MIRA INFORM REPORT

 

 

Report Date :

10.10.2011

 

IDENTIFICATION DETAILS

 

Name :

JHS SVENDGAARD LABORATORIES LIMITED

 

 

Registered Office :

Trilokpur Road, Kala AMB, District Sirmaur-173030, Himachal Pradesh

 

 

Country :

India

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

08.10.2004

 

 

Com. Reg. No.:

06-027558

 

 

Capital Investment / Paid-up Capital :

Rs.144.500 Millions

 

 

CIN No.:

[Company Identification No.]

L24230HP2004PLC027558

 

 

Legal Form :

Public Limited Liability Company.  The company’s shares are listed on the Stock Exchanges.

 

 

Line of Business :

Manufacturer of Wide Variety of Dental and Oral Products.

 

 

No. of Employees :

290 [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 2800000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Clear

 

 

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 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.

 

 

LOCATIONS

 

Registered Office / Unit I :

Trilokpur Road, Kala AMB, District Sirmaur-173030, Himachal Pradesh, India

Tel. No.:

91-1702-302100/01/02

91-173-4395128

Fax No.:

91-173-4395130

E-Mail :

nikhil@svendgaard.com

Website :

http://www.svendgaard.com

 

 

Corporate Office/ Unit II :

B-1/E-23, MCIA Mathura Road, New Delhi-110044, India

Tel. No.:

91-11-30885601/06/40

Fax No.:

91-11-30885604

E-Mail :

enquiry@svendgaard.com

 

 

Unit III:

SDF N.H-3B, Noida Special Economic Zone, Guatam Budh Nagar, Noida, Uttar Pradesh, India

 

 

DIRECTORS

 

As on 31.03.2010

 

Name :

Mr. D.S Grewal

Designation :

Chairman

 

 

Name :

Mr. Nikhil Nanda

Designation :

Managing Director

 

 

Name :

Mr. G.K. Nanda

Designation :

Whole Time Director

 

 

Name :

Mr. G.S. Bhalla

Designation :

Non Executive Director

 

 

Name :

Mr. P.K. Manglik

Designation :

Executive Director

 

 

Name :

Mr. P. Vanamali

Designation :

Independent Director

 

 

Name :

Mr. Makul Pathak

Designation :

Independent Director

 

 

KEY EXECUTIVES

 

Name :

Mr. Anshu Kumar Chakravoarty

Designation :

Company Secretary

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.06.2011

 

Names of Shareholders

Total No. of Shares

Total Shareholding as a % of total No. of Shares

(A) Shareholding of Promoter and Promoter Group

 

 

(1) Indian

 

 

Individuals / Hindu Undivided Family

6,197,356

36.35

Sub Total

6,197,356

36.35

(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

6,197,356

36.35

(B) Public Shareholding

 

 

(1) Institutions

 

 

Mutual Funds / UTI

850,612

4.99

Financial Institutions / Banks

4,800

0.03

Foreign Institutional Investors

193,589

1.14

Foreign Venture Capital Investors

2,500,000

14.66

Sub Total

3,549,001

20.82

(2) Non-Institutions

 

 

Bodies Corporate

2,219,936

13.02

Individuals

 

 

Individual shareholders holding nominal share capital up to Rs.0.100 Million

3,225,185

18.92

Individual shareholders holding nominal share capital in excess of Rs.0.100 Million

1,420,810

8.33

Any Others (Specify)

437,719

2.57

Non Resident Indians

149,256

0.88

Clearing Members

31,019

0.18

Hindu Undivided Families

255,944

1.50

Foreign Nationals

1,000

0.01

Trusts

500

-

Sub Total

7,303,650

42.84

Total Public shareholding (B)

10,852,651

63.65

Total (A)+(B)

17,050,007

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

-

-

(1) Promoter and Promoter Group

-

-

(2) Public

-

-

Sub Total

-

-

Total (A)+(B)+(C)

17,050,007

-

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Wide Variety of Dental and Oral Products.

 

 

PRODUCTION STATUS (AS ON 31.03.2010)

 

Particulars

Unit

Installed Capacity

Actual Production

Oral Care Products

Pcs.

246240000

146206083

 

 

GENERAL INFORMATION

 

No. of Employees :

290 [Approximately] 

 

 

Bankers :

Not Available

 

 

Facilities :

Secured Loan

As on 31.03.2010

[Rs. in Millions]

As on 31.03.2009

[Rs. in Millions]

Term Loan From Bank

 

 

Foreign Currency Loan

 

 

ECB

54.890

252.712

FCTL

179.116

77.444

Working Capital Loan From Bank

 

 

Rupee Loan

155.913

138.307

Bill Discount

4.491

0.000

Vehicle Loan From Bank

7.559

2.154

Interest Accrued and Due on Secured Loan

0.046

0.000

Total

402.015

470.617

 

 

 

Unsecured Loan

 

 

Short Term

 

 

Loans From Directors

1.176

1.377

Loan From Others

10.000

0.000

Total

11.176

1.377

 

NOTE:

 

1. Term Loan in the form of ECB and FCTL is secured against exclusive charge on all movable fixed assets being financed by the facility and first charge on all the immovable fixed assets of the Company being finance by the facility. Equitable mortgage of land owned by the Company at Kala-Amb and personal guarantee of one of the Directors Second charge on current assets.

 

2. Working Capital Loans in the form of Cash Credit, Packing Credit, Bill Discounting is Secured by hypothecation of the Company's stock, book debts, export bill, both present and future, second charge on movable and immovable fixed assets and pledge 30% shares of the Company.

 

3. Vehicle Loan are Secured against Hypothecation of specific vehicle.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Haribhakti and Company

Chartered Accountants

 

 

Subsidiaries :
  • Jones H. Smith, FZE
  • JHS Svendgaard Dental Care Limited

 

 

Enterprises Over Which Key Management Personnel and Their Relatives Exercise Significant Influences:
  • Berco Engineering Private Limited
  • Dr. Fresh, USA
  • Number One Real Estate Private Limited
  • JHS Svendgaard Hygiene Products Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

18000000

Equity Shares

Rs.10/- each

Rs.180.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

14450007

Equity Shares

Rs.10/- each

Rs.144.500 Millions

 

 

As on 28.12.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

18000000

Equity Shares

Rs.10/- each

Rs.180.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

17050007

Equity Shares

Rs.10/- each

Rs.170.500 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

144.500

129.000

129.000

2] Share Warrant

0.000

7.360

7.360

3] Reserves & Surplus

572.062

467.433

452.999

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

716.562

603.793

589.359

LOAN FUNDS

 

 

 

1] Secured Loans

402.015

470.617

331.801

2] Unsecured Loans

11.176

1.377

0.000

TOTAL BORROWING

413.191

471.994

331.801

DEFERRED TAX LIABILITIES

0.000

0.000

0.922

 

 

 

 

TOTAL

1129.753

1075.787

922.082

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

635.179

478.600

363.805

Capital work-in-progress

124.128

294.002

221.765

 

 

 

 

INVESTMENT

1.588

2.179

29.512

DEFERREX TAX ASSETS

1.962

0.058

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
165.181

161.829

140.951

 

Sundry Debtors
295.479

69.372

64.629

 

Cash & Bank Balances
2.099

14.124

90.561

 

Other Current Assets
3.278

3.576

3.560

 

Loans & Advances
52.693

88.509

121.370

Total Current Assets
518.730

337.410

421.071

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
102.032

28.128

69.655

 

Other Current Liabilities
31.664

4.184

35.806

 

Provisions
18.138

4.150

8.610

Total Current Liabilities
151.834

36.462

114.071

Net Current Assets
366.896

300.948

307.000

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

1129.753

1075.787

922.082

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2010

31.03.2009

31.03.2008

 

SALES

 

 

 

 

 

Income

510.785

279.943

363.750

 

 

Other Income

1.185

3.680

9.259

 

 

TOTAL                                     (A)

511.970

283.623

373.009

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Material consumed and manufacturing expense

304.365

129.094

219.234

 

 

Personnel expenses

24.963

24.555

16.680

 

 

Administrative, selling and other expenses

36.929

52.668

38.830

 

 

Decrease in finished goods and work in progress

8.456

1.275

10.787

 

 

TOTAL                                     (B)

374.713

207.592

285.531

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

137.257

76.031

87.478

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

29.785

29.310

27.437

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

107.472

46.721

60.041

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

41.331

30.410

19.374

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

66.141

16.311

40.667

 

 

 

 

 

Less

TAX                                                                  (H)

9.118

1.109

4.954

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

57.023

15.202

35.713

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

111.156

99.727

64.014

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Proposed Dividend

7.225

3.225

0.000

 

 

Tax on Dividend

1.200

0.548

0.000

 

BALANCE CARRIED TO THE B/S

159.754

111.156

99.727

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

82.653

68.760

106.442

 

 

Freight

1.441

3.025

2.231

 

TOTAL EARNINGS

84.094

71.785

108.673

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

16.562

49.514

82.007

 

 

Capital Goods

33.116

123.246

300.214

 

TOTAL IMPORTS

49.678

172.760

382.221

 

 

 

 

 

 

Earnings Per Share (Rs.) [Basic]

4.16

1.14

2.85

 

Earnings Per Share (Rs.) [Diluted]

3.95

1.12

2.85

 

 

QUARTERLY RESULTS

 

PARTICULARS

 

30.06.2010

30.09.2010

31.12.2010

31.03.2011

30.06.2011

Type

1st Quarter

2nd Quarter

3rd Quarter

4th Quarter

5th Quarter

Net Sales

188.710

218.120

222.960

224.350

182.620

Total Expenditure

141.490

182.030

180.900

185.210

170.880

PBIDT (Excl OI)

47.220

36.090

42.060

39.140

11.740

Other Income

2.060

15.6000

1.100

8.580

0.220

Operating Profit

49.290

51.690

43.160

47.720

11.960

Interest

11.610

10.420

8.940

8.120

7.180

Exceptional Items

0.000

0.000

0.000

(11.040)

0.000

PBDT

37.680

41.270

34.220

28.560

4.780

Depreciation

16.830

17.050

16.930

17.080

17.970

Profit Before Tax

20.850

24.220

17.280

11.480

(13.190)

Tax

3.050

2.710

2.150

5.250

0.270

Profit After Tax

17.800

21.510

15.130

6.230

(13.460)

Net Profit

17.800

21.510

15.130

6.230

(13.460)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2010

31.03.2009

31.03.2008

PAT / Total Income

(%)
11.14

5.36

9.57

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
12.95

5.83

11.18

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
5.73

2.00

5.18

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.09

0.03

0.07

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
0.79

0.84

0.76

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
3.42

9.25

3.69

 

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

SCHEME OF AMALGAMATION:

 

The Board of Directors of the Company at its Board Meeting held on July 7, 2010, has considered and approved the Scheme of Amalgamation of the JHS Svendgaard Hygiene Products Limited, Waves Hygiene Products (a Partnership Firm) with the Company.

 

The Amalgamation will result in an integrated operation which qualifies the Company to participate in the market of Fast Moving Consumer Goods, besides providing synergy benefits to the existing operations.

 

PERFORMANCE REVIEW:

 

They take pride in mentioning that there has been a method in achieving this continuous strong growth trend namely, of maintaining a discipline on the fundamentals of persuasive and consumer-meaningful innovations backed by distribution expansion. The national as well as international market are poised for recovery, but with sharp regional disparities. There has been increase in the revenue during the period. The net sales/income from operations has gone up to Rs.510.785 Millions as compared to Rs.279.943 Millions in the previous year. The Net Profit (after tax) has increased from Rs.14.654 Millions to Rs.57.024 Millions. This rise in the profit of the Company is as a result of optimum utilization of the available resources.

 

RECOGNITION / AWARD:

 

The Company has received the Second Best Exporter of Tooth Brushes including dental Plate brushes and has been awarded the highest recognitions for Exports for the year 2008-09 by The Plastics Export promotion council (Sponsored by Department of Commerce Government of India) on December 19, 2009.

 

MANAGEMENT’S DISCUSSION AND ANALYSIS OF PERFORMANCE

 

INDUSTRY STRUCTURE AND DEVELOPMENT:

 

During the Financial Year 2009-10, the Fast Moving Consumer Goods markets in India continue to be attractive and have grown during the year. In the context of the global slowdown, the Indian market has become even more attractive and many new competitive entries have been witnessed leading to a significant increase in the overall competitive intensity. At the same time, the increased levels of inflation have had a somewhat dampening impact on the market growth of some of the categories, particularly in the second half of the year. Commodity prices have also been fairly volatile, particularly in the first half of the year.

 

In oral care market, the Company took actions to drive growth through highly attractive value offerings in the up-grader packs to bring quality oral care within the reach of the mass consumers. As they continue to face tough external challenges, they remain confident that they  have the right strategy to build on our past successes. They  remain highly focused on understanding consumers and working closely with dental professionals in oral care and with our retail customers; driving innovation in new products and throughout all our business processes; increasing effectiveness and efficiency

 

During the financial year 2009-10, the toothpaste markets grow up near about 6 percent. The overall market environment continues to be very competitive. While the predominant business of the Company has been confined to Oral Care category where it faced intense competition, the outlook for industry is positive given the size of opportunity. The Company is hopeful that through a combination of powerful marketing strategies, innovative new products and expansion activities, the dentifrice market in India would continue to grow strongly over the next several years. In the face of an extreme competitive scenario and even with difficult economic conditions, the Company reinforced its leadership in the oral care market and achieved a commendable business performance.

 

TOOTHBRUSH

 

Approximately 700 million units per year of toothbrush are sold in the Country; the Company has a capacity of 270 million units per year including export and manufactures around 160 million units per year. By 2012 the Company plans to capture 60 -70% of the projected 1700 million unit toothbrush market.

 

TOOTHPASTE

 

Out of the total sales of toothpaste 60% is from family platform and 35% sales on cosmetic propositions and 5% sale for therapeutic benefits. They use advanced machines and manufacture products for both domestic & international clients catering to their specific needs as per required standards.

 

FUTURE OUTLOOK:

 

After having gone through one of the worst recessionary phases in memory, economies across the world are starting to look up. Subject is one of the leading providers of scientifically proven wide range of Dental and Oral Care Products with multiple benefits at various price points and is contract manufacturer for many Domestic as well as Global Brands. The range of products manufactured by the Company includes Washing Powders, Toothbrushes, Toothpastes, Whitening gel, Whitening Mouth Rinse, Denture Cleaning Effervescent Tablets, etc. and several other exciting innovations are in the pipeline. Many of these products helped to expand international business. The Company’s continuing efforts and focused programs to enhance efficiencies and reduce costs continue to yield strong, positive results and fund investments in building and strengthening brand equity and the business.

 

While the predominant business of the Company has been confined to the Oral Care category where it faced intense competition, the outlook for industry is positive given the size of the opportunity. The Company is hopeful that through a combination of powerful marketing strategies, innovative new products and market development and expansion activities, the dentifrice market in India would continue to grow strongly over the next several years.

 

 

CONTINGENT LIABILITIES:

 

Particulars

 

31.03.2010

(Rs. in millions)

31.03.2009

(Rs. in millions)

Guarantees given by banks

5.000

5.000

Outstanding letter of credit

2.451

0.000

Total

7.451

5.000

 

 

STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTERED ENDED 30TH JUNE, 2011

 

Rs. in Millions

Particular

Quartered Ended

Year Ended

 

30.06.2011

30.06.2010

31.03.2011

 

 

 

 

(a) Net Sales / Income from operations

182.620

188.713

854.146

(b) Other Operating Income

0.000

0.000

0.000

Total Income

182.620

188.713

854.146

Expenditure

 

 

 

a) (Increase) / Decrease in stock in trade and work in progress

(42.507)

18.592

(21.884)

b) Consumption of raw materials

35.806

94.701

231.416

c) Purchase of traded goods

152.549

0.000

373.777

d) Manufacturing cost

8.188

8.033

35.515

e) Employees cost

5.833

6.655

20.780

f) Depreciation

17.967

16.827

67.886

g) Foreign exchange fluctuation loss

0.783

(2.044)

(7.047)

h) Other expenditure

10.230

13.505

49.774

Total

188.849

156.270

750.217

Profit from operations before other income, interest and exceptional Items

(6.229)

32.443

103.929

Other income

0.216

0.017

8.985

Profit before interest and exceptional Items

(6.013)

32.460

112.914

Interest

7.180

11.606

39.076

Profit after Interest but before Exceptional Items

(13.193)

20.854

73.838

Exceptional Items

0.000

0.000

0.000

Profit (+)/Loss(-) from Ordinary Activities before tax

(13.193)

20.854

73.838

Tax expense

0.272

3.053

13.162

Net Profit (+)/Loss(-) from Ordinary Activities after tax

(13.465)

17.801

60.676

Minority interest

0.000

0.000

0.000

Net Profit (+) / Loss (-) for the year period

(13.465)

17.801

60.676

Paid up equity share capital (Face value of Rs.10/- per share)

170.500

144.500

145.500

Reserves excluding revaluation reserves as per balance sheet of previous accounting year

--

--

572.062

Earning per share (EPS)

 

 

 

 (a) Basic and diluted EPS before Extraordinary items

for the period, for the year to date and for the

previous year (not to be annualised)

(0.82)

1.23

4.18

(a) Basic and diluted EPS before Extraordinary items

for the period, for the year to date and for the

previous year (not to be annualised)

(0.82)

1.23

4.18

Public shareholding

 

 

 

          Number of shares

10852651

8037629

8352651

          Percentage of shareholding

63.65

55.62

57.41

 

 

 

 

Promoters and Promoters group Shareholding-

 

 

 

a) Pledged /Encumbered

 

 

 

Number of shares

3258002

5205002

5385002

Percentage of shares (as a % of total shareholding of the promoter and promoter group)

52.57

81.17

86.89

Percentage of shares (as a % of total share capital of the company)

19.11

36.02

37.01

 

 

 

 

b) Non  Encumbered

 

 

 

Number of shares

2939354

1207376

812354

Percentage of shares (as a % of total shareholding of the promoter and promoter group)

47.43

18.83

13.11

Percentage of shares (as a % of total share capital of the company)

17.24

8.36

5.58

 

 

BUSINESS DESCRIPTION:

 

Subject is an India-based company engaged in manufacturing and selling of oral care products. The Company manufactures toothbrushes, toothpastes, denture tablets, mouthwashes and laundry products. The Company’s segments include fast moving consumer goods, personal care products-marketing and distribution, and dental care clinics. The Company focuses on exporting, importing, trading, buying and selling of oral care/hygiene products. The Company's products include toothbrushes, toothpaste, whitening gel, whitening mouth rinse and denture cleaning effervescent tablet. It operates under Dr, Gold brand, which provides range of products, such as Dr. Gold hanger pack, budget, flexy fresh, deluxe, premium, tongue cleaner and junior. Its subsidiaries include Jones H. Smith, FZE. and JHS Svendgaard Dental Care Limited. For the nine months ended 31 December 2010, Subject revenues totaled RS.965.800 Millions, up from RS359.7M. Net income totaled RS.105.600 Millions, up from RS.29.200 Millions. Revenues reflect an increase income from FMCG segment and higher income from personal care products segment. Net income also reflects an increase in the value of stock in trade, presence of foreign exchange gains, lower employee cost and decreased manufacturing cost.

 

PRESS RELEASES:

 

ISSUE OF EQUITY SHARES ON PREFERENTIAL BASIS

 

ACCORD FINTECH (INDIA)

08 SEPTEMBER 2011

 

India, Sept. 08 -- Jhs Svendgaard Laboratories Limited has informed the Exchange that at the meeting of the Board of Directors of the Company held on September 06, 2011, the Board considered and approved the issue of 5,00,000 (Five Lac) Equity Shares on preferential basis to the person belonging to Promoter and Promoter Group of the Company at Rupees 97.75 (Rupees Ninety Seven and Seventy Five Paisa) subject to the requisite approval from the statutory authority and Members of the Company, on such terms and conditions in accordance with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009, Companies Act, 1956, and other applicable Acts, Rules and Regulations. Published by HT Syndication with permission from Accord Fintech. For any query with respect to this article or any other content requirement, please contact Editor at htsyndication@hindustantimes.com

 

UPDATES ON OUTCOME OF BOARD MEETING

 

ACCORD FINTECH (INDIA)

07 SEPTEMBER 2011

 

India, Sept. 07 -- With reference to the earlier announcement dated September 06, 2011, regarding Outcome of Board Meeting held on September 06, 2011, JHS Svendgaard Laboratories Limited has now informed BSE that in the said Board Meeting, the Board considered and approved the issue of 5,00,000 (Five Lac) Equity Shares on preferential basis to the person belonging to Promoter and Promoter Group of the Company at Rupees 97.75 (Rupees Ninety Seven and Seventy Five Paisa) subject to the requisite approval from the statutory authority and Members of the Company, on such term and conditions in accordance with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009, Companies Act, 1956, and Other applicable Acts, Rules and Regulations. Published by HT Syndication with permission from ACCORD FINTECH BSE. For any query with respect to this article or any other content requirement, please contact Editor at htsyndication@hindustantimes.com

 

 

TANO MAURITIUS INDIA BUYS 14.66% STAKE IN JHS SVENDGAARD

 

MINT
14 MARCH 2011

 

Mumbai, March 14 -- Tano Capital LLC's Mauritius fund, Tano Mauritius India FVCI, has picked up 14.66% stake in BSE listed JHS Svendgaard Laboratories Limited through preferential allotment, the company informed the stock exchanges.

 

With the stake, that is tad below 15% that triggers open offer by the acquirer, the California based private equity firm will get a board seat. "Board of Directors of the Company have decided to do a preferential allotment of 25,00,000 equity shares to Tano Mauritius India FVCI at a price of Rs.97.75," the company said.

 

Being an oral care products manufacturing, the company also manufactures a wide variety of dental and oral products as contract manufacturer for many of the national and international brands.

 

The main portfolio of the company was to carry out exporting, importing, trading, buying and selling of oral care/hygiene products. It has ventured into manufacturing of other dental care products like toothpastes, mouthwash, denture tablets.

 

With a turnover of Rs.313.013 millions for the quarter ended 31 December 2010, the company made a net profit of Rs33.188 millions, up by 138% over same period last year.

 

JHS Svendgaard's stock rose on the news of preferential allotment by 2.84% to Rs79.80 a share at 10.50 hours on the Bombay Stock Exchange. Published by HT Syndication with permission from MINT. For any query with respect to this article or any other content requirement, please contact Editor at htsyndication@hindustantimes.com

 

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.49.14

UK Pound

1

Rs.75.97

Euro

1

Rs.66.00

 

 

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

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

-

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.