MIRA
INFORM REPORT
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Report Date : |
04.05.2012 |
IDENTIFICATION DETAILS
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Name : |
FREEWORLD EXPORTS PRIVATE LIMITED |
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Registered
Office : |
No. 45, First |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
19.03.2004 |
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Com. Reg. No.: |
18-052776 |
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Capital
Investment / Paid-up Capital : |
Rs.80.000
Millions |
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CIN No.: [Company Identification
No.] |
U51420TN2004PTC052776 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
CHEF03168E CHEF03504E |
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PAN No.: [Permanent Account No.] |
AAACF7972M |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacturer and Exporter of Granite and Sand Stone Blocks. |
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No. of Employees
: |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (43) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 880000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported as
fair. Business is active. Payments are reported to be slow but correct. 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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
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Registered Office : |
No. 45, First Main Road, Gandhi Nagar, Adyar, Chennai-600020,
Tamilnadu, India |
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Tel. No.: |
91-44-24414360/ 24414277 |
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Fax No.: |
91-44-24422903 |
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E-Mail : |
DIRECTORS
As on 26.09.2011
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Name : |
Mr. Ramadoss Shankar |
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Designation : |
Director |
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Address : |
Plot No. 169, 2nd North Main Road, Sri Kapaleeswarar Nagar,
Neelankarai, Chennai-6000041, Tamilnadu, India |
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Date of Birth/Age : |
10.06.1966 |
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Date of Appointment : |
06.06.2004 |
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Din No.: |
00626099 |
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Other Directorship:
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Name : |
Mr. Sundaram Ramesh |
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Designation : |
Director |
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Address : |
No. 14, Sunrise Avenue, Kapaleeswarar Nagar, Neelankarai,
Chennai-6000041, Tamilnadu, India |
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Date of Birth/Age : |
25.02.1967 |
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Date of Appointment : |
06.06.2004 |
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Din No.: |
00862928 |
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Other Directorship:
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MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 26.09.2011
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Names of Shareholders |
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No. of Shares |
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Ramadoss Shankar |
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4000000 |
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Sundaram Ramesh |
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4000000 |
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Total |
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8000000 |
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Names of Allottees |
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No. of Shares |
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Ramadoss Shankar |
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325000 |
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Sundaram Ramesh |
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325000 |
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Total |
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650000 |
As on 26.09.2011
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Equity Share Breakup |
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Percentage of Holding |
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Category |
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Directors
or relatives of directors |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer and Exporter of Granite and Sand Stone Blocks. |
GENERAL INFORMATION
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No. of Employees : |
Not Available |
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Bankers : |
Union Bank of
India, Overseas Branch, 75, G. N. Chetty Street, T. Nagar, Chennai-600017,
Tamilnadu, India |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Pratapkaran Paul and Company Chartered Accountants |
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Address : |
No. 63, Kamaraj Avenue, First Main Road, Adyar, Chennai-600020,
Tamilnadu, India |
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Pan No.: |
AAEPP4922C |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
8000000 |
Equity Shares |
Rs.10/- each |
Rs.80.000
Millions |
As on 26.09.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
8650000 |
Equity Shares |
Rs.10/- each |
Rs.86.500 Millions
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
80.000 |
80.000 |
80.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
141.681 |
123.952 |
108.646 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
221.681 |
203.952 |
188.646 |
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LOAN FUNDS |
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1] Secured Loans |
466.598 |
440.859 |
378.596 |
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2] Unsecured Loans |
169.129 |
106.123 |
22.334 |
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TOTAL BORROWING |
635.727 |
546.982 |
400.930 |
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DEFERRED TAX LIABILITIES |
5.726 |
4.578 |
4.019 |
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TOTAL |
863.134 |
755.512 |
593.595 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
248.336 |
221.068 |
148.725 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.129 |
0.129 |
0.129 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
419.057
|
331.957 |
209.123 |
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Sundry Debtors |
82.017
|
107.114 |
101.966 |
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Cash & Bank Balances |
57.321
|
10.939 |
25.859 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
140.256
|
134.895 |
154.680 |
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Total
Current Assets |
698.651
|
584.905 |
491.628 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Sundry Creditors |
75.957
|
43.206 |
47.128 |
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Other Current Liabilities |
0.000
|
0.000 |
0.000 |
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Provisions |
8.105
|
7.544 |
0.000 |
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Total
Current Liabilities |
84.062
|
50.750 |
47.128 |
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Net Current Assets |
614.589
|
534.155 |
444.500 |
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MISCELLANEOUS EXPENSES |
0.080 |
0.160 |
0.241 |
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TOTAL |
863.134 |
755.512 |
593.595 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
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SALES |
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Income |
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Other Income |
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TOTAL (A) |
1112.835 |
893.892 |
883.413 |
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EXPENSES |
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Office Expenses |
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Administrative Expenses |
998.802 |
800.441 |
855.440 |
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Advertising Expenses |
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TOTAL (B) |
998.802 |
800.441 |
855.440 |
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PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
114.033 |
93.450 |
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FINANCIAL
EXPENSES (D) |
53.772 |
41.988 |
NA |
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PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
60.274 |
51.462 |
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DEPRECIATION/
AMORTISATION (F) |
30.474 |
22.828 |
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PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
26.982 |
23.408 |
27.974 |
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Less |
TAX (H) |
9.253 |
8.103 |
10.599 |
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PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
17.729 |
15.305 |
17.375 |
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Earnings /
(Loss) Per Share (Rs.) |
2.22 |
1.91 |
2.17 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
1.59
|
1.71 |
1.97 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
2.85
|
2.90 |
4.37 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.12
|
0.11 |
0.15 |
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Debt Equity Ratio (Total Liability/Networth) |
|
3.25
|
2.93 |
2.37 |
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Current Ratio (Current Asset/Current Liability) |
|
8.31
|
11.52 |
10.43 |
LOCAL AGENCY FURTHER INFORMATION
|
Check List by
Info Agents |
Available in
Report (Yes / No) |
|
1) Year of Establishment |
Yes |
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2) Locality of the firm |
Yes |
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3) Constitutions of the firm |
Yes |
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4) Premises details |
No |
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5) Type of Business |
Yes |
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6) Line of Business |
Yes |
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7) Promoter’s background |
Yes |
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8) No. of employees |
No |
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9) Name of person contacted |
No |
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10) Designation of contact person |
No |
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11) Turnover of firm for last three years |
Yes |
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12) Profitability for last three years |
Yes |
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13) Reasons for variation <> 20% |
-- |
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14) Estimation for coming financial year |
No |
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15) Capital in the business |
Yes |
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16) Details of sister concerns |
No |
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17) Major suppliers |
No |
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18) Major customers |
No |
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19) Payments terms |
No |
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20) Export / Import details (if applicable) |
No |
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21) Market information |
-- |
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22) Litigations that the firm / promoter involved in |
-- |
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23) Banking Details |
Yes |
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24) Banking facility details |
Yes |
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25) Conduct of the banking account |
-- |
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26) Buyer visit details |
-- |
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27) Financials, if provided |
Yes |
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28) Incorporation details, if applicable |
Yes |
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29) Last accounts filed at ROC |
Yes |
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30) Major Shareholders, if available |
Yes |
FINANCIAL HIGHLIGHTS:
The revenue earned
during the year, comprising of sales and other income, of Rs.1112.835 Millions,
total Expenditure of Rs.998.802 Millions and profit before interest and
depreciation of Rs.114.033 Millions. Company has reported a Profit before Tax
is Rs.26.982 Millions due to efficient management of business operations. This
has resulted from following a systematic approach towards development of
strategic business plans, setting goals and targets, regular periodic review
and rewards based on the achievements in all its businesses.
PERFORMANCE:
During the year
the company has achieved a sales growth of around 25% over last year. Though
the Company has been able to achieve a higher turnover than last year, the
increase in raw material cost, freight and other operating expenses has dented
the profit and has resulted in lower Pre-tax Profit ratio. The sign of the
recovery in the world economy, felt during the start of the last fiscal, did
not crystallize fully and still slowly the world market is coming out of the
recessional impact thus to the Indian Rupee becoming stronger as compared to
the US Dollar. They are optimistic that the scenario will change positively
during this year and they can achieve better results with the passing of time
and with their sincere and dedicated efforts.
MARKET CONDITION AND PERFORMANCE:
Year after year the
demand for granites, both blocks and finished products, is on the rise. The
increase in export of blocks and finished products during the last year is an
indication of the encouraging signs of market demand. India, which is blessed
with various types of unique colours and large deposits of granite, has already
claimed its privileged status as the number one Country for granites so far as
color, variety, quality and pricing are concerned. With the availability of
number of new found color of granites coupled with skilled and quality labour,
India will continue to dominate the granite world in the years to come.
The Company
focused on exporting its Products to various countries along with good brand
building efforts. The various actions that the company had taken for effective
cost reduction, competitive sourcing and improving credit discipline are giving
good results. These along with favorable market conditions have helped the
company in achieving a satisfactory level in the current year.
All their major
businesses have focused on higher profitability, better controls on working
capital and higher market share. The Company also aimed to achieve a stronger
bottom line, a stronger team performance and a stronger brand image.
BANKERS CHARGES
REPORT AS PER REGISTRY
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified |
10065489 |
|
Corporate
identity number of the company |
U51420TN2004PTC052776 |
|
Name of the
company |
FREEWORLD EXPORTS
PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in |
No. 45, First Main Road, Gandhi Nagar, Adyar, Chennai-600020,
Tamilnadu, India |
|
Type of charge |
Book Debts Movable Property
[not being pledge] Floating Charge Immovable
Property |
|
Particular of
charge holder |
Union Bank of
India, Overseas Branch, 75, G. N. Chetty Street, T. Nagar, Chennai-600017,
Tamilnadu, India |
|
Email |
|
|
Nature of
description of the instrument creating or modifying the charge |
Packing credit
agreement (SD - 04) Letter of credit
(ad - 09) Extension of
validity of mortgage |
|
Date of
instrument Creating the charge |
30.12.2011 |
|
Amount secured by
the charge |
Rs.410.000
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest As per the sanction
letter and as determined by the bank from time to time. Terms of
Repayment As per the
sanction letter and as determined by the bank from time to time. Margin As per the
sanction letter and as determined by the bank from time to time. Extent and
Operation of the charge As per the
Sanction letter. Others Nature of
Facilities Existing Modified (Rs in Millions) PC/FCPC 250.000 250.000 FDBP/FUDBP 100.000 100.000 L/G 20.000 20.000 LC
(Import/Inland) 10.000 10.000 Adhoc PC - I 20.000 - - - Adhoc PC -
II 17.500 - - - Adhoc PC -
III - - - 30.000 Total 417.500 410.000 |
|
Short particulars
of the property charged |
Hypothecation of
all stocks of raw materials, work in process, stores, consumables, semi
finished and finished goods of Granite Blocks meant for export, furniture and
fixture, plant and machinery. Hypothecation of
all Stores and Spares, office Equipments, Book debts, and all other Current
Assets of the Company. Hypothecation of
Stocks of Rough Granite Blocks/Slabs meant for Exports. Extension of EM
by way of deposit of Title Deeds of Agricultural Land measuring 2.43 acres in
S. No.184 - 1A1 situated in Chembarambakkam Village, Poonamallee Taluk,
Tiruvallur District. Extension of EM
by way of deposit of Title Deeds of Agricultural Lands measuring 103338 acres
at Pitambarpur village for 2.152 acres in Babanpur Village, Patrapur Tahasil,
Ganjam Dist. in Orissa. |
|
Date of latest
modification prior to the present modification |
12.10.2011 |
|
Particulars of
the present modification |
The amount secured
by the charge has been modified from Rs.417.500 Millions to Rs.410.000
Millions, as detailed hereunder:- Nature of
Facilities Existing Modified (Rs in Millions) PC/FCPC 250.000 250.000 FDBP/FUDBP 100.000 100.000 L/G 20.000 20.000 LC
(Import/Inland) 10.000 10.000 Adhoc PC - I 20.000 - - - Adhoc PC -
II 17.500 - - - Adhoc PC -
III - - - 30.000 |
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.53.23 |
|
|
1 |
Rs.86.14 |
|
Euro |
1 |
Rs.69.98 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
43 |
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.