MIRA INFORM REPORT

Report Date :

28.12.2012

IDENTIFICATION DETAILS

Name :	SUBHASH CHEMICAL INDUSTRIES PRIVATE LIMITED

Formerly Known As :	SUBHASH CHEMICAL INDUSTRIES

Registered Office :	481/4B, Shahu College Road, Shri Kripa Housing Society, Smit Kiran, Parvati Darshan, Pune – 411009, Maharashtra

Country :	India

Financials (as on) :	31.03.2012

Date of Incorporation :	23.03.2011

Com. Reg. No.:	11-138977

Capital Investment / Paid-up Capital :	Rs. 0.101 Million

CIN No.: [Company Identification No.]	U24100PN2011PTC138977

TAN No.: [Tax Deduction & Collection Account No.]	PNES31496D

PAN No.: [Permanent Account No.]	AAPCS5594R

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer of highest quality personal care ingredients and specialty chemicals.

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

Maximum Credit Limit :	USD 127000

Status :	Satisfactory

Payment Behaviour :	Usually correct

Litigation :	Clear

Comments :	Subject is an established company having a satisfactory track record. Company has performed well in its first year of business operations. Trade relations are reported to be fair. Business is active. Payments are reported to be regular and as per commitment. The company can be considered for normal 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.

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.

LOCATIONS

Registered Office :	481/4B, Shahu College Road, Shri Kripa Housing Society, Smit Kiran, Parvati Darshan, Pune – 411009, Maharashtra, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	bharat@subhashchemicals.com sales@subhashchemicals.com
Website :	www.subhashchemicals.com

Corporate Headquarters :	‘S’ Block, Shed W-2, M.I.D.C., Bhosari, Pune – 411026, Maharashtra, India
Tel. No.:	91-20-66356800
Fax No.:	91-20-66356899

US Office :	13255 Copland Ct, Silver Spring, MD 20904, USA

DIRECTORS

AS ON 21.09.2012

Name :

Mr. Kishore Premsukh Jhamvar

Designation :

Director

Address :

481/4B, Shahu College Road, Shri Kripa Housing Society, Smit Kiran, Parvati Darshan, Pune – 411009, Maharashtra, India

Date of Birth/Age :

13.05.1943

Date of Appointment :

23.03.2011

DIN No.:

00211225

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	U70102MH1992PTC067035	HARI ESTERS PRIVATE LIMITED	Director	02/06/1992	02/06/1992	Active	NO
2	U24100PN2011PTC138977	SUBHASH CHEMICAL INDUSTRIES PRIVATE LIMITED	Director	23/03/2011	23/03/2011	Active	NO

Name :

Mrs. Sandhya Jamvar Kishore

Designation :

Director

Address :

481/4B, Shahu College Road, Shri Kripa Housing Society, Smit Kiran, Parvati Darshan, Pune – 411009, Maharashtra, India

Date of Birth/Age :

05.07.1953

Date of Appointment :

23.03.2011

DIN No.:

00211277

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	U70102MH1992PTC067035	HARI ESTERS PRIVATE LIMITED	Director	21/01/2005	21/01/2005	Active	NO
2	U24100PN2011PTC138977	SUBHASH CHEMICAL INDUSTRIES PRIVATE LIMITED	Director	23/03/2011	23/03/2011	Active	NO

Name :

Mr. Bharat Kishore Jhamvar

Designation :

Director

Address :

481/4B, Shahu College Road, Shri Kripa Housing Society, Smit Kiran, Parvati Darshan, Pune – 411009, Maharashtra, India

Date of Birth/Age :

21.07.1972

Date of Appointment :

23.03.2011

DIN No.:

00211297

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	U70102MH1992PTC067035	HARI ESTERS PRIVATE LIMITED	Director	02/06/1992	02/06/1992	Active	NO
2	U24100PN2011PTC138977	SUBHASH CHEMICAL INDUSTRIES PRIVATE LIMITED	Director	23/03/2011	23/03/2011	Active	NO

Name :

Mr. Samar Kishore Jhamvar

Designation :

Director

Address :

801 B, Deepali, St. Cyril Road, Bandra (West), Mumbai 400050, Maharashtra, India

Date of Birth/Age :

18.05.1973

Date of Appointment :

23.03.2011

DIN No.:

00211320

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	U70102MH1992PTC067035	HARI ESTERS PRIVATE LIMITED	Director	21/01/2005	21/01/2005	Active	NO
2	U24100PN2011PTC138977	SUBHASH CHEMICAL INDUSTRIES PRIVATE LIMITED	Director	23/03/2011	23/03/2011	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 21.09.2012

Names of Shareholders		No. of Shares
Kishor Jhamvar		7500
Sandhya Jhamvar		800
Bharat Jhamvar		850
Samar Jhamvar		850
Vinod Jhamvar		100
Total		10100

AS ON 21.09.2012

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

BUSINESS DETAILS

Line of Business :

Manufacturer of highest quality personal care ingredients and specialty chemicals.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

The Royal Bank of Scotland N.V., 74, Sakhar Bhavan, 7^th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India

Facilities :

Secured Loans		31.03.2012
	(Rs. In Millions)
The Royal Bank of Scotland N.V. A/c No. 4212037		0.011
The Royal Bank of Scotland N.V. A/c No. 4218566		0.225
Total		0.236

Unsecured Loans		31.03.2012
	(Rs. In Millions)
Kishor Jhamvar		38.622
Samar Jhamvar		22.823
Sandhya Jhamvar		11.753
Bharat Jhamvar		4.847
Rachana B. Jhamvar		0.401
Shweta S. Jhamvar		5.587
Hari Esters Private Limited		0.726
Total		84.759


Banking Relations :	--

Auditors :
Name :	R. G. Tanksale and Company Chartered Accountants
Address :	"Yashodhan", First Floor, C. S. No. 476/7, Sadar Bazar, Satara – 415001, Maharashtra, India
Tel. No.:	91-2162-237589
E-Mail :	rgtanksale@hotmail.com
Income-tax PAN of auditor or auditor's firm :	AAJPT9263H

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount

1,000,000	Equity Shares	Rs. 10/- each	Rs. 10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

10,100	Equity Shares	Rs. 10/- each	Rs. 0.101 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012
SHAREHOLDERS FUNDS
1] Share Capital		0.101
2] Share Application Money		0.000
3] Reserves & Surplus		31.620
4] (Accumulated Losses)		0.000
NETWORTH		31.721
LOAN FUNDS
1] Secured Loans		0.236
2] Unsecured Loans		84.759
TOTAL BORROWING		84.995
DEFERRED TAX LIABILITIES		0.000

TOTAL		116.716

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		20.209
Capital work-in-progress		0.000

INVESTMENT		8.127
DEFERRED TAX ASSETS		0.193

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	41.365
	Sundry Debtors	61.775
	Cash & Bank Balances	6.244
	Other Current Assets	1.546
	Loans & Advances	35.571
Total Current Assets		146.501
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	26.792
	Other Current Liabilities	0.764
	Provisions	30.758
Total Current Liabilities		58.314
Net Current Assets		88.187

MISCELLANEOUS EXPENSES		0.000

TOTAL		116.716

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012
	SALES
		Income	270.910
		Other Income	N.A.
		TOTAL	N.A.

Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	N.A.

	PROFIT BEFORE TAX		48.614

Less	TAX		17.000

	PROFIT AFTER TAX		31.614

	Earnings Per Share (Rs.)		3130.10

KEY RATIOS

PARTICULARS		31.03.2012
Return on Total Assets (PBT/Total Assets}	(%)	29.16

Return on Investment (ROI) (PBT/Networth)		1.53

Debt Equity Ratio (Total Liability/Networth)		4.52

Current Ratio (Current Asset/Current Liability)		2.51

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 one year	Yes
12]	Profitability for last one year	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
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	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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

REVIEW OF OPERATIONS AND FUTURE PROSPECTS:

The Company was incorporated on 23'd March, 2011. Immediately after incorporation, the company has taken over a running business of M/s. Subhash Chemical Industries, a Registered Partnership firm w.e.f. 1^st April, 2011. Though his is the first year of operation of the company, company has achieved net turnover of Rs. 270.000 Millions and profit of Rs. 31.600 Millions. The management trying to stabilize the operation of the company for future plans.

During the year, the company has taken number of steps to improve the productivity and the efficiency through wide variety of initiatives. One of the more significant of these was switching from Furnace Oil as a fuel for the steam boiler to Natural Gas. This is a huge step towards Green Initiative and preserving our Environment In addition to reduction of pollution, this change in fuel will also reduce the overall fuel bill.

The company has introduced an ERP System. In addition to Accounting, the system will now integrate all the different functions like Stores, Material Management Q, C, Production and logistics within the organization. User and function specific reporting will enable employees to be more efficient and productive providing them with the data and information needed to make better faster decisions. During the year, the ERP System was installation for some part of the year. Once it gets stabilized the financial record as well as inventory shall be user- friendly and the management shall get full advantage of the system which shall result in rise in the bottom-line. The" Go-Live" date for the system is schedule for 1 April, 2012.

In constant pursuit of progress, during the year, the Company has introduced 2 new product having wide range of applications. In the year to come the Company proposes to bring in additional products for which the experiments and trials are on.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U24100PN2011PTC138977
Name of the company	SUBHASH CHEMICAL INDUSTRIES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	481/4B, Shahu College Road, Shri Kripa Housing Society, Smit Kiran, Parvati Darshan, Pune – 411009, Maharashtra, India Email: bharat@subhashchemicals.com
This form is for	Modification of charge
Charge identification number of the modified	10277489
Type of charge	Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	The Royal Bank of Scotland N.V., 74, Sakhar Bhavan, 7^th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India Email: devang.sharma@rbs.com
Nature of description of the instrument creating or modifying the charge	Supplementary Deed Of Hypothecation Of Movable Asset dated 14.12.2011.
Date of instrument Creating the charge	14.12.2011
Amount secured by the charge	Rs. 50.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Credit Facilities. Interest / Commission - As agreed by and with the Bank from time to time. Terms of Repayment As agreed by and with the Bank from time to time. Margin As applicable, if any. Extent and Operation of the charge The Bank is having a) first exclusive charge on entire current assets of the borrower b) first exclusive charge on movable properties (other than current assets)
Particulars of the present modification	This is being the enhancement or modification and amendments in the credit facilities or loans given for all current assets and movable property of the company. The existing facilities of Rs. 40.000 Millions enhanced to Rs. 50.000 Millions.

FIXED ASSETS:

Ø Goodwill

Ø Leasehold Land

Ø Factory Building

Ø Plant and Machinery

Ø Electrical Fittings

Ø Factory Equipments

Ø Laboratory Equipments

Ø Office Equipments

Ø Vehicles

Ø Computers

Ø Furniture and Deadstock

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 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. 54.85
UK Pound	1	Rs. 88.55
Euro	1	Rs. 72.63

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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		50

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

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