MIRA INFORM REPORT

 

 

Report Date :

06.01.2014

 

IDENTIFICATION DETAILS

 

Name :

RAJPUTANA STAINLESS LIMITED (w.e.f. 12.07.2007)

 

 

Formerly Known As :

RAJPUTANA STEEL CASTINGS LIMITED (w.e.f. 18.06.2007)

 

RAJPUTANA STEEL CASTINGS PRIVATE LIMITED

 

 

Registered Office :

213, Madhwas, Halol Kalol Road, Kalol, Panchmahal-389330, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

02.04.1991

 

 

Com. Reg. No.:

04-015331

 

 

Capital Investment / Paid-up Capital :

Rs.318.499 Millions

 

 

CIN No.:

[Company Identification No.]

U27109GJ1991PLC015331

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of Stainless Steel, Mild Steel and Alloy Steel Products.

 

 

No. of Employees :

250 [Approximately]

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (32)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 1864000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record. There appears sharp dip in profit of the company during the financial year 2013. Further reserves 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 dealing 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 – September 30, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

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

 

India’s current account deficit narrowed in the quarter ended September as government measures to curb imports, especially gold, kicked in.  The current account deficit, the excess of a country’s imports of goods and services over exports, narrowed to $ 5.2 billion from $ 21 billion in the year ago period, according to provisional Reserve Bank of India data. Finance Minister P. Chidambaram said the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and the latest data suggests the government may achieve the target.

 

India was ranked 94th among the world’s most corrupt nations list. Denmark and New Zealand topped as the cleanest while Somalia emerged as the most corrupt.

 

India’s services sector activity witnessed a moderate improvement in November over the previous month, even while indicating the fifth successive monthly contraction, according the HSBC survey.

 

$53 million estimated losses suffered by India due to phishing attacks during the third quarter, according to a study by RSA. India ranks fourth in the list of nations hit by phishing attacks. The US remained at the top of the charts. Phishing is the process of acquiring information such as user names, passwords and credit card details by sending e-mails disguised as official mails.

 

Rs.4080 million worth of mobile-phone-based transactions by July 2013 compared to Rs.260 million in September, 2012, according to Deloitte report. The number of transactions has shot up from 94000 to 701000.

 

India aims to earn Rs.400000 million from the bandwidth auction set for January. The merger and acquisition guidelines, cleared by a group of ministers, will be out before the auction begins so that players can make informed decisions on the auctions.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

BB+ [Long Term]

Rating Explanation

Moderate risk of default and high credit risk.

Date

28.06.2013

 

 

Rating Agency Name

CRISIL

Rating

A4+ [Short Term]

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

28.06.2013

 

 

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

 

Name :

Mr. Santosh Dixit

Designation :

Accounts Department

Contact No.:

91-9374468032

 

 

Name :

Mr. Amrendra Thakur

Designation :

General Manager in Finance

Contact No.:

91-9374468006

Date :

04.01.2014

 

 

LOCATIONS

 

Registered Office/ Factory :

213, Madhwas, Halol Kalol Road, Kalol, Panchmahal-389330, Gujarat, India

Tel. No.:

91-2676-326944

91-265-3014817

Mobile No.:

91-932226590 (Mr. Jayesh N Pithva)

91-9374468032 (Mr. Santosh Dixit)

91-9374468006 (Mr. Amrendra Thakur)

Fax No.:

91-2676-236327

91-265-2422321

E-Mail :

rajputanastainlessltd@yahoo.co.in

mail@rahputanastainless.com

Web Site:

www.rajputanastainless.com

Area:

10000 Sq. Ft

Location:

Owned

 

 

Marketing Office:

17/19, Kanti Bhuvan, 1st Parsiwada lane Near V.P. Road, Mumbai-40000, Maharashtra, India

Tel. No.:

91-22-66595615

 

 

Branch Office :

202, Martand Complex, Near Apsara Cinema Pratap Nagar Road Vadodara-390004, Gujarat, India

Tel. No.:

91-265-3014817

Fax No.:

91-265-2422321

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mr. Shankarlal Deepchand Mehta

Designation :

Chairman cum Managing Director

Address :

802, Krishna Towers, R. V. Desai Road, Pratapnagar, Vadodara-390004, Gujarat, India

Date of Birth/Age :

03.07.1971

Date of Appointment :

25.02.2000

DIN No.:

02656381

 

Other Directorship:

 

S.

No.

CIN

Name of the Company

Current designation of the director

Date of appointment at current designation

Original date of appointment

Company Status

Defaulting status

1

U27109GJ1991PLC015331

RAJPUTANA STAINLESS LIMITED

Managing director

24-11-08

25-02-00

Active

NO

2

U74900GJ2010PTC060786

RAJPUTANA ADVISORY SERVICES PRIVATE LIMITED

Director

18-05-10

18-05-10

Active

NO

 

Name :

Mr. Babulal Deepchandji Mehta

Designation :

Whole-Time Director

Address :

138-A, Chandanwadi, C.P Tank, Mumbai – 400 004, Maharashtra, India

Date of Birth/Age :

08.12.1958

Date of Appointment :

01.11.1999

DIN No.:

02656396

 

Other Directorship:

 

S.

No.

CIN

Name of the Company

Current designation of the director

Date of appointment at current designation

Original date of appointment

Company Status

Defaulting status

1

U27109GJ1991PLC015331

RAJPUTANA STAINLESS LIMITED

Whole-time director

24-11-08

01-11-99

Active

NO

2

U74900GJ2010PTC060786

RAJPUTANA ADVISORY SERVICES PRIVATE LIMITED

Director

18-05-10

18-05-10

Active

NO

 

Name :

Mr. Jayesh Natvarlal Pithva

Designation :

Director

Address :

103, Parshva Kunj Malavia Road, Vileparle, Mumbai – 400 004, Maharashtra, India

Date of Birth/Age :

09.11.1967

Date of Appointment :

07.05.2007

DIN No.:

01531196

 

 

KEY EXECUTIVES

 

Name :

Mr. Santosh Dixit

Designation :

Accounts Department

 

 

Name :

Mr. Amrendra Thakur

Designation :

General Manager in Finance

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2013

 

Names of Shareholders

 

No. of Shares

Shankarlal Deepchand Mehta

 

18315426

Babulal Deepchand Mehta

 

1440026

Jayesh Natvarlal Pithva

 

431000

Babulal Deepchandji Mehta HUF

 

425600

Bhaguben B. Mehta

 

956332

Girish B. Mehta

 

97000

Hetal J. Pithwa

 

584000

Kalpesh B. Mehta

 

215500

Motilal D. Mehta

 

792824

Motilal D. Mehta HUF

 

308000

Natwarlal Pithwa

 

544000

Nirmalaben N. Pithwa

 

551000

Pinky Jain

 

13750

Ramesh D. Mehta

 

716124

Ramesh D. Mehta HUF

 

301330

Vikram M. Mehta

 

304000

Jayanti M. Sanghavi

 

175000

Kamla M. Mehta

 

290000

Mahendra M. Mehta

 

162400

Rohiniben R. Mehta

 

200000

Rajputana Advisory Services Private Limited, India

 

567000

Lohagar Developer Private Limited, India 

 

4246750

Babulal N. Bisnoi

 

169418

Tejaram K. Bisnoi

 

25924

Mangilal V. Sanghavi

 

17500

 

 

 

TOTAL

 

31849904

 

AS ON 30.09.2013

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Nationalized or other banks

 

13.33

Directors or relatives of directors

 

86.00

Others

 

0.67

TOTAL

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Stainless Steel, Mild Steel and Alloy Steel Products.

 

 

Products :

·         Stainless Steel Round Bars

·         Bright Bars

·         Stainless Steel Hexagonal Square Bars

·         Stainless Steel

·         Stainless Steel Billets

·         Stainless Steel Bars

 

 

Imports :

 

Products :

Raw Materials

Countries :

·         UAE

·         Turkey

·         Malaysia

 

 

GENERAL INFORMATION

 

No. of Employees :

250 [Approximately]

 

 

Bankers :

  • Punjab National Bank, Surat Main Branch, 1st Floor, Meghani Tower, Station Road, Surat–395 003, Gujarat, India
  • IDBI Bank Limited IDBI Complex, Near Lal Bunglows, Off C.G. Road, Ahmedabad–380 008, Gujarat, India
  • Kotak Mahindra Bank Limited, 36-38A, Nariman Bhavan, 227, D, Nariman Point, Mumbai-400021, Maharashtra, India
  • Allahabad Bank, Rajmahal Road, Vadodara–390 001, Gujarat, India
  • H.D.F.C. Bank Limited
  • Centurion Bank of Punjab Limited
  • Dena Bank, Alkapuri Branch, Vadodara, Gujarat, India

 

 

Facilities :

Secured Loan

As on 31.03.2013

[Rs. in Millions]

As on 31.03.2012

[Rs. in Millions]

Long Term Borrowings

 

 

Rupee term loans from banks

92.441

131.964

Term loans from others

63.770

72.533

 

 

 

Short Term Borrowings

 

 

Loans repayable on demand from banks

866.907

686.135

TOTAL

1023.118

890.632

 

 

 

Unsecured Loan

As on 31.03.2013

[Rs. in Millions]

As on 31.03.2012

[Rs. in Millions]

Long Term Borrowings

 

 

Rupee term loans from banks

0.000

3.207

Intercorporate deposits

30.000

0.000

 

 

 

Short Term Borrowings

 

 

Term loans from others

6.796

0.000

Loans and advances from related parties

0.200

0.000

Intercorporate deposits

0.000

37.500

TOTAL

36.996

40.707

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Surendra Modiani & Associates

Chartered Accountants

Address :

101, Opel Square, Benhind Express Hotel, Alkapuri, Vadodara, Gujarat, India

PAN No:

ACHFS1271J

 

 

Other Related Parties :

·         Rajputana Advisory Private Limited

·         Surya Steel Center

·         Yash Steel Centre

·         R Maganlal and Company

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

33000000

Equity Shares

Rs.10/- each

Rs.330.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

31849904

Equity Shares

Rs.10/- each

Rs.318.499 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

318.499

318.499

159.250

(b) Reserves & Surplus

147.653

108.386

198.472

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

0.000

0.000

6.655

Total Shareholders’ Funds (1) + (2)

466.152

426.885

364.377

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

186.211

207.704

190.339

(b) Deferred tax liabilities (Net)

72.954

56.385

39.808

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

2.921

0.000

0.000

Total Non-current Liabilities (3)

262.086

264.089

230.147

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

873.903

723.635

711.074

(b) Trade payables

274.588

385.970

272.790

(c) Other current liabilities

155.223

145.952

167.135

(d) Short-term provisions

3.483

7.213

9.165

Total Current Liabilities (4)

1307.197

1262.770

1160.164

 

 

 

 

TOTAL

2035.435

1953.744

1754.688

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

513.289

518.473

370.485

(ii) Intangible Assets

0.099

0.000

0.000

(iii) Capital work-in-progress

26.637

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

2.250

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d) Long-term Loan and Advances

75.358

44.872

16.625

(e) Other Non-current assets

0.000

0.000

28.258

Total Non-Current Assets

617.633

563.345

415.368

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

1007.883

811.595

796.940

(c) Trade receivables

343.073

470.858

414.135

(d) Cash and cash equivalents

38.326

21.033

11.694

(e) Short-term loans and advances

26.625

85.904

30.734

(f) Other current assets

1.895

1.009

85.817

Total Current Assets

1417.802

1390.399

1339.320

 

 

 

 

TOTAL

2035.435

1953.744

1754.688

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

2218.080

2459.037

2376.130

 

 

Other Income

11.837

6.250

3.281

 

 

TOTAL                                     (A)

2229.917

2465.287

2379.411

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials consumed

1676.498

1809.982

2321.429

 

 

Employee benefit expense

43.452

31.664

19.908

 

 

Other expenses

351.873

261.559

337.991

 

 

Prior period items

0.000

0.000

4.492

 

 

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

(72.073)

100.502

(529.189)

 

 

TOTAL                                     (B)

1999.750

2203.707

2154.631

 

 

 

 

 

Less

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

230.167

261.580

224.780

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

134.713

115.809

90.525

 

 

 

 

 

 

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

95.454

 

145.771

134.255

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

39.967

46.028

39.307

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX (E-F)                (G)

55.487

99.743

94.948

 

 

 

 

 

Less

TAX                                                                  (H)

16.662

30.579

33.490

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX (G-H)                  (I)

38.825

69.164

61.458

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

100.005

76.304

80.273

 

 

 

 

 

 

IMPORTS

349.767

383.173

342.737

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

1.23

2.17

3.86

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

1.74

2.81

2.58

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

2.50

4.05

4.00

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

2.77

5.11

5.41

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.12

0.23

0.26

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

2.27

2.18

2.47

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.08

1.10

1.15

 

 

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)

Yes 

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]

PAN of Proprietor/Partner/Director, if available

No

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

10421597

26/03/2013

23,806,000.00

TATA CAPITAL FINANCIAL SERVICES LIMITED

ONE FORBES,, DR. V. B. GANDHI MARG, FORT, MUMBAI,
MAHARASHTRA - 400001, INDIA

B73707762

2

10296575

25/05/2012 *

1,099,000,000.00

PUNJAB NATIONAL BANK

SURAT MAIN BRANCH, 1ST FLOOR, MEGHANI TOWER, STAT
ION ROAD, SURAT - 395002, GUJARAT, INDIA

B43845262

3

10295499

29/10/2010

150,000,000.00

IDBI BANK LIMITED

AHMEDABAD BRANCH IDBI COMPLEX, OPP. MUNI STAFF, Q
UARTERS, NEAR LAL BUNGLOW OFF C.G ROAD, AHMEDABAD - 380006,
GUJARAT, INDIA

B04227427

4

10233379

02/08/2010

1,850,000.00

KOTAK MAHINDRA BANK LIMITED

36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA

A91529818

5

10213906

25/03/2010

72,000,000.00

IDBI BANK LIMITED

IDBI COMPLEX, NEAR LAL BUNGLOWS, OFF C G ROAD,
AHMEDABAD - 380008, GUJARAT, INDIA

A83635755

6

10208277

07/02/2011 *

500,000,000.00

PUNJAB NATIONAL BANK

SURAT MAIN BRANCH, 1ST FLOOR, MEGHANI TOWER, STAT
ION ROAD, SURAT - 395002, GUJARAT, INDIA

B08137416

7

10133836

07/02/2011 *

150,000,000.00

PUNJAB NATIONAL BANK

SURAT MAIN BRANCH, 1ST FLOOR, MEGHANI TOWER, STAT
ION ROAD, SURAT - 395002, GUJARAT, INDIA

B08139149

8

10133837

14/11/2008

35,000,000.00

PUNJAB NATIONAL BANK

SURAT MAIN BRANCH, 1ST FLOOR, MEGHANI TOWER, STAT
ION ROAD, SURAT - 395002, GUJARAT, INDIA

A52438199

9

10073771

07/02/2011 *

637,500,000.00

PUNJAB NATIONAL BANK

SURAT MAIN BRANCH, 1ST FLOOR, MEGHANI TOWER, STAT
ION ROAD, SURAT - 395002, GUJARAT, INDIA

B08762676

10

10073770

28/01/2013 *

630,000,000.00

PUNJAB NATIONAL BANK

SURAT MAIN BRANCH, 1ST FLOOR, MEGHANI TOWER, STAT
ION ROAD, SURAT - 395002, GUJARAT, INDIA

B67482612

 

* Date of charge modification

 

 

 

FIXED ASSETS:

 

·         Free Hold Land

·         Factory Building and Shed

·         Plant and Machinery

·         Electric Installation

·         Furniture and Fixtures

·         Motor Vehicle

·         Laboratory Equipments

·         Office Equipments

·         Computers

·         Hydraulic Mobile Crane

·         Weighing Scale

 

 

 

 

 


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.62.40

UK Pound

1

Rs.102.54

Euro

1

Rs.85.20

 

 

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

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--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

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

32

 

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.