MIRA INFORM REPORT

Report Date :

09.09.2011

IDENTIFICATION DETAILS

Name :	SYMEGA SAVOURY TECHNOLOGY LIMITED (w.e.f. 22.12.2008)
Formerly Known As :	SYMEGA SAVOURY TECHNOLOGY PRIVATE LIMITED
Registered Office :	Synthite Taste Park, No. XI 312 G, Pancode, Near Kolenchery, Ernakulam, 682310, Kerala
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	07.07.2008
Com. Reg. No.:	019598
Capital Investment / Paid-up Capital :	Rs.58.907 Millions
CIN No.: [Company Identification No.]	U51225KL2006PLC019598
TAN No.: [Tax Deduction & Collection Account No.]	CHNS03851B
PAN No.: [Permanent Account No.]	AAKCS0062P
Legal Form :	A Closely held Public Limited Liability Company
Line of Business :	Engaged in the business of manufacturing and marketing of spice blends, Savoury flavours and seasonings

RATING & COMMENTS

MIRA’s Rating :

Ca (15)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears huge accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings on a secured 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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
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 / Corporate Office :	Synthite Taste Park, No. XI 312 G, Pancode, Near Kolenchery, Ernakulam, 682310, Kerala, India
Tel. No.:	91-484-2734636
E-Mail :	cri@symega-savoury-technology.com
Website :	http://www.symega-savoury-technology.com
Factory :	Synthite Taste Park, No. XI 312 C, Pancode, Near Kolenchery, Ernakulam, 682310, Kerala, India
Tel. No.:	91-484-27364636

DIRECTORS

AS ON 27.07.2010

Name :	Mr. Christoph Langwallner
Designation :	Managing Director
Address :	No. 30, Choice Village, Irumpanam, Kochi, Ernakulam – 682301, Kerala, India
Date of Birth/Age :	24.07.1972
Date of Appointment :	07.07.2006
Din No.:	00189496
Name :	Mr. Varghese Jacob
Designation :	Director
Address :	Nechupadom, Kadayirippu Po, Kolenchery, Ernakulam – 682311, Kerala, India
Date of Birth/Age :	20.03.1961
Date of Appointment :	07.07.2006
Din No.:	00030179
Name :	Mr. Aju Jacob
Designation :	Director
Address :	Nechupadam, Kadayirippu, Kolenchery, Ernakulam – 682311, Kerala, India
Date of Birth/Age :	29.05.1964
Date of Appointment :	07.07.2006
Din No.:	00030332
Name :	Mr. Assaf Burstein
Designation :	Director
Address :	Ha-Egoze, ST 31, Asseret, Israel 31
Date of Birth/Age :	31.07.1964
Date of Appointment :	20.01.2010
Din No.:	03019590
Name :	Mr. Yuval levy
Designation :	Director
Address :	Moshav Udim – 42905, Israel
Date of Birth/Age :	04.11.1958
Date of Appointment :	20.01.2010
Din No.:	03037284
Name :	Mr. Erich Zirm
Designation :	Director
Address :	A-1030, Wien Strohgasse 31, Wien, 1030, Austria
Date of Birth/Age :	02.06.1960
Date of Appointment :	27.05.2007
Date of Ceasing :	20.01.2010
Din No.:	01740421

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 27.07.2010

Names of Shareholders	No. of Shares
Omega Flavour Technology Limited, Kerala	3614969
Synthite Industrial Chemicals Limited, Kerala	2957643
Christoph Langwallner	1
Erich Zirm	1
Varghese Jacob	1
Aju Jacob	1
P J Joseph	1
Total	6572617

List of Allottees (as on : 05.09.2011)

Names of Shareholders	No. of Shares
Synthite Industries Limited (Business), Kerala	3286308

AS ON 27.07.2010

Category	Percentage
Bodies corporate	99.99
Directors or relatives of Directors	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :

Engaged in the business of manufacturing and marketing of spice blends, Savoury flavours and seasonings

PRODUCTION STATUS (AS ON 31.03.2010)

· Installed capacity : 70 MTs per month/Shift

(As certified by the Managing Director on which reliance is placed by the auditor, being a

technical matter)

· Actual production : 643.78 MTs

GENERAL INFORMATION

Bankers :

State Bank Of India, Commercial Branch, 1^st Floor , Vankarath Towers, Byepass Junction, Padivattom, Cochin – 682024, Kerala, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Cash Credit from State Bank of India	20.435	23.036
(Secured by way of first charge on the Current Assets and movable Fixed Assets of the company and further guaranteed by the directors)
Packing Credit from State Bank of India	1.041	1.790
(Secured by way of first charge on the Current Assets and movable Fixed Assets of the company and further guaranteed by the directors)
Total	21.477	24.826

Banking Relations :	----
Auditors :
Name :	JVR and Associates Chartered Accountant
Address :	No. 39/3639, Valanjambalam Lane, South FO, South Overbridge, Kochi – 682016, Kerala, India
Pan No.:	AAFFJ2815H
Holding Company :	Omega Flavour Technology Limited CIN No.: U52201KL2005PLC018757
Associate Company :	Synthite Industrial Chemicals Limited

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5890705	Equity Shares	Rs.10/- each	Rs.58.907 Millions

AFTER 27.07.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
9858925	Equity Shares	Rs.10/- each	Rs.98.589 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		58.907	58.907	39.000
2] Share Application Money		6.819	3.701	14.756
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(55.097)	(43.409)	(26.757)
NETWORTH		10.629	19.199	26.999
LOAN FUNDS
1] Secured Loans		21.477	24.826	32.704
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		21.477	24.826	32.704
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		32.106	44.025	59.703
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		39.013	38.592	37.118
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	27.568	23.914	30.705
	Sundry Debtors	18.798	14.636	10.568
	Cash & Bank Balances	0.891	1.806	1.813
	Other Current Assets	2.712	4.663	4.129
	Loans & Advances	0.606	0.784	1.185
Total Current Assets		50.575	45.803	48.400
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	56.545	39.591	25.922
	Other Current Liabilities	0.635	0.418	0.165
	Provisions	0.381	0.380	0.151
Total Current Liabilities		57.561	40.389	26.238
Net Current Assets		(6.986)	5.414	22.162
MISCELLANEOUS EXPENSES		0.079	0.019	0.423
TOTAL		32.106	44.025	59.703

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	109.797	51.217	25.730
		Other Income	0.546	4.540	0.036
		TOTAL (A)	110.343	55.757	25.766
Less	EXPENSES
		Raw material Consumed	67.872	30.219	21.428
		Direct Expenses	13.413	10.602	8.168
		Employee Remuneration and Benefits	9.972	8.344	5.415
		Administrative expenses	6.775	6.992	6.555
		Foreign Exchange Rate Differences	0.334	(0.797)	0.156
		Selling Expenses	18.358	9.460	5.175
		Intangible Assets Amortized	2.029	1.671	1.419
		Fright Benefit tax	0.000	0.171	0.167
		Stock Differential	(2.478)	0.442	(4.983)
		TOTAL (B)	116.275	67.104	43.500
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(5.932)	(11.347)	(17.734)
Less	FINANCIAL EXPENSES (D)		3.855	3.478	2.421
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(9.787)	(14.825)	(20.155)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.901	1.827	1.465
	PROFIT BEFORE TAX (E-F) (G)		(11.688)	(16.652)	(21.620)
Less	TAX (I)		0.000	0.000	1.561
	PROFIT AFTER TAX (G-I) (J)		(11.688)	(16.652)	(23.181)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		43.409	26.757	3.575
	BALANCE CARRIED TO THE B/S		NA	43.409	26.757
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	32.223	18.261	10.983
	TOTAL EARNINGS		32.223	18.261	10.983
	IMPORTS
		Raw Materials	1.435	0.454	6.000
	TOTAL IMPORTS		1.435	0.454	6.000
	Earnings Per Share (Rs.)		(1.98)	(3.73)	(5.94)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(10.59)	(29.86)	(89.96)
Net Profit Margin (PBT/Sales)	(%)	(10.64)	(19.73)	(84.02)
Return on Total Assets (PBT/Total Assets}	(%)	(13.04)	(18.58)	(25.28)
Return on Investment (ROI) (PBT/Networth)		(1.09)	(0.86)	(0.80)
Debt Equity Ratio (Total Liability/Networth)		7.43	3.67	2.18
Current Ratio (Current Asset/Current Liability)		0.87	1.13	1.84

LOCAL AGENCY FURTHER INFORMATION

BACKGROUND

The company was incorporated on 07.07.2006 and is primarily engaged in the business of manufacturing and marketing of spice blends, Savoury flavours and seasonings.

OPERATIONS AND FINANCIAL RESULTS

During the year, the company achieved a turnover of Rs 109.797 millions which is a 114.37% growth as compared to the previous year. This remarkable growth has been achieved despite the unprecedented and the unexpected economic crisis that affected the entire world.

The operational loss for the year is Rs 11.688 millions as compared to Rs 16.652 millions for 2008-09. The operational loss has come down mainly because of the higher capacity utilization of 32.22% as against 13.82% of last year.

They expect the volumes and the capacity utilization to improve substantially in the next financial year. The outlook for the next financial year looks extremely promising on the domestic as well as the export front. Many projects that were initiated in the earlier years would come to fruition in the next financial year.

The Company is well poised to take advantage of the continued growth in the Foods and Snacks industry in the years ahead.

CONVERSION INTO PRIVATE LIMITED COMPANY

For operational convenience, the board decided to convert the company into a private limited company. The formalities are being completed.

Note :

The Registered office address of the company has been shifted from X/558, Kinfra Small Industries Park, Nellad P O, Kerala, India to Present address w.e.f. 30.04.2009.

CONTINGENT LIABILITIES NOT PROVIDED FOR

(Rs. In Millions )

Particulars	31.03.2010	31.03.2009
Guarantees issued by Banks	0.854	1.787

FORM : 8

Corporate identity number of the company	U51225KL2006PLC019598
Name of the company	SYMEGA SAVOURY TECHNOLOGY LIMITED
Address of the registered office or of the principal place of business in India of the company	Synthite Taste Park, No XI 312G, Pancode, Vadavucode – 682310, Kerala, INDIA
This form is for	Modification of charge
Type of charge	Book debts
Particular of charge holder	State Bank Of India, Commercial Branch, 1^st Floor , Vankarath Towers, Byepass Junction, Padivattom, Cochin – 682024, Kerala, India
Nature of instrument creating charge	Letter Of Arrangement Dated 26.05.2009
Date of instrument Creating the charge	26/05/2009
Amount secured by the charge	Rs. 60.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest For working capital, interest will be 2% above state bank advance rate with current effective rate being 14.25% p.a at monthly rests. Terms of repayment Repayable on demand. Margin On Raw material :25%, stock in process :25%, Finished Goods :25% ,Receivables : 25% , Bank Guarantee : 25% letter of credit : 25% Extent and operation of the charge The charge covers the whole of the current assets of the borrower namely stock of raw material, stock in process, semi-finished goods, stores and spare parts not relating to plant and machinery(consumable store and spares),bills receivables and book debts and all movables including plant and machinery, spares, tools and accessories whether installed or not ,both present and future. Other Nil
Short particulars of the property charged (Including location of the property)	The charge covers the whole of the current assets of the borrower namely stock of raw material, stock in process, semi-finished goods, stores and spare parts not relating to plant and machinery.
Date of instrument modifying the charge	12/03/2008
Particulars of the present modification	Change In The Limit From Rupees 100.000 millions To 60.000 millions.

FIXED ASSETS :

· R and D Equipments

· Plant and Machinery

· Electrical Fittings

· Office Equipments

· Computer Systems and Accessories

· Furniture and Fixtures

· Vehicle

· Computer Software

· Technical Knowhow

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. 46.17
UK Pound	1	Rs. 73.64
Euro	1	Rs. 64.95

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	--
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	--
--CREDIT LINES	1~10	--
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		15

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.