SUNDARAM MULTI PAP Share price

The Company was incorporated on 13th March 1995 with theRegistrar of Companies Maharashtra at Bombay as a Public Limited Company and the Certificate of Commencement of Business was obtained on April 10 1995.As the Company is incorporated with the object of manufacturing and marketing of Drawing Books Exercise Books Note Books Account Books Registers and Office Paper Stationery items the directors had decided to takeover assets and business of M/Is. Starline Industries a partnership firm engaged in the manufacturing of school exercise books Account books and all kind of paper stationery. The said partnership firm was formed by Mr. Amrut P. Shah Mr. Shantilal P. Shah and Mr. Raichand P. Shah on 1st November 1993.SUNDARAM MULTI-PAP LIMITED has taken over the assets bankliabilities and business of the firm vide the Deed of Assignment dated 15th June 1995 for the consideration of Rs.42.20 Lacs. The Purchase consideration has been discharged by issue of 422000 Equity Shares of Rs.10/- each at par aggregating to Rs.42.20 Lacs to the Partners.SALIENT FEATURES OF DEED OF ASSIGNMENT:DATE: 15th June1995PARTIES INVOLVED: M/S STARLINE INDUSTRIES ( ASSIGNOR)AND SUNDARAM MULTI-PAP LTD (ASSIGNEE)1. The assignor agreed to transfer their assets and business of M/s Starline Industries to the assignee and the assignee agreed to takeover the assets and business of M/s Starline Industries.2. Sundaram Multi-Pap Ltd agreed to takeover the assets andbusiness of M/s Starline Industries against the issue of theshares to the partners on net assets worth Rs. 42.20 lacs.The assignee agreed to purchase the plot alongwith the shedPlant and machinery Furniture & Electrical Fixtures Goodwill. and Stock-in-trade as a running and going concern from the assignor free of all debts liabilities and encumbrances except the liability of credit facility sanctioned and disbursed by the Abhyudaya Co-op Bank Ltd. Parel BranchBombay of Rs.37.80 lacs for the consideration of Rs. 42.20 lacs.3. Value of Shares allotted to Partners of Starline Industries: Rs.in lacs)1. Mr. Amrut P. Shah - 22.202. Mr. Raichand P.Shah - 10.003. Mr. Shantilal P. Shah - 10.00 ----- 42.20 ===== 4. The assignee shall bear all costs charges and expensesincluding stamp duty and registration charges of the agreement.The details of the assets bank liabilities and business taken over are as under: (Rs. in lacs)------------------------------------------------------------ Book Acquisition Market Value Price Value(*)------------------------------------------------------------Land 2.73 4.50 4.60Building 29.14 33.00 33.10Plant & Machinery (IncI. Ele.Fixture) 29.19 36.20 36.20M.S.E.B. Deposit 0.22 0.22 -Goodwill & Intangible assets 0.52 0.50 -Stock in trade 5.58 5.58 - ---- ----- 67.38 80.00 ==== =====Less : Bank LiabilitiesLoan from Abhyudaya Co.op.Bank- Term Loan 27.80- Working Capital 10.00 37.80 ----- -----Net Assets Taken Over 42.20 =====(*) Note : The Market Value have been considered as per the certificate of Valuation of assets issued by Mr. J.T. Godse Chartered Engineers Govt. Approved Valuers (Cat-I-258 of 1988) vide his certificate ref. no. Val/95-96 dated May 29 1995.INTEREST OF PROMOTERSThe Company has acquired assets bank liabilities and business of M/s Starline Industries for a net consideration of Rs.42.20 lakhs to the extent of which shares for consideration other than cash have been issued to the partners of the firm. Mr. Amrut P. Shah one of thePromoters and Mr. Raichand P. Shah key personnel would bedeemed to be interested to the extent of their share in M/s Starline Industries i.e. Rs.22.20 lakhs and Rs.10.00 lakhs respectively.PAST FINANCIAL PERFORMANCE OF M/s. STARLINE INDUSTRIES:M/s. Starline Industries a partnership firm was formed on 1st November 1993. The financial performance of the firm since formation is as under: (Rs. in lacs)------------------------------------------------------------ 1.11.93 to 1.4.94 toParticulars/Years 31.3.1994 31.3.1995------------------------------------------------------------Sales Nil 33.67Profit After Tax Nil 2.31Pre-op. Expenses 0.37 0.52Partners Capital 11.27 17.05------------------------------------------------------------Note : The above accounts have been prepared in accordance with the provisions of Companies Act 1956.PAST FINANCIAL PERFORMANCE OF THE COMPANY:The financial performance of the Company since Incorporation is as under: (Rs. in lacs)------------------------------------------------------------ 13.3.95 toParticulars/ Years 31.12.1995------------------------------------------------------------Sales 301.23Other Income - Sale of wastage 0.44 - Discount Received 0.14Cost of Raw material consumed 261.49Net Profit 24.48Pre-op. Expenses 3.73Equity Share Capital 143.97Reserves & Surplus 24.48