MIRA INFORM REPORT
|
Report Date : |
03.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
RELIANCE WEBSTORE LIMITED |
|
|
|
|
Formerly Known
As : |
RELIANCE WEBSTORE PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
H Block, 1st Floor, Dhirubhai Ambani Knowledge
City, Opposite Koparkhairane, Railway Station, Thane Belapur Road, Navi
Mumbai - 400710, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
04.08.2000 |
|
|
|
|
Com. Reg. No.: |
11-128101 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 0.500 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
U72900MH2000PLC128101 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMR01042G |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCR6947H |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
The Company has identified six reportable segments viz. Recharge Vouchers and Accessories , Handsets and Traded Goods, Broadband Connectivity( BBC) Common Cost Sharing, Billing Income and Marketing and Promotional Activities (Others). |
|
|
|
|
No. of Employees
: |
Information declined by management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 2000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually correct |
|
|
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|
Litigation : |
Clear |
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|
|
Comments : |
Subject is a subsidiary of “RELIANCE COMMUNICATIONS LIMITED”. It is an
established company having satisfactory track record. Profitability of the company is low. External borrowing of the company
seems to be huge. However, the rating reflects company’s position as a leading
integrated telecom service provider with a pan-India presence and favorable
growth potential for mobile telephony. Further rating also reflects strong
financial and managerial support that company receives from its parent
company. Trade relations are fair. Business is active. Payment terms are
reported to be usually correct. In view of strong holding support, the company can be considered for
business dealing 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
India’s current account deficit for the fiscal third quarter ended
September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product from
$31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in exports
and moderation in gold imports. Manufacturing activity and new orders in India
showed their strongest growth in a year in February. The news comes as a relief
after data showed Asia’s third largest economy grew by a slower-than-expected
4.7 % annually in the three months through December. The HSBC Manufacturing
Purchasing Managers’ Index which gauges the business activity of India’s
factories but not its’ utilities, rose to 52.5 in February, its highest in a
year from 51.4 in January. Overall new orders for factory goods which rose to a
one-year high of 54.9 contributed to the surge. China has emerged as India’s
biggest trading partner in the current financial year replacing the United Arab
Emirates and pushing it to the third spot. India-China trade has reached $49.5
billion with a 8.7 % share in India’s total trade. The US comes second at $46
billion with 8.1 % share during the first nine months of the current financial
year.
The Reserve Bank of India has granted an additional nine months to the
public to exchange currency notes printed before 2005 including Rs 500 and Rs
1,000 denominations, pushing the deadline to January 1, 2015. A day before
dates for the Lok Sabha polls were announced, the government decided to hike
interest rates on fixed deposit schemes offered by post offices up to 0.2 per
cent. The new rates will be effective April, 1. The Supreme Court will resume
hearing on March, 11 Nokia’s appeal against a ruling over transferring
ownership of its local mobile phones plant which is the subject of a tax
dispute to Microsoft Corp.
In the last days of the current Government, another scam has surfaced.
The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s
contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The
Central Bureau of Investigation will look into allegations that over $80
million was paid in kickbacks in a deal signed in 2011. India has asked Boeing
Co. to find a solution for problems with state-owned Air India’s 787
Dreamliners. The aircraft has experienced a series of malfunctions since its
debut in 2011.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long tern Bank Facilities = A- |
|
Rating Explanation |
Adequate degree of safety and low credit risk |
|
Date |
17.01.2014 |
|
Rating Agency Name |
CARE |
|
Rating |
Commercial Papar = A2+ |
|
Rating Explanation |
Strong degree of safety and low credit risk. |
|
Date |
17.01.2014 |
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 DECLINED
MANAGEMENT NON-COOPERATIVE (Tel. No.: 91-22-30386286)
LOCATIONS
|
Registered Office : |
H Block, 1st Floor, Dhirubhai Ambani Knowledge City, Opposite Koparkhairane, Railway Station, Thane Belapur Road, Navi Mumbai - 400710, Maharashtra, India |
|
Tel. No.: |
91-22-30386286 |
|
Fax No.: |
91-22-30376622 |
|
E-Mail : |
DIRECTORS
As on 25.09.2012
|
Name : |
Mr. Hiteshbhai Lalitbhai Marthak |
|
Designation : |
Director |
|
Address : |
E-301, Lily, Jalvayu Vihar, Phase-1, Near Shilp Chowk, Navi Mumbai -
410210, Maharashtra, India |
|
Date of Birth/Age : |
25.10.1975 |
|
Qualification : |
Bcom., ACS |
|
Date of Appointment : |
25.309.2012 |
|
DIN No.: |
01039229 |
|
|
|
|
Name : |
Mr. Gaurang Chhotalal Shah |
|
Designation : |
Additional director |
|
Address : |
Flat No 204, A Wing, 2nd Floor, Raj Vaibhav – 1 Mahavir Nagar, Kandivali (West), Mumbai – 400067, Maharashtra, India |
|
Date of Birth/Age : |
13.12.1961 |
|
Date of Appointment : |
23.10.2013 |
|
DIN No.: |
00004408 |
|
|
|
|
Name : |
Mr. Anil Kalya |
|
Designation : |
Director |
|
Address : |
C-104, Seawoods Garden, Sector-17, Plot No.4 & 6, Palm Beach Road, Sanpada, Navi Mumbai – 400705, Maharashtra, India |
|
Date of Birth/Age : |
18.03.1974 |
|
Qualification : |
Bcom,ACA,ACS |
|
Date of Appointment : |
30.09.2013 |
|
DIN No. : |
06460981 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 25.09.2012
|
Names of Shareholders |
No. of Shares |
|
Reliance
Communications Limited, India |
49994 |
|
Prakash
Shenoyjointly with Reliance Communications Limited, India |
1 |
|
Anil Shah jointly
with Reliance Communications Limited, India |
1 |
|
Gaurang Shahi
jointly with Reliance Communications Limited, India |
1 |
|
Hitesh Marthak
jointly with Reliance Communications Limited, India |
1 |
|
Hasit Shukla jointly
with Reliance Communications Limited, India
|
1 |
|
Hitesh Chawda
jointly with Reliance Communications Limited, India |
1 |
|
TOTAL
|
50000 |
As on 25.09.2012
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage of Holding |
|
Bodies corporate |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The Company has identified six reportable segments viz. Recharge Vouchers and Accessories , Handsets and Traded Goods, Broadband Connectivity( BBC) Common Cost Sharing, Billing Income and Marketing and Promotional Activities (Others). |
||||
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|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Information declined by management |
|
|
|
|
Bankers : |
Not Divulged |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Chaturvedi and Shah Chartered Accountant |
|
Address : |
714-715, Tulsiani Chambers, 212, Nariman Point, Mumbai - 400021, |
|
PAN No.: |
AAAFC0662N |
|
|
|
|
Holding company : |
Reliance Communications Limited, India CIN No.: L45309MH2004PLC147531 |
|
|
|
|
Other (Partnership
Firm) : |
Tip Top Typography |
|
|
|
|
Fellow Subsidiary
company : |
· Reliance Communications Infrastructure Limited CIN No.: U64203MH1997PLC166329 · Reliance Infratel Limited CIN No.: U72900MH2001PLC131598 · Reliance Infocomm Infrastructure Private Limited CIN No.: U45300MH1993PTC173775 · Reliance IDC Limited (formerly known as Reliance Communications Investment and Leasing Limited) CIN No.: U72900MH2001PLC131600 · Reliance Telecom Limited CIN No.: U32100MH1994PLC162841 · Reliance BPO Private Limited CIN No.: U72200MH2000PTC124290 · Reliance Big TV Limited CIN No.: U45203MH2005PLC153294 · Reliance Tech Services Private Limited |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
50000 |
Equity Shares |
Rs.10/- each |
Rs. 0.500 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
50000 |
Equity Shares |
Rs.10/- each |
Rs. 0.500 Million |
|
|
|
|
|
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 |
0.500 |
0.500 |
0.500 |
|
(b) Reserves & Surplus |
34.300 |
24.900 |
24.400 |
|
(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) |
34.800 |
25.400 |
24.900 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities
(3) |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
404.300 |
873.900 |
3320.486 |
|
(b) Trade
payables |
9705.200 |
2918.200 |
243.547 |
|
(c) Other
current liabilities |
1785.500 |
1188.500 |
1388.227 |
|
(d) Short-term
provisions |
2.500 |
0.000 |
11.513 |
|
Total Current
Liabilities (4) |
11897.500 |
4980.600 |
4963.773 |
|
|
|
|
|
|
TOTAL |
11932.300 |
5006.000 |
4988.673 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
1012.600 |
1199.900 |
1427.698 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
268.000 |
285.200 |
269.926 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
49.800 |
51.800 |
51.911 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
208.700 |
125.500 |
105.482 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
1539.100 |
1662.400 |
1855.017 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
865.500 |
946.000 |
507.896 |
|
(c) Trade
receivables |
3643.200 |
1650.800 |
1828.229 |
|
(d) Cash
and cash equivalents |
29.400 |
32.900 |
18.677 |
|
(e)
Short-term loans and advances |
5602.300 |
472.500 |
523.502 |
|
(f) Other current
assets |
252.800 |
241.400 |
255.352 |
|
Total
Current Assets |
10393.200 |
3343.600 |
3133.656 |
|
|
|
|
|
|
TOTAL |
11932.300 |
5006.000 |
4988.673 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
9734.800 |
2783.400 |
4689.196 |
|
|
|
Other Income |
16.800 |
8.000 |
14.230 |
|
|
|
TOTAL (A) |
9751.600 |
2791.400 |
4703.426 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
3557.600 |
1121.500 |
2736.597 |
|
|
|
Employee benefit expense |
169.100 |
14.100 |
145.090 |
|
|
|
Other expenses |
5747.600 |
1387.200 |
1426.630 |
|
|
|
TOTAL (B) |
9474.300 |
2522.800 |
4308.317 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (A-B) (C) |
277.300 |
268.600 |
395.109 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
78.100 |
40.200 |
52.771 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
199.200 |
228.400 |
342.338 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
187.300 |
227.800 |
340.347 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F)
(G) |
11.900 |
0.600 |
1.991 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
2.500 |
0.100 |
(14.198) |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H) (I) |
9.400 |
0.500 |
16.189 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
24.900 |
24.400 |
8.211 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
34.300 |
24.900 |
24.400 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Stores and Spares |
2080.100 |
0.000 |
NA |
|
|
TOTAL IMPORTS |
2080.100 |
0.000 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
188.59 |
9.44 |
323.78 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
0.10
|
0.02 |
0.34 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.12
|
0.02 |
0.04 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
0.10
|
0.01 |
0.04 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.34
|
0.02 |
0.08 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
11.62
|
34.41 |
133.35 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.87
|
0.67 |
0.63 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
0.500 |
0.500 |
0.500 |
|
Reserves & Surplus |
24.400 |
24.900 |
34.300 |
|
Net
worth |
24.900 |
25.400 |
34.800 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
3320.486 |
873.900 |
404.300 |
|
Total
borrowings |
3320.486 |
873.900 |
404.300 |
|
Debt/Equity
ratio |
133.353 |
34.406 |
11.618 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
4689.196 |
2783.400 |
9734.800 |
|
|
|
(40.642) |
249.745 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
4689.196 |
2783.400 |
9734.800 |
|
Profit |
16.189 |
0.500 |
9.400 |
|
|
0.35% |
0.02% |
0.10% |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES OF
LONG TERM DEBTS : NOT AVAILABLE
|
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 |
No |
|
24] |
Banking facility details |
No |
|
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 |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
UNSECURED LOANS
|
PARTICULAR |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
SHORT TERM
BORROWINGS |
|
|
|
Loan from Holding company |
295.300 |
873.900 |
|
Buyer's Credit |
109.000 |
0.000 |
|
Total |
404.300 |
873.900 |
|
Note: Foreign Currency Loans from Banks (Buyer's Credit) |
||
OPERATIONS
The Company owns world class nationwide chain of retail stores comprising of more than 1,000 Reliance World and Reliance Mobile stores known as Reliance World and Reliance Mobile stores for GSM, CDMA and 3G voice and data products and services. They also offer a wide array of handsets and data devices and are a one stop shop for all customer sales and service needs. The retail network provides new postpaid and prepaid activations, prepaid recharges, postpaid bill payments, handles customers queries and requests. The Company has nearly 100 video conferencing rooms across India with Reliance World stores, they are one of the world’s largest network of video conferencing enabled telecom retail chain.
The Company has entered into various contracts in the areas of retail business, while benefits from such contracts will accrue in the future years; the Board of Directors shall periodically review their progress.
CONTINGENT
LIABILITIES:
|
PARTICULARS |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
i) Estimated amount of contracts remaining to be executed on capital accounts and not provided for |
4.500 |
0.200 |
|
ii) Disputed Liabilities in Appeal |
|
|
|
Entry Tax |
1.100 |
0.900 |
|
Sales Tax & Value Added Tax |
25.300 |
31.300 |
|
Service Tax |
5.200 |
0.000 |
The Company has deposited Rs. 0.200 Million (Previous Year Rs. 0.200 Million) under protest with the Sales Tax Authority and Rs. 0.200 Million (Previous Year Rs. 0.200 Million) with Entry Tax Authority against the demands so raised.
iii) Corporate Gurantee given by Reliance Communications Limited, Holding Company on behalf of the Company is Rs. 2905.600 Millions (Previous Year NIL)
INDEX OF CHARGES : NO
CHARGES EXIST FOR COMPANY
FIXED ASSETS
· Leasehold Improvement
· Plant and Machinery
· Furniture and Fixtures
·
Vehicles
AS PER WEBSITE
PRESS RELEASE
RELIANCE WEBSTORE
SIGNS STRATEGIC DISTRIBUTION AGREEMENT WITH COOLPAD COMMUNICATIONS
- Coolpad Communications is the Indian Joint Venture of Hong-Kong-listed China Wireless Technologies Limited
- Agreement marks Coolpad formal entry into the Indian high-end Smartphone market
- India is Coolpad's overseas first destination, part of global expansion strategy
- Coolpad smartphones to be retailed in 2300 Reliance World and Reliance Mobile Stores across 700 cities in India
MUMBAI, October 8, 2009 :Reliance Webstore Limited, the retail venture of Reliance Group, has signed an strategic and exclusive distribution agreement with Coolpad Communication Private Limited. Coolpad Communications is the Indian Joint Venture of the Hong-Kong listed China Wireless Technologies Limited. This agreement marks Coolpad formal foray into the Indian handset market. It also marks diversification of Reliance Webstore Ltd into open market handset retailing business through its exclusive Reliance World and Reliance Mobile stores.
Coolpad's agreement with Reliance Webstore will allow it immediate market access across 700 cities in India where Reliance has its retail presence through its exclusive stores. Reliance Webstore Limited will be the exclusive distributor of Coolpad's range of handsets in India. Coolpad is one of the world's largest dual-mode handset brands. Coolpad dual-mode's unique advantage lies in the fact that it can have two SIM cards (typically CDMA+GSM) in the same handset. The company is planning to roll-out five models of Coolpad dual-mode handsets in India by December 2009.
Commenting on the agreement, Mr Sarup Chowdhary, Director & CEO, Reliance Webstore Limited said, "Our agreement with Coolpad Communications follows the successful test marketing of the brand across several cities in India. The dual-mode smartphones will leverage Reliance's nationwide presence in both CDMA & GSM services. The agreement with Coolpad is strategic to our larger participation in the Indian telecom retail sector."
Commenting on its partnership with Reliance Group company, Mr Guo Deying, Chairman & CEO, China Wireless Technologies Limited said: "The partnership with Reliance Group marks the commencement of our global journey. We selected India as our first global destination in acknowledgment of the fact that it offers immense potential to create significant milestones in our global expansion plans. Reliance Group's success in the world's fastest growing Indian telecom sector offered a right fit for us to partner with its retail company-Reliance Webstore Limited.
China Wireless' India Joint Venture Head and Coolpad's Managing Director, Mr Sami Al-Lawati said, "Coolpad's entry into India is timed to tap India's 3G market potential as we plan to introduce 3G-enabled dual-mode smartphones in the market soon. Our partnership with Reliance Webstore Limited will help us access end-consumers in over 700 Indian cities, enabling Coolpad to drive product development in line with specific customer needs."
Coolpad's India foray is the company's first overseas venture. This is in line with China Wireless' strategy to penetrate overseas markets and take a leadership stance in the global dual-mode market segment. As part of its global outlook, the company is further expanding in the global telecommunications markets by establishing strong and strategic relationships with global telecommunications operators.
Coolpad and Reliance Webstore will roll out smartphones in the sub-8000 price-range. Besides being a high value proposition, this disruptive pricing strategy will enable Coolpad to get an instant foothold in the high-growth smartphone market as well as enable the company to escalate mass adoption of smartphones in India.
India, with its growing smartphone user base, offers Coolpad the perfect opportunity to pursue its global ambitions. Currently, 4% of the mobile phones sold in India are smartphones. The Indian smartphone market is expected to cross 20 million handsets by 2010, with nearly 50% of the volumes being contributed by business users. Moreover, India currently enjoys the unique position of being the highest growth potential economy in the global smartphone market.
As its long term outlook in India, Coolpad will focus on capitalizing on its R&D strength and expanding its high-end dual-mode smartphone market share through delivery of additional high quality and feature-rich smartphones.
About Reliance
Webstore Limited :
Reliance Webstore Limited, a Reliance Group company and a wholly owned retail subsidiary of Reliance Communications operates the nationwide chain of Reliance World retail stores. The stores are designed to give the customer a delightful experience of the digital world of information, communication, entertainment and utility services.
Currently, there are 232 Reliance World outlets across 104 cities in India and the network continues to expand to more locations and cities.
Besides offering the products and services of Reliance Communications, Reliance World showcases all retail offerings of the Group's brands, including Reliance Big TV DTH, Big Flix Video Rentals and Reliance Money financial services. The stores also offer a wide range of interesting and innovative products & services, beyond the Group's brands.
All Reliance World outlets are connected to Reliance's countrywide optic fibre network. The Broadband Centre at Reliance World leverages this broadband network to offer High-Speed Internet Surfing, Online Gaming, Video Conferencing, Digital Electronic News Gathering, Digital Services, eLearning, Ready-to-use Offices and many more services.
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.59.65 |
|
|
1 |
Rs.99.21 |
|
Euro |
1 |
Rs.82.39 |
INFORMATION DETAILS
|
Information
Gathered by : |
PLK |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
45 |
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.