MIRA
INFORM REPORT
|
Report Date : |
12.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
AKSH OPTIFIBRE LIMITED |
|
|
|
|
Registered
Office : |
F-1080, Phase III, RIICO Industrial Area, Bhiwadi - 301019, Rajasthan |
|
|
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|
Country : |
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|
|
|
Financials (as
on) : |
31.03.2014 |
|
|
|
|
Date of
Incorporation : |
19.03.1986 |
|
|
|
|
Com. Reg. No.: |
17-016132 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.742.825 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24305RJ1986PLC016132 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
JPRA01280G |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
The Company is engaged in the manufacturing and selling of Optical Fibre, Optical Fibre Cable, Fibre Reinforced Plastic Rods and Impregnated Glass Roving Reinforcement. |
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|
|
|
No. of Employees
: |
Information declined by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (42) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 14000000 |
|
|
|
|
Status : |
Satisfactory |
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|
|
|
Payment Behaviour : |
Slow but correct |
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|
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|
Litigation : |
Exist |
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|
Comments : |
Subject is an established company having satisfactory track record. The rating reflects AOL’s long track record in the optic fibre cables
industry supported by diversified client portfolio and decent liquidity
position of the company. Trade relations are fair. Business is active. Payment terms are
reported to be slow but correct. The company can be considered for business dealings at usual trade
terms and condition. |
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.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Fund Based Limited = BB+ |
|
Rating Explanation |
Inadequate credit quality and high credit risk |
|
Date |
August, 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
Non-Fund Based Limited = A4+ |
|
Rating Explanation |
Minimal degree of safety and very high credit risk. |
|
Date |
August, 2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2014.
INFORMATION DECLINED
Management Non Cooperative (91-11-26991508)
LOCATIONS
|
Registered Office/ Factory 1 : |
F-1080, Phase III, RIICO Industrial Area, Bhiwadi - 301019, Rajasthan,
India |
|
Tel. No.: |
91-1493-221954 / 221955 / 221636 / 223536 / 221333 / 220763 / 220388 / 220718 |
|
Fax No.: |
91-1493-221636 / 221329 |
|
E-Mail : |
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|
Website : |
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|
|
|
|
Corporate Office : |
J-1/1, B-1 Extension, Mohan Co-operative Industrial Estate, |
|
Tel. No.: |
91-11-26991508 / 09 |
|
Fax No.: |
91-11-26991510 |
|
|
|
|
Factory 2 : |
F-1075-81, RIICO Industrial Area (Phase III), Bhiwadi-301019, Rajasthan, India |
|
Tel No: |
91-1493-221333 / 220763 / 220388 / 220718 |
|
Fax No: |
91-1493-221955 / 223536 |
|
|
|
|
Factory 3 : |
A-315 (B), RIICO Industrial Area (Phase I), Bhiwadi-301019, Rajasthan, India |
|
Tel./Fax No.: |
91-1493-221955 / 223536 |
|
|
|
|
Factory 4 : |
SP-47, Shri Khatu Shyam Ji Industrial Complex, Ringus, District Sikar-352404, Rajasthan, India |
|
Tel No: |
91-1575-224151 / 224154 |
|
Fax No: |
91-1575-224150 |
|
|
|
|
Network Operation Centers : |
Located at: ·
Delhi ·
Chandigarh ·
Jaipur ·
Mumbai |
DIRECTORS
As on 31.03.2014
|
Name : |
Dr. Kailash S. Choudhari |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Chetan Choudhari |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. P.F. Sundesha |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. B.R. Rakhecha |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Narendra Kumbhat |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Amrit Nath |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. D. K. Mathur |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Gaurav Mehta |
|
Designation : |
Company Secretary |
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 |
|
|
|
As
a % of (A+B) |
|
(A) Shareholding of Promoter
and Promoter Group |
|
|
|
|
|
|
|
|
26345238 |
20.38 |
|
|
26345238 |
20.38 |
|
|
|
|
|
|
19592700 |
15.16 |
|
|
19592700 |
15.16 |
|
Total shareholding of Promoter
and Promoter Group (A) |
45937938 |
35.54 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
6000 |
0.00 |
|
|
282708 |
0.22 |
|
|
0 |
0.00 |
|
|
288708 |
0.22 |
|
|
|
|
|
|
60550313 |
46.84 |
|
|
|
|
|
|
9152990 |
7.08 |
|
|
9937695 |
7.69 |
|
|
3389165 |
2.62 |
|
|
1810533 |
1.40 |
|
|
463120 |
0.36 |
|
|
1115512 |
0.86 |
|
|
83030163 |
64.24 |
|
Total Public shareholding (B) |
83318871 |
64.46 |
|
Total (A)+(B) |
129256809 |
100.00 |
|
(C) Shares held by Custodians
and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
6250000 |
0.00 |
|
|
14173692 |
0.00 |
|
|
20423692 |
0.00 |
|
Total (A)+(B)+(C) |
149680501 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
The Company is engaged in the manufacturing and selling of
Optical Fibre, Optical Fibre Cable, Fibre Reinforced Plastic Rods and
Impregnated Glass Roving Reinforcement. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management |
||||||||||||||||||||||||||||||
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Bankers : |
·
Union Bank of India ·
Punjab National Bank |
||||||||||||||||||||||||||||||
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|
||||||||||||||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
P.C. Bindal and Company Chartered Accountants |
|
|
|
|
Subsidiaries Companies : |
·
Apaksh Broadband Limited ·
AOL(FZE) |
|
|
|
|
Fellow Subsidiaries : |
AOl Projects JLT |
|
|
|
|
Enterprises over which personal referred in aforementioned exercise
significant influences : |
Fulchand Finance Private Limited |
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
170100000 |
Equity Shares |
Rs.5/- each |
Rs.850.500 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
148564989 |
Equity Shares |
Rs.5/- each |
Rs.742.825 Millions |
|
|
|
|
|
Reconciliation of the
shares outstanding at the beginning and at the end of the reporting year Equity
shares
|
|
No. |
Rs. In Millions |
|
At the beginning of the year |
148,564,989 |
742.825 |
|
Add: |
|
|
|
- Issued pursuant to conversion of FCCBs |
-- |
-- |
|
Outstanding at the end of the year |
148,564,989 |
742.825 |
Terms / rights
attached to equity shares
The Company has only one class of equity shares having par value of Rs. 5/- per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in ensuing Annual General Meeting.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
Details of
shareholders holding more than 5% shares in the Company
|
Name of the
shareholder |
No. |
% holding |
|
Dr. Kailash S. Choudhari |
25,842,700 |
17.39% |
|
Religare Finvest Limited |
20,851,807 |
14.04% |
|
Sunidhi Capital Private Limited |
9,005,250 |
6.06% |
|
Davinder Kumar Jain |
|
|
|
The Bank of New York, Mellon |
9,065,850 |
6.10% |
|
Seema Choudhari |
7,809,341 |
5.26% |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
742.825 |
742.825 |
714.624 |
|
(b) Reserves & Surplus |
2822.161 |
2847.933 |
2503.620 |
|
(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) |
3564.986 |
3590.758 |
3218.244 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
779.141 |
0.000 |
0.000 |
|
(b) Trade payables |
0.000 |
0.000 |
3.175 |
|
(c) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(d) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(e) long-term provisions |
19.749 |
18.344 |
12.458 |
|
Total Non-current
Liabilities (3) |
798.890 |
18.344 |
15.633 |
|
|
|
|
|
|
(4) Current
Liabilities |
|
|
|
|
(a) Short term borrowings |
259.180 |
117.491 |
269.722 |
|
(b) Trade payables |
374.053 |
381.104 |
328.415 |
|
(c) Other current liabilities |
279.664 |
919.283 |
1046.733 |
|
(d) Short-term provisions |
84.253 |
3.741 |
0.388 |
|
Total Current
Liabilities (4) |
997.150 |
1421.619 |
1645.258 |
|
|
|
|
|
|
TOTAL |
5361.026 |
5030.721 |
4879.135 |
|
|
|
|
|
|
ASSETS |
|
|
|
|
(1) Non-current
assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
866.886 |
974.497 |
1159.373 |
|
(ii) Intangible Assets |
76.539 |
94.825 |
110.854 |
|
(iii) Capital work-in-progress |
154.977 |
33.143 |
41.223 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
1867.233 |
1131.752 |
1131.752 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
8.018 |
9.019 |
19.037 |
|
(e) Trade receivables |
0.000 |
4.741 |
7.760 |
|
(f) Other Non-current assets |
145.573 |
120.632 |
125.132 |
|
Total Non-Current
Assets |
3119.226 |
2368.609 |
2595.131 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
245.626 |
150.787 |
119.933 |
|
(c) Trade receivables |
678.554 |
615.315 |
591.844 |
|
(d) Cash and cash equivalents |
5.418 |
19.306 |
7.547 |
|
(e) Short-term loans and advances |
1304.606 |
1868.237 |
1552.487 |
|
(f) Other current assets |
7.596 |
8.467 |
12.193 |
|
Total Current
Assets |
2241.800 |
2662.112 |
2284.004 |
|
|
|
|
|
|
TOTAL |
5361.026 |
5030.721 |
4879.135 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
2200.640 |
2330.049 |
1852.436 |
|
|
|
Other Income |
74.206 |
72.034 |
58.173 |
|
|
|
TOTAL (A) |
2274.846 |
2402.083 |
1910.609 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1326.121 |
1374.411 |
1061.329 |
|
|
|
Purchases of Stock-in-Trade |
21.360 |
39.582 |
71.732 |
|
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
(65.273) |
(0.234) |
33.882 |
|
|
|
Employees benefits expense |
151.947 |
138.603 |
125.212 |
|
|
|
Other expenses |
430.668 |
448.591 |
392.537 |
|
|
|
Exceptional Items |
(70.660) |
(61.902) |
(78.461) |
|
|
|
TOTAL (B) |
1794.163 |
1939.051 |
1606.231 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
480.683 |
463.032 |
304.378 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
70.590 |
37.338 |
53.481 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
410.093 |
425.694 |
250.897 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
149.938 |
166.321 |
133.010 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
260.155 |
259.373 |
117.887 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
0.000 |
0.000 |
10.991 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
260.155 |
259.373 |
106.896 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Exports of Goods and Services |
1276.497 |
1596.283 |
1379.639 |
|
|
|
Interest |
52.163 |
49.110 |
47.208 |
|
|
TOTAL EARNINGS |
1328.660 |
1645.393 |
1426.847 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
667.633 |
754.230 |
620.478 |
|
|
|
Consumable |
13.969 |
14.177 |
7.426 |
|
|
|
Accessories |
0.000 |
11.186 |
13.829 |
|
|
|
Capital Goods |
94.884 |
8.702 |
0.000 |
|
|
|
Others |
7.238 |
10.740 |
58.448 |
|
|
TOTAL IMPORTS |
783.724 |
799.035 |
700.181 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
1.75 |
1.77 |
0.75 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2014 |
|
Type |
|
|
1st
Quarter |
|
Net Sales |
|
|
736.100 |
|
Total Expenditure |
|
|
632.600 |
|
PBIDT (Excl OI) |
|
|
103.500 |
|
Other Income |
|
|
13.400 |
|
Operating Profit |
|
|
116.900 |
|
Interest |
|
|
19.200 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
97.700 |
|
Depreciation |
|
|
37.500 |
|
Profit Before Tax |
|
|
60.200 |
|
Tax |
|
|
0.000 |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
60.200 |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
60.200 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
11.44 |
10.80 |
5.59 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
11.82 |
11.13 |
6.36 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.79 |
6.72 |
3.19 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07 |
0.07 |
0.04 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.29 |
0.03 |
0.08 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.25 |
1.87 |
1.39 |
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 |
714.624 |
742.825 |
742.825 |
|
Reserves & Surplus |
2503.620 |
2847.933 |
2822.161 |
|
Net worth |
3218.244 |
3590.758 |
3564.986 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
779.141 |
|
Short term borrowings |
269.722 |
117.491 |
259.180 |
|
Total borrowings |
269.722 |
117.491 |
1038.321 |
|
Debt/Equity ratio |
0.084 |
0.033 |
0.291 |
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 |
1852.436 |
2330.049 |
2200.640 |
|
|
|
25.783 |
(5.554) |
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 |
1852.436 |
2330.049 |
2200.640 |
|
Profit |
106.896 |
259.373 |
260.155 |
|
|
5.77% |
11.13% |
11.82% |
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 |
No |
|
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 |
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 |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
---------------------- |
|
26] |
Buyer visit details |
---------------------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
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 |
Yes |
LITIGATIONS DETAILS
|
Date of query :
12/9/2014 |
Time : 11:23:08 AM |
|
COAP'11' of 2013 -
R |
2257/2013 |
|
Petitioner : |
CISCO SYSTEMS CAPITAL INDIA PRIVATE LIMITED |
|
Respondent: |
M/S AKSH OPTIFIBRE LIMITED |
|
Petitioner
Advocate: |
CHETNA BHALL/P BHALLA |
|
Respondent
Advocate: |
|
|
Class Code
: 2502 |
Registered on : 23/2/2013 |
|
Bench : SB |
Stage : |
|
Listed in court No.
on // |
|
|
Main case in which this case is a
Connected Case |
|
|
TYPE |
NO. |
|
COP |
10/2013 |
|
Cases Detail in which this is Main Case |
||
|
Filling Number |
Reg. No. |
Filing Date |
|
COP -2256/2013 |
10/2013 |
19/2/2013 |
UNSECURED LOAN
Rs.
In Millions
|
Particular |
As
on 31.03.2014 |
As
on 31.03.2013 |
|
Long-term
borrowings |
|
|
|
Foreign Currency Convertible Bonds (FCCBs) 3.792 Mn USD (31st March, 2013: Nil) 0% FCCBs due on Feb-2019 of $ 1,000 each |
227.217 |
0.000 |
|
Short-term
borrowings |
|
|
|
Deposits |
|
|
|
0% loan from Chairman repayable on demand |
0.000 |
4.775 |
|
15% Inter Corporate Deposit from related parties repayable on demand |
0.000 |
3.400 |
|
15% Inter Corporate Deposit from others repayable on demand |
20.000 |
23.000 |
|
9% Security Deposits |
0.000 |
0.992 |
|
0% Security Deposits |
39.219 |
41.570 |
|
Total |
286.436 |
73.737 |
|
|
|
|
CORPORATE INFORMATION
Subject is a public Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed at The Bombay Stock Exchange Limited, The National Stock Exchange Limited in India and GDRs are listed at Luxembourg Stock Exchange. The Company is engaged in the manufacturing and selling of Optical Fibre, Optical Fibre Cable, Fibre Reinforced Plastic Rods and Impregnated Glass Roving Reinforcement, The Company caters to both domestic and international markets. The Company also provides the Internet Protocol Television (IPTV) services in association with BSNL in 20 cities of North India. The Company is the pioneer in the FTTH (Fibre to the Home) space and has further consolidated its place by starting FTTH services in Delhi, Jaipur, Ajmer and Faridabad.
OPERATIONAL REVIEW
Financial year 2013- 14 closed with revenue of Rs 2274.846 Millions, with EBITDA of Rs 410.023 Millions and PAT of Rs 2601.55 Millions. The manufacturing business earned revenues of Rs. 2089.987 Millions at an EBIT margin of 18.68 %.
During the year, the Company introduced certain new products and adding new markets in the manufacturing business. The Company continues to be recognized globally for high quality FRP (Fibre Reinforced Plastic) Rods, and Optical Fibre Cables.
The detailed analysis of Company’s operations and segment wise performance is covered under Management Discussion and Analysis Report.
FUTURE OUTLOOK
While in 2012-13 there was a surge in demand of OFC, largely fuelled by introduction of next generation technologies and up gradation of existing 2G networks to make them 3G and 4 G compatible was witnessed, a trend which is set to increase further in the coming year, with several Greenfield sites are being rolled out and more in the pipeline with operators preparing to launch 4G services, OFC network deployment is likely to gain momentum over the next few years making India one of the fastest growing markets in this segment.
The year 2013-14 continued to witness the increased concern for women’s safety, which prompted the wireless operators to increase the penetration of OFC networks for providing broadband services for surveillance.
With the change in the government, the roll out of the much awaited NOFN project is to be expedited, fuelling in the demand of the OFC. Further, with the states initiating the egovernance models, there is likely to be huge demand of OFC for running the state e-governance models.
Globally FRP demand is expected to increase by about 20% in FY 2014-15. Currently Aksh has approximately 16-18% share in global demand of FRP which is set to surge ahead. The domestic FRP demand is expected to grow by 50% in FY 2014-15.
With the increased demand of residential dwellings and more high rise towers coming up to cater the increased demand of homes, there is significant potential in the FTTH segment as users want high speed broadband, high definition video and unlimited telephony and more importantly real time surveillance, there is a lot of space for OFC business to expand and flourish.
MANAGEMENT DISCUSSION
AND ANALYSIS
Industry Structure
and Developments
Global Industry
Scenario
Optical Fiber
As an innovation that transformed the landscape of global communications, optical fiber will become the ultimate carrier to connect the globe at the most affordable cost. Due to its compatibility with other technologies, growing cost effectiveness, and nearly unlimited bandwidth, optical fiber has the capacity to grow and adapt to future consumer demands for voice, data, and video capability. In other words, optical fiber is here to stay.
In last few years, the use of broadband and perpetually increased use of internet driven application has exploded the demand for optical fiber. This demand for a faster, more affordable delivery system of communications with universal access is a principal driver of the need for increased bandwidth across the Globe.
Today’s customers would want to have triple-play services, with voice, video, and data all provided to us by a single connection instead of multiple connections. Applications such as file-sharing, on-line gaming, video on demand and HDTV all require bandwidth capacity that is pushing the limits of traditional access transmission technologies such as digital subscriber lines (DSL), cable, and wireless. Only optical fiber has the capacity to reliably and simultaneously deliver all of the services flowing through the information highways.
The world’s fiber shipments for the Q1 of 2014 experienced an increase of 13% over the Q1 shipments of 2013. With China’s telcos starting 4G network constructions, the demand of optical fibre in china is set to increase. OF exports to Middle East and Saudi Arabia continue to increase and was up by 47%. New Optical Fibre manufacturing facilities are being set up in South America and Spain to cater the increasing demand of Optical fibre across the globe. China is also setting up new manufacturing facilities of Optical fibre, to meet its own demand.
Optical Fibre Cable
Global prospects for fiber optics appear optimistic. The growth is expected in the global market for fiber optics through 2017. It is noteworthy that data traffic through optical fiber cables offer advantages in terms of high reliability, security, capacity and cost-effectiveness. Thus, it does not come as a surprise that enterprise markets have rushed to secure fiber optics for their network needs.
The growing usage of data services is triggering a radical transformation in the World’s telecom sector. Wireless services, which have long been the dominant platform and were responsible for World’s unprecedented telecom growth, have become less effective as a channel for delivering high bandwidth applications. Spectrum available with telecom operators is proving to be highly inadequate as they are recording a massive uptake of data services on their networks. The situation will deteriorate with 3G services gaining further momentum and the launch of 4G services by all operators.
In such a scenario, optical fiber cables (OFCs), with its unlimited bandwidth capacity, are emerging as the key technology for catering to the surging data demand in the Globe.
With the world now looking towards the African continent to explore new opportunities, it is imperative that the African nations catch up with the new global information technology involving Optical fibre cables. With this in mind, there is a growing surge towards the African continent for future developments. Optical fibre cables is to play a vital role in the same due to their high bandwidth, high reliability, high signal quality, long lifetime, better security and low service cost, fiber optic networks are suited for inter and intra continental backbone network infrastructure.
With a global population that’s both growing and living longer, the world’s healthcare providers are increasingly looking to advanced biomedical instrumentation to enable more efficient patient diagnosis, monitoring, and treatment. In this context, biomedical sensing applications of optical fiber are of growing importance, since optical fibers are immune to electromagnetic interference (EMI), chemically inert, nontoxic, and intrinsically safe.
With the rise of the Internet, education has been completely transformed. Distance learning, for example, used to be largely a lonely experience. In today’s information age, students do not only overcome difficulties interacting with the tutor, but can now easily overcome the nightmare of waiting for tutorials in the mail for long periods of time. In addition, the Internet constitutes a virtual classroom in which interaction can take place between students anywhere in the world. The information age has seen the acceleration of research at educational and other institutions because of the abundance of scientific data on the Internet and the advent of electronic journals. The cost of electronic technical Information is negligible compared to traditional research journals. In this area lies an ample opportunity for the growth of optical fibre networks, giving an upward thrust to the increase in demand of Optical Fibre cable.
Indian Industry
Scenario
India finally gets on track in deploying nationwide broadband network. With the government announcing its ambitious national optical fibre network to provide connectivity to all the 2,50,000 Gram Panchayats (GPs) to ensure broadband connectivity with adequate bandwidth.
Furthermore, the Indian railways and Indian defence is also deploying their own optical fibre cable network, deployment of 4G network and increase in FTTH deployments has given a boost to the increased demand of the optical fibre cable in India. In the budget of 2014-15, it is proposed to give boost to infrastructure projects, and to make e-filings and having the ecompliances done. For this purpose, it is incremental that the broadband network should grow at a rapid pace.
High speed high bandwidth backhaul is required for increasing data usage on the 3G platform and introduction of 4G services. The demand for Telecom Cables will gain a fillip as service providers upgrade this backhaul in their networks to accommodate and cater increasing smartphone and tablet penetration and thereby increase in demand of bandwidth to handle the increase in data traffic.
Domestic Market
The Indian domestic Optical fibre market, during the past fiscal has grown tremendously and it is expected to be a $ 290.8 Mn by 2018, registering a growth at a CAGR of 12.5 %. The demand for optical fibre cables is poised to ride an upward growth curve with the emergence of next generation technologies, and government initiatives under the National Telecom Policy 2012. High speed high bandwidth backhaul is required for increasing data usage on the 3G platform and introduction of 4G services. The demand for Telecom Cables will gain a filip as service providers upgrade this backhaul in their networks to accommodate and cater increasing smartphone and tablet penetration and thereby increase in demand of bandwidth to handle the increase in data traffic.
Data growth in the Indian telecom market has reduced the prominence of traditional wireline broadband technologies such as digital subscriber line and cable modem. These technologies are not efficient enough to meet the customers’ demand for high-bandwidth applications such as high speed internet access, video-on-demand, high definition TV, IPTV and online gaming. In this scenario, fibre-to-the-home (FTTH) technology, which offers advantages like high bandwidth capacity and the delivery of high speed, high quality and multiplay services (data, voice and video) through a single channel, presents a strong business opportunity for telecom operators.
The demand for OFC consumption in India primarily comes from telecom operators and multiple-system operators (MSOs), followed by data centers and other PSUs. During 2012-13, telecom operators accounted for 60 per cent of the overall OFC demand in India, requiring fiber across core, middle mile and access networks. The roll-out of the 4G long term evolution (LTE) mobile network is also driving the demand for high fiber-count OFC, as operators use fiber in tower verticals instead of co-axial cable that runs between the ratio heads and ground level base stations.
MSOs are also driving the current demand for fiber, with most of them upgrading their middle and last mile networks to provide high-speed broadband services to consumers and enterprises. Going forward, cable broadband players (especially those offering Ethernet-based cable broadband) will lay out last-mile aerial fiber to provide high-speed broadband.
FTTH networks’ ability to deliver high bandwidth has made investments in this infrastructure very important for operators. They are increasingly deploying FTTH technology to complement their wireless networks. Spectrum crunch is another major factor that has led operators to look for viable alternative mediums. Also, to achieve the broadband targets set by the government under the National Telecom Policy, it will be important to drive FTTH growth along with other technologies.
IPTV Services
Scenario
Internet Protocol Television (IPTV) is widely adopted and accepted as a viable solution to deliver HDTV, Video on Demand (VoD) and time-shifted TV, making the entire experience more interactive and personalized. IPTV services can be delivered by telecom service providers or Internet service providers.
FTTH has now emerged as a mainstream business preposition with tremendous growth potential as users are increasingly looking for high-speed broadband, high-definition videos, unlimited anywhere telephony and real-time surveillance.
Future Outlook
The OFC market is set to grow with the implementation of National Optical Fibre Network (NOFN), which aims to increase internet usage and improve connectivity in suburban and rural areas. Continuing expansion of existing networks by Railways and Defence will also help fuel the demand, apart from private players who want to build project with OFC as key component. Also the cable digitalization policy plans to have a complete analog sunset by the end of 2014 in India, this will further boost the optical fibre cable growth in the country.
The market is expected to reach Rs 15 billion by 2017-18, registering a compound annual growth rate of 15 per cent. The Indian market constituted about 7 per cent of global fiber shipments worth 278.5 million fiber km during 2013-14, translating into a fiber shipment of about 19.50 million fiber km, recording a year-on-year growth of about 30 per cent.
As the data demand in India hits new record levels, the OFC market is set to witness a period of strong growth. While the increasing usage of smartphones calls for the deployment of OFC across all components of telecom networks (backbone, metro, and access), the growth of OFC, at least in the short to medium term, would be driven by increasing deployments in the backbone network. Wireless, on the other hand, would continue to be the last-mile technology for service delivery. The booming OFC market may also result in the entry of global cable manufacturers into the Indian domain, further intensifying the competition in the market.
The Indian FTTH market will be more successful than its global counterparts due to large population density of the country. The rapid pace with which the landscape of the country is changing, with increased demand of houses, the builders while building new housing complexes, a making a conscious effort to lay fibre instead of copper for providing television and telephone services connectivity to each apartment. They are providing optical network terminals and optical line termination devices within the complex.
Aksh is today a global name and to broaden, it is planned to increase the exports and domestic sales, to establish manufacturing facilities outside India and to execute large numbers of turnkey projects both domestic and internationally.
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10476739 |
25/01/2014 |
2,448,000.00 |
HEWLETT PACKARD FINANCIAL SERVICES (INDIA) PRIVATE |
3RD FLOOR, CALCOT HOUSE, 8/10, M.P. SHETTY MARG, |
B96004395 |
|
2 |
10472053 |
28/02/2014 * |
50,000,000.00 |
PUNJAB NATIONAL BANK |
SHALIMAR BAGH BRANCH, AM-60, SHALIMAR BAGH, NEW D |
C00576819 |
|
3 |
10423784 |
12/06/2014 * |
2,079,086,000.00 |
UNION BANK OF INDIA |
M-11, MIDDLE CIRCLE, CONNAUGHT PALCE, NEW DELHI, DELHI - 110001, INDIA |
C09736315 |
* Date of charge modification
FIXED ASSETS
Tangible Assets
· Freehold Land
· Leasehold Land
· Factory Building
· Plant and Machinery
· Telecom Networking
· Testing Instrument
· Air Conditioner
· Furniture and Fixtures
· Office Equipments
· Data Processing Systems
· Electric Fittings
· Vehicles
· Fork Lift
Intangible Assets
· Computer Software
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 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.60.92 |
|
|
1 |
Rs.98.66 |
|
Euro |
1 |
Rs.78.64 |
INFORMATION DETAILS
|
Information Gathered
by : |
PRT |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
YES |
|
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 |
|
42 |
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.