MIRA INFORM REPORT

Report Date :

06.12.2011

IDENTIFICATION DETAILS

Name :	COSMAS PHARMACLS LIMITED
Registered Office :	B-1/1446, Hambran Road, Near Y- Block, Rishi Nagar Crossing, Ludhiana – 141001, Punjab
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	22.01.2010
Com. Reg. No.:	16- 033534
Capital Investment / Paid-up Capital :	Rs. 100.000 Millions
CIN No.: [Company Identification No.]	U24232PB2010PLC33534
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing and Marketing of Pharmaceutical and Health Care based products
No. of Employees :	Not Availble

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 487000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a successor of Cosmas Pharmacls, erstwhile a partnership concern. It is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office/ Head Office/ Factory 1 :	B-1/1446, Hambran Road, Near Y- Block, Rishi Nagar Crossing, Ludhiana – 141001, Punjab, India
Tel. No.:	91-161-2306571-74
Fax No.:	91-161-2300495
E-Mail :	gargsunilk@hotmail.com cosmas@cosmaspharmacls.com
Website :	www.cosmaspharmacls.com
Corporate Office :	S.C.O – 354, First Floor, Sector – 09, Panchkula, Haryana, Punjab, India
Tel. No.:	91-172-4649718/2583350/2563352/2561350
Fax No.:	91-172-2584954
Factory 2 :	Buranwala Road, Village – Kotla, Barotiwala, Baddi, Solan (H.P)- 173205, India
Factory 3 :	Village – Gaunspura, Bhattian Road, Hambran, Ludhiana, Punjab, India
Tel. No.:	91-161-2871956

DIRECTORS

As on 03.09.2011

Name :

Mr. Punit Jain

Designation :

Managing Director

Address :

56-C, Udham Singh Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

27.10.1970

Date of Appointment :

01.03.2010

DIN No.:

01159507

Other Directorship:

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24232PB2003PLC026045	Armour Remedies India Limited	Director	16-08-11	23-05-03	-	Active	NO
2	U52310PB2007PTC031411	Cruise Pharmecia Private Limited	Director	11-10-07	11-10-07	-	Active	NO
3	U24110PB2008PLC031925	Cosmas Research Lab Limited	Managing director	16-08-11	14-05-08	-	Active	NO
4	U24232PB2010PLC033534	Cosmas Pharmacls Limited	Managing director	01-03-10	22-01-10	-	Active	NO
5	U73200PB2010PTC034082	Cosmas Nanotech Private Limited	Director	08-07-10	08-07-10	-	Active	NO

Name :

Mr. Sanjay Jain

Designation :

Director

Address :

56-C, Udham Singh Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

17.10.1972

Date of Appointment :

22.01.2010

DIN No.:

01159627

Other Directorship:

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24232PB2003PLC026045	Armour Remedies India Limited	Director	30-09-05	30-09-05	-	Active	NO
2	U52310PB2007PTC031411	Cruise Pharmecia Private Limited	Director	11-10-07	11-10-07	-	Active	NO
3	U24110PB2008PLC031925	Cosmas Research Lab Limited	Director	14-05-08	14-05-08	-	Active	NO
4	U24232PB2010PLC033534	Cosmas Pharmacls Limited	Whole-time director	01-03-10	22-01-10	-	Active	NO
5	U73200PB2010PTC034082	Cosmas Nanotech Private Limited	Director	08-07-10	08-07-10	-	Active	NO

Name :

Mr. Manu Jain

Designation :

Whole Time Director

Address :

56-C, Udham Singh Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

26.10.1977

Date of Appointment :

22.01.2010

DIN No.:

01159674

Other Directorship:

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24232PB2003PLC026045	Armour Remedies India Limited	Director	30-09-06	30-09-06	-	Active	NO
2	U52310PB2007PTC031411	Cruise Pharmecia Private Limited	Director	11-10-07	11-10-07	-	Active	NO
3	U24110PB2008PLC031925	Cosmas Research Lab Limited	Director	14-05-08	14-05-08	-	Active	NO
4	U24232PB2010PLC033534	Cosmas Pharmacls Limited	Whole-time director	01-09-11	22-01-10	-	Active	NO
5	U80302PB2010PTC034081	Cosmas Medical Studies Private Limited	Director	08-07-10	08-07-10	-	Active	NO

Name :

Mr. Tanuj Jain

Designation :

Whole Time Director

Address :

56-C, Udham Singh Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

11.07.1981

Date of Appointment :

22.01.2010

DIN No.:

01159801

Name :

Mr. Tilak Raj Bhardwaj

Designation :

Director

Address :

House No. G4, Sector 14, Punjab University Campus, Chandigarh – 160101, Punjab, India

Date of Birth/Age :

23.02.1949

Date of Appointment :

24.03.2010

DIN No.:

02984222

Name :

Mr. Tapan Kumar Pal

Designation :

Director

Address :

275, Teachris Hostel, Jadavpur University, Kolkata – 700032, West Bengal, India

Date of Birth/Age :

12.02.1960

Date of Appointment :

24.03.2010

DIN No.:

03006943

Name :

Mr. Ram Rattan Garg

Designation :

Director

Address :

House No. 24, Dev Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

19.08.1968

Date of Appointment :

07.04.2010

DIN No.:

03025128

Name :

Mr. Prakash Chopra

Designation :

Director

Address :

House No. 68, Ward 26, Mohalla Kitchlu Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

26.08.1969

Date of Appointment :

13.04.2010

DIN No.:

03028800

Name :

Mr. Kuldip Singh

Designation :

Director

Address :

75- B, Kitchlu Nagar, Ludhiana – 141001, Punjab, India

Date of Birth/Age :

10.10.1941

Date of Appointment :

02.06.2010

DIN No.:

03083843

Name :

Mr. Dineshkumar Attarchand Verma

Designation :

Director

Address :

3, Rang Bharti Society, Near Laxmi Narayan Bus Stand, Mani Nagar, Ahmedabad – 380008, Gujarat, India

Date of Birth/Age :

10.01.1957

Date of Appointment :

01.12.2010

DIN No.:

03308881

KEY EXECUTIVES

Name :	Mr Simpal Singh Verma
Designation :	Secretary
Address :	330/C, Model Town Extension, Ludhiana – 141003, Punjab, India
Date of Birth/Age :	01.01.1983
Date of Appointment :	02.08.2011
Pan No.:	AVKPK2486P

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 03.09.2011

Names of Shareholders	No. of Shares
Punit Jain	1900000
Sanjay Jain	1900000
Manu Jain	1900000
Tanuj Jain	1900000
Anjana Jain	500000
Sucheta Jain	500000
Jyoti Jain	500000
Sheveta Jain	500000
Kamla Jain	400000
TOTAL	10000000

Equity Share Break up (Percentage of Total Equity)

As on 03.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturing and Marketing of Pharmaceutical and Health Care based products
Products :	Cough and Cold Ensure Smile Antibiotics Health Booster Preprations Precious Life Savers Pain Inflammation and Fever PPIs Antacids Prokinetics, Enzymes Antimalarial

GENERAL INFORMATION

No. of Employees :

Not Availble

Bankers :

Punjab National Bank, Industrial Area- A, Ludhiana – 141001, Punjab, India

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)
Punjab National Bank Ind Area, Ludhiana
Working Capital Limits (Secured by hypothecation of stock of raw materials, packing materials, consumable stores and spares lying in the factory premises at ludhiana unit as well as at Baddi unit of the company and by personal guarantee of promoters/ directors of the company)	46.623
Working capital Limit Cash Credit (Book Debts) (Secured by hypothecation of book debts of Ludhiana and Baddi Unit of the company and by personal guarantee of promoter/ directors of the company)	20.221
Medium Term Loan
MTL l MTL II (Secured by equitable mortgage of factory land and building situated at Rajpura, Hambran Road, Rishi Nagar, Ludhiana and Company owned factory land and Building at village Kotla, Tehsil Kasauli, Baddi District Solan also including residential house and a plot along with personal guarantee of promoters / directors of the company)	0.317 16.802
From Others
- Against Vehicles	4.397
Total	88.359
Unsecured Loan	As on 31.03.2010 (Rs. in Millions)
From Others	83.614
Total	83.614

Banking Relations :	--
Auditors :
Name :	Garg Sunil Kumar and Company Chartered Accountant
Address :	304, 3^rd Floor, Novelty Plaza, Bhai Bala Chowk, Ferozpur Road, Ludhiana – 141001, Punjab, India
Tel. No.:	91-161-2400305/5018305/5080157
Mobile No.:	91-9878200305
Fax No.:	91-161-5080157
E-Mail :	gargsunilk@hotmail.com
PAN.:	ABNPG2770K
Group Companies :	Cosmas Research Lab Limited Armour Remedies (India) Limited Cruise Pharmacia Private Limited B.R. Enterprises Kshitij Pharmacia

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		100.000
2] Share Application Money		12.505
3] Reserves & Surplus		9.260
4] (Accumulated Losses)		0.000
NETWORTH		121.765
LOAN FUNDS
1] Secured Loans		88.360
2] Unsecured Loans		83.614
TOTAL BORROWING		171.974
DEFERRED TAX LIABILITIES		0.000
TOTAL		293.739
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		61.108
Capital work-in-progress		20.588
INVESTMENT		10.092
DEFERREX TAX ASSETS		1.014
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	155.779
	Sundry Debtors	248.864
	Cash & Bank Balances	6.900
	Other Current Assets	0.000
	Loans & Advances	9.443
Total Current Assets		420.986
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	218.989
	Other Current Liabilities
	Provisions	1.621
Total Current Liabilities		220.610
Net Current Assets		200.376
MISCELLANEOUS EXPENSES		0.561
TOTAL		293.739

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010
	SALES
		Income	192.387
		Other Income	0.000
		TOTAL (A)	192.387
Less	EXPENSES
		Cost of Goods Sold	163.992
		Indirect Cost	9.908
		Preliminary Expenses Written off	0.062
		Increase/ Decrease in Stock	3.087
		TOTAL (B)	177.049
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		15.338
Less	FINANCIAL EXPENSES (D)		3.057
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		12.281
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.403
	PROFIT BEFORE TAX (E-F) (G)		9.878
Less	TAX (H)		1.632
	PROFIT AFTER TAX (G-H) (I)		8.246
Add	Deferred Tax Assets		1.014
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.000
	BALANCE CARRIED TO THE B/S		9.260
	Earnings Per Share (Rs.)		5.70

KEY RATIOS

PARTICULARS		31.03.2010
PAT / Total Income	(%)	4.29
Net Profit Margin (PBT/Sales)	(%)	5.13
Return on Total Assets (PBT/Total Assets}	(%)	2.05
Return on Investment (ROI) (PBT/Networth)		0.08
Debt Equity Ratio (Total Liability/Networth)		3.22
Current Ratio (Current Asset/Current Liability)		1.91

LOCAL AGENCY FURTHER INFORMATION

FIXED ASSETS

• Land and Building
• Plant and Machinery
• Furniture and Fixture
• Office Equipments
• Vehicles

FORM 8

Corporate identity number of the company	U24232PB2010PLC033534
Name of the company	COSMAS PHARMACLS LIMITED
Address of the registered office or of the principal place of business in India of the company	B-1/1446, Hambran Road, Near Y- Block, Rishi Nagar Crossing, Ludhiana – 141001, Punjab, India Email: gargsunilk@hotmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10226549
Type of charge	Immovable Property Movable Property (not being pledge)
Particular of charge holder	Punjab National Bank, Industrial Area- A, Ludhiana – 141001, Punjab, India Email: pkwatts@pnb.co.in
Nature of instrument creating charge	Deed of hypothecation to secure letter of credit
Date of instrument Creating the charge	01.09.2011
Amount secured by the charge	Rs. 50.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: Nil Terms of Repayment : Payable on demand Margin: 25% Extent and terms of repayment: 100%
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Goods/ Assets represented by documents drawn/ covered under letter of credit issued under the above said limit various raw material such as chemicals, acids, packing material lying in manufacturing unit at Baddi unit. Stock in process and semi finished goods, finished goods, packing material and such other securities as may be audited as may be audited by the bank from under this agreement from time to time.
Date of instrument modifying the charge	24.01.2011
Particulars of the present modification	ILC/ FLC limits/ Facilities enhanced to Rs. 50.000 millions to 40.000 millions.

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.51.39
UK Pound	1	Rs.80.20
Euro	1	Rs.68.92

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		43

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	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
-	NB	New Business	-

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.