MIRA INFORM REPORT

 

 

Report Date :

19.03.2013

 

IDENTIFICATION DETAILS

 

Name :

NETRA MERCANTILE PRIVATE LIMITED

 

 

Registered Office :

1st Floor, Cama Chamber, 23, Nagindas Master Road, Fort, Mumbai – 400 023, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

14.09.2001

 

 

Com. Reg. No.:

11-133370

 

 

Capital Investment / Paid-up Capital :

Rs. 42.500 Millions

 

 

CIN No.:

[Company Identification No.]

U51909MH2001PTC133370

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMN10574E

 

 

PAN No.:

[Permanent Account No.]

AABCN4276F

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Dealers in HR, CR, GP, GI Coils or Sheets

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (33)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 970000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a moderate track record. The profitability of the company  appears to be low.

 

However, trade relations are reported as fair. Business is active. Payment terms are slow but correct.

 

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.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

Crisil

Rating

Letter of Credit : P+ (Suspended)

Rating Explanation

Minimal degree of safety and very high credit risk

Date

February 22, 2011

 

Reason For Suspension : Inadequate information from the company.

 

 

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 :

1st Floor, Cama Chamber, 23, Nagindas Master Road, Fort, Mumbai – 400 023, Maharashtra, India

Tel. No.:

91-22-22622261

Fax No.:

91-22-22622261

E-Mail :

vvranka@indiatimes.com

 

 

DIRECTORS

 

As on  30.09.2011

 

Name :

Mr. Vijendra Vijayraj Ranka

Designation :

Director

Address :

2639, Main Road, Gorakhpur, Jabalpur – 482 002, Madhya Pradesh

Date of Appointment :

18.03.2005

DIN No.:

00164359

 

 

Name :

Mr. Suresh Baiju Bhise

Designation :

Whole-Time Director

Address :

Vishveshwar Co - Op Hsg Soc Limited , 109 / B - 12 Mhda Colony, Near Vasant Vihar Pokharan-2, Thane – 400 601, Maharashtra, India

Date of Appointment :

01.10.2008

DIN No.:

02715021

 

 

Name :

Mr. Mahadev Ramchandra Shringare

Designation :

Additional Director

Address :

301 / B, Shivchaya, CKP Colony, Eksar Road,, Borivli West,

Mumbai – 400 091, Maharashtra, India

Date of Appointment :

03.05.2011

DIN No.:

03541122

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on  30.09.2011

 

Names of Shareholders

No. of Shares

Vijendra Ranka

5000

Suresh Bhise

5000

Reynolds Petrochem Limited

21600

Datta Industries India Limited

19260

Gujarat Building Material P. Limited

23400

Shresth Leasing and Fin. Limited

29340

Ashwin Narendra Lodha

4000000

Sheela Abhay Lodha

146400

Total

4250000

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2011

 

Category

Percentage

Bodies corporate

2.20

Directors or relatives of Directors

97.80

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Dealers in HR, CR, GP, GI Coils or Sheets

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :
  • Oriental Bank of Commerce

Overseas Branch, Dalamal Towers, 211, Nariman Point, Mumbai - 400021, Maharashtra, India

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Poonawala and Associates

Chartered Accountants

Address :

126, Abdul Rehman Street, 2nd Floor, Mariam Manzil, Mumbai – 400 003, Maharashtra, India

Tel. No.:

91-22-23412143

Mobile No.:

91-9820746649

 

 

CAPITAL STRUCTURE

 

As on 30.09.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

4250000

Equity Shares

Rs.10/- each

Rs. 42.500   Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

4250000

Equity Shares

Rs.10/- each

Rs. 42.500   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

42.500

42.500

42.500

2] Share Application Money

0.000

0.000

30.170

3] Reserves & Surplus

201.468

158.332

45.028

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

243.968

200.832

117.698

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

449.988

2] Unsecured Loans

49.239

49.239

0.000

TOTAL BORROWING

49.239

49.239

449.988

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

293.207

250.071

567.686

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

0.062

0.087

0.114

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

90.416

90.473

290.736

DEFERRED TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
371.055

208.960

492.549

 

Sundry Debtors
314.070

396.179

4725.210

 

Cash & Bank Balances
2.495

3.135

0.638

 

Other Current Assets
0.000

0.000

291.126

 

Loans & Advances
44.478

27.299

121.968

Total Current Assets
732.098

635.573

5631.491

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
449.995

449.999

5320.159

 

Other Current Liabilities
46.109

0.006

19.214

 

Provisions
33.265

26.057

15.282

Total Current Liabilities
529.369

476.062

5354.655

Net Current Assets
202.729

159.511

276.836

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

293.207

250.071

567.686

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

8978.668

5279.932

5018.925

 

 

Other Income

5.414

4.478

536.945

 

 

TOTAL                                     (A)

8984.082

5284.410

5555.870

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost o material consumed

9002.524

5171.154

 

 

 

Changes in inventories of finished goods, work-in-progress and stock-in-trade

(162.095)

(16.411)

 

 

 

Employee benefit expense

1.330

1.286

 

 

 

Other administrative expense

28.444

15.557

 

 

 

TOTAL                                     (B)

8870.203

5171.586

5451.126

 

 

 

 

 

Less

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

113.879

112.824

104.744

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

50.000

50.113

68.608

 

 

 

 

 

 

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

63.879

62.711

36.136

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

0.026

0.039

0.048

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

63.853

62.672

36.088

 

 

 

 

 

Less

TAX                                                                  (I)

20.717

21.302

7.743

 

 

 

 

 

 

PROFIT AFTER TAX (G-I)                                 (J)

43.136

41.370

28.345

 

 

 

 

 

 

Earnings Per Share (Rs.)

10.15

9.73

N.A

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)
0.48

0.78

0.51

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
0.71

1.19

0.72

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
8.72

9.86

0.64

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.26

0.31

0.06

 

 
 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 
0.20

0.25

3.83

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
1.38

1.34

1.05

 

 

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

No

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

Yes

30]

Major Shareholders, if available

Yes

31]

Date of Birth of Proprietor/Partner/Director, if available

No

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

 

ACTIVITY :

 

The company has developed very good market for H.R. COILS/SHEETS and C.R.COIL/SHEETS at Mumbai. Looking to the present market potential we are expecting to achieve a good turnover in next year. To conserve the reserves for future expansion the board of directors has decided not to declare any dividend for the year.

 

UNSECURED LOAN :

 

Particulars

31.03.2012

(Rs. in Millions)

31.03.2011

(Rs. in Millions)

Loans and Advances from Related Parties

49.239

49.239

Total

49.239

49.239

 

 

BANKERS CHARGES REPORT AS PER REGISTRY

 

Corporate identity number of the company

U51909MH2001PTC133370

Name of the company

NETRA MERCANTILE PRIVATE LIMITED

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

1st Floor, Cama Chamber, 23, Nagindas Master Road, Fort, Mumbai – 400 023, Maharashtra, India

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

90354034

Type of charge

  • Movable property (not being pledge)
  • Goods, Document of title to goods

Particular of charge holder

  • Oriental Bank of Commerce

Overseas Branch, Dalamal Towers, 211, Nariman Point, Mumbai - 400021, Maharashtra, India

Email : emailroc@rediffmail.com

Nature of instrument creating charge

Supplemental Agreement to Secure Credit / Loan Facilities

Date of instrument Creating the charge

21.11.2011

Amount secured by the charge

Rs. 450.000 Millions

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

Rate of Interest

Interest rate and Penal interest rate as agreed between the borrower company and the bank from time to time.

 

Terms of Repayment

Repayment, as agreed between the borrower company and the bank from time to time.

 

Margin

Margin Rate, as agreed between the borrower company and the bank from time to time.

 

Extent and Operation of the charge

At the request of the borrower company, the bank has enhanced Letter of Credit (Inland / Foreign) limit from Rs. 400.000 Millions to Rs. 450.000 Millions against Hypothecation of Document of title to goods in case of Letter of Credit on DP basis and hypothecation charge over the goods in case of Letter of Credit on DA basis (Document to be delivered against Trust Receipt only in case of Letter of Credit  on DA basis).

 

The Charge stands modified from Rs. 400.000
Millions to Rs. 450.000 Millions

Short particulars of the property or asset(s) charged (including complete address and location of the property)

Hypothecation of Document of title to goods in case of Letter of Credit on DP basis.

 

Hypothecation charge over the goods in case of Letter of Credit on DA basis (Document to be delivered against Trust Receipt only in case of Letter of Credit on DA basis)

Particulars of the present modification

At the request of the borrower company, the bank has enhanced Letter of Credit (Inland / Foreign) limit from Rs. 400.000 Millions to Rs. 450.000 Millions against Hypothecation of Document of title to goods in case of Letter of Credit on DP basis and hypothecation charge over the goods in case Letter of Credit on DA basis (Document to be delivered against Trust Receipt only in case of Letter of Credit on DA basis).

 

 

FIXED ASSETS :

 

  • Computers
  • Printers
  • Air Conditioners
  • Fridge
  • Furniture and Fixtures
  • Mobile Phone Instrument

 

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.54.29

UK Pound

1

Rs.81.94

Euro

1

Rs.70.02

 

 

INFORMATION DETAILS

 

Report Prepared by :

RSMK

 

 

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

2

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

33

 

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.