MIRA INFORM REPORT
|
Report Date : |
10.03.2014 |
IDENTIFICATION DETAILS
|
Name : |
HERBALIFE INTERNATIONAL INDIA PRIVATE LIMITED |
|
|
|
|
Registered Office
: |
Vaswani Wilshire No. 14, Commissariat Road, Bangalore – 560 025,
Karnataka |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
08.10.1998 |
|
|
|
|
Com. Reg. No.: |
08-026098 |
|
|
|
|
Paid-up Capital
: |
Rs. 40.786 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U51909KA1998PTC026098 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
BLRH00659B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACH8025R |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Distributor of weight management, nutritional and
personal care products |
|
|
|
|
No. of Employees
: |
Information declined by the management
|
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 |
|
Maximum Credit Limit : |
USD 3100000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is a subsidiary of “Herbalife International Inc. USA”. It is
an established company having fine track record. The company possesses a strong financial profile marked by no external
borrowings recorded in the books, along with a decent networth position
during 2013. Further, the management has also seen a better increase in its sales
volume as well as net profitability during the year under review. Trade relations are fair. Business is active. Payment terms are
reported as regular and as per commitments. In view of strong holdings, the subject can be considered good 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 – December 1, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
The worst is over for India’s economy with gross domestic product likely
to expand 5 %to 5.5 % this year and more than 6 % in 2015, according to Moody’s
Analytics. Concerns over the rupee and current account deficit are under
control, said the agency. Ratings firm Crisil has forecast 6 % growth for
2014/15 up from the estimated 4.8 % for 2013/14. Total economic growth,
infrastructure bottlenecks and lack of transparency and consistency in foreign
direct investment policies seem to have taken a toll on India’s attractiveness
as an investment destination, says an Ernst & Young survey. Projects
with FDI component fell 16.4 % across the globe in 2012 from the previous
year. The drop in India was steeper at 21 %. State run carrier Air India
is doling out free tickets to its 24000 employees, even as it expects to incur
a loss of Rs 39000 mn this financial year and has a debt of Rs 350000 mn.
550000 number of jobs generated across India in 2013, a fall of 0.4 % as
compared to with a year earlier. The National Capital Region has a
one-fourth share in total jobs created, according to a study by industry lobby
group Assochem, Banks, real estate, automobile and telecommunications sectors
are showing a rise of job creation. $ 805 mn investments by venture capital
firms in India during 2013, registering a drop of about 18 % over the previous
year. The Information Technology and IT-Enabled Services Industry retained
its status as the favourable venture capital investors in 2013. Pakistan has
temporarily banned gold imports for the second time in six months, as it tries
to stem smuggling into India. India’s import duty on gold is 10 % and curbs on
purchases have dried up legal imports into what used to be the world’s biggest
bullion buyers. The World Gold Council puts the amount smuggled into India at
upto 200 tonnes in 2013. The Reserve Bank of India has proposed that unclaimed
bank deposits estimated to be about Rs 35000 mn be used for education and
awareness among depositors. According to the plan, deposits that have not
been claimed for at least 10 years will be transferred to the scheme.
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 DENIED
Management Non Co-operative (91-80-40311444)
LOCATIONS
|
Registered Office : |
Vaswani Wilshire No. 14, Commissariat Road, Bangalore – 560025,
Karnataka, India |
|
Tel. No.: |
91-80-40311444/40311333 |
|
Fax No.: |
91-80-40311334 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Mumbai Sales Center : |
Al-Dossal, 50 Pali Road, Bandra (West), Mumbai – 400 050,
Maharashtra, India |
|
|
|
|
New Delhi Pick-Up Center : |
Nulon House, Tribhuvan Complex, Delhi Mathura Road, New
Delhi 110 065, India |
|
|
|
|
Kolkata Sales Center : |
Bharatiya Bhasha Parishad, Ground Floor, 36 A Shakespeare
Sarani, Kolkata 700017, West Bengal,
India |
|
|
|
|
Corporate Headquarter : |
800 West Olympic Blvd, Suite 406, Los Angeles, CA 90015,
USA |
|
Tel. No.: |
866-866-4744 |
|
Fax No.: |
310-258-7019 |
DIRECTORS
AS ON 27.09.2013
|
Name : |
Mr. Richard Paul Goudis |
|||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||
|
Address : |
26620 Alsace Drive, Calabasas, 90302, United States Of America |
|||||||||||||||||||||||||||
|
Date of Birth/Age : |
31.03.1961 |
|||||||||||||||||||||||||||
|
Date of Appointment : |
28.08.2004 |
|||||||||||||||||||||||||||
|
DIN No.: |
00552336 |
|||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Name : |
Mr. Robert Nathan Levy |
|||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||
|
Address : |
10584 Bradbury Road, Los Angeles California, 90064, United States Of America |
|||||||||||||||||||||||||||
|
Date of Birth/Age : |
13.12.1958 |
|||||||||||||||||||||||||||
|
Date of Appointment : |
08.01.2007 |
|||||||||||||||||||||||||||
|
DIN No.: |
01837673 |
|||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Name : |
Mr. Ajay Khanna |
|||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||
|
Address : |
A-1204, mantra Elegance A Block, Bannerghatta Road, Bangalore – 560
071, Karnataka, India |
|||||||||||||||||||||||||||
|
Date of Birth/Age : |
19.04.1962 |
|||||||||||||||||||||||||||
|
Date of Appointment : |
30.09.2010 |
|||||||||||||||||||||||||||
|
DIN No.: |
03165041 |
|||||||||||||||||||||||||||
|
Other Directorship:
|
||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||
|
Name : |
Mr. William Michael Rahn |
|||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||
|
Address : |
Room #803, Garden Takanawa, India |
|||||||||||||||||||||||||||
|
Date of Birth/Age : |
08.06.1956 |
|||||||||||||||||||||||||||
|
Date of Appointment : |
21.06.2010 |
|||||||||||||||||||||||||||
|
DIN No.: |
03604247 |
|||||||||||||||||||||||||||
KEY EXECUTIVES
|
Name : |
KCV Muralitharan |
|
Designation : |
Company Secretary |
|
Address : |
Flat No 102, Jyothi Meadows,, Shivalingaiah Colony, Vimanapura, Bangalore - 560017, Karnataka, India |
|
Date of Birth/Age : |
20.06.1965 |
|
Date of Appointment : |
04.02.2008 |
|
Pan No.: |
ADKPM4863E |
MAJOR SHAREHOLDERS
AS ON 27.09.2013
|
Names of Shareholders |
No. of Shares |
% of Holding |
|
Herbalife International INC – USA |
3099755 |
76.00 |
|
HIIP Investment Company, LLP – Inglewood CA |
978870 |
24.00 |
|
Total |
4078625 |
100.00 |
Equity Share Break up (Percentage of Total Equity)
AS ON 27.09.2013
|
Category |
Percentage |
|
Foreign holdings( Foreign institutional investor(s),
Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s)
or Overseas Corporate bodies or Others |
100.00 |
|
|
|
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Distributor of weight management, nutritional and
personal care products |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management
|
|
|
|
|
Bankers : |
Not Available |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
B S R and Company Chartered Accountant |
|
Address : |
Maruthi Info Tech Centre, 11-12/1 Inner Ring Road, Koramangala,
Bangalore – 560071, Karnataka, India |
|
Pan No.: |
AAAFB9852F |
|
|
|
|
Ultimate Holding Company : |
·
Herbalife Limited (Cayman Islands) |
|
|
|
|
Holding Company : |
·
Herbalife International Inc, USA |
|
|
|
|
Associates/Subsidiaries : |
·
HIIP Investments Company, LLC |
|
|
|
|
Fellow Subsidiaries : |
·
Herbalife International Philippines, Inc ·
Herbalife International Luxembourg s a r l ·
Herbalife International of Hongkong Limited ·
Herbalife Korea Company Limited ·
Herbalife International (Thailand) Limited ·
Herbalife Australasia Pty Limited ·
Herbalife International Singapore Pte Limited ·
Herbalife Products Malaysia Sdn Bhd. ·
Herbalife UK Limited ·
Herbalife International of America ·
Herbalife International Finland BV ·
Herbalife of Canada Limited ·
Herbalife Denmark Aps ·
Herbalife of Japan K. K ·
Herbalife UK Limited ·
Herbalife International France, S. A ·
Herbalife Taiwan Inc, Taiwan Branch ·
Herbalife Norway Proudcts A. S ·
Herbalife Sweden Aktiebolag AB ·
Herbalife International Greece, S A ·
PT Herbalife Indonesia ·
Herbalife (NZ) Limited ·
Herbalife International, S A (Portugal) ·
Herbalife International Espana, S A ·
Herbalife China ·
Herbalife International de Mexico, S. A. de C. V ·
Herbalife Italia, S. p. A |
CAPITAL STRUCTURE
AS ON 27.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
6000000 |
Equity Shares |
Rs.10/- each |
Rs.60.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
4078625 |
Equity Shares |
Rs.10/- each |
Rs.40.786 Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
40.786 |
40.786 |
40.786 |
|
(b) Reserves & Surplus |
755.351 |
614.728 |
416.010 |
|
(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) |
796.137 |
655.514 |
456.796 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
52.684 |
20.650 |
9.728 |
|
Total Non-current
Liabilities (3) |
52.684 |
20.650 |
9.728 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade
payables |
956.035 |
444.093 |
524.269 |
|
(c) Other
current liabilities |
817.842 |
835.894 |
545.122 |
|
(d) Short-term
provisions |
563.208 |
423.141 |
83.793 |
|
Total Current
Liabilities (4) |
2337.085 |
1703.128 |
1153.184 |
|
|
|
|
|
|
TOTAL |
3185.906 |
2379.292 |
1619.708 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
177.388 |
100.396 |
48.289 |
|
(ii)
Intangible Assets |
3.502 |
5.247 |
0.079 |
|
(iii)
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
35.565 |
120.409 |
119.753 |
|
(d) Long-term Loan and Advances |
441.058 |
358.758 |
247.625 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
657.513 |
584.810 |
415.746 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
791.504 |
816.813 |
406.500 |
|
(c) Trade
receivables |
716.555 |
270.935 |
139.870 |
|
(d) Cash
and cash equivalents |
889.497 |
618.354 |
591.924 |
|
(e)
Short-term loans and advances |
130.837 |
88.380 |
65.668 |
|
(f) Other
current assets |
0.000 |
0.000 |
0.000 |
|
Total Current
Assets |
2528.393 |
1794.482 |
1203.962 |
|
|
|
|
|
|
TOTAL |
3185.906 |
2379.292 |
1619.708 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
||
|
|
SALES |
|
|
|
||
|
|
|
Income |
9290.660 |
6938.990 |
3497.330 |
|
|
|
|
Other Income |
|
|
|
|
|
|
|
TOTAL |
NA |
NA |
NA |
|
|
|
|
|
|
|
||
|
Less |
EXPENSES |
|
|
|
||
|
|
|
TOTAL |
NA |
NA |
NA |
|
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS)
BEFORE TAX, DEPRECIATION AND AMORTISATION |
1813.656 |
1240.613 |
845.515 |
||
|
|
|
|
|
|
||
|
Less |
DEPRECIATION/
AMORTISATION |
55.752 |
33.773 |
14.478 |
||
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS)
BEFORE TAX |
1757.904 |
1206.840 |
831.037 |
||
|
|
|
|
|
|
||
|
Less |
TAX |
574.000 |
399.344 |
280.408 |
||
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS)
AFTER TAX |
1183.904 |
807.496 |
550.629 |
||
|
|
|
|
|
|
||
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
478.915 |
360.947 |
300.072 |
||
|
|
|
|
|
|
||
|
Less |
APPROPRIATIONS |
|
|
|
||
|
|
|
Dividend Interim |
895.000 |
173.805 |
372.773 |
|
|
|
|
Dividend proposed |
0.000 |
350.000 |
0.000 |
|
|
|
|
Dividend Distribution Tax |
148.281 |
84.974 |
61.918 |
|
|
|
|
Transfer to general Reserve |
118.390 |
80.749 |
55.063 |
|
|
|
BALANCE CARRIED
TO THE B/S |
501.148 |
478.915 |
360.947 |
||
|
|
|
|
|
|
||
|
|
EARNINGS IN
FOREIGN CURRENCY |
505.302 |
383.369 |
139.870 |
||
|
|
|
|
|
|
||
|
|
Earnings Per
Share (Rs.) |
290.27 |
NA |
NA |
||
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
Net Profit Margin (PBT/Sales) |
(%) |
18.92 |
17.39 |
23.76 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
55.80 |
53.43 |
55.40 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
2.21 |
1.84 |
1.82 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.08 |
1.05 |
1.04 |
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 |
40.786 |
40.786 |
40.786 |
|
Reserves & Surplus |
416.010 |
614.728 |
755.351 |
|
Net
worth |
456.796 |
655.514 |
796.137 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.000 |
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 |
3497.330 |
6938.990 |
9290.660 |
|
|
|
98.408 |
33.891 |
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
|
3497.330 |
6938.990 |
9290.660 |
|
Profit |
550.629 |
807.496 |
1183.904 |
|
|
15.74% |
11.64% |
12.74% |
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 |
No |
|
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 |
Yes |
|
23] |
Banking Details |
No |
|
24] |
Banking facility details |
No |
|
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 |
No |
LITIGATION
DETAILS:
|
OPERATIONS:
During the year,
subject reported a profit after tax of INR 1183.904 million as compared to INR
807.496 million in previous year. The revenues from operations for the current
year INR 9290.660 million including IT service income INR 505.300 million
compared to last year INR 6938.990 million including IT service income INR
383.300 respectively. Improved sales performance is on account of increased
Distributor recruitment, improvement in retention percentages and increase in
number of nutrition clubs apart from increased activity levels at Information
technology Centre.
NO CHARGES EXIST
FOR COMPANY
FIXED ASSETS:
·
Furniture and Fixtures
·
Leasehold improvements
·
Office equipment
·
Computer equipment
·
Vehicles
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources including
but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair and
reasonable and comparable to compensation paid to others for similar services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.99 |
|
|
1 |
Rs.102.07 |
|
Euro |
1 |
Rs.84.53 |
INFORMATION DETAILS
|
Information
Gathered by : |
PDT |
|
|
|
|
Report Prepared
by : |
NKT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
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 |
||
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.