MIRA INFORM REPORT

 

 

Report Date :

02.05.2012

 

IDENTIFICATION DETAILS

 

Name :

SHINE TEXTILES

 

 

Registered Office :

52, Kumar Nagar, Valayam Kodu Main Road, Tirupur-641603, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Year of Establishment :

2007

 

 

Com. Reg. No.:

VAT 33602389308

 

 

Capital Investment / Paid-up Capital :

Not Divulged

 

 

IEC No.:

3207014895

 

 

Legal Form :

Partnership Concern with an unlimited liability of the partners

 

 

Line of Business :

Manufacturer of Knitted Garments for Pantaloon. 

 

 

No. of Employees :

70 [Approximately]

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (44)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established partnership concern having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments.

 

The concern 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 – 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. Ram Kumar

Designation :

Accountant

Contact No.:

91-8870417777

Date :

27.04.2012

 

 

LOCATIONS

 

Registered Office :

52, Kumar Nagar, Valayam Kodu Main Road, Tirupur-641603, Tamilnadu, India 

Tel. No.:

91-421-4333377/4300777

Mobile No.:

91-8870417777 [Mr. Ram Kumar]

Fax No.:

Not Available

E-Mail :

accounts@shinetextiles.com

 

 

Factory :

69, Asher Nagar, 60 Feet Road, Tirupur-641603, Tamilnadu, India

 

 

PARTNERS

 

Name :

Mr. Krishna Kumar

Designation :

Partner

 

 

Name :

Mr. Chandrasekhar

Designation :

Partner

 

 

KEY EXECUTIVES

 

Name :

Mr. Ram Kumar

Designation :

Accountant

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Knitted Garments for Pantaloon. 

 

 

Exports :

 

Products :

Knitted garments only 5% of their production is exported

Countries :

USA

 

 

Terms :

 

Selling :

L/C / Credit

 

 

GENERAL INFORMATION

 

Customers :

Wholesalers

 

 

No. of Employees :

70 [Approximately]

 

 

Bankers :

Punjab National Bank, Tirupur, Tamilnadu, India

 

 

 

Banking Relations :

--

 

 

Auditors :

Not Available

 

 

Associates/Subsidiaries :

·         ARK Textile Group

Address: Old No. 89, New No. 36, Shivam Nagar, South Enclave, Ramanathapuram, Coimbatore-641045, Tamilnadu, India 

 

 

CAPITAL STRUCTURE

 

Capital Investment :

 

Owned :

Not Divulged

Borrowed :

Not Divulged

Total :

Not Divulged

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

Particulars

 

31.03.2012

31.03.2011

31.03.2010

Sales Turnover [Approximately]

40.000

[Extreme Power Shortage]

80.000

50.000

 

Expected Sales (2012-13) : Rs.100.000 Millions.

 

The above information has been parted by Mr. Ram Kumar.

 

Note : Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

 

 

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) Constitutions of the firm

Yes

4) Premises details

No

5) Type of Business

Yes

6) Line of Business

Yes

7) Promoter’s background

No

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

No

13) Reasons for variation <> 20%

--

14) Estimation for coming financial year

Yes

15) Capital in the business

No

16) Details of sister concerns

Yes

17) Major suppliers

No

18) Major customers

No 

19) Payments terms

Yes

20) Export / Import details (if applicable)

Yes

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

Yes

28) Incorporation details, if applicable

No

29) Last accounts filed at ROC

No

30) Major Shareholders, if available

No

 

PROFILE:

 

This is a partnership firm. The firm was started in the year 2007. The partners are:

 

1. Mr. Krishnakumar

2. Mr. Chandrasekhar

 

They are a part of the big ARK Textiles a Export Clothing firm situated in Coimbatore and Tirupur . The group was established in 1995 and is engaged in the business of exporting knitted garments to various countries across the globe and in India. Now, Subject was started more to meet the knitted garments requirements in India. The firm is right now dedicated to meet the knitted garments requirements of Pantaloon Retail India Limited. 95% of their production is given to Pantaloon and 5% to export orders. Thus they have no problem getting orders as their whole production is being up be Pantaloon.

 

ABOUT PANTALOON THEIR BUYER

 

PANTALOON RETAIL (INDIA) LIMITED

Knowledge House, Shyam Nagar, Off Jogeshwari-Vikhroli Link Road, Jogeshwari (East), Mumbai 400 060

 

They are supply partners to Pantaloon and manufacture to their specification and for Pantaloon label. Pantaloon believes that their supply partnerships are a critical component to their success and this strategic partnership helps them to provide customers with unique products and unprecedented services through collaborative development and implementation. They ensure transparent business practices, fair pricing terms and an honest partnership with their supplier partners. Scalability of the business, consumer-led product insights and best practices along an all-India distribution reach are some of the key advantages in partnering with them. With a focus on today's youth, Pantaloons offers trendy and hip fashion that defines their hopes and aspirations. The first pantaloons opened in Gariahat in 1997. Over the years it has undergone several transitions. When it was first launched, this store mostly sold external brands. Gradually, it started retailing a mix of external brands and its own recently-introduced private brands. Initially positioned as a family store, it finally veered towards becoming a fashion store with an emphasis on 'youth' and clear focus on 'fresh fashion'. Pantaloons stores have a wide variety of categories like casual wear, ethnic wear, formal wear, party wear and sportswear for Men, Women and Kids. The fashion store extends to almost all major cities across the country. Pantaloon's has established its presence with stores not just in the metros, but also in smaller towns.

 

Subject manufactures knitted garments for Pantaloon. The factory employs 70 people. The firm has a composite garment manufacturing facility comprising of Fabric store, Fabric cutting, printing, embroidery, sewing, finishing and packing in a single place. This enables them to provide fast and timely delivery of orders. The factory employs professionals at their cutting, stitching, sewing, screen printing, embroidery sections and deliver the best product the buyer.

 

The reduction in turnover between 2011 and 12 is because of the extreme power shortage and various other problems faced by Tirupur manufactures.  They have now organized gensets for their production and have uninterrupted power supply.

 

 

 

 


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.52.52

UK Pound

1

Rs.85.59

Euro

1

Rs.69.61

 

 

INFORMATION DETAILS

 

Report Prepared by :

TPT


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--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

 

44

 

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.