MIRA
INFORM REPORT
|
Report Date : |
07.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
SNEHA FARMS PRIVATE LIMITED (w.e.f.27.03.1995) |
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Formerly Known
As : |
DENDI HATCHERIES PRIVATE LIMITED |
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Registered
Office : |
8-2-674/B/2/10, Road No.13, Banjara Hills, Hyderabad-500034, Andhra
Pradesh |
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|
Country : |
India |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
16.08.1994 |
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Com. Reg. No.: |
01-018132 |
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Capital Investment
/ Paid-up Capital : |
Rs. 135.000 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U99999AP1994PTC018132 |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
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|
|
Line of Business
: |
Manufacturer and Trader of Broiler Hatching Eggs, Chicken and Chicks,
Chicken Products. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (49) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 730000 |
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|
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|
Status : |
Satisfactory |
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|
|
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having satisfactory track. 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 – June 30, 2010
|
Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
|
India |
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
|
Registered Office : |
8-2-674/B/2/10, Road No.13, Banjara Hills, Hyderabad-500034, Andhra
Pradesh, India |
|
Tel. No.: |
91-40-23302222 / 23303535 |
|
Fax No.: |
91-40-23311933 |
|
E-Mail : |
SOLE PROPRIETOR/PARTNERS/DIRECTORS
AS ON 09.09.2010
|
Name : |
Mr, Dendi Ram Reddy |
|
Designation : |
Managing Director |
|
Address : |
8-2-684/4/Y-11, F. No.202, Sri Ram Manishk, Road No.12, Banjara Hills,
Hyderabad-500034, Andhra Pradesh, India |
|
Date of Birth/Age : |
12.03.1962 |
|
Date of Appointment : |
16.08.1994 |
|
DIN No : |
00652418 |
|
|
|
|
Name : |
Mr. Amireddy Gopal Reddy |
|
Designation : |
Director |
|
Address : |
Plot No.133, Netaji Nagar, Hyderabad-500067, Andhra Pradesh, India |
|
Date of Birth/Age : |
05.09.1960 |
|
Date of Appointment : |
01.12.1994 |
|
DIN No : |
00822794 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 09.09.2010
|
Names of Shareholders |
No. of Shares |
|
A Bal Reddy |
340000 |
|
A Gopal Reddy |
1518090 |
|
A Rama Krishna Reddy |
490000 |
|
A Venkat Reddy |
1149000 |
|
Anuradha Vallapu Reddy |
5971110 |
|
C Ganeshwar Reddy |
1029000 |
|
Chandhra Reddy Vallapu Reddy |
3968860 |
|
D Anuradha |
3659500 |
|
D Ram Reddy |
7141300 |
|
D Srinath Reddy |
1263940 |
|
Devender Reddy |
1000000 |
|
G Venkateshwar Reddy |
615000 |
|
G Vasumathi |
545000 |
|
Ganeswar Reddy Challa |
1776490 |
|
K Ranga Reddy |
500000 |
|
Naren M Patel and Ila Patel |
14237540 |
|
R Rama Krishna Reddy |
45000 |
AS ON 09.09.2010
|
Equity Share
Breakup |
|
Percentage of
Holding |
|
Category |
|
|
|
Directors or relatives of directors |
|
100.00 |
|
|
Total
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Trader of Broiler Hatching Eggs, Chicken and Chicks,
Chicken Products. |
|
|
|
|
Products : |
Poultry Farm |
PRODUCTION STATUS (As On : 31.03.2010)
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Chiks |
Nos. |
NA |
24597000 |
24489950 |
|
Feed |
M. Tons |
NA |
95000 |
89200 |
GENERAL INFORMATION
|
Bankers : |
·
Canara Bank, Hi-Tech Agril Finance Branch, Abids,
Hyderabad-500001, Andhra Pradesh, India ·
ICICI Bank ·
HDFC Bank ·
State Bank of Hyderabad |
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Facilities : |
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Banking
Relations : |
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Auditors : |
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Name : |
Ramana Reddy and Associates Chartered Accountant |
|
Address : |
2nd Floor, My Home Plaza, Masab Tank, Hyderabad-500028,
Andhra Pradesh, India |
|
|
|
|
Associates : |
v Varun Breedings
Farms Private Limited v Dendi Agro Farms
Private Limited v Sneha Villas
Private Limited v Sneha Foods and
Feeds Limited |
CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
7000000 |
Equity Shares |
Rs. 10/- each |
Rs. 70.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
6867590 |
Equity Shares |
Rs. 10/- each |
Rs. 68.676
millions |
|
|
|
|
|
AS ON 09.09.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
13500000 |
Equity Shares |
Rs. 10/- each |
Rs. 135.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
13500000 |
Equity Shares |
Rs. 10/- each |
Rs. 135.000 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 |
68.676 |
18.966 |
18.966 |
|
|
2] Share Application Money |
0.000 |
45.484 |
29.146 |
|
|
3] Reserves & Surplus |
115.624 |
68.463 |
53.018 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
184.300 |
132.913 |
101.130 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
418.239 |
319.414 |
238.671 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
418.239 |
319.414 |
238.671 |
|
|
DEFERRED TAX LIABILITIES |
14.900 |
14.000 |
10.131 |
|
|
|
|
|
|
|
|
TOTAL |
617.439 |
466.327 |
349.932 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
325.167 |
218.432 |
156.440 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
4.194 |
0.050 |
0.050 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
253.423
|
202.073 |
151.879 |
|
|
Sundry Debtors |
99.200
|
86.441 |
76.221 |
|
|
Cash & Bank Balances |
2.994
|
18.684 |
3.340 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
70.235
|
52.753 |
17.837 |
|
Total
Current Assets |
425.852
|
359.951 |
249.277 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
104.095
|
93.983 |
54.106 |
|
|
Other Current Liabilities |
11.112
|
10.097 |
0.360 |
|
|
Provisions |
22.567
|
8.026 |
3.272 |
|
Total
Current Liabilities |
137.774
|
112.106 |
57.738 |
|
|
Net Current Assets |
288.078
|
247.845 |
191.539 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
1.903 |
|
|
|
|
|
|
|
|
TOTAL |
617.439 |
466.327 |
349.932 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
2666.961 |
1783.720 |
1146.191 |
|
|
|
Other Income |
0.334 |
0.282 |
3.056 |
|
|
|
TOTAL (A) |
2667.295 |
1784.002 |
1149.247 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Purchase |
336.079 |
179.885 |
260.704 |
|
|
|
Increase / Decrease in Stock |
(51.349) |
(50.195) |
(2.580) |
|
|
|
Manufacture Expenses |
2153.148 |
1516.361 |
804.219 |
|
|
|
Salaries and Other Expenses |
0.000 |
0.000 |
1.746 |
|
|
|
Administrative Expenses |
66.519 |
28.581 |
34.565 |
|
|
|
Selling Expenses |
46.709 |
40.172 |
0.000 |
|
|
|
TOTAL (B) |
2551.106 |
1714.804 |
1098.654 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
116.189 |
69.198 |
50.593 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
30.162 |
29.697 |
24.903 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
86.027 |
39.501 |
25.690 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
15.132 |
11.847 |
9.736 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
70.895 |
27.654 |
15.954 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
23.734 |
12.209 |
2.680 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
47.161 |
15.445 |
13.274 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
68.463 |
53.018 |
39.744 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
115.624 |
68.463 |
53.018 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
23.84 |
10.82 |
7.00 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
1.77
|
0.87 |
1.16 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.66
|
1.55 |
1.39 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
9.44
|
4.78 |
3.93 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.38
|
0.21 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.10
|
3.35 |
3.03 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.09
|
3.21 |
4.32 |
LOCAL AGENCY FURTHER INFORMATION
FINANCIAL RESULTS
During the year
under report the company has achieved a turnover of Rs.2666.961 millions and
earned a Net Profit of Rs 70.895 millions after providing depreciation of
Rs.15.132 millions and financial charges of Rs.30.162 millions. The company has
made a provision for tax an amount of Rs.23.734 millions. The directors are
expecting better financial results in the forthcoming year.
During the year
the company has completed construction of fans at Rajbollaram village, Medchal
Mandal, Ranga Reddy district. The construction of farms at Chenjarla village,
Mankondur Mandal, Karimnagar district, at Kasireddypally village, Mulugu
Mandal, Medak dist and 2" Hatchery
unit at Gouraram village, Wayal Mandal, Medek
district is expected to start commercial operations in the coming year.
FORM 8
|
Corporate
identity number of the company |
U99999AP1994PTC018132 |
|
Name of the
company |
SNEHA FARMS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in |
8-2-674/B/2/10, Road No.13, Banjara Hills, Hyderabad-500034, Andhra
Pradesh, India |
|
This form is for |
Creation of charge |
|
Type of charge |
Immovable property |
|
Particular of
charge holder |
Canara Bank, Hi-Tech Agril Finance Branch, Abids, Hyderabad-500001,
Andhra Pradesh, India |
|
Nature of
instrument creating charge |
Memorandum
of Title Deed, Hypothecation of Agreement, Sanction Memorandum, Term Loan of
Rs. 231.300 millions. Loan sanctioned at the Rate of interest 11.5% |
|
Date of
instrument Creating the charge |
29.12.2010 |
|
Amount secured by
the charge |
Rs. 231.300 millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest 11.5% Terms of
repayment The
loan amount needs to be repaid in 9 years in 30 quarterly installments with
an initial repayment holiday of 18 Month Interest accrued during moratorium
period to be recovered as and when due. Interest debited to be recovered
along with principal installment. Schedule of repayment: 30 quarterly
installments of Rs.7.710 millions per quarter. (7710000*30
= 231300000) Margin Rs.66.200
millions (22.34%) (Amount already spent on the project may be treated as
margin.) Extent and operation
of the charge First
Charge on Plant and Machinery Equitable
Mortagage of Immovable Property Other 1
Branch to ensure that required project margin is brought in duly supported by
CA certificate before opening the LC. 2
All terms stipulated for TL to be complied with before opening the FLC. 3
Exchange Control guidelines as per Foreign Trade Policy 2004-09 to be
complied with. |
|
Short particulars
of the property charged (Including location of the property) |
Sy.No.58/3,
53/4, 94/5,95/4, 54/6,54/4,54/5, 54/1, 94/3, 53/3, 53/1, 54/2,94/6 and 94/2;
totaling to Ac.14-27 cents, Epuru Village, Pedapadu Mandalam, West Godavari
District. Sy.No.48/1,2
consisting of an extent of Ac.0-10 cents of dry Land, Epuru Village, Pedapadu
Mandalam, West Godavari District. Sy.No.52/7,
52/8, totalling to Ac.0-38 cents of dry Land, Epuru Village, Pedapadu
Mandalam, West Godavari District. Sy.No.53/1,
53/2, 55/1, 55/4, 57/4; totaling to Ac. 8-31 cents of dry Land, Epuru
Village, Pedapadu Mandalam, West Godavari District |
FIXED ASSETS
ü
Land
ü
Buildings
ü
Plant and Machinery
ü
Office Equipment
ü
Computers
ü
Furniture and Fixtures
ü
Vehicles
WEB SIDE DETAILS
PROFILE
Subject the newest venture from the house of
Sneha will cater to the ever increasing demand for Soya bean edible products,
whose nutritious value makes it the bean of the future. The processing unit is
located in Maharashtra as the state is the second highest producer of Soya Bean
in India. The locational advantage of the plant is the easy availability of the
raw materials – Soya Bean and coal.
Sneha group started with Sneha Farms Private Limited Sneha Farms Limited –
incorporated in the year 1995-96 under the companies Act 1956. The Company is
promoted by Mr. D. Ram Reddy, Mr. A. Gopal Reddy and their associates who are
Hyderabad based pioneers in Poultry Industry since 1980’s. Having a versatile
experience in this field they had a vision to promote their business in
corporate model. In this scenario they have incorporated M/s. Sneha Farms
Private Limited in 1996. The company’s main activity are Parent Broiler
Breeding with an installed capacity of 90,000 Broiler parents, Hatchery,
Broiler Farming as well as backyard Integration constituting growing of 15 Lac
Birds per annum and chicken production, sale with an integrated retail network
system in the brand name of Sneha Fresh Chicken which was earlier known as Ram
Reddy’s Chicken Market in 50 different locations of state capital Hyderabad and
its surrounding places, with proven best tasting chicken adhering to the
strictest norms of chicken farming.
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.44.78 |
|
|
1 |
Rs.73.43 |
|
Euro |
1 |
Rs.65.27 |
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 |
5 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
49 |
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 |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.