MIRA INFORM REPORT
|
Report Date : |
21.09.2013 |
IDENTIFICATION DETAILS
|
Name : |
SIGNET INDUSTRIES LIMITED |
|
|
|
|
Registered
Office : |
308, Acme Plaza, Opposite Sangam Cinema, Andheri Kurla
Road, Andheri (East), Mumbai – 400059, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
29.01.1985 |
|
|
|
|
Com. Reg. No.: |
035202 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.291.870 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L51900MH1985PLC035202 |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchange. |
|
|
|
|
Line of Business
: |
Manufacturer of Trip and Strinkler Systems, PVC Pipes, SWR
Pipes, PVC Pipe Fittings, Plastic Furniture Etc. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (36) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 1910000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having moderate track record. Profit
margin of the company has improved as the profitability has seen increase
over previous year. Borrowings appear to be huge and are increasing over
previous year during 2013. However, trade relations are fair. Business is active. Payment terms
are reported as 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
We are living in a world
where volatility and uncertainty have become the New Normal. We saw a
change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once
powerful countries in Europe are now fighting for bankruptcy. We have
taken growth in the developing part of the world for granted but economic
growth in China and India has begun to slow. Companies that were synonymous
with their product categories just a few years ago are now no longer in
existence. Kodak, the inventor of the digital camera had to wind up its
operations, HMV, the British entertainment retailing company and Borders, once
the second largest bookstore have shut down due to their inability to evolve
their business models with the changing time. Readers’ Digest, Thomson Register
are no more !
There is another
megatrend happening. The World order is changing as economic power shifts from
West to East. According to McKinsey study, it took Britain more than 100 years
to double its economic output per person during its industrial revolution and the
US later took more than 50 years to do the same. More than a century later,
China and India have doubled their GDP per capital in 12 and 18 years
respectively. By 2020, emerging Asia will become the world’s largest consuming
block, overtaking North America.
The years after the
outbreak of the global financial crisis, the world economy continues to remain
fragile. The Indian economy demonstrated remarkable resilience in the initial
years of the contagion but finally lost ground last year. GDP growth slowed
down. Currency has been weakening. There is a marked deceleration in
agriculture, industry and services. Dampening sentiment led to a cut-back in
investment as well as private consumption expenditure. Inflation remained
at high levels fuelled by the pressure from the food and fuel sectors. The
large fiscal and current account deficit s continued to cause grave concern. It
is imperative that India regains its growth trajectory of 8-9 % sooner than
later. This is crucially important given the need to create gainful livelihood
opportunities for the millions living in poverty as also the large contingent
of young people joining the job market every year.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
BBB – [Suspended] |
|
Rating Explanation |
Moderate degree of safety and moderate credit risk. |
|
Date |
09.01.2012 |
|
Rating Agency Name |
CRISIL |
|
Rating |
A3 [Letter of Credit-Suspended] |
|
Rating Explanation |
Moderate degree of safety and higher credit risk. |
|
Date |
09.01.2012 |
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.
LOCATIONS
|
Registered Office : |
308, Acme Plaza, Opposite Sangam Cinema, Andheri Kurla
Road, Andheri (East), Mumbai – 400059, Maharashtra, India |
|
Tel. No.: |
91-22-32448061-64 |
|
Fax No.: |
91-22-56941567 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Administrative / Corporate Office : |
314/3, SDA Compound, Lasudia Mori, Dewas Naka, Indore – 452010, Madhya
Pradesh, India |
|
Tel. No.: |
91-731-4217800 |
|
Fax No.: |
91-731-4217867 |
|
E-Mail : |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Mukesh Sangla |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Saurabh Sangla |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Ankit Bhandari |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Deepak Mehta |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Murli Dhar Vashist |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mrs. Preeti Singh |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2013
|
Category of Shareholder |
Total
No. of Shares held in Dematerialized Form |
Total
Shareholding as a % of Total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
7029954 |
24.09 |
|
|
14381046 |
49.27 |
|
|
21411000 |
73.36 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
21411000 |
73.36 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
|
|
|
|
7487084 |
25.65 |
|
|
|
|
|
|
97247 |
0.83 |
|
|
32078 |
0.11 |
|
|
13491 |
0.05 |
|
|
13491 |
0.05 |
|
|
7629900 |
26.64 |
|
Total Public shareholding (B) |
7629900 |
26.64 |
|
Total (A)+(B) |
29040900 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
29040900 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Trip and Strinkler Systems, PVC Pipes, SWR
Pipes, PVC Pipe Fittings, Plastic Furniture Etc. |
PRODUCTION STATUS [AS ON 31.03.2011]
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production * |
|
Polymers and Extruded Plastic Products |
(Mts.) |
27600 |
4065.561 |
|
Wind Power |
(MW) / (KWH) |
1.4 (MW) |
3140611 (KWH) |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|||||||||||||||||||||||||||||||||||||||||||||
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|
|||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
|
|||||||||||||||||||||||||||||||||||||||||||||
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|
|||||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
NOTES:
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Ashok Khasgiwala and Company Chartered Accountants |
|
Address : |
Indore – 452 001, Madhya Pradesh, India |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
30000000 |
Equity Shares |
Rs.10/- each |
Rs.300.000 Millions |
|
5000000 |
5% Non Cumulative Redeemable Preferences Shares |
Rs.10/- each |
Rs.50.000 Millions |
|
|
TOTAL
|
|
Rs.350.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
29187000 |
Equity Shares |
Rs.10/- each
|
Rs.291.870
Millions |
|
5000000 |
5% Non Cumulative Redeemable Preferences Shares |
Rs.10/- each |
Rs.50.000
Millions |
|
|
TOTAL
|
|
Rs.341.870 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
341.870 |
291.870 |
291.870 |
|
(b) Reserves & Surplus |
135.715 |
58.475 |
36.185 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2)
Share Application money pending allotment |
0.000 |
50.000 |
35.500 |
|
Total Shareholders’ Funds (1) + (2) |
477.585 |
400.345 |
363.555 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a)
long-term borrowings |
919.099 |
952.376 |
704.045 |
|
(b) Deferred tax
liabilities (Net) |
104.519 |
83.445 |
57.827 |
|
(c)
Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d)
long-term provisions |
1.840 |
1.129 |
0.798 |
|
Total
Non-current Liabilities (3) |
1025.458 |
1036.950 |
762.670 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
1626.577 |
1419.154 |
1162.747 |
|
(b)
Trade payables |
1172.621 |
1145.556 |
635.596 |
|
(c)
Other current liabilities |
256.085 |
214.228 |
71.713 |
|
(d)
Short-term provisions |
10.703 |
17.031 |
43.570 |
|
Total
Current Liabilities (4) |
3065.986 |
2795.969 |
1913.626 |
|
|
|
|
|
|
TOTAL |
4569.029 |
4233.264 |
3039.851 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
779.244 |
754.939 |
538.053 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
0.000 |
39.362 |
54.029 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b)
Non-current Investments |
76.945 |
76.945 |
77.081 |
|
(c)
Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
81.212 |
73.557 |
90.319 |
|
(e)
Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total
Non-Current Assets |
937.401 |
944.803 |
759.482 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
729.142 |
673.723 |
540.408 |
|
(c)
Trade receivables |
2031.064 |
1846.706 |
1397.135 |
|
(d)
Cash and cash equivalents |
678.153 |
498.034 |
182.042 |
|
(e)
Short-term loans and advances |
110.018 |
204.369 |
127.127 |
|
(f)
Other current assets |
83.251 |
65.629 |
33.657 |
|
Total
Current Assets |
3631.628 |
3288.461 |
2280.369 |
|
|
|
|
|
|
TOTAL |
4569.029 |
4233.264 |
3039.851 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
5649.745 |
5124.034 |
4354.431 |
|
|
|
Other Income |
24.507 |
4.355 |
21.904 |
|
|
|
TOTAL (A) |
5674.252 |
5128.389 |
4376.335 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1520.558 |
948.484 |
513.610 |
|
|
|
Purchases of Stocks in Trade |
3234.383 |
3624.909 |
3796.813 |
|
|
|
Employee Benefits Expenses |
76.489 |
59.536 |
23.857 |
|
|
|
Other Expenses |
274.365 |
224.755 |
141.801 |
|
|
|
Changes in Inventories of Finished Goods, Work in Progress and Stock
in Trade |
22.196 |
(113.576) |
(311.544) |
|
|
|
TOTAL (B) |
5127.991 |
4744.108 |
4164.537 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
546.261 |
384.281 |
211.798 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
309.945 |
258.586 |
95.337 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
236.316 |
125.695 |
116.461 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
60.593 |
45.191 |
24.647 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
175.723 |
80.504 |
91.814 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
56.374 |
41.254 |
33.501 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
119.349 |
39.250 |
58.313 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
44.849 |
22.560 |
219.515 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
2.984 |
0.000 |
10.000 |
|
|
|
Proposed Dividend Preferences Shares |
1.199 |
0.000 |
36.484 |
|
|
|
Proposed Dividend Equity Shares |
0.000 |
14.594 |
0.000 |
|
|
|
Interim Dividend Equity Shares |
35.024 |
0.000 |
0.000 |
|
|
|
Tax on Dividend |
5.885 |
2.367 |
6.059 |
|
|
|
Utilized During the year for Issue of Bonus Share |
0.000 |
0.000 |
202.725 |
|
|
BALANCE CARRIED
TO THE B/S |
119.106 |
44.849 |
22.560 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
2.325 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
1329.186 |
900.627 |
470.513 |
|
|
|
Stores & Spares |
1.277 |
0.304 |
0.000 |
|
|
|
Capital Goods |
12.603 |
13.915 |
0.000 |
|
|
TOTAL IMPORTS |
1343.066 |
914.846 |
470.513 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
4.04 |
1.34 |
2.00 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2013 |
|
Net Sales |
|
|
1463.100 |
|
Total Expenditure |
|
|
1302.500 |
|
PBIDT (Excl OI) |
|
|
160.600 |
|
Other Income |
|
|
0.000 |
|
Operating Profit |
|
|
160.600 |
|
Interest |
|
|
85.400 |
|
PBDT |
|
|
75.200 |
|
Depreciation |
|
|
15.800 |
|
Profit Before Tax |
|
|
59.400 |
|
Tax |
|
|
16.500 |
|
Profit After Tax |
|
|
42.900 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
42.900 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
2.10
|
0.77 |
1.33 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
3.11
|
1.57 |
2.11 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.91
|
1.95 |
3.15 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.37
|
0.20 |
0.25 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
5.33
|
5.92 |
5.13 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.18
|
1.17 |
1.19 |
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 |
No |
|
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 |
No |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth 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 |
INDEX OF CHARGES:
|
S. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10429090 |
13/05/2013 |
110,000,000.00 |
EXPORT-IMPORT
BANK OF INDIA |
CENTRE ONE BUILDING,
FLOOR 21, WORLD TRADE CENTR |
B76305606 |
|
2 |
10249654 |
23/09/2010 |
650,000,000.00 |
UCO BANK |
2/5, 3/5, GIRNAR
TOWER, NEW PALASIA BRANCH, INDORE - 452003, MADHYA PRADESH, INDIA |
A97942387 |
|
3 |
10249650 |
23/09/2010 |
2,340,000,000.00 |
UCO BANK |
2/5, 3/5, GIRNAR
TOWER, NEW PALASIA BRANCH, INDORE - 452003, MADHYA PRADESH, INDIA |
A97941579 |
|
4 |
10225833 |
03/06/2010 |
400,000,000.00 |
UCO BANK |
NEW PALASIA, 2/5,
3/5, GIRNAR TOWER, INDORE - 452001, MADHYA PRADESH, INDIA |
A88279708 |
|
5 |
10225832 |
03/06/2010 |
1,155,000,000.00 |
UCO BANK |
NEW PALASIA,
2/5, 3/5, GIRNAR TOWER, INDORE - 452001, MADHYA PRADESH, INDIA |
A88279336 |
|
6 |
10194509 |
26/12/2009 |
100,000,000.00 |
UCO BANK |
NEW PALASIA,
2/5, 3/5, GIRNAR TOWER, INDORE - 452001, MADHYA PRADESH, INDIA |
A76372499 |
|
7 |
10093165 |
31/12/2009 * |
50,000,000.00 |
UCO BANK |
NEW PALASIA,
2/5, 3/5, GIRNAR TOWER, INDORE - 452001, MADHYA PRADESH, INDIA |
A76837335 |
|
8 |
10093164 |
31/12/2009 * |
1,075,000,000.00 |
UCO BANK |
NEW PALASIA,
2/5, 3/5, GIRNAR TOWER, INDORE - 452001, MADHYA PRADESH, INDIA |
A76837244 |
|
9 |
10040301 |
10/02/2007 |
40,000,000.00 |
STATE BANK OF
INDORE |
Y. N. ROAD BRANCH,
YESHWANT NIWAS ROAD, INDORE - 452003,, MADHYA PRADESH INDIA |
A11705597 |
|
10 |
10007172 |
26/04/2006 |
27,000,000.00 |
UCO BANK |
NEW PALASIA,
2/5, 3/5, GIRNAR TOWER, INDORE - 452001, MADHYA PRADESH, INDIA |
A01445931 |
|
* Date of charge modification |
||||||
|
Unsecured Loan |
As
on 31.03.2013 [Rs.
in Millions] |
As
on 31.03.2012 [Rs.
in Millions] |
|
Long Term
Borrowings |
|
|
|
Intercorporate Deposits |
469.164 |
397.914 |
|
|
|
|
|
Short Term
Borrowings |
|
|
|
Intercorporate Deposits |
1.553 |
0.000 |
|
Deposit |
4.336 |
1.177 |
|
TOTAL
|
475.053 |
399.091 |
BUSINESS REVIEW
The Company continued to maintain its upward trend by registering Sales of Rs. 5674.253 Millions as against Rs. 5123.608 Millions in the previous year. Profit before Finance Costs, Depreciation, and Tax has increased from Rs.329.536 Millions to Rs. 546.262 Millions. After providing for finance costs and Depreciation amounting to Rs. 309.945 Millions and Rs. 203.841 Millions respectively, the Profit before Tax for the year has amounted to Rs. 175.723 Millions as compared to Rs 80.504 Millions in the previous year. Net profit After Tax for the year has increased to Rs. 119.349 Millions as compared to Rs 39.250 Millions in the previous year.
MANAGEMENT DISCUSSION AND
ANALYSIS REPORT
OVERVIEW
India
is expected to record 6.1 per cent gross domestic product (GDP) growth in the
current fiscal, The growth is expected to increase further to 6.7 per cent In
2014-15, according to the World Bank’s latest
India Development Update, a bi-annual report on the Indian economy, While,
the Prime Minister s Economic Advisory Panel expects the economic growth rate
to increase to 6.4 per cent In- 2013-14 from 5 percent during 2012-13, on back
of improvement in performance of
agriculture and manufacturing sectors.
Despite
berg among the fastest growth markets globally, India’s per capita plastic
consumption (PE, PP and PVC) at 6.6 Kg remains far behind those of the US (67.3
Kg), China (36.7 Kg) and Brazil (24.6 Kg). However, it is advancing at 2.5
times its GDP growth. Besides, the subcontinents surging industrialization and
increasingly powerful economy holds immense untapped growth potential.
.
Polymer
consumption in India’s is polsed to grow multifold, with the help of new
developments in packaging applications, infrastructure growth, modernization of
agriculture sector, improved healthcare facilities, improved lifestyle and
disposable incomes, automobile demand and rural penetration .
PVC
finds application in irrigation pipes, drinking water supply, sewerage schemes,
profiles for the building industry wires and cables. Pipes and fittings
continue to account for 74% of the domestic PVC demand, India’s PVC consumption
was estimated to be 2.24 MMT in FY 2012-21013, growing by 14% over the previous
year.
Subject
successfully installed additional annual capacity of 6,000 MTS for production
of PVC pipes used in irrigation as well as infrastructure sector. Further, the
subject plans to install additional annual capacity of 10000 MTs for production
of PVC pipes by August, 2013. The like annualized impact on company’s turnover
shall be Rs.750.000 Millions
To
reduce is
dependence
upon bought out components and to increase its profitability, the subject
successfully launched various fittings and accessories in relation to micro
Irrigation and sprinkler Irrigation systems. The subject plans to significantly
reduce its dependence upon the bought cut components during the financial year
to improve its profitability and market share.
Drip
Irrigation System is an advanced method of irrigation about the usefulness of
which the farmers are convinced but the adoption of the same is slow due to
high investment cost recurring with operation and maintenance costs. It
essentially consists of main, sub-main, laterals, drippers and few other
accessories to
deliver
the required quantity of water at the root zone of the crop. The main
accessories are filter
and fertilizer tanks/venture. Filers are necessary to prevent clogging of the
drippers. Fertilizers can be applied through venture/fertilizer tanks to avoid
wastage of this costly input, Low cost drip tapes of various diameters, slit
sizes and slit spacing are now available,
Subject
has obtained allocation for supply of drip irrigation system to Irrigate 5000
hectares of land as fist installment for the year 2012-13 by Government of
Andhra Pradesh, Department of Horticulture, Andhra Pradesh Micro Irrigation
Project
The
subject will further launch piping solutions for cold water supply as per ASTM
standards.
FIXED ASSETS:
- Land
- Plant and Machinery
- Windmill
- Furniture and Fixtures
- Office Equipments
- Vehicle
- Computer
- Dyes and Moulds
- Factory Building
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.62.24 |
|
|
1 |
Rs.99.90 |
|
Euro |
1 |
Rs.84.23 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
3 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
36 |
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.