MIRA INFORM REPORT

Report Date :

29.06.2011

IDENTIFICATION DETAILS

Name :	DIPEN ORGANICS PRIVATE LIMITED
Formerly Known As :	SHRIDBARA INDUSTRIES LIMITED
Registered Office :	82/8, GIDC Phase-1, B/H Punjab National Bank, Vatva, Ahmedabad – 382 445, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	30.06.1995
Com. Reg. No.:	04-26566
Capital Investment / Paid-up Capital :	Rs.9.900 millions
CIN No.: [Company Identification No.]	U17110GJ1995PTC026566
TAN No.: [Tax Deduction & Collection Account No.]	AHMD00984E
Legal Form :	Private limited liability company
Line of Business :	Manufacturer and Exporter of Pigment Violet-19 and Red-122
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (29)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 73000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some dip in the turnover and profitability of 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.

ECGC Country Risk Classification List – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
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 :	82/8, GIDC Phase-1, B/H Punjab National Bank, Vatva, Ahmedabad – 382 445, Gujarat, India
Tel. No.:	91-79-25831242 / 5832977
Fax No.:	91-79-25891241
E-Mail :	sneh29al@yahoo.co.in

DIRECTORS

As On 30.09.2010

Name :	Mr. Dhirubhai B Patel
Designation :	Chairman
Address :	11, Asopalav Bunglows, Opposite New York Tower, Thaltej, Sarkhej, Gandhinagar Highway, Ahmedabad- 380052, Gujarat, India
Date of Birth/Age :	26.05.1956
Date of Appointment :	12.03.2001
DIN No. :	00106446
Name :	Mrs. Smita D Patel
Designation :	Director
Address :	11, Asopalav Bunglows, Opposite New York Tower, Thaltej, Sarkhej, Gandhinagar Highway, Ahmedabad- 380052, Gujarat, India
Date of Birth/Age :	23.06.1962
Date of Appointment :	12.03.2001
Name :	Mr. Narendra B Patel
Designation :	Director
Address :	53, New GIDC Colony, Ankleshwar- 393002, Gujarat, India
Date of Birth/Age :	27.08.1963
Date of Appointment :	12.03.2001
Name :	Mr. Chandrakant S Shah
Designation :	Director
Address :	16, Sarovar, Near State Bank of India, Opposite Ramji Mandir, Maninagar- 380008, Gujarat, India
Date of Birth/Age :	12.03.1954
Date of Appointment :	12.03.2001
Name :	Ms. Snehal G Patel
Designation :	Director
Address :	30, Anand Bungalows, Near Gulab Tower, Thaltej, Ahmedabad- 380054, Gujarat, India
Date of Birth/Age :	29.02.1976
Date of Appointment :	14.06.2002
DIN No. :	01925589
Name :	Mrs. Diptiben Y Patel
Designation :	Director
Address :	3, Vaikunth Society, New Colony GIDC, Ankleshwar- 393002, Gujarat, India
Date of Birth/Age :	11.04.1975
Date of Appointment :	18.08.2009
DIN No. :	02729937

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As On 30.09.2010

Names of Shareholders	No. of Shares
Dhirubhai B Patel	163995
Chandrakant S Shah	99000
Diptiben Y Patel	71628
Renuka B Patel	27332
Damini N Patel	109330
Narendra B Patel	237170
Smitaben Patel	72886
Dipen D Patel	109619
Snehal G Patel	99000
Shardaben B Patel	10
Shobhaben B Patel	10
Aditi D Patel	10
Babubhai S Patel	10
Total	990000

As On 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Pigment Violet-19 and Red-122

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• Bank of Baroda
• HDFC Bank

Facilities :

Unsecured Loans	As on 31.03.2010 Rs. in millions	As on 31.03.2009 Rs. in millions
From Directors, their relatives and shareholders	12.078	7.989
Total	12.078	7.989

Banking Relations :	-
Auditors :
Name :	S K Chalishazar and company Chartered Accountant
Address :	601, Abhijeet – 4, Near Mithakhali Six Road, Mithakhali, Ahmedabad – 380 006, Gujarat, India
Tel. No.:	91-79-26400531 /32
E-Mail :	chalishazar@icenet.net
Pan No.:	AAQPC9573L
Associates/Subsidiaries :	· Dipen Industries Address: Plot No.1706/10 GIDC Industries Estate, Ankleshwar-393002, Gujarat, India Line of Business: Manufacturer and Export of Pigment Violet-23 · Sharda Industries Address: Plot No.6909, GIDC Industries Estate, Ankleshwar-393002, Gujarat, India Line of Business: Manufacturer and Exporter of Pigment Blue 15:3) · Kangaroo Industries Address : Plot No:1806 GIDC Industrial Estate, Ankleshwar-393002, Gujarat, India Line of Business: Manufacturer Intermediate CLT Acid

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Share	Rs.10/- Each	Rs.10.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
990000	Equity Share	Rs.10/- Each	Rs.9.900 millions

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		9.900	9.900	9.900
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		8.282	7.889	1.746
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		18.182	17.789	11.646
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		12.078	7.989	10.028
TOTAL BORROWING		12.078	7.989	10.028
DEFERRED TAX LIABILITIES		0.771	0.482	0.379
TOTAL		31.031	26.260	22.053
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		11.252	8.755	8.372
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	12.400	5.213	6.649
	Sundry Debtors	5.276	11.984	5.203
	Cash & Bank Balances	3.648	2.187	1.821
	Other Current Assets	0.358	0.161	0.381
	Loans & Advances	1.557	0.485	0.553
Total Current Assets		23.239	20.030	14.607
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3.046	2.004	0.316
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	0.414	0.521	0.610
Total Current Liabilities		3.460	2.525	0.926
Net Current Assets		19.779	17.505	13.681
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		31.031	26.260	22.053

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	18.595	35.719	18.801
		Other Income	0.205	0.037	0.000
		TOTAL	18.800	35.756	18.801
Less	EXPENSES
		Office Expenses	17.286	28.303	14.460
		Administrative Expenses
		Advertising Expenses
		TOTAL	17.286	28.303	14.460
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		1.514	7.453	4.341
Less/ Add	DEPRECIATION/ AMORTISATION		0.711	0.382	0.374
	PROFIT BEFORE TAX		0.803	7.071	3.967
Less	TAX		0.410	0.929	0.465
	PROFIT AFTER TAX		0.393	6.142	3.502
	IMPORTS		4.781	3.827	NA
	Earnings Per Share (Rs.)		0.40	6.20	NA

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	2.09	17.18	18.63
Net Profit Margin (PBT/Sales)	(%)	4.32	19.80	21.10
Return on Total Assets (PBT/Total Assets}	(%)	2.33	24.56	17.26
Return on Investment (ROI) (PBT/Networth)		0.04	0.40	0.34
Debt Equity Ratio (Total Liability/Networth)		0.85	0.59	0.94
Current Ratio (Current Asset/Current Liability)		6.72	7.93	15.77

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL RESULTS

During the year, the Company achieved Sales of Rs.18.595 millions (Previous year Rs.35.719 millions) and earned Net Profit of Rs.0.393 million (Previous year Profit of Rs.6.142 millions) after providing Depreciation of Rs.0.711 million (Previous year Rs.0.382 million). Provision for Taxation of Rs.0.120 million (Previous year Rs.0.808 million). Provision for Fringe Benefit Tax amounting to Rs. NIL. (Previous year Rs.0.018 million). Provision for Diferred Tax Liability amounting to Rs.0.289 million (Previous year Rs.0.103 million).

FIXED ASSETS

· Land and Sheds

· Building

· Electrical Installation

· Plant and Machinery

· Lab Equipments

· Water Pollution Control Plant

· Furniture and Fixture

· Office Equipments

· Vehicles

· Gas Sequens Controler

· Hdpe Reaction Vessal

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.45.05
UK Pound	1	Rs.71.92
Euro	1	Rs.64.34

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		29

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
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

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