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Savan Electronics
Grading Drivers
ICRA has assigned ‘SP 3B’* (pronounced solar power three B) grading to Savan Electronics (SE),
indicating ‘Moderate Performance Capability’ and ‘Moderate Financial Strength’ of the channel
partner to undertake off-grid solar projects. The grading is valid for a period of two years from March
31, 2014 after which it will be kept under surveillance.
Strengths
 Technical and financial support from the group company (partners in Savan Electronics
hold 35% shares in Saranya Electronics) Saranya Electronics which has been in the
solar business from the past 2 years
 The products conforms to the MNRE standards and are approved by NREDCAP
 High net worth of Rs. 17.35 crores of the partners
 Satisfactory feedback from customers and suppliers
Risk Factors
 Nascent stages of operations as Savan Electronics started operations in 2013
 Low order book size of 110 KW indicating lower revenue visibility in the future
 Partnership nature of the firm subjected to withdrawals from the partners
 Large number of organized and unorganized players in solar PV space indicating high
level of competition leading to pressure on margins
Fact Sheet
Year of Establishment
Office Address
*
2011
Manufacture of Solar Agriculture Pump sets, Power
Savers, various LED products, Solar Street Lights etc.
Factory Address
Plot No 2, (Block No.2), CF are, Survey No. 185 (Part),
Phase-V, IDA Cherlapally, Hyderabad
Partners
Mr. C.V.N. Rao, Managing Partner
Mrs. C. Sailaja, Partner
Savan Electronics (SE) was incorporated in the year 2011 by Mr. C.V.N Rao and Mrs.
Sailaja as partners. The unit was promoted to render a comprehensive range of solar
energy based power systems to government organizations and Industries. The firm is
involved in the Manufacturing of Solar Agriculture Pump sets, Power Savers, various LED
products, Solar Street Lights etc. The products are approved by NREDCAP, a state
government company. The capacity of projects under execution is 110 KW.
Solar Photovoltaic
SI Related Business – Moderate Performance Capability
Financial Strength – Moderate
 Promoter’s Track Record: Mr. C.V.N Rao & Mrs. C Sailaja are the promoters of
Savan Electronics (SE). Mr C.V.N. Rao, Managing partner of the firm was graduated in
Electronics & Communication Engineering from Andhra University in 1983 and has got
a vast experience of 30 years in the field of electronics in India. He has worked as R&D
manager in Malaysia for 7 years. Savan Electronics is involved in the Manufacturing of
Solar Agriculture Pump sets, Power Savers, various LED products, Solar Street Lights
etc. They have completed 110 KW of solar off grid installations and have 2 projects in
hand for providing EPC services cumulating to 110 KW and Rs. 1.60 crore.
 Technical competence and adequacy of manpower: Savan Electronics partners
hold 35% equity in Saranya Electronics Pvt. Ltd. (SEPL). SEPL started operation in
Dec 2003. They are involved in manufacturing and designing of solar panels, charge
controllers, Inverters, Storage batteries etc. They have implemented a 5 MW EPC
subcontract in Rajasthan through Surana Ventures Limited. Savan Electronics has a
team of 14 technical personnel which includes skilled and semi-skilled people providing
competence in executing the projects. SE’s products conform to the specifications of
MNRE and have received certifications and accreditations from NREDCAP (New and
Renewable Energy Development Corporation of Andhra Pradesh). The employed
manpower has been adequate for the limited number of projects undertaken so far;
however the same would need to be increased for scaling up of operations.
 Quality of suppliers and tie ups: Savan Electronics procures materials such as solar
panels, Batterries and inverters from Akshaya Solar Power India Pvt. Ltd., Sirius Solar
Energy Systems Pvt. Ltd., Power one Micro Systems Pvt. Ltd., RC All tech power
systems Pvt. Ltd. etc. The materials are tested for quality and reliability before
purchase orders are given to the suppliers. As per feedback from the supplier, they are
satisfied with the involvement, information flow, payments etc.
 Customer and O&M Network: The customer profile of Savan Electronics mainly
includes other households. The customers are located mainly in the southern part of
India, particularly in Andhra Pradesh & Karnataka. The customers are satisfied with the
firms services. Savan Electronics is under process of executing projects as EPC, O&M
capabilities will develop as soon as the projects are executed by the company.
Revenues
Return on Capital Employed (RoCE)
Total Outside Liabilities / Tangible Net
worth
Interest Coverage Ratio
Net-Worth
The company has commenced operations
from October 2013 and has generated
revenues of Rs. 1.32 cr as in January 2014.
However, comfort can be drawn from the
partners stake of 35% in Saranya Electronics
which will help them technically and financially
-
Net worth of the Savan Electronics partners is
Rs. 17.35 crore
Current Ratio
Relationship with bankers
The overall financial profile of the company is Moderate
March 2014
For further details please contact:
Analyst Contacts:
Mr. Sabyasachi Majumdar (Tel. No. +91 124 4545304)
[email protected]
Relationship Contacts:
Mr. Jayanta Chatterjee (Tel. No. +91-80-43326401)
[email protected]
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Disclaimer: An ICRA SI grade reflects ICRA’s opinion on the ability of the graded system integration company to
undertake off grid solar projects. This grading does not constitute an audit by ICRA of the SI. The gradings are
based on information provided by the company or obtained by ICRA from sources it considers reliable. ICRA does
not guarantee the completeness or accuracy of the information on which the grading is based and therefore shall
not be responsible for any liability incurred by the users of such grading. An ICRA SI grading is not a
recommendation to use the services of the SI, or to invest in any project undertaken by the SI, or to lend to the SI
or invest in any financial instrument issued by the SI. ICRA has the right to revise gradings as and when
circumstances so warrant
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1105, Kailash Building, 11th Floor, 26, Kasturba Gandhi Marg, New Delhi 110001
Tel: +91-11-23357940-50, Fax: +91-11-23357014
Corporate Office
Mr. Vivek Mathur
Mobile: 9871221122
Email: [email protected]
Building No. 8, 2nd Floor, Tower A, DLF Cyber City, Phase II, Gurgaon 122002
Ph: +91-124-4545310 (D), 4545300 / 4545800 (B) Fax; +91- 124-4050424
Mumbai
Mr. L. Shivakumar
Mobile: 9821086490
Email: [email protected]
Kolkata
Mr. Jayanta Roy
Mobile: +91 9903394664
Email: [email protected]
1802, 18th Floor, Tower 3,
Indiabulls Finance Centre,
Senapati Bapat Marg,
Elphinstone, Mumbai 400013,
Board : +91-22-61796300; Fax: +91-22-24331390
Chennai
Mr. Jayanta Chatterjee
Mobile: 9845022459
Email: [email protected]
A-10 & 11, 3rd Floor, FMC Fortuna
234/3A, A.J.C. Bose Road
Kolkata—700020
Tel +91-33-22876617/8839 22800008/22831411,
Fax +91-33-22870728
5th Floor, Karumuttu Centre
634 Anna Salai, Nandanam
Chennai—600035
Tel: +91-44-45964300; Fax: +91-44 24343663
Ahmedabad
Mr. L. Shivakumar
Mobile: 989986490
Email: [email protected]
907 & 908 Sakar -II, Ellisbridge,
Ahmedabad- 380006
Tel: +91-79-26585049, 26585494, 26584924; Fax: +9179-25569231
Hyderabad
Mr. Jayanta Chatterjee
Mobile: 9845022459
Email: [email protected]
4th Floor, Shobhan, 6-3-927/A&B. Somajiguda, Raj
Bhavan Road, Hyderabad—500083
Tel:- +91-40-40676500
Bangalore
Bangalore
Mr. Jayanta Chatterjee
Mobile: 9845022459
Email: [email protected]
'The Millenia'
Tower B, Unit No. 1004,10th Floor, Level 2 12-14, 1 & 2,
Murphy Road, Bangalore 560 008
Tel: +91-80-43326400; Fax: +91-80-43326409
Pune
Mr. L. Shivakumar
Mobile: 989986490
Email: [email protected]
5A, 5th Floor, Symphony, S.No. 99, CTS 3909, Range Hills
Road, Shivajinagar,Pune-411 020
Tel: + 91-20-25561194-25560196; Fax: +91-20-25561231