|
Report Date : |
29.01.2014 |
IDENTIFICATION DETAILS
|
Name : |
BHUSHAN POWER AND STEEL LIMITED |
|
|
|
|
Registered
Office : |
4th Floor, Tolstoy House, 15-17, Tolstoy Marg, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
22.02.1999 |
|
|
|
|
Com. Reg. No.: |
55-108350 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.2013.337 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U27100DL1999PLC108350 |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer of Iron and Steel. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (50) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 250000000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well-established company having a satisfactory track
record. Financial position of the company appears to be sound. Directors are
reported to be experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered good 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.
ECGC Country Risk Classification List – December 1, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
The services sector, the largest contributor to India’s GDP, contracted
for the sixth consecutive month in December, as orders dipped. However, hiring
has risen. Direct tax collections rose 12.3 % during the April – December
period of the current financial year. The government has decided to
retain 100 per cent foreign direct investment in both greenfield (new) and
brown field (existing) pharmaceutical companies, despite concerns over genetic
drugs going out of production, if multi-national companies take over domestic
ones. In M&A deals, a non compete clause would not be allowed, except in
special circumstances. The Department of Industrial Policy and Promotion plans
to release the next edition of its consolidated foreign direct investment
policy document on March 31, incorporating changes made in the past year. DIPP
compiles all policies related to India’s FDI regime into a single document to
make it easy for investors to understand. 185 million estimated number of
mobile internet users in India by June 2014, according to a report by the
Internet & Mobile Association of India and IMRB International. India
had 110 million mobile internet users with 25 million in rural areas. $3.77 tn
estimated global IT spending in 2014, according to research firm Gartner Inc.
The growth forecast for this year is cut to 3.1 %from the earlier estimate of
3.5 %. The spending growth forecast for telecom services – a segment that
accounts for more than 40 % at total IT spending – from 1.9 per cent to 1.2 per
cent is the main reason for this overall IT cut. A Reserve Bank of India
committee has recommended setting up a special category of lenders who would
cater to small businesses and households, to expand the number of customers
with access to banking services. These banks would focus onproviding payment
services and deposit products. Indian banks want the free use of
automated teller machines to be capped at five transactions in a month
including that of the bank in which the account is active. This follows state
government order to banks to install security guards at ATM booths after a
woman banker was assaulted in Bangalore. The government is likely to present a
vote on Account in mid-February. The annual Economic Survey will be tabled
later in Parliament along with the full Budget. A full Budget for 2014/15 is
likely to be present in July by the new government formed after the General
Election. The government will soon launch an internet spy system, called Netra,
to detect malafide messages. Security agency will deploy the system to capture
dubious voice traffic on applications such as Skype and Google Talk, as well as
tweeters.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long term bank facilities: A- |
|
Rating Explanation |
Adequate degree of safety and low credit risk. |
|
Date |
14.01.2014 |
|
Rating Agency Name |
CARE |
|
Rating |
short term bank facilities: A1 |
|
Rating Explanation |
Very strong degree of safety and carry lowest credit risk. |
|
Date |
14.01.2014 |
|
Rating Agency Name |
CARE |
|
Rating |
Short term unsecured loans: A2+ |
|
Rating Explanation |
Strong degree of safety and low credit risk. |
|
Date |
14.01.2014 |
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.
LOCATIONS
|
Registered Office : |
4th Floor, Tolstoy House, 15-17, Tolstoy Marg, Connaught Place, New
Delhi – 110001, India |
|
Tel. No.: |
91-11-30451000/41522165 |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
DIRECTORS
As on 30.09.2013
|
Name : |
Mr. Sanjay Singal |
|
Designation : |
Managing director |
|
Address : |
61, Sector 5, Chandigarh, India |
|
Date of Birth/Age : |
19.06.1960 |
|
Date of Appointment : |
22.02.1999 |
|
DIN No.: |
00006579 |
|
PAN No.: |
ANRPS7985C |
|
|
|
|
Name : |
Ms. Aarti Singal |
|
Designation : |
Director |
|
Address : |
61, Sector 5, Chandigarh, India |
|
Date of Birth/Age : |
08.03.1961 |
|
Date of Appointment : |
30.03.2010 |
|
DIN No.: |
00007698 |
|
PAN No.: |
AEFPS6299L |
|
|
|
|
Name : |
Mr. Anil Shridhar Supanekar |
|
Designation : |
Director |
|
Address : |
1002/1003, DSK Chandadeep, Mukund Nagar, Pune, Maharashtra, India |
|
Date of Birth/Age : |
24.10.1940 |
|
Date of Appointment : |
29.09.2006 |
|
DIN No.: |
00023254 |
|
|
|
|
Name : |
Mr. Ravi Parkash Goyal |
|
Designation : |
Whole-time director |
|
Address : |
157, Sector 16, Panchkula, Haryana, India |
|
Date of Birth/Age : |
09.09.1951 |
|
Date of Appointment : |
01.03.2001 |
|
DIN No.: |
00006595 |
|
PAN No.: |
ADAPG0813G |
|
|
|
|
Name : |
Mr. Hardev Chand Verma |
|
Designation : |
Whole-time director |
|
Address : |
14/4 A, Burdwan Road, Alipore, Kolkata, West Bengal, India |
|
Date of Birth/Age : |
15.11.1952 |
|
Date of Appointment : |
01.03.2001 |
|
DIN No.: |
00007681 |
|
PAN No.: |
ABVPV6037G |
|
|
|
|
Name : |
Mr. Ram Naresh Yadav |
|
Designation : |
Whole-time director |
|
Address : |
14/4 A, Burdwan Road, Alipore, Kolkata, West Bengal, India |
|
Date of Birth/Age : |
16.07.1959 |
|
Date of Appointment : |
14.06.2003 |
|
DIN No.: |
00006697 |
|
PAN No.: |
AAAPY4673M |
|
|
|
|
Name : |
Mr. Ram Dev Batra |
|
Designation : |
Director |
|
Address : |
House No. 4184, Pocket 4, Sector D, Vasant Kunj, New Delhi, India |
|
Date of Birth/Age : |
16.05.1936 |
|
Date of Appointment : |
01.03.2001 |
|
DIN No.: |
00007769 |
|
|
|
|
Name : |
Mr. Dinesh Kumar Behal |
|
Designation : |
Director |
|
Address : |
House No. 3235, Phase – II, Dugri Road, Urban Estate, Ludhiana, Punjab, India |
|
Date of Birth/Age : |
19.02.1958 |
|
Date of Appointment : |
28.02.2006 |
|
DIN No.: |
00011735 |
|
|
|
|
Name : |
Jimmy Lachmandas Mahtani |
|
Designation : |
Nominee director |
|
Address : |
1, Chatsworth Road, #22-21, Singapore |
|
Date of Birth/Age : |
27.10.1976 |
|
Date of Appointment : |
22.11.2006 |
|
DIN No.: |
00996110 |
|
|
|
|
Name : |
Mr. Ashok Kumar Khushu |
|
Designation : |
Director |
|
Address : |
E-007, Purvasha Apartments, Ananad Lok Group Housing Society, Myuir Vihar, Phase – I, New Delhi, India |
|
Date of Birth/Age : |
15.12.1951 |
|
Date of Appointment : |
07.09.2013 |
|
DIN No.: |
00278227 |
KEY EXECUTIVES
|
Name : |
Mr. Ravinder Kumar Gupta |
|
Designation : |
Secretary |
|
Address : |
2147/3, Secotr 45-C, Chandigarh, India |
|
Date of Birth/Age : |
31.05.1958 |
|
Date of Appointment : |
21.09.2000 |
|
PAN No.: |
ADOPG2712Q |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2013
|
Names of Shareholders (Equity Shares) |
|
No. of Shares |
|
Sanjay Singal |
|
12585436 |
|
Sanjay Singal (HUF) |
|
256450 |
|
Priyanka Miglani |
|
1000895 |
|
Rdhika S Dhoot |
|
1000220 |
|
Aarti Singal |
|
5969324 |
|
Aniket Singal |
|
1750967 |
|
Jamine Steel, Trading Limited, India |
|
39772500 |
|
Marsh Steel Trading Limited, India |
|
39553500 |
|
Diyjyoti Steel Limited, India |
|
40032750 |
|
Vision Steel Limited, India |
|
41068673 |
|
Anuradha Supanekar |
|
10000 |
|
Baring Private Equity Asia III Mauritius holdings Limited, India |
|
10714285 |
|
|
|
|
|
Total |
|
193715000 |
|
Names of Shareholders (Preference Shares) |
|
No. of Shares |
|
Jamine Steel, Trading Limited, India |
|
527970 |
|
Marsh Steel Trading Limited, India |
|
542695 |
|
Diyjyoti Steel Limited, India |
|
555810 |
|
Vision Steel Limited, India |
|
510025 |
|
Sanjay Singal |
|
260250 |
|
Aarti Singal |
|
259550 |
|
Aniket Singal |
|
186250 |
|
Sanjay Singal (HUF) |
|
263350 |
|
Total |
|
3105900 |
Equity Share Break up (Percentage of Total Equity)
As on 30.09.2013
|
Category |
Percentage |
|
Foreign holdings( Foreign institutional
investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident
Indian(s) or Overseas Corporate bodies or Others |
5.53 |
|
Bodies corporate |
82.82 |
|
Directors or relatives of Directors |
11.65 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Iron and Steel. |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Bankers : |
· State Bank of Patiala, Commercial Branch, 2nd Floor, Chandralok Building, 36, Janpath, New Delhi - 110001, Delhi, India · Yes Bank Limited, 9th Floor, Nehru Centre, Discovery Of India, Dr. Annie Besant Road, Worli,, Mumbai - 400018, Maharashtra, India · Union Bank of India, Industrial Finance Branch, M-11, 1st Floor, Middle Circle, Connaught Circus, New Delhi - 110001, Delhi, India · Central Bank of India, Corporate Finance Branch, Parliament Street, Jeevan Tara Building, New Delhi - 110001, Delhi, India · United Bank of India, Corporate Finance Branch, 11 Hemanta Bsu Sarani, Kolkata - 700001, West Bengal, India · Oriental Bank of Commerce, Park Street Branch, 107/1, Park Street (1st Floor), Kolkata - 700016, West Bengal, India · State Bank of Mysore, 3,4,5, D.D.A Building, Nehru Place, New Delhi - 110019, Delhi, India · Andhra Bank, SCO 202-204, Sector 17-C, Chandigarh - 160017, Chandigarh, India · Bank of India, Mid Corporate Branch, Sector 17-B, Chandigarh - 160017, Chandigarh, India · Punjab National Bank, Large Corporate Branch, Sector 17 B, Chandigarh - 160017, Chandigarh, India · State Bank of Travancore, Commercial Branch, Travancore House K G Marg, New Delhi - 110001, Delhi, India · Indian Overseas Bank, Prakash Deep Building, 7, Tolstoy Marg, New Delhi - 110001, Delhi, India · Bank of Maharashtra, South Extension, Part-1, A-13, Ring Road, New Delhi - 110049, Delhi, India · Syndicate Bank, C-18, Paschimi Marg, Vasant Vihar, New Delhi - 110057, Delhi, India · Canara Bank, SCO 117-119, Sector 17-C, Chandigarh - 160017, Chandigarh, India · State Bank Of Bikaner and Jaipur, 6, Devika Tower, Nehru Place, New Delhi - 110019, Delhi, India · State Bank of Hyderabad, Commercial Branch, 74 Janpath, New Delhi - 110001, Delhi, India · Corporation Bank, Corporate Banking Branch, Hindustan Times House, 10th Floor, 18/20, K. G. Marg, Connaught Place, New Delhi - 110001, Delhi, India · Vijaya Bank, Brakhamba Road Branch, Ground Floor Vijaya Building 17 Barakhamba Road, New Delhi - 110001, Delhi, India · The South Indian Bank Limited, A 301, Iii Floor, Statesman House, 148, Barakhamba Road, New Delhi - 110001, Delhi, India · Export Import Bank of India, Centre One Building Floor 21, World Trade Centre Complex Cuffe Parade, Mumbai - 400005, Maharashtra, India · State Bank of Mysore, 3,4,5, D.D.A Building, Nehru Place, New Delhi - 110019, Delhi, India · Bank of Baroda, Corporate Financial Service Branch, 3, Walchand, Hirachand Marg, 1st Floor, Ballard Pier, Mumbai - 400001,Maharashtra, India · Punjab National Bank Consortium, Large Corporate Branch, Sector 17-B, Chandigarh - 160017, Chandigarh, India ·
Bank of Baroda, Corporate Financial Service
Branch, 3, Walchand, Hirachand Marg, 1st Floor, Ballard Pier, Mumbai -
400001, Maharashtra, India |
|||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Financial Institute: |
· Tata Capital Financial Services Limited, One Forbes, Dr. V. B. Gandhi Marg, Fort, Mumbai - 400001,Maharashtra, India · IFCI Limited, IFCI Tower61 Nehru Place, New Delhi - 110019, Delhi, India · Axis Trustee Services Limited, 2nd, Floor, E Block, Axis House, Bombay Dyeing, Compound, Pandhurang Bhudkar Marg, Worli, Mumbai - 400025, Maharashtra, India |
|
|
|
|
Auditors : |
|
|
Name : |
Mehra Goel and Company Chartered Accountants |
|
Address : |
505, Chirnjiv Tower, 43 Nehru Place, Delhi, India |
|
PAN N Income-tax PAN of auditor or auditor's firm : |
AABFM1488M |
|
|
|
|
Subsidiary
Companies:: |
· Aarti Minerals (Australia ) PTY Limited (upto 30.03.2013)* · Aarti Resources Mozambique Limitada (Liquidated on 30.03.2013) · Skap Electronics (Private) Limited, India (upto 23.11.2012)* [U74899DL1983PTC015894] |
|
|
|
|
Associates: |
· Nova Iron and Steel Limited, India [L02710CT1989PLC010052] · Ambey Steel and Power Private Limited, India [U27104CT2004PTC016778] · Aarti Minerals (Australia ) PTY Limited (w.e.f 31.03.2013)* · Electronics (Private) Limited (w.e.f 24.11.2012)* · Jasmine Steel Trading Company Limited, India [U51420CH2003PLC025890] · Marsh Steel Limited, India [U27100CH2003PLC026593] · Vision Steel Limited, India [U27100CH2003PLC026592] · Diyajyoti Steel Limited, India [U27100CH2003PLC026591] |
|
|
|
|
Joint Venture: |
· Rohne Coal Company Private Limited, India [U10300DL2008PTC176675] |
|
|
|
|
Enterprise over
which key managerial personnel have significant influence: |
· Atma Ram House Investment Private Limited, India [U65921DL1965PTC004523] |
CAPITAL STRUCTURE
As on 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
375000000 |
Equity Shares |
Rs.10/- each |
Rs. 3750.000 Millions |
|
7500000 |
Preference Shares |
Rs.100/- each |
Rs. 750.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 4500.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
193715000 |
Equity Shares |
Rs.10/- each |
Rs. 1937.150
Millions |
|
3105900 |
Preference Shares |
Rs.100/- each |
Rs. 310.590 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 2247.740 Millions |
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30000000 |
Equity Shares |
Rs.10/- each |
Rs. 3000.000 Millions |
|
5000000 |
Preference Shares |
Rs.100/- each |
Rs. 500.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 3500.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
193715000 |
Equity Shares |
Rs.10/- each |
Rs. 1937.150
Millions |
|
761867 |
Preference Shares |
Rs.100/- each |
Rs. 76.187 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 2013.337
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 |
2013.337 |
1937.150 |
1360.517 |
|
(b) Reserves & Surplus |
60722.448 |
52652.753 |
24831.769 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.000 |
11032.200 |
|
Total
Shareholders’ Funds (1) + (2) |
62735.785 |
54589.903 |
37224.486 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
179971.013 |
132105.195 |
97408.426 |
|
(b) Deferred tax liabilities (Net) |
11008.309 |
7958.309 |
5158.309 |
|
(c) Other long term liabilities |
20661.644 |
16089.221 |
7393.256 |
|
(d) long-term provisions |
283.478 |
103.415 |
85.027 |
|
Total Non-current Liabilities (3) |
211924.444 |
156256.140 |
110045.018 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
48603.314 |
36494.983 |
28259.346 |
|
(b) Trade payables |
9408.181 |
9491.993 |
10269.441 |
|
(c) Other current
liabilities |
22622.728 |
13483.084 |
10664.182 |
|
(d) Short-term provisions |
271.983 |
299.867 |
297.007 |
|
Total Current Liabilities (4) |
80906.206 |
59769.927 |
49489.976 |
|
|
|
|
|
|
TOTAL |
355566.435 |
270615.970 |
196759.480 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
137422.703 |
125469.040 |
78334.536 |
|
(ii) Intangible Assets |
11.463 |
7.215 |
7.894 |
|
(iii) Capital
work-in-progress |
141939.816 |
84419.515 |
66285.000 |
|
(iv)
Intangible assets under development |
149.344 |
0.000 |
0.000 |
|
(b) Non-current Investments |
1220.695 |
1013.858 |
151.409 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
11316.362 |
6367.803 |
6188.994 |
|
(e) Other Non-current assets |
337.930 |
65.233 |
37.713 |
|
Total Non-Current Assets |
292398.313 |
217342.664 |
151005.546 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
212.206 |
453.787 |
732.620 |
|
(b) Inventories |
19927.144 |
17648.280 |
23462.841 |
|
(c) Trade receivables |
17184.061 |
11090.129 |
8590.260 |
|
(d) Cash and cash
equivalents |
7336.532 |
8604.496 |
4510.672 |
|
(e) Short-term loans and
advances |
18508.179 |
15476.614 |
8457.541 |
|
(f) Other current assets |
0.000 |
0.000 |
0.000 |
|
Total Current Assets |
63168.122 |
53273.306 |
45753.934 |
|
|
|
|
|
|
TOTAL |
355566.435 |
270615.970 |
196759.480 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
86697.613 |
67510.903 |
46784.391 |
|
|
|
Other Income |
52.698 |
29.236 |
330.041 |
|
|
|
TOTAL (A) |
86750.311 |
67540.139 |
47114.432 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
42985.178 |
29374.474 |
28280.309 |
|
|
|
Purchases of stock-in-trade |
2916.564 |
856.140 |
2551.930 |
|
|
|
Changes in inventories of finished goods, work-in-progress and stock-in-trade |
(2687.923) |
4016.267 |
(8248.088) |
|
|
|
Employee benefit expense |
2235.416 |
1893.052 |
2576.728 |
|
|
|
Other expenses |
14249.776 |
10839.311 |
7788.818 |
|
|
|
TOTAL (B) |
59699.011 |
46979.244 |
32949.697 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
27051.300 |
20560.895 |
14164.735 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
10816.536 |
7360.448 |
4424.107 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
16234.764 |
13200.447 |
9740.628 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
7465.512 |
5059.776 |
3729.226 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
8769.252 |
8140.671 |
6011.402 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
3050.000 |
2800.000 |
1632.841 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
5719.252 |
5340.671 |
4378.561 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
11210.400 |
7878.100 |
5507.400 |
|
|
|
|
|
|
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend on equity |
9.700 |
7.200 |
6.800 |
|
|
|
Proposed dividend on Cumulative compulsorily convertible Preference Shares |
0.010 |
0.000 |
0.000 |
|
|
|
Dividend Tax |
1.700 |
1.200 |
1.100 |
|
|
|
Transferred to General Reserve |
2076.400 |
2000.000 |
2000.000 |
|
|
BALANCE CARRIED
TO THE B/S |
14841.800 |
11210.400 |
7878.100 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
150.194 |
NA |
NA |
|
|
TOTAL EARNINGS |
150.194 |
NA |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
12134.607 |
NA |
NA |
|
|
|
Stores & Spares |
398.902 |
NA |
NA |
|
|
|
Capital Goods |
6607.684 |
NA |
NA |
|
|
TOTAL IMPORTS |
19141.193 |
NA |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
29.52 |
37.00 |
32.18 |
|
|
|
Diluted |
25.63 |
32.26 |
26.17 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
6.59
|
7.91 |
9.29 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.11
|
12.06 |
12.85 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.13
|
4.40 |
4.61 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.14
|
0.15 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
3.64
|
3.09 |
3.38 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.78
|
0.89 |
0.98 |
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 |
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 |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director,
if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
HIGHLIGHTS OF
INDUSTRY REVIEW
Steel Industry in India is expected to grow at around 7% per annum. This is higher than the rate at which has growing in the last financial year. The recent reforms announced by the Govt. as well as expected monetary policy easing to be announced by the Reserve Bank of India may play the accelerator for growth in the steel industry. The lifting of iron ore ban will also help in this regard. The US economy is showing early signs of recovery. Though China’s overcapacity and sluggish demand remains a cause of concern, the general feeling is that the steel industry will turn around 2013-14.
World crude steel production reached 1547.800 Millions Tons during 2012, recording growth of 1.2% over 2011. During 2012, Chinese crude production reached 716.5 Million Tons, with a growth of 3.1 % over 2011 and remained the world’s largest crude steel producer in 2012, followed by Japan (107.2 million tons) and USA (86.6 million tons). India occupied 4th position with total production of 76.97 million tons for the third consecutive year recoding increase of 4.6% over 2011. Russia, South Koera, Germany, Turkey, Brazil and Ukraine are the other crude steel producing countries among top ten.
The current abysmally low per capita consumption of steel of 59 kg in India compared to China 427 kg and world average of 206 kg strengthens the argument that the domestic steel industry has a huge growth potential. The current per capita consumption has increased in the recent past from 29 kg to 59 kg. The National Steel Policy has set up the target of 100 million tons of steel production by 2018 whereas total crude steel production in 2012-13 was estimated to be about 90 million tons. Public Sector contributed about 21% of the total production. It is expected that Indian crude steel Industry will grow at CAGR of around 10% during 2013-14. Government proactive plans to boost economic growth in various industries, viz construction, infrastructure, automobile, power etc., will drive the steel industry in future.
Achieving a rank of the 4 th largest global crude steel producer in 2012, India has further made a mark globally in the production of sponge iron / direct reduction iron (DRI). Mushrooming growth of coal based sponge iron units in key mineral-rich pockets of the country, domestic production of sponge iron increased rapidly, enabling the country to achieve and maintain the number one position in the global market. Once the ongoing steel projects are implemented to its full capacity, it will re-write the steel industry structure and dynamics. With the domestic economy carrying forward infrastructure development, the future of Indian Steel Industry is certainly optimistic. For the 12th five year plan (2012-17), the Planning Commission has approved total outlay of Rs 911746.400 Millions.
HIGHLIGHTS OF
OPERAIONAL PERFORMANCE
The Company continues to manage effectively supply chain management, product mix enrichment, improvement in quality and productivity. Company also focus on innovation of new products to enlarge market share. The Company achieved Gross revenue for operation of Rs 95174.700 Millions as compared to Rs 72816.500 Millions last year recording growth of 30.70%. Net Profit after taxes increased by 7.09% to Rs. 5719.200 Millions. Cash Profit increased by 26.77% to Rs 16234.700 Millions. Better market demand, higher exports and better realization during the year has resulted into increased financial performance.
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY OVERVIEW
GLOBAL SCENARIO
The year 2013-14 offers encouragement after the past year of declining demand. World Trade Associations forecasts global steel consumption will rise a further 3.2% and reach 1.5 billion MT for 2014. World Steel Association represents steelmakers in 62 countries. World steel association outlook seems to be more positive. However economist noted that recently the primary risks to the strength of the global economy the Eurozone crisis, a hard landing for the Chinese economy and the US fiscal cliff - have stabilized considerably.
China has managed to keep the iron ore prices high by its predatory purchases across the global. Iron ore prices became particularly volatile after the move away from benchmark pricing to spot and short term contract pricing in 2010. China jinx may be nearing its end. Iron ore prices fluctuated but recovered to around USD 137 per ton by the end of current financial year, however thereafter further declined to USD 114 per ton.
Dip in prices was caused by supply and demand imbalances in China which last year absorbed 744 million tons of the world’s 1.2 billion tons of sea borne iron ore supply. It is estimated that the supply of iron ore will rise 9.1% this year but demand is likely to rise by only 8.55% as Australian producers export more and China’s demand remains sluggish. This could result in a surplus next year, which will widen until at least 2018 and prices of iron ore could cool sufficiently. Coking coal prices are witnessing instability in global steel.
OVERVIEW OF INDIAN
STEEL INDUSTRY
Till seventies, large scale capacity creation in public sector contributed to making India the 10 th largest steel producer in the world as crude steel production grew markedly to nearly 15 million tons. But the trend could not be sustained from late seventies onward, as the economic slowdown adversely affected the pace of growth of Indian Steel industries. In nineties the country replaced the control regime by liberalization and deregulation in the context of globalization. New economic policy impacted the Indian steel industry in many ways i.e. private sector came to play a prominent role in the overall set up, pricing and distribution control mechanism discontinued, iron and steel industry was included in high priority list for foreign investment, export restriction were removed. System thereafter marked changes. With the opening up of the economy in 1992 the country experienced rapid growth in steelmaking capacity. Large integrated steel plants were set up in the private sector by major steel players. In 1996-97 with the steady decline in the domestic economy, the growth of Indian steel industry slowed down. In foreign trade, Indian steel was also subject to anti-dumping duties as most developed economies invoked non-tariff barriers. However from 2002, global industry turned around. The situation was not different for Indian steel industry which by now had acquired maturity, with emphasis on intensive R and D activities, adoption of measures to increase domestic per capital steel consumption and other market development projects, import substitution measures, thrust on export promotion and exploring global avenues to fulfill inputs requirement. National Steel Policy was announced in 2005 as a basic blue print for growth and self-reliant and globally competitive sector. The long term objective of National Steel Policy 2005 is to ensure that India has a modern and efficient steel industry of world standard, catering to diversified steel demand. The focus of policy is to attain levels of global competitiveness in terms of global benchmarks of efficiency and productivity. The policy focuses on the domestic sector, but also envisages a steel industry growing faster than domestic consumption, which will enable export opportunities to be realized. Therefore a new Steel Vision for next twenty years is under finalization.
Steel Industry in India is expected to grow at around 7% per annum. This is higher than the rate at which has growing in the last financial year. The recent reforms announced by the Govt. as well as expected monetary policy easing to be announced by the Reserve Bank of India may play the accelerator for growth in the steel industry. The lifting of iron ore ban will also help in this regard. The US economy is showing early signs of recovery. Though China’s overcapacity and sluggish demand remains a cause of concern, the general feeling is that the steel industry will turn around 2013-14.
Crude steel production grew at CAGR of 7.7% during the last five years ending 2011-12 which incidentally marked the end of the 11th five year plan. Such growth was driven by capacity expansion. Crude steel performance has been contributed largely by the strong trends in growth of the electric route of steel making, particularly induction furnace route. India is also leading producer of sponge iron with a host of coal based units located in the mineral rich states of the country. India is also in important producer of pig iron with setting up of several units in the private sector. This has not only helped drastically reduction in imports but has turned out to be net exporter of pig iron. Private sector accounted for 91% of total production for sale of pig iron in 2011-12. India has emerged 4th largest producer of crude steel with total production of 76.97 million tons only after China, Japan and USA.
Steel demand in India is expected to grow at CAGR of 10-12% till 2014-15. Government is more focusing on infrastructure development with speedy growth. Power, roads, irrigation and urban infrastructure, housing sector are considered to be key drivers of growth and is likely to contribute to a significant portion of long steel demand in India. Good quality deposits of iron ore, particularly in the eastern region located in Odisha, Jharkhand and Chhattisgarh is prime destination of steel industry. The Company visualizes the potential of growth in steel sector.
Indian steel industry needs to address its own opportunities and challenges some of which are unique. Iron ore resources and surplus iron ore production capacity are significant strengths that the Indian steel industry has been unable to fully utilize due to host of issues, many being external to the industry as such. Iron ore is lifeline of Steel Industry and inadequate supply or low quality ore affects the both production and future growth.
OVERVIEW OF INDIAN
POWER SECTOR
The total installed capacity of Indian power sector is approx. 0.211 Million MW out of which fuel based power installed capacity is about 0.142 Millions MW. Hydro (Renewable) capacity is 0.039 Million MW, nuclear based power capacity is 0.005 Million MW. Govt has initiated several policies to promote and garner investments in power sector viz National Electricity policy, Ultra Mega Power Project Policy, Mega Power Policy CERC Policy, Tariff Policy etc. National Electricity Policy in fact stipulates power for all and annual per capital consumption of electricity to rise to 1000 units by 2012.
Waste heat recovery process has been recognized the competitive generation cost of power. In the Indian scenario, electricity sector is predominantly controlled by Public Sector Undertakings of Govt. of India in generation of electricity. Nuclear based power generation in the near future in the country shall bridge the gap of generation and demand of power sector. State level Corporations are also involved in the generation of electricity. The intra state distribution is managed by the State Electricity Boards (SEBs) and private companies. Power Grid Corporation of India is responsible for the inter-state transmission of electricity and the development of national grid.
UNSECURED LOAN
|
PARTICULARS |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
Long-term
Borrowings |
|
|
|
Intercorporate deposits |
0.000 |
146.000 |
|
Short-term
borrowings |
|
|
|
Rupee term loans from others |
500.000 |
9476.137 |
|
Commercial paper |
2500.000 |
2850.000 |
|
Foreign currency term loans from others |
0.000 |
4611.242 |
|
Total |
3000.000 |
17083.379 |
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
10472674 |
21/01/2014 |
4,550,000,000.00 |
DEUTSCHE BANK AG (SECURITY AGENT OF
DEUTSCHE BANK |
KODAK HOUSE,
222, DR D. N. ROAD, FORT, MUMBAI, MA |
B94407020 |
|
2 |
10472682 |
21/01/2014 |
11,050,000,000.00 |
DEUTSCHE BANK AG (SECURITY AGENT OF KFW
AND KFW IP |
KODAK HOUSE,
222, DR D. N. ROAD, FORT, MUMBAI, MA |
B94408309 |
|
3 |
10473502 |
21/12/2013 |
8,000,000,000.00 |
LIFE INSURANCE CORPORATION OF INDIA |
YOGAKSHEMA, 6TH
FLOOR, INVESTMENT DEPARTMENT,, WE |
B94687894 |
|
4 |
10473465 |
29/11/2013 |
1,000,000,000.00 |
U27100DL1999PLC108350 |
LARGE CORPORATE
BRANCH, SECTOR 17-B, CHANDIGARH, |
B94679032 |
|
5 |
10468385 |
19/11/2013 |
2,000,000,000.00 |
CANARA BANK |
SCO 117-119,
SECTOR 17-C, CHANDIGARH, CHANDIGARH |
B92797257 |
|
6 |
10464340 |
19/11/2013 * |
3,456,500,000.00 |
AXIS TRUSTEE SERVICES LIMITED |
2ND, FLOOR, E
BLOCK, AXIS HOUSE, BOMBAY DYEING, COMPOUND, PANDHURANG BHUDKAR MARG, WORLI,
MUMBAI, M |
B93240919 |
|
7 |
10462209 |
09/11/2013 |
2,000,000,000.00 |
THE SOUTH INDIAN BANK LIMITED |
A 301, III
FLOOR, STATESMAN HOUSE, 148, BARAKHAMB |
B90346982 |
|
8 |
10464267 |
31/10/2013 |
119,999,930.00 |
TATA CAPITAL FINANCIAL SERVICES LIMITED |
ONE FORBES, DR.
V. B. GANDHI MARG, FORT, MUMBAI, |
B91159871 |
|
9 |
10455673 |
21/10/2013 |
1,000,000,000.00 |
STATE BANK OF MYSORE |
3,4,5, D.D.A BUILDING,
NEHRU PLACE, NEW DELHI, DELHI - 110019, INDIA |
B87780532 |
|
10 |
10455674 |
19/11/2013 * |
7,100,000,000.00 |
AXIS TRUSTEE SERVICES LIMITED |
2ND, FLOOR, E
BLOCK, AXIS HOUSE, BOMBAY DYEING, C |
B93233435 |
* Date of charge modification
FIXED ASSETS
Tangible assets
· Land
· Buildings
· Plant and equipment
· Furniture and fixtures
· Vehicles
· Office equipment
· Railway sidings
· Books periodicals
Intangible assets
· Computer software
· Know-how
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.62.20 |
|
|
1 |
Rs.103.12 |
|
Euro |
1 |
Rs.84.96 |
INFORMATION DETAILS
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
6 |
|
--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 |
|
50 |
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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.