MIRA INFORM REPORT

 

 

Report No. :

310078

Report Date :

13.03.2015

 

IDENTIFICATION DETAILS

 

Name :

BATA SHOE COMPANY OF CEYLON LTD

 

 

Registered Office :

#.100, General Sir John Kotalawala Road, Ratmalana

 

 

Country :

Sri Lanka

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

09.06.1950

 

 

Com. Reg. No.:

PB 963

 

 

Legal Form :

Private Limited Liability Company [In Operation]

 

 

Line of Business :

Manufacture, Exporter and Retailers of all kinds  of  Footwear

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

Clear

 

NOTES:

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

 

 

ECGC Country Risk Classification List – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Sri Lanka

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SRI LANKA - ECONOMIC OVERVIEW

 

Sri Lanka continues to experience strong economic growth following the end of the 26-year conflict with the Liberation Tigers of Tamil Eelam. The government has been pursuing large-scale reconstruction and development projects in its efforts to spur growth in war-torn and disadvantaged areas, develop small and medium enterprises and increase agricultural productivity. The government's high debt payments and bloated civil service have contributed to historically high budget deficits, but fiscal consolidation efforts and strong GDP growth in recent years have helped bring down the government's fiscal deficit. However, low tax revenues are a major concern. The 2008-09 global financial crisis and recession exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of payments crisis. Agriculture slowed due to a drought and weak global demand affected exports and trade. In early 2012, Sri Lanka floated the rupee, resulting in a sharp depreciation, and took steps to curb imports. A large trade deficit remains a concern, but strong remittances from Sri Lankan workers abroad help offset the trade deficit. Government debt of about 80% of GDP remains among the highest in emerging markets.

 

Source : CIA

 

 

GENERAL - Basic information at a glance

     

a.

Name of Subject of Inquiry

:

 

BATA SHOE COMPANY OF CEYLON LTD

 

b.

Legal Form  & Status

:

Private Limited Liability Company  (In Operation)

c.

Managing Director

:

Bhata Inderpreet Singh

d.

Primary Line of Business

:

Manufacture and Exporter and Retailers of all kinds  of  Footwear

e.

Head office

&

Place of Business

 

:

 

#.100, General Sir John Kotalawala Road,

Ratmalana, Sri Lanka.

 

Tel. No: (00 94 11) 263 3791 / 2

               (00 94 11) 260 5108 - MD

Fax No: (00 94 11) 263 7093

 

Email: inderpreet.singh@ata.com 

             customer.service@batalanka.com

 

 

f.

No. of Employees

:

Not Disclosed

 

 

COMPANY DETAILS  - Registration and Shareholder Details

 

a.

Registration No

:

PVS/ PBS 859                        

Date of Registration

 

09th June 1950

b.

Re-registration No

:

 PB 963

Date of Re-registration

 

07th May 2009

c.

Registered Office

:

# 100, General Sir John Kotalawala Road, Ratmalana

d.

Board of Directors

As at

28th November 2014

:

Rajeev Gopalakrishnan

 

Chairman

Bhata Inderpreet Singh

 

Managing Director

Hemaka Devapriya Senarath Amarasuriya

 

Director

Shaibal Sinha

 

Director

Muhammad Ejaz Siddiqui (Alternate Director to Shaibal Sinha

 

Director

e.

Issued Share Capital

:

Rs.    121,875,000.00              

f.

Number of Shares

:

          12,187,500         

Nominal Value of Share

:

Not declared vide Companies Act #7 of 2007

g.

 

Share Holders

As at

28th November 2014

 

:

Share Holders

No. of

Shares

BAFIN (Nederland) B.V.

12,187,500

h.

Auditors

:

Messrs Ernst & Young, 201 De Saram Place, Colombo 10

i.

Company Secretaries

:

Jacey & Company, No 9/5, Thambiah Avenue, Colombo 7

k.

Bankers

:

Not Disclosed

 

Directors Details

 

 01)

Name

Amarasuriya Hemaka Devapriya Senarath

ID Number

433241304

Nationality

Sri Lankan

Gender

Male

Date of Birth

19th November 1943

Age

71 years

Address

30/15, Park Road, Colombo 5

02)

            

Name

Rajeev Gopalakrishnan

PP Number

Z 1935677

Nationality

India

Address

No 100, General Sir John Kotalawala Road, Ratmalana

 

        

 

 

 

 

 

 

                03)

 

Name

Bhata Inderpreet Singh

PP Number

J 5297170

Nationality

India

Address

No 100, General Sir John Kotalawala Road, Ratmalana

 

 

 

 

        

 

 

 

 

 

 

FINANCIAL DETAILS - Most recent available Financial Information

 

                                                                                                                                                                       

Statement of Financials as at 31st December,

 

               

               2013

Rupees               

 

                2012

Rupees

 

 

A

Revenue

:

1,025,461,967

1,059,627,768

B

 Cost of Sales

:

(673,965,441)

(706,677,598)

C

 Gross Profit

:

351,496,526

352,950,170

D

Other Income

:

26,451,590

2,059,000

E

Selling and Distribution Expenses

:

(277,244,104)

(247,200,333)

F

Administrative Expensive

:

(280,900,012)

(184,511,547)

G

Finance Expenses

:

(30,676,380)

(35,488,492)

H

Finance Income

:

388,177

320,179

H

Net Profit / (Loss) before Tax

:

(210,534,203)

(111,871,023)

I

Income Tax Expenses

:

(8,186,076)

(1,415,928)

J

Net Profit / (Loss) For the year

:

(218,720,279)

(113,286,951

 

 

FINANCIAL DETAILS - Most recent available Financial Information (Cont/d….)

 

 

Statement of Financials as at 31st December,

2013

Rupees

 

2012

Rupees

 

a)

Non-current Assets

:

665,014,819

610,957,723

b)

Current Assets

:

461,184,388

524,133,456

c)

Total Assets

:

1,126,199,207

1,135,091,179

d)

Equity & Liabilities

:

163,062,273

365,097,808

e)

Non Current Liabilities

:

527,500,119

339,868,795

f)

 

Current Liabilities

 

:

435,636,815

430,124,576

 

g)

 

Total Liabilities

 

:

           

             963,136,934

 

              769,99,371

 

h)

 

Net Worth

 

 

:

 

2,089,336,141

 

1,212,090,550

 

 

Current investigation

 

                                               Bata

                                                         Company Logo

 

·         History

 

                  The Subject Company BATA SHOE COMPANY OF CEYLON LTD is a Private    Limited   liability Company incorporated on 09th June 1950 under registration number PVS/PBS 859 and then the company was re-registered on 07th May 2009 under registration number PB 963.

                   It is a subsidiary company of BAFIN (Nederland) B.V. and a multinational company.

 

·         Location.

 

The subject company is located at client # 100, General Sir John Kotalawala Road, Ratmalana, approx. 10 kilo meters south of Colombo city, and is an industrial area closer to the Domestic Airport, Ratmalana.

 

 

·         Operational Details.

 

General

 

            The subject company’s primary line of business is Manufacture and Exporter and Retailers of all kinds of Footwear for men, women, children and sports men & women. Subject is having franchise dealers/agents and branches/retail Shops Island wide.

 

 

            Products

Rubber Boots, Rubber Thongs, Sandals, Leather Shoes

 

                New Picture    New Picture   New Picture   New Picture  New Picture    New Picture

 

 

Brands

                  Hush Puppies

                  Power

                  Bubblegummers

                  Rubber Thongs

                  Power

                  Blaster

 

Country

Singapore, Italy, New Zealand, Guyane, Australia, Barbados, St.Lucia, Antigua, St.Vincent, St.Kitts, Jordan, Kenya.

 

Employees

                  Not Disclosed

      

·         Trade references

Bata is well known in the country and it is a family name

 

 

·         Credit Recommendations

 

                   Since no financial information has been forthcoming from the company, it is not possible to comment on the merits or otherwise of the company.

 

No computerized data bases exist to make checks whether the partners or the company has any legal action or lawsuit initiated against any of them but informal (but not in-depth) checks do not indicate any such cases in the public knowledge.

 

 

INFORMATION Declined

 

Management non co-operative

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.62.57

UK Pound

1

Rs.93.57

Euro

1

Rs.65.95

 

 

INFORMATION DETAILS

 

Information Gathered by :

JML

 

 

Analysis Done by :

SUB

 

 

Report Prepared by :

TPT

 

               


 

RATING EXPLANATIONS

 

RATING

STATUS

PROPOSED CREDIT LINE

 

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

 

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

 

41-55

Ba

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

 

Satisfactory

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

 

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

 

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

 

--

NB

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

 

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.