MIRA INFORM REPORT

Report Date :

13.12.2011

IDENTIFICATION DETAILS

Name :	HEMMO PHARMACEUTICALS PRIVATE LIMITED (w.e.f. 21.02.2008)
Formerly Known As :	JASHAN TEXTITLE MILLS PRIVATE LIMITED
Registered Office :	114, Turf Estate, 3/65, Off Dr. E. Moses Road, Mahalaxmi, Mumbai – 400011, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	07.11.1979
Com. Reg. No.:	11-21857
Capital Investment/ Paid-up Capital:	Rs.2.908 Millions
CIN No.: [Company Identification No.]	U17100MH1979PTC021857
TAN No.: [Tax Deduction & Collection Account No.]	MUMJ08705E
PAN No.: [Permanent Account No.]	AAACJ0958M
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Peptide-based Pharmaceuticals
No. of Employees:	200 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

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

Maximum Credit Limit :	USD 1800000
Status :	Good
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an old and well established company having fine track. General financial position is good. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. 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 :	114, Turf Estate, 3/65, Off Dr. E. Moses Road, Mahalaxmi, Mumbai – 400011, Maharashtra, India
Tel. No.:	91-22-2496100/ 24949984/ 24949987 / 43546200
Fax No.:	91-22-24946101
E-Mail :	hemmoin@mtnl.net.in

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Madhu Vikram Utamsingh

Designation :

Director

Address :

26, Sonmarg, 67B, Napean Sea Road, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

30.10.1966

Date of Appointment :

01.08.2008

DIN No. :

00756570

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U17100MH1979PTC021857	HEMMO PHARMACEUTICALS PRIVATE LIMITED	Director	30-09-2008	01-08-2008	Active	NO
2	U24200MH1980PTC022986	HEMMO PHARMA PRIVATE LIMITED	Director	30-09-2008	01-08-2008	Active	NO

Name :

Mr. Jairam Tejumal Hemrajani

Designation :

Managing Director

Address :

203 A, Sky – Scraper, 74 Warden Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

29.08.1929

Date of Appointment :

14.11.1985

DIN No. :

00756381

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24200MH1980PTC022986	HEMMO PHARMA PRIVATE LIMITED	Director	16-08-1980	16-08-1980	Active	NO
2	U17100MH1979PTC021857	HEMMO PHARMACEUTICALS PRIVATE LIMITED	Managing director	14-11-1985	14-11-1985	Active	NO
3	U25200MH1970PTC014565	CREEK INSULATIONS CHEMICALS PRIVATE LIMITED	Director	31-03-2000	31-03-2000	Dormant	NO

Name :

Mrs. Savita Jairam Hemrajani

Designation :

Director

Address :

203 A, Sky – Scraper, 74 Warden Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

24.05.1937

Date of Appointment :

14.11.1985

DIN No. :

00756488

Other Directorship :

	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24200MH1980PTC022986	HEMMO PHARMA PRIVATE LIMITED	Director	16-08-1980	16-08-1980	Active	NO
2	U17100MH1979PTC021857	HEMMO PHARMACEUTICALS PRIVATE LIMITED	Director	14-11-1985	14-11-1985	Active	NO
3	U25200MH1970PTC014565	CREEK INSULATIONS CHEMICALS PRIVATE LIMITED	Director	16-08-2002	16-08-2002	Dormant	NO

Name :

Mrs. Rekha Jairam Hemarajani

Designation :

Director

Address :

213 A, Sky – Scraper, 74 Warden Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

08.05.1969

Date of Appointment :

01.07.1991

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Jairam T. Hemrajani (Held on Behalf of Hemmo Pharma Private Limited)	200
Hemmo Pharma Private Limited, India	19675
Savita J. Hemrajani (Held on Behalf of Hemmo Pharma Private Limited)	200
Madhu Utamsingh	6000
Rekha Hemarajani	3000
TOTAL	29075

(AS ON 30.09.2011)

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	10.00
Bodies corporate	69.00
Directors or relatives of directors	21.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Peptide-based Pharmaceuticals

Products :

Products Description	Item Code No.
Peptides	2937.1900
Peptides	3003.3900

PRODUCTION STATUS (as on 31.03.2011)

Particulars	Unit	Actual Production
Bulk Drug	Miu	28098.89
Formulations	Vials	12960
Bulk Drug	Grams	3119.65

GENERAL INFORMATION

No. of Employees :

200 (Approximately)

Bankers :

• Oriental Bank of Commerce

Kalbavdevi, Mumbai – 400002, Maharashtra, India

Facilities :

SECURED LOANS	AS ON 31.03.2011	AS ON 31.03.2010
Loan from Bank Bank Overdraft (Secured by way of pledge of fixed deposits)	43.567	45.038
Interest free Vehicle Loan (Secured by way of exclusive charge on the vehicle)	0.500	2.000
TOTAL	44.067	47.038

Banking Relations :	--
Auditors :
Name :	P. D. Kunte and Company Chartered Accountant
Address :	205/206, Turf Estate, Off Dr. E. Moses Road, Mahalaxmi, Mumbai – 400011, Maharashtra, India
PAN No. :	AAAFP3277G
Holding Company :	Hemmo Pharma Private Limited U24200MH1980PTC022986

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
50000	Equity Shares	Rs.100/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
29075	Equity Shares	Rs.100/- each	Rs.2.908 Millions

NOTES

Out of the above:

10000 Equity shares of Rs. 100 each have been allotted as fully paid up Bonus shares by capitalisation of General Reserve.

20075 Equity Shares of Rs. 100 each are held by Hemmo Pharma Private Limited, the Holding Company and its nominees.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		2.908	2.907	2.908
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		458.759	436.278	409.087
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		461.667	439.185	411.995
LOAN FUNDS
1] Secured Loans		44.067	47.038	35.687
2] Unsecured Loans		0.000	0.000	0.655
TOTAL BORROWING		44.067	47.038	36.342
DEFERRED TAX LIABILITIES		9.352	11.000	10.582
TOTAL		515.086	497.223	458.919
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		167.632	181.902	167.110
Capital work-in-progress		47.597	6.334	2.183
INVESTMENT		122.599	70.577	130.612
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	31.850	37.890	35.634
	Sundry Debtors	39.769	28.021	37.288
	Cash & Bank Balances	102.240	172.123	92.960
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	64.988	59.582	42.728
Total Current Assets		238.847	297.616	208.610
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	40.407	41.812	38.315
	Other Current Liabilities	1.475	1.482	1.199
	Provisions	19.707	15.912	10.082
Total Current Liabilities		61.589	59.206	49.596
Net Current Assets		177.258	238.410	159.014
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		515.086	497.223	458.919

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	240.273	221.761
		Other Income	25.303	40.322
		TOTAL	265.576	262.083	207.422
Less	EXPENSES
		Material Consumed	49.417	59.480	53.883
		Manufacturing and Other Expenses	156.516	147.389	129.229
		Increase / (Decrease) in Stock	7.987	(2.470)	(0.973)
		Financial Expenses	3.652	2.777	4.538
		TOTAL	217.572	207.176	186.677
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		48.004	54.907	20.745
Less/ Add	DEPRECIATION/ AMORTISATION		23.357	22.785	21.751
	PROFIT BEFORE TAX		24.647	32.122	(1.006)
Less	TAX		2.166	4.931	(6.856)
	PROFIT AFTER TAX		22.481	27.191	5.850
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		141.108	113.917	108.066
	Profit available for Appropriation carried to Balance Sheet		163.589	141.018	113.916
	EARNINGS IN FOREIGN CURRENCY		137.528	142.289	113.552
	IMPORTS
		Raw Materials	25.091	18.325
		Packing Materials	0.166	0.157
		Consumable Stores	1.673	1.788
		Capital Goods	20.853	14.177
	TOTAL IMPORTS		47.783	34.447	24.822
	Earnings Per Share (Rs.)		773.21	--	201

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	8.46	10.37	2.82
Net Profit Margin (PBT/Sales)	(%)	10.26	14.48	NA
Return on Total Assets (PBT/Total Assets}	(%)	6.06	6.70	(0.27)
Return on Investment (ROI) (PBT/Networth)		0.05	0.07	(0.00)
Debt Equity Ratio (Total Liability/Networth)		0.23	0.24	0.21
Current Ratio (Current Asset/Current Liability)		3.88	5.03	4.21

LOCAL AGENCY FURTHER INFORMATION

NOTE

The Registered Office of the company has been shifted from 543, Ravindra House, Kalbadevi Road, Mumbai – 400002, Maharashtra, India to the present address w.e.f.07.02.2007.

FINANCIAL RESULTS

Income from operations for the year is marginally higher as compared with the preceeding year mainly due to operational efficiency. The fall in overall net profit before tax is on account of reduction in income other than from operations.

OPERATIONS

The Company’s endeavour to improve quality and increase yields has resulted in higher profits from operations. The Company has also received approval from Department of Health and Human Services, USA(USAFDA) which is expected to further boost up international sales.

CONTINGENT LIABILITIES NOT PROVIDED FOR :

· Bills discounted Rs. 11.910 Millions

· Bank Guarantee outstanding Rs. 14.116 Millions

· Estimated amounts of contracts remaining to be executed on capital account no provided for Rs. 11.232 Millions

Bankers Charges Report as per Registry

Name of the company	Jashan Textitle Mills Private Limited
Presented By	Mrs. Madhu Uttamsingh
1) Date and description of instrument creating the change	Agreement for hypothecation of movable assets to secure a term loan Dated 18^th September, 1995
2) Amount secured by the charge/amount owing on the securities of charge	Rs.5.000 Millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	Hypothecation of One new imported HPLC Plant
4) Gist of the terms and conditions and extent and operation of the charge.	The rate of Interests is 6% p.a. over and above the RBI rate with a minimum of 18% p.a. with quarterly rest repayment in 36 monthly installment
5) Name and Address and description of the person entitled to the charge.	Oriental Bank of Commerce Kalbavdevi, Mumbai – 400002, India
6) Date and brief description of instrument modifying the charge	NA
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	NA

FIXED ASSETS

· Lease Hold Land

· Factory Building

· Factory Building – Administration

· Office Premises

· Plant and Machinery

· Office Equipments and Fittings

· Furniture and Fixtures

· Computers

· Vehicles

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.52.22
UK Pound	1	Rs.81.54
Euro	1	Rs.69.60

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		51

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.