MIRA INFORM REPORT

 

 

Report Date :

05.03.2013

 

IDENTIFICATION DETAILS

 

Name :

ORIENTAL RUBBER INDUSTRIES LIMITED

 

 

Registered Office :

Shravani Gardens, 20, Viman Nagar, Nagar Road, Pune – 411 014, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012 (Profit & Loss A/c)

 

 

Date of Incorporation :

20.01.1949

 

 

Com. Reg. No.:

11-006875

 

 

Capital Investment / Paid-up Capital :

Rs.14.910 Millions

 

 

CIN No.:

[Company Identification No.]

U25199PN1949PLC006875

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PNEO01206C

PNEO00948D

PNEO00232B

 

 

PAN No.:

[Permanent Account No.]

AAACO1592L

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer, Trader, Dealer, Exporter and Importer of Rubber and Rubber Goods of all kinds and articles made of real or synthetic rubber.

 

 

No. of Employees :

600 (approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (51)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 1559000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having good track record. Financially company performance seems to be good. Directors appear to be experience businessmen.

Trade relations are reported to be fair. Business is active. Payments are reported to be regular 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.

 

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

BBB (Long Term Rating)

Rating Explanation

This rating are considered to have moderate degree of safety regarding timely servicing of financial obligations. Such instruments carry moderate risk.

Date

30.04.2012

 

 

Rating Agency Name

CRISIL

Rating

A3+ (Short Term Rating)

Rating Explanation

This rating are considered to have moderate degree of safety regarding timely servicing of financial obligation. Such instruments carry higher credit risk.

Date

30.04.2012

 

 

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.

 

INFORMATION PARTED BY

 

Name :

Mr. K.P. Mishra

Designation :

Export Department

Contact No.:

91-20-66270800

Date :

02.03.2013

 

 

LOCATIONS

 

Registered Office :

Shravani Gardens, 20, Viman Nagar, Nagar Road, Pune – 411 014, Maharashtra, India

Tel. No.:

91-20-66270800

Fax No.:

91-20-26680810/ 26630840

E-Mail :

orientalrubber@sm3.sprintrpg.ems.vsnl.net.in

oril@vsnl.com

info@orientalrubber.com

mukesh@orientalrubber.com

marketing@orientalrubber.com

satish@orientalrubber.com

exports@orientalrubber.com

mukesh@orientalrubber.com

Website :

www.orientalrubber.com

Location :

Owned

 

 

Factory :

Gat Nos.519/2, 521/2, 523 and 525, Village Koregaon, Taluka Shirur, Bhima Nagar Road, District Pune – 412 207, Maharashtra, India

 

 

DIRECTORS

 

As on 12.11.2012

 

Name :

Mr. Vikram Vijeynand Makar

Designation :

Managing Director

Address :

Cluster 1/8, Kumar City, Kalyani Nagar, Pune – 411 014, Maharashtra, India

Date of Birth/Age :

29.01.1963

Qualification :

B. Com

Date of Appointment :

13.08.2012

DIN No.:

00020284

 

 

Name :

Mr. Vishal Vijeynand Makar

Designation :

Managing Director

Address :

Cluster 1/13 and 14, Kumar City, Kalyani Nagar, Pune – 411 014, Maharashtra, India

Date of Birth/Age :

22.08.1965

Qualification :

Chemical Engineer, PG in Polymer Sciences

Date of Appointment :

13.08.2012

DIN No.:

00020253

 

 

Name :

Mr. Satish Kotian

Designation :

Whole-Time Director

Address :

FL No. E-1/401 Madhuban Classics, Vishrantwadi, Pune – 411 015, Maharashtra, India

Date of Birth/Age :

28.04.1958

Date of Appointment :

13.08.2012

DIN No.:

06374939

 

 

KEY EXECUTIVES

 

Name :

Mr. K.P. Mishra

Designation :

Export Department

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 12.11.2012

 

Names of Shareholders

 

No. of Shares

Vijeynand Sadanand Makar

5

Kamlesh Vijeynand Makar

138485

Vishal Vijeynand Makar

1793992

Vikram Vijeynand Makar

1793992

Meetashi Vishal Makar

500

Poonam Vikram Makar

500

Punvick Investments Private Limited, India

25

Quadrant Trades Private Limited, India

1

Total

3727500

 

As on 12.11.2012

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Bodies corporate

 

0.00067

Directors or relatives of directors

 

99.99933

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Trader, Dealer, Exporter and Importer of Rubber and Rubber Goods of all kinds and articles made of real or synthetic rubber.

 

 

Products :

Item Code No. (ITC Code)

 

Product Description

40101200 / 40101290

Conveyor Belts/ Transmission Belts

40082190

Rubber Sheets

NA

Specialized Products

 

Conveyor Belts

·         General Purpose Belt

·         Heat Resistant Belts

·         Fire Resistant Belts

·         Oil Resistant Belts

·         Chemical Resistant Belts

·         Hygienic Belts

·         Rough Top Belts

·         Profile Belts

·         Pipe Conveyor Belts

 

Rubber Sheets

·         Rubber Sheets for Wear Resistant Applications

·         Skirt Rubber, Scrapers, Chute Lining, Screens

·         Natural, SBR, Nitrile, Neoprene,

·         Butyl, EPDM rubber sheeting

·         Pulley Lagging

·         Pulley Lagging in Diamond, Square,

·         Round profile and Ceramic lagging

·         Other Products

·         Specialized Rubber products

·         Impact Bars

·         Wheel Wedge

·         Buffers

 

 

Exports :

 

Products :

·         Finished Goods

Countries :

·         South Africa

·         Europe

·         USA

·         Austria

 

 

Imports :

 

Products :

·         Raw Materials

Countries :

·         Korea

·         China

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

PRODUCTION STATUS (AS ON 31.03.2011)

 

Particulars

 

Licensed Capacity

Installed Capacity

Actual Production

Conveyor and Transmission Belts

16500 MT

15300 MT

911681 Meters

Other Rubber Products

8500 MT

2200 MT

2011390 Kgs

 

Installed capacity depends upon the product mix, which has been certified by the management and accepted by the auditors without verification, being a technical matter.

 

GENERAL INFORMATION

 

Suppliers :

·         Performance Fibers

 

 

Customers :

Wholesalers and Retailers

 

Steel

·         SAIL Steel Authority of India Limited

·         Bhilai Steel Plant

·         Bokaro Steel Plant

·         Durgapur Steel Plant

·         Rourkela Steel Plant

·         Raw Material Division

·         Indian Iron and Steel Company Limited

·         Rashtriya Ispat Nigam Limited

·         Visakhapatnam Steel Plant

·         JSW Steel Limited

·         Ispat Industries Limited

·         Tata Iron and Steel Company Limited

Cement

·         Aditya Birla Group of Companies

·         Tamil Nadu Cements Corporation Limited

·         Birla Corporation Limited

·         Dalmia Cements Limited

·         Shriram Cements

Fertilisers and Chemicals

·         Gujarat Narmada Valley Fertlisers Company Limited

·         Gujarat State Fertlisers Company Limited - Baroda and Sikka

·         National Fertilisers Limited - Bhatinda, Panipat and Vijapur

·         Paradeep Phosphates Limited

·         Zuari Industries Limited

Original Equipment Manufacturer

·         Thyssenkrupp Industries India Private Limited

·         Mahindra Engineering and Chemical Products Limited (Engineering Division)

·         Sandvik Asia Limited

·         FFE Minerals India Private Limited

·         Larsen and Toubro Limited ECC Division

Mining

·         National Mineral Development Corporation Limited

·         Coal India Limited

·         The Singareni Collieries Company Limited

·         Sesa Goa Limited

·         Neyveli Lignite Corporation Limited

Power

·         Maharashtra State Electricity Power Generation Company Limited

·         National Thermal Power Corporation Limited

·          Torrent Power AEC Limited

 

 

No. of Employees :

600 (Approximately)

 

 

Bankers :

  • Standard Chartered Bank, 90, M.G. Road, Fort, Mumbai – 400 001, Maharashtra, India.
  • Union Bank of India, Industrial Finance Branch, 619, Sachapir Street, Camp, Pune – 411 001, Maharashtra, India (Contact No.: 91-20-26136607)

·         Corporation Bank, Industrial Finance Branch, 14, Pune Mumbai Road, Wakdewadi, Pune – 411 003, Maharashtra, India

  • First Rand Bank Limited, 5th Floor, Mistry Bhavan, 122, Dinsha Road, Church Gate, Mumbai – 400 020, Maharashtra, India

 

 

Facilities :

Secured Loan

 

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

Rupee term loans banks secured

128.174

159.236

Working capital loans banks secured

698.186

569.222

Loans taken for vehicles secured

2.483

1.416

Total

828.843

729.874

 

Notes:

 

a) Working Capital facility from Consortium Banks is secured against mortgage of fixed assets and hypothecation of inventory and book debts.

 

b) Term Loans are secured by mortgage by deposit of title deeds with Union Bank of India, leader of consortium bankers, of all company immoveable properties, both present and future and hypothecation of inventory and book debts ranking pari-passu with the charges created in favour of consortium bankers, Union Bank of India, Corporation Bank and First rand Bank.

 

All the above loans are guaranteed by all the Directors in their individual capacity.

 

c) Vehicle Loans are secured by first charge on the specific assets financed by respective lenders.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Mohan Deshmukh and Company

Chartered Accountants

Address :

B-306, Narayan Chambers, 555, Narayan Peth, Pune – 411 030, Maharashtra, India

Tel. No.:

91-20-24451898/ 24451974/ 24484752/ 24484751

E-Mail :

md_co@pn2.vsnl.net.in

PAN No.:

AACFM1053F

 

 

Step Down Subsidiary of the company :

Oriental Rubber Industries (SA) Pty Limited, South Africa

 

 

Company in which Directors are directors :

Quadrant Trades Private Limited

 

 

 

CAPITAL STRUCTURE

 

As on 12.11.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

5000000

Equity Shares

Rs.10/- each

Rs.50.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

3727500

Equity Shares

Rs.10/- each

Rs.37.275 Millions

 

 

 

 

 

As on 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

2000000

Equity Shares

Rs.10/- each

Rs.20.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

1491000

Equity Shares

Rs.10/- each

Rs.14.910 Millions

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

14.910

14.910

2] Share Application Money

 

0.000

0.000

3] Reserves & Surplus

 

374.958

308.018

4] (Accumulated Losses)

 

0.000

0.000

NETWORTH

 

389.868

322.928

LOAN FUNDS

 

 

 

1] Secured Loans

 

828.843

729.874

2] Unsecured Loans

 

44.374

42.332

TOTAL BORROWING

 

873.217

772.206

DEFERRED TAX LIABILITIES

 

24.600

23.677

 

 

 

 

TOTAL

 

1287.685

1118.811

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

325.011

331.922

Capital work-in-progress

 

93.326

91.293

 

 

 

 

INVESTMENT

 

8.171

0.822

DEFERRED TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 
442.030
308.716

 

Sundry Debtors

 
647.253
542.771

 

Cash & Bank Balances

 
29.028
54.114

 

Other Current Assets

 
299.549
232.561

 

Loans & Advances

 
3.685
3.530

Total Current Assets

 
1421.545

1141.692

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

 
327.366

259.316

 

Other Current Liabilities

 
69.323

48.180

 

Provisions

 
163.679

139.422

Total Current Liabilities

 
560.368
446.918

Net Current Assets

 
861.177
694.774

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.000

0.000

 

 

 

 

TOTAL

 

1287.685

1118.811

 

Note: Balance Sheet for the year 2012 is not available only Profit & Loss A/c is available.


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Revenue from operations

2946.619

2027.279

1498.769

 

 

Other Income

2.688

5.631

24.337

 

 

TOTAL                                     (A)

2949.307

2032.910

1523.106

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials consumed

2037.514

1432.468

1352.365

 

 

Employee benefit expense

148.832

110.568

 

 

 

Other expenses

378.703

270.601

 

 

 

TOTAL                                     (B)

2565.049

1813.637

1352.365

 

 

 

 

 

Less

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

384.258

219.273

170.741

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

92.423

81.845

62.257

 

 

 

 

 

 

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

291.835

137.428

108.484

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

42.123

36.379

37.446

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

249.712

101.049

71.038

 

 

 

 

 

Less

TAX                                                                  (H)

79.613

23.422

18.062

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

170.099

77.627

52.976

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

292.815

233.638

194.755

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

General Reserve

NA

8.000

5.400

 

 

Dividend 

NA

10.450

8.693

 

BALANCE CARRIED TO THE B/S

NA

292.815

233.638

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export of Manufacturing Items on FOB Basis

NA

1442.913

1021.636

 

 

Freight & Insurance on the above

NA

46.342

12.461

 

TOTAL EARNINGS

NA

1489.255

1034.097

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

NA

977.153

440.022

 

TOTAL IMPORTS

NA

977.153

440.022

 

 

 

 

 

 

Earnings Per Share (Rs.)

114.08

52.06

33.53

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

5.77

3.82
3.48

 

 

 

 
 

Net Profit Margin

(PBT/Sales)

(%)

8.47

4.98
4.74

 

 

 

 
 

Return on Total Assets

(PBT/Total Assets}

(%)

NA

5.79
4.82

 

 

 

 
 

Return on Investment (ROI)

(PBT/Networth)

 

NA

0.26
0.22

 

 

 

 
 

Debt Equity Ratio

(Total Debt/Networth)

 

NA

2.24
2.39

 

 

 

 
 

Current Ratio

(Current Asset/Current Liability)

 

NA

2.54
2.55

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Details of Sundry Creditors:

 

Particulars

 

 

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

Sundry Creditors

 

 

 

- Creditors due small micro enterprises

 

0.000

0.000

- Creditors due others

 

327.366

259.316

Total

 

327.366

259.316

 

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

Yes

18) Major customers

Yes

19) Payments terms

Yes

20) Export / Import details (if applicable)

Yes

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 Loan

 

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

Deferred sales tax loan unsecured

15.233

15.233

Other debt unsecured

29.141

27.099

Total

44.374

42.332

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U25199N1949PLC006875

Name of the company

ORIENTAL RUBBER INDUSTRIES LIMITED

Address of the registered office or of the principal place of  business in India of the company

Shravani Gardens 20, Vimannagar, Pune – 411 014, Maharashtra, India.

E-Mail: mukesh@orientalrubber.com

This form is for

Modification of charge

Charge identification number of the modified 

10046398

Type of charge

Immovable Property

Book Debts

Movable Property (not being pledge)

Others (Stock in all its elements, PandM, Building etc.)

Particular of charge holder

Union Bank of India IFB Lead Bank, Sacha Peer Street, Cantonment Camp, Pune – 411 001, Maharashtra, India

E-Mail: kirti@unionbankofindia.com

Nature of description of the instrument creating or modifying the charge

Correction Deed executed to effect the correct status of the credit facilities extended by the banks under 'Union Bank Consortium' and to  vouch  and confirm the executed documents between the Union Bank of India IFB Pune for itself and for Member Banks viz. Corporation Bank and First Rand Bank Limitd and accordingly registered with Revenue Authorities Sub Registrar Talegaon Dhamdhere District Pune under Document No.5757-2012

Date of instrument Creating the charge

23.10.2012

Amount secured by the charge

Rs.1958.100 millions

Brief particulars of the principal terms an conditions and extent and operation of the charge

Rate of Interest:

All the Terms and Conditions related to charge will be as per Sanction Letters as per respective Member's Sanction Letters for which reference have been in the First Schedule of Mortgage Deed.

 

Terms of Repayment:

All the Terms and Conditions related to charge will be as per Sanction Letters as per respective Member's Sanction Letters for which reference have been in the First Schedule of Mortgage Deed.

 

Margin:

All the Terms and Conditions related to charge will be as per Sanction Letters as per respective Member's Sanction Letters for which reference have been in the First Schedule of Mortgage Deed.

 

Extent and Operation of the charge:

The extent and scope of the charge and ranking of the Priority of the charge on all current assets present and future and on immovable assets and tangible assets will be governed, as per documents executed, including the Correction Deed between the Borrower Company and the Member Banks and UBI for itself and as a Lead Bank under Consortium Advance known as 'UBI CONSORTIUM' and simultaneously registered with Revenue Authorities as Document No.5757-2012 Sub Registrar Talegaon Dhamdhere District Pune.

 

Others:

The Company, by virtue of the Board Resolution passed on 15.02.2012,has given assent to all the Terms and Conditions, Covenants, as provided in the Bank's Sanction Letter(s) including addendum to original charge and  have executed the related loan document(s)/Agreement(s) through the Director(s), who have received  and signed the documents in physical form and who have been authorized to file eform-8 for the modifications in the existing limits and in the nature and scope of the charge on agreed terms.

Short particulars of the property charged

All the current assets inclusive of Book Debts and the maintained at the Registered Office and at the Works of the Company. The nature of the Charge inclusive of Collateral Security will be in force as continuation status of the credit facilities extended by the Bank time to time and hence for all the credit facilities the existing scope of securities will be continue.

 

For the Immovable Properties and for the tangible assets the status of the charge will be governed as per details denoted in the Correction Deed executed between the Member Banks and UBI for itself.

Particulars of the present modification 

By present modification, through the execution of the Correction Deed, the Scope and the nature of securities and priority claim under UBI Consortium has been correctly spell out which raised up-to Rs.1958.100 millions. (The Share of UBI: Fund Based Rs.600.000 millions Non Fund Based: Rs.450.000 millions and Term Loan: Rs.80.900 millions Making Total Rs.1130.900 millions. The Share of Corporation Bank: Fund Based Rs.320.000 millions Non Fund Based: 250.000 millions. And Term Loan: Rs.57.200 millions Making Total Rs.627.200 millions and the Share of First Rand Bank: Fund Based Rs.200.000 millions)

 

TRADE REFERENCES:

 

·         Performance Fibers

·         JSW Steel Limited

·         Ispat Industries Limited

·         Tata Iron and Steel Company Limited

·         Birla Corporation Limited

 

FIXED ASSETS:

 

·         Freehold Land

·         Building

·         Plant and Machinery

·         Electrical Installation

·         Furniture and Fixture

·         Computer

·         Vehicles

 

 


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No 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.55.05

UK Pound

1

Rs.82.75

Euro

1

Rs.71.61

 

 

INFORMATION DETAILS

 

Information Gathered by :

PLK

 

 

Report Prepared by :

SMN

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

51

 

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.