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3decades

 

MIRA INFORM REPORT

 

 

Report No. :

486211

Report Date :

13.01.2018

 

IDENTIFICATION DETAILS

 

Name :

PENNAR ENGINEERED BUILDING SYSTEMS LIMITED

 

 

Registered Office :

9th Floor, (West Wing), DHFLVC Silicon Towers, Kondapur, Hyderabad – 500084, Telangana

Tel. No.:

91-40-40210525 / 26

 

 

Country :

India

 

 

Financials (as on) :

31.03.2017

 

 

Date of Incorporation :

17.01.2008

 

 

Com. Reg. No.:

36-057182

 

 

Capital Investment / Paid-up Capital :

INR 342.749 Million

 

 

CIN No.:

[Company Identification No.]

L45400TG2008PLC057182 (New)

U45400AP2008PLC057182 (Old)

 

 

IEC No.:

0908009828

 

 

CST/ TIN No.:

28228921665

36228921665

 

 

Service Tax No.:

AAECP6047PST001

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

AAECP6047P

 

 

GSTIN :

36AAECP6047P1ZU

 

 

Legal Form :

A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

The Subject is Engaged into Design, Manufacture, Supply, Service and Installation of Pre-Engineered Steel Buildings, Building Components and Erection for Industries, Warehouses, Commercial Centres, Multi Storied Buildings, Aircraft Hangars, Defence Installations, amongst Others. (Registered activity)

 

 

No. of Employees :

588 (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

Acceptable Risk

Business dealings permissible with moderate risk of default

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of Pennar Industries Limited, incorporated in the year 2008. It is engaged in manufacturing, exporting and importing of pre-engineered metal building and building components.

 

For the financial year 2017, the company has increased its revenue from operation as compared to previous year and achieved decent profit margin of 4.45%.

 

Rating also reflects company’s strong financial risk profile marked by its good capital structure with healthy networth base, good liquidity and debt protection metrics.

 

The rating draws strength from the strong support from its holding company, experienced management team, wide product range with presence across diversified business segments, reputed clientele base.

 

However, rating weakness is partially offset by risk associated with volatility in raw material prices and high competition from major players in the industry.

 

Trade relations are reported as fair. Payments are reported to be regular and as per commitments.

 

In view of good financial position and established track, the company can be considered good for normal 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.

 

 

ECGC Country Risk Classification List

 

Country Name

Previous Rating

(30.06.2017)

Current Rating

(30.09.2017)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CARE

Rating

Long Term Rating =A (SO)

Rating Explanation

Adequate degree of safety and low credit risk.

Date

08.01.2018

 

Rating Agency Name

CARE

Rating

Short-term Rating =A1 (SO)

Rating Explanation

Very strong degree of safety and carry lowest credit risk.

Date

08.01.2018

 

 

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 13.01.2018

 

 

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.

 

 

LOCATIONS

 

Registered Office/ Corporate Office :

9th Floor, (West Wing), DHFLVC Silicon Towers, Kondapur, Hyderabad – 500084, Telangana, India 

Tel. No.:

91-40-40210525 / 26

Mobile No.:

91-8452099919/ 7032000642 (Mr. Amit Herekar)

91-9848072843 (Mr. Ramesh Babu Tanneeru)

Fax No.:

91-40-40186992

E-Mail :

cs@pebspennar.com

contact@pebspennar.com

sales@pebspennar.com 

herekar@pebspennar.com

Website :

www.pebspennar.in

Area :

20000 sq. ft.

Location :

Rented

 

 

Manufacturing Facility :

Chandapur Village, Sadashivpet Mandal, District: Medak, Hyderabad – 500084, Telangana, India

 

 

Factory :

Survey Nos. 144 and 145, Chanda Nagar Village, Sadasivpet Mandal, Medak District: - 502291, Telangana, India

Tel. No.:

91-8455-203193

Fax No.:

91-8455-203193

E-Mail :

bvramakrishna@pebspennar.com

Area :

26 Acres

Location :

Owned

 

 

Sales Offices :
  • 9th Floor, West Wing, DHFLVC Silicon Towers, Kondapur, Hyderabad -500084, Telangana, India

 

  • Pushkar, 1st Floor, 11, Mangesh Colony, Near Raja Kothi, Civil Lines, Nagpur-440001, Maharashtra, India

 

  • 22, RaviKiran, Behind Dharanidhar Jain Temple, New Vikas Gruha Road, Vasna, Ahmedabad – 380007, Gujarat, India

 

  • New No: 03, Old No: 07, Manjolai, 1st Main Road, Kalaimagal Nagar, Ekkatuthangal,  Chennai – 600083, Tamilnadu, India

 

  • B - 17, 2nd Floor, SVP Complex, 343, Avarampalayam Road, Sidhapudur, Coimbatore – 641044, Tamilnadu, India

 

  • K. Meher Babu, Door No: 74-12/2-11/1D, Opposite Plot No.76, Electricity Colony -5, Near Municipal Park of Road 5,6, Patamata, Autonagar Post, Vijayawada – 520010, Andhra Pradesh, India

 

  • No.26, Tulsi Manor,  80 Feet Road, HMT Layout, R.T Nagar, Bangalore - 560032, Karnataka, India

 

  • 3rd Floor, 1502, Salil Chowdary Surani, Opppsote Kasba New Market, Kolkata – 700107, West Bengal, India

 

  • 507, Monarch Plaza, Plot-56, Sec-11, CBD Belapur,  Navi Mumbai-400614, Maharashtra, India

 

  • Office No: 14, 1st Floor, "Rachana House", Near Good Luck Chowk, FC Road, Shivaji Nagar, Pune – 411004, Maharashtra, India

 

  • 612, Ansal Chambers-!!, 9, Bikaji Cama Place, New Delhi – 110066, India

 

  • 4th Floor, MVR'S Vinayagar Trade Centre, Above Pantaloons, VIP Road, Vishakhapatnam – 530003, Andhra Pradesh, India

 

 

DIRECTORS

 

As on 31.03.2017

 

Name :

Potluri Venkateswara Rao

Designation :

Managing Director

Address :

Villa No. 42, Aparna Hill Park Gardenia, Survey Number 272, Chanda Nagar, Near P J R Road, Seriligampally, Tirumalagiri, Hyderabad – 500050, Telangana, India

Date of Birth/Age :

15.08.1959

Qualification :

B Tech (Civil Engineering)

Experience :

32 Years

Date of Appointment :

26.05.2010

DIN No.:

03157581

 

 

Name :

Mr. Kamalakar Rao Bandari

Designation :

Director

Address :

603 Bandari Residency, Begumpet, Hyderabad - 500016, Telangana, India

Date of Appointment :

11.02.2015

DIN No.:

00038686

 

 

Name :

Mr. Joginapally Venkata Nrupender Rao

Designation :

Director

Address :

Plot No.381, Road No.10, Jubilee Hills, Hyderabad - 500033, Telangana, India

Date of Birth/Age :

23.06.1945

Qualification :

M Tech

Experience :

45 Years

Date of Appointment :

17.01.2008

DIN No.:

00089922

 

 

Name :

Mr. Manish Mahendra Sabharwal

Designation :

Director

Address :

48, Hatkesh Society, N/S Road No. 7, Juhu, Mumbai - 400049, Maharashtra, India

Date of Birth/Age :

29.12.1969

Date of Appointment :

09.08.2010

DIN No.:

00969601

 

 

Name :

Mr. Aditya Narsing Rao

Designation :

Director

Address :

8-2-293/82/A/381 442, Plot No. 381, Road No. 10, Jubilee Hills, Hyderabad -  500033, Telangana, India

Date of Birth/Age :

06.12.1981

Qualification :

Masters in Engineering and Management

Experience :

10 Years

Date of Appointment :

17.01.2008

PAN No.:

ADVPJ6046K

DIN No.:

01307343

 

 

Name :

Mr. Varun Chawla

Designation :

Director

Address :

A-65-A Nizamuddin East, New Delhi - 110013, India

Date of Appointment :

11.02.2015

DIN No.:

02097425

 

 

Name :

Ms. Sita Vanka

Designation :

Director

Address :

# 2-2-1137/3/1/1, New Nallakunta, Hyderabad - 500044, Telangana, India

Date of Appointment :

11.02.2015

DIN No.:

07016012

 

 

Name :

Eric James Brown

Designation :

Director

Address :

18 Rosedown Pl The Woodlands TX 773820000 US

Date of Appointment :

14.12.2016

DIN No.:

07670880

 

 

Name :

Comandur Parthasarathy

Designation :

Additional Director

Address :

D No 8-2-293/82/A/648, Plot No 648, Road No 34, Jubilee Hills, Hyderabad - 500034, Telangana, India

Date of Birth/Age :

07.07.1955

Date of Appointment :

09.11.2015

DIN No.:

00079232

 

 

Name :

Mr. Mukul Gulati

Designation :

Additional Director

Address :

Villa 290, St Phase, Adarsh Palm Meadows, Ramagondanahalli , Airport Road, Whitefield, Bangalore - 560066, Karnataka, India

Date of Birth/Age :

06.09.1973

Qualification :

MBA

Date of Appointment :

09.11.2015

DIN No.:

00746183

 

 

KEY EXECUTIVES

 

Name :

Mr. Shrikant Bhakkad

Designation :

Chief Financial Officer

Address :

7-1-77 B 2, Jyothi Apartment, D.K. Road, Opposite MCH Ground, Ameerpet, Hyderabad - 500016, Telangana, India

Date of Appointment :

06.05.2014

PAN No.:

AFHPB6272R

 

 

Name :

Mr. Gopal Ladda

Designation :

Company Secretary

Address :

# 2-3-84, Marvadi Gally, Bhainsa, Adilabad – 504103, Telangana, India

Date of Appointment :

30.11.2016

PAN No.:

ACHPL7499R

 

 

Name :

Mohammed Ali Baig Mirza

Designation :

Company Secretary

Address :

H no. 5-61, Shashadri Nagar, Mahabub Nagar – 509001, Andhra Pradesh, India

Date of Appointment :

04.11.2017

PAN No.:

AXJPM4816G

 

 

Name :

Mr. Amit Herekar

Designation :

Engineer Sales

 

 

Management Team :

Name :

I V Ramana Raju

Designation :

Chief - Sales and Marketing (Andhra, Karnataka and East Regions)

 

 

Name :

Durgesh Makhijani

Designation :

Chief -  Sales (West Region)

 

 

Name :

Alteaur Rahm

Designation :

VP - Engineering

 

 

Name :

Nadaraja Money

Designation :

Cheif -  PM&OMD

 

 

Name :

B V Ramakrishnan

Designation :

AVP - Operations

 

 

Name :

Ramesh Tanneeru

Designation :

Chief– BD (Solar and Structural Steel

 

 

Name :

Rakesh Chopra

Designation :

GM – Sales (North Region)

 

 

Name :

P Hari Krishnan

Designation :

Sr. GM – Sales (TN and Kerala region)

 

 

Name :

Uma Rani

Designation :

DGM - HR

 

 

Name :

KVS Rao

Designation :

Head - Procurement

 

 

Name :

Shrikant Bhakkad

Designation :

Chief Financial Officer

 

 

Quality Control

Name :

B V Ramakrishnan

Designation :

Chief-Operations

 

 

Name :

Balaji M

Designation :

DGM – Quality Assurance

 

 

Name :

Murali Krishna Rao

Designation :

Assistant Manager–QC

 

 

Name :

Y. Sudhir Kumar

Designation :

Junior Executive - QC

 

 

Name :

Revan Sidappa

Designation :

Junior Executive - QC

 

 

Name :

Siva Rama Krishna

Designation :

Junior Executive - QC

 

 

Name :

M.Naveen Kumar

Designation :

Junior Executive - QC

 

 

Name :

K. Santosh Kumar

Designation :

Engineer - Quality

 

 

Name :

P. Shankar

Designation :

Junior Executive - QC

 

 

Name :

CH Praveen Kumar

Designation :

Tr.Engg - QC

 

 

Name :

B.Sai Kiran

Designation :

Tr.Engg - QC

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on September, 2017

 

Category of shareholder

No. of fully paid up equity shares held

Shareholding as a % of total no. of shares

Promoter and Promoter Group

21750357

63.46

Public

12524554

36.54

Grand Total

34274911

100.00

 

 

 

STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PROMOTER AND PROMOTER GROUP

 

Category of shareholder

No. of fully paid up equity shares held

Shareholding as a % of total no. of shares

A1) Indian

0.00

Individuals/Hindu undivided Family

3244058

9.46

JOGINPALLY NRUPENDER RAO

197989

0.58

J RAJYALAKSHMI

690914

2.02

JOGINAPALLY VENKATA NRUPENDER RAO

516000

1.51

ADITYA RAO

1074306

3.13

J AVANTI TAO

254950

0.74

DANAPUNENI SUDEEPTA RAO

509899

1.49

Any Other (specify)

18506299

53.99

PENNAR HOLDINGS PRIVATE LIMITED

6299

0.02

PENNAR INDUSTRIES LIMITED

18500000

53.98

Sub Total A1

21750357

63.46

A2) Foreign

0.00

A=A1+A2

21750357

63.46

 

 

STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PUBLIC SHAREHOLDER

 

Category of shareholder

No. of fully paid up equity shares held

Shareholding as a % of total no. of shares

B1) Institutions

0

0.00

Mutual Funds/

5409786

15.78

DSP BLACK SMALL AND MID CAP FUND

2322773

6.78

ADITYA BIRLA SUN LIFE TRUSTEE PRIVATE LIMITED A/C ADITYA BIRLA SUN LIFE SMALL AND MIDCAP FUND

1330900

3.88

HDFC TRUSTEE COMPANY LIMITED HDFC INFRASTRUCTUREFUND

555295

1.62

KOTAK MIDCP

1200818

3.50

Venture Capital Funds

491000

1.43

IL AND FS TRUST COMPANY LIMITED

491000

1.43

Foreign Portfolio Investors

303023

0.88

Financial Institutions/ Banks

6621

0.02

Any Other (specify)

2286

0.01

Sub Total B1

6212716

18.13

B2) Central Government/ State Government(s)/ President of India

0

0.00

B3) Non-Institutions

0

0.00

Individual share capital upto Rs. 2 Lacs

2150710

6.27

Individual share capital in excess of Rs. 2 Lacs

1219740

3.56

Any Other (specify)

2941388

8.58

Sub Total B3

6311838

18.42

B=B1+B2+B3

12524554

36.54

 

 

BUSINESS DETAILS

 

Line of Business :

The Subject is Engaged into Design, Manufacture, Supply, Service and Installation of Pre-Engineered Steel Buildings, Building Components and Erection for Industries, Warehouses, Commercial Centres, Multi Storied Buildings, Aircraft Hangars, Defence Installations, amongst Others. (Registered activity)

 

 

Products :

Item Code No.

Product Description

28112

Pre Engineered Building / Steel

Structure Components and related

activities

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

 

Products :

Finished Goods

Countries :
  • Tanzania
  • Sri Lanka

 

 

Imports :

Not Available

 

 

Terms :

 

Selling :

L/C and Credit (30/ 90 Days)

 

 

Purchasing :

L/C and Credit (30/ 90 Days)

 

PRODUCTION STATUS NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Uttam Value Steels Limited

Name of the Person :

Mr. S.B. Kaplay (Branch Incharge)

Contact No.:

91-9394730244

Since How Long Known :

2004

Maximum Limit Dealt :

Not Available

Experience :

Payment Behaviour

Market Goodwill

Overall

Excellent

Excellent

Excellent

Remark:

As claimed by Mr. S.B. Kaplay (Branch incharge) that the payment behavior market goodwill is excellent and overall performance is excellent.

 

Reference :

JSW Steel Limited

Name of the Person :

Mr. Balachandra Mauli (Director in Sales)

Contact No.:

91-9867554143

Since How Long Known :

Last 9 Years

Maximum Limit Dealt :

Not Available

Experience :

Payment Behaviour

Market Goodwill

Overall

Good

Good

Good

Remark:

As claimed by Mr. Balachandra Mauli (Director in Sales) that the payment behavior market goodwill is excellent and overall performance is excellent.

 

Reference :

The Supreme Industries Limited

Name of the Person :

--

Contact No.:

91-9849026397 (Ringing)

Since How Long Known :

--

Maximum Limit Dealt :

--

Experience :

--

Remark:

---

 

 

Customers :

Manufacturer

 

Reference :

Aditya Birla

Name of the Person :

--

Contact No.:

--

Since How Long Known :

--

Maximum Limit Dealt :

--

Experience :

--

Remark:

--

 

 

 

No. of Employees :

588 (Approximately)

 

 

Bankers :

Bank Name

State Bank of India

Branch

1st Floor, Novbharat Chambers, Raj Bhavan Road, Somajiguda, Hyderabad - 500082, Telangana, India

Person Name (With Designation)

Mr. Murthy (Manager)

Contact Number

91-40-23417218

Name of Account Holder

PENNAR ENGINEERED BUILDING SYSTEMS LIMITED

Account Number

Not Available

Account Since (Date/Year of Account Opening)

10 Years

IFSC No.:

SBIN0009103

Swift Code :

SBININBB144

Average Balance Maintained (If Possible)

Not Available

Credit Facilities Enjoyed (If any)

INR 300.000 Million

Account Operation

Satisfactory

Remarks (If any)

They gave us positive response about subject company, they are satisfied with their banking transaction.

 

  • Axis Bank Limited
  • Yes Bank Limited
  • RBL Bank Limited
  • HDFC Bank Limited

 

 

Facilities :

Secured Loan

31.03.2017

(INR in Million)

31.03.2016

(INR in Million)

Long-term Borrowings

 

 

Vehicle Loan

 

 

From bank - secured

2.800

3.700

 

 

 

Short-term borrowings

 

 

Loans repayable

 

 

From banks

100.200

318.100

From banks - Secured - Demand Loans

450.000

225.000

 

 

 

Total

553.000

546.800

 

NOTE:

LONG-TERM BORROWINGS

Car loan from ICICI Bank of ` 37 Lakhs (31 March, 2016 ` 45 lakhs)is secured by hypothecation of the vehicle financed through the loan arrangement. The loan is repayable in 60 monthly installments of ` 1 Lakh each commencing from 10 November, 2015 and carries an interest of 9.35 % per annum. Current maturities of long term borrowings have been disclosed under the head Other Current Liabilities.

 

Short-term borrowings

 

 (i) Details of loan repayable on demand and other short term loans

(INR In Million)

Particulars

31.03.2017

Loans repayable on demand and other short term loans from banks

 

State Bank of India

549.500

Axis Bank Limited

0.700

Yes Bank

--

Total - from banks

550.200

 

(ii) Details of short-term borrowings guaranteed by Directors and Holding Company :

(INR In Million)

Particulars

31.03.2017

Directors

800.000

Holding Company

800.000

 

Note - iii (a)

 

Working Capital loan of INR 450.000 Million from State Bank of India (SBI) is primarily secured by Pari passu first charge on present and future Current Assets of the Company along with Axis Bank and secured by second charge on fixed assets of the Company including Equitable Mortgage of Acre 32.07 1/2 guntas under Survey numbers 88 to 92 (part) of Ankanapally Village and Survey Numbers 144 to 145 (part) of Chandapur Village Sadasivapet Mandal, Medak District (the land on which the plant is located), on pari passu basis along with Axis Bank, and pledge of 24.60% of the total paid up equity capital (6150000 shares of INR 10 each) held by Pennar Industries Limited. Further secured by personal guarantee of Aditya N Rao and corporate guarantee of Pennar Industries Limited. The loan carries interest rate of 10.55% per annum (31 March, 2015 - 11.25% per annum).

 

Note - iii (b)

 

Working Capital loan of INR 100.000 Million from Axis Bank Limited is primarily secured by Pari passu first charge on present and future Current Assets of the Company and pari passu secured by second charge on present and future fixed assets of the Company including Equitable Mortgage of Acre 32.07 1/2 guntas under Survey numbers 88 to 92 (part) of Ankanapally Village and Survey Numbers 144 to 145 (part) of Chandapur Village Sadasivapet Mandal, Medak District (the land on which the plant is located). Further secured by personal guarantee of promoter director Aditya Rao and Corporate guarantee of Pennar Industries Limited. The loan carries interest rate of 11.55% per annum (31 March, 2015 - 12.15% per annum).

 

Note - iii (c)

 

Working Capital loan of INR 250.000 Million from Yes Bank Limited is exclusively secured by receivables. Further secured by personal guarantee of director Aditya N Rao and Corporate guarantee of Pennar Industries Limited. The loan carries interest rate of 10.25% per annum.

 

Statutory Auditors :

 

Name :

Deloitte Haskins and Sells

Chartered Accountants

Address :

1-8-384 and 385, 3rd Floor, Gowra Grand, S.P. Road, Begumpet, Secunderabad-500003, Telangana, India

Tel. No.:

91-40-66032600

Fax No.:

91-40-66032714

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

AACFD3771D

 

 

Internal Auditors

 

Name :

M/s. R Krishna and Associates

Chartered Accountants

Address :

Flat No. 501, Indra Dhanush Pavani Estates, Road No.2, Banjara Hills, Hyderabad-500034, Telangana, India

 

 

Cost Auditors

 

Name :

Kandikonda and Associates

Cost Accountants

Address :

H. No. 3-12-13/F, Ganesh Nagar, Ramanthapur, Hyderabad – 500013, Telangana, India

 

 

Secretarial Auditor

 

Name :

Dwaraka Prasad Asawa

Practicing Company Secretary

Address :

# 511, Raghava Ratna Towers, Chirag Ali Lane, Abids Hyderabad – 500001, Telangana, India

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Holding Company :
  • Pennar Industries Limited

 

 

Fellow Subsidiary :

 

Name :

Pennar Enviro Limited (formerly Pennar Chemical Limited)

Address :

Floor No.3, DHFLVC Silicon Towers, Madhapur Road, Kondapur, Hyderabad – 500084, Telangana, India

Tel. No.:

91-40-43000171/ 172/ 173

Fax No.:

91-40-23117041

Email :

pel@pennarenviro.com

Line of Business :

Manufacturing and Trading of Water Treatment Solutions, Water Treatment Chemicals, Cooling Water Treatment, Reverse Osmosis Membrane Treatment, Boiler Water Treatment, Special Services, Additives for Heavy Fuels, Storage Stability Additives, Additives for Light Oils, Additives for Solid Fuels, Industrial and Agro Products.

 

  • New Era Enviro Ventures (Karimnagar) Private Limited

 

 

Company in which KMP / Relatives of KMP have significant influence:
  • Thapati trading private limited (formerly Pennar Management Services Limited)
  • Pennar Solar Limited
  • Saven Technologies Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2017

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

36000000

Equity Shares

INR 10/- each

INR 360.000 Million

6000000

Compulsorily convertible preference shares

INR 10/- each

INR 60.000 Million

 

Total

 

INR 420.000 Million

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

34274911

Equity Shares

INR 10/- each

INR 342.700 Million

 

 

 

 

 

 

i)              Reconciliation of number of shares and amount outstanding at the beginning and at the end of the

reporting year :

 

Particulars

For the year ended

31 March, 2017

Number of shares

INR in Million

Equity Shares

 

 

Opening balance

34274911

342.700

Add: Movement during the year

--

--

Closing balance

34274911

342.700

 

a) During the previous year the Company completed its Initial Public Offering (IPO) of 8774567 Equity Shares of INR 10 each consisting of a Fresh Issue of 3258426 Equity Shares and an offer for sale of 5516141 Equity Shares from selling share holders on 04 September 2015. Out of the total proceeds from the IPO of INR 1561.900 Million the Company’s share is INR 580.000 Million on account of the said fresh issue. The fresh issue of 3258426 Equity Shares of face value INR 10 each was at a premium of INR 168 per share aggregating INR 547.400 Million. The said premium was recognised in securites premium account of the Company.

 

b) Pursuant to a Board resolution dated 21 July 2015 2097348 CCPS held by Zephyr Peacock India Fund III Limited were converted to 2307412 Equity Shares and 942212 CCPS held by Zephyr Peacock India III Fund were converted into 1036582 Equity Shares respectively of face value INR 10 per share at a premium of INR48.17 per share. The net adjustment on such conversion was made to the securities premium account.

 

(ii) Details of shares held by the holding company:

 

Particulars

As at 31 March, 2017

Equity shares

Number of shares

Pennar Industries Limited

18500000

 

 

(iii) Details of shares held by each shareholder holding more than 5% shares:

 

Name of shareholder

As at 31 March, 2017

 

Number of

shares

% holding in

that class of shares

Equity shares -

 

 

Pennar Industries Limited

18500000

53.98%

Zephyr Peacock India Fund III Limited

1962473

5.73%

DSP Blackrock small and mid cap fund

1678391

4.90%

Birla sun life trustee company private limited

1783700

5.20%

 

(iv) Rights, preferences and restrictions attached to shares

(a) Equity shares

The Company has one class of equity shares having a par value of ` 10 each. Each shareholder is eligible for one vote per share held. Any dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company in proportion to their shareholding.

 

(b) Details of shares reserved for issue

Shares aggregating 1,000,000 (31 March, 2016 1,000,000) is reserved for issue under Employee Stock Option Scheme 2014

 

 

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

342.700

342.700

307.100

(b) Reserves & Surplus

2022.700

1778.700

988.500

(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)

2365.400

2121.400

1295.600

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

2.800

3.700

1.100

(b) Deferred tax liabilities (Net)

34.000

38.400

41.400

(c) Other long term liabilities

64.700

35.400

35.700

(d) long-term provisions

27.000

17.300

21.000

Total Non-current Liabilities (3)

128.500

94.800

99.200

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

550.200

543.100

404.200

(b) Trade payables

1678.200

1532.400

1125.800

(c) Other current liabilities

762.400

403.100

218.200

(d) Short-term provisions

19.400

162.700

42.200

Total Current Liabilities (4)

3010.200

2641.300

1790.400

 

 

 

 

TOTAL

5504.100

4857.500

3185.200

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

617.400

629.800

617.900

(ii) Intangible Assets

40.900

38.400

35.100

(iii) Capital work-in-progress

11.100

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

24.900

20.200

21.900

(e) Other Non-current assets

126.800

83.100

0.000

Total Non-Current Assets

821.100

771.500

674.900

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

352.900

331.500

260.300

(b) Inventories

2060.700

889.500

674.100

(c) Trade receivables

971.800

1402.000

1270.000

(d) Cash and cash equivalents

153.800

666.900

58.300

(e) Short-term loans and advances

810.100

538.600

127.500

(f) Other current assets

333.700

257.500

120.100

Total Current Assets

4683.000

4086.000

2510.300

 

 

 

 

TOTAL

5504.100

4857.500

3185.200

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2017

31.03.2016

31.03.2015

 

SALES

 

 

 

 

Income

5025.800

4469.200

4451.500

 

Other operating revenue

0.000

3.100

40.600

 

Other Income

57.100

15.500

20.700

 

TOTAL

5082.900

4487.800

4512.800

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of Materials Consumed

3067.500

2375.000

2700.800

 

Changes in inventories of finished goods, work-in-progress and Stock-in-Trade

(704.500)

(105.800)

(23.900)

 

Employees benefits expense

369.800

322.300

269.100

 

Other expenses

1786.600

1230.400

1079.000

 

TOTAL

4519.400

3821.900

4025.000

 

 

 

 

 

Less

PROFIT/ (LOSS)  BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION 

563.500

665.900

487.800

 

 

 

 

 

Less

FINANCIAL EXPENSES

171.600

110.900

96.700

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

391.900

555.000

391.100

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION

54.600

61.200

58.500

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX

337.300

493.800

332.600

 

 

 

 

 

Less

TAX

93.300

192.200

113.500

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX 

244.000

301.600

219.100

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

F.O.B. Value of Exports

1004.000

50.100

14.300

 

Others

44.700

9.600

0.000

 

TOTAL EARNINGS

1048.700

59.700

14.300

 

 

 

 

 

 

IMPORTS

 

 

 

 

Raw Materials

0.000

210.300

5.900

 

Components and Stores parts

12.800

0.500

0.700

 

Capital Goods

0.000

2.500

1.000

 

TOTAL IMPORTS

12.800

213.300

7.600

 

 

 

 

 

 

Earnings / (Loss) Per Share (INR)

 

 

 

 

Basic

7.12

9.47

8.57

 

Diluted

7.12

9.47

7.19

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2017

31.03.2016

31.03.2015

Current Maturities of Long term debt

0.900

0.800

0.500

Cash generated from operations

(6.900)

396.300

155.200

Net cash flow from operating activity

(252.900)

321.300

35.200

 

 

QUARTERLY RESULTS

 

Particulars

30.06.2017

30.09.2017

Audited / Unaudited

Unaudited

Unaudited

 

1ST Quarter

2nd Quarter

Net Sales

1292.500

1325.100

Total Expenditure

1196.300

1236.200

PBIDT (Excl OI)

96.200

88.900

Other Income

10.400

25.200

Operating Profit

106.600

114.100

Interest

42.700

43.800

Exceptional Items

NA

NA

PBDT

63.900

70.300

Depreciation

14.600

14.900

Profit Before Tax

49.300

55.400

Tax

14.600

19.000

Provisions and contingencies

NA

NA

Profit After Tax

34.700

36.400

Extraordinary Items

NA

NA

Prior Period Expenses

NA

NA

Other Adjustments

NA

NA

Net Profit

34.700

36.400

 

 

KEY RATIOS

 

EFFICIENCY RATIOS

 

PARTICULARS

 

31.03.2017

31.03.2016

31.03.2015

Average Collection Days

(Sundry Debtors / Income * 365 Days)

70.58

114.50

104.13

 

 

 

 

Account Receivables Turnover

(Income / Sundry Debtors)

5.17

3.19

3.51

 

 

 

 

Average Payment Days

(Sundry Creditors / Purchases * 365 Days)

199.69

235.51

152.15

 

 

 

 

Inventory Turnover

(Operating Income / Inventories)

0.27

0.75

0.72

 

 

 

 

Asset Turnover

(Operating Income / Net Fixed Assets)

0.84

1.00

0.75

 

 

LEVERAGE RATIOS

 

PARTICULARS

 

31.03.2017

31.03.2016

31.03.2015

Debt Ratio

((Borrowing + Current Liabilities) / Total Assets)

0.55

0.54

0.56

 

 

 

 

Debt Equity Ratio

(Total Liability / Networth)

0.23

0.26

0.31

 

 

 

 

Current Liabilities to Networth

(Current Liabilities / Net Worth)

1.27

1.25

1.38

 

 

 

 

Fixed Assets to Networth

(Net Fixed Assets / Networth)

0.28

0.31

0.50

 

 

 

 

Interest Coverage Ratio

(PBIT / Financial Charges)

3.28

6.00

5.04

 

 

PROFITABILITY RATIOS

 

PARTICULARS

 

 

31.03.2017

31.03.2016

31.03.2015

Net Profit Margin

((PAT / Sales) * 100)

%

4.85

6.75

4.92

 

 

 

 

 

Return on Total Assets

((PAT / Total Assets) * 100)

%

4.43

6.21

6.88

 

 

 

 

 

Return on Investment (ROI)

((PAT / Networth) * 100)

%

10.32

14.22

16.91

 

 

SOLVENCY RATIOS

 

PARTICULARS

 

31.03.2017

31.03.2016

31.03.2015

Current Ratio

(Current Assets / Current Liabilities)

1.56

1.55

1.40

 

 

 

 

Quick Ratio

((Current Assets – Inventories) / Current Liabilities)

0.87

1.21

1.03

 

 

 

 

G-Score Ratio Financial

(Networth / Total Assets)

0.43

0.44

0.41

 

 

 

 

G-Score Ratio Debt

(Debts / Equity Capital)

1.61

1.60

1.32

 

 

 

 

G-Score Ratio Liquidity

(Total Current Assets / Total Current Liabilities)

1.56

1.55

1.40

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

 

 

STOCK PRICES

 

Face Value

INR 10.00/- each

Market Value

INR 117.00/- each

 

 

FINANCIAL ANALYSIS

[all figures are 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

307.100

342.700

342.700

Reserves & Surplus

988.500

1778.700

2022.700

Net worth

1295.600

2121.400

2365.400

 

 

 

 

Long Term borrowings

1.100

3.700

2.800

Short Term borrowings

404.200

543.100

550.200

Current Maturities of Long term debt

0.500

0.800

0.900

Total borrowings

405.800

547.600

553.900

Debt/Equity ratio

0.313

0.258

0.234

 

 

 

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

4451.500

4469.200

5025.800

 

 

0.398

12.454

 

 

 

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

4451.500

4469.200

5025.800

Profit

219.100

301.600

244.000

 

4.92%

6.75%

4.85%

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check list by info agents

Available in Report (Yes/No)

1

Year of establishment

Yes

2

Constitution of the entity -Incorporation details

Yes

3

Locality of the entity

Yes

4

Premises details

Yes

5

Buyer visit details

--

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

Yes

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)

Yes

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

Yes

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last three years

Yes

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

No

29

Profitability for last three years

Yes

30

Major shareholders, if available

Yes

31

External Agency Rating, if available

Yes

32

Litigations that the firm/promoter involved in

--

33

Market information

--

34

Payments terms

Yes

35

Negative Reporting by Auditors in the Annual Report

No

 

 

 

REVIEW OF BUSINESS AND COMPANY AFFAIRS:

 

The gross revenues of the Company for the current financial year are INR 5476.100 Million and net revenues are INR 5025.800 Million. EBITDA for the current financial year is INR 563.500 Million, and profit after tax is INR 244.000 Million.

 

The Company has received new major orders from Shahi Exports, TATA Projects, SG Pharma, Greenko Group, Hindustan Coca Cola Beverages, Technico-Vithalapur, JSW Cement, JSW Paint, Toyo Engineering, Amplus Energy Solutions, Aequs SEZ, Walmart India, AK Bandhus, Nandi Printers, Amyraah Properties, RKV Developers, SOBISCO, Amazon, and Freight Systems. Projects were executed for Shapoorji Pallonji and Co., KMV Projects Limited, Azure Power, UltraTech Cement Limited, RCC Infra, Bhagwat Chattels, RKV Developers, Indus Projects, Hetero Labs, and VEE Rubber.

 

Repeat orders were received from Shahi Exports, Greenko Group, Hindustan Coca Cola Beverages, Technico-Vithalapur, JSW Cement, Shapoorji Pallonji and Co., Aequs SEZ, AGI Glass PAC, Avenue Supermart, Hetero Drugs, HIL Limited, RCC Infra, LandT, and UltraTech.

 

New initiatives were taken in developing Telecom Towers Model for Reliance Phase II. The Company has signed a MOU with Ramboll (Denmark MNC) specialised in designing towers. The Company has developed models for toilets using steel structures for Thane Municipal Corporation.

 

The company has commenced the production from its leased Baroda facility. The Company is now in the leading position in India in PEB business.

 

 

AWARDS AND RECOGNITION

 

  • Construction World Top Challenger Award 2015-2016
  • Runner-up, Construction Week India Awards 2016
  • DandB Infra Awards 2016
  • IEI Industry Excellence Award 2016
  • CIDC Vishwakarma Award 2017

 

 

THEIR PROJECTS

 

  • Amazon Fulfilment Centre, Hyderabad
  • UltraTech Cement
  • Solar Projects
  • MRF Tyres Ltd.
  • ETNA Phoenix, Hyderabad
  • Volvo India, Bangalore
  • LandT Valves, Bangalore

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

For every journey to be successful, it is imperative to first determine a path that allows us to ride wave after wave of opportunity. In this year’s Management Discussion and Analysis, we explore the various factors that will influence how they navigate conditions with minimal resistance and maximum efficiency.

 

Global Economic Realities

 

Events around the world can have far-reaching effects on business close to home. A wide view of global financial conditions enables them to anticipate the ripple effect of economic chain reactions, and ensure that they choose the right way forward.

 

Global economic growth is firming broadly as expected. According to World Bank Report Global economic prospectus June 2017, Global growth is projected to strengthen to 2.7% in 2017 and 2.9% in 2018-19. In emerging market and developing economies (EMDEs), growth is predicted to recover to 4.1% in 2017 and reach an average of 4.6% in 2018-19, as obstacles to growth in commodity exporters diminish, while activity in commodity importers continues to be robust in activity. Growth in major advanced economies is also firming up slowly with monetary policy normalisation in the USA and political certainty in Eurozone area.

 

Risks to global outlook remain tilted to the downside. These include increased trade protectionism, elevated economic policy uncertainty, the possibility of financial market disruptions, and, over the longer term, weaker potential growth. Less-than-expected US fiscal spend and rapid tightening of the US monetary policy also pose significant threats to the outlook.

 

 

CORPORATE INFORMATION

 

Pennar Engineered Building Systems Limited (“the Company”) is into design, manufacture, supply, service and installation of pre-engineered steel buildings, building components and erection for industries, warehouses, commercial centres, multi storied buildings, aircraft hangars, defence installations, amongst others.

 

The company’s registered office is at Hyderabad and manufacturing plant is located at Sadashivpet, Medak district of Telangana.

 

The Company made an Initial Public Offer during the previous year and the shares of the Company were listed on the Bombay Stock Exchange and the National Stock Exchange of India on 10 September, 2015.

 

 

UNAUDITED FINANCIAL RESULTS FOR THE    QUARTER AND HALF YEAR ENDED SEPTEMBER 30TH, 2017

 

 

 

Particulars

30.09.2017

(Quarter ended)

30.06.2017

(Quarter ended)

30.09.2017

(Half Year ended)

1

 

Income from Operations

 

 

 

 

 

Sales/Income from Operations (Gross)

1325.100

1292.500

2617.600

 

 

b) Other Operating Income

25.200

10.400

35.600

 

Total Income from Operations (Net)

1350.300

1302.900

2653.200

2

Expenses              

 

 

 

 

a)

Cost of Materials consumed

552.800

1001.300

1554.100

 

b)

Changes in inventories of finished goods, work-in-progress and stock-in-trade

183.600

(416.200)

(232.600)

 

c)

Erection expenses

126.500

190.300

316.800

 

d)

Excise duty on sales

--

96.200

96.200

 

e)

Employee benefit expenses

99.900

104.000

203.900

 

f)

Finance Costs

43.800

42.700

86.500

 

g)

Depreciation and amortization expense

14.900

14.600

29.500

 

h)

Other expenses

273.400

220.700

494.100

 

Total Expenses

1294.900

1253.600

2848.500

 

 

 

 

 

3

Profit before Tax

55.400

49.300

104.700

4

Tax Expense

19.000

14.600

33.600

5

Net Profit for the period after tax

36.400

34.700

71.100

 

 

 

 

 

6

Other Comprehensive Income

 

 

 

 

Items that will not be reclassified subsequently to profit or loss

 

 

 

 

Remeasuremnt of defined benefits obligation

(0.063)

1.300

(0.300)

 

Deferred tax relating to the above items

0.021

(0.500)

0.083

 

Total Other Comprehensive Income

(0.042)

0.800

(0.167)

 

 

 

 

 

 

Total Comprehensive Income

36.400

35.500

70.900

 

 

 

 

 

 

Earnings / (Loss) Per Share (INR)

1.06

1.01

2.07

 

 

 

INDEX OF CHARGES:

 

SNo

SRN

Charge Id

Charge Holder Name

Date of Creation

Date of Modification

Date of Satisfaction

Amount

Address

1

G49166382

100112418

HDFC BANK LIMITED

15/06/2017

-

-

250000000.0

HDFC BANK HOUSE, SENAPATI BAPAT MARGLOWER PAREL WMUMBAI

2

G38727038

100084291

RBL BANK LIMITED

14/03/2017

-

-

160000000.0

SHAHUPURI,KOLHAPUR,KOLHAPURMa416001IN

3

G02150522

100022219

YES BANK LIMITED

08/03/2016

-

-

250000000.0

NEHRU CENTRE 9TH FLOORDISCOVERY OF INDIA, DR. ANNIE BESANT ROAD,WORLIHyderabadMH400018IN

4

C72182645

10606144

ICICI BANK LIMITED

17/10/2015

-

-

4865000.0

RAPG DIVISION, Level 3 Plot No 12Gachibowli, NanakramgudaHyderabadTG500032IN

5

G45369634

10514532

YES BANK LIMITED

08/07/2014

31/01/2017

-

450000000.0

NEHRU CENTRE 9TH FLOORDISCOVERY OF INDIA, DR. ANNIE BESANT ROAD,WORLIMUMBAIMH400018IN

6

G68961499

10287826

Axis Bank Limited

26/04/2011

05/12/2017

-

1400000000.0

CORPORATE BANKING BRANCH, 6-3-879/B,Greenlands Road, BegumpetHyderabadTG500016IN

7

G49410491

10169469

State Bank of India

09/07/2009

25/05/2017

-

3415000000.0

Industrial Finance Branch, Raj Bhavan RoadSomajigudaHyderabadTG502291IN

8

G01286640

10626360

State Bank of India

17/02/2016

-

22/03/2016

200000000.0

Industrial Finance Branch, Raj Bhavan RoadSomajigudaHyderabadTG500082IN

9

C75403261

10425819

KOTAK MAHINDRA PRIME LIMITED

16/04/2013

-

29/12/2015

2317000.0

36-38A NARIMAN BHAVAN,227, NARIMAN POINT,MUMBAIMH400021IN

 

 

FIXED ASSETS

 

  • Land Freehold
  • Buildings
  • Plant and Equipment
  • Electrical Equipments
  • Furniture and Fixtures
  • Vehicles
  • Office equipment
  • Computers

 

.

 

 

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 63.53

UK Pound

1

INR 86.05

Euro

1

INR 76.53

 

 

INFORMATION DETAILS

 

Analysis Done by :

PRS

 

 

Report Prepared by :

KJL

 

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

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

YES

--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)

 

 

 

 

 

 

 

 

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.