MIRA INFORM REPORT

Report Date :

10.10.2011

IDENTIFICATION DETAILS

Name :	PURE ALLOYS PRIVATE LIMITED (w.e.f. 17.05.2010)
Formerly Known As :	PURE GASES PRIVATE LIMITED
Registered Office :	Plot No. 1, Bhavnagar Rajkot Plot, Shihor District, Bhavnagar - 364 240, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	27.04.1992
Com. Reg. No.:	04-017504
Capital Investment / Paid-up Capital :	Rs.20.000 millions
CIN No.: [Company Identification No.]	U27100GJ1992PTC017504
Legal Form :	Private Limited Liability Company
Line of Business :	Trader of Alloy and Steel
No. of Employees :	Not Divulged by Management

RATING & COMMENTS

MIRA’s Rating :

B 28)

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

Maximum Credit Limit :	USD 168000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

INFORMATION DECLINED BY

Management Non Cooperative

LOCATIONS

Registered Office :	Plot No. 1, Bhavnagar Rajkot Plot, Shihor District, Bhavnagar - 364 240, Gujarat, India
Tel. No.:	91-278-2560250
Mobile No.:	91-9825205430 (Ms. Kavita Surender Garg)
E-Mail :	companies@rediffmail.com

DIRECTORS

As on 22.08.2010

Name :	Ms. Kavita Surender Garg
Designation :	Director
Address :	11-Rajat Apartment, 20 Mount Pleasant Road, Mumbai – 400 006, Maharashtra, India
Date of Appointment :	27.04.1992
DIN No.:	01390580

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U67120MH1985PTC035253	Everest Holdings Private Limited	Director	01-04-11	13-05-85	Active	NO
2	U65990MH1985PTC036212	Dynesty Finance And Consultants Private Limited	Director	13-05-85	13-05-85	Active	NO
3	U27100GJ1992PTC017504	Pure Alloys Private Limited	Director	27-04-92	27-04-92	Active	NO
4	U51909GJ1992PTC017875	Pure Enterprise Private Limited	Director	24-06-92	24-06-92	Active	NO

Name :	Mr. Ratanlal Fatehchand Sarawgi
Designation :	Director
Address :	1503 – Highland Park, Lokhandwala Complex, Mumbai – 400 069, Maharashtra, India
Date of Appointment :	27.06.1995
DIN No.:	01659532

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27100GJ1992PTC017504	Pure Alloys Private Limited	Director	27-06-95	27-06-95	Active	NO
2	U51909GJ1992PTC017875	Pure Enterprise Private Limited	Director	27-06-95	27-06-95	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 22.08.2010

Names of Shareholders	No. of Shares
Kavita Surender Garg	43800
Ratanlal Fatehchand Sarawgi	50
Surendra Grarg – HUF	6500
Everest Holding Private Limited, India	25250
Bhasker Harish Agarwal	1600
Dilip Azad Agarwal	1750
Manish Niraj Agarwal	2500
Sunita Dharam Agarwala	3750
Mamta Dhaval Agarwal	3000
Rahul Ashok Shah	1400
Abubakar Haji Husen Kaliwala	7500
Altaf Abubakar Kaliwala	7000
Anita Sanjaykumar Jain	5000
Himatlal Vanmalidas	6000
Hitendra R. Shah	7000
Jagrutiben J. Shah	4000

As on 22.08.2010

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	12.62
Directors or relatives of directors	25.17
Other top fifty shareholders	62.21
Total	100.00

BUSINESS DETAILS

Line of Business :

Trader of Alloy and Steel

Products :

Product Description	ITC Code
Industrial Oxygen Gas	280440

PRODUCTION STATUS AS ON 31.03.2010

Installed Capacity : 576000 Cub. Mtrs.

Production : 372568 Cub. Mtrs.

GENERAL INFORMATION

No. of Employees :

Not Divulged by Management

Bankers :

· Indian Overseas Bank

F-15, Turning Point, Waghawadi Road, Bhavnagar – 364 001, Gujarat, India

· State Bank of India

Facilities :

Secured Loans	31.03.2010 Rs. in millions	31.03.2009 Rs. in millions
From Indian Overseas Bank
Against Book Debt. (Inland and Sight L/c)	18.206	71.573
From State Bank of India
Against Book Debt. (Inland and Sight L/c)	0.000	34.069
Total	18.206	105.642

Banking Relations :	--
Auditors :
Name :	V M Shah and Company Chartered Accountants
Address :	103, Radha Apartment, Waghawadi Road, Bhavnagar – 364 001, Gujarat, India
Tel. No.:	91-278-2430052 / 2421767
Fax No.:	91-278-2411196

CAPITAL STRUCTURE

As on 22.08.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
200,000	Equity Shares	Rs.100/- each	Rs.20.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
200,000	Equity Shares	Rs.100/- each	Rs.20.000 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		20.000	20.000	10.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		22.175	20.668	8.391
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		42.175	40.668	18.391
LOAN FUNDS
1] Secured Loans		18.206	105.642	99.809
2] Unsecured Loans		0.000	0.000	52.370
TOTAL BORROWING		18.206	105.642	152.179
DEFERRED TAX LIABILITIES		1.151	0.383	0.491
TOTAL		61.532	146.693	171.061
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		12.943	4.698	4.295
Capital work-in-progress		0.600	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	0.000	0.000	0.000
	Sundry Debtors	221.463	321.710	150.679
	Cash & Bank Balances	21.685	22.773	18.774
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	38.347	47.481	36.773
Total Current Assets		281.495	391.964	206.226
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	209.955	221.971	30.257
	Other Current Liabilities	21.799	26.553	5.147
	Provisions	1.752	1.445	4.056
Total Current Liabilities		233.506	249.969	39.460
Net Current Assets		47.989	141.995	166.766
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		61.532	146.693	171.061

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	265.001	789.376	173.355
		Other Income
		TOTAL	265.001	789.376	173.355
Less	EXPENSES
		Office Expenses	262.419	785.085	169.195
		Administrative Expenses
		Advertising Expenses
		TOTAL	262.419	785.085	169.195
	PROFIT BEFORE TAX		2.582	4.291	4.160
Less	TAX		0.307	1.400	1.520
	PROFIT AFTER TAX		2.275	2.891	2.640
	Earnings Per Share (Rs.)		22.75	28.91	26.40

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.86	0.37	1.52
Return on Total Assets (PBT/Total Assets}	(%)	0.88	1.08	1.98
Return on Investment (ROI) (PBT/Networth)		0.06	0.11	0.23
Debt Equity Ratio (Total Liability/Networth)		5.97	8.74	10.42
Current Ratio (Current Asset/Current Liability)		1.21	1.57	5.23

LOCAL AGENCY FURTHER INFORMATION

Sundry Creditors :

Rs. In millions

PARTICULARS	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors for goods supply	202.256	211.311	29.872
Sundry Creditors [others]	7.699	10.660	0.385
Total	209.955	221.971	30.257

FORM 8

Corporate identity number of the company	U27100GJ1992PTC017504
Name of the company	PURE ALLOYS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No. 1, Bhavnagar Rajkot Plot, Shihor - 364 240, District Bhavnagar, Gujarat, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90110882
Type of charge	· Book debts · Movable property (not being pledge) · Others o Hypothecation of Plant and Machinery
Particular of charge holder	Indian Overseas Bank F-15, Turning Point, Waghawadi Road, Bhavnagar – 364 001, Gujarat, India
Nature of instrument creating charge	Letter of Hypothecation dated 10/03/2011
Date of instrument Creating the charge	10.03.2011
Amount secured by the charge	Rs.825.300 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit: Base Rate + 2.75%, Term Loan: Base rate + 3.00% Terms of Repayment Cash credit Rs.12.500 millions: As on demand Term Loan Rs.12.800 millions: 60 monthly installments of Rs.0.213 million each after a moratorium of 3 months from the date of first disbursement. Margin Cash Credit: Stock 25%, Book Debts 50% upto 90 days Extent and Operation of the charge Full extent over hypothecated entire currents assets, plant and machinery of the company Others Facilities granted to the company. 1. Discount of bills Under LC Rs.100.000 millions 2. Letter of Credit (I/F) on DP/DA Rs.100.000 millions 3. Cash Credit Rs.12.500 millions (Fresh) 4. Term Loan Rs.12.800 millions (Fresh) and Corporate Guarantee to 1) Pure Enterprise Private Limited for Loan of Rs.600.000 millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of stock of scraps, other re-rolling mill items, book debts, entire Plant and Machinery lying at Plot No.1, RS No.246/3, Bhavnagar Rajkot Road, SIHOR, District Bhavnagar
Particulars of the present modification	Principle charge created on 18/02/2005 for Rs.350.000 millions was further modified on 29/08/2005 upto Rs.490.000 millions was further modified on 26/11/2008 for Rs.1032.500 millions, was further modified on 07/03/2011 for Rs.825.300 millions is now further modified and charge extends by way of Hypothecation of stock of scraps, other re-rolling mill items, book debts, entire Plant and Machinery of the company to secure limit upto Rs.825.300 millions.

FIXED ASSETS

· Land

· Factory Building

· Office Building

· Plant and Machinery

· Electric Installation

· Gas Cylinders

· Furniture and Fixtures

· Truck

· Vehicle (Motor Car)

· Scooter

· Office Equipment

· Computer and Peripherals

· Air Conditioner

· Building (Rolling Mill)

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.49.13
UK Pound	1	Rs.75.97
Euro	1	Rs.65.99

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
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	YES
--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		28

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.