MIRA INFORM REPORT
|
Report No. : |
334579 |
|
Report Date : |
06.08.2015 |
IDENTIFICATION DETAILS
|
Name : |
LGB FORGE LIMITED |
|
|
|
|
Registered
Office : |
No.6/16/13, Krishnarayapuram Road, Ganpathy Post, Coimbatore-641006,
Tamilnadu |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2015 |
|
|
|
|
Date of
Incorporation : |
07.06.2006 |
|
|
|
|
Com. Reg. No.: |
18-012830 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.150.002 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L27310TZ2006PLC012830 |
|
|
|
|
IEC NO.: |
3208008619 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CMBL03539E |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCL2012K |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer of high volume Auto, Electrical and Transmission forged components. |
|
|
|
|
No. of Employees
: |
400 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (30) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 509000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
LGB Forge Limited incorporated n 7th June, 2006 it is
established company having a moderate track record. The company reported weak operational and financial profile marked by
accumulated of losses as well as deterioration in its capital structure
during FY-2015. Further management has witnesses a dip in its sales volume, and also
reported losses from its operations during year under review. However, rating takes consideration as The rating also take into
considered the corporate guarantee extended by the subject’s creditworthy
flagship company LG Balkrishnan and Bros Limited which will be duly invoked
as per the terms in case there is default in payment by the subject. Trade relations are fair. Business is active. Payment terms are
reported as slow but correct. In view of operational, marginal and financial support from LGB, the
subject can be considered for business dealings with caution. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
|
|
|
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Long term Bank Facilities = AA- (Structured
Obligation) |
|
Rating Explanation |
High degree of safety and very low credit
risk |
|
Date |
January 2015 |
|
Rating Agency Name |
ICRA |
|
Rating |
Short term Bank Fqacilities (Structured
Obligation) |
|
Rating Explanation |
Very strong degree of safety and carry
lowest credit risk. |
|
Date |
January 2015 |
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
31-03-2013.
INFORMATION PARTED BY
|
Name : |
Mr. Elangovan |
|
Designation : |
Accounts Department |
|
Contact No.: |
91-522-2532325 |
|
Date : |
01.08.2015 |
LOCATIONS
|
Registered Office/ Factory 1 : |
No. 6/16/13, Krishnarayapuram Road, Ganapathy, Coimbatore-641006,
Tamilnadu, India |
|
Tel. No.: |
91-422-2532325 / 225 |
|
Fax No.: |
91-422-2532333 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory 2 : |
Pilliar Kovil Street, Near Power House, Kondayam Palayam,
Kottaipalayam Post, Coimbatore-641110, Tamilnadu, India |
DIRECTORS
As on: 31.03.2014
|
Name : |
Mr. B. Vijayakumar |
|
Designation : |
Chairman |
|
Date of Birth/Age : |
22.01.1953 |
|
Qualification : |
B. Sc. |
|
Date of Appointment : |
07.06.2006 |
|
DIN No.: |
00015583 |
|
|
|
|
Name : |
Mr. V. Rajvirdhan |
|
Designation : |
Executive Director |
|
|
|
|
Name : |
Mr. K.N.V. Ramani |
|
Designation : |
Director |
|
Date of Birth/Age : |
05.10.1931 |
|
Qualification : |
M.A., B.L. |
|
Date of Appointment : |
09.01.2008 |
|
DIN No.: |
00007931 |
|
|
|
|
Name : |
Mr. P. Shanmugasundaram |
|
Designation : |
Director |
|
Date of Birth/Age : |
10.08.1948 |
|
Qualification : |
B. Com., LLB., FCA. |
|
Date of Appointment : |
04.04.2008 |
|
DIN No.: |
00119411 |
|
|
|
|
Name : |
Mr. P.V. Ramakrishnan |
|
Designation : |
Director |
|
Date of Birth/Age : |
05.01.1959 |
|
Qualification : |
B.E. |
|
Date of Appointment : |
04.04.2008 |
|
DIN No.: |
00013441 |
|
|
|
|
Name : |
Mr. Rajiv Parthasarathy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Harsha Lakshmikanth |
|
Designation : |
Director |
|
Date of Birth/Age : |
24.08.1977 |
|
Qualification : |
B.E., M.S. |
|
Date of Appointment : |
09.05.2008 |
|
DIN No.: |
02238793 |
|
|
|
|
Name : |
Mr. K. Karthik |
|
Designation : |
Whole time Director |
|
Date of Birth/Age : |
20.04.1975 |
|
Qualification : |
B.E., PGDFT, MPIB. |
|
Date of Appointment : |
30.01.2014 |
|
DIN No.: |
06846794 |
|
|
|
|
Name : |
Ms. Aishwarya Rao |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. B. Hariganesh |
|
Designation : |
Company Secretary |
|
Name : |
Mr. Elangovan |
|
Designation : |
Accounts Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.06.2015
|
Category of Shareholder |
Total No. of Shares |
As a % of
(A+B+C) |
|
|
|
|
|
(A) Shareholding
of Promoter and Promoter Group |
||
|
|
|
|
|
|
43146215 |
28.76 |
|
|
53166395 |
35.44 |
|
|
96312610 |
64.21 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
96312610 |
64.21 |
|
(B) Public
Shareholding |
||
|
|
|
|
|
|
16020 |
0.01 |
|
|
9500 |
0.01 |
|
|
25520 |
0.02 |
|
|
|
|
|
|
3313052 |
2.21 |
|
|
|
|
|
|
31636968 |
21.09 |
|
|
14781063 |
9.85 |
|
|
3932338 |
2.62 |
|
|
50058 |
0.03 |
|
|
2113871 |
1.41 |
|
|
344175 |
0.23 |
|
|
1424234 |
0.95 |
|
|
53663421 |
35.78 |
|
Total Public
shareholding (B) |
53688941 |
35.79 |
|
Total (A)+(B) |
150001551 |
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) |
150001551 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of high volume Auto, Electrical and Transmission forged components. |
|
|
|
|
Products : |
|
|
|
|
|
Brand Names : |
Not Available |
|
|
|
|
Agencies Held : |
Not Available |
|
|
|
|
Exports : |
Not Available |
|
|
|
|
Imports : |
Not Available |
|
|
|
|
Terms : |
|
|
Selling : |
Cash and Credit (30,60,90, Days) |
|
|
|
|
Purchasing : |
Cash and Credit (30,60,90, Days) |
GENERAL INFORMATION
|
No. of Employees : |
400(Approximately) |
|||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
|
|||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
(Rs.
In Million)
Notes: LONG TERM
BORROWINGS Rupee Term loan from ICICI Bank carries interest @ base rate plus 3.25% (i.e. 13.25 % p.a.), payable on monthly basis. The loan is repayable in 11 quarterly installments of Rs.25.000 Million each. The loan is secured by way (a) hypothecation(first charge) of whole movable properties including its movable plant and machinery, machinery spares, tools and accessories and other movable asset (except current assets), both present and future located at Belagola Industrial Area, Hebbal village, Mysore (Hot forging unit),Pillaiappanpalayam, Coimbatore (Hot and Warm forging unit) and Kondayampalayam, Coimbatore(Cold forging unit); and (b) first charge by way of deposit of title deeds in respect of immovable properties situated at (i) Kariyampalayam Village, Pillaiappanpalayam, Coimbatore; and (ii) Hebbal Village, Kasaba Hobli, Mysore. Loan is further secured by corporate guarantee of M/s. L.G. Balakrishnan and Bros Limited. SHORT TERM
BORROWINGS Working Capital/ Cash Credit loan from Axis Bank carries interest @ 13.25% p.a and are secured by first pari passu charge on entire current assets and second pari passu charge on the entire movable fixed assets of the Company, both present and future. Working Capital/Cash Credit loan from Corporation Bank carries interest @ 14.85% p.a. and are secured by: (i) pari passu materials, first charge on entire stock of raw materials, work-in-process, finished goods including goods held for exports, stores and spares, book debts and other chargeable current assets of the Company; and (ii) pari passu second charge on the entire fixed assets of the Company. Working Capital/Cash Credit loan from ICICI Bank carries interest @ 13.00 % p.a. and are secured by first charge by way of hypothecation of the Company’s entire stock of raw materials, semi finished and finished goods, consumable stores and spares and such other movables including book debts, bills whether documentary or clean, outstanding monies, receivables, both present and future, ranking pari passu with other participating banks (viz., Andhra Bank, Corporation Bank, Axis bank). Working Capital/Cash Credit loan from IDBI bank carries interest @ 14.50% and are secured by pari passu first charge over the current assets of the Company. Collateral second pari passu charge over the fixed assets of the Company except those that are exclusively charged to term lenders. Working Capital/Cash Credit loan from Andhra Bank carries interest @ 15.50% p.a and are secured by pari passu first charge on all current assets of the company such as stock of raw materials, semi-finished goods, finished goods, packing materials and book debts. |
|
Statutory Auditors
: |
|
|
Name : |
Haribhakti and Company Chartered Accountants |
|
Address : |
Shree Shanmugappriya”, 2nd Floor, 454, Ponnaiyan Street, Cross Cut Road, Gandhipuram, Coimbatore – 641012, Tamilnadu, India |
|
Tel. No.: |
91-422-2237793/ 2238793 |
|
|
|
|
Cost Auditor : |
|
|
Name : |
G.L. Sankaran Cost Accountants |
|
Address : |
82, EB Colony, Vadavalli,
Coimbatore – 641 041, Tamilnadu, India |
|
Tel. No.: |
91-422-2400767 |
|
|
|
|
Others :
(Enterprise over which key management personnel are able to exercise
significant influence) : |
|
CAPITAL STRUCTURE
As on 31.03.2015
Authorised Capital : Not Available
Issued, Subscribed & Paid-up Capital : Rs. 150.002
Million
As on: 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
170000000 |
Equity Shares |
Rs.1/- each |
Rs.170.000 Million |
|
300000 |
Redeemable Preference Shares |
Rs.100/- each |
Rs.30.000 Million |
|
|
|
|
|
|
|
Total |
|
Rs.200.000
Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
150001551 |
Equity Shares |
Rs.1/- each |
Rs.150.002 Million |
|
|
|
|
|
a. Terms/Rights
attached to Equity shares
The Company has one class of issued shares referred to as equity shares having a par value of ` 1. Each holder of equity shares is entitled to one vote per share. The dividend proposed by the board of Directors, if any, is subject to the approval of shareholders in Annual General Meeting. In the event of liquidation of the Company the holder of the equity shares will be entitled to receive remaining assets of the Company after settlement of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the equity shareholders.
b. Reconciliation of
the number of Shares outstanding and the amount of Share Capital as at March
31, 2014 and March 31, 2013.
|
Particular |
As at 31.03.2014 |
|
|
Equity shares
(Issued Capital) |
In numbers |
Rs. In Million |
|
Shares outstanding at the beginning of the
year |
150001551 |
150.002 |
|
Shares Issued during the year |
- |
- |
|
Shares bought back during the year |
- |
- |
|
Shares outstanding at the end of the year |
150001551 |
150.002 |
c. Details of Shareholders
holding more than 5% shares in the Company :
|
Particular |
As at 31.03.2014 |
|
|
Name of Shareholder |
No. of Shares held |
% of Holding |
|
L.G. Balakrishnan and Bros Limited |
29000000 |
19.33 |
|
V. Rajsri |
15000000 |
10.00 |
|
B. Vijayakumar |
15000000 |
10.00 |
|
V. Rajvirdhan |
10500000 |
7.00 |
|
Elgi Automotive Services Private Limited |
8437950 |
5.63 |
d. There are no bonus shares, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceeding the reporting date.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
150.002 |
150.002 |
150.002 |
|
(b) Reserves & Surplus |
(35.494) |
(22.555) |
(53.262) |
|
(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) |
114.508 |
127.447 |
96.740 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
75.000 |
175.000 |
278.275 |
|
(b) Deferred tax liabilities
(Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
0.610 |
0.023 |
0.000 |
|
Total
Non-current Liabilities (3) |
75.610 |
175.023 |
278.275 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
142.644 |
79.216 |
139.710 |
|
(b) Trade payables |
174.694 |
116.487 |
130.910 |
|
(c) Other current liabilities |
133.451 |
140.671 |
151.809 |
|
(d) Short-term provisions |
0.000 |
0.000 |
0.000 |
|
Total
Current Liabilities (4) |
450.789 |
336.374 |
422.429 |
|
|
|
|
|
|
TOTAL |
640.907 |
638.844 |
797.444 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
147.197 |
193.820 |
318.990 |
|
(ii) Intangible Assets |
0.000 |
0.365 |
0.611 |
|
(iii) Capital work-in-progress |
0.000 |
0.000 |
3.657 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
11.061 |
11.442 |
12.792 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total
Non-Current Assets |
158.258 |
205.627 |
336.050 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
164.868 |
179.703 |
184.242 |
|
(c) Trade receivables |
284.890 |
239.389 |
258.877 |
|
(d) Cash and cash equivalents |
0.901 |
0.349 |
0.468 |
|
(e) Short-term loans and
advances |
31.990 |
13.776 |
13.307 |
|
(f) Other current assets |
0.000 |
0.000 |
4.500 |
|
Total
Current Assets |
482.649 |
433.217 |
461.394 |
|
|
|
|
|
|
TOTAL |
640.907 |
638.844 |
797.444 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
SALES |
|
|
|
|
|
Income |
801.626 |
865.441 |
1080.097 |
|
|
Other Income |
24.691 |
21.407 |
31.562 |
|
|
TOTAL
|
826.317 |
886.848 |
1111.659 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
393.490 |
434.867 |
531.581 |
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
(5.095) |
3.320 |
(6.073) |
|
|
Employees benefits expense |
102.103 |
90.472 |
99.988 |
|
|
Other expenses |
274.185 |
272.735 |
347.602 |
|
|
Exceptional items |
(18.732) |
(86.252) |
6.537 |
|
|
TOTAL
|
745.951 |
715.142 |
979.635 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
80.366 |
171.706 |
132.024 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
42.700 |
60.884 |
78.782 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
37.666 |
110.822 |
53.242 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION |
39.045 |
80.115 |
96.847 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
(1.379) |
30.707 |
(43.605) |
|
|
|
|
|
|
|
Less |
TAX |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
(1.379) |
30.707 |
(43.605) |
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(399.941) |
(430.648) |
(387.043) |
|
|
|
|
|
|
|
|
BALANCE
CARRIED TO THE B/S |
(401.320) |
(399.941) |
(430.648) |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
0.000 |
116.033 |
145.042 |
|
|
TOTAL
EARNINGS |
0.000 |
116.033 |
145.042 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
(0.00) |
0.20 |
(0.30) |
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current Maturities of Long term debt |
N.A |
140.671 |
151.809 |
|
Cash generated from operations |
N.A |
N.A |
N.A |
|
Net cash flow from operations |
N.A |
175.613 |
102.494 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
PAT / Total Income |
(%) |
(0.17) |
3.55 |
-4.04 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.03 |
19.84 |
12.22 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(0.22) |
4.81 |
-5.49 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.01) |
0.24 |
-0.45 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.90 |
3.10 |
5.89 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.07 |
1.29 |
1.09 |
STOCK
PRICES
|
Face Value |
Rs. 1.00/- |
|
Market Value |
Rs. 5.85/- |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Share Capital |
150.002 |
150.002 |
150.002 |
|
Reserves & Surplus |
(53.262) |
(22.555) |
(35.494) |
|
Net
worth |
96.740 |
127.447 |
114.508 |
|
|
|
|
|
|
long-term borrowings |
278.275 |
175.000 |
75.000 |
|
Short term borrowings |
139.710 |
79.216 |
142.644 |
|
Current maturities of
long-term debts |
151.809 |
140.671 |
0.000 |
|
Total
borrowings |
569.794 |
394.887 |
217.644 |
|
Debt/Equity
ratio |
5.890 |
3.098 |
1.901 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
1080.097 |
865.441 |
801.626 |
|
|
|
(19.874) |
(7.374) |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
1080.097 |
865.441 |
801.626 |
|
Profit |
(43.605) |
30.707 |
(1.379) |
|
|
(4.04)% |
3.55% |
(0.17)% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
Yes |
|
8 |
Designation of contact person |
Yes |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
Yes |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
PERFORMANCE OF THE COMPANY
During the year, the Company’s Gross Revenue is Rs. 886.848 Million [Previous Year: Rs. 1111.659 Million]. Gross Profit / (Loss) before interest, depreciation and tax amounted to Rs. 85.454 Million [Previous Year (Rs. 138.561 Million]. The Net profit stood at Rs. 30.707 Million [Previous Year Net Loss Rs. 43.605 Million].
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
INDUSTRY STRUCTURE
AND DEVELOPMENT:
Current year forging industry is likely to see a marginal fall in production this fiscal from last year’s level following tepid off-take from its principal customer - the automotive sector. The non-automotive sector will continue its characteristic purchase pattern with both indigenous and export related markets.
OPPORTUNITIES:
During the Year 2013-2014, LGB Forge Limited had systematically identified and executed cost control measures. These measures implemented during the last years have helped the company grow on a much leaner cost structure with less reliance on power, aiding the ability for the company to concentrate on diverse portfolios. Indian auto Industry is expected continue to show same growth rates against previous year estimates but is expected to show an upward trend during 2014-2015, with the new government formation as a growth indicator. With these Positive indicators LGB Forge Limited growth opportunities are encouraging in the coming years.
UNSECURED LOAN
(Rs. In Million)
|
Particular |
As on 31.03.2015 |
As on 31.03.2014 |
|
LONG TERM BORROWINGS |
|
|
|
|
|
|
|
Sales tax deferral scheme loan |
|
0.000 |
|
Loans and Advances
from related parties |
|
|
|
Tribe Investments and Services Private Limited |
|
0.000 |
|
|
|
|
|
Total |
N.A |
0.000 |
Notes:
- Interest free Sales tax deferral scheme loan in respect of Karnataka Sales Tax amounting to Rs. 10.438 Million and Karnataka VAT amounting to Rs. 5.623 Million, is repayable in 1 half yearly installment of Rs. 1.044 Million and Rs. 0.562 Million respectively ending with June 2014.
- Intercorporate deposit of Rs. 5.000 Million received from M/s. Tribe Investments and Services Private Limited carries interest @ 14% p.a and is repayable in 2 quarterly installments of Rs. 0.833 Million. Interest is payable on monthly basis.
CONTINGENT
LIABILITIES
(Rs. In Million)
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
|
Guarantee given by Bankers and outstanding |
5.000 |
15.000 |
|
Estimated amount of contracts remaining to be executed on Capital Accounts and not provided for (Net after advance payments) |
0.705 |
0.730 |
|
Letter of Credits |
26.193 |
10.244 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10323875 |
10/05/2012 * |
50,000,000.00 |
YES BANK LIMITED |
9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA, DR. ANNIE BESANT ROAD, WORLI, MUMBAI, MAHARASHTRA - 400018, INDIA |
B42801993 |
|
2 |
10275761 |
19/05/2011 * |
400,000,000.00 |
ICICI BANK LIMITED |
1090, CHERAN PLAZA, TRICHY ROAD, COIMBATORE, TAMIL NADU - 641018, INDIA |
B12953527 |
|
3 |
10134474 |
12/12/2008 |
120,000,000.00 |
IDBI Bank |
COIMBATORE BRANCH, 72, MAYFLOWER 'E' CASTLE, DR. BALASUNDARAM ROAD, OFF AVINASHI ROAD, COIMBATORE, TAMIL NADU - 641018, INDIA |
A53189908 |
|
4 |
10120630 |
11/02/2013 * |
70,000,000.00 |
Axis Bank Limited |
"VIGNESHWAR CRESTA" 1095, AVANASHI ROAD, PAPPANAI CKENPALAYAM, COIMBATORE, TAMIL NADU - 641037, INDIA |
B72339732 |
|
5 |
10115363 |
04/09/2008 * |
90,000,000.00 |
ICICI BANK LIMITED |
CHERAN PLAZA, I FLOOR, 1090, TRICHY ROAD, COIMBAT ORE, TAMIL NADU - 641018, INDIA |
A48976534 |
* Date of charge modification
FIXED ASSETS
Tangible Assets
- Land
- Buildings
- Plant and Machinery
- Furniture and Fixtures
- Vehicles
- Office equipment
- Data Processing machine
- Electrical installation
- Pipeline fitting
- Lab equipment
- Fire equipment
- Canteen Equipments
- Tools and Die sets
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.64.00 |
|
|
1 |
Rs.99.83 |
|
Euro |
1 |
Rs.70.16 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRP |
|
|
|
|
Analysis Done by
: |
KSH |
|
|
|
|
Report Prepared
by : |
RKI |
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 |
|
--PROFITABILITY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
- |
|
--CREDIT LINES |
1~10 |
3 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
30 |
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.