MIRA
INFORM REPORT
|
Report Date : |
16.06.2011 |
IDENTIFICATION DETAILS
|
Name : |
SHILPA STEEL AND POWER PRIVATE LIMITED |
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|
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Formerly Known
As : |
SHILPA RE-ROLLERS PRIVATE LIMITED |
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|
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Registered
Office : |
1, 2, 3, 4, Wanjra Layout, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
28.01.1988 |
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Com. Reg. No.: |
11-46038 |
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Capital
Investment / Paid-up Capital : |
Rs.9.990
Millions |
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|
|
CIN No.: [Company Identification
No.] |
U27100MH1988PTC046038 |
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|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
NGPS00753E |
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|
Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacturer of Hot rolled steel
products - angels, channels, beam, tmt, galvanism power, power translation
tower |
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|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (50) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 3100000 |
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Status : |
Good |
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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 fine track. General
Financial position is good. Trade relations are reported as fair. Business is
active. Payments are reported to be usually correct 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) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
1, 2, 3, 4, Wanjra Layout, |
|
Tel. No.: |
91-712-2640060 |
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Fax No.: |
91-712-2640097 |
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E-Mail : |
DIRECTORS
As on 29.09.2010
|
Name : |
Mr. Krishnakumar Bagaria |
|
Designation : |
Director |
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Address : |
2, Surana Layout, Rajnagar, |
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Date of Birth/Age : |
23.01.1951 |
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Date of Appointment : |
28.01.1988 |
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Name : |
Mrs. Saraswatidevi Bagaria |
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Designation : |
Director |
|
Address : |
2, Surana Layout, Rajnagar, |
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Date of Birth/Age : |
16.09.1953 |
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Date of Appointment : |
28.01.1988 |
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|
|
|
Name : |
Mr. Karan Bagaria |
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Designation : |
Director |
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Address : |
2, Surana Layout, Rajnagar, |
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Date of Birth/Age : |
10.11.1981 |
|
Date of Appointment : |
01.04.2005 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 29.09.2010
|
Names of Shareholders |
No. of Shares |
|
Mr. Krishnakumar Bagaria |
675920 |
|
Mrs. Saraswatidevi Bagaria |
292080 |
|
Mrs. Ratnidevi Bagaria |
6000 |
|
Ms. Shilpa Poddar (Bagaria) |
2500 |
|
Mr. Karan Bagaria |
22500 |
|
Total |
999000 |
As on 29.09.2010
|
Category |
Percentage |
|
Directors or relatives of Directors |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Hot rolled steel
products - angels, channels, beam, tmt, galvanism power, power translation
tower |
GENERAL INFORMATION
|
Bankers : |
State Bank of India, Industrial Finance Branch, 5-Sai Complex, Bharat
Nagar, Nagpur – 440033, Maharashtra, India |
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Facilities : |
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Banking Relations
: |
-- |
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Auditors : |
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Name : |
Loya Bagri and Associates Chartered Accountant |
|
Address : |
Popular Market, Gandhibagh, |
CAPITAL STRUCTURE
AS ON 29.09.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1,000,000 |
Equity Shares |
Rs.10/- each |
Rs.10.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
999,000 |
Equity Shares |
Rs.10/- each |
Rs.9.990
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 |
9.990 |
9.990 |
9.990 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
767.159 |
633.413 |
425.841 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
777.149 |
643.403 |
435.831 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
641.306 |
407.206 |
410.968 |
|
|
2] Unsecured Loans |
137.573 |
131.435 |
135.059 |
|
|
TOTAL BORROWING |
778.879 |
538.641 |
546.027 |
|
|
DEFERRED TAX LIABILITIES |
35.365 |
28.904 |
3.149 |
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|
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|
|
|
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TOTAL |
1591.393 |
1210.948 |
985.007 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
464.833 |
430.393 |
101.697 |
|
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Capital work-in-progress |
0.000 |
2.652 |
114.211 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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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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|
|
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Inventories |
726.848
|
449.507 |
677.696 |
|
|
Sundry Debtors |
362.842
|
245.005 |
97.464 |
|
|
Cash & Bank Balances |
9.621
|
9.238 |
30.126 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
210.292
|
251.949 |
170.569 |
|
Total
Current Assets |
1309.603
|
955.699 |
975.855 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
112.614
|
91.282 |
140.042 |
|
|
Provisions |
70.429
|
86.514 |
66.714 |
|
Total
Current Liabilities |
183.043
|
177.796 |
206.756 |
|
|
Net Current Assets |
1126.560
|
777.903 |
769.099 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
1591.393 |
1210.948 |
985.007 |
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PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
31.03.2009 |
31.03.2008 |
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|
SALES |
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Income |
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Other Income |
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TOTAL (A) |
|
3139.000 |
2548.600 |
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Less |
EXPENSES |
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Office Expenses |
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Administrative Expenses |
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Advertising Expenses |
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TOTAL (B) |
|
2668.483 |
2250.253 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
|
470.517 |
298.347 |
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|
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|
Less |
FINANCIAL
EXPENSES (D) |
|
128.233 |
100.367 |
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|
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|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
|
342.284 |
197.980 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
|
28.092 |
16.847 |
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|
PROFIT BEFORE
TAX (E-F) (G) |
|
314.192 |
181.133 |
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Less |
TAX (I) |
|
106.620 |
63.722 |
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PROFIT AFTER TAX
(G-I) (J) |
|
207.572 |
117.411 |
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|
Earnings Per
Share (Rs.) |
|
207.78 |
-- |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
NA
|
7.79 |
4.61 |
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
NA
|
48.83 |
41.56 |
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Return on Investment (ROI) (PBT/Networth) |
|
NA
|
0.49 |
0.41 |
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Debt Equity Ratio (Total Liability/Networth) |
|
1.24
|
1.11 |
1.73 |
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|
Current Ratio (Current Asset/Current Liability) |
|
7.15
|
5.37 |
4.72 |
LOCAL AGENCY FURTHER INFORMATION
FORM 8 :
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified |
90215831 |
|
Corporate
identity number of the company |
U27100MH1988PTC046038 |
|
Name of the
company |
SHILPA RE-ROLLERS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in |
1 to 4, Wanhjra Layout, |
|
Type of charge |
Immovable
Property |
|
Particular of
charge holder |
State Bank of India, Industrial Finance Branch, 5-Sai Complex, Bharat Nagar,
Nagpur – 440033, Maharashtra, India |
|
Nature of
description of the instrument creating or modifying the charge |
Deed of further
mortgage for enhancement. |
|
Date of
instrument Creating the charge |
13.04.2010 |
|
Amount secured by
the charge |
Rs.730.000
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest
: Working Capital :
@ SBAR i.e. 12.25% with monthly rests. Term Loan : 0.50%
below sbar i.e. Minimum 11.75% with monthly rests, will be reset at every 2
years. Terms of
Repayment : Cash Credit : on
demand. Term Loan :
repaid in 37 months including moratorium. Margin : Raw Materials :
25%. Finished Goods :
33%. Book Debts : 40%. Bank Guarantee :
10%. Term Loan : 65%. Letter of Credit
: 25%. Extent and
Operation of the charge : The charge
operates as a security on the movable assets of the company. |
|
Short particulars
of the property charged |
Equitable
mortgage of immovable properties of the company. |
|
Date of latest
modification prior to the present modification |
18.10.2008 |
|
Particulars of
the present modification |
Extention of
equitable mortgage to cover additional credit facilities of Rs. 195.000
millions. Thus total credit facilities stand at Rs. 730.000 millions. |
FIXED ASSETS :
- Leasehold
Agricultural Land
- Factory
Buildings
- Plant and
Machineries
- Office
Equipments
- Furniture and
Fixtures
- Computer
Systems
- Cars
- Motor Cycles
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.44.68 |
|
|
1 |
Rs.73.04 |
|
Euro |
1 |
Rs.64.29 |
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 |
6 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
50 |
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.