MIRA INFORM REPORT

 

 

Report Date :

08.10.2012

 

IDENTIFICATION DETAILS

 

Name :

MODERN COMMUNICATION AND BROADCAST SYSTEMS PRIVATE LIMITED

 

 

Registered Office :

17, Vasuma Bungalows, Vastrapur, Ahmedabad – 380015, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

25.07.1985

 

 

Com. Reg. No.:

04-007980

 

 

Capital Investment/ Paid-up Capital:

Rs.34.980 Millions

 

 

CIN No.:

[Company Identification No.]

U32100GJ1985PTC007980

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

AHMM01615F

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturing and Trading of Communication and Broadcasting Equipments.

 

 

No. of Employees:

Information denied by management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (46)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 323000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track. There appears some dip in the sales turnover of the company during 2011.

 

However, trade relations as decent. 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.

 

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

 

 

EXTERNAL AGENCY RATING

 

 

Rating Agency Name

CRISIL

Rating

SE 1B

Rating Explanation

Highest performance capability and moderate financial strength 

Date

February 2009

 

 

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 DENIED

 

MANAGEMENT NON CO – OPERATIVE

 

91-79-23287379

 

LOCATIONS

 

Registered Office :

17, Vasuma Bungalows, Vastrapur, Ahmedabad – 380015, Gujarat, India

Tel. No.:

91-79-26562821

Fax No.:

91-79-26401407

E-Mail :

etaxserviceit@yahoo.in

 

 

Head Office / Factory :

B – 138/139, GIDC Electronics Estate Sector – 25, Gandhinagar – 382025, Gujarat, India

Tel. No.:

91-79-23287295/23287369/23288256

Fax No.:

91-79-23287294

E-Mail :

info@mcbsintl.com

 

 

Branches:

Located at

·         Ahmedabad

·         Bangalore

·         Hyderabad

·         New Delhi

·         Bhopal

·         Bhuvneshwar

·         Rajasthan

·         Jammu and Kashmir

 

 

 

 

DIRECTORS

 

As on 30.09.2011

 

Name :

Mr. Gyanchand Fulchand Jain

Designation :

Director

Address :

17, Vasuma Bungalows, Opp. Taxshila Flats, Vastrapur, Ahmedabad – 380015, Gujarat

Date of Birth/Age :

30.03.1946

Qualification :

BE, ME (Adv. Electrical), Fiete Miee

Date of Appointment :

25.07.1985

Din No.:

00383878

 

 

Name :

Mr. Ashish Gyanchand Jain

Designation :

Director

Address :

17, Vasuma Bungalows, Opp. Taxshila Flats, Vastrapur, Ahmedabad – 380015, Gujarat

Date of Birth/Age :

12.03.173

Qualification :

BE, MBA.

Date of Appointment :

01.12.2005

Din No.:

00384039

 

 

Name :

Mr. Manish Gyanchand Jain

Designation :

Director

Address :

17, Vasuma Bungalows, Opp. Taxshila Flats, Vastrapur, Ahmedabad – 380015, Gujarat

Date of Birth/Age :

01.10.1975

Qualification :

BE Diploma in International Business Management

Date of Appointment :

15.11.2002

Din No.:

00384017

 

 

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2011

 

Names of Shareholders

 

No. of Shares

Gyanchand Jain

 

1326661

Angoorideiv Jain

 

935014

Ashish Jain

 

300100

Manish Jain

 

311900

Pooja Jain

 

117750

Babulal Jain

 

10800

Ratnibai Jain

 

10800

New Communication Technology Private Limited

 

215000

Space Communication Technology (India) Private Limited

 

270000

 

 

3498025

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2011

 

Category

 

Percentage

 

 

 

Bodies corporate

 

13.87

Directors or relatives of directors

 

86.13

 

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing and Trading of Communication and Broadcasting Equipments.

 

 

 

 

GENERAL INFORMATION

 

No. of Employees :

Information denied by management

 

 

Bankers :

State Bank of India, SPL Commercial Branch, Gandhigram, Opposite Railway Station, Ahmedabad – 380 009, Gujarat, India 

 

 

Facilities :

Rs. In Millions

Secured Loans

As on 31.03.2011

Rs. in millions

As on 31.03.2010

Rs. in millions

Working capital *

63.939

42.207

Term loan including car loan

31.681

7.985

Other Loan

3.419

0.000

Total

99.039

50.192

 

NOTE:

* Nature of security on loan including interest accrued interest there on

 

1.     Cash credit stand by line of credit are secured by hypothecation of existing current assets  of the company  which includes stock of raw material, stock in process, semi finished goods, stores and spares, bill receivables and book debts

 

2.     Term loan including open term loan and  car loan are secured by hypothecation of plant and machinery and vehicles

 

3.     Other loans consist of loan form LIC Secured against LIC Polices of directors   

 

Unsecured Loans

As on 31.03.2011

Rs. in millions

As on 31.03.2010

Rs. in millions

From Directors, Share holders and their relatives 

3.012

1.310

 

 

 

Total

3.012

1.310

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Ambani Gupta and Jain

Chartered Accountants

Address :

311, Abhushan Complex, 17, Mahadevnagar Society, SP Stadium Road, Navrangpura, Ahmedabad – 380014, Gujarat

Tel. No.:

91-79-2646 7011, 2646 2906

Fax No.:

91-9825019148

E-Mail :

Agi_ca@hotmail.com

Pan No.:

AAEFA7500R

 

 

 

 

Related Party  :

·         New Communication Technology Private Limited

·         Space Communication Technology (India) Limited

·         MCBS International  Private Limited

·         First Capital and Finance Private Limited

 

 

CAPITAL STRUCTURE

 

As on.31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

5000000

Equity Shares

Rs.10/- each

Rs.50.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3498025

Equity Shares

Rs.10/- each

Rs.34.980 Millions

 

 

 

 

 

 


 

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

34.980

34.980

34.980

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

45.876

37.295

27.992

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

80.856

72.275

62.972

LOAN FUNDS

 

 

 

1] Secured Loans

98.039

50.192

38.733

2] Unsecured Loans

3.012

1.310

1.204

TOTAL BORROWING

101.051

51.502

39.937

DEFERRED TAX LIABILITIES

2.143

0.651

0.066

 

 

 

 

TOTAL

184.050

124.428

102.975

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

83.330

42.319

33.510

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.037

0.037

0.037

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

54.433

13.164

12.088

 

Sundry Debtors

71.721

42.546

58.612

 

Cash & Bank Balances

20.360

51.502

39.474

 

Other Current Assets

0.000

0.000

0.000

 

Loans & Advances

32.922

38.525

25.643

Total Current Assets

179.436

145.737

135.817

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

36.270

27.760

32.903

 

Other Current Liabilities

15.807

11.652

12.362

 

Provisions

26.789

24.394

21.281

Total Current Liabilities

78.866

63.806

66.546

Net Current Assets

100.570

81.931

69.271

 

 

 

 

MISCELLANEOUS EXPENSES

0.113

0.141

0.157

 

 

 

 

TOTAL

184.050

124.428

102.975

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

 

 

 

 

 

 

TURNOVER

383.146

530.375

660.451

 

 

 

 

 

 

EXPENSES

NA

NA

NA

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

26.856

25.423

21.434

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

7.586

4.700

4.487

 

 

 

 

 

 

PROFIT BEFORE TAX

19.270

20.723

16.647

 

 

 

 

 

Less

TAX                                                                 

6.611

7.333

6.658

 

 

 

 

 

 

PROFIT AFTER TAX

12.659

13.390

10.289

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

6.895

7.239

31.029

 

 

Other Earnings

0.236

0.064

Nil

 

TOTAL EARNINGS

7.131

7.303

14.434

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

159.572

430.945

502.901

 

 

Capital goods

16.856

0.000

0.000

 

 

176.428

430.945

502.901

 

 

 

 

 

 

Earnings Per Share (Rs.)

3.62

3.83

2.94

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

Return on Total Assets

(PBT/Total Assets}

(%)

7.33

11.01

9.83

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.24

0.28

0.26

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

2.23

1.59

1.69

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.78

2.28

2.04

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Check List by Info Agents

Available in Report [Yes/No]

Year of Establishment

Yes

Locality of the Firm

Yes

Constitution of the firm

Yes

Premises details

No

Type of Business

Yes

Line of Business

Yes

Promoters background

Yes

No. of Employees

No

Name of Person Contacted

No

Designation of contact person

No

Turnover of firm for last three years

Yes

Profitability for last three years

Yes

Reasons for variation <> 20%

-

Estimation for coming financial year

No

Capital the business

Yes

Details of sister concerns

Yes

Major Suppliers

No

Major Customers

No

Payment Terms

No

Export / Import Details [If Applicable]

No

Market Information

-

Litigations that the firm / promoter involved in

-

Banking Details

Yes

Banking Facility Details

Yes

Conduct of the banking account

-

Buyer visit details

-

Financials, if provided

Yes

Incorporation details, if applicable

Yes

Last accounts filed at ROC

Yes

Major Shareholders, if applicable

Yes

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

Yes

PAN of Proprietor/Partner/Director, if available

No

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

No

External Agency Rating, if available

Yes

 

SUNDRY CREDITORS DETAILS:

(Rs. In Millions)

Particulars

31.03.2011

31.03.2010

31.03.2009

 

 

 

 

Sundry Creditors for goods and Expenses

35.276

27.479

32.550

Creditors for fixed assets

0.994

0.281

0.353

Total

36.270

27.760

32.903

 

OPERATION AND BUSINESS PROSPECT

The company business was in three vertical viz cable Tv. Dish antenna and project. During the financial year 2010-11 company has sifted from trading of antenna to manufacturing of antenna by establishing new manufacturing facility for Dish Antenna at existing factory at Gandhinagar. The company started commercial production of Dish Antenna form November, 2011. In previous financial year 2009-10 company major sales was form trading antenna. As company shifted to manufacturing in financial year 2010-11, trading activity of dish antenna stropped to supply their own manufactured antenna and therefore, because of streamline  on new manufacturing facility, company’s sales of antenna was turnover, which impact on company turnover in coming years. The company turnover on new facility got ramp up in future company hope to achieve higher turnover in coming year. The company turnover was Rs.383.100 Millions financial year 2010-11, as compare to Rs.530.400 Millions in 2009-10, The net profit of the company was Rs.12.700 Millions 2010-11 as compared to Rs.13.400 Millions in 2009-10

 

FIXED ASSETS:

·         Land

·         Building

·         Computer

·         Eclectic Installation 

·         Furniture and Fixtures

·         Office Equipment

·         Plant and Machinery

·         Vehicle  

 


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.51.62

UK Pound

1

Rs.83.57

Euro

1

Rs.67.17

 

 

INFORMATION DETAILS

 

 

Information Gathered by :

SVA

 

 

Report Prepared by :

BYI

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

4

--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

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

46

 

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.