1. Summary Information

 

 

Country

India

Company Name

Jesons Industries Limited

Principal Name 1

Mr. Dhiresh Shashikant Gosalia

Status

Moderate

Principal Name 2

Mr. Madhu Ranchhoddas Mehta 

 

 

Registration #

11-122193

Street Address

904, Peninsula Tower No. 1, Ganpat Rao Kadam Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India

Established Date

12.10.1999

SIC Code

--

Telephone#

91-22-66515253

Business Style 1

Manufacturer

Fax #

91-22-66515252

Business Style 2

--

Homepage

www.jesons.net

Product Name 1

Synthetic Adhesives

# of employees

700 (Approximately)

Product Name 2

--

Paid up capital

Rs.89,352,000/-

Product Name 3

--

Shareholders

Directors or relatives of Directors=100%

Banking

Central Bank of India

Public Limited Corp.

No

Business Period

15 Years

IPO

No

International Ins.

-

Public Enterprise

No

Rating

B (34)

Related Company

Relation

Country

Company Name

CEO

Subsidiary

 

Jesons Industries Nepal Private Limited

 

Note

-

 

2. Summary Financial Statement

Balance Sheet as of

31.03.2013

(Unit: Indian Rs.)

Assets

Liabilities

Current Assets

1,127,194,000

Current Liabilities

560,817,000

Inventories

450,874,000

Long-term Liabilities

754,179,000

Fixed Assets

216,731,000

Other Liabilities

55,607,000

Deferred Assets

0.000

Total Liabilities

1,370,603,000

Invest& other Assets

4,566,000

Retained Earnings

339,410,000

 

 

Net Worth

428,762,000

Total Assets

1,799,365,000

Total Liab. & Equity

1,799,365,000

 Total Assets

(Previous Year)

1,635,033,000

 

 

P/L Statement as of

31.03.2013

(Unit: Indian Rs.)

Sales

4,406,376,000

Net Profit

11,983,000

Sales(Previous yr)

4,107,874,000

Net Profit(Prev.yr)

72,750,000

MIRA INFORM REPORT

 

 

Report Date :

12.02.2014

 

IDENTIFICATION DETAILS

 

Name :

JESONS INDUSTRIES LIMITED

 

 

Registered Office :

904, Peninsula Tower No. 1, Ganpat Rao Kadam Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

12.10.1999

 

 

Com. Reg. No.:

11-122193

 

 

Capital Investment / Paid-up Capital :

Rs.89.352 Millions

 

 

CIN No.:

[Company Identification No.]

U24295MH1999PLC122193

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMJ06269E

 

 

PAN No.:

[Permanent Account No.]

AAACJ7659P

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of Synthetic Adhesives, Vinyl Acetate and Acrylic Emulsions.

 

 

No. of Employees :

700 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 1700000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record.

 

Profitability of the company seems to be low.

 

However, trade relations are fair. Business is active. Payment terms are 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.

 

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 worst is over for India’s economy with gross domestic product likely to expand 5 %to 5.5 % this year and more than 6 % in 2015, according to Moody’s Analytics. Concerns over the rupee and current account deficit are under control, said the agency. Ratings firm Crisil has forecast 6 % growth for 2014/15 up from the estimated 4.8 % for 2013/14.  Total economic growth, infrastructure bottlenecks and lack of transparency and consistency in foreign direct investment policies seem to have taken a toll on India’s attractiveness as an investment destination, says an Ernst & Young survey.  Projects with FDI component fell 16.4 % across the globe in 2012 from the previous year.  The drop in India was steeper at 21 %. State run carrier Air India is doling out free tickets to its 24000 employees, even as it expects to incur a loss of Rs 39000 mn this financial year and has a debt of Rs 350000 mn. 550000 number of jobs generated across India in 2013, a fall of 0.4 % as compared to with a year earlier. The National Capital Region has a one-fourth share in total jobs created, according to a study by industry lobby group Assochem, Banks, real estate, automobile and telecommunications sectors are showing a rise of job creation. $ 805 mn investments by venture capital firms in India during 2013, registering a drop of about 18 % over the previous year. The Information Technology and IT-Enabled Services Industry retained its status as the favourable venture capital investors in 2013. Pakistan has temporarily banned gold imports for the second time in six months, as it tries to stem smuggling into India. India’s import duty on gold is 10 % and curbs on purchases have dried up legal imports into what used to be the world’s biggest bullion buyers. The World Gold Council puts the amount smuggled into India at upto 200 tonnes in 2013. The Reserve Bank of India has proposed that unclaimed bank deposits estimated to be about Rs 35000 mn be used for education and awareness among depositors.  According to the plan, deposits that have not been claimed for at least 10 years will be transferred to the scheme.

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CARE

Rating

BB+ (Long Term Bank Facilities)

Rating Explanation

Have moderate risk of default.

Date

03.01.2014

 

Rating Agency Name

CARE

Rating

A4+ (Short Term Bank Facilities)

Rating Explanation

Have minimal degree of safety and carry very high credit risk.

Date

14.01.2013

 

 

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 PARTED BY (GENERAL DETAILS)

 

Name :

Ms. Sejal

Designation :

Admin

Contact No.:

91-22-66515253

 

 

LOCATIONS

 

Registered Office/ Head Office :

904, Peninsula Tower No. 1, Ganpat Rao Kadam Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India

Tel. No.:

91-22-66515253 / 66515226

Fax No.:

91-22-66515252

E-Mail :

info@jesons.net

sales.exports@jesons.net

Website :

http://www.jesons.net

Area:

5000 Sq. ft.

Location :

Owned

 

 

Factory :

Survey No. 377/1/7, Zari Causeway Road, Behind Store Quarry, Kachigam, Daman (Union Territory)

 

 

DIRECTORS

 

As on: 30.09.2013

 

Name :

Mr. Dhiresh Shashikant Gosalia

Designation :

Managing Director

Address :

131 Spenta Tower, 13th Floor, 55-57 Forjet Street Gowalia Tank, Mumbai – 400 036, Maharashtra, India

Date of Birth/Age :

06.01.1962

Qualification :

B.SC ,Diploma In Textile Chemistry, Business Management

Date of Appointment :

12.10.1999

DIN No.:

00217158

PAN No.:

AAIPG5800G

 

 

Name :

Mr. Madhu Ranchhoddas Mehta 

Designation :

Director

Address :

E-3, 701/702, A Wing, New Highway Park, Kandivali (East), Mumbai – 400 101, Maharashtra, India

Date of Birth/Age :

02.06.1941

Qualification :

Metriculation

Date of Appointment :

01.04.2008

DIN No.:

02250878

 

 

Name :

Mr. Raju Vinod Palvia

Designation :

Director

Address :

Shramdan Building, 209/11, 3rd Floor, Opposite SION Hospital, SION (East), Mumbai - 400022, Maharashtra, India

Date of Appointment :

01.04.2013

DIN No.:

06538252

 

 

KEY EXECUTIVES

 

Name :

Ms. Sejal

Designation :

Admin

 

 

MAJOR SHAREHOLDERS

 

As on: 30.09.2013

 

Names of Shareholders

 

No. of Shares

Dhiresh Gosalia

708424

Madhavi D Gosalia

70100

Usha S Gosalia

64596

Hemal M Kampani

100

Kiran V Daftary

100

Rajesh D Mody

100

Raveena D Gosalia

25000

Madhusudan Mehta

100

Jhelum D Gosalia

25000

 

 

Total

893520

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 30.09.2013

 

Category

Percentage

Directors or relatives of Directors

100.00

 

 

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Synthetic Adhesives, Vinyl Acetate and Acrylic Emulsions.

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

 

GENERAL INFORMATION

 

No. of Employees :

700 (Approximately)

 

 

Bankers :

·         Central Bank of India, Main Office, Mumbai, Mumbai - 400023, Maharashtra, India

·         Barclays Bank Plc, 601/603, Ceejay House, Shivsagar Estate, Dr. Annie Besant Road, Worli, Mumbai - 400018, Maharashtra, India

·         Punjab National Bank, 7 Bikaiji Kama Palace, New Delhi - 110066, India

 

 

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2013

As on

31.03.2012

LONG TERM BORROWINGS

 

 

Rupee term loans from banks

69.856

107.152

 

 

 

SHORT TERM BORROWINGS

 

 

Working capital loans from banks

351.269

41.244

Loans repayable on demand from banks

332.890

344.076

Loans and advances from directors

0.164

0.247

 

 

 

Total

754.179

492.719

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

R. Trivedi and Associates

Chartered Accountants

Address :

119, Ground Floor, G-Block, Ranjit Studio, Dadasaheb Palke Road, Dadar, Mumbai-400014, Maharashtra, India

Tel. No.:

91-22-24140957

PAN No.:

AADPT8670Q

 

 

Subsidiaries Company :

Jesons Industries Nepal Private Limited

 

 

 

 

 

 

 

 

CAPITAL STRUCTURE

 

As on: 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1,500,000

Equity Shares

Rs.100/- each

Rs.150.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

893,520

Equity Shares

Rs.100/- each

Rs.89.352 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

89.352

89.352

89.352

(b) Reserves & Surplus

339.410

327.427

254.677

(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)

428.762

416.779

344.029

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

69.856

107.152

133.439

(b) Deferred tax liabilities (Net)

6.178

5.845

5.821

(c) Other long term liabilities

2.443

2.443

2.443

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

78.477

115.440

141.703

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

684.323

385.567

270.167

(b) Trade payables

551.352

650.354

530.304

(c) Other current liabilities

46.986

37.028

33.797

(d) Short-term provisions

9.465

29.865

21.299

Total Current Liabilities (4)

1292.126

1102.814

855.567

 

 

 

 

TOTAL

1799.365

1635.033

1341.299

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

216.731

208.980

215.581

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

2.763

19.543

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

1.803

1.803

1.803

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

3.428

2.550

1.479

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

224.725

232.876

218.863

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

450.874

312.160

223.547

(c) Trade receivables

601.681

640.905

656.468

(d) Cash and cash equivalents

113.792

109.565

36.867

(e) Short-term loans and advances

408.293

339.361

205.180

(f) Other current assets

0.000

0.166

0.374

Total Current Assets

1574.640

1402.157

1122.436

 

 

 

 

TOTAL

1799.365

1635.033

1341.299

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

4406.376

4107.874

4020.829

 

 

Other Income

12.456

11.942

13.731

 

 

TOTAL                                     (A)

4418.832

4119.816

4034.560

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials consumed

3690.323

3443.440

3279.918

 

 

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

(10.909)

(34.969)

(12.676)

 

 

Employee benefit expense

79.114

56.680

78.905

 

 

Other expenses

562.137

483.992

461.994

 

 

Extraordinary items

0.000

0.000

18.197

 

 

TOTAL                                     (B)

4320.665

3949.143

3826.338

 

 

 

 

 

Less

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

98.167

170.673

208.222

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

55.289

47.195

38.272

 

 

 

 

 

 

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

42.878

123.478

169.950

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

28.314

26.927

25.873

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

14.564

96.551

144.077

 

 

 

 

 

Less

TAX                                                                  (H)

2.581

23.801

43.452

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

11.983

72.750

100.625

 

 

 

 

 

 

Earnings Per Share (Rs.)

13.41

81.42

113.00

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

0.27

1.77

2.49

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

0.33

2.35

3.58

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.81

5.98

10.76

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.03

0.23

0.42

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

1.76

1.18

1.17

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.22

lo1.27

1.31

 

 

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

Yes

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

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

Yes

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

 

 

REVIEW OF OPERATIONS:

 

The business sentiments, confronted with the challenges of market conditions and slowdown in global demand, remained extremely challenging, and the recessionary economic conditions led initial slowdown in Sales Growth. Thanks to the sustained efforts of the marketing team, improved marketing performance of the second half resulted into record sales and growth. The performance in terms of net working capital was affected by built-up of inventory and the profitability is significantly impacted by inflation led cost push in most of the operating areas. Directors are pleased to inform that in spite of challenging conditions, your Company, based on its intrinsic strength, has broadly maintained its performance in terms of sales growth over previous year.

 

The Company registered sales of Rs. 4418.832 Millions as compared to Rs. 4119.816 Millions at a growth rate of 7.27%. However, profitability was lower as compared to previous year, due to volatility in the prices of Raw Materials, inflationary pressure on costs and exchange Loss. The exchange losses were mitigated through following Foreign Exchange Risk Management.

 

The increase in cost of raw materials and inflationary rise in other expenses coupled with volatile currency movement of Indian rupees and USD resulted into significantly lowering margins and tax is lower over the previous year. The Company remains focused to improve its core business and look for higher market share in the business segments in which it operates.

 

The EBDIT margin is reduced from 4.53% to 2.54%. EBT is also marginally lower from 2.34% to 0.33% as compared to previous year. The Company has achieved Export Sales (FOB) to the tune of Rs. 532.600 Millions. Net profit after accounting for exceptional items and tax is Rs. 12.000 Millions.

 

 

FUTURE OUTLOOK

 

India is one of the fastest growing economy in the world. This auger well for the demand of Jesons Products. There is huge construction activity which means increased demand for paint emulsions manufactured by Jesons.

 

Jesons has set up a state of the art Technology Center to develop new value added products. This will be a major boost for the growth of the Company.

 

The Company also plans to set up a new manufacturing facility for addressing the additional capacity requirements. The selection criteria would be based proximity to the Port for import of Raw Materials and nearness to the Customers for Just-In-Time supplies.

 

 

INDEX OF CHARGES

 

S. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10243444

20/07/2011 *

1,102,000,000.00

CENTRAL BANK OF INDIA

Mumbai Main Office, M.G.Road Fort, MUMBAI, Maharashtra - 400001, INDIA

B17917527

2

10187219

06/04/2012 *

1,759,600,000.00

CENTRAL BANK OF INDIA

M. G. Road,, Fort, Mumbai, Maharashtra - 400023, INDIA

B40439036

3

90236138

30/10/2009 *

153,000,000.00

Central bank Of India

M. G. Road,, Fort, Mumbai, Maharashtra - 400023, INDIA

A73652240

 

* Date of charge modification

 

 

FIXED ASSETS:

 

·         Land

·         Buildings

·         Plant and Equipment

·         Furniture and Fixtures

·         Vehicles

·         Office Equipment

 

 


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.62.44

UK Pound

1

Rs.102.48

Euro

1

Rs.85.28

 

 

INFORMATION DETAILS

 

Information Gathered by :

HTL

 

 

Report Prepared by :

NKT

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

4

--LEVERAGE

1~10

4

--RESERVES

1~10

4

--CREDIT LINES

1~10

4

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

34

 

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.