MIRA INFORM REPORT

 

 

Report Date :

22.01.2014

 

IDENTIFICATION DETAILS

 

Name :

MANOJ CABLES LIMITED (w.e.f. 23.09.2010)

 

 

Formerly Known As :

MANOJ CABLE COMPANY LIMITED (w.e.f. 22.07.2010)

MANOJ CABLE COMPANY PRIVATE LIMITED

 

 

Registered Office :

90/3, Industrial Complex, Haiderpur, New Delhi – 110 088

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

15.05.1990

 

 

Com. Reg. No.:

55-040133

 

 

Capital Investment / Paid-up Capital :

Rs.61.526 Millions

 

 

CIN No.:

[Company Identification No.]

U74899DL1990PLC040133

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

DELM03770E

 

 

PAN No.:

[Permanent Account No.]

AAACM0809L

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of LT XLPE / PVC Power and Control Cables.

 

 

No. of Employees :

400 (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 900000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record.

 

The rating reflects moderate financial risk profile marked by major revenues are from Indian Railways, leading to customer concentration risk and low profitability of the company.

 

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

Long Term Rating=BB

Rating Explanation

Moderate risk of default and high credit risk.

Date

21.11.2012

 

Rating Agency Name

CRISIL

Rating

Short Term Rating=A4+

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

21.11.2012

 

 

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. Akshay Bhardwaj

Designation :

Accounts Executive

Contact No.:

91-11-27499700

Date :

20.01.2014

 

 

LOCATIONS

 

Registered Office/ Factory 1 :

90/3, Industrial Complex, Haiderpur, New Delhi – 110 088, India

Tel. No.:

91-11-27499700 / 27493800

Fax No.:

91-11-27499700 / 27493800

E-Mail :

dazzolite@yahoo.co.in

mtkg@manojcable.com

works@manojcable.com

cs@sigmalegal.in

Website :

www.manojcable.com

Location :

Owned

 

 

Factory 2 :

SP-4-867 and 868, RIICO Industrial Area, Pathredi, Chopanki, District – Alwar, Rajasthan, India

 

 

Marketing Office :

Dazzolite House, BH-739, Shalimar Bagh (East), Delhi – 110 088, India

Tel. No.:

91-11-27499051 – 53

Fax No.:

91-11-27499055

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mr. Rajinder Kumar Garg

Designation :

Director

Address :

BP-47, Shalimar Bagh (West), Delhi – 110 088, India

Date of Birth/Age :

20.06.1950

Date of Appointment :

01.07.1991

DIN No.:

01351863

 

 

Name :

Mr. Manoj Garg

Designation :

Director

Address :

BP-47, Shalimar Bagh (West), Delhi – 110 088, India

Date of Birth/Age :

27.11.1972

Date of Appointment :

21.08.1991

DIN No.:

01352415

 

 

Name :

Mr. Subhash Chander Gupta

Designation :

Director

Address :

2021, Railway Road, Narela, Delhi – 110 040, India

Date of Birth/Age :

07.10.1953

Date of Appointment :

03.05.2010

DIN No.:

03072134

 

 

KEY EXECUTIVES

 

Name :

Mr. Akshay Bhardwaj

Designation :

Accounts Executive

 

 

MAJOR SHAREHOLDERS

 

AS ON 30.09.2013

 

Names of Shareholders

 

 

No. of Shares

Subhash Chander Gupta

 

100

Rajinder Kumar Garg

 

2956000

Manoj Garg

 

2940200

Namita Tayal

 

10200

Savitri Devi

 

130100

R. D. Goel

 

57992

Nisha Goel

 

57992

 

 

 

Total

 

6152584

 

 

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 LT XLPE / PVC Power and Control Cables.

 

 

Terms :

 

Selling :

L/C and Credit

 

 

Purchasing :

L/C and Credit

 

 

GENERAL INFORMATION

 

Customers :

End Users

 

·         BSNL Crompton Greawes Limited

·         Bharat Heavy Electrical Limited

·         Power Grid Corporation of India Limited

·         Larsen and Toubro Limited

·         Areva T and D Limited, Noida

·         Indian Oil Corporation Limited, (IOCL), Panipat

·         Mahanagar Telephone Nigam limited

·         Bharat Sanchar Nigam Limited (BSNL)

·         Siemens Limited, Kolkata

·         Jindal Vijaynagar Steel Limited, Bellary, Karnataka

·         Western Coalfields Limited, Nagpur

 

 

No. of Employees :

400 (Approximately)

 

 

Bankers :

·         State Bank of Patiala, Commercial Branch, Chandralok Building, 36, Janpath, New Delhi, Delhi – 110 001, India

·         The Hongkong and Shanghai Banking Corporation Limited, The Birla House, 25, Barakhamba Road, New Delhi – 110 001, Delhi, India

 

BANKER REPORT:

Banker Name :

State Bank of Patiala

Contact Person :

Mr. Jindal

Contact No.:

91-11-23321398

Report :

The company’s relation with the Bank is good.

 

 

Facilities :

SECURED LOANS

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Term Loans from Banks

1.157

1.712

Short Term Borrowings

 

 

Term Loans from Banks

401.221

334.267

 

 

 

Total

402.378

335.979

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

B. Nath Gupta and Company

Chartered Accountants

Address :

9/21, Ghuria Bagh, Aligarh, Uttar Pradesh, India

PAN No.:

AAEPG2702R

 

 

CAPITAL STRUCTURE

 

AS ON 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

7000000

Equity Shares

Rs. 10/- each

Rs.70.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

6152584

Equity Shares

Rs. 10/- each

Rs.61.526 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

61.526

61.526

61.526

(b) Reserves & Surplus

167.220

158.301

148.905

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

16.000

16.000

0.000

Total Shareholders’ Funds (1) + (2)

244.746

235.827

210.431

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

16.167

15.768

13.603

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

16.167

15.768

13.603

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

401.221

335.427

328.435

(b) Trade payables

285.082

275.464

231.961

(c) Other current liabilities

14.026

8.029

3.590

(d) Short-term provisions

5.246

5.432

8.227

Total Current Liabilities (4)

705.575

624.352

572.213

 

 

 

 

TOTAL

966.488

875.947

796.247

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

207.793

189.714

173.576

(ii) Intangible Assets

0.000

0.000

0.000

(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

12.584

11.259

11.259

(c) Deferred tax assets (net)

0.529

0.428

0.269

(d)  Long-term Loan and Advances

0.774

0.774

0.774

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

221.680

202.175

185.878

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

463.447

426.030

298.141

(c) Trade receivables

182.861

193.192

221.409

(d) Cash and cash equivalents

51.240

41.661

60.555

(e) Short-term loans and advances

26.605

12.889

24.380

(f) Other current assets

20.655

0.000

5.884

Total Current Assets

744.808

673.772

610.369

 

 

 

 

TOTAL

966.488

875.947

796.247

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

915.748

918.675

1181.552

 

 

Other Income

6.267

5.503

4.843

 

 

TOTAL                                         (A)

922.015

924.178

1186.395

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

874.306

921.799

1155.965

 

 

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

(67.076)

(101.845)

(79.513)

 

 

Employee Benefits Expenses

17.842

14.652

12.517

 

 

Other Expenses

26.783

24.878

33.138

 

 

TOTAL                                         (B)

851.855

859.484

1122.107

 

 

 

 

 

Less

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

70.160

64.694

64.288

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

52.359

45.662

38.048

 

 

 

 

 

 

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

17.801

19.032

26.240

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION                     (F)

3.736

4.364

3.335

 

 

 

 

 

 

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

14.065

14.668

22.905

 

 

 

 

 

Less

TAX                                                                  (H)

5.146

5.272

8.317

 

 

 

 

 

 

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

8.919

9.396

14.588

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

81.226

71.830

57.242

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

90.145

81.226

71.830

 

 

 

 

 

 

Earnings Per Share (Rs.)

1.45

1.53

2.37

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

0.97

1.02

1.23

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

1.54

1.60

1.94

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

1.48

1.70

2.92

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.06

0.06

0.11

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

1.71

1.49

1.63

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.06

1.08

1.07

 

 

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

No

17]

Major suppliers

No

18]

Major customers

Yes

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

Yes

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

Yes

 

 

UNSECURED LOANS:

 

Particulars

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Term Loans from Others

15.010

14.056

Short Term Borrowings

 

 

Term Loans from Others

0.000

1.160

 

 

 

Total

15.010

15.216

 

 

INDEX OF CHARGE:

 

Sr. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10345555

22/03/2012

375,000,000.00

STATE BANK OF PATIALA

COMMERCIAL BRANCH, CHANDRALOK BUILDING, 36, JANPATH, NEW DELHI, DELHI - 110001, INDIA

B36280469

2

10218379

22/03/2012 *

415,000,000.00

STATE BANK OF PATIALA

COMMERCIAL BRANCH, CHANDRALOK BUILDING, 36, JANPATH, NEW DELHI, DELHI - 110001, INDIA

B36258507

3

10208210

30/01/2010

21,000,000.00

INTEC CAPITAL LIMITED

701,MANJUSHA, 57 NEHRU PLACE, NEW DELHI, DELHI -
110019, INDIA

A81338683

4

10158119

17/02/2010 *

28,800,000.00

STATE BANK OF PATIALA

27, TPT CENTRE, SUBZI MANDI, AZADPUR, DELHI- 110033, DELHI, DELHI - 110033, INDIA

A80647696

5

10118483

04/08/2008

3,800,000.00

STATE BANK OF PATIALA

AZADPUR, DELHI-110033, DELHI, DELHI - 110033, INDIA

A44275188

6

10016368

28/08/2006

2,000,000.00

UNITEL CREDIT PRIVATE LIMITED

701 MANJUSHA 57NEHRU PLACE, SHEIKH SARAI PHASE II, NEW DELHI, DELHI - 110019, INDIA

A03579067

 

* Date of charge modification

 

 

FIXED ASSETS:

 

·         Land

·         Building

·         Plant and Equipment

·         Furniture and Fixture

·         Vehicles

·         Office Equipment

·         Computer 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 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.61.54

UK Pound

1

Rs.101.08

Euro

1

Rs.83.38

 

 

INFORMATION DETAILS

 

Information Gathered by :

PLK

 

 

Report Prepared by :

NKT

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

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

NO

--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.