MIRA
INFORM REPORT
|
Report Date : |
30.01.2013 |
IDENTIFICATION DETAILS
|
Name : |
SULOCHANA COTTON SPINNING MILLS PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
424, 426 (Old No. 483, 484), Kamaraj Road, Tirupur-641604, Tamilnadu |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
08.01.1990 |
|
|
|
|
Com. Reg. No.: |
18-002580 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 49.000 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U17111TZ1990PTC002580 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CMBS05326G |
|
|
|
|
PAN No.: [Permanent Account No.] |
AADCS8189G |
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|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Seller of Yarn and Knitted Garment. |
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|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (36) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 1950000 |
|
|
|
|
Status : |
Moderate |
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|
|
|
Payment Behaviour : |
Unknown |
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|
|
|
Litigation : |
Clear |
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|
|
|
Comments : |
Subject is an established company having a moderate track record. The
management have failed to file its latest financial with the government. As per previous year’s, the performance of the company seems to be
good. Trade relations are reported to be fair. Business is active. Payments
are reported to be unknown. The company can be considered for business dealings with some caution |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
India is developing into an open-market economy, yet traces of
its past autarkic policies remain. Economic liberalization, including
industrial deregulation, privatization of state-owned enterprises, and reduced
controls on foreign trade and investment, began in the early 1990s and has
served to accelerate the country's growth, which has averaged more than 7% per
year since 1997. India's diverse economy encompasses traditional village
farming, modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of services. Slightly more than half of the work force is in
agriculture, but services are the major source of economic growth, accounting
for more than half of India's output, with only one-third of its labor force.
India has capitalized on its large educated English-speaking population to become
a major exporter of information technology services and software workers. In
2010, the Indian economy rebounded robustly from the global financial crisis -
in large part because of strong domestic demand - and growth exceeded 8%
year-on-year in real terms. However, India's economic growth in 2011 slowed
because of persistently high inflation and interest rates and little progress
on economic reforms. High international crude prices have exacerbated the
government's fuel subsidy expenditures contributing to a higher fiscal deficit,
and a worsening current account deficit. Little economic reform took place in
2011 largely due to corruption scandals that have slowed legislative work.
India's medium-term growth outlook is positive due to a young population and
corresponding low dependency ratio, healthy savings and investment rates, and
increasing integration into the global economy. India has many long-term
challenges that it has not yet fully addressed, including widespread poverty,
inadequate physical and social infrastructure, limited non-agricultural
employment opportunities, scarce access to quality basic and higher education,
and accommodating rural-to-urban migration.
|
Source
: CIA |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
BB (Long term Bank facilities) |
|
Rating Explanation |
Having moderate risk of default regarding
timely servicing of financial obligation. |
|
Date |
April, 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 Office : |
424, 426 (Old No. 483, 484), Kamaraj Road, Tirupur-641604, Tamilnadu |
|
Tel. No.: |
91-421-2211824 / 825 / 826 |
|
Fax No.: |
91-421-4321540 |
|
E-Mail : |
DIRECTORS
As on 24.08.2011
|
Name : |
Mr. Murugan Chettiar Shanmugam Chettiar |
|
Designation : |
Managing Director |
|
Address : |
280,Vaikkal Thottam, Sheriff Colony, Tirupur-641604, Tamilnadu, India |
|
Date of Birth/Age : |
29.10.1933 |
|
Date of Appointment : |
18.01.1990 |
|
DIN No.: |
00184166 |
|
|
|
|
Name : |
Mr. Shanmugam Chettiar Krishnakumar |
|
Designation : |
Managing Director |
|
Address : |
280,Vaikkal Thottam, Sheriff Colony, Tirupur-641604, Tamilnadu, India |
|
Date of Birth/Age : |
05.02.1963 |
|
Qualification : |
BA |
|
Date of Appointment : |
18.01.1990 |
|
Experience : |
24 Years |
|
DIN No.: |
00184252 |
|
|
|
|
Name : |
Ms. Asha Krishnakumar |
|
Designation : |
Whole-time director |
|
Address : |
484, Kamaraj Road, Tirupur-641604, Tamilnadu, India |
|
Date of Birth/Age : |
24.03.1963 |
|
Date of Appointment : |
01.09.2005 |
|
DIN No.: |
00184331 |
|
|
|
|
Name : |
Mr. Shanmugam Chettiar Kunjammal |
|
Designation : |
Director |
|
Address : |
280,Vaikkal Thottam, Sheriff Colony, Tirupur-641604, Tamilnadu, India |
|
Date of Birth/Age : |
05.04.1936 |
|
Date of Appointment : |
18.01.1990 |
|
DIN No.: |
00184818 |
|
|
|
|
Name : |
Mr. Kaushikmurugan Krishnakumar |
|
Designation : |
Whole-time director |
|
Address : |
Murugalaya Vaikkal Thottam, Kamaraj Road, Cotton Market,
Tirupur-641601, Tamilnadu, India |
|
Date of Birth/Age : |
25.09.1987 |
|
Date of Appointment : |
11.09.2008 |
|
DIN No.: |
02351348 |
|
|
|
|
Name : |
Ms. Sudha Srikanth |
|
Designation : |
Director |
|
Address : |
35, Muthunagar, III Street, Tirupur-641607, Tamilnadu, India |
|
Date of Birth/Age : |
16.08.1970 |
|
Date of Appointment : |
30.09.2002 |
|
DIN No.: |
02942327 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 24.08.2011
|
Names of Shareholders |
|
No. of Shares |
|
S. Krishnakumar |
|
172000 |
|
M. Shanmugam Chettiar |
|
168000 |
|
S. Kunjammal |
|
84000 |
|
Asha Krishnakumar |
|
28000 |
|
Kaushik Murugan |
|
28000 |
|
Prithvi Murugan |
|
10000 |
|
Total |
|
490000 |
Equity Share Break up (Percentage of Total Equity)
As on 24.08.2011
|
Category |
Percentage |
|
Directors or relatives of Directors |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Seller of Yarn and Knitted Garment. |
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Products : |
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PRODUCTION STATUS AS ON 31.03.2011
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Spindles |
-- |
-- |
94448 |
-- |
|
Rotors |
-- |
-- |
196 |
-- |
|
Yarn |
Kgs. |
-- |
-- |
11661355 |
|
Cotton waste and Hard Waste |
Kgs. |
-- |
-- |
1869825 |
|
Garments |
Kgs. |
-- |
-- |
466890 |
|
Fabric |
Kgs. |
-- |
-- |
149132 |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|||||||||||||||
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|
|||||||||||||||
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Bankers : |
·
Indian Overseas Bank, Tirupur Branch, 122 Kumaran
Road, Tirupur - 641601,Tamilnadu, India ·
Industrial Development Bank of India Limited,
Stock Exchange Building, 683-686 Trichy Road, Coimbatore - 641005, Tamil
Nadu, India |
|||||||||||||||
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|
|||||||||||||||
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Facilities : |
|
|
|
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Banking
Relations : |
-- |
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|
|
|
Auditors : |
|
|
Name : |
P.S.Krishnan and Company Chartered Accountants |
|
Address : |
40 A , Appachinagar Main Road, Tirupur - 641 607, Tamilnadu, India |
|
PAN No.: |
APFPS3312D |
|
|
|
|
Associates : |
·
Sri Krishna Kumar Pressing Factory ·
Evergreen Solar Systems India (Private) Limited |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
500000 |
Equity Shares |
Rs.100/- each |
Rs. 50.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
490000 |
Equity Shares |
Rs.100/- each |
Rs. 49.000 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 |
49.000 |
49.000 |
35.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
439.614 |
313.481 |
298.662 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
488.614 |
362.481 |
333.662 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1877.524 |
1682.241 |
1533.311 |
|
|
2] Unsecured Loans |
323.940 |
289.788 |
285.470 |
|
|
TOTAL BORROWING |
2201.464 |
1972.029 |
1818.781 |
|
|
DEFERRED TAX LIABILITIES |
127.908 |
124.693 |
115.546 |
|
|
|
|
|
|
|
|
TOTAL |
2817.986 |
2459.203 |
2267.989 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1533.311 |
1367.650 |
1376.199 |
|
|
Capital work-in-progress |
1.527 |
2.212 |
4.235 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.251 |
0.251 |
0.251 |
|
|
DEFERRED TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1010.868
|
826.556 |
644.000 |
|
|
Sundry Debtors |
148.289
|
126.249 |
142.158 |
|
|
Cash & Bank Balances |
55.016
|
81.372 |
25.487 |
|
|
Other Current Assets |
62.251
|
45.109 |
0.000 |
|
|
Loans & Advances |
149.671
|
167.360 |
196.821 |
|
Total
Current Assets |
1426.095
|
1246.646 |
1008.466 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
96.229
|
125.465 |
101.278 |
|
|
Other Current Liabilities |
16.122
|
25.889 |
16.787 |
|
|
Provisions |
37.550
|
7.150 |
3.150 |
|
Total
Current Liabilities |
149.901
|
158.504 |
121.215 |
|
|
Net Current Assets |
1276.194
|
1088.142 |
887.251 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
6.703 |
0.948 |
0.053 |
|
|
|
|
|
|
|
|
TOTAL |
2817.986 |
2459.203 |
2267.989 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
2576.200 |
1715.705 |
1377.656 |
|
|
|
Other Income |
NA |
40.240 |
35.692 |
|
|
|
TOTAL (A) |
NA |
1755.945 |
1413.348 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw material consumed |
|
917.081 |
773.242 |
|
|
|
Purchase of finished goods |
|
3.902 |
5.505 |
|
|
|
Employees cost |
NA |
115.146 |
88.022 |
|
|
|
Manufacturing expenses |
|
269.832 |
253.846 |
|
|
|
Consumption of stores, spares and Packaging materials |
|
41.678 |
59.828 |
|
|
|
Administrative Expenses |
|
53.566 |
58.560 |
|
|
|
Preliminary expenses written off |
|
0.027 |
0.027 |
|
|
|
Increase/ (Decrease) in stock |
|
13.098 |
(127.964) |
|
|
|
TOTAL (B) |
NA |
1414.330 |
1111.066 |
|
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (A-B) (C) |
NA |
341.615 |
302.282 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
NA |
163.487 |
156.407 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
336.697 |
178.128 |
145.875 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
148.917 |
135.640 |
125.645 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F)
(G) |
187.780 |
42.488 |
20.230 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
37.000 |
6.600 |
2.300 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H) (I) |
150.780 |
35.888 |
17.930 |
|
|
|
|
|
|
|
|
|
Less |
Provision for
FBT |
-- |
-- |
0.300 |
|
|
|
|
|
|
|
|
|
Less |
Prior year
adjustment |
3.463 |
4.523 |
2.257 |
|
|
|
|
|
|
|
|
|
Less |
Provision for
deferred tax liability (net) |
3.216 |
9.146 |
7.428 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
283.830 |
275.011 |
264.823 |
|
|
|
|
|
|
|
|
|
Add |
Mat Credit Entitlement |
(17.968) |
6.600 |
2.243 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
50.000 |
20.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
359.963 |
283.830 |
275.011 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value |
373.228 |
80.820 |
71.037 |
|
|
|
Others |
0.000 |
0.182 |
0.257 |
|
|
TOTAL EARNINGS |
373.228 |
81.002 |
71.294 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
9.464 |
0.000 |
42.684 |
|
|
|
Components and Spare Parts |
1.827 |
2.975 |
2.684 |
|
|
|
Capital Goods |
106.977 |
2.182 |
14.140 |
|
|
|
Others |
8.637 |
1.569 |
0.000 |
|
|
TOTAL IMPORTS |
126.905 |
6.726 |
59.508 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
307.71 |
100.99 |
58.77 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
NA
|
2.04 |
1.27 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
7.29
|
2.48 |
1.47 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
6.35
|
1.63 |
0.85 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.38
|
0.12 |
0.06 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
4.51
|
5.44 |
5.45 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
9.51
|
7.87 |
8.32 |
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 |
PERFORMANCE:
The company has achieved
a total turnover of Rs.2576.200 millions as against Rs.1715.700 millions of the
previous year, which represents 50% growth in the turnover compared to that of
the earlier year.
The Company could
record its achievements consecutively due to the expertise of the management in
effectively implementing the cost reduction and in consistently maintaining the
international quality parameters. Their production of mélange yarn / Cora yarn
had reached 100 % of their capacity in order to meet the market requirements.
The same had resulted in higher volume of turnover and corresponding higher
margin of
profit. On account
of this, they were able to dominate the market in volume and turnover of their
peer level competitors. Their market penetration was through their high quality
standards and effective supply of products to their buyers needs. They also
conduct an extensive training programme for all the employees to increase the
efficiency and productivity.
The absorption of
their full volume of production by the market had helped the company to achieve
its high volume of turnover and the present level of profit. The Management’s
continuous efforts in the implementation of cost effective steps in the areas
of purchase and consumption of raw materials and consumables and also in the
inventory management were the main contributing factors for their better
results. They could manage the power situation throughout the period by
effectively using the power and also by purchase of power from Indian Energy
exchange at the most competitive prices. The back up of generators and their
private purchase of power for their shortages had helped the company to tide
over the grim power situation prevailed in the state. Though the Gen-set power
cost were slightly high , they were left with no other alternative but to avail
them to meet the production targets and meet the demands of the market
requirements.
As usual, the
cotton price also witnessed very high volatility due to Government policies
during the period under report. Again, their prudent raw material planning and
management of the inventory levels had helped the company to tide over the
difficult period and meet the raw material requirement with ease. The labour
management was also made effective by implementing several welfare measures and
training programs to the workers. They have taken all steps to keep the
attrition rate of workers at the lowest level. To have a better realization of
yarn from the waste product, the company has put up a OE unit at Tirupur.
OUTLOOK
The textile
industry started facing an unprecedented situation of very high increase in raw
material price and lowest demand for yarn during the last quarter of the year.
This situation persist in the current year also. Enquiries from export market
were almost negligible and there was total dullness in the local market. This
scenario is due to the change in the Government policies on cotton export and
yarn export ban in the first quarter of the calendar year. The foreign buyers
shifted their buying option to other country and India was almost neglected due
to unsteady prices of yarn. In addition to the above, the closure of dying
units in Tirupur due to Supreme court’s direction in implementing the zero
level discharge of effluents had also caused a total paralysis in Textile
market. The entire Tirupur hosiery yarn market depends on the dyeing sector and
until a solution for the dyeing sector is effectively implemented, there cannot
be survival of hosiery market in Tirupur. After many representations before the
Government, there seems to be a solution, when the Tamilnadu Government has
announced a financial help to dyeing sector. They earnestly hope that the
second half of the financial year will see bigger relief when compared to the
first half of the financial year. They also strongly feel that the prices of
cotton will be stabilized and correspondingly the yarn prices. The Indian
Government started realizing the drain in foreign income on account of textile
exports and will concretely take effective steps for the revival of the
industry. With this strong hope they are planning to achieve the desired
results
They have also
participated in Yarn Trade Fairs conducted at Sri Lanka, Bangladesh and in
Korea for exploring the Direct Export of Melange yarn and the response seemed
to be encouraging. This has prompted them to go for new Development of shades
to match the international producers of melange yarn. The above will result in
the higher export turnover during the current year also. The marketing team has
been strengthened by employing well experienced top level managers to improve
the market presence.
The Polyester
fibre manufacturing unit had started its commercial operations in the first quarter
of the financial year and the output of fibre will be used for their captive
consumption and also in meeting the requirements of consumers located in and
around the southern parts of the country. This new venture will contribute for
the additional turnover and profits during the current year.
As like previous
years, In order to bring down the raw material cost, they have implemented a
new purchase policy in such a way that their authorized representatives have
been stationed at cotton growing centres for covering the bulk quantity of
quality cotton. This will result in advantage of spot quality approval and
price savings.
UNSECURED LOAN
|
Unsecured Loan |
31.03.2011 (Rs.
in Millions) |
31.03.2010 (Rs.
in Millions) |
|
Working capital loans banks unsecured |
150.000 |
150.000 |
|
Loans directors unsecured |
1.368 |
2.015 |
|
Other debt unsecured |
172.572 |
137.773 |
|
Total |
323.940 |
289.788
|
BANKERS CHARGES
REPORT AS PER REGISTRY
|
Corporate identity number of the company |
U17111TZ1990PTC002580 |
|
Name of the company |
SULOCHANA COTTON SPINNING MILLS PRIVATE LIMITED |
|
Address of the registered office or of the principal place of business in India of the company |
483, Kamaraj Road, Tirupur-641604, Tamilnadu, India Email: psktup@yahoo.co.in |
|
This form is for |
Modification of charge |
|
Charge identification (ID) number of the charge to be modified |
10299945 |
|
Type of charge |
·
Immovable property ·
Book debts ·
Movable property (not being pledge) ·
Others (Hypothecation of machineries and current
assets) |
|
Particular of charge holder |
Indian Overseas Bank,
Tirupur Branch, 122 Kumaran Road, Tirupur - 641601,Tamilnadu, India Email: tirubr@coisco.iobnet.co.in
|
|
Nature of instrument creating charge |
01. Hypothecation of book debts
02. Guarantee for loans cash
credit etc 03. Supplemental Deed of
Hypothecation /pledge (enhanced with same security 04. Letter of hypothecation
(for securing machineries/vehicles/goods/book debts) |
|
Date of instrument Creating the charge |
19.10.2012 |
|
Amount secured by the charge |
Rs. 554.000 millions |
|
Brief of the principal terms an conditions and extent and operation of
the charge |
Rate of Interest Cash Credit of Rs.404.000 millions Hypothecation of stocks and book
debts not older than 90 days -
BR+2.75% ( presently 13.25%) and Corporate Loan Rs.150.000 millions -
BR+2.75% +0.5% ( presently 13.75%) Terms of Repayment Cash Credit of Rs.404.000 millions
- repayable on demand Corporate Loan Rs.150.000 millions
- as per repayment schedule Margin Cash Credit - stocks and books - 25% Corporate Loan - Nil Extent and Operation of the charge pari passu first charge on the entire current assets of the company
along with Indian Bank, Bank of Baroda and for WC - pari passu 2nd
charge on fixed assets of the company ( present and future ) with Indian Bank
and Bank of Baroda. |
|
Short particulars of the property or asset(s) charged (including
complete address and location of the property) |
pari passu first charge on the entire current assets of the company
with Indian Bank, Bank of Baroda adn other working capital lenders |
|
Particulars of the present modification |
Consequent to enhancement of the cash credit to Rs.404.000 millions
from Rs.315.000 millions, the overall credit limits stand modified to
Rs.554.000 millions. Corporate Loan of Rs.150.000 millions is allowed to run
off on the existing terms and conditions. Other stipulations remained same
and unchanged. |
CONTINGENT
LIABILITIES: (As on 31.03.2011)
(Rs. in millions)
a ) ESI and PF Rs.: 0.600 millions
b ) In respect of
foreign exchange derivative contract the company had filed a suit against the
counterparty with which it had entered into mark-to-market derivate contract
during the year 2007-08. Based on the advice from legal council that such a
contract was void abinitio and not binding on the company, the said liability
was not accounted in the books of accounts. The estimated liability in respect
of the above contracts works out to Rs.25.395 millions.]
c ) The Company has given a corporate guarantee to Indian Bank,
Coimbatore to the extent of Rs.199.000 millions for the loan availed by
M/s.Evergreen Solar Systems India Private Limited, Tirupur.
FIXED ASSETS
·
Land
·
Building
·
Plant and Machinery
·
Wind Mill
·
Vehicle
·
Furniture and Fixture
·
Live Stock
·
Computer
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No 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.53.70 |
|
|
1 |
Rs.84.35 |
|
Euro |
1 |
Rs.72.21 |
INFORMATION DETAILS
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
36 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NB |
NEW BUSINESS |
||
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.