|
Report Date : |
22.11.2013 |
IDENTIFICATION DETAILS
|
Name : |
WELSPUN MAXSTEEL LIMITED (w.e.f. 01.07.2009) |
|
|
|
|
Formerly Known
As : |
VIKRAM SPONGE IRON LIMITED |
|
|
|
|
Registered
Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
27.06.2008 |
|
|
|
|
Com. Reg. No.: |
04-064145 |
|
|
|
|
Capital
Investment/ Paid-up Capital: |
Rs.1338.223
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U27100GJ2008PLC064145 |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Subject is engaged in Manufacturing and Selling of Gas Based Sponge Iron. |
|
|
|
|
No. of
Employees: |
300 [Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
B (35) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 28130000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a subsidiary of Welspun Corp Limited. It is an established
company having a moderate track record. There appears huge loss recorded by the company during 2013. However,
trade relations are reported to be fair. Business is active. Payments 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 – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
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
The current downturn
provides an opportunity to push ahead with reforms to accelerate growth, says
the latest India Development Update report released by the World Bank. The
report says that the adverse effects of rupee depreciation are likely to be
offset by the gains in the exports performance due to improved external
competitiveness. Since May this year, the local currency has depreciated
substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.
A stagflation like
situation appears to have arisen as inflation jumped to an eight month high of
6.46 % for the month of September. It is up from 6.10 % in August. Growth
continues to be muted with factory output plunging to 0.6 % in August.
Onion prices have risen nearly 300 % from last September. Vegetables cost
nearly 90 % more than they did last year. Wake up to the economic contribution
of slum dwellers. They contribute more than 7.5 % to the country’s gross
domestic product, according to a recent study conducted in 50 top cities.
136000 estimated
number of jobs created during the second quarter of the current financial year.
50000 estimated number of additional jobs in the field of corporate social
responsibility in the coming years.
The International Finance
Corporation expects to come out with its rupee linked bonds issue before the
end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs
41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched
in India from 1st November.
The Land Acquisition
Act to provide just and fair compensation to farmers will come into force from
January 1 next year, said Rural Development Minister Jairam Ramesh. The Act
replaces a 119 year old registration. The Securities and Exchange Board of
India has approved the trading of currency futures on the Bombay Stock
Exchange. The exchange plans to launch the currency futures platform with
advanced trading technology by the end of November.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long term rating: BBB- (Suspended) |
|
Rating Explanation |
Moderate degree of safety and moderate credit risk |
|
Date |
23 October 2012 |
|
Rating Agency Name |
CARE |
|
Rating |
Short term rating: A3 (Suspended) |
|
Rating Explanation |
Moderate degree of safety and higher credit risk |
|
Date |
23 October 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. Prakash |
|
Designation : |
Accounts Department |
|
Contact No.: |
91-22-66136000 |
|
Date : |
22.11.2013 |
LOCATIONS
|
Registered Office : |
|
|
Tel. No.: |
Not Available |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Web Site: |
|
|
Location: |
Owned |
|
|
|
|
Corporate Office : |
Welspun House, 7th Floor, Kamala Mills Compound, Senapati
Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India |
|
Tel. No.: |
91-22-66136000/24908000 |
|
Fax No.: |
91-22-24908020/24908021 |
|
|
|
|
Plant Office : |
Village Salav, P.O.Welspun Baug, District Raigad -402202, |
|
Tel. No.: |
91-2144-260110 to 260119 |
|
Fax No.: |
91-2144-260122 |
|
|
|
|
Regional Office : |
No.1, C-310, Blue Cross Chambers, Bangalore – 560001, Karnataka, India
|
|
E-Mail : |
DIRECTORS
AS ON 24.09.2013
|
Name : |
Mr. Balkrishan Gopiram Goenka |
|
Designation : |
Director |
|
Address : |
Rocky Isle 46-C, |
|
Date of Birth/Age : |
15.08.1966 |
|
Qualification: |
B.Com |
|
Date of Appointment : |
27.08.2012 |
|
Din No.: |
00270175 |
|
|
|
|
Name : |
Mr. Mintoo Bhandari |
|
Designation : |
Nominee Director |
|
Address : |
35, |
|
Date of Birth/Age : |
19.08.1965 |
|
Qualification: |
Mechanical Engineering from MIT (S.B. ’87) and the |
|
Date of Appointment : |
18.08.2011 |
|
Din No.: |
00054831 |
|
|
|
|
Name : |
Mr. Utsav Baijal |
|
Designation : |
Nominee Director |
|
Address : |
561 ATS Greens, Sector 93A, Expressway Noida-201301, Uttar
Pradesh, India |
|
Date of Birth/Age : |
11.12.1976 |
|
Date of Appointment : |
17.12.2011 |
|
Din No.: |
02592194 |
|
|
|
|
Name : |
Mr. Madhav Vasant Phadke |
|
Designation : |
Nominee Director |
|
Address : |
Flat No. 3, Bldg No. 4B, Pereira Nagar CHS Limited, Khopat,
Behind ST Work Shop Thane- 400601 |
|
Date of Birth/Age : |
19.06.1961 |
|
Qualification: |
BA(Eco), LLM, MLL and LW, Master Degree In Personnel Management, Post Graduate Diploma in Banking |
|
Date of Appointment : |
18.03.2011 |
|
Din No.: |
03432453 |
|
|
|
|
Name : |
Mr. Rajesh Rameshkumar Mandawewala |
|
Designation : |
Additional Director |
|
Address : |
161/171-B, |
|
Date of Birth/Age : |
05.05.1962 |
|
Date of Appointment : |
14.09.2012 |
|
Din No.: |
00007179 |
|
|
|
|
Name : |
Mr. Ram Gopal Sharma |
|
Designation : |
Additional Director |
|
Address : |
E 707 Lok Sarita, Military Road, Marol, Andheri(E) Mumbai -
400059Maharashtra |
|
Date of Birth/Age : |
11.09.1940 |
|
Qualification: |
Commerce Graduate with a Master Degree in Economics |
|
Date of Appointment : |
14.09.2012 |
|
Din No.: |
00026514 |
|
|
|
|
Name : |
Mr. Prakash Ranjeetmal Tatia |
|
Designation : |
Director |
|
Address : |
A-405, Versova Breeze CHS Limited, 3rd Cross, Lokhandwala, Andheri (West), Mumbai-400053, Maharashtra, India |
|
Date of Birth: |
01.12.1953 |
|
Date of Appointment : |
13.04.2013 |
|
Din No.: |
06559106 |
KEY EXECUTIVES
|
Name : |
Mr. Prakash |
|
Designation : |
Accounts Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 24.09.2013
|
Names of Shareholders |
No. of Equity Shares |
No. of
Preferences Shares |
|
Welspun Corp Limited, |
909176457 |
3740000 |
|
Grasim Industries Limited, India |
1391600 |
-- |
|
Dwarka Dass Rathi |
1400 |
-- |
|
Sanjeev Bafna |
1400 |
-- |
|
Pavan Kumar Jain |
1400 |
-- |
|
Ashok Malu |
1400 |
-- |
|
Hemant Kadel |
1400 |
-- |
|
Ravindra Kastia |
1400 |
-- |
|
Devendra Patil |
1 |
-- |
|
Shashikant Thorat |
1 |
-- |
|
Pradeep Joshi |
1 |
-- |
|
Ravindra More |
1 |
-- |
|
Rashmi Mamtura |
1 |
-- |
|
Saji Padmanabhan |
1 |
-- |
|
Rajendra Sawant |
1 |
-- |
|
|
|
|
|
TOTAL
|
910576464 |
3740000 |
AS ON 24.09.2013
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Bodies
corporate |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in Manufacturing and Selling of Gas Based Sponge Iron. |
||||
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|
||||
|
Products : |
|
||||
|
|
|
||||
|
Terms : |
|
||||
|
Selling : |
LC and Credit |
||||
|
|
|
||||
|
Purchasing : |
LC and Credit |
PRODUCTION STATUS [AS ON 31.03.2013]
|
Particulars |
Unit |
31.03.2013 |
|
Installed Capacity |
MT |
900,000 |
|
Actual Production |
MT |
348,505 |
GENERAL INFORMATION
|
Customers : |
End Users |
|||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
No. of Employees : |
300 [Approximately] |
|||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
·
IDBI Bank Limited, IDBI Tower, WTC Complex, Cuffe
Parade, Mumbai -400005, Maharashtra, India ·
Canara Bank, 85, Maker Tower, F Wing, 20th
Floor, Cuff Parade, Mumbai – 400005, Maharashtra, India ·
Union Bank of India Limited, Union Bank Bhavan,
238, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400021, Maharashtra, India ·
Andhra Bank, Specialized Corporate Finance
Branch, 16th Floor, Earnesh House, NCPA Marg, Nariman Point,
Mumbai-400021, Maharashtra, India ·
State Bank of Hyderabad, C-11, Mittal Tower, 1st
Floor, 210, Nariman Point, Mumbai-400021, Maharashtra, India ·
Allahabad Bank, Industrial Finance Branch,
Allahabad Bank Building, 2nd Floor, 37, Mumbai Samachar Marg,
Fort, Mumbai-400001, Maharashtra, India |
|||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking Relations
: |
-- |
|
|
|
|
Financial Institutions: |
IDBI Trusteeship Services Limited, Asian Building, Ground Floor, 17,
R. Kamani Marg, Ballard Estate, Mumbai- 400001, Maharashtra, India |
|
|
|
|
Auditors : |
|
|
Name : |
MGB and Company Chartered Accountants |
|
Address : |
Jolly Bhavan No 2, 1st Floor, 7, Opposite Nirmala Niketan
7, New Marine Lines, Churchgate, Mumbai-400020, Maharashtra, India |
|
PAN No: |
AAAFM5742R |
|
|
|
|
Holding Company : |
Welspun Corp Limited CIN No.: L27100GJ1995PLC025609 |
|
|
|
|
Fellow Subsidiaries : |
·
Welspun Pipes Limited ·
Welspun Natural Resources Private Limited ·
Welspun Pipe Inc, Welspun Tradings Limited ·
Welspun Infratech Limited ·
Welspun Mauritius Holdings Limited ·
Welspun Middle East Pipes Company LLC ·
Welspun Middle East Pipes Coating Company LLC ·
Welspun Middle East DMCC ·
Welspun Tubular LLC ·
Welspun Global Trade LLC ·
Welspun Plastics Private Limited ·
Welspun Projects Limited ·
Welspun Road Projects Private Limited ·
Welspun Infra Projects Private Limited ·
Anjar Road Private Limited ·
Welspun BOT projects Private Limited ·
MSK Projects (Himmatnagar Bypass) Private Limited ·
MSK Projects (Kim Mandavi Corridor) Private
Limited ·
Welspun Energy Transportation Private Limited ·
Welspun Water Infrastructure Private Limited ·
ARSS Bus Terminal Private Limited ·
Welspun Infra Enterprises Private Limited (w.e.f.
15 March 2013) |
|
|
|
|
Other Related Parties : |
·
Welspun Infratech Limited [U45400MH2007PLC170350] ·
Welspun Logistics Limited [U63012MH2006PLC165280] ·
Welspun Projects Limited [L45201GJ1994PLC023920] ·
Welspun Steel Limited [U27109GJ2004PLC044249] |
CAPITAL STRUCTURE
AS ON 24.09.2013
Authorized Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1200000000 |
Equity Shares |
Rs.10/- each |
Rs.12000.000 Millions |
|
300000000 |
Preferences Shares |
Rs.10/- each |
Rs.3000.000 Millions |
|
|
TOTAL
|
|
Rs.15000.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
910576464 |
Equity Shares |
Rs.10/- each
|
Rs.9105.765
Millions |
|
3740000 |
Preferences Shares |
Rs.10/- each |
Rs.37.400
Millions |
|
|
TOTAL |
|
9143.165 Millions |
AS ON 31.03.2013
Authorized Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
272000000 |
Equity Shares |
Rs.10/- each |
Rs.2720.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
133822352 |
Equity Shares |
Rs.10/- each
|
Rs.1338.223 Millions
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2013 (12 Months) |
31.03.2012 (6
Months) |
30.09.2011 (18
Months) |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
1338.223 |
1300.823 |
1300.824 |
|
(b) Reserves & Surplus |
5694.800 |
1137.262 |
1841.355 |
|
(c) Money received
against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2)
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total Shareholders’ Funds (1) + (2) |
7033.023 |
2438.085 |
3142.179 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term
borrowings |
10101.777 |
7125.536 |
7167.510 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
301.865 |
301.865 |
|
(c) Other long
term liabilities |
0.050 |
0.050 |
0.050 |
|
(d) long-term
provisions |
34.564 |
34.603 |
42.627 |
|
Total Non-current
Liabilities (3) |
10136.391 |
7462.054 |
7512.052 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
42.279 |
2302.458 |
2395.330 |
|
(b)
Trade payables |
2534.313 |
2543.329 |
5120.101 |
|
(c)
Other current liabilities |
187.895 |
426.045 |
326.160 |
|
(d) Short-term
provisions |
36.230 |
33.760 |
6.544 |
|
Total Current
Liabilities (4) |
2800.717 |
5305.592 |
7848.135 |
|
|
|
|
|
|
TOTAL |
19970.131 |
15205.731 |
18502.366 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
14705.644 |
6392.670 |
5771.747 |
|
(ii)
Intangible Assets |
3.815 |
7.156 |
8.826 |
|
(iii)
Capital work-in-progress |
79.989 |
2093.245 |
1749.523 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
29.906 |
29.906 |
29.906 |
|
(c) Deferred tax
assets (net) |
0.000 |
000 |
0.000 |
|
(d) Long-term Loan and Advances |
1975.980 |
2021.030 |
2778.744 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
16795.334 |
10544.007 |
10338.746 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
1294.573 |
|
(b)
Inventories |
2396.369 |
2368.616 |
3753.958 |
|
(c)
Trade receivables |
382.961 |
1472.360 |
2342.962 |
|
(d) Cash
and cash equivalents |
287.017 |
511.253 |
335.654 |
|
(e)
Short-term loans and advances |
107.448 |
287.965 |
322.309 |
|
(f)
Other current assets |
1.002 |
21.530 |
114.164 |
|
Total
Current Assets |
3174.797 |
4661.724 |
8163.620 |
|
|
|
|
|
|
TOTAL |
19970.131 |
15205.731 |
18502.366 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 (12 Months) |
31.03.2012 (6
Months) |
30.09.2011 (18
Months) |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
8948.369 |
7212.370 |
24227.575 |
|
|
|
Other Income |
263.360 |
318.049 |
356.360 |
|
|
|
TOTAL (A) |
9211.729 |
7530.419 |
24583.935 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
8649.402 |
6362.932 |
20279.199 |
|
|
|
Employee benefit expense |
346.990 |
149.057 |
437.547 |
|
|
|
Other expenses |
1048.934 |
849.812 |
1861.173 |
|
|
|
Exceptional items |
493.993 |
0.000 |
0.000 |
|
|
|
Changes in
inventories of finished goods, work-in-progress and stock-in-trade |
(215.907) |
332.967 |
(161.943) |
|
|
|
TOTAL (B) |
10323.412 |
7694.768 |
22415.976 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(1111.683) |
(164.349) |
2167.959 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
829.841 |
357.097 |
1223.652 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(1941.524) |
(521.446) |
944.307 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
366.918 |
180.981 |
424.679 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
(2308.442) |
(702.427) |
519.628 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(301.865) |
1.666 |
243.666 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
(2006.577) |
(704.093) |
275.962 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(322.381) |
381.712 |
105.750 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(2328.958) |
(322.381) |
381.712 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
935.497 |
755.776 |
3294.751 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2715.355 |
1084.251 |
7332.677 |
|
|
|
Stores & Spares |
7.880 |
2.767 |
136.580 |
|
|
|
Capital Goods |
0.000 |
49.449 |
204.397 |
|
|
TOTAL IMPORTS |
2723.235 |
1136.467 |
7673.654 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
(15.43) |
(5.41) |
2.12 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 (12 Months) |
31.03.2012 (6
Months) |
30.09.2011 (18
Months) |
|
PAT / Total Income |
(%) |
(21.78)
|
(9.35) |
1.11
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(25.80)
|
(9.74) |
2.14
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(11.62)
|
(5.37) |
3.11
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.33)
|
(0.29) |
0.17
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.44
|
3.87 |
3.04
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.13
|
0.88 |
1.27
|
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 |
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] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth 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 |
INDEX OF CHARGES:
|
S. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10396033 |
28/12/2012 |
2,000,000,000.00 |
CANARA BANK |
85, MAKER TOWER,
F WING, 20TH FLOOR CUFFE PARADE, |
B65531758 |
|
2 |
10310174 |
12/09/2011 |
4,000,000,000.00 |
IDBI BANK
LIMITED |
IDBI TOWERWTC
COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA |
B22540421 |
|
3 |
10263471 |
18/01/2011 |
1,000,000,000.00 |
STATE BANK OF
INDIA |
CORPORATE
ACCOUNTS GROUP - MUMBAI, NEVILLE HOUSE,, |
B04883195 |
|
4 |
10209487 |
10/02/2010 |
5,000,000,000.00 |
ALLAHABAD BANK |
INDUSTRIAL
FINANCE BRANCH, ALLAHABAD BANK BUILDING, 2ND FLOOR, 37, MUMBAI SAMACHAR MARG,
FORT, MUMBAI, MAHARASHTRA - 400001, INDIA |
A82135773 |
|
5 |
10184377 |
28/03/2013 * |
10,944,800,000.00 |
IDBI TRUSTEESHIP
SERVICES LIMITED |
ASIAN BLDG.,
GROUND FLOOR, 17, R .KAMANI MARG,, BALLARD ESTATE,, MUMBAI, MAHARASHTRA -
400001, INDIA |
B73398869 |
|
6 |
10184379 |
22/09/2009 |
4,840,000,000.00 |
STATE BANK OF
INDIA |
STATE BANK BHAVAN,
MADAM KAMA ROAD,, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA |
A72998552 |
|
7 |
10166698 |
30/05/2009 |
1,000,000,000.00 |
CANARA BANK |
DALAMAL TOWER,,
NARIMAN POINT,, MUMBAI, MAHARASHTRA - 400021, INDIA |
A65477960 |
|
8 |
10162078 |
16/05/2011 * |
6,000,000,000.00 |
IDBI TRUSTEESHIP
SERVICES LIMITED |
ASIAN BLDG.,
GROUND FLOOR, 17, R. KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA -
400001, INDIA |
B13845516 |
|
9 |
10163663 |
22/05/2009 |
4,000,000,000.00 |
IDBI BANK
LIMITED |
IDBI TOWERWTC
COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A64513047 |
|
* Date of charge modification |
||||||
CORPORATE INFORMATION:
Subject is a
Company incorporated under the Companies Act 1956. The Company is a subsidiary
of Welspun Corp Limited under the Companies Act 1956. The Company is engaged in
manufacturing and selling of Gas based Sponge Iron which is popularly known as
DRI (Direct Reduced Iron) and HBI (Hot Briquetted Iron). The Company caters
mainly domestic market however, small volume is exported.
PERFORMANCE
REVIEW:
The capacity
utilization was lower mainly due to extreme low supply of APM Gas and
uneconomic price of RLNG. Besides the normal shutdown the plant was under
forced shut down for a period of about 3 months. The demand of product
significantly impacted due to large quantity of import of scrap in the Country.
In addition, quantum increase in import of Gas based Sponge Iron at low price
mainly from Middle East, where cheaper gas is available.
During the year,
Alloy Steel Sector remained very sluggish due to weak demand in Auto Sector.
The high fuel and interest cost have impacted the Auto Industries in turn
underutilization of capacities resulting in low demand of Sponge Iron. The
infrastructure sector (major consumer of long steels) also remained subdued due
to overall economic scenario.
The restriction in
supply of long term contracted APM gas was almost by 50% of normal supply,
significant high cost of imported RLNG and drastic increase in other raw material
cost i.e. iron oxides has significantly impacted the cost of manufacture.
Due to overall
depressed economic situation impacting the demand of the product and increase
in the manufacturing cost, the Company has incurred significant loss and during
the year unable to recover even the fixed cost.
FIXED ASSETS:
Tangible Assets
Intangible Assets
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.62.89 |
|
|
1 |
Rs.101.14 |
|
Euro |
1 |
Rs.84.42 |
INFORMATION DETAILS
|
Information
Gathered by : |
PLK |
|
|
|
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
35 |
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.