|
Report Date : |
07.07.2012 |
IDENTIFICATION DETAILS
|
Name : |
CROSSWORD BOOKSTORES LIMITED |
|
|
|
|
Formerly Known
As : |
PROFOUND READER'S CHOICE TRADING (INDIA) LIMITED |
|
|
|
|
Registered
Office : |
Plot No.C-30, Block ‘G’, Opposite SIDBI, Bandra Kurla Complex, Bandra
(East), Mumbai – 400 051, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
03.11.1999 |
|
|
|
|
Com. Reg. No.: |
11-122528 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.195.625 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U52396MH1999PLC122528 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMC10072G |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCP7596G |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Subject is engaged in business of retailing books and other items such
as music, toys, stationery and computer peripherals through departmental and
concessionaire stores, operated either by itself or by franchises. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (32) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 1337688 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having moderate track. Even though,
the company has recorded a huge increase in its sales turnover, there appears
some dip in the profitability during the year 2011. However, trade relations are reported as fair. Business is active.
Payments are reported to be slow but correct. The company can be considered for business dealings with some
cautions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com while quoting report number, name
and date.
INFORMATION DECLINED BY
Management Non Co Operative (Name Not Disclose)
LOCATIONS
|
Registered Office : |
Plot No.C-30, Block ‘G’, Opposite SIDBI, Bandra Kurla Complex, Bandra
(East), Mumbai – 400 051, |
|
Tel. No.: |
91-22-26564000 |
|
Fax No.: |
91-22-26564909 |
|
E-Mail : |
prashant.mehta@shoppersstop.com |
|
Website : |
|
|
|
|
|
Support Office : |
Paradigm, A Wing, 1st Floor, Mindspace, |
|
Tel. No.: |
91-22-42498000 |
|
E-Mail : |
|
|
|
|
|
Stores : |
Located at: ·
Amritsar ·
Jaipur ·
Kolkata ·
Mumbai ·
Nagpur ·
Pune ·
Vadodara |
|
|
|
|
Branch Office: |
24th Road Construction House Khar, Mumbai 400052, |
DIRECTORS
AS ON 28.04.2011
|
Name : |
Mr. |
|
Designation : |
Director |
|
Address : |
Raheja House, 53 A, Pali Hill, Bandra (West), Mumbai – 400 050, |
|
Date of Birth/Age : |
23.09.1971 |
|
Date of Appointment : |
03.11.1999 |
|
|
|
|
Name : |
Mr. Neel Chandru Raheja |
|
Designation : |
Director |
|
Address : |
Raheja House, 53 A, Pali Hill, Bandra (West), Mumbai – 400 050, |
|
Date of Birth/Age : |
27.06.1974 |
|
Date of Appointment : |
03.11.1999 |
|
|
|
|
Name : |
Mr. Nagesh Satyanarayan Basavanhalli |
|
Designation : |
Chairman |
|
Address : |
|
|
Date of Birth/Age : |
12.04.1959 |
|
Date of Appointment : |
30.04.2001 |
|
|
|
|
Name : |
Mr. Chandrashekhar B. Navalkar |
|
Designation : |
Director |
|
Address : |
Flat No.11, Navnidh Apartment, |
|
Date of Birth/Age : |
21.03.1966 |
|
Date of Appointment : |
23.04.2003 |
|
|
|
|
Name : |
Mr. Yasin Ebrahim Virani |
|
Designation : |
Director |
|
Address : |
504, Gulistan E-Hind, North South Road, No.10, Juhu Scheme, Mumbai –
400 049, Maharashtra, India |
|
Date of Birth/Age : |
20.10.1956 |
|
Date of Appointment : |
28.03.2006 |
KEY EXECUTIVES
|
Name : |
Mrs. Anita Shankar Shetty |
|
Designation : |
Secretary / Manager |
|
Address : |
501, I 63 Navgrah Poonam Sagar Complex, |
|
Date of Birth/Age : |
03.06.1985 |
|
Date of Appointment : |
01.09.2010 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 28.04.2011
|
Names of Shareholders (Equity Shares) |
No. of Shares |
|
Shopper’s Stop Limited, |
15 |
|
Shopper’s Stop Limited, Chandru L. Raheja and Neel C. Raheja |
15 |
|
Shopper’s Stop Limited, |
9562447 |
|
Shopper’s Stop Limited, |
4 |
|
Shopper’s Stop Limited, Chandru L. Raheja |
4 |
|
Shopper’s Stop Limited, Yasin E. Virani and C.B. Navalkar |
10 |
|
Shopper’s Stop Limited, Govind Shrikhande and C.B. Navalkar |
5 |
|
Total
|
9562500 |
|
Names of Shareholders (Preference Shares) |
No. of Shares |
|
Shopper’s Stop Limited, |
10000000 |
|
Total
|
10000000 |
AS ON 28.04.2011
|
Equity Share Breakup |
Percentage of Holding |
|
Category |
|
|
Bodies
corporate |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in business of retailing books and other items such
as music, toys, stationery and computer peripherals through departmental and
concessionaire stores, operated either by itself or by franchises. |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|
|
|
|
Bankers : |
·
Kotak Mahindra Bank Limited, 36-38A, Nariman
Bhavan, Nariman Point, Mumbai – 400 021, ·
IDBI Bank Limited, |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
G. M. Kapadia and Company Chartered Accountants |
|
Address : |
Tamarind House, 36B, Tamarind Lane, Fort, Mumbai – 400001, |
|
|
|
|
Holding Company : |
Shopper’s Stop
Limited CIN No.: L51900MH1997PLC108798 Address: |
|
|
|
|
Fellow Subsidiary Company : |
Hypercity Retail ( |
CAPITAL STRUCTURE
AS ON 28.04.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 millions |
|
10000000 |
Preference Shares |
Rs.10/- each |
Rs.100.000 millions |
|
|
Total
|
|
Rs.200.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
9562500 |
Equity Shares |
Rs.10/- each |
Rs.95.625
millions |
|
10000000 |
Preference Shares |
Rs.10/- each |
Rs.100.000 millions |
|
|
Total
|
|
Rs.195.625
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 |
195.625 |
195.625 |
195.625 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
138.797 |
131.897 |
131.382 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
(37.735) |
|
|
NETWORTH |
334.422 |
327.522 |
290.272 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
13.200 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
347.622 |
327.522 |
289.272 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
266.802 |
71.793 |
79.109 |
|
|
Capital work-in-progress |
14.820 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
219.832
|
0.000
|
0.000 |
|
|
Sundry Debtors |
23.131
|
3.231
|
2.412 |
|
|
Cash & Bank Balances |
18.351
|
6.926
|
18.134 |
|
|
Other Current Assets |
0.000
|
0.000
|
0.000 |
|
|
Loans & Advances |
96.868
|
264.305
|
208.921 |
|
Total
Current Assets |
358.182
|
274.462
|
229.467 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
106.708 |
6.119 |
6.577 |
|
|
Other Current Liabilities |
167.252
|
12.491
|
12.675 |
|
|
Provisions |
18.222
|
0.123
|
0.052 |
|
Total
Current Liabilities |
292.182
|
18.733
|
19.304 |
|
|
Net Current Assets |
66.000
|
255.729
|
210.163 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
347.622 |
327.522 |
289.272 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Sales and Operating Revenues |
445.184 |
28.865 |
38.731 |
|
|
|
Other Income |
24.226 |
30.369 |
22.254 |
|
|
|
TOTAL (A) |
469.410 |
59.234 |
60.985 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials |
252.975 |
0.000 |
0.000 |
|
|
|
Employees Costs |
40.808 |
1.178 |
1.266 |
|
|
|
Operating and Administrative Expenses |
134.049 |
6.284 |
8.519 |
|
|
|
TOTAL (B) |
427.832 |
7.462 |
9.785 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
41.578 |
51.772 |
51.200 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
1.202 |
0.574 |
0.567 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
40.376 |
51.198 |
50.633 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
16.670 |
7.316 |
7.316 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
23.706 |
43.882 |
43.317 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
2.195 |
5.632 |
4.081 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
21.511 |
38.250 |
39.236 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
0.515 |
(37.735) |
(76.971) |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
14.611 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
7.415 |
0.515 |
(37.735) |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
0.72 |
4.00 |
4.10 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
4.83
|
64.57
|
64.34 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.32
|
169.00
|
111.84 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.79
|
12.67
|
14.04 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.13
|
0.15 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.91
|
0.06
|
0.07 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.22
|
14.65
|
11.89 |
LOCAL AGENCY FURTHER INFORMATION
Details of Sundry Creditors:
|
Particulars |
31.03.2011 (Rs. in millions) |
31.03.2010 (Rs. in millions) |
31.03.2009 (Rs. in millions) |
|
Creditors |
|
|
|
|
- Outstanding dues
of Creditors other than Micro Enterprises and Small Enterprises |
106.708 |
6.119 |
6.577 |
Note:
The registered office of the company has been shifted from Construction
House, 'A',
OPERATION
The Company had appointed Shoppers Stop
Ltd.; (SSL) w.e.f. July 1, 2006, as its master franchisee, pursuant to the
Master Franchise Agreement, to carry on Crossword business at its existing and new
store premises which may be identified by SSL; from time to time. Now, the
Company and SSL, has mutually agreed to terminate the said franchise agreement
with effect from end of business hours of September 30, 2010. Accordingly, SSL
has handed over and disposed off the Crossword business back to Crossword
Bookstores Limited, together with its fixed assets, current assets, rights,
liabilities/obligations of all nature and kind along with its employees.
AWARDS AND
RECOGNITION:
During the year under review, the Company has been conferred with the
Retailer of the Year Award - Leisure (Books, Music and Gifts Category) at the
Images Retail Awards 2010.
FORM 8
|
Corporate
identity number of the company |
U52396MH1999PLC122528 |
|
Name of the
company |
CROSSWORD BOOKSTORES LIMITED |
|
Address of the
registered office or of the principal place of business in |
Plot No.C-30, Block ‘G’, Opposite SIDBI, Bandra Kurla Complex, Bandra
(East), Mumbai – 400 051, |
|
This form is for |
Creation of
charge |
|
Type of charge |
Book debts Movable property
(not being pledge) Floating charge |
|
Particular of
charge holder |
IDBI Bank Limited, Email: rk.jeswani@idbi.co.in
|
|
Nature of
instrument creating charge |
Deed of
Hypothecation dated June 3, 2011 |
|
Date of
instrument Creating the charge |
03.06.2011 |
|
Amount secured by
the charge |
Rs. 95.000 millions
|
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest Cash Credit -
Base Rate+2% p.a. Working Capital
Demand Loan - To be Mutually decided at the time of drawdown Terms of repayment Cash Credit: One
year / 12 months line. Working Capital
Demand Loan - 90days / 12 months line Letter of Credit/
Buyers Credit - Tenure of individual Letter of Credit not to exceed 180days /
12 months line and Tenure of individual Buyer's Credit not to exceed 180 days
/ 12 months line. Bank Guarantee -
Tenure of each guarantee not to exceed 36 months excluding claim period / 12
months line and max 10 years for statutory purpose. Margin Cash Credit, Working
Capital Demand Loan - 10% on stocks and book debts (not exceeding 90 days) Letter of credit/
Buyer's Credit - 10% Bank Guarantee -
10% for Bank guarantee upto 3 years. For bank guarantee issued for more than
3 years margin will be 100% to be collected after completion of 3 years. Treasury Limit -
as per treasury. Extent and operation of the charge Extent and
Operation of the charge is First charge on the current assets and book debts
of the company both present and future. |
|
Short particulars
of the property charged (Including location of the property) |
Primary: First
charge on the current assets and book debts of the company both present and
future Collateral:
Escrow account to be opened with IDBI for credit card/ Cash collection. |
FIXED ASSETS:
·
Leasehold Improvements
·
Furniture, Fixtures and Other Equipment
·
Computers
·
Vehicles
·
Goodwill
·
Trademarks and Copyrights
·
Software
|
Check List by
Info Agents |
Available in
Report (Yes / No) |
|
1) Year of Establishment |
Yes |
|
2) Locality of the firm |
Yes |
|
3) Constitutions of the firm |
Yes |
|
4) Premises details |
-- |
|
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 |
Yes |
|
30) Major Shareholders, if available |
Yes |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] 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.55.41 |
|
|
1 |
Rs.86.04 |
|
Euro |
1 |
Rs.68.61 |
INFORMATION DETAILS
|
Information
Gathered by : |
SBA |
|
|
|
|
Report Prepared
by : |
PRL |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
32 |
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 |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.