MIRA INFORM REPORT

Report Date :

07.01.2012

IDENTIFICATION DETAILS

Name :	R AND D MULTIPLES (METAL CAST) PRIVATE LIMITED
Formerly Known As :	QUADRANT ENGINEERING INDUSTRIES PRIVATE LIMITED
Registered Office :	106, United Industrial Estate, Mogul Lane, Mahim, Mumbai – 400 016, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	23.08.1989
Com. Reg. No.:	01-53151
Capital Investment / Paid-up Capital :	Rs.0.477 million
CIN No.: [Company Identification No.]	U27100MH1989PTC053151
TAN No.: [Tax Deduction & Collection Account No.]	MUMR14717D
PAN No.: [Permanent Account No.]	AAACR3932
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Valve and Gear Boxes
No. of Employees :	10-15 (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 150000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track records. There appears some dip in the profitability of the company. However, 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

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

INFORMATION PARTED BY

Name :	Mr. Sunil Purushottam Bagaria
Designation :	Director
Contact No.:	91-9323101620

LOCATIONS

Registered Office/ Factory :	106, United Industrial Estate, Mogul Lane, Mahim, Mumbai – 400 016, Maharashtra, India
Tel. No.:	91-22-40044425 / 26 / 27 / 28 / 29
Mobile No.:	91-9323101620 (Mr. Sunil Purushottam Bagaria)
Fax No.:	91-22-40044427 / 40044430
E-Mail :	rdmultiples@gmail.com info@rdmultiples.com
Website :	www.rdmultiples.com
Area :	2500 Sq. ft.
Location :	Owned
Factory 1 :	A-1/17, GIDC, Pardi - 396 125, District Valsad, Gujarat, India
Factory 2 :	Survey No. 304, Village Balda, Pardi - 396 125, District Valsad, Gujarat, India
Engineering Division Office :	C2-403, Saudamini Complex, Srl. No. 101/1, Bhusari Colony, Paud Road, Kothrud, Pune - 411 038, Maharashtra, India
Marketing Head Office :	Located at · Mumbai
Sales / Representing Office :	Located at · Delhi · Ahmedabad · Hyderabad · Jaipur · Bangalore · Chennai · Kolkata · Pune

DIRECTORS

As on 25.09.2011

Name :	Mr. Sunil Purushottam Bagaria
Designation :	Director
Address :	4, Nutandeeep, Co-Operative Housing Society Limited, Prabhat Colony, 6^th Road, Santacruz (East), Mumbai - 400 055, Maharashtra, India
Date of Birth/Age :	18.05.1959
Qualification :	Graduates
Date of Appointment :	08.07.2000
DIN No.:	00866590
Name :	Mr. Sandeep Purushottam Bagaria
Designation :	Director
Address :	4, Nutandeeep, Co-Operative Housing Society Limited, Prabhat Colony, 6^th Road, Santacruz (East), Mumbai - 400 055, Maharashtra, India
Date of Birth/Age :	08.03.1964
Qualification :	Graduates
Date of Appointment :	08.07.2000
DIN No.:	00867086

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 25.09.2011

Names of Shareholders	No. of Shares
Sunil P. Bagaria	1238
Sandeep Bagaria	739
Usha S. Bagaria	1390
Santosh S. Bagaria	1390
Geetadevi Bagaria	1
Purushottam Bagaria	1
Kirit V. Bhanshali	1
Taksali S. Tarachand	1
Bina Taksali	1
Giridharilal Taksali	1
R and D Multiples (Valves) Private Limited, India	1
Manglam Exports, India	1
Tarachand Taksali – HUF	1
Daga Exports, India	1
Landle Agencies Limited, India	1
Ritesh T Taksali	1
Neha S. Bagaria	1
Total	4770

As on 25.09.2011

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

BUSINESS DETAILS

Line of Business :

Manufacturer of Valve and Gear Boxes

Products :

Valve and Gear Boxes

Item Code No. (ITC Code)	8481.80
Product Description	Butterfly Valves

GENERAL INFORMATION

No. of Employees :

10-15 (Approximately)

Bankers :

· Union Bank of India

Mahim Branch, Carol Mansion, 35, Sitaladevi Temple Road, Mahim (West), Mumbai – 400 016, Maharashtra, India

· Corporation Bank, Bangalore

· Bank of Baroda, Pardi

Facilities :

Secured Loans	As on 31.03.2011 Rs. in millions	As on 31.03.2010 Rs. in millions
Cash Credit Facility UBI (Secured against hypothecation of stock and book debts)	25.445	19.304
Bill Discounting Facility from UBI (Secured against E/M and factory land and building at pardi)	14.071	15.653
Term Loan from UBI (Secured against specified plant and machinery)	2.604	4.619
Term Loan from UBI (Secured against Equitable Mortgage office Gala No. 108)	3.117	0.000
UBI Car Loan (Secured against vehicle)	0.345	0.534
Total	45.582	40.110

Unsecured Loans	As on 31.03.2011 Rs. in millions	As on 31.03.2010 Rs. in millions
From Body corporates	2.563	2.478
From Directors	1.353	0.030
From Shareholders	14.517	14.730
Total	18.433	17.238

Banking Relations :	-
Auditors :
Name :	Shankarlal Jain and Associates Chartered Accountants
Address :	12, Engineer Building, 265, Princess Street, Mumbai – 400 002, Maharashtra, India
Tel. No.:	91-22-22036623/22065739
Fax No.:	31-22-22086269
E-Mail :	infa@sljainindia.com
Website:	www.sljainindia.com
PAN No.:	AACFS6967Q

CAPITAL STRUCTURE

As on 25.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
24000	Equity Shares	Rs.100/- each	Rs.2.400 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4770	Equity Shares	Rs.100/- each	Rs.0.477 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		0.477	0.477	0.477
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		37.342	36.263	14.956
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		37.819	36.740	15.433
LOAN FUNDS
1] Secured Loans		45.582	40.110	41.552
2] Unsecured Loans		18.433	17.238	15.925
TOTAL BORROWING		64.015	57.348	57.477
DEFERRED TAX LIABILITIES		0.087	0.024	0.217
TOTAL		101.921	94.112	73.127
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		33.171	18.557	16.649
Capital work-in-progress		0.000	0.000	0.299
INVESTMENT		0.307	0.307	0.307
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	29.406	3.277	23.885
	Sundry Debtors	109.089	154.444	123.035
	Cash & Bank Balances	31.667	5.729	7.508
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	19.377	12.526	7.746
Total Current Assets		189.539	175.976	162.174
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	92.824	81.178	87.018
	Other Current Liabilities	14.215	6.673	16.207
	Provisions	14.057	12.877	3.077
Total Current Liabilities		121.096	100.728	106.302
Net Current Assets		68.443	75.248	55.872
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		101.921	94.112	73.127

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Sales	298.183	381.231	251.543
		Other Income	1.694	2.984	NA
		TOTAL (A)	299.877	384.215	NA
Less	EXPENSES
		Purchases and Manufacturing Expenses	272.173	290.237	NA
		Payment to and for Employees	5.889	4.480
		Administrative and Other Expenses	32.444	30.599
		Increase / decrease in stock	(26.108)	20.637
		TOTAL (B)	284.398	345.953	NA
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		15.479	38.262	NA
Less	INTEREST AND FINANCE CHARGES (D)		5.621	4.077	NA
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		9.858	34.185	NA
Less/ Add	DEPRECIATION/ AMORTISATION (F)		4.132	3.272	NA
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		5.726	30.913	8.155
Less	TAX (H)		4.647	9.607	2.744
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		1.079	21.306	5.411
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		36.263	14.957	9.546
	BALANCE CARRIED TO THE B/S		37.342	36.263	14.957
	Earnings Per Share (Rs.)		226.00	4467.00	1134.38

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.36	5.55	NA
Net Profit Margin (PBT/Sales)	(%)	1.92	8.11	3.24
Return on Total Assets (PBT/Total Assets}	(%)	2.57	15.89	4.56
Return on Investment (ROI) (PBT/Networth)		0.15	0.84	0.53
Debt Equity Ratio (Total Liability/Networth)		4.89	4.30	10.61
Current Ratio (Current Asset/Current Liability)		1.57	1.75	1.53

LOCAL AGENCY FURTHER INFORMATION

CONTINGENT LIABILITIES NOT PROVIDED FOR (As on 31.03.2011)

Bank Guarantees issued by banks on behalf of the company and outstanding as on 31.03.2011 Rs.72.304 millions.

FORM 8

This form is for	Creation of charge
Name of the company	R AND D MULTIPLES (METAL-CAST) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	106, United Industrial Estate, Mogul Lane, Mahim, Mumbai – 400 016, Maharashtra, India
Type of charge	· Book debts · Movable property (not being pledge)
Particular of charge holder	Union Bank of India Mahim Branch, Carol Mansion, 35, Sitaladevi Temple Road, Mahim (West), Mumbai – 400 016, Maharashtra, India E-mail : cbsmahim@unionbankofindia.com
Nature of description of the instrument creating or modifying the charge	Composite hypothecation deed (SD-20)
Date of instrument Creating the charge	09.07.2011
Amount secured by the charge	Rs.180.198 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of interest Cash Credit Limit : Interest at BR+5.25% UBD Under LC and UBD for single transaction : Usual Term Loans : Interest at BR+6% Letter of Guarantee : Usual Terms of repayment On Demand Margin Nature Of Facility Margin Cash Credit ................... : 25% Against stock and 50% against book debts Term Loan - I .................. : 33% Term Loan - II ................. : 26% Term Loan - III ................ : 27% Letter of guarantee. : 10% Extent and operation of the charge to secure the various facilities aggregating to Rs.180.198 millions granted by the bank to the company as under :- Nature of Facility Limit Cash Credit ...................... : Rs.25.000 millions UBD Under LC .................... : Rs.25.000 millions UBD Single Transaction : Rs.20.000 millions Term Loan - I (O/S) ............... Rs.2.638 millions Term Loan - II (O/S) ............ : Rs.3.060 millions Term Loan - III (NEW) ......... : Rs.4.500 millions Letter of guarantee ... : Rs.100.000 millions Others Nil
Short particulars of the property charged	The borrower hypothecates by way of first charge in favour of the bank :- · All tangible movable machineries, plant, machinery fixtures, fittings, other installations, cranes, furniture, computers and other accessories, vehicles together with spares tools and accessories and all other articles lying on the premises at a-1/17, gidc, pardi, district valsad and plot 304, village balda, taluka pardi, district valsad or in the godowns of the borrower or in the course of transit. · The whole of the borrower's movable goods and assets both present and future including all stocks of raw materials, work in progress, semi finished goods and finished goods such as (i) components, lots of electrical actuators, valves etc. (ii) s.s. bars and rings (iii) stores and spares c nuts, bolts, tools etc. v) casting of valves of body, discs, bonnet wedge, plates, cover for butterfly valves, etc. whatsoever and wheresoever situate and / or in transit. · All the present and future book debts, outstanding, monies receivable, claims, bills, contracts, engagements and securities which are due and owing to the borrower in the course of its business by any person, firm, company or body corporate or by the government of India or any state government or Indian railways or any government department or office or any municipal or local or public or semi government body or authority whatsoever including those relating to the assets leased out and/or given on hire purchase.

FIXED ASSETS

· Land (Freehold)

· Land at Pardi

· Land and Building

· Office at Pune

· Office Premises at Mumbai

· Building

· Plant and Machinery

· Electrical Installation

· Patterns

· Air Conditioner

· Computer and Software

· Office Equipments

· Furniture and Fixtures

· Motor Car (Car and Luna)

· Scooter

WEB DETAILS

COMPANY PROFILE

Subject was started in early 1980’s. It was one of the pioneering valve manufacturers to develop Butterfly valves in India.

‘The Quality, workamanship, performance perceptions and expectations in the Indian Valves market are now of the world standard. Life expectancy, Energy efficiency, combined with maintenance friendliness and cost competitiveness are the governing factors. Specially designed products are increasingly being used for specialized applications. They at subject, have kept their priorities in tune with these factors while planning their future course.’

Establishment of their ‘Pune Engineering Centre’ is a step in the direction.

They, at subject have also looked upon these challenges as opportunities and have strived hard to be in the fore-front in the areas in which they operate. Their 2 well equipped manufacturing plants in Pardi (GIDC), their Very wide product Spectrum, their marketing set-up having deep approach into the interiors, their list of approvals from almost all the reputed consultants, contractors and government / semi-govt.  departments, their rich reference list of successful installations and their consistent growth rate year after year well supported by a dedicated, capable and skilled team stand testimony to their commitment to this market. They have ISO 9000 accreditation since year 2000.

They have workforce in excess of 250 of which 40 are engineers / trained professionals. They have their marketing Head office in Mumbai and sales / representing offices in Delhi, Ahmedabad, Hyderabad, Jaipur, Bangalore, Chennai, Kolkata and Pune.

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] 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.52.78
UK Pound	1	Rs.81.79
Euro	1	Rs.67.46

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.