MIRA INFORM REPORT

 

 

Report No. :

325230

Report Date :

04.06.2015

 

IDENTIFICATION DETAILS

 

Name :

POSCO- INDIA PUNE PROCESSING CENTER PRIVATE LIMITED (w.e.f. 19.05.2008)

 

 

Formerly Known As :

M/S POS-INDIA STEEL PROCESSING CENTRE PRIVATE LIMITED

 

 

Registered Office :

Plot No. A-9, Floriculture Park, Talegaon Industrial Area (MIDC), Pune-410507, Maharashtra

Tel. No.:

91-2114-308100

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

24.11.2005

 

 

Com. Reg. No.:

11-021580

 

 

Capital Investment / Paid-up Capital :

Rs. 1150.625 Million

 

 

CIN No.:

[Company Identification No.]

U27107PN2005PTC021580

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

Not Available

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Subject is engaged in the business of import and processing of hot and cold roll steel.

 

 

No. of Employees :

Not Divulged 

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (29)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 1200000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record.

 

The rating is constrained on account of company’s moderate financial risk profile and huge accumulated losses incurred by the company.

 

However, trade relations are fair. Business is active. Payments are reported to be slow but correct.

 

The company can be considered for business dealing with some caution.

 

NOTES :

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

 

 

ECGC Country Risk Classification List – 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

CRISIL

Rating

Short term rating : A1

Rating Explanation

Very strong degree of safety and carry lowest credit risk.

Date

09.06.2014

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2013.

 

INFORMATION DECLIEND 

 

MANAGEMENT NON CO-OPERATIVE (91-2114-308100)

 

LOCATIONS

 

Registered Office :

Plot No. A-9, Floriculture Park, Talegaon Industrial Area (MIDC), Pune-410507, Maharashtra, India

Tel. No.:

91-2114-308100

Fax No.:

91-2114-308146/7 

E-Mail :

suraj@posco-ippc.com

 

 

Bhubaneswar Office :

5th Floor, Fortune Towers, Chandrashekharpur, Bhubaneswar – 751015, Orissa, India

Tel. No.:

91-674-2303690/91

Fax No.:

91-674-2300058

 

 

New Delhi Office :

116, Park Centra(1st Floor) Tower-B Opposite 32nd Milestone
NH-8, Sector-30, Gurgaon-122001, New Delhi, India

Tel. No.:

91-124-2382021/23

Fax No.:

91-124-2382028

 

 

DIRECTORS

 

AS ON 30.09.2014

 

Name :

Jae Doo Rho

Designation :

Director

Address :

B 6/7 Ground Floor vasant vihar, new delhi-110057, delhi, India

Date of Birth/Age :

30.12.1966

Date of Appointment :

02.05.2006

DIN No.:

01770910

Other Directorship:

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U27107PN2005PTC021580

POSCO- INDIA PUNE PROCESSING CENTER PRIVATE LIMITED

Director

02-05-2006

02-05-2006

-

Active

NO

2

U74140DL2013FTC252159

LG INTERNATIONAL INDIA PRIVATE LIMITED

Director

17-05-2013

17-05-2013

-

Active

NO

 

 

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2014

 

Names of Shareholders

No. of Shares

Percentage

Posco Company Limited, Korea

74787132

65.00

LG International, Korea

40275330

35.00

Total

115062462

100.00

 

 

 

Equity Share Break up (Percentage of Total Equity)

 

AS ON 30.09.2014

 

Category

Percentage

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged in the business of import and processing of hot and cold roll steel.

 

 

Products :

Item Code No.

Product Description

72251100

CRGO Electrical Steel

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

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 :

Banker Name

Not Divulged

Branch Address

Not Divulged

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

 

 

 

Auditors :

 

Name :

BBSR and Company

Chartered Accountants

Address :

703, 7th Floor, Godrej Castlemaine, Next to Ruby Hall Clinic, Bund Garden Road, Pune 411001, Maharashtra, India

PAN N Income-tax PAN of auditor or auditor's firm :

AAKFB4397F

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Fellow Subsidiary

Company :
  • Daewoo International Corporation, Korea
  • Pomic Company  Limited, Korea
  • Posco (Guangdong) Steel Company Limited
  • Posco Asia Company Limited, China
  • Posco Electrical Steel India Private Limited, India
  • (U27310mh2011ftc216653)
  • [Cin No.: U27310mh2011ftc216653]
  • Posco Future Creation Academy, Korea
  • Posco Ict Company Limited, Korea
  • Posco India Chennai Steel Processing Centre Private Limited, India
  • [Cin No.: U27100tn2009ptc071238]
  • Posco India Delhi Steel Processing Centre Private Limited, India [Cin No.: U27310hr2007ptc041978]
  • Posco Investments Company Limited, Korea
  • Posco Maharashtra Steel Private Limited, India
  • Posco South Asia Company Limited, Thailand
  • Posco Processing And Service Company Limited, Korea
  • Posco Tmc India Private Limited, India(U28910PN2009PTC135005)
  • Posco-India Steel Distribution Center Private Limited, India (U51909PN2009PTC133416)
  • Posco-Poggenamp Electrical Steel Private Limited, India (U31100GJ2010PTC063371)
  • Posri Re, Limited, Korea

 

 

 

Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives :

LG International Corporation, Korea

 

           


 

CAPITAL STRUCTURE

 

AS ON 30.09.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

115,062,462

Equity Shares

Rs.10/- each

Rs.1150.625 million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

115,062,462

Equity Shares

Rs.10/- each

Rs.1150.625 million

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2014

31.03.2013

31.03.2012

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

1150.625

1150.625

1150.625

(b) Reserves & Surplus

(702.797)

(138.025)

142.955

(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)

447.828

1012.600

1293.580

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

0.000

0.000

511.600

(b) Deferred tax liabilities (Net)

0.000

0.000

135.286

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

12.468

9.611

7.131

Total Non-current Liabilities (3)

12.468

9.611

654.017

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

4500.777

5737.263

4174.136

(b) Trade payables

4576.762

1999.392

1565.209

(c) Other current liabilities

107.765

80.153

96.141

(d) Short-term provisions

0.848

0.675

0.477

Total Current Liabilities (4)

9186.152

7817.483

5835.963

 

 

 

 

TOTAL

9646.448

8839.694

7783.560

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

1489.098

1535.174

1583.239

(ii) Intangible Assets

7.223

8.030

1.651

(iii) Capital work-in-progress

0.242

0.404

1.297

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

260.915

260.915

222.978

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

71.391

60.524

84.148

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

1828.869

1865.047

1893.313

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

3047.556

3010.164

2897.880

(c) Trade receivables

4267.541

3030.101

1983.725

(d) Cash and cash equivalents

67.670

497.565

551.799

(e) Short-term loans and advances

434.812

436.817

456.843

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

7817.579

6974.647

5890.247

 

 

 

 

TOTAL

9646.448

8839.694

7783.560

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

 

Income

15331.213

12872.445

8849.027

 

 

Other Income

76.528

77.113

54.867

 

 

TOTAL                                    

15407.741

12949.558

8903.894

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                    

15717.491

13085.945

9231.304

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION

(309.750)

(136.387)

(327.410)

 

 

 

 

 

Less

FINANCIAL EXPENSES                                   

77.006

74.568

60.123

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

(386.756)

(210.955)

(387.533)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

178.015

205.312

128.785

 

 

 

 

 

 

PROFIT BEFORE TAX

(564.771)

(416.267)

(516.318)

 

 

 

 

 

Less

TAX                                                                 

0.000

(135.286)

19.231

 

 

 

 

 

 

PROFIT AFTER TAX                            

(564.771)

(280.981)

(535.549)

 

 

 

 

 

 

Earnings Per Share (Rs.)

(4.91)

(2.44)

(4.65)

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2014

31.03.2013

31.03.2012

Current Maturities of Long term debt

NA

NA

NA

Cash generated from operations

NA

NA

NA

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Sales)

(%)

(3.68)

(2.18)

(6.05)

 

 

 

 

 

Operating Profit Margin

(PBIDT/Sales)

(%)

(2.02)

(1.06)

(3.70)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(6.02)

(4.85)

(6.83)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(1.26)

(0.41)

(0.40)

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

10.05

5.67

3.62

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.85

0.89

1.01

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

1150.625

1150.625

1150.625

Reserves & Surplus

142.955

(138.025)

(702.797)

Net worth

1293.580

1012.600

447.828

 

 

 

 

long-term borrowings

511.600

0.000

0.000

Short term borrowings

4174.136

5737.263

4500.777

Total borrowings

4685.736

5737.263

4500.777

Debt/Equity ratio

3.622

5.666

10.050

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

8849.027

12872.445

15331.213

 

 

45.467

19.101

 

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

8849.027

12872.445

15331.213

Profit

(535.549)

(280.981)

(564.771)

 

(6.05%)

(2.18%)

(3.68%)

 

 

 

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

No

8

Designation of contact person

No

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

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

No

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

 

 

NOTE: Registered office of the company has been shifted Zenith Complex, 4th Floor, Opposite, Krishi Bhavan, Shivaji Nagar, Pune- 5, Maharashtra, India, to the present address w.e.f.01.11.2006

 

 

UNSECURED LOAN

 

PARTICULARS

31.03.2014

(Rs. in Million)

31.03.2013

(Rs. in Million)

Short Term Borrowing

 

 

Working capital loans from banks

460.761

0.000

Loans repayable on demand from banks

4040.016

5737.263

Total

4500.777

5737.263

 

 

INDEX OF CHARGES: NO CHARGES EXIST FOR THE COMPANY

 

FIXED ASSETS

 

 

 

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.63.85

UK Pound

1

Rs.98.12

Euro

1

Rs.71.28

 

 

INFORMATION DETAILS

 

Information Gathered by :

KAM

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

GTA

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILITY

1~10

--

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--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

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

29

 

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.