MIRA
INFORM REPORT
|
Report Date : |
20.11.2012 |
IDENTIFICATION DETAILS
|
Name : |
ESS DEE ALUMINIUM
LIMITED (w.e.f. June 14, 2006) |
|
|
|
|
Formerly Known
As : |
ESS DEE ALUMINIUM PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
Plot No.124 to
133, Panchal Udyog Nagar, Bhimpore, Daman – 396 210, Daman and |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2010 |
|
|
|
|
Date of
Incorporation : |
10.02.2004 |
|
|
|
|
Com. Reg. No.: |
56-003385 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.278.248
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L27203DD2004PLC003385 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUME05284G |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCE3113G |
|
|
|
|
Legal Form : |
Public Limited
Liability Company. Company’s Shares are listed on the stock Exchange. |
|
|
|
|
Line of Business
: |
Manufacturer and Exporter
of Blister Aluminium Foil/ PVC/ PVDC Rigid Film. |
|
|
|
|
No. of Employees
: |
1200 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 18102000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well
established and a reputed company having fine track. Financial position of the
company appears to be sound. Trade relations are reported as fair. Business
is active. Payments are reported to be
regular 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 – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
|
Source
: CIA |
INFORMATION PARTED BY
|
Name : |
Mr. Raja Ram |
|
Designation : |
Chief Finance Officer |
|
Contact No.: |
91-22-66908200 |
LOCATIONS
|
Registered Office/ Factory 1 : |
Plot No.124 to 133,
Panchal Udyog Nagar, Bhimpore, Daman – 396 210, Daman and |
|
Tel. No.: |
91-260-2220314 / 15/ 3298520/ 2393224 |
|
Fax No.: |
91-260-2220316 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Mumbai Office (Corporate Office)/ Head Office : |
Ess Dee House, |
|
Tel. No.: |
91-22-66908200 |
|
Fax No.: |
91-22-66908396 |
|
|
|
|
Factory 2 : |
No.57/5/2, Bhenslor, Village Dunetha, Nani Daman – 396 210, |
|
|
|
|
Factory 3 : |
Plot No.161, Kundaim Industrial Estate, Kundlam, Goa – 403 115, |
|
|
|
|
Factory 4 : |
P-32, |
|
|
|
|
Factory 5 : |
1, |
|
|
|
|
Factory 6 : |
Village and P.O. Hoera, P.S. Mogra, District Hooghly, West |
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Sudip Bijoy Dutta |
|
Designation : |
Chairman and Managing Director |
|
Address : |
Flat No. 506, |
|
Date of Birth/Age : |
04.05.1972 |
|
Qualification : |
H.S.C. |
|
Experience : |
20 Years |
|
Experience in specific
function area: |
Management of
all business divisions, growth and diversification initiatives and providing
vision and strategy |
|
Date of Appointment : |
10.02.2004 |
|
Directorships
held in other Indian public limited companies as on 31.03.2010 : |
*India Foils Limited |
|
|
|
|
Name : |
Mr. Soumitra Barari |
|
Designation : |
Whole Time Director |
|
Date of Birth/ Age : |
16.08.1957 |
|
Qualification : |
PGD Packing Technology |
|
Experience in specific
function area: |
Operations |
|
Date of Appointment : |
30.10.2010 |
|
Directorships
held in other Indian public limited companies as on 31.03.2010 : |
*India Foils Limited |
|
|
|
|
Name : |
Mr. Debdeep Bhattacharya |
|
Designation : |
Whole Time Director |
|
Date of Birth/ Age : |
26.08.1966 |
|
Qualification : |
B.Sc |
|
Experience in specific
function area: |
Sales and Marketing |
|
Date of Appointment : |
01.08.2010 |
|
|
|
|
Name : |
Mr. Rajib Mukhopadhyay |
|
Designation : |
Director - Finance |
|
Date of Birth/ Age : |
13.07.1969 |
|
Qualification : |
Chartered Accountant |
|
Experience in specific
function area: |
Finance |
|
Experience : |
15 Years |
|
Date of Appointment : |
14.01.2010 |
|
|
|
|
Name : |
Mr. Gautam Mukherjee |
|
Designation : |
Director |
|
Date of Birth/ Age : |
20.01.1946 |
|
Qualification : |
Bachelor of Engineering from |
|
Experience in specific
function area: |
Organisational Development |
|
Date of Appointment : |
22.05.2006 |
|
Directorships held
in other Indian public limited companies as on 31.03.2010 : |
*India Foils Limited |
|
|
|
|
Name : |
Mr. Dilip Phatarphekar |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Ramdas Baxi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Madan Mohan Jain |
|
Designation : |
Director |
|
Date of Birth/ Age : |
01.03.1944 |
|
Qualification : |
B.Sc |
|
Experience in specific
function area: |
Petroleum exploration HR Management and Estimation of Budget |
|
Date of Appointment : |
14.01.2010 |
|
Directorships held in other Indian public limited companies as on
31.03.2010 : |
*India Foils Limited Panama Petrochem
Limited |
* Directorship, Chairmanship and Membership ceased consequent to the
merger of IFL with the Company
KEY EXECUTIVES
|
Name : |
Mr. Raja Ram |
|
Designation : |
Chief Finance Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2011
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
19,068,867 |
59.50 |
|
|
19,068,867 |
59.50 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
19,068,867 |
59.50 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
820,803 |
2.56 |
|
|
671,381 |
2.09 |
|
|
1,192,572 |
3.72 |
|
|
7,381,080 |
23.03 |
|
|
10,065,836 |
31.41 |
|
|
|
|
|
|
1,127,611 |
3.52 |
|
|
|
|
|
|
846,267 |
2.64 |
|
|
707,875 |
2.21 |
|
|
231,355 |
0.72 |
|
|
87,330 |
0.27 |
|
|
112,853 |
0.35 |
|
|
71 |
- |
|
|
29,601 |
0.09 |
|
|
1,500 |
- |
|
|
2,913,108 |
9.09 |
|
Total Public shareholding (B) |
12,978,944 |
40.50 |
|
Total (A)+(B) |
32,047,811 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
32,047,811 |
- |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal share
capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturer and
Exporter of Blister Aluminium Foil/ PVC/ PVDC Rigid Film. |
||||
|
|
|
||||
|
Products : |
|
||||
|
|
|
||||
|
Exports : |
|
||||
|
Products : |
v
Aluminium |
||||
|
Countries : |
v
v
|
||||
|
|
|
||||
|
Terms : |
|
||||
|
Selling : |
L/C, Cash and Credit (30 days) |
||||
|
|
|
||||
|
Purchasing : |
Cash and Credit (30 days) |
PRODUCTION STATUS (AS ON 31.03.2010)
i) Licensed Capacity: Not applicable
ii) Installed Capacity:
At
At
At Kolkatta 19,000 Mts p.a.
|
Particulars |
Unit |
Production/
Consumption during the year Nos. |
|
Aluminium Foil |
Kgs |
2,06,31,381 |
|
PVC Film |
Kgs |
32,28,999 |
|
|
|
|
GENERAL INFORMATION
|
Customers : |
Wholesalers, Retailers and End Users v
Ajanta Pharma Limited v
Akums Drugs and Pharmaceuticals v
Alembic Limited v
Ankur Drugs and Pharma Limited v
Apex Laboratories Private Limited v
Astrazeneca Pharma v
Aurobindo Pharma Limited v
Aventis Pharma Limited v
Bharat Heavy Electricals v
Biocon Limited v
Blue Cross Laboratories Limited v
Cadbury India Limited v
Cadila Healthcare Limited v
Cadila Pharmaceuticals Limited v
Intas Pharmaceuticals Limited v
IPCA Laboratories Limited v
ITC Limited v
Kalindi Medicure Private Limited v
Windlas Biotech Limited v
Wockhardt Limited v
Wrigley India Private Limited v
Wyeth Limited v
X L Laboratories Private Limited v
Yamuna Roto Prints v
Zaneka Healthcare Private Limited v
Zydus Healthcare |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
No. of Employees : |
1200 (Approximately) |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
v
State Bank of v
ICICI Bank Limited v
Royal Bank of v
Kotak Mahindra Bank Limited v
IDBI Bank Limited v
Axis Bank Limited v
The Shamrao Vithal Co-Operative Bank Limited |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
Note: # a) Term
Loan from Bank are secured by first charge on Fixed Assets of the company. b) Installment of
term loan due within one year Rs.500.000 millions (PY 204.792 millions) c) Cash Credit
and other facilities from the Company’s bankers are secured by pari pasu
first charge on the entire current assets comprising of
stock of raw materials, consumable stores and spares in the factory godown or
in transit and book debts / receivables of the company, further secured by
personal guarantee of the promoter director of the company. d) Vehicle Loans are secured by hypothecation of vehicles purchased.
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
M.P. Chitale and
Company Chartered
Accountants |
|
Address : |
Hamam House,
Ambalal Doshi Marg, Fort, Mumbai – 400 001, |
|
|
|
|
Solicitors and Advocates : |
|
|
Name : |
Kanga and Company |
|
Address : |
|
|
|
|
|
Subsidiaries : |
v
Flex
Art Foil Private Limited |
|
|
|
|
Enterprises over
which key management personnel and their relatives are able to exercise
significant influence : |
v
Parth International v
Neat Pack v
Vyoma Investment and Finance Company Private
Limited |
CAPITAL STRUCTURE
After 14.12.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
35000000 |
Equity Shares |
Rs.10/- each |
Rs.350.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
32047811 |
Equity Shares |
Rs.10/- each |
Rs.320.478
Millions |
|
|
|
|
|
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
35000000 |
Equity Shares |
Rs.10/- each |
Rs.350.000
Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
27824765 |
Equity Shares |
Rs.10/- each |
Rs.278.248
Millions |
|
|
|
|
|
Note :- a) Of the
total Paid up Capital 40,00,000 Equity Shares of Rs.10 each fully paid up have
been issued for consideration other than cash)
b) 95,58,182
Equity Shares have been issued as fully paid-up bonus shares by capitalization of
free reserves on 13/04/2006
Note :- 25,59,046
Equity shares of Rs 10 each to be issued as fully paid up eligible equity and
preference share holders of erstwhile India Foils Limited as per the Modified
Rehabilitation Scheme sanctioned by BIFR vide order dated 30th
September 2010.
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 |
278.248 |
278.248 |
278.248 |
|
|
2] Share Capital Suspense Account |
1513.079 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2734.184 |
3740.850 |
3141.378 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
4525.511 |
4019.098 |
3419.626 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1519.616 |
1025.390 |
764.583 |
|
|
2] Unsecured Loans |
0.000 |
0.938 |
0.938 |
|
|
TOTAL BORROWING |
1519.616 |
1026.328 |
765.521 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
83.148 |
41.410 |
|
|
DEFERRED SALES TAX LIABILITY |
210.262 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6255.389 |
5128.574 |
4226.557 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
2519.478 |
1860.148 |
818.051 |
|
|
Capital work-in-progress |
1088.038 |
0.000 |
618.248 |
|
|
|
|
|
|
|
|
INVESTMENT |
40.154 |
1174.613 |
358.516 |
|
|
DEFERREX TAX ASSETS |
750.391 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
349.717
|
157.595
|
234.728 |
|
|
Sundry Debtors |
3181.854
|
2360.358
|
1251.774 |
|
|
Cash & Bank Balances |
149.107
|
72.834
|
170.215 |
|
|
Other Current Assets |
0.000
|
0.000
|
0.000 |
|
|
Loans & Advances |
772.729
|
393.633
|
1215.424 |
|
Total
Current Assets |
4453.407
|
2984.420 |
2872.141 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1325.633 |
519.956 |
265.639 |
|
|
Other Current Liabilities |
0.000
|
0.013 |
0.014 |
|
|
Provisions |
1270.446
|
370.638
|
174.746 |
|
Total
Current Liabilities |
2596.079
|
890.607
|
440.399 |
|
|
Net Current Assets |
1857.328
|
2093.813
|
2431.742 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6255.389 |
5128.574 |
4226.557 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Net Sales |
5393.149 |
4014.815 |
2804.776 |
|
|
|
Other Income |
139.344 |
43.477 |
79.254 |
|
|
|
Reversal of Impairment |
16.214 |
0.000 |
0.000 |
|
|
|
TOTAL (A) |
5548.707 |
4058.292 |
2884.030 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Material Costs |
3321.254 |
2665.646 |
1876.639 |
|
|
|
Manufacturing Expenses |
233.845 |
91.128 |
57.719 |
|
|
|
Employee Costs |
205.172 |
88.203 |
67.061 |
|
|
|
Selling and Administrative Expenses |
239.761 |
144.283 |
87.844 |
|
|
|
TOTAL (B) |
4000.032 |
2989.260 |
2089.263 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1548.675 |
1069.032 |
794.767 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
166.236 |
114.637 |
45.026 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1382.439 |
954.395 |
749.741 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
166.564 |
52.065 |
30.571 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1215.875 |
902.330 |
719.170 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(603.392) |
237.751 |
102.093 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1819.267 |
664.579 |
617.077 |
|
|
|
|
|
|
|
|
|
|
Loss after tax
of FY 2008-09 of IFL |
(1488.166) |
-- |
-- |
|
|
|
Profit |
331.101 |
664.579 |
617.077 |
|
|
|
Balance of Profit & Loss account of IFL (net
of adjustment as per BIFR order date 02.08.2008) |
(1352.790) |
-- |
-- |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1213.960 |
680.488 |
189.519 |
|
|
|
|
|
|
|
|
|
|
Amount Available
For Appropriation |
192.271 |
1345.067 |
806.596 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
64.096 |
55.650 |
55.650 |
|
|
|
Corporate Dividend Tax Thereon |
10.640 |
9.458 |
9.458 |
|
|
|
Transferred To General Reserve |
100.000 |
66.000 |
61.000 |
|
|
BALANCE CARRIED
TO THE B/S |
17.535 |
1213.959 |
680.488 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
339.191 |
112.176 |
98.564 |
|
|
TOTAL EARNINGS |
339.191 |
112.176 |
98.564 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
1682.167 |
779.436 |
668.888 |
|
|
|
Capital Goods |
1.051 |
9.243 |
0.000 |
|
|
TOTAL IMPORTS |
1683.218 |
788.679 |
668.888 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
- Basic |
11.90 |
23.88 |
22.70 |
|
|
|
- Diluted |
10.90 |
23.88 |
22.70 |
|
|
Particulars |
|
|
31.03.2011 |
|
Sales Turnover (Approximately) |
|
|
6008.900 |
|
|
|
|
|
The above information has been parted by Mr. Raja Ram (Chief Finance
Officer).
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
31.03.2011 |
30.06.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
5th
Quarter |
|
Net Sales |
1230.740 |
1558.950 |
1776.510 |
1899.380 |
1631.120 |
|
Total Expenditure |
836.800 |
1154.050 |
1307.210 |
1639.560 |
1228.550 |
|
PBIDT (Excl OI) |
393.940 |
404.900 |
469.300 |
259.820 |
402.570 |
|
Other Income |
27.810 |
134.810 |
44.200 |
51.980 |
48.130 |
|
Operating Profit |
421.760 |
539.710 |
513.500 |
311.790 |
450.700 |
|
Interest |
35.960 |
52.750 |
52.410 |
44.360 |
71.240 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
385.800 |
486.960 |
461.090 |
267.430 |
379.460 |
|
Depreciation |
26.040 |
45.860 |
47.360 |
75.100 |
64.170 |
|
Profit Before Tax |
359.760 |
441.110 |
413.730 |
192.320 |
315.290 |
|
Tax |
86.690 |
60.660 |
82.620 |
101.350 |
134.350 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
273.070 |
380.450 |
331.110 |
90.970 |
180.940 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
273.070 |
380.450 |
331.110 |
90.970 |
180.940 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
32.79
|
16.38
|
21.40 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
22.54
|
22.48
|
25.64 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
17.44
|
18.63
|
19.49 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.27
|
0.22
|
0.21 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.91
|
0.48
|
0.35 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.72
|
3.35
|
6.52 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
Subject is a supplier of primary packaging materials in
FINANCIAL RESULTS
The Hon’ble Board
for Industrial and Financial Reconstruction (BIFR) vide its order dated 30th
September, 2010 approved the merger of India Foils Limited, a subsidiary of the
Company with the Company w.e.f 1st April, 2008. The Board at its
meeting held on 30th October, 2010 reopened the accounts for the
year ended 31st March, 2010, which were approved at its meeting held
on 26th May, 2010 and approved the merged financials for the year ended 31st
March, 2010.
Consequently, the
Standalone financials provided for the Fiscal 2010 comprises the merged
accounts of India Foils Limited with the Company and the consolidated
financials comprises the financials of the subsidiary company Flex Art Foil
Private Limited Therefore, the figures for the previous year ended on 31st
March, 2009 furnished on a standalone as well as consolidated basis are not
comparable.
PERFORMANCE REVIEW
The Company has
recorded a significant growth in its performance. Total Income grew to
Rs.5548.707 millions, registering 36.73 % growth of over previous year income
of Rs.4058.292 millions. Profit after Tax before adjustments improved by 173.74
% to Rs.819.267 millions in the current year compared to Rs.664.579 millions in
the previous year. This growth has been possible primarily due to a combination
of factors like repeat orders and client additions supported by capacity
expansion.
SHARE CAPITAL
The paid up share
capital of the Company as on 31st March, 2010 was Rs.278.248
millions divided into 27824765 shares of Rs.10/- each. Further on 7th
July, 2010 Company issued 16,64,000 equity shares of Rs.10/- each at premium of
Rs.507.03 per share to Qualified Institutional Buyers through Qualified
Institutional Placement (“QIP”) under Chapter VIII of the Securities and
Exchange Board of India (Issue of Capital and Disclosure Requirements)
Regulations, 2009 (the “SEBI Regulations”) raising around Rs.860.338 millions
which the Company intends to use in accordance with the provisions of the
applicable laws and regulations for all or any of the following : expansion of
the existing aluminium foils mills, for addition of flexible and pharmaceutical
printing process lines, to cater to the long term working capital and capital
expenditure requirement of their Company and its subsidiaries, for future
acquisition, for investments in its subsidiaries, other general corporate
purposes and for such other uses that may be permissible under applicable
statutory and/or regulatory requirements.
In accordance with
the decision of their Board of Directors and as permissible under applicable
laws and government policies, their management will have flexibility in
deploying the proceeds through QIP. Pending utilization for the purpose
described above, it is intended to temporarily invest funds in interest or
dividend bearing liquid and credit worthy instruments including money market
mutual funds and term deposits with banks or financial institutions. Such
investments would be in accordance with the approvals received from the Board
from time to time.
The Hon’ble Board
for Industrial and Financial Reconstruction (BIFR) vide its Order dated 30th
September, 2010 approved the merger of M/s. India Foils Limited with the
Company w.e.f. 1st April, 2008 in terms of the Modified Draft
Rehabilitation Scheme.
In terms of the
Share Exchange Ratio sanctioned by the BIFR, the Company at its Board Meeting
held on 30th October, 2010 has allotted 25,59,046 Equity Shares to the
shareholders of M/s India Foils Limited (Transferor Company) as ascertained on
the Record date i.e. 26th October, 2010. The said equity shares rank
pari passu with the existing Equity Shares in all respects including dividend.
The outstanding
issued, subscribed and paid up capital of the Company is Rs.320.478 millions
comprising of 32,047,811 Equity Shares of Rs.10/- each.
OPERATIONS
The Company
operates in a single segment i.e. Advanced Packaging Solutions.
The company’s
installed foil rolling mill capacity is currently at 37,000 tons in a year. The
PVC unit continued with stable operations and the coating and laminating unit
worked at full capacity during the year.
KEY DEVELOPMENTS
Pursuant to the
direction of the Hon’ble Board for Industrial and Financial Reconstruction
(BIFR) at the proceedings dated May 21, 2009, the Monitoring Agency, viz: Kotak
Mahindra Bank Limited, filed a Modified Draft Rehabilitation Scheme (MDRS) with
the Hon’ble BIFR on June 30, 2009, interalia proposing merger of India Foils
Limited (IFL) with the Company effective from 1st April, 2008.
Pursuant to
section 19(2) read with section 19(1) of the Sick Industrial Companies (Special
Provisions) Act, 1985(SICA) the BIFR approved for circulation the Modified
Draft Rehabilitation Scheme (MDRS) .The objections/suggestions to MDRS was
circulated vide BIFR order dated 01.01.2010 and thereafter mandatory hearings
were held on 13.03.2010, 05.04.2010, 18.06.2010, 01.07.2010 and 12.08.2010.
Having considered the submissions made /suggestions received during these
hearings and the subsequent communications received from the company and the
Monitoring agency, BIFR noted that all parties concerned had given their
consent under Section 19(2) of SICA .Accordingly, BIFR in exercise of its powers
under Section 18(5) read with Section 19(3) of SICA sanctioned the MDRS, which
includes merger of IFL with the company, vide its order dated September 30,
2010. The order was received by the company on 9th October 2010. In
accordance with the MDRS the merger is effective from the appointed date i.e. 1st
April, 2008.
CONSEQUENT TO THE
MERGER
Doubling the foil
rolling installed capacity:
IFL has a
installed aluminium rolling capacity of 19,000 MTPA which will result into the
double of the installed capacity of the Company from 18000 MTPA to 37000 MTPA.
Lifting of work
suspension in IFL Hoera unit:
IFL Horea unit
which has a aluminium foil rolling capacity of 8000 MTPA was having work
suspension since 2004. They have lifted the work suspension in Hoera unit on
June 28, 2009 and the unit started the commercial production in a planned
phased manner
Up gradation of
They are
constantly putting in their efforts to upgrade the technology and equipment
functioning at manufacturing locations of India Foils division. New
technologies are being developed for the various processes of manufacturing
packaging products in IFL units. In the previous fiscal year they have devoted
their resources to bring a consistent improvement in IFL plants and they intend
to continue upgrading their technology in the future in the field of product
development and merchandising to keep theirselves competitive and efficient.
Long term
agreement signed with
They have signed a
Memorandum of Settlement with the labour union in
Launching of
Anti-counterfeit solution
In order to
provide comprehensive and innovative packaging solutions to their customers, they
focus on research and development of new products and solutions. For e.g. they
are working very closely with pharmaceutical companies to combat the problem of
counterfeiting by way of offering them innovative solutions like
AKINTO-security printing of currency notes, printing of 3-dimensional
holograms, invisible inks, registered diagrams, multi-coloured designs which
also helps to create a marked difference for the customers and provide distinct
brand identification for the end customers.
On September 12,
2010 Their Hoera plant was formally inaugurated by Honorable Shree Pranab
Mukherjee, Union Finance Minister
SUBSIDIARY
As on 31st
March, 2010 Flex Art Foil Private Limited (FAFPL) and India Foils Limited (IFL)
were the subsidiary companies of the Company. However, consequent to the
sanctioning of the Modified Draft Rehabilitation Scheme by BIFR vide its Order
dated September 30, 2010, IFL stood merged with the Company with effect from
appointed dated i.e. 1st April, 2008.
Particulars of
subsidiary is as follows:
Their Subsidiary,
FAFPL was incorporated on August 31, 2005. Post Acquisition of 100% stake in
March 2006, FAFPL became the wholly owned Subsidiary of their Company which
provides facilities for printing of aluminium blister and poly to pharmaceutical
companies for their packaging solutions at various locations across the
country. With the introduction of new products and spurt in the number of
registered DMFs (Drug Master File), service vis a vis lead times have assumed
primary importance. The aluminium foil based packaging products manufactured by
their Company is used as raw materials by FAFPL. Presently, FAFPL is carrying
on its operations from Corlim in Goa, Vasai in Maharashtra, Daman, Baddi in
Himachal Pradesh and Bardang in
MANAGEMENT
DISCUSSION AND ANALYSIS
INDUSTRY STRUCTURE
AND DEVELOPMENT, OUTLOOK
Aluminium Foil
Packaging Industry
Aluminium foil,
which is very commonly used in the packaging industry, is a continuous web of
aluminium metal rolled to thickness ranging from 6 microns to a maximum of 64
microns. Foil is available in many forms like light, hard, soft (annealed),
lubricated, non-lubricated, plain, coated, coloured, printed, embossed and
laminated to a variety of paper, polythene and synthetic films.
Aluminium foil
inherits all the important characteristics from aluminium, which is why
aluminium is a preferred metal for manufacturing packaging foils. like good
formability, odourless and tasteless, excellent printability and Impermeability
and non-absorptive to water, grease, oil and light. Aluminium packaging would
rank higher than most other packaging materials, like paper or glass with very
low MVTR and MTR values. Because of all these reasons, aluminium packaging
material is the preferred material for packaging in the Pharmaceutical and Food
and FMCG sectors
Pharmaceutical
industry is one of the major end-users of aluminium foils. The global
pharmaceuticals market is about USD 773 billion in size. North America, Europe
and
The Indian
Pharmaceutical Industry ranks 14th in the global league table, with sales of
almost USD 19 billion in March 2009. It is expected to rise to USD 50 million
by 2020, climbing to be one of the industry’s top 10 markets. Key triggers for
this growth are the expanding economy and increasing per capita GDP, amongst
others.
Indian
pharmaceutical industry has witnessed average annual growth of about 14% during
the past three years.
Indian pharmaceutical
industry is expected to sustain average annual growth of 12-14% in the long
term. This is expected to drive demand for aluminium foils.
The Indian
processed food industry size is estimated at Rs.2,800 billion; including
Rs.1,000 billion of value added products. The Indian processed food industry is
expected to witness a healthy annual growth in the long term. This is expected
to drive demand for aluminium foils.
The company
derives the demand for its products mainly from the pharmaceutical and FMCG
industry. The role of packaging is paramount here as the packaging is directly
in touch with the medicines and requires extremely high quality and standards
to be maintained. The company has forayed into the FMCG and retail space. Here
the role of packaging is multi- dimensional as it not only produces the
products but also enhances its brand recall and gives it a unique identity.
With increased investments from private players the organized retail segment is
expected to grow. The aluminium consumption in the packaging is driver
primarily by growing application in personal care products (FMCG)
Pharmaceuticals formulation and processed foods. Growing consumption followed
by sharp rise in income levels of, growing middle class, changing Indian demographic
and advent of organized market will the Company’s growth strategy.
OPERATIONS
The Company
operates in single segment i.e. Advanced Packaging Solutions.
The company’s foil
rolling mill expanded capacity was at 37000 tons during the year. The PVC unit
continued with stable operations and the Coating and laminating unit worked at
full capacity during the year.
With core
competency in aluminium packaging, the company has extended its product
portfolio to include specialized packaging for the food and FMCG sectors. The
company has established itself as a leading supplier of primary packaging
materials and as a specialist in providing tailor made aluminium foil based
flexible packaging laminates and PVC and PVDC coated PVC based thermoforming
solutions. Resultantly, the company is first in
The company has
also established presence in the prophylactics segment and has been entrusted
with the task of providing specialized aluminium foil based laminates for large
contraceptive brands. Their facility at
The plant in
The pharmaceutical
companies are faced with the threat of counterfeit packaging solution from the
spurious suppliers. The company has been endeavoring to provide innovative
packaging solutions to pharmaceutical companies to thwart the menace of spurious
drugs.
Aluminium sheet is
the major raw material which is imported from GARMCO,
AWARDS AND ACHIEVEMENTS:
Their Company/Promoter has received the following awards:
v CFBP (Council for
fair business practices) Jamnalal Bajaj Uchit Vyavahar Puraskar- 2009 for Fair
Business Practices
v
Excellence Award (2009) by Institute of Economic
Studies
CONTINGENT LIABILITIES
(AS ON 31.03.2010)
a) The Company has
given guarantee to the electricity supply undertakings aggregating to Rs.1.380
millions which is secured by fixed deposit under lien to the bank to the extent
of Rs 0.345 million.
b) The company has
given guarantee to bankers for loan taken by erstwhile IFL Rs.740.000 millions
c) The Company is
under obligation under the EPCG and Advance License scheme to export Aluminium
Foil and PVC film. The contingent liability under the guarantee amounted to
Rs.17.917 millions, which is secured by fixed deposit under lien to the bank to
the extent of Rs.16.307 millions.
d) Guarantees
given for a bank loan to its subsidiary Flex Art Foil Private Limited to the
extent of Rs.305.860 millions.
e) Demand from
Kolkata Port Trust in respect of increased lease rental amounting to Rs.18.618
millions against the Company not acknowledged as debt. The matter is subjudice
and is pending before the Appellate Authority for Industrial and Financial
Reconstruction. The Estate Officer appointed under the Public Premises
(Eviction of Unauthorized Occupants) Act, 1971 has served an order dated
10/12/2009 for eviction and auction of the Company’s assets situated at
Taratalla. The Company has filed an appeal before the
f) The Company has
issued a bank guarantee to the customs authorities
UNAUDITED FINANCIAL RESULTS
FOR THE YEAR ENDED 30TH JUNE, 2011 (PURSUANT TO CLAUSE 41 OF THE
LISTING AGREEMENT)
(Rs.
in millions)
|
Particulars |
Standalone |
||
|
Quarter Ended |
Year Ended |
||
|
30.06.2011 (Unaudited) |
30.06.2010 (Unaudited) |
31.03.2011 (Audited) |
|
|
1. Net Sales/
Income from operations |
1631.119 |
1230.744 |
6465.580 |
|
|
|
|
|
|
2. Expenditure |
|
|
|
|
a) (Increase)
/decrease in stock in trade |
(168.677) |
20.077 |
0.950 |
|
b) Consumption
of Raw Materials |
1278.805 |
763.682 |
4459.949 |
|
c) Employees
Cost |
63.839 |
30.874 |
228.342 |
|
d) Depreciation |
64.174 |
26.043 |
194.357 |
|
e) Other
Expenditure |
54.575 |
22.163 |
248.368 |
|
Total |
1292.716 |
862.839 |
5131.966 |
|
|
|
|
|
|
3. Profit from
operations before other income, interest and exceptional items (1-2) |
338.403 |
367.905 |
1333.614 |
|
|
|
|
|
|
4. a) Other
Income |
48.134 |
27.810 |
155.568 |
|
b) Reversal of
Impairment of Assets |
-- |
-- |
103.226 |
|
|
|
|
|
|
5. Profit before
Interest and Exceptional Items (3+4) |
386.537 |
395.715 |
1592.408 |
|
|
|
|
|
|
6. Interest |
71.237 |
35.957 |
185.485 |
|
|
|
|
|
|
7. Profit after
Interest but before Exceptional Items (5-6) |
315.300 |
359.758 |
1406.923 |
|
|
|
|
|
|
8. Exceptional
items |
-- |
-- |
-- |
|
|
|
|
|
|
9. Profit (+)/
Loss (-) from Ordinary Activities before tax (7+8) |
315.300 |
359.758 |
1406.923 |
|
|
|
|
|
|
10. Tax expenses |
134.353 |
86.693 |
331.324 |
|
|
|
|
|
|
11. Net Profit
(+)/ Loss (-) from ordinary activities after tax (9-10) |
180.947 |
273.065 |
1075.599 |
|
|
|
|
|
|
12.
Extraordinary Item (net of tax expense) |
-- |
-- |
-- |
|
|
|
|
|
|
13. Net Profit(+)/
Loss(-) for the period (11-12) |
180.947 |
273.065 |
1075.599 |
|
|
|
|
|
|
14. Paid up
Equity Share Capital (Face Value Rs
10 per share) |
320.478 |
278.248 |
320.478 |
|
|
|
|
|
|
15. Reserves
(excluding Revaluation Reserves) |
-- |
-- |
5924.602 |
|
|
|
|
|
|
16. Basic and
Diluted Earnings per Share (EPS) in Rs (Non - annualized) |
|
|
|
|
a. Basic and
Diluted EPS before Extraordinary Items for the period, for the year to date
and for the previous year (not to be annualized) |
5.65 |
9.81 |
34.03 |
|
b. Basic and
Diluted EPS after Extraordinary Items for the period, for the year to date
and for the previous year (not to be annualized) |
5.65 |
9.81 |
34.03 |
|
|
|
|
|
|
17. Public
Shareholding |
|
|
|
|
- Number of
Shares |
12978944 |
11292884 |
12978944 |
|
- Percentage of
Shareholding |
40.50 |
40.59 |
40.50 |
|
|
|
|
|
|
18. Promoters
& Promoter Group Shareholding |
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
- Number of
shares |
435000 |
435000 |
435000 |
|
- Percentage of
shares (as a % of the total shareholding of promoter and promoter group) |
2.28 |
2.63 |
2.28 |
|
Percentage of
shares (as a % of the total share capital of the Company) |
1.36 |
1.56 |
1.36 |
|
b)
Non-encumbered |
|
|
|
|
- Number of shares |
18633867 |
16096881 |
18633867 |
|
- Percentage of
shares (as a % of 'the total shareholding of promoter and promoter group) |
97.72 |
97.37 |
97.72 |
|
- Percentage of shares (as a% of the total share capital of the
Company) |
58.14 |
57.85 |
58.14 |
Stand-Alone
Information (Unaudited)
(Rs.
in millions)
|
Particulars |
Quarter Ended |
Year Ended |
|
|
30.06.2011 (Unaudited) |
30.06.2010 (Unaudited) |
31.03.2011 (Audited) |
|
|
Revenue |
1631.119 |
1230.744 |
6465.580 |
|
Profit before tax and exceptional item |
315.300 |
359.758 |
1406.923 |
|
Profit after tax before exceptional item |
180.947 |
273.065 |
1075.599 |
|
Profit after tax and exceptional item |
180.947 |
273.065 |
1075.599 |
Figures for the Quarter ended June 2011 are not comparable with that of
June 2010 as the same do not include the figures of merged entity erstwhile
India Foils Limited.
Notes
1. The quarterly
results have been reviewed by the Audit Committee and approved by the Board of
Directors at their meetings held on 11th August, 2011 and have been
subjected to a limited review by the statutory auditors.
2. The Company has
consolidated the financial results of its subsidiary Flex Art Foil Private
Limited (FAFPL).
3. The operations
of the Company and its subsidiary relate only to single segment viz. advanced
packaging solutions. Hence there is no reportable segment identifiable in
accordance with AS-17 notified in the Company (Accounting Standard) Rules,
2006.
5. Status of
investor complaints/queries during the quarter ended 30th June,
2011: Pending at the beginning- Nil; Received – 17; Disposed off – 17; Pending
at the end - Nil.
6. Previous periods figures have been regrouped/ rearranged/ reworked wherever
necessary
FIXED ASSETS:
v
v
v
v Plant and Machinery
v Factory Equipments
v Electrical Installation
v Office Equipments
v Computer Systems
v Computer Software
v Air conditioners
v Furniture and Fixtures
v Vehicles
WEBSITE DETAILS:
Business
Description
Subject is an India-based company. The Company operates in
single segment, the Advanced Packaging Solutions. It is a supplier of primary
packaging materials and provides aluminum foil-based flexible packaging laminates
and polyvinyl chloride (PVC) and poly-vinylidene dichloride (PVDC) coated
PVC-based thermoforming solutions. It manufactures pharma packaging products,
such as cold form blister and child-resistant blister packaging. The Company’s
new pharmaceutical applications include cold form blister packs, oral
rehydration salts, PVDC-coated PVC, child resistant packs, cough lozenges, and
anti-terminal box (TB) combo packs. During the fiscal year ended March 31, 2010
(fiscal 2010), the Company’s foil rolling mill expanded capacity was at 37,000
tons. The Company provides its product for the pharmaceutical and fast moving
consumer goods (FMCG) industry. During fiscal 2010, its subsidiary, India Foils
Limited, merged with the Company. For the nine months ended 31 December 2010,
Subject Company's revenue increased 19% to RS5.13B. Net income increased 45% to
RS1.05B. Revenues reflect increased income from operations and a rise in other
income. Net income also reflects an increase in operating margin. Subject is an
India-based packaging solutions company. The Company operates in single
segment, the Advanced Packaging Solutions.
Board of Directors
Sudip Dutta
Executive Chairman
and Managing Director
Mr. Sudip Dutta, is the Executive Chairman of the Board and Managing
Director of subject and is responsible for the overall operations and
management of the Company, which has two manufacturing units, situated at Goa
and
Soumitra Narayan
Barari
Whole time Director
Mr. Soumitra Narayan Barari is the Whole time Director of subject He holds PGD in Packing Technology. He has been a Director of India Foils Limited
Ramdas L. Baxi
Non-Executive
Independent Director
Mr. Ramdas L. Baxi, B.com, LLB, is Non-Executive Independent Director of subject. He has 40 years of experience in the field of Insurance. He retired as Director and General Manager of New India Assurance Company Limited. He is director of GIC Asset Management Company Limited.
Debdeep Bhattacharya
Whole Time Director
Mr. Debdeep Bhattacharya is the Whole Time Director of subject He holds B.Sc. Degree.
Madan Mohan Jain
Non-Executive
Independent Director
Mr. Madan Mohan Jain is the Non-Executive Independent Director of subject He holds a B.Sc degree. He has been a Director of India Foils Limited, Panama Petrochem Limited
Gautam Mukherjee
Non-Executive
Independent Director
Mr. Gautam Mukherjee is Non-Executive Independent Director
of subject. He renders advise in the areas of organization development,
institution building and management of change. He was formerly the Joint
President of Indal and the Managing Director of Annapurna Foils Limited. He has
40 years of experience in the industry. He is qualified as a Bachelor of
Engineering from
Rajib Mukhopadhyay
Director - Finance,
Whole time Director
Mr. Rajib Mukhopadhyay is the Director - Finance, Whole time Director of subject He is a Chartered Accountant.
Dilip S. Phatarphekar
Non-Executive
Independent Director
Mr. Dilip S. Phatarphekar, B.A., LLB, is Non-Executive
Independent Director of subject. He is a practicing Advocate and Arbitrator and
has experience of over 40 years. He has worked as head of Legal Department of
companies such as Pfizer Limited and Essar Group of Companies. He is director
of Panama Petrochem Limited.
PRESS RELEASES:
DAPPER WRAPPER;
AFTER A SUCCESSFUL INTEGRATION OF
01 June 2011
In November 2008, Mumbai-based Ess Dee Aluminium acquired India Foils
for Rs.1300.000 millions. The acquisition created a flutter in the domestic
packaging industry as it was not just another transaction in the
highly-fragmented industry. The deal resulted in a relatively-small and young
entity buying out century-old India Foils from the mining major Vedanta Group.
Industry veterans sat up and took notice of the transaction as Ess Dee
Aluminium gobbled up India Foils, whose turnover and output were double those
of the acquirer. The Vedanta Group had bought India Foils from the Khaitan
Group about eight years ago and tried to turn it around. But
Then a year after the acquisition, the unthinkable happened. India Foils
began turning around. Industry veterans watched in disbelief as India Foils
gradually got integrated with Ess Dee Aluminium and catapulted the latter into
the big league.
The India Foils acquisition proved to be a turning point for Ess Dee
Aluminium. The over Rs.6800.000 millions Ess Dee Aluminium is today one of the
country's largest end-to-end primary packaging solutions provider. With an
integrated business model, the company has an enviable clientele of over 250,
comprising the who's who of the pharmaceutical industry, including Cipla,
Pfizer, Wockhardt, Torrent, Lupin, Wyeth, Sun Pharmaceutical Industries,
Zydus-Cadila and Ranbaxy, among others. Besides, the packaging company counts
FMCG majors like Hindustan Unilever, ITC, Cadbury
"I had my eyes on India Foils since 1999, ever since the Khaitan
Group revealed its intention to sell the company. But I was waiting for my
time," reveals Ess Dee Aluminium Chairman and Managing Director Sudip
Dutta. For the 39-year-old Ess Dee chief, the acquisition of India Foils was a
calculated move. He wanted a company that Ess Dee could ride on and become the
biggest foil-maker in the country. And the loss-making India Foils presented
him a golden opportunity.
Early struggle
So, how did the turnaround come about? A quick peep into the past
enables a better understanding of the exciting Ess Dee story. It all began with
the 16-year-old Dutta stepping out of the train from his hometown
In the summer of 1991, the owners of the unit decided to sell it off. Mr
Dutta moved in with a unique offer. He paid his entire savings of Rs 16,000 and
bought out the unit with a promise that any profit for the first two years
would go to the original owners. Thus began a long and exciting journey, which
took Mr Dutta to greater heights. Ess Dee Aluminium, which provides packaging
solutions to almost all major companies in the pharmaceutical industry, had a
humble beginning in 1991 in the small, 12-employee, pouching unit in Mumbai,
making sachets for oral rehydration powders.
Mr Dutta, who had seen life from very close quarters, began building the
company, step by step, and integrating various operations to offer holistic
solutions. In 1998, a printing unit was set up in Vasai to print on
pharmaceutical packages. Thus was born Flex Art Foil, which subsequently set up
printing units near its aluminium rolling facilities in Kundaim (Goa),
Early on in the industry, Mr Dutta realised that integrated services
were the key to success. Accordingly, he forayed into PVC film manufacturing
and set up a unit in Kundaim in 2003. PVC films enabled the fledgling packaging
company to provide services to high-end pharmaceutical clients. The following
year, going in for backward integration, Mr Dutta set up an aluminium foil
manufacturing unit in
It was time for consolidation. In 2006, Mr Dutta amalgamated various
group companies involved in diverse operations and formed Ess Dee Aluminium.
Ess
Today, Ess Dee Aluminium, with the India Foils division and the
wholly-owned subsidiary, Flex Art Foils, occupies an enviable position in the
domestic packaging industry. With annual capacity of 38,000 tonnes, it has five
major manufacturing facilities - a primary foil rolling unit in Daman, another
foil conversion unit in Daman, a PVC and PVDC rigid film manufacturing unit in
Kundaim, two India Foils' aluminium foil and foil-based packaging material
manufacturing units, one each in Kamarhati, Kolkata, and Hoera, Hooghly.
Besides, subsidiary Flex Art Foils' printing facilities near its foil
rolling facilities enable the company to provide integrated packaging solutions
to clients at short notice. The company procures raw material aluminium from
Stretching limits
A combination of Mr Dutta's determination and grit has enabled Ess Dee
Aluminium to make giant strides. Besides, the company's integrated
hub-and-spoke model has assured it huge success. "The essence in packaging
industry is how close you can be to your clients," adds Mr Dutta. With
this model, Ess Dee has been able to serve its clients swiftly and efficiently.
After establishing its firm foothold in the pharmaceutical industry, the
packaging company has entered the rapidly-growing FMCG sector. It is already
serving top FMCG companies like Hindustan Unilever, ITC, Cadbury
The packaging company is closely eyeing the overseas market too.
Ess Dee Aluminium has ambitious plans up its sleeve. Incidentally,
funding too is not a problem, add analysts watching the company. Sequoia
Capital India recently picked up a minor stake in the packaging company for
Rs.268.800 millions. Sequoia joins a long list of investors such as ICICI
Prudential Life, Morgan Stanley Mutual Fund and Blackstone's India Fund, who
have bought stakes in the company in the past. "The bee will only come
where there is honey. Then I didn't have honey, now I have," stresses Mr
Dutta, recalling those tough, old days, when a loan of a meagre Rs 40,000 was
difficult to secure in the early 1990s.
From a humble beginning, Mr Dutta has assiduously built a successful
business through patience, perseverance and planning. As he taps the successful
FMCG sector and plans overseas foray, Ess Dee Aluminium is set to script many
more success stories in the days to come.
31 May 2011
MUMBAI, May 31Asia Pulse - India'sEss Dee Aluminium on Friday reported
an over 165 per cent growth in consolidated net profit of Rs 1180.100 millions
(US$26.1 million) for the year ended March 31, 2011.
The company had reported a net profit of Rs 444.600 millions in 2009-10.
Net sales of the company went up by 15.67 per cent at Rs.6806.700 millions
during the year as compared to Rs.5884.500 millions of FY'10, it said in a
filing to the Bombay Stock Exchange.
The company Board has also recommended a dividend of Rs 2 per share for
2010-11, it added.
Scrips of the company on Friday closed at Rs.465.05 apiece on the Bombay
Stock Exchange, 0.95 per cent down from the previous close.
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 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.54.97 |
|
|
1 |
Rs.87.50 |
|
Euro |
1 |
Rs.70.16 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
63 |
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.