MIRA INFORM REPORT

 

 

Report Date :

15.02.2013

 

IDENTIFICATION DETAILS

 

Name :

OFFICE DEPOT RELIANCE SUPPLY SOLUTIONS PRIVATE LIMITED (w.e.f. 03.12.2010)

 

 

Formerly Known As :

EOFFICEPLANET INDIA PRIVATE LIMITED

 

 

Registered Office :

5th Floor, Court House, Lokmanya Tilak Marg, Dhobi Talao, Mumbai – 400002, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

15.05.1999

 

 

Com. Reg. No.:

11-119874

 

 

Capital Investment / Paid-up Capital :

Rs.969.276 Millions

 

 

CIN No.:

[Company Identification No.]

U36991MH1999PTC119874

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUME06075G

 

 

PAN No.:

[Permanent Account No.]

AAACE6222F

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

The company is mainly engaged in “Organised B2B” for office solutions products. 

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca (21)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

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

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a moderate track record. It is engaged in ‘Organized B2B’ for office solutions products in India.

 

The networth of the company has completely eroded due to the accumulated losses which appear to be increasing over years.

 

However, business is active. Payment terms are slow.

 

The company can be considered for business dealings on a safe and secured 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 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.

 

 

INFORMATION DECLINED BY

 

Name :

Mrs. Radhika Thorat

Designation :

Company Secretary

Contact No.:

91-22-44770000/ 1426

Date :

12.02.2013

 

 

LOCATIONS

 

Registered Office :

5th Floor, Court House, Lokmanya Tilak Marg, Dhobi Talao, Mumbai – 400002, Maharashtra, India

Tel. No.:

91-22-44770000/ 1426

Fax No.:

91-22-44771882

E-Mail :

radhika.thorat@ril.com

aknksha.mota@ril.com

Website :

http://www.officedepotreliance.com

 

 

Corporate Office :

Reliance Corpomte Park, 3-C, Ground Floor, Gate – A, RCP, Ghansoli, Navi Mumbai – 400701, Maharashtra, India 

Tel. No.:

91-22-44779030

E-Mail :

sales@officedepotreliance.com

 


 

DIRECTORS

 

(AS ON 27.09.2012)

 

Name :

Mr. Rajkumar Narayandas Pugalia

Designation :

Director

Address :

Flat No.1201, Building No.45, Seawood NRI Complex Palm Beach Roaf, Nerul, Navi Mumbai – 400706, Maharashtra, India 

Date of Birth/Age :

15.03.1961

Date of Appointment :

11.12.2010

DIN No.:

00047360

 

 

Name :

Mr. James Speer Purnell Gould

Designation :

Director

Address :

Unit - B 37/F Tower 2 Pacific View 38 Tai Tam Road, Hong Kong 99

Date of Birth/Age :

04.03.1960

Date of Appointment :

19.04.2008

DIN No.:

01785742

 

 

Name :

Mr. Bijou Kurien

Designation :

Director

Address :

# 33/2, Grant Road, Bangalore – 560001, Karnataka India

Date of Birth/Age :

17.01.1959

Date of Appointment :

19.04.2008

DIN No.:

01802995

 

 

Name :

Mr. Gaurav Jain

Designation :

Director

Address :

501, Everest Heights, Powai Vihar, Powai, Mumbai – 400076, Maharashtra, India

Date of Birth/Age :

10.08.1975

Date of Appointment :

11.12.2010

DIN No.:

02697278

 

 

Name :

Mr. James Henry Grady

Designation :

Director

Address :

1908, Sunrise Key Blvd FT Lauderdale Florida United states of America 333043818

Date of Birth/Age :

05.07.1966

Date of Appointment :

16.06.2011

DIN No.:

03506316

 

 

Name :

Mr. Nicholas Nikolopoulos James

Designation :

Director

Address :

12568 NW 74th Place Park Land Fl United States of America 330764208

Date of Appointment :

15.03.2012

DIN No.:

05216362

 


 

KEY EXECUTIVES

 

Name :

Mrs. Radhika Thorat

Designation :

Company Secretary

 

 

Name :

Mr. Gaurav Jain

Designation :

Company Secretary

Address :

111, Wing C, Gandhigram Road, Ruia Park, Juhu, Mumbai 400049, Maharashtra, India

Date of Birth/Age :

10.07.1981

Date of Appointment :

07.09.2009

PAN No.:

AERPJ4295F

 

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 27.09.2012)

 

Names of Shareholders

Equity Shares

 

 

Class - A

Class - B

 

Class - C

 

 

 

 

 

Office Depot (Operations) Holdings B.V., The Netherlands

55961456

--

--

Reliance Retail Limited, India

55961456

--

--

Shyam Pramode Barilits Gupta

--

324

1796

Maria Barilits Gupta

--

324

1796

Asia Private Equity Beteiliguugs Invest AG., Austria

--

162

0

ICICI Eco-Net Limited, India

--

98

0

Antheria Holding AG., Switzerland

--

42

50

Cimarron Financial Corporation, Panama 

--

50

60

 

 

 

 

Total

 

111922912

1000

3702

Total (Class A+B+C)

111927614

 

 

 

(AS ON 29.09.2012)

Equity Shares Break – up

 

Category

 

Percentage

 

 

 

Foreign Holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]

 

50.00

Bodies Corporate (Not mentioned above)

 

50.00

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

The company is mainly engaged in “Organised B2B” for office solutions products. 

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

Not Available

 

 

Facilities :

--

 

 

 

Banking Relations :

--

 

 

Financial Institutions :

·         Sundaram Finance Limited

No.21, Patullous Road, Chennai – 600002, Tamilnadu, India

 

 

Auditors :

 

Name :

Chaturvedi and Shah

Chartered Accountant

Address :

714-715, Tulsiani Chambers, 212, Nariman Point, Mumbai – 400021, Maharashtra, India

PAN No.:

AAAFC0662N

 

 

Joint Venture :

·         Office Depot (Operations) Holdings BV (50%)

·         Reliance Retail Limited (50%) (From Dec 11, 2010)

·         Reliance Lifestyle Holdings Limited (Up to Dec 10, 2010)

·         Office Depot International (UK) Limited (Up to Dec 10, 2010)

 

 

CAPITAL STRUCTURE

 

(AS ON 27.09.2012)

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

115000000

Equity Shares

Rs.10/- each

Rs.1150.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

111927614

Equity Shares

Rs.10/- each

Rs.1119.276 Millions

 

 

 

 

 

 

 

(AS ON 31.03.2012)

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

99980000

Equity Shares Class A

Rs.10/- each

Rs.999.800 Millions

10000

Equity Shares Class B

Rs.10/- each

Rs.0.100 Million

10000

Equity Shares Class C

Rs.10/- each

Rs.0.100 Million

 

 

 

 

 

Total

 

Rs.1000.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

96922912

Equity Shares Class A

Rs.10/- each

Rs.969.229 Millions

1000

Equity Shares Class B

Rs.10/- each

Rs.0.010 Million

3702

Equity Shares Class C

Rs.10/- each

Rs.0.037 Million

 

 

 

 

 

Total

 

Rs.969.276 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

969.276

969.276

526.742

2] Share Application Money

0.000

0.000

200.000

3] Reserves & Surplus

0.000

0.000

0.000

4] (Accumulated Losses)

(1302.151)

(1098.403)

(840.268)

NETWORTH

(332.875)

(129.127)

(113.526)

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

8.967

2] Unsecured Loans

308.126

152.134

211.271

TOTAL BORROWING

308.126

152.134

220.238

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

(24.749)

23.007

106.712

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

18.313

34.189

51.929

Capital work-in-progress

0.000

0.000

6.694

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

38.614

41.522

50.534

 

Sundry Debtors

114.717

175.634

113.062

 

Cash & Bank Balances

2.135

2.045

1.648

 

Other Current Assets

0.686

1.372

0.000

 

Loans & Advances

20.463

23.460

27.429

Total Current Assets

176.615

244.033

192.673

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditor

156.062

190.477

89.087

 

Other Current Liabilities

54.627

55.429

50.807

 

Provisions

8.988

9.309

6.749

Total Current Liabilities

219.677

255.215

146.643

Net Current Assets

(43.062)

(11.182)

46.030

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

2.059

 

 

 

 

TOTAL

(24.749)

23.007

106.712

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

715.090

744.570

433.409

 

 

Other Income

NA

NA

NA

 

 

TOTAL                                     (A)

NA

NA

NA

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                     (B)

NA

NA

NA

 

 

 

 

 

Less

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

(163.879)

(223.968)

(229.648)

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

23.830

26.239

33.029

 

 

 

 

 

 

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

(187.709)

(250.207)

(262.677)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

16.039

28.130

50.147

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

(203.748)

(278.337)

(312.824)

 

 

 

 

 

Less

TAX                                                                  (H)

0.000

0.000

0.000

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

(203.748)

(278.337)

(312.824)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(1539.440)

(1261.103)

(948.279)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

(1743.188)

(1539.440)

(1261.103)

 

 

 

 

 

 

Earnings Per Share (Rs.)

(2.10)

(3.97)

(5.94)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

Net Profit Margin

(PBT/Sales)

(%)

(28.49)

(37.38)

(72.18)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(104.52)

(100.04)

(127.89)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.61)

(2.16)

(2.76)

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

(0.93)

(1.18)

(2.76)

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.80

0.96

1.31

 


 

LOCAL AGENCY FURTHER INFORMATION

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2012

 

31.03.2011

31.03.2010

 

(Rs. In Millions)

 

 

 

 

Sundry Creditors

156.062

190.477

89.087

 

 

 

 

Total

 

156.062

190.477

89.087

 

 

 

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 three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

-----

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

-----

22]

Litigations that the firm / promoter involved in

-----

23]

Banking Details

No

24]

Banking facility details

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

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

 

 

UNSECURED LOANS

 

Particulars

31.03.2012

31.03.2011

 

 

(Rs. In Millions)

 

 

 

Loans repayable on demand from banks

308.126

152.134

 

 

 

Total

 

308.126

152.134

 

 

OPERATIONAL AND FINANCIAL REVIEW:

 

The Company has been able to reduce its loss for the current year as compared to the previous year.

 

For the financial year ended 31st March, 2012, the Company has incurred a loss of Rs.203.740 Millions on a turnover of Rs.715.090 Millions. As the Company is on the path of consolidation, the directors are confident of posting better results in the coming years.

 

 

CHANGE OF REGISTERED OFFICE:

 

The Registered office of the Company was changed to 5th Floor, Court House, Lokmanya Tilak Marg, Dhobi Talao, Mumbai – 400002 with effect from December 15, 2011.

 

 

FIXED ASSETS:

 

·         Plant and Machinery

·         Factory Equipment

·         Furniture and Fixture

·         Vehicles

 

 


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

 

Information Gathered by :

PDT

 

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

2

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

--

--LIQUIDITY

1~10

1

--LEVERAGE

1~10

2

--RESERVES

1~10

--

--CREDIT LINES

1~10

2

--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

 

21

 

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.