MIRA INFORM REPORT

 

 

Report Date :

14.05.2014

 

IDENTIFICATION DETAILS

 

Name :

MD RETAIL LLP

 

 

Registered Office :

No.14, Bachammal Road, Cox Town, Bangalore – 550005, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013 (Summarized Figure)

 

 

Date of Incorporation/ Year of Establishment :

28.02.2011

 

 

Total Obligation of

Contribution:

Rs. 25.000 Millions 

 

 

LLPIN:

AAB-5515

 

 

Legal Form :

Limited Liability Partnership.

 

 

Line of Business :

Trader in all men’s’, Women’s and Kids Garments, Accessories and Other Items on Wholesale and Retail Basis and other Allied Activities.                         

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (31)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established limited liability partnership concern having moderate track record.

 

External borrowing of the concern is huge which act as a threat to liquidity position of the concern.

 

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

 

The subject can be considered for business dealing 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 – 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.

 

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. Sandeep

Designation :

Partner

Contact No.:

91-9886830768

Date :

29.04.2014

 

 

LOCATIONS

 

Registered Office :

No.14, Bachammal Road, Cox Town, Bangalore – 550005, Karnataka, India 

Tel. No.:

91-80-23464814

Mobile No.:

91-9886830768 (Mr. Sandeep)

Fax No.:

91-80-23464815

E-Mail :

mrnmurthy@rediffmail.com

 

 

PARTNERS

 

 

Name :

Mr. Sandeep Manohar Chatlani

Designation :

Designated Partner

Address :

23, Commercial Street, Bangalore – 560001, Karnataka, India

Date of Birth/Age :

18.10.1983

Date of Appointment :

28.02.2011

PAN No.:

AFIPC1822P

Passport No.:

Z1715170

DPIN No.:

5014511

 

 

Name :

Mr. Vinay Manohar Chatlani

Designation :

Designated Partner

Address :

23, Commercial Street, Bangalore – 560001, Karnataka, India

Date of Birth/Age :

05.06.1979

Date of Appointment :

28.02.2011

PAN No.:

ACLPC4838P

Passport No.:

Z1181975

DPIN No.:

5014512

 

 

Name :

Mr. Manohar Dayaram Chatlani

Designation :

Partner

Address :

43/9, Promenade Road, Coles Park, Frazer Town, Bangalore – 560005, Karnataka, India

Date of Birth/Age :

07.04.1952

Date of Appointment :

28.02.2011

PAN No.:

ABHPC1768K

Passport No.:

E8849070

 

 

OBLIGATION OF CONTRIBUTION

 

Names of Persons

 

Obligation of

Contribution

(Rs. In Millions)

Manohar Dayaram Chatlani

 

20.000

Sandeep Manohar Chatlani

 

2.500

Vinay Manohar Chatlani

 

2.500

 

 

 

Total

 

25.000

 

 

BUSINESS DETAILS

 

Line of Business :

Trader in all men’s’, Women’s and Kids Garments, Accessories and Other Items on Wholesale and Retail Basis and other Allied Activities.                         

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available 

 

 

Bankers :

ING Vysys Bank Limited, 293, 9th Main Road, 3rd Block, Jayanagar, Bangalore – 560011, Karnataka, india

 

 

Facilities :

--

 

 

 

Banking Relations :

--

 

 

Auditors :

Not Available

 

 

CAPITAL STRUCTURE

 

As on: 31.03.2013

 

Total Obligation of Contribution: Rs. 25.000 Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

SUMMARIZED FIGURE 

 

Particulars

 

 

 

31.03.2013

Contribution received

 

 

25.000

 

 

 

 

Reserves & Surplus

 

 

44.296

 

 

 

 

Secured Loans

 

 

111.406

 

 

 

 

Unsecured Loans

 

 

87.562

 

 

 

 

Short term borrowing

 

 

269.180

 

 

 

 

Creditors/ trade payables – advance from customers

 

 

207.145

 

 

 

 

Other Liabilities

 

 

32.223

 

 

 

 

Other Provisions

 

 

6.345

 

 

 

 

FIXED ASSETS [Net Block]

 

 

166.019

 

 

 

 

LOANS AND ADVANCES

 

 

154.081

 

 

 

 

INVENTORIES

 

 

364.545

 

 

 

 

Debtors/ trade receivable

 

 

72.659

 

 

 

 

Cash and Cash equipment

 

 

31.200

 

 

 

 

Other assets

 

 

4.652

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

 

31.03.2012

SHAREHOLDERS FUNDS

 

 

 

1] Contribution received

 

 

1.500

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

19.490

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

20.990

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

295.346

2] Unsecured Loans

 

 

87.271

Short term borrowing

 

 

0.000

Creditors/ trade payables – advance from customers

 

 

173.494

Other Liabilities

 

 

55.294

Other Provisions

 

 

12.051

 

 

 

 

TOTAL

 

 

644.446

 

 

 

 

FIXED ASSETS [Net Block]

 

 

132.697

 

 

 

 

INVESTMENT

 

 

0.000

LOANS AND ADVANCES

 

 

144.242

INVENTORIES

 

 

296.475

Debtors/ trade receivable

 

 

53.731

Cash and Cash equipment

 

 

10.936

Other assets

 

 

6.365

 

 

 

 

TOTAL

 

 

644.446

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

 

SALES

 

 

 

 

 

Income

 

1706.059

1504.580

 

 

Other Income

 

0.440

0.191

 

 

TOTAL                                     (A)

 

1706.499

1504.771

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Purchases made for re-sale

 

1171.469

1083.989

 

 

Personnel Expenses

 

129.345

102.671

 

 

Administrative expenses

 

317.688

249.230

 

 

Payment to auditors

 

0.771

1.239

 

 

Insurance expenses

 

0.761

0.741

 

 

TOTAL                                     (B)

 

1620.034

1437.870

 

 

 

 

 

Less

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

 

86.465

66.901

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

 

39.123

31.380

 

 

 

 

 

 

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

 

47.342

35.521

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

 

22.537

16.031

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

 

24.805

19.490

 

 

 

 

 

Less

TAX                                                                  (H)

 

0.000

0.000

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

 

24.805

19.490

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

0.99

0.78

 

 

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 two years

Yes

12]

Profitability for last two 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

Yes

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

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

 

 


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 59.88

UK Pound

1

Rs. 100.98

Euro

1

Rs. 82.40

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Analysis Done by :

SUM

 

 

Report Prepared by :

DPH

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

4

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

31

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

                                       New Business

 

--

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.