MIRA
INFORM REPORT
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Report Date : |
09.03.2011 |
IDENTIFICATION DETAILS
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Name : |
SONATA INFORMATION TECHNOLOGY LIMITED |
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Registered
Office : |
No. 208, T. V. Industrial Estate, K. Ahire Marg. Worli, Mumbai 400030,
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
29.06.2000 |
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Com. Reg. No.: |
11-127476 |
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CIN No.: [Company Identification
No.] |
U72300MH2000PLC127476 |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business
: |
Providing Software Services |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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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 1407000 |
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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 subsidiary of Sonata Software Limited. It is a well
established company having satisfactory track. Trade relations are reported as
fair. Business is active. Payments are reported to be 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
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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 |
INFORMATION PARTED BY (General Details)
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Name : |
Mr.Milind |
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Designation : |
Accountant |
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Date : |
08.03.2011 |
LOCATIONS
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Registered Office : |
No. 208, T. V. Industrial Estate, K. Ahire Marg. Worli, Mumbai 400030,
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Tel. No.: |
91-22-24943055 / 24923991 |
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Fax No.: |
91-22-24396973 |
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E-Mail : |
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Website : |
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Branches : |
Bangalore
Sonata Information Technology Limited Sonata Information Technology Limited Sonata Information Technology Limited Sonata Information Technology Limited Sonata Information Technology Limited |
DIRECTORS
AS ON 15.06.2010
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Name : |
Mr. Byanna Ramaswamy |
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Designation : |
Director |
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Date of Birth/Age : |
15.05.1954 |
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Date of Appointment : |
29.06.2000 |
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Name : |
Mr. Palem R Srikar |
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Designation : |
Director |
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Date of Birth/Age : |
30.05.1958 |
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Date of Appointment : |
29.06.2000 |
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Name : |
Mr. Brijendra K Syngal |
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Designation : |
Director |
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Date of Birth/Age : |
14.06.1940 |
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Date of Appointment : |
17.01.2005 |
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Name : |
Mr. Sujit Mohanty |
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Designation : |
Director |
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Date of Birth/Age : |
22.12.1966 |
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Date of Appointment : |
29.06.2000 |
KEY EXECUTIVES
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Name : |
Mr. Feroza Noshir Byramji |
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Designation : |
Secretary |
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Date of Birth/Age : |
30.12.1963 |
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Date of Appointment : |
11.10.2003 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 15.06.2010
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Names of Shareholders |
No. of Shares |
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Mr. Byanna Ramaswamy |
100* |
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Mr. Palem R Srikar |
100* |
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Mr. Sujit Mohanty |
100* |
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Mr. R Sathynnarayan |
100* |
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Mr. Praveen Kumar D |
100* |
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Mr. Mohan Muthuraj A R |
100* |
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P V S |
100* |
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Sonata Software Limited, Worli, Mumbai |
3374694 |
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Total |
3375394 |
* (Beneficial Interest held by Sonata Software Limited w.e.f 26.09.2000)
AS ON 15.06.2010
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Equity Share
Breakup |
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Percentage of
Holding |
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Category |
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Bodies corporate |
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99.98 |
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Directors or relatives of directors |
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0.02 |
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Total
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Providing Software Services |
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Products : |
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Terms : |
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Selling : |
Cash, Credit |
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Purchasing : |
Cash, Credit |
GENERAL INFORMATION
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Customers : |
End Users |
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No. of Employees : |
40 Approximately |
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Bankers : |
ING Vysya Bank, 22 Ground Floor, ING Vysya House, M G Road, Bangalore
560001, Karnataka, India |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
N M Raiji and Company Chartered Accountant |
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Address : |
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Holding Company: |
Sonata Software Limited CIN No.: L72200MH1994PLC082110 |
CAPITAL STRUCTURE
AS ON 15.06.2010
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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10000000 |
Equity Shares |
Rs. 10 each |
Rs.100.000 millions |
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Issued Capital :
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No. of Shares |
Type |
Value |
Amount |
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6000700 |
Equity Shares |
Rs. 10 each |
Rs.60.007 millions |
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Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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3375394 |
Equity Shares Of the above
3,374,694 Equity Shares have been alloted as fully paid pursuant to a
contract without payment received in cash from Holding Company. |
Rs. 10 each |
Rs.33.753 millions |
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FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
33.753 |
33.753 |
33.753 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
318.193 |
251.291 |
165.766 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
351.946 |
285.044 |
199.519 |
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LOAN FUNDS |
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1] Secured Loans |
219.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
165.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
384.000 |
0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.803 |
1.141 |
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TOTAL |
735.946 |
285.847 |
200.660 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
3.974 |
6.940 |
9.308 |
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Capital work-in-progress |
1.253 |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
180.246 |
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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 |
77.286
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28.890 |
104.516 |
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Sundry Debtors |
785.949
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1205.226 |
925.774 |
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Cash & Bank Balances |
87.212
|
169.183 |
164.019 |
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Other Current Assets |
20.253
|
10.800 |
4.900 |
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Loans & Advances |
1031.061
|
735.045 |
145.288 |
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Total
Current Assets |
2001.761
|
2149.144 |
1344.497 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Sundry Creditors |
934.098
|
1493.501 |
810.051 |
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Other Current Liabilities |
335.712
|
375.772 |
520.809 |
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Provisions |
1.232
|
0.964 |
2.531 |
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Total
Current Liabilities |
1271.042
|
1870.237 |
1333.391 |
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Net Current Assets |
730.719
|
278.907 |
11.106 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
735.946 |
285.847 |
200.660 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SALES |
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Sales |
5036.061 |
6390.928 |
5939.586 |
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Other Income |
20.636 |
22.144 |
18.061 |
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TOTAL (A) |
5056.697 |
6413.072 |
5957.647 |
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Less |
EXPENSES |
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Purchase of Traded Items |
4562.361 |
5758.975 |
5524.814 |
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Increase/(Decrease) in Finished Goods |
(48.395) |
75.625 |
(94.921) |
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Operating Expenses |
393.288 |
423.223 |
431.439 |
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Provision for Doubtful Debts |
4.740 |
2.963 |
0.000 |
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TOTAL (B) |
4911.994 |
6260.786 |
5861.332 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
144.703 |
152.286 |
96.315 |
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Less |
FINANCIAL
EXPENSES (D) |
26.409 |
16.026 |
5.899 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
118.294 |
136.260 |
90.416 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
2.997 |
4.088 |
4.371 |
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PROFIT BEFORE
TAX (E-F) (G) |
115.297 |
132.172 |
86.045 |
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Less |
TAX (H) |
39.100 |
46.647 |
27.674 |
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PROFIT AFTER TAX
(G-H) (I) |
76.197 |
85.525 |
58.371 |
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Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
225.038 |
139.513 |
96.737 |
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EARNINGS IN
FOREIGN CURRENCY |
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Sales Traded Products |
99.461 |
93.631 |
26.666 |
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Software Services Rendered |
1.753 |
7.777 |
6.214 |
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IMPORTS |
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Capital Goods |
3512.208 |
3803.938 |
3281.063 |
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Earnings Per
Share (Rs.) |
22.57 |
25.34 |
14.48 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
1.50
|
1.33 |
0.97 |
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Net Profit Margin (PBT/Sales) |
(%) |
2.28
|
2.06 |
1.44 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
5.74
|
6.13 |
6.35 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.32
|
0.46 |
0.43 |
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Debt Equity Ratio (Total Liability/Networth) |
|
4.70
|
0.01 |
6.68 |
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Current Ratio (Current Asset/Current Liability) |
|
1.57
|
1.14 |
1.00 |
LOCAL AGENCY FURTHER INFORMATION
SUNDRY CREDITORS
DETAILS
Rs. In Millions
|
Particulars |
31.03.2010
|
31.03.2009 |
31.03.2008 |
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Sundry Creditors |
934.098
|
1493.501 |
810.051 |
BUSINESS REVIEW
The business of
the Company can be classified into three broad areas :
A. PRODUCTS
The Company has consolidated
its position in the Indian market and attained top position in most of the
business lines it is dealing. The Company has also seen a substantial increase
in the number of customers and won best Partner awards from various Principals
in appreciation of its services to customers.
The Company's
strategy for the current financial year is to add new business lines which have
more value adds for customers and also increase the number of customers. The
Company is also planning to add some more software products to its portfolio,
which can give higher returns to the Company.
B. BUSINESS
SOLUTIONS
The Company made
strong strides in this business line. The Company acquired Gold Partner status
– the highest level, in the SAP Partner Edge Program within a short period of
one and a half years of its alliance with SAP. The Company is one of the very
few system integrators in
Client additions
for end-to-end ERP implementation solutions were commendable. In particular,
The Company won a large deal to implement Oracle Apps ERP with a marquee client
in the discrete manufacturing space and two deals for implementation of Axapta
ERP for a market leader in real estate and for a Public Sector Organization.
Further, The
Company launched a number of add-on services like upgrade services and ERP
extension services and acquired a host of new clients.
IT CONSULTING
Under this
business line, The Company delivers IT Consulting and Services business cutting
across across various technologies and platforms. This business saw a strong
growth in revenues and new customer acquisitions both in the enterprise and
government sectors. The Company continues to enjoy preferred partner status
from Principals and many a customer for these services.
FIXED ASSETS:
- Leasehold
Improvements
- Plan and
Machinery
- Furniture and
Fixtures
- Motor Car and
Vehicles
- Air
Conditioner and Other Equipments
FORM 8
|
Corporate
identity number of the company |
U72300MH2000PLC127476 |
|
Name of the
company |
SONATA INFORMATION TECHNOLOGY LIMITED |
|
Address of the
registered office or of the principal place of business in |
No. 208, T. V. Industrial Estate, K. Ahire Marg. Worli, Mumbai 400030,
|
|
This form is for |
Creation of
charge |
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Type of charge |
Book debts Floating charge |
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Particular of
charge holder |
ING Vysya Bank, 22 Ground Floor, ING Vysya House, M G Road, Bangalore
560001, Karnataka, India |
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Nature of
instrument creating charge |
General
hypothecation agreement. |
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Date of
instrument Creating the charge |
21.09.2010 |
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Amount secured by
the charge |
Rs. 1200.000
millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest SBLC-One time
facility : Commission-0.75% p.a.+Service Tax Terms of repayment SBLC-One time
facility : 70 days. Margin SBLC-One time
facility : Nil Extent and operation of the charge Exclusive charge
over the entire inventory, including imported and local software belonging to
the company, both present and future, wherever located, including those in
transit relating to the order underlying SBLCs issued/to be issued by the
bank under the limit. Exclusive charge
over entire book debts, claims and
receivables of the company, both present and future relating to the order
underlying SBLCs issued/to be issued by the bank under the limit. |
|
Short particulars
of the property charged (Including location of the property) |
Entire inventory,
including imported and local software belonging to the company, both present
and future, wherever located in transit relating to the order underlying
SBLCs issued/to be issued by the bank under the limit. Entire book
debts, claims and receivables of the company, both present and future
relating to the order underlying SBLCs issued/to be issued by the bank under
the limit. |
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.45.03 |
|
|
1 |
Rs.72.98 |
|
Euro |
1 |
Rs.62.94 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
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 |
5 |
|
--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 |
|
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--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 |
|
47 |
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.