MIRA INFORM REPORT

Report Date :

01.08.2012

IDENTIFICATION DETAILS

Name :	ROTOMAG MOTORS AND CONTROLS PRIVATE LIMITED

Registered Office :	GIDC Estate, Vithal Udyog Nagar, Udhyognagar-388121, Gujarat.

Country :	India

Financials (as on) :	31.03.2011

Date of Incorporation :	24.08.1993

Com. Reg. No.:	04-020063

Capital Investment / Paid-up Capital :	Rs. 23.242 Millions

CIN No.: [Company Identification No.]	U34100GJ1993PTC020063

TAN No.: [Tax Deduction & Collection Account No.]	BRDR00897B

PAN No.: [Permanent Account No.]	AAACR9061K

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer of permanent magnet dc motor.

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 380000

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 – June 30, 2012

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	SE 2B
Rating Explanation	High performance capability and moderate financial strength
Date	30.11.2011

RBI DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office :	GIDC Estate, Vithal Udyog Nagar, Udhyognagar-388121, Gujarat, India.
Tel. No.:	91-2692-236005/236409
Fax No.:	91-2692-235209
E-Mail :	mail@rotomag.com
Website :	http://www.rotomag.com

DIRECTORS

AS ON 30.09.2011

Name :	Mr. Umesh Mohanbhai Balani
Designation :	Director
Address :	Priya Bunglow, Opposite M.B. Patel College, Nana Bazar, Vallabh Vidhyanagar-388120, Anand, Gujarat, India.
Date of Birth/Age :	19.07.1967
Date of Appointment :	24.08.1993
DIN No.:	00273387

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U34100GJ1993PTC020063	ROTOMAG MOTORS AND CONTROLS PRIVATE LIMITED	Director	24/08/1993	24/08/1993	Active	NO
2	U31103GJ2006PLC048638	ROTOMOTIVE POWERDRIVES INDIA LIMITED	Director	06/07/2006	06/07/2006	Active	NO

Name :	Mrs. Kamlaben Mohanbhai Balani
Designation :	Director
Address :	Priya Bunglow, Opposite M.B. Patel College, Nana Bazar, Vallabh Vidhyanagar-388120, Anand, Gujarat, India.
Date of Birth/Age :	31.08.1940
Date of Appointment :	15.08.2003
DIN No.:	00451878

Name :	Ms. Neelam Umesh Balani
Designation :	Director
Address :	Priya Bunglow, Opposite M.B. Patel College, Nana Bazar, Vallabh Vidhyanagar-388120, Anand, Gujarat, India.
Date of Birth/Age :	21.02.1966
Date of Appointment :	01.07.2008
DIN No.:	02260056

Name :	Mr. Chandrashekhar Dattatray Vaidya
Designation :	Director
Address :	Flat No. 2, Soordas Society, 424/44, TMV Colony, Pune-411037, Maharashtra, India.
Date of Birth/Age :	07.12.1960
Date of Appointment :	01.07.2008
DIN No.:	00273741

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U31103GJ2006PLC048638	ROTOMOTIVE POWERDRIVES INDIA LIMITED	Director	06/07/2006	06/07/2006	Active	NO
2	U34100GJ1993PTC020063	ROTOMAG MOTORS AND CONTROLS PRIVATE LIMITED	Director	30/09/2008	01/07/2008	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Umesh Mohanbhai Balani	1241760
Kamlaben Mohanbhai Balani	239420
Priya Mohanbhai Balani	274183
Tushar Harshadbhai Patel	77700
Aparna Tushar Patel	20
Neelam Umesh Balani	250616
Niranjan Nanikram Balani	4
Pooja Tushar Balani	80163
Siddharth Balani	80165
Anjali Umesh Balani	80165
TOTAL	2324196

AS ON 05.11.2011

Names of Allottees	No. of Shares
Umesh Mohanbhai Balani	200000
Neelam Umesh Balani	100000
TOTAL	300000

AS ON 30.09.2011

Equity Shares Break Up	Percentage of Holding
Directors or relatives of Directors	100.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of permanent magnet dc motor.

PRODUCTION STATUS (AS ON : 31.03.2010)

Particulars	Unit	Actual Production
Electric Motor	Nos.	23366
Parts of Electric Motor	Nos.	17441
D.C. Cen Pump	Nos.	47
Parts of D.C. Cen Pump	Nos.	207

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Bank of Baroda, Nana Bazar, Opposite Nalini College, Vallabh Vidyanagar-388120, Gujarat, India.
HDFC Bank Limited
Axis Bank

Facilities :

Secured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Bank of Baroda A/C	25.322	15.535
Bank of Baroda OD	18.147	9.421
Bank of Baroda TL- Bldg A/C No 00027	1.500	3.203
Bank of Baroda TL- Bldg A/C No 00843	1.240	2.065
Bank of Baroda TL- Bldg A/C No 1740	9.611	0.000
Bank of Baroda TL- MACH A/C No 00028	0.000	2.874
Bank of Baroda TL- MACH A/C No 1406	2.241	3.651
HDFC Bank (Car Loan Desire)	0.083	0.264
HDFC Bank (Car Loan M-800) (B.D.)	0.000	0.067

TOTAL	58.144	37.080

Unsecured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
From Directors	0.000	1.062
From Shareholders	0.093	0.000

TOTAL	0.093	1.062


Banking Relations :	--

Auditors :
Name :	Kran Patel and Company Chartered Accountant
Address :	3-4, Rangoli Complex, 2^nd Floor, Anand-V, V Nagar Road, Anand-388001, Gujarat, India
PAN No.:	AACFK7514M

Related Parties :	Rotomotive Power Drives India Limited

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount

2500000	Equity Shares	Rs.10/- each	Rs. 25.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

2324196	Equity Shares	Rs.10/- each	Rs. 23.242 Millions

AS ON 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount

2700000	Equity Shares	Rs.10/- each	Rs. 27.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

2624196	Equity Shares	Rs.10/- each	Rs. 26.242 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		23.242	21.241	15.587
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		74.234	54.877	43.254
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		97.476	76.118	58.841
LOAN FUNDS
1] Secured Loans		58.144	37.080	34.565
2] Unsecured Loans		0.093	1.062	2.830
TOTAL BORROWING		58.237	38.142	37.395
DEFERRED TAX LIABILITIES		0.388	0.179	0.294

TOTAL		156.101	114.439	96.530

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		49.929	37.789	35.622
Capital work-in-progress		0.000	0.000	0.000

INVESTMENT		42.097	37.398	35.707
DEFERREX TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	9.800	6.686	8.134
	Sundry Debtors	45.689	28.414	22.584
	Cash & Bank Balances	1.304	18.759	3.755
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	62.818	19.286	21.821
Total Current Assets		119.611	73.145	56.294
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	38.214	27.197	22.067
	Other Current Liabilities	5.764	4.194	5.732
	Provisions	11.558	2.502	3.294
Total Current Liabilities		55.536	33.893	31.093
Net Current Assets		64.075	39.252	25.201

MISCELLANEOUS EXPENSES		0.000	0.000	0.000

TOTAL		156.101	114.439	96.530

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	222.735	NA	101.446
		Other Income
		TOTAL	222.735	NA	101.446

Less	EXPENSES
		Office Expenses	187.999	NA	89.604
		Administrative Expenses
		Advertising Expenses
		TOTAL	187.999	NA	89.604

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		34.736	22.417	11.842

Less/ Add	DEPRECIATION/ AMORTISATION		5.372	4.892	4.913

	PROFIT BEFORE TAX		29.364	17.525	6.929

Less	TAX		10.007	5.435	1.998

	PROFIT AFTER TAX		19.357	12.090	4.931

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		54.877	43.254	38.323

	BALANCE CARRIED TO THE B/S		74.234	55.344	43.254

	IMPORTS
		Raw Materials and Parts	NA	11.347	8.736
	TOTAL IMPORTS		NA	11.347	8.736

	Earnings Per Share (Rs.)		12.42	7.76	3.16

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	8.69	NA	4.86

Return on Total Assets (PBT/Total Assets}	(%)	17.32	15.80	7.54

Return on Investment (ROI) (PBT/Networth)		0.30	0.23	0.12

Debt Equity Ratio (Total Liability/Networth)		1.17	0.95	1.17

Current Ratio (Current Asset/Current Liability)		2.15	2.16	1.81

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	-----
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	Yes
21]	Market information	-----
22]	Litigations that the firm / promoter involved in	-----
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----
26]	Buyer visit details	----
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	PAN of Proprietor/Partner/Director, if available	No
32]	Passport No of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No

FORM 8

Corporate identity number of the company	U34100GJ1993PTC020063
Name of the company	ROTOMAG MOTORS AND CONTROLS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	GIDC Estate, Vithal Udyog Nagar, Udhyognagar-388121, Gujarat, India.
This form is for	Modification of charge
Charge identification number of the charge to be modified	90096752
Type of charge	· Immovable property
Particular of charge holder	Bank of Baroda, Nana Bazar, Opposite Nalini College, Vallabh Vidyanagar-388120, Gujarat, India.
Nature of instrument creating charge	Instrument of Extension Relating to Deposit of Title Deeds
Date of instrument Creating the charge	26.02.2011
Amount secured by the charge	Rs. 116.100 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest N. A. Terms of repayment N. A. Margin N. A. Extent and operation of the charge The charge shall operate at the first charge over the properties mentioned in the agreement to secure the total loan facility granted by bank to the company together with interest, cost and charges.
Short particulars of the property charged (Including location of the property)	Factory shed and office premises at Plot No. 2102/3 and 2102/4 of village Mogri, Taluka Anand located at V.U. Nagar Industrial Area admeasuring 4155 sq. Mtrs or there about. Factory shed and office premises at lease hold right Plot No. C1-4 admj. 2889.60 sq. mtr. in R.S. No. 758/p and 765/p and 751/p of village Karamsad Taluka and District Anand. The properties at i and ii above shall also include construction thereon and plant and Machinery attached to the earth both present and future.
Whether any of the property or interest therein under reference is not registered in the name of the company.	Yes
If yes, in whose name it is registers	The property located at plot no.10-6 containing Shed no. C1-5 bearing R.S. No. 765-p and 750-p stand in the name of Land Mark Engineering Company
Date of instrument modifying the charge	30.09.2009
Particulars of the present modification	The charge extend to secure the increased loan facility of Rs. 64.400 Millions, making total of Rs. 116.100 Millions granted to the Company.

FIXED ASSETS

Factory Shed
Plant and Machinery
Instruments and Tools
Office Equipments
Vehicles
Land
Furniture and Fixtures
Computer Software

AS PER WEBSITE DETAILS:

History:

1966

Two young engineers Mohan Balani and Gurmukh Khatri decided to start an enterprise for making monoblock pumps for irrigation. They left their jobs in Mumbai and reached Anand in Gujarat on 15th August, 1966, to start a pump manufacturing unit.

Anand was a small dusty town, made famous by Dr. Kurien through his efforts at setting up AMUL. They named their company, `Hi-Eff Pumps’ and this brand soon became popular all over India.

1975

Hi-Eff pumps tied up with big Indian companies like Ralliwolf and NGEF to make special pumps and equipment for defence and agricultural applications. It started marketing its pumps all over India and was recognized amongst the top five pump brands in India. The partnership spilt up in 1987 and Mohan Balani became the sole owner of the company.

1992

With growing competition and availability of very low cost pumps for agricultural applications, the sales of Hi-Eff pumps started declining. In July 1992, Mr. Balani, met with a serious car accident which turned him into a total paraplegic and he was confined to a life in the wheel-chair. However, with the support of his family, he returned to an active working life in 1993. He shut down Hi-Eff pumps and started a new venture to manufacture PMDC Motors. Rotomag was incorporated in August 1993.

1998

Rotomag was the first PMDC motor company in India to be awarded ISO 9001 certification. Product development team was formed to develop custom motors and reducers. Rotomag also developed motors and pumps for the Solar photovoltaic applications and was amongst the few companies in the world to manufacture Solar pumps till 3 HP. Rotomag was chosen by the Indian Ministry of Non-conventional Energy Sources for deployment of solar photovoltaic pumping in rural India.

2003

Their founder Mr. Mohan Balani passed away in 2003 but his legacy and vision of making Rotomag a globally recognized, quality driven company continues to guide all of us at Rotomag.

They decided to set up our second plant in 2003 with latest processes to cater to our global customers. Additional capacity, new equipment and improved processes are being continuously added to this new plant.

2006

Rotomag forms a joint venture with Motive Srl, Italy to manufacture AC motors and gearboxes in India.

2009

Launch of new range of motors for floor care and hydraulic powerpacks. UL approval of PMDC motors (M series).

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. 55.80
UK Pound	1	Rs. 87.66
Euro	1	Rs. 68.45

INFORMATION DETAILS

Report Prepared by :

DPT

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	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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		45

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.

MIRA INFORM REPORT

9.800

45.689

1.304

0.000

62.818

119.611

38.214

5.764

11.558

55.536

64.075

8.69

17.32

0.30

1.17

2.15

Unit