For consortiums/ Joint ventures, wherever applicable, the Net worth of all consortiums/ Joint
venture members in combined manner should not be less than 100% of their paid up share
capital however individually, their Net worth should not be less than 75% of their respective
paid up share capitals.
2.3 In case the bidder is not able to furnish its audited financial statement on standalone
entity basis, the unaudited unconsolidated financial statements of the bidder can be
considered acceptable provided the bidder furnishes the following further documents
on substantiation of its qualification.
a) Copies of unaudited unconsolidated financial statement of the bidder along with copies
of audited consolidated financial statements of the Holding Company.
b) A certificate from the CEO/CFO of the Holding Company, as per format enclosed in the
bid documents, stating that the unaudited unconsolidated financial statements form part
of the consolidated Annual Report of the Company.
In case where audited results for the last financial year as on 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 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 bidding 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.
2.4 In case a bidder does not satisfy the financial criteria, stipulated at para 2.1 and/or
para 2.2 above on its own, the Holding Company would be required to meet the
stipulated turnover requirements at para 2.1 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 bid, a Letter of
Undertaking from the Holding Company, supported by 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.
2.5 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
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