MIRA
INFORM REPORT
|
Report Date : |
27.06.2011 |
IDENTIFICATION DETAILS
|
Name : |
MAHINDRA NAVISTAR AUTOMOTIVES LIMITED |
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Registered
Office : |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
20.06.1994 |
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Com. Reg. No.: |
11-79098 |
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Capital
Investment / Paid-up Capital : |
Rs.4059.456 Millions |
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|
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CIN No.: [Company Identification
No.] |
U63040MH1994PLC079098 |
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|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMM27819B |
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PAN No.: [Permanent Account No.] |
AAACM7863L |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business
: |
Provide high performance
solutions for every commercial vehicle segment right from 3.5 tonne GVW to 49
tonne GVW. |
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No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (31) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
Maximum Credit Limit : |
USD 15900000 |
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|
|
Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is a joint venture between Mahindra and Mahindra Limited and
International Truck and Engine Corporation. It is a well established and reputed company having moderate track.
There appears some accumulated losses being recorded by the company. However,
trade relations are reported as fair. Business is active. Payments are
reported to be slow. However, in view of strong holding 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 – June 30, 2010
|
Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
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Registered Office : |
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E-Mail : |
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Website : |
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Head Office : |
129/2, Shed No. B and C, Sanghvi Pune - 411019, |
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Marketing Office : |
3rd Floor, |
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Tel. No.: |
91-20-27473600 |
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Factory : |
Located at Chakan |
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Dealerships : |
Located at :
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DIRECTORS
As on 06.08.2010
|
Name : |
Mr. Anand Gopal Mahindra |
|
Designation : |
Director |
|
Address : |
Goolestan, 65, |
|
Date of Birth/Age : |
01.05.1955 |
|
Date of Appointment : |
11.01.2006 |
|
DIN No. : |
00004695 |
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Name : |
Mr. Bharat Doshi |
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Designation : |
Director |
|
Address : |
8, St. Helen’s Court, Dr. Gopalrao Deshmukh Marg, Mumbai – 400026, |
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Date of Birth/Age : |
12.06.1949 |
|
Date of Appointment : |
11.01.2006 |
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DIN No. : |
00012541 |
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|
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Name : |
Mr. Hemant Hans Raj Luthra |
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Designation : |
Director |
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Address : |
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Date of Birth/Age : |
18.04.1949 |
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Date of Appointment : |
11.01.2006 |
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DIN No. : |
00231420 |
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Name : |
Mr. Pawan Kumar Goenka |
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Designation : |
Director |
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Address : |
Flat No. 602, 9th JVPD, Near UTI Bank Limited, |
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Date of Birth/Age : |
23.09.1954 |
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Date of Appointment : |
11.01.2006 |
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DIN No. : |
00254502 |
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Name : |
Mr. Rakesh Kalra |
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Designation : |
Director |
|
Address : |
603, Spring Hills, Hiranandani Estate, |
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Date of Birth/Age : |
11.09.1949 |
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Date of Appointment : |
23.01.2007 |
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DIN No. : |
00780354 |
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|
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Name : |
Mr. Deepak Tigghs Kapur |
|
Designation : |
Director |
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Address : |
7S650, |
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Date of Birth/Age : |
03.11.1954 |
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Date of Appointment : |
09.12.2005 |
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DIN No. : |
00967838 |
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|
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Name : |
Mr. Ramin Younessi |
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Designation : |
Director |
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Address : |
3522 NW, |
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Date of Birth/Age : |
25.11.1964 |
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Date of Appointment : |
16.05.2007 |
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DIN No. : |
01503497 |
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|
|
|
Name : |
Mr. Andrew Joseph Cederoth |
|
Designation : |
Director |
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Address : |
2744, Willow Ridge Drie, |
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Date of Birth/Age : |
17.03.1965 |
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Date of Appointment : |
14.05.2007 |
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DIN No. : |
02287150 |
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|
|
|
Name : |
Mr. Philip John Christman |
|
Designation : |
Director |
|
Address : |
917, Merrill New Road, |
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Date of Birth/Age : |
04.05.1963 |
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Date of Appointment : |
03.02.2009 |
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DIN No. : |
02480845 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 06.08.2010
|
Names of Shareholders |
|
No. of Shares |
|
Mahindra and Mahindra Limited jointly with Mr. A.M. Choksey |
|
1 |
|
Mahindra and Mahindra Limited jointly with Mr. Narayan Shankar |
|
1 |
|
Mahindra and Mahindra Limited jointly with Mr.P.N. Shah |
|
1 |
|
Mahindra and Mahindra Limited jointly with Mr. A.K. Nanda |
|
1 |
|
Mahindra and Mahindra Limited jointly with Mr. M.A. Nazareth |
|
1 |
|
Mahindra and Mahindra Limited jointly with Ms. Angarika Baviskar |
|
1 |
|
Mahindra and Mahindra Limited jointly with Mr. Vinay Mohan |
|
1 |
|
Mahindra and Mahindra Limited |
|
207032293 |
|
International Truck and Engine Corporation Mauritius Holding Limited |
|
198913300 |
|
Total |
|
405945600 |
As on 06.08.2010
|
Category |
Percentage |
|
Foreign holdings( Foreign institutional
investor(s), Foreign companie(s) Foreign financial institution(s),
Non-resident Indian(s) or Overseas Corporate bodies or Others |
49.00 |
|
Bodies corporate |
51.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Provide high performance
solutions for every commercial vehicle segment right from 3.5 tonne GVW to 49
tonne GVW. |
GENERAL INFORMATION
|
Bankers : |
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Facilities : |
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Banking
Relations : |
-- |
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Financial
Institution : |
SBICAP Trustee Company Limited, 202, Maker Tower, E, Cuffe Parade,
Colaba, Mumbai – 400005, Maharashtra, India |
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|
|
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Auditors : |
|
|
Name : |
A. F. Ferguson and Company Chartered Accountant |
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Address : |
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Holding Company : |
Mahindra and Mahindra Limited CIN No. : L65990MH1945PLC004558 |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
650000000 |
Equity Shares |
Rs.10/- each |
Rs.6500.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
405945600 |
Equity Shares |
Rs.10/-each |
Rs.4059.456
Millions |
Notes :
- Of
the above 4,84,00,000 Equity Shares issued for consideration other than
cash
- Of
the above 20,70,32,300 (2009 - 16,33,40,600) equity shares are held by Mahindra
and Mahindra Limited , the holding company.
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 |
4059.456 |
3202.756 |
987.756 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
499.093 |
499.950 |
502.165 |
|
|
4] (Accumulated Losses) |
(587.965) |
(331.372) |
(79.941) |
|
|
NETWORTH |
3970.584 |
3371.334 |
1409.980 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
2366.734 |
350.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
2366.734 |
350.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6337.318 |
3721.334 |
1409.980 |
|
|
|
|
|
|
|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
2385.991 |
1898.658 |
1038.863 |
|
|
Capital work-in-progress |
3609.891 |
1099.855 |
67.990 |
|
|
|
|
|
|
|
|
INVESTMENT |
262.272 |
368.582 |
110.764 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
526.952
|
418.369 |
707.105 |
|
|
Sundry Debtors |
334.726
|
788.216 |
602.025 |
|
|
Cash & Bank Balances |
168.731
|
122.674 |
59.711 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
1101.696
|
340.949 |
196.183 |
|
Total
Current Assets |
2132.105
|
1670.208 |
1565.024 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1766.772
|
1209.068 |
1232.365 |
|
|
Other Current Liabilities |
81.405
|
51.387 |
81.501 |
|
|
Provisions |
204.764
|
55.514 |
58.795 |
|
Total
Current Liabilities |
2052.941
|
1315.969 |
1372.661 |
|
|
Net Current Assets |
79.164
|
354.239 |
192.363 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6337.318 |
3721.334 |
1409.980 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
5474.228 |
4385.610 |
4567.164 |
|
|
|
Other Income |
122.935 |
148.272 |
142.688 |
|
|
|
TOTAL (A) |
5597.163 |
4533.882 |
4709.852 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Materials, Bought out components, Finished and Semi-Finished
Products |
4346.533 |
3817.259 |
3763.170 |
|
|
|
Excise Duty |
0.428 |
(38.828) |
18.168 |
|
|
|
Personnel |
195.850 |
142.839 |
107.166 |
|
|
|
Cost of Manufactured Products Capitalised |
(5.046) |
(1.373) |
(5.868) |
|
|
|
Other Expenses |
1230.140 |
756.029 |
802.182 |
|
|
|
TOTAL (B) |
5767.905 |
4675.926 |
4684.818 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(170.742) |
(142.044) |
25.034 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
9.201 |
33.925 |
0.418 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(179.943) |
(175.969) |
24.616 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
76.650 |
72.537 |
65.748 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(256.593) |
(248.506) |
(41.132) |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
0.000 |
2.925 |
2.400 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
(256.593) |
(251.431) |
(43.532) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(331.372) |
(79.941) |
(36.409) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(587.965) |
(331.372) |
(79.941) |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Commission on Component Sourcing
Services |
0.000 |
62.347 |
92.861 |
|
|
|
Program Management fee for
Engineering Services |
19.085 |
18.294 |
16.022 |
|
|
|
Others |
0.000 |
0.000 |
0.197 |
|
|
TOTAL EARNINGS |
19.085 |
80.641 |
109.080 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
41.530 |
184.689 |
21.184 |
|
|
|
Capital Goods |
1472.706 |
30.112 |
0.000 |
|
|
TOTAL IMPORTS |
1514.236 |
214.801 |
21.184 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(0.71) |
(1.29) |
(0.43) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(4.58)
|
(5.54) |
(0.92) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(4.69)
|
(5.67) |
(0.90) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(5.68)
|
(6.96) |
(1.58) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.06)
|
(0.07) |
(0.03) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.11
|
0.49 |
0.97 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.04
|
1.27 |
1.14 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONS :
The Company registered a turnover
of Rs. 6041.444 millions during the year which is higher by 19.5 % as compared
to the turnover of the previous year. During the year, the Company sold 11,152
vehicles as compared to 9,296 vehicles in the previous year, registering a
growth of 20%.
The Company's Cargo Load sales
volume during the year grew by 46% as compared to the previous year. The
Passenger (Bus) sales volumes dropped marginally by 0.44%.
The Loss for the year before
Depreciation, Amortization, Interest and Taxation was Rs. 170.742 millions and
loss after tax for the year was Rs.256.593 millions.
FORM 8 :
|
Corporate
identity number of the company |
U63040MH1994PLC079098 |
|
Name of the
company |
MAHINDRA NAVISTAR AUTOMOTIVES LIMITED |
|
Address of the
registered office or of the principal place of business in |
|
|
This form is for |
Creation
of charge |
|
Type of charge |
|
|
Particular of
charge holder |
SBICAP Trustee Company Limited, 202, Maker Tower, E, Cuffe Parade,
Colaba, Mumbai – 400005, Maharashtra, India |
|
Nature of instrument
creating charge |
Indenture of
Mortgage dated 6th September, 2010 executed in favour of the
Security Trustee acting for the benefit of the Lenders. |
|
Date of
instrument Creating the charge |
06.09.2010 |
|
Amount secured by
the charge |
Rs.5000.000
Millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Extent and
operation of the charge : The company has
created an Indenture of Mortgage in respect of immovable property and movable
property as security of Rs.5000.000 Millions (granted by the Banks (viz. Bank
of Baroda, Dena Bank, Central Bank of India, United Bank of India, Indian
Bank, Bank of Maharashtra and Canara Bank). |
FIXED ASSETS :
- Plant and Machinery
- Vehicles
- Furniture and Fittings
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.44.94 |
|
|
1 |
Rs.71.89 |
|
Euro |
1 |
Rs.64.09 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
|
31 |
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.