MIRA
INFORM REPORT
|
Report Date : |
22.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
IMS LEARNING RESOURCES PRIVATE LIMITED |
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Registered
Office : |
6th Floor, NCL Bandra Premises, E Block, Bandra Kurla
Complex, Bandra (East), Mumbai – 400051, Maharashtra |
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Country : |
India |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
20.09.1999 |
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Com. Reg. No.: |
11-121823 |
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Capital
Investment / Paid-up Capital : |
Rs. 205.590 Millions |
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CIN No.: [Company Identification
No.] |
U80220MH1999PTC121823 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMI03580D |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Subject is Act as institution, providing management entrance training |
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No. of Employees
: |
50 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca (14) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
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 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow and delayed |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having a moderate track record. The
latest financials are not made available. As per previous year’s record
(2011), there appears huge accumulated losses recorded by the company.
However, business is active. Payments are reported to be slow and
delayed. 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.
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 PARTED BY (GENERAL DETAILS)
|
Name : |
Mr. Rajesh Iyer |
|
Designation : |
Finance Department |
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Contact No.: |
91-22-33017777 |
|
Date : |
19.07.2013 |
LOCATIONS
|
Registered Office / Branch Office : |
6th Floor, NCL Bandra Premises, E Block, Bandra Kurla Complex,
Bandra (East), Mumbai – 400051, Maharashtra, India |
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Tel. No.: |
91-22-666800005/66170000/33017777 |
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Fax No.: |
91-22-66680006 |
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E-Mail : |
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Website : |
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Location : |
Owned |
DIRECTORS
AS ON 28.09.2012
|
Name : |
Mr. Kamlesh Bhagwan Sajnani |
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Designation : |
Managing Director |
|
Address : |
Flat No.11, Valhalla Co-Operative Housing Society, Nirvana, Plot
No.151, Corner of 24th and 30th Road, Bandra (West),
Mumbai-400050, Maharashtra, India |
|
Date of Birth/Age : |
02.06.1965 |
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Date of Appointment : |
20.09.1999 |
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PAN No.: |
AAPPS6996J |
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DIN No.: |
00182580 |
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|
Name : |
Ms. Leela Nagesh Rane |
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Designation : |
Director |
|
Address : |
Flat No.14, 2nd Floor, 148-B, Bhaveshwar, Dr. A. B. Road, Worli
Naka, Mumbai-400018, Maharashtra, India |
|
Date of Birth/Age : |
11.06.1940 |
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Date of Appointment : |
20.09.1999 |
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PAN No.: |
AADPR8972K |
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DIN No.: |
00181231 |
KEY EXECUTIVES
|
Name : |
Ms. Rashmi Ravindra Raswalkar |
|
Designation : |
Secretary |
|
Address : |
705, Union Bank Niwas, Mandapeshwar Road, Borivali (West),
Mumbai-400092, Maharashtra, India |
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Date of Birth/Age : |
21.09.1983 |
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Date of Appointment : |
25.11.2010 |
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Pan No.: |
ALBPR4379M |
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|
Name : |
Mr. Rajesh Iyer |
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Designation : |
Finance Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 28.09.2012
|
Names of Equity Shareholders |
No. of Shares |
|
Leela Nagesh Rane |
2551501 |
|
Kamlesh Sajnani |
7502 |
|
Naik Shantaram |
01 |
|
IL and FS Trust Company Limited A/C Milestone Priate Equity Fund,
India |
100 |
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|
|
|
Total |
2559104 |
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Names of Preference Shareholders |
No. of Shares |
|
IL and FS Trust Company Limited A/C Milestone Priate Equity Fund,
India |
17999900 |
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|
|
|
Total |
17999900 |
Equity Share Break up (Percentage of Total Equity)
AS ON 28.09.2012
|
Equity Shares
Break Up |
Percentage |
|
Directors or relatives of Directors |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Subject is Act as institution, providing management entrance training |
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Products : |
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Terms : |
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Selling : |
Cash and Credit |
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Purchasing : |
Cash and Credit |
GENERAL INFORMATION
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Customers : |
End Users |
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No. of Employees : |
50 (Approximately) |
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Bankers : |
·
HDFC Bank Limited, HDFC House, Senapati Bapat
Marg, Lower Parel (West), Mumbai-400013, Maharashtra, India ·
Yes Bank Limited, 9th Floor, Nehru
Centre, Discovery of India, Dr. Annie Besant Road, Worli, Mumbai – 400018,
Maharashtra, India ·
ICIC Bank Limited, Landmarkrace Cource Circle,
Alkapuri, Baroda – 390015, Gujarat, India |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
G. M. Kapadia and Company Chartered Accountants |
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Address : |
Tamarind House, 36-B, Tamarind Lane, Fort, Mumbai - 400001, Maharashtra,
India |
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Pan No.: |
AAAFG4713G |
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Subsidiaries : |
AIM Education Private Limited CIN No.:
U80302WB2006PTC109142 |
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Associates : |
Origen Test Research and Implementation Bureau Private Limited CIN No.:
U80220MH2005PTC152895 IMS Proschool Private Limited CIN No.:
U72900MH2000PTC127463 |
CAPITAL STRUCTURE
AS ON 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
|
|
|
|
4000000 |
Equity Shares |
Rs.10/- each |
Rs. 40.000 Millions |
|
25000000 |
Cumulative Convertible Preference Shares |
Rs.10/- each |
Rs. 250.000 Million |
|
|
Total |
|
Rs.290.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2559104 |
Equity Shares |
Rs.10/- each |
Rs.25.591
Millions |
|
17999900 |
Cumulative Convertible Preference Shares |
Rs.10/- each |
Rs.179.999
Millions |
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|
Total |
|
Rs.205.590 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 |
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|
|
|
|
1] Share Capital |
205.590 |
205.590 |
25.590 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
4.713 |
4.713 |
49.175 |
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4] (Accumulated Losses) |
(241.146) |
(14.797) |
0.000 |
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NETWORTH |
(30.843) |
195.506 |
74.765 |
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LOAN FUNDS |
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1] Secured Loans |
73.183 |
80.542 |
129.066 |
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2] Unsecured Loans |
64.500 |
0.000 |
0.000 |
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TOTAL BORROWING |
137.683 |
80.542 |
129.066 |
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DEFERRED TAX LIABILITIES |
5.855 |
5.855 |
9.298 |
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TOTAL |
112.695 |
281.903 |
213.129 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
136.634 |
147.171 |
176.478 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
56.169 |
123.439 |
87.052 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
0.000
|
0.000 |
0.000 |
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Sundry Debtors |
8.168
|
13.399 |
6.010 |
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Cash & Bank Balances |
7.581
|
24.007 |
7.583 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
72.916
|
111.489 |
69.753 |
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Total
Current Assets |
88.665
|
148.895 |
83.346 |
|
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Sundry Creditors |
48.820 |
23.330 |
37.874 |
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Other Current Liabilities |
100.562
|
80.846 |
94.884 |
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Provisions |
19.391
|
41.881 |
0.989 |
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Total
Current Liabilities |
168.773
|
146.057 |
133.747 |
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Net Current Assets |
(80.108)
|
2.838 |
(50.401) |
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MISCELLANEOUS EXPENSES |
0.000 |
8.455 |
0.000 |
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TOTAL |
112.695 |
281.903 |
213.129 |
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PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
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SALES |
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Fees |
0.000 |
531.226 |
778.625 |
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Operating Income |
459.000 |
0.000 |
0.000 |
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Other Operating Income |
0.000 |
30.929 |
28.447 |
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Non Operating Income |
3.400 |
35.386 |
19.495 |
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TOTAL (A) |
462.400 |
597.541 |
826.567 |
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Less |
EXPENSES |
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Books and Material |
|
38.430 |
78.884 |
|
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Classroom Coaching Expenses |
657.200 |
178.830 |
213.449 |
|
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Selling and Marketing Expenses |
|
69.240 |
96.448 |
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|
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Employees Remuneration and Benefits |
|
149.617 |
168.710 |
|
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Establishment Expenses |
|
99.198 |
112.996 |
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Administration Expenses |
|
88.555 |
106.453 |
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Preliminary Expenses |
|
2.114 |
0.000 |
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TOTAL (B) |
657.200 |
625.984 |
776.940 |
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[Including
Financial Expenses ] |
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Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
|
(28.443) |
49.627 |
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Less |
FINANCIAL
EXPENSES (D) |
|
12.321 |
17.756 |
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PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(194.800) |
(40.764) |
31.871 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
20.200 |
21.937 |
23.104 |
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PROFIT/ (LOSS)
BEFORE TAX (E-F) (G) |
(215.000) |
(62.701) |
8.767 |
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Less |
TAX (H) |
0.300 |
(3.443) |
7.568 |
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PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
(215.300) |
(59.258) |
1.199 |
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|
Prior Period
Adjustments |
8.500 |
0.000 |
0.000 |
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Less |
Tax Provision
for Prior Years |
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|
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|
|
|
Income Tax |
NA |
0.000 |
2.999 |
|
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Deferred Tax |
NA |
0.000 |
2.017 |
|
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Less |
APPROPRIATIONS |
|
|
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Preference |
NA |
0.002 |
1.660 |
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Dividend Tax |
NA |
0.000 |
0.282 |
|
|
BALANCE CARRIED
TO THE B/S |
(241.100) |
(59.260) |
(5.759) |
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|
Earnings Per
Share (Rs.) |
(87.42) |
(23.16) |
-- |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
(46.56)
|
(9.92) |
0.15 |
|
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Net Profit Margin (PBT/Sales) |
(%) |
(46.84)
|
(11.80) |
1.13 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
(95.43)
|
(21.18) |
3.37 |
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Return on Investment (ROI) (PBT/Networth) |
|
6.97
|
(0.32) |
0.12 |
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Debt Equity Ratio (Total Debt/Networth) |
|
(4.46)
|
0.41 |
1.73 |
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Current Ratio (Current Asset/Current Liability) |
|
0.53
|
1.02 |
0.62 |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES
OF LONG-TERM DEBT DETAILS: NOT AVAILABLE
|
Sr. No. |
Check List by Info
Agents |
Available in Report
(Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
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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 |
Yes |
|
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 |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
UNSECURED
LOAN
(Rs.
In Millions)
|
Particular |
31.03.2011 |
31.03.2010 |
|
Loans directors unsecured |
64.500 |
0.000 |
|
|
|
|
|
Total |
64.500 |
0.000 |
|
Note: (A) ( Company has to create security for loan of Rs 60.000 Millions in
favour of Director and repayable on demand) |
||
BACKGROUND
Subject an
institute with over 34 years of experience in shaping success stories for students,
is a leading player in Management Entrance training. It has been ranked 4th in
the education sector and 44th amongst the Top 50 Most Trusted Service Brands
across India (AC-Nielsen and Brand Equity, December 2003). Today, Subject has
spread its wings across India with around 100 centers across approximately 60
cities and over 40,000 students, successfully making it to some of the most
prestigious institutes in India and abroad every year. Company is focusing on
developing market for Non-MBA test products like Bank PO, C-SAT with continued
PANINDIA focus on MBA segment.
OPERATIONS
The Company in the
financial year 2010-2011, was reeling under the adverse impact of the
recessionary phase of the previous two years, which was marked by factors like general
economic slowdown which hit the MBA test prep market badly and a steady drop in
CAT applicants, who formed a major consumer segment of IMS. The number of CAT
takers reduced from 0.270 Million in 2008 to 0.240 Million in 2009 and 0.204
Million in 2010. These conditions have, over the last three years adversely and
abruptly hit the revenues of the Company.
The Company
initiated cost / operations rationalization process post completion of the last
academic cycle (i.e. after CAT 2010 which was held in Oct/Nov 2010). The annual
impact of such cost and operations rationalization shall be realized in current
financial year 2011-2012. The Company has now rationalized its operations and
has initiated a process to create a robust operating structure in alignment
with the current market conditions.
OUTLOOK
The MBA test prep
industry, unlike other segments in education sector, is directly linked to the
economic environment, which shall continue to be a major challenge to the
Company, as the economic environment is showing signs of slowdown and
uncertainty. With its sharp focus on creating a profitable and cost effective
operating structure / business model, the Company foresees the stabilization of
its financial position in near future. The Company enjoys strong brand equity
among the student community which shall remain its major strength. However, the
Company is treading ahead with a realistic insight that in view of the heavy
impact of the recessionary phase and the sluggish temperament of the education
sector, the revival shall be gradual, though steady
CONTINGENT
LIABILITIES
(Rs.
In Millions)
|
Particulars |
31.03.2011 |
31.03.2010 |
|
|
|
|
|
Claims against the company acknowledged as debts |
2.566 |
2.566 |
FIXED ASSETS
·
Computer
·
Air Conditioner
·
Furniture and Fixture
·
Vehicles
·
Trade Marks and
Copyrights
·
Office Equipments
·
Leasehold Improvements
·
Electrical Fittings and
Fixtures
·
Premises Improvements
·
Building
·
Goodwill
·
Land
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 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.59.80 |
|
|
1 |
Rs.91.03 |
|
Euro |
1 |
Rs.78.52 |
INFORMATION DETAILS
|
Information
Gathered by : |
PLK |
|
|
|
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
2 |
|
PAID-UP CAPITAL |
1~10 |
2 |
|
OPERATING SCALE |
1~10 |
2 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
2 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
1 |
|
--LEVERAGE |
1~10 |
1 |
|
--RESERVES |
1~10 |
1 |
|
--CREDIT LINES |
1~10 |
1 |
|
--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 |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
14 |
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.