MIRA
INFORM REPORT
|
Report Date : |
31.07.2012 |
IDENTIFICATION DETAILS
|
Name : |
SHANTHI GEARS LIMITED |
|
|
|
|
Registered
Office : |
304-A,
Trichy Road, Singanallur, Coimbatore – 641005, Tamilnadu |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
01.07.1972 |
|
|
|
|
Com. Reg. No.: |
18-000649 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.81.716 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29130TZ1972PLC000649 |
|
|
|
|
IEC No.: |
0488030421 |
|
|
|
|
TAN No.: [Tax Deduction & Collection
Account No.] |
CMBS03147E |
|
|
|
|
PAN No.: [Permanent Account No.] |
AADCS06922 |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
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|
|
|
Line of Business
: |
Manufacturers and Marketers of Gears, Gear Boxes and Geared Motors. |
|
|
|
|
No. of Employees
: |
659 (Approximately) |
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 9900000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
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|
|
|
Litigation : |
Clear |
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|
|
|
Comments : |
Subject
is a well established and a reputed company having fine track. Financial position
of the company appears to be sound. Trade relations are reported as fair.
Business is active. Payments are reported to be regular and as per
commitments. The
company can be considered normal for business dealings at usual trade terms
and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 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 |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
AA- |
|
Rating Explanation |
It carry low credit risk |
|
Date |
April 2011 |
|
Rating Agency Name |
ICRA |
|
Rating |
A1+ |
|
Rating Explanation |
It carry lowest credit risk in the short term |
|
Date |
April 2011 |
RBI DEFAILTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAILTERS’ 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.
LOCATIONS
|
Registered Office / Factory 1 / Head Office: |
A Unit 304-A,
Trichy Road, Singanallur, Coimbatore – 641005, Tamilnadu, India. |
|
Tel. No.: |
91-422-2273722
to 34 |
|
Fax No.: |
91-422-2273884
and 85 |
|
E-Mail : |
|
|
Website : |
|
|
Area : |
31653
sq. ft. |
|
Location : |
Owned |
|
|
|
|
Factory 2 : |
B Unit 304-F, Trichy Road, Singallur, Coimbatore – 641005, Tamilnadu, India. |
|
Tel. No.: |
91-422-2273722
to 34 |
|
Fax No.: |
91-422-2273886 |
|
Area : |
57524 sq. ft. |
|
|
|
|
Factory 3 : |
C Unit Engineering Division Avanashi Road,
Muthugoundenputhur, Coimbatore – 641406, Tamilnadu, India. |
|
Tel. No.: |
91-422-2360687,
2360571, 2360253, 2360254, 2360987 |
|
Fax No.: |
91-422-2360987 |
|
Area : |
1069398
sq. ft. |
|
|
|
|
Factory 4 : |
D Unit S. F. No. 23, K. Krishnapuram, Kamanaickenpalayam,
Palladam , Coimbatore – 641658, Tamilnadu, India. |
|
Tel. No.: |
91-4255-266302,
266772, 266771, 266310 |
|
Area : |
3080782
sq. ft. |
|
|
|
|
Factory 5 : |
E Unit 1812, 2249 A-1, Trichy Road, Singallur, Coimbatore –
641005, Tamilnadu, India. |
|
Tel. No.: |
91-422-2573088
and 89 |
|
Fax No.: |
91-422-2575213 |
|
Area : |
393195
sq. ft. |
|
|
|
|
Factory 6 : |
FOUNDRY DIVISION Kannampalayam, Sulur Via, Coimbatore-641402, Tamilnadu, India. |
|
|
|
|
Regional Offices
& Branches : |
Located At · New Delhi · Mumbai · Baroda · Bangalore · Madurai · Dindigul · Secunderabad · Chennai · Kolkatta |
DIRECTORS
As on 31.03.2012
|
Name : |
Mr.
P. Subramanian |
|
Designation : |
Chairman and Managing Director |
|
Address : |
4/3
GVM Street, Appusamy Layout, Red Fields Coimbatore – 641 045, Tamilnadu,
India. |
|
Date of
Birth/Age : |
69 Years |
|
Qualification : |
L. M. E., P. D. Prod. E |
|
Experience : |
47 Years |
|
Date of Appointments: |
01.07.1972 |
|
|
|
|
Name : |
Dr.
D. Padmanaban |
|
Designation : |
Director
|
|
Address : |
Kalaikathir
Building, Avanashi Road, Pappanaickenpalayam, Coimbatore – 641 037,
Tamilnadu, India. |
|
Qualification : |
B. Com,
M. B. A. Ph. D MCMI (U. K), MIMA ( |
|
|
|
|
Name : |
Mr.
M. J. Vijayaraaghavan |
|
Designation : |
Director
|
|
Address : |
34-A,
K. G. Layout, Church Road Extn, K K Pudur, Coimbatore – 641 038, Tamilnadu,
India. |
|
Qualification : |
FCA, Chartered
Accountant |
|
Date of Appointment : |
31.10.2001 |
|
|
|
|
Name : |
Mr. C G Kumar |
|
Designation : |
Director |
|
Date of
Birth/Age : |
40 Years |
|
|
|
|
Name : |
Mr. M Alagiriswamy |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. V C S Velumani |
|
Designation : |
Chief Executive Officer |
|
|
|
|
Name : |
Mr. S Srinivas |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. C Subramaniam |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2012
|
Category of Shareholders |
No. of Shares |
% of Holdings |
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
28,250,291 |
34.57 |
|
|
700,000 |
0.86 |
|
|
7,100,000 |
8.69 |
|
|
700,000 |
0.86 |
|
Sub Total |
36,050,291 |
44.12 |
|
|
|
|
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
36,050,291 |
44.12 |
|
|
|
|
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
7,389,162 |
9.04 |
|
|
5,500 |
0.01 |
|
|
6,401,242 |
7.83 |
|
|
1,546,819 |
1.89 |
|
|
3,000 |
-- |
|
|
3,000 |
-- |
|
|
|
|
|
|
|
|
|
|
3,890,064 |
4.76 |
|
|
|
|
|
|
22,397,005 |
27.41 |
|
|
1,739,613 |
2.13 |
|
|
2,293,157 |
2.81 |
|
|
3,000 |
-- |
|
|
117,328 |
0.14 |
|
|
1,222,141 |
1.50 |
|
|
216,545 |
0.26 |
|
|
731,090 |
0.89 |
|
|
3,053 |
-- |
|
|
30,319,839 |
37.10 |
|
Total Public
shareholding (B) |
45,665,562 |
55.88 |
|
Total (A)+(B) |
81,715,853 |
100.00 |
|
(C) Shares held
by Custodians and against which Depository Receipts have been issued |
|
|
|
|
-- |
-- |
|
|
-- |
-- |
|
|
-- |
-- |
|
Total
(A)+(B)+(C) |
81,715,853 |
100.00 |
(1) Indian
Individual shareholders holding nominal
share capital up to Rs.0.100 million BUSINESS DETAILS
|
Line of Business : |
Manufacturers and Marketers of Gears, Gear Boxes and Geared Motors. |
|
|
|
|
Products : |
·
Worm Gear Box ·
Helical and Bevel Helical Gear Box ·
Geared Motor ·
Custom-Built Gear Box ·
Mill Gear Box ·
Open Gearing ·
CNC Machine Tools |
GENERAL INFORMATION
|
No. of Employees : |
659 (Approximately) |
|||||||||
|
|
|
|||||||||
|
Bankers : |
· State Bank of India · ICICI Bank Limited ·
IDBI Bank Limited |
|||||||||
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|
|||||||||
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Facilities : |
(Rs.
In Millions)
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.
Lakshminarayanan Associates Chartered Accountants |
CAPITAL STRUCTURE
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
100000000 |
Equity Shares |
Rs.1/- each |
Rs.100.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
81715853 |
Equity Shares |
Rs.1/- each |
Rs.81.716
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
81.716 |
81.716 |
81.716 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2396.717 |
2210.415 |
2026.772 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
2478.433 |
2292.131 |
2108.488 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
38.611 |
157.053 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
99.239 |
|
|
TOTAL BORROWING |
0.000 |
38.611 |
256.292 |
|
|
DEFERRED TAX LIABILITIES |
107.306 |
142.572 |
174.935 |
|
|
|
|
|
|
|
|
TOTAL |
2585.739 |
2473.314 |
2539.715 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1382.060 |
1579.160 |
1749.234 |
|
|
Capital work-in-progress |
55.938 |
75.373 |
51.705 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
570.009
|
435.430 |
460.856 |
|
|
Sundry Debtors |
256.244
|
258.687 |
148.663 |
|
|
Cash & Bank Balances |
559.311
|
475.568 |
290.063 |
|
|
Other Current Assets |
7.869
|
2.598 |
5.035 |
|
|
Loans & Advances |
60.498
|
60.474 |
65.651 |
|
Total
Current Assets |
1453.931
|
1232.757 |
970.268 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
15.623
|
39.721 |
77.114 |
|
|
Other Current Liabilities |
183.836
|
253.425 |
75.805 |
|
|
Provisions |
106.731
|
120.830 |
78.573 |
|
Total
Current Liabilities |
306.190
|
413.976 |
231.492 |
|
|
Net Current Assets |
1147.741
|
818.781 |
738.776 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2585.739 |
2473.314 |
2539.715 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1730.053 |
1623.480 |
1213.871 |
|
|
|
Other Income |
49.444 |
28.590 |
70.649 |
|
|
|
TOTAL (A) |
1779.497 |
1652.070 |
1284.520 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials
Consumed |
567.704 |
|
|
|
|
|
Changes in Inventories of
Finished goods and Work-in-Progress |
(47.857) |
11.422 |
|
|
|
|
Other Direct
Manufacturing Expenses |
124.698 |
82.889 |
733.861 |
|
|
|
Employee Benefits
Expenses |
234.724 |
162.459 |
|
|
|
|
Other Expenses |
207.083 |
165.764 |
|
|
|
|
TOTAL (B) |
1086.352 |
935.690 |
733.861 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
693.145 |
716.380 |
550.659 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
6.197 |
10.309 |
38.132 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
686.948 |
706.071 |
512.527 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION (F) |
270.994 |
268.461 |
269.266 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
415.954 |
437.610 |
243.261 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
134.679 |
158.995 |
81.413 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
281.275 |
278.615 |
161.848 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
92.289 |
83.645 |
98.028 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
175.000 |
175.000 |
100.000 |
|
|
|
Dividend |
81.716 |
81.715 |
65.373 |
|
|
|
Tax on Dividend |
13.256 |
13.256 |
10.858 |
|
|
BALANCE CARRIED
TO THE B/S |
103.592 |
92.289 |
83.645 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB value of exports |
200.760 |
105.165 |
93.579 |
|
|
TOTAL EARNINGS |
200.760 |
105.165 |
93.579 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Plant & Machinery |
1.433 |
102.687 |
5.105 |
|
|
|
Raw Materials |
8.834 |
4.549 |
2.042 |
|
|
|
Consumable Stores & Tools |
10.591 |
3.510 |
17.572 |
|
|
|
Machinery Spares |
4.703 |
1.862 |
2.759 |
|
|
|
Electrical Spares |
0.066 |
0.082 |
0.112 |
|
|
TOTAL IMPORTS |
25.627 |
112.690 |
27.590 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
3.44 |
3.41 |
1.98 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
15.81
|
16.86 |
12.60 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
24.04
|
26.96 |
20.04 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.67
|
15.56 |
8.95 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.17
|
0.19 |
0.12 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.12
|
0.20 |
0.23 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
4.75
|
2.98 |
4.19 |
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 |
(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 |
(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 |
(Yes) |
|
30] |
Major Shareholders, if available |
(No) |
|
31] |
PAN of Proprietor/Partner/Director, if available |
(No) |
|
32] |
Passport No of Proprietor/Partner/Director, if available |
(No) |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
(No) |
OPERATING RESULTS
The Company has achieved a Turnover of Rs. 1730.053 Million for the year as against the turnover of Rs. 1623.480 Million of the previous year showing a growth of 6.56%. The other financial parameters have also improved in line with the sales growth. Barring unforeseen circumstances the Directors hope to achieve satisfactory results for the current year.
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY STRUCTURE
AND DEVELOPMENTS:
Industry sector has been generally doing better, but the second half was relatively slow and many projects are put on hold. Demand for Gears, Gearboxes and its allied product have also seen a low growth rate and even then, the Company did grow with the market though it is just marginal to its real potential. The Company continue to follow the policy of manufacturing more niche products i.e., non-standards compared to the highly competitive standard products having more demand. The restructuring of organization and its operation continues and initiatives had been taken to introduce new product range and with that the Company looks for more sustained growth and will strive to succeed its mission.
OUTLOOK:
With the on-going R and D and development of new product range, the Company plans to shift its focus on standard products besides improving its strong presence in the non-standard products. To augment and complement its vast manufacturing facility, the Company plans for acquiring/ developing new technology, which will give the Company a competitive edge in the Gearbox Industry. With the above measures the Company hopes a better future in the coming years.
CONTINGENT LIABILITIES
Rs. In Millions
|
Particular |
31.03.2012 |
31.03.2011 |
|
Guarantees given by the Company |
70.691 |
41.933 |
|
Letter of Credits |
24.808 |
55.818 |
|
Bills Discounted |
19.076 |
16.511 |
|
Claims against the Company not acknowledged as debts |
72.463 |
72.383 |
FIXED ASSETS
· Land
· Buildings
· Plant and Machinery
· Tools and Equipments
· Electrical Equipments
· Furniture and Fittings
· Office Equipments
· Computers
· Vehicles
AS PER WEBSITE
PROFILE
Shanthi Engineering and Trading Company was established in the year 1969 and initially they started their journey with manufacturing small gears by way of simple manufacturing process like milling. Later In 1972 they converted Shanthi Engineering and Trading Company to Shanthi Gear Products (Private) Limited and started to produce all type of gears for different sectors and stand as the premium choice for power transmission products.
Their guiding principle since then has always been quality gears. Their diligent efforts certainly proved out and soon they became the No. 1 (loose) gear manufacturer in the country both in terms of quality and volume. With strong passion and unwavering determination they expanded their capabilities, slowly but steadily in terms of quality, product range, customers and services.
Propelled for growth, in 1980, Shanthi Gears decided to go in for the manufacture of Worm Reduction Gear Boxes. Even among braving competition from leading manufacturers including multinationals, Shanthi Gears Worm Reduction Gear Boxes gained quick market acceptance. Today, it is rated way above the competition.
Simultaneously, they started manufacturing Helical Gear Boxes in single, double, triple, quadruple reductions and in various combinations. Hollow shaft Gear Boxes was also introduced. Solid shafts and Hollow shaft Bevel Helical Reduction Gear Boxes followed suit.
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.55.44 |
|
|
1 |
Rs.87.12 |
|
Euro |
1 |
Rs.68.12 |
INFORMATION DETAILS
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
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 |
7 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
YES |
|
--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.