MIRA INFORM REPORT

Report Date :

11.05.2011

IDENTIFICATION DETAILS

Name :	GEA PROCESS ENGINEERING (INDIA) PRIVATE LIMITED (W.E.F.24.09.2010)
Formerly Known As :	GEA PROCESS ENGINEERING (INDIA) LIMITED (w.e.f. 22.09.2005) L AND T-NIRO LIMITED
Registered Office :	L and T House, Ballard Estate, Mumbai – 400 038, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	05.02.1992
Com. Reg. No.:	11-65230
Capital Investment / Paid-up Capital :	Rs.1089.471 Millions
CIN No.: [Company Identification No.]	U74999MH1992PTC065230
TAN No.: [Tax Deduction & Collection Account No.]	BRDL00183B
PAN No.: [Permanent Account No.]	AAACL0566H
Legal Form :	Private Limited Liability Company
Line of Business :	Service Provider of EPC Solution for Dairy, Chemical, Pharmaceutical, Brewery and Beverages Industries.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 2200000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears to be some accumulated losses incur by the company. Trade relations are fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings on safe and secured 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.

INFORMATION PARTED BY

Name :	Ms. Shruti Bharal
Designation :	Finance Manager
Contact No.:	91-9824442309
Date :	10.05.2011

LOCATIONS

Registered Office :	L and T House, Ballard Estate, Mumbai – 400038, Maharashtra, India
Tel. No.:	91-22-22618181
Mobile No.:	91-9824442309 (Ms. Shruti Bharal)
E-Mail :	info@geap-india.com
Website :	www.geap.india.com
Area :	10,000 sq. ft.
Location :	Owned
Corporate Office :	Block No.8, P O Dumad, Savli Road, Vadodara – 391740, Gujarat, India
Tel. No.:	91-265-3061700/ 701
Fax No.:	91-265-3061755/756
E-Mail :	info.gpin.in@geagroup.com
Website :	www.geap-india.com

DIRECTORS

As on 30.09.2010

Name :	Mr. Andersen Michael
Designation :	Director
Address :	Hoelmarksvej 17, DK – 2860, Soeberg, Denmark
Date of Birth/Age :	09.02.1968
Date of Appointment :	26.05.2006
Name :	Mr. Raman Madhok
Designation :	Whole Time Director
Address :	B-1 Zuari Colony, Zuarinagar, Goa – 403726, India
Date of Birth/Age :	02.02.1945
Date of Appointment :	27.02.1993
Name :	Mr. Anders Wilhjelm
Designation :	Director
Address :	Caroline Wilhjelm Grunersvej Holte 2840 , Denmark
Date of Birth/Age :	01.07.1966
Date of Cessation :	21.08.2008
Name :	Mr. Srinivasan Subramanian
Designation :	Director
Address :	Flat No. 6, Raymont Court, No. 33, Pycrofts Garden Road, Nungmbakkam – 600 006, Chennai
Date of Birth/Age :	14.06.1951
Date of Appointment :	17.09.2007

KEY EXECUTIVES

Name :	Ms. Shruti Bharal
Designation :	Finance Manager
Name :	Mr. Naveen Kumar Sood
Designation :	Company Secretary
Address :	22, Nandishwar Colony, New Sama Road, Baroda – 390008, Gujarat, India
Date of Birth/Age :	17.06.1962
Date of Appointment :	21.06.2004
Name :	Mr. Naresh Daryani
Designation :	Company Secretary
Address :	B-43/169, Sant Kanwar Colony, Baroda – 390006, Gujarat, India
Name :	Mr. Ninad Raje
Designation :	Finance and Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders (Equity Shareholders)	No. of Shares
Ole Ejnerveggo Andersen	1
Michael Andersen	1
Gea Process Engineering A/S, Denmark	7999992
Niels Graugaard	1
Raman Madhok / Gea Process Engineering A/S, Goa	2
C. A. Brijesh	1
R. Sampath Kumar	1
Vikram Grover	1
Total	8000000

Names of Shareholders (Preferences Shares)	No. of Shares
Gea Process Engineering A/S	10094706
Total	10094706

As on 30.09.2010

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	99.99
Directors or relatives of Directors	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :	Provider of EPC Solution for Dairy, Chemical, Pharmaceutical, Brewery and Beverages Industries.
Exports :
Products :	Solutions
Countries :	Germany, USA, European Countries
Terms :
Selling :	L/C, Cash and Credit (30 to 60 to 90 days)
Purchasing :	Cash and Credit (30 to 60 to 90 days)

GENERAL INFORMATION

Customers :

· End Users

· OEM’s

No. of Employees :

50 (Approximately)

Bankers :

• Industrial Development Bank of India Limited, IDBI Tower WTC Complex, Cuffe Parade, Mumbai – 400005, Maharashtra
• ABN Amro Bank N.V.
• Calyon Bank
• Bank of Baroda

Facilities :

Secured Loans	31.03.2009 (Rs. In Millions)
From Banks	0.863
Cash Credit Facilities (secured by first pari passu charge on entire current assets of the company and collateral security by way of first pari passu charge over entire fixed assets of the company)
Total	0.863

Unsecured Loans	31.03.2009 (Rs. In Millions)
From Banks
Cash Credit Facilities	492.235
Short Terms Loans	124.000
Total	616.235

Banking Relations :	-
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountant
Address :	31, Nutan Bharat Society, Alkapuri, Baroda – 390007, Gujarat, India
Tel No.:	91-265-2333776
Fax No.:	91-265-2339729
Holding Company :	Gea Process Engineering A/S, Denmark

CAPITAL STRUCTURE

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- Each	Rs.100.000 millions
10100000	Preference shares	Rs.100/- Each	Rs.1010.000 Millions
	Total		Rs.1110.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8000000	Equity Shares	Rs. 10/- Each	Rs.80.000 millions
10094706	Preference shares	Rs.100/- Each	Rs.1009.471 Millions
	Total		Rs.1089.471 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		1089.471	505.367	204.569
2] Share Application Money		0.00	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(526.995)	(442.069)	(235.216)
NETWORTH		562.476	63.298	(30.648)
LOAN FUNDS
1] Secured Loans		0.000	0.863	27.155
2] Unsecured Loans		138.099	616.235	805.365
TOTAL BORROWING		138.099	617.098	832.520
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		700.575	680.396	801.872
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		387.032	679.419	480.762
Capital work-in-progress		0.396	21.079	168.702
INVESTMENT		310.725	0.000	0.000
DEFERREX TAX ASSETS		19.009	19.009	19.008
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	33.181	47.990	14.381
	Sundry Debtors	182.599	170.846	303.585
	Cash & Bank Balances	35.726	17.978	14.152
	Other Current Assets	11.770	17.522	116.311
	Loans & Advances	182.001	95.732	103.867
Total Current Assets		445.277	350.068	552.296
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities	349.986	298.246	368.339
	Provisions	111.878	90.933	50.557
Total Current Liabilities		461.864	389.179	418.896
Net Current Assets		(16.587)	(39.111)	133.400
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		700.575	680.396	801.872

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	827.213	456.048	494.841
		Other Income	27.413	25.036	23.381
		TOTAL (A)	854.626	481.084	518.222
Less	EXPENSES
		Operating Expenses		362.453	497.841
		Administrative Expenses		11.947	43.042
		Personnel Expense	840.758	85.408	14.313
		Other Expenditure		75.005	77.994
		TOTAL (B)	840.758	534.813	633.190
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		13.868	(53.729)	114.968
Less	FINANCIAL EXPENSES (D)		33.370	90.041	54.569
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(19.502)	(143.770)	(169.537)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		71.639	61.787	55.382
	PROFIT BEFORE TAX (E-F) (G)		(91.141)	(205.557)	(224.919)
Less	TAX (H)		(6.216)	1.295	3.622
	PROFIT AFTER TAX (G-H) (I)		(84.925)	(206.852)	(228.541)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(442.070)	(235.217)	(6.676)
	BALANCE CARRIED TO THE B/S		(526.995)	(442.070)	(235.217)
	Earnings Per Share (Rs.)		4.69	-	-

Particulars	31.03.2011
Sales Turnover	1200.000

Expected Sales (2011-2012) : Rs.1500.000 Millions

The above information has been parted by Ms. Shruti Bharal (Finance Manager)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(9.94)	(42.99)	(44.10)
Net Profit Margin (PBT/Sales)	(%)	(11.02)	(45.07)	(45.45)
Return on Total Assets (PBT/Total Assets}	(%)	(10.95)	(19.22)	(18.43)
Return on Investment (ROI) (PBT/Networth)		(0.16)	(3.25)	7.34
Debt Equity Ratio (Total Liability/Networth)		1.07	15.89	(40.83)
Current Ratio (Current Asset/Current Liability)		0.96	0.89	1.32

LOCAL AGENCY FURTHER INFORMATION

Details of Sundry Creditors: Not Available

Bankers Charges Report as per Registry

This form is for	Creation of charge
Corporate identity number of the company	U74999MH1992PTC065230
Name of the company	GEA PROCESS ENGINEERING (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	L and T House, Ballard Estate, Mumbai – 400038, Maharashtra, India
Type of charge	Book Debts Movable Property Floating Charge
Particular of charge holder	Industrial Development Bank of India Limited IDBI Tower Wtc Complex, Cuffe Parade, Mumbai – 400005, Maharashtra, India CIN No.: L65190MH2004GOI48838 Email : sn.baheti@idbi.co.in
Nature of description of the instrument creating or modifying the charge	Agreement of hypothecation of goods and assets
Date of instrument Creating the charge	09.08.2007
Amount secured by the charge	Rs.320.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest BPLR - 1.75% presently effective 11.50% Terms of Repayment Cash credit repayment on demand Margin 25% on stock and book debts Extent and Operation of the charge The charge on the property mentioned to secure the repayment of all credit facilities.
Short particulars of the property charged	Entire stocks of raw materials, semi-finished goods and finished goods, consumable stores and spares, book-debts, bills, outstanding monies receivables, both present and future, and whole of the moveable properties of the Borrower including its moveable plant and machinery, machinery spares, tools and accessories and other movables both present and future (save and expect book debts) whether installed or not and whether now lying loose.

FIXED ASSETS:-

· Land

· Building

· Software

· Goodwill

· Vehicle

· Furniture and Fixtures

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.44.73
UK Pound	1	Rs.73.21
Euro	1	Rs.63.90

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.