MIRA
INFORM REPORT
|
Report Date : |
15.07.2011 |
IDENTIFICATION DETAILS
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Name : |
SARACA
LABORATORIES LIMITED |
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Registered
Office : |
Plot No. 320, 1st
Floor, Swamy Ayyappa Co-operative, Housing Society Limited, Maadhapur, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
11.01.1988 |
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Com. Reg. No.: |
01-8172 |
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Paid-up Capital : |
Rs. 80.000
Millions |
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CIN No.: [Company Identification No.] |
U85195AP1988PTC008172 |
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TAN No.: [Tax Deduction & Collection Account No.] |
HYDS04393E |
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Legal Form : |
A closely held Public
Limited Liability Company |
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Line of
Business : |
Manufacturer of
Bulk Drugs. |
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No. of Employees : |
100
(Approximately) (In Office – 30 and In Factory – 70) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (49) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 1090000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported to be
regular and as per commitments. The company can be considered normal for 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.
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 |
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Risk Category |
ECGC Classification |
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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 |
INFORMATION PARTED BY
|
Name : |
Mr. Narayana |
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Designation : |
Accounts Department |
LOCATIONS
|
Registered
Office : |
Plot No. 320, 1st
Floor, Swamy Ayyappa Co-operative, Housing Society Limited, Maadhapur, |
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E-Mail : |
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Website : |
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Factory : |
Survey No. 10, |
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Tel. No.: |
91-8458-277279 /
91-40-55697700 / 55697733 [Tata] |
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Fax No. : |
91-8458-277128 |
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DIRECTORS
AS ON : 31.07.2010
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Name : |
Mr. L. V. Subba
Reddy |
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Designation : |
Chairman |
|
Address : |
Plot 435 A, Road No.
20, Jubilee Hills, |
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Date of Birth
: |
01.07.1941 |
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Date of
Appointment : |
03.03.1992 |
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Name : |
Mr. P.
Subramanyam Reddy |
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Designation : |
Managing Director |
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Address : |
Plot No. 14, Siddharth
Nagar, |
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Date of Birth
: |
01.05.1945 |
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Date of
Appointment : |
16.12.1994 |
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Name : |
Mr. Venkata Sunil
Linga Reddy |
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Designation : |
Director |
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Address : |
Dr. L.V. Subba Reddy, Plot No. 435 A, Road No. 20, Jubilee Hills, |
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Date of
Appointment : |
06.04.2000 |
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Name : |
Dr. Mallidi Sree
Phani Kumar |
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Designation : |
Director |
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Address : |
Flat 401, |
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Date of
Appointment : |
09.05.1997 |
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MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON : 31.07.2010
|
Names of Shareholders |
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No. of Shares |
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Dr. L.V. Subba Reddy |
|
374400 |
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P. Gargi |
|
55000 |
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Mrs. L.Sunitha |
|
387170 |
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Mr. L.V. Sunil |
|
1016090 |
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Dr. p. Sujatha |
|
10000 |
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Mr. L.V. Subhash |
|
650500 |
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Dr. M.S. Pani Kumar |
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315450 |
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A. Sambi Reddy |
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10000 |
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Sri P.S. Reddy |
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126600 |
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Sri P. Subramanyam Reddy |
|
149370 |
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Sri, P. Sunil Kumar Reddy |
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31000 |
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Smt. P. Jaya Lakshmi |
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116000 |
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Smt. P. Santhi Sudha |
|
20100 |
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Smt. Y. Rama Subbamma |
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11200 |
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Smt. P. Rama Devi |
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23850 |
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Sri B. Sridhar Reddy |
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12300 |
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Smt. Y. Manjula |
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12300 |
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AS ON : 31.07.2010
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Category |
Percentage |
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Directors or relatives of Directors |
48.01 |
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Other top fifty shareholders |
51.99 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Bulk Drugs. |
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Exports : |
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Products : |
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Countries : |
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Imports : |
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Products : |
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Countries : |
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Terms : |
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Selling : |
L/C, Cash, Credit |
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Purchasing : |
L/C, Cash, Credit |
PRODUCTION STATUS (AS ON 31.03.2010)
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Particulars |
Unit |
Installed
Capacity (Amt
In Millions) |
|
Capacity And
Production Installed Capacity |
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|
NMSM(MT) |
KGS |
300 |
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Ranitidine HCL/Base(MT) |
KGS |
1560 |
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Cystofur(MT) |
KGS |
300 |
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Actual
Production |
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Ranitidine HCL/Base(MT) |
MT |
1496.886 |
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R and D Material |
MT |
20.7300 |
|
Gabapentene HCL |
MT |
21.500 |
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Others |
MT |
324.425 |
GENERAL INFORMATION
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Customers : |
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No. of
Employees : |
100
(Approximately) (In Office – 30 and In Factory – 70) |
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Bankers : |
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Facilities : |
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Banking Relations : |
-- |
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Auditors : |
P. Murali Mohan Rao Chartered Accountant |
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Address : |
6-3-655/2/3, Somajiguda, |
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Tel. No.: |
91-40-23326666 / 23312554 |
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Fax No.: |
91-40-23392474 |
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E-mail : |
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Web Site : |
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CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
|
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|
8000000 |
Equity Shares |
Rs.10/- each |
Rs.80.000 Millions |
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
|
|
|
8000000 |
Equity Shares |
Rs.10/- each |
Rs.80.000
Millions |
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FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
80.000 |
80.000 |
40.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
193.013 |
136.994 |
121.752 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
273.013 |
216.994 |
161.752 |
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LOAN FUNDS |
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|
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1] Secured Loans |
241.232 |
230.664 |
246.561 |
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2] Unsecured Loans |
0.000 |
0.000 |
40.000 |
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TOTAL BORROWING |
241.232 |
230.664 |
286.561 |
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DEFERRED TAX LIABILITIES |
34.034 |
28.831 |
23.467 |
|
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Subsidy |
0.739 |
0.739 |
0.739 |
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TOTAL |
549.018 |
477.228 |
472.519 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
362.447 |
335.338 |
311.336 |
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Capital work-in-progress |
0.000 |
0.000 |
2.449 |
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INVESTMENT |
0.192 |
0.192 |
0.192 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
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Inventories |
121.885
|
103.620 |
98.861 |
|
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Sundry Debtors |
227.521
|
149.092 |
138.866 |
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Cash & Bank Balances |
8.508
|
8.246 |
9.602 |
|
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Other Current Assets |
0.000
|
0.000 |
0.000 |
|
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Loans & Advances |
53.183
|
31.618 |
28.191 |
|
Total
Current Assets |
411.097
|
292.576 |
275.520 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
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Sundry Creditors |
159.026
|
130.225 |
94.175 |
|
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Other Current Liabilities |
0.000
|
0.000 |
0.000 |
|
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Provisions |
65.692
|
20.653 |
22.803 |
|
Total
Current Liabilities |
224.718
|
150.878 |
116.978 |
|
|
Net Current Assets |
186.379
|
141.698 |
158.542 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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|
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|
|
|
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TOTAL |
549.018 |
477.228 |
472.519 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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|
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SALES |
|
|
|
|
|
|
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Income |
1060.900 |
937.376 |
663.506 |
|
|
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Other Income |
25.097 |
43.012 |
19.078 |
|
|
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TOTAL (A) |
1085.997 |
980.388 |
682.584 |
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|
|
|
|
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Less |
EXPENSES |
|
|
|
|
|
|
|
Stock Adjusted |
(19.950) |
1.118 |
(1.548) |
|
|
|
Raw Materials |
627.764 |
665.222 |
387.165 |
|
|
|
Manufacturing, Selling and Administrative Expenses |
340.051 |
237.928 |
226.724 |
|
|
|
Foreign Exchange Fluctuation |
2.931 |
0.619 |
0.000 |
|
|
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TOTAL (B) |
950.796 |
904.887 |
612.341 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
135.201 |
75.501 |
70.243 |
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Less |
FINANCIAL
EXPENSES (D) |
25.660 |
34.341 |
28.603 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
109.541 |
41.160 |
41.640 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
19.250 |
17.767 |
14.328 |
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|
|
|
|
|
|
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|
PROFIT BEFORE
TAX (E-F) (G) |
90.291 |
23.393 |
27.312 |
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|
|
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Less |
TAX (I) |
30.712 |
8.151 |
6.388 |
|
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|
PROFIT AFTER TAX
(G-I) (J) |
59.579 |
15.242 |
20.924 |
|
|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
136.994 |
121.752 |
100.828 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
193.013 |
136.994 |
121.752 |
|
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|
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|
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EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
359.357 |
281.440 |
258.406 |
|
|
TOTAL EARNINGS |
359.357 |
281.440 |
258.406 |
|
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|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
7.44 |
1.90 |
2.61 |
|
|
Particulars |
|
|
31.03.2011 |
|
Sales Turnover (approximately) |
|
|
1300.000 |
|
|
|
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|
The above information has been parted by Mr. Narayana
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
8.31
|
1.55 |
3.06 |
|
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|
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|
Net Profit Margin (PBT/Sales) |
(%) |
8.51
|
2.49 |
4.11 |
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
11.67
|
3.72 |
4.65 |
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.33
|
0.10 |
0.16 |
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|
Debt Equity Ratio (Total Liability/Networth) |
|
1.70
|
1.75 |
2.49 |
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|
|
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|
Current Ratio (Current Asset/Current Liability) |
|
1.82
|
1.93 |
2.35 |
LOCAL AGENCY FURTHER INFORMATION
NOTE:
The Regsitered office address of the company has been shifted from Plot
No. 120, Flat No. 101, 1st Floor, G.K. Classics, Srinagar Colony,
Form : 8
|
Corporate
identity number of the company |
U85195AP1988PLC008172 |
|
Name of the
company |
SARACA
LABORATORIES LIMITED |
|
Address of the
registered office or of the principal place of business in |
8-2-348/2, Beside
Administrative |
|
This form is for |
Modification of
charge |
|
Type of charge |
Immovable
property Book debts Movable property
(not being pledge) Floating charge |
|
Particular of
charge holder |
State Bank Of |
|
Nature of
instrument creating charge |
1. Supplemental
Agreement of Loan for Increase in the Overall Limit (Form C,1A), 2. Supplemental
Agreement of hypothecation of Goods and Assets for increase in the Over all
Limit (Form C-2A), 3. Supplemental
Deed of Guarantee for Increase in Overall Limit (Form C.4A) 4. Letter
regarding the grant of Individual Limits within the Overall Limit. 5. Memorandum of
Deposit for further Charge for T/Loan/O/ Limit whether the Initial charge is
created by way of Mortgage by Deposit of Title Deeds.(C.10) |
|
Date of
instrument Creating the charge |
31/07/2010 |
|
Amount secured by
the charge |
Rs. 459.600
millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest : Cash Credit (Hyp)
0.25% below SBHPLR, presently 12.00% P.A. (Floating). And no other changes in
the remaining Terms and Conditions. Terms of repayment : Cash Credit :
Repayable on Demand. And no other changes in the remaining Terms and
Conditions. Margin : Raw
Materials 25% Stock-in
Process 25% Finished
Goods 25% Book
Debts/Receivables (Cover Period 120 days) - 25% Extent and operation of the charge : W.C:Hyp/ First
Charge on Current Assets including receivables/stocks stored at factory
premises and other godowns of the company.T/L:First Charge on the present and
future fixed assets of the company land admeasuring 27 Acres 27 Guntas and
buildings thereon.Extension of charge on present and future fixed assets/
current Assets of the company. And the charge operates as continuing Charge
on the security until the repayment of the entire credit facilities as
sanctioned by the Bank. Other : Nil |
|
Short particulars
of the property charged (Including location of the property) |
|
|
Particulars of
the present modification |
The existing
Limit of Rs. 429.600 millions was enhanced to Rs. 459.600 (consisting of (CC
Rs.76.000 millions, EPC Rs.60.000 millions FBP/FUBD/IUBD of Rs.59.000
millions, SLC Rs.35.000 millions T/L Rs.1.400 millions, T/L Rs.79.000
millions, Shot T/L Rs.14.200 millions , LC Rs.130.000 millions and
BG.Rs.500.000 millions) by extension
of charge on present and future fixed assets of the company and extension of
charge on current assets Present and Future. No other changes in the
remaining Terms and conditions. |
Fixed Assets :
- Land
- Buildings
- Plant and Machinery
- Furniture and Fixtures
- Vehicles
- Computers
- Other Assets
AS PER WEBSITE:
HISTORY
Saraca Laboratories Limited manufactures and markets Active Pharmaceutical
Ingredients and Intermediates. The company's products are sold in over 40
countries. The company was incorporated in 1992 and started producing bulk
drugs and intermediates. Since then it has shown rapid growth and built a
strong brand image in the market.
Saraca is a part of the Virchow family who are pioneers in the
manufacture of APIs. The flagship company of the group is Virchow lab, which is
the largest producer of SMX.
To make its presence worldwide, it has established R&D facilities at
Saraca exports its product to various countries spread across the world
Viz.,
Saraca had been certified with WHO-GMP.
The other companies in the group are Virchow Chemicals, Covalent Labs,
Virchow Drugs,Ocimum Biosolutions and Virchow Biotech.
MANAGEMENT TEAM
The entire operations are in the hands of well experienced people and their
able direction who make it all happen. Saraca acknowledges their inspiring
stewardship and indefatigable work.
Dr. L.V.Subba Reddy
Mr. P.S Reddy
Dr. Phani Kumar
Mr. L.V.Sunil
Mr. M.Mahavishnu
Dr. Gangadhar
PRODUCTS :
Active Pharmaceutical Ingredients
Ranitidine HCl
They produce 1200 tons per annum.
Active Intermediates
NMSM
Cystophur
Ranitidine Base
Production Turnover
|
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. 44.53 |
|
|
1 |
Rs. 71.80 |
|
Euro |
1 |
Rs. 63.15 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
49 |
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.