MIRA INFORM REPORT1

Report Date :

08.09.2011

IDENTIFICATION DETAILS

Name :	GIMATEX INDUSTRIES PRIVATE LIMITED
Registered Office :	202, 2^nd Floor, A Wing, Ramji House, 30, Jambulwadi Kalbadevi Road, Mumbai 400002, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	26.07.1994
Com. Reg. No.:	11-79863
Capital Investment / Paid-up Capital :	Rs.98.450 millions
CIN No.: [Company Identification No.]	U17120MH1994PTC079863
TAN No.: [Tax Deduction & Collection Account No.]	MUMB19506E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Ring Spun Yarns, Compact COM-4 Yarns, Open End (Autocoro) Yarns, Air Jet Yarns, Fancy Yarns etc.
No. of Employees :	5200 (Approximately) (Office – 200 and Factory – 5000)

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Maximum Credit Limit :	USD 2000000
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.

INFORMATION PARTED BY

Name :	Mr. Dilip
Designation :	Finance Executive
Contact No.:	91-7153-244958
Date :	06.09.2011

LOCATIONS

Registered Office/ Mumbai Office :	202, 2^nd Floor, A Wing, Ramji House, 30, Jambulwadi Kalbadevi Road, Mumbai 400 002, Maharashtra
Tel No.:	91-22-22079331/ 4
Mobile No.:	91-9326800006 (Mr. Basant Kumar Mohota)
Fax No.:	91-22-22079332
E-Mail :	info@gimatex.co.in mho@gimatex.co.in nimish@gimatex.co.in gimatex@gmail.com
Website :	www.gimatex.co.in
Location :	Owned
Nagpur office	12, Popular Cloth Market, Gandhibagh, Nagpur 02, Maharashtra, India Phone : 91-712-2768410
Factory 1:	Hinganghat Post Box No.1,Hinganghat - 442301Maharashtra, India Phone :91-7153-320969 Fax : 91-7153-245158 Email : info@gimatex.co.in
Factory 2:	Wani 7 km. Mile Stone,N. H. No. 7,Village - Wani, Tah. Hinganghat Dist.Wardha (M.S.) - 442301 Phone :91-7153-320799 Fax : 91-7153-256341 Email : info@gimatex.co.in
Factory 3:	Dholka Near Microwave Tower, Transad Road, Dholka, District Ahmedabad – 387810, Gujarat, India Tel No.: 91-2714-220075/ 220076 Fax No.:91-2714-223001 Email : infodholka@gimatex.co.in

DIRECTORS

(AS ON 29.09.2010)

Name :	Mr. Vineet Kumar Mohota
Designation :	Director
Address :	Ram Mandir, Wardha- 442301, Maharashtra, India
Date of Birth/Age :	30.05.1981
Date of Appointment :	14.08.2000
DIN No.:	00257059
Mobile No.:	91-9373107411
Email :	vineet@gimatex.co.in
Name :	Mr. Prashant Kumar Mohota
Designation :	Managing Director
Address :	Ram Mandir, Wardha- 442301, Maharashtra, India
Date of Birth/Age :	22.03.1980
Date of Appointment :	06.02.2006
DIN No.:	00268922
Mobile No.:	91-9326111103
Email :	prashant@gimatex.co.in
Name :	Mr. Basant Kumar Girdhardas Mohota
Designation :	Chairman
Address :	Ram Mandir, Wardha- 442301, Maharashtra, India
Date of Birth/Age :	07.04.1957
Date of Appointment :	22.07.2005
DIN No.:	00269026
Mobile No.:	91-9326800006
Email :	bkmohota@gimatex.co.in
Name :	Mr. Rameshchandra H Gandhi
Designation :	Director
Address :	Gandhi Ward, Hinganghat, Wardha- 442301, Maharashtra, India
Date of Birth/Age :	09.06.1951
Date of Appointment :	06.02.2006
DIN No.:	00427698
Name :	Mr. Brajratan H. Bhattad
Designation :	Director
Address :	Ram Mandir, Wardha- 442301, Maharashtra, India
Date of Birth/Age :	01.07.1956
Date of Appointment :	06.02.2006
DIN No.:	00440064
Name :	Mr. Vinaykumar R. Mohota
Designation :	Director
Address :	Mujumdar Ward, Hinganghat- 442301, Maharashtra, India
DIN No.:	00247340
Name :	Mr. Shantilal B Singhavi
Designation :	Director
Address :	Main Road, C/o Sanjay Trading Company, Hinganghat- 442301, Maharashtra, India

KEY EXECUTIVES

Name :	Mr. Nimish Parekh
Designation :	Vice President – Export Marketing
Mobile No.:	91-9821213511
Email :	nimish@gimatex.co.in
Name :	Mr. C L Parikh
Designation :	AVP - Yarn Sales
Mobile No.:	91-9322284359
Email :	mho@gimatex.co.in
Name :	Mr. Girish Kochar
Designation :	AVP - Yarn Sales
Mobile No.:	91-9326800009
Email :	gkochar@gimatex.co.in
Name :	Mr. Dwarkadas Daga
Designation :	General Manager – Fabric Sales
Mobile No.:	91-9326810003
Email :	ddaga@gimatex.co.in
Name :	Mr. G K Rajpuria
Designation :	DGM – Cotton Sales
Mobile No.:	91-9422140760
Email :	info@gimatex.co.in
Name :	Mr. Rajiv Sharma
Designation :	HR Manager
Mobile No.:	91-9325378319
Email :	hrd@gimatex.co.in

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 29.09.2010)

Names of Shareholders	No. of Shares
Girdhardasji Mohota (HUF)	100
Shanty Devi Mohota	43939
Basant Kumar Mohota (INDI)	6430
Basant Kumar Mohota (HUF)	1209
Premlatadevi Mohota	6169
Prashant Kumar Mohota	13709
Vineet Mohota	4997
Premlatadevi Mohota and Basant Kumar Mohota	2233
Ushadevi Somani	166
Sunitadevi Chitlangia	132
Anurgkumar Mohota	2841
GIMA Investment and Private Limited, India	455453
Ellechant Securities Private Limited, India	299755

(AS ON 29.09.2010)

Category	Percentage
Bodies corporate	80.08
Directors or relatives of directors	12.69
Others	7.23
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Ring Spun yarns, Compact COM-4 yarns, Open End (Autocoro) yarns, Air jet yarns, Fancy yarns etc.

Products :

Products Description	ITC Code
Cotton Yarn	5205
Synthetic Yarn	5509
Fabrics	5208

Exports :

Products :

· Cotton Bales

· Yarn and Fabrics

Countries :

· Bangladesh

· Egypt

· Korea

· Sri Lanka

· European Countries

Terms :

Selling :

Depend

Purchasing :

Depend

GENERAL INFORMATION

Customers :

Wholesalers, Retailers, End Users, OEM’s and Manufacturer

· Siyaram Silk Mills Mumbai

· Reliance Industries Limited

· S Kumars Nationwide

· Reid and Taylor

· Doner Industries Limited, Mumbai

· Banswara Syntex Limited

· BSL Limited, Bhilwara

· Bombay Dying and Mfg. Company Limited, Mumbai

· Suzuki Textiles, Bhilwara

· Arwind Mills Limited, Ahmedabad

· Yarn Syndicate Limited, Mumbai

· Sangam Spinners, Bhilwara

· Euro Vistaa Trading Company Limited, Mumbai

· GHCL Limited

· Alok Industries Limited

· Nahar Textiles, Mumbai

· Santosh Fine Fab Limited, Mumbai

· Alicom Synthetics, Mumbai

· ATF Clothing Private Limited, Mumbai

· Mahajan Slik Mills, Mumbai

· Park Synthetics, Mumbai

· Arviva Industries(Ind.) Limited, Mumbai

· Ambika Synthetics, Mumbai

· Lamos(Ind.)Export Private Limited, Mumbai

· Subh Laxmi Syntex Limited, Bhilwara

· Baldva Textiles Limited, Bhilwara

· Chhabra Syncotex, Bhilwara

· Selection Synthetics, Bhilwara

· Swagat Synthetics, Bhilwara

· Titan Tex Fab Private Limited, Bhilwara

· Sharda Spuntex (Private) Limited, Bhilwara

· Ranjan Suitings Private Limited, Bhilwara

· Trilobal Textiles, Bhilwara

· Ashok Synthetics, Ludhiana

No. of Employees :

5200 (Approximately) (Office – 200 and Factory – 5000)

Bankers :

· Bank of India

Nagpur Corporate Banking Branch, S V Patel Marg, Kingsway, Nagpur-440001, Maharashtra, India

· Bank of Baroda

Dharampeth Branch, West High Court Road, Nagpur - 440001, Maharashtra, India

· Bank of India

Hinganghat Branch, Ram Mandir Ward, Higanghat-442301, Maharashtra, India

Facilities :

Secured Loan	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
Term Loan (Secured by a first mortgaged and charge on all the company immovable an d movable properties both present and future and guaranteed by directors of the company Mr. Basant Kumar Mohota, Mr. Prashant Kumar Mohota and Mr. Vineet Kumar and Corporate Guarantee of Gima Investment and Securities Private Limited, Hinganghat and Gima Manufacturing Private Limited, Hinganghat)	772.861	777.219
Working Capital Loan
- Cash Credit	365.786	303.856
- Buyers Credit	143.586	5.198
(Secured against hypothecation of Raw materials, stock in Process, finished goods, store and spares and all books debts, outstanding money receivable, claims and bills which are due and owing or which may at any time during the continuance of security becomes due and owing to the company in course of its business and guaranteed by directors of the company Mr. Basant Kumar Mohota, Mr. Prashant Kumar Mohota and Mr. Vineet Kumar and Corporate Guarantee of Gima Investment and Securities Private Limited, Hinganghat and Gima Manufacturing Private Limited, Hinganghat )
Vehicle Loan
(Secured against hypothecation of Vehicles)	3.120	2.703
Total	1285.353	1088.976
Unsecured Loan	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
From Companies	115.172	130.685
From Director	8.541	1.664
From Shareholders	26.802	67.237
Total	150.515	199.586

Banking Relations :	--
Auditors :
Name :	Tapdiya Chandna and Company Chartered Accountant
Address :	Bharat Housing Colony, Wardha- 442301, Maharashtra, India
Pan No.:	AAAFT7405J

CAPITAL STRUCTURE

(AS ON 29.09.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Share	Rs.100/- Each	Rs.150.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
984500	Equity Share	Rs.100/- Each	Rs.98.450 millions

(AS ON 31.03.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Share	Rs.100/- Each	Rs.100.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
984500	Equity Share	Rs.100/- Each	Rs.98.450 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		98.450	94.450	88.900
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		522.282	434.003	324.171
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		620.732	528.453	413.071
LOAN FUNDS
1] Secured Loans		1285.353	1088.976	952.365
2] Unsecured Loans		150.515	199.586	76.067
TOTAL BORROWING		1435.868	1288.562	1028.432
OTHER LONG TERM FUNDS
Deferment of Sales Tax Liability		52.348	55.843	58.122
Deferment of Income Tax Liability		82.056	81.475	74.902
TOTAL		2191.004	1954.333	1574.527
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1214.775	1256.191	1024.408
Capital work-in-progress		108.905	9.914	46.974
INVESTMENT		12.883	19.609	19.709
DEFERREX TAX ASSETS		0.000	0.000	0.000
Non Current Assets		5.549	4.178	1.141
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	570.876	362.064	510.053
	Sundry Debtors	423.422	245.402	229.270
	Cash & Bank Balances	35.151	104.763	21.862
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	253.556	264.884	289.596
Total Current Assets		1283.005	977.113	1050.781
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	368.584	278.181	434.082
	Other Current Liabilities	67.224	36.679	134.059
	Provisions	0.000	0.072	0.345
Total Current Liabilities		435.808	314.932	568.486
Net Current Assets		847.197	662.181	482.295
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
Deferred Revenue Expenses		1.642	2.190	0.000
Preliminary Expenses		0.053	0.070	0.000
TOTAL		2191.004	1954.333	1574.527

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2009	31.03.2008
	SALES
		Income	2138.825	1825.162
		Other Income	2.171	19.519
		TOTAL	2140.996	1844.681
Less	EXPENSES
		TOTAL	1873.540	1620.493
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		267.459	224.188
Less	FINANCIAL EXPENSES		93.935	78.306
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		173.524	145.882
Less/ Add	DEPRECIATION/ AMORTISATION		119.806	57.113
	PROFIT BEFORE TAX		53.715	88.769
Less	TAX		19.519	46.031
	PROFIT AFTER TAX		34.196	42.738
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		200.388	151.151
	BALANCE CARRIED TO THE B/S		234.584	200.388
	Earnings Per Share (Rs.)		38.00	NA

Particulars	31.03.2011	31.03.2010
Sales Turnover (Approximately)	4070.000	2830.000

The above information has been parted by Mr. Dilip.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	NA	1.60	2.32
Net Profit Margin (PBT/Sales)	(%)	NA	2.51	4.86
Return on Total Assets (PBT/Total Assets}	(%)	NA	2.27	4.27
Return on Investment (ROI) (PBT/Networth)		NA	0.10	0.21
Debt Equity Ratio (Total Liability/Networth)		3.02	0.83	1.38
Current Ratio (Current Asset/Current Liability)		2.94	2.52	1.85

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS

Particulars	31.03.2010	31.03.2009	31.03.2008
	(Rs. In Millions)
Sundry Creditor	368.584	278.181	434.082

NOTE:

The Registered Office of the company has been shifted from 3^rd Floor, 63 Princes Street, Mumbai, Maharashtra, India, to the present address w.e.f. 01.10.2009.

OPERATIONS (AS ON 31.03.2009)

During the year there was a significant increase in the turnover of the company. The turnover increased from Rs.1825.162 millions in the financial year 2007-08 to Rs.2138.825 millions during the current financials year 2008-09 which is 117.19% more than the previous financials year. The company has earned Gross profit of Rs.267.456 millions for the year 2008-09 which is more by Rs.43.268 millions as against Gross Profit of Rs.224.188 millions in the year 2007-08.

FORM 8

This form is for	Creation of charge
Corporate identity number of the company	U17120MH1994PTC079863
Name of the company	GIMATEX INDUSTRIES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	3^rd Floor, 63 Princes Street, Mumbai- 400088, Maharashtra, India
Type of charge	Immovable property Book Debts Movable Property Floating Charge
Particular of charge holder	· Bank of India Nagpur Corporate Banking Branch, S V Patel Marg, Kingsway, Nagpur-440001, Maharashtra, India E-Mail:- mca21@in.com
Nature of description of the instrument creating or modifying the charge	Agreement of hypothecation of plant and machinery stock and book debts Equitable mortgage- oral assets
Date of instrument Creating the charge	28.03.2009
Amount secured by the charge	Rs.233.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash credit: @0.50% below BPLR. Present effective rate 12% p.a with monthly rests. Term Loan: @ 1% below effective rate 11.50% p. a.. with monthly rests. Terms of Repayment Cash credit: On demand Term Loan III: Repayable in 22 quarterly installation of Rs.2.900 millions commencing from June 2009 Term Loan iv: Repayable in 28 quarterly installments of Rs.4.000 millions commencing from June 2009. Term loan v: Repayable in 28 quarterly installment of Rs.1.400 millions commencing from 24 months after first disbursement Margin Cash credit : (Dholaka Unit) : Stock :25% Term Loan II: Nil Term Loan iv: 19% Term Loan V: 23.73% Extent and Operation of the charge The charge operate as security on the properties of Dholaka Unit of the company
Short particulars of the property charged	1. Hypothecation of stock of raw materials such as gray cloth, coal, colours, chemicals etc and book debts 2. Hypothecation of plant and machinery of the company 3. Equitable mortgage of land with building shed and structure standing thereon ad. 47852 Sq. mtrs area of non agreement land bearing s No. 1454+1455+1456 and 1457 of mouza and tah. Dholka District Ahmedabad having total built up area of 11704.96 sq. mtrs. Consisting of factory building, godown office huts, resi building boundry walls etc.

FIXED ASSETS

· Land

· Factory Building

· Non Factory Building

· Plant and Machinery

· Electrical Installation

· General Equipments

· Computer

· Furniture and Fixture

· Motor Car

· Cycle

· Motor Lorries and Fixture

· Scooter

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.46.13
UK Pound	1	Rs.74.18
Euro	1	Rs.64.88

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	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		49

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.