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|
MIRA INFORM REPORT
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Report No. : |
490140 |
|
Report Date : |
07.02.2018 |
IDENTIFICATION DETAILS
|
Name : |
L&T FINANCE LIMITED (w.e.f.17.03.2017) |
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|
|
Formerly Known
As : |
FAMILY CREDIT LIMITED (w.e.f.12.07.2007) APEEJAY FINANCE GROUP LIMITED APEEJAY FINANCE GROUP PRIVATE LIMITED |
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Registered
Office : |
Technopolis, 7th Floor, A-Wing, Plot No. 4, Block - BP, Sector-V, Salt
Lake, Kolkata – 700091, West Bengal |
|
Tel. No.: |
91-33-39883000 |
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|
Country : |
India |
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Financials (as
on) : |
31.03.2017 |
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Date of
Incorporation : |
24.11.1993 |
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Com. Reg. No.: |
21-060810 |
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Capital
Investment / Paid-up Capital : |
INR 14400.473 Million |
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CIN No.: [Company Identification
No.] |
U65910WB1993FLC060810 |
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IEC No.: |
Not Divulged |
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GST No.: |
19AACCA1963B1Z1 |
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TIN No.: |
19677018033 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
AACCA1963B |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business
: |
Subject is engaged in the business of Financing of Two Wheelers, Three
Wheelers, Automobiles, Personal Loans, Loans Against Shares, Term Loans and
Loans against Property. (Registered Activity) |
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|
|
|
No. of Employees
: |
8261 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A++ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
L&T Finance Ltd. (erstwhile Family Credit Ltd) was originally incorporated as Apeejay Finance Group Ltd. in 1993. In September, 2006, Societe Generale Consumer Finance (SGCF), a division of Societe Generale Group, France, acquired 45% stake in the company and gradually increased its stake to 100% by October 2007. Subsequently, the company’s name was changed to Family Credit Limited. In December 2012, L&T Finance Holding Limited, the flagship holding company for the financial services of the L&T Group acquired 100% shareholding in Family Credit Ltd. The group has three key business segments, namely rural finance, housing finance and real estate finance. During the year 2017, L&T Finance Holding Limited has completed amalgamation of L&T Finance Limited and L&T FinCorp Limited with Family Credit Limited. The amalgamated entity is renamed as L&T Finance Limited. As per the financial record of 2017, the company has achieved decent growth in its revenue as compared to its previous year along with good profit margin during the year. Rating factor in adequate capitalization levels marked by increased scale of business along with moderate asset quality and average profitability. Rating also factor in strong parentage of the company (erstwhile Family Credit Ltd) by virtue of the fact that L&T Finance Holdings Limited (LTFHL), the flagship financial services business holding company of the L&T group, holds 100% stake in it. By virtue of strong parentage, the company benefits from group synergies in the form of business support from the L&T ecosystem, integrated group treasury, as well as capital, managerial and operational support. Payments are seems to be regular. In view of aforesaid, the company can be considered 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
|
Rating Agency Name |
CARE |
|
Rating |
Commercial Paper=A1+ |
|
Rating Explanation |
Very strong degree of safety and carry lowest credit risk |
|
Date |
16.01.2018 |
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
31-03-2016.
BIFR (Board for Industrial & Financial Reconstruction) LISTING STATUS
Subject’s name is not listed as a Sick Unit in
the publicly available BIFR (Board for Industrial & Financial
Reconstruction) list as of 07.02.2018.
IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS
Subject’s name is not listed in the publicly
available IBBI (Insolvency and Bankruptcy Board of India) list as of report
date.
INFORMATION DECLINED
MANAGEMENT NON-COOPERATIVE
[Contact No: 91-22-67525656]
[91-22-62125000 is ringing]
LOCATIONS
|
Registered/ Head Office : |
Technopolis, 7th Floor, A-Wing, Plot No. 4, Block - BP, Sector-V, Salt
Lake, Kolkata – 700091, West Bengal, India |
|
Tel. No.: |
91-33-66111800/ 39883000 |
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Fax No.: |
91-33-39845500 |
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E-Mail : |
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Website : |
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Branch Office 1 : |
L&T House, Ballard Estate, P. O. Box: 278, Mumbai – 400001, Maharashtra, India |
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Correspondence Office/ Branch Office 2 : |
City 2, Plot No. 177, Vidyanari Marg, CST Road, Kalina, Santacruz (East), Mumbai – 400098, Maharashtra, India |
|
Tel. No.: |
91-22-66217515/ 66217300/ 400/ 62125555/ 62125000/ 67525656 |
|
Fax No.: |
91-22-67525858 |
DIRECTORS
AS ON: 31.03.2017
|
Name : |
Desh Raj Dogra |
|
Designation : |
Director |
|
Address : |
Flat No.402, Somerset Bldg, AdishankaraCharya RD, CTS No 15C, Nr Hiranandani Gardens, Powai, Mumbai-400076, Maharashtra, India |
|
Date of Appointment : |
24.07.2017 |
|
DIN No.: |
00226775 |
|
|
|
|
Name : |
Mr. Mannil Venugopalan |
|
Designation : |
Director |
|
Address : |
Mannil House, House No. 17/229, Thalakkolly Desom Ernakulam, Aluva –
683102, Kochi, India |
|
Date of Appointment : |
17.10.2014 |
|
DIN No.: |
00255575 |
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|
|
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Name : |
Mr. Banavar Anantharamaiah Prabhakar |
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Designation : |
Director |
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Address : |
#333/13, Halagevaderahalli, Beml Layout, 5th Stage, R R Nagar,
Bangalore – 560098, Karnataka, India |
|
Date of Appointment : |
23.10.2015 |
|
DIN No.: |
02101808 |
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|
|
|
Name : |
Mr. Ashish Arvind Kotecha |
|
Designation : |
Director |
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Address : |
Ram Mahal, 6th Floor, Dinshaw Vaccha Road, Mumbai-400202, Maharashtra,
India |
|
Date of Appointment : |
14.07.2017 |
|
DIN No.: |
02384614 |
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|
|
|
Name : |
Mr. Rajani Rajiv Gupte |
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Designation : |
Director |
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Address : |
10, Dream Residency 128, Anand Park, Aundh, Pune – 411007,
Maharashtra, India |
|
Date of Appointment : |
20.03.2015 |
|
DIN No.: |
03172965 |
|
|
|
|
Name : |
Mr. Pradeep Vasudeo Bhide |
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Designation : |
Director |
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Address : |
D - 1/48, (First Floor) Vasant Vihar, New Delhi – 110057, India |
|
Date of Birth : |
08.01.1950 |
|
Date of Appointment : |
18.03.2017 |
|
DIN No.: |
03304262 |
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|
|
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Name : |
Mr. Dinanath Mohandas Dubhashi |
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Designation : |
Director |
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Address : |
1703, 1704, 17th Floor, Tower T3, Emerald Isle, Saki Vihar
Road, Powai, Mumbai-400072, Maharashtra, India |
|
Date of Birth/Age : |
31.05.1966 |
|
DIN No.: |
03545900 |
KEY EXECUTIVES
|
Name : |
Mr. Sunil Sudhir Prabhune |
|
Designation : |
Manager |
|
Address : |
B 1102, Eldora Co-Operative Housing Society Limited, Hiranandani
Gardens, Powai, Mumbai – 400076, Maharashtra, India |
|
Date of Appointment : |
13.02.2017 |
|
PAN No.: |
AFEPP9872N |
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|
|
|
Name : |
Mr. Amit Tejmal Bhandari |
|
Designation : |
Company Secretary |
|
Address : |
505, Ram Shyam Kripa CHS, 4th Building, Dadar (West), Mumbai – 400023,
Maharashtra, India |
|
Date of Appointment : |
23.09.2014 |
|
PAN No.: |
AMBPB7802Q |
|
|
|
|
Name : |
Mr. Amol Gajanan Joshi |
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Designation : |
Chief Finance Officer (KMP) |
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Address : |
Yashwant Building, Ram Ganesh Gadkari Path, Navpada, Thane, Mumbai -
400602 Maharashtra, India |
|
Date of Appointment : |
21.10.2016 |
|
PAN No.: |
ACMPJ7297C |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON: 31.03.2017
|
Names of Shareholder |
|
No. of Shares |
|
L & T Finance Holdings Limited (Holding Company) directly or
through its nominee |
|
1440047294* |
|
|
|
|
|
Total |
|
1440047294* |
Note: * The Company is a wholly-owned subsidiary of L&T Finance Holdings Limited. For the purpose of complying with the provisions regarding minimum number of Members, 7 shares are held by 7 members jointly with L&T Finance Holdings Limited.
AS ON: 22.08.2017
|
Equity Share Breakup |
Percentage of Holding |
|
Category |
|
|
Promoters – Body Corporate |
100.00 |
|
|
|
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the business of Financing of Two Wheelers, Three
Wheelers, Automobiles, Personal Loans, Loans Against Shares, Term Loans and
Loans against Property. (Registered Activity) |
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Products/ Services : |
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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Terms : |
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Selling : |
Not Divulged |
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Purchasing : |
Not Divulged |
PRODUCTION STATUS: (NOT AVAILABLE)
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
8261 (Approximately) |
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Bankers : |
· Punjab & Sind Bank Large Corporate Branch, 27/29, Ambalal Doshi Marg, Fort, Mumbai – 400023, Maharashtra, India · Small Industrial Development Bank of India MSME Development Centre, Plot No. C-11,'G' Block, Bandra Kurla Complex, Bandra (East), Mumbai-400051, Maharashtra, India · Indian Bank 47-48, Pragati House Nehru Place, New Delhi-110019, India |
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Facilities : |
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Financial Institution : |
· IDBI Trusteeship Services Limited Asian Building, Ground Floor, 17, R. Kamani Marg, Ballard Estate, Mumbai – 400001, Maharashtra, India |
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|
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Auditors : |
|
|
Name : |
Deloitte Haskins and Sells LLP Chartered Accountants |
|
Address : |
India Bulls Finance Centre, Tower – 3, 27th - 32nd Floor, Elphinestone
Road (West), Mumbai-400013, Maharashtra, India |
|
Tel. No.: |
91-22-61854000 |
|
Fax No.: |
91-22-61854101 |
|
PAN No.: |
AAAFS2967E |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Holding Company : |
L&T Finance Holdings Limited, India (L67120MH2008PLC181833) |
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Ultimate Holding Company: |
Larsen and Toubro Limited |
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Associate Company : |
L&T Infra Debt Fund Limited |
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Fellow Associates : |
· JSK Electricals Private Limited · Magtorq Private Limited · Salzer Electronics Limited · Metro Tunneling Group · Feedback Infrastructure Services Private Limited |
|
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|
Fellow Subsidiary Companies : |
·
L&T Infrastructure Finance Company Limited ·
Larsen & Toubro Infotech Limited ·
L&T Capital Markets Limited ·
L&T Capital Company Limited ·
L&T Access Distribution Services Limited ·
L&T General Insurance Company Limited ·
L&T Housing Finance Limited ·
L&T Investment Management Limited ·
L&T Investment Management Limited ·
L&T Vrindavan Properties Limited ·
L&T Infra Investment Partners Advisory
Private Limited ·
Ewac Alloys Limited |
CAPITAL STRUCTURE
AS ON: 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2664309610 |
Equity Shares |
INR 10/- each |
INR 26643.096 Million |
|
1000000 |
Preference Shares |
INR 100/- each |
INR 100.000 Million |
|
|
|
|
|
|
|
Total |
|
INR 26643.096
Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1440047294 |
Equity Shares |
INR 10/- each |
INR
14400.473 Million |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in INR Million]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
14400.473 |
2043.096 |
2043.096 |
|
(b) Reserves & Surplus |
54393.416 |
4276.593 |
3412.229 |
|
(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) |
68793.889 |
6319.689 |
5455.325 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
153143.966 |
28039.888 |
14597.034 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
1479.287 |
228.013 |
91.617 |
|
(d)
long-term provisions |
883.826 |
91.197 |
263.831 |
|
Total
Non-current Liabilities (3) |
155507.079 |
28359.098 |
14952.482 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
99705.160 |
11429.166 |
11820.797 |
|
(b)
Trade payables |
652.913 |
155.913 |
0.000 |
|
(c)
Other current liabilities |
9159.474 |
1370.296 |
999.519 |
|
(d)
Short-term provisions |
501.869 |
481.844 |
339.703 |
|
(e)
Current maturities of long term borrowings |
25447.900 |
5457.033 |
4384.549 |
|
Total
Current Liabilities (4) |
135467.316 |
18894.252 |
17544.568 |
|
|
|
|
|
|
TOTAL |
359768.284 |
53573.039 |
37952.375 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
1602.531 |
29.521 |
25.775 |
|
(ii)
Intangible Assets |
26214.354 |
9.544 |
14.124 |
|
(iii)
Capital work-in-progress |
2.031 |
0.000 |
0.703 |
|
(iv) Intangible assets under development |
6.542 |
4.150 |
230.000 |
|
(b) Non-current
Investments |
12362.481 |
419.000 |
32.693 |
|
(c) Deferred tax assets
(net) |
3725.396 |
516.918 |
0.000 |
|
(d) Long-term Loan
and Advances |
179816.521 |
27742.070 |
18215.847 |
|
(e)
Other Non-current assets |
1691.426 |
262.458 |
86.546 |
|
Total
Non-Current Assets |
225421.282 |
28983.661 |
18605.688 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
18607.217 |
17.105 |
1531.452 |
|
(b)
Inventories |
0.000 |
0.000 |
0.000 |
|
(c)
Trade receivables |
149.184 |
0.000 |
0.000 |
|
(d)
Cash and cash equivalents |
2948.759 |
443.139 |
246.878 |
|
(e)
Short-term loans and advances |
105289.729 |
23054.745 |
16554.003 |
|
(f)
Other current assets |
7352.113 |
1074.389 |
1014.354 |
|
Total
Current Assets |
134347.002 |
24589.378 |
19346.687 |
|
|
|
|
|
|
TOTAL |
359768.284 |
53573.039 |
37952.375 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
40820.522 |
7711.456 |
6353.617 |
|
|
|
Other Income |
629.231 |
17.041 |
38.711 |
|
|
|
TOTAL |
41449.753 |
7728.497 |
6392.328 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employees benefits expense |
3008.720 |
532.586 |
292.558 |
|
|
|
Administration
and other expenses |
3601.653 |
1635.654 |
0.000 |
|
|
|
Other expenses |
0.000 |
0.000 |
1696.738 |
|
|
|
Provisions and write-offs |
0.000 |
0.000 |
680.794 |
|
|
|
Allowances
and write offs |
7883.373 |
1130.491 |
0.000 |
|
|
|
TOTAL |
14493.746 |
3298.731 |
2670.090 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
26956.007 |
4429.766 |
3722.238 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
19595.153 |
3059.931 |
2678.741 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
7360.854 |
1369.835 |
1043.497 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
7076.680 |
26.678 |
24.615 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX |
284.174 |
1343.157 |
1018.882 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
123.756 |
469.205 |
290.279 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX |
160.418 |
873.952 |
728.603 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (INR) |
0.11 |
4.28 |
13.57 |
|
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term Borrowings |
25447.900 |
5457.033 |
4384.549 |
|
|
|
|
|
|
Cash generated from operations |
11906.618 |
2599.667 |
(3710.36) |
|
|
|
|
|
|
Net cash flow from/(used in) operating activities
|
(24793.139) |
(15206.711) |
(3899.752) |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry
Debtors / Income * 365 Days) |
1.33 |
0.00 |
0.00 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry Debtors) |
273.63 |
0.00 |
0.00 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors / Purchases * 365 Days) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
0.97 |
102.51 |
13.76 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
0.87 |
0.98 |
0.96 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
4.05 |
7.11 |
5.65 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
1.97 |
2.99 |
3.22 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
0.40 |
0.01 |
0.05 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
1.38 |
1.45 |
1.39 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) * 100) |
% |
0.39 |
11.33 |
11.47 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
0.04 |
1.63 |
1.92 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
0.23 |
13.83 |
13.36 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
0.99 |
1.30 |
1.10 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current
Liabilities) |
0.99 |
1.30 |
1.10 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
0.19 |
0.12 |
0.14 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
19.33 |
21.99 |
15.08 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
0.99 |
1.30 |
1.10 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
FINANCIAL ANALYSIS
[all figures are
in INR Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Share Capital |
2043.096 |
2043.096 |
14400.473 |
|
Reserves & Surplus |
3412.229 |
4276.593 |
54393.416 |
|
Money received against share
warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
5455.325 |
6319.689 |
68793.889 |
|
|
|
|
|
|
long-term borrowings |
14597.034 |
28039.888 |
153143.966 |
|
Short term borrowings |
11820.797 |
11429.166 |
99705.160 |
|
Current Maturities of Long
term debt |
4384.549 |
5457.033 |
25447.900 |
|
Total
borrowings |
30802.380 |
44926.087 |
278297.026 |
|
Debt/Equity
ratio |
5.646 |
7.109 |
4.045 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Sales |
6353.617 |
7711.456 |
40820.522 |
|
|
|
21.371 |
429.349 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Sales |
6353.617 |
7711.456 |
40820.522 |
|
Profit |
728.603 |
873.952 |
160.418 |
|
|
11.47% |
11.33% |
0.39% |
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 |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
INDEX OF CHARGES
|
SNO |
SRN |
CHARGE ID |
CHARGE HOLDER NAME |
DATE OF CREATION |
DATE OF MODIFICATION |
DATE OF SATISFACTION |
AMOUNT |
ADDRESS |
|
1 |
G74239476 |
100150387 |
IDBI TRUSTEESHIP SERVICES LIMITED |
28/12/2017 |
- |
- |
1500000000.0 |
ASIAN BUILDING, GROUND FLOOR,17, R. KAMANI MARG, BALLARD ESTATEMUMBAIMH400001IN |
|
2 |
G73160004 |
100145699 |
SIDBI |
28/12/2017 |
- |
- |
12000000000.0 |
MSME DEVELOPMENT CENTRE, PLOT NO. C-11,'G' BLOCK, BANDRA KURLA COMPLEX, BANDRA (EAST)MUMBAIMH400051IN |
|
3 |
G74237819 |
100150083 |
IDBI TRUSTEESHIP SERVICES LIMITED |
28/12/2017 |
- |
- |
3100000000.0 |
ASIAN BUILDING, GROUND FLOOR,17, R. KAMANI MARG, BALLARD ESTATEMUMBAIMH400001IN |
|
4 |
G74240979 |
100148462 |
AACCA8464F |
27/12/2017 |
- |
- |
5000000000.0 |
INTERNATIONAL BRANCH, OFFICE NO.4MITTAL CHAMBER, GROUND FLOOR, NARIMAN POINTMUMBAIMH400021IN |
|
5 |
G73962557 |
100147732 |
PUNJAB |
27/12/2017 |
- |
- |
5000000000.0 |
LARGE CORPORATE BRANCH, NO 781-785, III FLOORRAYALA TOWERS, ANNA SALAI, CHENNAICHENNAITN600002IN |
|
6 |
G73963340 |
100147734 |
BANK OF BARODA |
27/12/2017 |
- |
- |
3000000000.0 |
CORPORATE FINANCIAL SERVICES,BANK OF BARODA BUILDING,FORTMUMBAIMH400001IN |
|
7 |
G74026550 |
100147940 |
THE SOUTH INDIAN BANK LIMITED |
27/12/2017 |
- |
- |
1000000000.0 |
S I B HOUSE MISSION QUARTERST B ROADTHRISSURKE680001IN |
|
8 |
G74083403 |
100148117 |
INDIAN BANK |
27/12/2017 |
- |
- |
2500000000.0 |
47-48, PRAGATI HOUSENEHRU PLACE,NEW DELHIDL110019IN |
|
9 |
G73003410 |
100145246 |
CANARA BANK |
20/12/2017 |
- |
- |
5000000000.0 |
SPECIALISED PRIME CORPORATE BRANCH,7TH FLOOR, MAKERS CHAMBER - III, NARIMAN POINT,MUMBAIMH400021IN |
|
10 |
G57499600 |
100128720 |
CANARA BANK |
28/09/2017 |
- |
- |
2000000000.0 |
SPECIALISED PRIME CORPORATE BRANCH,7TH FLOOR, MAKERS CHAMBER - III, NARIMAN POINT,MUMBAIMH400021IN |
UNSECURED LOANS
|
PARTICULARS |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
LONG-TERM BORROWINGS |
|
|
|
Redeemable non-convertible debentures |
10900.000 |
2650.000 |
|
Working capital demand loan |
34550.000 |
11000.000 |
|
|
|
|
|
SHORT TERM BORROWINGS |
|
|
|
Commercial papers |
98505.000 |
10450.000 |
|
Unexpired discounting charge |
(2000.782) |
(146.798) |
|
Loans and advances from related parties (ICDs) |
2435.100 |
0.027 |
|
|
|
|
|
Total |
144389.318 |
23953.229 |
YEAR IN RETROSPECT – THE HIGHLIGHTS
During the year, the scheme of amalgamation of L&T Finance Limited and L&T FinCorp Limited with the Company was filed for approval. On receipt of the order(s) of amalgamation from the Hon’ble High Court of Calcutta and National Company Law Tribunal, Mumbai Bench dated November 28, 2016 and January 24, 2017, respectively, approving the scheme of amalgamation, the amalgamation became effective from February 13, 2017. Consequent to the amalgamation, the name of the Company changed to “L&T Finance Limited”.
INFORMATION ON THE STATE OF AFFAIRS OF THE
COMPANY
PERFORMANCE OF BUSINESSES
Farm Equipment Finance
This includes loans in respect of products such as farm equipment i.e. Tractor and Harvester. The product is intended for farmers and hence there is an element of seasonality that coincides with the harvest cycle. Farm Equipment Finance is one of their core businesses and the growth trajectory here has been regained in the second
half of the year after the onset of normal monsoons this year.
Two Wheeler Finance
The two wheeler finance portfolio includes loans made in respect of two wheelers. Two wheeler finance is one of the core businesses of the Company. The past year was a year of transformation which saw us launch the Sangam platform which gives us a competitive advantage of lowest TAT over the competition.
Microfinance
Microfinance business includes loans made to women in rural areas under the joint liability group model. The year
saw rapid expansion in the first half and then a swift move to cashless disbursement post demonetization. They have started business in Chattisgarh also in this financial year.
Mid and Large Corporations
This includes products such as Lease, Structured Term Loans and Loan against Securities. During the year, the Company has improved deal origination and sourcing capabilities. Further, the risk monitoring of portfolio has been made more frequent as well as more intensive. The Company introduced new products in this segment to enhance growth in this segment. Various resolution and recovery mechanisms helped maintain control over the GNPA ratio.
FINACIAL PERFORMANCE OF THE
COMPANY
The Company has achieved
enhanced business performance during the year under review, in comparison with
the year ended March 31, 2016, in spite of the challenging economic environment
and slowdown in several sectors. The performance of the Company is summarised
as follows:
·
Disbursement during the year increased from INR 35235.400
million to INR 343391.800
million, primarily driven by loans in respect of two wheelers and corporate
lending.
·
Momentum in overall disbursement growth with focus
on high yield products led to revenue growth with income from operations
growing from INR 7711.456 million in the year ended March 31, 2016 to INR 40820.522
million in the year. Total income has also grown
from INR 7728.497 million to INR 41449.754 million in the same period.
· Gross portfolio assets recorded growth from INR 51520.300 million as at March 31, 2016 to INR 292444.512 million as at March 31, 2017.
· Net worth of the Company as on March 31, 2017 was INR 68793.889 Lakh and INR 6319.689 million as on March 31, 2016.
AMALGAMATION
OF L&T FINANCE LTD AND L&T FINCORP LTD WITH FAMILY CREDIT LIMITED
1 The board of the directors of L&T Fincorp Limited (LTFC) in July 19, 2016 and the board of Directors of erstwhile L&T Finance Limited Credit Limited (FCL) on July 21, 2016 had approved the Scheme of Amalgamation (Scheme) of erstwhile L&T Finance Limited and L&T FinCorp Limited (together referred as Transferor companies) with Family Credit Limited (Transferee Company) effective from April 01,2016 (Appointed date). The Honourable High Court of Calcutta at his hearing held on November 28,2016 and the National Company Law Tribunal, Mumbai Bench ("NCLT") at its hearing held on January 24,2017 have sanctioned the Scheme of Amalgamation of L&T Finance Ltd and L&T FinCorp Limited with Family Credit Limited. The certified copies of the Orders of the Court and NCLT, sanctioning the Scheme were filed with the Registrar of Companies, Kolkata on February 13, 2017 (the “Effective Date”).
The purchase consideration of INR 64246.002 million for acquisition of Transferor Companies was through issue of 1235737684 equity shares of INR 10/- each at a price of INR 51.99 per share to the shareholder of erstwhile L&T Finance Limited and L&T FinCorp Limited as per following share exchange ratio
a) 350 equity shares of face value of ` 10 each for every 100 equity shares of face value of INR 10 each held in L&T Finance pre-merger
b) 147 equity shares of face value of ` 10 each for every 100 equity shares of face value of INR10 each held in L&T FinCorp pre-merger
The amalgamation has been accounted for under the “Purchase Method” as prescribed by AS 14 - Accounting for Amalgamations and as per the specific provisions of the Scheme. Accordingly, the Scheme has been given effect to in these financial statements and all assets and liabilities and income and expenditure of the Transferor Company stand transferred to and vested in the Transferee Company. Accordingly, the financial statements have been recast for the year ended on March 31, 2017.
Consequent to the Scheme becoming effective, net assets of Transferor Companies aggragating to INR 31572.892 million as at the appointed Date have been transferred to the Transferee Company at their respective fair values and the fair value of Distribution and Customer Network Rights (“DCNR”) as determined by an independent Valuer, have been recognised as an intangible asset at a valuation of INR4388.000 million. The balance amount of INR 28285.110 million has been recorded as goodwill on amalgamation. These intangible assets, i.e. the DCNR and goodwill on amalgamation, are being amortised on a straight line basis over a period of 5 years with effect from April 01, 2016. Break down of the purchase consideration into net assets and goodwill is as under:
|
Particulars |
LTF |
LTFC |
Total |
|
I. Consideration paid for acquisition |
43384.507 |
20861.495 |
64246.002 |
|
|
|
|
|
|
II. Assets acquired on appointed date |
|
|
|
|
Tangible assets |
2281.712 |
55.907 |
2337.619 |
|
Intangible assets (including DCNR) |
4430.131 |
-- |
4430.131 |
|
Non-current investments |
1405.049 |
1296.601 |
2701.650 |
|
Deferred tax assets (net) |
1482.950 |
470.947 |
1953.897 |
|
Long-term loans and advances |
975.862 |
517.016 |
1492.878 |
|
Long-term loans and advances towards financing activities |
78624.511 |
46964.011 |
125588.522 |
|
Other non-current assets |
733.749 |
821.584 |
1555.333 |
|
Current investments |
25.675 |
1955.955 |
1981.630 |
|
Trade receivables |
74.384 |
8.835 |
83.219 |
|
Cash and bank balances |
1556.222 |
8.006 |
1564.228 |
|
Short-term loans and advances |
731.608 |
-- |
731.608 |
|
Current maturities of long-term loans and advances towards financing activities |
36874.775 |
12330.387 |
49205.162 |
|
Short-term Loans and advances towards financing activities |
23388.283 |
7745.352 |
31133.635 |
|
Other current assets |
4250.117 |
1979.502 |
6229.619 |
|
Total (A) |
156835.028 |
74154.103 |
230989.131 |
|
|
|
|
|
|
Long-term borrowings |
63043.829 |
43032.767 |
106076.596 |
|
Other long term liabilities |
1026.510 |
1157.696 |
2184.206 |
|
Long-term provisions |
322.523 |
207.725 |
530.248 |
|
Short-term borrowings |
23570.969 |
13059.617 |
36630.586 |
|
Current maturities of long term borrowings |
32929.010 |
5384.433 |
38313.443 |
|
Trade payables |
1272.768 |
102.870 |
1375.638 |
|
Other current liabilities |
8296.298 |
851.112 |
9147.410 |
|
Short-term provisions |
610.112 |
160.000 |
770.112 |
|
Total (B) |
131072.019 |
63956.220 |
195028.239 |
|
|
|
|
|
|
Net Assets (A - B) |
25763.009 |
10197.883 |
35960.892 |
|
|
|
|
|
|
III. Goodwill (I - II) |
17621.498 |
10663.612 |
28285.110 |
Statutory reserves created by Transferor Companies prior to appointed date pursuant to the requirements of apilicable statue and are required to be maintained for specified period, are transferred to Transferee Company in the same form in which they appeared in the financials statements of the Transferor Companies so long as their identity is required to be maintained to comply with the relevant statute. The statutory reserves are recorded in the financial statements of the transferee company by a corresponding debit to 'Amalgamation Adjustment Account’ which is disclosed as a part of ‘Reserve and Surplus’ in the balance sheet.
Details of Statutory Reserves of Transferor
Company recorded in Transferee Company is as under:
|
Particulars |
LTF |
LTFC |
Total |
|
Debenture redemption reserve of the Companies Act |
1021.216 |
-- |
1021.216 |
|
Reserve under section 45-IC of Reserve Bank of India Act |
3713.387 |
831.493 |
4544.880 |
|
Reserve under section 36(1)(viii) of Income Tax Act |
2.045 |
86.100 |
88.145 |
|
Total |
4736.648 |
917.593 |
5654.241 |
Due to the amalgamation of Transferor Company with the Transferee Company from appointed date of April 01, 2016, the figures of the current year will not be comparable to the corresponding figures of the previous year.
L&T Fincorp Limited, one of the amalgamating company had declared and paid an interim dividend of ` 14,003.20 lakhs prior to the effective date of amalgamation and the Company has incorporated the payment in its financial statements as at and for the year ended March 31, 2017.
MANAGEMENT DISCUSSION
AND ANALYSIS
MACRO-ECONOMIC
REVIEW
India, a large and the fastest growing economy, continues to be a bright spot in the global landscape. It has been underpinned by strong private consumption and gradual introduction of significant domestic reforms. In FY17, the economy has grown by 7.1% and the foreign exchange reserves have grown to US$ 370 billion. India’s Current Account Deficit (CAD) narrowed to 0.7% of it’s GDP in FY17, compared with 1.1% in FY16, on the back of a contraction in trade deficit. Foreign Direct Investment inflows touched a new high of US$ 60.1 billion.
The move of demonetising in November 2016, made with the objective to curb black money in circulation, weighed on growth during the second half of FY17. This reflected in relatively weaker growth in manufacturing and rural consumption as well as services sector PMIs (Purchase Managers Indices) in H2, FY17. However, it is expected to have a positive long-term impact on the economy through better tax compliance, increase in Taxto- GDP ratio and higher tax collections. Continued fiscal consolidation and an anti-inflationary monetary policy stance helped cement macro-economic stability.
OUTLOOK FOR FY18
Major leading indicators suggest that the economic activity is gradually improving. This is driven by improving global demand and a remonetisationled pick-up in domestic activity. The International Monetary Fund (IMF) expects India to resume the 8% growth path in the medium term. This should happen as soon as the short-term dislocation to consumption from demonetisation passes. The nation is expected to remain the fastest growing economy on the back of high private consumption levels and gradually implemented domestic reforms.
The Company sees growth picking up significantly, supported by a normal monsoon, modest costs of borrowing, pay hikes for state government employees and stronger export demand. Other growth supportive factors will be Government’s continued thrust on physical infrastructure and the Real Estate (Regulation and Development) Act, 2016 (RERA), which will pave way for greater transparency and accountability in the real estate sector. The Goods & Services Tax, (GST) implemented in July 2017, will also have long term structural benefits, despite short-term execution and adjustment risks during the course of FY18.
POSSIBLE THREATS
As we get into an environment which is likely to be largely positive over medium to long term, there may be significant roadblocks in the shorter term. The implementation of GST is likely to cause certain short term disturbances. Despite recent push by the RBI, the resolution of stressed assets in the system is likely to take more time. Also the effect of various loan waivers on credit culture in the rural areas is still to be seen. The Company acknowledges these possible negative factors and has a plan to mitigate them through its deep domain knowledge, strong risk framework and an efficient collection mechanism.
RURAL FINANCE
The Company’s strength in Rural Finance makes us one of the fastest growing NBFCs in this sector. The Company is now a single brand under L&T Financial Services (LTFS) offering through multi channels, multiple financing products like Farm Equipment Finance, Two- Wheeler Finance and Microfinance.
Farm Equipment Finance
The tractor industry grew ~15% in FY17 after two continuous years of market contraction. The positive growth was on account of a normal monsoon cycle which has helped reinvigorate the demand in this sector. With monsoons expected to be normal, this industry is expected to grow at ~18-20% this year.
During the year, the Company gained market share, doubling its share of the pie of farm equipment financing to 9.4% in the second half of FY17, from 4.2% in the first half. However, the business witnessed a Y-o-Y contraction by 11% in disbursement, along with a book De-growth of 6%. This trend is expected to reverse in the current year which will help excellent growth in both disbursements and book.
Future Strategy
• Create a right portfolio mix across geographies, Original Equipment Manufacturers (OEMs) and Distributors
• Digitise the entire process and provide a differentiated value proposition to the Company partners
• Capture higher counter share at chosen dealers through differentiated value proposition
Two-Wheeler
Finance
The two-wheeler industry posted a healthy Y-o-Y growth of 8%. The market in FY18 is expected to remain stable
with a demand influenced by structural factors like a growing middle class segment and urbanisation.
Technology - led sourcing along with analytics driven channel segmentation enabled the Company to gain market share. The Company’s domain expertise and in-depth knowledge in chosen geographies have laid the foundation of its strong business growth. A well established network and tie-ups with OEMs enabled the Company to retain a strong market position. In FY17, the two-wheeler finance business witnessed a Y-o-Y growth of 10% in disbursement, along with a book growth of 20%.
Future
Strategy
• Enhance TAT proposition through mobility solutions and automated credit decisioning
• Further increase market penetration in their chosen geographies and develop new locations
• Increase market depth by exploring entry into selffinanced segment
Microfinance
The microfinance industry has recorded a 26% Y-o-Y growth in FY17. However, there has been a trend of decrease in growth since demonetisation. They believe that the decrease is not entirely attributable to demonetisation as other external factors and vested interests also impacted performance in certain geographies. Industry looks to be cautious and a pause in growth can be expected in the short term. During FY17, the Company launched mobility solutions, aimed towards improving the operational efficiencies and making the disbursement process simpler. This move enabled the Company to achieve the highest single month disbursement of ` 470 Crores in September, 2016. The Company continued its key initiatives of enhancing customer reach, building scalability, and managing risks effectively, attaining process excellence and cost excellence. Microfinance business witnessed a Y-o-Y growth of 39% in disbursement, along with a book growth of 59%.
The post demonetisation period was marked with increased delays in repayments in certain geographies. While the situation has improved significantly from March 2017 onwards, the Company expects stress in some areas to continue for some more time. In line with its conservative polices, the Company has made adequate loan loss provisions in FY17 and will look to continue to do so based on how the situation develops.
Future Strategy
• Transform Microfinance into a steady state retail business by moving further towards a technology
and analytics driven platform
• Expand into under penetrated new geographies to further enhance customer reach
• Further strengthen risk management framework, processes and systems
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
Claim against the
Company not acknowledged as debt: |
|
|
|
Income Tax matter in dispute* |
7.149 |
0.000 |
|
Sales tax/ VAT / Service Tax matter in dispute* |
238.045 |
16.755 |
|
Legal matter in dispute* |
10.600 |
0.000 |
|
Bank Guarantees |
212.000 |
0.026 |
|
Other money for which the Company is contingently liable; Liability towards Letter of Credit(net of margin money) |
525.900 |
0.000 |
FIXED ASSETS:
Tangible Assets
·
Buildings
·
Office Equipment
·
Furniture and fixtures
·
Leasehold Renovation
·
Computers
·
Vehicles
Intangible
Assets
·
Specialised 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 records 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
|
INR |
|
US Dollar |
1 |
INR 64.27 |
|
UK Pound |
1 |
INR 89.72 |
|
Euro |
1 |
INR 79.52 |
INFORMATION DETAILS
|
Information
Gathered by : |
KMN |
|
|
|
|
Analysis Done by
: |
NIS |
|
|
|
|
Report Prepared
by : |
ARC |
SCORE FACTORS
|
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 |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on
secured terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.