MIRA INFORM REPORT
|
Report Date : |
06.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
AVON ORGANICS LIMITED |
|
|
|
|
Registered
Office : |
Survey No. 18, Yawapur Village, Sadashivpet Mandal, Medak
District – 502291, Andhra Pradesh |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
03.08.1993 |
|
|
|
|
Com. Reg. No.: |
01-016112 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.225.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24110AP1993PLC016112 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
HYDA01193D HYDA01216F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCA7422Q |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Production and Sale of the fine chemicals for the pharmaceuticals, agro and dyestuff and pigment industries. |
|
|
|
|
No. of Employees
: |
411 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca (15) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having a moderate track record. Financial position of the company seems to be fair. However, the rating takes into consideration the delay in servicing
its debt obligation due to weak liquidity profile. Business is active. Payments are reported to be slow. The company can be considered for business dealings on safe and
secured trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of
4.9 %, Fitch Rating said. The global rating agency expects the economy to pick
up in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab Emirates
().98 million) and Malaysia ().82 million) emerged as the preferred holidays
hotspots for Indians. The total figure is expected to increase to 1.93 million
by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
D (Long Term Bank Facilities) |
|
Rating Explanation |
Default on expected to be in default. |
|
Date |
January 24, 2014 |
|
Rating Agency Name |
CARE |
|
Rating |
D (Short Term Bank Facilities) |
|
Rating Explanation |
Default on expected to be in default. |
|
Date |
January 24, 2014 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DENIED
Management Non Co-Operative (91-22-33089200)
LOCATIONS
|
Registered Office/ Factory 1 : |
Survey No. 18, Yawapur Village, Sadashivpet Mandal, Medak District – 502291, Andhra Pradesh, India |
|
Tel. No.: |
91-8455-252290 |
|
Fax No.: |
91-8455-251536 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office 1: |
6-3-865, 4th Floor, Madhupala Towers,
Opposite Greenland Apartments, Ameerpet – 500016, Hyderabad, India |
|
Tel. No.: |
91-40-23414432/ 23405042/ 23411918/ 30906500/ 01 |
|
Fax No.: |
91-40-23404438 |
|
E-Mail : |
|
|
|
|
|
Corporate Office 2 : |
H. Wing, 4th Floor, Tex Centre, off Sakivihar Road, Chandivali, Andheri (East), Mumbai – 400072, Maharashtra, India |
|
Tel. No.: |
91-22-40756789 |
|
Fax No.: |
91-22-28471234/ 1002 |
|
|
|
|
Factory 2 : |
Diketene
Division: Survey
No. 18, Yawapur, Sadasivpet (M), Medak District, |
|
Tel. No.: |
91-9498-28083/
28084 |
|
|
|
|
Factory 3 : |
Bio-Tech
Division: Plot
No. E-2, Chincholi Industrial Area Solapur, |
|
Tel. No.: |
91-217-
2357338/ 2357339 |
|
Fax No.: |
91-127-
2357738/ 2357339 |
|
|
|
|
Branch Office : |
541-A, Arch House, Marol Maroshi Road,
Marol, Andheri (East), Mumbai-400059, Maharashtra, India |
DIRECTORS
As on: 21.09.2013
|
Name : |
Mr. Ajit Annu Kamath |
|
Designation : |
Chairman and Managing Director |
|
Address : |
404, IIa Apartment, sector 4, RDP 7, Charkop, Kandivali (West), Mumbai – 400067, Maharashtra, India |
|
Date of Birth/Age : |
12.12.1969 |
|
Date of Appointment : |
01.08.2009 |
|
DIN No.: |
00032799 |
|
|
|
|
Name : |
Mr. Manoj Tejraj Jain |
|
Designation : |
Director |
|
Address : |
Flat No.4-A, Shefali, Mahim Makrand, Co-operative Housing Society Limited, 114, S.V.S. Marg, Mahim, Mumbai – 400016, Maharashtra, India |
|
Date of Birth/Age : |
20.03.1970 |
|
Date of Appointment : |
29.09.2009 |
|
DIN No.: |
00034727 |
|
|
|
|
Name : |
Mr. Sudhir Prabhakar Ghate |
|
Designation : |
Non- Executive Independent Director |
|
Address : |
Needam Behind S d M Law Collage, M G Road, Dakshina, Mangalore – 575003, India |
|
Date of Birth/Age : |
12.11.1957 |
|
Date of Appointment : |
29.09.2009 |
|
DIN No.: |
00035949 |
|
|
|
|
Name : |
Mr. Ashit Kishorkumar Shah |
|
Designation : |
Non- Executive Independent Director |
|
Address : |
11, Varsha, 17 Vallabh Baug Cross Lane, Extension, Ghatkopar East, Mumbai – 400077, Maharashtra, India |
|
Date of Birth/Age : |
15.05.1969 |
|
Date of Appointment : |
29.09.2009 |
|
DIN No.: |
00023944 |
|
|
|
|
Name : |
Mr. Upkar Singh Kohli |
|
Designation : |
Additional Director |
|
Address : |
J-170 Rajouri Garden, New Delhi – 110027, India |
|
Date of Birth/Age : |
18.08.1947 |
|
Date of Appointment : |
29.07.2011 |
|
Email : |
|
|
DIN No.: |
02528045 |
KEY EXECUTIVES
|
Name : |
Ms. Sunipa Ghosh |
|
Designation : |
Company Secretary |
|
Address : |
Flat No. 4, Jai Indrayani CHS, Chhedanagar, Chembur, Mumbai – 400056,
Maharashtra, India |
|
Date of Birth/Age : |
01.12.1974 |
|
Date of Appointment : |
17.01.2012 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 31.03.2014
|
Category of
Shareholder |
Total
No. of Shares |
Total
Shareholding as a % of Total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
(1) Indian |
|
|
|
|
14309100 |
63.60 |
|
|
14309100 |
63.60 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
14309100 |
63.60 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
158100 |
0.70 |
|
|
158100 |
0.70 |
|
|
|
|
|
|
768616 |
3.42 |
|
|
|
|
|
|
3721037 |
16.54 |
|
|
3371770 |
14.99 |
|
|
171377 |
0.76 |
|
|
113837 |
0.51 |
|
|
57540 |
0.26 |
|
|
8032800 |
35.70 |
|
Total Public
shareholding (B) |
8190900 |
36.40 |
|
Total (A)+(B) |
22500000 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
22500000 |
0.00 |
Equity Share Break up (Percentage of Total Equity)
As on: 21.09.2013
|
Category |
|
Percentage |
|
Nationalised or other banks |
|
0.70 |
|
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
|
0.49 |
|
Bodies corporate |
|
67.66 |
|
Other top fifty shareholders |
|
11.88 |
|
Others |
|
19.27 |
|
|
|
|
|
Total
|
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Production and Sale of the fine chemicals for the
pharmaceuticals, agro and dyestuff and pigment industries. |
||||
|
|
|
||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
411 (Approximately) |
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Bankers : |
|
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Mukesh Mehta and Associates Chartered Accountants |
|
Address : |
3/4A,
Hammersmith Industrial Premises,Narayan Pathare Marg, Off Sitladevi Temple Road,
Mahim (West), Mumbai – 400016, Maharashtra, India |
|
Tel. No.: |
91-22-24440564/
24440716 |
|
Email : |
|
|
Website : |
|
|
PAN No: |
AALPM7276R |
|
|
|
|
Holding Company : |
Arch Pharmalabs Limited U24231MH1993PLC150891 |
|
|
|
|
Subsidiary Company
: |
Regal Pharma Pte. Limited |
CAPITAL STRUCTURE
As on: 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25000000 |
Equity Shares |
Rs.10/- each |
Rs.250.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
22500000 |
Equity Shares |
Rs.10/- each |
RS.225.000 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 |
225.000 |
225.000 |
225.000 |
|
(b) Reserves & Surplus |
546.436 |
463.692 |
389.187 |
|
(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) |
771.436 |
688.692 |
614.187 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
331.421 |
516.950 |
692.635 |
|
(b) Deferred tax liabilities
(Net) |
24.458 |
19.261 |
14.065 |
|
(c) Other long term
liabilities |
317.140 |
317.140 |
194.856 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total
Non-current Liabilities (3) |
673.019 |
853.351 |
901.556 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
728.106 |
473.627 |
478.542 |
|
(b) Trade payables |
315.992 |
339.593 |
316.561 |
|
(c) Other current liabilities |
255.333 |
189.340 |
142.428 |
|
(d) Short-term provisions |
32.510 |
30.376 |
46.650 |
|
Total
Current Liabilities (4) |
1331.941 |
1032.936 |
984.181 |
|
|
|
|
|
|
TOTAL |
2776.396 |
2574.979 |
2499.924 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
1077.660 |
1001.686 |
1100.885 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital work-in-progress |
29.190 |
134.907 |
0.000 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
121.930 |
107.643 |
0.003 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
0.051 |
0.051 |
0.051 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total
Non-Current Assets |
1228.831 |
1244.287 |
1100.939 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
593.108 |
443.465 |
493.259 |
|
(c) Trade receivables |
729.538 |
655.127 |
633.893 |
|
(d) Cash and cash equivalents |
21.102 |
78.718 |
24.936 |
|
(e) Short-term loans and
advances |
57.699 |
44.149 |
131.530 |
|
(f) Other current assets |
146.118 |
109.233 |
115.367 |
|
Total
Current Assets |
1547.565 |
1330.692 |
1398.985 |
|
|
|
|
|
|
TOTAL |
2776.396 |
2574.979 |
2499.924 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
SALES |
|
|
|
|
|
Income |
1701.504 |
1670.333 |
1621.207 |
|
|
Other Income |
2.165 |
2.331 |
2.484 |
|
|
TOTAL
(A) |
1703.669 |
1672.664 |
1623.691 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
1133.137 |
851.477 |
1063.886 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(91.355) |
67.004 |
(59.330) |
|
|
Employees benefits expense |
122.460 |
129.540 |
103.215 |
|
|
Other expenses |
179.753 |
207.074 |
221.358 |
|
|
TOTAL
(B) |
1343.995 |
1255.095 |
1329.129 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION
AND AMORTISATION (C) |
359.674 |
417.569 |
294.562 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
172.082 |
195.432 |
134.794 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
187.592 |
222.137 |
159.768 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
99.651 |
108.609 |
61.164 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
87.941 |
113.528 |
98.604 |
|
|
|
|
|
|
|
Less |
TAX
(H) |
5.197 |
12.873 |
0.000 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H)
(I) |
82.744 |
100.655 |
98.604 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
371.664 |
520.226 |
422.365 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
161.367 |
124.864 |
155.308 |
|
|
TOTAL
IMPORTS |
161.367 |
124.864 |
155.308 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
3.68 |
4.47 |
4.38 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
4.86 |
6.02 |
6.07 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.17 |
6.80 |
6.08 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.35 |
4.87 |
3.94 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.11 |
0.16 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.37 |
1.48 |
1.91 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.16 |
1.29 |
1.42 |
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 |
225.000 |
225.000 |
225.000 |
|
Reserves & Surplus |
389.187 |
463.692 |
546.436 |
|
Net
worth |
614.187 |
688.692 |
771.436 |
|
|
|
|
|
|
long-term borrowings |
692.635 |
516.950 |
331.421 |
|
Short term borrowings |
478.542 |
473.627 |
728.106 |
|
Total
borrowings |
1,171.177 |
990.577 |
1,059.527 |
|
Debt/Equity
ratio |
1.907 |
1.438 |
1.373 |
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 |
1,621.207 |
1,670.333 |
1,701.504 |
|
|
|
3.030 |
1.866 |
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 |
1,621.207 |
1,670.333 |
1,701.504 |
|
Profit |
98.604 |
100.655 |
82.744 |
|
|
6.08% |
6.03% |
4.86% |
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 |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
UNSECURED LOAN
(Rs.
In Millions)
|
Particular |
As on 31.03.2013 |
As on 31.03.2012 |
|
LONG TERM
BORROWINGS |
|
|
|
Deferred sales tax loan |
131.421 |
148.061 |
|
|
|
|
|
Total |
131.421 |
148.061 |
YEAR IN RETROSPECT
During the year, the Company has achieved Net Sales and Operational income of Rs. 1701.504 Millions as against Rs. 1670.334 Millions in the previous year, registering an increase in sales by 1.87%. The Net profit however reduced by 17.8% to Rs. 82.744 Millions as against Rs. 100.655 Millions.
During the year the export turnover amounting to Rs. 371.664 Millions constituted 21.84% of the total turnover vis-ŕ-vis Rs. 520.226 Millions, constituting 31.15% achieved in the previous year.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
GLOBAL PHARMACEUTICAL
MARKET
The year 2013 strongly points to the continuity in the transition status of the global pharmaceutical industry. On one hand, the USFDA has approved the highest number of new chemical entities in 2012 (thirty-nine NCE cleared for marketing in US), however there are numerous challenges remaining to be countered by the companies in terms to maintaining highest quality standards sought by the regulatory agencies. To maintain stability in the industry and in order to meet the population demands and to do continual innovation of new drugs to cure lifestyle diseases, deliverance of innovative products on a consistent basis is absolutely critical to our industry.
During the past couple of years, the pharmaceutical industry has witnessed a sharp rise in the genericisation of several small molecules of blockbuster drugs such as Plavix, Diovan and Lipitor as a result of loss of exclusivity. While, the result of new (and ongoing) research and development activities are yet to show the same flair as their predecessors, we can be assured that such loss of exclusivities certainly enables new players to enter into the market thereby increasing the potential for sales. For innovator companies, in order to compensate for the considerable revenue declines attributable to patent expirations and generic competition, they must keep their R&D ante up the highest level and continue to pursue more and more innovative methods in the field while the generic companies must also step on the pedal to maintain their competitive edge in the market.
Furthermore, the post-patent market landscape continues to evolve and present new challenges for pharmaceutical manufacturers to overcome. For instance, as a result of the additional regulatory hurdles and escalating R and D costs, fiscal austerity measures introduced by governments across many developed countries in the past few years have presented tremendous challenges for both innovator and generic drug makers.
There is rapid growth in the market and research environment in emerging economies such as Brazil, China and India, leading to a gradual migration of economic and research activities from Europe to these fast-growing markets primarily due to lower costs, availability of considerably cheap manpower and less stringent regulatory environment as compared to the developed nations. In addition to the rapidly improving R and D capabilities of the developing countries, they have already established and proven themselves to be the fastest growing markets for the generics segment.
Throughout the world, value driven products are the order of the day and research-based products as well as innovative methodologies are what the industry is progressively focusing on.
INDIAN PHARMACEUTICAL
MARKET
The Indian Pharmaceuticals market is a highly fragmented market with a large number of players spread across various segments.
However, clarity in various macro issues concerning the pharmaceutical industry, including the Pharmaceutical Pricing Policy, Foreign Direct Investment, recognition of patents, compulsory licensing and other policy matters will be important factors determining the growth of this sector in the coming years.
Contingent
Liabilities not provided for :
(Rs. In Millions)
|
Particular |
31.03.2013 |
31.03.2012 |
|
a. Estimated Amount of Unexecuted Capital Contracts |
9.426 |
22.238 |
|
b. Letters of Credit |
0.000 |
2.137 |
|
c. Bank Guarantees |
4.800 |
3.360 |
|
d. Others |
2.938 |
2.938 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10266950 |
01/07/2011 * |
200,000,000.00 |
Indian Overseas Bank |
ARJUN TOWERS, 1ST FLOOR, 25421662, GOKHALE ROAD, NAUPADA, THANE, MAHARASHTRA -400602, INDIA |
B17957309 |
|
2 |
10171343 |
14/10/2013 * |
467,600,000.00 |
THE KARUR VYSYA BANK LIMITED |
KAMANWALA CHAMBERS, SIR P. M. ROAD, FORT, MUMBAI, |
B89988935 |
|
3 |
10092077 |
28/11/2013 * |
695,000,000.00 |
Axis Bank Limited |
AXIS HOUSE, GROUND FLOOR, C-2, WADIA INTERNATIONAL CENTRE, P.B. MARG, WORLI, MUMBAI, MAHARASHTRA - 400025, INDIA |
B93476828 |
|
4 |
10004469 |
29/03/2010 * |
90,000,000.00 |
Punjab National Bank |
ROAD NO. 1, BANJARA HILLS, HYDERABAD, ANDHRA PRADESH - 500034, INDIA |
A82021726 |
|
5 |
90136210 |
03/06/2013 * |
424,000,000.00 |
State Bank of India |
INDUSTRIAL FINANCE BRANCH, RAJ BHAVAN ROAD, SOMAJIGUDA, HYDERABAD, ANDHRA PRADESH - 500082, INDIA |
B80810856 |
|
6 |
90136109 |
04/02/2002 |
3,000,000.00 |
THE VYSYA BANK LTD |
D NO 127 TO 139 1ST FLOOR NEELGUT BLOCK, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
7 |
90136029 |
03/11/2003 * |
50,000,000.00 |
THE BANK OF NOVA SCOTIA |
6-3-346/1 ROAD NO 1, BANJARA HILLS, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
8 |
90132850 |
06/09/2000 |
40,000,000.00 |
ICICI LIMITED |
ICICIT TOWER BANDRA KURLA COMPLEX, MUMBAI, MAHARASHTRA - 400051, INDIA |
- |
|
9 |
90132453 |
23/07/1997 * |
15,000,000.00 |
THE INDUSTRIAL CREDIT AND INVESTMENT CORPORATION O |
163 BACKBAY RECLAMATION, BOMBAY, MAHARASHTRA - 400020, INDIA |
- |
|
10 |
90132126 |
22/01/1996 * |
25,000,000.00 |
INDUSTRIAL RECONSTRUSTION BANK OF INDIA |
19 NETHAJI SUBHASH ROAD, CALCUTTA, WEST BENGAL - 700001, INDIA |
- |
* Date of charge modification
FIXED ASSETS:
Tangible Assets
·
Land
·
Building
·
Plant and Machinery
·
Computers
·
Electrical Incubation
·
Furniture and Fixtures
·
Office Equipments
·
Vehicle
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.60.05 |
|
|
1 |
Rs.101.32 |
|
Euro |
1 |
Rs.83.34 |
INFORMATION DETAILS
|
Information
Gathered by : |
HTL |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
VRN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
2 |
|
PAID-UP CAPITAL |
1~10 |
2 |
|
OPERATING SCALE |
1~10 |
1 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
1 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
1 |
|
--LEVERAGE |
1~10 |
2 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
15 |
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.