MIRA INFORM REPORT

 

 

Report Date :

19.04.2012

 

IDENTIFICATION DETAILS

 

Name :

RATNAVEER STAINLESS PRODUCTS PRIVATE LIMITED

 

 

Registered Office :

E-77, GIDC, Savli (Manjusar), Baroda  – 391775, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

20.02.2002

 

 

Com. Reg. No.:

04-040488

 

 

Capital Investment / Paid-up Capital :

Rs.61.122 Millions

 

 

CIN No.:

[Company Identification No.]

U27108GJ2002PTC040488

 

 

TAN No.:

[Tax Deduction and Collection Account No.]

BRDR00325D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Importers of Steel and Stainless Steel Products and Components.

 

 

No. of Employees :

Not Available

 

 

RATING and COMMENTS

 

MIRA’s Rating :

Ba (48)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 570000

 

 

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.

 

 

ECGC Country Risk Classification List – June 30, 2010

 

Country Name

Previous Rating

(01.04.2010)

Current Rating

(30.06.2010)

India

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 / Factory :

E-77, GIDC, Savli (Manjusar), Baroda  – 391775, Gujarat, India

Tel. No.:

91-2667-264594/ 95/ 96

Fax No.:

91-2667-264593

E-Mail :

prakashd@ratnaveer.com

audit@smajmudar.com

marketing@ratnveer.com

Website :

www.ratnaveer.com

 

 

DIRECTORS

 

As on: 30.09.2011

 

Name :

Mr. Vijay Ramanlal  Sanghvi

Designation :

Managing Director

Address :

20, Vijay Society No. 1, New Khanderao Road, Baroda – 390001, Gujarat, India

Date of Appointment :

20.02.2002

DIN No.:

00495922

 

 

Name :

Mr. Babulal Sohanlal Chaplot

Designation :

Whole Time Manager

Address :

61, Geet Gunjan Society, Near Pragati Nagar Society, Harni Ring Road, Vadodara – 390022, Gujarat, India

Date of Appointment :

13.06.2011

DIN No.:

03539750

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 30.09.2011

 

Names of Shareholders

 

No. of Shares

( Equity Shares Fully Paid)

Vijay Ramanlal Sanghvi

 

3950000

Seemaben Vijay Sanghvi

 

50000

Bhlkhubhai Lakhabhai HUF by Karta Bhlkhubhai Lakhabhai Radadiya

 

20000

Pragjibhai Nathubhai Padsala

 

9000

Parshottambhai Keshavbhai Dhorajjya

 

15500

Parulben Jayantilal Patel

 

12700

Jayantilal M Patel HUF by Karta Jayantilal M Patel

 

10000

 

 

 

Total

 

4067200

 

 

 

Names of Shareholders

 

No. of Shares

(Equity Shares Partly Paid)

Sanskar Distributers

 

60000

Columbia Granite

 

40000

Columbia Granite

 

40000

Sanskar Distributers

 

50000

Sanskar Distributers

 

40000

Arlfiodock Vlnimay Private Limited, India

 

40000

Gourav Flnanace Private Limited, India

 

120000

 

 

 

Total

 

390000

 

 

 

Names of Shareholders

 

No. of Preference Shares

Vijay  Ramanlal Sanghvi

 

1850000

 

 

 

 

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 30.09.2011

 

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Importers of Steel and Stainless Steel Products and Components.

 

Description of Product and services

ITC Code

 

 

S S Steel Washer

72221119

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

UCO Bank, Dandia Bazar, Vadodara – 390001, Gujarat, India

 

 

 

Facilities :

Secured Loan

 

Particular

As on

31.03.2011

(Rs. in

Millions)

As on

31.03.2010

(Rs. in

Millions)

Rupee term loans Bank secured

10.106

12.222

Working capital loans Bank secured

129.822

81.786

Loans taken for Vehicles secured

1.209

0.000

 

 

 

Total

141.137

94.008

 

Note:

 

(A) Secured against first charge over Company’s Land, Building and other immovable assets located at E-77 and 121, GIDC-Savli (Manjusar), Dist Baroda and second charge over Company’s Stock and Raw material, Work-in-progress and finished goods and Book debts. Also, secured against first charge over Mr. Vijay Sanghvi’s residential property located at 20, Vijay Society-I, New Khanderao Road, Vadodara and also seamed by way of Personal guarantee of directors of the company.

 

(B) Secured against first charge over Company’s Land, Building and other immovable assets located at E-77 and 121, GIDC-Savli (Manjusar), Dist Baroda and second charge over Company’s Stock and Raw material, Work-in-progress and finished goods and Book debts. Also, secured against first charge over Mr. Vijay Sanghvi’s residential property located at 20, Vijay Society-I, New Khanderao Road, Vadodara and also seamed by way of Personal guarantee of directors of the company.

 

(C) Secured against the Hypo. Of Company’s Stock and Raw material, Work-in-progress and finished goods and Book debts. Also secured against the Hypo of all the present and future movable and immovable assets of the Company located at E-77 and 121, GIDC-Savli (Manjusar), Dist Baroda and also secured by way of personal guarantee of directors of the company.

 

(D) Secured against the Hypo. Of Company’s Stock and Raw material, Work-in-progress and finished goods and Book debts. Also secured against the Hypo of all the present and future movable and immovable assets of the Company located at E-77 and 121, GIDC-Savli (Manjusar), Dist Baroda and also secured by way of personal guarantee of directors of the company.

 

(E) SECURED AGAINST VEHICLE PURCHASED UNDER THE AGREEMENT

 

 

 

Banking Relations :

 

 

 

Auditors :

 

Name :

Parikh and Majmudar

Chartered Accountant

Address :

204/ 05/ 06, Harsh Avenue, Opposite Old High Court, Navjeevan Press Road, Navrangpura, Ahmedabad - 380014, Gujarat, India

PAN.:

AAAFP8921B

 

 

CAPITAL STRUCTURE

 

As on: 30.09.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

4500000

Equity Shares (Fully Paid)

Rs.10/- each

Rs.45.000 Millions

500000

Equity Shares (Partly Paid)

Rs.10/- each

Rs.5.000 Millions

3000000

Preference Shares

Rs.10/- each

Rs.30.000 Millions

 

 

 

 

 

Total

 

Rs.80.000 Millions

 

Issued and Subscribed

No. of Shares

Type

Value

Amount

 

 

 

 

4067200

Equity Shares (Fully Paid)

Rs.10/- each

Rs.40.672 Millions

390000

Equity Shares (Partly Paid)

Rs.10/- each

Rs.3.900 Millions

1850000

Preference Shares

Rs.10/- each

Rs.18.500 Millions

 

 

 

 

 

Total

 

Rs.63.072 Millions

 

Paid-up Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

4067200

Equity Shares (Fully Paid)

Rs.10/- each

Rs.40.672 Millions

390000

Equity Share (Partly Paid)

Rs.5/- each

Rs.1.950 Millions

1850000

Preference Shares

Rs.10/- each

Rs.18.500 Millions

 

 

 

 

 

Total

 

Rs.61.122 Millions


 

 

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

61.122

59.172

58.500

2] Share Application Money

0.000

22.650

0.000

3] Reserves and Surplus

83.104

47.068

29.572

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

144.226

128.890

88.072

LOAN FUNDS

 

 

 

1] Secured Loans

141.137

94.008

91.829

2] Unsecured Loans

24.915

56.820

48.800

TOTAL BORROWING

166.052

150.828

140.629

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

310.278

279.718

228.701

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

64.153

65.750

42.155

Capital work-in-progress

2.527

0.000

25.062

 

 

 

 

INVESTMENT

2.163

1.615

0.919

DEFERREX TAX ASSETS

1.172

0.783

1.219

 

 

 

 

CURRENT ASSETS, LOANS and ADVANCES

 

 

 

 

Inventories

320.420

347.898

291.870

 

Sundry Debtors

180.995

87.553

28.916

 

Cash and Bank Balances

58.216

48.195

26.213

 

Other Current Assets

0.165

0.143

0.231

 

Loans and Advances

53.800

23.820

28.507

Total Current Assets

613.596

507.609

375.737

Less : CURRENT LIABILITIES and PROVISIONS

 

 

 

 

Sundry Creditors

109.880

120.647

215.563

 

Other Current Liabilities

258.234

173.681

0.828

 

Provisions

5.219

1.711

0.000

Total Current Liabilities

373.333

296.039

216.391

Net Current Assets

240.263

211.570

159.346

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

310.278

279.718

228.701

 

 

PROFIT and LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Turnover

783.103

516.846

575.479

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

34.742

29.857

11.852

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

11.738

12.701

7.869

 

 

 

 

 

 

PROFIT BEFORE TAX

23.004

17.156

3.983

 

 

 

 

 

Less

TAX                                                     

7.667

6.380

2.009

 

 

 

 

 

 

PROFIT AFTER TAX

15.337

10.776

1.974

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

40.348

29.573

27.599

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

56.793

40.348

29.573

 

 

 

 

 

 

Earnings Per Share (Rs.)

2.43

1.71

0.31

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

3.39

2.99

0.95

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.16

0.13

0.04

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

3.74

3.47

4.05

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.64

1.71

1.74

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Check List by Info Agents

Available in Report [Yes/No]

Year of Establishment

Yes

Locality of the Firm

Yes

Construction of the firm

Yes

Premises details

Yes

Type of Business

Yes

Line of Business

Yes

Promoters background

Yes

No. of Employees

No

Name of Person Contacted

No

Designation of contact person

No

Turnover of firm for last three years

Yes

Profitability for last three years

Yes

Reasons for variation <> 20%

-

Estimation for coming financial year

No

Capital the business

Yes

Details of sister concerns

No

Major Suppliers

No

Major Customers

No

Payment Terms

Yes

Export / Import Details [If Applicable]

No

Market Information

-

Litigations that the firm / promoter involved in

-

Banking Details

Yes

Banking Facility Details

Yes

Conduct of the banking account

-

Buyer visit details

-

Financials, if provided

Yes

Incorporation details, if applicable

Yes

Last accounts filed at ROC

Yes

Major Shareholders, if applicable

Yes

 

 

Operations:

 

The company has earned gross income from operation amounting to Rs.821.200 Millions and net sales of Rs.783.100 Millions for the year ending on 31.03.2011.The directors would also like to state that the company has changed its entire manufacturing operations and accordingly has set up a line for converting scrap into raw material. Thus from Financial Year 2009-10 the company has stopped selling the entire scrap generated out of the process in the domestic market but started reprocessing the same and converted the said scrap into raw material and thus very negligible quantity is now being offloaded in the market as scrap. This has also saved sizeable money in raw material consumption and accordingly the company has earned net profit of Rs.15.336 Millions for the current year as compared to Rs.10.776 Millions for the corresponding previous year.

 

In view of the ongoing capital expenditure programme in the company as well as to strengthen long term working capital requirement of the company, your directors do not recommend any dividend for the Financial Year 2010-11.

 

 

Fixed Assets:

 

  • Land
  • Factory Shed
  • Plant and Machinery
  • Dies
  • Electrical installation
  • Furniture and Fixture
  • Handling Equipments
  • Computers
  • Air Conditions
  • Fax Machine
  • Xerox Machine
  • Water Pump
  • D. G. Set
  • Cycles
  • Mobile Phone
  • Water Colour
  • Fork Lift
  • Motor Car
  • Scooter

 


CMT REPORT (Corruption, Money Laundering and 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.51.50

UK Pound

1

Rs.81.99

Euro

1

Rs.67.54

 

 

SCORE and RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

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

6

--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

No

--LISTED

YES/NO

No

--OTHER MERIT FACTORS

YES/NO

Yes

TOTAL

 

48

 

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 and 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.