|
Report Date : |
05.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
VODAFONE WEST LIMITED [w.e.f. 15.10.2011] |
|
|
|
|
Formerly Known
As : |
VODAFONE ESSAR GUJART LIMITED [w.e.f.28.06.2007] FASCEL LIMITED |
|
|
|
|
Registered
Office : |
6th Floor, Salar – II, Ellisbridge 6, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
14.03.1995 |
|
|
|
|
Com. Reg. No.: |
04-035282 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.5000.000
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U32100GJ1995PLC035282 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
AHMF00110F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACF1190F |
|
|
|
|
Legal Form : |
A Closely held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
The Company is engaged in providing cellular mobile telephony services |
|
|
|
|
No. of Employees
: |
Not divulged by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (65) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 140000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a Subsidiary of Vodafone Essar Limited. It is the world’s leading
International mobile communication group, with operation a across 30
countries. It is an established company having good track. The latest financials
of the company are not made available. However, as per previous year’s record, financial position of the
company appears to be good and healthy. Trade relations are reported as trustworthy. Business is active.
Payment terms are regular and as per commitments. The company can be considered good 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.
INDIAN ECONOMIC OVERVIEW
|
Source
: CIA |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Short Term Rating A1+ |
|
Rating Explanation |
Very Strong degree of safety and lowest
credit risk. |
|
Date |
27.09.2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DECLINED
MANAGEMENT NON-COOPERATIVE
Tel No.:91-79-26577228
Fax No.:91-79-26575990
LOCATIONS
|
Registered Office : |
6th Floor, Salar – II, Ellisbridge 6, |
|
Tel. No.: |
91-79-26577228 |
|
Fax No.: |
91-79-26575990 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Branches Office : |
Located at: ·
·
·
· Gandhidham ·
· Junagadh · Mehsana ·
·
· Vapi ·
Godhra |
DIRECTORS
(AS ON 28.09.2012)
|
Name : |
Mr. Venkatesh Vishwanathan |
|
Designation : |
Director |
|
Address : |
D-6, Krishnalaya, 33-1/34, N. S. Manikar Marg, Sion Chunnabhatti,
Mumbai-400022, |
|
Date of Birth/Age : |
08.07.1968 |
|
Date of Appointment : |
09.07.2010 |
|
DIN No.: |
03122706 |
|
|
|
|
Name : |
Mr. Dilip Pal |
|
Designation : |
Director |
|
Address : |
Flat 701/702, Khar Pushparaj Chs. Limited, Plot No. 5, Mumbai – 400052, |
|
Date of Birth/Age : |
15.02.1966 |
|
Date of Appointment : |
28.09.2012 |
|
DIN No : |
05201144 |
|
|
|
|
Name : |
Mr. Naveen Lal Chopra |
|
Designation : |
Director |
|
Address : |
Bharat Bhuvan, 2nd Floor, 711 Linking Road, Khar (West), Mumbai –
400013, |
|
Date of Birth/Age : |
25.04.1960 |
|
Date of Appointment : |
28.09.2012 |
|
DIN No : |
05307614 |
|
|
|
|
Name : |
Mr. Rohit Adya |
|
Designation : |
Director |
|
Address : |
Flat No. 4, Narendra Bhuvan, Bhulabhai Desai Road, Mumbai – 400026,
Maharashtra, India |
|
Date of Birth/Age : |
06.09.1956 |
|
Date of Appointment : |
28.09.2012 |
|
DIN No : |
05308871 |
KEY EXECUTIVES
|
Name : |
Mr. Ashesh Thakore |
|
Designation : |
Company Secretary |
|
Address : |
1, Sumeru Apartment, 13, Pritam Nagar, |
|
Date of Birth/Age : |
12.10.1965 |
|
Date of Appointment : |
11.03.2010 |
|
PAN No : |
AAIPT6149D |
|
|
|
|
Name : |
Mr. Brajesh Bajpai |
|
Designation : |
Manager |
|
Address : |
B-51, |
|
Date of Birth/Age : |
13.08.1971 |
|
Date of Appointment : |
01.04.2012 |
|
PAN No : |
AAPPB9934P |
|
|
|
|
Name : |
Mr. Ajay Patel |
|
Designation : |
Senior VP-Network Operations |
|
|
|
|
Name : |
Mr. Zahir Wykes |
|
Designation : |
VP-Customer Service |
|
|
|
|
Name : |
Mr. Ranjan Mishra |
|
Designation : |
AVP-Human Resources |
|
|
|
|
Name : |
Mr. P Mani |
|
Designation : |
AVP-Finance |
|
|
|
|
Name : |
Mr. Sanjiv Shah |
|
Designation : |
GM - Credit and Collections |
|
|
|
|
Name : |
Mr. Pushpinder Singh Gujral |
|
Designation : |
Marketing Operations |
|
|
|
|
Name : |
Mr. Balesh Sharma |
|
Designation : |
Chief Operating Officer |
|
|
|
|
Name : |
Mr. Sunil Sood |
|
Designation : |
Director-Business Operations |
|
|
|
|
Name : |
Mrs. Sukanta Beura |
|
Designation : |
GM-Finance and Accounts |
|
|
|
|
Name : |
Mr. Rajesh Dongre |
|
Designation : |
Chief Operating Officer |
|
|
|
|
Name : |
Mr. Joydeep Ganguly |
|
Designation : |
GM-Sales |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(AS ON 28.09.2012)
|
Names of Shareholders |
|
No. of Shares |
|
|
|
|
|
Central Depository Services ( |
|
499999400 |
|
Vodafone India Limited, |
|
200 |
|
Pushkaraj Vishnu Joshi Jointly with Vodafone India Limited, |
|
100 |
|
Vodafone Essar East Limited Jointly with Vodafone India Limited, |
|
100 |
|
Vodafone Mobile Services Limited, Jointly with Vodafone India Limited,
|
|
100 |
|
Vodafone Digilink Limited, Jointly with Vodafone India Limited, |
|
25 |
|
Vodafone South Limited Jointly with Vodafone India Limited, |
|
50 |
|
Vodafone Cellular Limited Jointly with Vodafone India Limited, |
|
25 |
|
|
|
|
|
Total |
|
500000000 |
(AS ON 30.09.2012)
Equity Shares Break – up
|
Category |
|
Percentage |
|
|
|
|
|
Bodies corporate |
|
100.00 |
|
|
|
|
|
Total
|
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The Company is engaged in providing cellular mobile telephony services |
GENERAL INFORMATION
|
No. of Employees : |
Not divulged by the management. |
||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
·
The 52/60, · Standard Chartered Bank 90, MG road, Fort, Mumbai – 400001, |
||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Financial Institution: |
· IL and Fs Trust Company Limited IL and FS Financial Centre, Plot No. C -22, Block, BA Kurla
Complex, Bandra (West), Mumbai – 400 051, |
|
|
|
|
Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
Address : |
12, Dr, |
|
PAN No.: |
AACFD4815A |
|
|
|
|
Holding Company : |
Vodafone Essar Limited CIN No : U32200MH1992PLC119108 |
|
|
|
|
Ultimate Holding
Company: |
Vodafone Group Plc. # (# Under section 4(6) of the Companies Act, 1956) |
|
|
|
|
Intermediate
Holding Company : |
Vodafone International Holdings B.V.# (# Under section 4(6) of the Companies Act, 1956) |
|
|
|
|
Subsidiaries : |
Vodafone Essar Spacetel Limited CIN No : U72200DL1997PLC0085764 |
|
|
|
|
Fellow Subsidiaries : |
·
Vodafone Essar Cellular Limited ·
Vodafone Essar Digilink Limited ·
Vodafone Essar East Limited ·
Vodafone Essar Mobile Services Limited ·
Vodafone Essar South Limited ·
Vodafone Essar Shared Services Limited ·
Ghana Telecommunications Company Limited ·
Mobile Telecom Limited ·
Mtc Vodafone ( ·
Vm S.A.R.L. ·
Vodacom (Pty) Limited ·
Vodacom ·
Vodacom ·
Vodacom Tanzania Limited ·
Vodafone ·
Vodafone Australia Limited (Branch Register) ·
Vodafone Czech Republic A.S. ·
Vodafone D2 Gmbh ·
Vodafone ·
Vodafone Espana S.A.U. ·
Vodafone Fiji Limited ·
Vodafone Hungary Limited ·
Vodafone India Services Private Limited ·
Vodafone Ireland Limited ·
Vodafone Ireland Marketing Limited ·
Vodafone Libertel B.V. ·
Vodafone Limited ·
Vodafone Malta Limited ·
Vodafone New Zealand Limited ·
Vodafone Omnitel N.V. ·
Vodafone ·
Vodafone Romania Sa ·
Vodafone Telekomunikasyon A.S. ·
Vodafone-Panafon Hellenic Telecommunications
Company S.A. ·
Vodafone Overseas Finance Limited |
CAPITAL STRUCTURE
(AS ON 31.03.2012)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
750000000 |
Equity Shares |
Rs.10/- each |
Rs.7500.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
500000000 |
Equity Shares |
Rs.10/- each |
Rs.5000.000
Millions |
|
|
|
|
|
NOTE:
"(Of the
above 499,999,600 shares are held by the holding company Vodafone Essar Limited
(VEL individually and 400 shares jointly with others). (VEL, pursuant to
section 4(6) of the Companies Act, 1956 is a subsidiary of Vodafone Group Plc,
the ultimate holding Company)"
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 |
5000.000 |
5000.000 |
5000.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
29526.700 |
26473.390 |
22518.160 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
34526.700 |
31473.390 |
27518.160 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
6096.400 |
6096.382 |
5033.174 |
|
|
2] Unsecured Loans |
8861.100 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
14957.500 |
6096.382 |
5033.174 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
49484.200 |
37569.772 |
32551.334 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
24979.200 |
13331.003 |
14589.423 |
|
|
Capital work-in-progress |
1089.000 |
571.433 |
839.655 |
|
|
|
|
|
|
|
|
INVESTMENT |
1855.000 |
1855.000 |
1855.000 |
|
|
DEFERREX TAX ASSETS |
265.600 |
504.432 |
327.203 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
0.000
|
0.000 |
0.000 |
|
|
Sundry Debtors |
1308.200
|
1746.644 |
1051.077 |
|
|
Cash & Bank Balances |
622.900
|
567.817 |
493.577 |
|
|
Other Current Assets |
0.100
|
0.606 |
0.825 |
|
|
Loans & Advances |
28092.700
|
25604.519 |
18301.646 |
|
Total
Current Assets |
30023.900
|
27919.586
|
19847.125 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditor |
6007.800 |
4225.400 |
2561.700 |
|
|
Other Current Liabilities |
2456.400
|
2066.696 |
2039.172 |
|
|
Provisions |
264.300
|
319.586 |
306.200 |
|
Total
Current Liabilities |
8728.500
|
6611.682
|
4907.072 |
|
|
Net Current Assets |
21295.400
|
21307.904 |
14940.053 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
49484.200 |
37569.772 |
32551.334 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
|
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
|
|
27053.100 |
|
|
|
Other Income |
|
|
722.000 |
|
|
|
TOTAL (A) |
|
|
27775.100 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing Service Costs |
|
|
14435.400 |
|
|
|
Employee Related Expenses |
|
|
575.400 |
|
|
|
Administrative, Selling and Other Expenses |
|
|
4658.600 |
|
|
|
TOTAL (B) |
|
|
19669.400 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
|
|
8105.700 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
|
|
1051.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
|
|
7054.000 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
|
|
2980.400 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
|
|
4073.600 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
|
|
1048.800 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
|
|
3024.800 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
|
|
26449.200 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
|
|
29474.000 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Roaming Revenue |
|
|
163.700 |
|
|
TOTAL EARNINGS |
|
|
163.700 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital Goods |
|
|
2744.600 |
|
|
TOTAL IMPORTS |
|
|
2744.600 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
6.00 |
|
|
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
|
24150.200 |
22806.200 |
|
|
|
Other Income |
|
906.400 |
1286.600 |
|
|
|
TOTAL (A) |
|
25056.600 |
24092.800 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of SIM Sold |
|
130.200 |
128.300 |
|
|
|
Access and regulatory charges |
|
7511.900 |
7059.000 |
|
|
|
Network operating expenditure |
|
4164.100 |
2685.400 |
|
|
|
Personnel Expenses |
|
602.800 |
513.600 |
|
|
|
Advertisement, marketing, sales and
distribution expenses |
|
1318.800 |
1346.800 |
|
|
|
Administrative, general and other expenses |
|
2579.200 |
2007.700 |
|
|
|
Exceptional Item |
|
0.000 |
(1587.000) |
|
|
|
TOTAL (B) |
|
16307.000 |
12153.800 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
|
8749.600 |
11939.000 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
|
513.900 |
493.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
|
8235.700 |
11445.300 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
|
2982.700 |
2771.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
|
5253.000 |
8673.400 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
|
1313.900 |
1250.500 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
|
3939.100 |
7422.900 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
|
22510.100 |
15087.200 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
|
26449.200 |
22510.100 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Roaming Revenue |
|
209.600 |
230.600 |
|
|
TOTAL EARNINGS |
|
209.600 |
230.600 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital Goods |
|
1242.300 |
3173.000 |
|
|
TOTAL IMPORTS |
|
1242.300 |
3173.000 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
7.90 |
14.80 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
10.89
|
15.72
|
30.81 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
15.06
|
21.75
|
38.03 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.41
|
12.73
|
25.19 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.12
|
0.17
|
0.31 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.69
|
0.40
|
0.18 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.44
|
4.22
|
4.04 |
LOCAL AGENCY FURTHER INFORMATION
SUNDRY CREDITORS
DETAILS:
|
Particulars |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
(Rs. In Millions) |
||
|
|
|
|
|
|
Sundry Creditors |
|
|
|
|
Dues of micro and small enterprises |
0.500 |
0.400 |
0.000 |
|
Dues of creditors from other than micro and small enterprises |
6007.300 |
4225.000 |
2561.700 |
|
|
|
|
|
|
Total |
6007.8 |
4225.400 |
2561.700 |
|
Sr. No. |
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 |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
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% |
----- |
|
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 |
No |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if
available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director,
if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
FINANCIAL
PERFORMANCE
The Earning per Share for the year is Rs. 6.0 per share which is lower
from Rs. 7.9 per share in the previous year. The reduction in Profit before tax
was mainly on account of increase in access and regulatory charges and increase
in finance charges.
OPERATIONS:
The year ended March 2011 has been a good year for the Company. The
favourable revenue performance was primarily due to both higher Outbound and
Inbound Voice and greater Messaging and Data usage. During the year, the
Company has widened its subscriber base by launch of various segmented
products.
The company’s customer base grew to a landmark 14.3 million subscribers
with a growth rate of 32.19% on a year on year basis. The Company continues to be
the leading operator, having a Revenue market share of 36.11% (Includes fixed
line revenue of all operators) as at 31 March 2011 in a very competitive
multi-player market.
During the year 2010-11, the Company has further expanded its network to
increase its coverage and networks continue to perform better against
acceptable thresholds for the major performance parameters. The Company has
added 455 more cell sites to enhance its network coverage, closing with a total
of 6824 cell sites as at 31 March 2011. Mobile Number Portability has resulted
in net addition of 24,988 customers as of March 2011.
STATUS OF DEMERGER
OF PASSIVE INFRASTRUCTURE ASSETS
During the previous year 2009-10, the Company had filed a Scheme of
Arrangement (“Scheme”) in the Hon’ble Gujarat High Court under Sections 391 to
395 of the Companies Act, 1956 for demerger of its passive infrastructure
assets along with its other fellow subsidiaries and is to be vested in Vodafone
Essar Infrastructure Limited. The effective date of the demerger, subject to
sanction of the Scheme by the Hon’ble Gujarat High Court, will be 1 April 2009.
The Hon’ble Gujarat High Court has not sanctioned the scheme for VEGL. The
Company has appealed against the Order before the Division Bench of the Hon’ble
Gujarat High Court. The
OUTLOOK FOR
2011-12
Intense competition is expected to continue in FY-2010-11. Pricing
action that was undertaken by new operators in FY2009-10 to penetrate the
market will continue to impact revenues. However, it is expected that
subscribers will bond with the Company in view of the benefits of customer
service, relevant pre-positions and a reliable network as is understood by
them. The company along with its group companies being successful in the
recently concluded bids for 3G spectrum, relevant value added services will be
launched to enhance income from data and other 3G enabled services.
The Company is ready for Mobile Number Portability as and when it would
be introduced by the Government. Plans to attract new high value customers and
retain existing customers are in place. The focus on cost reduction and working
capital improvement will continue. The regulatory environment is expected to continue
to be challenging in the coming year. Given the strong presence in
CONTINGENT
LIABILITIES NOT PROVIDED FOR
|
Particulars |
31.03.2011 |
31.03.2010 |
|
|
(Rs. In
Millions) |
|
|
|
|
|
|
Service Tax demands towards disallowance of CENVAT credit on towers
and shelter |
168.000 |
73.500 |
|
Demands from BSNL towards dispute on Port Charges |
144.500 |
144.500 |
|
Demand from DOT on dispute of Licence fees and WPC |
149.400 |
149.500 |
|
Income Tax matters pending in appeals towards disallowance u/s 80IA
and other disallowances and non deduction of tax at source |
4267.300 |
3739.200 |
|
Sales Tax matters pending in appeals towards demand on SIM cards |
8.000 |
8.000 |
|
Other claims |
5.300 |
6.500 |
|
In accordance
with the EPCG Scheme, imports of capital goods are allowed to be made at concessional
duty subject to the condition that the Company will fulfill, in future, a
specified amount of export obligation within a specified time. Based on the
current operating plan, the Company would fulfill its export obligation
within the specified time period. Amount of duty saved on imports of capital
goods against which export obligation needs to be fulfilled as at March 31,
2011 aggregates to Rs 41.3 million (March 31, 2010: Rs 48.6 million) |
||
|
|
|
|
|
Guarantees given by bankers to third parties, counter guaranteed by
the Company. |
2191.700 |
-- |
|
Outstanding guarantees issued by the Company jointly and severally
with: |
|
|
|
Vodafone Essar
Mobile Services Limited, Vodafone Essar East Limited, Vodafone Essar South Limited,
Vodafone Essar Digilink Limited, Vodafone Essar Limited, Vodafone Essar
Cellular Limited, Vodafone Essar Spacetel Limited, |
356926.200 |
254581.200 |
|
|
|
|
|
Total amount of Cross Guarantees utilized against the above guarantees |
303409.200 |
185615.400 |
FORM 8
|
Corporate
identity number of the company |
U32100GJ1995PLC035282 |
|
Name of the
company |
Vodafone Essar Gujarat Limited |
|
Address of the
registered office or of the principal place of business in |
6th Floor, Salar II, Ellisbridge 6, |
|
This form is for |
Modification of
charge |
|
Charge identification (ID) number of the charge to be modified |
80039625 |
|
Type of charge |
Others:
Tripartite Agreement, Share Pledge |
|
Particular of
charge holder |
IL and Fs Trust Company limited Address: IL and FS Financial Centre, Plot No. C -22, Block,
BA Kurla Complex, Bandra (West), Mumbai – 400 051, |
|
Nature of
instrument creating charge |
Deed of
confirmation dated 25th May 2009 in respect of new share pledge
agreement. |
|
Date of
instrument Creating the charge |
25.05.2009 |
|
Amount secured by
the charge |
Rs. 280000.000
Millions |
|
Brief of the
principal terms and conditions and extent and operation of the charge |
Rate of interest Rate of interest to
be fixed under the terms of the individual facility agreements in respect to
debt secured under this charge. Terms of repayment Terms of
repayment are to be defined in the individual facility agreements in respect
to debt secured by this charge. Margin Margin is to be
defined in the individual facility agreements in respect to debt secured by
this charge. Extent and operation of the charge Earlier charge
was for Rs.140000.000 millions, now increased to Rs.280000.000 millions in
respect to share pledges and telecom licence under tripartite agreement vide 1. Deed of
confirmation dated 25.05.2009 in respect of new share pledge agreement 2. Notice to dept
of telecommunications in respect to the tripartite agreement dated 14.01.2009 All pursuant to
amendment dated 25.05.2009 to the amended and restated inter creditor
agreement |
|
Short particulars
of the property charged (Including location of the property) |
Telecom licence
of the company in respect to Shares of certain
subsidiaries pledged under the new share pledge agreement dated 14th
November 2008 |
|
Date of
instrument modifying the charge |
30.03.2009 |
|
Particulars of
the present modification |
Earlier charge
was for Rs.140000.000 millions, now increased to Rs.280000.000 millions in
respect to share pledges and telecom licence under tripartite agreement vide 1. Deed of
confirmation dated 25.05.2009 in respect of new share pledge agreement 2. Notice to dept
of telecommunications in respect to the tripartite agreement dated 14.01.2009 All pursuant to
amendment dated 25.05.2009 to the amended and restated inter creditor
agreement |
FIXED ASSETS:
· Land
· Building
· Plant and Machinery
·
Office Equipment
·
Furniture Fixtures
·
Computer
·
Vehicles
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 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.54.56 |
|
|
1 |
Rs.87.46 |
|
Euro |
1 |
Rs.71.08 |
INFORMATION DETAILS
|
Information Gathered
by : |
PDT |
|
|
|
|
Report Prepared
by : |
NIT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
65 |
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.