MIRA
INFORM REPORT
|
Report Date : |
11.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
HARSHNI TEXTILES LIMITED |
|
|
|
|
Registered
Office : |
34-A, Kamraj Road, Coimbator – 641018, Tamilnadu |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on)
: |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
08.10.2003 |
|
|
|
|
Com. Reg. No.: |
18-010786 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.250.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U17111TZ2003PLC010786 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CMBH03221B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCH4375F |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer of Cotton yarn. |
|
|
|
|
No. of Employees
: |
Not Divulged |
RATING & COMMENTS
|
MIRA’s Rating : |
B (27) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 590000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having moderate track record. The rating reflects moderate financial risk profile marked by huge
accumulated losses incurred by the company and weak liquidity position. However, trade relations are fair. Business is active. Payment terms
are slow but correct. The company can be considered for business dealing 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 – December 1, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
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
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 |
CRISIL |
|
Rating |
Long term Rating=B+ |
|
Rating Explanation |
Risk prone credit quality and high risk of
default. |
|
Date |
04.02.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short Term Rating=A4 |
|
Rating Explanation |
Minimal degree of safety and very high
credit risk. |
|
Date |
04.02.2014 |
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 DENIED BY
|
Name : |
Mr. Alwar |
|
Designation : |
Accounts Manager |
|
Contact No.: |
91-422-2565206 |
|
Date : |
05.04.2014 |
LOCATIONS
|
Registered Office : |
34-A, Kamraj Road, Coimbator – 641018, Tamilnadu, India |
|
Tel. No.: |
91-422-2565206 / 4310200 / 4310236 / 4310237 |
|
Fax No.: |
91-422-2565207 / 2567312 |
|
E-Mail : |
DIRECTORS
AS ON 08.08.2013
|
Name : |
Mr. D. Senthil Kumar |
|
Designation : |
Director |
|
Address : |
Theerth 8-12, nethaji Road, Pappanaickenpalayam, Coimbatore – 641037,
Tamilnadu, India |
|
Date of Birth/Age : |
02.12.1967 |
|
Date of Appointment : |
08.03.2004 |
|
DIN No.: |
00006172 |
|
|
|
|
Name : |
Mr. R C H Reddy |
|
Designation : |
Director |
|
Address : |
Flat No.A4/2, 45 Park Avenue, Race Course, Coimbatore – 641018,
Tamilnadu, India |
|
Date of Birth/Age : |
01.06.1935 |
|
Date of Appointment : |
08.03.2004 |
|
DIN No.: |
00006184 |
|
|
|
|
Name : |
Mr. Nethra J S Kumar |
|
Designation : |
Whole-time Director |
|
Address : |
Theerth 16/1, G K D Nagar, Pappanaickenpalayam, Coimbatore – 641037,
Tamilnadu, India |
|
Date of Birth/Age : |
22.01.1972 |
|
Date of Appointment : |
08.03.2004 |
|
DIN No.: |
00217906 |
KEY EXECUTIVES
|
Name : |
Mr. N Avinashilingam |
|
Designation : |
Secretary |
|
Address : |
104, Third Street, Tatabad, Coimbatore – 641012, Tamilnadu, India |
|
Date of Birth/Age : |
19.01.1961 |
|
Date of Appointment : |
14.07.2008 |
|
PAN No.: |
AANPA6837C |
MAJOR SHAREHOLDERS
AS ON 08.08.2013
|
Names of Shareholders |
No. of Shares |
|
Lakshmi Electrical Control Systems Limited |
9999940 |
|
Nethra J S Kumar Jointly with Lakshmi Electrical Control Systems
Limited |
10 |
|
D. Senhil Kumar Jointy with Lakshmi Electrical Control Systems Limited |
10 |
|
J. Rajyalakshmi Jointly with Lakshmi Electrical Control Systems
Limited |
10 |
|
R C H Reddy Jointly with Lakshmi Electrical Control Systems Limited |
10 |
|
V. Rajakrishnamoorthy Jointly with Lakshmi Electrical Control Systems
Limited |
10 |
|
R. Nagaraj Jointly with Lakshmi Electrical Control Systems Limited |
10 |
|
Lakshmi Electrical Drives Limited |
15000000 |
|
Total |
25000000 |
Equity Share Break up (Percentage of Total Equity)
AS ON 08.08.2013
|
Category |
Percentage |
|
Bodies corporate |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Cotton yarn. |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
·
Indian Overseas Bank, Park Square, Uppilipalayam,
1027-A, Subramanya Complex, Avanashi Road, Coimbatore – 641018, Tamilnadu,
India ·
Indian Bank, Coimbatore Main Branch, 31 Variety Hall
Road, Coimbatore – 641001, Tamilnadu, India |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S. Krishnamoorthy and Company Chartered Accountants |
|
Address : |
Kanapathy Towers, III Floor, 1391/A-1, Sathy Road, Ganapathy P O,
Coimbatore – 641006, Tamilnadu, India |
|
PAN No.: |
AALFS4188C |
|
|
|
|
Holding company
: |
Lakshmi Electrical Drives Limited |
|
|
|
|
Associates : |
·
Lakshmi Electrical Control Systems Limited ·
Lakshmi Machine Works Limited ·
Tamilnadu Jai Bharath Mill Limited ·
Starline Travels Limited ·
Super Sales India Limited ·
Lakshmi Cargo Company Limited ·
Sun Spintex India Limited |
CAPITAL STRUCTURE
AS ON 08.08.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25000000 |
Equity Shares |
Rs.10/- each |
Rs.250.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25000000 |
Equity Shares |
Rs.10/- each |
Rs.250.000 Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
250.000 |
250.000 |
250.000 |
|
(b) Reserves & Surplus |
(101.068) |
(102.498) |
56.775 |
|
(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) |
148.932 |
147.502 |
306.775 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
249.429 |
335.785 |
412.222 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
17.417 |
|
(c) Other long term liabilities |
2.720 |
2.720 |
6.720 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
252.149 |
338.505 |
436.359 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
389.389 |
479.950 |
465.610 |
|
(b) Trade payables |
34.495 |
103.528 |
288.789 |
|
(c) Other current
liabilities |
136.145 |
133.102 |
251.365 |
|
(d) Short-term provisions |
0.185 |
0.159 |
26.832 |
|
Total Current Liabilities (4) |
560.214 |
716.739 |
1032.596 |
|
|
|
|
|
|
TOTAL |
961.295 |
1202.746 |
1775.730 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
563.230 |
649.220 |
715.919 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
3.600 |
3.600 |
7.470 |
|
(c) Deferred tax assets (net) |
53.092 |
55.308 |
0.000 |
|
(d) Long-term Loan and Advances |
4.426 |
5.748 |
7.232 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
624.348 |
713.876 |
730.621 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
189.978 |
289.745 |
798.948 |
|
(c) Trade receivables |
84.513 |
119.040 |
130.192 |
|
(d) Cash and cash
equivalents |
5.210 |
11.418 |
7.397 |
|
(e) Short-term loans and
advances |
57.246 |
68.667 |
108.572 |
|
(f) Other current assets |
0.000 |
0.000 |
0.000 |
|
Total Current Assets |
336.947 |
488.870 |
1045.109 |
|
|
|
|
|
|
TOTAL |
961.295 |
1202.746 |
1775.730 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
975.949 |
789.473 |
1,058.634 |
|
|
|
Other Income |
4.551 |
6.337 |
3.643 |
|
|
|
TOTAL (A) |
980.500 |
795.810 |
1,062.277 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
488.424 |
564.632 |
519.092 |
|
|
|
Purchase of Stock-in-trade |
0.000 |
0.000 |
9.649 |
|
|
|
Changes in Inventories of finished goods, work-in-progress and
stock-in-trade |
(4.889) |
40.238 |
(61.047) |
|
|
|
Employee Benefits Expenses |
97.318 |
80.582 |
97.003 |
|
|
|
Other Expenses |
219.642 |
164.258 |
201.844 |
|
|
|
TOTAL (B) |
800.495 |
849.710 |
766.541 |
|
|
|
|
|
|
|
|
Less |
PROFIT/(LOSS)
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
180.005 |
(53.900) |
295.736 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
86.710 |
110.901 |
73.276 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)
(E) |
93.295 |
(164.801) |
222.460 |
|
|
|
|
|
|
|
|
|
Less |
DEPRECIATION/ AMORTISATION (F) |
89.649 |
67.197 |
89.194 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX (E-F) (G) |
3.646 |
(231.998) |
133.266 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
2.216 |
(72.725) |
44.603 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
AFTER TAX (G-H) (I) |
1.430 |
(159.273) |
88.663 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
31.597 |
80.653 |
83.628 |
|
|
|
|
|
|
|
|
|
|
Earnings/(Loss)
Per Share (Rs.) |
0.06 |
(6.37) |
3.55 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
0.15 |
(20.01) |
8.35 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.37 |
(29.39) |
12.59 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
0.40 |
(20.28) |
7.54 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.02 |
(1.57) |
0.43 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
4.29 |
5.53 |
2.86 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.60 |
0.68 |
1.01 |
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 |
250.000 |
250.000 |
250.000 |
|
Reserves & Surplus |
56.775 |
(102.498) |
(101.068) |
|
Net
worth |
306.775 |
147.502 |
148.932 |
|
|
|
|
|
|
long-term borrowings |
412.222 |
335.785 |
249.429 |
|
Short term borrowings |
465.610 |
479.950 |
389.389 |
|
Total
borrowings |
877.832 |
815.735 |
638.818 |
|
Debt/Equity
ratio |
2.861 |
5.530 |
4.289 |
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 |
1058.634 |
789.473 |
975.949 |
|
|
|
(25.425) |
23.620 |
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
|
1058.634 |
789.473 |
975.949 |
|
Profit |
88.663 |
(159.273) |
1.430 |
|
|
8.38% |
(20.17%) |
0.15% |
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 |
No |
|
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 |
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 |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
UNSECURED LOANS:
|
Particulars |
31.03.2013 Rs. In Millions |
31.03.2012 Rs. In Millions |
|
Short Term Borrowings |
|
|
|
Loans and
Advances from related Parties |
220.000 |
105.000 |
|
|
|
|
|
Total |
220.000 |
105.000 |
BANKERS CHARGES
REPORT AS PER REGISTRY
|
Corporate identity number of the company |
U17111TZ2003PLC010786 |
|
Name of the company |
HARSHNI TEXTILES LIMITED |
|
Address of the registered office or of the principal place of business in India of the company |
34A, Kamaraj Road, Coimbatore Tamil Nadu – 641018, India |
|
This form is for |
Modification of charge |
|
Charge identification number of the modified |
90009205 |
|
Type of charge |
·
Book debts ·
Movable property (not being pledge) ·
Floating charge ·
Others (Stock) |
|
Particular of charge holder |
INDIAN BANK |
|
Nature of description of the instrument creating or modifying the
charge |
Agreement of hypothecation of movables |
|
Date of instrument Creating the charge |
07/02/2013 |
|
Amount secured by the charge |
Rs.888.400 Millions |
|
Brief particulars of the principal terms an conditions and extent and
operation of the charge |
Rate of Interest
OCC/ WCDL 12.5%,
PC/FBP/FBN 12%, FCPC/ FCFBD LIBOR +2%, TL II/III 13.5%, TL
IV 14% & TL V 13% Terms of
Repayment Repayment of term loans as per terms of repayment fixed by the Bank. Working capital facilities repayable on demand. Margin OCC/ WCDL/ PC 25%, FBP/ LC/ GUARANTEE 10% TERM LOANS 20% Extent and
Operation of the charge WORKING CAPITAL: First charge on entire current assets of the Company
and Pari passu second charge on the entire fixed assets of the Company along
with SBI TERM LOANS: First charge on entire fixed assets of the Company
(excluding the assets financed out of the Term Loan of Rs.57.700 Millions by
SBI) and Pari passu second charge on current assets of the company along with
SBI |
|
Short particulars of the property charged |
Hypothecation of stock of goods, produce, stock stored at Sundarapuri,
Thathur Post, Anamalai, Via Pollachi 642 104 and other premises Book debts,
receivables and other claims Plant and Machinery and other movable fixed
assets |
|
Date of Modification |
02/09/2011 |
|
Particulars of the present modification |
The total limit with Indian Bank modified from Rs.1162.300 Millions to
Rs.888.400 Millions. The facilities are OCC/WCDL Rs.260.000 Millions, PC
Rs.140.000 Millions, FBP/FBN/ IBN Rs.60.000 Millions, Term loans Rs.348.400
Millions, LC Rs.60.000 Millions and Guarantee Rs.20.000 Millions. |
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.60.21 |
|
|
1 |
Rs.101.05 |
|
Euro |
1 |
Rs.83.33 |
INFORMATION DETAILS
|
Information
Gathered by : |
HTL |
|
|
|
|
Analysis Done by
: |
KRN |
|
|
|
|
Report Prepared
by : |
NKT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
|
27 |
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.