MIRA
INFORM REPORT
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Report Date : |
04.05.2011 |
IDENTIFICATION
DETAILS
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Name : |
STAR INDIA
PRIVATE LIMITED (w.e.f. 29.01.2001) |
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Formerly Known As : |
NEWS TELEVISION ( |
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Registered Office : |
Star House, Off |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
08.02.1994 |
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Com. Reg. No.: |
11-76485 |
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CIN No.: [Company Identification No.] |
U72300MH1994PTC076485 |
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TAN No.: [Tax Deduction & Collection Account
No.] |
MUMS04399D |
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PAN No.: [Permanent Account No.] |
AAACN1335Q |
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Legal Form : |
Private Limited
Liability Company |
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Line of Business : |
Engaged in
production / procuring television programmes and supplying them to overseas
media companies. |
RATING & COMMENTS
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MIRA’s Rating : |
A (68) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 54000000 |
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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 part
of Star T. V. Group, leading entertainment television channel owners. Available
information indicates high financial responsibility of the company. Trade
relations are fair. Payments are correct and as per commitments. The company can
be considered good for normal business dealings at usual trade terms and
conditions. Management
declined business and financial details against various communications. |
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
Management is Non Co-Operative.
LOCATIONS
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Registered Office/Head Office : |
Star House, Off |
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Tel. No.: |
91-22-66305555 |
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Fax No.: |
91-22-66305050 |
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E-Mail : |
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Website: |
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Corporate Office: |
The Masterpiece, Marol Naka, |
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Overseas
Offices : |
ESPN STAR
Sports
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Branches : |
Located at: ·
Mumbai ·
Chennai ·
Kolkata ·
·
Ahmedabad ·
Gurgaon |
DIRECTORS
As on 29.09.2009
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Name : |
Mr. Saurabh Yagnik |
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Designation : |
Additional Director |
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Name : |
Mr. Rishi Kanwarjeet Gaind |
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Designation : |
Additional Director |
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Name : |
Mr. Paritosh
Ratnakar Joshi |
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Designation : |
Director |
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Address : |
B – 1904, 19th |
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Date of Birth/Age : |
28.11.1962 |
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Date of Appointment : |
23.03.2007 |
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Date of Ceasing: |
05.11.2009 |
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Name : |
Mr. Sanjay
Deepchandra Jain |
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Designation : |
Director |
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Address : |
201, Spencers
Apartments, New |
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Date of Birth/Age : |
18.03.1963 |
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Date of Appointment : |
30.07.2007 |
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Date of Ceasing: |
05.11.2009 |
KEY
EXECUTIVES
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Name : |
Ms. Ujwala P
Wakhile |
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Designation : |
Company Secretary |
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Address : |
Flat No.504,
Dosti Tulip, Dosti Acres, S M Road, Wadala (East), Mumbai-400037, |
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Date of
Birth/Age : |
12.05.1971 |
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Date of
Appointment : |
01.11.2001 |
MAJOR
SHAREHOLDERS
As on 29.09.2009
|
Names of
Shareholders |
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No. of Shares |
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Sanjay
Deepchandra Jain |
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20 |
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Buzzer
Investments Limited, |
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112045011 |
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Quazar
Investments [ |
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79122 |
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Total |
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112124153 |
As on 13.07.2010
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List of
Allottees |
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No. of Shares Allotted |
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Xing Kong Chuan
Mel Group Company Limited, |
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86526000 |
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STARTV com
Holdings Limited, |
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14610750 |
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Star Television
Technical Services Limited, |
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6239600 |
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Total |
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107376350 |
Equity Share
Breakup (Percentage of Total Equtiy)
as on 30.09.2009
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Category |
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Percentage |
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Foreign holdings
(Foreign institutional investor(s), Foreign comapnie(s) foreign financial
institution(s), Non-resident indian(s) or overseas corporate bodies or
others) |
|
99.99 |
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Directors or
their relatives |
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0.01 |
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Total |
|
100.00 |
BUSINESS
DETAILS
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Line of Business : |
Engaged in
production / procuring television programmes and supplying them to overseas
media companies. |
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Products : |
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Brand Names : |
v
Star Movies v Star World v Star Plus v Star Gold v Xing Kong v Vijay v Star Chinese Channel v Star News v Channel V v National Geographic Channel v Adventure One Channel v Star Sports v ESPN v v v v Viva Cinema v Total TV v v Fortune Star v Star 7827 |
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Exports to : |
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GENERAL
INFORMATION
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No. of Employees : |
2000
(Approximately) |
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Bankers : |
Not Available |
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Facilities : |
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Banking Relations : |
-- |
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Auditors : |
S. R. Batliboi
and Associates Chartered Accountants |
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Address: |
18th
Floor, |
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Tel. No.: |
91-22-22876485/
66655000 |
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Fax No.: |
91-22-22876401/
22826000 |
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Holding Company: |
Buzzer
Investments Limited, |
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Subsidiaries: |
U64202KA2000PTC026495
U74210MH1959PTC011459
U32304MH2006PTC162791
U22110MH2006PTC164446 |
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Joint Venture : |
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CAPITAL STRUCTURE
As on 30.03.2010
Authorised
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
219500503 |
Equity Shares |
Rs. 10/- each |
Rs. 2195.010 Millions |
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Issued,
Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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112124153 |
Equity Shares |
Rs. 10/- each |
Rs.1121.242
millions |
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Of the above:
- 112045011
equity shares of Rs. 10 /- each are held by the holding company Buzzer Investments
Limited and 79122 equity shares are held by Ouazar Investments Mauritius
Limited, a fellow subsidiary.
- Of the above
79124 shares were issued for the acquisition of a business for
consideration other than cash.
FINANCIAL
DATA
[all
figures are in Rupees Millions]
ABRIDGED BALANCE SHEET
|
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 |
1121.242 |
1121.242 |
561.242 |
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2] Share Pending Allotment |
9273.021 |
0.000 |
0.000 |
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3] Reserves & Surplus |
5628.171 |
2652.824 |
968.187 |
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4] (Accumulated Losses) |
[2346.092] |
0.000 |
0.000 |
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NETWORTH |
13676.342 |
3774.066 |
1529.429 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
73.767 |
70.706 |
74.891 |
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TOTAL BORROWING |
73.767 |
70.706 |
74.891 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
13750.109 |
3844.772 |
1604.320 |
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APPLICATION OF
FUNDS |
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FIXED ASSETS [Net
Block] |
236.643 |
182.352 |
256.383 |
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Capital
work-in-progress |
14.031 |
25.819 |
2.636 |
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INVESTMENT |
666.955 |
756.388 |
652.853 |
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DEFERREX TAX
ASSETS |
247.594 |
420.869 |
627.517 |
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CURRENT ASSETS,
LOANS & ADVANCES |
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Inventories |
4690.756 |
146.571 |
192.520 |
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Sundry Debtors |
6542.698 |
1027.384 |
3935.189 |
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Cash & Bank Balances |
720.960 |
1070.597 |
619.850 |
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Other Current
Assets |
0.000 |
0.000 |
0.000 |
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Loans &
Advances |
9338.351 |
5751.999 |
4549.802 |
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Total Current Assets |
21292.765 |
7996.551 |
9297.361 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Sundry Creditors |
5511.680 |
3286.480 |
5141.530 |
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Current
Liabilities & Provisions |
3100.733 |
2157.517 |
4477.600 |
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Provisions |
95.466 |
93.210 |
63.300 |
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Total Current Liabilities |
8707.879 |
5537.207 |
9682.430 |
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Net
Current Assets |
12584.886 |
2459.344 |
64.931 |
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MISCELLANEOUS
EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
13750.109 |
3844.772 |
1604.320 |
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PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SALES |
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Revenue Income |
18889.240 |
9606.590 |
11862.940 |
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Other Income |
965.880 |
802.900 |
227.781 |
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TOTAL (A) |
19855.120 |
10409.490 |
12090.721 |
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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) |
17923.280 |
9457.820 |
11830.859 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1931.840 |
951.670 |
259.862 |
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Less |
FINANCIAL
EXPENSES (D) |
39.930 |
227.390 |
49.793 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1891.910 |
724.280 |
210.069 |
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|
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
112.620 |
106.430 |
104.324 |
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PROFIT BEFORE
TAX (E-F) (G) |
1779.290 |
617.850 |
105.745 |
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Less |
TAX (H) |
797.100 |
1.490 |
97.967 |
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PROFIT AFTER TAX
(G-H) (I) |
982.190 |
844.630 |
(272.130) |
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Earnings Per
Share (Rs.) |
8.76 |
9.96 |
(4.85) |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total
Income |
(%) |
4.95 |
8.11 |
(2.25) |
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Net Profit Margin (PBT/Sales) |
(%) |
9.42 |
6.43 |
0.89 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
8.26 |
7.55 |
1.11 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.13 |
0.16 |
0.07 |
|
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Debt Equity Ratio (Total Liability/Networth) |
|
0.64 |
1.49 |
6.09 |
|
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|
Current Ratio (Current Asset/Current Liability) |
|
2.45 |
1.44 |
1.01 |
LOCAL
AGENCY FURTHER INFORMATION
DETAILS OF SUNDRY CREDITORS
(Rs. In Millions)
|
Particulars |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
Sundry Creditors |
5511.680 |
3286.480 |
5141.530 |
HISTORY
Subject was
originally incorporated on 8th February, 1994 under the name and
style of "News Television (India) Limited" at Mumbai in Maharashtra
having Company Registration Number 76485, Subsequently the name was changed to present
w.e.f. 29.01.2001.
The company was
launched in 1991 with five television channels, and pioneered satellite
television in
Coupled with the
opening up of Asian economics, access to satellite television redefine viewing
experience for millions. Providing more people with more choice than ever
before the company set new standard in content, production and variety.
The company is
wholly owned subsidiary of the News Corporation.
Generic Names of
Principal Products / Services of the company are as under :
Ø TV Programme, Movie Production and
Distributors
Ø Advertisement
Ø Pay Channels Fees
SCHEME OF AMALGAMATION FOR MERGER OF INDIAN
TRASFEROR COMPANIES AND FOREIGN TRANSFEROR COMPANIES INTO THE COMPANY
During the
financial year, One Entertainment Networks Private Limited, Gold Movies Private
Limited, Star International Networks Private Limited, V Music and Interactive
Channels India Private Limited, wholly owned subsidiaries of the Company
(collectively referred to as “Indian Transferor Companies”) along with Star
Television Entertainment Limited (STEL), Star Asian Movies Limited (SAML) and
Star Asia Region FZ-LLC (SAR) (collectively referred to as “Foreign Transferor
Companies”) were amalgamated in the Company pursuant to the Scheme of
Amalgamation as approved by the Hon’ble Bombay High Court vide it’s order dated
18th February 2010 (collectively referred to as “Scheme of Amalgamation”).
As per the Scheme
of Amalgamation, with effect from the Appointed Date (i.e. April 1 2009) the
Foreign Transferor Companies and Indian Transferor Companies stand amalgamated
with the Company. Consequent upon fulfillment of necessary conditions, the
Scheme of Amalgamation came into effect on the following dates:
(i) For Indian
Transferor Companies, the Scheme of Amalgamation came into effect from March
27, 2010.
(ii) For SARZ, the
Scheme of Amalgamation came into effect from April 29, 2010
(iii) For STEL and
SAML, the Scheme of Amalgamation came into effect from May 31, 2010.
Further, in
accordance with the Scheme of Amalgamation the authorized share capital of the
Company stands increased from Rs.1122.500 Millions divided into 1122,50,000
equity shares of par value Rs.10/- each to Rs.2195.005 Millions divided into
21,95,00,503 Equity Shares of Rs. 10/- (Rupees Ten Only) each.
The Company has on
July 13, 2010 in accordance with the Scheme of Amalgamation allotted
86,526,000, 14,610,750 and 6,239,600 equity shares of Rs 10 each fully paid up
to the equity share holders of STEL, SAML and SARZ respectively and Securities
Premium of Rs.8199.26 Million recognized on the same.
The difference
between the value of the assets over the value of the liabilities, including
reserves, of the Foreign and Indian Transferor companies transferred to the
Company pursuant to the Scheme of Amalgamation after adjusting the book value
in the investment of the shares of the Indian Transferor companies and value of
the shares to be issued to the Foreign Transferor Companies has been recorded
as Capital Reserve aggregating to Rs 4,779.31 Million.
In view of the
above, the financial accounts of the Company for the year ended 31st
March 2010 would be consolidated financial accounts alongwith Indian Transferor
Companies and Foreign Transferor Companies from the Appointed Date i.e., 15t
April 2009.
BUSINESS AND
OPERATIONS
The Scheme of
Amalgamation and re-structuring exercise undertaken during the financial year
had resulted in migration to India of the entire operations of channels Star
Plus, Star One, Star Gold, Star Utsav into the Company while the operation
relating to Indian feeds of the channels Channel [VI, Star World and Star
Movies will be migrated into the Company by the end of September 2010. This
will allow the Company greater operational flexibility, greater brand
recognition and competitive intensity resulting in efficiently meeting the
requirements of key stakeholders of the business.
Company has
received the permission from the Ministry of Information and Broadcasting vide
letters dated 16th July 2010 for permission to uplink and downlink into India
channels Star Plus, Star Utsav, Star Gold, Star One, Star World, Star Movies,
Channel [V] India and to uplink from India channels Star Plus (Middle East),
Star One (Middle East), Star Gold (South East Asia) and Star One (South East
Asia).The Company proposes to operationalise the uplinking of the aforesaid
channels by the end of September 2010.
Further during the
year, growing competition in the media industry has impacted the growth of the
Company. Despite this, overall the Company continues to grow and retain its
position as the market leader.
Achievements
|
29/04/2003 |
|
|
24/04/2003 |
STAR's Foucus
Asia Wins Two Awards at the International Wildlife Film Festival |
|
16/04/2003 |
STAR MOVIES Taken
to New Heights Steven
Spielberg's Mini-series to Exclusively Premiere on Star Movies |
|
15/04/2003 |
Viewing Share on Star
News Doubles |
|
07/04/2003 |
STAR owns 100% of
Channel V |
|
21/02/2003 |
New Shows Take
Star Plus Ratings to New Heights Channel registers 50 out of 50 top shows on
Hindi Cable |
|
20/01/2003 |
Channel V, CCTV
and SMG Stage The 9th Channel V, Chinese Music Awards Richie Jen, Sun
Yan Zi, Sun Nan and Han Hong Reap Top Honours |
|
15/01/2003 |
STAR's Xing Kong
Wei Shi Expands Landing Rights in |
FIXED ASSETS
- Leasehold Improvements
- Plant and Machinery
- Furniture and Fixtures
- Computers
- Vehicles
- Office Equipments
- Computer Software
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 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.44.34 |
|
|
1 |
Rs.73.69 |
|
Euro |
1 |
Rs.65.75 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
68 |
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.