MIRA INFORM REPORT
|
Report Date : |
04.08.2014 |
IDENTIFICATION DETAILS
|
Name : |
SHILCHAR TECHNOLOGIES LIMITED |
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Formerly Known
As : |
SHILCHAR
ELECTRONICS LIMITED |
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Registered
Office : |
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Country : |
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Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
13.01.1986 |
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Com. Reg. No.: |
04-008387 |
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Capital
Investment / Paid-up Capital : |
Rs.38.134 Millions |
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CIN No.: [Company
Identification No.] |
L29308GJ1986PLC008387 |
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TAN No.: [Tax Deduction
& Collection Account No.] |
BRDS03117C |
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PAN No.: [Permanent
Account No.] |
AADCS3108B |
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Legal Form : |
A Public Limited Liability Company.
The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business
: |
Manufacturing of “Distribution and Power Transformers” as
well as “Electronics and Telecommunication Transformers”. |
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No. of Employees
: |
Information denied by management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (50) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
|
Status : |
Satisfactory |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear (Gujarat case site not working) |
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Comments : |
Subject is an established company having satisfactory track. Financial position of the company seems to be decent. Trade relations are fair. Business is active. Payment terms are slow
but correct. The company can be considered normal for business dealings at usual;
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
N E W S
As per the latest IMF study, the total weigh of emerging markets in the
GDP of the world on a purchasing power parity basis has seen a sizeable shift.
It highlights how as against 51 % in 2005, the emerging economies now account
for close to 56 % of the global purchasing power GDP as per the latest survey.
And with the emerging economies growing at a faster rate than their developed
counterparts, there are every possibility that the their share goes up further
in the coming years. China may surpass the US over the next few years.
Politics and economics are very intricately connected. They tend to
influence each other in ways that could be very complex and far-reaching. The
prospects of the India’s economy have been seriously compromised due to
political corruption. High inflation, poor standard of living are to a great
extent a result of rampant corruption in the country. China on the other hand,
seems to be facing diametrically opposite challenge. American hedge fund manager
Jim Chanos has been keenly following the political and economic development in
the dragon economy and has figured out something that is quite worrying. He is
of the view that the Chinese economy could be heading toward trouble on account
of new Chinese President Xi Jingping’s very aggressive anti-corruption drive.
Chanos believes tat many things such as apartment sales, luxury products, etc.
were largely bought with dirty money. And it is now beginning to impact
consumption. This may indeed be bad news for an economy that is struggling to
transition from an investment-driven export-oriented economy to a domestic
consumption-driven economy.
A study published by Firstpost has revealed that asset classes like real
estate and equities were the biggest beneficiaries of the liberalization
policies. A firm called Ciane Analytics studied returns from assets
including equities, gold, fixed deposits, G-Secs and real estate since 1991.
Real estate outperformed every other asset classes during the 23-year period
with an annualized return of 20 % ! Equities came in second with annualized
return of 15.5 % ! However, while these returns may seem mouthwatering, the
fact is that the return from equities adjusted for inflation came down to just
7.1 %.
Some brief news are as under
. R-Power to buy Jaypee’s hydro assets
. Investors await justice in NSEL case
. India seeks MFN status from Pakistan ahead of meeting
. Ukrain’s clashes with rebels hinder MH17 crash investigation
. India exploring merger of state-owned hydro PSUs
..Higher costs weigh down profit growth to slowest in 9 quarters
..Wal-Mart to expand wholesale business in India
. GMR group moves to strengthen balance sheet
. Central Bank to sell 4 % stake to Life Insurance Corporation
. Tata Chemicals plans to raise up to Rs 10000 mn.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long Term bank Facilities = BB+ |
|
Rating Explanation |
Have moderate risk of default |
|
Date |
06.12.2013 |
|
Rating Agency Name |
CARE |
|
Rating |
Short Term bank Facilities = A4+ |
|
Rating Explanation |
Have minimal degree of safety and carry very
high credit risk |
|
Date |
06.12.2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2014.
INFORMATION DENIED BY
|
Name : |
Mr. P Purohit |
|
Designation : |
Account Manager |
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Contact No.: |
91-265-2680466 |
|
Date : |
01.08.2014 |
LOCATIONS
|
Registered Office / Factory: |
Bil Road, Bil District, Baroda, Vadodara – 391410, Gujarat, India |
|
Tel. No.: |
91-265-2680466 / 566 |
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Fax No.: |
91-265-2680611 |
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E-Mail : |
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Website : |
DIRECTORS
As on 31.03.2014
|
Name : |
Mr. Jitendra Chimanlal Shah |
|
Designation : |
Chairman |
|
Address : |
8, Amrakunj Society, Race Course, Vadodara – 390 007, |
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Date of Birth/Age : |
16.09.1937 |
|
Date of Appointment : |
30.07.2003 |
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Name : |
Mr. Alay Jitendra Shah |
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Designation : |
Managing Director |
|
Address : |
“Shlok” Bunglow, Near Aakashwan Bunglow, |
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Date of Birth/Age : |
04.07.1966 |
|
Date of Appointment : |
30.07.2003 |
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Name : |
Mr. Ashesh Jitendra Shah |
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Designation : |
Joint Managing Director |
|
Address : |
3, Rokdnath Society, Race Course, Vadodara – 390 007, |
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Date of Birth/Age : |
06.06.1964 |
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Date of Appointment : |
30.07.2003 |
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Name : |
Mr. |
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Designation : |
Director |
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Address : |
M-45, Diamond District, |
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Date of Birth/Age : |
24.10.1938 |
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Date of Appointment : |
01.01.1995 |
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|
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Name : |
Mr. Mukesh Dahyabhai Patel |
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Designation : |
Director |
|
Address : |
93, Urmi Society, Race Course, Vadodara – 390 005, |
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Date of Birth/Age : |
12.12.1945 |
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Date of Appointment : |
01.01.1995 |
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|
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|
Name : |
Mr. Kiritkant P. Shah |
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Designation : |
Director |
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Address : |
801, |
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Date of Birth/Age : |
06.01.1939 |
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Date of Appointment : |
25.10.1997 |
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Name : |
Mr. Jahangir H. Parabia |
|
Designation : |
Director |
SHAREHOLDING PATTERN
As on 30.06.2014
|
Category of
Shareholder |
No. of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
2661185 |
69.79 |
|
|
2661185 |
69.79 |
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|
|
|
Total shareholding of Promoter and Promoter Group (A) |
2661185 |
69.79 |
|
(B) Public Shareholding |
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|
|
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|
|
|
|
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|
16328 |
0.43 |
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Individual shareholders holding nominal share capital up
to Rs.0.100 million |
110855 |
2.91 |
|
Individual shareholders holding nominal share capital in
excess of Rs.0.100 million |
28040 |
0.74 |
|
|
996992 |
26.14 |
|
|
563357 |
14.77 |
|
|
2836 |
0.07 |
|
|
430799 |
11.30 |
|
|
1152215 |
30.21 |
|
Total Public shareholding (B) |
1152215 |
30.21 |
|
Total (A)+(B) |
3813400 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
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|
0 |
0.00 |
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|
0 |
0.00 |
|
Total (A)+(B)+(C) |
3813400 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing of “Distribution and Power Transformers” as
well as “Electronics and Telecommunication Transformers”. |
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Products : |
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GENERAL INFORMATION
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No. of Employees : |
Information denied by management |
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Bankers : |
·
Bank of Baroda, Alkapuri Branch, Opposite Petrol Pump,
R.C. Dutt Road, Alkapuri, Vadodara – 390007, Gujarat, India · Standard Chartered Bank ·
ICICI Bank Limited |
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Facilities : |
Notes : The Bank facilities of Working Capital being Cash Credit, Export Packing Credit and other Facilities obtained from Bank of Baroda are secured by Hypothecation of Stocks, Book Debts, Extension of charge on Current Assets for Letters of Credit, Hypothecation of Plant and Machinery (both present and future) and Equitable Mortgage of entire Factory Land and Building including Corporate Office of the Company. The Bills discounting facilities obtained from ICICI Bank (P.Y ICICI Bank and Kotak Mahindra Bank) are against LC’s of customers duly confirmed by their respective bankers |
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Banking
Relations : |
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Auditors : |
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Name : |
Naresh and Company Chartered Accountants |
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Address : |
2nd Floor, City Enclave, Opp. Polo Ground, Vadodara – 390
001, |
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Associates : |
E-Cube India Solutions Limited |
CAPITAL STRUCTURE
As on 31.03.2014
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 |
|
|
|
|
|
|
3813400 |
Equity Shares |
Rs.10/- each |
Rs.38.134 Millions |
a)
Reconciliation of the number of shares
|
Equity Shares |
Number
of Shares |
Rs In Millions |
|
Balance at the beginning |
3813400 |
38.134 |
|
Addition / (Reduction) |
-- |
-- |
|
Balance at the end |
3813400 |
38.134 |
b)
The Company has a single class of equity shares
which are having par value of Rs.10 per equity share. All shares rank pari
passu with reference to all rights relating thereto. Each Shareholder is
eligible for one vote per share held. The dividend proposed by the Board of
Directors is subject to the approval of the shareholders in the ensuing Annual
General Meeting, except in case of interim dividend. In the event of
liquidation, the equity shareholders are eligible to receive the remaining
assets of the Company after distribution of all preferential amounts, in
proportions to their shareholding.
c)
Details of equity shares held by shareholders
holding more than 5% shares:
|
Name of
Shareholder |
Number
of Shares |
% holding |
|
Alay Jitendra Shah |
810270 |
21.25 |
|
Charulata Ashesh Shah |
423900 |
11.12 |
|
Shilpa Alay Shah |
391070 |
10.26 |
|
Aatman Alay Shah |
300000 |
7.87 |
|
Aashay Alay Shah |
300000 |
7.87 |
|
Alay Jitendra Shah (HUF) |
274825 |
7.21 |
|
Shah Family LLC. |
400150 |
10.49 |
|
Custom Magnetics Inc. |
30649 |
0.80 |
d)
Forfeited Shares :
Total No. of Shares Forfeited – 521900 Nos.
Amount originally paid up – Rs.5 per share
aggregating to Rs.2.610 Millions .
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
38.134 |
38.134 |
38.134 |
|
(b) Reserves & Surplus |
207.100 |
170.163 |
159.894 |
|
(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) |
245.234 |
208.297 |
198.028 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
1.356 |
0.000 |
0.467 |
|
(b) Deferred tax liabilities (Net) |
16.420 |
13.858 |
15.178 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
2.879 |
2.091 |
1.705 |
|
Total Non-current Liabilities (3) |
20.655 |
15.949 |
17.350 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
202.860 |
189.947 |
185.310 |
|
(b) Trade payables |
236.378 |
300.314 |
291.463 |
|
(c) Other current liabilities |
37.867 |
27.174 |
27.182 |
|
(d) Short-term provisions |
29.161 |
9.766 |
5.216 |
|
Total Current Liabilities (4) |
506.266 |
527.201 |
509.171 |
|
|
|
|
|
|
TOTAL |
772.155 |
751.447 |
724.549 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
178.668 |
181.508 |
190.306 |
|
(ii) Intangible Assets |
0.157 |
0.000 |
0.002 |
|
(iii) Capital
work-in-progress |
0.000 |
0.313 |
0.000 |
|
(iv) Intangible
assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
7.007 |
7.007 |
7.007 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
2.278 |
1.666 |
1.686 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
188.110 |
190.494 |
199.001 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
94.966 |
130.751 |
128.508 |
|
(c) Trade receivables |
382.184 |
347.688 |
339.841 |
|
(d) Cash and cash
equivalents |
36.680 |
45.779 |
40.266 |
|
(e) Short-term loans and
advances |
67.157 |
33.896 |
14.751 |
|
(f) Other current assets |
3.058 |
2.839 |
2.182 |
|
Total Current Assets |
584.045 |
560.953 |
525.548 |
|
|
|
|
|
|
TOTAL |
772.155 |
751.447 |
724.549 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1,004.341 |
727.429 |
829.416 |
|
|
|
Other Income |
22.717 |
15.444 |
5.574 |
|
|
|
TOTAL (A) |
1,027.058 |
742.873 |
834.990 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
757.512 |
567.305 |
654.673 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
22.026 |
4.315 |
17.722 |
|
|
|
Employees benefits expense |
25.543 |
23.85 |
25.742 |
|
|
|
Other expenses |
118.617 |
90.768 |
79.955 |
|
|
|
TOTAL (B) |
923.698 |
686.238 |
778.092 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
103.360 |
56.635 |
56.898 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
23.430 |
27.141 |
40.226 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
79.930 |
29.494 |
16.672 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
10.632 |
10.254 |
10.697 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
69.298 |
19.240 |
5.975 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
27.463 |
6.318 |
1.787 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
41.835 |
12.922 |
4.188 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
108.991 |
98.285 |
96.313 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend on Equity shares |
3.813 |
1.907 |
1.907 |
|
|
|
Corporate Dividend Tax on Above |
0.648 |
0.309 |
0.309 |
|
|
BALANCE CARRIED
TO THE B/S |
146.365 |
108.991 |
98.285 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
472.545 |
174.667 |
68.270 |
|
|
TOTAL EARNINGS |
472.545 |
174.667 |
68.270 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
11.192 |
7.822 |
20.240 |
|
|
|
Silicon Steel |
0.000 |
0.000 |
12.489 |
|
|
TOTAL IMPORTS |
11.192 |
7.822 |
32.729 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
10.97 |
3.39 |
1.10 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
4.07 |
1.65 |
0.50 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
6.90 |
2.64 |
0.72 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
9.06 |
2.59 |
0.83 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.28 |
0.09 |
0.03 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.83 |
0.91 |
0.94 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.15 |
1.06 |
1.03 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
Rs. In
Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Share Capital |
38.134 |
38.134 |
38.134 |
|
Reserves & Surplus |
159.894 |
170.163 |
207.100 |
|
Net
worth |
198.028 |
208.297 |
245.234 |
|
|
|
|
|
|
long-term borrowings |
0.467 |
0.000 |
1.356 |
|
Short term borrowings |
185.310 |
189.947 |
202.860 |
|
Total
borrowings |
185.777 |
189.947 |
204.216 |
|
Debt/Equity
ratio |
0.938 |
0.912 |
0.833 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales |
829.416 |
727.429 |
1,004.341 |
|
|
|
(12.296) |
38.067 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales
|
829.416 |
727.429 |
1,004.341 |
|
Profit |
4.188 |
12.922 |
41.835 |
|
|
0.50% |
1.78% |
4.17% |
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 |
GENERAL INFORMATION OF THE COMPANY:
The Company, incorporated in the year 1986 is a Vadodara, Gujarat, based
ISO 9001:2008 profit
making and dividend paying Public Limited Company engaged in the business of manufacturing
of “Distribution and Power Transformers” as well “Electronics and
Telecommunication Transformers.”
The Company made its public issue in the year 1995 and is listed on
Mumbai Stock Exchange and Vadodara Stock Exchange
OPERATIONAL HIGHLIGHTS:
The Company earned
operational income of Rs.1004.341 Millions compared to Rs.727.428 Millions for
the previous year, depicting a growth of 38.06%. The other income is Rs.22.717
Millions compared to Rs.15.444 Millions in the previous year.
The total revenue
for the year is Rs.1027.058 Millions against Rs.742.873 Millions in the
previous year. Profit after tax is Rs.41.835 Millions as compared to previous
year figure of Rs.12.922 Millions, witness a spur of 223.75%.
During the period,
Global economic activity showed signs of stabilization. In emerging market
economies, domestic demand remained subdued while demand from advanced
economies helped their exports. The improvement in growth and employment
prospects in the United States of America led to outward capital flows from
emerging market economies.
In 2013-14, like
most emerging market economies, India faced capital outflows and intense
exchange rate pressures coupled with persisting high inflation and increased
interest rates. On account of several measures, the current account deficit
however came into control and also recouped foreign exchange reserve.
Under the above
challenging scenario, your Company has expanded its horizon on export front and
successfully developed market for its renewable energy transformers. This has
resulted in better contribution and improved profitability.
INDUSTRY OVERVIEW
Indian economy
continued to remain sluggish during the whole year of 2013-14. The
Infrastructure sector was one of the worst affected segments of the Indian
economy and within infrastructure, power sector was the most badly affected.
The sector faced plethora of problems. Many thermal power projects were delayed
due to fuel problems. Hydropower projects were facing problems due to issues
relating to land acquisition and protests by the locals. Many projects which
were competed remained idle due to non-availability of natural gas. Prevailing
tight liquidity condition only aggravated the situation.
Transformers are
an indispensable component of an alternate current (AC) electrical system for
electricity generation, transmission or distribution. In addition, the demand
for transformers increases proportionately with the amplification of power
generation, transmission or distribution networks in the country. For power and
distribution transformer industry, situation further deteriorated as the
domestic demand remained depressed. Prevailing uncertainty in the power sector
is doing no good to the Industry. In fact, number of companies reported
negative bottom line during the year. Most of the companies were impacted by
rising costs and dwindling sales. Also finance costs of almost all the
companies have gone up sharply.
SEGMENT WISE PERFORMANCE
Power transformer forms the largest chunk of transformer market by value
and account for about 60-70% of the total transformer industry. Distribution
transformers would account for the remaining 30-40% of the total value of the
transformer industry.
The Company is engaged in manufacturing of Distribution Transformers
ranging from 5 KVA to 3000 KVA and Power Transformers ranging from 3000 KVA to
25,000 KVA. The Company also manufactures solar and windmill transformers for
renewable energy sector.
OUTLOOK
The Indian power and distribution transformer markets are highly
dependent on investments planned by the Government of India for the T&D
segment and reform programs of the Central Government. These programs, when
fully implemented as scheduled, are expected to drive the demand for both power
and distribution transformers.
It is expected that the newly led government at centre will provide an
environment conducive for growth & investments, with major reforms in
infrastructure & renewable energy sector. With the continuous support from
the government to promote the power transformer industry through investments,
tax benefits, subsidies etc. will help the industry to grow over the coming
years.
Growing Indian economy, growth in electricity consumption, growing
industrial demand, expanding export market, large scale generation capacity
addition, setting up of national grid, rapid expansion of urban and rural
distribution infrastructure will remain key drivers of the transformer market
in India.
In the present scenario, your Company will endeavor to focus on updating
its technical capabilities to develop transformers of latest technology and
design and in turn strengthen its market share and improvise its profitability.
INDEX OF CHARGE:
|
Sr. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10104509 |
29/04/2010 * |
125,000,000.00 |
Standard Chartered Bank |
Abhhijeet Ii, Ground Floor, Near Mithakali Six Road,, Ahmedabad, Gujarat - 380006, India |
A84562214 |
|
2 |
10006052 |
20/08/2011 * |
450,000,000.00 |
Bank Of Baroda - Alkapuri Branch |
Opposite Petrol Pump, R. C. Dutt Road,, Alkapuri, Vadodara, Gujarat - 390007, India |
B19571702 |
|
3 |
10006051 |
12/08/2011 * |
450,000,000.00 |
Bank Of Baroda - Alkapuri Branch |
Opposite Petrol Pump, R. C. Dutt Road,, Alkapuri, Vadodara, Gujarat - 390007, India |
B19570571 |
|
4 |
90315271 |
17/06/1994 |
22,500,000.00 |
Bank Of Baroda |
Suraj Plaza, Sayajigunj, Baroda, Gujarat, India |
- |
FIXED ASSETS:
·
Land
·
Building
·
Plant and Machinery
·
Computer
·
Vehicles
·
Furniture and Fixture
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records 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.60.85 |
|
UK Pound |
1 |
Rs.102.69 |
|
Euro |
1 |
Rs.81.46 |
INFORMATION DETAILS
|
Information
Gathered by : |
HNA |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
VNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
50 |
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.