MIRA INFORM REPORT

 

 

Report Date :

18.12.2012

 

IDENTIFICATION DETAILS

 

Name :

DORF KETAL SPECIALITY CATALYST PRIVATE LIMITED

 

 

Registered Office :

1, Dorf Ketal Tower, D’ Monte Street, Orlem, Malad (West), Mumbai – 400 064, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

01.01.2010

 

 

Com. Reg. No.:

11-198273

 

 

Capital Investment / Paid-up Capital :

Rs. 26.000 millions

 

 

CIN No.:

[Company Identification No.]

U24233MH2010PTC198273

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMD17731A

 

 

PAN No.:

[Permanent Account No.]

AADCD3088K

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Specialty Chemicals.

 

 

No. of Employees :

75 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (50)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 1290000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of DKC and DKC is wholly owned subsidiary of DKC LLC, USA.

 

Subject is a relatively newly established company having satisfactory track. Company performance capacity seems to be high and it has strong managerial business and financial support from its parent company.

 

Financially company seems to be strong. Trade relations are reported to be fair. Business is active. Payments are reported to be regular and as per commitment.

 

The company can be considered for normal 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

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

LONG TERM RATING : CRISIL A

Rating Explanation

Having adequate degree of safety regarding timely servicing of financial obligation it carry low credit risk.

Date

September, 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 PARTED BY

 

Name :

Mr. Ashok Rao

Designation :

Finance Manager

Contact No.:

91-22-28833900

 

 

LOCATIONS

 

Registered Office :

1, Dorf Ketal Tower, D’ Monte Street, Orlem, Malad (West), Mumbai – 400 064, Maharashtra, India

Tel. No.:

91-22-28880420 /21 /22 /23 / 28833901

Fax No.:

91-22-28813655

E-Mail :

vijaymalpani@dorfketal.co.in

ashokrao@dorfketal.co.in

vaspuja21@yahoo.in

nareshaggarwal@dorfketal.co.in

Website :

www.dorfketal.co.in

Area :

107500 sq ft

Location :

Owned

 

 

Factory :

Plot Survey No.141, Near Water Treatment Plant of MPSEZ, Mundra-Kutch – 370 421, Gujarat, India

Area :

75000 sq m (Approximately)

Location :

Owned

 

 

DIRECTORS

 

As on 27.09.2011

 

Name :

Mr. Subodh Vijayraghava Menon

Designation :

Director

Address :

401, Swapna Lok, Marve Road, Malad (West), Mumbai – 400 064, Maharashtra, India 

Date of Birth/Age :

08.08.1971

Qualification :

B.Sc.

Date of Appointment

01.01.2010

DIN No.:

00972842

Other directorship:

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U24100MH1992PTC066726

DORF-KETAL CHEMICALS INDIA PRIVATE LIMITED

Director

12/05/1992

12/05/1992

-

Active

NO

2

U24119MH1988PTC046283

SUDHA ORGANICS PRIVATE LIMITED

Director

06/08/1997

06/08/1997

-

Active

NO

3

U29196MH1984PTC033331

PERFECT SCALES CO PVT LTD

Director

10/02/1999

10/02/1999

-

Active

NO

4

U15540MH2005PTC153849

FOBEOZ INDIA PRIVATE LIMITED

Director

08/06/2005

08/06/2005

-

Active

NO

5

U24249MH2005PTC158039

BEETA FLAVOUR AND CHEMICALS INDIA PRIVATE LIMITED

Director

14/12/2005

14/12/2005

-

Active

NO

6

U55101MH2007PTC170292

LA JAWAAB FOODS PRIVATE LIMITED

Director

25/04/2007

25/04/2007

-

Active

NO

7

U45400MH2007PTC169683

ANKUR REALTY PRIVATE LIMITED

Director

09/05/2008

09/05/2008

15/11/2009

Active

NO

8

U24233MH2010PTC198273

DORF KETAL SPECIALITY CATALYST PRIVATE LIMITED

Director

01/01/2010

01/01/2010

-

Active

NO

 

Name :

Mr. Sudhir Vijayaraghav Menon

Designation :

Director

Address :

5/501, Swapna Lok, Marve Road, Malad (West), Mumbai – 400 064, Maharashtra, India 

Date of Birth/Age :

27.06.1963

Qualification :

Chemical Engineer, LLB, MBA

Date of appointment :

01.01.2010

DIN No.:

02487658

Other directorship:

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U24100MH1992PTC066726

DORF-KETAL CHEMICALS INDIA PRIVATE LIMITED

Managing director

09/07/1995

09/07/1995

-

Active

NO

2

U24119MH1988PTC046283

SUDHA ORGANICS PRIVATE LIMITED

Managing director

06/08/1997

06/08/1997

-

Active

NO

3

U29196MH1984PTC033331

PERFECT SCALES CO PVT LTD

Managing director

10/02/1999

10/02/1999

-

Active

NO

4

U15540MH2005PTC153849

FOBEOZ INDIA PRIVATE LIMITED

Managing director

08/06/2005

08/06/2005

-

Active

NO

5

U24249MH2005PTC158039

BEETA FLAVOUR AND CHEMICALS INDIA PRIVATE LIMITED

Managing director

14/12/2005

14/12/2005

-

Active

NO

6

U55101MH2007PTC170292

LA JAWAAB FOODS PRIVATE LIMITED

Managing director

25/04/2007

25/04/2007

-

Active

NO

7

U24233MH2010PTC198273

DORF KETAL SPECIALITY CATALYST PRIVATE LIMITED

Director

01/01/2010

01/01/2010

-

Active

NO

 

Name :

Mr. Naresh Prakashchand Aggarwal

Designation :

Additional Director

Address :

Plot No.20, Rajkamal Apartment, Chruch Road, Marol, Andheri (East), Mumbai – 400 059, Maharashtra, India

Date of Birth/Age :

28.03.1951

Date of Appointment :

12.08.2010

DIN No.:

00940482

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U74999MH1985PTC036959

STERLING AUXILIARIES PRIVATE LIMITED

Whole-time director

22/01/2007

22/01/2007

01/01/2010

Active

NO

2

U24296MH2007PTC175631

KAWAKEN STERLING SURFACTANTS PRIVATE LIMITED

Director

02/11/2007

02/11/2007

01/01/2010

Active

NO

3

U24233MH2010PTC198273

DORF KETAL SPECIALITY CATALYST PRIVATE LIMITED

Additional director

12/08/2010

12/08/2010

-

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Ashok Rao

Designation :

Finance Manager

Contact No:

91-22-28833900

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 27.09.2011

 

Names of Shareholders

 

No. of Shares

Sudhir Menon

 

2500

Subodh Menon

 

2500

Dorf Ketal Chemicals India Private Limited, India 

 

2595000

Total

 

2600000

 

As on 27.09.2011

 

Equity Share Break up (Percentage of Total Equity)

 

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Speciality Chemicals.

 

 

 

 

GENERAL INFORMATION

 

No. of Employees :

75 (Approximately)

 

 

Bankers :

·         State Bank of India, Kandivali Industrial Estate, Kandivali (East)

·         Axis Bank Limited, Laxmi The Mall, Bldg No 5, Laxmi Industrial Estate, New Link Road, Andheri (W), Mumbai - 400053, Maharashtra, India

·         State Bank of India, Offshore Banking Unit, New Banking Building, Seepz, Andheri (East), Mumbai – 400 096, Maharashtra, India

 

 

Facilities :

Secured Loan

As on

31.03.2011

(Rs. in

Millions)

As on

31.03.2010

(Rs. in

Millions)

SBI – ECB From SBI SEEPZ

124.135

0.000

Axis Bank - ECB

406.260

0.000

Total

530.395

0.000

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

S.S. Gajja and Company

Chartered Accountants

Address :

Andheri (East), Mumbai – 400 069, Maharashtra, India

Tel. No.:

91-22-26833093 / 26832983

Fax No.:

91-22-26834094

E-mail Id :

ssgajjaco@gmail.com 

PAN No:

AAAFS4063K

 


 

CAPITAL STRUCTURE

 

After: 27.09.2011

 

Authorised Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

40000000

Equity Shares

Rs.10/- each

Rs.400.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

37000000

Equity Shares

Rs.10/- each

Rs.370.000 Millions

 

 

 

 

 

As on 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3000000

Equity Shares

Rs.10/- each

Rs. 30.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

2600000

Equity Shares

Rs.10/- each

Rs. 26.000 Millions

 

 

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

26.000

26.000

2] Share Application Money

 

297.612

0.108

3] Reserves & Surplus

 

0.000

0.000

4] (Accumulated Losses)

 

0.000

0.000

NETWORTH

 

323.612

26.108

LOAN FUNDS

 

 

 

1] Secured Loans

 

530.395

0.000

2] Unsecured Loans

 

0.000

0.000

TOTAL BORROWING

 

530.395

0.000

DEFERRED TAX LIABILITIES

 

0.000

0.000

 

 

 

 

TOTAL

 

854.007

26.108

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

4.820

0.000

Capital work-in-progress

 

702.477

0.000

 

 

 

 

INVESTMENT

 

24.249

0.000

DEFERREX TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 
62.081

0.000

 

Sundry Debtors

 
0.000

0.809

 

Cash & Bank Balances

 
13.410

0.000

 

Other Current Assets

 
0.000

0.000

 

Loans & Advances

 
76.792

25.041

Total Current Assets

 
152.283

25.850

Less : CURRENT LIABILITIES & PROVISIONS

 
 

 

 

Sundry Creditors

 
0.000

0.000

 

Other Current Liabilities

 
30.496

0.067

 

Provisions

 
0.000

0.028

Total Current Liabilities

 
30.496

0.095

Net Current Assets

 
121.787

25.755

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.674

0.353

 

 

 

 

TOTAL

 

854.007

26.108

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

 

0.000

0.000

 

 

Other Income

 

0.096

0.000

 

 

TOTAL                                    

 

0.096

0.000

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Purchase

 

0.000

0.000

 

 

Direct Expenses

 

0.000

0.000

 

 

Other Expenses

 

0.306

0.000

 

 

TOTAL                                    

 

0.306

0.000

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION 

 

(0.210)

0.000

 

 

 

 

 

Less

FINANCIAL EXPENSES            

 

0.000

0.000

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION                                  

 

(0.210)

0.000

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION        

 

0.110

0.000

 

 

 

 

 

 

PROFIT BEFORE TAX              

 

(0.320)

0.000

 

 

 

 

 

Less

TAX                                                                 

 

0.000

0.000

 

 

 

 

 

 

PROFIT AFTER TAX                

 

(0.320)

0.000

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

 

(0.320)

0.000

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

(0.12)

NA

 

Particulars

 

 

 

31.03.2012

Sales Turnover (Approximately)

 

 

1100.000

 

 

 

 

 

Expected Sales (2012-2013): Rs.2000.000 millions

 

The above information has been parted by Mr. Ashok Rao.

 

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2011

31.03.2010

PAT / Total Income

(%)

 

(333.33)

NA

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

 

(0.20)

NA

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

 
0.00

NA

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

 

1.73

0.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

 

4.99

272.11

 

 

 

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

Yes

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for last two years

Yes

12]

Profitability for last two years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

Yes

15]

Capital in the business

Yes

16]

Details of sister concerns

No

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

 

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U24233MH2010PTC198273

Name of the company

DORF KETAL SPECIALITY CATALYST PRIVATE LIMITED

Address of the registered office or of the principal place of  business in India of the company

1, Dorf Ketal Tower, D’ Monte Street, Orlem, Malad (West), Mumbai – 400 064, Maharashtra, India

E-Mail: vaspuja21@yahoo.in

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

10265349

Type of charge

·         Immovable property

·         Book debts

·         Movable property (not being pledge)

·         Stock, P and M etc.

Particular of charge holder

Axis Bank Limited, Laxmi The Mall, Bldg No 5, Laxmi Industrial Estate, New Link Road, Andheri (W), Mumbai - 400053, Maharashtra, India

suyashri@vsnl.com

Nature of instrument creating charge

Supplemental Simple Mortgage {SSM} dated 30.12.2011.

Date of instrument Creating the charge

30.12.2011

Amount secured by the charge

Rs.1320.000 millions

Brief particulars of the principal terms an conditions and extent and operation of the charge

Rate of Interest

As per Sanction Letter No. AXISB/CO/MC/NA/0227/11-12 dated 26.07.2011 or as stipulated by Bank from time to time.

 

Terms of Repayment

 As per Sanction Letter No. AXISB/CO/MC/NA/0227/11-12 dated 26.07.2011 or as stipulated by Bank from time to time.

 

Margin

As per Sanction Letter No. AXISB/CO/MC/NA/0227/11-12 dated 26.07.2011 or as stipulated by Bank from time to time.

 

Extent and Operation of the charge

Security of Imm. prop. viz. Land situated at SEZ in Mundra, Dist. Kutch, Gujarat adm. 74,374 sq. mtrs. togetherwith Bldgs., structures, other assets thereon, des. in Sch. to SSM incl. all rights, liberties, privileges, easement, etc. in respect thereof, given earlier as security by way of paripassu charge with SBI, shall extend as security for addl. facilities of Rs.500.000 millions granted by Bank by pari passu 2nd charge. Thus total amt. secured on above property increased from Rs.820.000 millions. to Rs.1320.000 millions.

 

Others

The aforesaid Imm. Property given as security by way of 1st Pari passu charge to secure credit facilities of Rs.820.000 millions. and 2nd pari passu charge to secure credit facilities of Rs.500.000 millions.

Short particulars of the property charged

Pari passu 1st charge on present and future P and M, fittings, fixtures etc., lying on the premises of the Co. or elsewhere or in the course of transit. Pari passu 1st charge on present and future stock of RM, SIP, FG wheresoever situated and/or in the course of transit. Pari passu 1st charge on present and future Book Debts, outstanding money receivables, claims, bills, etc. due and owing to Co. during the course of its business. All rights, title and int. of Co. in Land situated at SEZ in Mundra, Dist. Kutch, Gujarat adm. 74,374 sq. mtrs. Or thereabout by way of Simple Mortgage on pari passu with SBI.

 

Date of latest modification prior to the present modification

30.11.2011

Particulars of the present modification 

Security of Imm. prop. viz. Land situated at SEZ in Mundra, Dist. Kutch, Gujarat adm. 74,374 sq. mtrs. together with Bldgs., structures, other assets thereon, des. in Sch. to SSM incl. all rights, liberties, privileges, easement, etc. in respect thereof, given earlier as security by way of paripassu charge with SBI, shall extend as security for addl. facilities of Rs.500.000 millions granted by Bank by pari passu 2nd charge. Thus total amt. secured on above property increased from Rs.820.000 millions. to Rs.1320.000 millions

 

 

PRESS RELEASE:

 

DORF KETAL ACQUIRES VERTEC CATALYSTS BUSINESS FROM JOHNSON MATTHEY WITH ERNST & YOUNG AS FINANCIAL ADVISOR

AUGUST 20, 2010

 

Dorf Ketal Chemicals India Private Limited, a leading specialty chemical company announced that it has acquired Johnson Matthey's VERTEC TM Specialty Catalysts Business through its subsidiary Dorf Ketal Chemicals AG.Ernst & Young was the exclusive Financial Advisor on this deal.

 

Dorf Ketal Chemicals India Private Limited, a leading specialty chemical company announced that it has acquired Johnson Matthey's VERTEC TM Specialty Catalysts Business through its subsidiary Dorf Ketal Chemicals AG. The transaction is conditional upon regulatory clearance and is expected to be completed by 30th September 2010.. As a part of the agreement, Dorf Ketal acquires the business, trademarks, Intellectual Property and product know-how. Terms of the agreement are confidential and not being disclosed.

 

In December 2009, Dorf Ketal acquired DuPont's TYZOR® Specialty Catalyst business, and is the global leader in titanate and zirconate catalysts. The combined company will have the industry's most comprehensive product portfolio serving a broad spectrum of applications in industries as diverse as Oil & Gas production, Paints & Coatings, Printing Inks, Industrial Sealants, Corrosion Protection & Emission Reduction.

 

Ernst & Young India, which has successfully advised Dorf Ketal on its earlier acquisitions during last few years, acted as the exclusive Financial Advisor on this deal.


To facilitate an orderly customer transition, Johnson Matthey will provide transition services including customer service, and sales and technical support on behalf of Dorf Ketal until the end of September. Johnson Matthey will also continue to manufacture the VERTEC range of products on behalf of Dorf Ketal through March of 2011 under a supply agreement.

 

Commenting on the acquisition, Mr. Sudhir Menon, Chairman and Managing Director, Dorf Ketal said, "We look forward to welcoming Vertec customers to Dorf Ketal. Through this acquisition we continue to execute on our plans to assure that our customers will have the technology, quality, and assurance of supply they require to manage their business on a sustainable basis. Johnson Matthey and Dorf Ketal share many of the same customers, and which should result in a smooth transition period.


Subodh Menon, Founder Director of Dorf Ketal commented, "This acquisition is another in a series that continues our commitment to rapid growth, and builds upon our expertise in organic based specialty chemical applications. Dorf Ketal is making significant investments to support the catalyst business. Beginning next year, our customers will be served by a new, world class manufacturing facility currently under construction in Mundra, India. The plant at Mundra would be the largest capacity plant in the world for manufacturing specialty catalysts."

 

About Dorf Ketal: Dorf Ketal, headquartered in Mumbai, is a global player in process chemicals, and additives for refineries, petrochemicals, fuels, plastics, lubricants and oilfield industries. In less than 15 years, Dorf Ketal has emerged as the largest Indian additives manufacturer of process chemicals and additives in the niche product segment of hydrocarbons used in refineries, petrochemical plants, plastics additives and lube additives. Dorf Ketal is one of the most rapidly growing global specialty chemical companies in recent times. In recent years, Dorf Ketal has successfully acquired and integrated five businesses including UOP's Refining Chemicals and Plastics Additives business in 2001 and 2003 respectively, ExxonMobil's component lubricant additive business in 2007, Intec Polymers and Dupont Organometallic Titanates in 2009 into their product offerings.

 

DORF KETAL ACQUIRES DUPONT CHEMICALS AND FLUOROPRODUCTS SPECIALITY CATALYSTS BUSINESSS

JANUARY 05, 2010

 

Dorf Ketal Chemicals (India) Private Limited (Dorf Ketal), a leading specialty chemicals company headquartered in Mumbai, has acquired the Specialty Catalysts business (comprising organometallic titanates, zirconates and specialty additives) of DuPont Chemicals and Fluoroproducts (the industry pioneer and world leader in the business of Organometallic Titanates) through a new LLC company in the USA with immediate effect. This acquisition includesTyzor® titanates and zirconates and Avitex® hydrocarbon surfactants and antistatic agents used in a broad range of specialty markets and applications. Terms of the agreement are confidential and not being disclosed. Complemented with its earlier acquisition of organometallic titanates, blocked poly isocyanates and polyvinyl formals from an Indian business group earlier in May 2009, Dorf Ketal has become the global leader in these product areas.  Ernst and Young India, which has successfully advised Dorf Ketal on its earlier acquisitions during last few years, acted as the exclusive Financial Advisor on this deal.

 

The acquisition will provide Dorf Ketal with several product innovations and technological developments pioneered by DuPont in the business since 1960’s. The Tyzor® range of organic titanates and zirconates are used as catalysts for chemical manufacture; as curing and cross-linking agents for coatings, paints and adhesives; and as surface modifiers to improve the properties of electronics, glass, plastics, metals and nanocomposite materials. Important end-use segments include printing inks, corrosion inhibitors, paints and coatings, silicone sealants and plasticizers. The Business has used proprietary processes and technology to develop innovative catalyst solution for several challenging areas such as Sealants (elimination of tin from sealants for automotive and construction applications), Emissions control (to meet stricter air pollution regulations), Polyester catalysis (Consumer preferences and environmental stewardship are favoring antimony-free polyester bottles and food packaging grade film). The Business which generated revenue of around USD 50 mn in 2008, is expected to grow at a fast pace aided by the new product developments in the pipeline.

 

As a part of the deal, Dorf Ketal acquires DuPont assets associated with the Specialty Catalysts Business including trademarks, sales, marketing and customer service. Dorf Ketal will continue the emphasis of strong Research and Development which has been a key focal area for the business.


To assist with an orderly customer transition, a business transition team has been formed. DuPont will continue to manufacture and supply Specialty Catalyst products to Dorf Ketal for approximately one year under service and supply agreements. During this time, Dorf Ketal will source and supply products made by DuPont while building a new plant.  DuPont is also assisting Dorf Ketal with the technology transfer and start-up of new facilities.

 

The transition will be implemented in stages while ensuring business continuity for all customers. This transaction underscores Dorf Ketal’s commitment to growth and deliver world-class Products, Services and enhanced value to customers on a consistent basis. The integration will be seamless, providing customers the ability to leverage Dorf Ketal's world-class Products, Service and Technology.


Dorf Ketal is a leading global player in process chemicals and additives for refineries, petrochemicals, fuels, plastics, lubricants and oilfield industries with consolidated revenues of around USD 220 million. This acquisition clubbed with the high organic growth rate, Dorf Ketal expects to achieve revenues of over USD 300 million next year. Dorf Ketal is already the largest refinery chemicals player in India and is now also the largest player in the organo-metallic titanates space globally. Dorf Ketal has subsidiaries in USA, Brazil, the Netherlands and representative offices in China and Bahrain. The strong focus on research and manufacturing excellence has helped the company to successfully acquire and integrate three acquired product lines including UOP’s plastics additives business in 2003 and ExxonMobil’s component additive business in 2007 into its product offerings.

 

Commenting on the acquisition of the business, Mr. Sudhir Menon, Chairman and Managing Director, Dorf Ketal said, “The acquisition of DuPont’s specialty catalysts business is a well thought plan to consolidate our position in newer product segments such as specialty catalysts. Besides, DuPont’s RandD focus and value added product portfolio including secondary titanates and zirconates will further complement and strengthen the capabilities of Dorf Ketal and help us in consolidating our position as a leading global specialty chemical player. I am happy that we have been able to complete this acquisition in a short time frame of 6 months despite difficult market conditions. In the pipeline are more such strategic acquisitions in the $100 - $200 Million range, we expect to close these in the current year and I am confident that our strong cash flows and under leveraged balance sheet will help us in closing such acquisitions with speed”.

 

Commenting on the acquisition, Mr. Subodh Menon, Founder/Director- Business and Operations , Dorf Ketal said, “The acquisition of DuPont specialty catalysts business will consolidate our position as a global leader in the business of specialty Catalysts. We are embarking on an ambitious project and a world class manufacturing facility to cater to these newer product lines is being planned at a new plant site in India. Dorf Ketal is focused on growth and the group aims to achieve a turnover exceeding $800 Million in the next few years. Dorf Ketal will make significant investments into new economy start ups involved in renewable energy, green chemistries, nano technologies with long product life cycles. There is significant accumulated knowledge in-house to spearhead this effort” commented Mr. Menon

 

About E.I. du Pont de Nemours and Company:


DuPont is a science-based products and services company.  Founded in 1802, DuPont puts science to work by creating sustainable solutions essential to a better, safer, healthier life for people everywhere.  Operating in more than 70 countries, DuPont offers a wide range of innovative products and services for markets including agriculture and food; building and construction; communications; and transportation.

 

 


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

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

 

1]         INFORMATION ON DESIGNATED PARTY

No 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.54.63

UK Pound

1

Rs.88.40

Euro

1

Rs.71.86

 

 

INFORMATION DETAILS

 

Report Prepared by :

BSN

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

 

50

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

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

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

-

NB

                                       New Business

-

 

 

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

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