MIRA INFORM REPORT

Report Date :

12.07.2011

IDENTIFICATION DETAILS

Name :	RELIANCE PHARMACEUTICALS PRIVATE LIMITED
Registered Office :	Dhirubhai Ambani Life Sciences Centre, R-282, TTC Industrial Area of MIDC, Thane-Belapur Road, Rabale, Navi Mumbai – 400 701, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	26.02.2007
Com. Reg. No.:	11-168160
Capital Investment / Paid-up Capital :	Rs.0.100 Million
CIN No.: [Company Identification No.]	U24232MH2007PTC168160
TAN No.: [Tax Deduction & Collection Account No.]	MUMR21600F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Generic Pharmaceutical Drugs
No. of Employees :	20 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

Ca [15]

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a subsidiary of Reliance Life Sciences Private Limited. It is a company having moderate track. There appear some accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some caution.

NOTES :

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

INFORMATION DECLINED BY

Name :	Mr. Pradeep Gupta
Designation :	Vice President in Finance
Date :	07.07.2011

LOCATIONS

Registered Office :	Dhirubhai Ambani Life Sciences Centre, R-282, TTC Industrial Area of MIDC, Thane-Belapur Road, Rabale, Navi Mumbai – 400 701, Maharashtra, India
Tel. No.:	91-22-6767 8000
Fax No.:	91-22-6767 8099
E-Mail :	Soniareetesh.arora@ril.com
Website :	http://www.ril.com
Locations:	Owned

DIRECTORS

As on 30.09.2010

Name :	Mr. Raja Kolumum Ramachandran
Designation :	Director
Address :	1703/ 1704, Building 1, Raheja Classique, New Link Road, Andheri (West), Mumbai – 400 053, Maharashtra, India Raja.ramachandran@ril.com
Date of Birth/Age :	19.12.1956
Date of Appointment :	12.06.2007
DIN :	00006673
Name :	Mr. Tapas Mitra
Designation :	Director
Address :	Flat No. 602, 6^th Floor, Sangeeta Apartments – 2, Panch Marg, Off Yari Road, Versova, Andheri [West], Mumbai – 400061, Maharashtra, India
Date of Birth/Age :	11.08.1959
Date of Appointment :	13.02.2009
DIN :	02545176
Name :	Mr. Poothrukovil Variyath Raju
Designation :	Additional Director
Address :	A/1002, Koyna, Shivdarshan Chs, Plot No. 5, Sector 16, Sanpada, Navi Mumbai – 400705, Maharashtra India
Date of Birth/Age :	03.05.1962
Date of Appointment :	30.12.2009
DIN :	02670775
Name :	Mr. Subramaniam Venkatasubramaniam Kollengode
Designation :	Director
Address :	1202, Raheja Regency, Near Sion Telephone Exchange, Mumbai – 400022, Maharashtra India
Date of Birth/Age :	27.11.1957
DIN :	00005154
Other Directorship :	Reliance Life Sciences Private Limited U24239MH2001PTC130654 Reliance Clinical Research Services Private Limited U99999MH2000PTC126407
Name :	Mr. Vinay Arvind Ranade
Designation :	Director
Address :	C-202, Matoshree Residency, 65 Prarthana Samaj Road, Vile Parle (E), Mumbai – 400022, Maharashtra India
Date of Birth/Age :	12.03.1967
DIN :	00006568
Other Directorship :	Reliance Life Sciences Private Limited U24239MH2001PTC130654 Reliance Clinical Research Services Private Limited U99999MH2000PTC126407 Reliance Health And Technology Private Limited U85199MH2000PTC126806

KEY EXECUTIVES

Name :	Mr. Pradeep Gupta
Designation :	Vice President in Finance

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Reliance Life Sciences Private Limited	9999
Sudhakar Sarawatula Jointly with Reliance Life Sciences Private Limited	1
Total	10000

As on 30.09.2010

Category	Percentage
Bodies corporate	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Generic Pharmaceutical Drugs

Products :

Products Description	ITC Code No.
Other Organic Compound- others	2942 0090

PRODUCTION STATUS As on 31.03.2010

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Pharmaceutical Products	Kgs.	--	--	135
	Bottles	--	--	2694

GENERAL INFORMATION

No. of Employees :

20 [Approximately]

Bankers :

Not Available

Facilities :

Unsecured Loan [Rs. in million]	31.03.2010	31.03.2009
Long Term Zero Coupon Optionally convertible loan from bodies corporate (Zero Coupon Optionally Convertible Loan from Bodies Corporate are optionally convertible into equity shares of the company at fair value to be determined at the time of conversion.)	2986.066	3731.000
From Banks (External Commercial borrowing from consortium)	0.000	1019.000
Total	2986.066	4750.000

Banking Relations :	--
Auditors :
Name :	Chaturvedi and Shah Chartered Accountants
Address :	714-715, Tulsiani Chambers, 212 Nariman Point, Mumbai – 400021, Maharashtra, India
Fellow Subsidiaries :	v Reliance Clinical Research Services Private Limited. v Reliance Biopharmaceuticals Private Limited v Reliance Bio fuels Private Limited v Reliance Life Sciences B.V., Netherlands v Reliance Life Sciences Inc, U.S.A. v Reliance Diagnostics Private Limited v Reliance GeneMedix Plc., U.K. v (a Subsidiary of Reliance Life Sciences B.V., Netherlands) v (Formerly GeneMedix Plc.) v Biometrix Marketing Private Limited, Singapore, v (A Subsidiary of Reliance GeneMedix Plc.) v Reliance Clinical Research Services Sp.zo.o., Poland v (a Subsidiary of Reliance Life Sciences B.V., v Netherlands)
Holding Company :	Reliance Life Sciences Private Limited, Navi Mumbai CIN No.: U24239MH2001PTC130654

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
1,000,000	Equity Shares	Rs.10/- each	Rs.10.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10,000	Equity Shares	Rs.10/- each	Rs.0.100 million

Note ; 10,000 equity shares are held by Reliance Life Sciences Private Limited, the holding company

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		0.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		[230.347]	(131.306)	0.000
NETWORTH		[230.247]	(131.206)	0.100
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		2986.066	4750.000	175.976
TOTAL BORROWING		2986.066	4750.000	175.976
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		2755.819	4618.794	176.076
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.000	559.699	0.000
Capital work-in-progress		0.000	1626.537	265.374
INVESTMENT		0.050	0.050	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	31.862	0.000
	Sundry Debtors	0.000	11.963	0.000
	Cash & Bank Balances	2.187	277.059	1.342
	Other Current Assets	0.000	0.066	0.000
	Loans & Advances	2925.589	2336.902	11.482
Total Current Assets		2927.776	2657.852	12.824
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	[0.167]	5.812	3.994
	Sundry Creditors	172.174	209.882	92.278
	Provisions	0.000	9.650	6.028
Total Current Liabilities		172.007	225.344	102.300
Net Current Assets		2755.769	2432.508	(89.476)
MISCELLANEOUS EXPENSES		0.000	0.000	0.178
TOTAL		2755.819	4618.794	176.076

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	TURNOVER AND OTHER INCOME (A)		2.473	9.754	NA
Less	EXPENSES (B)		101.514	135.141	NA
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) I		Including Finance and Depreciation Expenses	[125.387]	--
Less	FINANCIAL EXPENSES (D)			0.254	NA
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			[125.641]	--
Less/ Add	DEPRECIATION/ AMORTISATION (F)			5.008	NA
	PROFIT BEFORE TAX (E-F) (G)		[99.041]	[130.649]	NA
Less	TAX (I)		0.000	0.657	NA
	PROFIT AFTER TAX (G-I) (J)		[99.041]	[131.306]	NA
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Export	0.000	0.605	0.000
		Interest on fixed deposit with bank	2.380	8.254	0.000
	TOTAL EARNINGS		2.380	8.859	0.000
	IMPORTS
		Raw Materials	0.000	4.385	0.000
		Stores & Other Consumables	1.225	0.161	0.000
		Capital Goods	0.000	943.687	5.962
	TOTAL IMPORTS		1.225	948.233	5.962
	Earnings Per Share (Rs.)		[9904.09]	[13130.60]	--

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	[4004.89]	(1346.18)	NA
Net Profit Margin (PBT/Sales)	(%)	NA	(1339.44)	NA
Return on Total Assets (PBT/Total Assets}	(%)	[3.38]	(4.06)	NA
Return on Investment (ROI) (PBT/Networth)		[0.43]	[1.00]	NA
Debt Equity Ratio (Total Liability/Networth)		[13.72]	(37.92)	2782.76
Current Ratio (Current Asset/Current Liability)		17.02	11.79	0.13

LOCAL AGENCY FURTHER INFORMATION

Details of Sundry Creditors:

Particulars	31.03.2010 (Rs. in millions)	31.03.2009 (Rs. in millions)	31.03.2008 (Rs. in millions)
Sundry Creditors
Micro, Small and Medium Enterprises	0.000	0.728	0.000
Others	172.174	209.154	92.278
Total	172.174	209.882	92.278

Operational Review

As part of consolidation of businesses of Reliance Life Sciences Group of companies, the Company has made slump sale of its Pharmaceuticals Business, excluding the SEZ unit of the Company, as a going concern on an ‘as is where is basis’ to its holding company Reliance Life Sciences Private Limited on May 01, 2009.

During the year the company has decided to close down its development activities at SEZ, Jamnagar and has applied to the Development Commissioner, Jamnagar SEZ with an exit plan

Fixed Assets:

v Plant and Machinery

v Electrical Installation

v Equipments

v Furniture

v Vehicle

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.44.37
UK Pound	1	Rs.70.83
Euro	1	Rs.62.95

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	-
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	-
--CREDIT LINES	1~10	2
--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		15

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.