MIRA
INFORM REPORT
|
Report Date : |
12.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
BRAHMANI RIVER PELLETS LIMITED (w.e.f. 15.09.2006) |
|
|
|
|
Formerly Known
As : |
BRAHMINI RIVER PELLETS LIMITED |
|
|
|
|
Registered
Office : |
5th
and 6th Floor, IPICOL, Annex Building, IPICOL House, Janpath,
Bhubaneswar – 751 022, Orissa |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
24.08.2006 |
|
|
|
|
Com. Reg. No.: |
15-008914 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.4874.989
millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U27106OR2006PLC008914 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
BBNB01033E |
|
|
|
|
PAN No.: [Permanent Account No.] |
AACCB9418Q |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturing and Mining of Iron Ore Pellets. |
|
|
|
|
No. of Employees
: |
Not Divulged |
RATING & COMMENTS
|
MIRA’s Rating : |
B (36) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 19500000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having a moderate track record.
There appear huge losses recorded by the company. However, capital base of the company seems to be strong. Trade
relations are reported to be fair. Business is active. Payments are reported
to be slow but correct. The company can be considered for business dealings with slight
caution. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
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.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
FITCH |
|
Rating |
Long Term Rating: BB+ |
|
Rating Explanation |
Rating indicates vulnerability to default risk, particularly in the
event of adverse change in business or economic condition. |
|
Date |
July, 2012 |
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 DECLINED BY
|
Name : |
Mr. Ajay Chakra |
|
Contact No.: |
91-9178460931 |
|
Date : |
10.08.2013 |
LOCATIONS
|
Registered Office : |
5th
and 6th Floor, IPICOL, Annex Building, IPICOL House, Janpath,
Bhubaneswar – 751 022, Orissa, India |
|
Tel. No.: |
91-674-6542235 |
|
Mobile No.: |
91-9178460931 (Mr. Ajay Chakra) |
|
Fax No.: |
91-674-2543398 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
Nirmal, 10th Floor, Nariman Point, Mumbai – 400 021,
Maharashtra, India |
|
Tel. No.: |
91-22-67406666 |
|
Fax No.: |
91-22-67406699 |
|
|
|
|
Factory 1 : |
Kalinga Nagar Industrial Complex, Khurunti, P.O. Danagadi, District
Jajpur – 755 026, Orissa, India |
|
|
|
|
Factory 2 : |
Also located at: ·
Barbil, Orissa |
DIRECTORS
AS ON 28.09.2012
|
Name : |
Mr. Dharma Rao Namballa |
|
Designation : |
Managing Director |
|
Address : |
Barbil Joda Highway, Box No-86, Barbil, Keonjhar – 758 035, Orissa,
India |
|
Date of Birth/Age : |
30.06.1956 |
|
Qualification : |
B. Tech |
|
Date of Appointment : |
01.11.2010 |
|
DIN No.: |
03388743 |
|
|
|
|
Name : |
Mr. Matthew Graham Stock |
|
Designation : |
Director |
|
Address : |
C/o Stemcor India Private Limited, Block 16, Garden Court Complex, Phonix
Mill Compound, S.B. Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra,
India |
|
Date of Birth/Age : |
10.04.1968 |
|
Date of Appointment : |
24.08.2006 |
|
DIN No.: |
00021030 |
|
|
|
|
Name : |
Mr. Ratnakar Mahadev Dash |
|
Designation : |
Whole-time Director |
|
Address : |
Plot No - B/102, 1st Floor, Vaisnow Vihar, Bomikhal,
Bhubaneswar – 751 010, Orissa, India |
|
Date of Birth/Age : |
16.11.1947 |
|
Date of Appointment : |
27.08.2009 |
|
DIN No.: |
02877427 |
|
|
|
|
Name : |
Mr. William John Attenborough |
|
Designation : |
Additional Director |
|
Address : |
Stemcor M.E.S.A, P.O. Box 37324, Suite 707, City Tower 1, Shaikh Zayed
Road, Dubai |
|
Date of Birth/Age : |
10.07.1952 |
|
Date of Appointment : |
18.03.2007 |
|
DIN No.: |
00021057 |
|
|
|
|
Name : |
Mr. David Michael Faktor |
|
Designation : |
Additional Director |
|
Address : |
6 Shawfield St., London SW3 4BD, UK, London 4BD |
|
Date of Birth/Age : |
28.11.1960 |
|
Date of Appointment : |
18.03.2007 |
|
DIN No.: |
01712798 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 28.09.2012
|
Names of Shareholders |
|
No. of Shares |
|
Stemcor Iron Ore Holdings Limited, Cyprus |
|
487498888 |
AS ON 28.09.2012
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and Mining of Iron Ore Pellets. |
||||
|
|
|
||||
|
Products/ Services : |
|
PRODUCTION STATUS [AS ON 31.03.2011]
Installed Capacity
As the company has
not yet started its commercial production and is under construction stage,
disclosures of figures related to licensed capacity, installed capacity are not
applicable.
|
Particulars |
Actual
Production |
|
Iron ore pellets (Trial Production) |
2920 MT |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged |
|||||||||||||||
|
|
|
|||||||||||||||
|
Bankers : |
Not Available |
|||||||||||||||
|
|
|
|||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Financial Institution : |
·
IDBI Trusteeship Services Limited, Asian
Building, Ground Floor, 17, R. Kamani Marg, Ballard Estate, Mumbai – 400 001,
Maharashtra, India ·
IL & FS Trust Company Limited, IL & FS
Financial Centre, Plot No.C22 G Block Bandra, Kurla Complex Bandra (East),
Mumbai – 400 051, Maharashtra, India |
|
|
|
|
Auditors : |
|
|
Name : |
S.R.B. and Associates Chartered Accountants |
|
Address : |
5th
Floor, IDCO Tower, Janapath, Bhubaneshwar – 751 022, Orissa, India |
|
PAN No.: |
AAXFS6281Q |
|
|
|
|
Holding Company
: |
Stemcor Iron Ore Holdings Limited, Cyprus |
|
|
|
|
Associates : |
Aryan Mining and
Trading Corporation Private Limited, India (CIN No.: U13100WB1936PTC008817) |
CAPITAL STRUCTURE
AS ON 28.09.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1000000000 |
Equity Shares |
Rs.10/- each |
Rs.10000.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
487498894 |
Equity Shares |
Rs.10/- each
|
Rs.4874.989 millions
|
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2012 |
31.03.2011 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1) Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
4874.989 |
4872.158 |
|
(b) Reserves & Surplus |
|
0.000 |
0.000 |
|
(c) Money received against share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
|
0.000 |
2.831 |
|
Total
Shareholders’ Funds (1) + (2) |
|
4874.989 |
4874.989 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) Long-term borrowings |
|
8200.000 |
8335.924 |
|
(b) Deferred tax liabilities (Net) |
|
0.000 |
0.000 |
|
(c) Other long
term liabilities |
|
0.000 |
0.000 |
|
(d) Long-term
provisions |
|
6.053 |
4.337 |
|
Total Non-current
Liabilities (3) |
|
8206.053 |
8340.261 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
|
300.000 |
0.000 |
|
(b)
Trade payables |
|
210.084 |
241.870 |
|
(c)
Other current liabilities |
|
4079.618 |
1769.396 |
|
(d) Short-term
provisions |
|
15.277 |
14.395 |
|
Total Current
Liabilities (4) |
|
4604.979 |
2025.661 |
|
|
|
|
|
|
TOTAL |
|
17686.021 |
15240.911 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i)
Tangible assets |
|
344.146 |
331.271 |
|
(ii)
Intangible Assets |
|
2.593 |
3.972 |
|
(iii) Capital
work-in-progress |
|
16595.359 |
14089.449 |
|
(iv)
Intangible assets under development |
|
0.000 |
0.000 |
|
(b) Non-current Investments |
|
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
|
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
|
157.230 |
63.804 |
|
(e) Other
Non-current assets |
|
0.344 |
0.344 |
|
Total Non-Current
Assets |
|
17099.672 |
14488.840 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
|
0.240 |
0.286 |
|
(b) Inventories |
|
32.088 |
19.325 |
|
(c)
Trade receivables |
|
0.000 |
0.000 |
|
(d) Cash
and cash equivalents |
|
250.678 |
438.097 |
|
(e)
Short-term loans and advances |
|
280.104 |
264.445 |
|
(f)
Other current assets |
|
23.239 |
29.918 |
|
Total Current
Assets |
|
586.349 |
752.071 |
|
|
|
|
|
|
TOTAL |
|
17686.021 |
15240.911 |
|
SOURCES OF FUNDS |
|
|
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
4622.562 |
|
|
2] Share Application Money |
|
|
0.000 |
|
|
3] Reserves & Surplus |
|
|
0.000 |
|
|
4] (Accumulated Losses) |
|
|
0.000 |
|
|
NETWORTH |
|
|
4622.562 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
7315.599 |
|
|
2] Unsecured Loans |
|
|
936.826 |
|
|
TOTAL BORROWING |
|
|
8252.425 |
|
|
DEFERRED TAX LIABILITIES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
12874.987 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
|
131.886 |
|
|
Capital work-in-progress |
|
|
9792.805 |
|
|
Expenditure pending allocation, net |
|
|
1088.092 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
|
0.200 |
|
|
DEFERRED TAX ASSETS |
|
|
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
2.038 |
|
|
Sundry Debtors |
|
|
0.000 |
|
|
Cash & Bank Balances |
|
|
2377.802 |
|
|
Other Current Assets |
|
|
0.000 |
|
|
Loans & Advances |
|
|
487.110 |
|
Total
Current Assets |
|
|
2866.950 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
|
988.110 |
|
|
Other Current Liabilities |
|
|
3.282 |
|
|
Provisions |
|
|
13.898 |
|
Total
Current Liabilities |
|
|
1005.290 |
|
|
Net Current Assets |
|
|
1861.660 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
0.344 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
12874.987 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from operations |
127.379 |
17.520 |
108.861 |
|
|
|
Other Income |
0.000 |
0.000 |
0.000 |
|
|
|
TOTAL (A) |
127.379 |
17.520 |
108.861 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
112.944 |
20.530 |
|
|
|
|
Employee benefit expense |
333.696 |
245.435 |
|
|
|
|
Other expenses |
574.218 |
213.414 |
|
|
|
|
TOTAL (B) |
1020.858 |
479.379 |
418.324 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(893.479) |
(461.859) |
(309.463) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
3657.836 |
2032.894 |
773.835 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(4551.315) |
(2494.753) |
(1083.298) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
25.409 |
16.505 |
8.527 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
(4576.724) |
(2511.258) |
(1091.825) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
(4576.724) |
(2511.258) |
(1091.825) |
|
|
|
|
|
|
|
|
|
|
CIF VALUE OF
IMPORTS |
NA |
222.595 |
3542.408 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
(9.39) |
(5.15) |
NA |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
(3593.00)
|
(14333.66)
|
(1002.95)
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(3593.00)
|
(14333.66)
|
(1002.95)
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(490.49)
|
(230.96)
|
(36.41)
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.94)
|
(0.52)
|
(0.24)
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.74
|
1.71 |
1.79 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.13
|
0.37 |
2.85 |
LOCAL AGENCY FURTHER INFORMATION
|
Check
List by Info Agents |
Available
in Report (Yes / No) |
|
1) Year of Establishment |
Yes |
|
2) Locality of the firm |
Yes |
|
3) Constitutions of the firm |
Yes |
|
4) Premises details |
No |
|
5) Type of Business |
Yes |
|
6) Line of Business |
Yes |
|
7) Promoter’s background |
Yes |
|
8) No. of employees |
No |
|
9) Name of person contacted |
Yes |
|
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 |
No |
|
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 |
No |
|
33)
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34)
External Agency Rating, if available |
Yes |
|
Unsecured Loan |
As
on 31.03.2012 (Rs.
in Millions) |
As
on 31.03.2011 (Rs.
in Millions) |
|
LONG TERM
BORROWINGS |
|
|
|
Rupee Term Loans from Others |
1200.000 |
0.000 |
|
SHORT TERM
BORROWINGS |
|
|
|
Rupee Term Loans from Others |
300.000 |
0.000 |
|
Total
|
1500.000 |
0.000 |
INDEX OF CHARGES
|
S. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10375283 |
02/08/2012 |
1,500,000,000.00 |
IL & FS TRUST
COMPANY LIMITED |
IL & FS
FINANCIAL CENTREPLOT NO C22 G BLOCK BANDRA, KURLA COMPLEX BANDRA EAST,
MUMBAI, Maharashtra |
B57602930 |
|
2 |
10329278 |
27/12/2011 * |
9,000,000,000.00 |
IL & FS
TRUST COMPANY LIMITED |
IL & FS FINANCIAL
CENTREPLOT NO C22 G BLOCK BANDRA, KURLA COMPLEX BANDRA EAST, MUMBAI,
Maharashtra |
B32205171 |
* Date of charge modification
FIXED ASSETS:
Tangible Assets
·
Land
·
Buildings
·
Plant and Equipment
·
Factory Equipments
·
Furniture and Fixtures
·
Vehicles
·
Office Equipment
·
Computer Equipments
Intangible Assets
·
Computer Software
WEBSITE DETAILS:
PROFILE:
Subject, a wholly owned Stemcor project, comprises a 4m tonne per annum beneficiation plant in Barbil, Odisha, and a pellet plant complex in Jajpur, Odisha, connected by a 220km underground slurry pipeline.
The beneficiation plant takes low grade iron ore fines from various local mines and refines them using grinding and magnetic separation processes. The particles are then mixed with water to form a slurry, which is pumped through an underground pipeline to the pellet plant. The underground pipeline reduces road traffic and ambient dust pollution between the beneficiation plant and the pellet plant. CO2 emissions are reduced by 91% compared to road transport and 87% compared to rail transport. Energy consumption is reduced by 97% compared to road transport and 96% compared to rail transport. The beneficiation plant takes the average iron content up from around 60% to over 65% before sending it to the pellet plant.
The pellet plant, located close to a number of steel producers, uses travelling grate technology to convert low grade fines into value-added pellets. When the slurry arrives at the pellet plant it is stored in holding tanks before being fed through pressure filters and mixed with additives. The purpose of the additives - limestone, bentonite, coke and anthracite – is to improve the physical and metallurgical properties of the pellets during processing and in final use. A disc pelletiser is then used to ball the mixture into ‘green balls’ about the size of a marble.
A roller screening mechanism removes any undersized material before the green balls enter the final stage of production, the induration furnace. The induration process uses travelling grate technology and a series of updrafts and downdrafts to dry and gradually heat the green balls to remove moisture before entering the combustion zone where they are first preheated to minimize thermal shock, then fired and ultimately cooled in various sections of the furnace. After screening out oversize and undersize pellets, the final product – which will have the required properties for charging a blast furnace and be ready to withstand handling and transportation – are transferred by conveyor to a stockpile.
Demand for pellets is set to increase in India as competing lump ore from the lower benches of seams is becoming scarcer. High grade pellets command a price premium as they offer major benefits to steel producers, reducing raw material consumption, saving energy and simplifying the furnace feed process. In addition to healthy domestic demand there is also demand from countries such as China – the nearby port of Paradip is ideal for shipping and the Indian government has made pellet exports duty free in a bid to encourage domestic value addition in the mining sector.
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 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 |
|
|
1 |
Rs.94.77 |
|
Euro |
1 |
Rs.81.54 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Report Prepared
by : |
SMN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
36 |
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.