MIRA INFORM REPORT

 

 

Report Date :

25.11.2013

 

IDENTIFICATION DETAILS

 

Name :

TATA CONSULTING ENGINEERS LIMITED (w.e.f.18.01.2010)

 

 

Formerly Known As :

TCE CONSULTING ENGINEERS LIMITED

 

 

Registered Office :

Matulya Centre, 1st Floor, A-249, S B Marg, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

10.12.1999

 

 

Com. Reg. No.:

11-123010

 

 

Capital Investment / Paid-up Capital :

Rs.100.000 Millions

 

 

CIN No.:

[Company Identification No.]

U74210MH1999PLC123010

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMT06732F

 

 

PAN No.:

[Permanent Account No.]

AABCT0772E

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Subject is engaged in the business of providing engineering consultancy services.

 

 

No. of Employees :

Information declined by the management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A (62)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 9910000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a wholly owned subsidiary of Tata Sons Limited.

 

Subject is one of the leading Indian engineering consultants having executed over 6000 projects in India and Overseas.

 

It has created its brand image all over the world. It is a well established company having good track record.

 

Company’s performance appears to be excellent. Financially it seems to be strong. Fundamental of the company is healthy. Company gets good support from its group company. Trade relations are reported to be fair. Business is active. Payments are reported to be regular and as per commitment.

 

In view of experienced directors, the company can be considered for any business dealings at usual trade terms and conditions.  

 

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

 

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

ICRA

Rating

AA (Long Term Loans)

Rating Explanation

High credit quality and low credit risk.

Date

October 2013

 

Rating Agency Name

ICRA

Rating

A1+ (Non Fund Based Limits)

Rating Explanation

Very strong degree of safety and lowest credit risk.

Date

October 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 DENIED

 

Management Non Co-operative (91-22-61148181)

LOCATIONS

 

Registered Office :

Matulya Centre, 1st Floor, A-249, S B Marg, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

Tel. No.:

91-22-66624743

Fax No.:

91-22-66624768

E-Mail :

mail@tce.co.in

Website :

www.tce.co.in

 

 

Corporate Office :

4th Floor, Tower A, 247 Park, L.B.S Marg, Vikhroli (West), Mumbai – 400083, Maharashtra, India

Tel. No.:

91-22-61148181 

Fax No.:

91-22-61148282

 

 

Branch Office :

Located at:

 

·         Bangalore

·         Chennai

·         Jamshedpur

·         Kolkata

·         Mumbai

·         New Delhi

·         Pune

·         TCE Qatar

·         South Africa

·         USA 

 

 

DIRECTORS

 

As on: 16.07.2013

 

Name :

Mr. Prasad Raghava Menon

Designation :

Director

Address :

50-F, Lovedale Peddar Road, Mumbai - 400026, Maharashtra, India

Date of Birth/Age :

23.01.1946

Date of Appointment :

01.02.2011

DIN No.:

00005078

 

 

Name :

Mr. Farokh Nariman Subedar

Designation :

Director

Address :

Wadia Building, 6, Babulnath Road, Mumbai - 400007, Maharashtra, India

Date of Birth/Age :

24.09.1955

Date of Appointment :

10.12.1999

DIN No.:

00028428

 

 

Name :

Padmanabhan Sankaranarayanan

Designation :

Director

Address :

132, Apsara NCPA Appartments, D Tara Road, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Birth/Age :

15.05.1958

Date of Appointment :

16.07.2013

DIN No.:

00306299

 

 

Name :

Mr. Arun Prabhat Mull

Designation :

Director

Address :

Gautam Niwasa, Padmavati Devi Road, Opposite IIT Powai, Mumbai 400 076, Maharashtra, India

Date of Birth/Age :

01.10.1944

Date of Appointment :

09.06.2010

PAN No.:

AAGPM7776F

DIN No.:

00659352

 

 

Name :

Mr. Arunkumar Laxmidas Vora

Designation :

Director

Address :

S2, Orchid Apartments, V Main, Defence Colony, Indira Nagar, Bangalore 560 038, Karnataka, India

Date of Birth/Age :

14.08.1941

Date of Appointment :

13.05.2003

DIN No.:

00191774

 

 

Name :

Mr. Jayaraman Pranthathi Haran

Designation :

Managing Director

Address :

21, Radha Building, Seema Society, Ghatla Road, Chembur, Mumbai – 400071, Maharashtra, India

Date of Birth/Age :

27.09.1950

Date of Appointment :

01.04.2009

PAN No.:

AAAPH6234R

DIN No.:

02624272

 

 

Name :

Mr. Amit Sharma

Designation :

Whole-Time Director

Address :

Flat No. 1704 and 1705, 17th Floor, B Wing, Oberai Spledor, Jogeshwari, Vikhroli Road, Andheri (East), Mumbai – 400060, Maharashtra, India

Date of Birth/Age :

18.07.1972

Date of Appointment :

16.07.2013

PAN No.:

AAPPS0200D

DIN No.:

03212568

 

 

KEY EXECUTIVES

 

Name :

Mr. Krsihnan Gopalakrishnan

Designation :

Secretary

Address :

A13/1, Shree Ram Nagar, S V Road, Andheri (West) Mumbai – 400058, Maharashtra, India

Date of Birth/Age :

23.05.1954

Date of Appointment :

05.01.2007

PAN No.:

AAHPK0344A

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 16.07.2013

 

Names of Shareholders

No. of Shares

Tata Sons Limited, India

9999600

Tata Sons Limited, India and F N Subedar, India

100

Tata Sons Limited, India and K R Bhagat

100

Tata Sons Limited, India and KR Bhagat and Manoj Kumar CV

30

Tata Sons Limited, India and Nikil Kumar

40

Tata Sons Limited, India and EN Kapadia

30

Tata Sons Limited, India and AP Charna

100

 

 

TOTAL

10000000

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 16.07.2013

 

Category

 

Percentage

Bodies corporate

 

100.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged in the business of providing engineering consultancy services.

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by the management

 

 

Bankers :

·         Yes Bank Limited, 9th Floor, Nehru Centre, Discovery Of India, Dr. Annie Besant Road, Worli, Mumbai - 400018, Maharashtra, India

·         Bank of Baroda, Opera House Branch, Modi Chambers, Pandit Palusk, Ar Chowk, Mumbai - 400004, Maharashtra, India

·         State Bank of India Commercial Branch (Advances), N.G.N. Vaidya Marg, P.Box No.10141, Mumbai - 400023, Maharashtra, India

·         Axis Bank Limited, Trishul 3rd Floor Opposite Samartheshwar Temple, Law Garden Ellisbridge, Ahmedabad - 380006, Gujarat, India

 

 

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2013

As on

31.03.2012

LONG-TERM BORROWINGS

 

 

Long-term maturities of finance lease obligations

0.610

1.015

SHORT-TERM BORROWINGS

 

 

Working capital loans from banks

(Secured against hypothecation of Book Debts, is repayable on demand and carries interest @ 9.95% to 12.80% p.a.)

328.031

193.540

 

 

 

Total

328.641

194.555

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Deloitte Haskins and Sells

Chartered Accountants

Address :

Tower 3, 27th - 32nd Floor, Indiabulls Finance Centre, Elphinstone Mill Compound, Senapati Bapat Marg, Elphinstone (West), Mumbai - 400 013, Maharashtra, India

PAN No.:

AADFD2337G

 

 

Subsidiary Company :

TCE QSTP -LLC, Qatar

 

 

Holding Company :

Tata Sons Limited

CIN No.: U99999MH1917PLC000478

 

 

Fellow Subsidiary Company :

·         Tata Consultancy Services Limited

CIN No.: L22210MH1995PLC084781

 

·         Tata Advanced Systems Limited

CIN No.: U72900AP2006PLC077939

 

·         Tata Africa Holdings (SA) (Proprietary) Limited

 

·         Tata Teleservices (Maharashtra) Limited

CIN No.: L64200MH1995PLC086354

 

·         Tata Teleservices Limited

CIN No.: U74899DL1995PLC066685

 

·         Tata AIA Life Insurance Company Limited

CIN No.: U66010MH2000PLC128403

 

·         Tata Investment Corporation Limited

CIN No.: L67200MH1937PLC002622

 

·         T T Holdings and Services Limited

CIN No.: U65921MH2006PLC238745

 

 

CAPITAL STRUCTURE

 

As on: 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

10000000

Equity Shares

Rs.10/- each

Rs.100.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

10000000

Equity Shares

Rs.10/- each

Rs.100.000 Millions

 

 

 

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2013

31.03.2012

31.03.2011

EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

100.000

100.000

100.000

(b) Reserves & Surplus

2379.743

2214.749

1801.125

(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)

2479.743

2314.749

1901.125

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

0.610

1.116

0.791

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

11.838

11.838

0.000

(d) long-term provisions

177.497

158.979

135.803

Total Non-current Liabilities (3)

189.945

171.933

136.594

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

328.031

193.540

279.833

(b) Trade payables

428.419

432.718

443.034

(c) Other current liabilities

353.166

277.027

333.382

(d) Short-term provisions

304.285

256.415

282.556

Total Current Liabilities (4)

1413.901

1159.700

1338.805

 

 

 

 

TOTAL

4083.589

3646.382

3376.524

 

 

 

 

ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

597.420

676.116

749.906

(ii) Intangible Assets

32.632

28.385

88.523

(iii) Capital work-in-progress

56.839

22.500

20.839

(iv) Intangible assets under development

0.373

0.300

0.595

(b) Non-current Investments

10.076

3.582

3.582

(c) Deferred tax assets (net)

84.904

60.425

42.686

(d)  Long-term Loan and Advances

332.273

200.643

302.856

(e) Other Non-current assets

25.568

14.419

16.827

Total Non-Current Assets

1140.085

1006.370

1225.814

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

0.000

0.000

0.000

(c) Trade receivables

1349.726

1138.345

931.916

(d) Cash and cash equivalents

30.850

58.720

95.564

(e) Short-term loans and advances

100.942

76.057

86.508

(f) Other current assets

1461.986

1366.890

1036.722

Total Current Assets

2943.504

2640.012

2150.710

 

 

 

 

TOTAL

4083.589

3646.382

3376.524

 

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

4298.196

4548.896

4159.381

 

 

Other Income

66.519

146.220

51.999

 

 

TOTAL                                     (A)

4364.715

4695.116

4211.380

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Employee benefit expense

2465.763

2243.100

1963.119

 

 

Other expenses

1375.426

1374.857

1098.326

 

 

TOTAL                                     (B)

3841.189

3617.957

3061.445

 

 

 

 

 

Less

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

523.526

1077.159

1149.935

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

50.846

46.936

58.560

 

 

 

 

 

 

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

472.680

1030.223

1091.375

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

127.454

194.205

214.223

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

345.226

836.018

877.152

 

 

 

 

 

Less

TAX                                                                  (H)

115.885

259.682

287.905

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

229.341

576.336

589.247

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

1794.200

1450.600

1105.700

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

General Reserve

30.000

70.000

70.000

 

 

Proposed Dividend

55.000

140.000

150.000

 

 

Tax on Proposed Dividend

9.300

22.700

24.300

 

BALANCE CARRIED TO THE B/S

1929.200

1794.200

1450.600

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

916.000

281.300

163.400

 

TOTAL EARNINGS

916.000

281.300

163.400

 

 

 

 

 

 

Earnings Per Share (Rs.)

22.93

57.63

58.92

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

5.25

12.28

13.99

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

8.03

18.38

21.09

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

8.78

23.49

26.51

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.14

0.36

0.46

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.13

0.08

0.15

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.08

2.28

1.61

 

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITIES OF LONG-TERM DEBT

(Rs. In Millions)

Particular

31.03.2013

31.03.2012

31.03.2011

Current maturities of long-term debt

0.101

0.188

0.405

 

 

 

 

Total

0.101

0.188

0.405

 

 

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

Yes

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

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

 

 

UNSECURED LOAN

(Rs. In Millions)

Particular

As on

31.03.2013

As on

31.03.2012

LONG-TERM BORROWINGS

 

 

Rupee term loans from others

0.000

0.101

 

 

 

Total

0.000

0.101

 

 

FINANCIAL HIGHLIGHTS

 

The income from services rendered during the period amounted to Rs.4298.200 Millions (previous year - Rs. 4548.900 Millions). There was a decrease of 5.51% in the income from services over the previous year.

 

The profit before tax was Rs. 345.200 Millions (previous year Rs. 836.000 Millions) constituting 8.03% of the income from services (previous year-18.37%). The profit after tax was at Rs. 229.300 Millions as compared to Rs. 576.300 Millions in the previous year.

 

The Company had to manage a severe slowdown in power, mining and other infrastructure sectors from the beginning of the year owing to fuel linkage, land availability and environmental issues related to the projects. The proactive steps taken by the Company in the international markets led to almost 200% growth in business acquisition which partly mitigated the adverse environment in the domestic market. Besides slowdown, an extremely competitive environment prevailed in the domestic market thereby putting pressure on our margins. The Company Management took various sales improvement measures overseas that helped a 200% increase in International business acquisition. Also various cost cutting measures were taken to mitigate the effects of pressure on margins.

 

During the year ended 31st March, 2013, the Company booked new orders aggregating to Rs. 5750.000 Millions (Previous year Rs. 7230.000 Millions) of which the international orders booked were of Rs. 2280.000 Millions (previous year Rs. 750.000 Millions).

 

 

FUTURE OUTLOOK

 

The current year has started with the order book with a more predictable progress on jobs than last year where the projects were under various uncertainties. The additional thrust given to domestic and international business acquisition are expected to result in improvement in operations in the current year.

 

The year 2012-13 ended with various challenges to the economy and industry. The carry forward orders for execution in the ensuing years as at the end of the financial year stood at a healthy Rs. 7000.000 Millions. With the inherent strengths and diversity of the company’s operations it is expected that the company will be able to weather the challenges in the industry and consolidate its position.

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10316102

01/11/2011

250,000,000.00

YES BANK LIMITED

9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA, DR. ANNIE BESANT ROAD, WORLI, MUMBAI, MAHARASHTRA - 400018, INDIA

B24721482

2

10232860

24/06/2010

200,000,000.00

HDFC BANK LIMITED

HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA

A91079798

3

80019146

21/12/2011 *

400,000,000.00

STATE BANK OF INDIA

COMMERCIAL BRANCH (ADVANCES), N.G.N. VAIDYA MARG , P.BOX NO.10141, MUMBAI, MAHARASHTRA - 400023, INDIA

B29479037

4

90236288

18/11/2010 *

100,000,000.00

ICICI BANK LIMITED

LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA

B00357715

5

80031776

25/05/2012 *

1,260,000,000.00

BANK OF BARODA

OPERA HOUSE BRANCH, MODI CHAMBERS, PANDIT PALUSK, AR CHOWK, MUMBAI, MAHARASHTRA - 400004, INDIA

B41465600

 

* Date of charge modification

 

 

FIXED ASSETS

 

Tangible Assets

·         Land

·         Buildings

·         Plant and Equipment

·         Furniture and Fixtures

·         Vehicles

·         Office Equipment

·         Computer Equipments

·         Leasehold Improvements

 

Intangible Assets

·         Computer Software

 


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.63.02

UK Pound

1

Rs.102.04

Euro

1

Rs.84.92

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

VRN

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

7

FINANCIAL CONDITION

 

0

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

8

--LEVERAGE

1~10

7

--RESERVES

1~10

7

--CREDIT LINES

1~10

7

--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

 

62

 

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.