MIRA INFORM REPORT

 

 

Report No. :

337484

Report Date :

22.08.2015

 

IDENTIFICATION DETAILS

 

Name :

ORCHID CHEMICALS AND PHARMACEUTICALS LIMITED

 

 

Registered Office :

‘Orchid Towers’, 313, Valluvar Kottam High Road, Nungambakkam, Chennai – 600 034, Tamilnadu

Tel No.:

91-44-28244702 / 44-28211000 / 28230000

 

 

Country :

India

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

01.07.1992

 

 

Com. Reg. No.:

18-022994

 

 

Capital Investment / Paid-up Capital :

Rs.852.619 Million

 

 

CIN No.:

[Company Identification No.]

L24222TN1992PLC022994

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CHEO03079G

CHEO00121C

 

 

Legal Form :

A Public Limited Liability company. The company’s Shares are Listed on the Stock Exchange.

 

 

Line of Business :

Manufacturer and Seller of Pharmaceutical Products and Bulk Drugs.

 

 

No. of Employees :

2800 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca (20)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Exist

 

 

Comments :

Subject is an established company having moderate track record.

 

For the financial year ended 2015, the company has incurred huge losses from its operational activities.

 

Further, rating remain constrained on account of company’s weak financial position marked by low net worth base and leverage balance sheet profile of the company.

 

Moreover, it is also to be noted that the company is listed with RBI defaulter and defaulted hefty amount with three major banks namely ING Vysya Bank Limited, Kotak Mahindra Bank and State of Hyderabad,

 

However, business is active. Payment terms are reported to be slow.

 

In view of the weak financial and listed in RBI defaulters, the company can be considered for business dealings under safe and secure trade terms and conditions.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

 

ECGC Country Risk Classification List – 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

CARE

Rating

Long Term Bank Facilities B-

Rating Explanation

Have risk – prone credit quality and carries very high credit risk

Date

13.04.2015

 

Rating Agency Name

CARE

Rating

Short Term Bank Facilities A4

Rating Explanation

Have minimal degree of safety and carry very high credit risk.

Date

13.04.2015

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name has been found enlisted as a defaulter in the publicly available RBI Defaulters’ list and the details of the same are as under :

 

 

Bank

Branch

Quarter

Borrower Name

Directors Name

Outstanding Amount (Rs. in Million)

ING VYSYA BANK LIMITED

Mount Road

30.06.2014

Orchid Chemicals And Pharmaceuticals

SUNDARAM YUVARAJ, KAILASAM RAG

545.521

ING VYSYA BANK LIMITED

Mount Road

30.09.2014

Orchid Chemicals And Pharmaceuticals

KAILASAM RAGHVENDRA RAOD SUB

576.001

ING VYSYA BANK LIMITED

Mount Road

30.12.2014

Orchid Chemicals

KAILASAM RAGHVENDRA RAOD SUB

606.928

ING VYSYA BANK LIMITED

Mount Road

30.12.2014

Orchid Chemicals And Pharmaceuticals

KAILASAM RAGHVENDRA 639.722RAOD SUB 673.652

606.928

ING VYSYA BANK LIMITED

Mount Road

31.03.2015

Orchid Chemicals

KAILASAM RAGHVENDRA RAOD SUB

639.722

KOTAK MAHINDRA BANK

Mount Road

30.06.2015

ORCHID CHEMICALS

KAILASAM RAGHVENDRA RAOD SUB

673.652

 

 

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 DENIED BY

 

Name :

Mr. Lakshmishankar Chandrasekhar

Designation :

Chief Executive Officer

Contact No.:

91-44-28230000

 

 

LOCATIONS

 

Registered/ Corporate Office :

‘Orchid Towers’, 313, Valluvar Kottam High Road, Nungambakkam, Chennai – 600 034, Tamilnadu, India

Tel. No.:

91-44-28251532/ 28251547/ 28284776/ 28211000/ 28230000

Fax No.:

91-44-28284983/ 28211002

E-Mail :

orchid@giasmd01.vsnl.net.in

corporate@orchidpharma.com

Website :

http://www.orchidpharma.com

 

 

Head Office :

‘Orchid Towers’, 152, Village Road, Nungambakkam, Chennai – 600 034, Tamilnadu, India

 

 

Factory 1 (API Facilities) :

Alathur Works

Plot Nos.85-87, 98-100, 126-131, 138-151 and 159-164, SIDCO Industrial Estate, Alathur, Kancheepuram District – 603110, Tamilnadu, India

Tel. No.:

91-44-27446402/ 403/ 205/ 206/ 320

Fax No.:

91-44-27446321

 

 

Factory 2 (API Facilities) :

Aurangabad Works

L-8 and L-9, MIDC Industrial Area, Waluj, Aurangabad  District – 431136, Maharashtra, India

Tel. No.:

91-240-2554992/ 993/ 994

Fax No.:

91-240-2554968

 

 

Factory 3 (Formulations) :

Plot Nos.B5 (Part) and B6 (Part), SIPCOT Industrial Park, Irungattukottai Sriperumbudur (Tk.), Pin 602 105, Tamilnadu, India

 

 

Factory 4  (Engineering Markets) :

Plot Nos. A-10, A-11, SIDCO Industrial Estate, Alathur, Kancheepuram Dist. – 603 110, Tamilnadu, India

Tel. No.:

91-44-27446909

Fax No.:

91-44-27446657

 

 

Factory 5  (Engineering Markets) :

B-77, SIDCO Industrial Estate, Alathur, Kancheepuram Dist, Pin 603 110, Tamilnadu, India

 

 

Research and Development Centre

Plot No.476/14, Old Mahabalipuram Road, Shozhanganallur Chennai - 600 119, Tamilnadu, India

 

 

 

 

DIRECTORS

 

As on: 30.09.2013

 

Name :

Mr. K. Raghavendra Rao

Designation :

Chairman and Managing Director

Qualification :

B.Com., PGDM (IIM-A), ACS, AICWAI

Date of Appointment :

13.07.1992

 

 

Name :

Ms Edna Braganza

Designation :

Chief Operating Officer – API

 

 

Name :

Mr M S Rangesh

Designation :

Chief Human Resources Officer

 

 

Name :

Mr. V.  Vijayendran

Designation :

Chief Executive – Domestic Formulations

 

 

Name :

Mr. S. Mani

Designation :

President – Process Research and SHandE

 

 

Name :

Mr. L. Chandrasekar

Designation :

Executive Vice President – Finance and Secretary

 

 

Name :

Mr. P. N Deshpande

Designation :

Executive Vice President – Manufacturing

 

 

Name :

Mr. V. S. Padalkar

Designation :

Senior Vice President – Engineering and Production

 

 

Name :

Dr. U. P. Senthil Kumar

Designation :

Senior Vice President – Process Research

 

 

Name :

Dr. J. Surya Kumar

Designation :

Senior Vice President – Formulation Development

 

 

Name :

Mr. Deepak M. B. Nayyar

Designation :

Vice President – Domestic Formulations

 

 

Name :

Mr. Sampath Parthasarathy

Designation :

Vice President – Domestic Formulations

 

 

Name :

Mr. A. Suresh Babu

Designation :

Head – Corporate Affairs

 

 

BOARD OF COMMITTEES :

(As on: 30.09.2013)

 

Audit Committee :

Mr. Deepak Vaidya, Chairman

Prof. Bala V Balachandran

Mr. Bharat D Shah

Mr. K Biju George

 

 

Compensation Committee:

 

Mr. K Raghavendra Rao, Chairman

Mr. Deepak Vaidya, Chairman

Mr. K Biju George

 

 

Remuneration Committee:

 

Mr. Deepak Vaidya, Chairman

Mr. Bharat D Shah

Mr. K Biju George

 

 

Allotment Committee:

Mr. K Raghavendra Rao, Chairman

Mr. S Krishnan

 

 

KEY EXECUTIVES

 

Name :

Mrs. Bhoomijha Murali

Designation :

Company Secretary 

 

 

MANAGEMENT TEAM:

(As on: 30.09.2013)

Name :

Dr. B. Gopalam

Designation :

Chief Scientific Office

 

 

Name :

Ms. Edna Braganza

Designation :

Chief Operating Officer - API

 

 

Name :

Mr. M S Rangesh

Designation :

Chief Human Resources Officer

 

 

Name :

Mr. Vijayendran

Designation :

Chief Executive – Domestic Formulation

 

 

Name :

Mr. S Mani

Designation :

Head API - Process Research

 

 

Name :

Dr. R Buchi Reddy

Designation :

Senior Vice President – Process Research

 

 

Name :

Mr. P N Deshpande

Designation :

Senior Vice President - Manufacturing

 

 

Name :

Mr. Shridhar Narayanan

Designation :

Executive Vice President – Biology

 

 

Name :

Mr. S Sridharan

Designation :

Senior Vice President – IT and IE

 

 

Name :

Mr. V S Padalkar

Designation :

Vice President - Projects and Maintenance

 

 

Name :

Mr. K V V Raju

Designation :

Vice President - Technical Operations

 

 

Name :

Dr. U P Senthil Kumar

Designation :

Senior Vice President – Process Research

 

 

Name :

Dr. Shashank Narayanrao

Designation :

Senior Vice President – Quality Lulay Assurance (Formulations)

 

 

Name :

Dr. C.V Srinivasan

Designation :

Senior Vice President – Medicinal Chemistry

 

 

Name :

Dr. J Surya Kumar

Designation :

Senior Vice President-Formulation Development

 

 

Name :

Mr. Deepak M B Nayyar

Designation :

Vice President - Domestic Formulations

 

 

Name :

Mr. Gurmeet Singh

Designation :

Vice President - Commercial

 

 

Name :

Mr. V C Nagaraj

Designation :

Vice President - Human Resources

 

 

Name :

Mr. Sampath Parthasarathy

Designation :

Vice President - Domestic Formulations

 

 

Name :

Mr. Srinivasa Rao Prerepa

Designation :

Vice President - RA and QA (API)

 

 

Name :

Mr. Suresh Babu

Designation :

Vice President – Corporate Affairs

 

 

BOARD OF COMMITTEES :

(As on 30.09.2013)

Audit Committee :
  • Shri K Biju George, Chairman
  • Shri S Krishnan
  • Shri S Yuvaraj

 

 

Compensation Committee:

 
  • Shri K Raghavendra Rao, Chairman
  • Shri K Biju George

 

 

Investor’s Grievance Committee
  • Shri S Krishnan, Chairman
  • Shri K Raghavendra Rao

 

 

Allotment Committee:

·         Mr. K Raghavendra Rao, Chairman

·         Mr. S Krishnan

 

 

Name :

Mr. Lakshmishankar Chandrasekhar

Designation :

Chief Executive Officer

 

 

MAJOR SHAREHOLDERS

 

As on: 30.06.2015

 

Category of Shareholder

Total No. of Shares

Total Shareholding as a % of Total No. of Shares

 

(A) Shareholding of Promoter and Promoter Group

http://www.bseindia.com/include/images/clear.gif(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifIndividuals / Hindu Undivided Family

19094457

23.28

http://www.bseindia.com/include/images/clear.gifBodies Corporate

18456125

22.50

http://www.bseindia.com/include/images/clear.gifSub Total

37550582

45.77

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

37550582

45.77

(B) Public Shareholding

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifMutual Funds / UTI

6076

0.01

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

315710

0.38

http://www.bseindia.com/include/images/clear.gifInsurance Companies

3134960

3.82

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

1007849

1.23

http://www.bseindia.com/include/images/clear.gifSub Total

4464595

5.44

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

15405251

18.78

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs. 0.100 Million

19443176

23.70

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs. 0.100 Million

4332047

5.28

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

839538

1.02

http://www.bseindia.com/include/images/clear.gifNon Resident Indians

824238

1.00

http://www.bseindia.com/include/images/clear.gifOverseas Corporate Bodies

300

0.00

http://www.bseindia.com/include/images/clear.gifOthers

15000

0.02

http://www.bseindia.com/include/images/clear.gifSub Total

40020012

48.78

Total Public shareholding (B)

44484607

54.23

Total (A)+(B)

82035189

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

http://www.bseindia.com/include/images/clear.gif(1) Promoter and Promoter Group

0

0.00

http://www.bseindia.com/include/images/clear.gif(2) Public

3226688

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

3226688

0.00

Total (A)+(B)+(C)

85261877

0.00

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturers and Sellers of Pharmaceutical Products and Bulk Drugs.

 

 

Products :

Products Description

ITC Code No.

 

 

 

Bulk Cephalosporin’s

2941.10

Pharma Products

3004.10

Other Bulk Drugs

2942.00

 

 

GENERAL INFORMATION

 

No. of Employees :

2800 (Approximately)

 

 

Bankers :
  • Allahabad Bank
  • Andhra Bank
  • Axis Bank Limited.
  • Bank of Baroda
  • Bank of India
  • Canara Bank
  • Central Bank of India
  • City Union Bank
  • Exim Bank
  • ICICI Bank Limited.
  • IDBI Bank Limited.
  • Indian Bank
  • Indian Overseas Bank
  • ING Vysya Bank
  • Punjab National Bank
  • State Bank of Hyderabad
  • State Bank of India
  • State Bank of Mysore
  • State Bank of Travancore
  • Union Bank of India

 

 

Facilities :

 

 

 

 

 

(Rs. In Millions)

Secured Loan

31.03.2015

As on

30.09.2013

Long Term Borrowings

 

Rupee Term loans

 

8902.813

Foreign currency Term loan

 

9988.819

Less:- Current maturities transferred to Current liabilities

 

(9873.820)

Short Term Borrowings

 

 

Other loans and advances

 

 

Working Capital Facilities / Borrowings

 

14348.953

Total

NA

23366.765

 

Long Term Borrowings

 

 

Repayment

terms Repayment

terms

Balance No of

installments due

Rate of interest

Amount

due @

Rupee Term Loan

Monthly

113

14.75% - 16.25%

19,920.87

 

Quarterly

67

14.75% - 16%

37,094.90

 

Lumpsum

2

16.20% - 16.50%

14,350.00

Foreign Currency Term Loan

Half yearly

10

LIBOR + 3.75%

31,305.00

 

Quarterly

98

LIBOR + 3 to 4.6%

66,022.38

 

@ amount due includes for all installments in the respective category

 

Notes to the Accounts as at 30.09.2013

Terms of repayment of loan- All Indian rupee loan from bank carries interest @14.75% to 16.25% p.a. These loans are repayable in 36 to 54 equivated monthly and 8 to 18 quarterly installments from the date of the origination. These loans are secured by Pari Passu charge by way of joint mortgage on immovable and movable assets situated at Factory premises at SIDCO Industrial Area, Alathur, MIDC Industrial Area, Aurangabad, SIPCOT Industrial Park, Irungattukottai and RandD premises at Sholinganallur and current assets, subject to prior charges created/ to be created on current assets in favour of bankers and financial institutions for securing working capital borrowings. Total term loans aggregating Rs 67,616.76 Million are additionally secured by personal guarantee of Shri K.Raghavendra Rao, Chairman and Managing Director of the Company.

 

Terms of repayment of loan- All Foreign Currency term loan carries interest @ LIBOR plus 3 to 4.6%. The loan is repayable in 8 to 24 quarterly and 10 half yearly installments from the date of the origination. These loans are secured by Pari Passu charge by way of joint mortgage on immovable and movable assets situated at Factory premises at SIDCO Industrial Area, Alathur, MIDC Industrial Area, Aurangabad, SIPCOT Industrial Park, Irungattukottai and RandD premises at Sholinganallur and current assets, subject to prior charges created/ to be created on current assets in favour of bankers and financial institutions for securing working capital borrowings. Total term loans aggregating Rs 66,022.38 Million are additionally secured by personal guarantee of Shri K. Raghavendra Rao, Chairman and Managing Director of the Company. The terms of the foreign currency term loan availed in February 2012 includes covenants pertaning to financial parameters such as limit on aggregate debt outstanding, debt service coverage ratio, ratio of net borrowings to EBDITA, Fixed assets coverage ratio, ratio of net borrowings to tangible networth etc., tested on the consolidated financial statements of the Company.

 

Short Term Borrowings

 

Packing Credit and Advances against bills from Banks and Working Capital Loans from Banks are secured by first charge on all current assets namely, Stocks of Raw materials, Semi-finished and Finished Goods, Stores and Spares not relating to Plant and Machinery (Consumable Stores and Spares), Bills Receivable, Book Debts and all other movable property both present and future excluding such movables as may be permitted by the Banks/ financial institutions from time to time and by second charge on immovable properties after charges created/ to be created on immovable assets in favour of Financial Institutions/Banks for securing Term Loans. The borrowings from banks are additionally secured by personal guarantee of Shri. K. Raghavendra Rao, Chairman and Managing Director of the Company.

 

 

 

 

Auditors :

 

Statutory Auditors

 

Name :

SNB Associates

Chartered Accountants

Address 1:

No. 12, 3rd Floor, Gemini Parsn Complex, 121, Anna Salai, Chennai – 600 006, Tamilnadu, India

Tel No.:

91-44-28224382

 

 

Address 2:

A-503, Sagar Tech Plaza, Near Saki Naka Signal Andheri Kurla Road, Andheri (East), Mumbai – 400072, Maharashtra, India

Tel No.:

91-22-28527551 / 65529767 / 65593571

 

 

Address 3 :

W-304, Sunrise Chambers, 22, Ulsoor Road, Bangalore – 560042, Karnataka,

 

 

Cost Auditor :

 

Name :

V. Kalyanaraman

Cost Accountants

Address:

No. 4 (Old No. 12), Second Street, North Gopalapuram, Chennai – 600 086, Tamilnadu, India

 

 

Subsidiaries :

(As on 30.09.2013)
  • Orchid Europe Limited, UK
  • Orchid Pharmaceuticals Inc., USA
  • Orgenus Pharma Inc. USA (Subsidiary of Orchid Pharmaceuticals Inc USA.)
  • Orchid Pharma Inc / Karalex Pharma USA, (Subsidiary of Orchid
  • Pharmaceuticals Inc, USA)
  • Orchid Pharmaceuticals SA (Proprietary) Limited, South Africa (OCPL, SA)
  • Bexel Pharmaceuticals Inc., USA
  • Diakron Pharmaceuticals Inc., USA
  • Orchid Pharma Singapore Pte Limited, Singapore

 

 

Associate

Allecra Therapeutics GmbH, Germany

 

 

CAPITAL STRUCTURE

 

As on 31.03.2015

 

Authorised Capital : Not Available

 

Issued, Subscribed & Paid-up Capital : Rs. 852.619 Million

 

 

As on: 19.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

150000000

Equity Shares

Rs.10/- each

Rs.1500.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

85261900

Equity Shares

Rs.10/- each

Rs.852.619 Million

 

 

 

 

 

 

As on: 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

150000000

Equity Shares

Rs.10/- each

Rs.1500.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

70452076

Equity Shares

Rs.10/- each

Rs.704.521 Million

 

 

 

 

 

Of the above 17,376,940 Equity shares of Rs10/- each were allotted as fully paid bonus shares by capitalisation of reserves.

 

The reconciliation of the number of shares outstanding as at March 31, 2012 and March 31, 2011 is set out below:

 

Particular

31.09.2013

 

 

Number of shares at the beginning

70442076

Add: Allotment on exercise of ESOP

10000

Number of shares at the end

70452076

 

The details of shareholder holding more than 5% shares is set out below:

 

 

As on: 30.09.2013

Name of the Shareholder

No of shares

% held

K Raghavendra Rao

6925173

9.83

R Vijayalakshmi

6821155

9.61

Orchid Healthcare Private Limited

3646324

5.18

Serum Institute of India

5701524

8.09

 

 

a)     ORCHID ESOP 2010 SCHEME

 

 In terms of the resolution passed by the Company at the AGM dated July 21, 2010 the shareholders approved the scheme formulated under “ORCHID-ESOP 2010” for allotting 10,00,000 options. Accordingly 9,01,000 options were granted to the eligible Employees and the Executive Director except the Promoter Director by the Compensation Committee of the Board of Directors at a meeting held on October 28, 2010. Each option is convertible into one equity share of Rs 10/- each at a price of Rs 329.55 per share, being the closing share price of Orchid in the National Stock Exchange on October 27, 2010, the day prior to the date of the meeting. Considering the fall in the price of the shares of the Company and in the interest of the employees, the Compensation Committee of the Board of Directors at its meeting held on November 1, 2011 considered repricing of 8,64,500 options in force on the said date from Rs 329.55 to Rs 166.15 as per the closing share price of Orchid at National Stock Exchange on October 31, 2011. Out of the total options granted 381,500 options have already lapsed and the remaining granted options in force as at September 30, 2013 under ORCHID ESOP 2010 Scheme are 509,500. The one year vesting period for the scheme ended on October 27, 2011 and the employees can exercise their right to convert the options into equity shares from October 28, 2011 onwards. The options will lapse on October 28, 2013, if they are not exercised within a period of 2 years from the date of vesting of options. As at September 30, 2013, only 10000 options have been exercised and converted in to equity shares.

 

b)    ORCHID ESOP – DIRECTORS 2011 SCHEME

 

 In terms of the resolution passed by the Company at the AGM held on July 29, 2011 the shareholders   approved a scheme formulated as “ORCHID ESOP – DIRECTORS 2011 SCHEME” for allotting 5,00,000 options     to Directors of the Company. Accordingly 3,00,000 options were granted to the Directors of the Company including the Whole Time Director but excluding the Promoter Director, by the Compensation Committee of the Board of Directors at a meeting held on November 1, 2011. Each option is convertible into one equity share of Rs 10/- each at a price of Rs 166.15 per share, being the closing share price of Orchid in the National Stock Exchange Limited on October 31, 2011, the day prior to the date of the meeting. Out of the total options granted, 200,000 options have already lapsed and 100,000 options are in force as at September 30, 2013 under ORCHID ESOP - DIRECTORS 2011 Scheme

 

c)     ORCHID ESOP – SENIOR MANAGEMENT 2011 SCHEME

 

In terms of the resolution passed by the Company at the AGM held on July 29, 2011 the shareholders approved a scheme formulated as “ORCHID ESOP – SENIOR MANAGEMENT 2011 SCHEME” for allotting 10,00,000 options to senior employees of the Company out of which 7,50,000 options will be granted to the employees of the Company and 2,50,000 options will be granted to the employees of its subsidiary companies. Accordingly 42,700 options were granted to the Employees of the Company by the Compensation Committee of the Board of Directors at a meeting held on November 01, 2011. Each option is convertible into one equity share of Rs 10/- each at a price of Rs 10/- each (i.e. At Par). 42,700 options are in force as at September 30, 2013 under ORCHID ESOP – SENIOR MANAGEMENT 2011 Scheme.

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

.

 

SOURCES OF FUNDS

 

31.03.2015

(18 month)

30.09.2013

(18 Month)

31.03.2012

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

852.619

704.521

704.421

(b) Reserves & Surplus

3541.336

4177.133

10758.675

(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)

4393.955

4881.654

11463.096

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

24942.399

9017.812

10741.470

(b) Deferred tax liabilities (Net)

1113.930

1578.878

1711.834

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

41.794

52.398

77.197

Total Non-current Liabilities (3)

26098.123

10649.088

12530.501

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

5809.240

15248.948

6378.832

(b) Trade payables

3615.675

5616.686

4039.737

(c) Other current liabilities

1120.874

10524.029

4065.462

(d) Short-term provisions

121.800

311.718

508.910

Total Current Liabilities (4)

10667.589

31701.381

14992.941

 

 

 

 

TOTAL

41159.667

47232.123

38986.538

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

19786.115

24441.653

18841.367

(ii) Intangible Assets

0.000

386.451

472.027

(iii) Capital work-in-progress

0.000

3322.070

3270.908

(iv) Intangible assets under development

0.000

282.092

233.435

(b) Non-current Investments

1246.470

1241.762

1489.029

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

5801.350

5110.169

1678.268

(e) Other Non-current assets

1258.367

931.044

883.815

Total Non-Current Assets

28092.302

35715.241

26868.849

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

2422.783

5000.801

6235.991

(c) Trade receivables

2501.127

1836.969

913.093

(d) Cash and cash equivalents

3895.665

223.952

1695.851

(e) Short-term loans and advances

3197.790

4455.160

3272.754

(f) Other current assets

1050.000

0.000

0.000

Total Current Assets

13067.365

11516.882

12117.689

 

 

 

 

TOTAL

41159.667

47232.123

38986.538

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2015

(18 month)

30.09.2013

(18 Month)

31.03.2012

 

SALES

 

 

 

 

 

Income

17537.260

19065.845

17363.306

 

 

Other Income

8.390

397.694

558.117

 

 

TOTAL                                     (A)

17545.650

19463.539

17921.423

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

8222.605

8224.639

8024.150

 

 

Purchases of Stock-in-Trade

27.739

509.937

454.638

 

 

Changes in inventories of finished goods, work-in-progress and Stock-in-Trade

(437.037)

848.103

(620.186)

 

 

Employees benefits expense

1853.486

2370.513

1546.459

 

 

Other expenses

4256.512

5814.183

4399.069

 

 

Exceptional Items

1572.630

(511.108)

838.814

 

 

Extraordinary Items

0.000

0.000 

(800.000)

 

 

TOTAL                                     (B)

15495.935

17256.267

13842.944

 

 

 

 

 

 

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

2049.715

2207.272

4078.479

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

5370.087

5203.806

1790.529

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

(3320.372)

(2996.534)

2287.950

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

3213.724

2438.687

1490.556

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

(6534.096)

(5435.221)

797.394

 

 

 

 

 

Less

TAX                                                                  (H)

(4623.696)

(132.956)

(233.722)

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

(1910.400)

(5302.265)

1031.116

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

 

1280.641

600.939

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Excess provision of dividend and tax thereon of earlier year written back

NA

0.000

 

 

Transfer to General Reserve

 

NA

600.000

 

 

Proposed Dividend

 

NA

(248.586)

 

 

Tax on Dividend

 

NA

0.000

 

BALANCE CARRIED TO THE B/S

NA

NA

1280.641

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

F.O.B Value of Imports

 

7377.570

8466.593

 

 

Export Earnings

 

135.747

461.797

 

TOTAL EARNINGS

NA

7513.317

8928.390

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

 

4157.735

45945.516

 

 

Stores & Spares

 

51.205

189.484

 

 

Capital Goods

 

197.159

2304.970

 

TOTAL IMPORTS

NA

4406.099

48439.97

 

 

 

 

 

 

Earnings Per Share (Rs.)

(63.10)

(75.26)

14.46

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2015

(18 month)

30.09.2013

(18 Month)

31.03.2012

Current Maturities of Long term debt

NA

9873.820

2840.131

Cash generated from operations

NA

1749.100

7927.028

Net cash flow from operating activity

NA

1749.100

7638.981

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2015

(18 month)

30.09.2013

(18 Month)

31.03.2012

Net Profit Margin
(PAT / Sales)

(%)

(10.89)

(27.81)

5.94

 

 

 

 

 

Operating Profit Margin
(PBIDT/Sales)

(%)

11.69

11.58

23.49

 

 

 

 

 

Return on Total Assets (PBT/Total Assets}

(%)

(16.37)

(12.82)

2.35

 

 

 

 

 

Return on Investment (ROI) (PBT/Networth)

 

(1.49)

(1.11)

0.07

 

 

 

 

 

Debt Equity Ratio (Total Debt /Networth)

 

7.00

4.97

1.49

 

 

 

 

 

Current Ratio (Current Asset/Current Liability)

 

1.22

0.36

0.81

 

 

 

STOCK PRICES

 

Face Value

Rs.10/-

Market Value

Rs.67.10/-

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.09.2013

31.03.2015

(18 Months)

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

704.421

704.521

852.619

Reserves & Surplus

10758.675

4177.133

3541.336

Net worth

11463.096

4881.654

4393.955

 

 

 

 

long-term borrowings

10741.470

9017.812

24942.399

Short term borrowings

6378.832

15248.948

5809.240

Current Maturities Of Long-Term Debts

2840.131

9873.820

0.000

Total borrowings

19960.433

34140.580

30751.639

Debt/Equity ratio

1.741

6.994

6.999

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2012

30.09.2013

(18 month)

31.03.2015

(18 month)

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

17363.306

19065.845

17537.260

 

 

9.805

(8.017)

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

30.09.2013

(18 month)

31.03.2015

(18 month)

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

17363.306

19065.845

17537.260

Profit

1031.116

(5302.265)

(1910.400)

 

5.94%

(27.81%)

(10.89%)

 

 

 

 

 

 

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

Yes

33

Market information

--

34

Payments terms

No

35

Negative Reporting by Auditors in the Annual Report

No

 

 

 

 

LITIGATION DETAILS :

 

Madras High Court

Case Status Information System

 

 

Case Status : Pending

            Status of : WRIT APPEAL 1633 of 2014

            Litigation : ING VYSYA BANK LIMITED Vs. ORCHID CHEMICALS AND PHARMACEU

            Pet’s Adv. M/S. HARI SHANKAR MANI

            Res’s Adv : M/S. T.K. BHASKAR

Last Date of Hearing ----

 

Next / Final Date of Hearing : Thursday, March 05, 2015

Case Update on : Tuesday, March 24, 2015

Category : ---

 

Connected Application (s)

No Connected Application

 

Connected Matter (S)

No Connected Cases

 

 

INDIAN PHARMACEUTICAL INDUSTRY – Overview (As on 30.09.2013 / 18.months)

 

The Indian Pharmaceutical Industry (IPM) stands at USD 12 billion as of 2013 (estimated), compared to USD 10.9

billion in 2012 (USD 1=INR 60). The IPM has experienced a slowdown this year with its growth going down to 9.8% from 16.6% in 2012. From 2010 to 2012, the IPM had a CAGR of approximately 15%.

 

  • The IPM growth rate has declined after November 2012 from an average of 16% to 8%. This slowdown can be attributed to the following:

 

  • The National Pharmaceutical Pricing Policy (NPPP) being announced towards the end of 2012,

 

  • Higher growths for the corresponding quarters and months in the previous year,

 

  • The NPPP implementation and the subsequent price corrections leading to a low uptake among the stockiest in Q2 of 2013.

 

  • The top 10 therapy areas of the IPM contribute to approximately 90% of the IPM sales.

 

  • Chronic therapies (cardio, gastro, CNS and anti-diabetic) have been outperforming the market for the past four years and have grown at a rate of 14%, faster than acute therapies (anti-infectives, respiratory, pain and gynecology) which grew at 9.6%. The contribution of chronic therapies to the IPM has gone up from 27% in 2010 to 30% in 2013. Growth in the acute segment will be driven by Tier III cities and rural penetration.

 

GLOBAL PHARMACEUTICAL INDUSTRY (As on 30.09.2013 / 18.months)

 

The global pharmaceutical industry stands at USD 956 billion as of 2011 and is expected to grow to USD 1.2 trillion by 2016 at a CAGR of 4.7%. Growth will be driven by low cost factors, increasing prevalence of disease and rise in per capita income. This growth is coming mainly from market expansion in the leading emerging countries and from generics.

 

Global brand spending is forecasted to increase from USD 596 billion in 2011 to USD 615–645 billion in 2016. The US share of global spending will decline from 41% in 2006 to 31% in 2016, while the European share of spending will decline from 26% to 18%. Meanwhile, the leading emerging countries will account for 30% of global spending in 2016 from 14% in 2006.

 

Global Generics Market: Branded products accounted for nearly two-thirds of global pharmaceutical spending in 2011. However, as patents expire in developed markets, that share is expected to decline. Spending on generic drugs is driving most of the growth in the leading emerging markets, which will contribute to the increase in the share of generic spending. Global generic spending is expected to increase from ~USD 242 billion in 2011 to USD 400–430 billion by 2016, of which USD 224–244 billion (70%) of the increase is from low-cost generics in emerging markets.

 

US Generics Market: The US is the world’s largest generics market, estimated at USD 73 billion as of 2011 and is

expected to grow to USD 107 billion by 2016 at a CAGR of 7.9%. Drugs worth USD 90 billion are going off patent

between 2011 and 2015. The US government’s healthcare bill provides affordable healthcare to 33 million previously un-insured Americans, which means increased use of generic drugs due to cost and viability factor, accelerating generic growth in the coming years. Moreover, as of 2011, 75% American prescriptions are for generic drugs, which is a positive sign for the generics market.

 

EU Generics Market: The European generics market is valued at USD 40-45 billion as of 2011 and is expected to

grow to USD 60-65 billion by 2016 at a CAGR of 7 to 8%. It is expected that, in the near future, there will not be any significant increase in the share of innovative medicines as governments in Central Europe (Poland, Romania, Bulgaria, Hungary, Slovakia and Czech Republic) have been promoting generic consumption, resulting in limited expenditure on branded medicines. Moreover, with an ageing population and member states’ healthcare budget under pressure, generic medicines are now a key element of sustainable healthcare.

 

Japanese Generics Market: As of 2011, this market is valued at USD ~8 billion and is expected to reach ~USD 13

billion by 2016 at a CAGR of 10%. The government in Japan has taken several initiatives to ensure growth and promotion of generics industry in the country aimed at reducing healthcare expenditure. Japan’s generic market constitutes 22.8% of its pharmaceutical market (volume-wise) (in 2011) but the implementation of numerous supportive measures in 2012 – including additional premiums for practices that prescribe generics – will see this figure rise to approximately 60% by 2017. Moreover, strong promotional activities, numerous impending drug patent expiries and Japan’s ageing population are expected to drive growth. Further, the bilateral free-trade agreement signed in February 2011 (the FTA will abolish 90% of trade duties for 10 years) will provide a stimulus for exports to Japan.

 

The Emerging markets (China, Brazil, Russia, India, Mexico, Turkey, Poland, Venezuela, Argentina, Indonesia, South Africa, Thailand, Romania, Egypt, Ukraine, Pakistan and Vietnam) in descending order of market size, have a total market size of about USD 57 billion (2011) and are expected to outgrow USA (at ~USD 115 billion) by 2016 at a CAGR of 15.1%. The Row market constitutes USD 40-45 billion (as of 2011) of the generics drug market.

 

Global CRAMS Market: The global pharmaceutical outsourcing market was estimated at USD 65-70 billion as of 2011 and is expected to reach USD 90 billion by 2015, growing at 6.5% annually over the four-year period.

 

PERFORMANCE (As on 30.09.2013/ 18 month)

 

The Company has extended its Financial Year 2012-13 by a period of six months i.e., up to September 30, 2013 and accordingly has prepared its Financial Statements for a period of 18 months i.e. from April 1, 2012 to September 30, 2013. The highlights of the financial results for the year 2012 – 2013During the financial year 2012-13, the Company achieved a turnover and operating income of Rs 1906.58 Million (Rs 17363.300 Million in 2011-12). The gross profit before interest, depreciation and taxes stood at Rs 1696.100 Millions, 8.90% of turnover (Rs 4117.300 Million (23.71% of turnover) in 2011-12). After providing for interest expense of Rs 520.380 Million (Rs 1790.500 Million previous fiscal), depreciation of Rs 243.860 Million (Rs 149.050 Million previous fiscal), Exceptional item Rs 511.100 Million (Rs 838.800 Million previous fiscal) and Extraordinary item Nil [(Rs 80) Millions previous fiscal], the Loss before tax of the Company was Rs 5435.200 Millions [Rs 797.400 Million (Profit) previous fiscal]. The net loss after tax stood at Rs 5302.300 Million (the net profit after tax was Rs 103.110 in the previous fiscal).

 

BUSINESS OVERVIEW (As on 30.09.2013/ 18 month)

 

During the year the Company recorded a slow growth, recovering from the issues faced in previous financial year- closure of Alathur plant for a period of more than a month  on account of an order from Tamil Nadu Pollution Control Board (TNPCB), and liquidity constraints on account of redemption of outstanding FCCBs in February 2012. Despite the tough liquidity and working capital constraints, the Company managed to sustain sales and operating profitability denoting the basic strength of the business. Orchid initiated a process of restructuring its debt and accordingly made a reference to the Corporate Debt Restructuring (CDR) cell. Once CDR process is completed there would be an ease in flow of working capital through rescheduled loan repayment, funding of interest by banks and reduction in rate of interest which would help the Company in improving its performance.

 

The Company is planning to launch some new products in the next financial year for the EU and US markets, which are expected to aid in strengthening the revenue/profitability streams of the Company going forward.

 

 

UNSECURED LOAN

(Rs. In Million)

Particular

31.03.2015

(18 months)

As on

30.09.2013

From banks

649.995

From others

 

250.000

 

 

 

Total

NA

899.995

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

 

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10431057

17/04/2013

65,728,000.00

BIOTECHNOLOGY INDUSTRY RESEARCH ASSISTANCE COUNCIL

A-254, BHISHAM PITAMAH MARG, DEFENCE COLONY, NEW 
DELHI, - 110024, INDIA

B77020428

2

10418287

04/12/2013 *

200,000,000.00

EDELWEISS ASSET RECONSTRUCTION COMPANY LIMITED

OFF CST ROAD, KALINA, MUMBAI, MAHARASHTRA - 400098, INDIA

B92640499

3

10432635

27/09/2012

40,000,000.00

BANK OF BARAODA

21, GOPALAKRISHNA STREET, T NAGAR, CHENNAI, TAMIL 
NADU - 600017, INDIA

B70731054

4

10406008

26/09/2012

900,000,000.00

STATE BANK OF INDIA

CORPORATE ACCOUNTS GROUP BRANCH, 18/3, RUKMANI LAKSHMIPATHI ROAD, EGMORE, CHENNAI, TAMILNADU - 600 
008, INDIA

B62955554

5

10373620

06/08/2012

500,000,000.00

LAKSHMI VILAS BANK LIMITED

CATHEDRAL ROAD BRANCH, CHENNAI, TAMILNADU - 60008 
6, INDIA

B56871189

6

10373428

06/08/2012

500,000,000.00

 

CATHEDRAL ROAD BRANCH, CHENNAI, TAMILNADU - 60008 
6, INDIA

B56772742

7

10368124

27/07/2012

4,274,000.00

MINISTRY OF SCIENCE and TECHNOLOGY

DEPARTMENT OF BIOTECHNOLOGY, BLOCK 2 CGO COMPLEX, 
LODHI ROAD, NEW DELHI - 110003, INDIA

B44695195

8

10354877

23/04/2012

300,000,000.00

RELIANCE CAPITLA LIMITED

H BLOCK, 1ST FLOOR, DHIRUBHAI AMBANI KNOWLEDGE C 
ITY, NAVI MUMBAI, MAHARASHTRA - 400710, INDIA

B39381835

9

10343946

22/03/2012

800,000,000.00

EXPORT-IMPORT BANK OF INDIA

CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA

B35722198

10

10342341

16/03/2012

420,000,000.00

STATE BANK OF MYSORE

CORPORATE ACCOUNTS BRANCH, NO: 18 RAMANASHREE, AR 
CADE, MIDFORD GARDENS, M G ROAD, BANGALORE, KARNAT 
AKA - 560001, INDIA

B35072909

11

10337917

27/02/2012

4,775,785,000.00

AXIS TRUSTEE SERVICES LIMITED

AXIS HOUSE, 2ND FLR, BOMBAY DYEING MILLS COMPOUND, 
, PANDURANG BUDHKAR MARG, WORLI,, MUMBAI, MAHARASHTRA - 400025, INDIA

B33105768

12

10335608

06/02/2012

1,040,000,000.00

INDIAN OVERSEAS BANK

CATHEDRAL BRANCH, 762, ANNA SALAI, CHENNAI, TAMIL 
NADU - 600002, INDIA

B32145898

13

10330409

18/01/2012

300,000,000.00

CITY UNION BANK LIMITED

NO.48, MAHALAKSHMI STREET, T.NAGAR, CHENNAI, TAMIL NADU - 600017, INDIA

B30099121

14

10330412

30/11/2011

210,000,000.00

ALLAHABAD BANK

ADYAR BRANCH, NO : 19, 1ST STREET, PADMANABHANAR, ADYAR, CHENNAI, TAMIL NADU - 600020, INDIA

B30099733

15

10317268

29/10/2011

600,000,000.00

BANK OF INDIA

4TH FLOOR, TARAPORE TOWERS, 826, ANNA SALAI, CHENNAI, TAMIL NADU - 600002, INDIA

B25160789

16

10315613

18/10/2011

500,000,000.00

STATE BANK OF HYDERABAD

488 - 489, ANNA SALAI, NANDANAM, CHENNAI, TAMIL NADU - 600035, INDIA

B24520645

17

10313632

03/10/2011

266,300,000.00

BANK OF BARODA

CORPORATE FINANCIAL SERVICES BRANCH, 21 GOPALAKRI 
SHNAN STREET, T NAGAR, CHENNAI, TAMIL NADU - 60001 
7, INDIA

B23689227

18

10309861

20/09/2011

1,000,000,000.00

UNION BANK OF INDIA

INDUSTRIAL FINANCE BRANCH, "RIAZ GARDEN",, NO 12, 
KODAMBAKKAM HIGH ROAD, NUNGAMBAKKAM, CHENNAI, TAM 
IL NADU - 600034, INDIA

B22408389

19

10309878

20/09/2011

1,233,000,000.00

UNION BANK OF INDIA

INDUSTRIAL FINANCE BRANCH, KODAMBAKKAM, CHENNAI, 
TAMIL NADU - 600034, INDIA

B22414130

20

10295930

07/09/2012 *

550,000,000.00

SICOM LIMITED

SOLITAIRE CORPORATE PARK, BUILDING NO.4, 6TH FLOOR, GURU HARGOVINDJI ROAD, CHAKALA, ANDHERI(EAST), 
MUMBAI, MAHARASHTRA - 400093, INDIA

B59160127

21

10290406

21/05/2011

1,000,000,000.00

ANDHRA BANK

MOUNT ROAD BRANCH, 95, ANNA SALAI, CHENNAI, TAMIL 
NADU - 600002, INDIA

B14351589

22

10286764

06/05/2011

200,000,000.00

SICOM LIMITED

SOLITAIRE CORPORATE PARK, BUILDING NO.4, 6TH FLOOR 
, GURU HARGOVINDJI ROAD, CHAKALA, ANDHERI (EAST), 
MUMBAI, MAHARASHTRA - 400093, INDIA

B12899332

23

10276870

15/09/2011 *

1,500,000,000.00

IFCI LIMITED

CONTINENTIAL CHAMBERS, SECOND FLOOR, 142, MAHATMA 
GANDHI ROAD, POST BOX NO.3118, CHENNAI, TAMIL NA 
DU - 600034, INDIA

B20566626

24

10276901

18/03/2011

750,000,000.00

IDBI BANK LIMITED

115, ANNA SALAI, P.B.NO. 805, SAIDAPET, CHENNAI, 
TAMIL NADU - 600015, INDIA

B09582503

25

10272356

28/02/2011

100,000,000.00

CENTRAL BANK OF INDIA

INTERNATIONAL BUSINESS BRANCH, 48/49, MONTIETH RO 
AD, EGMORE, CHENNAI, TAMIL NADU - 600008, INDIA

B08169591

26

10267722

15/09/2011 *

1,000,000,000.00

ANDHRA BANK

MOUNT ROAD BRANCH, 95, ANNA SALAI, CHENNAI, TAMILNADU - 600002, INDIA

B21331897

27

10260988

15/09/2011 *

300,000,000.00

STATE BANK OF TRAVANCORE

NO.556, JEEVAN ANAND, TEYNAMPET, ANNA SALAI, CHEN 
NAI, TAMILNADU - 600018, INDIA

B23226087

28

10251425

01/12/2010

100,000,000.00

INDIAN BANK

THOUSAND LIGHTS BRANCH, KANNAMAL BUILDING, 611, A 
NNA SALAI, CHENNAI, TAMILNADU - 600006, INDIA

A99732661

29

10259021

04/12/2013 *

500,000,000.00

EDELWEISS ASSET RECONSTRUCTION COMPANY LIMITED

OFF CST ROAD, KALINA, MUMBAI, MAHARASHTRA - 400098, INDIA

B92892884

30

10245884

15/09/2011 *

1,000,000,000.00

STATE BANK OF INDIA

CORPORATE ACCOUNTS GROUP BRANCH, 18/3, RUKMANI LAKSHMIPATHI ROAD, EGMORE, CHENNAI, TAMILNADU - 600008, INDIA

 

31

10241226

23/07/2012 *

1,284,100,000.00

ALLAHABAD BANK

ADYAR BRANCH, NO 19, 1ST STREET, PADMANABHANAGAR, ADYAR, CHENNAI, TAMIL NADU - 600020, INDIA

B55875033

32

10231345

15/09/2011 *

500,000,000.00

STATE BANK OF HYDERABAD

488 - 489, ANNA SALAI, NANDANAM, CHENNAI, TAMILNADU - 600035, INDIA

B22407910

33

10228390

15/09/2011 *

1,000,000,000.00

IDBI BANK LIMITED

115, ANNA SALAI, P.B.NO : 805, SAIDAPET, CHENNAI, 
TAMILNADU - 600015, INDIA

B21645726

34

10228480

11/01/2011 *

550,000,000.00

IDBI BANK LIMITED

115, ANNA SALAI, P.B. NO. 805, P.B.NO : 805, SAIDAPET, CHENNAI, TAMIL NADU - 600015, INDIA

B04999512

35

10219740

09/11/2010 *

2,350,000,000.00

STATE BANK OF INDIA

CORPORATE ACCOUNT GROUP BRANCH, 64 GREAMS ROAD, CHENNAI, TAMILNADU - 600006, INDIA

A99326381

36

10194510

26/03/2010 *

150,000,000.00

UNION BANK OF INDIA

INDUSTRIAL FINANCE BRANCH, KODAMBAKKAM, CHENNAI, 
TAMILNADU - 600034, INDIA

A81677999

37

10160283

10/05/2010 *

1,012,700,000.00

PUNJAB NATIONAL BANK

UNIT 1003, 10TH FLOOR, LIPO CHUN CHAMBERS, 189, D 
ES VOEX ROAD, CENTRAL, HONG KONG, - 000000,

A84831395

38

10110918

26/03/2010 *

500,000,000.00

IDBI BANK LIMITED

115, ANNA SALAI,, SAIDAPET, CHENNAI, TAMILNADU - 
600015, INDIA

A81676082

39

10098881

26/03/2010 *

250,000,000.00

PUNJAB NATIONAL BANK

LARGE CORPORATE BRANCH, RAYALA TOWERS, 781-785 AN 
NA SALAI, CHENNAI, TAMILNADU - 600002, INDIA

A81683500

40

10091764

26/03/2010 *

560,000,000.00

ALLAHABAD BANK

ADYAR BRANCH, NO 19, 1ST STREET,, PADMANABHA NAGA 
R, ADYAR, CHENNAI, TAMILNADU - 600020, INDIA

A81673923

41

90281767

12/04/2012 *

12,888,000,000.00

BANK OF INDIA

4TH FLOOR, TARAPORE TOWERS,, 826/6, ANNA SALAI,, 
CHENNAI, TAMINADU - 600002, INDIA

B58173667

* Date of charge modification

 

 

UNAUDITED FINANCIAL RESULTS FOR THE THREE MONTHS  ENDED JUNE 30, 2015

 

                                                                                                                                       (Rs. In Million)

Sr.

No

 

 

Particulars

 

Three months Ended

30.06.2015

Unaudited

1

Income From Operations

 

 

a. Net Sales/ Income from  Operations

(Net of Excise Duty)

3537.146

 

b. Other Operating Income

26.183

 

Total Income from Operations (Net)

2563.329

2

Expenditure

 

 

a. Cost of material Consumed

968.811

 

b. Purchase of Stock-in trade

329.973

 

c. Changes in inventory of finished Goods, work- in-progress and Stock-in-trade

(20.110)

 

d. Employees Benefit Expenses

218.693

 

f. Depreciation and Amortization Expenses

367.776

 

g. Other expenses

471.665

 

Total Expenses

2336.808

3

Profit from Operations before Other Income, Interest and Exceptional Items

226.521

4

Other Income

0.000

5

Profit from ordinary activities before finance cost & exceptional items

226.521

 

Finance costs

710.052

 

Profit from ordinary activities after finance cost & exceptional items

(483.531)

9

Exceptional items

(119.611)

10

Profit from ordinary activities before tax

(603.142)

11

Tax Expense

 

 

Deferred tax liability (Deferred tax assets)

(127.520)

12

Net profit from ordinary Activities after tax

(475.622)

13

Extra Ordinary Items (Net of tax expenses)

0.000

14

Net Profit After Tax

(475.622)

15

Paid-up equity share capital (face value of Rs.10 per share)

852.619

16

Reserves excluding Revaluation Reserve as per balance sheet of previous accounting Year

--

17

Earning Per Share (of Rs.10 each) (not annualized)

 

 

Before extraordinary items

 

 

Basic EPS 

(5.58)

 

Diluted EPS

(5.58)

 

 

 

A

PARTICULARS OF SHAREHOLDING

 

17

Public Shareholding

 

 

- No. of shares

47711295

 

- Percentage of shareholding

55.96%

18

Promoter & Promoter Group Shareholding

 

 

a) Pledged/Encumbered

 

 

- No. of shares

34433453

 

- Percentage of shareholding (as a % of the total shareholding of promoter and promoter group)

91.70%

 

- Percentage of shareholding (as a % of the total share capital of the company)

40.38%

 

b) Non-encumbered

 

 

- No. of shares

3117129

 

- Percentage of shareholding (as a % of the total shareholding of promoter and promoter group)

8.30%

 

- Percentage of shareholding (as a % of the total share capital of the company)

3.66%

 

 

Particulars

Quarter Ended

B

Investor Complaints

(31st December 2014)

 

Pending at the beginning of the quarter

Nil

 

Received during the quarter

2

 

Disposed off during the quarter

2

 

Remaining unresolved at the end of the quarter

Nil

 

    1. The above unaudited financial results have been reviewed by the Audit Committee and approved but the Director at their meeting held on August 13, 2015 and have subject to limited review by the statutory auditors.
    2. The Company operating in a single segment (i.e.) “Pharmaceuticals”.
    3. Exceptional item for three months ended June 30, 2015 represents amortization of exchange loss on restatement of Foreign currency loans amounting to Rs. 119.611 Million (Corresponding previous quarter Rs. 82.631 Million)
    4. The Company had exercised the option provided under the Companies (Accounting Standards) Amendment Rules, 2006 dated March 31, 2009. The Ministry of Corporate affairs vide notification dated 29/12/2011 has extended the amortisation of gains or losses arising on reporting of foreign currency monetary items over the balance period of such long term asset/liability. Accordingly exchange loss on long term foreign currency loans have been amortised over the balance period of such loans. The amount remaining to be amortised in the financial statement as at June 30, 2015 on account of exercising the above option is Rs. 1152.256 Million.
    5. From 01/04/2015, the Company has adopted Schedule II rates as provided in the Companies Act, 2013. On account of adoption of these rates, the depreciation for the quarter is lower by Rs. 62.718 Million. In accordance with the transition provision available under Schedule II, a sum of Rs. 158.870 Million has been debited to Reserves. These provision have been adopted since this is first financial year commencing after the affective date of Companies Act, 2013 came in to force.
    6. Interest expenses for the quarter is net of interest earned Rs. 46.970 Million (Correspnding previous year quarter Rs. 2.370 Million)
    7. The figures for the current quarter are not comparable to that the corresponding previous quarter since the corresponding previous quarter figure includes the financial of Aurangabad Unit which has been disposed of July 2014.\
    8. The Board of Directors, at their meeting held on 13/08.2015 approved the change of the name of the Company from “Orchid Chemicals and Pharmaceuticals Limited” to Orchid Pharma Limited” subject to necessary approvals.
    9. The auditors have observed matters relating to recovery of certain advances paid to suppliers, non-provision of diminution in value of investments in foreign R and D subsidiaries and non provision of amount due form marketing subsidiary. The Corporate Debt Restructuring scheme already approved has been implemented in July 2014. Due to financial constraints, the company was not able to take delivery of materials/capital goods and the company is confident that with the CDR implementation, the company would be able to take delivery of these materials in due course. As far as the diminution in value of investments in concerned, the Company is confident that the value of intellectual property of molecules held by the foreign subsidiaries will be more than the investment. In respect of dues from the marketing subsidiary, the company has already started exporting and selling profitable products through its marketing subsidiaries and the profit made from the operations will be available for settlement of past dues. Hence the management expects that the observations made by the auditors will not have any material impact on the financials. The company has disputes with certain banks and hence interest on loans/facilities availed from such banks has been provided on an estimated basis.
    10. Previous period figures have been regrouped wherever necessary.

 

 

FIXED ASSETS

Tangible Assets

  • Freehold Land and Site Development
  • Leasehold Land
  • Buildings
  • Plant and Machinery
  • Factory Equipment
  • Laboratory Equipment,
  • Office Equipment
  • Furniture and Fittings Vehicles

 

 Million.

 

Intangible Assets

  • Acquired Brands
  • Trademarks
  • Internally Generated
  • DMF and ANDA
  • Computer Software

 

 

AS PER WEBSITE DETAILS:

 

PRESS RELEASE:  (As on 30.09.2013/ 18 month)

 

Orchid Pharma registers turnover of Rs. 3720.000 Million in Q1 FY14 Chennai, India February 11, 2014

 

Financial highlights for Quarter ended December 31, 2013 (Q1 FY14)

  • Revenue of Rs 3716.000 Million (US$ 60.1 million) in the quarter ended December 31,2013 (Q1 FY14) as against Rs 3135.300 Million (US$ 50.7 million) in the quarter ended December 31, 2012 (Q3 FY13)
  • EBITDA of Rs.1094.900 Million (US$ 17.7 million) in the quarter ended December 31,2013 versus Rs 233.500 Million (US$ 3.8 million) in the quarter ended December 31, 2012
  • Loss before Tax of Rs. 539.000 Million (US$ 8.7 million) in the quarter ended December 31, 2013 compared to a loss before tax of Rs. 919.900 Million (US$ 14.9 million) during the quarter ended December 31, 2012
  • At the net level, the company registered a loss of Rs 539.000 Million (US$ 8.7million) in the quarter ended December 31, 2013 compared to a loss of Rs. 723.600 Million (US$ 11.7 million) during the quarter ended December 31, 2012.

 

FINANCIAL YEAR REVISION (As on 30.09.2013/ 18 month)

 

The company had extended its last financial year (FY 2012-13) by 6 months to September 30, 2013. Consequently, the current financial year (FY 2013-14) would consist of only of 6 months, i.e., from October 2013 to March 31, 2014. * 1 US$ = Rs 61.81

 

From the chairman and managing director


“Though the Company continues to face tight working capital situation, the approval for the Corporate Debt Restructuring Package (CDR), expected before end of February 2014 would facilitate completion of Penicillin and Carbapenem Business Transfer to Hospira and also bring in working capital availability from deal proceeds besides deleveraging debt profile. With this the Company would be on a better platform to achieve improved performance in the quarters to come” said Mr. K. Raghavendra Rao, Chairman and Managing Director, Orchid Chemicals and Pharmaceuticals Limited.

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.65.82

UK Pound

1

Rs.103.38

Euro

1

Rs.74.26

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Analysis Done by :

HNA

 

 

Report Prepared by :

SUJ

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

--

--LIQUIDITY

1~10

2

--LEVERAGE

1~10

2

--RESERVES

1~10

2

--CREDIT LINES

1~10

2

--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

YES

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

YES

--EPF

YES/NO

NO

TOTAL

 

20

 

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

 

--

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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