MIRA INFORM REPORT

 

 

Report Date :

07.03.2013

 

IDENTIFICATION DETAILS

 

Name :

KAZSTROYSERVICE INFRASTRUCTURE INDIA PRIVATE LIMITED

 

 

Registered Office :

Swastik Chambers, 6th Floor, Sion Trombay Road, Chembur, Mumbai – 400071, Maharashtra 

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

19.07.2007

 

 

Com. Reg. No.:

11-234297

 

 

Capital Investment / Paid-up Capital :

Rs.306.185 Millions

 

 

CIN No.:

[Company Identification No.]

U45400MH2007PTC234297

 

 

PAN No.:

[Permanent Account No.]

AADCK1183C

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Subject is engaged in the business of the company is to provide Construction Management and Advisory Service and to execute turnkey projects.

 

 

No. of Employees :

200 (Approximately)

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD6500000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of JSC OGCC Kazstroyservices, Almaty.

 

It is an established company having a moderate track record. There appear huge external borrowings recorded by the company. The profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be Slow but correct.

 

The company can be considered normal for business dealings with some cautions.

 

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

Long Term Rating: BB

Rating Explanation

Moderate risk of default

Date

21.01.2013

 

 

Rating Agency Name

CRISIL

Rating

Short Term Rating: A4+

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

21.01.2013

 

 

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. Neeraj Kumar

Designation :

Company Secretary

Contact No.:

91-124-4566800

Date :

07.03.2013

 

 

LOCATIONS

 

Registered Office :

Swastik Chambers, 6th Floor, Sion Trombay Road, Chembur, Mumbai – 400071, Maharashtra, India

Tel. No.:

91-22-40856400

Fax No.:

91-22-67973509

E-Mail :

rranjan@kazstroyindia.com

info@kazstroyservice.kz

rbabel@kazstroyindia.com 

neeraj.kumar@kazstroyindia.com

Website :

http://www.kazstroyservice.kz

Location :

Owned

 

 

Head Office :

248 B Dostyk ave, 050020, Almaty, Republic of Kazakhstan

 

 

Corporate Office :

Vatika Towers, A-Wing 1st Floor, Sector 54, Gurgaon – 122022, Haryana, India

Tel. No.:

91-124-4566800

Fax No.:

91-124-4566866

 

 

DIRECTORS

 

(AS ON 21.09.2012)

 

Name :

Mr. Devendra Kumar                                                                          

Designation :

Managing Director

Address :

A-32, Arihant Vihar, Kankhal, Hardwar – 249403, Uttarkhand, India

Date of Birth/Age :

20.07.1971

Date of Appointment :

18.04.2012

DIN No.:

02266188

PAN No.:

AEAPK9109G

 

 

Name :

Mr. Hemant Kumar Sinha

Designation :

Director

Address :

E-54, Malviya Nagar, New Delhi – 110017, Delhi, India

Date of Birth/Age :

17.06.1959

Date of Appointment :

06.07.2011

DIN No.:

02495828

PAN No.:

AORPS6681L

 

 

Name :

Mr. Naresh Kumar Maheshwari

Designation :

Director

Address :

H No-C 413, Jalvayu Tower, Wazirabad, Sector 55-56, Gurgaon – 122002, Haryana, India

Date of Birth/Age :

17.01.1958

Date of Appointment :

01.03.2011

DIN No.:

03450685

PAN No.:

AFFPM9021B

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajiv Ranjan

Designation :

Company Secretary

Address :

12/136 DSGQ, Dev Nagar, Karol Bagh, New Delhi – 110005, Delhi, India

Date of Birth/Age :

05.01.1980

Date of Appointment :

01.04.2008

PAN No.:

AKSPR8245E

 

 

Name :

Mr. Neeraj Kumar

Designation :

Company Secretary

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 21.09.2012)

 

Names of Shareholders

 

 

No. of Shares

 

 

 

JSC OGCC Kazstroyservice, Kazakhstan

 

30618499

Pankaj Jain

 

1

 

 

 

Total

 

 

30618500

 

 

(AS ON 30.09.2012)

Equity Shares Break – up

 

Category

 

Percentage

 

 

 

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 :

Subject is engaged in the business of the company is to provide Construction Management and Advisory Service and to execute turnkey projects.

 

 

Products :

Products Description

Item Code No.

 

Engineering advisory services

99833100

 

 

Terms :

 

Selling :

L/C, Cash and Credit

 

 

Purchasing :

L/C, Cash and Credit

 

 

 

GENERAL INFORMATION

 

Customers :

Corporate

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :

·         ING Vysya Bank Limited

Narian Manzil, Ground Floor Shop No. G1 To G5, I Floor , Shop No.1001 To 1007, Barakhamba Road, New Delhi – 110001, Delhi, India

Contact No.: 91-11-66119000

 

·         Axis Bank

·         HDFC Bank

·         ICICI Bank

·         State Bank of Hyderabad

·         State Bank of India

·         State Bank of Patiala

·         Central Bank of India

·         Punjab National Bank

 

 

Facilities :

Secured Loans

31.03.2012

31.03.2011

 

 

(Rs. In Millions)

 

 

 

Rupee term loans from banks

The credit lines are secured by First Pari-Passu charge on fixed assets of company excluding other hypothecated assets and Second Pari-Passu charge on current assets of the company

133.717

253.578

Rupee term loans from others

The loan was secured by hypothecation of purchased equipment

335.837

424.784

Working capital loans from banks

Working capital loan from State bank of India current outstanding Rs.1194.485 Millions. The credit lines are secured by First Pari-Passu charge on entire current assets of the company. Working capital loan from Axis bank current outstanding Rs.1325.286 Millions. The credit lines are secured by First Pari-Passu charge on entire current assets of the company and Second Pari-Passu charge on entire fixed assets of the company present and future. The loan is also secured by Corporate Guarantee of Parent Company JSC OGCC KazStroyService, Almaty. Working capital loan from Punjab National Bank current outstanding of this facility is Rs. 694,327,360. The credit lines are secured by First Pari-Passu charge on entire current assets of the company and Corporate Guarantee of Parent Company JSC OGCC KazStroyService, Almaty. Working capital loan from ICICI Bank current outstanding of this facility is Rs.157.421 Millions. The credit lines are secured by First Pari-Passu charge on entire current assets of the company present and future. Working capital loan from State Bank of Hyderabad current outstanding of this facility are Rs.270.126 Millions. The credit lines are secured by First Pari-Passu charge by way of hypothecation of the entire current assets of the company and second paripassu charge with general purpose working capital lenders on fixed assets of the company excluding those charged to SREI Equipment Finance Private Limited, Tata Capital Limited and L and T Finance Limited.

3641.645

1208.962

 

 

 

 

 

 

Total

 

4111.199

1887.324

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

S. R. Batliboi and Associates

Chartered Accountants

Address :

Golf View Corporate Tower-B, Sector 42, Sector Road, Gurgaon – 122022, Haryana, India

Tel. No.:

91-124-4644000

Fax No.:

91-124-4644050

PAN No.:

AABFS3421N

 

 

Holding Company :

JSC OGCC KazStroyService, Kazakhstan (P.O. in India)

 

 

Joint Ventures :

VALECHA Engineering Limited, India

CIN No.: L74210MH1977PLC019535

 

 

Associates :

Bhubaneshwar Expressways Private Limited

CIN No.: U45200DL2010PTC205121

 

 

Fellow Subsidiary company:

·         Petron Civil Engineering Private Limited, India

CIN No.: U28920MH1980PTC023537

 

·         Petron Engineering Construction Limited, India

CIN No.:L45202MH1976PLC019135

 

·         Kazstroy Engineering India Private Limited, India

CIN No.: U29199DL2006PTC145088

 

·         KazStroyService Management Pte. Limited, Singapore

 

 

CAPITAL STRUCTURE

 

(AS ON 21.09.2012)

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

35000000

Equity Shares

Rs.10/- each

Rs.350.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

30618500

Equity Shares

Rs.10/- each

Rs.306.185 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

306.185

306.185

300.100

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

1328.620

1225.324

853.239

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

1634.805

1531.509

1153.339

LOAN FUNDS

 

 

 

1] Secured Loans

4111.199

1887.324

1695.966

2] Unsecured Loans

0.000

0.000

0.000

TOTAL BORROWING

4111.199

1887.324

1695.966

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

5746.004

3418.833

2849.305

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

1414.285

1054.224

1146.773

Capital work-in-progress

13.087

59.514

1.395

 

 

 

 

INVESTMENT

268.762

0.114

0.000

DEFERREX TAX ASSETS

125.198

43.859

1.094

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

39.447
41.934

45.239

 

Sundry Debtors

1049.117
552.488

500.476

 

Cash & Bank Balances

102.010
91.731

535.404

 

Other Current Assets

5015.848
2429.446

1245.043

 

Loans & Advances

1562.973
1565.849

599.025

Total Current Assets

7769.395
4681.448

2925.187

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditor

2545.539
1634.836

1045.858

 

Other Current Liabilities

1288.868
761.317

157.939

 

Provisions

10.316
24.173

21.347

Total Current Liabilities

3844.723
2420.326

1225.144

Net Current Assets

3924.672
2261.122

1700.043

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

5746.004

3418.833

         2849.305

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

TOTAL                                     (A)

12204.880

6701.340

6661.350

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                     (B)

11113.660

5821.340

5562.160

 

 

 

 

 

Less

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

1091.220

880.000

1099.190

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

597.020

347.780

243.370

 

 

 

 

 

 

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

494.200

532.220

855.820

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

341.650

242.780

208.630

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

152.550

289.440

647.190

 

 

 

 

 

Less

TAX                                                                  (H)

49.250

97.330

221.580

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

103.300

192.110

425.610

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Capital Goods and spares

644.850

637.680

574.598

 

TOTAL IMPORTS

644.850

637.680

574.598

 

 

 

 

 

 

Earnings Per Share (Rs.)

3.37

6.38

14.18

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

0.85

2.87

6.39

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

1.66

5.05

15.89

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.09

0.19

0.56

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

2.51

1.23

1.47

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.02

1.93

2.39

 

 

LOCAL AGENCY FURTHER INFORMATION

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2012

31.03.2011

 

31.03.2010

 

(Rs. In Millions)

 

 

 

 

Sundry Creditors

2545.539
1634.836

1045.858

 

 

 

 

Total

 

2545.539
1634.836

1045.858

 

 

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

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

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 office of the company has been shifted from, 6, Jain Bhawan, 12, Bhagat Singh Marg, New Delhi – 110001, India, to the present address.

 

 

BUSINESS AND PERFORMANCE REVIEW

 

During the financial year 2011-2012, being the period, the company’s total revenue has increased to Rs.12204.880 Millions. From Rs.6701.340 Millions in the previous year (higher by 82.13%). There is a decline in profit before tax from Rs.289.450.000 Millions to Rs.152.550 Millions due to tight margin in the projects under execution.

 

The company is having an order book of Rs.14936.100 Millions as on 31.03.2012.

 

In this financial year as well, the company is relentlessly bidding upcoming projects and the directors are hopeful of bright prospects of business in the near future.

 

 

BUSINESS OUTLOOK:

 

The infrastructure sector was one of the thrust areas in the Union Budget 2012-13, as Finance Minister Mr. Pranab Mukherjee announced a slew of proposals, including allowing financial institutions to raise about Rs.600000.000 Millions (US$ 12 billion) from tax-free bonds and envisaging a greater private participation. According to the Finance Minister, the investment in the sector during the Twelfth Five-Year Plan will go up to Rs. 50 lakh crore (US$ 997.3 billion), about half of which is expected from the private sector. Further, to attract private investment, more sectors like irrigation, oil and gas storage facilities and telecommunication have been made eligible for viability gap funding under the scheme 'Support to PPP in Infrastructure'. The allocation to the highways sector has also been enhanced by 14 per cent to Rs.253600.000 Millions (US$ 5.06 billion) in 2012-13 and the Government has set a target of covering a length of 8,800 km roads under National Highways Development Project (NHDP) next fiscal.

 

The Planning Commission has projected that investment in infrastructure would almost double at US$ 1,025 billion in the Twelfth Five Year Plan (2012-17), compared to US$ 514 billion in the Eleventh Plan. Of the US$ 1,025 billion, 50 percent is expected to come from private sector, whose investment has been 36 percent in the Eleventh Plan.

 

The Index of Eight core industries-crude oil, petroleum refinery products, coal, electricity, cement, steel, fertilizers and natural gas having a combined weight of 37.90 percent in the Index of Industrial Production (IIP) stood at 147.3 in July 2012, according to data released by the Union Ministry of Commerce and Industry. During April-July 2012-13, the cumulative growth rate of the core industries was 3.2 percent. The infrastructure sector accounts for 26.7 percent of India's industrial output.

 

According to investment banking company Goldman Sachs, India's infrastructure sector will require US$ 1.7 trillion investment in the next 10-years. Further, India needs to spend US$ 1.2 trillion by 2030 to meet the projected demand of its cities, according to a McKinsey Global Institute Report. India is expected to require around US$ 1 trillion worth of infrastructure investment over the next five years

 

The Board of Directors sees above as strong revenue visibility in coming future.

 

 

FORM 8

 

This form is for

Creation of charge

Corporate identity number of the company

U45400MH2007PTC234297

Name of the company

KazStroyService Infrastructure India Private Limited

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

Swastik Chambers, 6th Floor, Sion Trombay Road, Chembur, Mumbai – 400071, Maharashtra, India

rranjan@kazstroyindia.com

Type of charge

Movable property (not being pledge)

Particular of charge holder

L & T Finance Limited

L&T House, Ballard Estate, Mumbai – 400001, Maharashtra, India

CIN No.: U65990MH1994PLC083147

Email: mca21@ltfinance.com

Nature of description of the instrument creating or modifying the charge

Deed of hypothecation deal no. 874512

Date of instrument Creating the charge

31/08/2012

Amount secured by the charge

Rs.12.900 Millions

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

Rate of Interest

6.30% Flat per annum

 

Terms of Repayment

47 months by equated monthly installments

 

Margin

Rs.1.664 Millions

 

Extent and Operation of the charge

First and exclusive charge by way of hypothecation as per clause nos. 2(i), 2(ii), 3, 4, 7, 8(vi), and16 vide the deed of hypothecation dated 31.08.2012.

 

Short particulars of the property charged

Description: Vogele paver supers 1800-2 Sr. No. 11822876 and Eng. no. 16AB2004

Location: Delhi

 

 

FIXED ASSETS:

 

·         Plant and Machinery

·         Furniture and Fixture

·         Office Equipment

·         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 exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.71

UK Pound

1

Rs.82.79

Euro

1

Rs.71.43

 

 

INFORMATION DETAILS

 

Information Gathered by :

PLK

 

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--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

 

34

 

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.