MIRA INFORM REPORT

 

 

Report No. :

326848

Report Date :

15.06.2015

 

IDENTIFICATION DETAILS

 

Name :

FOCUS MEDISALES PRIVATE LIMITED

 

 

Registered Office :

No.23, 8th Cross, H Siddiah Road, Bangalore – 560027, Karnataka

Tel. No.:

91-80-40806999

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

01.04.1999

 

 

Com. Reg. No.:

08-025000

 

 

Capital Investment / Paid-up Capital :

Rs.5.000 Million

 

 

CIN No.:

[Company Identification No.]

U04231KA1999PTC025000

 

 

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 :

Wholesaler and Distributor of Medicines.

 

 

No. of Employees :

200 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (42)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject was incorporated in April 1999 and it is a wholly-owned subsidiary of “Vardhman Pharma Distributors Private Limited” (Vardhman). Vardhaman is a closely-held company with sharholding being held be the Chowhan family and Keimed Private Limited.

 

Subject is established company and it is having satisfactory track record.

 

During FY 2014, the company have performed above average and reported top line sale turnover of 32.64%. The company reported minimal profit of 0.66% during the year.

 

However, rating limits are partly offset by the proposed credit enhancement in form of unconditional and irrevocable corporate guarantee provided by Keimed Private Limited.

 

Ratings further constrained due to huge external borrowing taken by the company, which acts as threatening to the liquidity position of the company and lower profit margin.

 

However, trade relations are fair. Business is active. Payment terms are slow but correct.

 

In view of established track record, strong support received from its holding company backed by its experienced promoter, the company can be considered for business dealing with its usual 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 rating: “BBB+”

Rating Explanation

Moderate degree of safety and moderate credit risk.

Date

December, 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 PARTED BY (GENERAL DETAILS)

 

Name :

Mrs. Chandrika

Designation :

Finance Manager

Contact No.:

91-9886393814

Date :

13.06.2015

 

 

LOCATIONS

 

Registered/ Head Office :

No.23, 8th Cross, H Siddiah Road, Bangalore – 560027, Karnataka, India

Tel. No.:

91-80-40806999/ 40806916

Mobile No.:

91-9886393814 (Mrs. Chandrika)

Fax No.:

91-80-40806911

E-Mail :

mahendra.chowhan@groupunnati.com

kishan@focusmedisales.com

admin@sandh.in

contact@focusmedisales.com

Website :

www.focusmedisales.com

Area :

8000 Sq. Ft.

Location :

Rented

 

 

Branch Office 1 :

124, First Floor, Dooravani nagar, K R Puram, Old Madras Road, Opposite Tin Factory, Bangalore - 560016, Karnataka, India

Tel No.:

91-80-30093200

E-Mail :

fmpl.east@focusmedisales.com

 

 

Branch Office 2 :

80/a-1, First Floor, 3rd Cross, Industrial Suburb, Yashwantpur, Bangalore - 560022, Karnataka, India

Tel No.:

91-80-49333150

E-Mail :

fmpl.north@focusmedisales.com

 

 

DIRECTORS

 

AS ON 19.09.2014

 

Name :

Mr. Mahendra Bhoormal Chowhan

Designation :

Director

Address :

No. 96/7, 1st Cross, South End Road, Basavangudi, Bangalore – 560004, Karnataka, India

Date of Birth/Age :

09.03.1962

Date of Appointment :

20.12.2008

DIN No.:

00092275

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

Company/ LLP Status

Defaulting status

1

U85110KA1992PTC013757

VARDHMAN PHARMA DISTRIBUTORS PRIVATE LIMITED

Director

15-05-1998

15-05-1998

Active

NO

2

U24232KA2006PTC040347

PROSERVE HEALTHLINES (INDIA) PRIVATE LIMITED

Director

30-08-2006

30-08-2006

Active

NO

3

U65192KA2008PTC045032

UNNATI HEALTH SERVICES PRIVATE LIMITED

Director

23-01-2008

23-01-2008

Active

NO

4

U04231KA1999PTC025000

FOCUS MEDISALES PRIVATE LIMITED

Director

20-12-2008

20-12-2008

Active

NO

5

U33111KA2008PTC045022

SRINIVASA MEDISALES PRIVATE LIMITED

Director

22-07-2009

22-07-2009

Active

NO

 

 

Name :

Mr. Kishan Kumar Prakash

Designation :

Director

Address :

No. 96, 3E/22/01, 16th Main, Near Martin Luther English School, Mumeswara Block, Bangalore – 560026, Karnataka, India

Date of Birth/Age :

15.05.1966

Date of Appointment :

02.05.2008

DIN No.:

02129510

 

 

KEY EXECUTIVES

 

Name :

Mrs. Chandrika

Designation :

Finance Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 19.09.2014

 

Names of Shareholders

No. of Shares

Vardhman Pharma Distributors Private Limited, India

499990

Mahendra Bhoormal Chowhan

10

Total

 

500000

 

 

AS ON 19.09.2014

 

Equity Share Break up (Percentage of Total Equity)

 

Category

Percentage of Holding

Bodies corporate

100.00

Total

100.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Wholesaler and Distributor of Medicines.

 

 

Products :

Medicines

 

 

Brand Names :

--

 

 

Agencies Held :

--

 

 

Exports :

--

 

 

Imports :

--

 

 

Terms :

 

Selling :

Cash, Cheque and Credit

 

 

Purchasing :

Cash and Credit

 

 

PRODUCTION STATUS: NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference:

Sun Pharma Limited, Mumbai

Name of the Person (Designation):

Not Divulged

Contact Number:

91-22-43244324

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

Customers :

Wholesalers and Retailers

 

Reference:

Yasho Pharma, Bangalore

Name of the Person (Designation):

Mr. Mahesh (Proprietor)

Contact Number:

91-80-22227285

Since how long known:

6-7 Years

Maximum limit dealt:

Not Divulged

Experience:

Product Quality: Good

Delivery Behaviour: Good

Overall: Good

Remark

--

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :

Bank Name:

HDFC Bank Limited

Branch:

Richmond Road Branch, Bangalore, Karnataka, India

Person Name (with Designation):

Ms. Supriya

Contact Number:

91-80-67139211

Name of Account Holder:

Not Divulged

Account Number:

Not Divulged

Account Since (Date/ Year of A/c Opening):

Not Divulged

Average Balance Maintained (Optional):

Not Divulged

Credit Facilities Enjoyed (CC/OD/Term Loan):

Not Divulged

Account Operation:

Not Divulged

Remarks:

Not Divulged

 

·         Citibank N A, 506-507, Level 5, Prestige Meridian 2,  No. 30, M G Road,, Bangalore - 560001, Karnataka, India

 

·         HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

 

 

Facilities :

SECURED LOANS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

SHORT TERM BORROWINGS

 

 

Loan Repayable on Demand

Secured Loan from BANK: HDFC Bank

(Secured by hypothecation of inventory, receivables less 90 days, other current assets, collateral security of immovable proprieties of the directors and personal guarantee of the directors)

108.107

88.104

Total

108.107

88.104

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Sundararajan and Harish

Chartered Accountants

Address :

29/1, H M Strafford, Ground Floor, 7th Cross, Vasanth Nagar, Bangalore – 560052, Karnataka, India

Tel. No.:

91-80-22280002/ 22280009

E-Mail :

aswin@sandh.in

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

AADFS9027Q

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Holding company:

Vardhman Pharma Distributors Private Limited

CIN No.: U85110KA1992PTC013757

 

 

Related Parties

·         Srinivasa Medisales Private Limited

·         Keimed Private Limited

 

 

CAPITAL STRUCTURE

 

AS ON 19.09.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

500,000

Equity Shares

Rs.10/- each

Rs. 5.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

500,000

Equity Shares

Rs.10/- each

Rs. 5.000 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

5.000

5.000

5.000

(b) Reserves & Surplus

19.053

14.191

9.338

(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)

24.053

19.191

14.338

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term borrowings

25.000

20.375

20.400

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.268

0.301

0.778

Total Non-current Liabilities (3)

25.268

20.676

21.178

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short-term borrowings

111.107

88.104

51.282

(b) Trade payables

17.065

13.976

12.935

(c) Other current liabilities

2.199

1.513

0.854

(d) Short-term provisions

6.126

4.491

4.326

Total Current Liabilities (4)

136.497

108.084

69.397

 

 

 

 

TOTAL

185.818

147.951

104.913

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

14.822

17.682

7.858

(ii) Intangible Assets

0.068

0.113

0.000

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.717

0.263

0.621

(d)  Long-term Loan and Advances

3.350

3.350

1.525

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

18.957

21.408

10.004

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

76.221

64.410

46.242

(c) Trade receivables

84.609

58.164

45.138

(d) Cash and cash equivalents

1.911

0.593

0.439

(e) Short-term loans and advances

3.300

2.400

2.315

(f) Other current assets

0.820

0.976

0.775

Total Current Assets

166.861

126.543

94.909

 

 

 

 

TOTAL

185.818

147.951

104.913

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

 

Income

970.536

731.690

606.169

 

 

Other Income

NA

NA

NA

 

 

TOTAL                                    

NA

NA

NA

 

 

 

 

 

Less

EXPENSES

NA

NA

NA

 

 

 

 

 

 

 

 

 

 

 

PROFIT BEFORE TAX

9.565

8.991

7.370

 

 

 

 

 

Less

TAX                                                                 

3.076

2.958

2.306

 

 

 

 

 

 

PROFIT AFTER TAX

6.489

6.033

5.064

 

 

 

 

 

 

Earnings Per Share (Rs.)

12.98

12.07

10.00

 

 

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

(10.419)

(13.272)

NA

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Sales)

(%)

0.67

0.82

0.84

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

5.17

6.09

7.07

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.40

0.47

0.51

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

5.66

5.65

5.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.22

1.17

1.37

 

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

 

 

 

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

5.000

5.000

5.000

Reserves & Surplus

9.338

14.191

19.053

Money received against Share Warrants

0.000

0.000

0.000

Share Application Money Pending Allotment

0.000

0.000

0.000

Net Worth

14.338

19.191

24.053

 

 

 

 

Long-term Borrowings

20.400

20.375

25.000

Short-term Borrowings

51.282

88.104

111.107

CURRENT MATURITIES OF LONG-TERM DEBTS

0.000

0.000

0.000

Total Borrowings

71.682

108.479

136.107

Debt/Equity Ratio

4.999

5.653

5.659

 

 

 

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

606.169

731.690

970.536

 

 

20.707

32.643

 

 

 

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

606.169

731.690

970.536

Profit

5.064

6.033

6.489

 

0.84%

0.82%

0.67%

 

 

 

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

Yes

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

Yes

19

Major customers

Yes

20

Banking Details

Yes

21

Banking facility details

Yes

22

Conduct of the banking account

--

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last three years

Yes

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

No

29

Profitability for last three years

Yes

30

Major shareholders, if available

Yes

31

External Agency Rating, if available

Yes

32

Litigations that the firm/promoter involved in

--

33

Market information

--

34

Payments terms

Yes

35

Negative Reporting by Auditors in the Annual Report

No

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10505300

05/05/2014

20,000,000.00

HDFC BANK LIMITED

EMERGING CORPORATE GROUP, NO. 8-24/ SALCO CENTRE, 
RICHMOND ROAD, BANGALORE, KARNATAKA - 
560025, INDIA

C07361967

2

10403999

28/01/2013

25,000,000.00

HDFC BANK LIMITED

HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA

B68513589

3

10352622

29/03/2012

20,000,000.00

HDFC BANK LIMITED

HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA

B38561809

4

10308716

12/08/2011

10,000,000.00

HDFC BANK LIMITED

HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA

B21827407

5

10217756

28/03/2015 *

150,000,000.00

HDFC BANK LIMITED

EMERGING CORPORATE GROUP NO. 8-24/ SALCO CENTRE,  RICHMOND ROAD, BANGALORE - 560025, KARNATAKA, INDIA

C53307039

 

* Date of charge modification

 

 

UNSECURED LOANS

 

PARTICULAR

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

LONG TERM BORROWINGS

 

 

From Directors/ Shareholder and their relatives

25.000

20.000

From Private Limited Company

0.000

0.375

 

 

 

SHORT TERM BORROWINGS

 

 

Loans and Advances from Related Parties

3.000

0.000

Total

28.000

20.375

 

 

CHANGE OF ADDRESS

 

The Registered office of the company has been shifted from No. 25, II Main Road, Sudham Nagar, Bangalore – 575027, Karnataka, India to the present address w.e.f 30.09.2008

 

 

PERFORMANCE OF THE COMPANY

 

During the financial year 2013-2014, the company has recorded a sales turnover of Rs. 970.537 Million as compared to Rs. 731.690 Million in the corresponding previous year and make a profit of Rs. 6.490 Million as compared to Rs. 6.033 Million in the corresponding previous year. The board has expressed its hope to improve the turnover and profit for the current financial year.

 

 

FIXED ASSETS

 

Tangible Assets

·         Furniture and Fixtures

·         Leasehold Improvements

·         Computer and Accessories

·         Generator

·         Office Equipment

·         EPABX

·         Cooler and Refrigerator

·         Electrical Installation

·         Vehicles

·         Air conditioner

·         UPS

·         Roller Conveyor

·         Projector

·         Net Working

 

Intangible Assets

·         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 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. 64.03

UK Pound

1

Rs. 99.27

Euro

1

Rs. 71.90

 

 

INFORMATION DETAILS

 

Information Gathered by :

RKH

 

 

Analysis Done by :

KAS

 

 

Report Prepared by :

MRI

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILITY

1~10

4

--LIQUIDITY

1~10

4

--LEVERAGE

1~10

4

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

42

 

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.