MIRA INFORM REPORT

 

 

Report Date :

10.08.2013

 

IDENTIFICATION DETAILS

 

Name :

TECH PLASTIC INDUSTRIE

 

 

Registered Office :

V.S. Towers, # 41-42, Sree Kamatchi Amman Nagar,  Madhanandhapuram, Porur, Chennai – 600116, Tamilnadu 

 

 

Country :

India

 

 

Year of Establishment :

1975

 

 

Capital Investment / Paid-up Capital :

Not Divulged

 

 

Legal Form :

Partnership Concern with an Unlimited Liability of the Partners

 

 

Line of Business :

Manufacturer and Distributor of Injection Moulding, Compression Moulding, Thermoset Injection Moulding, Contract Manufacturing.

 

 

No. of Employees :

200 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established partnership concern having a moderate track record.

 

Mr. Krishnan, Director has provided general information but denied to disclose any financial detail to us.

 

However, trade relations are reported as fair. Business is active. Payment terms are unknown.

 

The concern can be considered for business dealings with some caution.

 

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 PARTED BY (GENERAL DETAILS)

 

Name :

Mr. M P Krishnan

Designation :

Partner

Contact No.:

91-44-24829325

Date :

08.08.2013

 

 

LOCATIONS

 

Registered Office / Factory :

V.S. Towers, # 41-42, Sree Kamatchi Amman Nagar,  Madhanandhapuram, Porur, Chennai – 600116, Tamilnadu, India

Tel. No.:

91-44-24829325 / 24825177 

Fax No.:

91-44-24826872 

E-Mail :

npd@techplaastic.com

mpshankar@techplaastic.com

Website :

http://www.techplaastic.com

 

 

PARTNERS

 

Name :

Mr. M P Krishnan

Designation :

Partner

 

 

Name :

Mr. M P Shankar

Designation :

Partner

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Distributor of Injection Moulding, Compression Moulding, Thermoset Injection Moulding, Contract Manufacturing.

 

 

Products :

·         Injection Moulding

·         Compression Moulding

·         Thermoset Injection Moulding

·         Contract Manufacturing

 

 

Exports :

 

Products :

Automotive Parts

 

 

Terms :

 

Selling :

L/C / Credit (30 Days)

 

 

 

GENERAL INFORMATION

 

Customers :

OEM’s

 

GENERAL AUTO ENGINEERING

·         Lucas TVS – Padi

·         Lucas TVS – Pondy

·         Lucas TVS – Uttarkand

 

TECH PLAASTIC INDUSTRIE

·         Lucas TVS – Padi

·         Lucas TVS – Uttarkand

·         Brakes India

·         SL Lumax

·         SMR

·         NVH
Seyang Automotive

·         3 S Srini sons

·         Rane TRW

 

SEPL

·         Lucas TVS – Padi

·         Lucas TVS – Pondicherry

·         Areva TandD

·         Ramsays corporation

·         Rams Engineering

·         Philips

·         Rotark

 

OVERSEAS

·         ZF Suspension systems USA

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :

State Bank of India, Porur, Chennai, Tamilnadu, India

 

 

 

Banking Relations :

---

 

 

Auditors :

Not Available

 

 

Sister Concern :

General Auto Engineering Industries Private Limited

Address: 5/264, Kunrathur Road, Madhanandhapuram Shanmuga Nagar, Porur, Chennai, Tamilnadu, India

 

Southern Electro Plastic Private Limited

Address: V.S. Towers, # 41-42, Sree Kamatchi Amman Nagar,  Madhanandhapuram, Porur, Chennai – 600116, Tamilnadu, India

Tel. No. : 91-44-24829325 / 24825177

Fax. No.: 91-44-24826872

 

 

CAPITAL STRUCTURE

 

Capital Investment :

 

Owned :

Not Divulged

Borrowed :

Not Divulged

Total :

Not Divulged

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

NOT DIVULGED

 

The above information has been denied by Mr. M P Krishnan

 

Note : Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

 

 

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

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

No

8]

No. of employees

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for last three years

No

12]

Profitability for last three years

No

13]

Reasons for variation <> 20%

----------------------

14]

Estimation for coming financial year

No

15]

Capital in the business

No

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

Yes

19]

Payments terms

Yes

20]

Export / Import details (if applicable)

Yes

21]

Market information

----------------------

22]

Litigations that the firm / promoter involved in

----------------------

23]

Banking Details

Yes

24]

Banking facility details

No

25]

Conduct of the banking account

----------------------

26]

Buyer visit details

----------------------

27]

Financials, if provided

No

28]

Incorporation details, if applicable

No

29]

Last accounts filed at ROC

No

30]

Major Shareholders, if available

No

31]

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

No

32]

PAN of Proprietor/Partner/Director, if available

No

33]

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

No

34]

External Agency Rating, if available

No

 

 

PROFILE 

This is a partnership firm started in the year 1976. Tech Plaastic Industrie (TPI) is an established manufacturing company based in Chennai, INDIA. From its inception in 1976, TPI has been growing steadily and has become a one-stop-shop for molded components, especially in the field of engineering plastics. TPI is involved in :

 

·         Injection mouldinq

·         Compression mouldinq

·         Thermoset injection mouldinq

·         Contract manufacturing

 

Now, Tech Plaastic Industrie is a part of a group of companies,. The group has 3 companies. They are:

 

1.       Tech Plaastic Industrie

2.       General Auto Engineering Private Limited

3.       Southern Electro Plastics Private Limited

 

The founder of the group Late Mr. M.S. Parthasarathy started Southern Electro Plastics Private Limited in the year 1975. SEPL has 14 hydraulic machines manufacturing compression and transfer moulded components, using DMC, SMC, Phenol and Urea Formaldehyde (filled and unfilled).

 

Mr. Parthasarathy, a Chemical Engineer by qualification was a pioneer with vision. Late Mr. M.S. Parthasarathy anticipated the growing requirements for plastics and started manufacture of thermoset components in a small way, for Lucas TVS Limited. The company has now grown along with the needs of the customer and is now the single source supplier of over 45 critical components. Apart from being a Technocrat, Late Mr. M.S. Parthasarathy was the spokesperson for Small Scale Industry in the country. He has served as the President of Federation of All India Small Scale Industries and was the member of Planning Commission, Government of India.

 

TPI has obtained the ISO 9002 certification in recognition of the quality systems being practiced by the company.

 

Tech Plaastic Industrie was established as a proprietorship firm in the beginning. Later when Mr. Parthasarthy's sons qualified themselves and joined the firm they were appointed as directors. Mr. Parthasarathy passed away very recently. (15.6.2013). the firm is now to be changed as a partnership firm with Mr. Krishnan and Mr. Shankar as partners. Given below is the profile of the current directors and future partners. The changes in ownership will take some time as the family is now in mourning.

 

Mr. MP. Krishnan, is an Electrical Engineer from Madras University and an MBA in Finance from University of Texas at Arlington, USA. After completion of studies, Mr. Krishnan joined in the day-to-day operation of the companies at SEPL. He is involved in the overall management as the Executive Director of the group, with primary focus on Finance and Customer Satisfaction.

 

Mr. MP. Shankar, joined the group after completion of MS in Marketing and Planning from Temple University, USA. Mr. Shankar looks after the production planning and General Administration of the group.

 

The factory is operated by staff with formal education in plastic processing with a minimum of 5 years experience in injection molding. In order to keep in touch with the latest technological developments, the staff also attend seminars conducted by CIPET. The injection molding machines are operated 3 shifts 7 days a week while the compression molding machines are operated 3 shifts 6 days a week.

 

The following are some of the components manufactured by TPI.

 

·         Automotive Electrical

·         Electrical

·         Appliances

 


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.61.12

UK Pound

1

Rs.94.77

Euro

1

Rs.81.54

 

 

INFORMATION DETAILS

 

Report Prepared by :

NTH

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

4

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

34

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

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

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.