MIRA INFORM REPORT

 

 

Report Date :

17.01.2014

 

IDENTIFICATION DETAILS

 

Name :

MINERA STEEL AND POWER PRIVATE LIMITED (w.e.f.11.02.2011)

 

 

Formerly Known As :

KMMI STEEL PRIVATE LIMITED

 

 

Registered Office :

811/2, NH 63, Hospet Road, Alipura, Bellary – 583105, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

15.02.2006

 

 

Com. Reg. No.:

08-038481

 

 

Capital Investment / Paid-up Capital :

Rs. 300.000 Millions

 

 

CIN No.:

[Company Identification No.]

U27101KA2006PTC038481

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

BLRM10570A

 

 

PAN No.:

[Permanent Account No.]

AACCK7567M

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Sponge Iron, Coal, Steel and Power Generation.

 

 

No. of Employees :

300 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (44)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

 

Maximum Credit Limit :

USD 3819000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

Management of the company has not filed its financial with the government department.

 

As per previous year financial (i.e. 2012), the borrowings of the company seems to be increasing. However, general financial position of the company appears to be satisfactory.

 

Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct.

 

The company can be considered normal for 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.

 

 

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

ICRA

Rating

Long term fund based : BBB-

Rating Explanation

Moderate degree of safety it carry moderate credit risk.

Date

June 2013

 

 

Rating Agency Name

ICRA

Rating

Short term non fund based : A3

Rating Explanation

Moderate degree of safety it carry higher credit risk.

Date

June 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. Aswath

Designation :

Deputy General Finance Manager

Contact No.:

91-9480823400

Date :

16.01.2014

 

 

LOCATIONS

 

Registered/ Corporate Office :

811/2, NH 63, Hospet Road, Alipura, Bellary – 583105, Karnataka, India 

Tel. No.:

91-8392-237709/ 237799/ 237701/ 08

Mobile No.:

91-9480823400 (Mr. Aswath)

Fax No.:

91-8392-237744/ 237799/ 237899

E-Mail :

info@mineragroup.com

aswath@mineragroup.com

Location :

Owned

 

 

Factory :

Located at:

 

·         Karnataka

 

 

DIRECTORS

 

AS ON 29.09.2012

 

Name :

Noor Ahmed Hothur

Designation :

Managing director

Address :

# 54, Mubarak Manzil, Infantory Road, Cantonment, Bellary-583104, Karnataka, India 

Date of Birth/Age :

14.06.1955

Date of Appointment :

15.02.2006

PAN No.:

ABMPA5659A

DIN No.:

00487148

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U13100KA1980PTC003993

TRIDENT MINING CO PRIVATE LIMITED

Director

10/04/1989

26/03/1989

Active

NO

2

U74210AP2001PTC037973

ZENITH THERMAL EQUIPMENT PRIVATE LIMITED

Director

19/10/2001

19/10/2001

Active

NO

3

U02710KA2002PTC030906

KARI GANUR IRON AND STEEL PRIVATE LIMITED

Managing director

20/08/2002

20/08/2002

Active

NO

4

U35911KA2005PTC036545

HOTHUR MOTORS PRIVATE LIMITED

Director

20/07/2009

14/06/2005

Active

NO

5

U27101KA2006PTC038481

MINERA STEEL & POWER PRIVATE LIMITED

Managing director

15/02/2006

15/02/2006

Active

NO

6

U13100GA2006PTC004866

INTEGRATED MINERAL RESOURCES PRIVATE LIMITED

Director

01/11/2006

01/11/2006

Active

NO

7

U40101KA2003PTC032141

LIMBAVALI POWER PRIVATE LIMITED

Managing director

02/08/2010

02/08/2010

Active

NO

 

 

Name :

Tanveer Ahmed

Designation :

Whole-time director

Address :

# 54, Mubarak Manzil, Cantonment, Bellary-583104, Karnataka, India 

Date of Birth/Age :

27.01.1980

Date of Appointment :

15.02.2006

PAN No.:

AGJPA0949F

DIN No.:

00487144

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U35911KA2005PTC036545

HOTHUR MOTORS PRIVATE LIMITED

Whole-time director

14/06/2005

14/06/2005

-

Active

NO

2

U27101KA2006PTC038481

MINERA STEEL & POWER PRIVATE LIMITED

Whole-time director

15/02/2006

15/02/2006

-

Active

NO

3

U13100GA2006PTC004866

INTEGRATED MINERAL RESOURCES PRIVATE LIMITED

Director

01/11/2006

01/11/2006

-

Active

NO

4

U74999KA2006PTC040035

BIODZI ENERGY FARMS (INDIA) PRIVATE LIMITED

Director

21/02/2007

21/02/2007

04/09/2012

Active

NO

5

U40101KA2003PTC032141

LIMBAVALI POWER PRIVATE LIMITED

Director

07/08/2010

06/12/2008

26/06/2012

Active

NO

 

 

Name :

Hothur Nafisa Noor

Designation :

Director

Address :

Mubarak Manzil, Cantonment, Bellary-583104, Karnataka, India 

Date of Birth/Age :

22.04.1955

Date of Appointment :

15.12.2006

PAN No.:

ACIPB1785D

DIN No.:

02440884

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U35911KA2005PTC036545

HOTHUR MOTORS PRIVATE LIMITED

Director

14/06/2005

14/06/2005

Active

NO

2

U27101KA2006PTC038481

MINERA STEEL & POWER PRIVATE LIMITED

Director

15/12/2006

15/12/2006

Active

NO

3

U40101KA2003PTC032141

LIMBAVALI POWER PRIVATE LIMITED

Director

30/09/2010

02/08/2010

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Aswath

Designation :

Deputy General Finance Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 29.09.2012

 

Names of Shareholders

 

No. of Shares

 

Noor Ahmed Hothur

 

6000000

Tanveer Ahmed

 

15000000

Hothur Nafisa Noor

 

5000000

Nikhath

 

2000000

Sakina Basith

 

2000000

 

 

 

Total

 

 

30000000

 

 

AS ON 29.09.2012

 

Equity Share Breakup

Percentage of Holding

Category

 

Directors or relatives of directors

100.00

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Sponge Iron, Coal, Steel and Power Generation.

 

 

Products/ Services :

ITC Code No.

 

Product Descriptions

72031000

Sponge Iron and Billets

 

 

Imports :

 

Products :

Coal and Scrap

Countries :

·         Singapore

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash, Credit and Depend

 

 

PRODUCTION STATUS (AS ON 31.03.2012)

 

a) Sponge Iron Division:

Installed Capacity : Sponge Iron - 4 Kilns of 100 M.T per day per Kiln

Actual production for the year is 88108 M.T. (P.Y. 73698 M.T)

 

b) Wind Mill Division:

Installed Capacity : 1 Wind Mill at Kappadagudda : 1.50 M.W

Installed Capacity : 2 Wind Mills at Ayyanahalli : 2.50 M.W

Actual generation of power for the year: 7765560 units (P.Y.6977472 Units)

 

c) During the current financial year, company has commenced production of SMS Unit on 21.11.2012.

Installed Capacity : 60,000 M. Tons p.a.,

Actual production for the year : 15144 M. Tons

 

d) Waste Heat Recovery Power Plant.

Actual generation of power for the year: 31134800 units (P.Y.5998500 Units)

 

 

GENERAL INFORMATION

 

Suppliers :

Newgen, Singapore

 

 

Customers :

Other

 

 

No. of Employees :

300 (Approximately)

 

 

Bankers :

·         State Bank Of India

SME Branch, Station Road, Bellary - 585101, Karnataka, India

 

·         Union Bank Of India

201, 1st Floor, Car Street, Bellary - 583101, Karnataka, India

 

·         Axis Bank Limited

Corporate Banking Branch, Queens Road, Bangalore - 560001, Karnataka, India

 

 

Facilities :

 

SECURED LOANS

31.03.2012

(Rs. In Millions)

31.03.2011

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

Rupee term loans from banks

568.268

534.594

SHORT TERM BORROWINGS

 

 

Working capital loans from banks

217.231

119.848

 

 

 

Total

 

785.499

654.442

 

 

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

D V Sarovar and Company

Chartered Accountants

Address :

Jayadhurgha Mansions, 2nd Floor, Door No.17(c), Ward No. I , Paravathi Nagar, Main Road, Bellary – 583103, Karnataka, India

Income-tax PAN of auditor or auditor's firm :

ABHPL2932R

 

 

Firms in which relatives of the key management personnel/ partners :

·         Kariganur Iron and Steel Private Limited, Hospet

Hothur Motors Private Limited, Bellary

Trident Minerals-100%EOU, Bellary

Kariganur Mineral Mining Industry, Hospet

Hothur Traders, Bellary

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

35,000,000

Equity Shares

Rs. 10/- each

Rs. 350.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

30,000,000

Equity Shares

Rs. 10/- each

Rs. 300.000 Millions

 

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

 

300.000

300.000

(b) Reserves & Surplus

 

604.754

487.528

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

50.000

50.000

Total Shareholders’ Funds (1) + (2)

 

954.754

837.528

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

568.268

534.594

(b) Deferred tax liabilities (Net)

 

215.345

201.106

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

0.000

0.000

Total Non-current Liabilities (3)

 

783.613

735.700

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

619.231

321.798

(b) Trade payables

 

179.723

423.146

(c) Other current liabilities

 

7.924

16.002

(d) Short-term provisions

 

24.473

23.843

Total Current Liabilities (4)

 

831.351

784.789

 

 

 

 

TOTAL

 

2569.718

2358.017

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

1497.245

1177.045

(ii) Intangible Assets

 

0.000

0.000

(iii) Capital work-in-progress

 

74.340

180.503

(iv) Intangible assets under development

 

0.000

0.000

(b) Non-current Investments

 

0.000

0.000

(c) Deferred tax assets (net)

 

0.000

0.000

(d)  Long-term Loan and Advances

 

8.228

2.068

(e) Other Non-current assets

 

0.000

0.000

Total Non-Current Assets

 

1579.813

1359.616

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

45.310

45.310

(b) Inventories

 

482.378

443.270

(c) Trade receivables

 

119.574

75.488

(d) Cash and cash equivalents

 

44.309

61.906

(e) Short-term loans and advances

 

229.320

310.096

(f) Other current assets

 

69.014

62.331

Total Current Assets

 

989.905

998.401

 

 

 

 

TOTAL

 

2569.718

2358.017

 

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

220.000

2] Share Application Money

 

 

30.000

3] Reserves & Surplus

 

 

339.892

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

589.892

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

855.625

2] Unsecured Loans

 

 

0.000

TOTAL BORROWING

 

 

855.625

DEFERRED TAX LIABILITIES

 

 

106.598

 

 

 

 

TOTAL

 

 

1552.115

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

831.753

Capital work-in-progress

 

 

419.578

 

 

 

 

INVESTMENT

 

 

20.310

DEFERRED TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

180.592

 

Sundry Debtors

 

 

52.157

 

Cash & Bank Balances

 

 

62.477

 

Other Current Assets

 

 

0.004

 

Loans & Advances

 

 

208.227

Total Current Assets

 

 

503.457

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

 

 

205.816

 

Other Current Liabilities

 

 

16.181

 

Provisions

 

 

1.816

Total Current Liabilities

 

 

223.813

Net Current Assets

 

 

279.644

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.830

 

 

 

 

TOTAL

 

 

1552.115

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

 

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

TOTAL                                    

2067.700

1883.200

1038.000

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                    

1818.600

1656.700

932.000

 

 

 

 

 

 

PROFIT BEFORE TAX

249.100

226.500

106.000

 

 

 

 

 

Less

TAX                                                                 

67.100

96.900

58.400

 

 

 

 

 

 

PROFIT AFTER TAX

182.000

129.600

47.600

 

 

 

 

 

 

Earnings Per Share (Rs.)

6.07

4.32

1.90

 

 

Particulars

 

 

 

31.03.2013

Sales Turnover (Approximately)

 

 

2890.000

 

 

 

 

 

 

The above information has been parted by Mr. Aswath (Deputy General Finance Manager)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

8.80

6.88

4.59

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

9.98

10.40

7.94

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.26

0.27

0.18

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

1.24

1.02

1.45

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.19

1.27

2.25

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Sr. No.

Check List by Info Agents

Available in Report

(Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

Yes

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

No

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

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10015516

07/05/2013 *

3,261,200,000.00

STATE BANK OF INDIA

SME BRANCH, STATION ROAD, BELLARY - 585101, KARNATAKA, INDIA

B75000919

 

* Date of charge modification

 

 

UNSECURED LOANS

 

UNSECURED LOANS

31.03.2012

(Rs. In Millions)

31.03.2011

(Rs. In Millions)

SHORT TERM BORROWINGS

 

 

Loans and advances from related parties

402.000

201.950

 

 

 

Total

 

402.000

201.950

 

 

CONTINGENT LIABILITIES:

 

Particulars

31.03.2012

(Rs. In Millions)

31.03.2011

(Rs. In Millions)

 

 

 

GUARANTEES:

Unconditional and Irrevocable Corporate Guarantee on Term loan and Cash credit to Axis Bank, Bellary on behalf of Limbavali Power Private Limited

363.900

393.100

 

 

 


TRADE REFERENCE

 

·         Newgen, Singapore

 

 

FIXED ASSETS:

 

·         Land

Buildings

Factory building

Plant and equipment

Other plant and equipment

Furniture and fixtures

Vehicles

Motor vehicles

Office equipment

Other equipments

 


 

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. 61.53

UK Pound

1

Rs. 100.73

Euro

1

Rs. 83.84

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

BVA

 


 

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

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

DEFAULTERS 

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

44

 

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.