MIRA
INFORM REPORT
|
Report Date : |
11.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
LALITHA CHEM INDUSTRIES PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
G-42, ‘D’ Wing, Dewan Apartments No.2, Navghar Vasai (East), Thane –
401 210, |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
11.12.1990 |
|
|
|
|
Com. Reg. No.: |
11-059381 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.43.400
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U24100MH1990PTC059381 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUML01728G |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACL2445B |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer of CPVC Compound |
|
|
|
|
No. of Employees
: |
Information declined by the management |
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 940000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
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|
|
|
Litigation : |
Clear |
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|
|
|
Comments : |
Subject is an established company having moderate track record. The company is performing well however, the rating is downgraded because
of the deterioration in Lalitha Group’s credit risk
profile. Trade relations are reported as fair. Business is active. Payments
terms are reported to be 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.
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 = BB+ (Downgraded from BBB-) |
|
Rating Explanation |
Moderate risk of default |
|
Date |
27.01.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short Term Rating = A4+ (Downgraded from A3) |
|
Rating Explanation |
Minimal degree of safety it carry very high credit risk. |
|
Date |
27.01.2014 |
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 BY
|
Name : |
Ms. Arti |
|
Designation : |
Account Department |
|
Contact No.: |
91-250-2392428 |
|
Date : |
11.04.2014 |
LOCATIONS
|
Registered Office / Head Office : |
G-42, ‘D’ Wing, Dewan Apartments No.2, Navghar Vasai (East), Thane – 401
210, |
|
Tel. No.: |
91-250-2392429/ 2390625/ 2392428 / 2392428 / 2392414 |
|
Mobile No.: |
91-9820054643 (Mr. Subray Hosmane) |
|
Fax No.: |
91-250-2390117 |
|
E-Mail : |
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|
Website : |
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|
|
|
|
Factory : |
Plot No.32P, Nanji Industrial Estate, Kharar Pada, Silvassa, Dadra and |
DIRECTORS
As on 30.09.2013
|
Name : |
Mr. Subray Sadashiv
Hosmane |
|
Designation : |
Director |
|
Address : |
Bungalow No.1, Suvilas, Dewan
and Shah Housing, |
|
Date of Appointment : |
19.03.1993 |
|
DIN No.: |
|
|
PAN No.: |
AAAPH3969B |
|
|
|
|
Name : |
Mrs. Veena Subray Hosmane |
|
Designation : |
Director |
|
Address : |
Bungalow No.1, Suvilas, Dewan
and Shah Housing, |
|
Date of Birth/Age : |
26.07.1963 |
|
Date of Appointment : |
25.03.2009 |
|
DIN No.: |
00047190 |
|
PAN No.: |
AAAPH8435N |
|
|
|
|
Name : |
Mrs. Lalitha Sadashiv
Hosmane |
|
Designation : |
Director |
|
Address : |
Bungalow No.1, Suvilas, Dewan
and Shah Housing, |
|
Date of Birth/Age : |
21.11.1927 |
|
Date of Appointment : |
11.12.1993 |
|
DIN No.: |
00047270 |
|
PAN No.: |
AAAPH8434P |
KEY EXECUTIVES
|
Name : |
Ms. Arti |
|
Designation : |
Account Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2013
|
Names of Shareholders |
|
No. of Shares |
|
Lalitha Hosmane |
|
1890000 |
|
Veena Hosmane |
|
558200 |
|
Subray Hosmane |
|
1703200 |
|
Gajanan Bhat |
|
17200 |
|
Lalitha Hosmane Jointly Subray Hosmane |
|
60000 |
|
Ambalal Patel |
|
200 |
|
Navin A. Patel |
|
200 |
|
Geeta Sudhakar |
|
1000 |
|
Suma Subray Hosmane |
|
50000 |
|
Subra Catal Chem Private Limited |
|
60000 |
|
Total |
|
4340000 |
As on 30.09.2013
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage |
|
Bodies corporate |
1.38 |
|
Directors or relatives of Directors |
98.62 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of CPVC Compound. |
|
|
|
|
Products : |
· PVC Stabilisers · PVC Compounds · Master Batches · PVC Plasticisers · Metallic Stearates · One Pack Stabiliser for Pipes · Cables · Injection Moulding · Organo Tin Stabilisers · Mixed Metal Stabilisers · Expoxidised Oils · Organo Phosphites · Lubricants, etc. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management |
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Bankers : |
·
Syndicate Bank, Valiv Naka, Jayesh Building, Valiv, Vasai Road East –
401208, Maharashtra, India · Bank of India, Bhayandar Branch.,Bharati Apts,1st Floor, Balaram Patil Road, Bhayandar (East), Distrust Thane, Bhayandar - 401105, Maharashtra, India ·
Bassein Catholic
Co-Operative Bank Limited, Papdy Branch, Vasai (West), Thane - 401207, Maharashtra,
India |
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Facilities : |
(Rs. In Millions)
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Banking
Relations : |
--- |
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Auditors : |
|
|
Name : |
Keshav Chaubey and
Company Chartered Accountants |
|
Address : |
124/2, Ostval Ornate, |
|
PAN No.: |
AAAPC9359C |
CAPITAL STRUCTURE
As on 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
5000000 |
Equity Shares |
Rs.10/- each
|
Rs.50.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
4340000 |
Equity Shares |
Rs.10/- each |
Rs.43.400 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 |
43.400 |
38.400 |
38.400 |
|
(b) Reserves & Surplus |
192.031 |
150.178 |
116.111 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
5.000 |
0.000 |
|
Total Shareholders’
Funds (1) + (2) |
235.431 |
193.578 |
154.511 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
2.662 |
2.092 |
3.695 |
|
(b) Deferred tax liabilities (Net) |
5.510 |
9.226 |
9.226 |
|
(c) Other long term liabilities |
38.894 |
55.863 |
38.766 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
47.066 |
67.181 |
51.687 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
267.638 |
297.513 |
304.036 |
|
(b) Trade payables |
99.657 |
112.575 |
82.981 |
|
(c) Other current
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) Short-term provisions |
25.170 |
1.702 |
5.689 |
|
Total Current Liabilities (4) |
392.465 |
411.790 |
392.706 |
|
|
|
|
|
|
TOTAL |
674.962 |
672.549 |
598.904 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i)
Tangible assets |
56.581 |
43.734 |
46.979 |
|
(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 |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
0.000 |
0.000 |
0.000 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
56.581 |
43.734 |
46.979 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
22.965 |
22.965 |
22.965 |
|
(b) Inventories |
201.172 |
178.696 |
165.771 |
|
(c) Trade receivables |
323.748 |
288.865 |
312.434 |
|
(d) Cash and cash
equivalents |
7.012 |
27.528 |
2.305 |
|
(e) Short-term loans and
advances |
0.000 |
0.000 |
0.000 |
|
(f) Other current assets |
63.484 |
110.761 |
48.450 |
|
Total Current Assets |
618.381 |
628.815 |
551.925 |
|
|
|
|
|
|
TOTAL |
674.962 |
672.549 |
598.904 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1920.372 |
16583.250 |
1737.404 |
|
|
|
Other Income |
NA |
NA |
NA |
|
|
|
TOTAL |
NA |
NA |
NA |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Administrative Expenses |
NA |
NA |
NA |
|
|
|
Advertising Expenses |
|
|
|
|
|
|
TOTAL |
NA |
NA |
NA |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
49.473 |
40.090 |
40.907 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
7.539 |
5.940 |
5.735 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
41.934 |
34.150 |
35.172 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX |
41.934 |
34.150 |
35.172 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
144.640 |
110.490 |
82.641 |
|
|
|
|
|
|
|
|
|
|
Add : Income Tax adjustment of earlier
Year |
0.000 |
0.000 |
(7.323) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
186.574 |
144.640 |
110.490 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
9.66 |
8.89 |
9.16 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
Net Profit Margin (PBT/Sales) |
(%) |
2.18 |
0.21 |
2.02 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
6.21 |
5.08 |
5.87 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.18 |
0.18 |
0.23 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
1.15 |
1.55 |
1.99 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.58 |
1.53 |
1.41 |
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 |
38.400 |
38.400 |
43.400 |
|
Reserves & Surplus |
116.111 |
150.178 |
192.031 |
|
Share Application money
pending allotment |
0.000 |
5.000 |
0.000 |
|
Net
worth |
154.511 |
193.578 |
235.431 |
|
|
|
|
|
|
long-term borrowings |
3.695 |
2.092 |
2.662 |
|
Short term borrowings |
304.036 |
297.513 |
267.638 |
|
Total
borrowings |
307.731 |
299.605 |
270.300 |
|
Debt/Equity
ratio |
1.992 |
1.548 |
1.148 |
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 |
1737.404 |
16583.250 |
1920.372 |
|
|
|
854.484 |
(88.420) |
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 |
1737.404 |
16583.250 |
1920.372 |
|
Profit |
35.172 |
34.150 |
41.934 |
|
|
2.02% |
0.21% |
2.18% |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES OF
LONG-TERM DEBT
|
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 |
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 |
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 |
FINANCE:
They have achieved substantial growth in net worth during the year and they have managed their finance according to the need. The company has managed its finance so well that the recognition and registration received from CRISIL during the last year still continues.
FUTURE PROSPECTS
As the market is continuously growing, the demand for their products will remain very high. They may achieve tremendous growth in domestics as well as export sales.
They are already started manufacturing of CPVC Compound. CPVC Compound is a monopoly item worldwide, which is manufactured only in Japan and China. The application of this product is in the PVC industry to which they have been supplying regularly since the past 25 years. They are currently importing this product and marketing the end product manufactured from it locally as well as exporting to other countries since past 2-3 years. Now they intend to go backward integration and start manufacturing CPVC Resin.
They have already acquired company called ALA Chemicals Private Limited which is in similar line of manufacture at MIDC AMBERNATH. They intend to manufacture CPVC COMPOUND in this unit also. By acquiring this unit they will be leaders in this product in India. In addition to these products in India. In additions to these products they will manufacture some products like Barium Cadmium Stabilizers and Tin Stabilizers in liquid form etc. which with high margins will add handsomely to their profits along with contributing substantially to their turnover. This unit was set up in the year1964 and they can start manufacturing the above named items straight away without waiting for governmental clearances etc. they intend to start production from beginning of Coming October.
FIXED ASSETS
· Land
· Factory Building
· Plant and Machinery
· Pipe Fittings and Valves
· Storage Tank
· Fire Extinguisher
· Bore Well
· Electrical Fittings
· Furniture and Fixture
· Laboratory/Testing Equipment
· Office Equipment
· Office Premises (Siddhi)
· Office Premises (Prabhu)
· Computer Systems
· Delivery Van
· Air Conditioners
· Transformer
· Bicycle
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 : |
PDT |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
NTH |
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 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--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.