MIRA INFORM REPORT

 

 

Report Date :

05.02.2014

 

IDENTIFICATION DETAILS

 

Name :

RAJHANS METALS PRIVATE LIMITED

 

 

Registered Office :

Gala No 3, Shiley Industrial Estate, Udyog Nagar, Goregaon (West), Mumbai 400062, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

10.04.1987

 

 

Com. Reg. No.:

11-043138

 

 

Capital Investment / Paid-up Capital :

Rs.27.000 Millions

 

 

CIN No.:

[Company Identification No.]

U28910MH1987PTC043138

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMR01969C

 

 

PAN No.:

[Permanent Account No.]

AAACR5424Q

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturing of Brass and Copper Alloy Extruded Rods and Extruded Sections.

 

 

No. of Employees :

Information declined by the management.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (31)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 836000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Exist

 

 

Comments :

Subject is an established company having moderate track record. Management has seen a drastic dip in its sales volume and has incurred a loss due to which the reserves of the company has been heavily deteriorated during 2013.

 

The ratings also take into consideration the subject’s existence in the highly competitive industry and susceptibility toward volatility in raw material prices and fluctuations in foreign currency exchange rate.

 

However, trade relations are fair. Business is active. Payment terms are reported as slow but correct.

 

In view of promoter’s vast experience along with the subjects established track, 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

 

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.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CARE

Rating

BB – [Long Term Bank Facilities]

Rating Explanation

Moderate risk of default regarding payments.

Date

28.12.2013

 

 

Rating Agency Name

CARE

Rating

A4 [Short Term Bank Facilities]

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

28.12.2013

 

 

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 31-03-2012.

 

 

INFORMATION DECLINED BY

 

Name :

Mr. Bharat

Designation :

Accounts Finance Department

Contact No.:

91-288-2560111

Date :

04.02.2014

 

 

LOCATIONS

 

Registered Office :

Gala No 3, Shiley Industrial Estate, Udyog Nagar, Goregaon (West), Mumbai 400062, Maharashtra, India

Tel. No.:

91-22-28751713/ 28752280

Mobile No.:

91-9824601421 (Mr. Bhavesh)

Fax No.:

91-22-28743477

E-Mail :

sales@rajhans.com (Domestic Sales)

exports@rajhans.com (International Sales)

imports@rajhans.com (Imports/Raw material)

info@rajhans.com (Other/General)

accounts@rajhans.com

Website :

http://www.rajhans.com

Location:

Owned

 

 

Factory :

21-3, G.I.D.C., Shanker Tekri, Udyognagar, Jamnagar – 361004, Gujarat, India

Tel. No.:

91-288-2560111/ 112/ 113

Fax No.:

91-288-2560114

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mrs. Jasmin Jayendra Dodhia

Designation :

Director

Address :

“Jasmin”, Opposite Jolly Bungalow, Summair Club Road, Jamnagar-361005, Gujarat

Date of Birth/Age :

06.05.1972

Qualification :

B. Com

Date of Appointment :

01.04.1994

PAN No.:

AFHPS5523C

DIN No.:

00158746

 

 

Name :

Mr. Kailashchandra Laxminarayan Mandawewala

Designation :

Director

Address :

Flat No.402, Ashutosh Appartment, Nirban Road, Opposite Guruduttatreya Temple, Jamnagar-361008, Gujarat, India

Date of Birth/Age :

04.08.1943

Qualification :

M. Com

Date of Appointment :

01.10.1998

PAN No.:

AAAPM8385N

DIN No.:

00660684

 

 

Name :

Mr. Mohanlal Nemchand Savla

Designation :

Director

Address :

B 16, Hindmata Cutpiece Merchants Coop Housing Society , Ambedkar Road, Tata Mill Compound, Dadar (East), Mumbai-400014, Maharashtra, India

Date of Birth/Age :

31.01.1939

Qualification :

SSC

Date of Appointment :

01.10.1998

PAN No.:

AAOPS5379Q

DIN No.:

00158758

 

 

Name :

Mr. Milan Chandulal Dodhia

Designation :

Director

Address :

Milan, Opposite Jolly Bungalow, Summair Club Road, Jamnagar – 361005, India

Date of Birth/Age :

12.08.1961

Qualification :

BBA

Date of Appointment :

03.04.2007

PAN No.:

AAXPD4459M

DIN No.:

00158730

 

 

Name :

Mr. Sonilkumar Ramniklal Shah

Designation :

Director

Address :

Sonil, Summair Club Road, Jamnagar – 361005, Gujarat, India

Date of Birth/Age :

09.12.1968

Qualification :

B. Com

Date of Appointment :

01.10.2012

PAN No.:

ABOPS5301D

DIN No.:

00182987

 

 

KEY EXECUTIVES

 

Name :

Mr. Bharat

Designation :

Accounts Finance Department

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2013

 

NOTE: SHAREHOLDING DETAILS FILE ATTACHED.

 

 

AS ON 30.09.2013

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

14.51

Other top fifty shareholders

 

85.49

TOTAL

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of Brass and Copper Alloy Extruded Rods and Extruded Sections.

 

 

Products :

ITEM CODE NO.

PRODUCT DESCRIPTION

 

74072120

Brass Rods

74040012

Scrap of Copper

 

PRODUCTION STATUS [AS ON 31.03.2011]

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Brass Rods

M.T

NA

12150.000

7528.410

 

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by the management.

 

 

Bankers :

·         State Bank of India, Digvijay Plot Branch, Digvijay Police Gate Jamnagar - 361005, Gujarat, India

 

·         State Bank of Saurashtra, Digvijay Plot Branch, Jamnagar - 361005, Gujarat, India

 

 

Facilities :

Secured Loan

As on 31.03.2013

[Rs. in Millions]

As on 31.03.2012

[Rs. in Millions]

Long Term Borrowings

 

 

Term loans from banks

11.117

10.067

 

 

 

Short Term Borrowings

 

 

Working capital loans from banks

408.103

339.195

TOTAL

419.220

349.262

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Pragada Rajnikant Vallabhbhai

Chartered Accountants

Address :

102, Riddhi Siddhi Opposite, Axis Bank Park Colony, Main Road, Jamnagar 361008, Gujarat, India

PAN No:

ANTPP0162A

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

300000

Equity Shares

Rs.100/- each

Rs.30.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

270000

Equity Shares

Rs.100/- each

Rs.27.000 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

27.000

5.400

5.400

(b) Reserves & Surplus

182.049

244.156

231.576

(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)

209.049

249.556

236.976

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

78.637

191.712

177.699

(b) Deferred tax liabilities (Net)

0.000

5.203

7.276

(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)

78.637

196.915

184.975

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

408.103

339.195

327.966

(b) Trade payables

20.546

45.673

40.684

(c) Other current liabilities

14.628

15.000

7.149

(d) Short-term provisions

2.877

3.118

32.960

Total Current Liabilities (4)

446.154

402.986

408.759

 

 

 

 

TOTAL

733.840

849.457

830.710

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

76.065

73.435

80.510

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

1.604

0.356

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.001

0.001

0.001

(c) Deferred tax assets (net)

14.853

0.000

0.000

(d) Long-term Loan and Advances

17.505

16.550

10.183

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

110.028

90.342

90.694

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

233.731

238.459

270.059

(c) Trade receivables

275.217

304.260

355.226

(d) Cash and cash equivalents

18.953

11.338

22.723

(e) Short-term loans and advances

95.911

205.058

92.008

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

623.812

759.115

740.016

 

 

 

 

TOTAL

733.840

849.457

830.710

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

 

 

 

 

 

TOTAL TURNOVER

1999.219

2410.791

2297.884

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                        

NA

NA

NA

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

(46.546)

26.675

114.501

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION        

14.229

15.639

18.138

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX

(60.775)

11.036

96.363

 

 

 

 

 

Less

TAX                                                     

(19.833)

(2.180)

34.919

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX

(40.942)

13.216

61.444

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Proposed Dividend

0.000

0.540

0.540

 

 

Tax on Dividend

0.000

0.088

0.090

 

BALANCE CARRIED TO THE B/S

(40.942)

(12.588)

60.814

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

NA

476.553

325.019

 

 

 

 

 

 

IMPORTS

NA

NA

1963.374

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

(151.64)

244.74

1137.85

 

 


KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Return on Total Assets

(PBT/Total Assets}

(%)

(8.47)

1.30

11.60

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.29)

0.04

0.41

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

2.33

2.13

2.13

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.40

1.88

1.81

 

 

LOCAL AGENCY FURTHER INFORMATION

 

DETAILS OF CURRENT MATURITIES OF LONG TERM DEBT: NOT AVAILABLE

 

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

No

9]

Name of person contacted

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

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]

PAN of Proprietor/Partner/Director, if available

Yes

32]

Date of Birth 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

 

 

INDEX OF CHARGES:

 

S. NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

90243806

28/02/2005

3,600,000.00

STATE BANK OF SAURASHTRA

DIGVIJAY PLOT BRANCH, JAMNAGAR, GUJARAT, INDIA

-

2

90226739

16/10/2002 *

2,000,000.00

STATE BANK OF SAURASHTRA

DIGVIJAY PLOT BRANCH, JAMNAGAR, GUJARAT, INDIA

-

3

90223247

10/05/2001 *

3,200,000.00

STATE BANK OF SAURASHTRA

DIGVIJAY PLOT, JAMNAGAR, GUJARAT, INDIA

-

4

90222924

10/05/2001 *

2,400,000.00

STATE BANK OF SAURASHTRA

DIGVIJAY PLOT, JAMNAGAR, GUJARAT, INDIA

-

5

90226610

06/07/2010 *

258,200,000.00

STATE BANK OF INDIA

DIGVIJAY PLOT POLICE GATE, DIGVIJAY PLOT, JAMNAGA
R, GUJARAT - 361005, INDIA

B00109280

6

90225621

27/01/2009 *

70,000,000.00

STATE BANK OFINDIA

DIGVIJAY PLOT BRANCH, DIGVIJAY POLICE GATE, JAMNAGAR - 361005, GUJARAT, INDIA

A56912785

7

90221502

28/08/2012 *

446,100,000.00

STATE BANK OF INDIA

DIGVIJAY PLOT BRANCH, DIGVIJAY POLICE GATE, JAMNAGAR - 361005, GUJARAT, INDIA

B57870925

 

* Date of charge modification

 

 

CHARGES:

 

ENTITY

PERSON

COMPETENT AUTHORITY

REGULATORY CHARGES

REGULATORY ACTION (S) / DATE OF ORDER

FURTHER DEVELOPMENT

RAJHANS METAL PRIVATE LIMITED

RAJENDRA G. SHAH

DRT

DEFAULT OF DUES

DEMAND NOTICE- RS.1.491 MILLIONS DEBTS RECOVERY TRIBUNAL NO. II, MUMBAI

 

13.02.2012

--

 

 

 

CASE DETAILS

 

BENCH: BOMBAY

 

LODGING NO.: EXAL/1692/2012                                                                                  FILING DATE: 22/102012

 

REG. NO.: EXA/655/2013                                                                                              REG. DATE: 19/08/2013

 

PETITIONER : SHRIRAM CHITS (MAH) LIMITED

RESPONDENT : RAJHANS METAL PRIVATE LIMITED

 

 

PENT. ADV.: SAIKUMAR PATHRUDU M (0)

 

 

 

DISTRICT: MUMBAI

 

 

 

BENCH:  SINGLE

 

 

 

STATUS: PRE-ADMISSION

CATEGORY: EXECUTION APPLN. – TR. AWARD

 

 

 

 

Unsecured Loan

As on 31.03.2013

[Rs. in Millions]

As on 31.03.2012

[Rs. in Millions]

Long Term Borrowings

 

 

Loans and advances from other

67.520

181.645

TOTAL

67.520

181.645

 

 

OPERATIONS:

 

Though the total income was lower compared to previous year steep increase in manufacturing cost including raw materials and higher provision for Depreciation affected the profitability of the Company. The total turnover for the year was Rs. 1999.219 Millions as against Rs. 2410.791 Millions last year. Prices of non-ferrous scrap remained highly volatile throughout the year and the Company was not able to pass on full impact of price increase due to stiff resistance from buyers. The performance of wind farms remained encouraging.

 

 

FUTURE PROSPECTS:

 

The Indian economy is effected due to slow down in U.S.A. and Europe. The industrial production in general is showing down ward trend since the fourth quarter of the financial year 2012 2013. Considering the huge demand and vast economy of our country the revival of economy is imminent. The Company has consolidated its position in both in domestic and overseas markets and the Company has become a preferred destination for brass extrusion products. Considering the above your Directors are optimist to face any challenge and are confident of better future of the Company.

 

 

FINANCE:

 

The Company has fulfilled all its commitments to its bankers towards financial facilities availed. The Company is facing paucity of need based working capital and all out efforts are made to raise requisite finance from its bankers as well as from Directors and shareholders.

 

 

FIXED ASSETS:

 

·         Land

·         Buildings

·         Office Building

·         Factory Building

·         Plant and Equipment

·         Factory Equipments

·         Furniture and Fixtures

·         Vehicles

 

 

 


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.62.68

UK Pound

1

Rs.101.97

Euro

1

Rs.84.78

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

TPT


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

4

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--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

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

31

 

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.