MIRA
INFORM REPORT
|
Report Date : |
12.11.2011 |
IDENTIFICATION DETAILS
|
Name : |
MANGALAM DRUGS AND ORGANICS LIMITED |
|
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|
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Registered
Office : |
292, |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
18.04.1972 |
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Com. Reg. No.: |
11-116413 |
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Capital Investment
/ Paid-up Capital : |
Rs.131.782 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24230MH1972PLC116413 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMM19790B |
|
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|
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PAN No.: [Permanent Account No.] |
AAACM7880P |
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|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchange. |
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|
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Line of Business
: |
Manufacturer of active Pharma ingredients, bulk drugs,
perfumery chemicals, disperse dye intermediate. |
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|
|
No. of Employees
: |
273 (Approximately) |
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 1700000 |
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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 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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office : |
292, |
|
Tel. No.: |
91-22-22087969/7489/7411 |
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Fax No.: |
91-22-22087074 |
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E-Mail : |
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Website : |
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Area : |
4500 sq. ft. |
|
Location : |
Owned |
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|
Factory 1 : |
Unit No.1, Plot No.187, GIDC Vapi, District – Bulsar – 396195, |
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Factory 2 : |
Plot No.1203, GIDC Vapi, District – Bulsar – 396195, |
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Tel. No.: |
91-260-2430598/2143 |
|
Fax No.: |
91-260-2431919 |
DIRECTORS
As on 31.03.2011
|
Name : |
Mr. Goverdhan Dhoot |
|
Designation : |
Chairman |
|
Address : |
214, Ozeana, 5th Floor, |
|
Date of Birth/Age : |
21.10.1953 |
|
Date of Appointment : |
16.04.1996 |
|
DIN No.: |
01240086 |
Other Directorship
|
S.No. |
CIN |
Name
of the Company |
Current
designation of the director |
Date
of appointment at current designation |
Original
date of appointment |
Date
of cessation |
Company
Status |
Defaulting
status |
|
1 |
U24110MH1988PTC049550 |
Raga Organics
Private Limited |
Director |
27-04-95 |
27-04-95 |
- |
Active |
NO |
|
2 |
L24230MH1972PLC116413 |
Mangalam Drugs
and Organics Limited |
Whole-time
director |
01-11-09 |
16-04-96 |
- |
Active |
NO |
|
3 |
U99999MH1988PTC049485 |
Mangalam
Laboratories Private Limited |
Director |
25-06-96 |
25-06-96 |
- |
Active |
NO |
|
4 |
U55101MH2011PTC216461 |
Beanstalk
Hospitality Private Limited |
Director |
20-04-11 |
20-04-11 |
- |
Active |
NO |
|
Name : |
Mr. Subhash C. Khattar |
|
Designation : |
Director |
|
Address : |
C-7, Swati Apartment, Kalyan Complex, Off |
|
Date of Birth/Age : |
03.07.1939 |
|
Date of Appointment : |
04.06.2004 |
|
DIN No.: |
01122941 |
Other Directorship
|
S.No. |
CIN |
Name
of the Company |
Current
designation of the director |
Date
of appointment at current designation |
Original
date of appointment |
Date
of cessation |
Company
Status |
Defaulting
status |
|
1 |
U74899DL1986PTC025898 |
Apexo Melwares
Private Limited |
Director |
28-10-86 |
28-10-86 |
- |
Active |
NO |
|
2 |
L24230MH1972PLC116413 |
Mangalam Drugs
and Organics Limited |
Director |
04-06-04 |
04-06-04 |
- |
Active |
NO |
|
Name : |
Mr. Rajendraprasad Mimani |
|
Designation : |
Director |
|
Address : |
35, |
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Date of Birth/Age : |
02.04.1952 |
|
Date of Appointment : |
01.11.2004 |
|
DIN No.: |
00017399 |
Other Directorship
|
S.No. |
CIN |
Name
of the Company |
Current
designation of the director |
Date
of appointment at current designation |
Original
date of appointment |
Date
of cessation |
Company
Status |
Defaulting
status |
|
1 |
U51109WB1992PTC054019 |
KDM Impex
Private Limited |
Director |
03-01-92 |
03-01-92 |
- |
Active |
NO |
|
2 |
L24230MH1972PLC116413 |
Mangalam Drugs
and Organics Limited |
Director |
01-11-04 |
01-11-04 |
- |
Active |
NO |
|
3 |
U93000HR2011PTC042801 |
Almighty
Powerinfra Solutions Private Limited |
Director |
29-04-11 |
29-04-11 |
- |
Active |
NO |
|
4 |
L31300DN1961PLC000232 |
IMP Powers
Limited |
Whole-time
director |
29-08-11 |
29-08-11 |
- |
Active |
NO |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2011
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
3092449 |
23.47 |
|
|
2475560 |
18.79 |
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Sub Total |
5568009 |
42.25 |
|
|
|
|
|
Total
Shareholding Promoter and Prompter Group (A) |
5568009 |
42.25 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
|
|
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|
3158493 |
23.97 |
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|
|
|
|
|
3146786 |
23.88 |
|
|
1179908 |
8.95 |
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|
125052 |
0.95 |
|
|
86893 |
0.66 |
|
|
38159 |
0.29 |
|
Sub Total |
7610239 |
57.75 |
|
Total Public Shareholding (B) |
7610239 |
57.75 |
|
Total (A) + (B) |
13178248 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
-- |
-- |
|
|
-- |
-- |
|
|
-- |
-- |
|
Sub Total |
-- |
-- |
|
Total (A) + (B) + (C) |
13178248 |
-- |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs. 0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturer of active Pharma ingredients, bulk drugs, perfumery chemicals, disperse dye intermediate. |
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Products : |
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PRODUCTION STATUS
As on 31.03.2011
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
|
|
|
|
|
Basic Drugs / Bulk Drugs |
Tons |
600 |
361.79 |
|
Dyes and Intermediates |
Tons |
12 |
6.82 |
|
Meta Chlora Aniline and Allied products |
Tons |
60 |
44.71 |
Note :
Installed Capacity varies depends on the product-mix
manufactured by the company from year to year and accordingly figures of
Installed Capacity have been regrouped whenever necessary.
GENERAL INFORMATION
|
No. of Employees : |
273 (Approximately) |
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Bankers : |
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Facilities : |
Note : i) Term loan from
State Bank of a) First Pari Passu charge on
entire fixed assets of the company. b) Second Pari Passu charge on the
entire Current assets of the Company. ii) Working Capital
Facilities from State Bank of a) First charge on the entire
current assets of the company on pari Passu basis. b) Second charge on the entire fixed
assets of the company on Pari Passu basis.
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Milwani Associates Chartered Accountant |
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Address : |
18, Bagaria house, 1st Floor, |
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|
|
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Associates : |
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CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
20000000 |
Equity shares |
Rs.10/- each |
Rs.200.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
13178248 |
Equity shares |
Rs.10/- each |
Rs.131.782
Millions |
|
|
|
|
|
NOTE:
- Pursuant to
acquisition of business with undertaking of Mangalam Organics Private
Limited, Mangalam Rasayan Private Limited and Shree Mangalam Pharma
Private Limited, 10,38,000 Equity Shares for value Rs.10/- each were
alloted to shareholders of such companies without payment being received
in cash.
- During
financial year 2002-03, 11,13,000 Equity Shares of face value of Rs.10/-
each fully paid up were alloted as bonus shares without payment being received
in cash by capitalisation of General Reserve.
- During the
year 2003-04, 44,52,000 Equity shares of Rs.10/- each fully paid up were
Alloted, by way of Bonus shares by Capitalization of General Reserves.
- During the
year 65,00,248 Equity shares of Rs.10/- each fully paid up were alloted by
way of Initial Public Offer, at a premium of Rs.12/- per share.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
131.782 |
131.782 |
131.782 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
304.180 |
279.941 |
208.701 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
435.962 |
411.723 |
340.483 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
390.834 |
314.102 |
295.734 |
|
|
2] Unsecured Loans |
121.777 |
88.186 |
68.791 |
|
|
TOTAL BORROWING |
512.611 |
402.288 |
364.525 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
53.009 |
|
|
|
|
|
|
|
|
TOTAL |
948.573 |
814.011 |
758.017 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
544.659 |
465.242 |
435.439 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
1.440 |
1.440 |
1.389 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
332.706
|
238.617 |
177.023 |
|
|
Sundry Debtors |
217.652
|
219.858 |
247.135 |
|
|
Cash & Bank Balances |
6.924
|
6.473 |
7.019 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
29.136
|
25.253 |
23.424 |
|
Total
Current Assets |
586.418
|
490.201 |
454.601 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
183.944
|
142.872 |
114.840 |
|
|
Other Current Liabilities |
|
|
|
|
|
Provisions |
0.000
|
0.000 |
20.989 |
|
Total
Current Liabilities |
183.944
|
142.872 |
135.829 |
|
|
Net Current Assets |
402.474
|
347.329 |
318.772 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
948.573 |
814.011 |
758.017 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income (Sales and Services) |
1313.555 |
1122.922 |
1024.030 |
|
|
|
Other Income |
5.947 |
4.660 |
3.719 |
|
|
|
TOTAL (A) |
1319.502 |
1127.582 |
1027.749 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials |
976.687 |
883.590 |
722.797 |
|
|
|
Manufacturing Expenses |
210.963 |
162.869 |
167.737 |
|
|
|
Administrative Expenses |
35.679 |
28.568 |
25.532 |
|
|
|
Selling and Distribution Expenses |
22.338 |
15.367 |
13.391 |
|
|
|
Preliminary Expenses W/OFF |
0.000 |
2.417 |
2.417 |
|
|
|
Increase/(Decrease) in Finished Goods |
(57.527) |
(74.190) |
3.729 |
|
|
|
TOTAL (B) |
1188.140 |
1018.621 |
935.603 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
131.362 |
108.961 |
92.146 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
68.593 |
57.219 |
51.321 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
62.769 |
51.742 |
40.825 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
32.730 |
29.712 |
25.841 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
30.039 |
22.030 |
14.984 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
9.155 |
9.118 |
6.451 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
20.884 |
12.912 |
8.533 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
35.706 |
22.794 |
14.261 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
56.590 |
35.706 |
22.794 |
|
|
|
|
|
|
|
|
|
|
TOTAL EXPORT
EARNINGS |
112.061 |
204.752 |
104.735 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
1.58 |
1.38 |
0.96 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2011 |
|
Type |
|
|
1st
Quarter |
|
|
|
|
|
|
Net Sales |
|
|
351.630 |
|
Total Expenditure |
|
|
310.710 |
|
PBIDT (Excl
OI) |
|
|
40.920 |
|
Other Income |
|
|
0.310 |
|
Operating
Profit |
|
|
41.230 |
|
Interest |
|
|
20.610 |
|
Exceptional
Items |
|
|
0.000 |
|
PBDT |
|
|
20.620 |
|
Depreciation |
|
|
8.120 |
|
Profit
Before Tax |
|
|
12.500 |
|
Tax |
|
|
4.000 |
|
Provisions
and contingencies |
|
|
0.000 |
|
Profit
After Tax |
|
|
8.500 |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
8.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
1.58
|
1.15 |
0.83 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.29
|
1.96 |
1.46 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.66
|
2.31 |
1.68 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.05 |
0.04 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.60
|
1.32 |
1.47 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.19
|
3.43 |
3.35 |
LOCAL AGENCY FURTHER INFORMATION
REVIEW OF PERFORMANCE:
During the year, the
Company made Sales of Rs.1313.555 Millions as compared to Rs.1122.922 Millions
made in the previous year, a increase of 16.98% than the previous year. The Company
made a profit before tax of Rs.30.039 Millions as compared to Rs.22.030
Millions made in the previous year, an increase of 36.35% than in the previous
year.
FUTURE OUTLOOK:
In order to augment the regulatory
focus, your company in addition to Regulatory Affairs Cell has now established
Intellectual Property Rights (IPR) cell. The IPR cell shall ensure that all the
products and processes would be compliant to the Indians as well as the world
IPR norms.
The regulatory affairs
cell has submitted 6 DMFs to WHO-Geneva out of which 3 DMFs corresponding to
Artemether and Lumefantrine are in advanced stage toward approval, Next year 8
more DMFs are under preparation for filing with EDQM and WHO-Geneva.
MANAGEMENT DISCUSSION AND
ANALYSIS REPORT
Company Philosophy on
Corporate Governance :
Corporate Governance is
a mechanism by which the values, policies and procedures of the organization
are inculcated and manifested. The essence of Corporate Governance lies in
promoting and maintaining integrity, transparency and accountability throughout
the organization.
Industrial Structure and
Development :
Indian pharmaceutical
Industry has witnessed yet another excellent year in terms of growth in
domestic as well as phenomenal growth in international market. Indian
pharmaceutical industry have significantly added to their manufacturing
capacities, which will give them greater opportunity to maintain the growth
momentum in domestic as well as global markets.
Opportunities :
The current year was
exceptionally good year for the pharma industry in domestic as well as exports
markets witnessing a phenomenal growth. Indian companies have significantly
added to their manufacturing capacities which will allow them to maintain this
growth momentum. MANGALAM was also part of this growth momentum both in
domestic and export market. We look forward to achieving new records in the
coming year taking full advantage of the opportunities offered by the market.
Financial and Operational Performance :
During the Financial
year 2011 the global economic environment improved. As compared to financial
year 2010 there has been allround improvement in its financial performance in
financial year 2011. During the year the company made sales of Rs.1313.555
Millions as compared to Rs.1122.922 Millions made in the previous year, a
increase of 16.98% than previous year. The company made profit before tax of
Rs.30.039 Millions as compared to Rs.22.030 Millions made in the previous year
an increase of Rs.36.35% than previous year.
CONTINGENT LIABILITY:
(Rs. In Millions)
|
Particulars |
31.03.2011 |
31.03.2010 |
|
A) Performance Guarantees/ Bonds |
|
|
|
(i)
Guarantee executed in favor of Assistant Collector of Customs |
1.985 |
2.053 |
|
(ii)
Guarantee executed in favor of Export Parties. |
0.000 |
0.627 |
|
(iii)
Guarantee executed in favor of Central Excise |
0.884 |
0.884 |
|
|
|
|
|
B) Others |
|
|
|
(iv)
Guarantee given to GSPC Gas Company Limited |
4.576 |
4.108 |
|
(v)
Guarantee given to Corporate |
561.934 |
561.934 |
FIXED ASSETS:
- Land
- Other Building
- Plant and Machinery
- Motor Car
- Furniture and Fixture
- Office Equipment
- Computers
- Laboratory Equipment
- Air Conditioner
WEBSITE DETAILS:
Business Description
Subject is an
India-based company. The Company has two segments: bulk drugs, and chemicals
and others. The Company is engaged in the manufacturing of chemicals, such as
active pharma ingredients (API) perfumery, disperse dye intermediates, bulk
drugs and bulk drugs intermediates. During the fiscal year ended March 31,
2010, the Company produced 633.59 tons of bulk drugs and intermediates; 6.54
tons of dyes and intermediates; 54.66 tons of meta chloro aniline and allied
products, and 30 tons of phenyl ethyl alcohol, phenyl ethyl methyl, ether and
allied products. As of March 31, 2010, it had installed capacity to produce
1,260 tons of bulk drugs and intermediates; 750 tons of dyes and intermediates;
350 tons of meta chloro aniline and allied products, and 350 tons of phenyl
ethyl alcohol, phenyl ethyl methyl, ether and allied products. The Company’s
products include chloroquine phosphate I.P., aluminum chloride anhydrous, and
dyes and intermediaries. For the nine months ended 31 December 2010, subject's
revenues increased 15% to RS988.7M. Net income increased 35% to RS15.4M.
Revenue reflect an increase in income from operations. Net income also reflects
a rise in operating profit margin. The Company is engaged in the manufacturing
of chemicals, such as active pharma ingredients (API) perfumery, disperse dye
intermediates, bulk drugs and bulk drugs intermediates.
Board of Directors
Mr. Govardhan M. Dhoot
Executive Chairman of
the Board, Chief Executive Officer
He has over three
decades of experience in the Chemical Industry, handling marketing in both
domestic and export market. He has traveled to many countries and visited
important Industrial and Commercial Capitals all over the world. He is director
of Raga Organics Private Limited, Mangalam Laboratories Private Limited
Mr. Rajendraprasad K. Mimani
Non-Executive
Independent Director
He has experience in
marketing of various types of products. He has an experience over 35 years. His
other Directorships include Universal Transformers Private Limited, Boesky
Securities Private Limited
PRESS RELEASES:
CARE rates bank facilities of Mangalam Drugs and Organics at B/PR4
31 May 2011
Rating agency CARE said on Monday it had rated
the long and short-term bank facilities of Indian chemical and pharmaceutical
company Mangalam Drugs and Organics Limited (BOM:532637) at B and PR4,
respectively.
The ratings mirror the strained liquidity
position of the company and the several occasions when its had to overdraw its
bank limits, the agency said.
CARE has also taken into account the small
size of operations, low profitability margins and the limited product offering
of the company.
The highly-experienced promoters of the firm
and its long track record somewhat compensate for these weaknesses.
Disclosure under SEBI Takeover Regulations
04 January 2011
Mr. Brijmohan M. Dhoot, Rekha Goverdhan Dhoot,
and Rasbihari Trading Investment Private Limited has submitted to the Exchange
a copy of disclosure of details Acquisition of shares of Mangalam Drugs And
Organics Limited.
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.50.28 |
|
|
1 |
Rs.80.08 |
|
Euro |
1 |
Rs.68.45 |
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 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
YES |
|
--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.