MIRA INFORM REPORT

 

 

Report Date :

23.12.2013

 

IDENTIFICATION DETAILS

 

Name :

KOTAK MAHINDRA PRIME LIMITED (w.e.f. 01.12.2005)

 

 

Formerly Known As :

KOTAK MAHINDRA PRIMUS LIMITED

 

KOMAF AUTO FINANCE PRIVATE LIMITED

 

 

Registered Office :

36-38A, Nariman Bhavan, 227, Nariman Point, Mumbai – 400021, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

28.02.1996

 

 

Com. Reg. No.:

11-097730

 

 

Capital Investment / Paid-up Capital :

Rs. 44.952 Millions

 

 

CIN No.:

[Company Identification No.]

U67200MH1996PLC097730

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMK06165F

 

 

PAN No.:

[Permanent Account No.]

AAACJ5934A

 

 

Legal Form :

A closely held public limited liability company

 

 

Line of Business :

Subject is engaged in financing of retail customers of passenger cars and multi-utility vehicles and inventory and term funding to car dealers and also provides finance for loans against securities, personal loans, corporate loans and developer funding.

 

 

No. of Employees :

Information declined by management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Aa (83)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 94100000

 

 

Status :

Excellent

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Exist

 

 

Comments :

Subject is a subsidiary of Kotak Mahindra Bank Limited.

 

It is a well-established and reputed company having excellent track record.

 

Financial position of the company appears to be sound. Fundamentals are strong and healthy directors are reported to be well experienced and respectable businessman.

 

Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments.

 

The company can be considered good for any normal 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

 

Uptick in agriculture and construction spread some cheer as the economy grew a higher-than-expected 4.8 % in the three months through September. Manufacturing rose an annual rate per cent during the quarter and mining fell by 0.4 %, government data showed while farm output rose 46%.

 

India has emerged as the most attractive investment destination, thanks to a relaxation in foreign direct investment norms, says a report. India is followed by Brazil and China in the ranking part of EY’s Capital Confidence Barometer report based on a survey across 70 nations. The US, France and Japan have emerged as the top three investors likely to invest in India.

 

India has been ranked 83rd globally in terms of talent competitiveness of its human capital.  Switzerland, Singapore, Denmark, Sweden and Luxembourg are the top five in the list of 103 nations compiled by INSEAD business school.

 

Tax rates for companies in India are among the highest in the world and the number of payments is also more than the global average putting the country at low, 158th rank on the Paying Taxes. 2014 list by the World Bank and PWC. However, the time taken for tax payments is relatively less in India which is rated ahead of China and Japan.

 

1 billion smartphone shipments in 2013, a 39.3 % growth over 2012. This was being driven by low cost computing in emerging markets. By 2017, total smartphone shipments are expected to approach 1.7 billion units, resulting in a compound annual growth rate of 18.4 % between 2013 and 2017, according to research from IDC.

 

20 % vacancy rate of office space in Mumbai and Delhi in the third quarter, the highest in Asia after Chengdu, in China. According to Cushman and Wakefield, six Indian cities are among the 10 office markets with the worst vacancies.

 

Foreign banks will not have to pay stamp duty and capital gains tax, if they convert their branch operations into a wholly owned subsidiary, according to the Reserve Bank of India.

 

The Reserve Bank of India is planning to launch CPI – indexed bonds aimed to protecting the savings of retail investors from the impact the price rise by December end.

 

Central Bureau of Investigation has booked State Bank of India, Deputy Managing Director Shyamal Acharya and others in a graft case related to distribution of a loan of over Rs 4000 mn. Gold and jewellery  worth Rs 6.7 mn have been recovered from the residence of Acharya.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

Long term rating: “AA+”

Rating Explanation

High degree of safety. It carry very low credit risk.

Date

02.09.2013

 

 

Rating Agency Name

CRISIL

Rating

Short term rating: “A1+”

Rating Explanation

Highest degree of safety. It carry lowest credit risk.

Date

02.09.2013

 

 

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

 

MANAGEMENT NON-COOPERATIVE (Tel. No.: 91-22-66036825)

 

 

LOCATIONS

 

Registered Office :

36-38A, Nariman Bhavan, 227, Nariman Point, Mumbai – 400021, Maharashtra, India

Tel. No.:

91-22-66581100

Fax No.:

91-22-22855577

E-Mail :

harish.shah@kotak.com

Website :

www.kotak.com

 

 

Corporate Office:

Kotak Infiniti, 4th Floor, Building No.21, Infinity Park, Off Western Express Highway, General A K Vaidya Marg, Malad (East), Mumbai – 400097, Maharashtra, India

Tel. No.:

91-22-66056825

Fax No.:

91-22-67259086

 

 

DIRECTORS

 

As on 30.05.2013

 

Name :

Mr. Uday Suresh Kotak

Designation :

Executive Vice-Chairman and Managing Director

Address :

62 NCPA Apartments, Doradjee Tata Marg, Nariman Pint, Mumbai – 400021, Maharashtra, India

Date of Birth/Age :

15.03.1959

Date of Appointment :

13.12.1996

DIN No. :

00007467

 

 

Name :

Mr. Dipak Brijmohandas Gupta

Designation :

Executive Director

Address :

Flat No. 32, A Wing Tanna Residency, 392, Veer Savarkar Marg, Mumbai – 400025, Maharashtra, India

Date of Birth/Age :

13.02.1961

Date of Appointment :

28.02.1996

DIN No. :

00004771

 

 

Name :

Ms. Shanti A Ekambaram

Designation :

Director

Address :

101 A Kalpatru Habitat, Dr. S S Rao Road, Parel, Mumbai – 400012, Maharashtra, India

Date of Birth/Age :

14.09.1962

Date of Appointment :

04.10.2005

DIN No. :

00004889

 

 

Name :

Mr. Jaimin Mukund Bhatt

Designation :

Director

Address :

30.03.1962

Date of Birth/Age :

18, 5th Floor, Jeevan Jyoti, 29B/C, Lallubhai Park, Andheri (West), Mumbai – 400058, Maharashtra, India

Date of Appointment :

24.07.2007

DIN No. :

00003657

 

 

Name :

Mr. Mohan Narayan Shenoi

Designation :

Director

Address :

Flat No. 53, ‘A’ Tower, Kalpatru Residency Road No. 8, Sion (East), Mumbai – 400022, Maharashtra, India

Date of Birth/Age :

28.04.1958

Date of Appointment :

16.06.2007

DIN No. :

01603606

 

 

Name :

Mr. Arvind Yashpal Kathpalia

Designation :

Director

Address :

Flat No. 3 B, 3rd Floor, Brighton Apartments, Napeansea Road, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

19.03.1958

Date of Appointment :

26.05.2010

DIN No. :

02630873

 

 

Name :

Mr. Narayan Subramaniam Ayypankav

Designation :

Director

Address :

2nd Floor, Silvares Clear Villa, Plot No. 502, 13th Road, Chembur, Mumbai – 400071, Maharashtra, India

Date of Birth/Age :

09.11.1960

Date of Appointment :

26.05.2010

DIN No. :

00007404

 

 

Name :

Mr. Venkat Krishnan Subramanian

Designation :

Additional Director

Address :

Flat 31-32, Solitaire Central Avenue Road, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth/Age :

05.10.1969

Date of Appointment :

26.05.2010

DIN No. :

00031794

 

 

Name :

Mr. Sumit T. Bali

Designation :

Director

Address :

Flat No.101, Vasundhara Janaki, Kutir, M-22, Juhu Church Road, Juhu, Mumbai – 400049, Maharashtra, India

Date of Birth/Age :

15.08.1967

Date of Appointment :

01.06.2011

DIN No.:

02896088

 

 

KEY EXECUTIVES

 

Name :

Mr. Harish Mavji Shah

Designation :

Company Secretary

Address :

15 Ratandeep 4th Floor, S V Road, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth/Age :

30.03.1958

Date of Appointment :

28.09.1999

PAN No. :

AAKPS3535L

 

 

Name :

Vyomesh Dineshchandra Kapasi

Designation :

Manager

Address :

504, Tower A., 5th Floor, Oberoi Springs, Opposite City Mall, Link Road, Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

24.07.1965

Date of Appointment :

01.06.2011

PAN No. :

ADPPK9032N

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.05.2013

 

Names of Equity Shareholders

 

No. of Shares

 

Kotak Mahindra Bank Limited, India

 

1782520

Central Depositary Services Limited, India

 

1224400

Kotak Securities Limited, India

 

488200

Cyril Suresh Shroff

 

20

Raghunath V. Tiupattur

 

15

Narayan A. Subramaniyam

 

20

Dipak Brijmohandas Gupta

 

15

Jayaram M. Chengalath

 

5

Jaimin M Bhatt

 

5

Tota

 

3495200

 

 

Names of Preference Shareholders

 

No. of Shares

 

Kotak Mahindra Capital Company Limited, India

 

500000

Kotak Investment Advisors Limited, India

 

250000

Kotak Mahindra Asset Management Company Limited, India

 

250000

Total

 

1000000

 

As on 30.05.2013

 

Equity Share Breakup

Percentage of Holding

Category

 

Nationalised or other banks

51.00

Bodies corporate (not mentioned above)

49.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged in financing of retail customers of passenger cars and multi-utility vehicles and inventory and term funding to car dealers and also provides finance for loans against securities, personal loans, corporate loans and developer funding.

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by management

 

 

Bankers :

Not Divulged

 

 

Facilities :

 

SECURED LOANS

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

Non-Convertible Debentures

23666.000

19883.000

Index Linked Debentures

751.072

2405.490

Deep Discount Debentures

15918.879

11834.170

Debentures issued at discount

0.000

3224.848

Term loans from Banks

14000.000

19024.179

SHORT TERM BORROWINGS

 

 

Debentures

Non-Convertible Debentures

3000.000

0.000

Term loans from Banks

21200.000

14869.107

Overdrawn balance as per books

1039.168

0.000

Total

79575.119

71240.794

 

NOTE

 

LONG-TERM BORROWINGS

 

The Debentures are redeemable at par. The Non-Convertible Debentures, Index Linked Debentures, Deep Discount Debentures and Debentures issued at Discount are secured by way of a first and pari passu mortgage in favour of the Security Trustee on the Company's immovable property of Rs. 1.807 Millions and further secured by way of hypothecation/mortgage of charged assets such as receivables arising out of loan, lease and hire purchase, book debts, current assets and investments (excluding investment in mutual fund units and strategic investments of the company which is in the nature of equity shares)

 

The long term loans from banks are secured by first pari-passu and non-exclusive charge by way of hypothecation/ mortgage of charged assets such as receivables arising out of loans, lease and hire purchase, book debts, current assets and investments (excluding investment in mutual fund units and strategic investments of the company which is in the nature of equity shares) and / or mortgage on the Companys immovable property of Rs.1.807 Millions ranking pari-passu with charge created in favour of Security Trustee.

 

 

SHORT TERM BORROWINGS

 

The Debentures are redeemable at par. The Non-Convertible Debentures, Index Linked Debentures, Deep Discount Debentures and Debentures issued at Discount are secured by way of a first and pari passu mortgage in favour of the Security Trustee on the Company's immovable property of Rs. 1.807 Millions and further secured by way of hypothecation/mortgage of charged assets such as receivables arising out of loan, lease and hire purchase, book debts, current assets and investments (excluding investment in mutual fund units and strategic investments of the company which is in the nature of equity shares)

 

The short term loans from banks are secured by first pari-passu and non-exclusive charge by way of hypothecation/ mortgage of charged assets such as

receivables arising out of loans, lease and hire purchase, book debts, current assets and investments (excluding investment in mutual fund units and strategic

investments of the company which is in the nature of equity shares) and / or mortgage on the Companys immovable property of Rs.1.807 Millions ranking pari-passu with charge created in favour of Security Trustee.

 

 

 

Banking Relations :

--

 

 

 

·         Il & FS Trust Company Limited, Il & Fs Financial Centre, Plot No C22 G Block Bandra, Kurla Complex, Bandra (East), Mumbai - 400051, Maharashtra, India

 

IDBI Trusteeship Services Limited, Asian Building, Ground Floor, 17, R. Kamani Marg, Ballard Estate, Mumbai - 400001, Maharashtra, India

 

 

Auditors :

 

Name :

Deloitte Haskins and Sells

Chartered Accountants

Address :

12, Dr. Annie Besant Road, Worli, Mumbai – 400018, Maharashtra, India

Income-tax PAN of auditor or auditor's firm :

AADFD2337G

 

 

Holding Company :

Kotak Mahindra Bank Limited holds 51% of the Share Capital

 

Uday S. Kotak along with relatives and entities controlled by him holds 44.96% of the equity share capital of Kotak Mahindra Bank Limited as on March 31, 2013

 

 

Fellow Subsidiaries:

·         Kotak Mahindra Capital Company Limited

Kotak Securities Limited

Kotak Mahindra Asset Management Company Limited

Kotak Mahindra Investments Limited

Kotak Mahindra Old Mutual Life Insurance Limited

Kotak Investment Advisors Limited

 

 

Joint Venture:

Kotak Mahindra Old Mutual Life Insurance Limited – Joint Venture with Kotak Mahindra Bank Limited, Old Mutual Financial Services (UK) plc and Kotak Mahindra Capital Company Limited

 

 

Associate Company:

Phoenix ARC Private Limited (upto 08-04-2011)

 

 

Entities in which KMP / relatives of KMP have significant influence:

Aero Agencies Limited

 

 

Mutual Fund / Venture Capital Fund managed by fellow subsidiary:

·         Kotak Mahindra Mutual Fund

Managed by fellow subsidiary – Kotak Mahindra Asset Management Company Limited

 

Kotak Real Estate Fund

Managed by fellow subsidiary – Kotak Investment Advisors Limited

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3,500,000

Equity Shares

Rs. 10/- each

Rs. 35.000 Millions

3,000,000

Preference Shares

Rs. 10/- each

Rs. 30.000 Millions

 

 

 

 

 

Total

 

Rs. 65.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3,495,200

Equity Shares

Rs. 10/- each

Rs. 34.952 Millions

1,000,000

Preference Shares

Rs. 10/- each

Rs. 10.000 Millions

 

 

 

 

 

Total

 

Rs. 44.952 Millions

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2013

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

44.952

44.952

44.952

(b) Reserves & Surplus

23484.226

19178.400

15330.804

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

0.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

23529.178

19223.352

15375.756

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

59713.951

60938.687

39311.153

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

599.268

428.175

974.145

(d) long-term provisions

233.642

177.340

81.887

Total Non-current Liabilities (3)

60546.861

61544.202

40367.185

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

47869.558

28428.047

27584.325

(b) Trade payables

2927.647

2463.812

2357.175

(c) Other current liabilities

52024.033

40854.158

33042.017

(d) Short-term provisions

662.358

240.566

459.707

Total Current Liabilities (4)

103483.596

71986.583

63443.224

 

 

 

 

TOTAL

187559.635

152754.137

119186.165

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

290.663

279.506

277.125

(ii) Intangible Assets

0.000

0.083

0.553

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

2931.073

1004.888

1228.963

(c) Deferred tax assets (net)

262.707

194.209

392.333

(d)  Long-term Loan and Advances

77488.632

59549.713

50777.935

(e) Other Non-current assets

770.358

1217.229

790.796

Total Non-Current Assets

81743.433

62245.628

53467.705

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

8714.884

6518.507

2546.898

(b) Inventories

0.000

0.000

0.000

(c) Trade receivables

40.538

25.819

20.226

(d) Cash and cash equivalents

1986.319

7939.043

1416.834

(e) Short-term loans and advances

93119.146

74468.128

60912.703

(f) Other current assets

1955.315

1557.012

821.799

Total Current Assets

105816.202

90508.509

65718.460

 

 

 

 

TOTAL

187559.635

152754.137

119186.165

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

 

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

20915.160

17034.751

13328.593

 

 

Other Income

1672.132

1151.513

402.695

 

 

TOTAL                                     (A)

22587.292

18186.264

13731.288

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Employee benefits expense

499.564

451.372

433.080

 

 

Other expenses

2197.516

1987.498

1735.293

 

 

TOTAL                                     (B)

2697.080

2438.870

2168.373

 

 

 

 

 

Less

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

19890.212

15747.394

11532.915

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

13453.430

10025.211

6725.623

 

 

 

 

 

 

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

6436.782

5722.183

4837.292

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

26.672

18.799

18.449

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

6410.110

5703.384

4818.843

 

 

 

 

 

Less

TAX                                                                  (H)

2103.114

1854.626

1640.216

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

4306.996

3848.758

3178.627

 

 

 

 

 

 

Earnings Per Share (Rs.)

1231.93

1100.82

909.42

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

19.07

21.16

23.15

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

30.65

33.48

36.15

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

3.48

3.76

4.10

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.27

0.30

0.31

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

4.57

4.65

4.35

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.02

1.26

1.04

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

CURRENT MATURITIES OF LONG TERM DEBT

 

Particulars

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

31.03.2011

(Rs. In Millions)

Non-Convertible Debentures

14818.000

10409.000

15818.000

Index Linked Debentures

1863.580

819.322

408.997

Deep Discount Debentures

11158.231

5406.716

5991.384

Debentures issued at discount

3244.991

749.284

0.000

Non-Convertible Debentures - Subordinated Debts

89.000

0.000

0.000

Term loans from Banks

18092.827

20515.769

9370.587

Inter Corporate Deposits

0.000

20515.769

0.000

Hire Purchase/ Loan/ Lease Deposit

0.000

0.000

3.098

Total

49266.629

58415.860

31592.066

 

 

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

Yes

8]

No. of employees

No

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

Yes

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

No

33]

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

No

34]

External Agency Rating, if available

Yes

 

 

LITIGATION DETAILS

 

HIGH COURT OF BOMBAY

 

CASE DETAILS

BENCH: BOMBAY

Presentation Date:- 06/07/2013

Lodging No: ITXAL/998/2013    Filing Date: 06/07/2013     Reg. No.: ITXA/1830/2013   Reg. Date: 30/09/2013

Petitioner: THE COMMISSIONER OF INCOME TAX-3                 Respondent: M/S. RAM RATNA WIRES LIMITED

Petn. Adv : PADMA DIVAKAR (0)

District: MUMBAI

Bench: DIVISION

Status: Pre-Admission                                                                Category: CENTRAL EXCISE APPEAL (CEXA)

Last Date: 18/01/2014                                                                Stage:-

Last Coram: ACCORDING TO SITTING LIST

ACCORDING TO SITTING LIST

Act: Income Tax Act, 1961                                                          UNDER SECTION: 260A

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10401735

24/10/2013 *

150,000,000,000.00

IDBI TRUSTEESHIP SERVICES LIMITED

ASIAN BUILDING, GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA, INDIA

B89298541

2

10349693

24/10/2013 *

150,000,000,000.00

IL & FS TRUST COMPANY LIMITED

IL & FS FINANCIAL CENTREPLOT NO C22 G BLOCK BANDRA, KURLA COMPLEX BANDRA (EAST), MUMBAI, MAHARASHTRA
- 400051, INDIA

B89549604

3

10169079

29/06/2009

120,000,000,000.00

IDBI TRUSTEESHIP SERVICES LIMITED

ASIAN BUILDING, GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA, INDIA

A66748625

4

10151602

26/03/2009

75,000,000,000.00

IDBI TRUSTEESHIP SERVICES LIMITED

ASIAN BUILDING, GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA, INDIA

A59627158

5

90211146

27/01/2005 *

1,400,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

6

90214128

27/10/2004 *

1,200,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

7

90211122

04/01/2005 *

3,350,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

8

90211118

23/11/2004 *

2,100,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

9

90214029

05/03/2004 *

2,100,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

10

90211111

16/12/2004 *

2,690,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

11

90214003

24/08/2004 *

2,690,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

12

90211103

24/11/2004 *

2,690,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

13

90211100

06/07/2004 *

1,820,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

14

90211092

22/04/2004 *

2,010,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

15

90213941

18/08/2004 *

2,010,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

16

90211088

02/09/2003 *

965,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

17

90213909

11/04/2003 *

965,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

18

90211081

28/07/2004 *

1,450,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

19

90213887

20/08/2003 *

1,450,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

20

90211073

10/07/2003 *

1,249,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

21

90213869

14/06/2003 *

1,249,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

22

90211061

04/05/2003 *

500,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

23

90213840

07/04/2003 *

500,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

24

90211050

21/11/2002 *

1,020,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

25

90213801

20/12/2003 *

1,020,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

26

90211044

02/08/2004 *

2,295,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

27

90213764

19/08/2004 *

2,295,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

28

90211036

13/05/2004 *

1,300,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

29

90214834

15/01/2001

1,300,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

30

90211024

22/11/2002 *

690,000,000.00

INDUSIND BANK LIMITED.

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

31

90211018

04/09/2002 *

1,035,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

32

90211005

22/02/2003 *

500,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

33

90210989

31/10/2002 *

645,000,000.00

INDUSIND BANK LIMITED

INDUSIND HOUSE, 425; DADASAHEB BHADKAMAKAR MARG, MUMBAI - 400004, MAHARASHTRA, INDIA

-

34

90213030

11/05/1997

400,000,000.00

THE SAKURA BANK LIMITED

MITTAL COURT B WING, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA

-

35

90213022

26/07/1997 *

50,000,000.00

BANK OF MADURA LT;

240; ; D N ROAD, FORT, MUMBAI - 400001, MAHARASHTRA, INDIA

-

36

90212991

27/02/1997

150,000,000.00

BANK OF AMERICA

EXPRESS TOWERS; NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA

-

 

* Date of charge modification

 

 

UNSECURED LOANS

 

PARTICULAR

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

Non-Convertible Debentures - Subordinated Debts

5378.000

4567.000

 

 

 

SHORT TERM BORROWINGS

 

 

Deposits

Inter Corporate Deposits

1650.000

35.000

Commercial Paper

20980.391

13523.940

Total

28008.390

18125.940

 

 

CORPORATE INFORMATION

 

The Company is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The Company is registered as a Non-Banking Financial Company with Reserve Bank of India. The Company is primarily engaged in financing of retail customers of passenger cars and multi-utility vehicles and inventory and term funding to car dealers. The Company also provides finance for loans against securities, personal loans, corporate loans and developer funding.

 

 

FINANCE

 

The Company continues to be a “Non Deposit Accepting – Asset Financing” company. The Company continued its strategy of diversified funding. The Company has a diversified and large pool of lenders comprising of Public Sector Banks, Private and MNC Banks, Mutual Funds, Insurance Companies, Financial Institutions, Foreign Institutional Investors (FII) and Corporates. The Company introduced new investors and continued to borrow through instruments like Debentures (NCDs), Commercial papers, etc. The Company continues to make use of derivative products like interest rate / foreign currency swaps to manage its Asset / Liability GAP and optimize borrowings costs.

 

During the financial year 2012-13 the growth and growth expectations in the economy moderated. Even with current growth moderating, inflation remained a key concern. The RBI adjusted policy rates by cumulative 100bps (repo - reverse repo rates) during the year to 7.5% - 6.5% respectively. The RBI further reduced CRR for banks during the year by cumulative 75bps to 4.0%. Liquidity in the system was maintained in deficit mode, though largely in a comfort zone.

 

Globally, Central banks in the biggest economies continued their accommodative monetary policies amid an uneven and weak economic recovery. Easing of EURO Zone crisis due to strong supportive measures taken by European Central Bank helped in bringing some stability to the world economy at large.

 

The Company with its established treasury philosophies and practices is well geared to meet the challenges of a dynamic interest rate and liquidity environment.

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

COMPANY BUSINESS

 

The Company is primarily into car finance, engaged in financing of retail customers of passenger cars and multi-utility vehicles and inventory and term funding to car dealers. The Company finances new and used cars under retail loan, hire purchase and lease contracts.

 

The main streams of income for the Company are retail income, dealer finance income and fee based income. The Company also receives income from loans against securities, securitization / assignment transactions, purchase of non-performing assets, personal loans, corporate loans and developer funding. The major expenses for the Company are interest expense, business sourcing expense and cost of running operations.

 

During the Financial Year 2012-13, the Company’s retail vehicle disbursements were at Rs.66655.700 Millions as against Rs.56771.500 Millions in the previous year. During the year, gross advances stood at Rs.170564.700 Millions as against Rs.134176.9 Millions in the previous year. The Financial Year 2012-13 witnessed a benign interest rate environment. The pressure of maintaining the margins in the retail car finance business continued during the year. The Company continued to focus on cost control and credit losses, while improving its positioning in the car finance market by scaling up the business. The Company’s good relationships with key stake holder’s viz. manufacturers, dealers and customers helped it to substantially grow disbursement volumes by 17%.

 

As detailed in the ‘Financial Results’ section above, Gross Income of the Company increased from Rs.181,862.64 Millions in 2011-12 to Rs.22587.292 Millions in 2012-13. Profit before Tax was at Rs.6410.110 Millions in 2012-13 as compared to Rs.5703.384 Millions in 2011-12, an increase of 12%. The credit loss ratio of the Company was maintained at 0.19% in a very challenging year.

 

There have been certain instances of frauds involving an aggregate amount of Rs.0.750 Millions, also reported in annexure to auditors report. The said instances are inherent in the nature of business of the Company and adequate provision in respect thereof has been made in the accounts for the year.

 

 

INDUSTRY SCENARIO

 

The passenger car market in India saw a growth of 2% for the Financial Year 2012-13 as compared to a growth of % for 2011-12. Total unit sales of cars and MUV’s crossed 26.84 lakh units in financial year 2012-13.

 

 

PROSPECTS

 

Passenger car sales are likely to grow in single digit at about 4%. The Company has, carved out a niche for itself in the car-financing segment focusing on distribution and relationship management across manufacturers, dealers, channel partners and customers. Fee based income is an important initiative of the Company. Dedicated infrastructure is in place to give a further impetus to the growth of fee based income with a twin objective of offering value added services to customers and leveraging the large existing customer database to generate further fee based income.

 

Customer knowledge, easy accessibility through its wide network of branches and a firm commitment to deliver superior customer service are key drivers for the Company’s performance.

 

 

CONTINGENT LIABILITIES:

 

Particulars

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

(a) Claims against the Company not acknowledged as debt in case of suits filed by various customers with respect to release of repossessed vehicles and related matters. The Company has preferred an appeal against the same with State / National Consumer Dispute Redressal Forum.

27.848

30.075

(b) The Company has received a demand (net of provision) of Rs.2.431 Millions on completion of income tax assessment for the assessment year 2011-12. The said amount is disputed and the company has preferred an appeal against the same. The amounts for the same have been paid to the credit of the Central Government.

2.431

0.000


FIXED ASSETS:

 

v                  Tangible Assets

Buildings

Computers

Furniture and Fixtures

Vehicles

Office Equipment

Leasehold Improvements

 

v                 Intangible Assets

Computer Software


 

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. 62.24

UK Pound

1

Rs. 101.81

Euro

1

Rs. 84.88

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Report Prepared by :

MRI

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

9

PAID-UP CAPITAL

1~10

9

OPERATING SCALE

1~10

9

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

10

--PROFITABILIRY

1~10

9

--LIQUIDITY

1~10

9

--LEVERAGE

1~10

9

--RESERVES

1~10

10

--CREDIT LINES

1~10

9

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

YES

--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

 

83

 

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.