MIRA INFORM REPORT

Report Date :

08.12.2008

IDENTIFICATION DETAILS

Name :	SABAR FLEXI PACK PRIVATE LIMITED
Registered Office :	Survey No. 32, Plot No. 15, B/H, Maruti Nandan Temple, Dhandha, Himatnagar, Sabarkantha-383 001, Gujarat
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	11.07.2005
Com. Reg. No.:	04-46403
CIN No.: [Company Identification No.]	U25202GJ2005PTC46403
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Plastic Pouchs.

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 14000
Status :	Small Company
Payment Behaviour :	No Complaints
Litigation :	Clear
Comments :	Subject is a relatively small company in its field. Trade relations are fair. Scale of activity is limited. No complaints have been heard against the subject. The company can be considered good for small to mediocre business dealings.

INFORMATION PARTED BY

Name :	Mr. Hikmatbahadur Krishnabahadur Kunwar
Designation :	Director
Name :	Mr. Shyam (Brother of Mr. Hikmatbahadur Krishnabahadur Kunwar)
Date :	23.10.2008

LOCATIONS

Registered Office :	Survey No. 32, Plot No. 15, B/H, Maruti Nandan Temple, Dhandha, Himatnagar, Sabarkantha-383 001, Gujarat , India
Mobile No.:	91-9825070452/9428002002 (Mr. Hikmat)
E-Mail :	sabarflexipack@yahoo.co.in sabar_flex@yahoo.co.in splnima@yahoo.co.in
Area :	38000 Sq.fts (Office + Factory)
Location :	Owned
Factory:	Idar Road, Dhandha, Himatnagar - 383 001, Gujarat, India
Tel. No.:	91-2772-222015 / 222206 / 222208
Mobile No.:	91-9825070452 / 9428002002
Fax No.:	91-2772-223041/223042
E-Mail :	sabarflexipack@yahoo.co.in sabar_flex@yahoo.co.in
Area :	5000 Sq.fts
Location :	Rented

DIRECTORS

Name :	Mr. Hikmatbahadur Krishnabahadur Kunwar
Designation :	Director
Address :	21 Satyam Society Mahavirnagar, Himmatnagar District Sabarkantha, Himmatnagar – 383 001, Gujarat, India
Date of Birth/Age :	08.09.1969
Qualification :	M. Com
Date of Appointment :	11.07.2005
Name :	Mr. Vasantbhai Bhavnabhai Patel
Designation :	Director
Address :	23/B, Kutchhi Society, Khedtasiya Road, Himmatnagar, District Sabarkantha, Himmatnagar – 383 001, Gujarat, India
Date of Birth/Age :	31.05.1958
Qualification :	Under Graduate
Date of Appointment :	11.07.2005
Name :	Mr. Rameshbhai Kachrabhai Patel
Designation :	Director
Address :	8 Katchhi Society Himmatnagar District Sabarkantha Himmatnagar – 383 001, Gujarat, India
Date of Birth/Age :	17.12.1961
Qualification :	Under Graduate
Date of Appointment :	11.07.2005
Name :	Mr. Udesinh Amarsinh Parmar
Designation :	Director
Address :	3 Ashirwad Society Himmatnagar , Himmatnagar – 383 001, Gujarat, India
Date of Birth/Age :	22.03.1964
Qualification :	M. Com
Date of Appointment :	11.07.2005

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares
Mr. Udesinh A Parmar	45000
Mr. Rameshbhai Patel	17500
Mr. Hikmat Bahadur Kunwar	42500
Mr. Vasantbhai Patel	22500
Mr. Alpeshbhai Patel	3500
Mr. Chandrakant Patel	10000
Mr. Hasmukhbhai Patel	12500
Mr. Ishvarbhai I Patel	20000
Mr. Jashodaben Parmar	9850
Mrs. Lilaben Patel	2500
Mr. Pruthvisinh Parmar	2500
Mrs. Radhaben Kunwar	11650
Mr. Ratilal K Patel	15000
Mr. Shyamsinh K Kunwar	5000
Mr. Tarunaben R Patel	10000
Mr. Vinodbhai I Patel	20000
Total	250000

Equity Share Breakup (Percentage of Total Equity):-

Category (As on 31.03.2007)	Percentage
Directors or relative of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Plastic Pouchs
Products :	· Food Packaging Pouch · Laminated Pouch · Sealed Pouch · Packaging Pouch · Printed Pouch · Laminated Sheet
Terms :
Selling :	Credit (30 days), C/C
Purchasing :	L/C, Cash

PRODUCTION STATUS (As on 31.03.2007) :-

Particulars	Actual Production
Pouch	32710809
Roll	69602

GENERAL INFORMATION

Suppliers :

· Bonny Enterprises

· Dic India Limited

· H J Enterprises

· Laxmi Pack Converters

· Marudhar Converters

· Nice Marketing Company

· Shreeji Oye Chem

· Standard Cal – Chem

· Sudarshan Enterprises

· Trivedi Rollwala Associates and Company

· Chandan Food

· Lalit Trading Company

· Plug And Play Computer

· Ravi Trading Company

· Raj Girish Industries

Customers :

· Ambition Agencies

· Chemet Chemicals Private Limited

· ASP Agro

· B C Pharma

· Shubham Traders

· Shri Sneh Heena

· M P Paints

· Ganpati Packaging

· Fresh Tea processors

· Sampatraj and Company

· Sankarlal and Company

· Borana and Company

· Kiran Salt and Company

· India Salt Industries

· Sitaram and Company

· Shankhala Mahendi Udhyog

No. of Employees :

50

Bankers :

· Himmatnagar Nagrik Sahkari Bank Limited, Tower Road, Himmatnagar – 383 001, Gujarat, India

· State Bank of India, Himmatnagar Branch – 383 001, Gujarat, India

· Axis Bank, Himmatnagar Branch, Gujarat, India

· HDFC Bank

Facilities :

(For Himmatnagar Nagrik Sahkari Bank Limited)

Cash credit – Rs. 2.500 millions

Secured loan	31.03.2007 (Rs. in millions)
HMT Nagrik Bank Limited – CC A/C	2.134
HMT Nagrik Bank Limited – Term Loan	4.155
HDFC Bank Limited Car Loan (Verna)	0.665
HDFC Bank Limited (Car Loan) (New)	0.204
HDFC Bank Limited (Car loan)	0.254
HDFC – Loan	1.750
HDFC – Loan (RKP)	0.436
Total	9.598
Unsecured Loan	31.03.2007 (Rs. in millions)
From Promoters and their relatives
Chandrkant Rafi Bhai Patel	0.401
Ishwarbhai Patel	0.501
Mr. Rameshbhai Patel	0.610
Sabar Plastic Industries	0.055
Sabar Pvc Pipe Industries	0.018
Vasantbhai B Patel	0.502
Total	2.087

Banking Relations :

----

Auditors :

Name :

Aniket Saishav and Associates

Chartered Accountants

Address :

410, Spectrum Comm. Centre, Salapas Road, Relief Road, Ahmedabad – 380 001, Gujarat, India

Associates/Subsidiaries :

Sagar Polyster

Address: Survey No. 32, Plot No. 15, B/H, Maruti Nandan Temple, Dhandha, Himatnagar, Sabarkantha, Gujarat – 383 001, India

Sabar Flex Industries

Address: Survey No. 32, Plot No. 15, B/H, Maruti Nandan Temple, Dhandha, Himatnagar, Sabarkantha, Gujarat – 383 001, India

CAPITAL STRUCTURE

(As on 29.09.2007):-

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs. 10/- each	Rs. 2.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs. 10/- each	Rs. 2.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2007	31.03.2006
SHAREHOLDERS FUNDS
1] Share Capital		2.500	2.500
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.225	0.000
4] (Accumulated Losses)		0.000	[0.213]
NETWORTH		2.725	2.287
LOAN FUNDS
1] Secured Loans		9.599	6.671
2] Unsecured Loans		2.087	0.369
TOTAL BORROWING		11.686	7.040
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		14.411	9.327
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		8.555	8.152
Capital work-in-progress		0.000	0.000
INVESTMENT		0.110	0.114
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	6.937	4.959
	Sundry Debtors	7.074	1.405
	Cash & Bank Balances	0.297	0.096
	Other Current Assets	0.000	0.000
	Loans & Advances	0.895	0.164
Total Current Assets		15.203	6.624
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	9.451	5.500
	Provisions	0.060	0.135
Total Current Liabilities		9.511	5.635
Net Current Assets		5.692	0.989
MISCELLANEOUS EXPENSES		0.054	0.072
TOTAL		14.411	9.327

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006
Sales Turnover		28.667	3.458
Other Income		0.027	0.000
Total Income		28.694	3.458
Profit/(Loss) Before Tax		0.438	[0.206]
Provision for Taxation		0.000	0.000
Profit/(Loss) After Tax		0.438	[0.206]
Expenditures :
	Administrative Expenses	0.760	0.222
	Financial charge	0.874	NA
	Depreciation & Amortization	0.393	0.200
	Other Expenditure	26.229	3.242
Total Expenditure		28.256	3.664

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006
PAT / Total Income	(%)	1.53	[5.96]
Net Profit Margin (PBT/Sales)	(%)	1.53	[5.96]
Return on Total Assets (PBT/Total Assets}	(%)	1.84	[1.38]
Return on Investment (ROI) (PBT/Networth)		0.16	[0.09]
Debt Equity Ratio (Total Liability/Networth)		7.78	5.54
Current Ratio (Current Asset/Current Liability)		1.60	1.18

LOCAL AGENCY FURTHER INFORMATION

Additional Requirement of Indiamart for Trust-Seal

Service Tax No. : AAJCS2339C ST 001

Excise Registration No.: AAJCS2339C XM001

TIN : 24050702527

IEC Code : 0807007765

Central Sales Tax Registration : 24550702527C

PAN / TAN : AAJCS2339C

Bank Name : State bank of India, Axis Bank

Bank Address : Himmatnagar Branch, Himmatnagar Brnach

Bank A/c. No.: 30249665562, 28301020000693

Account Since : 1 years, 3 years

TRADE REFERENCES:-

· Reliance

· Jindal Polyster Limited

FIXED ASSETS:-

· Land

· Furniture

· Electric Install

· Cylinder

· Computer

· Building

· Plant and machinery

FORM 8:-

Corporate identity number of the company	U25202GJ2005PTC46403
Name of the company	SABAR FLEXI PACK PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Survey No. 32, Plot No. 15, B/H, Maruti Nandan Temple, Dhandha, Himatnagar, Sabarkantha, Gujarat – 383 001, India
This form is for	Creation of charge
Type of charge	· Immovable Property · Movable Property · Others
Particular of charge holder	State bank of India, Himmatnagar Branch, Opposite Civil Hospital, Himmatnagr – 383 001,Gujarat, India E-Mail: sbi.00381@sbi.co.in
Nature of instrument creating charge	Guarantee agreement dated 116.07.2007
Date of instrument Creating the charge	16.07.2007
Amount secured by the charge	Rs. 19.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest : Working capital : Interest at 1.50% above State Bank advance Rate (SBAR) with a minimum of 14.25% p.a rising or failing therewith, on daily products with monthly rests, present effective rate : 14.25% Term Loan: Interest at 2.00% above State bank Advance Rate (SBAR) with minimum of 14.75% p.a rising or failing therewith, on daily products with monthly rests. Present effective rate : 14.75% p.a Terms of Repayment : Working Capital : Repayable on Demand Term Loan : The term loan shall be repaid in 60 monthly with the first installment commencing on January, 2008 and the last installment failing due on December, 2012 Margin : Fund Based Items: Raw materials : Imported Raw materials : Indigenous -25% Semi – finished goods- 25% Finished goods -40% Components / consumables / spares – Domestic Receivables – 50% Export Packing credit – Term Loan – 32.47% Extent and Operation of the charge : The guarantee is provided to SABAR Flex Industries by SABAR Flexi Pack Private Limited for the repayment of interest and repayment of principal amount of loan.
Short Particulars of the property charged	Immovable property, movable property (Stock), Book debts, plant and machinery situated at the registered office of M/S Sabar Flexi Pack Private Limited.

WEBSITE DETAILS:-

The company is one of the leading packaging solution company. The company began in 2004, under the sheer guidance of H.K. Kunwar, a renowned name in the plastic and printing business. He is diploma holder of printing technologies and has worked in this line since 1991. Their reputation has been built on 'can do' approach to each and every project.

Their mission is to develop a look that is right for the needs. They have continually surpassed industry standards for creative packaging and always seek to exceed beyond customers expectations. Today they have four firm only firm for only Flexible packaging production like laminated food pouch, plastic sealed pouch, plastic food pouch, plastic packaging sheets, packaging pouch, laminated packaging sheets, food packaging pouch, laminated pouch, sealed pouch and packaging pouch. Staying in touch with client's needs allow them to research and adopt current and emerging technologies to provide improved and smarter packing solutions.

The company group is committed to providing excellence in product quality and innovative solutions to the world wide packaging industry. They develop packaging solution that can give the brand a competitive edge. They are dedicated to the process of manufacturing high quality packaging solutions that aid their customers efficiency and profitability. Supported by the extremely diligent working force of technicians, they can ensure services, that perhaps some of their competitors cannot.

Team

They own the team of expert engineers, technicians, product managers, quality inspectors and professionals who are passionate about packaging. Their experience helps them understand exactly what the client requires and their skills and capabilities help them deliver the desired results flawlessly and on time. They work in close coordination of each other as well as seek and value ideas from everyone.

Infrastructure

They have a well equipped manufacturing unit to manufacture laminated food pouch, plastic sealed pouch, plastic food pouch, plastic packaging sheets, packaging pouch, aminated packaging sheets, food packaging pouch, laminated pouch, sealed pouch, packaging pouch provided with all the latest techniques heralding top notch place in the highly competitive market. They have quality Control lab in their house tensile tester, COF Tester, Capacity Tests facility, Lamination Yield Taster, Dart Tester also: Bureau of Indian development training to the Standard workforce? They are constantly updating their technical expertise and their experience in this industry gives them the edge when it comes to anticipating trends and demands in this field.

Commitment

At the company, they are committed to their clients and keep their promise of delivering the orders on time. They measure and recognize excellent service and encourage feedback from their clients. They thoroughly supervise each and every step of manufacturing process to make sure sustainable quality products that exactly match the needs. They have their offices at different locations to provide prompt after sales services to their clients. They strive to be the most reliable packaging supplier and manufacturer in the world.

Research and Development

Their company's leading investment in research and development and constant focus on World class manufacturing principles allow them to deliver highly appreciable packaging solutions that add quality value to their clients brand around the world. Their R and D can develop the special purpose machinery according to customer requirement.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.69
UK Pound	1	Rs.72.96
Euro	1	Rs.63.46

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	---
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--Public Limited Liability Company. Company's Shares are Listed on the Stocks Exchange	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		34

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
NR		In view of the lack of information, we have no basis upon which to recommend credit dealings	No Rating

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions