MIRA
INFORM REPORT
|
Report Date : |
12.02.2013 |
IDENTIFICATION DETAILS
|
Name : |
EUROSTAR DIAMONDS INDIA PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
710/ 711, Raheja Chambers, Free Press
Journal Marg, Nariman
Point, Mumbai-400021, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
22.05.2009 |
|
|
|
|
Com. Reg. No.: |
11-192596 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 5.000 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U36911MH2009FTC192596 |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Trader of Gems and Jewellery. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (32) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 38000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a subsidiary of ‘Eurostar Diamond
International S.A’ Luxembourg. It is an established company having a moderate track record. The latest
financials of the company are not made available. As per previous year’s record, there appear huge external borrowings
recorded by the company. The profitability of the company also appears low. However, trade relations are reported as fair. Business is active.
Payment terms are slow. The company can be considered for business dealings with some caution. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
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
India is developing into an open-market economy, yet traces of
its past autarkic policies remain. Economic liberalization, including
industrial deregulation, privatization of state-owned enterprises, and reduced
controls on foreign trade and investment, began in the early 1990s and has
served to accelerate the country's growth, which has averaged more than 7% per
year since 1997. India's diverse economy encompasses traditional village
farming, modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of services. Slightly more than half of the work force is in
agriculture, but services are the major source of economic growth, accounting
for more than half of India's output, with only one-third of its labor force.
India has capitalized on its large educated English-speaking population to become
a major exporter of information technology services and software workers. In
2010, the Indian economy rebounded robustly from the global financial crisis -
in large part because of strong domestic demand - and growth exceeded 8%
year-on-year in real terms. However, India's economic growth in 2011 slowed
because of persistently high inflation and interest rates and little progress
on economic reforms. High international crude prices have exacerbated the
government's fuel subsidy expenditures contributing to a higher fiscal deficit,
and a worsening current account deficit. Little economic reform took place in
2011 largely due to corruption scandals that have slowed legislative work.
India's medium-term growth outlook is positive due to a young population and
corresponding low dependency ratio, healthy savings and investment rates, and
increasing integration into the global economy. India has many long-term
challenges that it has not yet fully addressed, including widespread poverty,
inadequate physical and social infrastructure, limited non-agricultural
employment opportunities, scarce access to quality basic and higher education,
and accommodating rural-to-urban migration.
|
Source
: CIA |
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.
LOCATIONS
|
Registered Office : |
710/ 711, Raheja Chambers, Free Press
Journal Marg, Nariman
Point, Mumbai-400021, Maharashtra, India |
|
Tel. No.: |
91-22-61597777 |
|
Fax No.: |
91-22-61597788 |
|
E-Mail : |
DIRECTORS
As on 28.09.2012
|
Name : |
Mr. Paresh Kirtilal
Mehta |
|
Designation : |
Director |
|
Address : |
114, Tanhee Heights, Nepeansea
Road, Mumbai-400006, Maharashtra, India |
|
Date of Birth/Age : |
13.06.1951 |
|
Date of Appointment : |
01.09.2010 |
|
DIN No.: |
00004179 |
|
|
|
|
Name : |
Mr. Paras Paresh
Mehta |
|
Designation : |
Director |
|
Address : |
114, Tanhee Heights, Nepeansea
Road, Mumbai-400006, Maharashtra, India |
|
Date of Birth/Age : |
09.08.1976 |
|
Date of Appointment : |
22.05.2009 |
|
DIN No.: |
00009470 |
|
|
|
|
Name : |
Mr. Sachin Dinukumar
Mehta |
|
Designation : |
Director |
|
Address : |
Fazantenlaan 39, 2610, Antwerpen,
Belgium |
|
Date of Birth/Age : |
09.01.1964 |
|
Date of Appointment : |
22.05.2009 |
|
DIN No.: |
02545368 |
|
|
|
|
Name : |
Mr. Kaushik
Kirtilal Mehta |
|
Designation : |
Director |
|
Address : |
Eekhoorrnlaan25, 2610, Antwerpen, Belgium |
|
Date of Birth/Age : |
29.06.1949 |
|
Date of Appointment : |
22.05.2009 |
|
DIN No.: |
02545379 |
KEY EXECUTIVES
|
Name : |
Jayesh Uttamlal Chouhan |
|
Designation : |
Secretary |
|
Address : |
A - 401, Kalpavruksh Garden No.1, Mahavir
Nagar, Kandivali (West),
Mumbai-400067, Maharashtra, India |
|
Date of Birth/Age : |
29.05.1979 |
|
Date of Appointment : |
02.08.2011 |
|
PAN No.: |
AHTPK8674J |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 28.09.2012
|
Names of Shareholders |
Address |
No. of Shares |
|
Eurostar Diamonds International S.A. |
9B, Boulevard Prince Henri, L-1724 Luxembourg |
499999 |
|
Eurostar Botswana BVBA |
Hovenierstraat, 53, 2018 Antwerpen, Belgium |
1 |
|
Total |
|
500000 |
Equity Share Break up (Percentage of Total Equity)
As on 28.09.2012
|
Category |
Percentage |
|
Foreign holdings( Foreign institutional investor(s),
Foreign companie(s) Foreign financial
institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Trader of Gems and Jewellery. |
||||
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|
|
||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|
|
|
|
Bankers : |
·
Yes Bank Limited, 9th Floor, Nehru Centre,
Discovery of India, Dr. Annie Besant Road, Worli, Mumbai - 400018, Maharashtra,
India |
|
|
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Suresh Surana and Associates Chartered Accountants |
|
Address : |
310, Ahura Centre,82, Mahakali
Caves Road, Andheri, Mumbai- 400093, Maharashtra, India |
|
PAN No.: |
AAQFS7647M |
|
|
|
|
Holding Company : |
Eurostar Diamond International S.A. Luxembourg |
|
|
|
|
Enterprises in which key management personnel have significant
influence : |
·
Dimexon Diamonds
Limited ·
Dimexon M.E. DMCC ·
Eurostar Diamonds
Traders N.V ·
Eurostar Fareast Limited ·
Kirtilal Kalidas Jewellery Private
Limited ·
Paresh K Investment
Private Limited ·
Euro Jewellery |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
500000 |
Equity Shares |
Rs.10/- each |
Rs. 5.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
500000 |
Equity Shares |
Rs.10/- each |
Rs. 5.000 Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
5.000 |
5.000 |
|
|
2] Share Application Money |
|
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
|
4.401 |
2.157 |
|
|
4] (Accumulated Losses) |
|
0.000 |
0.000 |
|
|
NETWORTH |
|
9.401 |
7.157 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
0.000 |
0.000 |
|
|
2] Unsecured Loans |
|
155.124 |
0.000 |
|
|
TOTAL BORROWING |
|
155.124 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
164.525 |
7.157 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
0.402 |
0.000 |
|
|
Capital work-in-progress |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
0.020 |
0.020 |
|
|
DEFERRED TAX ASSETS |
|
0.083 |
0.004 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
23.897
|
27.846 |
|
|
Sundry Debtors |
|
210.383
|
183.710 |
|
|
Cash & Bank Balances |
|
28.509
|
4.177 |
|
|
Other Current Assets |
|
0.003
|
0.006 |
|
|
Loans & Advances |
|
0.293
|
0.050 |
|
Total
Current Assets |
|
263.085
|
215.789 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
97.737
|
208.013 |
|
|
Other Current Liabilities |
|
1.328
|
0.570 |
|
|
Provisions |
|
0.000
|
0.073 |
|
Total
Current Liabilities |
|
99.065
|
208.656 |
|
|
Net Current Assets |
|
164.020
|
7.133 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
164.525 |
7.157 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
|
|
|
|
|
|
Other Income |
|
|
|
|
|
|
TOTAL |
|
551.810 |
211.632 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Office Expenses |
|
|
|
|
|
|
Administrative Expenses |
|
|
|
|
|
|
Advertising Expenses |
|
|
|
|
|
|
TOTAL |
|
548.498 |
208.497 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
|
3.312 |
3.135 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
|
1.068 |
0.978 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
|
2.244 |
2.157 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Polished Diamonds |
|
169.101 |
71.520 |
|
|
|
Rough Diamonds |
|
118.556 |
0.000 |
|
|
|
Jewellery |
|
0.921 |
0.000 |
|
|
TOTAL EARNINGS |
|
288.578 |
71.520 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Polished Diamonds |
|
391.958 |
214.233 |
|
|
|
Rough Diamonds |
|
5.591 |
0.000 |
|
|
TOTAL IMPORTS |
|
397.549 |
214.233 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
|
4.49 |
4.31 |
|
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
|
0.41 |
1.02 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
1.26 |
1.45 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
|
0.35 |
0.44 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
|
16.50 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
|
2.66 |
1.03 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
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 |
No |
|
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 |
No |
|
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 |
No |
NOTE
The registered office of the company has been shifted from 616, Raheja Chambers, Free Press Journal Marg
Nariman Point, Mumbai-400021, Maharashtra,
India to the present address w.e.f 25.07.2011
NATURE OF
OPERATION
Subject is incorporated on 22 May 2009 under companies Act, 1956. The
company is in the business of trading and manufacturing of gems and jewellery.
UNSECURED LOAN
|
Unsecured Loan |
31.03.2011 (Rs. in Millions) |
31.03.2010 (Rs. In Millions) |
|
From Body corporate (Including interest accrued and due Rs.
0.125) |
155.124 |
0.000 |
|
Total |
155.124 |
0.000
|
BANKERS CHARGES
REPORT AS PER REGISTRY
|
Corporate identity number of the company |
U36911MH2009FTC192596 |
|
Name of the company |
Eurostar Diamonds India Private Limited |
|
Address of the registered office or of the principal place of business in India of the company |
710 / 711, Raheja Chambers, Free Press
Journal Marg, Nariman
Point, Mumbai-400021, Maharashtra, India |
|
This form is for |
Modification of charge |
|
Charge identification (ID) number of the charge to be modified |
10374944 |
|
Type of charge |
·
Book debts ·
Floating charge ·
Others (Current Assets) |
|
Particular of charge holder |
Yes Bank Limited, 9th Floor, Nehru Centre, Discovery of
India, dr. Annie Besant Road, Worli,
Mumbai - 400018, Maharashtra, India Email: shareholders@yesbank.in |
|
Nature of instrument creating charge |
Supplemental Deed of Hypothecation dated 27th December 2012 |
|
Date of instrument Creating the charge |
27.12.2012 |
|
Amount secured by the charge |
Rs. 250.000 millions |
|
Brief of the principal terms an conditions and extent and operation of
the charge |
Rate of Interest PSC/PSC - Associates/ SID/PSC/LOUBC - To be negotiated at the time of
disbursement Terms of Repayment PSC and PSC Associates - Tenor - Max 150 days SID - Tenor - Max 90 days PC - Tenor - 90 days LOUBC - Tenor 90 days Margin PSC - 20% for bills routed through banks and for direct bills PSC - Associates - 10% for bills routed through banks and 15% for direct
bills SID - 15% of invoice value PC - 25% (Stock + unfinanced bills -
creditors) LOU BC - 25% (Stock + unfinanced bills -
creditors) Extent and Operation of the charge Extension of First Pari Passu
Charge on present and future current assets of the Company |
|
Short particulars of the property or asset(s) charged (including
complete address and location of the property) |
Extension of First Pari Passu
Charge on present and future current assets of the Company |
|
Particulars of the present modification |
Extension of First Pari Passu
Charge on present and future current assets of the Company |
FIXED ASSETS
·
Data Processing
Equipments
·
Office Equipment
·
Furniture and Fixture
DIAMOND INDUSTRY –
INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was possible
only due to combination of the manufacturing skills of the Indian workforce and
the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
-
Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
-
The diamond jewellery
industry in India today may be more than Rs 60000 mil
and is rated amongst the fastest growing in the world. Indi ranks third in the world in domestic diamond
consumption.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
DIAMOND
SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT
This could be the biggest credibility crisis
the Indian diamond industry has ever faced. Fifteen banks run the risk of
losing Rs 2000 crore lent
to a dozen diamond firms in Surat. Until about two
months ago, they had not repaid these dues. Bankers believe many diamantaires borrowed money during the economic downturn
two years ago and diverted funds to businesses like real estate and capital
markets. Many of themselves made money from these businesses but their diamond
companies have gone sick and declared insolvency.
-
Most of the money borrowed from the banks in the name
of their diamond business has been diverted in real estate and the share
market. The banks are not in a position to seize their properties because in
many cases, these were purchased in the name of their relatives and friends.
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.53.68 |
|
|
1 |
Rs.84.85 |
|
Euro |
1 |
Rs.71.87 |
INFORMATION DETAILS
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
3 |
|
--MARGINS |
-5~5 |
|
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
32 |
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.