Page 3 of 5
2.0 Financial Criteria for Qualification
a) The average annual turnover of Bidder in the preceding three (3) financial years
as on the date of opening of Techno-Commercial bids, should not be less than
Rs. 71.00 lakhs (Rupees Seventy-One Lakhs only). In case, a bidder does not
satisfy the average annual turnover criteria, stipulated above on its own, the
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 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) Net worth should not be less than 100% (hundred percent) of the bidder's paid
up share capital as on the last day of the preceding financial year. In case the
Bidder meets the requirement of Net worth based on the strength of its
Subsidiary (ies) and /or Holding Company and / or Subsidiaries of its Holding
companies wherever applicable, 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:
(X1+X2+X3)
Net Worth (combined) = --------------------- x 100
(Y1+Y2+Y3)
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
standalone 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 with the bidding documents, stating that the unaudited
unconsolidated financial statements form part of the consolidated
financial statements of the Holding Company.