MIRA
INFORM REPORT
|
Report Date : |
06.04.2012 |
IDENTIFICATION DETAILS
|
Name : |
JK AGRI GENETICS LIMITED |
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Registered Office : |
7, |
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Country : |
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Financials (as on) : |
30.09.2011 |
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Date of Incorporation : |
25.05.1993 |
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Com. Reg. No.: |
21-92885 |
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Capital Investment / Paid-up Capital : |
Rs. 460.065 Millions |
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CIN No.: [Company
Identification No.] |
L24211WB1993PLC092885 |
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Legal Form : |
A Public Limited
Liability Company. The company’s shares are listed on the Stock Exchanges |
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Line of Business : |
Manufacture of a variety of Products and in diverse fields of
commerce. |
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No. of Employees : |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (45) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 4379616 |
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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 records.
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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
India |
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 : |
7, |
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E-Mail : |
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Website : |
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Administrative Office : |
1-10-177, 4th Floor, |
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Tel. No.: |
91-40-66316858 |
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Fax No.: |
91-40-27764943 |
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E-Mail : |
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Biotechnology Lab : |
4-4/1, |
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Tel. No.: |
91-40-27871723 / 0001 |
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Research And Development Centre : |
Ravalkol, Medchal Mandal, District R R , |
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Tel. No.: |
91-8418-260499/325677 |
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Processing Plants : |
Survey No. 509/2, Gundlapochampally, R R District, Andhra Pradesh |
DIRECTORS
|
Name : |
Mr. Bharat Hari Sindhanla |
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Designation : |
Chairman |
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Date of Birth/Age : |
07.04.1938 |
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Date of Appointment : |
25.08.2003 |
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Name : |
Mr. Jatan Roopchand Bhandari |
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Designation : |
Director |
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Date of Birth/Age : |
28.07.1933 |
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Date of Appointment : |
04.09.2009 |
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Name : |
Mr. Sanjeev Kumar Jhunjhunwala |
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Designation : |
Director |
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Date of Birth/Age : |
03.12.1964 |
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Date of Appointment : |
04.09.2003 |
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Name : |
Mr. Sanjay Kumar Khaitan |
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Designation : |
Director |
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Date of Birth/Age : |
17.12.1965 |
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Date of Appointment : |
04.09.2003 |
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Name : |
Mr. Raghupati Singhania |
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Designation : |
Director |
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Date of Birth/Age : |
08.12.1946 |
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Date of Appointment : |
25.08.2003 |
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Name : |
Mr. Vikrampati Singhania |
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Designation : |
Director |
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Date of Birth/Age : |
03.10.1965 |
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Date of Appointment : |
04.09.2003 |
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Name : |
Mr. Swaroop Chand Sethi |
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Designation : |
Director |
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Date of Birth/Age : |
30.10.1937 |
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Date of Appointment : |
04.09.2003 |
KEY EXECUTIVES
|
Name : |
Mr. Pravinchandra Shivram Dravind |
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Designation : |
Manager |
|
Address : |
101, Akash Ganga Complex, 8-2-616/616/s/2/4 road No.11, Banjara Hills,
Hyderabad-500 034, Andhra Pradesh, India |
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Date of Birth/Age : |
11.07.1951 |
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Date of Appointment : |
05.09.2003 |
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Name : |
Mr. Parimesh Manocha |
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Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2011
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
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95,251 |
2.72 |
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1,351,820 |
38.55 |
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1,251 |
0.04 |
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|
451 |
0.01 |
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50 |
-- |
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|
|
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|
883763 |
25.20 |
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|
496659 |
14.16 |
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286332 |
8.17 |
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Any Other
Specify |
|
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Clearing Members |
2612 |
0.07 |
|
Directors & their Relatives & Friends |
5 |
- |
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Overseas Corporate Bodies |
362916 |
10.35 |
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Non Resident Indians |
25355 |
0.72 |
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Trusts |
45 |
-- |
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(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
Total (A)+(B)+(C) |
3506510 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs.0.100 MillionsBUSINESS DETAILS
|
Line of Business : |
Manufacture of a variety of Products and in diverse fields of
commerce. |
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Products : |
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GENERAL INFORMATION
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No. of Employees : |
Not Available |
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Bankers : |
·
Axis Bank |
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Facilities : |
Note 1. Zero Coupon Secured Non-Convertible Bonds (ZCSNCBs) of Rs. 425.000
Millions are secured by subordinate and subservient charge created/to be
created on all the movable and immovable properties of the Company, both
present and future. These Bonds are
redeemable in four instalments of Rs. 1000 each at the expiry of the 4th to
7th year and Rs. 250 at the expiry of 8th year from 1.4.2002. The terms of
these ZCSNCBs are proposed to be revised pursuant to a Scheme of Arrangement
and Demerger, appeal filed to the Division Bench of the Hon’ble High Court at
Calcutta, the impact of which have not been given in these Accounts pending
final disposal of said appeal. (Please see Note B1 of Schedule 15). 2. a) Term loan of Rs.35.716 Millions (Previous year Rs. 55.718
Millions) is secured against first charge of the assets purchased thereunder,
hypothecation of entire intangible assets, parri passu second charge on the
entire current assets viz stocks and book debts etc., both present and
future, of the Company and is further secured, by way of first charge on land
at Dundigal village (AP) and Ranpur, Kota, (Rajasthan) and on entire movable
fixed assets of the Company. This is further secured by second charge on the
entire fixed assets financed by DBT. b) Term Loan of Rs.16.269 Millions ( Previous year nil) is
secured against first charge of the assets purchased thereunder,
Hypothecation of entire intangible assets, parri passu second charge on
entire current assets viz stock and book debts etc., both present and future,
of the Company and is further secured by extension of equitable mortgage on land
at Ranpur, Kota (Rajasthan). This is further secured by second charge on the
entire fixed assets financed by DBT 3. Term loan of Rs. 5.961 Millions (Previous year Nil) is secured by
First charges on the Assets created out of loan from Department of BioTechnology
(DBT), Pari Passu second charge on the entire fixed Assets of the Company
including the land at Dundigal Village, Ranga Reddy District (AP) with a
market value of Rs. 77.800 millions and excluding land at ICICI Knowledge
Park & pari passu second charge on the current assets. 4. Other Loan from Bank represent Working Capital borrowing which is
Secured by hypothecation of current assets viz stocks and book debts etc.,
both present and future, of the Company and by a second charge on entire fixed
assets of the Company including land at Dundigal village (AP) and Ranpur,
Kota, (Rajasthan).
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Lodha and Company Chartered Accountant |
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Associates/Subsidiaries : |
·
Florence Alumina Limited |
CAPITAL STRUCTURE
As on 30.09.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1,75,00,000 |
Equity Shares |
Rs. 10/- each |
Rs. 175.000 Millions |
|
50,00,000 |
Preference Shares |
Rs. 85/-each |
Rs. 425.000 Millions |
|
|
Total |
|
Rs. 600.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
35,06,510 |
Equity Shares |
Rs. 10/- each |
Rs. 35.065 Millions |
|
50,00,000 |
Zero Coupon Preference Shares |
Rs. 85/-each |
Rs. 425.000
Millions |
|
|
Total |
|
Rs. 460.065 Millions |
Note
Pursuant to the Scheme of Arrangement & Amalgamation, in an earlier year;
1. 34,56,510 Equity Shares of Rs.10 each were alloted as fully paid up to the shareholders of JK Tyre & Industries
Limited (JKTIL), without payment.
2. 50,00,000 Zero Coupon Redeemable Preference Shares (ZCRPS) of Rs. 85 each were allotted as fully paid up
to JKTIL (now Bengal and Assam Company Ltd.), without payment. These Shares are redeemable in five annual instalments of Rs.15, Rs. 20, Rs. 20, Rs. 20 and Rs. 10 respectively commencing from 1st April, 2010. However, pending appeal before the Division Bench of Hon’ble High Court of Calcutta, against the due installments, payment have not been given effect/made.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
30.09.2011 |
30.09.2010 |
30.09.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
460.065 |
460.065 |
460.065 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
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3] Reserves & Surplus |
634.839 |
525.964 |
419.575 |
|
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
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NETWORTH |
1094.904 |
986.029 |
879.640 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
829.075 |
707.247 |
641.228 |
|
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2] Unsecured Loans |
126.101 |
54.990 |
54.990 |
|
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TOTAL BORROWING |
955.176 |
762.237 |
696.218 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
2050.080 |
1748.266 |
1575.858 |
|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
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FIXED ASSETS [Net Block] |
403.523 |
409.992 |
308.319 |
|
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Capital work-in-progress |
0.000 |
2.955 |
2.532 |
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|
|
|
|
|
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|
INVESTMENT |
999.654 |
789.383 |
832.564 |
|
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DEFERREX TAX ASSETS |
34.890 |
35.810 |
39.970 |
|
|
|
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
398.183
|
360.660 |
289.467 |
|
|
Sundry Debtors |
369.645
|
434.267 |
256.976 |
|
|
Cash & Bank Balances |
23.629
|
11.879 |
0.207 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
297.761
|
202.525 |
154.249 |
|
Total
Current Assets |
1089.218
|
1009.331 |
700.899 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
81.258
|
53.323 |
21.310 |
|
|
Other Current Liabilities |
276.137
|
346.378 |
205.402 |
|
|
Provisions |
119.810
|
99.504 |
81.714 |
|
Total
Current Liabilities |
477.205
|
499.205 |
308.426 |
|
|
Net Current Assets |
612.013
|
510.126 |
392.473 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2050.080 |
1748.266 |
1575.858 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.09.2011 |
30.09.2010 |
30.09.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
|
1237.735 |
|
|
|
|
Other Income |
|
|
|
|
|
|
TOTAL (A) |
1308.962 |
1237.735 |
1512.730 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Materials & Manufacturing Expenses |
603.515 |
647.693 |
896.187 |
|
|
|
Employees Cost |
212.026 |
185.767 |
216.036 |
|
|
|
Other Expenses |
363.597 |
318.953 |
405.648 |
|
|
|
Cost of Borrowing |
0.000 |
0.000 |
33.758 |
|
|
|
Increase/(Decrease) in Stocks |
(32.988) |
(71.819) |
2.032 |
|
|
|
TOTAL (B) |
1146.150 |
1080.594 |
1553.661 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
162.812 |
157.141 |
--- |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
23.359 |
20.831 |
---- |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
139.453 |
136.310 |
(40.931) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
29.658 |
26.431 |
32.573 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
109.795 |
109.879 |
(73.504) |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
0.920 |
4.160 |
(61.350) |
|
|
|
|
|
|
|
|
|
|
Adjustment for
earlier year Tax |
--- |
(0.669) |
--- |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
108.875 |
106.388 |
(12.154) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
258.817 |
157.568 |
--- |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Debenture redemption Reserve |
--- |
5.139 |
-- |
|
|
BALANCE CARRIED
TO THE B/S |
367.692 |
258.817 |
--- |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
10.759 |
12.911 |
11.662 |
|
|
|
Other Earnings |
0.000 |
9.409 |
6.109 |
|
|
TOTAL EARNINGS |
10.759 |
22.320 |
17.771 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Seeds |
12.663 |
4.719 |
4.078 |
|
|
|
Consumables & Spares |
1.487 |
1.010 |
0.628 |
|
|
|
Capital Goods (R & D) |
0.716 |
0.000 |
4.572 |
|
|
|
Capital Goods |
0.000 |
55.123 |
0.000 |
|
|
TOTAL IMPORTS |
14.866 |
60.852 |
9.278 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
31.05 |
30.34 |
--- |
|
QUARTERLY RESULTS
(UNAUDITED)
|
PARTICULARS |
|
|
31.12.2011 (Rs. in
Millions) |
|
|
|
|
1st
Quarter |
|
Net Sales |
|
|
78.520 |
|
Total Expenditure |
|
|
185.110 |
|
PBIDT (Excl OI) |
|
|
(106.590) |
|
Other Income |
|
|
0.000 |
|
Operating Profit |
|
|
(106.590) |
|
Interest |
|
|
13.800 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
(120.390) |
|
Depreciation |
|
|
6.110 |
|
Profit Before Tax |
|
|
(126.500) |
|
Tax |
|
|
(43.160) |
|
Provisions and Contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
(83.340) |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustment |
|
|
0.000 |
|
Net Profit |
|
|
(83.340) |
KEY RATIOS
|
PARTICULARS |
|
30.09.2011 |
30.09.2010 |
30.09.2009 |
|
PAT / Total Income |
(%) |
8.31
|
8.59 |
(0.80) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.35
|
7.74 |
(7.28) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.10
|
0.11 |
(0.08) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.30
|
1.27 |
1.14 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.28
|
2.02 |
2.27 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONS
During the year, the Company achieved a turnover of Rs.1309.000 millions with Operating Profit of Rs.162.800 Millions and the Profit before Tax of Rs. 109.800 millions.
The year has ended on a positive note with some improvement in the financial performance of the Company. The sales turnover increased by 6% over the same period of the previous year. The Company’s focus continuous to be on Cotton, Paddy, Bajra, Maize and Vegetables.
The Company has initiated novel farmer education programs and product promotion activities during the past few months which would enable them to get positive results in the ensuing Rabi & Kharif seasons. Furthermore, the Company has undertaken trials of newly developed hybrids in several crops with a view to trial market and commercially launch during the Kharif season. As a result of all these initiatives, they expect the sales of the company to grow reasonably in respect of Cotton, Bajra & Vegetables over the next few years
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY OVERVIEW
There’s an unmistakable buzz in and around the $1.5 billion Indian seed industry. The seed industry in India has been making great strides since Independence. Globalization and economic reforms have opened new opportunities with many challenges. The seed industry is now in a position to meet the demand of diverse agro-climatic conditions and intensive cropping systems. The ever-increasing demand for agriculture products can only be met by sustained increase in production and productivity to which new and improved variety of quality seeds contribute to a greater extent.
In 2010-11, hybrid seeds accounted for 60% of the seed industry’s turnover of Rs. 80000.000 millions. Further conversion of area from varieties to hybrids will be the next herculean task. The availability of technology can lead to faster adoption as experienced in the case of Bt. Cotton. The Green Revolution was driven by the public sector, the Bt. Cotton revolution by the private sector and the next push will come from public-private partnerships.
Seed accounts for 5-15% of the cost of production and a farmer is willing to pay for value, performance and consistent quality. While the Government is using policy to increase consumption of new seeds, companies are improving product quality. At present, number of hybrids are available for Cotton, Corn, Pearl millet, Sorghum, Sunflower and Vegetables which drive the seed business in India.
Seed Companies continue to reinvest profits in research and infrastructure creation as well as creating IPR (Intellectual Property Rights). As R&D costs increase, companies are seeking building relations and alliances with Government Research Institutes and State Agricultural Universities.
Biotechnology will play an important role in agriculture development through transgenic seeds. It holds great promise in developing crop varieties with higher level of tolerance to biotic and abiotic stresses and nutritional enhancement.
The Indian seed industry is well placed to serve both domestic and international markets. Companies are making variants to be relevant in all eight agro-climatic zones of India. They are expanding to Africa and Southeast Asia, where the climate is similar to India. They are venturing into new crops with untapped market potential.
The Indian seed industry is now in a better position by investing more in Research and Development programs, use of biotechnology, acquisitions, mergers and collaborations with like minded research companies to bring synergy, addition of new range of crops, products and technologies and also value addition to the existing crops by traditional methods.
JK SEEDS
The company has now come out with a number of hybrids with Bt. Cotton
technology to meet the requirement of farming community spread across different
climatic zones. Besides this, the Company has also focused on farmer education
service activities with a view to improve the productivity and prosperity of
Farmers. Furthermore, they have undertaken field trials of several newly
developed hybrids in Maize, Rice, Mustard and Vegetable crops. Thus, the
Company has now got complete portfolio of products to meet the needs of all the
major market segments in these crops.
The Company hopes to build on this new found strength by rapidly
increasing volumes in Bt. Cotton, while consolidating its position in other
crops like Maize, Paddy, Jowar, Bajra and Vegetables.
Several initiatives taken up in the production and processing front,
gave encouraging results. Improvements in the production & processing side
have started showing results by improving seed productivity and quality output.
The Company has initiated several farmer services to enhance
returns to farmers and also establish
relationships with them. The wholesaler network was also expanded to reach
untapped markets. The Company’s farmer contact program is a major source of
promoting brand awareness and generating demand of JK Seeds.
Fixed Assets
- Land Freehold
- Land Leasehold
- Building
- Plant and Machinery
- Office Equipments
- Furniture and Fixtures
- Vehicles
- Brand
- Software
|
Check
List by Info Agents |
Available
in Report (Yes / No) |
|
1) Year of Establishment |
Yes |
|
2) Locality of the firm |
Yes |
|
3) Constitutions of the firm |
Yes |
|
4) Premises details |
Yes |
|
5) Type of Business |
Yes |
|
6) Line of Business |
Yes |
|
7) Promoter's background |
---------------------- |
|
8) No. of employees |
No |
|
9) Name of person contacted |
No |
|
10) Designation of contact
person |
No |
|
11) Turnover of firm for last
three years |
Yes |
|
12) Profitability for last
three years |
Yes |
|
13) Reasons for variation
<> 20% |
No |
|
14) Estimation for coming
financial year |
No |
|
15) Capital in the business |
Yes |
|
16) Details of sister concerns |
Yes |
|
17) Major suppliers |
No |
|
18) Major customers |
No |
|
19) Payments terms |
No |
|
20) Export / Import details
(if applicable) |
No |
|
21) Market information |
---------------------- |
|
22) Litigations that the firm
/ promoter involved in |
---------------------- |
|
23) Banking Details |
Yes |
|
24) Banking facility details |
Yes |
|
25) Conduct of the banking
account |
---------------------- |
|
26) Buyer visit details |
---------------------- |
|
27) Financials, if provided |
Yes |
|
28) Incorporation details, if
applicable |
Yes |
|
29) Last accounts filed at ROC |
---------------------- |
|
30) Major Shareholders, if
available |
Yes |
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] 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.51.04 |
|
|
1 |
Rs.81.08 |
|
Euro |
1 |
Rs.67.39 |
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 |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.