MIRA INFORM REPORT

 

 

Report No. :

336529

Report Date :

17.08.2015

 

IDENTIFICATION DETAILS

 

Name :

SHALIMAR STEEL PVT. LTD.

 

 

Registered Office :

Birgunj, Adarshanagar Parsa, Birgung

 

 

Country :

Nepal

 

 

Financials (as on) :

15.07.2013

 

 

Date of Incorporation :

16.12.1982

 

 

Legal Form :

Public limited company

 

 

Line of Business :

Manufacturer of MS Bars, CTD Bars, Angles, Channel

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate 

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

 

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)

Nepal

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

NEPAL - ECONOMIC OVERVIEW

 

Nepal is among the poorest and least developed countries in the world, with about one-quarter of its population living below the poverty line. Nepal is heavily dependent on remittances, which amount to as much as 22%-25% of GDP. Agriculture is the mainstay of the economy, providing a livelihood for more than 70% of the population and accounting for a little over one-third of GDP. Industrial activity mainly involves the processing of agricultural products, including pulses, jute, sugarcane, tobacco, and grain. Nepal has considerable scope for exploiting its potential in hydropower, with an estimated 42,000 MW of commercially feasible capacity, but political uncertainty and a difficult business climate have hampered foreign investment. Additional challenges to Nepal's growth include its landlocked geographic location, persistent power shortages, underdeveloped transportation infrastructure, civil strife and labor unrest, and its susceptibility to natural disaster. The lack of political consensus in the past several years has delayed national budgets and prevented much-needed economic reform, although the government passed a full budget in 2013 and 2014. Nepal and India signed trade and investment agreements in 2014 that will increase Nepal’s hydropower potential.

 

Source : CIA

 

 


Company name and address

 

Shalimar Steel Pvt. Ltd.


Birgunj, Adarshanagar
Parsa, Birgung, Nepal,
Phone: 051-521024
Fax: 00977-51-522893

 

 

History     

 

It is a public limited company incorporated at Kathmandu under His Majesty  Govt.

Act No.99332 of 16.12.1982

 

 

Directors  

 

1.         Mr. Bijay Singh Vaidya             

2.         A. K. Kotharia

3.         Suhas Singh Vaidya

                       

 

Bankers

 

1.             Nepal Indo-Swiss Bank Limited, Kathmandu (Nepal)

2.             Nepal Bank Ltd., Kathmandu (Nepal)

3.             Nepal Grindlays Bank, Kathmandu (Nepal)

4.             Nepal Banijya Bank, Kathmandu (Nepal)

 

 

Auditors    

 

M/B K Agarwal & Co., Putli Sadak., Kathmandu (Nepal)

 

 

Business

           

Manufacturer of MS Bars, CTD Bars, Angles, Channel.

 

 

 

Financial

                                               

BALANCE SHEET AS AT 15th JULY, 2013

 

LIABILITIES

NP. RUPEES

ASSETS

NP. RUPEES

Authorised Capital

60,000,000

Fixed Assets

63,913,740

Paid up Capital

49,787,500

Cap. Work in Progress

1,080,852

Reserve & Surplus

11,331,261

Current Assets

49,674,391

Secured Loans

50,337,942

Deferred Tax Net

99,000

Unsecured Loans

3,348,332

Miscns. Expenses

37,052

Total Nep. Rs.

114,805,035

Total Nep. Rs.

114,805,035

 

Sales                            :           Nep Rs.77,014,028/-

Profit of this year          :           Nep Rs.  7,075,182/-

Deferred Tax Adjust      :           Nep Rs.   1,270,344/-

Net Profit                      :           Nep Rs.      331,261/-

 

Remarks :         Well established, respectable and reputed concern. Payments are reported to be correct and regular as per commitments.  Trade relations are fair. Consider good for normal business engements.

.

 

INFORMATION denied BY

 

Name :

Mr.Prakash Bohara

Designation :

Finance Department

Contact No.:

977-51-521024

Date :

13.08.2015


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.12

UK Pound

1

Rs.101.62

Euro

1

Rs.72.56

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

TRU

 

               

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 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%)

 

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