MIRA INFORM REPORT
|
Report No. : |
344052 |
|
Report Date : |
08.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
LORDS FREIGHT
(INDIA) PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
Unit No. 511, 5th Floor, Crescent Business Park, Sumitha Complex,
Safedpul, Sakinaka, Andheri (East), Mumbai – 400072, Maharashtra |
|
Tel. No.: |
91-22-28593370 |
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|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2014 |
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|
|
Date of
Incorporation : |
25.04.2011 |
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Com. Reg. No.: |
11-216628 |
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Capital
Investment / Paid-up Capital : |
Rs.12.600 Million |
|
|
|
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CIN No.: [Company Identification
No.] |
U63030MH2011PTC216628 |
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|
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IEC No.: |
Not Available |
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|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
Not Available |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Subject is a logistics company, engaged into providing airfreight consolidation and time definite services, extensive and comprehensive heavy weight transportation, project cargo forwarding, full container load (FCL)/ less container load (LCL) services, ocean freight consolidation, customs brokerage, transpiration and warehousing and distribution services. |
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|
|
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No. of Employees
: |
10 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
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|
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a subsidiary of “Mahindra Logistics Limited”. It is an established company incorporated in the year 2011 having
satisfactory track. The company has incurred a loss during FY 2014. However, the rating derives strength from its holding company and its
experienced management. Trade relations are reported as fair. Business is active. Payment term
are reported as usually correct and as per commitment. In view of strong support from Mahindra group, the company can be
considered normal for business dealings at 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.
EXTERNAL AGENCY RATING
NOT AVAILABLE
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
31-03-2015.
INFORMATION PARTED BY
|
Name : |
Mr. Jashwant |
|
Designation : |
Finance Manager |
|
Contact No.: |
91-9930999193 |
|
Date : |
06.10.2015 |
LOCATIONS
|
Registered Office : |
Unit No. 511, 5th Floor, Crescent Business Park, Sumitha
Complex, Safedpul, Sakinaka, Andheri (East), Mumbai – 400072, Maharashtra,
India |
|
Tel. No.: |
91-22-28593370 / 28565531 / 32 / 33 |
|
Mobile No.: |
91-9930999193 (Mr. Jashwant) |
|
Fax No.: |
91-22-28565532 |
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E-Mail : |
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|
Website : |
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|
Location : |
Rented |
|
Locality : |
Commercial |
|
|
|
|
Corporate Office : |
146, Gopal Towers, 4th Floor, Ramaiah Street, Kodihalli, HAL
Airport Road, Bangalore – 560008, Karnataka, India |
|
Tel. No.: |
91-22-28593370 |
|
Fax No.: |
91-22-28565531 |
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E-Mail : |
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Branch Office : |
Located At:
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DIRECTORS
As on 15.07.2014
|
Name : |
Mr. Shamsudheen Ahmed Aboobacker |
|
Designation : |
Director |
|
Address : |
Sabeel House, Ambalath, P.O. Kechery, Trichur - 680501, Kerala, India |
|
Date of Birth /Age : |
15.11.1960 |
|
Date of Appointment : |
25.04.2011 |
|
DIN No.: |
02833556 |
|
|
|
|
Name : |
Mr. Sushil Kumar Rathi |
|
Designation : |
Director |
|
Address : |
C-901, 9th Floor Lakshchandi Apartment, Gokuldham, A. K. Vaidya Marg, Goregaon (East), Mumbai - 400063, Maharashtra, India |
|
Date of Appointment : |
07.08.2014 |
|
DIN No.: |
05358211 |
|
|
|
|
Name : |
Mr. Pirojshaw Aspi Sarkari |
|
Designation : |
Director |
|
Address : |
501A, Lokhandwala Residency,Manrekar Lane, Off E-Moses Road, Worli Naka, Mumbai - 400018, Maharashtra, India |
|
Date of Appointment : |
07.08.2014 |
|
DIN No.: |
00820860 |
|
|
|
|
Name : |
Mr. Parag Chandulal Shah |
|
Designation : |
Director |
|
Address : |
7 Kailas, 50 Pedder Road, Mumbai - 400026, Maharashtra, India |
|
Date of Appointment : |
22.10.2014 |
|
DIN No.: |
00374944 |
|
|
|
|
Name : |
Mr. Anant Gupta |
|
Designation : |
Director |
|
Address : |
Flat 502, Paramount Towers, 15th Road, Khar (West), Mumbai - 400052, Maharashtra, India |
|
Date of Appointment : |
22.10.2014 |
|
DIN No.: |
06946611 |
|
|
|
|
Name : |
Mr. Sumit Sudhirvarma |
|
Designation : |
Whole-Time Director |
|
Address : |
35, 1st Phase, 3rd Main 1st Cross 5 A, Cross Beml Layout Rajeshwarinagar, Bangalore - 560098, Karnataka, India |
|
Date of Birth /Age : |
28.05.1973 |
|
Date of Appointment : |
02.06.2011 |
|
DIN No.: |
03426844 |
KEY EXECUTIVES
|
Name : |
Mr. Jashwant |
|
Designation : |
Finance Manager |
MAJOR SHAREHOLDERS
As on 15.07.2014
|
Names of Shareholders |
No. of Shares |
%age
holding |
|
Shamsudeen Ahmed |
280000 |
22.22 |
|
Noushad Parakott |
280000 |
22.22 |
|
A. Mohan |
210000 |
16.67 |
|
Sumit S. Varma |
122500 |
9.72 |
|
S. Rajagopalan |
122500 |
9.72 |
|
V. Krishnan |
122500 |
9.72 |
|
Santhosh Kannambra |
122500 |
9.72 |
|
Total |
1260000 |
100.00 |
As on 07.08.2014
|
Names of Allottee |
No. of Shares
Allotted |
|
Mahindra Logistics Limited, India |
1102509 |
|
Total |
1102509 |
As on 15.07.2014
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage |
|
Directors or relatives of Directors |
100.00 |
|
Total |
100.00 |
%20PRIVATE%20LIMITED%20-%20344052_MIRA%2008-Oct-2015_files/image013.gif)
BUSINESS DETAILS
|
Line of Business : |
Subject is a logistics company, engaged into providing
airfreight consolidation and time definite services, extensive and comprehensive
heavy weight transportation, project cargo forwarding, full container load
(FCL)/ less container load (LCL) services, ocean freight consolidation,
customs brokerage, transpiration and warehousing and distribution
services. |
|
|
|
|
Products / Services : |
|
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Available |
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Imports : |
Not Available |
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Terms : |
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Selling : |
Cheque and Online (30 Days) |
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Purchasing : |
Cheque and Online (30 Days) |
PRODUCTION STATUS = NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
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Customers : |
End Users
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No. of Employees : |
10 (Approximately) |
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Bankers : |
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Auditors 1 : |
|
|
Name : |
Sayed Shaikh and Associates Chartered Accountants |
|
Address : |
Block 4-A, 1st Floor, Nafees Chambers, L.T. Marg, Carnac
Road, Mumbai – 400001, Maharashtra, India |
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PAN No.: |
ACLFS3265J |
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|
|
|
Auditors 2 : |
|
|
Name : |
AMS and Company Chartered Accountants |
|
Address : |
F/97, Profit Centre, 1st Floor Opposite Balaji Party Hall,
Mahavir Nagar, Kandivali (West), Mumbai – 400067, Maharashtra, India |
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Tel. No.: |
91-22-42959699 |
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E-mail : |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Holding Company (As Confirmed by
Management) : |
Mahindra Logistics Limited |
CAPITAL STRUCTURE
After 15.07.2014
Authorised Capital: Rs.25.000 Million
Issued, Subscribed & Paid-up Capital: Rs.23.625
Million
As on 15.07.2014
Authorised Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2500000 |
Equity Shares |
Rs.10/- each |
Rs.25.000 Million |
Issued, Subscribed & Paid-up Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1260000 |
Equity Shares |
Rs.10/- each |
Rs.12.600
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 |
12.600 |
12.600 |
7.280 |
|
(b) Reserves &
Surplus |
9.065 |
24.204 |
9.330 |
|
(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) |
21.665 |
36.804 |
16.610 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
6.850 |
2.300 |
|
(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 |
0.000 |
0.000 |
0.000 |
|
Total Non-current
Liabilities (3) |
0.000 |
6.850 |
2.300 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
8.150 |
1.300 |
0.000 |
|
(b) Trade payables |
114.561 |
58.546 |
31.336 |
|
(c) Other current
liabilities |
16.188 |
5.421 |
0.000 |
|
(d) Short-term provisions |
1.602 |
0.000 |
14.300 |
|
Total Current Liabilities
(4) |
140.501 |
65.267 |
45.636 |
|
|
|
|
|
|
TOTAL |
162.166 |
108.921 |
64.546 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
6.240 |
6.770 |
4.516 |
|
(ii) Intangible Assets |
0.948 |
1.033 |
0.450 |
|
(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) |
2.629 |
0.780 |
1.664 |
|
(d) Long-term Loan and Advances |
0.000 |
0.000 |
0.000 |
|
(e) Other Non-current
assets |
0.000 |
0.000 |
2.979 |
|
Total Non-Current Assets |
9.817 |
8.583 |
9.609 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
0.000 |
0.000 |
0.000 |
|
(c) Trade receivables |
126.282 |
78.677 |
37.418 |
|
(d) Cash and cash
equivalents |
7.308 |
10.721 |
9.359 |
|
(e) Short-term loans and
advances |
0.000 |
0.000 |
0.000 |
|
(f) Other current assets |
18.759 |
10.940 |
8.160 |
|
Total Current Assets |
152.349 |
100.338 |
54.937 |
|
|
|
|
|
|
TOTAL |
162.166 |
108.921 |
64.546 |
PROFIT & LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
SALES |
|
|
|
|
|
Income |
602.856 |
493.962 |
127.452 |
|
|
Other Income |
0.000 |
0.000 |
0.000 |
|
|
TOTAL |
602.856 |
493.962 |
127.452 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Purchases of
Stock-in-Trade |
544.408 |
436.890 |
112.441 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
29.835 |
22.879 |
7.150 |
|
|
Employees benefits
expense |
43.158 |
29.832 |
12.996 |
|
|
TOTAL |
617.401 |
489.601 |
132.587 |
|
|
|
|
|
|
|
Less |
PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND
AMORTISATION |
(14.545) |
4.361 |
(5.135) |
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES |
0.730 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
TAX, DEPRECIATION AND AMORTISATION |
(15.275) |
4.361 |
(5.135) |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
1.713 |
1.502 |
0.598 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE TAX |
(16.988) |
2.859 |
(5.733) |
|
|
|
|
|
|
|
Less |
TAX |
(1.849) |
0.885 |
(1.664) |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER TAX
|
(15.139) |
1.974 |
(4.069) |
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’ BALANCE
BROUGHT FORWARD |
(2.095) |
(4.069) |
0.000 |
|
|
|
|
|
|
|
|
Balance Carried to the
B/S |
(17.234) |
(2.095) |
(4.069) |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per
Share (Rs.) |
(12.01) |
1.56 |
(3.22) |
|
Particulars |
|
|
31.03.2015 |
|
Sales Turnover (Approximately) |
|
|
750.000 |
Expected Sales (2015-16): Rs.850.000 Million
The above information has been parted by Mr. Jashwant (Finance Manager).
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 |
|
Net cash flows (used in) / generated from operations |
(1.585) |
(18.367) |
(8.056) |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Net Profit Margin (PAT/Sales) |
(%) |
(2.51) |
0.40 |
(3.19) |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT / Sales) |
(%) |
(2.41) |
0.88 |
(4.03) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(10.65) |
2.64 |
(9.12) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.78) |
0.08 |
(0.35) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.38 |
0.22 |
0.14 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.08 |
1.54 |
1.20 |
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 |
7.280 |
12.600 |
12.600 |
|
Reserves & Surplus |
9.330 |
24.204 |
9.065 |
|
Net worth |
16.610 |
36.804 |
21.665 |
|
|
|
|
|
|
long-term borrowings |
2.300 |
6.850 |
0.000 |
|
Short term borrowings |
0.000 |
1.300 |
8.150 |
|
Total borrowings |
2.300 |
8.150 |
8.150 |
|
Debt/Equity ratio |
0.138 |
0.221 |
0.376 |
%20PRIVATE%20LIMITED%20-%20344052_MIRA%2008-Oct-2015_files/image015.gif)
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 |
127.452 |
493.962 |
602.856 |
|
|
|
287.567 |
22.045 |
%20PRIVATE%20LIMITED%20-%20344052_MIRA%2008-Oct-2015_files/image017.gif)
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 |
127.452 |
493.962 |
602.856 |
|
Profit |
(4.069) |
1.974 |
(15.139) |
|
|
(3.19%) |
0.40% |
(2.51%) |
%20PRIVATE%20LIMITED%20-%20344052_MIRA%2008-Oct-2015_files/image019.gif)
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 |
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 about four years |
Yes |
|
27 |
Reasons for variation <> 20% |
---------------------- |
|
28 |
Estimation for coming financial year |
Yes |
|
29 |
Profitability about 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 |
Yes |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
Note:
Registered address has been shifted from 703, Sanskruti, Plot No. 12/21,
Sector - 42, Nerul (West), Navi Mumbai – 400706, Maharashtra, India to the
present address w.e.f. 25.05.2011
UNSECURED LOAN
(Rs.
In Million)
|
Particulars |
As
on 31.03.2014 |
As
on 31.03.2013 |
|
LONG TERM
BORROWING |
|
|
|
Loans from Director |
0.000 |
6.850 |
|
SHORT TERM
BORROWING |
|
|
|
Loans from Director |
8.150 |
1.300 |
|
Total |
8.150 |
8.150 |
INDEX OF CHARGES
|
S. NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10509601 |
20/08/2014 * |
30,000,000.00 |
THE ZOROASTRIAN CO-OPERATIVE BANK LIMITED |
ANDHERI BRANCH, SHOP NOS.2 & 3, PARSIAN CHS, V. P. ROAD, OFF S. V. ROAD, ANDHERI (WEST), MUMBAI - 400058, MAHARASHTRA, INDIA |
C21031125 |
* Date of charge modification
FIXED ASSETS
- Computer
- Office Equipment
- Furniture and Fixture
WEBSITE DETAILS:
PRESS RELEASES /
NEWS:
MAHINDRA LOGISTICS ACQUIRES MAJORITY STAKE IN
LORDS FREIGHT (INDIA) PRIVATE LIMITED
August 19, 2014
Mahindra Logistics Limited (MLL), part of India’s USD 16.5 billion Mahindra Group, today announced that it has acquired a majority stake in LORDS Freight (India) Private Limited (LORDS). This will provide a significant boost to the company’s expansion plans.
Their vision is to be India’s leading, most preferred integrated logistics service provider’ and international freight forwarding is an essential component of this vision. With this acquisition, MLL’s service portfolio will be considerably enhanced. LORDS presented an ideal opportunity for us given its proven track record of growth, strong focus on quality and the fact that it has a strong cultural fit with Mahindra Logistics. This is our maiden investment, and will considerably add to the value proposition we offer our customers said Pirojshaw Sarkari, CEO, Mahindra Logistics Limited
"Since our partnership with Kedaara Capital earlier this year, we see a very clear path to an IPO for Mahindra Logistics. It is our goal to grow to INR 60000.000 Million and this is the first of several in-organic steps we have planned. Through a turnaround process, we have made MLL into one of the ten most profitable companies within the Mahindra Group said Parag Shah, Managing Partner, Mahindra Partners.
They are very excited to work with the team at Mahindra Logistics. They at LORDS have a keen focus on accelerated growth. This investment by MLL will allow us to pursue a strategy of enhancing our capabilities and expanding our international presence, while simultaneously leveraging MLL’s customer base and process methodologies. LORDS has always had a keen focus on the critical attributes of technology, talent and a global network since its inception; greatly encouraged by a discerning customer base and said Shamsudeen Ahmed, Chairman, LORDS Freight (India) Private Limited who has been recognized by Forbes Middle East as one of the Top Indian Leaders in the Arab World, 2014.
Mahindra Logistics Limited (MLL), a subsidiary of Mahindra & Mahindra Limited, is one of India’s leading Third Party Logistics (3PL) service providers. Over the past four years, MLL has grown rapidly by diversifying its industry segment focus, developing an integrated supply chain services portfolio, and unique people transport solutions.
In 2009, the Mahindra Group identified logistics as a key focus area, and since then MLL has been part of the Mahindra Partners division, the US$ 900 million quasi private equity division of the Mahindra Group. Mahindra Partners exemplifies how the Mahindra Group creates value by nurturing and building new businesses of the future.
LORDS, specializes in international logistics solutions, and is based out of Mumbai with a presence in most major cities in India. Founded in 2011 by a group of Industry professionals, LORDS brings together some of the best minds in the Indian logistics industry, with the executive management team having over 100 years of cumulative experience in various aspects of the logistics business including freight forwarding, customs brokerage, transportation and warehousing.
About Mahindra
The Mahindra Group focuses on enabling people to rise through solutions that power mobility, drive rural prosperity, enhance urban lifestyles and increase business efficiency.
A USD 16.5 billion multinational group based in Mumbai, India, Mahindra employs more than 180,000 people in over 100 countries. Mahindra operates in the key industries that drive economic growth, enjoying a leadership position in tractors, utility vehicles, information technology, financial services and vacation ownership. In addition, Mahindra enjoys a strong presence in the agribusiness, aerospace, components, consulting services, defence, energy, industrial equipment, logistics, real estate, retail, steel, commercial vehicles and two wheeler industries.
In 2014, Mahindra featured on the Forbes Global 2000, a comprehensive listing of the world’s largest, most powerful public companies, as measured by revenue, profit, assets and market value. The Mahindra Group also received the Financial Times Boldness in Business’ Award in the Emerging Markets’ category in 2013.
About LORDS Freight
(India) Private Limited
LORDS Freight is a design oriented supply chain organization which is easy to do business with because of an adaptive network of partnerships around the world. These networks are capable of being adapted to a varied size and scale of international logistics solutions. The strength of LORDS Freight is its professional talent pool, capable of delivering tailor made supply chain solutions achieving collaborative planning, consistent implementation, transactions visibility and process integrity.
MAHINDRA LOGISTICS ACQUIRES MAJORITY STAKE IN
LORDS FREIGHT
Move comes 4 months after Kedaara Capital bought a 23%
stake in the logistics company; Lords brand will function as a separate entity
August 20, 2014
Mahindra Logistics Limited has acquired a majority stake in Lords Freight (India) Private Limited for an undisclosed amount four months after private equity (PE) firm Kedaara Capital bought a 23% stake for Rs.2000.000 Million in the logistics company.
Mumbai-based Lords Freight is an international freight forwarding company with capabilities in customs brokerage, transportation and warehousing.
Pirojshaw Sarkari, chief executive officer of Mahindra Logistics, said his company has acquired a “significant majority stake” in Lords Freight and he would retain it as a separate entity under the Lords brand, citing its experience and cultural fit. He did not disclose other details.
Mahindra Logistics is looking at raising funds through an initial share sale in 2018.
India’s logistics sector is attracting investors. US private equity firm Kohlberg Kravis Roberts and Co. LP and Goldman Sachs Group Inc. invested a combined Rs.2688.000 Million in TVS Logistics Services Limited in 2012, and PE firm Capital Advisors Private Limited infused Rs.2200.000 Million into Transpole Logistics in 2013.
According to a McKinsey and Co. study, inefficiencies in logistics infrastructure cost the Indian economy an extra $45 billion, about 4.3% of gross domestic product (GDP), every year. Freight traffic will multiply 2.5 times growth by 2020 from the 2010 levels, further straining India’s infrastructure. The Centre plans to contain its fiscal deficit at 4.1% of GDP in 2014-15, as against 4.5% of GDP in the previous year.
Experts pointed out that this acquisition will make Mahindra Logistics an integrated logistics company.
“Mahindra Logistics is going beyond automotive vertical. Freight forwarding was the missing link for Mahindra Logistics. This acquisition will enable the company to come closer to integrated logistics services,” said a senior Mumbai-based logistics consultant, requesting anonymity. He added that this acquisition is just the beginning of many more such events and a potential initial public offering (IPO).
Mahindra Logistics registered a revenue of Rs.17500.000 Million for the last fiscal year and is expected to cross Rs.20000.000 Million in the current fiscal.
Sarkari confirmed that his company is in talks with a couple of companies, including a network warehousing company and a transportation company that owns trucks.
“Many of our clients were asking for freight forwarding services. This was missing in our business. Hence this acquisition,” Sarkari said. He said the company is also planning to enter into the agriculture logistics (including cold chain) business as the parent company Mahindra Group is focusing on that business.
The company has plans to reduce its dependency on the parent company for its revenues. Currently, Mahindra Group accounts for around 70% of Mahindra Logistics’ revenue.
“Our idea is to make this to 60% from non-Mahindra Group and 40% from the group before 2018. This is an internal target we are looking (at) before taking the company to capital market with an IPO,” Sarkari said.
MAHINDRA LOGISTICS ACQUIRES STAKE IN LORDS
FREIGHT
August 19, 2014
Mahindra Logistics Limited (MLL), a subsidiary of Mahindra and Mahindra, has acquired a majority stake in Lords Freight (India) Private Limited, a move that will help the company enhance its portfolio of services. However, the company did not disclose the percentage of stake it acquired nor the investment.
“Our vision is to be India’s leading, most-preferred integrated logistics service provider’ and international freight forwarding is an essential component of this vision. With this acquisition, MLL’s service portfolio will be considerably enhanced,” said MLL Chief Executive Officer Pirojshaw Sarkari.
“This is our maiden investment, and will considerably add to the value proposition we offer our customers,” Sarkari added. Lords, which specialises in international logistics, is based out of Mumbai with a presence in across all major Indian cities.
In April, MLL, a third-party logistics service provider, had received Rs. 2000.000 Million private equity investments from Kedaara Capital in exchange for a minority stake.
"Since our partnership with Kedaara Capital earlier this year, we see a very clear path to an IPO for Mahindra Logistics. It is our goal to grow to Rs. 60000.000 Million and this is the first of several in-organic steps we have planned. Through a turnaround process, we have made MLL into one of the ten most profitable companies within the Mahindra Group,” said Parag Shah, Managing Partner at Mahindra Partners said.
In 2009, the Mahindra Group had identified logistics as a key focus area.
“This investment by MLL will allow us to pursue a strategy of enhancing our capabilities and expanding our international presence, while simultaneously leveraging MLL’s customer base and process methodologies,” said Shamsudeen Ahmed, Chairman of Lords Freight.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.65.25 |
|
|
1 |
Rs.99.53 |
|
Euro |
1 |
Rs.73.46 |
INFORMATION DETAILS
|
Information
Gathered by : |
KMN |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
PNM |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILITY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
4 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER
|
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
47 |
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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.