MIRA INFORM REPORT

 

 

Report Date :

05.02.2014

 

IDENTIFICATION DETAILS

 

Name :

AKOLA CHEMICALS (INDIA) LIMITED

 

 

Registered Office :

802/803, The Corporate Centre, Nirmal Life Style, LBS Marg, Mulund (West), Mumbai-400080, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

03.02.1981

 

 

Com. Reg. No.:

11-023801

 

 

Capital Investment / Paid-up Capital :

Rs. 5.800 Millions

 

 

CIN No.:

[Company Identification No.]

U24100MH1981PLC023801

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMA20605E

 

 

PAN No.:

[Permanent Account No.]

AABCA1110H

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of Agricultural Chemicals, Insecticides and Pesticides. 

 

 

No. of Employees :

55 (Approximately)

 

 

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 150000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Exist

 

 

Comments :

Subject is an established company having a satisfactory track record.

 

Profitability of the company seems to be fair.

 

Trade relation are fair. Business is active. Payment are reported to be usually correct.

 

The company can be considered for business dealings at usual trade terms and condition.

 

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

 

The services sector, the largest contributor to India’s GDP, contracted for the sixth consecutive month in December, as orders dipped. However, hiring has risen.  Direct tax collections rose 12.3 % during the April – December period of the current financial year.  The government has decided to retain 100 per cent foreign direct investment in both greenfield (new) and brown field (existing) pharmaceutical companies, despite concerns over genetic drugs going out of production, if multi-national companies take over domestic ones. In M&A deals, a non compete clause would not be allowed, except in special circumstances. The Department of Industrial Policy and Promotion plans to release the next edition of its consolidated foreign direct investment policy document on March 31, incorporating changes made in the past year. DIPP compiles all policies related to India’s FDI regime into a single document to make it easy for investors to understand. 185 million estimated number of mobile internet users in India by June 2014, according to a report by the Internet & Mobile Association of India and IMRB International.  India had 110 million mobile internet users with 25 million in rural areas. $3.77 tn estimated global IT spending in 2014, according to research firm Gartner Inc. The growth forecast for this year is cut to 3.1 %from the earlier estimate of 3.5 %. The spending growth forecast for telecom services – a segment that accounts for more than 40 % at total IT spending – from 1.9 per cent to 1.2 per cent is the main reason for this overall IT cut. A Reserve Bank of India committee has recommended setting up a special category of lenders who would cater to small businesses and households, to expand the number of customers with access to banking services. These banks would focus onproviding payment services and deposit products.  Indian banks want the free use of automated teller machines to be capped at five transactions in a month including that of the bank in which the account is active. This follows state government order to banks to install security guards at ATM booths after a woman banker was assaulted in Bangalore. The government is likely to present a vote on Account in mid-February. The annual Economic Survey will be tabled later in Parliament along with the full Budget. A full Budget for 2014/15 is likely to be present in July by the new government formed after the General Election. The government will soon launch an internet spy system, called Netra, to detect malafide messages. Security agency will deploy the system to capture dubious voice traffic on applications such as Skype and Google Talk, as well as tweeters.

 

 

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 PARTED BY

 

Name :

Mr. Shailesh

Designation :

Sales Manager

Contact No.:

91-9769193622

Date :

29.01.2014

 

 

LOCATIONS

 

Registered Office :

802/803, The Corporate Centre, Nirmal Life Style, LBS Marg, Mulund (West), Mumbai-400080, Maharashtra, India

Tel. No.:

91-22-25924782

Mobile No.:

91-9769193622 (Mr. Shailesh)

Fax No.:

91-22-25924781

E-Mail :

akolachem@gmail.com

akola.protein@gmail.com

akolachemicalsltd@gmail.com

akolachem@vsnl.net

akolachem@vsnl.com

Website :

www.akolachem.com

Location :

Owned

 

 

Factory  :

A-15/18, Old MIDC Area, Seoni, Akola-444104, Maharashtra, India

Tel No.:

91-724-2258160

Location :

Owned

 

 

DIRECTORS

 

As On 30.09.2013

 

Name :

Mr. Vijay Dilbagh Rai

Designation :

Director

Address :

68, Dolphin, Pilot Bunder Road, Colaba, Mumbai-400005, Maharashtra, India

Date of Appointment :

23.03.2005

Din No:

00075837

 

 

Name :

Mr. Rajesh Kumar Agarwal

Designation :

Director

Address :

Agarwal House, Madnani Lane, Club Road, Mithanpura, Ramna, Muzaffarpur-842001, Bihar, India

Date of Appointment :

14.03.2005

Din No:

00210719

 

Name :

Mr. Atul Churiwal

Designation :

Director

Address :

4, National Library Avenue, Alipore, Kolkata-700027, West Bengal, India

Date of Appointment :

14.03.2005

Din No:

00180595

 

Name :

Ms. Priyanka Vijay Rai

Designation :

Director

Address :

Flat No. 40, Shirin Building, Daulat Shiran CHS, Limited, 31, Colaba Road, Mumbai-400005, Maharashtra, India

Date of Appointment :

29.03.2006

Din No:

02673947

 

Name :

Mr. Karan Vijay Rai

Designation :

Director

Address :

Flat No. 40, Shirin Building, Daulat Shiran CHS, Limited, 31, Colaba Road, Mumbai-400005, Maharashtra, India

Date of Birth/Age :

10.10.1981

Date of Appointment :

15.03.2011

Din No:

03438712

 

 

 

Name :

Mr. Abdulrahim Abdulla Alkhaja

Designation :

Additional Director

Address :

C/O Alkhaja Pimex, Post Office Box 11179, Dubai, UAE – 11179, United Arab Emirates

Date of Appointment :

30.09.2013

Din No:

03288867

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U51909MH2011PTC221827

PIMEX INDIA PRIVATE LIMITED

Managing director

01/10/2011

10/09/2011

-

Active

NO

2

U24100MH1981PLC023801

AKOLA CHEMICALS (INDIA) LIMITED

Director

30/09/2013

03/04/2013

-

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Shailesh

Designation :

Sales Manager

 

 

MAJOR SHAREHOLDERS

 

As On 30.09.2013

 

Names of Shareholders

No. of Shares

A.S.N. Vadoliwala and Mrs. Roshan Vadoliwala

3500

Hanuwant Rai Verma

666

Ranjit Kumar Chowdhury

2767

Rajendra G. Rathi

160

Anu P. Mahajan

6600

Parvez K. Dubash

4000

Rekha S. Agarwal

6424

Parul

1107

Gagan

2767

Nasiruddin K. Gangani

3000

Akhtar K. Gangani

4000

Priyanka Rai

37840

Pashupatendva Singh

1000

Kamla Devendra Jain

1000

Nayak Chand

830

Ritu Sharma

830

Pradhakar B. Vichare

500

 

As On 30.09.2013

 

Equity Share Breakup

Percentage of Holding

Category

 

Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]

2.90

Bodies corporate (not Mentioned above)

38.19

Directors or relatives of directors

36.35

Other top fifty shareholders

22.56

 

 

TOTAL

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Agricultural Chemicals, Insecticides and Pesticides. 

 

 

Exports :

 

Products :

Protein Hydrolysate

Countries :

Middle East

 

 

Terms :

 

Selling :

Cash and Credit (30 Days)

 

 

Purchasing :

Cash and Credit (30 Days)

 

 

GENERAL INFORMATION

 

No. of Employees :

55 (Approximately)

 

 

Bankers :

  • State Bank of India, Diamond Garden Branch, Bahri Residency, Sion Trombay Road, Chembur (East) , Chembur, Mumbai - 400071, Maharashtra, India
  • Vijaya Bank , Excelsior Branch, D.S. Marg, Mumbai – 400001, Maharashtra, India
  • Deutsche Bank, Hazarimal Somani Marg, Fort, Mumbai – 400001, Maharashtra, India

 

 

Facilities :

SECURED LOANS

31.03.2013

(Rs. in Millions)

31.03.2012

(Rs. in Millions)

LONG TERM BORROWINGS

 

 

Term Loans From Bank

(Secured by hypothecation of car)

0.276

0.522

Term Loans From Bank

(For Plant and Machinery)

6.609

2.367

Deferred Payment Liabilities

(Deferred Payment of Sales Tax)

4.556

4.556

 

 

 

SHORT TERM BORROWINGS

 

 

Loans Repayable on Demand

From Bank

15.272

10.640

 

 

 

Total

26.713

18.085

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

K.J. Sheth and Associates

Chartered Accountants

Address :

2nd Floor, Seksaria Chambers, 139, N.M. Road, Fort, Mumbai-400023, Maharashtra, India

Tel. No.:

91-22-22671618

E-Mail :

kiri.sheth@rediffmail.com

Pan No.:

AAKPS1414Q

 

 

CAPITAL STRUCTURE

 

As on 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1000000

Equity Shares

Rs.10/- each

Rs.10.000 Millions

 

 

 

 

 

Issued and Subscribed Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

700000

Equity Shares

Rs.10/- each

Rs. 7.000 Millions

 

 

 

 

 

Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

700000

Equity Shares

Rs.10/- each

Rs.7.000 Millions

 

Less : Calls in arrears

 

Rs. (1.200) Millions

 

Total

 

Rs.5.800   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

5.800

5.800

5.000

(b) Reserves & Surplus

28.406

25.983

19.212

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

1.200

0.000

0.000

Total Shareholders’ Funds (1) + (2)

35.406

31.783

24.212

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

11.978

8.282

9.331

(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)

11.978

8.282

9.331

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

15.272

10.640

14.181

(b) Trade payables

11.607

17.609

22.325

(c) Other current liabilities

0.545

0.574

2.169

(d) Short-term provisions

1.899

1.890

2.332

Total Current Liabilities (4)

29.323

30.713

41.007

 

 

 

 

TOTAL

76.707

70.778

74.550

 

 

 

 

I.         ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

24.353

15.418

16.338

(ii) Intangible Assets

0.750

0.750

0.750

(iii) Capital work-in-progress

0.000

4.989

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.164

0.164

0.164

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

0.406

0.406

0.171

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

25.673

21.727

17.423

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

26.169

20.728

22.584

(c) Trade receivables

19.151

24.475

27.032

(d) Cash and cash equivalents

1.028

1.501

2.004

(e) Short-term loans and advances

4.686

2.347

5.507

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

51.034

49.051

57.127

 

 

 

 

TOTAL

76.707

70.778

74.550

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

66.299

59.565

71.017

 

 

Other Income

0.029

0.016

0.008

 

 

TOTAL                                     (A)

66.328

59.581

71.025

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of material consumed

31.247

20.761

29.803

 

 

Changes in inventories of finished goods, work-in-progress and stock in trade

(3.993)

3.788

4.839

 

 

Employee benefit expense

13.981

10.461

11.048

 

 

Other expenses

16.971

16.127

18.039

 

 

TOTAL                                     (B)

58.206

51.137

63.729

 

 

 

 

 

 

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

8.122

8.444

7.296

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

2.650

2.095

2.922

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

5.472

6.349

4.374

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

2.949

2.096

2.407

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

2.523

4.253

1.967

 

 

 

 

 

Less

TAX                                                                  (H)

0.000

3.182

(0.005)

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

2.523

1.071

1.972

 

 

 

 

 

 

Earnings Per Share (Rs.)

3.60

1.53

2.82

 

 

Expected Sales (2013-2014): Rs.80.000 Millions

 

The above information has been parted by – Mr. Shailesh Thoral (Sales Manager)

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

3.80
1.80

2.78

 

 

 
 

 

Net Profit Margin

(PBT/Sales)

(%)

3.80
7.14

2.77

 

 

 
 

 

Return on Total Assets

(PBT/Total Assets}

(%)

3.29
6.48

2.64

 

 

 
 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.07
0.13

0.08

 

 

 
 

 

Debt Equity Ratio

(Total Debt /Networth)

 

0.76
0.60

0.97

 

 

 
 

 

Current Ratio

(Current Asset/Current Liability)

 

1.74
1.59

1.39

 

 

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

Yes

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

Yes

15]

Capital in the business

Yes

16]

Details of sister concerns

No

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

Yes

20]

Export / Import details (if applicable)

Yes

21]

Market information

---

22]

Litigations that the firm / promoter involved in

Yes

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

No

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

No

 

UNSECURED LOANS

 

Particulars

31.03.2013

(Rs. in Millions)

31.03.2012

(Rs. In Millions)

LONG TERM BORROWING

 

 

Loans and Advance From Related Parties

0.536

0.836

 

 

 

Total

 0.536

0.836

 

LTIGATION DETALIS

 

                                                                        Case Details

                                                                        Bench:- Bombay

                                                           

                                                            Presentation Date :- 06.05.2013

 

Lodging No.:- CPL/287/2013

Filing Date:- 06.05.2013

Reg. No.:- CP/452/2013

Reg. Date: - 08.08.2013

 

 

 

 

Petitioner:- M/S. Mithun Traders Through Its Sole

Respondent:- M/S Akola Chemicals (India) Limited

Petn.Adv.:- Shri L.G. Waingankar()

Resp.Adv.:- Benny Joseph Law Offices (U/OBJ)

                     (FOF)

District:- Mumbai

 

Bench :- Single

 

Status:- Pre-Admission

Category:- Company Petition U/SEC 433,434,439

                    Companies Act

Next Date:- 05.02.2014

Stage:-    Company Petition for Admission

Coram:- Hon’ble Shri Justice G.S. Patel

 

Last Date – 28.11.2013

Stage:-    Company Petition for Admission

Last Coram:- Hon’ble Shri Justice N.M. Jamdar

 

 

Act:- Companies Act and Rules 1956

Under Section:- 433(E) and 434 1(A) and 439 (1)(B)

 

VIEW INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10092450

28/03/2012 *

28,000,000.00

STATE BANK OF INDIA

DIAMOND GARDEN BRANCH, BAHRI RESIDENCY, SION TROM 
BAY ROAD, CHEMBUR (EAST) , CHEMBUR, MUMBAI, Mahara 
shtra - 400071, INDIA

B37733524

 

* Date of charge modification.

 

BUSINESS OPERATION AND PERFORMANCE

 

The company has now headed towards recovery. The sales have increased from 59.000 Millions to 66.000 Millions as, withdrew from pesticides retail – a losing business. Focused on n=manufacturer of protein Hydrolysate which provided more certainty in terms of margine and recovery. There was also a growth in their toll manufacturing activity, which also holds promise in the future.

 

There was another change, an investor Pimex India Private Limited subscribed to a forfeited equity shares issue. This fund allowed to expand the manufacturing capacity by installing a new spray drier. This capacity will help to grow in profitable Protein business in the coming years.

 

FIXED ASSETS:

 

  • Land
  • Buildings
  • Plant and Equipment
  • Furniture and Fixtures
  • Vehicles
  • Office Equipment
  • Computer
  • Electrical Installation
  • Goodwill

 

 

 


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 exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.68

UK Pound

1

Rs.101.97

Euro

1

Rs.84.78

 

 

INFORMATION DETAILS

 

Information Gathered by :

SLS

 

 

Report Prepared by :

SNT


 

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

4

--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

YES

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

NO

--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

 

--

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.