MIRA INFORM REPORT

Report Date :

09.04.2012

IDENTIFICATION DETAILS

Name :	SAGAR SCIENTIFIC WORKS INDIA PRIVATE LIMITED
Registered Office :	Plot No. 387, Sector – 8, IMT Manesar, Gurgaon – 122050, Haryanas
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	16.09.2010
Com. Reg. No.:	05-041231
Capital Investment / Paid-up Capital :	Rs.0.536 Million
CIN No.: [Company Identification No.]	U31500HR2010PTC041231
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Supplier, Exporter and Importer of Conveyors and Industrial Ovens.
No. of Employees :	70 (Approximately)

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 3000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a relatively new company having moderate track. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small to mediocre business dealings with some caution.

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. Jintendra
Designation :	Chief Executive Officer
Contact No.:	91-9718390002
Date :	19.03.2012

LOCATIONS

Registered Office/ Factory :	Plot No. 387, Sector -8, IMT Manesar, Gurgaon – 122050, Haryana, India
Tel. No.:	91-124-4263020 / 4363020
Mobile No.:	91-9718390002 (Mr. Jitender)
Fax No.:	91-124-4053020
E-Mail :	marketing@sswsagargroup.com sagarscientific@gmail.com casaurabhsingla@yahoo.com
Website :	http://www.sagarscientific.com http://www.sswsagargroup.com
Location :	Owned

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Vidya Sagar Kathuria

Designation :

Director

Address :

399/11, Jacub Pura, Gurgaon – 122001, Haryana, India

Date of Birth/Age :

31.05.1963

Qualification :

Graduate

Date of Appointment :

16.09.2010

DIN No.:

01516888

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	U17291DL2007PTC168581	PARUL FABRICATORS PRIVATE LIMITED	Director	24/09/2007	24/09/2007	Active	NO
2	U31500HR2010PTC041231	SAGAR SCIENTIFIC WORKS INDIA PRIVATE LIMITED	Director	16/09/2010	16/09/2010	Active	NO

Name :

Mrs. Anita Sagar

Designation :

Director

Address :

475/4, Ram Nagar, Gurgaon – 122001, Haryana, India

Date of Birth/Age :

20.11.1963

Qualification :

B. Com.

Date of Appointment :

16.09.2010

DIN No.:

03067591

KEY EXECUTIVES

Name :	Mr. Jintendra
Designation :	Chief Executive Officer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Vidya Sagar Kathuria	28064
Anita Sagar	25000

(AS ON 31.12.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Supplier, Exporter and Importer of Conveyors and Industrial Ovens.
Products :	· Industrial Ovens · Conveyorized Ovens · Infra-red Heating Systems · Booths · Material Handling Conveyors
Exports :
Products :	Conveyors and Industrial Ovens
Countries :	· Taiwan · US · Italy
Imports :
Products :	Raw Materials
Countries :	· Turkey · China · Italy
Terms :
Selling :	L/C
Purchasing :	L/C

GENERAL INFORMATION

Suppliers :

· G. K. Steel

Customers :

· Auto Mobile

· Elmech Industries

· Hero Motor Corporation

No. of Employees :

70 (Approximately)

Bankers :

· Indian Bank,

IMT Manesar Branch, GA, 4,5,7,8, Ground Floor, Raheja Square, IMT Manesar – 122050, Haryana, India

Facilities :

Secured Loans	31.03.2011 (Rs. In Millions)
Bank Overdraft	9.094
Term Loans	3.283
Car Ritz Loans	0.400
Total	12.777

Banking Relations :	--
Auditors :
Name :	Saurabh Singla and Associates Chartered Accountants
Address :	215, First Floor, Deep Plaza Complex, Opposite Diwstrict Court, Gurgaon – 122001, Haryana, India
Tel No.:	91-124-2305784
Mobile No.:	91-9312386820
Email :	casaurabhsingla@yahoo.com
PAN No.:	BQTPS5696C
Associates/Subsidiaries :	· Sagar Steels, Gurgaon · Parul Fabrications Private Limited, Delhi

CAPITAL STRUCTURE

(AS ON 31.12.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
70000	Equity Share	Rs.10/- each	Rs.0.700 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
53604	Equity Share	Rs.10/- each	Rs.0.536 Million

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
50000	Equity Share	Rs.10/- each	Rs.0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
53604	Equity Share	Rs.10/- each	Rs.0.536 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		0.536
2] Share Application Money		0.000
3] Reserves & Surplus		0.129
4] (Accumulated Losses)		0.000
NETWORTH		0.665
LOAN FUNDS
1] Secured Loans		12.777
2] Unsecured Loans		0.000
TOTAL BORROWING		12.777
DEFERRED TAX LIABILITIES		0.023
TOTAL		13.465
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5.291
Capital work-in-progress		0.000
INVESTMENT		0.203
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	9.795
	Sundry Debtors	7.606
	Cash & Bank Balances	0.803
	Other Current Assets	0.000
	Loans & Advances	1.823
Total Current Assets		20.027
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	8.249
	Other Current Liabilities	3.796
	Provisions	0.035
Total Current Liabilities		12.080
Net Current Assets		7.947
MISCELLANEOUS EXPENSES		0.024
TOTAL		13.465

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2011
	PROFIT BEFORE TAX	0.187
Less	TAX	0.058
	PROFIT AFTER TAX	0.129
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	0.000
	BALANCE CARRIED TO THE B/S	0.129
	Earnings Per Share (Rs.)	2.41

Expected Sales (2011-12): Rs.80.000 Millions

The above information has been parted by Mr. Jitendra.

KEY RATIOS

PARTICULARS		31.03.2011
Return on Total Assets (PBT/Total Assets}	(%)	0.74
Return on Investment (ROI) (PBT/Networth)		0.28
Debt Equity Ratio (Total Liability/Networth)		37.38
Current Ratio (Current Asset/Current Liability)		1.66

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	No
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	Yes
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	No
Profitability for last one years	Yes
Reasons for variation <> 20%	-----
Estimation for coming financial year	Yes
Capital in the business	Yes
Details of sister concerns	Yes
Major Suppliers	Yes
Major Customers	Yes
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	-----
Litigations that the firm/ Promoters Involved in	-----
Banking details	Yes
Banking Facility Details	Yes
Conduct of the Banking Account	-----
Buyer visit details	-----
Financials, if provided	Yes
Incorporation details is applicable	Yes
Last Accounts filed at ROC	Yes
Major Shareholders, if available	Yes

OPERATING RESULTS

The company registered a total operating profit of Rs.0.187 Millions.

TRADE REFERENCE:

· G K Steel

· Elmech Industries

· Hero Motor Corporation

FORM 8:

Corporate identity number of the company	U31500HR2010PTC041231
Name of the company	SAGAR SCIENTIFIC WORKS INDIA PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No. 387, Sector-8, IMT Manesar – 122050, Haryana, India casaurabhsingla@yahoo.com
This form is for	Creation of charge
Type of charge	Immovable Property Book Debts Movable Property Others: Stock, Book Debts and Plant and Machinery
Particular of charge holder	Indian Bank IMT Manesar Branch, GA,4,5,7,8, Ground Floor, Raheja Square, IMT Manesar – 122050, Haryana, India imtmanesar@indianbank.co.in
Nature of description of the instrument creating or modifying the charge	D-101 Hypothecation of Movables, D105 Agreement for Open Cash Credit, D36 Mediam Term Loan Agreement
Date of instrument Creating the charge	30/05/2011
Amount secured by the charge	Rs.16.800 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per sanction terms Terms of Repayment As per sanction terms and bank norms MTL-I 60 EMI w.e.f may 2010 and interest as and when debited MTL-II 60 monthly installments of Rs.55000/- pm plus interest as and when debited Margin Margin 25% Extent and Operation of the charge First Charge by way of hypothecation of stocks and receivables, machineries present and future and EM of factory L and B at Plot No.387, Sector-8 IMT Manesar (Gurgaon in the name of M/s Sagar Steel Corporation, Proprietor Mr. Vidyasagar is to Secure the following credit facilities: secured OD Rs.9.000 Millions MTL-I Rs.4.500 Millions and MTL-II Rs.3.300 Millions Total Rs.16.800 Millions
Short particulars of the property charged	First Charge by way of hypothecation of stocks and receivables, machineries present and future and EM of Factory L and B at Plot No.387, Sector-8 IMT Manesar Gurgaon in the name of M/s Sagar Steel Corporation, Proprietor Mr. Vidyasagar

FIXED ASSETS:

· Furniture and Fixtures

· Computers

· Plant and Machinery

· Vehicles

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.51.05
UK Pound	1	Rs.81.09
Euro	1	Rs.67.39

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
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	4
--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	YES
--AFFILIATION	YES/NO	YES
--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.