MIRA INFORM REPORT

 

 

Report Date :

02.06.2014

 

IDENTIFICATION DETAILS

 

Name :

ATUL LIMITED (w.e.f. 31.07.1996)

 

 

Formerly Known As :

ATUL PRODUCTS LIMITED

 

 

Registered Office :

Ashoka Chambers, Rasala Marg, Eillsbridge, Ahmedabad - 380006, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

11.12.1975

 

 

Com. Reg. No.:

04-002859

 

 

Capital Investment / Paid-up Capital :

Rs.296.800 Millions

 

 

CIN No.:

[Company Identification No.]

L99999GJ1975PLC002859

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

AMMA00199D/ SRTA02006E/ SRTA02005D/ SRTA01637G

 

 

PAN No.:

[Permanent Account No.]

AABCA2390M

 

 

Legal Form :

A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

Manufacturer of Dyestuff Chemicals, Drugs and Pharmaceuticals, Cresol, Sodium Sulphite, Sodium Sulphate, Soda Ash, Gypsum, Resorcinol, Aslurry, Spent Acid, Dinitro Diphenye, Sulfone, Metanilic Acid, Heavy Duty Break Fluid, Para Cand Panisaldehyde.

 

 

No. of Employees :

2716 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A (63)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 30000000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having fine track record.

 

Financial position of the company appears to be sound.

 

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

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

NOTES :

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

 

ECGC Country Risk Classification List – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

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

 

US investment bank Goldman Sachs  has upgraded its outlook on Indian markets as it expects positive impact of the election cycle.

 

India’s economy may grow 4.7 % in the current financial year, lower than the official estimate of 4.9 %, Fitch Rating said. The global rating agency expects the economy to pick up in the next two financial years.

 

Global ratings agency Standard & Poor said increasing focus by India Inc on lowering debt is likely to improve their credit profiles.

 

Singapore (1.1 million Indian tourists in 2012), Thailand (one million), the United Arab Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred holidays hotspots for Indians. The total figure is expected to increase to 1.93 million by 2017, according to the latest Eurmonitor international report.

 

There is a $29.34 bn outward foreign direct investment by domestic companies between April and January of 2013/14 which has seen some signs of recovery according to a Care Ratings report.

 

There are 264 number of new companies being set up every day on average during 2014. Most of them are registered in Mumbai. India had 1.38 million registered companies at the end of January, 2014.

 

Twitter like messaging service Weibo Corporation has filed to raise $ 500 million via a US initial public offering. Alibaba, which owns a stake in Weibo is expected to raise about $ 15 billion New York this year in the highest profile Internet IPO since Facebook’s in 2012.

 

Bharti Airtel has raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at a coupon rate of three per cent and maturing in 2020. This is the largest ever bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon rate in February.

 

Indian Oil Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex at its almost complete Paradip refinery in Odhisha in three to four years. The company board is set to consider the setting up of a 700000 tonne per annum polypropylene plant at an estimated cost at Rs.3150 crore.

 

Global chief information officers at gathering in Bangalore in April to meet Indian startups at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in the making.

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CARE

Rating

Long Term Bank Facility = AA

Rating Explanation

Having high degree of safety and carry very low credit risk

Date

16.01.2014

 

Rating Agency Name

CARE

Rating

Short Term Bank Facility = A1+

Rating Explanation

Having strong degree of safety and carry lowest credit rise.

Date

16.01.2014

 

 

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.

 

 

INFORMATION DECLINED

 

Management Non – Cooperative (91-2632-233265)

 

LOCATIONS

 

Registered Office :

Ashoka Chambers, Rasala Marg, Eillsbridge, Ahmedabad - 380006, Gujarat, India

Tel. No.:

91-79-26423706/ 26427520/ 26449294/ 26460520

Fax No.:

91-79-26404111

E-Mail :

wk.ag@atul.co.in

wk.ar@atul.co.in

wk.cl@atul.co.in

fi@atul.co.in

sec@atul.co.in

ahd@atul.co.in

jayesh_desai@atul.co.in

nirali_solanki@atul.co.in

Website :

http://www.atul.co.in

 

 

Head Office :

Colours Division Post Atul, Valsad – 396020, Gujarat, India

Tel. No.:

91-2632-233261/ 5

Fax No.:

91-2632-233619 / 233375 / 233024 / 233619 / 233384

E-Mail :

sec@atul.co.in

 

 

Mumbai Office:

310 B, Veer Savarkar Marg, Adjacent to Prabhadevi Telephone Exchange, Opposite India United Mills, Prabhadevi, Dadar (West), Mumbai-400028, Maharashtra, India

Tel. No.:

91-22-39876000

Fax No.:

91-22-24376061 / 24386065

E-Mail :

mum@atul.co.in

 

 

Factory 1 :

297, GIDC Industrial Estate,  Ankleshwar - 393 002, Gujarat, India

 

 

Factory 2 :

Atul, District Valsad, Gujarat, India

 

 

Factory 3 :

MIDC, Tarapur, Thane, Maharashtra, India

 

 

DIRECTORS

 

As on 31.03.2013

 

Name :

Mr. Sunil Lalbhai

Designation :

Chairman and Managing Director

Date of Birth:

15.03.1960

 

 

Name :

Mr. G. S. Patel

Designation :

Director

 

 

Name :

Dr. Satguru. Baijal

Designation :

Director

Date of Birth:

06.09.1929

 

 

Name :

Mr. Bansi S. Mehta

Designation :

Director

Date of Birth:

19.09.1935

 

 

Name :

Mr. Hasmukh Shah

Designation :

Director

 

 

Name :

Mr. Samveg Lalbhai

Designation :

Managing Director

 

 

Name :

Mr. Susim Datta

Designation :

Director

Date of Birth:

01.07.1936

 

 

Name :

Mr. Rajendra Shah

Designation :

Director (Alternate Director to Dr K Aparajithan)

Date of Birth:

07.07.1931

 

 

Name :

Mr. Bharathy Mohanan

Designation :

Whole time Director

 

 

Name :

Mr. Srinivasa Rangan

Designation :

Director

Date of Birth:

13.02.1960

 

 

KEY EXECUTIVES

 

Name :

Mr. Gopi Kanna Thirukonda

Designation :

Company Secretary

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 31.04.2014

 

Names of Shareholders

No. of Shares

Percentage of Holding

(A) Shareholding of Promoter and Promoter Group

 

 

http://www.bseindia.com/include/images/clear.gif(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifIndividuals / Hindu Undivided Family

854316

2.88

http://www.bseindia.com/include/images/clear.gifBodies Corporate

14159294

47.74

http://www.bseindia.com/include/images/clear.gifSub Total

15013610

50.62

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

15013610

50.62

(B) Public Shareholding

 

 

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifMutual Funds / UTI

1240338

4.18

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

63402

0.21

http://www.bseindia.com/include/images/clear.gifCentral Government / State Government(s)

336

0.00

http://www.bseindia.com/include/images/clear.gifInsurance Companies

548767

1.85

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

429445

1.45

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

609

0.00

http://www.bseindia.com/include/images/clear.gifTrusts

609

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

2282897

7.70

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

3449633

11.63

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs. 0.100 Million

5159926

17.40

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs. 0.100 Million

3464109

11.68

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

291558

0.98

http://www.bseindia.com/include/images/clear.gifNon Resident Indians

149220

0.50

http://www.bseindia.com/include/images/clear.gifForeign Nationals

100

0.00

http://www.bseindia.com/include/images/clear.gifClearing Members

142238

0.48

http://www.bseindia.com/include/images/clear.gifSub Total

12365226

41.69

Total Public shareholding (B)

14648123

49.38

Total (A)+(B)

29661733

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

http://www.bseindia.com/include/images/clear.gif(1) Promoter and Promoter Group

0

0.00

http://www.bseindia.com/include/images/clear.gif(2) Public

0

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

0

0.00

Total (A)+(B)+(C)

29661733

0.00

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Dyestuff Chemicals, Drugs and Pharmaceuticals, Cresol, Sodium Sulphite, Sodium Sulphate, Soda Ash, Gypsum, Resorcinol, Aslurry, Spent Acid, Dinitro Diphenye, Sulfone, Metanilic Acid, Heavy Duty Break Fluid, Para Cand Panisaldehyde.

 

 

Products :

Item Code No.

Product Description

3204

Synthetic Organic Colouring Matter

291200

Para Anisic Aldehyde

390730.09

Epoxy Resins

 

PRODUCTION STATUS (AS ON 31.03.2011)

 

Particulars

Unit

Installed Capacity

Actual Production

Aroma Products

MT

10400

4150

Herbicides

MT

12190

13217

Pharma Intermediates

MT

707

361

Caustic, Sulphuric, Resorcinol, Formaldehyde and Carbamite

MT

123436

98204

Cresols

MT

14420

7659

Dyes

MT

16343

14977

Resins

MT

18850

19418

Sulphones and Intermediates

MT

1620

1443

By products and miscellaneous chemicals

MT

NA

28836

 

Note:

 

1. Licensed Capacity - Delicensed vide Gazette Notification No. S.O. 477( E ) dated July 25, 1991.

2. As certified by General Manager - Manufacturing and being a technical matter, accepted by the Auditors, as correct.

3. Previous year figures have been recast on reclassification.

4. Figures in bracket are in respect of the previous year.

5. Gross production includes production for captive consumption.

 

GENERAL INFORMATION

 

No. of Employees :

2716 (Approximately)

 

 

Bankers :
  • Axis Bank
  • Bank of Baroda
  • Bank of India
  • Export Import Bank of India
  • State Bank of India

 

 

Facilities :

Secured Loan

31.03.2013

(Rs. in Millions)

31.03.2012

(Rs. in Millions)

Long-term Borrowings

 

 

Term loans

 

 

Rupee term loans from banks

0.000

101.400

Rupee term loans from financial institutions

416.600

520.800

Foreign currency term loans from banks

696.900

207.800

Foreign currency term loans from financial institutions

430.600

618.100

Short-term borrowings

 

 

Working capital loans repayable on demand from banks

1510.900

1457.900

Total

3055.000

2906.000

 

NOTE:

 

Type of loan [ Nature of security

Terms of repayment

Rupee term loan from banks amounting to Rs. Nil (Previous year: Rs. 263.700 Millions) was secured by first pari passu charge on the fixed assets of the Company as a whole, both present and future, excluding specific assets with specific charge

Since repaid

Rupee term loan from financial institution amounting to Rs. 520.800 Millions (Previous year: Rs. 625.000 Millions) is secured by first pari passu charge by way of hypothecation of all movable fixed assets and mortgage of immovable properties of the Company, present and future, excluding specific assets with exclusive charge and second charge on entire current assets of the Company, present and future.

15 equal half yearly installments beginning from January 14, 2011 along with interest ranging from 6.99% p.a. to 7.46% p.a. (balance installments payable-10).

 

Rupee term loan from financial institution amounting to Rs. Nil (Previous year : Rs. 27.100 Millions) was secured by first pari passu charge on the fixed assets of the Company as a whole, both present and future, excluding specific assets with specific charge

Since repaid

Foreign   currency term   loan   from   banks   amounting to Rs. 221.000 Millions (Previous year:   Rs. 255.800 Millions) is secured by first pari passu charge   by way of hypothecation of all movable fixed assets and mortgage of immovable properties of the Company, present and future, excluding specific assets with exclusive charge and second charge on entire current assets of the Company, present and future.

16 equal quarterly installments beginning from July 31,2012 along with interest @ 3 Month LIBOR + 225 bps p.a. (balance installments payable 14).

 Foreign   currency  term   loan  from   banks   amounting to Rs. 543.900 Millions (Previous year: Rs. Nil) is   secured by first pari passu charge on the entire   movable and immovable fixed assets of the Company, both present and future.

 

Repayable in  12 equal quarterly installments beginning from December 29, 2014 along with interest @ 3 Month LIBOR + 290 bps p.a.

Foreign currency loan from financial institution amounting to Rs. 657.200 Millions (Previous year Rs. 639.500 Millions) is secured by first pari passu charge   by way of hypothecation of all movable fixed   assets and mortgage of immovable properties of the Company, present and future, excluding specific assets with exclusive charge and second charge on entire current assets of the Company, present and future.

7   half yearly   installments   beginning from:   January 15, 2013 along with interest @ 6 Month LIBOR + 225 bps p.a. (balance installments payable 6).

 

 

 

Banking Relations :

 

 

 

Auditors :

 

Name :

Dalal and Shah

Chartered Accountants

 

 

Cost Auditors

 

Name :

R. Nanabhoy and Company

Chartered Accountants

 

 

Subsidiary Companies  :
  • Ameer Trading Corporation Limited
  • Atul Bioscience Limited
  • Atul Brasil Quimicos Ltda
  • Atul China Limited
  • Atul Deutschland GmbH
  • Atul Europe Limited
  • Atul Rajasthan Date Palms Limited
  • Atul USA Inc
  • DPD Limited

 

 

Joint Venture Company  :
  • Rudolf Atul Chemicals Limited

 

 

Associate Companies :
  • Amal Limited
  • Anchor Adhesives Private Limited
  • Atul Crop Care Limited
  • Atul Infotech Limited
  • Atul Seeds Limited
  • Gujarat Synthwood Limited
  • M. Dohmen S.A.

 

 

Enterprises over which significant influence exercised :
  • Atul Bio Space Limited
  • Atul Elkay Polymers Limited
  • Lapox Pojymer Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

80000000

Equity Shares

Rs. 10/- each

Rs.800.000 Millions

8000000

Cumulative Redeemable Preference Shares

Rs. 100/- each

Rs.800.000 Millions

 

 

 

 

 

Total

 

Rs. 1600.000 Millions

 

Issued :

No. of Shares

Type

Value

Amount

 

 

 

 

29691780

Equity Shares

Rs. 10/- each

Rs. 296.900 Millions

 

 

 

 

 

Subscribed  and  Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

29661733

Equity Shares

Rs. 10/- each

Rs. 296.600 Millions

 

Add: Forfeited Shares (amount paid up)

 

Rs. 0.200 Millions

 

 

 

 

 

Total

 

Rs. 296.800 Millions

 

Note:

 

The Company has two classes of shares referred to as Equity Shares having a par value of Rs. 10 and Cumulative Redeemable Preference Shares having a par value of Rs. 100.

In the event of liquidation of the Company, the holders of Equity Shares will be entitled to receive any of the remaining assets after distribution of all preferential amounts and Preference shares. The distribution will be in proportion to the number of Equity Shares held by the Shareholders.

Each holder of Equity Shares is entitled to one vote per share.

The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting.

56 Equity shares are held in abeyance due to disputes at the time of earlier rights issues.

 

Details of Shareholders holding more than 5% of Equity Shares:

 

Name of the Shareholder

As at March 31, 2013

 

Holding %

No of shares

Aeon Investments Private Limited

5.95%

17,64,383

Aura Securities Private Limited

5.44%

16,14,045

 

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

296.800

296.800

296.800

(b) Reserves & Surplus

7264.100

6122.500

5374.100

(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)

7560.900

6419.300

5670.900

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

1544.300

1449.000

1103.600

(b) Deferred tax liabilities (Net)

271.600

223.100

230.600

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

50.400

33.300

26.000

Total Non-current Liabilities (3)

1866.300

1705.400

1360.200

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

1604.500

1935.700

1612.700

(b) Trade payables

2753.200

2778.400

2234.600

(c) Other current liabilities

1029.100

1049.700

1060.200

(d) Short-term provisions

459.900

511.400

520.100

Total Current Liabilities (4)

5846.700

6275.200

5427.600

 

 

 

 

TOTAL

15273.900

14399.900

12458.700

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

4804.500

4175.500

3892.600

(ii) Intangible Assets

0.000

2.200

8.100

(iii) Capital work-in-progress

459.300

559.400

294.600

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

1285.600

1250.000

833.200

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

315.800

281.100

266.600

(e) Other Non-current assets

409.900

347.400

244.600

Total Non-Current Assets

7275.100

6615.600

5539.700

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

3075.300

2945.700

2613.900

(c) Trade receivables

3616.000

3682.200

2995.400

(d) Cash and cash equivalents

78.400

115.200

151.500

(e) Short-term loans and advances

1060.000

869.400

1028.200

(f) Other current assets

169.100

171.800

130.000

Total Current Assets

7998.800

7784.300

6919.000

 

 

 

 

TOTAL

15273.900

14399.900

12458.700

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

20014.800

17776.800

15344.000

 

 

Other Income

185.100

143.800

187.100

 

 

TOTAL                                     (A)

20199.900

17920.600

15531.100

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials consumed

11384.400

10551.300

8919.300

 

 

Purchase of stock-in-trade

163.600

200.100

167.000

 

 

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

(114.500)

(153.300)

-252.700

 

 

Employee benefit expenses

1277.600

1172.000

1016.900

 

 

Exchange rate difference

(34.600)

120.700

90.900

 

 

Other expenses

4831.100

4002.600

3651.400

 

 

Reversal of previous year finance costs

(53.800)

0.000

0.000

 

 

Long-term investment in subsidiary company

0.000

(65.100)

0.000

 

 

Gain on settlement of long – term export advance

0.000

0.000

-82.000

 

 

Recovery of advance written off in earlier years

0.000

0.000

-19.000

 

 

TOTAL                                     (B)

17453.800

15828.300

13491.800

 

 

 

 

 

Less

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

2746.100

2092.300

2039.300

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

331.300

431.000

262.200

 

 

 

 

 

 

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

2414.800

1661.300

1777.100

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

490.600

436.500

385.400

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

1924.200

1224.800

1391.700

 

 

 

 

 

Less

TAX                                                                  (H)

569.000

343.700

491.700

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

1355.200

881.100

900.000

 

 

 

 

 

 

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

3970.000

3340.000

2650.000

 

 

 

 

 

 

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

140.000

90.000

50.000

 

 

Proposed Dividend

180.000

140.000

140.000

 

 

Dividend distribution tax

30.000

20.000

20.000

 

BALANCE CARRIED TO THE B/S

4980.000

3970.000

3340.000

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

9524.000

7775.500

6513.300

 

TOTAL EARNINGS

9524.000

7775.500

6513.300

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

3139.100

3095.400

3328.800

 

 

Trading finished goods

109.800

110.300

28.400

 

 

Capital Goods

44.500

54.700

21.600

 

TOTAL IMPORTS

3293.400

3260.400

3378.800

 

 

 

 

 

 

Earnings Per Share (Rs.)

45.69

29.70

30.34

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)
6.71

4.92

5.79

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
9.61

6.89

9.07

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
14.22

9.73

12.28

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.25

0.19

0.25

 

 
 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 
0.42

0.53

0.48

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
1.37

1.24

1.27

                                                

 

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

296.800

296.800

296.800

Reserves & Surplus

5374.100

6122.500

7264.100

Net worth

5670.900

6419.300

7560.900

 

 

 

 

long-term borrowings

1103.600

1449.000

1544.300

Short term borrowings

1612.700

1935.700

1604.500

Total borrowings

2716.300

3384.700

3148.800

Debt/Equity ratio

0.479

0.527

0.416

 

 

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

15344.000

17776.800

20014.800

 

 

15.855

12.589

 

 

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

15344.000

17776.800

20014.800

Profit

900.000

881.100

1355.200

 

5.87%

4.96%

6.77%

 

 

 

 

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

No

33]

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

No

34]

External Agency Rating, if available

Yes

 

 

FINANCIAL PERFORMANCE

 

Net sales increased by 12% to Rs. 19640.000 Millions. Net sales in India increased by 5% to Rs. 9860.000 Millions. Export sales increased by 21% to Rs. 9770.000 Millions. PBT increased by 57% from Rs. 1220.000 Millions to Rs. 1920.000 Millions. During the year, CARE upgraded credit rating to CARE AA-(from CARE A+ in the Previous year) for long-term debts, while maintaining top notch CARE A1 + for short-term debts.

 

In September 2012, the Company was directed by Gujarat Pollution Control Board to close down manufacturing at its Valsad Complex and take measures to dismantle the old pipelines used for carrying liquid effluents; accordingly, manufacturing activity at the complex remained closed for most of October 2012 with its consequential decrease in sales and profit in the second half of the year. However, the Company does not expect significant long-term adverse impact.

 

Moreover, the Company undertook 25 projects to further enhance its performance in the area of environment protection with an investment of Rs. 710.000 Millions and expects to emerge stronger to face the future.

 

CROP PROTECTION

 

Crop Protection Business mainly comprises Fungicides, Herbicides and Insecticides. The products are used by customers belonging to Agriculture industry for the protection of crops. The Business comprises about 14 products and 44 formulations. It is not into Seeds which is now becoming an important input for Agriculture industry.

 

During the year, sales increased by 14% to Rs. 3850.000 Millions. Sales in India decreased by 1% to Rs. 1410.0000 Millions; bulk sales in India decreased by 20% whereas brand sales which are currently only in India increased by 24% to Rs. 730.0000 Millions. Export sales increased by 24% to Rs. 2440.000 Millions and formed 63% of the total. Growth on account of volume was 17%. Sales from new products and formulations were Rs. 80.000 Millions. The Company completed 4 projects and undertook 1 project for implementation.

 

World market for crop protection chemicals is estimated at US$ 51 bn and is growing at about 3%. Indian market for such chemicals is estimated at US$ 1 bn and is growing at about 5%. There are about 60 major companies which dominate the world marketplace, and there are about 10 companies in India having sales of more than US$ 100 mn.

 

The main user industry, namely. Agriculture, is growing well because of increasing population on the one hand and improving standard of living on the other. The Company will participate in this growth by i) building a strong sales and marketing organisation and broadening and deepening its presence in other countries, particularly in Africa and South America, ii) promoting its brands, iii) increasing its manufacturing and working capital efficiencies, iv) generating and adding capacities and v) introducing new products and formulations.

 

Floods orfamines will adversely affect the demand. Registration costs are high in certain countries. Fluctuations in foreign exchange will impact sales realisations. Given that some of these chemicals can be toxic, it is essential to take utmost care in their manufacture and use.

 

PHARMACEUTICALS

 

Pharmaceuticals Business mainly comprises API intermediates and a few APIs. The products are used by customers belonging to Pharmaceutical industry, under five broad therapeutic categories, namely, cardiovascular, anti-depressant, anti­diabetic, anti-infective and anti-retroviral. The Business comprises about 38 products, relatively new to the portfolio (of products) of the Company. It is not currently engaged in formulations of APIs.

During the year, sales increased by 23% to Rs. 3140.000 Millions. Sales in India increased by 27% to Rs. 1710.000 Millions. Export sales increased by 18% to Rs. 1430.000 Millions and formed 46% of the total. Growth on account of volume was 11%. Sales from new products were Rs. 80.000 Millions. Atul Bioscience, a 100% subsidiary company, focussed on production of advanced API intermediates, sales of which increased from Rs. 110.000 Millions to Rs. 270.000 Millions, almost wholly because of volume; it undertook capacity expansion in both of its plants.

 

World market for pharmaceuticals is estimated at US$ 730 bn (comprising US$ 680 bn prescription drugs and US$ 50 bn generic drugs) and is growing at about 5%. Indian pharmaceuticals market is estimated at US$ 22 bn (including sales out of India) and is growing at about 8%. There are around 20 major companies which dominate the world marketplace in prescription drugs space with share of about 67% and around 8 companies in generic drugs space with share of about 70%.

 

The main user industry, namely. Healthcare, is growing well because of increasing awareness about diseases and health. The Company along with Atul Bioscience will participate in this growth by i) widening its market reach, ii) increasing its manufacturing efficiencies, iii) generating and adding capacities and iv) introducing new products. It will also form long-term alliances with other companies.

 

Prices of many products come down significantly in a short time. Fluctuations in foreign exchange will impact sales realisations.

 

AROMATICS

 

Aromatics Business mainly comprises p-Cresol and its downstream products. The products are mainly used by customers belonging to Flavour and Fragrance and Personal Care industries. The Business comprises about 29 products.

 

During the year, sales increased by 55% to Rs. 3880.000 Millions. Sales in India increased by 43% to Rs. 1130.000 Millions. Export sales increased by 60% to Rs. 2750.000 Millions and formed 71% of the total. Growth on account of volume was 31%. Sales from new products were Rs. 70.000 Millions. The Company completed capacity expansion of p-Cresol and undertook 4 projects for implementation.

 

World market of p-Cresol is estimated at 55,000 mt and is growing at about 3%. Though earlier the product used to be manufactured in the UK and the USA, China and India are now the major suppliers of the product. World market of flavour and fragrance chemicals is estimated at US$ 23 bn and is growing at about 5%.

 

The main user industries, namely. Flavour and Fragrance and Personal Care, are growing well because of increasing population on the one hand and improving standard of living on the other. The Company will participate in this growth by i) broadening its market reach, ii) increasing its manufacturing efficiencies, iii) adding capacities and iv) introducing new products.

 

The prices of key raw materials which are derived from crude oil fluctuate almost monthly whereas the customers in the user industries expect the prices of the finished products to remain firm for a quarter or even more; on such occasions, it is possible to get affected adversely. Fluctuations in foreign exchange will impact sales realisations.

 

BULK CHEMICALS

 

Bulk Chemicals Business mainly comprises Sodium Hydroxide, Chlorine, Sulphuric Acid, Oleum, Sulphur Trioxide, Chlorosulphonic Acid and Resorcinol. Barring Chlorosulphonic Acid and Resorcinol, the rest of the products are used for captive consumption. Resorcinol is mainly used by customers belonging to Tyre industry. The Business comprises about 22 products.

 

During the year, (external) sales increased by 12% to Rs. 770.000 Millions. Sales in India increased by 9% to Rs. 600.000 Millions. Export sales decreased by 21 % to Rs. 170.000 Millions and formed 22% of the total. Growth on account of volume was 1%. Sales from new products were Rs.30.000 Millions. The Company completed Anisole project and undertook RF Resins project for implementation.

 

World market for bulk chemicals is growing at about 0.5% and Indian market is growing at about 2%. World market for Resorcinol is estimated at US$ 295 mn and is growing at about 3%; Indian market for the product is estimated at US$ 13 mn and is growing at about 5%.

 

The captive consumption of bulk chemicals is expected to grow as the Company expands manufacturing capacities of its various products. Tyre industry is expected to grow further because of increasing population on the one hand and improving standard of living on the other. The Company will participate in this growth by i) widening its market reach, ii) increasing its manufacturing efficiencies, iii) modernising its bulk chemicals plant, iv) adding capacities and v) introducing new and downstream products.

 

The demand and prices of bulk chemicals are cyclical in nature. Fluctuations in foreign exchange will impact sales realisations.

 

COLORS

 

Colors Business mainly comprises dyes for natural fibres such as Vat, Sulphur Black and Reactive and in a small way high performance pigments. The products are used by customers belonging to Textile and Paint and Coatings industries. The Business comprises about 500 products. M. Dohmen S. A., a JV company, manufactures dyes for synthetic fibres such as speciality Disperse. The products made by M. Dohmen are mainly used by customers (belonging to Textile industry) supplying textiles to Automobile industry. Rudolf Atul Chemicals Limited, a JV company formed in 2011-12, provides a complete range of textile chemicals where the Business had made a beginning and has a minuscule presence in Indian market.

 

During the year, sales decreased by 4% to Rs. 3300.000 Millions. Sales in India increased by 3% to Rs. 1870.000 Millions. Export sales decreased by 11% to Rs. 1430.000 Millions and formed 43% of the total. Decline on account of volume was 11%. Sales from new products were Rs.360.000 Millions. Most of the plants operated partially during the second half of the year, significantly affecting sales and profit and neutralised the improvement in performance achieved during the first half of the year. M. Dohmen S. A. increased sales by 4% to Rs. 3880.000 Millions and Rudolf Atul Chemicals increased sales by 137% to Rs. 210.000 Millions, mainly because of volume growth.

 

World market for dyes and textile chemicals is estimated at US$ 11 bn and is growing at about 2% and Indian market is estimated at US$ 800 mn and is growing at about 3%. China is the largest manufacturer of dyes followed by India. World market for high performance pigments is estimated at US$ 3.5 bn and is growing at about 4%.

 

The main user industry, namely. Textile, is showing signs of recovery in India and abroad. Automobile industry is growing well. The Company along with M. Dohmen and Atul Rudolf Chemicals will participate in this growth by i) broadening its market reach, ii) increasing its manufacturing and working capital efficiencies and iii) introducing new dyes, pigments and textile chemicals.

 

Fluctuations in foreign exchange will impact sales realisations. Treatment costs are expected to remain high given that the manufacture of dyes generates significant pollutants.

 

POLYMERS

 

Polymers Business mainly comprises Epoxy Resins and Hardeners and formulations thereof, other components such as air release agents, reactive diluents, rheological modifiers, wetting agents, etc and Sulphones. These products are used by Aerospace, Automobile, Construction, Defence, Electronics, Footwear, Handicraft, Marine, Paint and Coatings, Paper and Wind Energy industries. The Business comprises about 60 products and 270 formulations.

 

During the year, sales decreased by 4% to Rs. 4680.000 Millions. Sales in India decreased by 10% to Rs. 3120.000 Millions. Brand sales which is currently only in India decreased by 5% to Rs. 720.000 Millions. Export sales increased by 11 % to Rs. 1560.000 Millions and formed 33% of the total. Decline on account of volume was 8%. Sales from new products were Rs. 120.000 Millions. Most of the plants operated partially during the second half of the year, significantly affecting sales and profit and neutralised the improvement in performance achieved during the first half of the year. The Company completed capacity expansion of BLRs. Atul Elkay Polymers, a JV company, commenced though in a very small way, introduction of stone care chemicals in India.

 

World market for Epoxy Resins and Hardeners is estimated at US$ 6 bn and is growing at about 2% and Indian market is estimated at US$ 210 mn and is growing at about 10%. There are about 7 major companies which dominate the world marketplace. The two key raw materials, namely Bisphenol-A and Epichlorohydrin, are imported into India. World market for Sulphones is estimated at US$ 300 mn and is growing at about 4%.

 

The user industries. Automobile, Construction and Paint and Coatings, are growing well, particularly in India. The Company will participate in this growth by i) widening its market reach, ii) increasing its manufacturing and working capital efficiencies, iii) generating and adding new capacities of Epoxy Resins and Hardeners and iv) introducing new products and formulations.

 

Cheaper imports of Epoxy Resins and Hardeners will keep the contribution margins under pressure. Since the two main raw materials are imported, fluctuations in foreign exchange will impact margins.

 

 

UNSECURED LOAN

 

PARTICULARS

31.03.2013

(Rs. in Millions)

31.03.2012

(Rs. in Millions)

Long-term Borrowings

 

 

Rupee term loans from banks

0.200

0.900

Short-term borrowings

 

 

Loans from banks

0.000

250.700

Buyers credit arrangement

93.600

227.100

Total

93.800

478.700

 

NOTE:

 

Type of loan [ Nature of security

Terms of repayment

Unsecured rupee term loan from bank amounting to Rs. 1.100 Millions (Previous year: Rs. 1.100 Millions)

20 equal quarterly installments beginning from November 30, 2011 along with interest @ Base

rate +2.5% p.a. (balance installments payable 4).

 

Unsecured   rupee  term   loan  from   bank  amounting to Rs. 2.500 Millions (Previous year: Rs. Nil)

Repayable in 20 equal quarterly installments beginning from October 1, 2013 along with interest @ Base rate +2.5% p.a

 

 

CONTINGENT LIABILITIES:

 

(Rs. in millions)

(i)   Claims against the Company not acknowledged as debts

31.03.2013

31.03.2012

in respects of:

 

 

(a) Excise

58.400

62.500

(b)  Income tax

350.300

277.000

(c)   Sales tax

0.000

7.400

(d) Customs

27.800

27.800

(e)  Water charges

719.200

686.300

(f) Others

135.400

132.600

Note: Future cash outflows in respect of (a) to (f) above are determinable on receipt of judgements | decisions pending with various forums | authorities.

 

 

(ii) Guarantees given by bankers of the Company:

 

 

(a) Guarantees have been given by the bankers of the Company in the normal course of business and are not expected to result in any liability on the Company

 

-

 

 

 

(b) Corporate guarantee to a bank on behalf of subsidiary company for facilities availed by them

82.300

11.100

 

FIXED ASSETS:

 

Tangible assets

  • Land – Freehold
  • Buildings
  • Roads
  • Plant and Equipment
  • Railway Siding
  • Office Equipment and Furniture
  • Vehicles

 

Intangible assets

 

  • Computer software

 

 

FINANCIAL RESULTS FOR THE YEAR ENDED MARCH 31, 2014

Rs. In Millions

 

 

For the quarter ended on

Year ended on

 

Particulars

March

31, 2014

December 31, 2013

March

31, 2014

 

 

Unaudited

Unaudited

Unaudited

1

Income from operations

 

 

 

 

A Net sales | income from operations (Net of excise duty)

6480.700

5757.700

23065.200

 

B Other operating income

199.200

162.200

589.300

 

Total income from operations (net)

6679.900

5919.900

23654.500

2

Expenses

 

 

 

 

A Cost of materials consumed

3549.000

3332.100

13246.000

 

B Purchases of stock-in-trade

51.700

35.900

236.900

 

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

16.400

(178.000)

(664.700)

 

D Power, fuel and water

790.500

683.100

2779.900

 

E Employee benefit expenses

331.900

365.200

1397.900

 

F Depreciation and amortisation expenses

173.000

119.400

542.300

 

G Other expenses

941.000

816.400

3227.200

 

Total expenses

5853.500

5174.100

20765.500

3

Profit from operations before other income, finance costs and exceptional items (1-2)

826.400

745.800

2889.000

4

Other income

3.400

198.700

396.200

5

Profit from ordinary activities before finance costs and exceptional items (3+4)

829.800

944.500

3285.200

6

Finance costs

92.500

73.800

314.300

7

Profit from ordinary activities after finance costs but before exchange rate difference and exceptional items (5-6)

737.300

870.700

2970.900

8

Exchange rate difference: gain | (loss)

--

--

--

9

Profit after finance costs and exchange rate difference but before exceptional items (7+8)

737.300

870.700

2970.900

10

Exceptional items

 

 

 

 

Reversal of previous year finance costs

--

--

--

 

Total

737.300

870.700

2970.900

11

Profit from ordinary activities before tax (9+10)

737.300

870.700

2970.900

12

Tax expense

 

 

 

 

a          Current tax

230.700

150.000

60.000

 

b          Deferred tax

(9.000)

68.300

44.400

 

Total tax (a+b)

221.700

218.300

104.400

13

Net Profit from ordinary activities after tax (11-12)

515.600

652.400

2127.900

14

Paid-up equity share capital (face value ` 10  per share)

296.600

296.600

296.600

15

Reserves excluding revaluation reserves

--

--

--

16

Earnings per share (EPS)

 

 

 

 

Basic and diluted EPS  (` per share)

17.38

22.00

71.74

A

Particulars of shareholding

 

 

 

1

Public shareholding

 

 

 

 

Number of  shares

14,46,48,123

1,46,57,817

14,46,48,123

 

Percentage of shareholding

49.38%

49.42%

49.38%

2

Promoters and promoter group shareholding

 

 

 

 

a)Pledged | encumbered:

 

 

 

 

Number of shares

--

--

--

 

Percentage of shares (as a % of the total shareholding of promoters and promoter group)

--

--

--

 

Percentage of shares (as a % of the total share capital of the Company)

--

--

--

 

b) Non-encumbered:

 

 

 

 

Number of shares

1,50,13,610

1,50,03,916

1,50,13,610

 

Percentage of shares (as a % of the total shareholding of promoters and promoter group)

100.00%

100.00%

100.00%

 

Percentage of shares (as a % of the total share capital of the Company)

50.62%

50.58%

50.62%

 

 

 

 

 

B

Investor complaints

 

 

 

 

Pending at the beginning of the quarter

--

 

 

 

Received during the quarter

2

 

 

 

Disposed of during the quarter

2

 

 

 

Remaining unresolved at the end of the quarter

--

 

 

 

 

Notes:

 

  1. The above results have been reviewed and recommended for adoption by the Audit Committee and have been approved by the Board of Directors at its meeting held on May 2, 2014. The report of the Statutory Auditors contains no qualification.
  2. The Board of Directors has recommended a dividend of Rs.7.50 per share (75 %) subject to approval of the Shareholders.
  3. The results for the quarter ended March 31, 2014 are derived figures arrived at by subtracting the results for the nine months ended on December 31, 2013 from the audited results for the year ended March 31, 2014.
  4. The Annual General Meeting of the Members will be held on July 25, 2014.
  5. Figures of the earlier periods have been regrouped | recast | reclassified wherever necessary including in the 'Statement of assets and liabilities' and 'Segment revenue, results and capital employed'.
  6. The audited standalone and consolidated 'Statement of assets and liabilities' and 'Segment revenue, results and capital employed' are annexed.

 

 

STANDALONE STATEMENT OF ASSETS AND LIABILITIES

Rs. In Millions

 

Particulars

March

31, 2014

 

 

Unaudited

A

Equity and Liabilities

 

1

Shareholders' funds

 

 

a          Share capital

296.800

 

b          Reserves and surplus

9119.100

 

 

9415.900

2

Minority interest

 

3

Non-current liabilities

 

 

a          Long-term borrowings

1133.600

 

b          Deferred tax liabilities (net)

353.900

 

c          Long-term provisions

51.900

 

d          Other non-current liabilities

--

 

 

1539.400

4

Current liabilities

 

 

a          Short-term borrowings

1842.700

 

b          Trade payables

3168.700

 

c          Other current liabilities

1337.300

 

d          Short-term provisions

432.100

 

 

6780.800

 

Total - Equity and Liabilities

17736.100

B

Assets

 

1

Non-current assets

 

 

a          Fixed assets

5725.800

 

b          Non-current investments 

1364.700

 

c          Long-term loans and advances 

290.600

 

d          Other non-current assets

643.100

 

 

8024.200

2

Current assets

 

 

a          Inventories

3757.500

 

b          Trade receivables

4472.600

 

c          Cash and bank balances

88.000

 

d          Short-term loans and advances

1025.400

 

e          Other current assets

368.400

 

 

9711.900

 

Total - Assets

17736.100

 

 

 

SEGMENT REVENUE, RESULTS AND CAPITAL EMPLOYED

Rs. In Millions

 

Particulars

For the quarter ended on

Year ended on

 

 

March

31, 2014

December 31, 2013

March

31, 2014

 

 

Unaudited

Unaudited

Unaudited

1

Segment revenue

 

 

 

 

Life Science Chemicals

    1966.2000

1808.6000

7382.6000

 

Performance & Other Chemicals

4924.900

4267.300

       16960.800

 

Total

6891.100

6075.900

2,43,43.400

 

Less:

 

 

 

 

Inter segment revenue

410.400

318.200

  1278.200

 

 

 

 

 

 

Sales

6480.700

5757.700

      23065.200

2

Segment results

 

 

 

 

Life Science Chemicals

395.500

324.200

    1496.700

 

Performance & Other Chemicals

539.6000

504.500

1733.800

 

 

 

 

 

 

Total

935.100

828.700

     3230.500

 

Less:

 

 

 

 

Interest

92.500

73.800

314.300

 

Other unallocable expenditure  (net of unallocable income)

105.300

(115.800)

 (54.700)

 

 

 

 

 

 

Total Profit Before Tax

737.300

870.700

297090.000

3

Capital employed

(Segment assets - Segment liabilities)

 

 

 

 

 

 

 

 

 

Life Science Chemicals

3216.400

3269.300

3216.400

 

Performance & Other Chemicals

6855.0000

6812.400

6855.000

 

Unallocable

2852.300

3022.800

2852.3000

 

 

 

 

 

 

Total

12923.700

13104.500

      12923.700

 

 

 

 

PRESS RELEASES

 

Mumbai, July 26, 2012:  July 26, 2012:  July 26, 2012: Atul Limited, a diversified chemical company and a member of Lalbhai Group, announced its unaudited results for the first Quarter ended June 30, 2012. Net sales for the Quarter at Rs.4960.000 Millions recorded a growth of 23% compared to the same period in the previous year; Profit before tax and exceptional items for the Quarter increased from Rs.250.000 Millions to Rs.540.000 Millions. Profit after tax and EPS (not annualized) consequently increased to Rs.370.000 Millions and Rs.12.64 respectively. RoCE improved to 23% from the level of 17% achieved in 2011-12. On a sequential basis (compared to the fourth Quarter of 2011-12), net sales grew by 10% and Profit after tax by 35%.

 

About Atul Limited

 

Atul Limited is a member of Lalbhai Group, one of the oldest business houses of India. The Company provides innovative chemistry and manufacturing solutions to agriculture, automobile, construction, cosmetic, food and beverage, fragrance, marine, packaging, paper, pharmaceutical, textile and other industries.

Atul Limited, incorporated in 1947, is spread over 1400 acres of land. Its registered office is in Ahmadabad and its

corporate headquarters is located in Atul, Gujarat. It has seven businesses - Aromatics, Bulk Chemicals andIntermediates, Colors, Crop Protection, Floras, Pharmaceuticals & Intermediates, and Polymers.

 

The Company is listed on the bourses (NSE: ATUL, BSE Code: 500027) in India and has over 35,000 shareholders. It also has offices in the USA, the UK, Germany, and China that service its international customers.

The Group is also strongly committed to serving the society in the fields of education, health as wel las culture.

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                           None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                        None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                        None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 

 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.59.03

UK Pound

1

Rs.98.91

Euro

1

Rs.80.34

 

 

INFORMATION DETAILS

 

Information Gathered by :

PLK

 

 

Analysis Done by :

SUM

 

 

Report Prepared by :

NTH

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

7

OPERATING SCALE

1~10

7

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

7

--LIQUIDITY

1~10

7

--LEVERAGE

1~10

7

--RESERVES

1~10

7

--CREDIT LINES

1~10

7

--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

YES

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

63

 

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.