MIRA INFORM REPORT

 

 

Report Date :

15.03.2012

 

IDENTIFICATION DETAILS

 

Name :

FLOMETALLIC INDIA LIMITED

 

 

Registered Office :

67, Chamiers Road, Chennai – 600 028, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

05.04.2010

 

 

Com. Reg. No.:

18-075244

 

 

Capital Investment / Paid-up Capital :

Rs.335.100 millions

 

 

CIN No.:

[Company Identification No.]

U28113TN2010PLC075244

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CHEF03985C

 

 

PAN No.:

[Permanent Account No.]

AABCF5030D

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of Casting of Iron or Steel.

 

 

No. of Employees :

Approximately 200 (In Office – 7, In Factory – 193)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca (14)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

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

 

Status :

New Company

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

Comments :

Subject is a relatively new company and yet to commenced its commercial operation. The company will commenced its business activity by ending of March 2012. Payments are unknown.

 

The company can be considered for business dealings on a secured 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.

 

INFORMATION PARTED BY

 

Name :

Mr. Balaji

Designation :

Deputy Manager

Contact No.:

91-44-24908742

Date :

14.03.2012

 

 

LOCATIONS

 

Registered Office :

67, Chamiers Road, Chennai – 600 028, Tamilnadu, India

Tel. No.:

91-44-24321315/ 24908741/ 24908742

Fax No.:

91-44-24908719/ 24424217

E-Mail :

sekar.k@brakesindia.co.in

balaji.g@brakesindia.co.in

Website :

www.brakesindia.co.in

Location :

Owned

 

 

Factory :

Plot No.82, G.I.D.C., Jhagadia Mega Industrial Estate, Jhagadia, District Bharuch – 393 110, Gujarat, India 

 


 

DIRECTORS

 

As on 02.09.2011

 

Name :

Ragavachary Ramanujam

Designation :

Director

Address :

No.4, Old No.17, Parthasarathy Garden, Chennai – 600 018, Tamilnadu, India

Date of Birth/Age :

29.07.1936

Qualification :

B.Sc.

Date of Appointment :

05.04.2010

DIN No.:

00365735

 

 

Name :

Mr. Thiruvallur Thattai Srinivasaraghavan

Designation :

Director

Address :

New No.9, Old No.5, III Street, Kasturi Estates, Chennai – 600 086, Tamilnadu, India 

Date of Birth/Age :

19.01.1955

Qualification :

B.Com, M.B.A.

Date of Appointment :

02.09.2011

DIN No.:

00018247

 

 

Name :

Mrs. Harsha Viji

Designation :

Director

Address :

20, D'silva Road, Mylapore, Chennai – 600 004, Tamilnadu, India 

Date of Birth/Age :

28.08.1975

Qualification :

B.Com, ACA, M.B.A.

Date of Appointment :

02.09.2011

DIN No.:

00602484

 

 

Name :

Mr. Suryaprakashrao Kunapuli

Designation :

Director

Address :

Plot No.20, Yoga Narasimha Colony, Sholinghur – 631 102, Tamilnadu, India 

Date of Birth/Age :

17.12.1958

Qualification :

B. Tech, PG Diploma in Management

Date of Appointment :

02.09.2011

DIN No.:

00616868

 

 

Name :

Mr. Ananth Ramanujam

Designation :

Director

 

 

KEY EXECUTIVES

 

Name :

Vaidyanathan Balajikrishna

Designation :

Manager

Address :

B-14, Rail Nagar, Koyambedu, Chennai – 600 017, Tamilnadu, India

Date of Birth/Age :

02.05.1970

Date of Appointment :

01.09.2011

PAN No.:

AAGPB9689Q

 

 

Name :

Balaji G.

Designation :

Secretary

Address :

New no.23, Old No.12/1, Lalmohammed Cross ST., Chepauk, Chennai – 600 005, Tamilnadu, India

Date of Birth/Age :

17.12.1976

Date of Appointment :

26.03.2011

PAN No.:

AKZPB0417D

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 02.09.2011

 

Names of Shareholders

 

 

No. of Shares

R. Ramanujam

 

75

S. Ram

 

50

S. Viji

 

50

R. Srikanth

 

1

T.T. Rangaswamy

 

1

Turbo Energy Limited, India

 

525

ABI-Snowtech (India) Limited, India

 

100

Sundaram Finance Limited, India

 

1600

Brakes India Limited, India

 

525

Prema Ramanujam

 

50

Chitra Viji

 

50

Harsha Viji

 

50

Sriram Viji

 

50

Gita Ram

 

50

Nivedita Ram

 

50

Srivats Ram

 

50

Srikanth Ramanujam

 

24

Ananth Ramanujam

 

25

Srikanth Ramanujam and Ananth Ramanujam

 

25

T.T. Rangaswamy and T.T. Hayagreevan

 

49

C. Ramakrishna

 

100

Total

 

3500

 

As on 02.09.2011

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Bodies corporate

 

78.57

Directors or relatives of directors

 

12.86

Others

 

8.57

Total

 

100.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Casting of Iron or Steel.

 

 

Products :

Item Code No. (ITC Code)

73251000

Product Description

Cast Articles of Iron

 

 

GENERAL INFORMATION

 

No. of Employees :

Approximately 200 (In Office – 7, In Factory – 193)

 

 

Bankers :

DBS Bank Limited, 806, Anna Salai, Chennai – 600 002, Tamilnadu, India

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Sundaram and Srinivasan

Chartered Accountants

Address :

Chennai, Tamilnadu, India

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

AAAFS8812J

 

 

Associates/Subsidiaries :

Brakes India Limited

 

 

CAPITAL STRUCTURE

 

As on 02.09.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

4000

Equity Shares

Rs.100000/-

Rs.400.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

3500

Equity Shares

Rs.100000/-

Rs.350.000 millions

 

 

 

 

 

As on 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

4000

Equity Shares

Rs.100000/-

Rs.400.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

3351

Equity Shares

Rs.100000/-

Rs.335.100 millions

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

 

31.03.2011

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

335.100

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

0.000

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

335.100

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

0.000

2] Unsecured Loans

 

 

0.000

TOTAL BORROWING

 

 

0.000

DEFERRED TAX LIABILITIES

 

 

0.000

 

 

 

 

TOTAL

 

 

335.100

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

123.385

Capital work-in-progress

 

 

1.209

Expenditure pending allocation, net

 

 

5.682

 

 

 

 

INVESTMENT

 

 

0.000

DEFERRED TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

0.000

 

Sundry Debtors

 

 

0.000

 

Cash & Bank Balances

 

 

148.656

 

Other Current Assets

 

 

0.376

 

Loans & Advances

 

 

56.265

Total Current Assets

 

 

205.297

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

 

 

0.834

 

Other Current Liabilities

 

 

0.000

 

Provisions

 

 

0.000

Total Current Liabilities

 

 

0.834

Net Current Assets

 

 

204.463

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.361

 

 

 

 

TOTAL

 

 

335.100

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

 

 

31.03.2011

 

SALES

 

 

 

 

 

Operating revenue, net

 

 

0.000

 

 

Other Income

 

 

0.000

 

 

TOTAL                                    

 

 

0.000

 

 

 

 

 

Less

TOTAL EXPENSES

 

 

0.000

 

 

 

 

 

 

PROFIT BEFORE TAX

 

 

0.000

 

 

 

 

 

Less

TAX                                                                 

 

 

0.000

 

 

 

 

 

 

PROFIT AFTER TAX

 

 

0.000

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

 

0.00

 

 

KEY RATIOS

 

PARTICULARS

 

 

 

 

31.03.2011

PAT / Total Income

(%)

 

 

0.00

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

 

 

0.00

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

 

 

0.00

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

 

 

0.00

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

 

 

0.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

 

 

246.16

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Details of Sundry Creditors:

 

Particulars

 

 

 

31.03.2011

(Rs. in millions)

Sundry Creditors

 

 

 

- Creditors due small micro enterprises

 

 

0.000

- Creditors due others

 

 

0.834

Totals

 

 

0.834

 

 

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

--

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

--

12) Profitability for last three years

--

13) Reasons for variation <> 20%

--

14) Estimation for coming financial year

No

15) Capital in the business

No

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

No

25) Conduct of the banking account

--

26) Buyer visit details

--

27) Financials, if provided

No

28) Incorporation details, if applicable

--

29) Last accounts filed at ROC

--

30) Major Shareholders, if available

--

 

FINANCIAL RESULTS

 

The Company was incorporated on the 5th of April 2010 and obtained a certificate of commencement of business on 14th May 2010. The Company is in the process of setting up a foundry in the GIDC Industrial Estate in Jaghadia in the State of Gujarat and has not commenced production as yet. Therefore, no profit and loss account has been drawn for the period.

 

PROJECT PROGRESS

 

The process of setting up a state of the art modern foundry in Jhagadia is progressing well as planned. Ordering of the major plant, machinery and equipment has been completed and a considerable proportion of the civil and structural work has been executed.

 

Barring unforeseen circumstances, the Directors are confident that the foundry will be commissioned in December 2011 as targeted.

 

CONTINGENT LIABILITIES AND PROVISIONS: (As on 31.03.2011)

 

v      Estimated amount of contracts remaining to be executed on capital accounts net of advances and not provided for. Rs.298.028 millions

 

v      Guarantee issued by Bank Rs.0.020 million.

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U28113TN2010PLC075244

Name of the company

FLOMETALLIC INDIA LIMITED

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

67, Chamiers Road, Chennai – 600 028, Tamilnadu, India

E-Mail: sekar.k@brakesindia.co.in

This form is for

Creation of charge

Type of charge

Movable Property (not being pledge)

Floating Charge

Particular of charge holder

DBS Bank Limited, 806, Anna Salai, Chennai – 600 002, Tamilnadu, India

E-Mail: anilthomas@dbs.com

Nature of description of the instrument creating or modifying the charge

Deed of Hypothecation dated 21.11.2011 creating first pari passu charge on all the movable fixed assets of the company both present and future and DBS Bank Limited letter dated 22.11.2011 with reference to clause 7 of hypothecation deed.

Date of instrument Creating the charge

21.11.2011

Amount secured by the charge

Rs.369.280 millions

In case amount secured by the charge is in foreign currency, Details

ECB loan of USD 8 Million from DBS Bank Limited as per facility agreement dated 17.08.2011.

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

Rate of Interest:

6 months Libor + 2.55% p.a. as per facility agreement dated 17.08.2011.

 

Terms of Repayment:

Repayment of facility amount of USD 8 Million in 10 equal half-yearly installments starting 18 months from the date of 02.09.2011.

 

Margin:

As mutually agreed.

 

Extent and Operation of the charge:

First pari passu charge on all the movable fixed assets of the company both present and future.

Short particulars of the property charged

First pari passu charge on all the movable fixed assets of the company both present and future as per schedule 1 of the hypothecation deed.

 

FIXED ASSETS:

 

v      Land

v      Furniture and Fixtures

v      Vehicles

 

 

 

 

 


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.49.90

UK Pound

1

Rs.78.15

Euro

1

Rs.65.09

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

2

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

2

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

2

--PROFITABILIRY

1~10

-

--LIQUIDITY

1~10

2

--LEVERAGE

1~10

2

--RESERVES

1~10

-

--CREDIT LINES

1~10

-

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

14

 

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.