MIRA INFORM REPORT

 

 

Report Date :

15.02.2013

 

IDENTIFICATION DETAILS

 

Name :

IL&FS ENERGY DEVELOPMENT COMPANY LIMITED (w.e.f 12.10.2011)

 

 

Formerly Known as :

IL&FS POWER DEVELOPMENT COMPANY LIMITED

 

 

Registered Office :

A-268, First Floor, Bhishm Pitamah Marg, Defence Colony, New Delhi- 110024

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

21.05.2007

 

 

Com. Reg. No.:

55-163679

 

 

Capital Investment / Paid-up Capital :

Rs. 9187.990 millions

 

 

CIN No.:

[Company Identification No.]

U40300DL2007PLC163679

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

The company is engaged in development an operations of power projects and providing advisory services.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A (63)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 47880000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a part of Infrastrcture Leasing and Financial Services Limited (IL & FS)

 

It is a well established and reputed company having a good track record. The performance of the company seems to be good. Financially appears to be strong. Fundamentals are healthy.

 

The company gets good financial support from its holding companies. Liquidity position of the company is good. Trade relations are reported to be fair. Business is active. Payments are reported to be regulars and as per commitment.

 

In view of strong holdings and experience promoters, the company can be considered for normal business dealings at usual trade terms and condition.

 

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 :

A-268, First Floor, Bhishm Pitamah Marg, Defence Colony, New Delhi- 110024, India

Tel. No.:

91-11-46577591

Fax No.:

91-11-46577590

E-Mail :

secretarial.iedcl@ilfsindia.com

 

 

DIRECTORS

 

As on 07.08.2012

 

Name :

Mr. Arun Kumar Saha

Designation :

Director

Address :

601-602, Green Acres, CHS Pali Hill, Bandra (West), Mumbai-400050, Maharashtra, India

Date of Birth/Age :

27.03.1953

Date of Appointment :

01.08.2011

DIN No.:

00002377

 

 

Name :

Mr. Hari Sankaran

Designation :

Managing director

Address :

901, Plot No.592, Shobha Sagar CHS Limited, TPSIII 21 Road, NREXEC Utive Enclave, Bandra (West), Mumbai-400050, Maharashtra, India

Date of Birth/Age :

19.02.1961

Date of Appointment :

19.06.2008

DIN No.:

00002386

 

 

Name :

Mr. Ravi Ramaswamy Parthasarathy

Designation :

Director

Address :

1201/1202, Vinayak Aangan Prabhadevi, Mumbai-400025, Maharashtra, India

Date of Birth/Age :

04.10.1952

Date of Appointment :

19.06.2008

DIN No.:

00002392

 

 

Name :

Mr. Ramesh Chander Bawa

Designation :

Director

Address :

W-78, Greater Kailash Part- I, New Delhi-110048, India

Date of Birth/Age :

15.06.1953

Date of Appointment :

01.08.2011

DIN No.:

00040523

 

 

Name :

Mr. Ramchand Karunakaran

Designation :

Director

Address :

3rd Floor, Victoria Building, Gajdhar Scheme, S.N. Road, Santacruz (West), Mumbai-400054, Maharashtra, India

Date of Birth/Age :

13.10.1954

Date of Appointment :

04.02.2011

DIN No.:

00051769

 

 

Name :

Mr. Milagiripattu Sundaravaradan Srinivasan

Designation :

Director

Address :

Plot No.1013, TVS Colony, Anna Nagar (West) Extension, Chennai-600101, Tamilnadu, India

Date of Birth/Age :

21.07.1948

Date of Appointment :

01.08.2011

DIN No.:

00261201

 

 

Name :

Mr. Komaralingam Gopalan Ramachandran

Designation :

Director

Address :

102, Temple Tree Apartments, 29/1, Kanakpuram Road, Bangalore-560078, Karnataka, India

Date of Birth/Age :

26.05.1945

Date of Appointment :

22.08.2008

DIN No.:

00383008

 

 

Name :

Mr. Sushil Chandra Tripathi

Designation :

Director

Address :

27, Sector-15A, Noida-201301, Uttar Pradesh, India

Date of Birth/Age :

01.01.1946

Date of Appointment :

19.06.2008

DIN No.:

00941922

 

 

Name :

Mr. Kamalesh Chandra Lahiry

Designation :

Director

Address :

A-208, Chinar, Woodland, Kolar Road, Bhopal-462016, Madhya Pradesh, India

Date of Birth/Age :

19.11.1940

Date of Appointment :

29.12.2008

DIN No.:

02494120

 

 

Name :

Mr. Siddharth Mehta

Designation :

Director

Address :

15/16, Bina Apartment, Sir M.V. Road, Andheri (East), Mumbai-400069, Maharashtra, India

Date of Birth/Age :

26.06.1978

Date of Appointment :

08.11.2011

DIN No.:

02665407

 

 

Name :

Ms. Archana Niranjan Hingorani

Designation :

Director

Address :

10, Jeevan Dhara, Dr. Ambedkar Road, Bandra (West), Mumbai-400050, Maharashtra, India

Date of Birth/Age :

09.09.1965

Date of Appointment :

26.03.2012

DIN No.:

00028037

 

 

Name :

Mr. Chandra Prakash Jain

Designation :

Additional Director

Address :

396-C, Sheikh Sarai, Phase-I, New Delhi-110017, India

Date of Birth/Age :

03.03.1946

Date of Appointment :

23.11.2012

DIN No.:

00011964

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajpal Singh Ahuja

Designation :

Secretary

Address :

L-359, Sarita Vihar, New Delhi-110076, India

Date of Birth/Age :

10.02.1974

Date of Appointment :

22.08.2008

PAN No.:

AFWPA1237Q

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 07.08.2012

 

Names of Equity Shareholders

 

No. of Shares

1. Infrastructure Leasing and Financial Services Limited., India

2. Haziq Beg

 

1

1. Infrastructure Leasing and Financial Services Limited, India

2. Akhil Agarwal

 

1

1. Infrastructure Leasing and Financial Services Limited, India

2. R. Shanmuganandam

 

1

1. Infrastructure Leasing and Financial Services Limited, India

2. Avinash Bapat

 

1

1. Infrastructure Leasing and Financial Services Limited, India

2. Rajpal Singh

 

1

National Securities Depository Limited, India

 

884138194

1. Infrastructure Leasing and Financial Services Limited, India

2. Sunil Wadhwa

 

1

Total

 

884138200

 

 

Names of Preference Shareholders

 

No. of Shares

National Securities Depository Limited, India

 

34660767

Total

 

34660767

 

 

Equity Share Break up (Percentage of Total Equity)

 

As on 07.08.2012

 

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

2.33

Bodies corporate

87.94

Other top fifty shareholders

9.73

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

The company is engaged in development an operations of power projects and providing advisory services.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

Not Available

 

 

Facilities :

Secured Loan

31.03.2012

(Rs. in Millions)

31.03.2011

(Rs. in Millions)

Term loan from bank

1849.200

2009.600

From related parties

520.438

520.438

Loan from related parties

 

 

Infrastructure Leasing and Financial Services Limited

110.000

0.000

IL&FS Financial Services Limited

0.000

2200.000

Total

2479.638

4730.038

 

 

 

 

 

Banking Relations :

--

 

 

Financial Institution :

IL&FS Financial Services Limited, II and FS Financial Centre, Plot No C-22 G Block, Bandra Kurla Complex Bandra (East), Mumbai - 400051, Maharashtra, India

 

 

Auditors :

 

Name :

Delloitte Haskins and Sells

Chartered Accountants

Address :

7th Floor, Building 10, Tower B, DLF Cyber City Complex, DLF City Phase – II, Gurgaon- 122002, Haryana, India

PAN No.:

AABFD2095B

 

 

Holding Company :

Infrastructure Leasing and Financial Services Limited

 

 

Subsidiaries :

·         IL&FS Hydro Energy Limited

·         Cross Border Power Transmission Company Limited

·         Nana Layja Power Company Limited

·         IL&FS Renewable Energy Limited

·         IL&FS Wind Power Limited

·         Nakhatrana Biomass Energy Limited

·         Gaps Power and Infrastructure Limited

·         Tadas Wind Energy Limited

·         Lalpur Wind Energy Private Limited

·         East Delhi Waste Processing Company Limited

·         IL&FS Tamil Nadu Power Company Limited

Fellow Subsidiary :

·         Gaps Power and Infrastructure Limited

·         IL&FS Education and Technology Service Limited

·         IL&FS Environmental Infrastructure and Service Limited

·         IL&FS Finance Services Limited

·         IL&FS Infrastructure Development Corporation Limited

·         IL&FS Investment Advisors LLC

·         IL&FS Nepal Infrastructure Development Company Private Limited

·         IL&FS Securities Services Limited

·         IL&FS Transportation Networks Limited

·         IL&FS Trust Company Limited

·         IL&FS Wind Power Limited

·         Nakhatrana Biomass Energy Limited

·         Tadas Wind Energy Limited

·         IL&FS Renewable Energy Limited

·         Nana Layja Power Company Limited

·         Lalpur Wind Energy Private Limited

·         IL&FS Property Management and Services Limited

Affiliates / Associates

·         ONGC Tripura Power Company Limited

·         SV Power Private Limited

·         KVK Nilachal Power Private Limited

·         IL&FS Tamil Nadu Power Company Limited

·         Assam Power Projects Development Company Limited

·         Bihar Power Infrastructure Company Privae Limited

·         IL&FS Technologies Limited

·         Indraprastha Energy and Wast Management Company Limited

·         ORIX Auto Infrastructure Services Limited

·         Power Transmission Company Nepal Limited

·         Manglore SEZ Limited

 

 

Joint Ventures :

·         Power Transmission Company Nepal Limited

·         Bihar Power Infrastructure Company Private Limited

·         Assam Power Project Development Company Limited

 

 

Other Enterprises over which IL&FS has control of significant influence :

·         IL&FS IIDC Fund

·         IL&FS Infrastructure Equity Fund 1

 

 

CAPITAL STRUCTURE

 

As on 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1900000000

Equity Shares

Rs.10/- each

Rs.19000.000 Millions

100000000

Preference Shares

Rs.10/- each

Rs. 1000.000 Millions

 

 

 

 

 

Total

 

Rs. 20000.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

884138200

Equity Shares

Rs.10/- each

Rs. 8841.382 Millions

34660767

Preference Shares

Rs.10/- each

Rs. 346.608 Millions

 

 

 

 

 

Total

 

Rs. 9187.990 Millions

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2012

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

9187.990

5220.000

20.000

2] Share Application Money

0.000

447.000

200.000

3] Reserves & Surplus

2782.343

61.463

53.601

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

11970.333

5728.463

273.601

LOAN FUNDS

 

 

 

1] Secured Loans

2479.638

4730.038

0.000

2] Unsecured Loans

3470.000

0.000

0.000

TOTAL BORROWING

5949.638

4730.038

0.000

DEFERRED TAX LIABILITIES

45.806

43.485

0.000

 

 

 

 

TOTAL

17965.777

10501.986

273.601

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

2571.617

2719.257

2.310

Capital work-in-progress

0.000

1.379

1.379

 

 

 

 

INVESTMENT

13006.820

5293.827

4.498

DEFERRED TAX ASSETS

0.000

0.000

1.039

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

0.000

0.000

0.000

 

Sundry Debtors

427.977

300.969

95.023

 

Cash & Bank Balances

72.119

74.287

28.992

 

Other Current Assets

77.601

53.893

0.000

 

Loans & Advances

2124.466

2303.469

219.847

Total Current Assets

2702.163

2732.618

343.862

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

60.605

54.480

37.727

 

Other Current Liabilities

240.411

180.000

3.471

 

Provisions

13.807

10.615

38.289

Total Current Liabilities

314.823

245.095

79.487

Net Current Assets

2387.340

2487.523

264.375

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

17965.777

10501.986

273.601

 

 


 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

986.509

611.682

274.994

 

 

Other Income

114.639

87.159

5.515

 

 

TOTAL                                     (A)

1101.148

698.841

280.509

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Employee Benefits Expenses

167.525

141.450

102.915

 

 

Other Expenses

132.295

134.510

61.990

 

 

TOTAL                                     (B)

299.820

275.960

164.905

 

 

 

 

 

Less

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

801.328

422.881

115.604

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

451.421

290.355

0.000

 

 

 

 

 

 

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

349.907

132.526

115.604

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

149.585

79.881

1.385

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX (E-F)                 (G)           

200.322

52.645

114.219

 

 

 

 

 

Less

TAX                                                                  (H)

80.709

44.783

39.169

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX (G-H)                  (I)

119.613

7.862

75.050

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

83.863

46.001

13.534

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

0.000

0.000

7.600

 

 

Proposed dividend on equity shares

0.000

0.000

30.000

 

 

Dividend distribution tax

0.000

0.000

4.983

 

BALANCE CARRIED TO THE B/S

203.476

83.863

46.001

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

98.688

0.000

NA

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

 

 

 

 

Basic

0.18

0.05

10.11

 

Diluted

0.17

0.05

10.11

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

10.86

1.13

26.75

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

20.31

0.43

41.54

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

3.80

0.97

33.00

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.02

0.01

0.42

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.50

0.83

0.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

8.58

11.15

4.33

 

 

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 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

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

No

 

 

NOTE

 

The registered office of the company has been shifted from C/O IL&FS Securities Services Limited, 10, Community Center, 2nd Floor, East Of Kailash, New Delhi-110065 to the present address w.e.f. 20.07.2012

 

 

UNSECURED LOAN

 

Unsecured Loan

31.03.2012

(Rs. in Millions)

31.03.2011

(Rs. In Millions)

Debentures issued to related party

2470.000

0.000

Loans short term – from related parties

1000.000

0.000

Total

 3470.000

0.000

 

 

FIXED ASSETS

 

v      Tangible Assets

·         Land

·         Plant and Equipment

·         Computer

·         Furniture and Fixture

·         Office Equipment

v      Intangible Assets

·         Software

 

 

PRESS RELEASE

 

PEs to pick 74% in IL&FS power plant for R4k cr

Mumbai, March 19 2012

 

Mumbai: Singapore-based Ascol, a consortium of four private equity funds, will purchase 74% in IL&FS Tamil Nadu Power Company for Rs. 40000.000 millions, a person with direct knowledge of the development said. The company is building a 3,600-MW coal-fired power plant in Cuddalore in Tamil Nadu.

 

India’s leading financial services provider IL&FS owns IL&FS Energy Development Company (IEDCL), the promoter of the power company. The company needs to invest roughly Rs. 180000.000 millions over the next four years to build its full capacity. “We need to spend roughly Rs. 50.000 millions to produce a megawatt of power with imported coal,” the same person said.

 

After firing the first phase of 1,200 MW by 2014, the power plant will add 800 MW every six months.

 

The stake purchase signals overseas investors' interest in new power plants which have government clearances and fuel supply security. For some time, these investors were skipping power projects as uncertainty on coal linkages and regulatory delays push up costs and delay financial closure.

 

IL&FS Tamil Nadu, which will execute and later manage the power plant, had last year purchased a coal mine in Indonesia for $160 million to ensure sufficient coal to fire its plants and appointed Punjab National Bank to syndicate funds for the project. The company will have to raise Rs. 126000.000 millions from a consortium of lenders and will invest its equity component of Rs. 14000.000 millions in the project over a period.

 

This is the largest investment by overseas investors since some private equity funds purchased 44% in Asian Genco which is building a 1,350 MW power plant for Rs. 20000.000 millions in 2010.

 

Morgan Stanley Infrastructure Partners, Goldman Sachs Norwest Venture Partners, Everstone Capital and PTC India Financial Services invested in Asian Genco which has plans to build hydro power, thermal and non-conventional energy units.

 

“After investing $3-4 billion in power companies with further commitment up to $10 billion, PE funds may be in wait-and-watch mode, but there is a lot of interest from global strategic investors,” says Seshan Balakrishnan, director, infrastructure practice at consulting firm Ernst & Young India. His comments are not specific to the story.

“These investors can have better negotiating power with Indian companies which face fewer avenues to raise funds and need to spend only less with appreciating rupee.”

 

PE funds have been avoiding government-dependent industries due to delays and fear of cost overruns, even as there are exciting opportunities of power shortage in India, the peak period between 5 pm and 11 pm at roughly 14%.

 

Delays on land, environment and fuel linkage drive up project costs and promoters are unable to seek higher tariffs, Rahul Bhasin, managing partner, Baring Private Equity Partners said in an earlier interaction with FE. “The entire cost structure goes up because of this delay.”

 

There are four key risks to power projects, says Seshan Balakrishnan of E&Y. “One, developments rights like land, environmental clearances, second, fuel and water linkages, third speedier execution and the last payment risks from buyers.”

 

 


 

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.53.87

UK Pound

1

Rs.83.59

Euro

1

Rs.72.38

 

 

INFORMATION DETAILS

 

Report Prepared by :

MRI

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

7

OPERATING SCALE

1~10

7

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

7

--LIQUIDITY

1~10

7

--LEVERAGE

1~10

7

--RESERVES

1~10

7

--CREDIT LINES

1~10

7

--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

TOTAL

 

63

 

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.