MIRA INFORM REPORT

 

 

Report Date :

22.02.2013

 

IDENTIFICATION DETAILS

 

Name :

SHREYA LIFE SCIENCES PRIVATE LIMITED (w.e.f.31.05.2004)

 

 

Formerly Known As :

AMIKA TRADING PRIVATE LIMITED

 

 

Registered Office :

Shreya House, 6th Floor, 301/A Pereira Hill Road, Andheri (East), Mumbai – 400099, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

10.04.1991

 

 

Com. Reg. No.:

11-061136

 

 

Capital Investment / Paid-up Capital :

Rs. 62.955 Millions

 

 

CIN No.:

[Company Identification No.]

U51900MH1991PTC061136

 

 

PAN No.:

[Permanent Account No.]

AADCS9890C

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Trader of Pharmaceuticals and Bulk Drugs.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (45)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 8560000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a satisfactory track record. The latest financial are not made available with the government department.

 

As per previous year’s, the financial position of the company is strong. Performance capability appears to be high. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitment.

 

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

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

Term loan : (CRISIL) BB-

Rating Explanation

Having moderate risk of default regarding timely servicing of financial obligation.

Date

September 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.

 

 

LOCATIONS

 

Registered/ Head Office :

Shreya House, 6th Floor, 301/A Pereira Hill Road, Andheri (East), Mumbai – 400099, Maharashtra, India

Tel. No.:

91-22-66938222/ 66959844 / 42220236/ 42220222

Fax No.:

91-22-66939222

E-Mail :

datta@shreya.co.in

shreya@shreya.co.in

corporate@shreya.co.in

sujit@shreya.co.in

Website :

www.shreya.co.in

 

 

Aurangabad Plant Office :

B-9/2, MIDC, Waluj, Aurangabad – 431136, Maharashtra, India

Tel. No.:

91-240-6636700

Fax No.:

91-240-2554581

E-Mail :

shreya@shreya.co.in

 

 

Roorkee Plant Office :

Plot No.13/14/15, Village: Raipur and Sisona, Post Office: Bhagwanpur, District Haridwar (Uttarakhand) – 247667, Roorkee, India

Tel. No.:

91-1332-287287 / 287211

Fax No.:

91-1332-235244

E-Mail :

shreya@shreya.co.in

 

 

DIRECTORS

 

AS ON 28.09.2012

 

Name :

Mr. Sheel Kumar Dhananjay Singh

Designation :

Director

Address :

37, Surag Apartments, Nutan Laxmi Co-operative Housing Society, 10th Road, Vile Parle (West), Mumbai – 400049, Maharashtra, India

Date of Birth/Age :

10.02.1973

Qualification :

M.B.B.S

Date of Appointment :

14.09.2006

DIN No.:

00724595

 

 

Name :

Mr. Himanshu Baldev Singh

Designation :

Alternate director

Address :

Sneha 82, Nutan Laxmi Society, N.S. Road No – 8, Juhu, Scheme G.V.P.D., Vile Parle [West], Mumbai – 400049, Maharashtra, India

Date of Birth/Age :

01.01.1977

Qualification :

M. Tech

Date of Appointment :

20.03.2009

DIN No.:

02634701

 

 

Name :

Mr. Sujit Kumar Singh

Designation :

Director

Address :

Nutan Laxmi Co-operative Housing Society, JVPD Scheme, Juhu, Mumbai – 400049, Maharashtra, India 

Date of Birth/Age :

15.03.1971

Qualification :

B. SC

Date of Appointment :

30.09.1999

DIN No.:

01246240

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 28.09.2012

 

Names of Shareholders

 

 

No. of Shares

Sujit Kumar Singh

 

1971860

Jagannath Prasad Singh

 

1364740

Vishwananth Prasad

 

944300

Baidhnath Brahmdev

 

944240

R.S. Investments Limited, Island

 

440774

Zee International Far East Limited, Hong Kong

 

629546

Total

 

6295460

 

 

AS ON 28.09.2012

 

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]

 

17.00

Directors or relatives of directors

 

83.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Trader of Pharmaceuticals and Bulk Drugs.

 

 

Products :

ITC Code

Product Descriptions

30049099

Cefotaxime

30049099

Verapamil

30045015

Diclofenac

 

 

PRODUCTION STATUS (AS ON 31.03.2011)

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Liquid Injectable**

Kilo Ltrs

N.A

145.200

57.526

Dry powder injectables Freezed Dried**

Tonnes

N.A

0.007

0.003

Dry powder injectables

Vials/ Lakhs

N.A

240.000

47.835

Liquid Oral **

Bottle/

Lakhs

N.A

300.000

202.298

Tablets / Capsules**

Nos/ Lakhs

N.A

42,060

9168

Powder Granules **

Tonnes

N.A

--

149.054

Ointment **

Tonnes

N.A

--

12.007

Spray / Bandage **

Tonnes

N.A

--

7.916

Bulk Drug

Tonnes

N.A

15.000

2.172

Insulin

Kilo Ltrs

N.A

43.200

11.604

Lozenges

Nos/ Lakhs

N.A

4,800

230.12

 

Note: Licensed Capacity is not applicable in terms of Government of India's Notification No. S.O. 477(E) dated July 25, 1991 issued under Industries (Development & Regulation) Act, 1951.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

State Bank of India, Industrial Finance Branch, 201, 1ST Floor, Sir M V Road, Western Express Highway, Andheri (East), Mumbai – 400069, Maharashtra, India

 

 

Facilities :

 

Secured Loans

31.03.2011

31.03.2010

 

 

(Rs. In Millions)

Rupee term loans banks secured

239.922

497.069

Rupee term loans others secured

29.126

11.221

Working capital loans banks secured

846.214

1195.154

Loans taken for vehicles secured

36.754

45.683

Finance lease obligation long-term secured

280.805

42.774

Total

1432.821

1791.901

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

R G Mehta and Company

Chartered Accountants

Address :

B-104, Mrud Kishore, Near Dattapada Road, Subway, Borivali West, Mumbai – 400092, Maharashtra, India

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

AAJFR6464Q

 

 

Joint Ventures : 

Pace Shreya (Private) Limited

 

 

Subsidiary Company :

Serena Pharma Private Limited

 

 

Entities where control exists :

Shreya Creations Private Limited

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

10,000,000

Equity Shares

Rs. 10/- each

Rs. 100.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

6,295,460

Equity Shares

Rs. 10/- each

Rs. 62.955 Millions

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2011

31.03.2010

31.03.2009

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

62.955

62.955

62.955

2] Share Application Money

200.000

200.000

200.000

3] Reserves & Surplus

1876.335

1724.319

1622.101

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

2139.290

1987.274

1885.056

LOAN FUNDS

 

 

 

1] Secured Loans

1432.821

1791.901

1705.782

2] Unsecured Loans

213.374

429.330

293.008

TOTAL BORROWING

1646.195

2221.231

1998.790

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

3785.485

4208.505

3883.846

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

974.627

1093.858

1247.598

Capital work-in-progress

31.554

31.598

36.158

 

 

 
 

INVESTMENT

24.641

24.641

25.641

DEFERRED TAX ASSETS

27.914

46.776

58.792

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
333.525

248.468
307.978

 

Sundry Debtors
3064.427

3625.482
2919.624

 

Cash & Bank Balances
110.972

40.644
47.441

 

Other Current Assets
0.000

0.000
0.000

 

Loans & Advances
169.457

234.673
375.703

Total Current Assets
3678.381

4149.267

3650.746

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
685.208

893.676

912.805

 

Other Current Liabilities
194.109

202.633

158.830

 

Provisions
72.315

41.326

63.454

Total Current Liabilities
951.632

1137.635

1135.089

Net Current Assets
2726.749

3011.632

2515.657

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

3785.485

4208.505

3883.846

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Income

 

 

 

Other Income

 

 

 

 

 

TOTAL                                    

3795.463

3638.762

3868.000

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                    

3140.859

3005.412

3058.873

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION

654.604

633.350

809.127

 

 

 

 

 

Less

FINANCIAL EXPENSES                        

298.307

331.006

298.060

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

356.297

302.344

511.067

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

136.418

158.110

258.137

 

 

 

 

 

 

PRIOR PERIOD EXPENSES

0.000

0.000

8.338

 

 

 

 

 

 

PROFIT BEFORE TAX

219.879

144.234

244.592

 

 

 

 

 

Less

TAX                                                     

67.862

42.016

38.447

 

 

 

 

 

 

PROFIT AFTER TAX

152.017

102.218

206.145

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

1208.388

1106.170

900.025

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

1360.405

1208.388

1106.170

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Exports on F.O.B basis

859.173

446.407

N.A.

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw materials/components

188.939

167.837

N.A.

 

 

 

 

 

 

Earnings Per Share (Rs.)

24.15

16.24

32.75

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)
4.01

2.81

5.33

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
4.73

2.75

4.99

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.10

0.07

0.13

 

 
 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 
0.77

1.12

1.06

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
3.87

3.65

3.22

 

 

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

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

Yes

 

 

UNSECURED LOANS

 

Unsecured Loans

31.03.2011

31.03.2010

 

 

(Rs. In Millions)

Rupee term loans banks unsecured

86.278

97.472

Loans directors unsecured

1.548

0.148

Other debt unsecured

125.548

331.710

Total

213.374

429.330

 

 

HIGHLIGHTS OF THE YEAR:

 

The total income in the financial year 2010-11 was Rs. 3795.463 Millions as compared to Rs. 3638.762 Millions in the previous year, representing a growth of about (4.3%). The increase in turnover was on account of increased export business.

 

The net profit stood at Rs. 152.017 Millions [Previous year Rs. 102.218 Millions].

 

 

CONTINGENT LIABILITIES

(Rs. in millions)

Particulars

31.03.2011

31.03.2010

Estimated amount of contracts remaining to be executed on capital account (net of advances) and not provided for

1.500

1.500

Guarantees outstanding:-

Nil

2.812

- Guarantees given to banks for loans taken by third party. Loan outstanding against such guarantee: Rs. Nil (Previous year Rs. Nil)

2.000

1.500

Export obligation under the EPCG scheme (on purchase of machinery for Roorkee project)

79.241

79.241

Export obligation under the advance license scheme (import of materials)

Nil

0.221

Income tax - Demands/show cause-cum demand notices contested by the Company

96.771

49.70

Duty obligation Bond issued by central excise department

20.012

9.427

 

In the opinion of the Company’s legal counsel the said demand is not tenable and the Company has filed an appeal challenging the demand. The appeal has not been decided till the balance sheet date. Considering the facts and nature of the case, the Company believes that there will be a positive outcome and there will not be any material impact on the financial statements. The above claims have been paid by the Company under protest.

 

Fixed Assets:

 

Ř                   Leasehold Land

Ř                   Freehold Land

Ř                   Buildings – Factory

Ř                   Building – Others

Ř                   Plant and Machinery

Ř                   Office Equipments, Furniture and Fittings

Ř                   Computers Software

Ř                   Vehicles

Ř                   Goodwill

Ř                   Technical Know How

Ř                   Brands, Trade Marks

 

 

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 records 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. 54.48

UK Pound

1

Rs. 82.71

Euro

1

Rs. 72.23

 

 

INFORMATION DETAILS

 

Report Prepared by :

BVA

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--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

TOTAL

 

45

 

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.