MIRA INFORM REPORT

Report Date :

21.12.2012

IDENTIFICATION DETAILS

Name :	AMSAL-CHEM PRIVATE LIMITED
Registered Office :	A-1/401, 402, 403, GIDC, Ankleshwar Industrial Estate, Ankleshwar Bharuch -393002, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	15.09.1992
Com. Reg. No.:	04-018289
Capital Investment / Paid-up Capital :	Rs.15.000 Millions
CIN No.: [Company Identification No.]	U24231GJ1992PTC018289
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Active Pharma Ingredients, Intermediates, Nutraceuticals.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (31)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 380000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The profitability appears to be low. There appear huge external borrowings recorded by the company. However, trade relations are reported as fair. Business is active. Payment terms are reported as slow but correct. The company can be considered for business dealings with some caution. The Profit and Loss account of the company for the year 2011 and 2010 is not available.

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

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	BB (Long Term Rating)
Rating Explanation	Moderate risk of default.
Date	03.07.2012

Rating Agency Name	CRISIL
Rating	A4+ (Short Term Rating)
Rating Explanation	Minimal degree of safety and very high degree of safety.
Date	03.07.2012

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.

LOCATIONS

Registered Office / Factory :	A-1/401, 402, 403, GIDC, Ankleshwar Industrial Estate, Ankleshwar Bharuch -393002, Gujarat, India
Tel. No.:	91-2646-222062
Fax No.:	91-2646-251930
E-Mail :	sales@amsal.com viren@amsal.com
Website :	www.amsal.com
Corporate Office :	Kakad House, ‘B’ Wing, 4^th Floor, 11 Barrack Road, Bombay Hospital Avenue, Mumbai-400020, Maharashtra, India.
Tel. No.:	91-22-22050500
Fax No.:	91-22-22081390
E-Mail :	sales@amsal.com

DIRECTORS

As on: 22.09.2011

Name :

Mr. Suketu M. Majithia

Designation :

Director

Address :

7 Laburnum Road, Madhuban 2^nd Floor, Mumbai - 400007, Maharashtra, India.

Date of Birth/Age :

02.06.1965

Date of Appointment :

15.09.1992

DIN No.:

00274004

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	Date of cessation	Company/ LLP Status	Defaulting status
1	U45200MH1981PTC024427	M M BUILDERS PRIVATE LIMITED	Director	01/08/1983	01/08/1983	-	Active	NO
2	U24231GJ1992PTC018289	AMSAL-CHEM PRIVATE LIMITED	Director	15/09/1992	15/09/1992	-	Active	NO
3	U70100MH1980PTC023434	TRIUMPH BUILDERS PRIVATE LIMITED	Director	29/03/2005	29/03/2005	31/08/2007	Active	NO

Name :

Mr. Subhash L. Majithia

Designation :

Director

Address :

27-E, Rangnekar Marg, Gomatibhuvan, 2^nd Floor, Chowpatty, Mumbai - 400007, Maharashtra, India.

Date of Birth/Age :

03.06.1967

Date of Appointment :

15.09.1992

DIN No.:

00273960

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	Date of cessation	Company/ LLP Status	Defaulting status
1	U45200MH1981PTC024427	M M BUILDERS PRIVATE LIMITED	Director	06/03/1986	06/03/1986	-	Active	NO
2	U24231GJ1992PTC018289	AMSAL-CHEM PRIVATE LIMITED	Director	15/09/1992	15/09/1992	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 22.09.2011

Names of Shareholders	No. of Shares
Laxmiben M. Majithia	15000
Suketu M. Majithia	53850
Heena S. Majithia	4875
Aman S Majithia	1125
Laxmidas N.Majithia	19725
Lalitaben L Majithia	18000
Subhash L Majithia	18975
Sunali L Majithia	18000
Suketu Mathuradas HUF	150
Laxmidas Narandas HUF	150
Subhash Laxmidas HUF	150
Total	150000

Equity Share Break up (Percentage of Total Equity)

As on: 22.09.2011

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Active Pharma Ingredients, Intermediates, Nutraceuticals.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• State Bank of India, Industrial Estate Branch, GIDC Estate, Ankleshwar - 393002, Gujarat, India
• Kotak Mahindra Bank Limited
• HDFC Bank Limited

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Cash Credit
State Bank of India, Ankleshwar Industrial Branch	69.878	64.471
(secured by hypothecation of raw materials, finished and semi finished goods, stores and book debts and personal guarantee of directors and the equitable mortgage of Factory Shed Nos, a 1/401,402 and 403 and pledge of Rs.10.100 Millions share of promoters)	0.000	0.038
Term Loan
State Bank of India (secured by hypothecation of machinery and personal guarantee of directors)	0.000	1.960
State Bank of India (secured by hypothecation of WTG and personal guarantee of directors)	21.150	26.550
HDFC Bank Limited (Car Loan)	0.00	0.145
Total	91.028	93.164
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Directors	10.659	20.327
Shareholder	58.920	53.864
Others	10.498	9.872
Total	80.077	84.063

Banking Relations :	--
Auditors :
Name :	Sharad P Gokani Chartered Accountants
Address :	Satya Vijay, 1^st Floor, 260, Bazargate Street, Fort, Mumbai - 400001, Maharashtra, India
Tel. No.:	91-22-22612976
Fax No.:	91-22-22622535
PAN No.:	AABPC9603L
Associate Concern :	M.M. Builders Private Limited Lasma international

CAPITAL STRUCTURE

As on: 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	Equity Shares	Rs.100/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.100/- each	Rs.15.000 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		15.000	15.000	15.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		82.143	82.670	69.084
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		97.143	97.670	84.084
LOAN FUNDS
1] Secured Loans		91.028	93.164	109.967
2] Unsecured Loans		80.077	84.063	77.199
TOTAL BORROWING		171.105	177.227	187.166
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		268.248	274.897	271.250
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		121.126	126.522	129.249
Capital work-in-progress		1.047	0.000	0.000
INVESTMENT		1.096	1.096	1.128
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	90.820	96.566	83.244
	Sundry Debtors	71.860	80.860	93.896
	Cash & Bank Balances	18.369	17.060	17.264
	Other Current Assets	3.733	2.640	2.636
	Loans & Advances	11.297	16.006	16.279
Total Current Assets		196.079	213.132	213.319
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	49.250	64.428	67.701
	Other Current Liabilities
	Provisions	1.850	1.425	4.745
Total Current Liabilities		51.100	65.853	72.446
Net Current Assets		144.979	147.279	140.873
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		268.248	274.897	271.250

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income			436.749
		Other Income			0.422
		TOTAL (A)			437.171
Less	EXPENSES
		Raw material consumed			267.636
		Manufacturing, staff, selling and operating expenses			106.517
		TOTAL (B)			374.153
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)				63.018
Less	FINANCIAL EXPENSES (D)				24.276
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		NA	NA	38.742
Less/ Add	DEPRECIATION/ AMORTISATION (F)				12.863
	PROFIT BEFORE TAX (E-F) (G)				25.879
Less	TAX (H)				4.745
	PROFIT AFTER TAX (G-H) (I)				21.134
Less	INCOME TAX TAXATION OF EARLIER YEAR				0.101
Less	APPROPRIATIONS
		Transferred to reserve and surplus			20.000
	BALANCE CARRIED TO THE B/S				1.033
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	160.542	200.972	137.949
	TOTAL EARNINGS		160.542	200.972	137.949
	IMPORTS
		Raw Materials	180.003	210.785	124.709
	TOTAL IMPORTS		180.003	210.785	124.709
	Earnings Per Share (Rs.)		NA	NA	140.89

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	NA	4.83
Net Profit Margin (PBT/Sales)	(%)	NA	NA	5.93
Return on Total Assets (PBT/Total Assets}	(%)	NA	NA	7.55
Return on Investment (ROI) (PBT/Networth)		NA	NA	0.31
Debt Equity Ratio (Total Liability/Networth)		2.29	2.49	3.09
Current Ratio (Current Asset/Current Liability)		3.84	3.24	2.94

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)	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	No
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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

CONTINGENT LIABILITIES:

(Rs. In Millions)

Particular	31.03.2011	31.03.2010
Taxes (including interest) that may arise in respect of which the Company is in appeal / the Income Tax Department is in appeal	0.330	0.330

Bankers Charges Report as per Registry

Corporate identity number (CIN) or foreign company registration number of the company	U24231GJ1992PTC018289
Name of the company	AMSAL-CHEM PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	A-1/401, 402, 403, GIDC, Ankleshwar Industrial Estate, Ankleshwar Bharuch -393002, Gujarat, India E-mail: viren@amsal.com
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	State Bank of India, Industrial Estate Branch, GIDC Estate, Ankleshwar - 393002, Gujarat, India E-mail: vikash.yadav@sbi.co.in
Nature of instrument creating charge	Form C-2: Agreement of Hypothecation of Goods and Assets
Date of instrument Creating the charge	15.02.2012
Amount secured by the charge	Rs.9.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 5.00% over SBBR. Present effective rate is 15.00%. SBBR is 10% Terms of Repayment The new Term loan is to be repaid in 36 equal instalments of Rs.0.250 Million commencing from February, 2012. Interest to be repaid as and when applied in the account Margin New Term Loan - 27.42% Extent and Operation of the charge Hypothecation charge over assets purchased out of bank finance and lying installed or situate at Plot No.A1/401, 402 and 403 GIDC Industrial Estate, Ankleshwar or anywhere else.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation charge over assets purchased out of bank finance and lying installed or situate at Plot No.A1/401, 402 and 403 GIDC Industrial Estate, Ankleshwar or anywhere else.

FIXED ASSETS:

• Lease Hold Land
• Factory Buildings
• Machineries
• Furniture and Fixtures
• Office Equipments
• Vehicles
• Computers
• Office Premises

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 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 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.54.84
UK Pound	1	Rs.89.11
Euro	1	Rs.72.47

INFORMATION DETAILS

Report Prepared by :

VRN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		31

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.