MIRA INFORM REPORT

Report Date :

27.08.2012

IDENTIFICATION DETAILS

Name :	SOVIKA CHEMICALS PRIVATE LIMITED
Registered Office :	B/2, Parekh Mahal, 80 Veer Nariman Road, , Mumbai 400020, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	12.09.1980
Com. Reg. No.:	11-023118
Capital Investment / Paid-up Capital :	Rs. 2.000 millions
CIN No.: [Company Identification No.]	U24100MH1980PTC023118
TAN No.: [Tax Deduction & Collection Account No.]	MUM536884B
PAN No.: [Permanent Account No.]	AAACS5390N
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Dealer of Chemicals
No. of Employees :	16 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 360000
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	A1	A1

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

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ 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.

INFORMATION PARTED BY

Name :	Mr. Harshad
Designation :	Accounts Manager
Contact No.:	91-9867411139
Date :	25.08.2012

LOCATIONS

Registered Office :	B/2, Parekh Mahal, 80 Veer Nariman Road, Churchgate, Mumbai 400020, Maharashtra, India
Tel. No.:	91-22-22048200 / 42120333 / 22883332
Mobile No.:	91-9867411139 (Mr. Harshad)
Fax No.:	91-22-22028198 / 22028198
E-Mail :	harshad@sovikagroup.com skdesai@sovika.com chemicals@sovika.com roc@pcghadiali.com info@sovikagroup.com
Website :	www.sovikagroup.com www.sovika.com
Area :	300 Sq. ft.
Location :	Owned
Corporate Office :	A – 607, Dynasty Business Park, Andheri – Kurla Road, J. B. Nagar, Andheri (East), Mumbai – 400 057, India
Tel. No.:	91-22-4294 4444
Fax No.:	91-22-4294 4400
Branch:	They have one more office in same premises on ground floor.
Area :	300 Sq. ft.
Location :	Owned

DIRECTORS

As on 29.09.2011

Name :	Mr. Shirish Khusalchand Desai
Designation :	Director
Address :	204, Miramar Co-Operative Housing Society, V.S. Marg, Prabhadevi, Mumbai-400028, Maharashtra, India
Date of Birth/Age :	18.09.1956
Date of Appointment :	23.10.1984
DIN No.:	00343177
PAN No.:	AAEPD9732E
Name :	Mrs. Sudha Sohan Mehta
Designation :	Director
Address :	23, New Blue Gardenia, Peddar Road, Mumbai-400026, Maharashtra, India
Date of Birth/Age :	19.04.1952
Date of Appointment :	12.09.1980
DIN No.:	01181735
Name :	Mr. Solan Chotalal Mehta
Designation :	Managing Director
Address :	23, New Blue Gardenia, Peddar Road, Mumbai-400026, Maharashtra, India
Date of Birth/Age :	06.03.1951
Date of Appointment :	12.09.1980
DIN No.:	01140609
PAN No.:	AADPM0376L
Name :	Mr. Sahil Sohan Mehta
Designation :	Director
Address :	23, New Blue Gardenia, Peddar Road, Mumbai-400026, Maharashtra, India
Date of Birth/Age :	07.09.1976
Date of Appointment :	20.04.1994
DIN No.:	00348720
PAN No.:	AACPM4366K

KEY EXECUTIVES

Name :	Mr. Harshad
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2011

Names of Shareholders	No. of Shares
Sahil S Mehta	2701
Hiraben C Mehta	4150
Shirish Khushalchand Desai	1244
Sohan Chhotalal Mehta	4505
Sudha S. Mehta	5550
Mansi S Mehta	1450
Sohan Chhotalal Mehta HUF	400
Total	20000

As on 29.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Dealer of Chemicals
Terms :
Selling :	Cash / Credit
Purchasing :	Cash / Credit

GENERAL INFORMATION

Suppliers :

· Hindustan Unilever Limited

· Colgate Palmolive

· NOCIL

Customers :

End Users

· Gujarat Alkalie and Chemicals Limited

No. of Employees :

16 (Approximately)

Bankers :

· Union Bank of India, Mayani Manor, Sir M V Road, Andheri (East), Mumbai 400069, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Working Capital Loans	24.896	32.772
Loans taken for fixed assets	3.560	5.844
Total	28.456	38.616
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Loans directors	7.887	11.687
Other debt	11.550	11.550
Total	19.437	23.237

Banking Relations :	--
Auditors :
Name :	P.C. Ghadiali and Company Chartered Accountants
Address :	206 Arun Chambers, Tardeo Main Road, Mumbai 400034, Maharashtra, India
Tel. No.:	91-22-43335000
E-Mail :	pankaj@pcghadiali.com
PAN No.:	AAAFG2737J
Associates/Subsidiaries :	Sovika Aviation Services Private Limited [CIN No.: U74910MH2007PTC175582] Sovika Airlines Services Private Limited [CIN No.: U62200MH1992PLC069455 ] Aircrew Technology Services Private Limited [CIN No.: U74220MH1994PTC083622 ] Hott Heads Style Private Limited Poona Fine Chem Private Limited [CIN No.: U24112MH2003PTC142576] Sahil Real Estate Services Private Limited [CIN No.: U70101MH1994PTC084149]

CAPITAL STRUCTURE

As on 29.09.2011

Authorized Capital:

No. of Shares	Type	Value	Amount
25000	Equity Shares	Rs. 100/- each	Rs. 2.500 millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
20000	Equity Shares	Rs. 100/- each	Rs. 2.000 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		2.000	2.000	2.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		89.957	78.080	64.028
4] (Accumulated Losses)		0.00	0.000	0.000
NETWORTH		91.957	80.080	66.028
LOAN FUNDS
1] Secured Loans		28.456	38.616	36.476
2] Unsecured Loans		19.437	23.237	0.287
TOTAL BORROWING		47.893	61.853	36.763
DEFERRED TAX LIABILITIES		0.108	0.159	0.185
TOTAL		139.958	142.092	102.976
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		19.460	11.619	6.188
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		15.143	15.142	23.598
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	8.763	7.510	9.331
	Sundry Debtors	198.041	167.957	247.451
	Cash & Bank Balances	24.184	36.517	65.582
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	104.668	118.542	83.531
Total Current Assets		335.656	330.526	405.895
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	198.124	189.178	310.797
	Other Current Liabilities	0.000	0.000	0.851
	Provisions	32.177	26.017	21.057
Total Current Liabilities		230.301	215.195	332.705
Net Current Assets		105.355	115.331	73.190
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		139.958	142.092	102.976

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income
		Other Income
		TOTAL	NA	1121.848	1689.305
Less	EXPENSES
		Office Expenses
		Administrative Expenses		1102.863	1666.479
		Advertising Expenses
		TOTAL	NA	1102.863	1666.479
	PROFIT BEFORE TAX		17.986	18.985	22.826
Less	TAX		6.109	4.924	8.011
	PROFIT AFTER TAX		11.877	14.061	14.815
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		79.080	64.019	49.204
	BALANCE CARRIED TO THE B/S		89.957	78.080	64.019
	Earnings Per Share (Rs.)		593.84	703.05	740.76

Particulars	31.03.2012	31.03.2011
Sales Turnover (Approximately)	1320.000	1050.000

Expected Sales ( 2012-13 ) : Rs. 1400.000 millions

The above information has been parted by Mr. Harshad.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	1.25	0.88
Return on Total Assets (PBT/Total Assets}	(%)	5.06	5.55	5.54
Return on Investment (ROI) (PBT/Networth)		0.19	0.23	0.35
Debt Equity Ratio (Total Liability/Networth)		3.02	3.46	5.60
Current Ratio (Current Asset/Current Liability)		1.45	1.54	1.22

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	Yes
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	No
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]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

Bankers Charges Report as per Registry

Corporate identity number of the company	U24100MH1980PTC023118
Name of the company	SOVIKA CHEMICALS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	B/2, Parekh Mahal, 80 Veer Nariman Road, , Mumbai 400020, Maharashtra, India e-mail: roc@pcghadiali.com
This form is for	Creation of charge
Type of charge	Immovable Property
Particular of charge holder	Union Bank of India, Mayani Manor, Sri. M V Road, Andheri (East), Mumbai 400069, Maharashtra, India e-mail: cbsandheri@unionbankofindia.com
Nature of instrument creating charge	Extension of Equitable Mortgage
Date of instrument Creating the charge	02.07.2010
Amount secured by the charge	Rs. 57.500 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Together with interest compound interest additional interest in case of default exchange fluctuations costs charges expenses etc for facilities granted to Sovika Aviation Services Private Limited Terms of Repayment Cash credit (Hypothecation) Book-Debts and Letter of Guarantee on Demand and Term Loan in installments for facilities granted to Sovika Aviation Services Private Limited Margin As per sanction terms for facilities granted to Sovika Aviation Services Private Limited Extent and Operation of the charge To secure various facilities aggregating to Rs.57.500 Millions granted by the Bank to Sovika Aviation Services Private Limited as under :- 1. Bank Guarantee Rs.40.000 Millions 2. Term Loan Rs.15.000 Millions 3. Cash Credit (Hypothecation) Rs.2.500 Millions Total Aggregating Rs.57.500 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Extension/Creation of Equitable Mortgage by Deposit of Title Deeds in respect of Company's Immovable Property viz All that Industrial/Office Premises admeasuring about 1915 Sq. ft built up on the 2nd Floor of the building known as "Gurunanak Industrial Estate" situated on Andheri Kurla Road, Safed Pool At Village Mohil Taluka Kurla bearing Revenue Survey No.17 Hissa No.4 Mumbai 400072

TRADE REFERENCES:

· Gujarat Alkalie and Chemicals Limited

· Hindustan Unilever Limited

FIXED ASSETS:

• Office Building
• Tanker Lorries
• Air Conditioner
• Office Equipment
• Furniture and Fixtures
• Computer
• Electrical Installation
• Refrigerator
• Fax Machine
• Motor Car

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.55.38
UK Pound	1	Rs.87.79
Euro	1	Rs.69.47

INFORMATION DETAILS

Information Gathered by :	PJA
Report Prepared by :	NID

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	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		46

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.