MIRA
INFORM REPORT
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Report Date : |
16.05.2011 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
20B, |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
16.09.1998 |
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Com. Reg. No.: |
21-153383 |
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Paid-up Capital : |
Rs. 128.890 Millions |
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CIN No.: [Company
Identification No.] |
U00331WB1998PLC153383 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
RCHS00811G |
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PAN No.: [Permanent
Account No.] |
AAECS1926J |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer, Exporter and Supplier of Iron and Steel Products. |
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No. of Employees : |
100 (approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (45) |
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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 2300000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an 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 dealing at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
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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
|
Name : |
Mr. Rajesh |
|
Designation : |
Account Department |
LOCATIONS
|
Registered Office/ Corporate / Export Office : |
20B, |
|
Tel. No.: |
91-33-22137518/ 22137519/30287541/42/43/6532-250073 |
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Fax No.: |
91-33-22137520/6532-229326 |
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E-Mail : |
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Website : |
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Factory 1 : |
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Tel. No.: |
91-6532 244182/ 244027 |
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Tele Fax No.: |
91-6532 244082 |
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E-Mail : |
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Factory 2 : |
At Chandwara, District Koderma |
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E-Mail : |
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Branch Office : |
Located at: ·
Orrisa ·
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DIRECTORS
As On 30.09.2010
|
Name : |
Mr. Arun Kumar Agarwala |
|
Designation : |
Managing Director |
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Address : |
Station Road, Giridih – 815 301, |
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Date of Birth/Age : |
01.08.1960 |
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Date of Appointment : |
26.07.2004 |
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DIN No.: |
00575599 |
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Name : |
Mr. Binod Kumar Agarwala |
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Designation : |
Director |
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Address : |
Chowk Bazar, Giridih – 815 301, |
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Date of Birth/Age : |
03.01.1963 |
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Date of Appointment : |
21.09.1998 |
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DIN No.: |
00575464 |
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Name : |
Mr. Pramod Kumar Agarwala |
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Designation : |
Director |
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Address : |
Chowk Bazar, Giridih – 815 301, |
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Date of Birth/Age : |
26.07.1966 |
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Date of Appointment : |
16.09.1998 |
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DIN No.: |
00575433 |
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Name : |
Mr. Shiv Kumar Agarwala |
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Designation : |
Director |
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Address : |
Chowk Bazar, Giridih – 815 301, |
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Date of Birth/Age : |
15.03.1962 |
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Date of Appointment : |
01.07.2001 |
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DIN No.: |
00575394 |
KEY EXECUTIVES
|
Name : |
Mr. Rajesh |
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Designation : |
Account Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As On 30.09.2010
|
Names of Shareholders |
|
No. of Shares |
|
Pramod Kumar Agarwala |
|
821500 |
|
Gopal Kumar Agarwala |
|
146500 |
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Manoj Kumar Agarwala |
|
13500 |
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Nawal Kishore Agarwal |
|
13500 |
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Shakuntala Agarwala |
|
62000 |
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Urmila Devi Agarwala |
|
44500 |
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Binod Kumar Agarwala |
|
1197800 |
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Sudha Agarwala |
|
64900 |
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Mania Devi Agarwala |
|
112850 |
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Ramnivas Agarwala |
|
100350 |
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Barkha Agarwala |
|
191000 |
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Shiv Kumar Agarwala |
|
60000 |
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Binod Kumar Agarwala (HUF) |
|
80000 |
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Liska Trading Private Limited – |
|
685000 |
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Marvellous Intra Private Limited – |
|
240000 |
|
Almal Financiers and Consultants Private Limited – |
|
2209000 |
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Benzmark Credit Capital Private Limited – |
|
1832000 |
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Lilac Vinimay Private Limited – |
|
2204000 |
As On 30.09.2010
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Bodies
corporate |
|
64.63 |
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Directors
or relatives of directors |
|
34.93 |
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Other
top fifty shareholders |
|
0.44 |
|
Total |
|
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer, Exporter and Supplier of Iron and Steel Products. |
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Product: |
· M.S. Bar · M.S. Angle · M.S. Channel |
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GENERAL INFORMATION
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No. of Employees : |
100
(approximately) |
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Bankers : |
·
State
Bank of |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Kedia Agarwal and Associates Chartered Accountants |
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Address : |
Tah Complex, Gandhi Chowk, Giridih-815301, |
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Tel. No.: |
91-6532-222639 |
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Mobile No.: |
91-9431144160/9835505990 |
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Fax No.: |
91-6532-222639 |
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E-Mail : |
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Pan No.: |
AACFK6368H |
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Associates: |
Sundaram Peratech Private Limited |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs.10/- each |
Rs.150.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
12889000 |
Equity Shares |
Rs.10/- each
|
Rs.128.890
Millions |
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|
|
|
|
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 |
128.890 |
110.290 |
65.726 |
|
|
2] Equity Share Suspense |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
460.874 |
363.603 |
168.592 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
589.764 |
473.893 |
234.318 |
|
|
LOAN FUNDS |
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|
|
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|
1] Secured Loans |
658.368 |
432.335 |
243.804 |
|
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
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TOTAL BORROWING |
658.368 |
432.335 |
243.804 |
|
|
DEFERRED TAX LIABILITIES |
7.405 |
8.296 |
6.878 |
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|
|
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|
|
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TOTAL |
1255.537 |
914.524 |
485.000 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
203.517 |
230.160 |
164.866 |
|
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Capital work-in-progress |
304.508 |
0.000 |
0.000 |
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|
|
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|
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|
INVESTMENT |
0.000 |
0.000 |
0.000 |
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|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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|
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
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|
Inventories |
562.339
|
541.383
|
215.002
|
|
|
Sundry Debtors |
137.036
|
175.708
|
67.300
|
|
|
Cash & Bank Balances |
68.021
|
71.810
|
56.695
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
153.530
|
55.572
|
42.172
|
|
Total
Current Assets |
920.926
|
844.473
|
381.169
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
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|
Sundry Creditors |
146.599
|
141.032
|
53.693 |
|
|
Other Current Liabilities |
26.815
|
19.005
|
7.259
|
|
|
Provisions |
0.000
|
0.109
|
0.083
|
|
Total
Current Liabilities |
173.414
|
160.146
|
61.035
|
|
|
Net Current Assets |
747.512
|
684.327
|
320.134
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.037 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1255.537 |
914.524 |
485.000 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
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SALES |
|
|
|
|
|
|
|
Income |
1790.997 |
1769.937 |
1003.271 |
|
|
|
Other Income |
26.010 |
70.120 |
7.058 |
|
|
|
TOTAL (A) |
1817.007 |
1840.057 |
1010.329 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Increase/ Decrease in stocks |
3.392 |
(135.088) |
20.988 |
|
|
|
Consumption of raw materials |
994.173 |
1103.674 |
530.317 |
|
|
|
Manufacturing expenses |
668.122 |
627.510 |
366.167 |
|
|
|
Administrative and selling expenses |
52.400 |
157.729 |
44.620 |
|
|
|
TOTAL (B) |
1718.087 |
1753.825 |
962.092 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
98.920 |
86.232 |
48.237 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES/ INTEREST (D) |
30.828 |
35.119 |
15.230 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
68.092 |
51.113 |
33.007 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
32.935 |
35.990 |
13.407 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
35.157 |
15.123 |
19.600 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
12.250 |
5.707 |
7.244 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
22.907 |
9.416 |
12.356 |
|
|
|
|
|
|
|
|
|
Less |
INCOME TAX
ADJUSTMENTS FOR EARLIER YEARS |
0.037 |
0.409 |
0.137 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
54.627 |
45.620 |
25.253 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
77.497 |
54.627 |
37.472 |
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|
|
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|
Earnings Per
Share (Rs.) |
2.07 |
1.37 |
1.88 |
|
Expected Sales (2010-11) : Rs. 2000.000 Millions
The above information has been parted by Mr. Rajesh
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
1.26
|
0.51
|
1.22 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.96
|
0.85
|
1.95 |
|
|
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|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.13
|
1.41
|
3.59 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.06
|
0.03
|
0.08 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.41
|
1.25
|
1.30 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
5.31
|
5.27
|
6.24 |
LOCAL AGENCY FURTHER INFORMATION
Bankers Charges Report
as per Registry
|
Corporate
identity number of the company |
U00331WB1998PLC153383 |
|
Name of the
company |
SHIVAM IRON AND
STEEL COMPANY LIMITED |
|
Address of the
registered office or of the principal place of business in |
20B, |
|
This form is for |
Modification of
charge |
|
Type of charge |
Immovable
Property Book Debts Movable Property
(not being pledge) Floating Charge Others (stock in
trade) Any Interest in
immovable property |
|
Particular of
charge holder |
State Bank of |
|
Email |
|
|
Nature of description
of the instrument creating or modifying the charge |
1. Supplemental
Agreement Of Loan For Increase In The Overall Limit (C1a) Dt 20.01.2011 2. Supplemental
Agreement Of Hypothecation Of Goods And Assets (C2a) Dt 20.01.2011 3. Letter
Regarding Grant Of Individual Limits Within Overall Limit (C5) Dt 20.01.2011 |
|
Date of
instrument Creating the charge |
20.01.2011 |
|
Amount secured by
the charge |
Rs. 1934.200
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest CC (STOCKS) &
CC (BOOK DEBTS)-Base Rate+4.75%, TL-VI-Base Rate+4.75% CC (EPC) - Base
Rate+1.50% Terms of
Repayment 1. Working
Capital: On Demand 2. The repayment
of the existing term loan will be repaid as per the existing repayment
schedule. 4. Term Loan VI
of Rs.240.000 millions shall be repaid in 72 monthly installments commencing
from December-2011 as Rs.2.000 Millions from Dec-2011 to march-2015 and
Rs.5.000 Millions from April-2015 to Nov-2017. Margin Raw material,
stock in process and finished goods :
25% Book debts: 40% LC and BG : 15% EPC: 10% Extent and
Operation of the charge First and Full
Charge over the assets and properties Others Personal
guarantee of 1. Binod Kr. Agarwala (Director) 2. Pramod Kr. Agarwala
(Director) 3. Arun Kr. Agarwala (Director) 4. Shiv Kr. Agarwala (Director) 5.
Gopal Kr. Agarwala 6. Alok Kr. Agarwala 7. Ram Niwas Agarwala 8. Smt. Leela
Devi Agarwala 9. Smt. Barkha Agarwala 10. Smt. Sudha Agarwala. |
|
Short particulars
of the property charged |
I)
1.
Hypothecation of RM, SIP, FG, receivables and other current assets both
present and future. II)
2.
Hypothecation of entire fixed assets of the company both present and future. III)
3.EM
of property in name of Shivam Iron and Steel Company Limited IV)
4. EM
of factory land and building in the name of Pramod Kumar Agarwal leased to
Shivam Iron and Steel Company Limited.
V)
5. EM
of land in name of Pramod Kumar Agarwal at Giridih VI)
6. EM
of land in name of Binod Kumar Agarwal at Giridih VII)
7. EM
of residential flat of Gopal Kr. Agarwala situated at VIII)
8. EM
of property of Arun Kumar Agarwal and
Shiv Kumar Agarwal IX)
9.EM of
land in name of Gopal Kumar Agarwal at Jambad, Udnabad, Giridih |
|
Date of latest
modification prior to the present modification |
13.08.2010 |
|
Particulars of
the present modification |
Bank has
sanctioned additional limit of CC (Stocks) Rs.230.000 millions, TL Rs.
240.000 Millions, CC (BD)-Rs.20.000 Millions, LC-Rs.200.000 Millions making a
total of Rs. 1934.200 Millions containing CC (Stocks) Rs. 610.000 Millions,
CC (BD) Rs. 70.000 Millions, Term Loan Rs. 681.400 Millions, LC Rs. 450.000
Millions, BG Rs. 20.000 Millions and Forward Contract Rs. 102.800 Millions.
(EPC/PSC/PCFC/EBR of Rs. 400.000 Millions is proposed to be within overall CC
(Stocks) limit) |
FIXED ASSETS:
- Land
- Factory Shed and Building
- Furniture
- Plant and Machinery
- Electrical Installations
- Office Equipments
- Vehicles
- Computers
- Mobile Phones
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.44.91 |
|
|
1 |
Rs.73.06 |
|
Euro |
1 |
Rs.64.03 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--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 |
|
|
|
--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 |
|
45 |
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.