MIRA
INFORM REPORT
|
Report Date : |
25.01.2011 |
IDENTIFICATION DETAILS
|
Name : |
JSW SEVERFIELD STRUCTURES LIMITED |
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Registered
Office : |
401, Delux Court, Plot No.1407-1409, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
19.03.2009 |
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Com. Reg. No.: |
11-191045 |
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CIN No.: [Company Identification
No.] |
U28112MH2009PLC191045 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMJ14280A |
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PAN No.: [Permanent Account No.] |
AACCJ4173D |
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Legal Form : |
A closely held public limited liability company |
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Line of Business
: |
To carry on business of design, fabrication and erection of structural
steel works, including decking, for construction projects and allied
activities |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca (13) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
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Status : |
Yet to commence in Business |
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Payment Behaviour : |
Unknown |
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Litigation : |
Clear |
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Comments : |
Subject is a joint venture between JSW Building System Limited, As per available details of 2010 the company has not yet started its
operations. Payment terms are not known. 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 |
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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 |
|
Off-credit |
D |
INFORMATION DECLINED BY
|
Name : |
Mr. More |
|
Designation : |
Accounts Manager |
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Contact No.: |
91-22-67317000 |
|
Date : |
22.01.2011 |
LOCATIONS
|
Registered Office : |
401, Delux Court, Plot No.1407-1409, |
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Tel. No.: |
91-22-67317000 |
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Fax No.: |
91-22-26512685 |
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E-Mail : |
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Factory: |
Near 10 MT Gate,
Beside Cement Plant II, P.O. Vidyanagar, Toranagallu, Sandur (Taluka)
District: |
DIRECTORS
As on 14.07.2010
|
Name : |
Mr. Derek Randall |
|
Designation : |
Director |
|
Address : |
5, Abbey Close, B495QW, Alcester |
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Date of Birth/Age : |
16.06.1961 |
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Date of Appointment : |
19.03.2009 |
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|
|
|
Name : |
Mr. Jayant Rabinranath Acharya |
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Designation : |
Director |
|
Address : |
F-303, Great Eastern Garden LBS Marg, Kanjurmarg, Mumbai-400 078, |
|
Date of Birth/Age : |
25.01.1963 |
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Date of Appointment : |
19.03.2009 |
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|
Name : |
Mr. Rajesh Haridas Asher |
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Designation : |
Director |
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Address : |
Bunglow No.25B, Vrindavan Sindhi Society, |
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Date of Birth/Age : |
24.01.1957 |
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Date of Appointment : |
19.03.2009 |
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|
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Name : |
Mr. Alaln Kenneth David Dunsmore |
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Designation : |
Director |
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Address : |
31, Northeway, NW 116PB, Londan Unite Kingdom |
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Date of Birth/Age : |
02.09.1969 |
|
Date of Appointment : |
14.07.2010 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 14.07.2010
|
Names of Shareholders |
|
No. of Shares |
|
Severfield Rowen Mauritius Limited, |
|
25736520 |
|
Jugal Kishore Brij |
|
10 |
|
Derek Randall, |
|
10 |
|
Jayant Rabinranath Acharya |
|
10 |
|
Rajesh Haridas Asher |
|
10 |
|
Alaln Kenneth David Dunsmore |
|
10 |
|
JSW Steels Limited, |
|
25736520 |
|
Allin Willia Michael Son, M, |
|
10 |
|
Total |
|
51473100 |
As on 14.07.2010
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
|
50.00 |
|
Public
financial Companies |
|
50.00 |
|
Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
To carry on business of design, fabrication and erection of structural
steel works, including decking, for construction projects and allied
activities |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged by the management |
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Bankers : |
Axis Bank Limited, Credit Management Centre, Unit 6, Corporation Park,
Sion Trombay Road, Chembur, Mumba-400 071, Maharashtra, India |
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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 Accountants |
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Address : |
12, |
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Tel. No.: |
91-22-66679000 |
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Fax No.: |
91-22-66679100 |
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Holding Company: |
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Associates : |
·
JSW Building Systems Limited ·
JSw Cement Limited ·
Severfield Reeve International Limited ·
Severfield Rowen Plc |
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Subsidiaries : |
JSW Structural Metal Decking Limited CIN No. U28112MH2009PLC197954 |
CAPITAL STRUCTURE
As on 14.07.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
80000000 |
Equity Shares |
Rs.10/- Each |
Rs.800.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
51473100 |
Equity Shares |
Rs.10/- Each |
Rs.514.731
millions |
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
80000000 |
Equity Shares |
Rs.10/- Each |
Rs.800.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
37321534 |
Equity Shares |
Rs.10/- Each |
Rs.373.215
millions |
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
|
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
373.215 |
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|
2] Share Application Money |
|
|
143.760 |
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3] Reserves & Surplus |
|
|
0.000 |
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4] (Accumulated Losses) |
|
|
(49.507) |
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|
NETWORTH |
|
|
467.468 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
194.000 |
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2] Unsecured Loans |
|
|
0.000 |
|
|
TOTAL BORROWING |
|
|
194.000 |
|
|
DEFERRED TAX LIABILITIES |
|
|
0.000 |
|
|
|
|
|
|
|
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TOTAL |
|
|
661.468 |
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|
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
|
|
13.781 |
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Capital work-in-progress |
|
|
513.607 |
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|
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|
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INVESTMENT |
|
|
123.772 |
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|
DEFERREX TAX ASSETS |
|
|
0.000 |
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|
|
|
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CURRENT ASSETS, LOANS & ADVANCES |
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|
|
|
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|
Inventories |
|
|
0.000 |
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Sundry Debtors |
|
|
0.000 |
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Cash & Bank Balances |
|
|
21.992 |
|
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Other Current Assets |
|
|
0.000 |
|
|
Loans & Advances |
|
|
180.182 |
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Total
Current Assets |
|
|
202.174 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
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|
|
|
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|
Sundry Creditors |
|
|
140.810 |
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Other Current Liabilities |
|
|
50.308 |
|
|
Provisions |
|
|
0.748 |
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Total
Current Liabilities |
|
|
191.866 |
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Net Current Assets |
|
|
10.308 |
|
|
|
|
|
|
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|
MISCELLANEOUS EXPENSES |
|
|
0.000 |
|
|
|
|
|
|
|
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TOTAL |
|
|
661.468 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
|
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
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Dividend from Current investment |
|
|
1.578 |
|
|
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Interest from Banks |
|
|
0.065 |
|
|
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TOTAL |
|
|
1.643 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
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|
Employers Remuneration and Benefits |
|
|
0.591 |
|
|
|
Operating Expenses |
|
|
17.157 |
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TOTAL |
|
|
17.748 |
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|
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
|
|
(16.105) |
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Less/ Add |
DEPRECIATION/
AMORTISATION |
|
|
0.602 |
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|
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|
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|
PROFIT BEFORE
TAX |
|
|
(16.707) |
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|
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|
|
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|
Less |
TAX |
|
|
0.011 |
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PROFIT AFTER TAX
|
|
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(16.718) |
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IMPORTS |
|
|
68.167 |
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Raw Materials |
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|
Earnings Per
Share (Rs.) |
|
|
(1.35) |
|
KEY RATIOS
|
PARTICULARS |
|
|
|
31.03.2010 |
|
PAT / Total Income |
(%) |
|
|
(1017.53) |
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|
Net Profit Margin (PBT/Sales) |
(%) |
|
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(1058.75) |
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Return on Total Assets (PBT/Total Assets} |
(%) |
|
|
(7.74) |
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Return on Investment (ROI) (PBT/Networth) |
|
|
|
(0.04) |
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|
Debt Equity Ratio (Total Liability/Networth) |
|
|
|
0.83 |
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|
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|
|
|
Current Ratio (Current Asset/Current Liability) |
|
|
|
1.05 |
LOCAL AGENCY FURTHER INFORMATION
Details of Sundry Creditors:
|
Particulars |
31.03.2010 (Rs. in millions) |
|
Sundry Creditors |
140.810 |
BACKGROUND
Subject was
incorporated on 19 March 2009. The main object of the company is to carry on business
of design, fabrication and erection of structural steel works, including
decking, for construction projects and allied activities. The Company has not
yet commenced commercial production.
Review of
Operations
The Company has not
yet started its operations. The Loss before depreciation and tax is Rs.16.105
millions. After providing for depreciation of Rs.0.602 million and wealth tax
of Rs.0.010 million, the Net Loss after tax and depreciation is Rs.16.718
millions.
Future Prospects
The company will
be setting up structural steelwork facility at
2011.
Bankers Charges
Report as per Registry
|
Corporate
identity number of the company |
U28112MH2009PLC191045 |
|
Name of the
company |
JSW SEVERFIELD
STRUCTURES LIMITED |
|
Address of the registered
office or of the principal place of
business in |
401, Delux Court, Plot No.1407-1409, |
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified |
10182489 |
|
Type of charge |
Book Debts Movable Property Uncalled Share
Capital |
|
Particular of
charge holder |
Axis Bank Limited, Credit Management Centre, Unit 6, Corporation Park, Sion Trombay Road, Chembur, Mumba-400 071, Maharashtra, India |
|
Nature of
description of the instrument creating or modifying the charge |
Supplemental Deed
of Hypothecation for Modification of Charge. |
|
Date of
instrument Creating the charge |
16.11.2010 |
|
Amount secured by
the charge |
Rs.2460.000
millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest As per Sanction
Letter Terms of
Repayment As per Sanction
Letter Margin As per Sanction
Letter Extent and
Operation of the charge Primary: (.) First charge
by way of hypothecation on all movable fixed assets (present and future) of
the company (.) First charge
on all intangible assets (present and future) including but not limited to
the goodwill, undertaking, uncalled capital, and intellectual rights of the
company; (.) Escrow of all
the cash inflow of the business (.) Second charge
by way of hypothecation on entire current assets (present and future) of the
company. |
|
Short particulars
of the property charged |
All machinery,
plant, fixtures, fittings, other installation, cranes, furniture, computers,
other accessories, vehicles together with spares tools and accessories and
all other articles of the Company All present and
future stocks of raw material work in progress semi-finished goods and
finished goods, packing materials, consumable stores and spares etc., of the
Company All the present
and future book-debts, outstanding monies, receivables claims bills,
contracts, engagements and securities which are now due and owing or which
may at any time hereafter All the present
and future intangible assets including but not limited to the goodwill,
undertaking, uncalled capital and intellectual property rights of the Company |
|
Date of latest
modification prior to the present modification |
03.08.2010 |
|
Particulars of
the present modification |
Availment of
additional credit facility of Rs.610.000 millions in addition to existing limit
of Rs.1850.000 millions so as to secure the aggregate Credit facilities of
Rs.2460.000 millions |
Fixed Assets:
- Computer
- Motor Car
- Office Equipments
- 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 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.45.70 |
|
|
1 |
Rs.72.78 |
|
Euro |
1 |
Rs.61.65 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
2 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
2 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
2 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
2 |
|
--LEVERAGE |
1~10 |
2 |
|
--RESERVES |
1~10 |
- |
|
--CREDIT LINES |
1~10 |
- |
|
--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 |
|
13 |
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.