MIRA INFORM REPORT

Report Date :

24.05.2011

IDENTIFICATION DETAILS

Name :	B. R. METAL AND ALLOYS (GUJ) PRIVATE LIMITED
Registered Office :	F-4, New Madhavpura, Near Police Commissioner Office, Shahibaug, Ahmedabad – 380 004, Gujarat
Country :	India
Financials (as on) :	31.03.2009
Date of Incorporation :	10.12.1986
Com. Reg. No.:	04-9225
Capital Investment / Paid-up Capital :	Rs.64.496 Millions
CIN No.: [Company Identification No.]	U28999GJ1986PTC009225
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Importer of Ferrous and Non-ferrous Metals.
No. of Employees :	25 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (61)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 1322000
Status :	Good
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is well established and reputed company having good track. Financial position of the company appears to be sound. Business is active. Payments are reported to be usually correct. The company can be considered good 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 – 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

INFORMATION PARTED BY

Name :	Mr. Gopal
Designation :	Finance Manager
Contact No.:	91-79-25633928
Date :	24.05.2011

LOCATIONS

Registered Office :	F-4, New Madhavpura Market, Near Police Commissioner Office, Shahibaug, Ahmedabad – 380 004, Gujarat, India
Tel. No.:	91-79-25633928/25631976
Fax No.:	91-79-25633960
E-Mail :	jethaliya@yahoo.com avimami99@yahoo.com
Area:	4500 sq.ft.
Location:	Owned
Godown:	Survey No.35/1, Kurla Road, Singrur, Ahmedabad – 382930, Gujarat, India

DIRECTORS

AS ON 30.09.2009

Name :	Mr. Babuprasad Ramdayal Shah
Designation :	Director
Address :	13, Bhimnath Society, Behind Circuit House, Shahibaug, Ahmedabad – 380004, Gujarat, India
Date of Birth/Age :	30.03.1942
Date of Appointment :	10.12.1986
Name :	Mr. Kailash Babuprasad Shah
Designation :	Managing Director
Address :	13, Bhimnath Society, Behind Circuit House, Shahibaug, Ahmedabad – 380004, Gujarat, India
Date of Birth/Age :	11.05.1966
Date of Appointment :	10.12.1986
Name :	Mr. Ghanshyam Babuprasad Shah
Designation :	Director
Address :	13, Bhimnath Society, Behind Circuit House, Shahibaug, Ahmedabad – 380004, Gujarat, India
Date of Birth/Age :	13.11.1969
Date of Appointment :	15.12.1986

KEY EXECUTIVES

Name :	Mr. Gopal
Designation :	Finance Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2009

Names of Shareholders	No. of Shares
Babuprasad Ramdayal Shah	699975
Kailash Babuprasad Shah	874875
Ghanshyam Babuprasad Shah	805500
Kanchanben Babuprasad Shah	310500
Babuprasad Ramdayal Shah	4500
Manjuben Kailashchandra Shah	258750
Chandaben Ghanshyam Shah	288000
Smit Kailash Shah	86250
Nishant Kailash Shah	86250
Riddhi Ghanshyam Shah	142500
Siddhi Ghanshyam Shah	142500
Utsav Pharmaceuticals Private Limited, Gujarat	250000
Grin BPO Services Private Limited, Gujarat	185000
Veemotech Exim Private Limited, Gujarat	125000
Suraj Corporate Services Private Limited, Gujarat	100000
Rang Udhyog Investment Private Limited, Gujarat	125000
Chopra Yarns Private Limited, Gujarat	115000
Platinum Corporation Private Limited, Gujarat	100000
Ken Securities Limited, Gujarat	175000
Arcadia Mercantile Capital Limited, Gujarat d	200000
Genus Communication Trade Limited, Gujarat	200000
Universal Credit Securities Limited, Gujarat	175000
Adheswar Cotton Industries Limited, Gujarat	100000
TPL Finance Limited, Gujarat	300000
Amarnath Securities Limited, Gujarat	150000
Frontline Financial Services Limited, Gujarat	250000
Ranakpur Securities Limited, Gujarat	200000
Total	6449600

AS ON 30.09.2009

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	42.64
Directors or relatives of directors	57.36
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Importer of Ferrous and Non-ferrous Metals.
Products :	Ferrous and Non-Ferrous Products
Imports :
Products :	Ferrous an d Non Ferrous Metals
Countries :	Middle East European Countries
Terms :
Selling :	Cash and Credit, Bank Through (30 Days, 60 days, 90 days)
Purchasing :	L/C, Cash and Credit, Bank Through (30 Days, 60 days, 90 days)

GENERAL INFORMATION

Customers :

End Users and OEM’s

No. of Employees :

25 (Approximately)

Bankers :

• IDBI Bank Limited, Ahmedabad Branch, IDBI Complex, Opposite Muni Staff Quarters, Near Lal Bunglows, Ahmedabad – 380006, Gujarat, India
• Axis Bank Limited , 3^rd Floor, Trishul, Opposite Samartheshvar Temple, Law Garden, Ellis Bridge, Ahmedabad – 380006, Gujarat, India
• Standard Chartered Bank Limited
• ICICI Bank, Shahibaug Branch

Facilities :

Secured Loans :	As on 31.03.2009 Rs. in Millions	As on 31.03.2008 Rs. in Millions
ICICI Bank (Car Loan secured against hypothecation of Car)	0.159	0.609
Standard Chartered Bank Limited (Secured against office and Godown premises and personal guarantee of directors)	0.575	41.165
Total	0.734	41.774

Unsecured Loans :	As on 31.03.2009 Rs. in Millions	As on 31.03.2008 Rs. in Millions
Directors	2.646	34.325
Shareholders	1.366	7.960
Inter Corporate Deposit	0.000	15.000
Total	4.012	57.285

Banking Relations :	Good
Auditors :
Name :	Gattani and Associates Chartered Accountants
Address :	1003-04, Samundra Annexure, Near Hostel Klassic Gold, C. G. Road, Ahmedabad – 380006, Gujarat, India
Pan No.:	ADKPG8045F
Associates/Subsidiaries :	BMJ Cables Limited Address: 562, Phase-11, G.I.D.C Estate, Kathavada, Ahmedabad, Gujarat, India Activity: Trader and Importer of Ferrous and Non-ferrous Metals.

CAPITAL STRUCTURE

AS ON 30.09.2009

Authorised Capital :

No. of Shares	Type	Value	Amount
7000000	Equity Shares	Rs.10/- Each	Rs.70.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6449600	Equity Shares	Rs.10/- Each	Rs.64.496 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

Particulars	31.03.2011	31.03.2010
Sales Turnover (Approximately)	1800.000	1430.000

Expected Sales (2011-2012) : Rs.2000.000 Millions

The above information has been parted by Mr. Gopal (Finance Manager)

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2009	31.03.2008	31.03.2007
SHAREHOLDERS FUNDS
1] Share Capital		64.496	14.798	14.798
2] Share Application Money		247.500	0.000	0.000
3] Reserves & Surplus		18.450	24.258	11.992
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		330.446	39.056	26.790
LOAN FUNDS
1] Secured Loans		0.734	41.774	46.864
2] Unsecured Loans		4.012	57.285	60.555
TOTAL BORROWING		4.746	99.059	107.419
DEFERRED TAX LIABILITIES		0.250	0.000	0.048
TOTAL		335.442	138.115	134.257
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		8.906	6.057	6.321
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		70.588	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.009	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	53.669	96.187	71.565
	Sundry Debtors	77.611	79.837	76.472
	Cash & Bank Balances	2.758	1.221	1.186
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	147.139	26.770	22.470
Total Current Assets		281.177	204.015	171.693
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities		55.105	35.266
	Provisions	25.229	16.861	8.491
Total Current Liabilities		25.229	71.966	43.757
Net Current Assets		255.948	132.049	127.936
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		335.442	138.115	134.257

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2009	31.03.2008	31.03.2007
Sales Turnover		1330.909	1239.845	784.935
Profit/(Loss) Before Tax		24.207	18.669	11.160
Provision for Taxation		7.818	6.402	5.314
Profit/(Loss) After Tax		16.389	12.267	5.846
Imports :		254.331	274.097	234.923
Expenditures :
	Prior Period Item	0.988	0.075	1.482
	Depreciation & Amortization	0.963	1.095	0.980
	Other Expenditure	1304.751	1220.006	771.313
Total Expenditure		1306.702	1221.176	773.775
Earnings Per Share (Rs.)		6.31	8.29	NA

KEY RATIOS

PARTICULARS		31.03.2009	31.03.2008	31.03.2007
Net Profit Margin (PBT/Sales)	(%)	1.82	1.51	1.42
Return on Total Assets (PBT/Total Assets}	(%)	8.34	8.89	6.27
Return on Investment (ROI) (PBT/Networth)		0.07	0.48	0.42
Debt Equity Ratio (Total Liability/Networth)		0.09	4.38	5.64
Current Ratio (Current Asset/Current Liability)		11.14	2.83	3.92

LOCAL AGENCY FURTHER INFORMATION

Bankers Charges Report as per Registry

Name of the company	B. R. METAL AND ALLOYS (GUJ) PRIVATE LIMITED
Presented By	Babuprasad R. Shah, Director
1) Date and description of instrument creating the change	Memorandum of Entry of Equitable Mortgage of property by deposit of Title Deed of dated 26.10.2005
2) Amount secured by the charge/amount owing on the securities of charge	Cash Credit Limit of Rs.10.000 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	Immovable property together with buildings and structures constructed / to be constructed thereon and all plant and machineries attached to earth or permanently fastened to anything attached to the earth(hereinafter referred to as “the immovable properties”) namely. Non Agricultural Freehold Property bearing Shop No. F-4 admeasuring 100 sq. yds in Madhavpura Shops and Ware Houses Co-operative Housing Society Limited on final plot No. 102,104 (part) of Town Planning Scheme No. 14 at Mouje Dariapur-Kazipur in Taluka City in the registration district sub district of Ahmedabad, Gujarat, India and Non Agricultural Freehold Property bearing Bunglow No. 13 admeasuring Plot area 90 sq. yds with construction thereon in Bhimnath Cooperative Housing Society Limited on Final Plot No. 142-1-2 of T. P. S. No. 14, situate, lying and being at Mouje, Dariapur – Kazipur Taluka City in the registration district sub district office of Ahmedabad, Gujarat, India
4) Gist of the terms and conditions and extent and operation of the charge.	Cash Credit Limited of Rs.5.000 millions to B. R. Metal and Alloys (Gujarat) Private Limited And Cash Credit Limit of Rs.5.000 millions to Ghanshyam Metal Udyog a proprietorship concern for which B. R. Metal and Alloys (Gujarat) Private Limited has given the guarantee. Interest: PLR (Currently at 12%) minus 2.50% i.e. 9.50% p.a. payable monthly.
5) Name and Address and description of the person entitled to the charge.	Axis Bank Limited, Third Floor, Trishul, Opposite Samartheshwar Temple, Law Garden, Ellis Bridge, Ahmedabad – 380006, Gujarat, India
6) Date and brief description of instrument modifying the charge	Not Applicable
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.	Not Applicable

This form is for	Creation of charge
Corporate identity number of the company	U28999GJ1986PTC009225
Name of the company	B. R. METAL AND ALLOYS (GUJ) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	F-4, New Madhavpura Market, Near Police Commissioner Office, Shahibaug, Ahmedabad – 380 004, Gujarat, India
Type of charge	Book Debts Movable Property
Particular of charge holder	IDBI Bank Limited, Ahmedabad Branch, IDBI Complex, Opposite Muni Staff Quarters, Near Lal Bunglows, Ahmedabad – 380006, Gujarat, India Email: n.choudhary@idbi.co.in
Nature of description of the instrument creating or modifying the charge	Deed of Hypothecation Dated on 05.02.2010
Date of instrument Creating the charge	05.02.2010
Amount secured by the charge	Rs.150.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest @BPLR -1.75 % P.A (Presently BPLR is 12.75 % P.A ) Payable Monthly. Terms of Repayment On Demand/Due Date Margin 25% on stocks and 25 % on book debts upto 120 days. Extent and Operation of the charge First charge on the current assets of the company viz. Stocks and book debts both present and future.
Short particulars of the property charged	Primary Security:- First Charge on Current Assets of the Company viz. stocks Book debts both present and future.

FIXED ASSETS:

• Land and Building

- Land

- Office Building

- Godown

· Plant and Machinery

- Machinery

- Refrigerator

- Scale

- Air Conditioner

- Paper Shredar

- Cooler

• Furniture and Fixtures

- Furniture and Fixtures

- Electric Fittings

- Fax

- Fan

- Pager

- Mobile Phone

• Computer
• Motor Care and Scooters

- Corolis

- Tata – 709

- Santro Xing

- BMW

- Scooter

- Honda Accord

- Eicher Truck

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.45.28
UK Pound	1	Rs.73.30
Euro	1	Rs.63.61

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	9
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--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		61

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.