MIRA
INFORM REPORT
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Report Date : |
29.07.2011 |
IDENTIFICATION DETAILS
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Name : |
RELIANCE BRANDS LIMITED |
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Registered
Office : |
Reliance Corporate Park, Building No. 4, Ground Floor, ‘C’ Wing,
Thane- Belapur Road, Gansoli, Navi Mumbai-400701, Maharashtra |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
25.09.2007 |
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Com. Reg. No.: |
11-174470 |
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Capital
Investment/ Paid-up Capital: |
Rs. 0.500 Million |
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CIN No.: [Company Identification
No.] |
U51900MH2007PLC174470 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMR22340D |
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PAN No.: [Permanent Account No.] |
AADCR7395F |
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Legal Form : |
A Closely held Public Limited Liability Company. |
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Line of Business
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Subject is engaged in ‘Organised Retail’ in |
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No. of
Employees: |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 2000 |
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Status : |
Yet to Commence business |
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Payment Behaviour : |
Unknown |
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Litigation : |
Clear |
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Comments : |
Subject is a part of Reliance Group, owned by Mr. Mukesh Ambani. As per available details, the company has not started it commercial
operations. Trade relations are reported as fair. Payment terms are unknown. However, in view of strong promoters the company can be considered
normal for business dealings at usual trade terms and conditions. Profit and Loss of the company is not available. |
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
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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 |
LOCATIONS
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Registered Office : |
Reliance Corporate Park, Building No. 4, Ground Floor, ‘C’ Wing, Thane-
Belapur Road, Gansoli, Navi Mumbai-400701, Maharashtra, India |
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Tel. No.: |
Not Available |
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Fax No.: |
Not Available |
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E-Mail : |
DIRECTORS
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Name : |
Mr. Ramesh Kumar Damani |
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Designation : |
Director |
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Name : |
Mr. Pankaj Pawar |
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Designation : |
Director |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
Not Available
BUSINESS DETAILS
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Line of Business : |
Subject is engaged in ‘Organised Retail’ in |
GENERAL INFORMATION
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Bankers : |
Not Available |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Chaturved and Shah Chartered Accountant |
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Ultimate Holding Company : |
Reliance Industries Limited |
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Holding Company: |
Reliance Retail Limited |
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Fellow Subsidiaries : |
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Joint Ventures: |
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CAPITAL STRUCTURE
As on 06.08.2010
Authorised Capital : Rs. 1000.000 Millions
Paid-up Capital : Rs. 808.600 Millions
As on 31.03.2010
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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50000 |
Equity Shares |
Rs. 10/- each |
Rs. 0.500 Million |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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50000 |
Equity Shares |
Rs. 10/- each |
Rs. 0.500 Million |
Notes:
(i) All the above, 50 000 (Previous year 50 000) Equity Shares of Rs10
each are held by Reliance Retail Limited, the holding company along with its
nominees.
(ii) The Company is authorised to issue upto two crore sixty four lakh
Restricted Stock units (RSUs) to eligible employees under Reliance Brands
Employees Restricted Stock Unit Plan 2008. The RSUs vest on different dates
over a period of five years from the date of grant of RSUs as per the scheme
announced and upon vesting, the employees are entitled to one equity share for
every RSU. As on March 31, 2010 RSUs in force total to two crore thirty four
lakh RSUs.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2010 |
31.03.2009 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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0.500 |
0.500 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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0.000 |
0.000 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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0.500 |
0.500 |
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LOAN FUNDS |
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1] Secured Loans |
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0.461 |
0.676 |
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2] Unsecured Loans |
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368.314 |
196.696 |
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TOTAL BORROWING |
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368.775 |
197.372 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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369.275 |
197.872 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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8.096 |
9.163 |
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Capital work-in-progress |
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242.842 |
174.554 |
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INVESTMENT |
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110.491 |
0.541 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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0.000 |
0.000 |
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Sundry Debtors |
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0.000 |
8.445 |
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Cash & Bank Balances |
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0.000 |
0.000 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
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16.285 |
15.785 |
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Total
Current Assets |
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16.285 |
24.230 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Sundry Creditors |
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5.548 |
6.450 |
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Other Current Liabilities |
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0.004 |
0.000 |
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Provisions |
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2.887 |
4.166 |
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Total
Current Liabilities |
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8.439 |
10.616 |
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Net Current Assets |
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7.846 |
13.614 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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369.275 |
197.872 |
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KEY RATIOS
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PARTICULARS |
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31.03.2010 |
31.03.2009 |
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Debt Equity Ratio (Total Liability/Networth) |
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754.43 |
418.98 |
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Current Ratio (Current Asset/Current Liability) |
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1.93 |
2.28 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONAL
REVIEW:
The year 2009-2010 was a significant year with a lot of development in
the Company’s activities. Diesel Fashion India Reliance Private Limited, the
Company’s joint venture with Diesel S.p.A., successfully launched its first
store at Mumbai, providing high-end Diesel branded products and accessories to
its discerning customers in
Fixed Assets:
·
Plant and Machinery
·
Equipments
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Furniture and Fixture
·
Vehicles
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.44.13 |
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1 |
Rs.72.05 |
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Euro |
1 |
Rs.63.33 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.