MIRA INFORM REPORT
|
Report Date : |
28.03.2014 |
IDENTIFICATION DETAILS
|
Name : |
DLF BRANDS LIMITED [w.e.f. 21.04.2009] |
|
|
|
|
Formerly Known
As : |
DLF BRANDS PRIVATE LIMITED DLF
RETAIL BRANDS PRIVATE LIMITED [w.e.f. 20.12.2007] ALTON
BUILDERS AND DEVELOPERS PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
1E, Jhandewalan Extension, Naaz Cinema Complex, New Delhi – 110055 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
10.03.2006 |
|
|
|
|
Com. Reg. No.: |
55-147368 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.1488.500
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U45201DL2006PLC147368 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELD10361B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAFCA7971E |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Retail Trade of Men Women Garments, Fabric, Kids Wear. |
|
|
|
|
No. of Employees
: |
1500 [Approximately in Group] |
RATING & COMMENTS
|
MIRA’s Rating : |
B (28) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 1458200 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a subsidiary of DLF Limited, India. It is an established company having moderate track record. There appears huge accumulated losses recorded by the company during
the financial year 2013. However, trade relations appear to be fair. Business is active.
Payment terms are reported as slow but correct. In view of strong promoters, the company 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.
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. Vashista Sanjeev |
|
Designation : |
Finance Department |
|
Contact No.: |
91-124-4855800 |
|
Date : |
27.03.2014 |
LOCATIONS
|
Registered Office : |
1-E, Jhandewalan Extension, Naaz Cinema Complex, |
|
Tel. No.: |
Not Available |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
DLF City Phase III, 15th Floor, Tower A, Building No. 5,
DLF Cyber Terraces, Gurgaon - 122202, Haryana, India |
|
Tel. No.: |
91-124-4855800 |
DIRECTORS
AS ON 30.09.2013
|
Name : |
Pia Singh |
|
Designation : |
Director |
|
Address : |
14, |
|
Date of Birth : |
26.12.1970 |
|
Date of Appointment : |
29.09.2009 |
|
DIN No.: |
00067233 |
|
|
|
|
Name : |
Mr. Lovekush Sharma |
|
Designation : |
Managing Director |
|
Address : |
C – 238A, |
|
Date of Birth : |
09.03.1965 |
|
Date of Appointment : |
30.09.2011 |
|
DIN No.: |
00003395 |
|
|
|
|
Name : |
Mr. Sunil Kumar Pandey |
|
Designation : |
Director |
|
Address : |
1167, Sector – 21, Gurgaon – 122016, |
|
Date of Birth : |
29.05.1970 |
|
Date of Appointment : |
10.03.2006 |
|
DIN No.: |
00003371 |
|
|
|
|
Name : |
Mr. Dhiraj Sarna |
|
Designation : |
Managing Director |
|
Address : |
D – 1001, New Friends Colony, New Delhi - 110065, India |
|
Date of Birth : |
07.08.1966 |
|
Date of Appointment : |
30.09.2011 |
|
DIN No.: |
01039973 |
KEY EXECUTIVES
|
Name : |
Mr. Neeraj Parmar |
|
Designation : |
Secretary |
|
Address : |
B – 11 / 63, Sector – 18, Rohini, |
|
Date of Birth/Age : |
01.10.1971 |
|
Date of Appointment : |
06.02.2009 |
|
Pan No.: |
ADDPP2926L |
|
|
|
|
Name : |
Mr. Vashista Sanjeev |
|
Designation : |
Finance Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2013
|
Names of Shareholders |
|
No. of Shares |
|
DLF Limited, India |
|
7999994 |
|
Prem Traders LLP, India |
|
34000000 |
|
Centre Point Management Services Limited, India |
|
26000000 |
|
Super Mart Two Property Management Services Limited, India |
|
61000000 |
|
Dhiraj Sarna |
|
14850000 |
|
Pia Singh |
|
5000000 |
|
Sanjay Goenka Jointly with DLF Limited |
|
1 |
|
Shiv K.R. Gupta Jointly with DLF Limited |
|
1 |
|
Manik Khanna Jointly with DLF Limited |
|
1 |
|
Adesh Gupta Jointly with DLF Limited |
|
1 |
|
Gopal Ramdev Jointly with DLF Limited |
|
1 |
|
Ankur Jain Jointly with DLF Limited |
|
1 |
|
|
|
|
|
TOTAL
|
|
148850000 |
AS ON 30.09.2013
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Bodies
corporate |
|
87.00 |
|
Directors
or relatives of directors |
|
13.00 |
|
TOTAL |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Retail Trade of Men Women Garments, Fabric, Kids Wear. |
|
|
|
|
Brand Names : |
|
|
|
|
|
Exports : |
|
|
Products : |
Not Divulged |
|
Countries : |
Not Divulged |
|
|
|
|
Imports : |
|
|
Countries : |
|
|
|
|
|
Terms : |
|
|
Selling : |
Not Divulged |
|
|
|
|
Purchasing : |
Not Divulged |
GENERAL INFORMATION
|
Suppliers : |
Not Divulged |
||||||||||||||||||||||||||||||
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||||||||||||||||||||||||||||||
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Customers : |
Not Divulged |
||||||||||||||||||||||||||||||
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||||||||||||||||||||||||||||||
|
No. of Employees : |
1500 [Approximately in Group] |
||||||||||||||||||||||||||||||
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||||||||||||||||||||||||||||||
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Bankers : |
|
||||||||||||||||||||||||||||||
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|
||||||||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
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Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Walker, Chandiok and Company Chartered Accountants |
|
Address : |
41-L, Connaught Circus, Delhi – 110001, India |
|
PAN No: |
AAAFW3298E |
|
|
|
|
Associates/Subsidiaries : |
|
|
|
|
|
Other Related Parties : |
|
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
150000000 |
Equity Shares |
Rs.10/- each |
Rs.1500.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
148850000 |
Equity Shares |
Rs.10/- each
|
Rs.1488.500
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 |
1488.500 |
1100.000 |
1000.000 |
|
(b) Reserves & Surplus |
(1123.944) |
(764.975) |
(528.315) |
|
(c) Money received against share warrants |
0.000 |
150.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
364.556 |
485.025 |
471.685 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
469.711 |
243.042 |
145.833 |
|
(b) Deferred tax liabilities (Net) |
24.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
7.863 |
7.141 |
0.000 |
|
(d)
Long-term provisions |
0.000 |
0.000 |
2.173 |
|
Total
Non-current Liabilities (3) |
501.574 |
250.183 |
148.006 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
666.328 |
601.557 |
437.138 |
|
(b)
Trade payables |
238.697 |
139.324 |
90.230 |
|
(c)
Other current liabilities |
258.767 |
176.747 |
115.032 |
|
(d)
Short-term provisions |
0.479 |
0.178 |
0.303 |
|
Total
Current Liabilities (4) |
1164.271 |
917.806 |
642.703 |
|
|
|
|
|
|
TOTAL |
2030.401 |
1653.014 |
1262.394 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i)
Tangible assets |
193.833 |
140.398 |
83.055 |
|
(ii)
Intangible Assets |
29.699 |
40.268 |
31.353 |
|
(iii)
Capital work-in-progress |
33.135 |
35.382 |
37.024 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
756.957 |
637.257 |
345.882 |
|
(c) Deferred tax assets
(net) |
9.903 |
9.903 |
9.903 |
|
(d) Long-term Loan
and Advances |
321.196 |
266.165 |
127.906 |
|
(e)
Other Non-current assets |
2.054 |
2.939 |
0.750 |
|
Total
Non-Current Assets |
1346.777 |
1132.312 |
635.873 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
250.375 |
244.718 |
165.686 |
|
(c)
Trade receivables |
42.921 |
24.592 |
89.602 |
|
(d)
Cash and cash equivalents |
8.672 |
8.698 |
11.863 |
|
(e)
Short-term loans and advances |
348.050 |
210.735 |
323.097 |
|
(f)
Other current assets |
33.606 |
31.959 |
36.273 |
|
Total
Current Assets |
683.624 |
520.702 |
626.521 |
|
|
|
|
|
|
TOTAL |
2030.401 |
1653.014 |
1262.394 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
570.490 |
369.823 |
328.966 |
|
|
|
Other Income |
55.295 |
34.447 |
83.958 |
|
|
|
TOTAL (A) |
625.785 |
404.270 |
412.924 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Purchases
of stock-in-trade |
383.439 |
269.637 |
271.719 |
|
|
|
Employee
benefit expense |
111.443 |
89.366 |
57.489 |
|
|
|
Other
expenses |
318.400 |
200.841 |
332.450 |
|
|
|
Changes in inventories of
finished goods, work-in-progress and stock-in-trade |
(9.438) |
(69.146) |
(91.146) |
|
|
|
TOTAL (B) |
803.844 |
490.698 |
570.512 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(178.059) |
(86.428) |
(157.588) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES (D) |
136.228 |
124.113 |
83.645 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(314.287) |
(210.541) |
(241.233) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
44.682 |
26.119 |
18.364 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
(358.969) |
(236.660) |
(259.597) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
0.000 |
0.000 |
25.819 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
(358.969) |
(236.660) |
(285.416) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
(528.315) |
(242.899) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
NA |
(764.975) |
(528.315) |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
(2.93) |
(2.35) |
(6.16) |
|
Expected Sales (2013-14) : Rs.600.000 Millions.
The above information has been parted by Mr. Vashista Sanjeev.
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
(57.36)
|
(58.54) |
(69.12) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(62.92)
|
(63.99) |
(78.91) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(29.17)
|
(24.39) |
(29.85) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.98
|
0.48 |
(0.55) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.95
|
1.74 |
1.24 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.59
|
0.57 |
0.97 |
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 |
1000.000 |
1100.000 |
1488.500 |
|
Reserves & Surplus |
-528.315 |
(764.975) |
(1123.944) |
|
Net worth |
471.685 |
335.025 |
364.556 |
|
|
|
|
|
|
long-term borrowings |
145.833 |
243.042 |
469.711 |
|
Short term borrowings |
437.138 |
601.557 |
666.328 |
|
Total borrowings |
582.971 |
844.599 |
1,136.039 |
|
Debt/Equity ratio |
1.236 |
2.521 |
3.116 |
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 |
328.966 |
369.823 |
570.490 |
|
|
|
12.420 |
54.260 |
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 |
328.966 |
369.823 |
570.490 |
|
Profit |
-285.416 |
-236.660 |
-358.969 |
|
|
-86.76% |
-63.99% |
-62.92% |
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 |
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 |
Yes |
|
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] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
INDEX OF CHARGES
|
S. No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10315326 |
05/12/2012 * |
308,700,000.00 |
KOTAK MAHINDRA BANK LIMITED |
36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA |
B65370132 |
|
2 |
10204187 |
10/03/2012 * |
600,000,000.00 |
YES BANK LIMITED |
9TH FLOOR, NEHRU
CENTRE, DISCOVERY OF INDIA, DR. |
B35846658 |
* Date of charge modification
|
Unsecured Loan |
As
on 31.03.2013 [Rs.
in Millions] |
As
on 31.03.2012 [Rs.
in Millions] |
|
Long Term
Borrowings |
|
|
|
Loans and advances from related parties |
295.762 |
0.000 |
|
|
|
|
|
Short Term
Borrowings |
|
|
|
Loans repayable on demand |
247.006 |
300.083 |
|
TOTAL
|
542.768 |
300.083 |
OPERATION:
The Company business has grown
in the last year in size and scale and has taken steps to concentrate on its
growth plan. The Company has total 24 (Twenty Four) exclusive brand retail
stores (EBO) and (Six) Multibrand Retail Stores under the Brand Name Ave.neu,
During the year the Company has closed its Brand Alcott and Puma Currently, the
Company has total 30 retail stores.
The Company is continuing
with expansion strategy in all major malls in Big Cities of the Country. The
Company is holding the investments in other JV Companies/ SPVs in line with
overall Strategy of the Business for expanding business and is adding new
profitable Brands in the portfolio of Brands of the group business for which is
either directly under the Company or through JV Companies/ SPVs. The Company
has already announced a Strategic tie-up with youth Brand Forever 21 and is in
talks with more Brands which are at closure stages for becoming a major retail
player in Lifestyle and Fashion Category in India.
The Board has made
strategies and is taking concrete steps to develop the business of the Company
in the coming years. During the year, the Company income is Rs. 625.785
Millions as compared to Rs.404.270 Millions in previous year and incurred a
loss of Rs 358.969 Millions as compared to loss of Rs. 236.660 Millions in the
previous year. After optimization of volumes and margins, the Company has the
potential to become a more profitable business in the years to come.
FIXED ASSETS:
- Leasehold Improvements
- Computer
- Office Equipment
- Software
NEWS:
DLF BRANDS ON
EXPANSION MODE
MARCH 25, 2012
NEW DELHI: DLF Brands, a subsidiary of real estate giant DLF Limited, has aggressive plans to expand its retail business by introducing more international brands into India, besides opening at least 50 new outlets every year in the country.
According to a top official, DLF Brands is in talks with a European cosmetic brand for their India entry. "We are currently talking to several international brands to bring them into India. In the next 2-3 months, we will announce partnership with a European cosmetic brand," DLF Brands Chief Executive Officer Dipak Agarwal told reporters without sharing details.
The company currently
operates standalone stores for 11 global brands in India, including Armani,
Boggi, Sunglass Hut, Alcott, DKNY, Claire and Mothercare.
Commenting on the expansion
plans for the existing brands in its kitty, Agarwal said: "We will open at
least 50 new outlets every year." He, however, did not share details about
the company's investments.
The retail company also has plans to launch multi-brand retail stores to sell international fashion labels under one roof, with plans to open up to five such stores every year.
Finance Minister Pranab Mukherjee in the Budget has raised abatement on branded garments from 55 per cent to 70 per cent, thereby bringing down the effective excise to 3.6 per cent from 4.5 per cent earlier. The overall excise duty rate has also been increased to 12 per cent from 10 per cent earlier.
Talking about the impact of Budget 2012-13 on branded garments, Agarwal said the cost of importing garments is also very high in India.
"Branded garments in India attract very high duties, which in turn makes it difficult for companies to pass the cost on to the consumers. High prices also adversely impact demand and volumes," he said.
Agarwal said in the last 4-5 years, duties on imported branded garments have gone up from 15 per cent to around 30-35 per cent.
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.60.13 |
|
|
1 |
Rs.99.65 |
|
Euro |
1 |
Rs.82.91 |
INFORMATION DETAILS
|
Information
Gathered by : |
PDT |
|
|
|
|
Report Prepared
by : |
TPT |
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 |
4 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
2 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
28 |
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.