MIRA INFORM REPORT

 

 

Report Date :

05.08.2013

 

IDENTIFICATION DETAILS

 

Name :

MADURA COATS PRIVATE LIMITED (w.e.f.17.06.1998)

 

 

Formerly Known As :

COATS VIYELLA INDIA LIMITED

 

 

Registered Office :

144, Mahatma Gandhi Road, P.O. Box 5145, Bangalore – 560087, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

31.07.1974

 

 

Com. Reg. No.:

18-047421

 

 

Capital Investment / Paid-up Capital :

Rs. 74.651 Millions

 

 

CIN No.:

[Company Identification No.]

U18102KA1974PTC047421  

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

BLRM05939D

 

 

PAN No.:

[Permanent Account No.]

AABCM8279K

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer, Exporter and Importer of Zippers, Sliders Buttons and Sewing Accessories.

 

 

No. of Employees :

3819 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (52)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 11230000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established company having satisfactory record. Financial position of the company appears to be good. Trade relations are reported as fair. Business is active. Payments are reported to be correct and as per commitments.

 

The company can be considered normal for business dealings at usual trade terms and condition.

 

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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

India

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

 

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

 

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

 

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

 

 

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

 

Contact No.:

91-80-41900400 / 2558121

Date :

02.08.2013

 

 

LOCATIONS

 

Registered Office :

144, Mahatma Gandhi Road, P.O. Box 5145, Bangalore – 560087, Karnataka, India

Tel. No.:

91-80-25584121 / 41900400

Fax No.:

91-80-25584229 / 28518154

E-Mail :

madhura@coats.com

Website :

http://www.coatsindia.com

Area :

2500 sq ft

Location :

Owned

 

 

Head Office :

7th Floor, Jupiter, 2A-Block, Prestige Technlogy Park, Sarjapur-Marathahalli Ring Road, Bangalore - 560 103, Karnataka, India

Tel. No.:

91- 80-41900400

Fax No.:

91-80-28518156

 

 

Corporate Office :

H-85, Post Box No. 1600, Old Madras Road, Bangalore – 560 016, Karnataka, India

Tel. No.:

91-80-28510911 / 28510912 / 28532674

Fax No.:

91-80-28518046 / 28518156

 

 

Factory  :

madurai

 

Ø       New Jail Road, P. B. No. 35, Madurai – 625 001, Tamilnadu, India

Tel. No. :  91-452-602751

Fax No. :  91-452-603130 / 602739

 

Ø       Coats India, New Mill, Madurai Mill Compound, Madurai - 625 001, Tamilnadu, India

 

Ø       Centenary Mill, no. 8, New Ramnad Road, Madurai - 625 009, Tamilnadu, India

Ø        

ambasamudram

 

Ø       Water Mill, Papavinasam Mills, Ambasamudram - 627 422, Tamilnadu, India

 

Ø       Madura Textiles, Papavinasam Mills, Ambasamudram - 627 422, Tamilnadu, India

 

Ø       Export Oriented Unit :

10-A, Papanasam Main Road, Ambasamudram - 627 401, Tamilnadu, India

 

Ø       Interlining Manufacturing facility :

Mela-Ambasamudram, Tirunelveli - 627 401, Tamilnadu, India

 

tuticorin

 

Ø       83 and 88, Beach Road, Tuticorin - 628 001, Tamilnadu, India

 

panoli

 

Ø       21/222, GIDC Industrial Estate, Ankleshwar, Panoli - 394 116, District Bharuch, Gujarat, India

 

serampore

 

Serampore (Hooghly), West Bengal - 712 201, India

 

 

Sales Offices :

Bangalore Consumer Depot

 

Ø       216, Nagavar Palya Road, C. V. Raman Nagar, Bangalore - 560 093, Karnataka, India

 

Ø       Chitrakoot Building, H. K. House Lane, Off. Ashram Road, Navrangpura, P. B. No. 4043, Ahmedabad – 380 009, Gujarat, India

 

Bangalore Industrial Depot

 

Ø       46-D, Lalbagh Road, P. B. No. 2750, Bangalore – 560 027, Karnataka, India

 

Ø       Sanghavi Sadan, Off. Western Express Highway, Near Jay Coach, P. B. No, 9100, Goregaon (East), Mumbai – 400 063, Maharashtra, India

 

Ø       203, Samudra Gaurav (II Floor), 6-A, Worli Sea Face, Abdul Gaffarkhan Road, Worli, Mumbai – 400 025, Maharashtra, India

 

Ø       Green View, 3rd Floor, P. B. No.2725, 3rd Floor, 19, Circus Avenue, Kolkata – 700 017, West Bengal, India

 

Ø       19-A, Prana Nath Pandit Street, Flat NO. 2-B, Kolkata – 700 020, West Bengal, India

 

Ø       No. 2, Gurucharan Roychowdhury, Ghat Road, Shibpur, Howrah – 711 102, West Bengal, India

 

Ø       B-II/35, Mohan Co-operative Industrial Estate, Main Mathura Road, Badarpur, New Delhi – 110 044, India

 

Ø       E-1, Green Park Extn (II Floor), New Delhi - 110 016, India

 

Ø       A8-Sectro 6, Gautam Budh Nagar, Noida – 201 301, Uttar Pradesh, India

 

Ø       Cears Towers, P. B. No. 1671, Alappat Cross Road, Cochin – 682 015, Kerala, India

 

Ø       Mahatma Gandhi Road, P. B. No. 40, Fancy Bazar, Guwahati – 781 001, Assam, India

 

Ø       GF 32/33, Meghdoot, Park Road, Vijayanagar, Indore – 452 010, Madhya Pradesh, India

 

Ø       10, Karthapura, 22, Godown Industrial Area, Jaipur – 301 206, Rajasthan, India

 

Ø       13/6-7, Civil Lines, P. B. No, 112, Pormat, Kanpur – 208 001, Uttar Pradesh, India

 

Ø       Guru Govind Singh Nagar, Sisbro Complex, Sherpur Chowk (Hero Chowk), Behind Saini Motors, G T Road,  Ludhiana – 141 003, Punjab, India

 

Ø       37A, Velachery Main Road, Opposite Vijayanagar Bus Terminus, Chennai – 600 042, Tamilnadu, India

 

Ø       Plot No. 19, S. No. 206/3, P. B. No. 8, Viman Nagar, Nagar Road, Pune – 41 014, Maharashtra, India

 

Ø       No. 66/67, Harvey Road Tirupur – 641 602, Tamilnadu, India

 

Ø       MBN Reddy Estate, Survey No. 133, Plassy Lane Bowenpally, Secunderabad - 500 011, Andhra Pradesh, India

 

 

DIRECTORS

 

As on  : 08.03.2013

 

Name :

Mr. Joseph Stephen Remedios

Designation :

Chairman cum Managing Director

Address :

Villa No.B-10, Prestige Ozone, White Field Main Road, White Field, Bangalore – 560 066, Karnataka, India

Date of Birth/Age :

26.12.1951

Qualification :

B.Com. (Hons)., PGDBM

Date of Appointment :

29.03.1995

DIN No.:

00245094

 

 

Name :

Mr. Anil Lasantha Naomal Dias

Designation :

Whole Time director

Address :

27/1, MEG Officers Colony, Banaswadi Main Road, Cooke Town, Bangalore – 560 005, Karnataka, India

Date of Birth/Age :

29.12.1958

Qualification :

FCMA, MBA

Date of Appointment :

01.04.2002

DIN No.:

00245165

 

 

Name :

Mr. Ashok Mathur

Designation :

Managing Director

Address :

E/1-131, Shobha Lavendari, Sarjapur Marathahialliring, Road, Bangalore – 560103, Karnataka, India

Date of Birth/Age :

27.03.1955

Qualification :

B Tech, PFDM

Date of Appointment :

01.01.2012

PAN No.:

AEJPK7086D

DIN No.:

05154435

 

 

Name :

Mr. Ambuj Kalra

Designation :

Whole-time Director

Address :

403, Benaka Towers, 16 D, Main Hall III Stage, Bangalore – 560008, Karnataka, India

Date of Birth/Age :

17.02.1957

Qualification :

B Tech, PGDM

Date of Appointment :

11.05.2012

PAN No.:

AATPM1037A

DIN No.:

00491283

 

 

Name :

Mr. Ramesh Kizhakepatt Bhaskaran Menon

Designation :

Whole-time director

Address :

Flat No. B1-22, 1st Floor, Shobha Onyx Apartments, Bangalore – 560102, Karnataka, India

Date of Birth/Age :

21.10.1960

Qualification :

PGDPM and I

Date of Appointment :

11.05.2012

PAN No.:

ACTPM1182E

DIN No.:

05275821

 

 

KEY EXECUTIVES

 

Name :

Mr. Arup Chandra Borua

Designation :

Vice President – Finance and Company Secretary

Address :

B304, Raja Prakruthi, 4th Cross, Jayanagar, 1st Block, Bangalore – 560 011, Karnataka, India

Date of Birth/Age :

04.03.1967

Date of Appointment :

12.04.2003

PAN No.:

ACYPB5331M

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on  : 08.03.2013

 

Names of Shareholders

No. of Shares

Coats International Pte. Limited, Singapore

7465000

Coats Industrial Threads Limited, United Kingdom

100

Total

7465100

 

Equity Share Break up (Percentage of Total Equity)

 

As on  : 08.03.2013

 

Category

Percentage

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

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Exporter and Importer of Zippers, Sliders Buttons and Sewing Accessories.

 

 

Products :

Item Code No.

Product Description

52.04, 54.01 and 55.08

Sewing Thread Falling within the above code nos.

52.08 and 52.12, 54.07, 54.08 and 55.12 to 55.16

Apparel Fabrics Falling within the above code nos.

52.05 to 52.12, 55.07 to 55.10, 55.12 to 55.15 and 59.01, 59.02, 59.03, 59.06

Industrial Textiles falling within the above code nos.

 

 

GENERAL INFORMATION

 

No. of Employees :

3819 (Approximately)

 

 

Bankers :

·         Hong Kong and Shanghai Banking Corporation, 7 MG Road, Bangalore, Karnataka, India

·         Standard Chartered Bank, Raheja Towers, M.G. Road, Bangalore, Karnataka, , India   

·         State Bank of India, Industrial Finance Branch, Residency Road, Bangalore – 560025, Karnataka, India

·         Axis Bank

 

 

Facilities :

(Rs. In Millions)

SECURED LOAN 

As on

31.12.2012

As on

31.12.2011

Long term Borrowings :

 

 

Term loans from Banks

196.875

253.125

Total

196.875

253.125

 

 

 

Auditors :

 

Name :

Deloitte, Haskins and Sells

Chartered Accountants

Address :

Deloitte Centre, Anchorage II, 100/2 Richmond Road, Bangalore – 560 025, Karnataka, India

Tel. No.:

91-80-66276000

Fax No.:

91-80-66276011

PAN.:

AACFD3771D

 

 

Subsidiary :

·         KOR Investments Private Limited, India

             CIN : U85110KA1982PTC004577

·         Vaigai Investments Private Limited, India

      CIN : U85110KA1982PTC004578

 

 

Joint Venture :

·         S and P Threads Private Limited, India

      CIN : U17231DL1992PTC047458

 

 

Ultimate Holding Company :

Guiness Peat Group Plc, UK

Holding Company :

Coats International PTE Limited, Singapore

 

 

Associates :

·         Coats and clark USA

·         Coats (Turkiye) Iplik Sanayi

·         Coats American

·         Coats Australian Pty Limited

·         Coats Bangladesh Limited

·         Coats Bulgaria Eood

·         Coats Cadena S A

·         Coats China Holdings Limited

·         Coats Corrente Ltda

·         Coats Egypt For Manufacturing and Dyeing Sewing Thread, SPE

·         Coats Gmbh

·         Guangzhou Coats Limited

·         Coats North America Consolidated Inc

·         Coats Hongkong Limited

·         Coats Crafts Hungary Limited

·         Pt Coats Rejo Indonesia

·         Coats Industrial Nz Limited

·         Coats Israel

·         Coats Korea Company Limited

·         Coats Llc

·         Coats Madagascar

·         Coats Manila Bay Inc

·         Coat S Maroc

·         Coats Mauritius International Company Limited

·         Coats Mexico S A De Cv

·         S C Coats Odorhei Srl

·         Coats Opti Oy

·         Coats Opti Shenzhen Limited

·         Coats Phong Phu Company Limited

·         Coats Opti Germany Gmbh

·         Coats Polska Sp Zoo

·         Coat Shanghai Limited

·         Coat Shenzhen Limited

·         Coats South Africa (Pty) Limited

·         Coats Thread (Thailand) Limited

·         Coats Thread Lanka Private Limited

·         Coats Thread Malaysia Sdn Bhd

·         Coats Trading Tunisie

·         Coat Ukraine Limited

·         Coats Zimbabwe (Private) Limited

·         J and P Coats Pakistan (Private) Limited

·         The Central Agency Limited UK

·         J and P Coats Limited UK

·         Coats Thread Exports Private Limited

·         Sc Coats Romania Impex Srl

·         J and P Coats (Mauritius) Limited

·         Steiner Freres Sa

·         Coats Opti Oy – Unilever

 

 

CAPITAL STRUCTURE

 

As on  : 08.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

100000000

Equity Shares

Rs.10/- each

Rs. 1000.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

7465100

Equity Shares

Rs.10/- each

Rs. 74.651 Millions

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.12.2012

31.12.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

 

74.651

74.651

(b) Reserves & Surplus

 

2733.610

2276.708

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(d) Deferred Government Grant

 

1.669

2.667

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

Total Shareholders’ Funds (1) + (2)

 

2809.930

2354.026

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

210.975

261.900

(b) Deferred tax liabilities (Net)

 

27.000

36.000

(c) Other long term liabilities

 

6.341

7.626

(d) long-term provisions

 

810.554

807.449

Total Non-current Liabilities (3)

 

1054.870

1112.975

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

0.000

0.000

(b) Trade payables

 

3232.139

3492.327

(c) Other current liabilities

 

417.918

440.676

(d) Short-term provisions

 

110.015

257.923

Total Current Liabilities (4)

 

3760.072

4190.926

 

 

 

 

TOTAL

 

7624.872

7657.927

 

 

 

 

II.    ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

1552.414

1663.219

(ii) Intangible Assets

 

4.456

24.633

(iii) Capital work-in-progress

 

100.166

78.930

(iv) Intangible assets under development

 

0.000

0.000

(b) Non-current Investments

 

64.945

66.695

(c) Deferred tax assets (net)

 

0.000

0.000

(d)  Long-term Loan and Advances

 

179.064

175.642

(e) Other Non-current assets

 

0.000

0.000

Total Non-Current Assets

 

1901.045

2009.119

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

1235.458

1050.315

(b) Inventories

 

1804.358

1793.720

(c) Trade receivables

 

2069.975

2190.649

(d) Cash and cash equivalents

 

232.984

240.348

(e) Short-term loans and advances

 

364.462

310.978

(f) Other current assets

 

16.590

62.798

Total Current Assets

 

5723.827

5648.808

 

 

 

 

TOTAL

 

7624.872

7657.927

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

 

31.12.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

88.001

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

2766.547

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

2854.548

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

370.636

2] Unsecured Loans

 

 

8.775

TOTAL BORROWING

 

 

379.411

DEFERRED TAX LIABILITIES

 

 

46.000

Deferred Government Grant (TUFS Cap subsidy)

 

 

3.665

 

 

 

 

TOTAL

 

 

3283.624

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

1580.141

Capital work-in-progress

 

 

271.186

 

 

 

 

INVESTMENT

 

 

1829.096

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 
 
1554.450

 

Sundry Debtors
 
 
1753.254

 

Cash & Bank Balances
 
 
210.303

 

Other Current Assets
 
 
0.000

 

Loans & Advances
 
 
524.805

Total Current Assets
 
 

4042.812

Less : CURRENT LIABILITIES & PROVISIONS
 
 

 

 

Sundry Creditors
 
 
1194.178

 

Other Current Liabilities
 
 
2682.451

 

Provisions
 
 
562.982

Total Current Liabilities
 
 

4439.611

Net Current Assets
 
 
(396.799)

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.000

 

 

 

 

TOTAL

 

 

3283.624

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.12.2012

31.12.2011

31.12.2010

 

SALES

 

 

 

 

 

Income

 

 

Other Income

 

 

 

 

 

TOTAL                                     (A)

11812.700

11612.100

9865.600

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                     (B)

10676.100

10584.100

8801.400

 

 

 

 

 

Less

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

1136.600

1028.000

1064.200

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

116.200

106.600

68.800

 

 

 

 

 

 

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

1020.400

921.400

995.400

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

281.900

278.800

263.700

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

738.500

642.600

731.700

 

 

 

 

 

Less

TAX                                                                  (H)

222.000

197.000

243.100

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

516.500

445.600

488.600

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

2238.900

2247.500

2268.300

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to Interim Dividend

0.000

0.000

83.600

 

 

Corporate Tax on Interim Dividend

0.000

0.000

13.900

 

 

Proposed Dividend

74.600

205.300

312.400

 

 

Corporate Dividend Tax on final Dividend

12.100

33.300

50.700

 

 

General Reserve

51.700

44.600

48.800

 

BALANCE CARRIED TO THE B/S

2617.000

2218.700

2247.500

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

0.0.35

0.035

0.027

 

 

 

 

 

 

Earnings Per Share (Rs.)

69.20

56.51

55.52

 

KEY RATIOS

 

PARTICULARS

 

 

31.12.2012

31.12.2011

31.12.2010

PAT / Total Income

(%)
4.37

3.84

4.95

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
12.51

11.03

18.10

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.26

0.27

0.26

 

 
 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 
0.08

0.11

0.13

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
1.57

1.39

0.91

 

 

LOCAL AGENCY FURTHER INFORMATION

 

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

Yes

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

No

10]

Designation of contact person

No

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

No

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

Yes

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

Yes

33]

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

No

34]

External Agency Rating, if available

No

 

 

NOTE :

 

The registered office of the company has been shifted from New Jail Road, Madurai -625001, Tamilnadu, India to present address w.e.f. 03.07.2008

 

 

UNSECURED LOANS :

(Rs in Millions)

PARTICULARS

 

31.12.2012

31.12.2011

Long term Borrowings :

 

 

Term Loans from Banks

14.100

8.775

Total

14.100

8.775

 

 

REVIEW OF THE YEAR :

 

The first half of the year was characterised by a slump in demand in the key Ready Made Garment (RMG) export segment. From Q3 onwards sentiment improved in the RMG export segment but India’s garment and footwear exports for the full year witnessed a significant decline in turn impacting demand for our products. Demand also weakened in Domestic segments in the second half of the year, with a notable exception of a strong finish to the year in the seasonal sale of Kite flying threads. The company also implemented increased selling prices to cover conversion cost inflation, notably the unprecedented increase in power rates in the State of Tamilnadu and labour inflation.

 

Given these market dynamics, the turnover growth of nearly 2% over the previous year was a creditable performance in a challenging business environment.

 

Profit before tax increased by 15% over the previous year, despite significant headwinds in relation to costs. Key developments in this respect include; power rate increases referred to earlier, labour inflation and related increases in conversion cost of 3 party convertor arrangements. These were mitigated by focused cost reduction initiatives, judicious increase in selling prices and fortuitous exchange gains with the weakening of the INR against the USD favourable to our net exporter profile.

 

Labour inflation was in part affected by the resetting of wages to our workers in our Tamil Nadu Mills with the renewal of our Long Term Agreement effective from September 2012. Negotiations were disrupted by illegal Industrial action on the part of workers in our Ambasamudram Mill, which culminated in a management lockout on the 12 of December 2012. With the intervention of State Labour Authorities, the lock.

 

 

OUTLOOK :

 

The first quarter of 2013 will be a challenging one, as They recover from the impact of the Ambasamudram lockout, requiring us to rehabilitate our stocks, improve customer service and regain market share lost arising from the disruption.

 

While underlying market demand remained positive in the first quarter , continuing inflation, particularly in relation to wages, also poses a challenge to the profitability of The company and requires us to continue with our efforts to diligently review costs and productivity, while managing the tradeoff between selling price increases and maintaining & growing sales volumes. They will continue to actively participate in the Global Supply Chain of the Group, which will support our exports

 

 

AMALGAMATION OF VAIGAI INVESTMENTS PRIVATE LIMITED (WHOLLY-OWNED SUBSIDIARY COMPANY) WITH THE COMPANY.

 

Vaigai Investments Private Limited (the Transferor Company) was engaged in the business of investment in securities. In accordance with the Scheme of Amalgamation (the Scheme) approved by the High Court of Karnataka by its order dated August 17, 2012 the entire business, including all the assets and liabilities of the Transferor Company stands transferred and vested in the Company with effect from January 1, 2011 (Appointed Date). With this Vaigai Investment Private Limited has ceased to exist.

 

For the purpose of accounting, balances included on amalgamation in these accounts related to the balances as on January 1, 2012.

 

The Pooling of Interest Method specified in Accounting Standard 14 issued by the Companies (Accounting Standards) Rules 2006 prescribed by the Central Government of India has been followed for the purpose of accounting for this amalgamation and accordingly, the value of the assets and liabilities of the Transferor Company have been accounted at their book values, as appearing in the books of the Transferor Company.

 

The book value of all the assets and liabilities as at January 1, 2011 which have been incorporated in the financial statements of the Transferee Company are as follows:

 

Details

Amount

Assets

 

Fixed assets (Net block)

550

Deferred tax asset

20

Investments

13.516

Inventories

200

Cash and bank balances

225

Loans and advances

46.118

Total Assets

60.629

Liabilities

 

Current liabilities

1.784

Provisions

1

Unsecured loans

6.800

Total Liabilities

8.585

Reserves and surplus

47.794

 

 

BANKERS CHARGES REPORT AS PER REGISTRY :

 

Corporate identity number of the company

U18102KA1974PTC047421

Name of the company

MADURA COATS PRIVATE LIMITED

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

144, M.G. Road, Bangalore – 560001, Karnataka, India

Email : madura@coats.com

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

80026923

Type of charge

·         Book debts

·         Floating charge

·         Others (Stocks, all together on parri passu basis)

Particular of charge holder

State Bank of India, Industrial Finance Branch, Residency Road, Bangalore – 560025, Karnataka, India

Email : sbi.09077@sbi.co.in

Nature of instrument creating charge

Agreement of hypothecation of goods and assets dated 22 Feb 2012

Date of instrument Creating the charge

22.02.2012

Amount secured by the charge

Rs. 700.000 Millions

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

Rate of Interest

Presently 3.50% above SBI base rate (current effective rate is 10% plus 3.50% = 13.50%)

 

Terms of Repayment

On Demand

 

Margin

25%

 

Extent and Operation of the charge

Continuing security by way of paripassu floating charge for the due  repayment on demand on the bank of all moneis including the principal sums, interests and other monies payable from time to time and for the time being to the bank in respect of the said credit facilities.

 

The securities charged shall be shared between SBI, standard chartered bank, hongkong and shanghai banking corporation Limited on a paripassu basis

Short particulars of the property or asset(s) charged (including complete address and location of the property)

Hypothecation of all present and future stocks and book debts on a floating charge basis across all locations (Factories, Depots, etc) of the Company

Date of instrument modifying the charge

21.03.2007

Particulars of the present modification

Modification In Amount Secured By The Charge - Reduction In The Aggregate Sum of The Credit Facilities From Rs 775.000 Millions to Rs 700.000 Millions.

 

 

FIXED ASSETS:

 

·         Freehold Land

·         Leasehold Land

·         Buildings

·         Machinery

·         Furniture and Fittings

·         Vehicles

·         Computer

 

 

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 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. 60.80

UK Pound

1

Rs. 91.95

Euro

1

Rs. 80.37

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

NIS

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

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

4

--LEVERAGE

1~10

7

--RESERVES

1~10

7

--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

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

52

 

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.