MIRA
INFORM REPORT
|
Report Date : |
26.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
SHREEJI JEWELLERY LIMITED |
|
|
|
|
Registered
Office : |
G-36, Gems And Jewellery Complex III, Seepz, Andheri (East), Mumbai –
400096, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
30.06.2010 |
|
|
|
|
Date of
Incorporation : |
14.06.1996 |
|
|
|
|
Com. Reg. No.: |
11-100257 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.10.005 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U99999MH1996PLC100257 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMS23840F |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Exporter of Diamond Studded Jewellery in Gold /
Platinum / Silver |
|
|
|
|
No. of Employees
: |
Information not divulged by the management |
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 544000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having moderate track. Profitability
of the company is under severe pressure. There appears some accumulated
losses recorded by the company. However, trade relations are reported as
fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some caution. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INFORMATION DECLINED BY
|
Name : |
Mr. Sachin |
|
Designation : |
Accountant |
|
Date : |
21.07.2011 |
LOCATIONS
|
Registered Office : |
G-36, G And J Complex III, Seepz, Andheri (East), Mumbai – 400096, |
|
Tel. No. : |
9122-28291101 |
|
|
|
|
Corporate Office : |
1201, Panchratna, Opera House, Mumbai – 400004, |
DIRECTORS
As on 30.12.2010
|
Name : |
Mr. Pravin Hemchand Shah |
|
Designation : |
Managing Director |
|
Address : |
Skylark Co-operative Housing Society Limited, 8th Floor, L.
D. Ruparel Marg, Mumbai – 400006, |
|
Date of Birth/Age : |
22.04.1953 |
|
Date of Appointment : |
11.05.1998 |
|
DIN No. : |
00774589 |
|
|
|
|
Name : |
Mr. Pratik Vinodrai Shah |
|
Designation : |
Whole-time Director |
|
Address : |
A1, 1st Floor, Ridge Apartment 18, Ridge Road, Malbar Hill,
Mumbai – 400006, Maharashtra, India |
|
Date of Birth/Age : |
09.10.1980 |
|
Date of Appointment : |
12.10.1998 |
|
DIN No. : |
00774674 |
|
|
|
|
Name : |
Mr. Shaileshkumar Kanaiyalal Bhayani |
|
Designation : |
Whole-time Director |
|
Address : |
K-52, 403, Yoginagar, |
|
Date of Birth/Age : |
24.03.1960 |
|
Date of Appointment : |
11.05.1998 |
|
DIN No. : |
00774758 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.12.2010
|
Names of Shareholders |
|
No. of Equity
Shares |
|
Pravin Hemchand Shah |
|
401950 |
|
Jayshree Pravin Shah |
|
13800 |
|
Ruchita Pravin Shah |
|
15000 |
|
Nikita A. Shah |
|
15000 |
|
Vinodray H. Shah |
|
4600 |
|
Pratik V. Shah |
|
45100 |
|
Shaileshkumar Kanaiyalal Bhayani |
|
100 |
|
Anand C Shah |
|
4950 |
|
Total |
|
500500 |
|
|
|
|
|
Names of Shareholders |
|
No. of
Preference Shares |
|
Pravin Hemchand Shah |
|
401556 |
|
Pratik V. Shah |
|
45029 |
|
Jayshree Pravin Shah |
|
13802 |
|
Nikita A. Shah |
|
15001 |
|
Ruchita Pravin Shah |
|
15010 |
|
Vinodray H. Shah |
|
4601 |
|
Anand C Shah |
|
5001 |
|
Total |
|
500000 |
As on 30.12.2010
|
Category |
Percentage |
|
Directors or relatives of Directors |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Diamond Studded Jewellery in Gold /
Platinum / Silver |
PRODUCTION STATUS As on 30.06.2010
|
Particulars |
Unit |
Actual
Production |
|
Diamond Studded Jewellery in Gold / Platinum / Silver |
Nos. |
414501 |
GENERAL INFORMATION
|
No. of Employees : |
Information not divulged by the management |
|||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Bankers : |
|
|||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking Relations
: |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Sanjay C. Shah and Associates Chartered Accountant |
|
Address : |
B/3, Om Joshi Apartments, |
|
Tel. No.: |
91-22-26248873 / 26281101 |
|
Fax No.: |
91-22-26248873 |
|
E-Mail : |
CAPITAL STRUCTURE
As on 30.06.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
13000000 |
Equity Shares |
Rs.10/- each |
Rs.130.000 Millions |
|
1000000 |
Preference Shares |
Rs.10/- each |
Rs.10.000 Millions |
|
|
Total |
|
Rs.140.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
500500 |
Equity Shares |
Rs.10/-each |
Rs.5.005
Millions |
|
500000 |
Preference Shares |
Rs.10/- each |
Rs.5.000
Millions |
|
|
|
|
Rs.10.005 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE SHEET
|
SOURCES OF FUNDS |
30.06.2010 (15 Months) |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
10.005 |
5.005 |
5.005 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
159.729 |
253.399 |
294.158 |
|
|
4] (Accumulated Losses) |
(33.820) |
0.000 |
0.000 |
|
|
NETWORTH |
135.914 |
258.404 |
299.163 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1323.550 |
251.674 |
188.912 |
|
|
2] Unsecured Loans |
66.442 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
1389.992 |
251.674 |
188.912 |
|
|
DEFERRED TAX LIABILITIES |
1.668 |
2.335 |
2.481 |
|
|
|
|
|
|
|
|
TOTAL |
1527.574 |
512.413 |
490.556 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
150.392 |
12.169 |
13.409 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
492.624
|
96.392 |
129.449 |
|
|
Sundry Debtors |
1169.691
|
486.101 |
389.513 |
|
|
Cash & Bank Balances |
82.779
|
65.276 |
57.284 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
50.060
|
27.558 |
45.060 |
|
Total
Current Assets |
1795.154
|
675.327 |
621.306 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
404.209
|
133.505 |
130.995 |
|
|
Other Current Liabilities |
6.897
|
34.851 |
4.080 |
|
|
Provisions |
6.866
|
6.727 |
9.084 |
|
Total
Current Liabilities |
417.972
|
175.083 |
144.159 |
|
|
Net Current Assets |
1377.182
|
500.244 |
477.147 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1527.574 |
512.413 |
490.556 |
|
PROFIT & LOSS ACCOUNT
|
|
PARTICULARS |
30.06.2010 (15 Months) |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1704.198 |
426.416 |
590.672 |
|
|
|
Other Income |
0.208 |
3.183 |
(9.874) |
|
|
|
TOTAL (A) |
1704.406 |
429.599 |
580.798 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Purchase for Re |
0.584 |
0.000 |
0.000 |
|
|
|
Raw Material Consumed |
1552.828 |
386.523 |
525.373 |
|
|
|
Manufacturing Expenses |
128.913 |
20.906 |
22.086 |
|
|
|
Administrative, Selling and Other Expenses |
89.613 |
20.370 |
6.829 |
|
|
|
Increase / (Decrease) in Stock |
3.848 |
0.000 |
0.866 |
|
|
|
TOTAL (B) |
1775.786 |
427.799 |
555.154 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(71.380) |
1.800 |
25.644 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
132.502 |
25.106 |
17.879 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(203.882) |
(23.306) |
7.765 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
22.117 |
1.333 |
1.328 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(225.999) |
(24.639) |
6.437 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
(1.403) |
16.120 |
2.015 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
(224.596) |
(40.759) |
4.422 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
184.100 |
224.859 |
220.437 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
(6.676) |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
(33.820) |
184.100 |
220.859 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
1695.297 |
420.179 |
590.912 |
|
|
TOTAL EARNINGS |
1695.297 |
420.179 |
590.912 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Diamond |
915.058 |
241.228 |
395.254 |
|
|
|
Alloy |
3.007 |
1.253 |
1.106 |
|
|
|
Gold Mounting and Findings |
5.818 |
0.000 |
0.308 |
|
|
|
Gold |
669.491 |
20.418 |
12.975 |
|
|
|
Consumables |
15.899 |
3.425 |
2.771 |
|
|
|
Silver |
7.791 |
0.000 |
0.000 |
|
|
|
Others |
0.217 |
0.000 |
0.000 |
|
|
TOTAL IMPORTS |
1617.281 |
266.324 |
412.414 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(448.74) |
(81.44) |
8.84 |
|
KEY RATIOS
|
PARTICULARS |
|
30.06.2010 (13 Months) |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(13.18)
|
(9.49) |
0.76 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(13.26)
|
(5.78) |
1.09 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(11.62)
|
(3.58) |
1.01 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(1.66)
|
(0.09) |
0.02 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
13.30
|
1.65 |
1.11 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
4.29
|
3.86 |
4.31 |
LOCAL AGENCY FURTHER INFORMATION
SUNDRY CREDITORS
DETAILS :
(Rs.
in Millions)
|
Particulars |
30.06.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
|
|
|
Sundry Creditors for Goods |
398.296 |
132.269 |
129.470 |
|
Sundry Creditors for Fixed Assets |
2.438 |
0.000 |
0.042 |
|
Other Creditors |
3.475 |
1.236 |
1.483 |
|
Total |
404.209 |
133.505 |
130.995 |
AMALGAMATION OF (SJDL) WITH THE
COMPANY:
SHREEJI
JEWELLERY DESIGN LIMITED. (SJDL) has been amalgamated with the Company. The
Scheme of Amalgamation was sanctioned by the Hon’ble High Court of Judicature
at
The
amalgamation of SJDL with the Company is in line with current trends, to
achieve size, scale, integration and greater financial strength and
flexibility, in the interests of maximizing the overall shareholder value. The
amalgamation would also augment the company’s status of being fully integrated
jewellery company fully equipped with state of the art designing department and
having presence in all the major market.
OPERATIONS:
During the period, the Company has
achieved the Sales Turnover of Rs.1704.199 Millions. The Company has posted and
EBITDA of Rs. (82.714) Millions. After providing interest for Rs. 121.169
Millions and depreciation of Rs. 22.117 Millions the company has suffered a
loss of Rs. 226.000 Millions
In spite of the challenging
business scenario the company was able to post a performance with the estimate
made by the company. The operation during the year were affected due to de
stocking of inventories by their customer as a part of the efforts to conserve
resources in view of the current global economic slow down. Volatility in gold
price and exchange rate continued to effect margin and turnover.
FUTURE OUTLOOK:
The company anticipates the slow
recovery in international market from last quarter of current financial year
and expects improvement in performance. The Company is confident of
accelerating the growth rate with the revival of demand in FY 2011-12.
Fluctuation in gold prices and
currency rate are key factors to determine the top line and bottom line of the
business.
CONTINGENT
LIABILITIES
|
Particulars |
As
on 30.06.2010 |
As
on 31.03.2009 |
|
Demand Raised by Income Tax Department being disputed income Tax
Liability. The company is hopeful of getting substantial relief in the
appeal. |
3.721 Millions |
4.723 Millions |
FORM 8 :
|
Corporate
identity number of the company |
U99999MH1996PLC100257 |
|
Name of the
company |
SHREEJI JEWELLERY LIMITED |
|
Address of the
registered office or of the principal place of business in |
G-36, Gems And Jewellery Complex III, Seepz, Andheri (East), Mumbai –
400096, |
|
This form is for |
Creation
of charge |
|
Type of charge |
Book debts Movable property |
|
Particular of
charge holder |
State Bank of India, Overseas Branch, Diamond Queen, 1st
Floor, 198, Raja Ram Mohan Ray Road, Opera House, Girgam, Mumbai – 400004,
Maharashtra, India |
|
Nature of
instrument creating charge |
A) Agreement of
Hypothecation of Goods and Assets B) Letter Regardig
The Grant of Individual Limits Within The Overall Limit Bbth the above
agreements constitute a single charge. |
|
Date of
instrument Creating the charge |
24.08.2010 |
|
Amount secured by
the charge |
Rs.45.900
Millions |
|
Brief of the principal
terms an conditions and extent and operation of the charge |
Rate of interest
: PSC : as applicable to export finance. WCTL and Funded
Interest TL : 1.25% above SBAR. to be applied out monthly subject to
applicable SBAR. and base rate charges. Terms of
repayment : Working Capital
Term Loan of Rs. 13.000 millions and funded interest term loan of Rs. 3.900
millions : repayment commencing 31.10.2010 quarterly at Rs. 2.100 millions in
respect of WCTL Rs. 1.200 millions. In respect of FITL after moratorium of
one year.
Raw Materials Stocks-in-Process 25% Finished Goods Book debts /
Receivables # Not : 10% / 15% Exceeding 120
days # for Bank
through Bills : 10% For direct Bills
: 15% |
|
Short particulars
of the property or asset(s) charged (including complete address and location
of the property) |
All present and
future goods, bookdebts and all other movable assets of the borrower
including documents of title to goods and other assets, such as book-debts outstanding
moneys, receivables, including receivabels by way of cash assistance and/or
cash incentives under the cash incentive scheme or any other scheme, claims,
including claims by way of refund of customs/excise duties under the duty
drawback credit scheme, or any other scheme bills, invoices, documents,
contracts, insurance policies, guarantees, engagements, securities,
investments and rights uncalled capital and all present and future machinery. |
Fixed Assets :
- Building
- Machinery and
Equipment
- Computer
- Furniture and
Fixtures
- Electrical
Installations
- Air
Conditioner
- Communication
System
- Safe Deposit
Vault
- Office
Equipments
- Motor
Vehicles / Cycles
- Silver Mould
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.44.42 |
|
|
1 |
Rs.72.49 |
|
Euro |
1 |
Rs.63.86 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
2 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
2 |
|
--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 |
|
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.