MIRA
INFORM REPORT
|
Report Date : |
29.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
BINANI CEMENT LIMITED (w.e.f. 06.10.1998) |
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Formerly Known
As : |
BINANI CEMENT PRIVATE LIMITED (w.e.f.23.04.1998) DYNASTY DEALER PRIVATE LIMITED |
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Registered
Office : |
37/2, Chinar Park, New Town, Rajarhat Main Road, P.O. Hatiara, Kolkata
– 700157, West Bengal |
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Country : |
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Financials (as
on) : |
31.03.2014 |
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Date of Incorporation
: |
15.01.1996 |
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Com. Reg. No.: |
21-076612 |
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Capital
Investment / Paid-up Capital : |
Rs. 1886.038
Millions |
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CIN No.: [Company Identification
No.] |
U26941WB1996PLC076612 |
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TAN No.: [Tax Deduction & Collection
Account No.] |
CALB15331B |
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PAN No.: [Permanent Account No.] |
AABCB3087C |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business
: |
Production and Sales of Clinker and Cement. |
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No. of Employees
: |
(Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (32) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Exist |
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Comments : |
Subject is a subsidiary of “Binani Industries Limited”. It is an
established company having moderate track record. The rating is constrained on account of deterioration in the
performance of the company which has resulted into loss incurred from
operational activities during financial year 2014. However, trade relations are fair. Business is active. Payments are
reported to be slow but correct. The company 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 – 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 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
N E W S
Verdict Implications
: Apex court order may alter coal import dynamics. Traders go slow on talks over
coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.
Recent arrest of the
Chennai head of the Registrar of Companies, the ministry of corporate affairs
arm that ensures that companies file all the information required by the
Companies Act is the latest manifestation of a messy fight between a father and
his adopted son for the control of Rs 40000 mn business empire. The Central
Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10
lakhs as bribe from M A M Ramaswamy, a CBI official said.
Central Bureau of
Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.
Infosys maintains
revenue guidance. COO Rao says attrition still an area of concern and it would take
a few more quarters to bring down levels to 13-15 %.
DHL to invest
Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its
e-commerce business model for the Asia-Pacific region.
Blackstone may buy
stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.
Kingfisher Airlines
Ltd grounded in October 2012 under the weight of heavy debt and accumulated
losses, recently approached the Delhi high court for relief in two separate
cases. The airline challenged a notice by Punjab & National Bank alleging
that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to
comply with the requirements under the listing agreements with the Stock
Exchanges.
OnMobile likely to
sack another 300 employees. The lay-offs follow a spate of senior-level exits
over the past two years, starting with of its founder. The overall lay-offs
could number around 600 and are driven by the need to cut costs, says a former
employee.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long term bank facilities: “BB” |
|
Rating Explanation |
Inadequate credit quality and high credit
risk. |
|
Date |
05.03.2014 |
|
Rating Agency Name |
CARE |
|
Rating |
Short term bank facilities: “A4” |
|
Rating Explanation |
Minimal degree of safety and very high
credit risk. |
|
Date |
05.03.2014 |
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
31-03-2014.
INFORMATION DECLINED
MANAGEMENT NON-COOPERATIVE (Tel. No.: 91-33-40161800)
LOCATIONS
|
Registered Office : |
37/2, Chinar Park, New Town, Rajarhat Main Road, P.O. Hatiara, Kolkata
– 700157, West Bengal, India |
|
Tel. No. : |
91-33-32626795/ 96 |
|
Fax No. : |
Not Available |
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E-Mail : |
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Website : |
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Mumbai Corporate Office: |
Mercantile Chambers, 12, J.N. Heredia Marg, Ballard Estate, Mumbai -
400001, Maharashtra, India |
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Tel. No.: |
91-22-22690506-10/ 22640040-44 |
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Fax No.: |
91-22-22690003/ 22640045 |
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E-Mail : |
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Factory : |
P. O. Binanigram, Tehsil Pindwara, District Sirohi – 307031,
Rajasthan, India |
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Tel. No.: |
91-2971-235005/ 12 |
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Fax No.: |
91-2971-235020 |
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E-Mail : |
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Marketing Offices: |
Located At: · Ahmedabad Jodhpur New
Delhi Jaipur Kolkata Mumbai Lucknow |
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Factory 2 : |
Village- Binanigram, Tehsil- Pindwara, District- Sirohi – 307031, Rajasthan, India |
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Factory 3 (Grinding Facility) : |
Village - Sirohi, Tehsil - Neem Ka Thana, District Sikar – 332714,
Rajasthan, India |
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Tel. No.: |
91-1574-513476 |
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Fax No.: |
91-1574-517476 |
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|
Factory 4: |
Shandong Binani Rong’An
Cement Company Limited Fujiazhuang Village, Dongguan Town, Ju County of Rizhao Municipality, Shandong Province, Peoples Republic of China |
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Factory 5: |
Binani Cement
Factory LLC Jebel Ali, Dubai, UAE |
DIRECTORS
As on 31.03.2014
|
Name : |
Mr. Braj Binani |
|
Designation : |
Chairman |
|
Date of Birth/ Age
: |
14.12.1959 |
|
Qualification : |
B.Com (Honours) |
|
Expertise in
specific functional areas : |
Entrepreneurship and Management |
|
Date of Appointment : |
01.04.2005 |
|
Other Directorship : |
· Binani Industries Limited Binani
Zinc Limited Binani
Metals Limited |
|
|
|
|
Name : |
Mrs. Nidhi Singhania |
|
Designation : |
Director (upto 14.04.2014) |
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|
Name : |
Ms. Shradha Binani |
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Designation : |
Director (upto 14.04.2014) |
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Name : |
Mr. V. Subramanian |
|
Designation : |
Director |
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Name : |
Mr. P. Acharya |
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Designation : |
Whole-time Director (upto 15.07.2013) |
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Name : |
Mr. Jotirmoy Ghose |
|
Designation : |
Managing Director |
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|
52 |
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|
B.E.(Mech.) & MBA |
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27 |
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Date of Appointment : |
30.10.2013 |
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Name : |
Mr. Ramkrishna Moogimane |
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Designation : |
Director (upto 30.04.2014) |
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|
Name : |
Mr. T. R. C. Nair |
|
Designation : |
Director (upto 24.07.2014) |
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Name : |
Mr. S. Sridhar |
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Designation : |
Director |
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Date of Birth/ Age
: |
09.05.1951 |
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Qualification : |
B.Tech, IIT Delhi and Masters from Jamnalal Bajaj Institute of Management Studies, Mumbai |
|
Expertise in specific
functional areas : |
Banking and Finance |
|
Date of Appointment : |
05.08.2012 |
|
Other Directorship : |
· Strides Arcolab Limited Development
Credit Bank Limited Jubliant
Life Sciences Limited India
Infoline Housing Finance Limited Binani
Industries Limited. Tourism
Finance Corporation Limited |
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|
Name : |
Mr. Jitender Balakrishnan |
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Designation : |
Director (upto 19.05.2014) |
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Name : |
Mr. M. D. Mallya |
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Designation : |
Director (upto 26.05.2014) |
KEY EXECUTIVES
|
Name : |
Mr. Atul P. Falgunia |
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Designation : |
Company Secretary (upto 30.04.2014) |
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|
Name : |
Mr. Amit Kumar Gupta |
|
Designation : |
Company Secretary |
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Date of Appointment : |
05.06.2014 |
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Name : |
Mr. R.S. Joshi |
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Designation : |
President (Corporate Affairs) |
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Name : |
Mr. Darshan Lal |
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Designation : |
President-Tech. (Cement Group) |
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Name : |
Mr. R.P. Sharma |
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Designation : |
President (Works) |
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Name : |
Mr. Anant Kumar Mahobe |
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Designation : |
President (Works) |
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Name : |
Mr. Digvijay Singh |
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Designation : |
Senior Vice President (Marketing) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2014
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
Promoter and Promoter Group |
185649544 |
98.43 |
|
Bodies Corporate |
494843 |
0.26 |
|
Individuals |
2376790 |
1.26 |
|
Others |
80097 |
0.04 |
|
Total |
188601274 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Production and Sales of Clinker and Cement. |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged |
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Financial
Institutions and Bankers: |
· Bank of Baroda Bank of
India Canara
Bank Central
Bank of India Dena
Bank Export
Kredit Finansiering A/s IDBI
Bank Limited IFCI
Limited Indian
Overseas Bank Jammu
and Kashmir Bank Limited Oriental
Bank of Commerce Punjab
National Bank SIDBI State
Bank of Bikaner and Jaipur State
Bank of India State
Bank of Patiala Syndicate
Bank Union
Bank of India United
Bank of India Yes
Bank Limited |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Kanu Doshi Associates Chartered Accountants |
|
Address : |
Mumbai, Maharashtra, India |
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Holding Company : |
Binani Industries Limited |
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Subsidiaries / step
down subsidiaries where control exists : |
· Krishna Holdings Pte Limited Mukundan
Holdings Limited Murari
Holdings Limited Swiss
Merchandise Infrastructure Private Limited Merit
Plaza Limited Bhumi
Resources (Singapore ) Pte Limited Binani
Ready Mix Concrete Limited BC
Tradelink Limited Binani
Cement Factory ( Kenya) Limited* Binani
Cement (Uganda) Limited * Binani
Cement Factory Mauritius* PT
Anggana Energy Resources Shandong
Binani Rong’an Cement Company Limited (SBRCC) Binani
Mineral Resources (Mangolia) LLC* Binani
Cement Factory LLC (BCF) Binani
Energy Private Limited |
|
|
|
|
Fellow Subsidiary : |
· Binani Zinc Limited (BZL) Goa
Glass Fibre Limited (GGFL) BT
Composites Limited(BTCL) Wada
Industrial Estate Limited (WIEL) BIL
Infratech Limited Binani
Infrastructure (Mauritius) Limited BZ
Minerals (Australia) Pty Limited 3B
Binani Glass Fibre Holding S.a.r.l Royalvision
Projects Private Limited BZ
Resources Mauritius Limited |
|
|
|
|
Step down Subsidiary
of Binani Cement Factory LLC, Dubai. : |
· Binani Cement Company WLL Binani
Cement Factory (SFZ) Limited BC
Tradelink Limited Binani
Cement Factory (Kenya) Limited Binani
Cement (Uganda) Limited Binani
Cement SARL (Djibouti) Binani
Cement Factory Mauritius Binani
Cement Co Limited (Sudan) |
|
|
|
|
Step-down
Subsidiary of Bhumi Resources (Singapore) Pte Limited : |
PT Anggana Energy Resources |
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|
|
|
Step-down
Subsidiary of BIL Infratech Limited : |
Binani Infrastructure (Mauritius) Limited |
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|
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|
Step-down
Subsidiary of BZL : |
BZ Minerals (Australia) Pty Limited |
* These Companies are sold / closed down / under liquidation during the year.
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
423899600 |
Equity Shares |
Rs.10/- each |
Rs. 4238.996 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
188601274 |
Equity Shares |
Rs.10/- each |
Rs. 1886.013
Millions |
|
|
Add: Amount paid up on forfeited Shares |
|
Rs.0.025
Million |
|
|
|
|
|
|
|
Total |
|
Rs. 1886.038 Millions |
1) 185,649,464 - 98.43% (Previous year 185,649,464 - 98.43%) Equity Shares of ` 10/- each fully paid-up held by the Holding Company - Binani Industries Limited and its nominees.
2) 14,500,000 Equity Shares have been bought back in financial year 2010-11 under tender offer route and later extinguished.
3) Reconciliation of number of shares outstanding at the beginning and at the end of the year
|
PARTICULARS |
31.03.2014 |
|
|
|
No.
of Shares |
Rs. In Millions |
|
Outstanding at the beginning of the year |
188,601,274 |
1886.013 |
|
Outstanding at the end of the year |
188,601,274 |
1886.013 |
4) Terms / Rights attached to equity shares
The Company has only one class of equity shares having a par value of Rs. 10 per share. Each holder of equity shares 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 the 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 preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
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 |
1886.038 |
1886.038 |
1886.038 |
|
(b) Reserves & Surplus |
3904.096 |
5875.334 |
4582.577 |
|
(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) |
5790.134 |
7761.372 |
6468.615 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
18824.908 |
10398.435 |
11498.358 |
|
(b) Deferred tax liabilities (Net) |
1025.068 |
1987.330 |
1946.300 |
|
(c) Other long term liabilities |
409.676 |
352.017 |
336.590 |
|
(d) long-term provisions |
19.602 |
20.156 |
17.318 |
|
Total Non-current Liabilities (3) |
20279.254 |
12757.938 |
13798.566 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
1525.947 |
485.254 |
678.328 |
|
(b) Trade payables |
5435.970 |
5122.101 |
3758.669 |
|
(c) Other current
liabilities |
8869.950 |
7466.246 |
7359.274 |
|
(d) Short-term provisions |
16.484 |
16.988 |
7.841 |
|
Total Current Liabilities (4) |
15848.351 |
13090.589 |
11804.112 |
|
|
|
|
|
|
TOTAL |
41917.739 |
33609.899 |
32071.293 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
11144.058 |
11929.461 |
12176.199 |
|
(ii) Intangible Assets |
24.455 |
39.506 |
20.874 |
|
(iii) Capital
work-in-progress |
1657.708 |
1398.894 |
1171.917 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
10593.005 |
10382.317 |
8463.309 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
3180.671 |
1690.940 |
2379.043 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
26599.897 |
25441.118 |
24211.342 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
2481.766 |
1483.229 |
1683.379 |
|
(c) Trade receivables |
2.722 |
17.463 |
0.000 |
|
(d) Cash and cash
equivalents |
447.939 |
750.712 |
820.822 |
|
(e) Short-term loans and
advances |
12001.460 |
5890.409 |
5325.487 |
|
(f) Other current assets |
383.955 |
26.968 |
30.263 |
|
Total Current Assets |
15317.842 |
8168.781 |
7859.951 |
|
|
|
|
|
|
TOTAL |
41917.739 |
33609.899 |
32071.293 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
18507.104 |
22169.446 |
20278.113 |
|
|
|
Other Income |
1115.317 |
632.338 |
288.645 |
|
|
|
TOTAL (A) |
19622.421 |
22801.784 |
20566.758 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
3299.891 |
2973.138 |
2664.494 |
|
|
|
Purchase of stock-in-trade |
626.460 |
188.303 |
23.65 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and stock-in-trade |
(683.155) |
(159.702) |
88.078 |
|
|
|
Employee benefit expenses |
634.307 |
578.654 |
499.692 |
|
|
|
Other expenses |
13299.741 |
14508.158 |
13984.826 |
|
|
|
Exceptional Items |
1592.832 |
0 |
125.034 |
|
|
|
TOTAL (B) |
18770.076 |
18088.551 |
17385.774 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (A-B) (C) |
852.345 |
4713.233 |
3180.984 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
2732.514 |
2108.969 |
1614.007 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(1880.169) |
2604.264 |
1566.977 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION (F) |
1053.331 |
1054.286 |
1035.461 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
(2933.500) |
1549.978 |
531.516 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(962.262) |
351.73 |
47.537 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H) (I) |
(1971.238) |
1198.248 |
483.979 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
4673.270 |
3431.222 |
2871.043 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer (to) / from Debenture Redemption Reserve |
0.000 |
(43.800) |
(76.200) |
|
|
BALANCE CARRIED
TO THE B/S |
2702.032 |
4673.270 |
3431.222 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital Goods |
41.868 |
440.773 |
67.132 |
|
|
|
Raw Materials |
0.000 |
0.000 |
28.728 |
|
|
|
Components and Spare Parts of Machinery |
133.103 |
174.309 |
103.150 |
|
|
TOTAL IMPORTS |
174.971 |
615.082 |
199.010 |
|
|
|
|
|
|
|
|
|
|
Earnings / (Loss)
Per Share (Rs.) |
(10.45) |
6.35 |
2.57 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
(10.05) |
5.26 |
2.35 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(15.85) |
6.99 |
2.62 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(9.89) |
7.10 |
2.37 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.51) |
0.20 |
0.08 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
3.51 |
1.40 |
1.88 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.97 |
0.62 |
0.67 |
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 |
1886.038 |
1886.038 |
1886.038 |
|
Reserves & Surplus |
4582.577 |
5875.334 |
3904.096 |
|
Net worth |
6468.615 |
7761.372 |
5790.134 |
|
|
|
|
|
|
long-term borrowings |
11498.358 |
10398.435 |
18824.908 |
|
Short term borrowings |
678.328 |
485.254 |
1525.947 |
|
Total
borrowings |
12176.686 |
10883.689 |
20350.855 |
|
Debt/Equity
ratio |
1.882 |
1.402 |
3.515 |
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 |
20278.113 |
22169.446 |
18507.104 |
|
|
|
9.327 |
(16.520) |
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 |
20278.113 |
22169.446 |
18507.104 |
|
Profit |
483.979 |
1198.248 |
(1971.238) |
|
|
2.39% |
5.40% |
(10.65%) |
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 |
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 |
LITIGATION DETAILS
CALCUTTA HIGH COURT
CASE STATUS INFORMATION SYSTEM
|
Case Status
: Pending |
||
|
|
||
|
Status of
INCOME TAX APPEAL (ITA)
98 of
2012 COMMISSIONER OF INCOME TAX,
CENTRAL-I Vs.
M/S. BINANI CEMENT LTD. |
||
|
|
||
|
Pet's Adv.
: G. S. MAKKER
|
||
|
|
||
|
Res's Adv.
: |
||
|
|
||
|
Court No.
: 19 Last
Listed On : Monday, August 06, 2012 |
||
|
|
||
|
Category :
INCOME TAX : REVENUE |
||
|
|
||
|
|
||
|
|
||
|
|
||
|
Case Updated on: Friday, August
17, 2012 |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10509897 |
30/06/2014 |
750,000,000.00 |
IDBI BANK LIMITED |
MITTAL COURT, 224, A WING, 2ND FLOOR, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA |
C11948080 |
|
2 |
10507826 |
28/06/2014 |
200,000,000.00 |
CANARA BANK |
PRIME CORPORATE
BRANCH-BKC, 1ST FLOOR, A WING,, C |
C10383743 |
|
3 |
10503903 |
29/03/2014 |
1,200,000,000.00 |
CENTRAL BANK OF INDIA |
BALLARD ESTATE BRANCH, MARSHALL BUILDING, SHOORJI VALLABHDAS MARG,, MUMBAI, MAHARASHTRA - 400001, INDIA |
C07164775 |
|
4 |
10458249 |
14/08/2014 * |
4,079,100,000.00 |
IFCI LIMITED |
IFCI TOWER61 NEHRU PLACE, NEW DELHI, DELHI - 110019, INDIA |
C19210491 |
|
5 |
10443685 |
28/06/2013 |
750,000,000.00 |
SYNDICATE BANK |
HOMJI STREET BRANCH, 10, HOMJI STREET, 1ST FLOOR, FORT, MUMBAI, MAHARASHTRA - 400001, INDIA |
B82376021 |
|
6 |
10435058 |
27/05/2013 |
2,000,000,000.00 |
UNITED BANK OF INDIA |
CORPORATE FINANCE BRANCH, 25, SIR, P.M. ROAD, 2ND FLOOR, FORT,, MUMBAI, MAHARASHTRA - 400001, INDIA |
B78853470 |
|
7 |
10426651 |
08/05/2013 |
500,000,000.00 |
BANK OF INDIA |
MUMBAI LARGE
CORPORATE BRANCH, ORIENTAL BUILDING, |
B75462143 |
|
8 |
10422903 |
08/04/2013 |
750,000,000.00 |
|
HOMJI STREET BRANCH, 10, HOMJI STREET, 1ST FLOOR, FORT, MUMBAI, MAHARASHTRA - 400023, INDIA |
B74116013 |
|
9 |
10425597 |
25/03/2013 |
350,000,000.00 |
STATE BANK OF BIKANER AND JAIPUR |
COMMERCIAL NETWORK
BRANCH, 239, P. D'MELLO ROAD,, |
B75094334 |
|
10 |
10416501 |
23/03/2013 |
350,000,000.00 |
STATE BANK OF PATIALA |
447, THE BUREAU,, R.C. MARG, CHEMBUR, MUMBAI, MAHARASHTRA - 400071, INDIA |
B71913008 |
|
11 |
10408182 |
13/02/2013 |
500,000,000.00 |
UNION BANK OF INDIA |
INDUSTRIAL FINANCE
BRANCH,UNION BANK BHAVAN,, 1ST |
B69685451 |
|
12 |
10397712 |
24/12/2012 |
1,200,000,000.00 |
CENTRAL BANK OF INDIA |
BALLARD ESTATE
BRANCH, MARSHALL BUILDING, S.V.MAR |
B66137696 |
|
13 |
10383767 |
11/10/2012 |
900,000,000.00 |
PUNJAB NATIONAL BANK |
ILACO HOUSE, SIR P. M.ROAD, FORT, MUMBAI, MAHARASHTRA - 400001, INDIA |
B61024972 |
|
14 |
10381430 |
09/10/2013 * |
250,000,000.00 |
SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA |
11-13, ATLANTA , 1ST FLOOR, V.K.SHAH MARG, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA |
B87072443 |
|
15 |
10357734 |
27/04/2012 |
750,000,000.00 |
BANK OF BARODA |
1ST FLOOR, WALCHAND HIRACHAND MARG, BALLARD PIER, MUMBAI, MAHARASHTRA - 400001, INDIA |
B40440612 |
|
16 |
10340523 |
29/05/2013 * |
2,000,000,000.00 |
INDIAN OVERSEAS BANK |
TAMARIND HOUSE,, 30-32, TAMARING LANE, FORT, MUMBAI, MAHARASHTRA - 400023, INDIA |
B76523752 |
|
17 |
10341193 |
22/03/2012 * |
1,000,000,000.00 |
SYNDICATE BANK |
10, HOMJI STREET, FIRST FLOOR, FORT, MUMBAI, MAHARASHTRA - 400023, INDIA |
B36238368 |
|
18 |
10307193 |
20/01/2012 * |
1,000,000,000.00 |
YES BANK LIMITED |
9TH FLOOR, NEHRU CENTRE,
DISCOVERY OF INDIA,, DR. |
B34481366 |
|
19 |
10275448 |
22/06/2011 * |
750,000,000.00 |
IDBI BANK LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
B15954431 |
|
20 |
10279597 |
23/06/2011 * |
2,000,000,000.00 |
CENTRAL BANK OF INDIA |
BALLARD ESTATE BRANCH, MARSHALL BUILDING,, S.V. MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA |
B15742406 |
|
21 |
10261645 |
03/01/2011 |
500,000,000.00 |
PUNJAB NATIONAL BANK |
LARGE CORPORATE
BRANCH, 44, PARK STREET, KOLKATA, |
B04017034 |
|
22 |
10211778 |
01/07/2010 * |
400,000,000.00 |
SYNDICATE BANK |
HOMJI STREET
BRANCH, 1ST FLOOR, 10, HOMJI STREET, |
A89134720 |
|
23 |
10141978 |
18/06/2009 * |
600,000,000.00 |
IDBI BANK LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A64353790 |
|
24 |
10058092 |
16/05/2007 |
400,000,000.00 |
EXPORT KREDIT FINANSIERING A-S |
LANGELINIE 17, COPENHAGEN DENMARK, - 2100, DENMARK |
A18164012 |
|
25 |
10029753 |
11/02/2013 * |
4,710,000,000.00 |
PUNJAB NATIONAL BANK |
ILACO HOUSE, SIR
P.M.ROAD,, MUMBAI, MAHARASHTRA - |
B69357580 |
|
26 |
90254754 |
30/09/2005 |
957,684,252.00 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA LTD. |
IDBI TOWER, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
- |
|
27 |
90253833 |
26/10/2007 * |
590,000,000.00 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A27750553 |
|
28 |
90255903 |
26/10/2007 * |
600,000,000.00 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A27768837 |
|
29 |
80038074 |
26/10/2007 * |
80,000,000.00 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A27752153 |
|
30 |
80038075 |
26/10/2007 * |
350,000,000.00 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A27749662 |
|
31 |
80038073 |
26/10/2007 * |
460,000,000.00 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED |
IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A27750074 |
UNSECURED LOANS
|
PARTICULAR |
31.03.2014 (Rs.
In Millions) |
31.03.2013 (Rs.
In Millions) |
|
LONG TERM
BORROWINGS |
|
|
|
Deferred Payment Liabilities |
0.000 |
143.488 |
|
|
|
|
|
SHORT TERM BORROWINGS |
|
|
|
Loans Repayable on Demand - From Others (Inter Corporate Deposits) |
101.516 |
0.000 |
|
Other Loans and Advances (From Bank) |
250.000 |
0.000 |
|
Total |
351.516 |
143.488 |
CHANGE OF ADDRESS
The registered office of the company has been shifted from 601, Axis Mall, 6th Floor, Block – C, Action Area – I, New Town, Rajarhat, Kolkata – 700156, West Bengal, India to the present address w.e.f. 01.09.2014.
REVIEW OF OPERATIONS
During the Financial Year, the Company’s Cement Production stood at 49.94 Lakhs MT as compared to 56.56 Lakhs MT in the previous year. The Company achieved sales of 51.37 Lakhs MT of Cement as against 56.81 Lakhs MT for the previous year. The lower sales were mainly because of the poor demand situation that prevailed
in the Country due to lack of infrastructure and real estate activities. For the Company, the situation further worsened when it had to stop the dispatches of Cement for almost last two months towards the end of the year due to coercive actions initiated by the Rajasthan VAT Authorities in connection with recovery of past dues which were earlier in disputes. These actions crippled the business operations of the Company. During the Financial Year 2013-14, the Company generated 3,083.95 Lakhs Kwh of power (net) against 3,520.47 Lakhs Kwh last year.
The Company’s total Income was lower at Rs. 19622.421 Millions as compared to Rs. 22801.784 Millions in the previous year. Lower sales volume, higher input and freight costs, the Profit before Depreciation, Interest, Tax and Exceptional Items were substantially lower at Rs. 2445.177 Millions as compared to Rs. 4713.233 Millions in the previous Financial Year. The Company has already provided for VAT liabilities, arising out of the verdict of the Hon’ble Supreme Court, of Rs. 1527.846 Millions during the year, shown under Exceptional Item. All these factors resulted in the Company reporting Net Loss of Rs. 1971.238 Millions for the year as against the Profit after Tax of Rs. 1198.248 Millions in the previous year.
OUTLOOK
The Cement demand is estimated to grow at CAGR of 7-8% over a period of next three years, primarily driven by demand from rural areas coupled with demand from Infrastructure segment which is expected to grow at 10-11% over next 3-5 years. Intense competition amongst cement manufacturers and over capacity situation would have impact on pricing of cement which will have consequent impact on the profitability of the Company. Further, in view of the prevailing uncertainty relating to Rajasthan VAT matter, the current year performance appears to be quite challenging.
SCHEME FOR TRANSFER
OF POWER UNDERTAKING
The Directors of the Company had proposed to transfer the Power Undertaking of the Company to its Wholly Owned Subsidiary namely Binani Energy Private Limited (BEPL) with the Appointed Date of 1st April, 2013 and accordingly a Scheme of Arrangement was filed by the Company with the Hon’ble High Court of Kolkata. The Scheme has been approved by the Hon’ble Court. However, a copy of certified order is awaited. Upon receipt of the Order and other requisites approval, the Scheme shall be made effective.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
ECONOMIC REVIEW
Indian economy witnessed one of its worst phase in the year 2013-14, when the growth remained muted throughout the Financial Year, inflation reaching to its height resulting in high interest rates and the rupee hitting a low against the US Dollar. The India’s GDP growth remained below 5% mark second year in a row at about 4.7% in 2013-14. Reduced spending by the Government on infrastructure and political uncertainties and low industrial growth marked the year gone by. Although a better monsoon in 2013-14 resulted in improvement in agricultural
sector in the second half of the year, the manufacturing activities remained at a low ebb.
ECONOMIC OUTLOOK
With the New Government firmly in place and going by its declared intent, most economists forecast the economy expected to grow by about 6% in 2014-15 on the back of lower inflation, softening of interest rate, easing of supply situation and surge in investment projects, opening up of market for foreign investors etc. With the roadmap for accelerated growth likely to be put in place, there is huge potential of growth going forward.
INDIAN CEMENT
INDUSTRY
Cement is a cyclical commodity and is directly proportionate to GDP growth of the Country. As a thumb rule, the Cement Industry growth is expected at 1.2 times of normal GDP growth. It is for the first time the Indian Cement Industry witnessed a lower growth than GDP and grew at about 3-4% in 2013-14. Following the downtrend in the GDP growth of the Country, the Cement demand growth has been sluggish for the last few years and grew at about 6% CAGR in the last four years. The Cement demand was affected due to fall in construction activity, prolong monsoon in the second half of 2013-14 and steep cuts in the Government spending on infrastructure activity. The Cement capacity in India is about 360 million Metric Tonnes (MT) whereas the production level stood at about 256 million MT. There was an addition of capacity of about 130 million MT in the last four years. Easing of pressure on capacity addition and increase in demand growth is expected to result in average capacity utilisation to move closer to 80% as compared to 75% in 2013-14.
With the stable Government now at the centre, expected revival in economic growth, Government thrust towards infrastructure development and spending, outlook of the Cement Industry appears quite promising in the years to come.
However, the increase in logistics cost due to increase in diesel prices and railway freight, will put pressure on the margins of Cement Industry, as freight accounts for ~25% of the total cost. Dependence on international coal is another uncertainty that the Cement Industry needs to grapple with.
COMPANY PERFORMANCE
AND OUTLOOK
The Cement demand in India is primarily dependent on four segments of which housing segment alone account for about two third of consumption and balance one third of consumption cater to infrastructure, commercial and industrial segments. The Cement demand in India is expected to grow at about CAGR of 7-8 % in 2014- 2017, primarily due to growth of housing sector, higher expected spending by the Government in infrastructural development and picking up of industrial activity in the years to come.
Due to overall sluggish demand of Cement in 2013-14 and discontinuation of Cement dispatches by the Company in the last two months for about 51 days in the Financial Year 2013-14 due to circumstances beyond its control, the Company could achieve production of 49.94 Lakhs MT as compared to 56.56 Lakhs MT in the Financial Year 2012-13, lower by about 11.71%.
Consequently, the Company’s sale of Cement was also lower by 9.58% at 51.37 Lakhs MT as against 56.81 Lakhs MT in the previous year.
Cement realizations were also remained lower as compared to previous year. Lower sales and lower realizations coupled with increased cost, affected the bottom line of the Company and the Company incurred a loss before tax & exceptional item of Rs. 1340.700 Millions against a profit of Rs. 1550.000 Millions.
With the expected growth in the Cement demand, the Company’s Cement production and dispatches are likely to
grow significantly. The stoppage of production in the Company’s plants at Binanigram (Sirohi) towards end of the Financial Year 2013-14, had a very serious adverse impact on its market share. The Company will focus aggressively on cost leadership and maximizing margins by focusing on its core markets and thereby will recapture its market share.
The Company’s emphasis now, will be to achieve 95% capacity utilization with exceptional quality and minimal emissions. The Company’s thrust will be on the markets within a radius of about 400 Kms, apart from exploiting other markets with its strong brand equity. Extensive focus will be on reducing the costs and maximizing profit.
The Company’s global aspirations remain intact and the Company is optimisttic about its China operations, which will turn profitable in the current Financial Year 2014-15. The Company’s endeavor to ramp up Cement capacity to 4 million MT will continue. The operations in UAE have now turned profitable and it is now focusing to create a presence and tap markets in East and Central Africa.
FIXED ASSETS
Tangible Assets
· Freehold Land
Leasehold
Land
Building
Plant and
Machinery
Railway
Sidings
Mine
Exploration and Developments
Furniture
and Fixtures
Vehicles
Office
and Other Equipments
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 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.61.57 |
|
|
1 |
Rs.100.42 |
|
Euro |
1 |
Rs.78.45 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRT |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
32 |
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.