MIRA INFORM REPORT

 

PRELIMINARY REPORT

 

 

Report Date :

15.05.2012

 

IDENTIFICATION DETAILS

 

Name :

RELCON INFRAPROJECTS PRIVATE LIMITED

 

 

Registered Office :

105/C, Shyam Kamal, Agarwal Market, Vile Parle East, Mumbai – 400057, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

04.12.2006

 

 

Com. Reg. No.:

165973

 

 

CIN No.:

[Company Identification No.]

U45201MH2006PLC165973

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMR20856D

 

 

PAN No.:

[Permanent Account No.]

AADCR4459E

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Infrastructure Development and Ready Mix Concrete

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (45)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 2284052

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct 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 – April 1, 2010

 

Country Name

Previous Rating

(31.12.2009)

Current Rating

(01.04.2010)

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

 

Note : Management non co-operative [ name not disclose]

 

 

LOCATIONS

 

Registered Office :

105/C, Shyam Kamal, Agarwal Market, Vile Parle East, Mumbai – 400057, Maharashtra, India

E-Mail :

kapadia@relcon.co.in

 

 

Corporate Office :

A-01/101, Krishna Apartment, Juhu Lane, Opposite Mavir Jain Vidyalaya, Andheri (west), Mumbai – 400058, India

Tel. No.: 91-22-67339999

Fax No.: 91-22-67339900

E-Mail : contact@relcon.co.in

 

Asphalt Batchmix Plant/ Quarry

Nagle :

Nagle Bunder, Ovala Village, Post: Kasarwadavali, G.B. Road, Thane – 400607, India

 

Kandivali :

42-A, Damupada, Akruti Road, Farid Estate, Kandivali (East), Mumbai – 400101, India

 

Quarry / Wet Mix Plant:

Kharghar :

Survey No. 356, OWE Camp, Village Post Kharghar, Taluka Panvel, Near Tata Cancer Hospital, Navi Mumbai – 410208, India

 

Vajreshwari :

Survey No.85, Village Dipiwali Mhashina, Taluk Vasai, District – Thane, India

 

 

 

Branches :

Pune :

Flat No.703, Building A, Tain Square, Wanowrie, Pune – 411010, India

 

Ahmedabad :

B-305, Aatma House, Near Paradise House, Opposite Reserve Bank of India, Ashram Road, Ahmedabad – 380009, Gujarat, India

 

 

RMC Plant :

Wadala :

Near Wadala Truck, Terminal, Opposite I. Max Theatre, Anil Wadala Link Road, Wadala (East), Mumbai – 400037, India

 

Dahisar :

Ketki Pada, Behind Diamond Industrial Estate, Dahisar (East), Mumbai, Maharashtra, India

 

Bandra :

Opposite Mumbai Cricket Association, G. Block, Bandra Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra, India

 

Mulund :

Mulund Eastern Express Highway, Octroi Naka, Near Mulund Dumping Ground, Mulund (East), Mumbai, India

 

 

DIRECTORS

 

As on : 30.09.2010

 

Name :

Mr. Jainendra Pravin Shah

Designation :

Joint Managing Director

Address :

5th Floor, Uday, Plot No.52, Swastik Co.op.Hsg.Soc.Ltd., N.S. Road No.4, JVPD Scheme, Vile Parle (West), Mumbai – 400056. India

Date of Birth/Age :

08.12.1964

Date of Appointment :

04.12.2006

 

 

Name :

Mr. Tejas Pravin Shah

Designation :

Managing Director

Address :

501, Ketan ville, plot no.25, The Hatkesh C.H.S. Limited, North South Road No.6, J.V.P.D. Scheme, Vile Parle, Mumbai – 400056, India

Date of Birth/Age :

03.10.1970

Date of Appointment :

04.12.2006

 

 

Name :

Mr. Rakesh Pravin Shah

Designation :

Chairman

Address :

201, Krishna Niwas, 2nd Floor, J.V.P.D. Scheme Road 5, Suvarna Nagar, C.H.S. Ltd, Vile Parle (west), Mumbai – 400056, India

Date of Birth/Age :

18.09.1966

Date of Appointment :

03.03.2008

 

 

Name :

Mr. Dilip Pravin Shah

Designation :

Director

Address :

401, Shantam Building, N.S. Road. No. 9, Plot No. 38, J.V.P.D. Scheme, Vile Parle (west), Mumbai – 400056, India

Date of Birth/Age :

06.07.1969

Date of Appointment :

03.03.2008

 

 

Name :

Mr. Pratap Ratilal Marchant

Designation :

Director

Address :

403, Steel Building, A Wing, 4th Floor, Lajpatrai Road, Vile Parle (West), Mumbai – 400056, India

Date of Birth/Age :

02.03.1935

Date of Appointment :

27.08.2010

 

 

Name :

Mr. Dilip Keshavlal Patel

Designation :

Director

Address :

15, Neel Shobha, 4th Floor, 52 E, Sir, M.V. Road, Andheri (East), Mumbai – 400069, India

Date of Birth/Age :

20.10.1947

Date of Appointment :

27.08.2010

 

 

Name :

Mr. Arvind Vithal Deshingkar

Designation :

Director

Address :

Building 5, Block 102, Neelam Nagar, Ph (1), Gawan Pada, Mulund (East), Mumbai – 400081, India

Date of Birth/Age :

08.09.1948

Date of Appointment :

27.08.2010

 

 

Name :

Mr. Yogesh Anandial Shah

Designation :

Director

Address :

Plot No.37, Road No.6, J.V.P.D. Scheme, Vile Parle (West), Mumbai – 400056, India

Date of Birth/Age :

14.04.1952

Date of Appointment :

27.08.2010

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2010

 

Names of Shareholders

 

No. of Shares

Mr. Jainendra Pravin Shah

 

2145000

Mr. Tejas Pravin Shah

 

2145000

Tejas Pravin Shah (HUF)

 

50000

Jainendra Pravin Shah (HUF)

 

50000

Pravin Chotalal Shah (HUF)

 

50000

Mrs. Kamakshi Pravin Shah

 

170000

Mr. Rakesh Pravin Shah

 

2194990

Mr. Dipen Pravin Shah

 

2194990

Rakesh Pravin Shah (HUF)

 

10

Dipen Pravin Shah (HUF)

 

10

 

 

 

Total

 

9000000

 

As On 30.09.2010

 

S. No.

Category

Percentage

1

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

0.00

2

Directors or relatives of Directors

100.00

3

Bodies corporate

0.00

4

Other top fifty shareholders

0.00

 

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Infrastructure Development and Ready Mix Concrete

 

 

Products :

Item Code No.

Product Description

38245010

Ready Mix Concrete

Nil

Infrastructure Development

 

 

 

 

GENERAL INFORMATION

 

Bankers :

HDFC Bank Limited, HDFC Bank House Senapti Bapat Marg, Lower Parel W, Mumbai – 400013, Maharashtra, India

 

 

Facilities :

Secured Loans

31.03.2010 (Rs. In Millions)

Term Loan from Scheduled Bank

15.619

Working Capital Borrowing from Scheduled bank

50.000

Equipment / Vehicle finance from Banks

52.265

Equipment / Vehicle finance from others

24.933

 

 

Total

142.817

Note :

1. Term loan and working capital borrowing from bank secured by hypothecation charge over stock and book debts, both present and future (as Primary security) and all encumbered movable fixed assets (other than those specifically charged ) and are presently guaranteed by the directors.

2. Equipments / Vehicle finance loans are secured by hypothecation and specific equipments assets

3. Term loan includes  Rs. 2.285 millions due within 12 months.

4. Equipments / Vehicle loans from banks other includes Rs. 51.053 millions due within 12 months

 

Unsecured Loans

31.03.2010 (Rs. In Millions)

From Directors

22.802

From Others

15.062

 

 

Total

37.864

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Jogish Mehta and Company

Chartered Accountant

Address :

807, Dev Plaza, S.V. Road, Andheri – West, Mumbai – 400058, Maharashtra, India

 

 

Associates/Subsidiaries :

Relcon Reality Private Limited

 

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

9999000

Equity Shares

Rs.10/- each

Rs. 99.990 Millions

1000

Preference Shares

Rs. 10/- each

Rs. 0.010 Million

 

 

 

 

 

Total

 

Rs. 100.000Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

9000000

Equity Shares

Rs.10/- each

Rs. 90.000Millions

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2010

31.03.2009

31.03.2008

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

90.000

90.000

90.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

481.013

283.875

138.843

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

571.013

373.875

228.843

LOAN FUNDS

 

 

 

1] Secured Loans

142.817

213.549

144.294

2] Unsecured Loans

37.654

43.242

71.562

TOTAL BORROWING

180.471

256.791

215.856

DEFERRED TAX LIABILITIES

0.000

0.000

1.510

 

 

 

 

TOTAL

751.484

630.666

446.209

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

206.614

193.332

125.776

Capital work-in-progress

0.449

3.655

11.602

 

 

 

 

INVESTMENT

25.149

23.239

17.356

DEFERREX TAX ASSETS

7.479

4.850

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
72.240

76.658

31.219

 

Sundry Debtors
895.566

487.707

386.921

 

Cash & Bank Balances
113.718

182.714

37.841

 

Other Current Assets
0.776

1.536

0.422

 

Loans & Advances
639.605

452.797

273.665

Total Current Assets
1721.905

1201.412

730.068

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
0.000

551.326

264.895

 

Other Current Liabilities
1026.405

74.460

83.977

 

Provisions
184.825

170.036

89.721

Total Current Liabilities
1211.230

795.822

438.593

Net Current Assets
510.675

405.590

291.475

 

 

 

 

MISCELLANEOUS EXPENSES

1.118

0.000

0.000

 

 

 

 

TOTAL

751.484

630.666

446.209

 

 

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2010

31.03.20089

31.03.2008

 

SALES

 

 

 

 

 

Income

3017.560

2709.173

1357.549

 

 

Other Income

18.394

22.389

15.643

 

 

TOTAL                                     (A)

3035.954

2731.562

1373.192

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of sales

2554.204

2356.842

1119.301

 

 

Payment to and provision for employees

64.818

46.994

20.168

 

 

Advertising and other expenses

57.747

49.872

45.430

 

 

TOTAL                                     (B)

2676.769

2453.708

1184.899

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

359.185

277.854

188.294

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

22.883

23.622

16.057

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

336.302

254.232

172.237

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

38.355

32.371

19.667

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

297.947

221.861

152.570

 

 

 

 

 

Less

TAX                                                                  (I)

100.812

76.830

51.638

 

 

 

 

 

 

PROFIT AFTER TAX (G-I)                                  (J)

197.135

145.031

100.932

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

283.875

138.843

37.911

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

481.010

283.875

138.843

 

 

 

 

 

 

Earnings Per Share (Rs.)

21.90

16.11

14.19

 

 

 

 

 

 

 

 

 

 

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2010

31.03.2009

31.03.2008

PAT / Total Income

(%)
6.49

5.30

7.35

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
9.87

8.18

11.23

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
15.44

15.90

17.82

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.52

0.59

0.66

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
2.43

2.81

2.85

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
1.42

1.50

1.66

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sundry Creditors Details :

 

Particulars

31.03.2010

31.03.2009

31.03.2008

Sundry Creditors other than micro and small enterprises

NA

551.326

264.895

 

 

 

 

TOTAL

NA

551.326

264.895

 

Business Review :

 

After the economic downturn and difficult market condition globally in 2008-09, during the year, economies across the world (with a few exceptions) showed signs of recovery and growth. The Indian economy bounced back quickly and strongly grew at 7.2% in 2009-10.

 

The company has expertise and capability in building quality roads, buildings and bridges will be a spearheading force in infrastructure projects. With the current policy of government of emphasis on developing an extensive infrastructure covering four highway, roads, bridges, etc. we are very optimist about the future of our company.

 

During the year the company has achieved an operating profit of Rs. 359.200 millions which is 11.83 % is total turnover. The net profit after charging interest, depreciation and tax liability stood at Rs. 194.200 millions.

 

The company could achieve a rise in overall profitability through a judicious mix of tendering for the right projects, correct strategies and adequate cost control measures.   

 

Fixed Assets :

 

  • Plant and Machinery
  • Lorries
  • Motor Car and Jeep
  • Office Equipment
  • Scooter
  • Data Processing Equipment
  • Office and Factory Structure
  • Furniture and Fixture

 

Form : 8

 

Corporate identity number of the company

U45201MH2006PLC165973

Name of the company

RELCON INFRAPROJECTS LIMITED

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

105/C, Shyam Kamal, Agarwal Market, Vile Parle (East), Mumbai – 400057, Maharashtra, India

This form is for

Creation of charge

Type of charge

Movable property

Particular of charge holder

HDFC Bank Limited, HDFC Bank House Senapti Bapat Marg, Lower Parel W, Mumbai – 400013, Maharashtra, India

Nature of instrument creating charge

Agreement for loan and Guarantee.

(contracts No.: 3335992)

Date of instrument Creating the charge

07.09.2010

Amount secured by the charge

Rs. 25.900 millions

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

Rate of Interest :

Interest @ 7.65% p.a.

 

Terms of repayment :

The Loan is repayable in 35 EMIs of Rs. 0.828 millions starting from 15th September, 2010 ending on 15th July, 2013

 

Margin :

As may be stipulated by bank from time to time

 

Extent and operation of the charge :

The company hypothecates to and charge in favour of the bank by way of first and exclusive charge of the vehicle/ equipment described in Item No.5 as security for the repayment / payment by the company of the loan granted or to be granted to the company Bank together with all fees, interest, costs and expenses incurred / to be incurred by the bank and all other monies payable or to become payable by the company to the Banks.

 

Others :

The bank shall be absolutely entitled and have full power and authority to sell, assign or transfer in any manner, in whole or in part, and in such manner and on such terms as the Bank may decide, including reserving a right to the bank to retain its power to proceed against the company on behalf of the purchaser, assignee or transferee, any or all outstanding dues of the company, to any third party of the Bank’s choice without references to or without written intimation to the company

Short Particulars of the property charged

Hypothecation of Equipment namely : Soilmec SR-40 Hyd RIG, Chassis No. as per Attached Schedule page (Year of Manufacture : 2010)

 

 

 

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.53.71

UK Pound

1

Rs.86.34

Euro

1

Rs. 69.22

 

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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

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

 

45

 

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

 

 

 

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.