MIRA INFORM REPORT

 

 

Report Date :

24.01.2013

 

IDENTIFICATION DETAILS

 

Name :

YAHOO INDIA PRIVATE LIMITED [w.e.f. 07.11.2008]

 

 

Formerly Known As :

YAHOO WEB SERVICES INDIA PRIVATE LIMITED

 

 

Registered Office :

Unit No. 1261, 6th Floor, Building No. 12, Solitaire, Corporate Park No. 167, G H Marg, Andheri (East), Mumbai-400093, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

07.04.2000

 

 

Com. Reg. No.:

11-138698

 

 

Capital Investment / Paid-up Capital :

Rs. 4186.408 Millions

 

 

CIN No.:

[Company Identification No.]

U72900MH2000PTC138698

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMY01384F

 

 

PAN No.:

[Permanent Account No.]

AAACY1252B

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Providing Internet and Web Based Services.

 

 

No. of Employees :

700 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (55)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 6390000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of ‘Yahoo Netherlands B.V’. It  is a well-established and a reputed company having a fine track record.

 

There appears some accumulated losses recorded by the company which has reduced slightly during 2012. There appeared some improvement in the income earned by the company and its profits.

 

However, networth still appears good. Trade relations are reported as trustworthy. Business is active. Payment terms are reported as regular and as per commitment.

 

The company can be considered good for 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.

 

 

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 :

Mr. Gururaj

Designation :

Senior Accountant

Contact No.:

91-22-30774444/ 6000

Date :

24.01.2013

 

 

LOCATIONS

 

Registered Office :

Unit No. 1261, 6th Floor, Building No. 12, Solitaire, Corporate Park No. 167, G H Marg, Andheri (East), Mumbai-400093, Maharashtra, India

Tel. No.:

91-22-33089600

Fax No.:

91-22-33089700

E-Mail :

yindcorpsec@yahoo-inc.com

chandhok@yahoo-inc.com

srakesh@yahoo_inc.com

amitdas@yahoo-inc.com

Website :

www.yahoo-inc.com

 

 

Branch Office 1:

14th Floor, Building No. 8, Tower C, DLF Cyber City, DLF Phase 2, Gurgaon-122002, Haryana, India

Tel. No.:

91-124-3929600

Fax No.:

91-124-3929780

 

 

Branch Office 2:

 7th Floor, Bagmane Tridib, Block A, Bagmane Tech Park, C V Raman Nagar, Bangalore-560093, Karnataka, India

Tel. No.:

91-80-30776000

Fax No.:

91-80-30776001

 

 

DIRECTORS

 

AS ON 16.11.2012

 

Name :

Mr. Arun Kumar Tadanki

Designation :

Managing director

Address :

A3/1502, Worldspa East, Sector 30/31, Gurgaon-122002, Haryana, India

Date of Birth/Age :

31.07.1970

Qualification :

B. Tech Mechanical, MBA

Experience :

19 Years

Date of Appointment :

25.05.2009

PAN No.:

AAHPT8273H

DIN No.:

00008448

 

 

Name :

Mr. Stephen Kai Long Man

Designation :

Director

Address :

Flat C, 5/F, Wealthy Heights, 35, Macdonnel Road, Midlevels, Hong Kong

Date of Birth/Age :

06.04.1971

Date of Appointment :

02.05.2011

DIN No.:

03508662

 

 

Name :

Engee Chen

Designation :

Director

Address :

Flat B-6/F, Suncrest Tower 1, Monmouth Terrace, Wanchai, Hong Kong

Date of Birth/Age :

19.07.1962

Date of Appointment :

02.05.2011

DIN No.:

03508664

 

 

Name :

Mr. Amitabh Lal Das

Designation :

Director/ Senior Director Legal

Address :

A 184, Westend Heights, DLF City, Phase 5, Behind Gempact, Gurgaon-122009, Haryana, India

Date of Birth/Age :

18.09.1969

Qualification :

LLB Course in British and EC Commercial Law and Practice

Experience :

16 Years

Date of Appointment :

24.08.2011

PAN No.:

ACXPD2540B

DIN No.:

03589752

 

 

KEY EXECUTIVES

 

Name :

Mr. Gururaj

Designation :

Senior Accountant

 

 

Name :

Mr. Vishal Maheshwari

Designation :

Display Sales Head, YAHOO! India

Date of Birth/Age :

44 Years

Qualification :

B.Com., MMS Marketing

Experience :

20 Years

 

 

Name :

Im Swaminathan

Designation :

Product Marketing Dir

Date of Birth/Age :

38 Years

Qualification :

Master in Business Administration

Experience :

13 Years

 

 

Name :

Mr. Nitin Mathur

Designation :

Senior Director

Date of Birth/Age :

38 Years

Qualification :

PG Diploma in Management (Marketing)

Experience :

14 Years

 

 

Name :

Mr. Namit Pandey

Designation :

Director/Head-Local & Listings Business

Date of Birth/Age :

41 Years

Qualification :

Mathematics Graduate/PG. Dip in Management

Experience :

16 Years

 

 

Name :

Mr. Prem Kumar Panicker

Designation :

Managing Editor

Date of Birth/Age :

54 Years

Qualification :

BA

Experience :

32 Years

 

 

Name :

Mr. Sunil Varhadkar

Designation :

Business Head

Date of Birth/Age :

39 Years

Qualification :

MBA

Experience :

17 Years

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 16.11.2012

 

Names of Shareholders

 

No. of Shares

 

Yahoo Netherlands B.V., Netherlands

 

418640795

Yahoo CV LLC, USA

 

1

Yahoo Inc.,  USA

 

1

Total

 

418640797

 

 

AS ON 16.11.2012

 

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]

 

100.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Providing Internet and Web Based Services.

 

 

GENERAL INFORMATION

 

No. of Employees :

700 (Approximately)

 

 

Bankers :

Not Available

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Price Waterhouse and Company

Chartered Accountants

Address :

5th Floor, Tower D, The Millenia, 1&2, Murphy Road, Ulsoor, Bangalore - 560008, India

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

AAHFP0187A

 

 

Holding company :

v  Yahoo! Netherlands B.V.

v  Yahoo! Netherlands Holdings C. V.

 

 

Ultimate Holding Company :

v  Yahoo! Inc.

 

 

Fellow Subsidiary Company :

v  Yahoo! Southeast Asia Pte. Ltd.

v  Yahoo Software Development India Private Limited [U72200KA2002PTC031398]

v  Yahoo! Sarl

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

448700000

Equity Shares

Rs. 10/- each

Rs. 4487.000 Millions 

130000

Preference Shares

Rs. 100/- each

Rs. 13.000 Millions

 

Total

 

Rs. 4500.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

418640797

Equity Shares

Rs. 10/- each

Rs. 4186.408 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

4186.408

4186.408

3852.944

2] Share Application Money

0.000

0.000

0.001

3] Reserves & Surplus

0.000

0.000

0.099

4] (Accumulated Losses)

(2588.748)

(2604.591)

(2607.910)

NETWORTH

1597.660

1581.817

1245.133

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

0.000

2] Unsecured Loans

0.000

0.000

0.000

TOTAL BORROWING

0.000

0.000

0.000

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

1597.660

1581.817

1245.134

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

535.115

932.729

729.371

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERRED TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
0.000

0.000

0.000

 

Sundry Debtors
542.616

585.464

576.678

 

Cash & Bank Balances
989.839

152.030

303.359

 

Other Current Assets
0.000

0.000

77.521

 

Loans & Advances
243.889

377.285

280.933

Total Current Assets
1776.344

1114.779

1238.491

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
350.284

65.266

580.796

 

Other Current Liabilities
348.573

378.768

125.120

 

Provisions
14.942

21.657

16.812

Total Current Liabilities
713.799

465.691

722.728

Net Current Assets
1062.545

649.088

515.763

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

1597.660

1581.817

1245.134

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

 

 

 

 

 

GROSS INCOME

2363.589

2260.239

1417.404

 

 

 

 

 

 

EXPENSES

N.A.

N.A.

N.A.

 

 

 

 

 

 

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

599.093

518.501

(759.427)

 

 

 

 

 

Less

FINANCIAL EXPENSES                                   

0.000

0.000

0.000

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

599.093

518.501

(759.427)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

524.446

515.281

490.881

 

 

 

 

 

 

EXCEPTIONAL ITEMS

58.804

0.000

0.000

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX

15.843

3.220

(1250.308)

 

 

 

 

 

Less

TAX                                                                 

0.000

0.000

(72.453)

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX

15.843

3.220

(1177.855)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(2604.690)

(2607.910)

(1429.939)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

(2588.847)

(2604.690)

(2607.910)

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

970.204

965.709

571.110

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

0.04

0.01

(3.76)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

Return on Total Assets

(PBT/Total Assets}

(%)
0.69
0.16

(63.54)

 

 
 
 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.01
0.00

(1.00)

 

 
 
 

 

Debt Equity Ratio

(Total Liability/Networth)

 
0.45
0.29

0.58

 

 
 
 

 

Current Ratio

(Current Asset/Current Liability)

 
2.49
2.39

1.71

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2012

31.03.2011

 

31.03.2010

 

(Rs. In Millions)

Dues to micro enterprises and small enterprises
0.238

4.975

53.225

Dues to others
350.046

60.291

527.571

Trade payables

350.284

65.266

580.796

 

 

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

Yes

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

Yes

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

Yes

 

Note: The registered address of the company has been shifted from 801 Nicholas Piramal Tower, Peninsula Corporate Park, Lower Parel, Mumbai - 400013, Maharashtra India to the present w.e.f.01.07.2010

 

 

BACKGROUND

 

Yahoo India Private Limited (the “Company”) was incorporated on April 07, 2000 under the Indian Companies Act, 1956 (“the Act”) and is a subsidiary of Yahoo! Netherlands B.V., Netherlands (“the Holding company”).

 

The Company provides consumer services such as search engine, content and information on a wide spectrum of topics, email, chat, etc. through the popular website www.yahoo.co.in. It is also engaged in hosting banner advertisements and promotional services. The Company works on a principal to principal basis whereby it acts as a reseller of advertisement inventory ( www.yahoo.co.in ) of Yahoo! Southeast Asia Private Limited (‘Y! SEA’).

 

Additionally, the company also provides Portal development services to Y! SEA under the agreements executed with the party.

 

 

FINANCIAL RESULTS

 

During the year, the Company’s gross Income was 4.57 % higher at Rs. 2,363.590 millions as compared to the previous year gross income of Rs. 2,260.240 millions. Revenue from third parties grew by around 14% over previous year on account of robust growth in Display advertisement revenue. This was offset by a decrease in write-back of provisions no longer required.

 

 

OUTLOOK

 

The Company anticipates better returns in the subsequent financial years with internet awareness growing rapidly in the country and clients allocating more advertising budgets to the internet.

 

 

CONTINGENT LIABILITIES:

 

Particulars

31.03.2012

31.03.2011

 

 

 

Claims against company not acknowledged as debt

263.910

144.724

Other money for which company is contingently liable

83.092

115.343

Total contingent liabilities

347.002

260.067

 


FIXED ASSETS:

 

v  Computer Software

v  Leasehold Improvement

v  Computer

v  Furniture and Fixture

v  Office Equipment

 

 

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]         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. 53.77

UK Pound

1

Rs. 85.14

Euro

1

Rs. 71.57

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

BVA

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

7

OPERATING SCALE

1~10

8

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

8

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

4

--CREDIT LINES

1~10

7

--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

 

55

 

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.