DETAILED INVITATION FOR BIDS
FGUTPS, Stage-I (2X210 MW)
Bidding Document No. CS-1420(R&M-MG)-405A-9
UP-GRADATION OF OFFSITE C&I SYSTEM PACKAGE
In case a Bidder does not satisfy the average annual turnover criteria, stipulated above on
its own, its Holding Company would be required to meet the stipulated turnover
requirements as above, provided that the Net Worth of such Holding Company as on the
last day of the preceding financial year is at least equal to or more than the paid-up share
capital of the Holding Company. In such an event, the Bidder would be required to furnish
along with its Techno-Commercial bid, a Letter of Undertaking from the Holding Company,
supported by the Holding Company’s Board Resolution, as per the format enclosed in the
bid documents, pledging unconditional and irrevocable financial support for the execution of
the Contract by the Bidder in case of award.
b) The Net Worth of the Bidder as on the last day of the preceding financial year should not be
less than 100% (hundred percent) of its paid-up share capital. In case the Bidder does not
satisfy the Net Worth criteria on its own, it can meet the requirement of Net Worth based on
the strength of its Subsidiary (ies) and/or Holding Company and/or Subsidiaries of its
Holding Company wherever applicable. In such a case, however, the Net Worth of the
Bidder and its Subsidiary (ies) and/or Holding Company and/or Subsidiary (ies) of the
Holding Company, in combined manner should not be less than 100% (hundred percent) of
their total paid-up share capital. However individually, their Net Worth should not be less
than 75% (seventy five percent) of their respective paid-up share capitals.
Net Worth in combined manner shall be calculated as follows:
Net Worth (combined) = (X1+X2+X3)/ (Y1+Y2+Y3) x 100
Where X1, X2, X3 are individual Net Worth which should not be less than 75% of the
respective paid up share capitals and Y1, Y2, Y3 are individual paid up share capitals.
c) In case the Bidder is not able to furnish its audited financial statements on stand alone entity
basis, the unaudited unconsolidated financial statements of the Bidder can be considered
acceptable provided the Bidder further furnishes the following documents for substantiation
of its qualification:
(i) Copies of the unaudited unconsolidated financial statements of the Bidder along with
copies of the audited consolidated financial statements of its Holding Company.
(ii) A Certificate from the CEO/CFO of the Holding Company, as per the format enclosed in
the bid documents, stating that the unaudited unconsolidated financial statements form
part of the consolidated annual financial statements of the Holding Company.
In case where audited results for the last financial year as on the date of Techno
Commercial bid opening are not available, the financial results certified by a practicing
Chartered Accountant shall be considered acceptable. In case, Bidder is not able to submit
the Certificate from practicing Chartered Accountant certifying its financial parameters, the
audited results of the three consecutive financial years preceding the last financial year
shall be considered for evaluating the financial parameters. Further, a certificate would be
required from the CEO/CFO as per the format enclosed in the bid documents stating that
the financial results of the Company are under audit as on the date of Techno-Commercial
bid opening and the Certificate from the practicing Chartered Accountant certifying the
financial parameters is not available.
NOTES:
i) Net worth means the sum total of the paid up share capital and free reserves. Free
reserve means all reserves credited out of the profits and share premium account but
does not include reserves credited out of the revaluation of the assets, write back of
depreciation provision and amalgamation. Further any debit balance of Profit and Loss
account and miscellaneous expenses to the extent not adjusted or written off, if any,
shall be reduced from reserves and surplus.