The Net Worth of the bidder as on the last day of preceding financial year shall not be less than 100%
of its paid-up share capital.
In case the bidder meets the requirement of Net worth at para 2.2, based on the strength of its
Subsidiary(ies) and/or Holding Compan
y 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 its Holding Companies, in combined manner should not be less than 100% of their
total paid up share capital. However individually, their Net worth should not be less than 75% of their
respective paid up share capital.
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.
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 unconsolid
ated financial statements form part of the
consolidated Annual Report of the 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 a 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.
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.