MIRA INFORM REPORT

 

 

Report Date :

23.03.2013

 

IDENTIFICATION DETAILS

 

Name :

MOTHERSON ELECTRICAL WIRES LANKA (PVT) LTD

 

 

Registered Office :

32 Km Stone, Pinnalanda Estate,Watareka,Padukka

 

 

Country :

Sri Lanka

 

 

Date of Incorporation :

18.07.2003

 

 

Com. Reg. No.:

N(PVS) 34445

 

 

Legal Form :

Private Limited Liability Company  (In Operation)

 

 

Line of Business :

Manufacturing of wires for automotive application

 

 

No. of Employees :

Approximately 100

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit:

--

Status :

Satisfactory

Payment Behaviour :

Slow but correct

Litigation :

Clear

 

 

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 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Sri Lanka

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SRI LANKA - ECONOMIC OVERVIEW

 

Sri Lanka continues to experience strong economic growth, driven by large-scale reconstruction and development projects following the end of the 26-year conflict with the LTTE. Sri Lanka is pursuing a combination of government directed policies, private investment, both foreign and domestic, to spur growth in disadvantaged areas, develop small and medium enterprises, and increase agricultural productivity. The government struggles with high debt interest payments, a bloated civil service, and historically high budget deficits. However recent reforms to the tax code have resulted in higher revenue and lower budget deficits in recent years. The 2008-09 global financial crisis and recession exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of payments crisis. Growth slowed to 3.5% in 2009. Economic activity rebounded strongly with the end of the war and an IMF agreement, resulting in two straight years of high growth in 2010 and 2011. Per capita income of $5,600 on a purchasing power parity basis is among the highest in the region.

Source : CIA

 

GENERAL

- Basic information at a glance

      

a.

Name of Subject of Inquiry

:

 

MOTHERSON ELECTRICAL WIRES LANKA (PVT) LTD

 

b.

Legal Form  & Status

:

Private Limited Liability Company  (In Operation)

c.

Managing Director

:

Vivek Chaand Sehgal

d.

Primary Line of Business

:

Manufacturing of wires for automotive application

e.

Head office

&

Factory

 

:

 

# 32 K.M.Stone, Pinnalanda Estate,

Watareka,

Padukka,

Sri Lanka

                

Tel. No: (00 94 11) 283 0500

Fax No: (00 94 11) 283 1841

 

E-mail: atulmittal@mwl.motherson.com

 

 

f.

No. of Employees

:

Approximately 100

           

 

COMPANY DETAILS 

- Registration and Shareholder Details

 

a.

Registration No

:

N(PVS) 34445

Date of Registration

:

18th July 2003

b.

Re-registration No

:

PV 928

Date of Re-registration

:

29th October 2007

c.

Registered Office

:

32 Km Stone, Pinnalanda Estate,Watareka,Padukka

d.

Board of Directors

As At

24th March 2012

:

Vivek Chaand Sehgal

Managing Director

Ramesh Dhar

Director

Rakesh Satwah

Director

G. Nand Gauba

Director

Ashok Tandon

Director

Toshihiro Watanabe

Director

f.

Issued Share Capital

:

Rs.     14,562,020.00                

g.

Nominal Value of Share

:

Rs.                   10.00

 

h.

Share Holders

As At

24th March 2012

:

Share Holders

No. of

Shares

V. Chaand Sehgal

02

Motherson Sumi Systems Limited (India)

1,456,200

i.

Auditors

:

Pricewater House Coopers

j.

Company Secretaries

:

S. S. P. Corporate Services Pvt Ltd

k.

Bankers

:

-Not Disclosed-

 

 

 

 

 

 

credit limit

 

In Absent of Financials we cannot provide Credit Limit.

 

FINANCIAL DETAILS

- Most recent available Financial Information

 

     THE COMPANY HAS DECLINED TO PROVIDE INFORMATION ON ITS FINANCES                                                                                      

Based on the corporate laws of Sri Lanka, legal entities which are Private Company with   Limited Liability is not required to make public disclosure of their annual financials. Therefore no financials are available for this entity

 

 

CURRENT INVESTIGATION

                                   

·         History.

                                

                                             Company Logo

 

The Subject Company MOTHERSON ELECTRICAL WIRES LANKA (PVT) LTD is a Private    Limited   liability Company incorporated on 18th July 2003 under registration number N (PVS) 3445 and then the company was re-registered on 29th October 2007 under registration number PV 928.

 

The MOTHERSON ELECTRICAL WIRES LANKA (PVT) LTD is a subsidiary company of the Motherson Sumi Systems Ltd – INDIA.

 

·         Location.

The Subject Company is located at the client 32 Km Stone, Pinnalanda Estate, Watareka, Padukka, Sri Lanka.

 

·         Operational Details.

 

General

                  The subject company primary line of business is Manufacturing & Fabrication, Assembling & Dealing of Electrical Wires.

 

The subject company has earned certified by ISO 9000:2000

 

Products

Aluminium cable, Insulated Wires and Cables

 

Export Countries

India & USA

 

No of Employees

                  Approximately 100

 

 

·         Director Details

01)

Name

Vivek Chaand Sehgal

PP Number

E 1000889

Nationality

Australian

 

 

02)

Name

Ramesh Dhar

PP Number

G 8639363

Nationality

Indian

 

03)

Name

Rakesh Satwah

PP Number

G 0660878

Nationality

Indian

 

04)

Name

G. Nand Gauba

PP Number

Z 1177148

Nationality

Indian

 

 

05)

Name

Ashok Tandon

PP Number

Z 1903221

Nationality

Indian

 

 

06)

Name

Toshihiro Watanabe

PP Number

TH 5106653

Nationality

Japan

 

 

 

·         Financial Data

 

     The company has declined to provide information on its finances

 

Based on the corporate laws of Sri Lanka, legal entities which are Private Company with   Limited Liability is not required to make public disclosure of their annual financials. Therefore no financials are available for this entity

 

 

·         Trade references

 

                  The subject company did not provide any trade references

 

·         Credit Recommendations

 

                  Since no financial information has been forthcoming from the company, it is not possible to comment on the merits or otherwise of the company.

 

No computerised data bases exist to make checks whether the partners or the company has any legal action or lawsuit initiated against any of them but informal (but not in-depth) checks do not indicate any such cases in the public knowledge.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.33

UK Pound

1

Rs.82.56

Euro

1

Rs.70.10

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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 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%)

 

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.