MIRA INFORM REPORT

Report Date :

26.12.2012

IDENTIFICATION DETAILS

Name :	R.N. LABORATORIES PRIVATE LIMITED
Formerly Known As :	SKY CHEM PRIVATE LIMITED
Registered Office :	404, VIP Plaza, Off Link Road, Andheri (West), Mumbai – 400053, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	04.12.1998
Com. Reg. No.:	11-117339
Capital Investment / Paid-up Capital :	Rs. 0.101 Million
CIN No.: [Company Identification No.]	U24200MH1998PTC117339
TAN No.: [Tax Deduction & Collection Account No.]	MUMR20663G
PAN No.: [Permanent Account No.]	AAECS2969P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of API Formulations.
No. of Employees :	315 (15 in Office and 300 in Factory) (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 349000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Reserves of the company appears to be reducing during 2011 profit and loss statement are not made available. However, trade relations are reported as fair. Business is active. Payments are unknown. The company can be considered for business dealings with some caution. Note: Bankers denied to disclose information.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

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

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 (General Details)

Name :	Mr. Mansukh
Designation :	Accounts Department
Contact No.:	91-22-26736664
Date :	21.12.2012

LOCATIONS

Registered Office :	404, VIP Plaza, Off Link Road, Andheri (West), Mumbai – 400053, Maharashtra, India
Tel. No.:	91-22-26736664
Fax No.:	91-22-26736643
E-Mail :	mpin@vsnl.net rnpin@vsnl.net accounts@rnpharma.com
Website :	www.rnpharma.com
Location :	Owned
Factory:	GIDC, Surat SEZ Sacin Plo, Surat – 394230, Gujarat, India

DIRECTORS

AS ON 30.09.2011

Name :	Mr. Nitin Shamlal Garg
Designation :	Managing Director
Address :	1720/1721, Raheja Classique, New Link Road, Andheri (West), Mumbai – 400053, Maharashtra, India
Date of Appointment :	04.12.1998
DIN No.:	02430137
Name :	Mr. Rohit Shamlal Garg
Designation :	Director
Address :	2-B, 171, Classique Building, New Link Road, Andheri (West), Mumbai – 400053, Maharashtra, India
Date of Appointment :	04.12.1998
DIN No.:	00700594
Name :	Mr. Shamlal Garg
Designation :	Director
Address :	2B/12, Sea Palace Society Juhu Tara Road, Santacruze (West), Mumbai – 400049, Maharashtra, India
Date of Appointment :	04.12.1998
DIN No.:	02887465

KEY EXECUTIVES

Name :	Mr. Mansukh
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Nitin Shamlal Garg	500
Rohit Shamlal Garg	500
Shamlal Garg	10
Total	1010

AS ON 30.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of API Formulations.
Exports :
Products :	Finished Goods
Countries :	Ø Belgium Ø USA Ø UK
Imports :
Products :	Raw Material
Countries :	Belgium
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

315 (15 in Office and 300 in Factory) (Approximately)

Bankers :

Bank of India, Andheri (West) Branch, 28, Swami Vivekanand Road, Andheri (West), Mumbai - 400058, Maharashtra, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Secured Loans	19.150	6.700
Total	19.150	6.700
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Unsecured Loans	19.481	1.272
Total	19.481	1.272

Banking Relations :	--
Auditors :
Name :	R.A. Kuvadia and Company Chartered Accountants
Address :	1/7, Chaitanya Society, Vakola Bridge, Santacruz (East), Mumbai – 400055, Maharashtra, India
Tel. No.:	91-22-26681719
Fax No.:	91-22-26680488
E-Mail :	rashmikantca@yahoo.co.in
Income-tax PAN of auditor or auditor's firm :	AAHPL0055A
Sister Concern :	R N Pharma

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10,000	Equity Shares	Rs. 100/- each	Rs. 1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,010	Equity Shares	Rs. 100/- each	Rs. 0.101 Million

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		0.101	0.101	0.101
2] Share Application Money		0.620	0.620	0.620
3] Reserves & Surplus		86.565	88.191	38.461
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		87.286	88.912	39.182
LOAN FUNDS
1] Secured Loans		19.150	6.700	0.000
2] Unsecured Loans		19.481	1.272	11.565
TOTAL BORROWING		38.631	7.972	11.565
DEFERRED TAX LIABILITIES		0.317	0.249	0.149
TOTAL		126.234	97.133	50.896
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		80.953	52.305	29.420
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	39.936	7.418	6.515
	Sundry Debtors	45.172	27.277	18.097
	Cash & Bank Balances	0.706	0.415	3.886
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	8.411	32.860	14.968
Total Current Assets		94.225	67.970	43.466
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities
	Provisions
Total Current Liabilities		48.944	23.142	21.990
Net Current Assets		45.281	44.828	21.476
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		126.234	97.133	50.896

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income
		Other Income
		TOTAL	N.A.	N.A.	N.A.
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	N.A.	N.A.	N.A.
	PROFIT BEFORE TAX		N.A.	49.914	39.436
Less	TAX		N.A.	0.184	0.031
	PROFIT AFTER TAX		N.A.	49.730	39.427
	Earnings Per Share (Rs.)		N.A.	49237.62	39036.63

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Return on Total Assets (PBT/Total Assets}	(%)	N.A.	28.49	54.11
Return on Investment (ROI) (PBT/Networth)		N.A.	0.56	1.01
Debt Equity Ratio (Total Liability/Networth)		1.00	0.59	0.86
Current Ratio (Current Asset/Current Liability)		1.93	2.94	1.98

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2011	31.03.2010	31.03.2009
	(Rs. In Millions)
Sundry Creditors	N.A.	N.A.	N.A.

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	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last two years	Yes
12]	Profitability for last two 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	Yes
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	No
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	No
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	No

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. 55.09
UK Pound	1	Rs. 89.10
Euro	1	Rs. 72.62

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	5
--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		32

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.