MIRA
INFORM REPORT
|
Report Date : |
27.03.2014 |
IDENTIFICATION DETAILS
|
Name : |
VINAYAK STEELS LIMITED |
|
|
|
|
Registered
Office : |
5-4-83 to 85, TSK Chambers, 1st Floor, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
12.07.1985 |
|
|
|
|
Com. Reg. No.: |
01-005654 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 42.569 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U27109AP1985PLC005654 |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACV8144M |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturing of Steel ingots, Sponge iron and TMT Bars and Trading and Dealing in steel only. |
|
|
|
|
No. of Employees
: |
Not Divulged |
RATING & COMMENTS
|
MIRA’s Rating : |
B (36) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 1030000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is an established company having moderate track record. Management has seen a drastic dip in its net profitability along with
profit margin during 201, due to the constraints in power supply and subdued
demand in the market. The ratings also take into consideration the susceptibility of its
margins to raw material price volatility and amidst intense competition in
the industry. However, trade relations are fair. Business is active. Payment terms
are reported as slow but correct. In view of long standing experience of the promoters, the subject can
be considered for business dealings with some caution. |
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
India’s current account deficit for the fiscal third quarter ended
September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product
from $31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in
exports and moderation in gold imports. Manufacturing activity and new orders
in India showed their strongest growth in a year in February. The news comes as
a relief after data showed Asia’s third largest economy grew by a
slower-than-expected 4.7 % annually in the three months through December. The
HSBC Manufacturing Purchasing Managers’ Index which gauges the business
activity of India’s factories but not its’ utilities, rose to 52.5 in February,
its highest in a year from 51.4 in January. Overall new orders for factory
goods which rose to a one-year high of 54.9 contributed to the surge. China has
emerged as India’s biggest trading partner in the current financial year
replacing the United Arab Emirates and pushing it to the third spot.
India-China trade has reached $49.5 billion with a 8.7 % share in India’s total
trade. The US comes second at $46 billion with 8.1 % share during the first
nine months of the current financial year.
The Reserve Bank of India has granted an additional nine months to the
public to exchange currency notes printed before 2005 including Rs 500 and Rs
1,000 denominations, pushing the deadline to January 1, 2015. A day before
dates for the Lok Sabha polls were announced, the government decided to hike
interest rates on fixed deposit schemes offered by post offices up to 0.2 per
cent. The new rates will be effective April, 1. The Supreme Court will resume
hearing on March, 11 Nokia’s appeal against a ruling over transferring
ownership of its local mobile phones plant which is the subject of a tax
dispute to Microsoft Corp.
In the last days of the current Government, another scam has surfaced.
The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s
contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The
Central Bureau of Investigation will look into allegations that over $80
million was paid in kickbacks in a deal signed in 2011. India has asked Boeing
Co. to find a solution for problems with state-owned Air India’s 787
Dreamliners. The aircraft has experienced a series of malfunctions since its
debut in 2011.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Term loan facilities: “BB+” |
|
Rating Explanation |
Moderate risk of default regarding timely servicing of financial
obligations. |
|
Date |
August, 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
Short term facilities: “A4+” |
|
Rating Explanation |
Minimal degree of safety and very high credit. |
|
Date |
August, 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 DECLINED BY
|
Name : |
Mr. Hiresh |
|
Designation : |
Finance Manager |
|
Contact No.: |
91-9951902000 |
|
Date : |
20.03.2014 |
LOCATIONS
|
Registered Office : |
5-4-83 to 85, TSK Chambers, 1st Floor, M.G
Road, Secunderabad - 500003, Andhra Pradesh, India |
|
Tel. No.: |
91-40-27535905 / 27537595 / 27537606 |
|
Mobile No.: |
91-9951902000 (Mr. Hiresh) |
|
Fax No.: |
91-40-27537595 |
|
E-Mail : |
DIRECTORS
As on 30.09.2013
|
Name : |
Mr. Vinod Kumar Kedia |
|
Designation : |
Managing director |
|
Address : |
Kedia House, 1-8-210/7, Plot No. 118, Park Avenue Colony, P.G. Road, Secunderabad - 500003, Andhra Pradesh, India |
|
Date of Birth/Age : |
29.08.1961 |
|
Qualification : |
Graduate |
|
Date of Appointment : |
01.06.2006 |
|
PAN No.: |
AADPK6734E |
|
DIN No.: |
00105909 |
|
|
|
|
Name : |
Asha Kedia |
|
Designation : |
Whole-time director |
|
Address : |
Kedia House, 1-8-210/7, Plot No. 118, Park Avenue Colony, P.G. Road, Secunderabad - 500003, Andhra Pradesh, India |
|
Date of Birth/Age : |
19.06.1963 |
|
Qualification : |
Graduate |
|
Date of Appointment : |
29.09.2006 |
|
PAN No.: |
ADOPK5823C |
|
DIN No.: |
00123083 |
|
|
|
|
Name : |
Mr. Vineet Kumar Kedia |
|
Designation : |
Whole-time director |
|
Address : |
Kedia House, 1-8-210/7, Plot No. 118, Park Avenue Colony, P.G. Road, Secunderabad - 500003, Andhra Pradesh, India |
|
Date of Birth/Age : |
14.05.1986 |
|
Qualification : |
Graduate |
|
Date of Appointment : |
29.09.2006 |
|
PAN No.: |
AQRPK4383M |
|
DIN No.: |
00123185 |
|
|
|
|
Name : |
Mr. Sridhar Kumar Kshirsagar |
|
Designation : |
Director |
|
Address : |
32/A, Chandranagar Colony, Rasoolpura, Secunderabad - 500003, Andhra Pradesh, India |
|
Date of Birth/Age : |
18.06.1970 |
|
Date of Appointment : |
01.12.2008 |
|
DIN No.: |
01193123 |
|
|
|
|
Name : |
Mr. Sandeep Kumar Jaju |
|
Designation : |
Director |
|
Address : |
H. No. 18-4-477, Shamshergunj, Aliyabad, Hyderabad - 500053, Andhra Pradesh, India |
|
Date of Birth/Age : |
09.01.1979 |
|
Date of Appointment : |
27.10.2008 |
|
DIN No.: |
01741682 |
KEY EXECUTIVES
|
Name : |
Mr. Hiresh |
|
Designation : |
Finance Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2013
NOTE: SHAREHOLDING DETAIL FILE ATTACHED.
As on 30.09.2013
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage of Holding |
|
Bodies corporate |
22.66 |
|
Directors or relatives of Directors |
70.44 |
|
Other top fifty shareholders |
6.90 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing of Steel ingots, Sponge iron and TMT Bars
and Trading and Dealing in steel only. |
||||
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|
||||
|
Products : |
|
||||
|
|
|
||||
|
Brand Name: |
“VINAYAK THERMEX TMT” |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged |
||||||||||||||||||||||||||||||
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|
|
||||||||||||||||||||||||||||||
|
Bankers : |
· Axis Bank Limited, 5-2-183/184, ASC Centre, III Floor, R P Road, Hyderababd - 500003, Andhra Pradesh, India State Bank of Hyderabad, Mahaboobgunj Branch, Hyderabad -
500012, Andhra Pradesh, India · HDFC Bank Limited |
||||||||||||||||||||||||||||||
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|
||||||||||||||||||||||||||||||
|
Facilities : |
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
R. K. BANG and Company Chartered Accountants |
|
Address : |
1-2-524/211, Sagar View Building, Domalguda, Hyderabad - 500029, Andhra Pradesh, India |
|
Income-tax
PAN of auditor or auditor's firm : |
ABXPB9924A |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
450,000 |
Equity Shares |
Rs.100/- each |
Rs. 45.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
425,693 |
Equity Shares |
Rs.100/- each |
Rs. 42.569 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 |
42.569 |
39.569 |
39.569 |
|
(b) Reserves & Surplus |
215.757 |
191.749 |
183.646 |
|
(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) |
258.326 |
231.318 |
223.215 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
64.229 |
73.764 |
42.073 |
|
(b) Deferred tax liabilities (Net) |
10.966 |
11.064 |
10.714 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
75.195 |
84.828 |
52.787 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
378.162 |
415.786 |
322.546 |
|
(b) Trade payables |
32.557 |
44.778 |
27.847 |
|
(c) Other current
liabilities |
67.136 |
74.229 |
51.158 |
|
(d) Short-term provisions |
0.000 |
0.000 |
15.001 |
|
Total Current Liabilities (4) |
477.855 |
534.793 |
416.552 |
|
|
|
|
|
|
TOTAL |
811.376 |
850.939 |
692.554 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
242.398 |
191.134 |
185.774 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
50.739 |
49.469 |
11.050 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
80.204 |
80.204 |
78.267 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
74.687 |
44.277 |
36.762 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
448.028 |
365.084 |
311.853 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
168.877 |
187.913 |
136.068 |
|
(c) Trade receivables |
124.366 |
176.926 |
203.870 |
|
(d) Cash and cash
equivalents |
5.800 |
56.523 |
3.179 |
|
(e) Short-term loans and
advances |
56.772 |
54.929 |
29.053 |
|
(f) Other current assets |
7.533 |
9.564 |
8.531 |
|
Total Current Assets |
363.348 |
485.855 |
380.701 |
|
|
|
|
|
|
TOTAL |
811.376 |
850.939 |
692.554 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1220.548 |
1366.894 |
1359.426 |
|
|
|
Other Income |
12.823 |
3.895 |
1.491 |
|
|
|
TOTAL (A) |
1233.371 |
1370.789 |
1360.917 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
931.112 |
1034.065 |
|
|
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(22.780) |
(6.650) |
|
|
|
|
Employees benefits expense |
19.519 |
23.510 |
|
|
|
|
Other expenses |
241.676 |
242.930 |
|
|
|
|
TOTAL (B) |
1169.527 |
1293.855 |
1282.409 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (A-B) (C) |
63.844 |
76.934 |
78.508 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
34.071 |
40.851 |
39.777 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
29.773 |
36.083 |
38.731 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
26.067 |
23.809 |
25.399 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
3.706 |
12.274 |
13.332 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
0.697 |
4.172 |
4.913 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H) (I) |
3.009 |
8.102 |
8.419 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
145.953 |
137.851 |
129.432 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
148.962 |
145.953 |
137.851 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
7.07 |
20.48 |
21.48 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
0.24 |
0.59 |
0.62 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.30 |
0.90 |
0.98 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
0.54 |
1.70 |
2.21 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.01 |
0.05 |
0.06 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.71 |
2.12 |
1.63 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.76 |
0.91 |
0.91 |
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 |
39.569 |
39.569 |
42.569 |
|
Reserves & Surplus |
183.646 |
191.749 |
215.757 |
|
Net
worth |
223.215 |
231.318 |
258.326 |
|
|
|
|
|
|
long-term borrowings |
42.073 |
73.764 |
64.229 |
|
Short term borrowings |
322.546 |
415.786 |
378.162 |
|
Total
borrowings |
364.619 |
489.550 |
442.391 |
|
Debt/Equity
ratio |
1.633 |
2.116 |
1.713 |
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 |
1359.426 |
1366.894 |
1220.548 |
|
|
|
0.549 |
(10.706) |
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 |
1359.426 |
1366.894 |
1220.548 |
|
Profit |
8.419 |
8.102 |
3.009 |
|
|
0.62% |
0.59% |
0.25% |
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 |
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 |
No |
|
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 |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
----- |
|
26] |
Buyer visit details |
----- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
LITIGATION DETAILS
CASE
STATUS INFORMATION SYSTEM
|
WA 424 / 2014 |
WASR 5229 /
2014 |
CASE IS:PENDING
|
|
PETITIONER |
|
RESPONDENT |
|
THE M.D.,
APCDCL., & 2 OTHERS |
VS |
M/S.VINAYAK
STEELS LTD & ANOTHER |
|
PET.ADV. : MANOHER
REDDY |
|
RESP.ADV. : NAGARJUNA
BABU |
|
SUBJECT: APSEB
(MISC.MATTERS) |
|
DISTRICT: MAHABUBNAGAR
|
|
FILING
DATE: 18-01-2014 |
POSTING
STAGE : FOR ADMISSION & HEARING |
|
|
REG.
DATE : 15-03-2014 |
LISTING
DATE : 25-03-2014 |
STATUS : --------- |
|
HON'BLE
JUDGE(S): |
G.ROHINI
|
T.SUNIL
CHOWDARY |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10384239 |
06/09/2012 |
1,399,200.00 |
AXIS BANK LIMITED |
5-2-183/184, ASC CENTRE, III FLOOR, R P ROAD, HYDERABABD - 500003, ANDHRA PRADESH, INDIA |
B61236949 |
|
2 |
10134632 |
04/12/2008 |
1,600,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI - 400013, MAHARASHTRA, INDIA |
A53323440 |
|
3 |
90117924 |
27/03/2004 |
1,475,000.00 |
KOTAK MAHINDRA BANK LIMITED |
HYDERABAD, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
4 |
90118899 |
30/04/2013 * |
427,400,000.00 |
STATE BANK OF HYDERBAD |
MAHABUBGUNJ BRANCH LAND MARK CENTRE, SIDDIAMBER BAZAR, HYDERABAD - 500012, ANDHRA PRADESH, INDIA |
B75518993 |
|
5 |
90118783 |
28/06/1999 * |
17,500,000.00 |
STATE BANK OF HYDERABAD |
MAHABUBGUNJ BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
6 |
90118755 |
18/12/1997 |
138,120.00 |
STATE BANK OF INDIA |
YELLAREDDY GUDA, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
7 |
90117045 |
31/03/1997 * |
1,500,000.00 |
THE A.P. MAHESH COOPRATIVE URBAN BANK LTD. |
M.G. ROAD, SECUNDRABAD, ANDHRA PRADESH, INDIA |
- |
|
8 |
90116650 |
08/10/1988 |
5,900,000.00 |
STATE BANK OF INDIA |
YELLAREDDY GUDA, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
9 |
90116638 |
25/05/1990 * |
3,100,000.00 |
STATE BANK OF INDIA |
INDUSTRIAL FINANCE
BRANCH, SOMAJIGUDA, HYDERABAD, |
- |
|
10 |
90118218 |
29/06/1989 * |
19,300,000.00 |
STATE BANK OF INDIA |
YELLAREDDY GUDA, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
11 |
90118200 |
11/03/1988 |
12,000,000.00 |
STATE BANK OF INDIA |
YELLAREDDIGUDA
BRANCH, HYDERABAD, ANDHRA PRADESH, |
- |
|
12 |
90118193 |
18/12/1987 |
4,200,000.00 |
STATE BANK OF INDIA |
YELLAREDDYGUDA, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
13 |
90118172 |
09/01/1987 |
3,100,000.00 |
STATE BANK OF INDIA |
YELLAREDIGUDA BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
14 |
90116557 |
23/09/1986 |
4,900,000.00 |
STATE BANK OF INDIA |
YELLAREDIGUDA BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
* Date of charge modification
UNSECURED LOANS
|
PARTICULAR |
+ |
31.03.2012 (Rs.
In Millions) |
|
SHORT TERM
BORROWINGS |
|
|
|
Loans and advances from directors |
82.009 |
101.080 |
|
Loans and advances from others |
28.272 |
7.833 |
|
Total |
110.281 |
108.913 |
OPERATIONS
Subject is a fully integrated Steel Plant manufacturing superior Quality steel. VSL has installed modern pollution control equipment to maintain a friendly environment. It is one of the few integrated steel plants awarded with ISO 9001-2000 certification. The Switchover of their Electrical line from existing 33 KVA to 132 KVA has been completed successfully in the First week of April, 2013 and this modernization would enable the plant to make optimum use of its capacities at various stages of production. Pallet and Sponge Iron Plant: They have erected their Pallet Plant after doing lot of in-house R and D. They have designed this Plant as per their requirement, i.e., the Plant can be either Stand-alone Unit or it can also be integrated with existing Sponge Plant, resulting in production of Sponge Iron directly from Iron Ore Fine. Steel Melting Plant: They are planning for the erection of New Concast Plant, which will give uninterrupted supply of Billets to the Rolling Mill Division. Rolling Mill Plant: It is equipped with the state of art German Technology for manufacturing high quality TMT Bars that are marketed under the Brand name VINAYAK THERMEX TMT.
MARKET SCENARIO
The Entire Industry including Steel Sector was affected in this year, due to the sharp rise in cost of input, raw material, power and fuel. Further, due to inflationary and liquidity pressure on the economy, the cost of borrowing witnessed rise and impacted the overall performance of the Company, in general. The situation worsened due to the Power Holiday, Steep increase in the Power Tariff and R and C Scheme adopted by APCPDCL. This has resulted in very low capacity utilization of the plant, thereby resulting in the increase of other variable cost.
CONTINGENT
LIABILTIES NOT PROVIDED FOR (AS ON 31.03.2013) :
a. Sales tax Input Credit of Rs.0.519 Million on the closing stock of 2004-05 is pending with AP Sales Tax Appellate Tribunal and they have deposited Rs. 0.067 Million under protest to file the appeal. Both the amounts are shown under the head - Loan and advances.
b. APCPDCL has raised a demand for Rs. 4.057 Millions, Writ pending before Hon?ble Andhra Pradesh High Court. As per the direction of Hon’ble High Court, paid Rs. 3.530 Millions under protest, shown under Loans and Advances.
c. APCPDCL has billed the company for arrears related to FCA charges for the financial year 1996-97, 1997-98 & 1998-99 for a total sum of Rs.2.250 Millions and Interest thereon, whereas the company has claimed a refund of Rs.2.264 Millions alongwith Rs.0.250 Million earlier paid to APCPDCL under protest against demand raised for FCA Chgs. The writ is pending before the Hon’ble AP High Court.
d. APCPDCL has preferred an appeal before the Andhra Pradesh High Court against the Arbitration order upholding the view in favour of the company to the extent of Rs.1.565 Millions issued by C. E. I. G., is pending before the A. P. High Court.
e. APCPDCL has demanded Rs.0.319 Million on the plea of recovery of excess Incentive allowed in the month from 2002 to 2009 in respect of changes in provisions and interpretation to the Load Factor Incentive. This is a Time Bar case. Hence, they have filed a case in the Hon. High Court, but to avoid the Power disconnection, we have paid this amount Under protest and are shown in the Head - Loan and advances.
FIXED ASSETS
· Land
Buildings
Plant
and Equipment
Other
Pollution Reduction Equipment
Furniture
and Fixtures
Vehicles
Motor
Vehicles
Office
Equipment
Computer
Equipments
Other
Equipments
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.60.17 |
|
|
1 |
Rs.99.39 |
|
Euro |
1 |
Rs.83.09 |
INFORMATION DETAILS
|
Information Gathered
by : |
PDT |
|
|
|
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
|
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--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 |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
36 |
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.