5
the Net worth of all consortium/ 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
Net worth in combined manner shall be calculated as follows:
Net worth (combined)=(x1+x2+x3)/(y1+y2+y3)x100 where x1, x2, x3 are individual net
worth which shall not be less than 75% of the respective paid up share capitals and y1,
y2, y3 are individual paid up share capitals.
5
.2.3
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 furnishes the following further documents on
substantiation of its qualification.
o7
Copies of the unaudited unconsolidated financial statements of the bidder
along with copies of the audited consolidated financial statements of the
Holding Company.
o7
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 report of the
company.
5
.2.4
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 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.
5
.2.5
In case a bidder does not satisfy the financial criteria, stipulated at Cl. 5.2.1 and/ or
Cl.5.2.2 above on its own, the holding company would be required to meet the stipulated
turnover requirements at Cl.5.2.1 above, provided that the net worth of such holding
company as on the last day of the preceding financial year is atleast 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.
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.
(
ii)
Other income shall not be considered for arriving at annual turnover.
IFB
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Bidding Doc. No: 9900xxxxxx
Section-I
