MIRA INFORM REPORT
|
Report Date : |
04.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
SANGHAVI EXPORTS INTERNATIONAL PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
CE-4011, CE-4012, CE-4013, Bharat Diamond Bourse, Bandra Kurla
Complex, Bandra (East), Mumbai – 400051, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
16.04.2007 |
|
|
|
|
Com. Reg. No.: |
11-170013 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.242.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U36911MH2007PTC170013 |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAKCS7350N |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer of Cut and Polished Diamonds. |
|
|
|
|
No. of Employees
: |
2300 (Approximately) (In Office 300) + (In Factory 2000) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (48) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory track record. General financial position of the company seems to be sound and
healthy. Profitability of the company is fair. Trade relations are fair. Business is active. Payment terms are
reported to be usually correct. The company can be considered for business 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
N E W S
The economy grew 4.7
%in 2013/14, marking a second straight year of sub-5 % growth – the worst
slowdown in more than a quarter of a century. The data was below an official
estimate of 4.9 % annual growth and compared with 4.5 % in the last fiscal
year. However, the current account deficit narrowed sharply to $ 32.4 billion
at 1.7 % of gross domestic product, in 2013/14 from a record high of $ 98.8
billion or 4.7 %, the year before.A sharp fall in gold imports due to
restrictions on overseas purchases and muted import of capital goods helped
shrink the current account deficit.
Online retailer
Flipkart has acquired fashion portal Myntra as it prepares to battle with the
rapidly expanding India arm of the global e-commerce giant Amazon. The company
raised $ 210 million from Russian Investment firm DST Global which has also
invested in companies like Facebook, Twitter and Alibaba Group.
General Motors will
start exporting vehicles from its Talegaon plant near Pune in the second half
of 2014. GM was one of the few global carmakers that was using its India plant
only for the domestic market.
Google has overtaken
Apple as the world’s top brand in terms of value, according to global market
research agency Millward Brown. Google’s brand value shot up 40 % in a year to
$ 158.84 billion. The top 10 of the 100 slots were dominated by US companies.
Infosys lost another
heavy weight when B G Srinivas, a board member put in his papers. He is the
third CEO-hopeful to quit after Chairman N R Narayana Murthy’s return to the
company – Ashok Vemuri and V Balakrishnan being the other two.While Vemuri went
on to lead IGate, Balakrishnan joined politics.
Naresh Goyal – promoted
Jet Airways posted biggest quarterly loss – Rs 2153.37 crore – in the three
months ended March 31, mainly because it has been offering discounts to
passengers to fill planes.
William S Pinckney –
Chairman and CEO of Amway India was arrested by the Andhra Pradesh Police in
connection with a complaint against the direct selling firm. This is the second
time that he has been taken into custody. A year, ago the Kerala Police had
arrested Pinckney and two company directors on charges of financial irregularities.
China has told its
state-owned enterprises to sever links with American consulting firms after the
United States charged five Chinese military officers wih hacking US companies.
China’s action which targets consultancies like McKinsey & Co. and the
Boston Consulting Group, sterns from fears that the first are providing trade
secrets to the US governments.
India has emerged as
a country with some of the highest unregistered businesses in the world.
Indonesia has the maximum number of shadow businesses, says a study of 68
countries by Imperial College Business School in London.
Pfizer has abandoned
its attempt to buy AstraZeneca for nearly $ 118 billion after the latter
refused an offer of 55 pounds a share.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
BBB = Long Term Bank Facilities |
|
Rating Explanation |
Moderate degree of safety and moderate
credit risk. |
|
Date |
30 January 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. Raju Vyas |
|
Designation : |
Accounts Department |
|
Contact No.: |
91-22-23676724 |
|
Date : |
30.06.2014 |
LOCATIONS
|
Registered Office / Head Office : |
CE-4011, CE-4012, CE-4013, Bharat Diamond Bourse, Bandra Kurla Complex,
Bandra (East), Mumbai – 400051, Maharashtra, India |
|
Tel. No.: |
91-22-23676724 / 42466400 / 01 |
|
Mobile No.: |
91-9867386829 |
|
Fax No.: |
91-22-42466555 |
|
E-Mail : |
|
|
Website : |
|
|
Area : |
800 sq.fts |
|
Location : |
Owned |
|
|
|
|
Factory : |
Opposite Prannath Hospital, V Surat – 395004, Gujarat, India |
|
Tel. No.: |
91-261-251389 |
|
Fax No.: |
91-261-2513898 |
|
Area : |
100000 sq.fts |
|
Location : |
Owned |
|
|
|
|
Branch Office : |
The Light House, Near Sanghavi Diamond, Ved Road, Surat – 395004,
Gujarat, India |
|
Tel. No.: |
91-261-3939393 |
|
Fax No.: |
91-261-3939398 |
|
E-Mail : |
|
|
|
|
|
Overseas Office : |
601-2, Trans HK Comms Building, 41-43, Carnarvon Road, T.S.T. Kowloon,
Hong Kong |
|
Tel. No.: |
852-2721-8608 |
|
Fax No.: |
852-27239704 |
|
E-Mail : |
|
|
Location : |
Owned |
DIRECTORS
As on 30.09.2013
|
Name : |
Mr. Chandrakantbhai Ravchandrabhai Sanghvi |
|
Designation : |
Director |
|
Address : |
25/252 Pariki Plot 1, B/H Tribhuvan Complex, Athwalines, Surat –
395007, Gujarat, India |
|
Date of Birth/Age : |
06.12.1951 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
00392409 |
|
|
|
|
Name : |
Mr. Ketankumar Kirtilal Sanghavi |
|
Designation : |
Director |
|
Address : |
1301,
Chandanbala, 13th Floor, Ratilal Thakkar Marg, Walkeshwar., Mumbai, 400006,
Maharashtra, India |
|
Date of Birth/Age : |
29.08.1949 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
00794060 |
|
|
|
|
Name : |
Mr. Rameshchandra Ravchandbhai Sanghavi |
|
Designation : |
Director |
|
Address : |
3, Sanghavi Bunglow,Near Indoor, Stadium,Tribhuvan Complex, Ghod Dod
Road, District Surat – 395002, Gujarat, India |
|
Date of Birth/Age : |
29.08.1949 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
00813863 |
|
|
|
|
Name : |
Mr. Jayesh Vasantlal Sanghavi |
|
Designation : |
Director |
|
Address : |
19, Kailash Niketan Society, 24, l. D. Ruparel Marg, Walkeshwar,
Mumbai- 400006, Maharashtra, India |
|
Date of Birth/Age : |
01.06.1968 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
00814828 |
|
|
|
|
Name : |
Mr. Kirtilal Ravchandbhai Sanghavi |
|
Designation : |
Director |
|
Address : |
Sy No. 2369 / 7 2369 / 8 EP 251 252 Paiy, Plot 4 B/H, Tribuuvan
Complex Athwalines, Surat – 395002, Gujarat, India |
|
Date of Birth/Age : |
02.11.1947 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
01037677 |
|
|
|
|
Name : |
Mr. Kalpesh Vasantlal Sanghavi |
|
Designation : |
Director |
|
Address : |
19, Kailash Niketan Society, 24, l. D. Ruparel Marg, Walkeshwar,
Mumbai- 400006, Maharashtra, India |
|
Date of Birth/Age : |
01.06.1968 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
01038197 |
|
|
|
|
Name : |
Mr. Virenkumar Kirtilal Sanghavi |
|
Designation : |
Director |
|
Address : |
1 Vir Ratna Bunglow No. 1, Tribhuvan Complex, Opposite Indor Stadium
Ghodhar Road, Surat -395007, Gujarat, India |
|
Date of Birth/Age : |
25.05.1979 |
|
Date of Appointment : |
16.04.2007 |
|
DIN No.: |
01550260 |
KEY EXECUTIVES
|
Name : |
Mr. Raju Vyas |
|
Designation : |
Accounts Department |
MAJOR SHAREHOLDERS
As on 31.03.2013
|
Names of Shareholders |
|
No. of Shares |
|
Kiritilal R Sanghavi |
|
440000 |
|
Rameshbhai R Sanghavi |
|
660000 |
|
Chandrakant R Sanghavi |
|
1100000 |
|
Kalpesh V Sanghavi |
|
616000 |
|
Jayesh V Sanghavi |
|
616000 |
|
Ketan K. Sanghavi |
|
880000 |
|
Viren K Sanghavi |
|
660000 |
|
Vasantlal R Sanghavi HUF |
|
1100000 |
|
Chandrakant R Sanghavi H.U.F |
|
3520000 |
|
Kirtilal R Sanghavi HUF |
|
3520000 |
|
Rameshbhai R Sanghavi HUF |
|
3960000 |
|
Sanghavi Family Trust, India |
|
660000 |
|
Sanghavi
Jewellery Manufacturing Private Company Limited, India |
|
4180000 |
|
Cupidity Trading Private Limited, India |
|
200000 |
|
Roseate Trading Private Limited, India |
|
1000000 |
|
Cohort Mercantile Private Limited, India |
|
1000000 |
|
Bhartiben V. Sanghavi |
|
88000 |
|
Total |
|
24200000 |
Equity Share Break up (Percentage of Total Equity)
As on 30.09.2013
|
Category |
Percentage |
|
Bodies corporate |
17.27 |
|
Directors or relatives of Directors |
45.46 |
|
Other top fifty shareholders |
37.27 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Cut and Polished Diamonds. |
|
|
|
|
Exports : |
|
|
Products : |
Diamonds |
|
Countries : |
|
|
|
|
|
Imports : |
|
|
Products : |
Diamonds |
|
Countries : |
|
|
|
|
|
Terms : |
|
|
Selling : |
Credit |
|
|
|
|
Purchasing : |
Credit |
GENERAL INFORMATION
|
Customers : |
Wholesalers and Retailers |
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
No. of Employees : |
2300 (Approximately) (In Office 300) + (In Factory 2000) |
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Bankers : |
|
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Hansmukh Jain and Company Chartered Accountants |
|
Address : |
12, Jyoti Sadan,
Gulmohar Cross Road No. 6,JVPD Scheme, Juhu, Vile Parle (West), Mumbai,
Maharashtra, India |
|
PAN No.: |
AAIPJ4368A |
|
|
|
|
Subsidiaries : |
·
Sanghavi Diamonds Private Limited CIN No.: U36912MH1991PTC060438 ·
Sanghavi Star Retail Private Limited CIN No.: U51109MH2008PTC177895 ·
Sanghavi Jewels Private Limited CIN No.: U36910MH2005PTC151449 ·
Crystal Gem (HK) Limited |
CAPITAL STRUCTURE
As on 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25000000 |
Equity Shares |
Rs.10/- each |
Rs.250.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
24200000 |
Equity Shares |
Rs.10/- each |
Rs.242.000 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 |
242.000 |
242.000 |
242.000 |
|
(b) Reserves & Surplus |
2,919.340 |
2,817.496 |
2,308.154 |
|
(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) |
3,161.340 |
3,059.496 |
2,550.154 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
1.295 |
1.945 |
0.838 |
|
(b) Deferred tax liabilities (Net) |
51.835 |
48.896 |
34.491 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
16.953 |
9.883 |
7.515 |
|
Total Non-current
Liabilities (3) |
70.083 |
60.724 |
42.844 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
5,442.445 |
5,222.721 |
5,343.197 |
|
(b) Trade
payables |
2,507.158 |
3,701.143 |
1,699.565 |
|
(c) Other
current liabilities |
5.882 |
12.058 |
20.565 |
|
(d) Short-term
provisions |
14.641 |
12.401 |
0.725 |
|
Total Current
Liabilities (4) |
7,970.126 |
8,948.323 |
7,064.052 |
|
|
|
|
|
|
TOTAL |
11,201.549 |
12,068.543 |
9,657.050 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
736.463 |
736.314 |
384.794 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
0.000 |
7.464 |
1.388 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
179.937 |
179.937 |
175.937 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
46.260 |
81.531 |
65.842 |
|
(e) Other
Non-current assets |
7.385 |
1.262 |
2.223 |
|
Total Non-Current
Assets |
970.045 |
1,006.508 |
630.184 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
3,077.561 |
4,709.477 |
3,487.203 |
|
(c) Trade
receivables |
6,946.569 |
6,232.319 |
5,443.518 |
|
(d) Cash
and cash equivalents |
68.377 |
43.421 |
23.134 |
|
(e)
Short-term loans and advances |
138.997 |
76.818 |
73.011 |
|
(f) Other
current assets |
0.000 |
0.000 |
0.000 |
|
Total
Current Assets |
10,231.504 |
11,062.035 |
9,026.866 |
|
|
|
|
|
|
TOTAL |
11,201.549 |
12,068.543 |
9,657.050 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
11,287.361 |
11,897.414 |
10,900.524 |
|
|
|
Other Income |
10.155 |
324.234 |
78.749 |
|
|
|
TOTAL (A) |
11,297.516 |
12,221.648 |
10,979.273 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
8,038.932 |
10,325.390 |
8,669.964 |
|
|
|
Purchase of Stock-in-trade |
1,203.607 |
503.672 |
146.215 |
|
|
|
Changes in Inventories of finished goods, work-in-progress and
stock-in-trade |
490.420 |
(881.079) |
185.422 |
|
|
|
Employee Benefits Expenses |
181.462 |
171.331 |
145.233 |
|
|
|
Other Expenses |
750.820 |
1,205.886 |
1,117.120 |
|
|
|
TOTAL (B) |
10,665.241 |
11,325.200 |
10,263.954 |
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
632.275 |
896.448 |
715.319 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
432.718 |
616.092 |
474.174 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)
(E) |
199.557 |
280.356 |
241.145 |
|
|
|
|
|
|
|
|
|
Less |
DEPRECIATION/
AMORTISATION (F) |
25.661 |
25.193 |
20.421 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX (E-F) (G) |
173.896 |
255.163 |
220.724 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
58.939 |
82.105 |
72.362 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
AFTER TAX (G-H) (I) |
114.957 |
173.058 |
148.362 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
783.212 |
610.154 |
461.792 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
898.169 |
783.212 |
610.154 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
4.75 |
7.15 |
6.13 |
|
|
Particulars |
|
|
31.03.2014 |
|
Sales Turnover (Approximately) |
|
|
11080.000 |
The above information has been parted by Mr. Raju Vyas
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
1.02 |
1.42 |
1.35 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.54 |
2.14 |
2.02 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.58 |
2.15 |
2.33 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.06 |
0.08 |
0.09 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
1.72 |
1.71 |
2.10 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.28 |
1.24 |
1.28 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Share Capital |
242.000 |
242.000 |
242.000 |
|
Reserves & Surplus |
2308.154 |
2817.496 |
2919.340 |
|
Net
worth |
2550.154 |
3059.496 |
3161.340 |
|
|
|
|
|
|
long-term borrowings |
0.838 |
1.945 |
1.295 |
|
Short term borrowings |
5343.197 |
5222.721 |
5442.445 |
|
Total
borrowings |
5344.035 |
5224.666 |
5443.740 |
|
Debt/Equity
ratio |
2.096 |
1.708 |
1.722 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales |
10,900.524 |
11,897.414 |
11,287.361 |
|
|
|
9.145 |
(5.128) |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales
|
10,900.524 |
11,897.414 |
11,287.361 |
|
Profit |
148.362 |
173.058 |
114.957 |
|
|
1.36% |
1.45% |
1.02% |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
Rs.
In Millions
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
Current maturities of long term debt |
0.650 |
1.153 |
0.564 |
|
Total |
0.650 |
1.153 |
0.564 |
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
Yes |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact
person |
Yes |
|
11] |
Turnover of firm for last
four years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----------- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
Yes |
|
20] |
Export / Import details
(if applicable) |
Yes |
|
21] |
Market information |
---------- |
|
22] |
Litigations that the firm
/ promoter involved in |
---------- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
---------- |
|
26] |
Buyer visit details |
---------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
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 |
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was possible
only due to combination of the manufacturing skills of the Indian workforce and
the untiring and unflagging efforts of the Indian diamantaires, supported by
progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
-
Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem and Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
-
The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a global
voluntary regulatory standard on bank capital adequacy, stress testing and
market liquidity.
UNSECURED LOANS:
|
Particulars |
31.03.2013 Rs. In Millions |
31.03.2012 Rs. In Millions |
|
Short Term Borrowings |
|
|
|
Loans and advances from related parties |
247.569 |
103.234 |
|
Loans and advances from others |
175.726 |
195.436 |
|
Total |
423.295 |
298.670 |
PERFORMANCE
During the year ended 31st March 2013, the total profit of the company
amounted to Rs.114.957 Millions. The Company has recorded a profit of
Rs.173.896 Millions before adjustment of tax .
INDEX OF CHARGE:
|
Sr. No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10069566 |
28/01/2013 * |
7,020,000,000.00 |
Bank of India and 12 others |
Opera House Mid
Corporate Branch , Hermes House , |
B71442305 |
|
2 |
10069567 |
16/04/2012 * |
7,020,000,000.00 |
Bank of India and 12 others |
Opera House Mid
Corporate Branch , Hermes House , |
B39551387 |
*Date of modification Charges
FIXED ASSETS:
·
Land
·
Building
·
Plant and Machinery
·
Computer
·
Vehicles
·
Furniture and Fixture
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.59.97 |
|
|
1 |
Rs.102.89 |
|
Euro |
1 |
Rs.80.02 |
INFORMATION DETAILS
|
Information
Gathered by : |
PDT |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
VNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
48 |
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.