MIRA INFORM REPORT

Report Date :

06.02.2012

IDENTIFICATION DETAILS

Name :	RAVI TECHNOFORGE PRIVATE LIMITED (w.e.f. 19.05.2009)
Formerly Known As :	SAURASHTRA IRON FORGING PRIVATE LIMITED
Registered Office :	Survey No. 211, Plot No. 7/8, Veraval (Sharpar) Industrial Area, Rajkot Gondal Highway, Rajkot – 360024, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	22.02.1990
Com. Reg. No.:	04-13398
Capital Investment / Paid-up Capital :	Rs.101.155 Millions
CIN No.: [Company Identification No.]	U27100GJ1990PTC013398
TAN No.: [Tax Deduction & Collection Account No.]	RKTS01189G
PAN No.: [Permanent Account No.]	AADCS1608N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing of Bearing Races, Auto Parts and Other Forged Components with CNC Finished Turning.
No. of Employees :	225 (Approximately)

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 780000
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 dealing 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.

INFORMATION PARTED BY

Name :	Mr. Chetan Gandhi
Designation :	Accounts Manager
Contact No.:	91-2827-252193
Date :	03.02.2012

LOCATIONS

Registered Office/ Factory :	Survey No. 211, Plot No. 7/8, Veraval (Sharpar) Industrial Area, Rajkot Gondal Highway, Rajkot – 360024, Gujarat, India
Tel. No.:	91-2827-252193/ 252194/ 252463
Fax No.:	91-2827-252894
E-Mail :	info@ravitechnoforge.com info@sif-india.com chetan.gandhi@ravitechnoforge.com
Website :	www.ravitechnoforge.com
Location :	Owned

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Amrutlal Khimjibhai Bharadia

Designation :

Director

Address :

Ronak, 6, Ashtron Society, Plot - 131, Rajkot, Gujarat, India

Date of Birth/Age :

17.10.1951

Date of Appointment :

22.02.1990

Email :

amrutlal.bharadia@ravitechnoforge.com

DIN No.:

00279153

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27100GJ1990PTC013398	RAVI TECHNOFORGE PRIVATE LIMITED	Whole-time director	20/09/2011	22/02/1990	Active	NO

Name :

Mrs. Rajanben Amrutlal Bharadia

Designation :

Director

Address :

Ronak, 6 Ashtron Society, Plot No. 131, Rajkot, Gujarat, India

Date of Birth/Age :

26.10.1954

Date of Appointment :

10.04.2004

DIN No.:

00371426

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27100GJ1990PTC013398	RAVI TECHNOFORGE PRIVATE LIMITED	Whole-time director	20/09/2011	10/4/2004	Active	NO

Name :

Mr. Rajeshkumar Khimjibhai Bharadia

Designation :

Joint Managing Director

Address :

Raj, 138-Ashtron Society, Rajkot – 360001, Gujarat, India

Date of Birth/Age :

23.11.1973

Date of Appointment :

31.03.2008

Email :

rajesh.bharadia@ravitechnoforge.com

DIN No.:

02016210

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27100GJ1990PTC013398	RAVI TECHNOFORGE PRIVATE LIMITED	Whole-time director	20/09/2011	31/01/2008	Active	NO

Name :

Mr. Kunjan Rajesh Bharadia

Designation :

Director

Address :

138, Ashtron Society, Road - 5, Near Kalawad Road, Rajkot - 360005, Gujarat, India

Date of Birth/Age :

01.06.1976

Date of Appointment :

31.03.2008

DIN No.:

02081240

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27100GJ1990PTC013398	RAVI TECHNOFORGE PRIVATE LIMITED	Whole-time director	20/09/2011	31/01/2008	Active	NO

KEY EXECUTIVES

Name :	Mr. Chetan Gandhi
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Amrutlal K Bharadia	880264
Shantilal Baradia	22600
Jagdish Bharadia	141100
Rajeshbhai Bharadia	2825441
Rajanben Amrutlal Bharadia	1139962
Hansaben Bharadia	75000
Chandrika Valambia	7000
Ranmalbhai Khunti	12250
Maherndrabhai Dasani	7000
Ratilal G. Panchasara	10500
Narendra Valambia	10500
Harishbhaio Vaghadia	7000
Kunjaben Bharadia	1417107
Amrutlal K Bharadia - HUF	238072
Anjali Bharadia	180500
Anitaben Bharaqdia	73315
Chandravadan Gajjar	50002
Harkant Papatilal Anadkal	45001
Kirtiben V. Vadagama	16300
Vasumatiben Vadgama	20002
Vimalbhai Vadgama	30052
Kishorbhai Khambhayata	184000
Ramniklal Shamji	10001
Hemantilal K. Bakranla	1
Kishorbhai H. Bokranla	1
Vrajitai Govindbhai Kharecha	125001
Manojbhai Vadilal Gandhi	1
Ishwarlal J. Jogani	1
Jeevantai J Jagani	1
Dhirajtai G Hirapara	250001
Jitendra G. Hirapara	125000
Total	7902976

Names of Shareholders	No. of Shares (Preference)
Vakil Yadav	1052530
Deepak Deade	659750
Naresh Sonar	500200
Total	2212480

(AS ON 27.12.2011)

Names of Allotee	No. of Shares Allotted
Can Bank Venure Capital Fund Limited, India	415944

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	86.63
Others top fifty shareholders (Other than listed above)	13.37
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturing of Bearing Races, Auto Parts and Other Forged Components with CNC Finished Turning.
Exports :
Products :	· Auto Parts · Bearing Races
Countries :	· France · USA
Imports :
Products :	Raw Materials
Countries :	China
Terms :
Selling :	L/C, Cash and Credit ( days)
Purchasing :	L/C, Cash and Credit ( days)

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Forged Races (Inner and Outer)	Nos.	NA	4800000	6685843
Turned Races (Inner and Outer)	Nos.	NA		5919133
Heat Treated Rings	Nos.	NA		1423

GENERAL INFORMATION

Suppliers :

· Mahindra

Customers :

Wholesalers and Retailers

· SKF Bearing, India

· SKF Bearing (Europe and USA)

· Fag Barring, India

· Tata Bearing, India

· TACO, India

· AEC Bearing, India

· Kansara Engineers Private Limited

No. of Employees :

225 (Approximately)

Bankers :

· Indian Overseas Bank

Main Branch, Dhebar Road, Rajkot – 360001, Gujarat, India

· State Bank of India

Commercial Branch, Noble House, Near Jalaram Petrol Pump, Kalawad, Rajkot - 360001, Gujarat, India

· Bank of India

Bhakti Nagar (SSI), 7/11, Bhaktinagar Station Plot, Rajkot – 360002, Gujarat, India

· HDFC Bank Limited

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Foreign currency loans banks secured	121.162	139.997
Working capital loans banks secured	120.787	81.743
Loans taken for vehicles secured	0.781	2.732
Loans taken for other fixed assets secured	134.654	11.337
Total	377.384	235.809
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Loans directors unsecured	1.995	5.382
Other debt unsecured	30.590	4.696
Total	32.585	10.078

Banking Relations :	--
Auditors :
Name :	Ranpura Desai and Company Chartered Accountant
Address :	Star Avenue, 1^st Floor, Dr. Radhakrishnan Road, Opposite Rajkumar College, Rajkot – 360001, Gujarat, India
PAN No.:	AADFR3813P

CAPITAL STRUCTURE

AS ON 30.09.2011

Authorised Capital : Rs.275.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.244.915 Millions

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
11000000	Equity Share	Rs.10/- each	Rs.110.000 Millions
1700000	8% Non Cumulative Redeemable / Optionally Convertible Preference Shares	Rs. 10/- each	Rs.17.000 Millions
2300000	6% Non Cumulative Redeemable Preference Shares	Rs. 10/- each	Rs.23.000 Millions
	Total		Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7902976	Equity Shares	Rs.10/- each	Rs.79.030 Millions
2212480	6% Non Cumulative Redeemable Preference Shares	Rs.10/- each	Rs.22.125 Millions
	Total		Rs.101.155 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		101.155	62.877	50.457
2] Share Application Money		0.000	2.800	0.000
3] Reserves & Surplus		94.015	52.150	44.737
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		195.170	117.827	95.194
LOAN FUNDS
1] Secured Loans		377.384	235.809	258.621
2] Unsecured Loans		32.585	10.078	11.274
TOTAL BORROWING		409.969	245.887	269.895
DEFERRED TAX LIABILITIES		2.313	2.402	2.467
TOTAL		607.452	366.116	367.556
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		203.497	165.309	156.637
Capital work-in-progress		88.168	39.479	14.240
INVESTMENT		1.482	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	131.680	80.177	85.797
	Sundry Debtors	189.980	143.790	141.583
	Cash & Bank Balances	0.166	0.485	0.590
	Other Current Assets	12.960	4.705	2.758
	Loans & Advances	133.168	24.697	52.107
Total Current Assets		467.954	253.854	282.835
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	143.243	80.165	72.856
	Other Current Liabilities	29.246	13.648	12.066
	Provisions	3.873	1.785	1.494
Total Current Liabilities		176.362	95.598	86.416
Net Current Assets		291.592	158.256	196.419
MISCELLANEOUS EXPENSES		22.713	3.072	0.260
TOTAL		607.452	366.116	367.556

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	621.823	259.596	435.313
		Other Income	23.920	10.812	9.430
		TOTAL (A)	645.743	270.408	444.743
Less	EXPENSES
		Office Expenses
		Administrative Expenses	544.248	215.794	374.785
		Advertising Expenses
		TOTAL (B)	544.248	215.794	374.785
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		101.495	54.614	69.958
Less	FINANCIAL EXPENSES (D)		30.294	27.479	21.628
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		71.201	27.135	48.330
Less/ Add	DEPRECIATION/ AMORTISATION (F)		23.298	22.213	20.486
	PROFIT BEFORE TAX (E-F) (G)		47.903	4.922	27.844
Less	TAX (H)		15.261	1.864	9.984
	PROFIT AFTER TAX (G-H) (I)		32.642	3.058	17.860
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		40.648	37.589	19.729
	BALANCE CARRIED TO THE B/S		73.290	40.648	37.589
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	189.833	24.996	188.401
	TOTAL EARNINGS		189.833	24.996	188.401
	IMPORTS
		Raw Materials	10.582	1.174	9.548
	TOTAL IMPORTS		10.582	1.174	9.548
	Earnings Per Share (Rs.)		3.23	--	--

Expected Sales (2011-12): Rs.750.000 Millions

The above information has been parted by Mr. Chetan Gandhi

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.05	1.13	4.02
Net Profit Margin (PBT/Sales)	(%)	7.70	1.90	6.40
Return on Total Assets (PBT/Total Assets}	(%)	7.13	1.17	6.34
Return on Investment (ROI) (PBT/Networth)		0.25	0.04	0.29
Debt Equity Ratio (Total Liability/Networth)		3.00	2.90	3.74
Current Ratio (Current Asset/Current Liability)		2.65	2.66	3.27

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2011	31.03.2010	31.03.2009
	(Rs. In Millions)
Sundry Creditor
Creditors Due Small Micro Enterprises	0.000	0.000	72.654
Creditors Due Others	143.243	80.165
Total	143.243	80.165	72.654

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	-----
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	Yes
Profitability for last three years	-----
Reasons for variation <> 20%	Yes
Estimation for coming financial year	Yes
Capital in the business	No
Details of sister concerns	No
Major Suppliers	Yes
Major Customers	Yes
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	-----
Litigations that the firm/ Promoters Involved in	-----
Banking details	Yes
Banking Facility Details	Yes
Conduct of the Banking Account	-----
Buyer visit details	-----
Financials, if provided	No
Incorporation details is applicable	-----
Last Accounts filed at ROC	-----
Major Shareholders, if available	-----

REVIEW OF OPERATIONS

As the members of the Company are aware that due to overall recession in the industry, the company could not made significant growth in terms of sales and profitability in the year 2009-2010. The company achieved remarkable growth and achieved turnover of Rs. 686.084 Millions as compared to corresponding previous year's turnover of Rs.287.611 Millions. Total profit before depreciation, taxation and other items was Rs.101.502 Millions as compared to corresponding amount of Rs.54.098 Millions of previous year. Likewise, Net Profit before and after taxation was Rs. 47.903 Millions and 32.642 Millions respectively as compared to corresponding period of previous year. The Board of Directors expects further increase in the sales and profitability of the Company in the year to come.

FINANCIAL REVIEW:

As Members are aware, the company has during the year, in order to meet the increasing requirement of funds to cope with expansion program, increased the paid up capital of the Company to Rs. 101.155 Millions from Rs. 62.877 Millions of previous year including conversion of 17,00,000/- 8% Non Cumulative Redeemable / Optionally Convertible Pref. Shares of Rs. 10/- each into 6,80,000/- Equity Shares of Rs. 10/- each at a premium of Rs. 15/- per share.

TRADE REFERENCE:

· Fag Barring (India)

· Mahindra

FORM 8

Corporate identity number of the company	U27100GJ1990PTC013398
Name of the company	RAVI TECHNOFORGE PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Survey No. 211, Plot No 7-8, Veraval (Shahpur) Industrial Area, Rajkot Gondal Highway Rajkot, Gujarat, India info@ravitechnoforge.com
This form is for	Modification of charge
Charge identification number of the modified	10151620
Type of charge	Immovable property Book debts Movable property (not being pledge) Floating charge Others: Plant and Machinery and All other Movable Assets
Particular of charge holder	State Bank of India Commercial Branch, Noble House, Near Jalaram Petrol Pump, Kalawad Road, Rajkot - 360001, Gujarat, India abi.04085@sbi.co.in
Nature of description of the instrument creating or modifying the charge	1. Supplemental Agreement of Hypothecation of Goods and Assets for Increase in the Overall Limit. 2. Memorandum relating to Deposit of Title Deeds for Creation of Charge for Term Loan / Overall Limit where the initial charge is created by Mortgage by Deposit of Title Deeds 3. Letter regarding the grant of individual limits within the overall Limit
Date of instrument Creating the charge	07.12.2011
Amount secured by the charge	Rs.833.800 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest : CC: 4.25% above Base Rate subject to change from time to time TL: 4.50% above Base Rate subject to change from time to time Terms of Repayment CC: On Demand TL: As per Original Sanction Margin Stock : 25% Receivables : 25% [cover period 180 days] EPC : 10% BG : 25% Term Loan : 38.36% [As per Original Sanction] Extent and operations of the charge The charge of the bank operates to cover repayment of entire credit facilities of Rs.833.800 Millions together with interest, discount, commission, charges and costs and expenses payable or incurred by the bank. Other Nature of Facilities
Date of latest modification prior to the present modification	- Hypothecation of Stock, receivables, all other current assets, Hypothecation of Plant and Machinery and all other fixed assets at existing site as well as at expansion site both present and future. - Immovable properties
Particulars of the present modification	Total Financial Facilities of Rs. 812.000 Millions already granted by the Bank is now increased to Rs. 833.800, Millions on the extension of securities as mentioned.

FIXED ASSETS;

· Lands

· Office Buildings

· Factory Building

· Plant and Machineries

· Office Equipments

· Furniture and Fixtures

· Vehicles

· Computer Equipments

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.49.13
UK Pound	1	Rs.77.85
Euro	1	Rs.64.75

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	YES
--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.