MIRA INFORM REPORT

Report Date :

19.10.2011

IDENTIFICATION DETAILS

Name :	PIYANSHU CHEMICALS PRIVATE LIMITED
Registered Office :	53A, Tiljala Road, Mescab Centre, 4^th Floor, Kolkata – 700046, West Bengal
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	11.06.1992
Com. Reg. No.:	21-055683
Capital Investment / Paid-up Capital :	Rs.4.836 Millions
CIN No.: [Company Identification No.]	U24231WB1992PTC055683
TAN No.: [Tax Deduction & Collection Account No.]	CALP02378F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of driers and other additives for the paint industry.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 800000
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 and as per commitments. 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

LOCATIONS

Registered Office :	53A, Tiljala Road, Mescab Centre, 4^th Floor, Kolkata – 700046, West Bengal, India
Tel. No.:	91-33-22851101
Fax No.:	91-33-22851101
E-Mail :	binay_more@piyanshu.com
Website :	www.piyanshu.com
Head Office :	2A, Loudon Manor, 8/2, Loudon Street, Kolkata – 700017, West Bengal, India
Tel. No.:	91-33-22836142/43/44/45
Fax No.:	91-33-22836145
E-Mail :	anshu_kejriwal@piyanshu.com
Factory 1 :	Plot No.1, Co-operative Industrial Estate, Gandhi Nagar, R R District, Hyderabad – 500037, Andhra Pradesh, India
Tel. No.:	91-40-23176744/ 23088050
Fax No.:	91-40-23176744
Factory 2 :	Plot Nos. 200 and 201, Phase II, IDA, Pashamylaram, Uthloor, Medak – 502307, Andhra Pradesh, India
Tel. No.:	91-8455-226135/ 226136
E-Mail :	anil_kulkarni@piyanshu.com
Branch Office :	Plot No. D23, Industrial Focal Point, Derabassi, District. Patiala – 140507, Punjab, India
Tel. No.:	91-1762-282843/ 283807
Fax No.:	91-1762-282808
E-Mail :	harsh_kejriwal@piyanshu.com
Branch Office :	Plot No. 684, Sector III, Pithampur Industrial Area, District. Dhar (Near Indo Rama), Madhya Pradesh, India
Tel. No.:	91-7292-256210/ 500175
Fax No.:	91-7292-500175
E-Mail :	prakash_bhagat@piyanshu.com

DIRECTORS

As on 10.09.2011

Name :

Mr. Anshu Kejriwal

Designation :

Director

Address :

111, Southern Avenue, Flat No. 13B, Sarat Bose Road, Kolkata - 700029, West Bengal, India

Date of Birth/Age :

19.01.1967

Date of Appointment :

19.03.1998

DIN No.:

00461597

Other Directorship :

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
U24231WB1992PTC055683	Piyanshu Chemicals Private Limited	Director	19/03/1998	19/03/1998	-	Active	NO
U24297WB2010PTC155065	Piyanshu Resins And Polymers Private Limited	Director	26/11/2010	26/11/2010	-	Active	NO

Name :

Mr. Piyush Kejriwal

Designation :

Director

Address :

C/O, Piyanshu Chemicals Private Limited, R. N. 2A, 2^nd Floor, 8/2, Loudon Street, Kolkata – 700017, West Bengal, India

Date of Birth/Age :

27.07.1965

Date of Appointment :

01.06.1996

DIN No.:

00461691

Other Directorship :

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
U24231WB1992PTC055683	Piyanshu Chemicals Private Limited	Director	26/06/2010	1/06/1996	-	Active	NO
U24222WB2003PTC140971	Regent Paints Private Limited	Director	25/07/2005	25/07/2005	-	Active	NO
U24297WB2010PTC155065	Piyanshu Resins And Polymers Private Limited	Director	10/01/2011	10/01/2011	-	Active	NO

Name :

Ms. Deepa Kejriwal

Designation :

Director

Address :

111, Southern Avenue, Flat No. 13B, Sarat Bose Road, Kolkata - 700029, West Bengal, India

Date of Birth/Age :

20.11.1969

Date of Appointment :

19.03.1998

DIN No.:

00461675

Name :

Mr. Satyabodh Bhagat

Designation :

Director

Address :

10, N. N. Dutta Road, Flat K – 4, Regent Park, Kolkata – 700040, West Bengal, India

Date of Birth/Age :

04.12.1974

Date of Appointment :

15.04.1996

DIN No.:

00461655

Other Directorship :

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
U24231WB1992PTC055683	Piyanshu Chemicals Private Limited	Director	15/04/1996	15/04/1996	-	Active	NO
U24222WB2003PTC140971	Regent Paints Private Limited	Director	7/01/2010	7/01/2010	-	Active	NO
U24297WB2010PTC155065	Piyanshu Resins And Polymers Private Limited	Director	26/11/2010	26/11/2010	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 10.09.2011

Names of Shareholders	No. of Shares
Anshu Kejriwal	90800
Satyabodh Bhagat	34100
Ram Krishna Kejriwal (HUF)	100
Piyush Kejriwal	70
Ram Krishna Kejriwal	140150
Kanak Lata Kejriwal	100
Piyush Shubhra Kejriwal (HUF)	10100
Anshu Ishan Kejriwal (HUF)	4100
Hanuman Prasad Bhagat	100
Sneh Lata Bhagat	100
Sulbha Bhagat	100
Seema Kejriwal	2700
Harsh Kejriwal	100
Swati Kejriwal	100
Shaija Kejriwal	1950
Padmanabh Bhagat	13000
Shubhra Kejriwal	10000
Sanjay Kumar Lodha	100
Lalit Kumar Agarwala (HUF)	10
Lalit Kumar Agarwala	10
Dolly Agarwala	10

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of driers and other additives for the paint industry.

Products :

ITEM CODE NO. (ITC CODE)	SERVICE DESCRIPTION
320890.09	Paints and Driers

PRODUCTION STATUS AS ON 31.03.2010

Particulars	Unit	Licensed Capacity	Installed Capacity*	Actual Production
Derabassi Unit	M. T.	NA	6500	NA
Hyderabad Unit	M. T.	NA	6000	NA
Pithampur Unit	M. T.	NA	7500	NA
Medak Unit	M. T.	NA	16000	NA
Paints	LTR	NA	NA	75746.6
Others (including Job working of 6721.520 M. T)	M. T.	NA	NA	22905.422

*The Installed Capacities are as certified by the Management.

Note :

There is a expansion in Derabassi Unit, Pithampur Unit and Medak Unit by increasing the capacities by adding another line production resulting increase in production by 500900 and 800 Tons respectively.

GENERAL INFORMATION

Customers :

· ICI India Limited

· Berger Paints

· Shalimar Paints

· Jenson and Nicholson

· Akzo Nobel

· Bombay Paints Limited

No. of Employees :

Not Divulged

Bankers :

Bank of India, Kolkata Corporate Banking Branch, 5, B. T. M. Sarani, Kolkata – 700001, West Bengal, India

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
From Banks
Cash Credit (secured by Hypothecation of Stock, Book Debts, Present and Future and Personal Guarantees of Directors and some Share holders)	22.089	13.474
Total	22.089	13.474
Unsecured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
Deferred Sales Tax	3.769	3.769
Total	3.769	3.769

Banking Relations :	--
Auditors :
Name :	A. K. Tulsyan and Associates Chartered Accountants
Address :	Swastic Centre, P -8, Chowringhee Square, 4^th Floor, Kolkata – 700069, West Bengal, India
PAN.:	ABIPT7263M

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
483600	Equity Shares	Rs.10/- each	Rs.4.836 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		4.836	4.836	4.836
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		195.527	168.780	138.993
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		200.363	173.616	143.829
LOAN FUNDS
1] Secured Loans		22.089	13.474	24.079
2] Unsecured Loans		3.769	3.769	34.037
TOTAL BORROWING		25.858	17.243	58.116
DEFERRED TAX LIABILITIES		4.697	5.205	3.472
TOTAL		230.918	196.064	205.417
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		67.019	68.983	46.076
Capital work-in-progress		0.730	0.908	4.851
INVESTMENT		10.009	0.009	0.008
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	56.994	41.154	42.592
	Sundry Debtors	155.184	112.318	162.520
	Cash & Bank Balances	4.537	7.074	14.085
	Other Current Assets	0.000	0.000	0.000
	Loans, Advances and Deposits	37.602	31.431	30.941
Total Current Assets		254.317	191.977	250.138
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	81.157	48.347	66.792
	Other Current Liabilities		1.950	10.448
	Provisions	20.000	15.516	18.416
Total Current Liabilities		101.157	65.813	95.656
Net Current Assets		153.160	126.164	154.482
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		230.918	196.064	205.417

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2010	31.03.2009	31.03.2008
	TURNOVER	960.314	857.996	897.357
Less	TOTAL EXPENDITURE	918.891	817.046	852.552
	PROFIT BEFORE TAX	41.423	40.950	44.805
Less	TAX	14.483	12.069	13.77
	PROFIT AFTER TAX	26.940	28.881	31.035
	Earnings Per Share (Rs.)	55.71	59.72	64.17

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	2.80	3.37	3.46
Return on Total Assets (PBT/Total Assets}	(%)	12.89	15.69	15.12
Return on Investment (ROI) (PBT/Networth)		0.21	0.23	0.31
Debt Equity Ratio (Total Liability/Networth)		0.63	0.48	1.07
Current Ratio (Current Asset/Current Liability)		2.51	2.91	2.61

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL RESULTS

The working of the Company has shown a Net Profit before Tax of Rs.41.423 Millions. The same is being carried forward after provision for taxation along with brought forward balance to balance sheet.

FORM 8

This form is for	Modification of charge
Charge identification number of the modified	90247722
Corporate identity number of the company	U24231WB1992PTC055683
Name of the company	PIYANSHU CHEMICALS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	53A, Tiljala Road, Mescab Centre, 4^th Floor, Kolkata – 700046, West Bengal, India Email Id : binay_more@piyanshu.com
Type of charge	Immovable property Book Debts Movable Property Others Plant and Machinery
Particular of charge holder	Bank of India, Kolkata Corporate Banking Branch, 5, B. T. M. Sarani, Kolkata – 700001, West Bengal, India Email Id : corpbank@vsnl.net
Nature of description of the instrument creating or modifying the charge	No Instrument. Supplemental Oral assent.
Date of instrument Creating the charge	28.06.2007
Amount secured by the charge	Rs.67.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest On Cash Credit(Stock) -25%, On Cash Credit(Book Debts) -30%, On IBN (DP/DA 180 days) -20%, On L/C (DP both Inland and Foreign0 -10%, On L/C (I/F) DA upto 90 days -10% and on Bank Guarantee -25% Terms of Repayment On demand in Kolkata Margin On Cash Credit (Stock)-25%, On Cash Credit (Book Debts) -30%, On IBN (DP/DA 180 days) -20%, On L/C (DP both Inland and Foreign)-10%, On L/C (I/F) DA up to 90 days -10% and on Bank Guarantee -25% Extent and Operation of the charge Extent –To the sanctioned amount, interest and other related dues. The charge will operate till the limit enjoyed by the borrower company are fully repaid. Others Nil
Short particulars of the property charged	1. Plot No.D-23, Industrial Focal Point, Derabassi, District. Patiala, Pin – 140507 covering approximately an area of 2500 sq. yards 2. Plot No.684, Sector – III, Pithampur Industrial Area, District Dhar, Madhya Pradesh covering an area of plot measuring approximately 8100 sq.mtrs and 3. Plot No.200 and 201, Phase II, IDA Pashamylaram, Utjloor, District Medak, Andhra Pradesh measuring an area of 7850 Sq. mtrs.
Date of latest modification prior to the present modification	28.06.2007
Particulars of the present modification	By this modification, the borrower has extended the equitable mortgage created by them on various dates on the three immovable properties of the company detailed herein, on all the limits granted to them by the bank. Overall limit on this modification stands increased from Rs.52.000 Millions to Rs.67.000 Millions. Other terms and conditions remain unchanged.

FIXED ASSETS

· Goodwill

· Land

· Land Development (Road)

· Factory Building and Shed

· Storage Tank

· Telephone Equipment

· Generators

· Refrigerator

· Weighing Machine

· Lab Equipment

· Air Conditioner

· Effluent Treatment Plant

· Office Equipment

· Electrical Fittings

· Air Cooler

· Type Writer

· Electrical Installation

· Furniture and Fixtures

· Plant and Machinery

· Fax Machine

· Computer

· Cycle

· Vehicle and Scooter

· Tube Well

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.49.14
UK Pound	1	Rs.77.58
Euro	1	Rs.67.58

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.