MIRA INFORM REPORT

 

 

Report Date :

27.06.2014

 

IDENTIFICATION DETAILS

 

Name :

JAYASWAL NECO INDUSTRIES LIMITED (w.e.f November 2007)

 

 

Formerly Known As :

JAYASWAL NECO LIMITED

 

 

Registered Office :

F - 8, M.I.D.C. Industrial Area, Hingna Road, Nagpur – 440016, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

28.11.1972

 

 

Com. Reg. No.:

11-016154

 

 

Capital Investment / Paid-up Capital :

Rs.4971.762 Millions

 

 

CIN No.:

[Company Identification No.]

L28920MH1972PLC016154

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

NGPJ00957F

 

 

PAN No.:

[Permanent Account No.]

AAACJ3174F

 

 

Legal Form :

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

 

 

Line of Business :

Manufacturer and Supplier of Centrifugal Cast iron Pipe and Fitting, Centrifugal Cast Iron Hubless Pipe and Fitting, Sand Cast Iron Pipe and Fitting, Cast Iron and Ductile Iron Manhole Covers, Frames and Gratings.

 

 

No. of Employees :

19000 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (51)

 

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.

 

Financial position of the company seems to be decent.

 

Trade relations are fair. Business is active. Payment terms are reported to be usually correct.

 

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

 

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

ICRA

Rating

BBB- (Long Term Rating)

Rating Explanation

Moderate degree of safety and carry moderate credit risk.

Date

08.08.2013

 

Rating Agency Name

ICRA

Rating

A3 (Short Term Rating)

Rating Explanation

Moderate degree of safety and carry higher credit risk.

Date

08.08.2013

 

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. Pramod Shinde

Designation :

Accounts Manager

Contact No.:

91-7104-237276

Date :

25.06.2014

 

 

LOCATIONS

 

Registered Office :

F - 8, M.I.D.C. Industrial Area, Hingna Road, Nagpur – 440 016, Maharashtra, India

Tel. No.:

91-7104-237276 / 237472 / 237471 / 236251

Fax No.:

91-7104-237583 / 236255

E-Mail :

contact@necoindia.com

Website :

www.necoindia.com

 

 

Factory :

Steel Plant Division:

 

  • Siltara Growth Centre, Raipur, District Raipur-493221, Chhattisgarh, India

Tel. No.: 91-771-3098927

 

  • Gare Palma IV/4 and IV/8 Coal Block, Mand Raigarh Coal Field, Raigarh, Chhattisgarh, India

 

Centricast Division:

 

  • MIDC Area, Hingna Road, Nagpur, Maharashtra, India

 

Automotive Castings Division:

 

  • MIDC Area, Hingna Road and Butibori, Nagpur, Maharashtra, India

 

Construction Castings Division:

 

  • Light Industrial Area, Bhilai and Anjora, , Chhattisgarh, India

 

Castings Divisions:

 

  • Plot No. F-8 and F-8/1, MIDC Industrial Area, Nagpur, Maharashtra, India

 

  • Plot No. T-41/42, MIDC Industrial Area, Nagpur, Maharashtra, India

 

  • Village Ruikhairi, Wardha Road, Butibori, Nagpur, Maharashtra, India

 

  • 105, Light Industrial Area, Bhilai, District Durg, Chhattisgarh, India

 

  • Thanod Road, Anjora, District Rajnandgaon, Chhattisgarh, India

 

 

Branch Office :

Located at:

 

  • New Delhi
  • Mumbai
  • Kolkata
  • Bhilai

 

 

DIRECTORS

 

As on 31.03.2013

 

Name :

Mr. Arbind Jayaswal

Designation :

Managing Director

 

 

Name :

Mr. Basant Lall Shaw

Designation :

Chairman

Date of Birth/Age :

03.08.1933

Qualification :

B.Com

Experience :

Associated with Iron and Steel business for over 52 years. Instrumental in setting up 1 MTPA Integrated Steel Plant in Raipur and other units in the Group in India and Abroad. Founder and Chairman of Neco Group of Industries

Date of Appointment :

28.11.1972

 

 

Name :

Mr. B K Agrawal

Designation :

Director

Date of Birth/Age :

28.01.1949

Qualification :

M. Com. FCA

Experience :

Practicing Chartered Accountant for over 36 years. Possesses sound knowledge of Accounting, Auditing, Taxation and Corporate Advisory

Date of Appointment :

10.08.1994

 

 

Name :

Mr. M M Vyas

Designation :

Director

Date of Birth/Age :

07.10.1942

Qualification :

B.Sc.

Experience :

Experience in administration, Export Marketing & Liasoning with Govt. Agencies, Institutions and Banks for over 34 yrs. Associated with Business in Iron and Steel Casting and fittings over 23 yrs.

Date of Appointment :

26.02.1998

 

 

Name :

Mr. P K Bhardwaj

Designation :

Executive Director and CFO

 

 

Name :

Mr. Nirmit Ved

Designation :

Director (Exim Bank Nominee)

 

 

Name :

Mr. S K Sachdev

Designation :

Director (IDBI Bank Nominee)

 

 

Name :

Mr. Ramesh Jayaswal

Designation :

Joint Managing Director

Date of Birth/Age :

02.02.1960

Qualification :

B.Com

Experience :

Associated with Iron and Steel business for over 24 years. Looks after the implementation of new projects and other allied matters.

Date of Appointment :

05.03.1983

 

 

KEY EXECUTIVES

 

Name :

Mr. A D Karajgaonkar

Designation :

Company Secretary

 

 

Name :

Mr. Pramod Shinde

Designation :

Accounts Manager

 

 

SHAREHOLDING PATTERN

 

As on 31.03.2014

 

Category of Shareholder

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

15158690

2.53

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

396744151

66.28

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

411902841

68.81

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

 

 

Total shareholding of Promoter and Promoter Group (A)

411902841

68.81

(B) Public Shareholding

 

 

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

 

 

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

14306435

2.39

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

276538

0.05

http://www.bseindia.com/include/images/clear.gifVenture Capital Funds

5062

0.00

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

334953

0.06

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

52745

0.01

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

14975733

2.50

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

 

 

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

113184671

18.91

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

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs.100 Million

23238156

3.88

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

33832136

5.65

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

1499526

0.25

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

651123

0.11

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

848403

0.14

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

171754489

28.69

Total Public shareholding (B)

186730222

31.19

Total (A)+(B)

598633063

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)

598633063

100.00

 

 

 

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

 

Name of Shareholders 

No. of Shares

Percentage of Holding

Jayaswal Holdings Private Limited

53098951

8.87

Jayaswal Neco Power Private Limited

32954500

5.50

Jayaswal Neco Infrastructures Private Limited

31025500

5.18

Jayaswal Neco Steel and Mining Limited

13250000

2.21

Basant Lall Shaw

10312850

1.72

Arbind Jayaswal

2397920

0.40

Ramesh Jayaswal

2397920

0.40

Nisha Jayaswal

25000

0.00

Rita Jayaswal

25000

0.00

Apex Spinning Mills Private Limited

32399600

5.41

Avon Sales and Services Private Limited

36095000

6.03

Anurag Sales and Services Private Limited

35771000

5.98

Nine Star Plastic Packaging Services Private Limited

41574600

6.94

Jayaswal Neco Metallic Private Limited

37910500

6.33

Jayaswal Neco Energy Private Limited

36632000

6.12

Karamveer Impex Private Limited

44269000

7.40

Neco Valves and Pumps Private Limited

864000

0.14

Neco Leasing and Finance Private Limited

899500

0.15

Total

411902841

68.81

 

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

 

Name of Shareholders 

No. of Shares

Percentage of Holding

Efficient Structure Private Limited

25262353

4.22

Reliance Capital Trustee Co Limited

14300000

2.39

Rajvardhan Trade Zone Private Limited

23112353

3.86

Costal Multitrading Private Limited

22800353

3.81

Darshan Gems Private Limited

13920000

2.33

Salmon Developers Private Limited

14045000

2.35

Total

113440059

18.95

 

Details of Locked-in Shares

 

Name of Shareholders 

No. of Shares

Percentage of Holding

Anurag Sales & Services Private Limited

30091000

5.03

Apex Spinning Mills Private Limited

26559600

4.44

Avon Sales & Services Private Limited

30815000

5.15

Jayaswal Neco Energy Private Limited

31312000

5.23

Jayaswal Neco Infrastructures Private Limited

24625500

4.11

Jayaswal Neco Power Private Limited

29722500

4.97

Jayaswal Neco Steel and Mining Limited

6250000

1.04

Karmveer Impex Private Limited

39069000

6.53

Jayaswal Neco Metallic Private Limited

32790500

5.48

Nine Star Plastic Packaging Services Private Limited

36974600

6.18

Rajvardhan Trade Zone Private Limited

16712353

2.79

Efficient Structure Private Limited

19662353

3.28

Costal Multitrading Private Limited

16512353

2.76

Darshan Gems Private Limited

12000000

2.00

Salmon Developers Private Limited

12125000

2.03

Total

365221759

61.01

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Supplier of Centrifugal Cast iron Pipe and Fitting, Centrifugal Cast Iron Hubless Pipe and Fitting, Sand Cast Iron Pipe and Fitting, Cast Iron and Ductile Iron Manhole Covers, Frames and Gratings.

 

 

Exports :

 

Products :

Finished Goods

Countries :
  • Middle East
  • Europe
  • Italy

 

 

Imports :

 

Products :

Raw Material

Countries :

China

 

 

Terms :

 

Selling :

Advance Payment, L/C, Cheque and Credit

 

 

Purchasing :

Advance Payment, L/C, Cheque and Credit

 

 

GENERAL INFORMATION

 

No. of Employees :

19000 (Approximately)

 

 

Bankers :
  • State Bank of India
  • Punjab National Bank
  • Union Bank of India
  • State Bank of Travancore
  • Oriental Bank of Commerce
  • ICICI Bank Limited
  • IDBI Bank Limited
  • State Bank of Bikaner and Jaipur
  • Central Bank of India

 

 

Facilities :

SECURED LOANS

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Term Loans

 

 

From Banks

13958.234

10517.501

From Financial Institutions

79.861

121.528

From Others

2.479

7.653

Short Term Borrowings

 

 

Working Capital Loans from Banks

 

 

Rupee Loans

4561.996

3477.886

Foreign Currency Loan

0.000

511.565

Total

18602.570

14636.133

 

NOTES:

 

  • The term loans from banks, financial institutions and others referred to above aggregating to Rs.14028.741 Millions and Rs.1766.989 Millions included in Current Maturities of Long Term Debts in Note No. 10 are guaranteed by some of the Directors in their personal capacities.

 

  • Term loans from Banks and Financial Institution referred to above aggregating to Rs.13393.710 Millions and Rs.1766.989 Millions included in Current Maturities of Long Term Debts in Note No. 10 are secured by way of :

 

a.     First Charge on the moveable and immoveable fixed assets of the company, both present and future on pari- passu basis with other participating Financial Institution/ Banks except the moveable and immoveable fixed assets at Moitra Coking Coal Block Including Washery at North Karanpura Coalfields near Hazaribagh in Jharkhand.

 

b.    First Ranking Charge on all titles and interest of the borrower in respect of all project documents / contracts / licences including insurance contracts and rights except mining rights pertaining to the assets of the borrower on pari-passu basis with other perticipating Financial Institutions/ Banks.

 

c.     Charge on all the current assets of the company including raw materials, finished goods, stock-in-process, trade receivable, both present and future on pari-passu basis with other participating Financial Institutions/ Banks amongst them ranking next to the charge in favour of bankers to secure their working capital loans.

 

  • Term loans from banks refer to above aggregating to Rs.635.031 Millions are secured by way of first charge on whole of the moveable and immoveable properties, except Book Debts, Store and Spares and Stocks, both present and future relating to coking coal mines project including washery at Moitra coking coal block at North Karanpura Coalfields near Hazaribagh in Jharkhand (the project) and charge on Current Assets of the Company on pari-passu basis amongst banks funding the project ranking next to the charge in favour of bankers to secure their working capital loans.

 

  • Term Loans of Rs.11.833 Millions and Rs.11.028 Millions included in current maturities of long term debt are secured by way of hypothecation of the specific Equipments/ Vehicles financed.

 

  • Term Loans from Banks and Financial Institutions referred to above and Rs.1778.017 Millions included in current maturities of long term debt in Note No.10 are to be repaid as under :

 

Rs.283.333 Millions is repayable in 24 equal monthly instalments of Rs.11.806 Millions each, ending on March, 2015.

 

Rs.540.833 Millions is repayable in 24 equal monthly instalments of Rs.22.535 Millions each, ending on March, 2015.

 

Rs.127.500 Millions is repayable in 24 equal monthly instalments of Rs.5.313 Millions each, commencing from April, 2015 and ending on March, 2017.

 

Rs.413.709 Millions is repayable in 30 equal monthly instalments of Rs.13.890 Millions each, ending on September, 2015.

 

Rs.79.861 Millions is repayable in 24 equal monthly instalments of Rs.3.472 Millions each, ending on March, 2015.

 

Rs.31.348 Millions is repayable in 10 equal quarterly instalments of Rs.3.088 Millions each, ending on September, 2015.

 

Rs.328.125 Millions is repayable in 7 equal quarterly instalments of Rs.46.875 Millions each, ending on October, 2014.

 

Rs.50.000 Millions is repayable in 12 equal monthly instalments of Rs.4.167 Millions each, ending on March, 2014.

 

Rs.750.000 Millions is repayable in 15 equal quarterly instalments of Rs.50.000 Millions each, ending on October, 2016.

 

Rs.1120.000 Millions is repayable in 48 structured monthly instalments, ending on March, 2017.

 

Rs.236.775 Millions is repayable in 12 structured monthly instalments, ending on March, 2014.

 

Rs.183.333 Millions is repayable in 40 equal monthly instalments of Rs.4.583 Millions each, commencing from August, and ending on July, 2016.

 

Rs.826.423 Millions is repayable in 26 equal quarterly instalments of Rs.31.812 Millions each, commencing from January, and ending on October, 2019.

 

Rs.635.031 Millions is repayable in 48 equal monthly instalments of Rs.13.230 Millions each, commencing from July, 2014 and ending on June, 2018.

 

Rs.1392.096 Millions is repayable in 22 quarterly instalments of Rs.63.277 Millions each, commencing from December 2015 and ending in March 2021.

 

Rs.7141.276 Millions is repayable in 78 equal monthly instalments of Rs. 91.555 Millions each, commencing from September, 2014 and ending on February, 2021.

 

Rs.656.085 Millions is repayable in 22 equal quarterly instalments of Rs. 29.822 Millions each, Commencing from November 2015 and ending in Feb 2021.

 

Rs.1000.000 Millions is repayable in 48 equal monthly instalments of Rs.20.833 Millions each. Commencing from July 2013 and ending in June 2017.

 

Vehicle Loans included in Term Loans above are repayable in 36 to 60 monthly equal instalments (including interest) as per repayment schedule.

 

Term Loans from Others referred to above are repayable in 24 to 36 monthly equal instalments (including interest) as per repayment schedule.

 

Maturity Profile of Term Loans is as under

(Rs. in Millions)

Particulars

Payable within one year

1-2 years

2-3 years

3-4 years

Beyond 4 years

Term Loans from Banks, Financial Institution and Others

1778.017

2509.044

2570.431

2463.481

6497.618

 

 

The Minimum Lease Rentals outstanding as on 31st March, 2013 in respect of a plant having the Gross Liability of Rs.232.493 Millions (Previous Year Rs.232.493 Millions) taken on financial lease is as follows :

 

 

31.03.2013

(Rs. in Millions)

31.03.2012

(Rs. in Millions)

Minimum Lease Payments

 

 

(i)   Payable not later than 1 year

360.00

360.00

(ii)   Payable later than 1 year and not later than 5 years

360.00

720.00

(iii) Payable later than 5 years

-

-

Total Minimum Lease Payments

720.00

1080.00

Less : Future Finance Charges

136.24

283.83

Present Value of Minimum Lease Payments

583.76

796.17

Present Value of Minimum Lease Payments

 

 

(i)   Payable not later than 1 year

261.59

212.41

(ii)   Payable later than 1 year and not later than 5 years

322.17

583.76

(iii) Payable later than 5 years

-

-

Total Present Value of Minimum Lease Payments

583.76

796.17

 

General description of Lease terms :

 

(i) Lease Rentals are charged on the basis of agreed terms.

 

(ii) Assets are taken on lease for a period of 5 to 10 years.

 

The Company is entitled to defer its liability to pay Sales Tax (including a portion of Purchase Tax) in respect of its certain units. The liability under the Schemes as on 31st March, 2013 is Rs. 736.103 Millions (Previous Year: Rs. 615.051 Millions) which is provided for on the basis of its Net Present Value of Rs. 338.576 Millions (Previous Year: Rs.274.486 Millions). This Sales-tax liability is repayable in five equal annual instalments starting at the end of the tenth year from the year to which it relates.

 

Working Capital Loans from Banks are secured/to be secured by the hypothecation of whole of movable properties including Stocks and Book Debts, both present and future, and by second charge on immovable properties of the Company, excluding the moveable and immoveable fixed assets at Moitra Coking Coal Block Including Washery at North Karanpura Coalfields near Hazaribagh in Jharkhand, ranking next to the mortgage charge of Financial Institutions and Banks for securing their Term Loans.

 

The Working Capital Loans from banks are guaranteed by some of the Directors in their personal capacities.

 

 

 

Banking Relations :

--

 

 

Auditors 1 :

 

Name :

Chaturvedi and Shah

Chartered Accountants

Address :

Mumbai, Maharashtra, India

 

 

Auditors 2 :

 

Name :

Agrawal Chhallani and Company

Chartered Accountants

Address :

Nagpur, Maharashtra, India

 

 

Subsidiary:
  • Jayaswal Neco Urja Limited

 

 

Associate Companies:
  • Maa Usha Urja Limited

 

 

Other Related Parties:
  • Abhijeet Infrastructure Limited
  • AMR Iron and Steel Private Limited
  • Neco Heavy Engineering and Castings Limited
  • Neco Mining Company Limited
  • Neco Ceramics Limited Steel and Tube Exports Limited
  • NSSL Limited Corporate Ispat Alloys Limited
  • North Karnapura Coal Company Limited
  • Jayaswal Neco Power Holding Company Limited
  • Deify Infrastructures Limited
  • Jayaswal Holdings Private Limited
  • Jayaswal Neco Metallics Private Limited
  • Anurag Sales and Services Private Limited
  • Apex Spinning Mills Private Limited
  • Karamveer Impex Private Limited
  • Avon Sales and Services Private Limited
  • Nine Star Plastic Packing Service Private Limited
  • Jyotikant Investments Private Limited
  • Vibrant Electronics Limited
  • Jayaswal Neco Infrastructures Private Limited
  • Jayaswal Neco Energy Private Limited
  • Jayaswal Neco Steel and Mining Limited
  • Jayaswal Neco Power Private Limited
  • Parivar Food Industries Private Limited
  • Terra Infra Development Limited
  • Abhijeet Ferrotech Limited
  • Nagpur Scrap Suppliers Private Limited
  • Jayswal Neco Urja Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1000000000

Equity Shares

Rs.10/- each

Rs.10000.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

497183463

Equity Shares

Rs.10/- each

Rs.4971.834 Millions

 

Less: Allotment Money Unpaid (from other than Directors)

 

Rs.0.072 Millions

 

Total

 

Rs.4971.762 Millions

 

Reconciliation of Equity Shares outstanding at the beginning and at the end of the year

 

Equity Shares

Number of Shares

Rs. In Millions

Shares outstanding at the beginning of year

359,683,463

3596.834

Add: Shares issued during the year on Preferential Basis

137,500,000

1375.000

Shares outstanding at the end of the year

497,183,463

4971.834

 

 

Details of equity shares held by shareholders holding more than 5% shares:

 

Name of Shareholder

Number of Shares

% holding

Jayaswal Holdings Private Limited

43,978,951

8.85

Karamveer Impex Private Limited

39,069,000

7.86

Nine Star Plastic Packaging Services Private Limited

36,974,600

7.44

Jayaswal Neco Metallics Private Limited

32,790,500

6.60

Avon Sales and Services Private Limited

30,815,000

6.20

Jayaswal Neco Energy Private Limited

31,312,000

6.30

Jayaswal Neco Power Private Limited

29,722,500

5.98

Anurag Sales and Services Private Limited

30,091,000

6.05

Apex Spining Mills Private Limited

26,559,600

5.34

 

123776856 shares were allotted in the last five years pursuant to various schemes of Amalgamation and Arrangement without payment being received in cash.

 

 

Rights of Equity Shareholders

 

The Company has only one class of equity shares having a face value of Rs.10/- per share. Each shareholder is eligible for one vote per share held. In the event of liquidation of the Company, the equity shareholders will be entitled to receive any of remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholder.

 

During the financial year 2010-11, the Board of Directors has approved the Scheme of Arrangement (“the Scheme”) under sections 391-394 of the Companies Act, 1956, between the Company and Corporate Ispat Alloys Limited (“CIAL”) providing for demerger of Steel Division of CIAL for the purpose of its merger with the Company with effect from 1st April, 2008. Necessary approvals from the Stock Exchanges under clause 24(f) of the Listing Agreement have been received. The Company has in compliance of the order of the High Court held meetings of Shareholders and Creditors of the Company on 20th April, 2012. The shareholders have unanimously approved the scheme. The creditors' meeting has been adjourned at the request of the creditors present. On obtaining the required statutory approvals and sanctions of the High Courts, and the Scheme coming into force, the Company shall issue 32649600 fully paid-up Equity Shares of Rs.10/- each to the eligible shareholders of CIAL in the ratio of 114 Equity Shares of the Company for every 10 Equity Shares held by them in CIAL as on the record date.

 

 

 

 

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

4971.762

3596.762

2508.537

(b) Reserves & Surplus

13093.078

8681.604

4883.029

(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)

18064.840

12278.366

7391.566

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

14411.367

10977.102

5230.908

(b) Deferred tax liabilities (Net)

1606.707

1422.841

1191.292

(c) Other long term liabilities

1.685

8.394

2205.077

(d) long-term provisions

269.495

78.233

78.233

Total Non-current Liabilities (3)

16289.254

12486.570

8705.510

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

7770.145

4288.953

5427.924

(b) Trade payables

3578.579

3427.328

3578.002

(c) Other current liabilities

2831.674

2550.858

2221.093

(d) Short-term provisions

511.664

419.296

423.724

Total Current Liabilities (4)

14692.062

10686.435

11650.743

 

 

 

 

TOTAL

49046.156

35451.371

27747.819

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

12175.921

11329.832

10635.858

(ii) Intangible Assets

424.362

248.857

285.432

(iii) Capital work-in-progress

9516.801

5503.693

1380.065

(iv) Intangible assets under development

848.951

698.862

546.799

(b) Non-current Investments

0.001

137.056

0.256

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

12292.886

5511.869

5135.024

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

35258.922

23430.169

17983.434

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

143.517

4.185

1.668

(b) Inventories

8018.506

6938.966

5577.715

(c) Trade receivables

3018.541

2907.863

2568.744

(d) Cash and cash equivalents

1513.030

1080.138

726.382

(e) Short-term loans and advances

1093.640

968.576

889.876

(f) Other current assets

0.000

121.474

0.000

Total Current Assets

13787.234

12021.202

9764.385

 

 

 

 

TOTAL

49046.156

35451.371

27747.819

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Revenue from Operations

25492.423

25904.942

22614.401

 

 

Other Income

117.807

155.030

193.970

 

 

TOTAL                                     (A)

25610.230

26059.972

22808.371

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

15584.875

16375.590

19098.273

 

 

Purchase of Stock in Trade

546.027

203.432

 

 

 

Changes in Inventories of Finished Goods and Work in Progress

(675.022)

(508.612)

 

 

 

Employee Benefits Expense

1274.912

1191.354

 

 

 

Other Expenses

5618.137

5319.198

 

 

 

TOTAL                                     (B)

22348.929

22580.962

19098.273

 

 

 

 

 

Less

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

3261.301

3479.010

3710.098

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

1806.214

1766.406

1385.979

 

 

 

 

 

 

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

1455.087

1712.604

2324.119

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

966.836

865.931

843.345

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

488.251

846.673

1480.774

 

 

 

 

 

Less

TAX                                                                  (H)

201.777

308.677

499.262

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

286.474

537.996

981.512

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

2525.061

1986.988

1005.400

 

 

 

 

 

Add

TRANSFERRED FROM REVALUATION RESERVE

0.076

0.077

0.076

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

2811.611

2525.061

1986.988

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

F.O.B. Value of Exports

118.428

73.101

106.378

 

 

Recovery of Freight

3.028

1.843

1.547

 

TOTAL EARNINGS

121.456

74.944

107.925

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

4111.479

3858.532

3057.644

 

 

Stores & Components

106.240

40.619

94.691

 

 

Traded Goods

0.000

0.000

0.000

 

 

Capital Goods

61.596

524.000

1.493

 

TOTAL IMPORTS

4279.315

4423.151

3153.828

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

 

 

 

Basic

0.73

1.95

3.94

 

Diluted

0.66

1.95

3.94

 

 

QUARTERLY RESULTS

 

Particulars

 

30.06.2013

(Unaudited)

30.09.2013

(Unaudited)

31.12.2013

(Unaudited)

31.03.2014

(Unaudited)

 

1st Quarter

2nd Quarter

3rd Quarter

4th  Quarter

Net Sales

6844.100

6817.200

8649.200

9340.900

Total Expenditure

6022.700

5943.200

7557.900

8251.000

PBIDT (Excl OI)

821.400

874.000

1091.300

1089.900

Other Income

31.600

23.700

41.200 

57.200

Operating Profit

853.000

897.700

1132.500

1147.100

Interest

403.000

425.400

454.800

413.800

Exceptional Items

0.000

0.000

0.000

0.000

PBDT

450.000

472.300

677.700

733.300

Depreciation

248.200

250.800

291.200

289.900

Profit Before Tax

201.800

221.500

386.500

443.400

Tax

151.700

95.900

147.700

138.800

Provisions and contingencies

0.000

0.000

0.000

0.000

Profit After Tax

50.100

125.600

238.800

3.046

Extraordinary Items

0.000

0.000

0.000

0.000

Prior Period Expenses

0.000

0.000

0.000

0.000

Other Adjustments

0.000

0.000

0.000

0.000

Net Profit

50.100

125.600

238.800

304.600

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)
1.12

2.06

4.30

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
1.92

3.27

6.55

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
1.26

2.91

5.73

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.03

0.07

0.20

 

 
 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 
1.23

1.24

1.44

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
0.94

1.12

0.84

 

 

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

2508.537

3596.762

4971.762

Reserves & Surplus

4883.029

8681.604

13093.078

Net worth

7391.566

12278.366

18064.840

 

 

 

 

long-term borrowings

5230.908

10977.102

14411.367

Short term borrowings

5427.924

4288.953

7770.145

Total borrowings

10658.832

15266.055

22181.512

Debt/Equity ratio

1.442

1.243

1.228

 

 

 

 

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

22,614.401

25,904.942

25,492.423

 

 

14.551

-1.592

 

 

 

 

 

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

22,614.401

25,904.942

25,492.423

Profit

981.512

537.996

286.474

 

4.34%

2.08%

1.12%

 

 

 

 

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

1778.000

1404.081

NA

Total

1778.000

1404.081

NA

 

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

-----------

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

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

 

 

UNSECURED LOAN:

 

Particulars

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Sales Tax Deferral (Under Package Scheme of Incentives)

338.576

272.044

Long term maturities of finance lease obligations

32.217

58.376

Short Term Borrowings

 

 

Inter Corporate Deposits taken from

 

 

Related party

627.242

58.268

Others

184.940

224.500

Buyer's Credits

20.361

16.734

Suppliers Credits *

2375.606

0.000

Total

3578.942

629.922

 

* Includes Rs.1615.317 Millions (Previous Year Rs. NIL) relating to Capital Goods to be paid out of Term Loans

 

 

FINANCIAL PERFORMANCE:

 

The Members may be pleased to note that despite falling sales realizations and other unfavourable market conditions, the Company has maintained the overall gross turnover level for the year under review. The gross Turnover of the Company for the year is Rs.28545.200 Millions against Rs.28567.100 Millions in the previous year. Major contributors to retain the Turnover at previous year's level are larger volumes of production and sales of Billets and Rolled Products in Steel Plant Division. It would have been higher but for the suspension of operations in Steel Plant Division for some time on account of scheduled Capital Repairs and unprecedented heavy rains. In addition, recessionary pressures especially in automotive component industry resulting into lower off-takes and longer credit periods, added to the wooes.

 

Higher other expenses on account of capital repairs, equipment hire charges, freight etc. and depreciation impacted the profitability of the Company leaving the Net Profit for the year at Rs. 286.500 Millions as compared to Rs. 538.000 Millions of the previous year.

 

During the year, the Networth of the Company has jumped to Rs. 18060.000 Millions from Rs. 12280.000 Millions in the previous year, mainly on account of preferential issue of shares and consequent accretion to Securities Premium account. Segment wise performance for the year under review is as under.

 

STEEL PLANT DIVISION:

 

Considering the market scenario, overall performance of this Division during the year was satisfactory Despite falling prices of steel, closure of operations for about 3 weeks, the production and sales have been maintained at the same level as the previous year. Overall Segment revenue in this division was Rs. 23880.000 Millions as compared to Rs. 23590.000 Millions in the previous year. Arising out of focus on production of value added Steel Billets, intermediaries and Finished Rolled products demanding more captive usage of Hot Metal, there is scale down in the production and sale of Pig Iron and skull. The total sales turnover from the Billets and Rolled Products is higher by 8% as compared to that in the previous year. During the year, sinter plant as well as the existing and new Coke Oven plants gave a good support and the Division made the highest possible use of the sinters and met coke produced in the captive plants that helped control the costs of materials consumed.

 

CASTINGS DIVISION:

 

Overall Sluggish market demand affected the Iron and Steel Castings Division of the Company also. Consequently, the production in Casting Division of the Company was lower by 28% as compared to previous

year's level. Gross turnover of this division was lower by about 10% when compared to the previous year.

 

The Division continues to focus on higher productivity, cost optimization and high quality of castings which are the key drivers for maintaining the market share in this business. With the augmentation of improved machineries and upgraded processes, new High Pressure Moulding Line which will be commissioned soon at Automotive Castings Division, the production and sales of the Division are expected to go up in the near future.

 

PROJECTS:

 

As the Members are aware, the Company with a view to optimize costs and explore its potential in finished steel making in the long product segment, is in the process of setting up of further various facilities including Mining under its Steel Plant Division in the State of Chhattisgarh and Jharkhand. The Company has also undertaken need based additional revamping and modification schemes to achieve smooth operations of some of the existing facilities at Raipur and enhancement in the capacity of the Automotive Casting Division at Nagpur. Briefly, the status of various projects under implementation is as under:

 

INTEGRATEDSTEEL PLANT PROJECT:

 

The Facilities being implemented as a part of this Project are as follows:-

 

Steel Melt Shop and Rolling Mill:

 

This is Company's one of the key value added projects. On becoming fully operational the Company's enhanced capacity for Steel Melt Shop and Rolling Mill will be 7.10 Lacs MTPA and 7.50 Lacs MTPA respectively. The Company would be in a position to produce Alloy Steel Bars and Rods for Automotive Components/ industrial uses and medium structurals for Transmission Line Towers and Industrial / Housing Applications.

 

The EPC Contract for the project has been awarded. All the statutory approvals for the project have been received. The Construction of the Project is in advanced stage. Orders for critical equipments and other supplies have been placed with reputed international and national vendors and deliveries of the major equipments have already started.

 

Coal and Iron Ore Mines Development:

 

This part of the project is aimed at development and expansion of Coal Mines at Gare Palma IV/4 Non Coking Coal Block for expansion in capacity from 4.80 Lacs MTPA to 10.00 Lacs MTPA, development of Gare Palma IV/8 Non Coking Coal Block, setting up of 18 Lacs MTPA Coal washery at Raigarh and the Iron Ore Mines at Laindongri and Devpura in Chhattisgarh. Requisite clearances from the concerned statutory authorities are being organized concurrently and the development and the implementation work is under progress. EPC Contract for this Project also has been awarded.

 

Sponge Iron and Power Plant:

 

The Company is implementing this project comprising of 3.0 Lacs MTPA DRI/ Sponge Iron Plant, 50MW Waste Heat Recovery and Coal Fired Boiler bassed Power Plants in Bilaspur district. This is a Green field Project. Land acquisition and procurement activities are in process. EPC contract for the project has been awarded. Most of the statutory clearances for this project have been received. Overall, the Integrated Steel Plant Project is facing some time delays due to delays in regulatory approvals, land acquisition and other external issues which are beyond the control of the Company. However, the Company is committed and confident to commission the project at the earliest.

 

OUTLOOK:

 

As per official estimates Indian GDP is expected to grow at 6.40% in FY 2013-14. However, analysts have scaled down the GDP forecasts for FY 13-14 to 5.5% mainly due to marginal growth in Mining and manufacturing sectors resulting into poor growth in IIP. Indian steel demand is also expected to track GDP growth supported by some easing in the interest rate cycle, and consequent push in demand of the automotive and auto components sector. Regulatory authorities are faced with a daunting taask to contain spiraling inflation, weakening rupee against major foreign currencies, Law and order problems, stringent regulatory procedures and political pressures which culminate into disruption of the various industrial activities. With the additional capacities being created by the Company in finished steel making in the long products segment, adoption of various austerity measures and other efforts; the Company is trying to sustain in such adverse conditions.

 

On captive Iron Ore and Coal Mines and other expansion projects becoming fully operational, your Company is slated to become one of the lowest cost players in Integrated Steel Plant category in the Country.

 

With the release of macroeconomic data it is seen that the growth in real estate sector has not shown much improvement, The Government is trying to give push to the Infra sector by removing the hurdles in their implementation which could eventually push growth in Private Investment and Capital Goods sector.

 

CONTINGENT LIABILITIES:

(Rs. in Millions)

Particulars

31.03.2013

31.03.2012

Guarantees given by the Company's Bankers.

(Bank guarantees are provided under contractual/legal obligation)

363.726

283.436

Corporate Guarantee

(Given to Banks against the borrowings taken by one of the associate Company)

118.100

118.100

Demands not acknowledged as debts

 

 

i) Disputed Excise Duty and Service Tax

283.081

272.449

ii) Disputed Sales Tax

421.888

297.185

iii) Disputed Customs Duty

(Relating to cess on Metallurgical Coke)

81.295

78.730

Other Disputed Demands

(Mainly related to demand of Cess on Power, Electricity Duty and Stamp Duty.)

579.810

168.091

Third Party Claims

(Matters are pending before various forum)

42.069

40.721

Liability in respect of Bills Discounted

1255.055

1432.371

Letters of credit opened in favour of suppliers

(Cash flow is expected on receipt of material from suppliers)

5817.118

4163.426

 

 

UNAUDITED FINANCIAL RESULTS FOR THE THREE    QUARTER AND HALF YEAR ENDED 31ST DECEMBER 2013

 (Rs. In Millions)

Particulars

Quarter Ended

( Unaudited)

Nine Months  Ended

( Unaudited)

 

31.12.2013

30.09.2013

31.12.2013

1. Income from operations

 

 

 

a) Net sales/ Income from operation (net of excise duty)

8648.200

6782.700

22267.600

b) Other operating income

1.000

0.600

2.000

Total income from Operations(net)

8649.200

6783.300

22269.600

2.Expenditure

 

 

 

a) Cost of material consumed

4984.100

4609.300

13523.900

b) Purchases of stock in trade

811.100

64.100

934.100

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

(116.600)

(791.300)

(570.500)

d) Employees benefit expenses

402.300

351.300

1083.400

e) Depreciation and amortization expenses

291.200

289.500

867.300

f) Exchange difference (Net)

(17.400)

94.000

157.500

g) Other expenditure

1497.000

1595.300

4355.800

Total expenses

7831.700

6212.200

20351.500

3. Profit from operations before other income and financial costs

817.500

571.100

1918.100

4. Other income

23.800

23.700

80.100

5. Profit from ordinary activities before finance costs

841.300

594.800

1998.200

6. Finance costs

454.800

44.600

1320.000

7. Net profit/(loss) from ordinary activities after finance costs but before exceptional items

386.500

150.200

678.200

8. Exceptional item

0.000

0.000

0.000

9. Profit from ordinary activities before tax Expense:

386.500

150.200

678.200

10.Tax expenses

 

 

 

Current tax

81.900

31.600

143.3

MAT credit entitlement

(71.700)

(31.600)

(133.100)

Deferred tax liability

137.500

75.900

339.600

11.Net Profit / (Loss) from ordinary activities after tax (9-10)

238.800

74.300

328.400

12.Extraordinary Items (net of tax expense)

0.000

0.000

0.000

13.Net Profit / (Loss) for the period (11 -12)

238.800

74.300

328.400

14.Paid-up equity share capital (Nominal value Rs.10/- per share)

5298.300

4971.800

5298.300

15. Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year

 

 

 

16.i) Earnings per share (before and after extraordinary items) of Re. 1/- each) (not annualised):

 

 

 

(a) Basic

0.45

0.14

0.62

(a) Diluted

0.45

0.14

0.62

 

 

Particulars

Quarter Ended

( Unaudited)

Nine Months  Ended

( Unaudited)

 

31.12.2013

30.09.2013

31.12.2013

A. Particulars of shareholding

 

 

 

1. Public Shareholding

 

 

 

- Number of shares

164602222

153353842

164602222

- Percentage of shareholding

31.07%

30.84%

31.07%

2. Promoters and Promoters group Shareholding-

 

 

 

a) Pledged /Encumbered

 

 

 

Number of shares

8927000

8927000

8927000

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

2.44%

2.60%

2.44%

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

1.68%

1.80%

1.68%

 

 

 

 

b) Non  Encumbered

 

 

 

Number of shares

356303841

334902621

356303841

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

97.56%

97.40%

97.56%

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

67.25%

67.36%

67.25%

 

 

 

 

B. Investor Complaints

 

Pending at the beginning of the quarter

Nil

Receiving during the quarter

Nil

Disposed of during the quarter

Nil

Remaining unreserved at the end of the quarter

Nil

 

Notes:

 

  1. The above results have been reviewed by Audit Committee and approved and taken on record by the Board of Directors at its Meeting held on 10th February, 2014.

 

  1. The statutory auditors of the Company have carried out a Limited Review of the results for the quarter and nine months ended 31st December, 2013 in accordance with clause 41 of the listing agreement.

 

  1. The Scheme of Arrangement ("the Scheme") under section 391-394 of the Companies Act, 1956, between the Company and Corporate lspat Alloys Limited ("CIAL") providing for merger of the Steel Division of ClAL with effect from 1st April, 2008, has been sanctioned by the Hon'ble High Court of Kolkata vide its order dated 16th April, 2013 and the High Court of Judicature at Bombay (Nagpur bench), Nagpur vide its order dated 16th September, 2013. The Scheme became effective on 20th November. 2013. The Scheme has been given effect to in the results for the quarter. In accordance with the Scheme, the Company has issued 32649600 Equity Shares of Rs.101- each on 16th December, 2013, to the eligible equity shareholders of ClAL as per the ratio mentioned in the Scheme.

 

In view thereof, the figures for the quarter ended 30th September 2013 have been restated to make them comparable with the current quarter. However, the figures for the quarter and nine months ended 31st December. 2012 and for the year ended 31st March, 2013 have not been restated and accordingly, the results for the quarter and nine months ended 31st December, 2013 and the figures in respect of earning  per share are not comparable with corresponding periods presented.

 

  1. The Company's Project for enhancement of lron and steel making capacities of its Integrated Steel Plant, Captive Power Plants, Coal Washeries and developing its Coal and lron Ore Mines in Chhattisgarh is facing time delay of six to twelve months. However, the Projects for implementation of 1.2 MTPA Pellets Plant at Raipur, Debottlenecking and augmentation of its facilities at Raipur and Nagpur are progressing as per schedule. The delivery of major portion of the crittcal equipments is done and the Company is confident and committed to commission the projects at the earliest.

 

  1. The above results are prepared in accordance with the recognition and measurement principles laid down in the Accounting Standard 25 (AS 25- Interim Financial Reporting) as those followed in previous year. The figures for the corresponding previous periods have been restated regrouped wherever necessary, to make them comparable.

UNAUDITED SEGMENT WIE REVENUE, RESULTS AND CAPITAL EMPLOYED

(Rs. In Millions)  

Particulars

Quarter Ended

( Unaudited)

Nine Months  Ended

( Unaudited)

 

31.12.2013

30.09.2013

31.12.2013

1. Segment Revenue

 

 

 

a) Steel

7787.200

5832.800

19607.800

b) Iron & Steel Castings

921.200

1037.300

2927.600

Total

8708.400

6870.100

22535.400

Less: Inter-segment Revenue

60.200

87.400

267.800

Sales/Income from Operations (Net)

8648.200

6782.700

22267.600

2. Segment Results (Segment Revenue - Segment Expenses)

 

 

 

a) Steel

777.700

550.100

1839.200

b) Iron & Steel Castings

48.100

34.000

125.100

Total

825.800

584.100

1964.300

Less : i) Finance Cost

(454.800)

(444.600)

(1320.000)

ii) Unallocated Corporate Expenses

(6.000)

(2.400)

(19.100)

Add :    Unallocated Income

21.500

13.100

53.000

Total Profit Before Tax

386.500

150.200

678.200

3. Capital Employed (Segment Assets - Segment Liabilities)

 

 

 

a) Steel

50673.700

47768.100

50673.700

b) Iron & Steel Castings

3073.800

2871.300

3073.800

c) Unallocated (Assets - Liabilities)

(34445.000)

(31575.500)

(34445.000)

Total

19302.500

19063.900

19302.500

 

Notes:

 

Segments have been identified in line with the Accounting Standard on Segment Reporting (AS 17).

 

Steel Segment is engaged in manufacture and sale of Pig Iron, Billets. Rolled Products including alloy steel and Sponge lron and its captive Power Plants at its Units located a1 Siltara. Raipur and Mining activities in the state of Chhattisgarh. Jharkhand and Maharashtra.

 

lron and Steel Castings Segment comprises of manufacture and sale of Engineering and Automotive Castings with production facilities at Nagpur in Maharashtra and Bhilai and Anjora in Chhaltisgarh.

 

INDEX OF CHARGE:

 

Sr. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10485451

24/03/2014

1,330,000,000.00

PUNJAB NATIONAL BANK

Sitabuldi, Mahajan Market, Nagpur, Maharashtra -
440012, India

C00682559

2

10483785

27/03/2014 *

1,350,600,000.00

State bank of India

Industrial Finance Branch, Bharat Nagar, Amravati Road, Nagpur, Maharashtra - 440010, India

C01064260

3

10471710

09/01/2014

1,000,000,000.00

IDBI Bank Limited

IDBI Towerwtc Complex, Cuffe Parade, Mumbai, Maharashtra - 400005, India

B94070455

4

10445870

26/08/2013

860,000.00

Axis Bank Limited

Trishul 3rd Floor Opp Samartheshwar Temple, Law Garden Ellisbridge, Ahmedabad, Gujarat - 380006, India

B83482174

5

10430629

27/03/2014 *

2,000,000,000.00

STATE BANK OF INDIA

Industrial Finance Branch, No.5, Sai Complex, Bharat Nagar, Amravati Road, Nagpur, Maharashtra -
440010, India

C01063478

6

10364490

14/01/2013 *

1,000,000,000.00

State Bank of Travancore

125, Central Avenue,, Gandhi Putala, Nagpur, Maharashtra - 440032, India

B67261529

7

10358283

14/01/2013 *

3,110,000,000.00

UNION BANK CONSORTIUM

Gandhibagh Branch, 318 Post Office Road, Nagpur, Maharashtra - 440002, India

B66958976

8

10344577

14/01/2013 *

2,870,000,000.00

PUNJAB NATIONAL BANK (LEAD BANK)

Sitabuldi, Mahajan Market, Nagpur, Maharashtra - 440012, India

B66481649

9

10332723

30/01/2012

708,787.00

KOTAK MAHINDRA BANK LIMITED

36-38a, Nariman Bhavan, 227,D, Nariman Point, Mumbai, Maharashtra - 400021, India

B30893986

10

10321815

26/06/2012 *

1,000,000,000.00

IDBI Bank Limited

IDBI Towerwtc Complex, Cuffe Parade, Mumbai, Maharashtra - 400005, India

B43470525

11

10306378

15/09/2011

2,029,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

B20579512

12

10294186

30/06/2011

1,772,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

B15815095

13

10288452

26/06/2012 *

1,800,000,000.00

STATE BANK OF INDIA

Industrial Finance Branch, No 5, Sai Complex, Bharat Nagar, Amravati Road, Nagpur, Maharashtra - 440010, India

B43019264

14

10278072

27/11/2012 *

18,000,000,000.00

IDBI TRUSTEESHIP SERVICES LIMITED

Asian Building, Ground Floor, 17, R Kamani Marg, Ballard Estate,, Mumbai, Maharashtra - 400001, India

B63351969

15

10264595

07/05/2013 *

1,325,000,000.00

UCO BANK

Flagship Corporate Branch, 1st Floor, Mafatlal Centre, Nariman Point, Mumbai, Maharashtra - 400021,
India

B75544312

16

10257301

26/06/2012 *

890,000,000.00

State Bank of Travancore

125, Central Avenue, Gandhiputala, Nagpur, Maharashtra - 440032, INDIA

B43191949

17

10233190

21/07/2010

1,780,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A90346552

18

10224859

26/06/2012 *

220,000,000.00

ICICI LIMITED

ICICI Tower, Bandara Kurala Complex Bandra E, Mumbai, Maharashtra - 400051, India

B43393099

19

10218039

09/03/2010

2,600,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A84690445

20

10187665

15/01/2013 *

750,000,000.00

IDBI Bank Limited

IDBI Towerwtc Complex, Cuffe Parade, Mumbai, Maharashtra - 400005, India

B66959933

21

10173884

24/08/2009

9,800,000.00

L and T Finance Limited

L and T House,, Ballard Estate, Mumbai, Maharashtra - 400001, India

A68705490

22

10178255

20/08/2009

24,750,000.00

KOTAK MAHINDRA BANK LIMITED

36-38a, Nariman Bhavan, 227,D, Nariman Point, Mumbai, Maharashtra - 400021, India

A68061274

23

10173886

27/07/2009

1,575,000.00

L and T Finance Limited

L and T House,, Ballard Estate, Mumbai, Maharashtra - 400001, India

A68707884

24

10173885

23/07/2009

18,200,000.00

L and T Finance Limited

L and T House,, Ballard Estate, Mumbai, Maharashtra - 400001, India

A68706209

25

10161279

20/05/2009

1,048,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A63694442

26

10154346

17/04/2009

687,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A60837317

27

10138505

27/03/2014 *

9,881,700,000.00

SBI Consortium - Lead - State Bank of India

Industrial Finance Branch, 5, Sai Complex, Bharat Nagar, Amravati Road, Nagpur, Maharashtra - 4400
10, INDIA

C01063940

28

10141124

26/06/2012 *

250,000,000.00

Export-Import Bank of India

Centre One Building, Floor 21, World Trade Centre Complex, Cuffe Parade,, Mumbai, Maharashtra - 400005, India

B44004950

29

10136554

26/06/2012 *

74,100,000.00

BANK OF INDIA

Nagpur Corporate Banking Branch, S V Patel Marg, Nagpur, Maharashtra - 440001, India

B42821942

30

10132486

26/06/2012 *

500,000,000.00

PUNJAB NATIONAL BANK

Sitabuldi, Nagpur, Maharashtra - 440012, India

B43017169

31

10123484

26/06/2012 *

500,000,000.00

UNION BANK OF INDIA

Gandhibagh, Nagpur, Maharashtra - 440002, India

B42646489

32

10121514

15/01/2013 *

1,750,000,000.00

IDBI Bank Limited

IDBI Towerwtc Complex, Cuffe Parade, Mumbai, Maharashtra - 400005, India

B66958026

33

10116416

26/06/2012 *

850,000,000.00

ICICI LIMITED

ICICI Tower, Bandara Kurala Complex Bandra E, Mumbai, Maharashtra - 400051, India

B43394352

34

10112644

16/05/2008

670,000,000.00

ALLAHABAD BANK

Kolkata Industrial Finance Branch, Kishore Bhavan, 4th Floor, 17 R N Mukherjee Road, Kolkata, West
Bengal - 700001, India

A41117730

35

10088288

20/10/2007

560,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A32700130

36

10088289

20/10/2007

560,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A32700726

37

10088290

20/10/2007

560,000.00

Kotak Mahindra Bank Limited

36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai, Maharashtra - 400021, India

A32701880

38

10068605

15/01/2013 *

250,000,000.00

IDBI Bank Limited

IDBI Towerwtc Complex, Cuffe Parade, Mumbai, Maharashtra - 400005, India

B66809641

39

10029747

20/12/2006

1,000,000,000.00

ALLAHABAD BANK

Industrial Finance Branch, Kishore Bhavan, Kolkata, West Bengal - 700001, India

A07761166

40

10011948

09/06/2006

779,000.00

Kotak Mahindra Bank Limited

27 BKC, C 27, G Block, Bandra Kurla Complex, Bandra (East), Mumbai, Maharashtra - 400051, India

A02709475

41

10011951

09/06/2006

613,000.00

Kotak Mahindra Bank Limited

27 BKC, C 27, G Block, Bandra Kurla Complex, Bandra (East), Mumbai, Maharashtra - 400051, India

A02709426

42

10012210

09/06/2006

779,000.00

Kotak Mahindra Bank Limited

27 BKC, C 27, G Block, Bandra Kurla Complex, Bandra (East), Mumbai, Maharashtra - 400051, India

A02709616

43

10012212

09/06/2006

779,000.00

Kotak Mahindra Bank Limited

27 BKC, C 27, G Block, Bandra Kurla Complex, Bandra (East), Mumbai, Maharashtra - 400051, India

A02709558

44

90241649

17/11/2005

14,200,000.00

INDUSTRIAL INVESTMENT BANK OF INDIA LIMITED.

Earnest House, Nariman Point, Mumbai, Maharashtra
- 400021, India

-

45

90241749

17/11/2005

15,000,000.00

BANK OF PUNJAB LIMITED.

171 B Mittel Court, Nariman Point, Mumbai, Maharashtra - 400021, India

-

46

90241750

17/11/2005

1,600,000.00

UNITED INSIA INSURANCE COMPANY LIMITED

24 Whites Road, P O Boxno 876, Chennai, Tamil Nadu - 600014, India

-

47

80031674

17/11/2005 *

165,300,000.00

Industrial Development Bank Of India Limited

IDBI Tower WTC Complex Cuffe Parade , Mumbai, Maharashtra - 400005, India

-

48

90187037

23/12/2003

105,000,000.00

GLOBAL TRUST BANK LIMITED

15 Maker Chambers 3 Nariman Point, Mumbai, Maharashtra - 440021, India

-

49

90186876

25/09/2001

50,000,000.00

GLOBAL TRUST BANK LIMITED

303-48-3 Sardar Patel Road, Secundarabad, Andhra Pradesh - 500003, India

-

50

90186844

09/04/2001

270,000,000.00

Industrial Development Bank Of India Limited

IDBI Tower WTC Complex Cuffe Parade , Mumbai, Maharashtra - 400005, India

-

51

90187867

01/11/2000

50,000,000.00

GLOBAL TRUST BANK LIMITED

15 Maker Chambers, 3 Nariman Point, Mumai, Maharashtra - 400021, India

-

52

90186786

20/09/2000

121,000,000.00

ICICI LIMITED

ICICI Tower, Bandara Kurala Complex Bandra E, Mumbai, Maharashtra - 400051, India

-

53

90187852

27/04/2000

80,000,000.00

All And Singular The Leasehold Lands Situste

T 42 In The Nagpur Industrial Area, Nagpur, Maharashtra, India

-

54

90186748

17/11/2005 *

50,000,000.00

Industrial Investment Bank of India Limited

Earnest House, Nariman Point, Mumbai, Maharashtra
- 400021, India

-

55

80032075

17/11/2005 *

294,800,000.00

IDBI

IDBI Tower, colaba , Mumbai, Maharashtra - 400005, INDIA

-

56

90186600

08/08/1998

50,000,000.00

GLOBAL TRUST BANK LIMITED

Maker Chambers, 3nariman Point, Mumbai, Maharashtra - 400021, India

-

57

90186527

02/01/1998

101,000,000.00

GLOBAL TRUST BANK LIMITED

Maker Chambers 3 Nariman Point, Mumbai, Maharashtra - 400021, India

-

58

90186525

17/11/2005 *

1,900,000.00

ORIENTAL INS COMPANYLIMITED.

Oriental House, Asaf Ali Road, Delhi, Delhi - 110
002, India

-

59

90186488

27/04/2000 *

62,500,000.00

Industrial Development Bank Of India Limited

IDBI Tower WTC Complex Cuffe Parade , Mumbai, Maharashtra - 400005, India

-

60

90187740

25/10/2001 *

900,000.00

ICICI LIMITED

ICICI Tower, Bandara Kurala Complex Bandra E, Mumbai, Maharashtra - 400051, India

-

61

90186400

27/04/2000 *

1,200,000.00

EXPORT INPORT BANK OF INDIA

Centre One World Trade Centre, Mumbai, Maharashtra - 400005, India

-

62

90187727

25/10/2001 *

1,000,000.00

ICICI LIMITED

ICICI Tower, Bandara Kurala Complex Bandra E, Mumbai, Maharashtra - 400051, India

-

63

90186382

17/11/2005 *

4,500,000.00

Oriental Ins Company Limited

Oriental House, Asaf Ali Road, Delhi, Delhi - 110002, India

-

64

90186231

17/11/2005 *

70,000,000.00

Industrial Investment Bank of India Limited

Earnest House, Nariman Point, Mumbai, Maharashtra - 400021, India

-

65

90188986

15/12/1976

200,000.00

The State Industrual Investment Corporation Of Maharashtra L

1st Floor Nariman Point, Bombay, Maharashtra - 400021, India

-

66

90188982

08/01/1976

400,000.00

M S F C

Fount Road, Nagpur, Maharashtra, India

-

 

 

FIXED ASSETS:

 

·         Freehold Land

·         Leasehold Land

·         Building

·         Railway Siding

·         Plant and Machinery

·         Developed Property

·         Office Equipment

·         Furniture and Fixture

·         Vehicles

·         Software

·         Technical Know-how

·         Process Development

 

 

 

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.60.16

UK Pound

1

Rs.102.23

Euro

1

Rs.80.04

 

 

INFORMATION DETAILS

 

Information Gathered by :

PRT

 

 

Analysis Done by :

DIV

 

 

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

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--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

YES

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

51

 

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.