MIRA
INFORM REPORT
|
Report Date : |
11.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
HIGH GROUND ENTERPRISE LIMITED |
|
|
|
|
Registered
Office : |
Office No. 2, Om Heera Panna Mall, 2nd Floor, Oshiwara, Andheri
(West), Mumbai – 400053, |
|
|
|
|
Country : |
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|
|
|
|
Financials (as
on) : |
31.03.2014 |
|
|
|
|
Date of
Incorporation : |
15.01.1986 |
|
|
|
|
Com. Reg. No.: |
11-222681 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 54.970 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L74999MH1986PLC222681 |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged in two business divisions during the
year, first being Media, consulting and allied services. |
|
|
|
|
No. of Employees
: |
Information declined by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (51) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually correct |
|
|
|
|
Litigation : |
Clear |
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|
|
|
Comments : |
Subject is an established company having a satisfactory track record. Financial position of the company seems to be decent. Trade relations are reported as fair. Business is active. Payment
terms are reported to be usually correct. The company can be considered normal for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
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
N E W S
As per the latest IMF study, the total weigh of emerging markets in the GDP
of the world on a purchasing power parity basis has seen a sizeable shift. It
highlights how as against 51 % in 2005, the emerging economies now account for
close to 56 % of the global purchasing power GDP as per the latest survey. And
with the emerging economies growing at a faster rate than their developed
counterparts, there are every possibility that the their share goes up further
in the coming years. China may surpass the US over the next few years.
Politics and economics are very intricately connected. They tend to
influence each other in ways that could be very complex and far-reaching. The
prospects of the India’s economy have been seriously compromised due to
political corruption. High inflation, poor standard of living are to a great
extent a result of rampant corruption in the country. China on the other hand,
seems to be facing diametrically opposite challenge. American hedge fund
manager Jim Chanos has been keenly following the political and economic
development in the dragon economy and has figured out something that is quite
worrying. He is of the view that the Chinese economy could be heading toward
trouble on account of new Chinese President Xi Jingping’s very aggressive
anti-corruption drive. Chanos believes tat many things such as apartment sales,
luxury products, etc. were largely bought with dirty money. And it is now
beginning to impact consumption. This may indeed be bad news for an economy
that is struggling to transition from an investment-driven export-oriented
economy to a domestic consumption-driven economy.
A study published by Firstpost has revealed that asset classes like real
estate and equities were the biggest beneficiaries of the liberalization
policies. A firm called Ciane Analytics studied returns from assets including
equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate
outperformed every other asset classes during the 23-year period with an
annualized return of 20 % ! Equities came in second with annualized return of
15.5 % ! However, while these returns may seem mouthwatering, the fact is that
the return from equities adjusted for inflation came down to just 7.1 %.
Some brief news are as under
. R-Power to buy Jaypee’s hydro assets
. Investors await justice in NSEL case
. India seeks MFN status from Pakistan ahead of meeting
. Ukrain’s clashes with rebels hinder MH17 crash investigation
. India exploring merger of state-owned hydro PSUs
..Higher costs weigh down profit growth to slowest in 9 quarters
..Wal-Mart to expand wholesale business in India
. GMR group moves to strengthen balance sheet
. Central Bank to sell 4 % stake to Life Insurance Corporation
. Tata Chemicals plans to raise up to Rs 10000 mn.
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
31-03-2014.
INFORMATION DECLINED
Management Non-cooperative. (Tel. No.: 91-22-42229700)
LOCATIONS
|
Registered Office : |
Office No. 2, Om Heera Panna Mall, 2nd Floor, Oshiwara,
Andheri (West), Mumbai – 400053, Maharashtra, India |
|
Tel. No.: |
91-22-42229700 |
|
Fax No.: |
91-22-42229710 |
|
E-Mail : |
|
|
Website : |
DIRECTORS
As on: 31.03.2013
|
Name : |
Mr. Sandeep R. Arora |
|
Designation : |
Chairman and Managing Director |
|
|
|
|
Name : |
Mr. Chintan Kapadia |
|
Designation : |
Whole Time Director |
|
|
|
|
Name : |
Mr. Anupam Kumar |
|
Designation : |
Non-Executive Independent director |
|
|
|
|
Name : |
Mr. Paul Taylor |
|
Designation : |
Non-Executive Independent director |
|
|
|
|
Name : |
Mr. Vinod Rawal |
|
Designation : |
Non-Executive Independent director |
KEY EXECUTIVES
|
|
Audit Committee |
|
Name : |
Mr. Vinod Rawal |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Anupam Kumar |
|
Designation : |
Member |
|
|
|
|
Name : |
Mr. Sandeep R. Arora |
|
Designation : |
Member |
|
|
|
|
|
Remuneration
Committee |
|
Name : |
Mr. Vinod Rawal |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Anupam Kumar |
|
Designation : |
Member |
|
|
|
|
Name : |
Mr. Paul Taylor |
|
Designation : |
Member |
|
|
|
|
|
Shareholders
Committee |
|
Name : |
Mr. Sandeep R. Arora |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Vinod Rawal |
|
Designation : |
Member |
|
|
|
|
Name : |
Mr. Anupam Kumar |
|
Designation : |
Member |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.06.2014
|
Category of
Shareholder |
Total No. of Shares |
Total Shareholding
as a % of Total No. of Shares |
|
|
|
|
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
|
|
|
|
|
262697 |
3.06 |
|
|
3379900 |
39.31 |
|
|
10000 |
0.12 |
|
|
10000 |
0.12 |
|
|
3652597 |
42.48 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
3652597 |
42.48 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
200 |
0.00 |
|
|
200 |
0.00 |
|
|
|
|
|
|
3434435 |
39.94 |
|
|
|
|
|
|
508437 |
5.91 |
|
|
162460 |
1.89 |
|
|
840133 |
9.77 |
|
|
812900 |
9.45 |
|
|
27233 |
0.32 |
|
|
4945465 |
57.52 |
|
Total Public
shareholding (B) |
4945665 |
57.52 |
|
Total (A)+(B) |
8598262 |
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) |
8598262 |
0.00 |
(1) Indian
Individuals / Hindu Undivided Family
Any Other
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in two business divisions during the
year, first being Media, consulting and allied services. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management |
|
|
|
|
Bankers : |
· Bank of Baroda ·
Axis Bank Limited |
|
|
|
|
Facilities : |
-- |
|
|
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|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Jain Chowdhary and Company Chartered Accountants |
|
Address : |
104, Model Residency, B.J. Marg, Jacob Circle, Mahalaxmi, Mumbai - 400011, Maharashtra, India |
CAPITAL STRUCTURE
As on: 31.03.2014
Authorised Capital : Not Available
Issued, Subscribed & Paid-up Capital : Rs. 54.970
Millions
As on: 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs. 100.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
5497000 |
Equity Shares |
Rs.10/- each |
Rs. 54.970
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
54.970 |
54.970 |
53.950 |
|
(b) Reserves & Surplus |
74.520 |
34.046 |
10.636 |
|
(c) Money received
against share warrants |
0.000 |
0.000 |
7.030 |
|
|
|
|
|
|
(2)
Share Application money pending allotment |
281.660 |
0.000 |
0.000 |
|
Total Shareholders’ Funds (1) + (2) |
411.150 |
89.016 |
71.616 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term
borrowings |
2.642 |
29.047 |
10.100 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.003 |
0.000 |
|
(c) Other long
term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
88.487 |
0.000 |
0.000 |
|
Total Non-current
Liabilities (3) |
91.129 |
29.050 |
10.100 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
209.267 |
0.000 |
0.000 |
|
(b) Trade
payables |
0.000 |
173.690 |
18.052 |
|
(c)
Other current liabilities |
27.292 |
5.220 |
0.535 |
|
(d) Short-term
provisions |
19.088 |
19.757 |
5.288 |
|
Total Current
Liabilities (4) |
255.647 |
198.667 |
23.875 |
|
|
|
|
|
|
TOTAL |
757.926 |
316.733 |
105.591 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
21.628 |
0.418 |
0.241 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
35.908 |
35.908 |
37.721 |
|
(c) Deferred tax
assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
0.000 |
0.000 |
0.000 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
57.536 |
36.326 |
37.962 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
117.975 |
20.974 |
8.967 |
|
(c)
Trade receivables |
351.787 |
240.126 |
51.274 |
|
(d) Cash
and cash equivalents |
6.693 |
6.771 |
0.253 |
|
(e)
Short-term loans and advances |
132.933 |
11.346 |
5.450 |
|
(f) Other
current assets |
91.002 |
1.190 |
1.685 |
|
Total
Current Assets |
700.390 |
280.407 |
67.629 |
|
|
|
|
|
|
TOTAL |
757.926 |
316.733 |
105.591 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
763.562 |
275.083 |
122.210 |
|
|
|
Other Income |
7.976 |
3.754 |
0.000 |
|
|
|
TOTAL (A) |
771.538 |
278.837 |
122.210 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
686.140 |
226.466 |
81.062 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
(15.891) |
5.228 |
3.970 |
|
|
|
Employees benefits expense |
16.093 |
0.000 |
0.000 |
|
|
|
Other expenses |
16.747 |
9.773 |
5.904 |
|
|
|
Extraordinary items |
0.000 |
(6.425) |
0.000 |
|
|
|
TOTAL (B) |
703.089 |
235.042 |
90.936 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
68.449 |
43.795 |
31.274 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
8.756 |
3.560 |
0.041 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
59.693 |
40.235 |
31.233 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION (F) |
0.134 |
0.066 |
0.043 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
59.559 |
40.169 |
31.190 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
19.085 |
13.544 |
4.940 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
40.474 |
26.625 |
26.250 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
34.046 |
10.636 |
(15.992) |
|
|
|
|
|
|
|
|
|
Add |
Transferred from Statement of Profit & Loss Account |
NA |
0.670 |
0.000 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
NA |
0.670 |
0.000 |
|
|
|
Dividend |
NA |
2.750 |
0.000 |
|
|
|
Tax on Dividend |
NA |
0.466 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
34.046 |
10.636 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
F.O.B. Value of Exports |
0.000 |
99.627 |
84.897 |
|
|
TOTAL EARNINGS |
0.000 |
99.627 |
84.897 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
7.36 |
4.87 |
5.49 |
|
Note:
The above audited results for the quarter and year ended March 31, 2014 have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on May 30, 2014.
The figures for the quarter ended March 31, 2014 and March 31, 2013 are the
balancing figures between the audited figures in respect of full financial year
and published year to date figures upto third quarter of the relevant financial
year.
Considering the nature of Media, Consulting and allied services business
carried out by the Company where revenue do not necessarily accrue evenly over
the year, the results of the quarter/period may not be representative of the
results for the year. As such results of the current quarter is not comparable
with the results of the corresponding quarters/period.
The figures of previous year/period have been regrouped/reclassified wherever
necessary to confirm to the classification for the year ended March 31, 2014.
During the quarter and year ended the Company has approved the allotment of
Equity shares and warrants by way of conversion of loan from unsecured lenders
and creditors and by way of fresh issue of share. The Company has complied with
all the regulatory and statutory compliances for the same, However the
allotment of shares was pending due to the In-Principle approval from the BSE
which the company has received on April 09, 2014 pursuant to which the Company
has allotted 31,01,262 Equity Shares and 18,27,136 Warrants of Rs. 90 each
(including premium of Rs. 80 per share) on April 22, 2014.
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
5.25 |
9.55 |
21.48 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
7.80 |
14.60 |
25.52 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
8.25 |
14.30 |
45.96 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.14 |
0.45 |
0.44 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.52 |
0.33 |
0.14 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.74 |
1.41 |
2.83 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Share Capital |
53.950 |
54.970 |
54.970 |
|
Reserves & Surplus |
10.636 |
34.046 |
74.520 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
281.660 |
|
Net worth |
64.586 |
89.016 |
411.150 |
|
|
|
|
|
|
long-term borrowings |
10.100 |
29.047 |
2.642 |
|
Short term borrowings |
0.000 |
0.000 |
209.267 |
|
Total borrowings |
10.100 |
29.047 |
211.909 |
|
Debt/Equity ratio |
0.156 |
0.326 |
0.515 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Sales |
122.210 |
275.083 |
763.562 |
|
|
|
125.090 |
177.575 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Sales |
122.210 |
275.083 |
763.562 |
|
Profit |
26.250 |
26.625 |
40.474 |
|
|
21.48% |
9.68% |
5.30% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report
(Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
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 |
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 |
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 |
No |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
No |
|
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 |
UNSECURED LOAN
(Rs.
In Millions)
|
Particulars |
As on 31.03.2014 |
As on 31.03.2013 |
|
LONG TERM
BORROWINGS |
|
|
|
Sandeep R. Arora |
NA |
12.443 |
|
Arvind Kapadia |
NA |
2.019 |
|
Picture Thoughts Private Limited |
NA |
2.734 |
|
Picture Thoughts Productions Private Limited |
NA |
11.851 |
|
|
|
|
|
Total |
NA |
29.047 |
FIXED ASSETS
· Furniture and Fixture
· Office Equipment
· Computers and Peripherals
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 records 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] 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. 60.82 |
|
|
1 |
Rs. 98.15 |
|
Euro |
1 |
Rs. 78.66 |
INFORMATION DETAILS
|
Information
Gathered by : |
GYT |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
DPH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
51 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely
sound financial base with the strongest capability for timely payment of
interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working
capital. No caution needed for credit transaction. It has above average
(strong) capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial &
operational base are regarded healthy. General unfavourable factors will not cause
fatal effect. Satisfactory capability for payment of interest and principal
sums |
Fairly
Large |
|
41-55 |
Ba |
Overall operation is
considered normal. Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial
difficulties seems comparatively below average. |
Small |
|
11-25 |
Ca |
Adverse factors are
apparent. Repayment of interest and principal sums in default or expected to
be in default upon maturity |
Limited
with full security |
|
<10 |
C |
Absolute credit risk
exists. Caution needed to be exercised |
Credit
not recommended |
|
-- |
NB |
New
Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.