MIRA INFORM REPORT

 

 

Report No. :

334083

Report Date :

29.07.2015

 

IDENTIFICATION DETAILS

 

Name :

PRECOT MERIDIAN LIMITED (w.e.f. 28.12.2006)

 

 

Formerly Known As :

PRECOT MILLS LIMITED

 

 

Registered Office :

Post Box No.7161 and 737 Green Fields, Puliakulam Road, Coimbatore – 641 045, Tamilnadu

Tel. No.:

91-422-4321100

 

 

Country :

India

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

02.06.1962

 

 

Com. Reg. No.:

18-001183

 

 

Capital Investment / Paid-up Capital :

Rs.120.000 Million

 

 

CIN No.:

[Company Identification No.]

L17111TZ1962PLC001183

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CMBP03135G

 

 

PAN No.:

[Permanent Account No.]

AABCP3038K

 

 

Legal Form :

A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

Subject is engaged in manufacturing and selling textile products.

 

 

No. of Employees :

Information declined by the management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (43)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 3800000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an old and established company incorporated during the year 1962 having a satisfactory track record.

 

The company has incurred a loss during FY 2015.

 

However, net worth of the company is satisfactory. General financial position of the company is normal and acceptable for business dealings.

 

Trade relations are reported as fair. Business is active. Payments terms are reported to be slow but correct.

 

In view of long standing record and acceptable financial base, the company can be considered normal for business dealings at usual trade terms and conditions.

 

Note:

The company is not traded on BSE for last 30 days 

 

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: BBB-

Rating Explanation

Moderate degree of safety and moderate credit risk.

Date

23.01.2015

 

Rating Agency Name

CARE

Rating

Short Term Bank Facilities: A3

Rating Explanation

Moderate degree of safety and higher credit risk.

Date

23.01.2015

 

 

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 DECLINED

 

Management non-cooperative (Tel. No.: 91-422-4321100)

 

 

LOCATIONS

 

Registered Office :

Post Box No.7161 and 737 Green Fields, Puliakulam Road, Coimbatore – 641 045, Tamilnadu

Tel. No.:

91-422-4321100

Fax No.:

91-422-4321200

E-Mail :

secretary@precot.com

Yarn – Domestic : sales@precot.com

Yarn – Exports:  exports@precot.com

Fabric : wvg@precot.com

Investors :  secretary@precot.com

Careers : hr@precot.com

Website :

http://www.precot.com

 

 

PLANT LOCATIONS:

 

Spinning Units :

Located at:

 

  • Kanjikode, Palakkad, Kerala, India
  • Kodigenahalli, Hindupur, Andhra Pradesh, India
  • Nanjegoundanpudur, Pollachi, Tamilnadu, India
  • Chandrapuram, Walayar, Kerala, India

 

 

Dyeing Unit :

Located at:

 

  • Gowribidnur, Kolar, Karnataka, India

 

 

Non-woven Unit :

Located at:

 

  • Hassan, Karnataka, India

 

 

Marketing Office :

Located at:

 

·         Bangalore

 

 

Depot :

Located at:

 

·         Tirupur

·         Mumbai

·         Delhi

·         Kolkata

 

 

Dyeing Unit :

Located at:

 

  • Gowribidnur, Kolar, Karnataka, India

 

 

DIRECTORS

 

As on : 31.03.2014

 

Name :

Mr. Jairam Varadaraj

Designation :

Director

 

 

Name :

Mr. A Ramkrishna

Designation :

Director

Date of Birth/Age :

69 Years

Qualification :

B. Sc., FCA

Expertise :

Chartered Accountant

Director of Company since:

1998

Directorship :

  • Suprem Textiles Processing Limited
  • Multiflora Processing (CBE) Limited
  • Precot Meridian Energy Limited
  • Cotton Sourcing Company Limited

 

 

Name :

Mr. C N Srivatsan

Designation :

Director

Date of Birth/Age :

56 Years

Qualification :

Chartered Accountant

Expertise :

25 years as management consultant

Director of Company since:

2004

Directorship :

  • Kar Mobiles Limited
  • Rane Engine Valve Limited

 

 

Name :

Mr. Sumanth Ramamurthi

Designation :

Director

Qualification :

BS Electrical Engineer

 

 

Name :

Mr. Suresh Jagannathan

Designation :

Director

 

 

Name :

Mr. Vijay Mohan

Designation :

Director

Date of Birth/Age :

65 years

Qualification :

B E (Mech), MMS

Expertise :

38 years in the automobile industry

Director of Company since:

1989

Directorship :

  • Pricol Limited
  • Pricol Castings Limited
  • Pricol Holdings Limited
  • Pricol Packaging Limited
  • Pricol Properties Limited
  • Pricol Technologies Limited
  • Xenos Automotive Limited
  • Pricol Medical Systems Limited
  • Pricol Components Limited

 

 

Name :

Mr. D. Sarath Chandran

Designation :

Chairman

Qualification :

B. Sc. (Hons), MBA

 

 

Name :

Mr. Ashwin Chandran

Designation :

Managing Director

Qualification :

B. Sc. (Hons), MBA

 

 

Name :

Mr. Prashanth Chandran

Designation :

Executive Director

Qualification :

B. Engg.

 

 

KEY EXECUTIVES

 

Name :

Mr. M R Siva Shankar

Designation :

Head - Finance and Accounts

 

 

Name :

Mr. R. Nithya Prabhu

Designation :

Company Secretary and Compliance Officer

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 31.03.2014

 

Names of Shareholders

No. of Shares

 

%age holding

Promoters and Promoters Groups

 

 

Indian

7332137

61.10

Public

 

 

Mutual funds / UTI

237887

1.98

Financial Inst/Banks

1125

0.01

Bodies Corporate

424001

3.53

Public and Others

4004850

33.37

 

12000000

100.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged in manufacturing and selling textile products.

 

 

Products :

Not Divulged

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

Not Divulged

 

 

Imports :

Not Divulged

 

 

Terms :

Not Divulged

 

 

PRODUCTION STATUS NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Not Divulged

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Not Divulged

Remark:

Not Divulged

 

 

Customers :

Reference :

Not Divulged

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Not Divulged

Remark:

Not Divulged

 

 

No. of Employees :

Information declined by the management

 

 

Bankers :

Bank Name

ICICI Bank Limited

Branch

Green Field, Coimbatore, India

Person Name (With Designation)

Not Divulged

Contact Number

Not Divulged

Name of Account Holder

Not Divulged

Account Number

Not Divulged

Account Since (Date/Year of Account Opening)

Not Divulged

Average Balance Maintained (If Possible)

Not Divulged

Credit Facilities Enjoyed (If any)

Not Divulged

Account Operation

Not Divulged

Remarks (If any)

Not Divulged

 

  • State Bank of India
  • Export Import Bank of India
  • Yes Bank
  • IDBI Bank
  • Corporation Bank
  • Andhra Bank

 

 

Facilities :

Secured Loan

31.03.2015

(Rs. in Million)

31.03.2013

(Rs. in Million)

Long-term Borrowings

 

 

Term loans from Banks

 

 

- Rupee Loan

 

1904.815

- Foreign Currency Loan

 

37.706

 

 

 

Short-term borrowings

 

 

Working Capital Loans

 

 

From Banks

 

 

- Rupee Loan

 

1042.602

- Foreign Currency Loan

 

306.579

Total

NA

3291.702

 

 

 

 

Notes:

 

Long Term Borrowings (As on 31.03.2014)

 

  1. a) Term loan from SBI, ICICI, Andhra Bank, Export Import Bank of India and IDBI Bank are secured by way of pari passu first charge on entire movable and immovable assets of the company and pari passu second charge on current assets of the company.

 

b) Term loan from IDBI Bank, Dubai Branch is secured by way of exclusive first charge on the windmills and related equipments, systems and assets located at Eragampatti and Manurpalayam Village in Tirupur district.

 

  1. In respect of the above, Rupee Term loans carry interest ranging from 8.5% p.a. to 13.61% p.a. and Foreign Currency Term Loans carry interest ranging from 1.85% p.a. to 3.27% p.a. plus applicable LIBOR
  2. Term loan from ICICI Bank for Rs. 1200.000 Million is secured by way of exclusive first charge on the assets of the Technical Textile unit Hassan, Karnataka and Second charge on the entire moveable fixed assets of the unit at Hassan, ranking paripassu charge with ICICI bank’s derivative limits for the unit at Hassan.

 

Short Term Borrowings (As on 31.03.2014)

 

1. Working capital loans from SBI, Andhra Bank, Corporation Bank, IDBI, ICICI, Yes Bank and The South Indian Bank are secured by way of pari passu first charge on current assets of the company and pari passu second charge on entire immovable assets of the company.

2. In respect of the above, working capital rupee loans carry interest ranging from 10.45% p.a. to 14.85% p.a. and working capital foreign currency loan, buyers credit and foreign currency loans carry interest ranging from 1.95% p.a. to 3.30% p.a. plus applicable LIBOR.

Auditors :

(As on 31.03.2014)

 

Name :

Haribhakti and Company

Chartered Accountants

 

 

Cost Auditors :

(As on 31.03.2014)

 

Name :

K R S and Associates

Chartered Accountants

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Subsidiary Companies :

(As on 31.03.2014)
  • Suprem Textiles Processing Limited
  • Multiflora Processing (CBE) Limited
  • Precot Meridian Energy Limited
  • Benwood Corporation Sdn Bhd

 

 

Other Related Parties :

(As on 31.03.2014)
  • Suprem Associates (Partnership Firm)

 

 

CAPITAL STRUCTURE

 

As on 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

20000000

Equity Shares

Rs.10/- each

Rs.200.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

12000000

Equity Shares

Rs.10/- each

Rs.120.000 Million

 

 

 

 

 

i)              Terms /rights attached to equity shares:

 

The company has only one class of issued referred to as equity shares having a par value of Rs.10 each. Each holder of equity shares is entitled to one vote per share. The dividend (except in case of interim dividend) proposed by the Board of Director, if any, is subject to the approval of shareholders in the Annual General Meeting.

 

ii)            The reconciliation of the number of shares outstanding is set out below:

 

 

Particulars

As at 31.03.2014

Number

Amount

(Rs. in Millions)

Equity Shares

 

 

Equity Shares at the beginning of the year

8000000

80.000

Add: Shares Issued during the year

4000000

40.000

Equity Shares at the end of the year

12000000

120.000

 

iii) The details of Shareholders holding more than 5% of Shares:

 

 

Name of Shareholder

As at 31.03.2014

No. of Shares Held

% of holding

Equity Shares

 

 

D Sarath Chandran

2841108

23.69%

Ashwin Chandran

2307457

19.23%

Prashanth Chandran

1971891

16.43%

 

iv)            Aggregate number and class of shares allotted as fully paid up by way of bonus shares.

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

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

120.000

120.000

80.000

(b) Reserves & Surplus

1226.500

1480.086

1317.516

(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)

1346.500

1600.086

1397.516

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

1824.600

1942.521

2245.353

(b) Deferred tax liabilities (Net)

0.000

0.000

104.222

(c) Other long term liabilities

25.100

16.968

18.323

(d) long-term provisions

0.000

167.159

0.000

Total Non-current Liabilities (3)

1849.700

2126.648

2367.898

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

1572.800

2090.378

1748.693

(b) Trade payables

130.000

223.280

114.443

(c) Other current liabilities

832.200

857.532

820.751

(d) Short-term provisions

3.900

36.227

23.720

Total Current Liabilities (4)

2538.900

3207.417

2707.607

 

 

 

 

TOTAL

5735.100

6934.151

6473.021

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

3359.100

3624.754

2078.885

(ii) Intangible Assets

0.000

11.801

4.380

(iii) Capital work-in-progress

0.000

2.379

1644.302

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

177.400

323.435

259.498

(c) Deferred tax assets (net)

0.000

1.891

0.000

(d)  Long-term Loan and Advances

307.900

206.618

151.936

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

3844.400

4170.878

4139.001

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

974.700

1865.325

1486.688

(c) Trade receivables

406.500

434.444

422.582

(d) Cash and cash equivalents

30.900

36.585

103.571

(e) Short-term loans and advances

113.200

101.280

71.200

(f) Other current assets

365.400

325.639

249.979

Total Current Assets

1890.700

2763.273

2334.020

 

 

 

 

TOTAL

5735.100

6934.151

6473.021

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2015

31.03.2014

31.03.2013

 

SALES

 

 

 

 

Income from Operations

7316.100

7381.909

6671.715

 

Other Income

24.800

42.751

75.490

 

TOTAL (A)

7340.900

7424.660

6747.205

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of Materials Consumed

4057.900

4187.927

3404.471

 

Purchases of Stock-in-Trade

273.600

13.316

0.000

 

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

180.200

(208.276)

80.583

 

Employees benefits expense

758.000

688.980

643.806

 

Power and Fuel

853.900

0.000

0.000

 

Exceptional Items

(147.300)

0.000

0.000

 

Other expenses

983.600

1891.634

1782.195

 

TOTAL (B)

6959.900

6573.581

5911.055

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)

381.000

851.079

836.150

 

 

 

 

 

Less

FINANCIAL EXPENSES (D)

336.300

324.110

261.186

 

 

 

 

 

 

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

44.700

526.969

574.964

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION (F)

369.200

394.490

303.224

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX (E-F)   (G)

(324.500)

132.479

271.740

 

 

 

 

 

Less

TAX (H)

1.900

(172.001)

64.872

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX  (G-H)   (I)

(326.400)

304.480

206.868

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD  (K)

8.700

-267.700

-474.568

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

Transfer to General Reserve

 NA

0.000

9.400

 

Tax on Dividend

 NA

28.080

(9.400)

 

Total (M)

NA

28.080

0.000

 

 

 

 

 

 

Balance Carried to the B/S (J+K+L-M)

(317.700)

8.700

(267.700)

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

F.O.B. Value of Exports

 NA

1928.196

1678.722

 

TOTAL EARNINGS

NA

1928.196

1678.722

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

 (27.20)

25.37

17.24

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2015

31.03.2014

31.03.2013

Current Maturities of Long term debt

NA

445.300

395.390

Cash generated from operations

NA

409.618

404.839

Net cash flow from operating activity

NA

353.098

293.324

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2015

31.03.2014

31.03.2013

Net Profit Margin

(PAT / Sales)

(%)

(4.46)

4.12

3.10

 

 

 

 

 

Operating Profit Margin

(PBIDT/Sales)

(%)

5.21

11.53

12.53

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(5.84)

2.01

5.95

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.24)

0.08

0.19

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

2.52

2.52

2.86

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.74

0.86

0.86

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

80.000

120.000

120.000

Reserves & Surplus

1317.516

1480.086

1226.500

Net worth

1397.516

1600.086

1346.500

 

 

 

 

long-term borrowings

2245.353

1942.521

1824.600

Short term borrowings

1748.693

2090.378

1572.800

Current Maturities of Long-Term Debts

395.390

445.300

0.000

Total borrowings

4389.436

4478.199

3397.400

Debt/Equity ratio

3.141

2.799

2.523

 

 

 

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

6671.715

7381.909

7316.100

 

 

10.645

(0.891)

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

6671.715

7381.909

7316.100

Profit

206.868

304.480

(326.400)

 

3.10%

4.12%

(4.46%)

 

 

 

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

No

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

No

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

No

35

Negative Reporting by Auditors in the Annual Report

No

 

 

ECONOMIC OVERVIEW AND INDUSTRY REVIEW (As on 31.03.2014)

 

The growth in global economy which remained subdued in the first half  of FY 2013-14 improved in the second half on account of export rebound  in emerging market economies. While it is expected that the recovery in  advanced economies could lead to a trade growth of around 4.7% in 2014,  it would still continue to remain below the 20 year average.

 

Persistent inflationary pressure, low investments due to policy inaction coupled with high current account deficit saw the Indian GDP growth at sub 5% level.

 

The FY 2013-14 has been a challenging year for the textile industry due to volatile yarn and cotton prices.  Exports of cotton yarn to China have slowed down on the back of Chinese currency depreciation and uncertainties on handling large reserves of cotton in the coming season.

 

 

REVIEW OF OPERATIONS (As on 31.03.2014)

 

The company has registered a turnover growth of 10 % over the previous year. Though the yarn prices witnessed an uptrend in the first half of FY 2013-14, in comparison with FY 2012-13, the cotton price increases have neutralized the benefits that accrued out of yarn price increase.

 

The power situation in Tamil Nadu continued to affect the performance of the company. The company has to rely on higher cost sources like self-generation and third party power. Evacuation of windpower had been an issue contributing to the increased cost in power. The performance of the unit in Andhra Pradesh was affected briefly on account of local political disturbances. There has been a shortage in availability of local labour and hence increased dependency on labour from other states resulted in higher costs.

 

 

OUTLOOK FOR THE CURRENT YEAR (As on 31.03.2014)

 

The projection of global economic growth, as per International Monetary Fund, is estimated at 3.7% for 2014 and 3.9% for 2015. Though the predictions are good for export yarn market, the cotton rates could have a say in quantum of exports. In the ensuing cotton season, India is likely to be affected by import restrictions in China. In spite of higher domestic production of 385 lakh bales for 2013-14 season, the prices have ruled high.

 

Even though the outlook for the short term remains uncertain with the various challenges being faced by the companies operating in the industry, the long term outlook remains robust.

 

The management is continuing to undertake diligent efforts to step up the performance of the Company and it is expected that the reinforced and dedicated efforts would certainly bring about an improvement in operational growth in future.

 

 

New Companies Act, 2013 (As on 31.03.2014)

 

The Ministry of Corporate Affairs, with a view to bring in more discipline in the corporate world, has replaced the erstwhile Companies Act, 1956, with the new Companies Act, 2013.

 

 

UNSECURED LOAN

 

Unsecured Loan

31.03.2015

(Rs. in Million)

31.03.2014

(Rs. in Million)

Long-term Borrowings

 

 

Deferred payment liabilities

 

 

- Sales Tax Deferral loan

NA

0.000

 

 

 

Short-term borrowings

 

 

From Bank

NA

 

Rupee Loan

NA

741.197

Total

NA

741.197

 

Note: (As on 31.03.2014)

Short Term Borrowing :

 

Unsecured short term loans from Axis Bank and IDBI Bank carry interest in the range of 10.25% to 10.50% p.a. Further the company has extended a corporate guarantee for the loan from Axis Bank

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10521764

25/09/2014

250,000,000.00

ICICI BANK LTD

CHERAN PLAZA 1ST FLOOR, 1090 TRICHY ROAD, COIMBAT 
ORE, Tamil Nadu - 641018, INDIA

C22205470

2

10518557

18/08/2014

168,000,000.00

Andhra Bank

17, Mill Road, Coimbatore, Tamil Nadu - 641001, INDIA

C19587682

3

10447946

22/05/2015 *

150,000,000.00

EXPORT - IMPORT BANK OF INDIA

Centre one Building,Floor 21,, World Trade Centre 
complex, Cuffe Parade,, Mumbai, Maharashtra - 400005, INDIA

C57586125

4

10360786

20/06/2012

600,000,000.00

ICICI BANK LIMITED

LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, Gujarat - 390015, INDIA

B41697004

5

10342580

15/03/2012

300,000,000.00

Andhra Bank

17,Mill Road, Coimbatore, Tamil Nadu - 641045, INDIA

B35170646

6

10322556

31/01/2013 *

140,000,000.00

ICICI BANK LTD

CHERAN PLAZA 1ST FLOOR, 1090 TRICHY ROAD, COIMBAT 
ORE, Tamil Nadu - 641018, INDIA

B68916683

7

10315698

24/09/2012 *

1,250,000,000.00

ICICI Bank Ltd

Cheran Plaza 1st Floor, coimbatore, Tamil Nadu - 641018, INDIA

B58806183

8

10305305

08/09/2011

300,000,000.00

ICICI Bank Limited

Cheran plaza 1 Floor, 1090 Trichy Road,, coimbatore, Tamil Nadu - 641018, INDIA

B20088696

9

10285737

26/02/2015 *

125,000,000.00

THE SOUTH INDIAN BANK LIMITED

KOVILPALAYAM BRANCH, THEVAR BUILDING, POLLACHI MAIN ROAD, KOVILPALAYAM, COIMBATORE, Tamil Nadu - 642110, INDIA

C46748505

10

10252731

03/11/2010

50,000,000.00

ICICI Bank Limited

Cheran plaza 1 Floor, 1090 Trichy Road,, coimbatore, Tamil Nadu - 641018, INDIA

A99036345

 

 

CONTINGENT LIABILITIES:

 

(Rs. in million)

PARTICULARS

31.03.2014

Bills discounted 

144.918

Guarantees    

478.428

Letters of credit outstanding

7.157

 

 

FIXED ASSETS

 

Tangible Assets

 

  • Land
  • Building
  • Plant and Machinery
  • Vehicles
  • Office Furniture
  • Computers

 

Intangible Assets

 

  • ERP Expenditure and Software

 

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 records 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.64.02

UK Pound

1

Rs.99.77

Euro

1

Rs.70.88

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

SUJ

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILITY

1~10

3

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

4

--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

 

43

 

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.