|
Report Date : |
30.12.2013 |
IDENTIFICATION DETAILS
|
Name : |
MAHINDRA SANYO SPECIAL STEEL PRIVATE LIMITED (w.e.f. 18.09.2012) |
|
|
|
|
Formerly Known
As : |
NAVYUG SPECIAL STEEL PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
74, Ganesh Apartment, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
08.11.2011 |
|
|
|
|
Com. Reg. No.: |
11-223696 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.100.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U27310MH2011PTC223696 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMN19358D |
|
|
|
|
PAN No.: [Permanent Account No.] |
AADCN7895E |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Exporter of Alloy Steel. |
|
|
|
|
No. of Employees
: |
Information denied by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (48) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 12970000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a part of “Mahindra and Mahindra Limited’. It is a relatively new company having satisfactory track record. The
company has incurred loss from its first year of business operations during
2013. However, trade liquidity and financial profile has improved marked by
net equity infusion by the management. Trade relations are fair. Business is active. Payment terms are
reported as usually correct. In view of strong support from its group company and other affiliates,
the subject can be considered for 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
India’s current
account deficit narrowed in the quarter ended September as government measures
to curb imports, especially gold, kicked in. The current account deficit,
the excess of a country’s imports of goods and services over exports, narrowed
to $ 5.2 billion from $ 21 billion in the year ago period, according to
provisional Reserve Bank of India data. Finance Minister P. Chidambaram said
the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and
the latest data suggests the government may achieve the target.
India was ranked 94th
among the world’s most corrupt nations list. Denmark and New Zealand topped as
the cleanest while Somalia emerged as the most corrupt.
India’s services
sector activity witnessed a moderate improvement in November over the previous
month, even while indicating the fifth successive monthly contraction,
according the HSBC survey.
$53 million
estimated losses suffered by India due to phishing attacks during the third
quarter, according to a study by RSA. India ranks fourth in the list of nations
hit by phishing attacks. The US remained at the top of the charts. Phishing is
the process of acquiring information such as user names, passwords and credit
card details by sending e-mails disguised as official mails.
Rs.4080 million
worth of mobile-phone-based transactions by July 2013 compared to Rs.260
million in September, 2012, according to Deloitte report. The number of
transactions has shot up from 94000 to 701000.
India aims to earn
Rs.400000 million from the bandwidth auction set for January. The merger and
acquisition guidelines, cleared by a group of ministers, will be out before the
auction begins so that players can make informed decisions on the auctions.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
FITCH IND RATINGS |
|
Rating |
BBB [Long Term] |
|
Rating Explanation |
Moderate degree of safety and moderate credit risk. |
|
Date |
28.11.2012 |
|
Rating Agency Name |
FITCH IND RATINGS |
|
Rating |
A2 [Non Fund Based Working Capital Limits] |
|
Rating Explanation |
Strong degree of safety and low credit risk. |
|
Date |
28.11.2012 |
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. Saurabh Mehta |
|
Designation : |
Finance Head Department |
|
Contact No.: |
91-2192-260528 |
|
Date : |
27.12.2013 |
LOCATIONS
|
Registered Office : |
74, Ganesh Apartment, L.J. Road, Opposite Sitaladevi Temple, Mahim
(West), Mumbai – 400016, Maharashtra, India |
|
Tel. No.: |
91-22-24444287 |
|
Fax No.: |
91-22-24458196 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory/ Administrative Office
: |
MUSCO, Jagdish Nagar, Khopoli, Raigad
- 410216, Maharashtra, India |
|
Tel. No.: |
91-2192-260500/ 528/ 263318/ 263347 |
|
Fax No.: |
91-2192-263076/ 263073 |
DIRECTORS
AS ON 22.07.2013
|
Name : |
Mr. Hemant Hansraj Luthra |
|
Designation : |
Chairman cum Managing Director |
|
Address : |
Flat No. 6, 68 Breach Candy Garden, Bhulabai Desai Road,
Mumbai-400026, Maharashtra, India |
|
Date of Birth/Age : |
18.04.1949 |
|
Date of Appointment : |
10.07.2012 |
|
Din No.: |
00231420 |
|
|
|
|
Name : |
Mr. Uday Subrata Gupta |
|
Designation : |
Managing Director |
|
Address : |
D-40, Terrace Duplex, The Woods Kale Wadi Road, Waked Aundh Annexe,
Pune-411057, Maharashtra, India |
|
Date of Birth/Age : |
13.11.1958 |
|
Date of Appointment : |
11.11.2011 |
|
Din No.: |
03514282 |
|
|
|
|
Name : |
Mr. Sanjay Vasant Joglekar |
|
Designation : |
Director |
|
Address : |
25, Shefale B-Makarand, Sahniwas Veer Savarkar Marg, Mahim (West),
Mumbai-400016, Maharashtra, India |
|
Date of Birth/Age : |
09.10.1955 |
|
Date of Appointment : |
11.11.2011 |
|
Din No.: |
00209394 |
|
|
|
|
Name : |
Mr. Daljit Lilaram Mirchandani |
|
Designation : |
Director |
|
Address : |
101, Sindhi Society Aundh, Pune-411007, Maharashtra, India |
|
Date of Birth/Age : |
26.10.1947 |
|
Date of Appointment : |
10.08.2012 |
|
Din No.: |
00022951 |
|
|
|
|
Name : |
Yutaka Takeshi Tsukamoto |
|
Designation : |
Director |
|
Address : |
3-25-5, Hakuchouda, Himeji-Shi, Hyogo, Pin Code 6712245, Japan |
|
Date of Birth/Age : |
25.02.1949 |
|
Date of Appointment : |
05.09.2012 |
|
Din No.: |
06367350 |
|
|
|
|
Name : |
Nobuyuki Takumi Tanaka |
|
Designation : |
Director |
|
Address : |
109, Sugoudani, Himeji-Shi, Hyogo, Pin Code 6712243, Japan |
|
Date of Birth/Age : |
08.10.1948 |
|
Date of Appointment : |
05.09.2012 |
|
Din No.: |
06367343 |
|
|
|
|
Name : |
Shinichi Takeo Hori |
|
Designation : |
Director |
|
Address : |
6-31-707, Akasaka 8, Chome, , Tokyo, Pin Code 1070052, Japan |
|
Date of Birth/Age : |
05.08.1963 |
|
Date of Appointment : |
02.05.2013 |
|
Din No.: |
06529863 |
KEY EXECUTIVES
|
Name : |
Mr. Pradeep Shekara Salian |
|
Designation : |
Secretary |
|
Address : |
N 6/7, Ganpati Nivas, Bangur Nagar, Goregaon (West), Mumbai-400090,
Maharashtra, India |
|
Date of Birth/Age : |
01.06.1964 |
|
Date of Appointment : |
03.08.2012 |
|
Pan No.: |
AHAPS0593F |
|
|
|
|
Name : |
Mr. Saurabh Mehta |
|
Designation : |
Finance Head Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 22.07.2013
|
Names of Shareholders |
|
No. of Shares |
|
Mahindra Ugine Steel Company Limited, India |
|
5100000 |
|
Sanyo Special Steel Company Limited, Japan |
|
2900000 |
|
Mitsui and Company Limited, Japan |
|
2000000 |
|
|
|
|
|
TOTAL
|
|
10000000 |
AS ON 22.07.2013
|
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] |
|
49.00 |
|
Bodies
corporate |
|
51.00 |
|
TOTAL |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Alloy Steel. |
GENERAL INFORMATION
|
No. of Employees : |
Information denied by the management. |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
State Bank of India, Commercial Branch, N.G.N Vaidya Marg, Fort, Mumbai - 400023, Maharashtra, India |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Deloitte, Haskins and Sells Chartered Accountants |
|
Address : |
12, Dr. Annie Beasant Road, Opposite Shiv Sagar Estate, Worli, Mumbai – 400018, Maharashtra, India |
|
PAN No: |
AACFD4815A |
|
|
|
|
Ultimate Holding Company : |
Mahindra And
Mahindra Limited [L65990MH1945PLC004558] |
|
|
|
|
Holding Company : |
Mahindra Ugine
Steel Company Limited [L99999MH1962PLC012542] |
|
|
|
|
Fellow Subsidiaries : |
·
Mahindra Forgings Limited [L27100MH1999PLC121285] ·
Mahindra Intertrade Limited
[U51900MH1978PLC020222] |
|
|
|
|
Other Related Parties : |
·
Sanyo Special Steel Company Limited ·
Mitsui and Company Limited ·
Mahindra Gears and Transmissions Private Limited ·
Mahindra Hinoday Industries Limited ·
Metal Castello S.P.A, Italy ·
Mahindra Logistics Limited
[U63000MH2007PLC173466] |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
|
31.03.2013 |
31.03.2012 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
100.000 |
0.100 |
|
(b) Reserves & Surplus |
|
3143.881 |
(0.057) |
|
(c) Money received
against share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2)
Share Application money pending allotment |
|
0.000 |
0.000 |
|
Total Shareholders’ Funds (1) + (2) |
|
3243.881 |
0.043 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term
borrowings |
|
742.716 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
|
0.000 |
0.000 |
|
(c) Other long
term liabilities |
|
50.000 |
0.000 |
|
(d) long-term
provisions |
|
46.934 |
0.000 |
|
Total Non-current
Liabilities (3) |
|
839.650 |
0.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
|
218.547 |
0.000 |
|
(b)
Trade payables |
|
1623.126 |
0.050 |
|
(c)
Other current liabilities |
|
149.865 |
0.017 |
|
(d) Short-term
provisions |
|
14.979 |
0.000 |
|
Total Current
Liabilities (4) |
|
2006.517 |
0.067 |
|
|
|
|
|
|
TOTAL |
|
6090.048 |
0.110 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
|
1979.065 |
0.000 |
|
(ii)
Intangible Assets |
|
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
|
18.683 |
0.000 |
|
(iv) Intangible assets under development |
|
0.000 |
0.000 |
|
(b) Non-current
Investments |
|
140.000 |
0.000 |
|
(c) Deferred tax
assets (net) |
|
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
|
18.516 |
0.000 |
|
(e) Other
Non-current assets |
|
0.000 |
0.000 |
|
Total Non-Current
Assets |
|
2156.264 |
0.000 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
|
0.000 |
0.000 |
|
(b) Inventories |
|
1399.396 |
0.000 |
|
(c)
Trade receivables |
|
1634.545 |
0.000 |
|
(d) Cash
and cash equivalents |
|
767.811 |
0.110 |
|
(e)
Short-term loans and advances |
|
120.091 |
0.000 |
|
(f)
Other current assets |
|
11.941 |
0.000 |
|
Total Current
Assets |
|
3933.784 |
0.110 |
|
|
|
|
|
|
TOTAL |
|
6090.048 |
0.110 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
|
|
|
|
|
|
|
|
|
|
GROSS INCOME |
|
5911.883 |
0.000 |
|
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
TOTAL |
|
NA |
NA |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
|
(235.499) |
(0.057) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
|
130.291 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
|
(365.790) |
(0.057) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
|
149.829 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX |
|
(515.619) |
(0.057) |
|
|
|
|
|
|
|
|
|
Less |
TAX |
|
(135.349) |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX |
|
(380.270) |
(0.057) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
|
(380.270) |
(0.057) |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
|
(38.03) |
(5.70) |
|
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2013 |
31.03.2012 |
|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
(8.69) |
(51.82) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
|
(0.15) |
(1.33) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
|
0.30 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
|
1.96 |
1.64 |
LOCAL AGENCY FURTHER INFORMATION
DETAILS OF CURRENT MATURITIES OF LONG TERM
DEBT:
|
Particulars |
31.03.2013 [Rs. in millions] |
31.03.2012 [Rs. in millions] |
|
|
|
|
|
Current
Maturities of Long Term Debt |
110.938 |
0.000 |
|
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 |
Yes |
|
10] |
Designation of contact person |
Yes |
|
11] |
Turnover of firm for last two years |
Yes |
|
12] |
Profitability for last two 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] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
INDEX OF CHARGES:
|
S. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10424103 |
05/07/2013 * |
3,729,800,000.00 |
State Bank of
India |
COMMERCIAL
BRANCH, N.G.N. VAIDYA MARG,, FORT, MUMBAI - 400001, MAHARASHTRA, INDIA |
B80723299 |
|
2 |
10400399 |
09/01/2013 |
179,800,000.00 |
DENA BANK |
INDUSTRIAL FINANCE
BRANCH, HORIMAN CIRCLE, FORT, MUMBAI - 400023, MAHARASHTRA, INDIA |
B66482878 |
|
3 |
10370111 |
16/08/2012 |
2,850,000,000.00 |
State Bank of
India |
COMMERCIAL BANK,
N.G.N.VAIDYA MARG, FORT, MUMBAI - 400023, MAHARASHTRA, INDIA |
B45533650 |
|
4 |
10368208 |
04/07/2012 |
700,000,000.00 |
BANK OF INDIA |
ANDHERI LARGE
CORPORATE BRANCH, M.D.I. BUILDING, |
B44743292 |
|
* Date of charge modification |
||||||
NOTE:
The Registered Office of the company has been shifted from 101-104,
Banaji House, First Floor, Flora Fountain, Fort, Mumbai – 400001, Maharashtra,
India to the present address w.e.f. 11.11.2011.
PERFORMANCE:
Pursuant to the Business
Transfer Agreement entered into by the Company with Mahindra Ugine Steel
Company Limited (MUSCO), the Steel including Ring business has been acquired by
the Company on slump sale basis as a going concern with effect from closing
hours of 9th July, 2012. The manufacturing activity by the Company has been
started with effect from 10th July, 2012.
Sanyo Special
Steel Company Limited, (Sanyo) and Mitsui and Company Limited (Mitsui), have
invested in the equity of the Company. The Company expects to receive the
technical expertise from the Sanyo and marketing expertise and support from
Mitsui. The details on this matter is mentioned elsewhere below in this Report.
MUSCO, Sanyo, Mitsui will utilize their respective brands, technologies and
networks in order to meet the customer’s needs, of the Steel Business, through
the joint venture.
During the year,
the Steel business felt the impact of slowdown in the overall economy of India
and continuing margin contraction led by price pressure from customers coupled
with increase in input cost. Due to slide in alloy steel demand there was
intense competitive pressure on pricing in special alloy steel market. Pursuant
to the power supply agreement with Wardha Power Company Limited (WPCL), the
Company started receiving lower cost power from WPCL and the saving in the cost
of power was around 10-12%. Management will continue to undertake initiatives
for increasing margin by way of further improvements in operating efficiencies
and increase coverage of metallic surcharge mechanism with customers for
mitigating input price volatility. The Company also foresees significant
increase in sales mainly in the value added segments as process/quality audits
by many global MNCs are expected to fructify into sales in the near future.
During the year,
the Company sold 78,706 tonnes of alloy steel products from the date of
starting the operation i.e. with effect from 10th July, 2012. The Company
registered sales revenue of Alloy and Steel products aggregating Rs.5451.223
Millions for the year. The Company has incurred a loss of Rs. 380.270 Millions
during the year. The Company also registered sales of 2547 tonnes of Ring
(Bearing Races) products for a value of Rs. 3,571.00 lakhs during the year.
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 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.62.05 |
|
|
1 |
Rs.102.03 |
|
Euro |
1 |
Rs.85.27 |
INFORMATION DETAILS
|
Information
Gathered by : |
PDT |
|
|
|
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
48 |
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.