MIRA INFORM REPORT

 

 

Report Date :

08.11.2012

 

IDENTIFICATION DETAILS

 

Name :

UTV ENTERTAINMENT TELEVISION LIMITED (w.e.f. 05.11.2007)

 

 

Formerly Known As :

V AND S BROADCASTI NG LIMITED (w.e.f. 04.06.2007)

 

V AND S BROADCASTI NG PRIVATE LIMITED

 

 

Registered Office :

7th Floor, Building No.11, Solitaire Corporate Park, Guru Hargovindji Marg, Chakala, Andheri (East), Mumbai – 400093, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

28.04.2007

 

 

Com. Reg. No.:

11-170405

 

 

Capital Investment / Paid-up Capital :

Rs.64.640 Millions

 

 

CIN No.:

[Company Identification No.]

U64200MH2007PLC170405

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMV14871D

 

 

PAN No.:

[Permanent Account No.]

AACCV4782D

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Subject is engaged into Broadcasting Business.

 

 

No. of Employees :

200 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (37)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 4300000

 

 

Status :

Moderate 

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of UTV Global Broadcasting. It is an established company moderate track record.

 

The latest financial of the company are not made available, hence payment terms are unknown.

 

As per Previous year the company was found to have some accumulated losses.

 

However, trade relations are reported as decent. Business is active.

 

In view of strong holding, the company can be considered for business dealings with slight caution.

 

NOTES:

 

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 


 

INDIAN ECONOMIC OVERVIEW

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

INFORMATION PARTED BY (General Details)

 

Name :

Mr. Rajesh

Designation :

Office Executive

Contact No.:

91-22-40981400

Date :

08.11.2012

 

 

LOCATIONS

 

Registered Office :

7th Floor, Building No.11, Solitaire Corporate Park, Guru Hargovindji Marg, Chakala, Andheri (East), Mumbai-400 093, Maharashtra, India 

Tel. No.:

91-22-40981400

Fax No.:

91-22-40981650/ 40981510

E-Mail :

angna.arora@utvgroup.com

rohit.agarwal@utvgroup.com

kavita.pandya@utvgroup.com

angna.arora@utvnet.com

sajid@utvnet.com

puneet.juneja@utvgroup.com

puneet.juneja@disney.com

zarina@utvnet.com

Location :

Owned

 

 

Head Office :

A-18 and A-19, Sector 16, Noida – 201301, Uttar Pradesh, India

Tel No.:

91-120-4695353

 

 

DIRECTORS

 

(AS ON 29.09.2012)

 

Name :

Mr. Nikhil Kanti Gandhi

Designation :

Director

Address :

Joseph Avenue, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth/Age :

23.08.1977

Date of Appointment :

27.07.2012

DIN No.:

00744698

 

 

Name :

Mr. Sameer Kalpathy Ganapathy

Designation :

Director

Address :

Pathare Marg, Off Sitadevi Temple Road, Mahim – 400016, Maharashtra, India

Date of Birth/Age :

21.02.1978

Date of Appointment :

27.07.2012

DIN No.:

05215983

 

 

Name :

Mr. Nitin Dador

Designation :

Director

Address :

Yari Road, Varsova, Andheri (West), Mumbai – 400061, Maharashtra, India

Date of Birth/Age :

11.09.1975

Date of Appointment :

27.07.2012

DIN No.:

05222454

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajesh

Designation :

Office Executive

 

 

Name :

Mr. Puneet Juneja

Designation :

Company Secretary

Address :

303, Alka Building, Vrishi Complex, I. C. Colony,  Borivali (West ), Mumbai – 400103, Maharashtra, India

Date of Birth/Age :

23.09.1979

Date of Appointment :

28.04.2010

PAN No.:

AFRPJ9169H

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 29.09.2012)

 

Names of Shareholders 

 

 

No. of Shares

 

 

 

UTV Global Broadcasting Limited, India 

 

8652444

Nimish Shah

 

1

Rajan Puri

 

1

Nitin Chawla

 

1

S. Venkta Subramanian 

 

1

Siddarth Tparia

 

1

Roshini Bakshi

 

1

 

 

 

Total

 

 

8652450

 

 

(AS ON 31.03.2011)

 

Names of Shareholders (Equity Shares)

 

 

No. of Shares

 

 

 

UTV Global Broadcasting Limited, India 

 

5573994

Rohinton Screwala

 

1

Zarina Mehta

 

1

Jignesh Kenia

 

1

Mohd. Sajid Ali

 

1

Jyotsna Tandel

 

1

Amit Banka

 

1

 

 

 

Total

 

 

5574000

 

 

Names of Shareholders (Preference Shares)

 

 

No. of Shares

UTV Global Broadcasting Limited, India 

 

890000

 

 

 

Total

 

 

890000

 

 

(AS ON 30.09.2012)

Equity Share Breakup

 

Category

 

Percentage

 

 

 

Bodies corporate (not mentioned above)

 

100.00

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged into Broadcasting Business.

 

 

Terms :

 

Selling :

L/C, Cash

 

 

Purchasing :

L/C, Cash

 

 

GENERAL INFORMATION

 

Customers :

End Users

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :

·         Axis Bank

Credit Management center, Unit No.6, Corporate Park, Chembur Branch, Mumbai – 400071, Maharashtra, India

 

 

Facilities :

Unsecured Loans

31.03.2011

31.03.2010

 

 

(Rs. In Millions)

 

 

 

Loan from Holding Company (Long term)

8.200

218.800

 

 

 

Total

 

8.200

218.800

 

 

 

Banking Relations :

--

 

 

Financial Institution:

·         SICOM Limited,

Nirmal Building, 1st Floor,  Nariman Point, Mumbai – 400021, Maharashtra, India

 

·         SBICP Trustee Company Limited 

202, Maker Tower, ‘E’ Cuffe Parade, Colaba, Mumbai – 400005, Maharashtra, India

 

 

Auditors :

 

Name :

Price Waterhouse and Company

Chartered Accountants

Address :

252, Veer Savarkar Marg, Shivaji Park, Dadar, Mumbai – 400028, Maharashtra, India

PAN No.:

AAHFP0187A

 

 

Ultimate Holding Company :

UTV Software Communications Limited

 

 

Holding Company :

UTV Global Broadcasting Limited, India 

CIN No.: U32300MH2007PLC171337

 

 

Fellow Subsidiaries :

·         Genx Entertainment Limited

·         UTV New Media Limited

·         UTV Communications (USA) LLC

·         IG Interactive Entertainment Limited

·         Indiagames Limited

·         Ignition Entertainment Limited, UK.

·         Ignition London Limited (Formerly known as Digi Guys Limited)

·         Ignition Entertainment Limited, USA.

·         UTV Games Limited

·         True Games Interactive

·         UTV TV Content Limited

·         RB Entertainment Limited

·         First Future Agri. and Developers Limited

·         UTV Tele Talkies Limited

·         Screenshot Television Limited (Formerly known as Smriti Irani Television Limited)

 

 

Other related parties where common control exists :

·         UTV News Limited

·         Unilazer Media Limited

·         Unilazer Holdings Limited

·         Television News and Entertainment (India) Limited

·         Vijay Broadcasting Private Limited

·         United Tele-Shopping and Marketing Company Limited

 

 

CAPITAL STRUCTURE

 

AS ON 29.09.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

9550000

Equity Shares

Rs.10/- each

Rs.95.500 millions

1500000

Preference Shares

Rs.10/- each

Rs.15.000 millions

 

 

 

 

 

Total

 

 

Rs.110.500 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

8652450

Equity Shares

Rs.10/- each

Rs.86.525 Millions

 

 

 

 

 

 

 

AS ON 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

9550000

Equity Shares

Rs.10/- each

Rs.95.500 millions

1500000

Preference Shares

Rs.10/- each

Rs.15.000 millions

 

 

 

 

 

Total

 

 

Rs.110.500 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

5574000

Equity Shares

Rs.10/- each

Rs.55.740 millions

890000

1% Non Cumulative, Convertible and/or Redeemable Preference Shares

Rs.10/- each

Rs.8.900 millions

 

 

 

 

 

Total

 

 

Rs.64.640 millions

 

NOTES:

 

i. On December 30, 2009, The Company has increased its Authorised Equity Share Capital from Rs.10.000 millions to Rs.11.050 millions and further reclassified 6,000,000 Preference Shares into 6,000,000 Equity Shares of Rs.10 each.

 

ii. On December 30, 2009, 5,000,000 Equity Shares of Rs.10 each were issued to UTV Global Broadcasting Limited on conversion of 5,000,000 Zero coupon Convertible Preference Shares of Rs.10 each.

 

iii. On February 10, 2010, 1,500,000 Authorised Equity Shares of Rs. 10 each were reclassified to 1,500,000 Authorised Preference Shares of Rs.10 each.

 

iv. On February 10, 2010, 524,000 equity shares of Rs 10 each at a premium of Rs.2290 per Equity share and 8,90,000,1% Non Cumulative, Convertible and/or Redeemable Preference Shares of Rs.10 each were issued to UTV Global Broadcasting Limited in lieu of part of the Unsecured Loan.

 

v. The Preference Shares were issued on 10th February 2010 to UTV Global Broadcasting Limited and are convertible and/or redeemable at later date and such terms and conditions as may be mutually agreed by the Board of Directors of the Company and UTV Global Broadcasting Limited. The Term will exceed a period of 20 years from the date of allotment of said preference shares.

 

 


 

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

64.640

64.640

50.500

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

2288.060

2288.060

0.000

4] (Accumulated Losses)

(1269.894)

(1564.477)

(1919.569)

NETWORTH

1082.806

788.223

(1869.069)

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

499.305

2] Unsecured Loans

8.200

218.800

1950.000

TOTAL BORROWING

8.200

218.800

2449.305

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

1091.006

1007.023

580.236

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

20.229

36.907

41.686

Capital work-in-progress

5.924

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERREX TAX ASSETS

379.445

380.000

380.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

375.645
178.593

164.828

 

Sundry Debtors

229.139
552.661

276.407

 

Cash & Bank Balances

1.495
15.909

10.418

 

Other Current Assets

0.000
0.000

0.000

 

Loans & Advances

411.891
208.309

144.430

Total Current Assets

1018.170
955.472

596.083

Less : CURRENT LIABILITIES & PROVISIONS

 
 

 

 

Sundry Creditor

184.453

312.076

397.597

 

Other Current Liabilities

147.375
50.656

37.412

 

Provisions

0.934
2.624

2.524

Total Current Liabilities

332.762
365.356

437.533

Net Current Assets

685.408
590.116

158.550

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

1091.006

1007.023

580.236

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Sales and Services

1031.681

1164.105

718.290

 

 

Other Income

34.361

16.368

0.216

 

 

TOTAL                                     (A)

1066.042

1180.473

718.506

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Manufacturing Service Cost

562.018

688.116

1573.702

 

 

Employees Related Expenses

67.613

48.838

88.450

 

 

Administrative, Selling and Other Expenses

133.783

66.730

144.451

 

 

TOTAL                                     (B)

763.414

803.684

1806.603

 

 

 

 

 

Less

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

302.628

376.789

(1088.097)

 

 

 

 

 

Less

INTEREST & FINANCIAL EXPENSES                 (D)

1.811

16.367

104.235

 

 

 

 

 

 

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

300.817

360.422

(1192.332)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

5.679

5.330

7.434

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX (E-F)                 (G)

295.138

355.092

(1199.766)

 

 

 

 

 

Less

TAX                                                                  (H)

0.555

0.000

(379.092)

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX (G-H)                  (I)

294.583

355.092

(820.674)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(1564.477)

(1919.569)

(1098.895)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

(1269.894)

(1564.477)

(1919.569)

 

 

 

 

 

 

EXPORT VALUE

Nil

Nil

1.000

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

IRD Boxes and Smart Card

5.924

--

2.062

 

TOTAL IMPORTS

5.924

--

2.062

 

 

 

 

 

 

Earnings/ (Loss) Per Share (Rs.)

 

 

 

 

 - Basic

53.00

257.00

(16413.00)

 

 - Diluted

53.00

257.00

(16413.00)

 

 

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

27.63
30.08

(114.22)

 

 

 
 

 

Net Profit Margin

(PBT/Sales)

(%)

28.61
30.05

(167.03)

 

 

 
 

 

Return on Total Assets

(PBT/Total Assets}

(%)

28.42
35.78

(188.12)

 

 

 
 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.27
0.45

0.64

 

 

 
 

 

Debt Equity Ratio

(Total Liability/Networth)

 

0.31
0.74

1.54

 

 

 
 

 

Current Ratio

(Current Asset/Current Liability)

 

3.06
2.62

1.36

 

 


 

LOCAL AGENCY FURTHER INFORMATION

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2011

31.03.2010

 

31.03.2009

 

(Rs. In Millions)

 

 

 

 

Sundry Creditors for Capital Goods, Materials and Expenses

 

 

 

- Micro and Small Enterprises

--

--

--

- Others

184.453

312.076

397.597

 

 

 

 

 

 

Sr. No.

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

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

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

Yes

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

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

No

30]

Major Shareholders, if available

Yes 

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

No

 

 

NOTE:

 

Registered office of the company has been shifted from Parijaat House, 1076, Dr. E Moses Road, Worli Naka, Mumbai - 400 018, Maharashtra to the present address w.e.f.15.05.2010

 

 

BACKGROUND OF THE COMPANY

 

The Company was incorporated in India as a Public Limited Company under the Companies Act, 1956 on April 28, 2007. The Company is a subsidiary of UTV Global Broadcasting Limited (“UGBL”) which in turn is the subsidiary of UTV Software Communications Limited (“USCL”). The Company owns and operates two channels namely ‘UTV Movies’ and ‘UTV World Movies’.

 

 

BUSINESS OVERVIEW

 

The Company owns and operates two channels namely ‘UTV Movies’ and ‘World Movies’.

 

UTV Movies caters to one of the biggest entertainment genres on Indian Television - Hindi movies. While it has access to an enviable slate of movies from the UTV library which includes the biggest blockbusters, it has also acquired movies from multiple companies across India. Despite being the youngest in the genre, the channel continues to enjoy patronage both from audiences and advertisers. The GRPs have grown from 30 to 40 during the year. The GRPs reached a peak of 52 during the year. The channel intends to further strengthen its library during the coming financial year.

 

World Movies is the first channel of its kind which brings International cinema to Indian television for the first time. World Movies has acquired International blockbusters in varied languages like Italian, French, German, Spanish, Polish, Japanese, Korean, Chinese and many more. Today the channel is a brand that covers four major verticals – Television, Theatrical, DVD and Print with a magazine that goes out to audiences interested in World Cinema.

 

 

BACKGROUND OF THE COMPANY

 

The Company was incorporated in India as a Public Limited Company under the Companies Act, 1956 on April 28, 2007. The Company is a subsidiary of UTV Global Broadcasting Limited (“UGBL”) which in turn is the subsidiary of UTV Software Communications Limited (“USCL”). The Company owns and operates two channels namely ‘UTV Movies’ and ‘UTV World Movies’.

 

 

CONTINGENT LIABILITIES NOT PROVIDED FOR:

 

Particulars

31.03.2011

31.03.2010

 

 

(Rs. In Millions)

 

 

 

Income tax appeal before Commissioner of Income Tax for Assessment Years 2008-09/2009-10/2010-11/2011-12

45.815

--

 

 

 

 

 

FORM 8:

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U64200MH2007PLC170405

Name of the company

UTV ENTERTAINMENT TELEVISION LIMITED

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

7th Floor, Building No.11, Solitaire Corporate Park, Guru Hargovindji Marg, Chakala, Andheri (East), Mumbai-400 093, Maharashtra, India

angna.arora@utvgroup.com

This form is for

Creation of charge

Type of charge

Book Debts

Movable Property (Not being Pledge)

Floating charge

Others

Current Assets including Content Library

Particular of charge holder

·         Axis Bank,

Credit Management center, Unit No.6, Corporate Park, Chembur Branch, Mumbai – 400071, Maharashtra, India

Suman.Chattopadhyay@axisbank.com

Nature of description of the instrument creating or modifying the charge

Composite Hypothecation Agreement dated 28th February 2011 executed in favour of Axis Bank creating charge on movable properties, current assets including content library of the Company.

Date of instrument Creating the charge

28.02.2011

Amount secured by the charge

Rs.250.000 millions

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

Rate of Interest

Cash Credit- at 3.75% above Axis Bank's  Base Rate and Purchase Bill Discounting-at 2% above Axis Bank's Base Rate

 

Terms of Repayment

Cash Credit and Purchase Bill Discounting- On Demand

 

Margin

On Purchase Bill Discounting: 10%

On Cash Credit facility-25% on RM; 25% on SIP; 25% on FG; 25% on Stores and Spares and 25% on Book Debts

 

Extent and Operation of the charge

Towards repayment of the principal amount of the Loan together with payment of all interest, penal interest, liquidated damages, fees, premium on prepayment, reimbursement of all costs, charges and expenses and all other monies due to the lender.

Short particulars of the property charged

First pari passu charge on all movable properties, current assets including content library of the Company.

 

 

FIXED ASSETS:

 

Tangible Assets

·         Plant and Machinery

·         Furniture and Fixtures

·         Computers

·         Office Equipments

·         Leasehold Improvements

 

Intangible Assets

·         Computer Software

 

 

NEWS

 

THE WALT DISNEY – UTV ENTERTAINMENT TELEVISION DEAL

 

December 11, 2011

 

Then Last fortnight, a regional subsidiary of The Walt Disney Company upped its stake in Ronnie Screwvala's UTV from 13.7 per cent to 32.1 per cent, shelling out Rs.8050.000 Millions in the bargain. The Disney arm will also take 15 per cent for Rs.1190.000 Millions in UTV Global Broadcasting (UGBL), the parent company of Genx Entertainment and UTV Entertainment Television in which UTV has bought 75 per cent for Rs.2400.000 Millions. The remaining 10 per cent will be held by Screwvala's promoter group. The total investment of Disney in the UTV Group stands at Rs.13140.000 Millions. "This investment in the UTV Group is The Walt Disney Company's commitment to international growth. This investment complements our fast-growing Disney-branded businesses and long-held joint venture in ESPN Star Sports," says Andy Bird, Chairman, Walt Disney International, and a board member of UTV.


Walt Disney Company, owner of 50.44 per cent of UTV Software Communications Limited, offered to buy all outstanding shares for as much as Rs.20100.000 Millions in July 2011. As part of its expansion in Bollywood, the world's biggest media company sought to buy out 19.82 per cent stake held by UTV founders and the remainder from public shareholders.

 

 

 


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.54.25

UK Pound

1

Rs.87.00

Euro

1

Rs.69.83

 

 

INFORMATION DETAILS

 

Information Gathered by :

PJA

 

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

4

--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

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

37

 

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.