Deed dt. 30th March, 2007 has been extended
by first charge over hypothecated assets to cover the Zero Coupon Bonds
aggregating to a sum of Rs. 1644.406 millions issued by the company |
Fixed Assets:
·
Land
·
Building
·
Pipeline
·
Plant and Machinery
·
Telecom Systems
·
Office Equipments
·
Computers and Software
·
Furniture and Fixture
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.45.37 |
|
|
1 |
Rs.70.04 |
|
Euro |
1 |
Rs.58.93 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
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 |
- |
|
--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.