MIRA INFORM REPORT

 

 

Report Date :

05.06.2012

 

IDENTIFICATION DETAILS

 

Name :

FLAVORS INDIA PRIVATE LIMITED

 

 

Registered Office :

C-5 And 14, Industrial Estate, Meetupalayam– 605009, Pondicherry, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

26.05.1975

 

 

Com. Reg. No.:

59-000130

 

 

Capital Investment / Paid-up Capital :

Rs. 2.000 Millions

 

 

CIN No.:

[Company Identification No.]

U15499PY1975PTC000130

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of beverage Flavours,  Food Flavours , Food colour, grape Flavours , soft drinks etc.

 

 

No. of Employees :

50 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (27)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 9300

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track. The company has incurred some losses in the current year. However, trade relations are reported as fair. Business is active. Payments are reported to be slow.

 

The company can be considered for business dealings with some caution.

 

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

INFORMATION PARTED BY

 

Name :

Mr. Murgavel

Designation :

Finance Manager

Contact No.:

91-413-2271361

Date :

08.05.2012

 

 

LOCATIONS

 

Registered Office/ Factory :

C-5 and 14, Industrial Estate, Meetupalayam– 605009, Pondicherry, Tamilnadu, India

Tel. No.:

91-413-2271361/ 2271833

Fax No.:

91-413-2277119

E-Mail :

flavors@md4.vsnl.net.in

flavors@bsnl.in

Website :

http://www.flavoursindia.com

Location :

Owned

 

 

DIRECTORS

 

AS ON 30.09.2011

 

Name :

Mr. Prabha Sureender Bramanandam

Designation :

Managing director

Address :

No.33, Kasturi Bai Nagar, Thattanchavady, Pondcheery – 605009, India

Date of Birth/Age :

15.05.1969

Date of Appointment :

27.03.1998

DIN No.:

00748375

 

 

Name :

Mr. Seetharaman Senthil

Designation :

Director

Address :

No.30, Beach Sreet, Cuddalore – 607001, Tamilnadu, India

Date of Birth/Age :

26.09.1961

Date of Appointment :

01.08.2000

DIN No.:

00748500

 

 

KEY EXECUTIVES

 

Name :

R. Ghuna Shekaran

Designation :

Practising Company Secretary

Address :

F-3, Subramanian Flat, New No. 9, Naidu Street, 3rd Lane, Kottur, Chennai – 600085, Tamilnadu, India

Qualification :

M.Com, AICWA, A.C.S.

Email Id :

ghuna05@gmail.com

 

 

Name :

Mr. Murgavel

Designation :

Finance Manager

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2011

 

Names of Shareholders

 

No. of Shares

S. Prabha

 

12500

B. Chandra

 

4000

S. Sendhil

 

400

S. Sureender

 

3100

Total

 

20000

 

 

AS ON 30.09.2011

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

100.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of beverage Flavours,  Food Flavours , Food colour, grape Flavours , soft drinks etc.

 

 

Products :

v      Beverage ( Non - Alcoholic )

v      Bakery and Confectionery

v      Dairy and Tea Industry

v      Beverage (  Alcoholic )

v      Household Use

v      Pharmaceuticals

v      Savoury and Snack Foods

v      Tobacco

 

 

Exports :

 

Products :

v      Beverage ( Non - Alcoholic )

v      Bakery and Confectionery

v      Dairy and Tea Industry

v      Beverage (  Alcoholic )

v      Household Use

v      Pharmaceuticals

v      Savoury and Snack Foods

v      Tobacco

Countries :

v      Nepal

v      Bhutan

v      South Africa

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

 

PRODUCTION STATUS AS ON 31.03.2011

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Flavours

Litres

NA

NA

27,961.70

Caramel

Kgs.

NA

NA

541,737.00

Liquid Preservatives

Litres

NA

NA

34,941.50

Food Colours

Kgs.

NA

NA

15,749.50

 

Notes:

 

(i) The Company is exempt from the licensing provisions of the Industries (Development Regulation) Act, 1951.

 

(ii) Installed capacity, is in the opinion of the management, not ascertainable.

 

(iii) Figures in brackets relate to previous period.

 

 

GENERAL INFORMATION

 

Suppliers :

Industrial Associates

 

 

Customers :

Monali Chemicals

 

 

No. of Employees :

50 (Approximately)

 

 

Bankers :

v      Indian Overseas Bank, Pondicherry Branch

 

 

Facilities :

Overdraft Rs. 5.000 Millions

 

Secured Loan

As on 31.03.2011

(Rs. in Millions)

As on 31.03.2010

(Rs. in Millions)

Loans and Advances from Banks – OCC

(Secured by Lien on Deposits held by the company)

0.503

0.290

Total

0.503

0.290

 

 

 

Unsecured Loan

As on 31.03.2011

(Rs. in Millions)

As on 31.03.2010

(Rs. in Millions)

From Directors / Relatives of Directors

0.300

0.650

Total

0.300

0.650

 

 

 

Banking Relations :

--

 

 

Financial Institution :

v      Sundaram Finance Limited, 21 Patullos Road, Chennai – 600002, Tamilnadu, India

 

 

Auditors :

 

Name :

Vaithianathan and Company

Chartered Accountants

Address :

229, Ambalathadayar Madam Street, Pondicherry – 605001, India

Income-tax PAN of auditor or auditor's firm :

AAGFV6423Q

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

30000

Equity shares

Rs. 100/- each

Rs. 3.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

20000

Equity shares

Rs. 100/- each

Rs. 2.000 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

2.000

2.000

2.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

0.340

0.756

0.698

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

2.340

2.756

2.698

LOAN FUNDS

 

 

 

1] Secured Loans

0.503

0.290

1.638

2] Unsecured Loans

0.300

0.650

1.050

TOTAL BORROWING

0.803

0.940

2.688

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

3.143

3.696

5.386

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

2.808

1.718

2.112

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.010

0.010

0.009

DEFERRED TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

2.629
1.601

4.529

 

Sundry Debtors

6.392
5.170

3.653

 

Cash & Bank Balances

1.023
1.029

0.004

 

Other Current Assets

0.117
0.039

0.057

 

Loans & Advances

0.631
0.861

0.721

Total Current Assets

10.792
8.700

8.964

Less : CURRENT LIABILITIES & PROVISIONS

 
 

 

 

Sundry Creditors

7.203
5.621

4.940

 

Other Current Liabilities

2.288
0.647

0.618

 

Provisions

0.976
0.464

0.141

Total Current Liabilities

10.467
6.732

5.699

Net Current Assets

0.325
1.968

3.265

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

3.143

3.696

5.383

 

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

 

 

 

 

 

SALES AND OTHER INCOME

37.901

35.254

25.295

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Operating Expenses

37.779

34.209

24.462

 

 

TOTAL                                    

37.779

34.209

24.462

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION

0.122

1.045

0.833

 

 

 

 

 

Less

FINANCIAL EXPENSES                        

0.090

0.271

0.183

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION                                  

0.032

0.774

0.650

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

0.318

0.392

0.301

 

 

 

 

 

 

PROFIT BEFORE TAX  

(0.286)

0.382

0.349

 

 

 

 

 

Less

TAX                                                                 

(0.130)

0.324

0.142

 

 

 

 

 

 

PROFIT AFTER TAX                            

(0.416)

0.058      

0.207

 

 

 

 

 

 

Earnings Per Share (Rs.)

20.79

2.91

10.35

 

 

Particulars

 

 

 

31.03.2012

Sales Turnover (Approximately)

 

 

45.000

 

 

 

 

 

Expected Sales ( 2012-2013 ) : Rs. 60.000 Millions

 

The above information has been parted by Mr. Murgavel (Finance Manager)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

(1.10)
0.16

0.81

 

 

 
 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(2.10)
3.67

3.15

 

 

 
 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.12)
0.14

0.13

 

 

 
 

 

Debt Equity Ratio

(Total Liability/Networth)

 

4.82
2.78

3.11

 

 

 
 

 

Current Ratio

(Current Asset/Current Liability)

 

1.03
1.29

1.57

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Check List by Info Agents

Available in Report (Yes / No)

1.       Year of Establishment

Yes

2.       Locality of the firm

Yes

3.       Constitution of the firm

Yes

4.       Premises details

No

5.       Type of Business

Yes

6.       Line of Business

Yes

7.       Promoter’s background

Yes

8.       No. of Employees

Yes

9.       Name of person contacted

Yes

10.   Designation of contact person

Yes

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

Yes

15.   Capital in the business

Yes

16.   Details of sister concerns

No

17.   Major suppliers

Yes

18.   Major customers

Yes

19.   Payments terms

Yes

20.   Export / Import details

Yes

21.   Market information

--

22.   Litigations that the firm / promoter involved

--

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

 

 

FIXED ASSETS:

 

v      Furniture

v      Plant and Machinery

v      Tools

v      Typewriter

v      Building

v      Lab Equipments

v      Office Equipments

v      Car

v      Computer

v      Mini Van

 

Trade references

 

v      Industrial Associates

v      Monali Chemicals

 

 

AS PER WEBSITE DETAILS

 

PROFILE:

 

Subject is a well established and systematically organised company engaged in the manufacture of Food flavours, Food colours and Caramel. The genesis of Flavors India dates back to 1975 after an indepth and intensive market survey to cater to the needs of high demand areas.

 

The Promoter Late Shri.R. Bramanandam and his team had the Business Acumen, Professional background obtained after serving a long stint in flavour industry sound business ethics, skills and had brought this to bear in the discipline and systems required to maintain and sustain quality and quantity in such a mass production.

 

Subject, Operates from Pondicherry ( India ) previously a French Colony and now the Union Territory capital, about 120 KMs from Chennai airport, South India. Garnering and utilising the skilled low-cost manpower strength that Pondicherry offers, Flavors India has a staff strength of over 100 personnel headed by the Board of Directors, who control the different divisions of the organisation.

 

 

 

 

 

                                      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 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. 55.52

UK Pound

1

Rs. 85.29

Euro

1

Rs. 68.86

 

 

INFORMATION DETAILS

 

Information Gathered by :

PJA

 

 

Report Prepared by :

BVA

 


 

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

3

--PROFITABILIRY

1~10

-

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--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

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

27

 

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.