MIRA INFORM REPORT

Report Date :

01.11.2011

IDENTIFICATION DETAILS

Name :	CHEMTECH INDUSTRIAL VALVES PRIVATE LIMITED
Registered Office :	105, Hiranandani Industrial Estate, Opposite, Kanjur Marg Rly Station, Mumbai 400078, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	15.01.1997
Com. Reg. No.:	11-105108
Capital Investment / Paid-up Capital :	Rs.5.500 Millions
CIN No.: [Company Identification No.]	U29299MH1997PTC105108
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of all Types of Valves
No. of Employees :	90 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 113300
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. 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.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Subriyan
Designation :	Marketing Manager
Contact No.:	91-22-25780574
Date :	31.10.2011

LOCATIONS

Registered Office :	105, Hiranandani Industrial Estate, Opposite, Kanjur Marg Rly Station, Mumbai 400078, Maharashtra, India
Tel. No.:	91-22-25780574 / 25773308 / 65969214
Fax No.:	91-22-25794128
E-Mail :	chemtech197@gmail.com orville@vsnl.net
Location :	Owned
Factory :	Plot No. 12, Nirmal Ashish Industrial Estate, Asangaon (West), Shahapur, District Thane – 421601, Maharashtra, India
Tel. No.:	91-2527-271189
Fax No.:	91-2527-272344

DIRECTORS

AS ON 30.09.2011

Name :

Mr. David Ignatious

Designation :

Director

Address :

Bhavani Tower, Opposite, IIT, Powai, Mumbai, Maharashtra, India

Date of Birth/Age :

29.03.1958

Date of Appointment :

15.01.1997

Din No.:

01750827

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U29299MH1997PTC105108	CHEMTECH INDUSTRIAL VALVES PRIVATE LIMITED	Director	15-01-97	15-01-97	-	Active	NO
2	U72300MH2011PTC219037	CHEMTECH INFOSOLUTION PRIVATE LIMITED	Director	23-06-11	23-06-11	-	Active	NO

Name :

Mr. Pradeep S. Badkur

Designation :

Director

Address :

Bhavani Tower, Opposite, IIT, Powai, Mumbai, Maharashtra, India

Date of Birth/Age :

16.07.1959

Date of Appointment :

15.01.1997

Din No.:

00036822

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U25202MH1986PTC041234	BADKUR BLOW PLAST CONTAINERS PRIVATE LIMITED	Director	14-10-86	14-10-86	-	Active	NO
2	U29299MH1997PTC105108	CHEMTECH INDUSTRIAL VALVES PRIVATE LIMITED	Director	15-01-97	15-01-97	-	Active	NO
3	U51900MH2000PTC124074	MARVELLOUS MARKETING PRIVATE LIMITED	Director	17-04-01	17-04-01	-	Active	NO
4	U51909MH2004PTC147812	FELICITY MULTITRADE PRIVATE LIMITED	Director	14-12-04	14-12-04	17-09-08	Active	NO
5	U45200MH2005PTC157212	ASHVAMEGH PROPERTIES PRIVATE LIMITED	Director	09-11-05	09-11-05	01-10-07	Active	YES
6	U45200MH2005PTC155672	PUSHPDEEP PROPERTIES PRIVATE LIMITED	Director	01-01-08	01-01-08	-	Active	NO
7	U70102MH2010PTC200742	SURASHTRA ESTATES PRIVATE LIMITED	Director	11-03-10	11-03-10	-	Active	NO
8	U72300MH2011PTC219037	CHEMTECH INFOSOLUTION PRIVATE LIMITED	Director	23-06-11	23-06-11	-	Active	NO

Name :

Mrs. Namrata Pradeep Badkur

Designation :

Director

Address :

C-201, Lake Castle Bulding, Hiranandani Garden, Powai, Mumbai, maharashtra, India

Date of Birth/Age :

22.07.1966

Date of Appointment :

01.11.2010

Name :

Mr. Harsh Pradeep Badkur

Designation :

Director

Address :

C-201, Lake Castle Bulding, Hiranandani Garden, Powai, Mumbai, maharashtra, India

Date of Birth/Age :

06.01.1988

Date of Appointment :

30.09.2010

Name :

Mr. Jimmy Chittaturakaran

Designation :

Director

Address :

A/606, Dhaivat, Kalpannagari Complex, Bal Rajeshwar Marg, Mulund(West), Mumbai, Maharashtra, India

Date of Birth/Age :

01.08.1984

Date of Appointment :

01.11.2010

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Ignatious C. David	185500
Jinny C. Ignatious	25000
Pradeep S. Badkur	84500
Namrata P. Badkur	112500
Harsh P. Badkur	92500
Hindustan Continental Limited, India	50000
Total	550000

AS ON 30.09.2011

Equity Share Breakup	Percentage
Category
Bodies corporate	9.10
Directors or relatives of Directors	90.90
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of all Types of Valves
Exports :
Products :	Valves
Countries :	· Saudi Arebia · Kania
Terms :
Selling :	L/C, Cash, Credit
Purchasing :	L/C, Cash, Credit

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Licensed Capacity	Installed Capacity	Actual Production
Assembled Valves	NA	19350	Qty. 8261

GENERAL INFORMATION

Suppliers :

· Ashish Dishing Works

· Ashwan Engineering Works

· Associated Road carriers

· ATC Global Finance

· Balaji Enterprises

· Bhawani Auto Centre

· Besto Plast

· Blue Birds Roadlines

· Bospro Engineering Works

· Capitron Engineering

· C. M. Consultants

· C. P. Valves Industry

· Control systems

· Christ Engineering Works

· Daya Packers

· Devyani Alloys

· D.R.Foundary

· Eagle Engineering

· Earth

· Eastern Metal Industries

· Elca Laboratories

· Electricom Corporation

· Elegant Enterprises

· Elegant Stationers

Customers :

· Wholesalers

· Retailers

· SAIL

· NTPC

· BARC

No. of Employees :

90 (Approximately)

Bankers :

· Standard Chartered Bank, Mumbai, Maharashtra, India

· ICIC Bank

· HDFC Bank

· Kotak Mahindra bank

Facilities :

Secured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Secured Loans
Term Loans
Term Loan Reliance Capital	0.000	9.868
Term Loan from HDFC Bank	0.000	3.722
Cash Credit facility C.C.A/c with CKP Co-op. Bank Limited	14.631	14.915
Car Loans HDFC Bank - Honda City Loan	0.793	0.000
ICIC Bank - Honda city Loan	0.160	0.354
Kotak Mahindra - CF 5667523	0.462	0.561
Kotak Mahindra - CF 5667580	0.886	1.076
Kotak Mahindra - CF 5667615	0.670	0.814
(Installments payable in next 12 months Rs. 1.173 millions P.Y. Rs.3.817 millions)
Total	17.605	31.313
1) Term Loan from HDFC Bank: Is secure by way of hypothecation of Residential Flat at C-201 lake castle , Powai, Mumbai owned by Directors of the Company. 2) C.C. from CKP Co. Op. Bank Limited Is secure by way of hypothecation of Plan and Machinery and Other Equipments along with collateral of equitable mortgage of Industrial Gala No. 12,13,16 and 42 at Nirmal Ashish Industrial Estate, Asangaon (W), Taluka- Shahapur, Dist. Thane and Industrial Gala No.43 and 44 at Nirmal Ashish Industrial Estate, Asangaon (W), Taluka- Shahapur, Dist. Thane of M/s Chemtech Instrumention Services Private Limited. CURRENT YEAR 3) Term Loan Reliance Capital: Is secure by way of hypothecation of Industrial Gala No.105 at Hiranandani Industrial Estate, Opposite. Kanjurmarg Railway Station, Kanjurmarg, Mumbai of M/s Badkur Blowblast Private Limited 4) Car loans are secured by hypothecation of Motor Cars.
Unsecured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
From Intercorporate deposits
Couple Fin Private Limited	14.500	6.683
NJD Holding Private Limited	--	5.000
Paridhi Trading Co. Private Limited	5.000	5.352
Barclays Finance	3.107	0.000
Duralloy Cutters Limited	0.500	0.000
K Plus Infotech Private Limited	1.900	0.000
Magma Fincorp Limited	2.219	0.000
Navdarshi Properties Private Limited	6.615	0.000
Neeldeep Properties Private Limited	5.000	0.000
Nirmal Manor Private Limited	5.000	17.035
Panama Properties Private Limited	5.000	0.000
Parshwajit Properties Private Limited	2.250	0.000
Sneha Ferromet Private Limited	5.000	0.000
Tata Capital Limited	2.280	0.000
Utkantha Trading and Properties Limited	1.000	0.000
From Directors
Pradeep S. Badkur	0.000	0.500
C. D. Ignatious	0.000	4.285
Total	59.373	21.821

Banking Relations :	--
Auditors :
Name :	S. P. Jain and Associates Chartered Accountants
Address :	602, 6^th Floor, Orbit Plaza, New Prabhadevi Road, Mumbai – 400025, Maharashtra, India
Tel. No.:	91-22-24316201 / 24218129
Fax No.:	91-22-24218130
E-mail :	Spjainassociates@gmail.com
Pan No.:	AAVFS8167P

CAPITAL STRUCTURE

As on : 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs. 10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
550000	Equity Shares	Rs.10/- each	Rs.5.500 Millions

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		5.500	5.000	5.000
2] Share Application Money		0.000	1.485	3.810
3] Reserves & Surplus		22.832	12.048	0.000
4] (Accumulated Losses)		0.000	0.000	7.902
NETWORTH		28.332	18.533	16.712
LOAN FUNDS
1] Secured Loans		17.605	31.313	17.315
2] Unsecured Loans		59.373	21.821	6.675
TOTAL BORROWING		76.978	53.134	23.990
DEFERRED TAX LIABILITIES		2.342	0.358	0.000
TOTAL		107.652	72.025	40.702
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		28.906	30.776	10.907
Capital work-in-progress		32.694	0.000	0.000
INVESTMENT		0.538	0.287	0.288
DEFERREX TAX ASSETS		0.000	0.000	0.458
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	35.074	32.939	22.491
	Sundry Debtors	22.096	25.777	23.742
	Cash & Bank Balances	5.693	9.247	6.956
	Other Current Assets	0.000	0.000	2.605
	Loans & Advances	10.539	6.919	0.000
Total Current Assets		73.402	74.882	55.794
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	21.325	29.820	24.670
	Other Current Liabilities	5.322	3.246	2.075
	Provisions	1.289	0.854	0.000
Total Current Liabilities		27.936	33.920	26.745
Net Current Assets		45.466	40.962	29.049
MISCELLANEOUS EXPENSES		0.048	0.000	0.000
TOTAL		107.652	72.025	40.702

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	101.342	98.233	62.249
		Other Income	1.267	0.512	0.246
		Extra Ordinary Items	4.134	0.000	0.000
		TOTAL	106.743	98.745	62.495
Less	EXPENSES
		Cost of Goods Sold	64.874	60.027	41.627
		Direct Expenses	15.046	12.350	10.503
		Administrative, Selling and Finance Expenses	19.756	17.022	7.924
		TOTAL	99.676	89.399	60.054
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		7.067	9.346	2.441
Less/ Add	DEPRECIATION/ AMORTISATION		3.168	2.819	1.735
	PROFIT BEFORE TAX		3.899	6.527	0.706
Less	TAX		2.010	2.118	0.069
	PROFIT AFTER TAX		1.889	4.409	0.637
	BALANCE CARRIED TO THE B/S		1.889	4.409	0.637
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	0.124	0.024	NA
	TOTAL EARNINGS		0.124	0.024	NA
	Earnings Per Share (Rs.)		3.78	8.82	1.28

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.65	4.46	1.01
Net Profit Margin (PBT/Sales)	(%)	3.84	6.64	1.13
Return on Total Assets (PBT/Total Assets}	(%)	3.81	6.17	1.05
Return on Investment (ROI) (PBT/Networth)		0.13	0.35	0.04
Debt Equity Ratio (Total Liability/Networth)		3.70	4.69	3.03
Current Ratio (Current Asset/Current Liability)		2.62	2.20	2.02

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS : (PARTIAL DETAILS)

Particulars	31.03.2011	31.03.2010	31.03.2009
Creditors for Expenses	21.325	29.820	24.670

(Rs. In Millions)

Particulars	31.03.2011	31.03.2010	31.03.2009
Abdul Latif Alomohmad	0.017	0.000
Aira Euro Automation	0.305	0.436
Air Engineering Works	0.006	0.000
Akash Enterprises	0.047	0.035
A to Z Printing Press	0.002	0.018
A. P. S. Engineering Works	0.029	0.072
Ali Bhai Bearingwala	0.000	0.023
Alpha Techno Cast Private Limited	1.362	1.123
AMF Casting And Engineering	0.000	0.034
Amar Paints	0.067	0.000	NA
Ambernath Casting Private Limited	0.040	0.000
Anadmayee Forgings Private Limited	0.107	0.099
Anish Enterprises	0.251	0.188
Arcweld Engineers Private limited	0.204	0.152
Arihant Computer System	0.033	0.011
Arma Plast	0.014	0.000
Ashish Dishing Works	0.006	0.000
Ashwan Engineering Works	0.003	0.001
Associated Road carriers	0.019	0.000
ATC Global Finance	0.001	0.003

CONTINGENT LIABILITY (AS ON 31.03.2011)

Counter Guarantee Given by Banks – Rs. 3.086 millions

Check List by Info Agents	Available in Reports (Yes/No)
Year of Establishment	YES
Locality Of The Firm	YES
Constitution of the firm	YES
Premises Details	YES
Type of Business	YES
Line of Business	YES
Promotor’s background	--
No. of Employees	YES
Name of person contacted	YES
Designed of contact person	YES
Turnover of firm for last three years	NO
Profitability for last three years	NO
Reasons for variation <> 20%	NO
Estimation for coming financial year	NO
Capital of the business	NO
Details of Sister Concern	--
Major Suppliers	YES
Major Customers	YES
Payments Terms	YES
Export / Import details (if applicable)	YES
Market information	--
Litigation that the firm / promoter involved in	--
Banking details	YES
Banking facility details	--
Conduct of the banking account	--
Buyer visit details	--
Financial, if provided	NO
Incorporation details, if applicable	--
Last accounts filed at ROC	--
Major Shareholders, if available	--

TRADE REFERENCES

· SAIL

· NTPC

· BARC

· PTC

· GTC

· Viral Nils

Fixed assets :

· Car

· Land

· Factory Building

· Furniture

· Pattern

· Plant and machinery

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. 48.87
UK Pound	1	Rs. 78.11
Euro	1	Rs. 68.36

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		43

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.