MIRA INFORM REPORT

 

 

Report Date :

16.01.2014

 

IDENTIFICATION DETAILS

 

Name :

IDBI ASSET MANAGEMENT LIMITED

 

 

Registered Office :

IDBI Tower, WTC Complex, Cuffe Parade, Colaba, Mumbai – 400005, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

25.01.2010

 

 

Com. Reg. No.:

11-199319

 

 

Capital Investment / Paid-up Capital :

Rs.750.000 Millions

 

 

CIN No.:

[Company Identification No.]

U65100MH2010PLC199319

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMI09238F

 

 

PAN No.:

[Permanent Account No.]

AACCI2317R

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

The principal activity of the Company is to act as an Investment manager and advisor to IDBI Mutual Fund.

 

 

No. of Employees :

Information declined by management

 

 

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 998000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of IDBI Bank Limited.

 

It is an established company having a satisfactory track record. There appear some accumulated losses recorded by the company.

 

However, liquidity of the company appears to be strong and subject gets good financial support from its holding companies.

 

Trade relations are reported to be fair. Business is active. Payments are usually correct and as per commitments.

 

In view of strong holdings and experience promoters, the company can be considered for normal business dealings at usual trade terms and conditions. 

 

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 


 

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.

 

 

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

 

MANAGEMENT NON CO-OPERATIVE

 

Contact No.: 91-22-66442800

 

 

LOCATIONS

 

Registered Office :

IDBI Tower, WTC Complex, Cuffe Parade, Colaba, Mumbai – 400005, Maharashtra, India

Tel. No.:

91-22-66096100/ 66442800/ 66442813

Fax No.:

91-22-66442801/ 4

E-Mail :

mahesh.kumar@idbimutual.co.in

jayantgodbole@rediffmail.com

rk.bansal@idbi.co.in

mukeshsabharwal12@gmail.com

mahesh.jiandani@idbi.co.in

cmd@idbi.co.in

v.kumar@idbi.co.in

Website :

http://www.idbimutual.co.in

 

 

DIRECTORS

 

(AS ON 25.06.2013)

 

Name :

Mr. Debasish Mallick

Designation :

Managing Director

Address :

H-52, Maker Kundan Gardens, Juhu Tara Road, Santacruz (West), Mumbai, 400049, Maharashtra, India

Date of Appointment :

29.04.2011

DIN No.:

02352963

 

 

Name :

Dr. YSP Thorat

Designation :

Director

Address :

Indu Niketan, General Thorat Road, Tarabai Park, Kolhapur – 416003, Maharashtra, India

Date of Appointment :

29.04.2011

 

 

Name :

Mr. Jayant Narayan Godbole

Designation :

Director

Address :

604A, Cottage Land Co-Operative Housing Society, Plot No.-16A, Sector-19, Navi Mumbai – 400706, Maharashtra, India

Date of Birth/Age :

17.02.1945

Date of Appointment :

28.06.2012

DIN No.:

00056830

 

 

Name :

Mr. Mukesh Sabharwal

Designation :

Additional Director

Address :

01, Krishna Menon Marg, Near Sena Bhawan, New Delhi – 110011, India

Date of Birth/Age :

12.09.1951

Date of Appointment :

28.06.2012

DIN No.:

05155598

 

 

Name :

Mr. Yashwant Shankarrao Thorat

Designation :

Director

Address :

Indu Niketan , General Thorat Road, Tarabai Park, Kolhapur – 416003, Maharashtra, India

Date of Appointment :

29.04.2011

DIN No.:

02652734

 

 

Name :

Mr. Srinivasan Kothandaraman Vaidyanathan Srinivasan

Designation :

Additional Director

Address :

1101, Raheja Majestic, Near Star City, Matunga – West, Mumbai – 400016, Maharashtra, India

Date of Birth/Age :

06.07.1956

Date of Appointment :

23.08.2013

DIN No.:

02564527

Email :

s_srinivasan@idbi.co.in

 

 

Name :

Mr. Yogesh Agarwal

Designation :

Director

Address :

M-2, Kinellan Towers, Nepean Sea Road, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

16.06.1950

DIN No.:

00947896

 

 

Name :

Mr. Syed Shahabuddin

Designation :

Director

Address :

Flat No.1402, Gloriosa Apartments, N. M. kale Marg, Off S. K. Bole Road, Dadar (West), Mumbai – 400028, Maharashtra, India

Date of Birth/Age :

14.03.1950

DIN No.:

00985532

 

 

Name :

Mr. Kiran Sharadchandra Karnik

Designation :

Director

Address :

Q-2A Hauz Khas Enclave, New Delhi – 110016, India

Date of Birth/Age :

16.03.1947

DIN No.:

00542951

 

 

Name :

Mr. Viney Kumar

Designation :

Director

Address :

F-22, Maker Kundan Garden, Opposite Lido Juhu Road, Santacruz W Mumbai – 400049, Maharashtra, India 

Date of Birth/Age :

04.06.1956

DIN No.:

00191129

 

 

KEY EXECUTIVES

 

Name :

Mr. Mahesh Kumar Gulab Jiandani

Designation :

Company Secretary

Address :

Flat No 6, Rams Flats, No 19/37, Taylors Estate, Second Street, Kodambakkam, Chennai – 600024, Tamilnadu, India

Date of Appointment :

30.04.2013

PAN No.:

AFZPJ1129B

 


 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 25.06.2013)

 

Names of Shareholders

 

 

No. of Shares

 

 

 

IDBI Bank Limited, India - represented by Jagannath Sahu

 

49999994

IDBI Capital Market Service Limited, India - represented by V Gopinath

 

40000000

B K Batra- Nominee of IDBI Bank Limited, India

 

1

Rakesh Kumar - Nominee of IDBI Bank Limited, India

 

1

Rakesh Kumar Bansal- Nominee of IDBI Bank Limited, India

 

1

S K V Srinivasan- Nominee of IDBI Bank Limited, India

 

1

M V Phadke- Nominee of IDBI Bank Limited, India

 

1

Deepak Gupta- Nominee of IDBI Bank Limited, India

 

1

 

 

 

Total

 

 

90000000

 

 

(AS ON 22.10.2013)

 

Names of Allottee

 

 

No. of Shares Allotted

 

 

 

IDBI Bank Limited, India

 

25000000

 

 

 

Total

 

 

25000000

 

 

(AS ON 30.09.2013)

Equity Shares Break – up

 

Category

 

 

Percentage

 

 

 

Government Companies

 

100.00

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

The principal activity of the Company is to act as an Investment manager and advisor to IDBI Mutual Fund

 

 

Products/ Service :

Products Description

Item Code No.

 

Asset Management Company

99717020

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by management.

 

 

Bankers :

Not Available

 

 

Facilities :

--

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

L. U. Krishnan and Company

Chartered Accountant

Address :

SAM's Nathaneal Towers 3-1, West Club Road, Shenoy Nagar, Chennai -600030, Tamilnadu, India

PAN No.:

AAAFL0818M

 

 

Holding Company:

·         IDBI Bank Limited

CIN No.: L65190MH2004GOI148838

 

 

Fellow Subsidiary

Company :

·         IDBI MF Trustee Company Limited

CIN No.: U65991MH2010PLC199326

 

 

Associates :

·         IDBI In-tech Limited

CIN No.: U72200MH2000GOI124665

 

·         IDBI Federal Life Insurance Company Limited

CIN No.: U66010MH2007PLC167164

 

·         IDBI Capital Market Services Limited

CIN No.: U65990MH1993GOI075578

 

 

 

CAPITAL STRUCTURE

 

(AS ON 25.06.2013)

 

Authorised Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

150000000

Equity Shares

Rs.10/- each

Rs.1500.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

115000000

Equity Shares

Rs.10/- each

Rs.1150.000 Millions

 

 

 

 

 

 

 

(AS ON 31.03.2013)

 

Authorised Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

100000000

Equity Shares

Rs.10/- each

Rs.1000.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

90000000

Equity Shares

Rs.10/- each

Rs.900.000 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

900.000

750.000

500.000

(b) Reserves & Surplus

(650.588)

(441.552)

(265.174)

(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)

249.412

308.448

234.826

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

0.000

0.000

0.000

(b) Deferred tax liabilities (Net)

0.000

2.230

14.584

(c) Other long term liabilities

2.505

2.429

0.000

(d) long-term provisions

8.453

6.855

2.798

Total Non-current Liabilities (3)

10.958

11.514

17.382

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

0.000

0.000

0.000

(b) Trade payables

46.293

39.841

51.492

(c) Other current liabilities

0.000

0.000

4.446

(d) Short-term provisions

0.962

1.045

1.128

Total Current Liabilities (4)

47.255

40.886

57.066

 

 

 

 

TOTAL

307.625

360.848

309.274

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

11.010

20.123

19.604

(ii) Intangible Assets

7.490

11.437

12.464

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

6.189

0.000

0.000

(d)  Long-term Loan and Advances

0.000

0.000

0.000

(e) Other Non-current assets

32.803

36.542

39.330

Total Non-Current Assets

57.492

68.102

71.398

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

198.554

136.581

182.363

(b) Inventories

0.000

0.000

0.000

(c) Trade receivables

3.650

8.077

6.081

(d) Cash and cash equivalents

0.496

100.184

10.754

(e) Short-term loans and advances

3.108

4.832

3.424

(f) Other current assets

44.325

43.072

35.254

Total Current Assets

250.133

292.746

237.876

 

 

 

 

TOTAL

307.625

360.848

309.274

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Revenue from Operations

137.210

89.416

30.469

 

 

Other Income

9.446

15.687

5.278

 

 

TOTAL                                     (A)

146.656

105.103

35.747

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Employee Benefit Expense

139.238

125.790

120.174

 

 

Other Expenses

210.725

153.756

156.145

 

 

TOTAL                                     (B)

349.963

279.546

276.319

 

 

 

 

 

Less

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

(203.307)

(174.443)

(240.572)

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

0.000

0.000

0.000

 

 

 

 

 

 

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

(203.307)

(174.443)

(240.572)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

14.148

14.290

10.017

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

(217.455)

(188.733)

(250.589)

 

 

 

 

 

Less

TAX                                                                  (H)

(8.420)

(12.354)

14.585

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

(209.035)

(176.379)

(265.174)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(441.553)

(265.174)

0.000

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

(650.588)

(441.553)

(265.174)

 

 

 

 

 

 

Earnings Per Share (Rs.)

(2.73)

(2.86)

(8.28)

 

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

(142.53)

(167.82)

(741.81)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

(158.48)

(211.07)

(822.44)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(72.14)

(52.30)

(81.02)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.87)

(0.61)

(1.07)

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.00

0.00

0.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

5.29

7.16

4.17

 


 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITY OF LONG TERM BORROWINGS DETAIL: 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

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

-----

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

-----

22]

Litigations that the firm / promoter involved in

-----

23]

Banking Details

No

24]

Banking facility details

No

25]

Conduct of the banking account

-----

26]

Buyer visit details

-----

27]

Financials, if provided

Yes 

28]

Incorporation details, if applicable

Yes 

29]

Last accounts filed at ROC

Yes 

30]

Major Shareholders, if available

Yes 

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

No

 

 

BACKGROUND

 

IDBI Asset Management Company Limited was incorporated on 25th Jan 2010 as a Public limited company. The principal activity of the Company is to act as an Investment manager and advisor to IDBI Mutual Fund (“the Fund”). The Financial statements for the second financial year ending 31st March 2013 are being submitted.

 

 

OVERVIEW

 

In the third year of operation IDBI Mutual Fund has successfully launched the IDBI India Top 100 Equity Fund, Gold FOF, IDBI Gilt Fund and RGESS Fund in addition to multiple fixed maturity plans. The average quarterly asset under management of the AMC has grown from Rs.54821.400 Millions (as on March 31, 2012) to Rs.62489.000 Millions by March 31, 2013. The AMC currently manages 5 debt schemes, 1 MIP, 3 equity schemes, 1 gold ETF, 1 gold FOF, 1 RGESS and 4 fixed maturity plans.

 

 

BUSINESS ENVIRONMENT

 

During FY13, the domestic market saw positives like strong monetary easing programs around the world, falling global commodity prices (specifically crude and gold), declining domestic inflation (leading to cuts in policy rates), hike in diesel prices (to reduce subsidy burden), improving fiscal deficit and reform measures like clearing of FDI in multi brand retail, offset negatives such as poor monsoons, tight liquidity, rising current account deficit, a depreciating rupee, confusion regarding the General Anti Avoidance Rules (GAAR) and the logjam in Parliament due to the CAG report alleging corruption in the allocation of coal blocks.

 

Globally, the U.S. economy showed signs of improvement, the EU region appeared to be weak but stable post bail out packages being announced and paid out, while Japan unveiled Abenomics strategy of liberal quantitative easing, inflation targeting and expanding public investment to propel the country back to growth mode. Specifically, the US saw a decline in unemployment rates to 7.8%. The year was also notable for the monetary easing programs announced by the US and Japan, leading to a surge in global liquidity and driving risk on? trades. The US announced QE3, targeting $40 bn (subsequently increased to $ 80 bn) in monthly bond purchases while Japan announced that it would ramp up its bond buying program meaningfully, targeting an inflation rate of 2%, up from a deflationary environment. Developed stock markets performed better than emerging markets as investors preferred to bet on the US and Japan economies. While the SandP 500 and the Nikkei indices recorded 11.4% and 22.9% gains respectively for FY 13, the German DAX gained by 12% and the FTSE fell by 4%. This compares to a 7.3% rise in the Indian broad market index, Nifty index, a 1.2% fall in the Shanghai index and a 0.6% fall in the MSCI Emerging Markets index. Politically too, FY13 was an important year as several countries saw a change in leadership. In particular, the US concluded its Presidential elections while China instituted a once-a-decade transfer of power to a new group of Communist leaders.

 

As expected, India GDP remained weak. Full year FY13 GDP was 5%, the lowest that the country has seen in the past 10 years. The deterioration in GDP could be seen progressively over the quarters with 1QFY13 GDP at 5.4%, 2QFY13 GDP at 5.2%, 3QFY13 GDP at 4.7% and 4QFY13 GDP at 4.8%. The IIP also continued to exhibit weakness during the year. Economists however believe that the economy had seen the worst and could potentially see a pick-up in growth in FY14. This, coupled with a gradual decline in inflation, particularly the core inflation, prompted the RBI to cut the repo and the CRR rates by 50 bps and 100 bps respectively during the year.

 

FII flows continued to be robust during FY13, registering a net inflow of about $25 bn. Despite the strong flows, the rupee continued its downward slide and recorded a net depreciation of 6.3% primarily because of a steep increase in the current account deficit. FDI flows were disappointing during the year, recording a net inflow of about $22 bn compared to $35 bn in the previous year.

 

 

INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY

 

 

FIXED ASSETS:

 

·         Furniture and Fixtures

·         Office Equipment

·         Computer

·         Other Equipments

·         Computer Software

 

 

 


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.61.59

UK Pound

1

Rs.101.09

Euro

1

Rs.83.99

 

 

INFORMATION DETAILS

 

Information Gathered by :

PLK

 

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--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

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

 

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.