|
Report Date : |
07.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
PRABHU CHEMICAL PRODUCT |
|
|
|
|
Registered
Office : |
5/1 A, Vijaya Nagar, Nallampalayam, Ganapathy, Coimbatore-641006,
Tamilnadu |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Year of
Establishment : |
2007 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Not Divulged |
|
|
|
|
Legal Form : |
Partnership Concern with an unlimited liability of the partners |
|
|
|
|
Line of Business
: |
Manufacturer of Detergent Liquids and Soaps. |
|
|
|
|
No. of Employees
: |
60 [Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (51) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established proprietory concern having good track.
The operations are carried out efficiently. Trade relations are reported as
trustworthy. Business is active. Payment terms are regular and as per
commitments. The concern can be considered 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, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
India is developing into an open-market economy, yet traces
of its past autarkic policies remain. Economic liberalization, including industrial
deregulation, privatization of state-owned enterprises, and reduced controls on
foreign trade and investment, began in the early 1990s and has served to
accelerate the country's growth, which has averaged more than 7% per year since
1997. India's diverse economy encompasses traditional village farming, modern
agriculture, handicrafts, a wide range of modern industries, and a multitude of
services. Slightly more than half of the work force is in agriculture, but
services are the major source of economic growth, accounting for more than half
of India's output, with only one-third of its labor force. India has
capitalized on its large educated English-speaking population to become a major
exporter of information technology services and software workers. In 2010, the
Indian economy rebounded robustly from the global financial crisis - in large
part because of strong domestic demand - and growth exceeded 8% year-on-year in
real terms. However, India's economic growth in 2011 slowed because of persistently
high inflation and interest rates and little progress on economic reforms. High
international crude prices have exacerbated the government's fuel subsidy
expenditures contributing to a higher fiscal deficit, and a worsening current
account deficit. Little economic reform took place in 2011 largely due to
corruption scandals that have slowed legislative work. India's medium-term
growth outlook is positive due to a young population and corresponding low
dependency ratio, healthy savings and investment rates, and increasing
integration into the global economy. India has many long-term challenges that
it has not yet fully addressed, including widespread poverty, inadequate
physical and social infrastructure, limited non-agricultural employment
opportunities, scarce access to quality basic and higher education, and
accommodating rural-to-urban migration.
|
Source
: CIA |
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 PARTED BY
|
Name : |
Ms. Kanchana |
|
Designation : |
Office Assistant |
|
Contact No.: |
91-422-2532433 |
|
Date : |
01.12.2012 |
LOCATIONS
|
Registered Office / Factory : |
5/1 A, Vijaya Nagar, Nallampalayam, Ganapathy, Coimbatore-641006,
Tamilnadu, India |
|
Tel. No.: |
91-422-2532433 |
|
Fax No.: |
Not Available |
|
E-Mail : |
PARTNERS
|
Name : |
Mr. K Jeyaraj |
|
Designation : |
Partner |
|
|
|
|
Name : |
Mrs. Geetha Jeyaraj |
|
Designation : |
Partner |
KEY EXECUTIVES
|
Name : |
Ms. Kanchana |
|
Designation : |
Office Assistant |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Detergent Liquids and Soaps. |
|
|
|
|
Brand Names : |
·
“EXO” ·
“UJALA” |
|
|
|
|
Terms : |
|
|
Selling : |
Credit |
GENERAL INFORMATION
|
Customers : |
Others [Supplier and Manufacturer] |
|
|
|
|
No. of Employees : |
60 [Approximately] |
|
|
|
|
Bankers : |
Indian Overseas Bank, Dr. Nanjappa Road Branch, Coimbatore-641018, Tamilnadu,
India |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
Not Available |
CAPITAL STRUCTURE
|
Capital Investment : |
|
|
Owned : |
Not Divulged |
|
Borrowed : |
Not Divulged |
|
Total : |
Not Divulged |
FINANCIAL DATA
[all figures are
in Rupees Millions]
|
Particulars |
|
|
31.03.2012 |
|
Sales Turnover [Approximately] |
|
|
150.000 |
The above information has been parted by Ms. Kanchana.
Note : Sole Proprietory and Partnership concerns are
exempted from filing their financials with the Government Authorities or
Registry.
LOCAL AGENCY FURTHER INFORMATION
|
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 |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact person |
Yes |
|
11] |
Turnover of firm for one year |
Yes |
|
12] |
Profitability for last three years |
No |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
No |
|
16] |
Details of sister concerns |
No |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
Yes |
|
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 |
No |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
No |
|
29] |
Last accounts filed at ROC |
No |
|
30] |
Major Shareholders, if available |
No |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
PROFILE:
The firm is a dedicated
manufacturer of detergent soaps brand name EXO and UJALA for Jyothy Laboratories based in Mumbai.
Jyothy labs are one of the top 5 detergent suppliers to our country. A word
about Jyothy chemicals will bring to light how big the company is and Prabhu
being their dedicated manufacturer plays an important role in their production
process.
A word about Jyothy Laboratories from the latest financial news papers:
MUMBAI: Private
eauity Alisters are racing to buy a minority stake in Jyothy Laboratories after
the home grown FMCG major embarked on raising Rs 5500.000 Millions, said people
briefed on the matter. TPG Capital, Advent International, Warburg Pincus and
Bain Capital re in the fray following the Mumbai-based detergent maker, which
acquired Henkel India, starting talks with half a dozen investors in recent
weeks. Jyothy Labs hopes to divest just under 20% stake to a preferred suitor
with an offer price of Rs 200 per share, which is about 20% premium to the
current stock price. The development closely tracks the company's 1:1 bonus
issue and a turnaround in last year's acquisition of the troubled Henkel India.
Jyothy Labs shares closed at Rs 173 in Mumbai trade on Tuesday. GIC of
Singapore, UK's Actis and Apax Partners are the other possible contenders. The
three-decade-old maker of Ujala whitener will use the funds to retire debts
arising out of the Henkel buy. Investment bank MAPE Advisory is managing the
fund raising process.
Jyothy has been
open to inducting a big PE investor to back the Henkel acquisition, but
postponed plans as markets tanked last year. But a bounce-back in the stock
price and a seemingly successful integration of Henkel India's operations has
buoyed the company to refresh the fund raising plans. One of the sources
mentioned earlier claimed that Henkel's standalone operations, which were
incurring operating losses, have pulled back after staff reduction, closure of
plant and stringent cost controls. The Henkel deal helped Jyothy Laboratories
hop onto the top five bandwagon in the sector, which is dominated by Hindustan
Unilever. Henkel's brands include Margo and Fa (personal care), Pril (household
care), and Henko, Mr. White and Chek (detergents), boosting Jyothy's total
brand portfolio to 10. Jyothy, which plans to merge Henkel India by next
fiscal, also runs a chain of branded laundry and fabric spas where IL and FS is
an investor. PEs are chasing the deal buoyed by the fact that German giant
Henkel has an opportunity to buy 26% stake in Jyothy in the next four years, as
part of an agreement struck during last year's takeover of the Indian unit.
This throws up possibilities for financial investors in one of the fastest
growing domestic consumer products companies which, some analysts argue, does
not have a strong family succession plan.
In Introduction to the company Jyothy Laboratories:
Jyothy
Laboratories came into being in 1983, powered by the vision of one man - M P
Ramachandran - the current Chairman and Managing Director. Started as a
proprietary concern, manufacturing and selling a single product in a single
district, the organization has grown to become a multi-brand, multi-product
company with operations all over the nation.
The company has
the distinction of making a mark in the virtually non-existent category of
liquid fabric whitener. With products that are reasonably priced, conveniently
packaged, extensively distributed and supported by strategic communication,
Jyothy Laboratories Limited has well and truly earned its place in the market
as well as in the minds of millions of households in India.
Today, Jyothy
Laboratories Limited has a pan Indian presence with brands catering to the
needs of consumers across the length and breadth of the nation. From a
fledgling entity that embarked to translate the dream to make a difference,
from starting operations with a corpus of INR 400000.000 Millions to a group
turnover of over INR 10000.000 Millions, Jyothy Laboratories Limited has come a
long way. Jyothy Laboratories Limited is surging ahead to keep its tryst with
the founding ideals - Untapped markets, Innovative products and Cater to the
common man. Jyothy Laboratories through its market analysis looks out for a
vacuum that can be filled.
Jyothy Laboratories Limited - making a difference to millions of
households across India.
Given below is a
list of products manufactured by Jyothy Labs. Among the list the products in
red are the products manufactured by Prabhu Chemical Products, Coimbatore.
Fabric Care
·
Ujala Washing Powder
·
Ujala Supreme
·
Stiff and Shine
·
Ujala Techno Bright Detergent
Household Insecticide
·
Maxo A Grade coils
·
Maxo Aerosol
·
Maxo A grade liquid
Utensil Cleaners
·
Exo Dish wash bar
·
Exo Safai
Fragrances
·
Maya
Personal Care
·
Jeeva Naturals
A word about the products manufactured by Prabhu Chemical Products
Coimbatore:
Ujala is
synonymous with the genesis of Jyothy Laboratories Limited and has created
history in I more ways than one. Ujala - the flagship brand of Jyothy
Laboratories Limited marked the beginning of our endeavor to offer innovative
and value for money products to the Indian consumer.
The product
category for a liquid fabric whitener was literally non-existent prior to the
advent of Ujala. While the "HAVE YOU CHANGED OVER TO UJALA" punch
phrase captured the imagination of people throughout the country, Ujala ushered
in a revolution, with consumers shifting from blue to Ujala. Positioned on the
platform of whiteness and brightness, Ujala is a market leader in its category
-the growing market share is a testimony to the brand's popularity Ujala
Supreme - used as a post-wash application for brightening white clothes has an
instant whitening system that assures uniform and consistent results. Ujala
Supreme is available in 9m1, 30ml, 75ml, 125ml and 250 ml bottles.
Ujala Super
Washing Powder - launched with an innovative formula is a reflection of the
constant endeavor of the R and D centre at Jyothy Laboratories Limited. Ujala
Super Washing Powder, with its advanced cleaning power ensures superior
cleaning at a reasonable cost. While its special action penetrates deep into
clothes to dislodge stubborn dirt, oil and stains, Ujala Super Washing Powder
has pleasant fragrance, leaving clothes fresh and clean. Absolutely soft and
safe on hands, Ujala Super Washing Powder is tough on grime and provides
superior cleaning at an affordable price. Ujala Super Washing Powder is
available in 25gm, 500gm and 1 kg packs.
Ujala Techno
Bright has a unique 3 Power System with Nano Enzymes that penetrates deep into
the fibers and cleans out the toughest stains. Even bacteria and bad odor are
Clean Out Ujala Techno Bright has advanced micro-stain-fighting technique with
Nano Enzymes. This active compound dissolves the most stubborn and deep-seated
dirt and grease in seconds. So, there is no trace of stains. White clothes
become whiter, and color Juana Stiff and Shine is a shining example of the
product development initiatives of the R and D division at Jody Laboratories
Limited. Positioned uniquely to address the need to keep ensure that clothes
retain the crisp feel and a sparkling appeal, Juana Stiff and Shine is
specially formulated to maintain clothes at their crisp and shining best. It is
suitable for clothes of all fabric type and colors. A post-wash liquid fabric
enhancer, Juana Stiff and Shine helps provide the stiffness for that crisp look
without the white patches and bad odor commonly associated with starch. What's
more, unlike the inconvenient and messy experience of using starch, Juana Stiff
and Shine is handy and easy to use. Juana Stiff and Shine gives that special
sheen to clothes, making them as good as new - offering premium quality and
utmost care for your laundry. Juana Stiff and Shine is available in 20gm
sachets, 100ml and 200ml bottles.
Sixty people work
for Parch chemicals. They do not have any direct sales activities or import
export activities. They only manufacture as per the specifications given by the
parent company. Raw materials are given by Jody labs and if for any reason they
are not able to give the raw materials
they tell Parch Chemicals where they should buy it. So both the raw materials
and the production process are controlled by the parent company. Prabhu
Chemicals is only a job worker.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject are
derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.47 |
|
|
1 |
Rs.87.63 |
|
Euro |
1 |
Rs.71.12 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--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 |
|
51 |
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.