MIRA
INFORM REPORT
|
Report Date : |
17.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
KEKULE PHARMA LIMITED (w.e.f. 11.05.2004) |
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Formerly Known
as : |
KEKULE CHEMICALS PRIVATE LIMITED |
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Registered
Office : |
A-4, Madhuranagarsrnagar Post, Hyderabad – 500038, Andhra Pradesh |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
29.11.1984 |
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Com. Reg. No.: |
01-005145 |
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Capital
Investment / Paid-up Capital : |
Rs.150.000 Millions |
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CIN No.: [Company Identification
No.] |
U24231AP1984PLC005145 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacturer,
Exporter, Service Provider of Pharmaceutical Bulk Drugs |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 890000 |
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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. There
appears some accumulated losses being incurred by the company in current year
i.e. 2009-10. However, 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 – 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 |
LOCATIONS
|
Registered Office : |
A-4, Madhuranagarsrnagar Post, Hyderabad – 500038, Andhra Pradesh,
India |
|
Tel. No.: |
91-40-2373-6150 / 2373-3225 |
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Fax No.: |
91-40-2374-4822 |
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E-Mail : |
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Website : |
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DIRECTORS
AS ON 30.09.2010
|
Name : |
Mr. K. Raja Rao |
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Designation : |
Chairman Cum Managing Director |
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Address : |
8-3-680, LIC Colony, Yellareddygude, Hyderabad – 500073, India |
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Date of Birth/Age : |
01.07.1948 |
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Date of Appointment : |
26.05.2001 |
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Pan No.: |
AEOPK6292G |
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Name : |
Mrs. K. Durga Rani |
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Designation : |
Joint Managing Director |
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Address : |
8-3-680, LIC Colony, Yellareddygude, Hyderabad – 500073, India |
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Date of Birth/Age : |
10.11.1957 |
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Date of Appointment : |
15.06.2001 |
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Pan No.: |
AAKPD7743B |
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Name : |
Mrs. K. Srilakshmi |
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Designation : |
Director Finance |
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Address : |
8-3-680, LIC Colony, Yellareddygude, Hyderabad – 500073, India |
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Date of Birth/Age : |
14.02.1975 |
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Date of Appointment : |
20.02.1998 |
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Pan No.: |
ADOPK8065E |
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Name : |
Mr. K. Sridhar |
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Designation : |
Executive Director |
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Address : |
8-3-680, LIC Colony, Yellareddygude, Hyderabad – 500073, India |
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Date of Birth/Age : |
23.10.1977 |
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Date of Appointment : |
20.02.1988 |
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Pan No: |
AEOPK0381A |
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Name : |
Mr. R. Murlidhar |
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Designation : |
Technical Director |
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Address : |
Plot No. 304, Santosh Residency, F-61, Madhuranager Colony, Hyderabad
– 500038, India |
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Date of Birth/Age : |
05.06.1968 |
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Date of Appointment : |
29.05.2003 |
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Pan No.: |
ADRPR3327H |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2010
|
Names of Shareholders |
|
No. of Shares |
|
Mrs. P. Padmaja |
|
9720 |
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Mr. P. Govardhana Rao |
|
82500 |
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Mr. K. Raja Rao |
|
765450 |
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Mrs. K. Srilakshmi |
|
3057390 |
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Mr. R. Muralidhar |
|
3000 |
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Mrs. K. Durga Rani |
|
5031750 |
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Mr. Kanakamedala Raja Rao |
|
16500 |
|
Premier Klenz Private Limited, Hyderabad |
|
2932500 |
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Mr. K. Sridhar |
|
3101190 |
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Total |
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15000000 |
AS ON 30.09.2010
|
Category |
Percentage |
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Bodies corporate |
20.00 |
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Directors or relatives of Directors |
80.00 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer,
Exporter, Service Provider of Pharmaceutical Bulk Drugs |
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Products : |
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PRODUCTION STATUS : 31.03.2010
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Item Code No.: |
Actual
Production |
Installed
Capacity |
|
Nizatidine Intermediate |
25.465 |
30 MT |
|
Celecoxib Intermediate |
22.255 |
25 MT |
|
Sultamppicilline Intermediate |
7.140 |
10 MT |
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Bicaltamide Intermediate |
0.309 |
1 MT |
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Pantoprazle Intermediate |
103.480 |
120 MT |
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Citalopram Intermediate |
0.146 |
1 MT |
|
Omeprazole Intermediate |
-- |
-- |
|
Etoricoxib Intermediate |
8.774 |
10 MT |
|
Nevirapine Intermediate |
-- |
-- |
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Voricanazole Intermediate |
-- |
-- |
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Trandolapril Intermediate |
0.001 |
1 MT |
|
Modafinal Intermediate |
-- |
-- |
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Lansoprazole Intermediate |
-- |
-- |
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Fexofenadine HCL Intermediate |
52.678 |
60 MT |
|
Setraline HCL Intermediate |
-- |
-- |
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Quetiapine |
0.383 |
1 MT |
|
Nutritional Products |
0.000 |
-- |
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Others |
-- |
5 MT |
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Total |
221.813 |
264 MT |
GENERAL INFORMATION
|
Bankers : |
·
Corporation Bank, 3/6/285, Hyderguda Branch,
Ameermahal Apartments, Hyderabad – 500029, Andhra Pradesh, India |
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Facilities : |
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Banking
Relations : |
--- |
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Auditors : |
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Name : |
Ramasamy Koteswara Rao and Colony Chartered Accountant |
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Address : |
Plot No. 238/A, MLA’s Colony, Road No. 12, Banjara Hills, Hyderabad – 500034,
Andhra Pradesh, India |
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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 |
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
|
|
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|
15000000 |
Equity Shares |
Rs.10/- each |
Rs.150.000
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 |
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|
SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
150.000 |
100.000 |
100.000 |
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2] Share Application Money |
10.000 |
1.210 |
2.063 |
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|
3] Reserves & Surplus |
62.118 |
113.386 |
65.027 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
222.118 |
214.596 |
167.090 |
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LOAN FUNDS |
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|
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|
1] Secured Loans |
130.067 |
87.831 |
91.227 |
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2] Unsecured Loans |
42.172 |
35.976 |
30.000 |
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TOTAL BORROWING |
172.239 |
123.807 |
121.227 |
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DEFERRED TAX LIABILITIES |
31.142 |
16.588 |
55.128 |
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TOTAL |
425.499 |
354.991 |
343.445 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
238.557 |
212.224 |
210.961 |
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Capital work-in-progress |
3.111 |
3.642 |
1.511 |
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INVESTMENT |
0.233 |
1.033 |
1.033 |
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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 |
73.281
|
51.162 |
93.697 |
|
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Sundry Debtors |
129.041
|
105.256 |
53.592 |
|
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Cash & Bank Balances |
2.439
|
0.474 |
5.424 |
|
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Other Current Assets |
0.000
|
0.000 |
0.000 |
|
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Loans & Advances |
85.400
|
61.799 |
30.718 |
|
Total
Current Assets |
290.161
|
218.691 |
183.431 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Other Current Liabilities |
96.763
|
68.313 |
53.492 |
|
|
Provisions |
9.800
|
12.285 |
0.000 |
|
Total
Current Liabilities |
106.563
|
80.598 |
53.492 |
|
|
Net Current Assets |
183.598
|
138.093 |
129.939 |
|
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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|
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|
|
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TOTAL |
425.499 |
354.991 |
343.445 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
480.688 |
537.799 |
659.959 |
|
|
|
Other Income |
19.664 |
6.080 |
3.469 |
|
|
|
TOTAL (A) |
500.352 |
543.879 |
663.428 |
|
|
|
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|
|
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Less |
EXPENSES |
|
|
|
|
|
|
|
Material Consumed |
269.446 |
332.423 |
418.649 |
|
|
|
Manufacturing Expenses |
72.163 |
58.746 |
48.497 |
|
|
|
Excise Duties and Sales Tax |
31.124 |
36.170 |
67.636 |
|
|
|
Personnel Cost |
25.439 |
24.215 |
18.699 |
|
|
|
Administrative, Selling and Other Expenses |
32.371 |
30.220 |
29.163 |
|
|
|
TOTAL (B) |
430.543 |
481.774 |
582.644 |
|
|
|
|
|
|
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|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
69.809 |
62.105 |
80.784 |
|
|
|
|
|
|
|
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|
Less |
FINANCIAL
EXPENSES (D) |
13.490 |
13.470 |
11.071 |
|
|
|
|
|
|
|
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|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
56.319 |
48.635 |
69.713 |
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|
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|
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|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
29.915 |
26.529 |
24.160 |
|
|
|
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|
|
|
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|
PROFIT BEFORE
TAX (E-F) (G) |
26.404 |
22.106 |
45.553 |
|
|
|
|
|
|
|
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|
Less |
TAX (I) |
27.671 |
26.252 |
22.585 |
|
|
|
|
|
|
|
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|
|
PROFIT AFTER TAX
(G-I) (J) |
(1.267) |
48.358 |
22.968 |
|
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|
|
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EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
149.709 |
145.237 |
19.693 |
|
|
TOTAL EARNINGS |
149.709 |
145.237 |
19.693 |
|
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|
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IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
88.644 |
40.952 |
27.499 |
|
|
|
Capital Goods |
2.735 |
0.316 |
5.805 |
|
|
TOTAL IMPORTS |
91.379 |
41.268 |
33.304 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(0.08) |
3.22 |
2.30 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(0.25) |
8.89 |
3.48 |
|
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|
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|
Net Profit Margin (PBT/Sales) |
(%) |
5.49 |
4.11 |
6.90 |
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.99 |
5.13 |
11.55 |
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.11 |
0.10 |
0.27 |
|
|
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|
Debt Equity Ratio (Total Liability/Networth) |
|
1.25 |
0.95 |
1.04 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.72 |
2.71 |
3.42 |
LOCAL AGENCY FURTHER INFORMATION
REVIEW OF
OPERATION :
The Company's
revenue decreased by 10.62% i.e, from Rs.537.700 millions to 480.700 millions.
This was largely on account of post patent Expiry, their prices decrease
significantly leading to considerable deduction in revenues from these products
and exceptional fluctuations in the Indian rupee - US Dollar exchange rate and
a significant weakening of the USD vis-a-vis the rupee.
During the year
the manufacturing capacities were augmented, modernized and automated which
will support the growth initiative of the company in future. There consistent
focus on Research and Development would facilitate more new AIPs as well as
intermediates at the commercial levels in the long term contracts.
The operating
margin was lower as compare to last year mainly due to increase in expenditure
on R and D, cost of Raw Materials, Stores and Consumables and Establishment
expenses.
The Industry
continues to defme itself as a product producer. The challenge is to become a
healthcare provider.
FIXED ASSETS :
·
Land
·
Building
·
Plant and Machinery
·
Electrical Equipments
·
Office Equipments
·
Vehicles
·
Computers
·
Service Equipments
·
Generator
·
Weighing Scale
·
Pollution Control Equipment
·
Telephone Telex Fax Machines
·
Air Conditioner
·
Coffee Machine
·
Xerox Machine
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. 45.07 |
|
|
1 |
Rs. 72.97 |
|
Euro |
1 |
Rs. 63.57 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--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 |
NO |
|
--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.