MIRA INFORM REPORT

Report Date :

16.11.2011

IDENTIFICATION DETAILS

Name :	ENTEC INDUSTRIAL FERNACES PRIVATE LIMITED
Registered Office :	Plot No. 186, Sector – 24, Near Punjab Rolling Mill, Faridabad – 121 004, Haryana
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	19.10.2000
Com. Reg. No.:	05-034567
Capital Investment/ Paid-up Capital:	Rs.0.650 Million
CIN No.: [Company Identification No.]	U31909HR2000PTC034567
TAN No.: [Tax Deduction & Collection Account No.]	RTKE00856C
PAN No.: [Permanent Account No.]	AABCE0275B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Industrial Furnaces.
No. of Employees:	Approximately 45

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 14000
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.

ECGC Country Risk Classification List – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
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. Vinay Agnihotri
Designation :	Director
Contact No.:	91-9810005354
Date :	09.11.2011

LOCATIONS

Registered Office/ Factory :	Plot No. 186, Sector – 24, Near Punjab Rolling Mill, Faridabad – 121 004, Haryana, India
Tel. No.:	91-129-2239081/ 4061106/ 2441239
Mobile No.:	91-9811121733 (Mr. Sunil) 91-9810005354 ( Mr. Vinay)
Fax No.:	91-129-4061105
E-Mail :	balajiinvests@hotmail.com entecfurnace123@w3c.com entec_furnace123@rediffmail.com ajeetsinghpatwa@gmail.com

DIRECTORS

As on 27.09.2010

Name :

Mr. Sunil V. Sehgal

Designation :

Director

Address :

170, Sector 8, Faridabad, Haryana, India

Qualification :

Graduate

Date of Appointment :

09.10.2000

DIN No.:

00987317

Other Directorship:

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	U31909HR2000PTC034567	Entec Industrial Fernaces Private Limited	Director	19/10/2000	19/10/2000	-	Active	NO

Name :

Mr. Vinay Agnihotri

Designation :

Director

Address :

2332, Sector 9, Faridabad, Haryana, India

Qualification :

Mechanical Engineering

Date of Appointment :

09.10.2000

DIN No.:

00987362

Other Directorship:

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	U31909HR2000PTC034567	Entec Industrial Fernaces Private Limited	Director	08/04/2003	08/04/2003	-	Active	NO

Name :

Mrs. Vinod Vinay Agnihotri

Designation :

Director

Address :

2332, Sector 9, Faridabad, Haryana, India

Date of Appointment :

08.04.2003

DIN No.:

00987385

Name :

Mrs. Madhu Sehgal

Designation :

Director

Address :

170, Sector 8, Faridabad, Haryana, India

Date of Appointment :

08.04.2003

DIN No.:

00987338

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 27.09.2010

Names of Shareholders	No. of Shares
Sunil V. Sehgal	11500
Vinay Agnihotri	17600
Madhu Sehgal	21000
Vinod Vinay Agnihotri	14900
Total	65000

Equity Share Breakup (Percentage of Total Equity)

As on 27.09.2010

Category	Percentage of Holding
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Industrial Furnaces.

Products :

• Furnaces: Heat Treatment Furnaces, Aluminium Melting and Holding Furnaces, Copper Melting Furnaces,  Industrial Furnaces, Billet Re-heating Furnaces, Aluminium Melting Furnaces, Aluminium Holding Furnaces, Copper Furnaces, Zinc Furnaces, Brass Melting Furnaces, Continuous Rotary Furnaces, Billet Re-Heating Furnaces, Hydraulically Tilting Copper Melting Furnaces, Hydraulically Tilting Skelner Furnaces, Oil Furnaces and Gas Fired Furnaces, Oil/Gas Fired Skelner Furnaces, Rotary Furnaces For Aluminium, Cast Iron and Lead, etc.
• Ingot Casting Machines
• Pollution Control Systems
• Combustion Equipments: Burners, Blowers, Centrifugal Blowers, V - Belt Driven Centrifugal Blowers, Heating Units, Pumping Units, Recuperators, Hot Air Generators and Allied Equipments, Electrically Heated/Fuel, Combustion Equipments, etc.
• Heating Equipments: Oil Heating and Handling Equipments, Hot Air Generators, Horizontal Ladle Pre-heating Stations, Vertical Ladle Pre-heating Stations, Oil Heating and Pumping Equipments, etc.

Item Code No. (ITC Code)	84171010
Product Description	Furnaces

Exports :

Products :

Industrial Furnaces

Countries :

• South Africa
• Singapore
• Kenya

Terms :

Selling :

L/C , Cash and Credit

Purchasing :

L/C and Cash

PRODUCTION STATUS (As on 31.03.2009)

Particulars	Unit	Installed Capacity	Actual Production
Furnaces and Allied Parts	Nos.	100 Pieces (as ascertained by Management)	19

GENERAL INFORMATION

Suppliers :

· Gromton Grimis India

Customers :

Wholesalers and Retailers

· New Star Metal

· Century NF Casting

· Hindustay Seals Limited

· Kamdhenu Ispat Limited

· Rathi Super Steel Limited

· Rico Auto Industries Limited

· Sunbeam Castings

· Sunland Metal Recycling

· S.M.T. India Limited

· Tripura Ispat Limited

· Uttar Pradesh Steels

No. of Employees :

Approximately 45

Bankers :

· Union Bank of India, Sector – 7, Faridabad, Haryana, India

· Standard Chartered Bank

· ICICI Bank Limited

Facilities :

Secured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Union Bank of India OCC A/c	0.833	0.000
ICICI Bank (For Honda City II )	0.000	0.085
ICICI Bank (For Verna Car )	0.118	0.244
Kotak Mahindra Prime Limited (Car Loan)	0.000	0.174
Total	0.951	0.503

Banking Relations :	--
Financial Institute:	Kotak Mahindra Prime Limited
Auditors :
Name :	A.S. Patwa and Company Chartered Accountants
Address :	B – 545, Nehru Ground, Faridabad – 121 001, Haryana, India
Tel. No.:	91-129-2416545
PAN No.:	AHZPP9603J
Memberships :	Small Scale Industries (SSI) Fédération Internationale de l'Automobile (FIA)

CAPITAL STRUCTURE

As on 27.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.10/- each	Rs.1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
65000	Equity Shares	Rs.10/- each	Rs.0.650 Million

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		0.650	0.650	0.650
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2.840	2.861	2.357
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		3.490	3.511	3.007
LOAN FUNDS
1] Secured Loans		0.951	0.503	1.785
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.951	0.503	1.785
DEFERRED TAX LIABILITIES		0.528	0.475	0.383
TOTAL		4.969	4.489	5.175
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		3.855	4.163	4.956
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	3.911	4.006	1.320
	Sundry Debtors	7.458	5.419	8.316
	Cash & Bank Balances	0.467	2.959	0.209
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	2.703	3.611	2.796
Total Current Assets		14.539	15.995	12.641
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	6.571	6.804	7.386
	Other Current Liabilities	6.854	8.865	5.036
	Provisions
Total Current Liabilities		13.425	15.669	12.422
Net Current Assets		1.114	0.326	0.219
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		4.969	4.489	5.175

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	35.118 (Including Excise Duty)	35.380	39.479
		Job Work Receipts	0.000	0.136	0.120
		Other Income	1.324	0.592	0.537
		TOTAL (A)	36.442	36.108	40.136
Less	EXPENSES
		Consumption of Material	25.645	26.947	29.053
		Manufacturing Expenses	2.885	2.857	3.251
		Personnel Expenses	2.879	2.890	2.673
		Other Operating Expenses	2.061	3.379	3.349
		Increase/ Decrease in stock	NA	(1.575)	(0.080)
		TOTAL (B)	NA	34.498	38.246
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	1.610	1.890
Less	FINANCIAL EXPENSES (D)		0.095	0.171	0.174
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		NA	1.439	1.716
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.418	0.401	0.441
	PROFIT BEFORE TAX (E-F) (G)		NA	1.038	1.275
Less	TAX (H)		NA	0.534	0.657
	PROFIT AFTER TAX (G-H) (I)		NA	0.504	0.618
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	2.357	1.739
	Less: Dividend including Dividend Tax		NA	0.000	0.000
	BALANCE CARRIED TO THE B/S		NA	2.861	2.357
	Earnings Per Share (Rs.)		NA	7.75	11.25

Expected Sales (2011-12): Rs.60.000 millions

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	1.40	1.54
Net Profit Margin (PBT/Sales)	(%)	NA	2.93	3.23
Return on Total Assets (PBT/Total Assets}	(%)	NA	5.15	7.25
Return on Investment (ROI) (PBT/Networth)		NA	0.30	0.42
Debt Equity Ratio (Total Liability/Networth)		4.12	4.61	4.72
Current Ratio (Current Asset/Current Liability)		1.08	1.02	1.02

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the firm	Yes
Constitutions of the firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	--
No. of Employees	Yes
Name of person Contacted	Yes
Designation of contact person	Yes
Turnover of firm for last 2 years	Yes
Profitability for last three years	No
Reasons for Variation <> 20%`	--
Estimation for coming financial year	Yes
Capital in the business	No
Details of sister concern	--
Major Suppliers	Yes
Major Customers	Yes
Payment Terms	Yes
Export/ Import Details (If applicable)	Yes
Market Information	--
Litigations that the firm/ Promoter involved in	--
Banking Details	Yes
Banking Facility details	--
Conduct of the banking account	--
Buyer visit details	--
Financials, fi provided	Yes
Incorporation details, if applicable	--
Last accounts filed at ROC	--
Major Shareholders , if available	--

TRADE REFERENCES:

· Newstar Metal

· Gromton Grimis India

FORM 8:

Name of the company	ENTEC INDUSTRIAL FURNACES PRIVATE LIMITED
Presented By	Mr. Vinay Agnihotri
1) Date and description of instrument creating the change	Hypothecation agreement of goods and debts dated 02.03.2005
2) Amount secured by the charge/amount owing on the securities of charge	Rs.1.000 Million
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	Hypothecation of Stock, Raw materials, WIP, Finished Goods, Fixed and Current assets, Plant and Machinery, Present and Future book debts
4) Gist of the terms and conditions and extent and operation of the charge.	Rate of Interest Minimum 12.25 % p.a.
5) Name and Address and description of the person entitled to the charge.	Union Bank of India Sector – 7, Faridabad, Haryana, India
6) Date and brief description of instrument modifying the charge	NA
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.	NA

FIXED ASSETS:

· Office Booth

· Land

· Machinery

· Air Conditioner

· Mobile Phone

· Furniture and fixtures

· Television

· Cycle

· Scooter

· Car (Esteem)

· Car (Maruti-Zen)

· Car (Santro)

· Car (Corrola)

· Car (Honda City- I)

· Car (Honda City-II)

· Computer.

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.50.56
UK Pound	1	Rs.80.30
Euro	1	Rs.68.79

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	5
--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		44

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.