MIRA INFORM REPORT

Report Date :

24.07.2012

IDENTIFICATION DETAILS

Name :	WELSPUN MAXSTEEL LIMITED (w.e.f. 01.07.2009)
Formerly Known As :	VIKRAM SPONGE IRON LIMITED
Registered Office :	Welspun City, Village Versamedi, Taluka Najar, Kutuch, Anjar Gujarat – 370110,
Country :	India
Financials (as on) :	30.09.2011
Date of Incorporation :	27.06.2008
Com. Reg. No.:	04-020834
Capital Investment/ Paid-up Capital:	Rs.1300.824 Millions
CIN No.: [Company Identification No.]	U27100MP2008PLC020834
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer  of Hot Briquetted Iron (HBI),Direct Reduced Iron (DRI)
No. of Employees:	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 12300000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is subsidiary an of Welspun Corp limited. It is an established company having satisfactory track. The profitability appears to be low. 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 usually 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 – 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

EXTERNAL AGENCY RATING

Agency Name	Rating
CARE	BBB -

Rating Explanations

AAA (Highest Safety)	Instruments with this rating are considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry lowest credit risk.
AA (High Safety)	Instruments with this rating are considered to have high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risk.
A (Adequate Safety)	Instruments with this rating are considered to have adequate degree of safety regarding timely servicing of financial obligations. Such instruments carry low credit risk.
BBB (Moderate Safety)	Instruments with this rating are considered to have moderate degree of safety regarding timely servicing of financial obligations. Such instruments carry moderate credit risk.
BB (Moderate Risk)	Instruments with this rating are considered to have moderate risk of default regarding timely servicing of financial obligations.
B (High Risk)	Instruments with this rating are considered to have high risk of default regarding timely servicing of financial obligations.
C (Very High Risk)	Instruments with this rating are considered to have very high risk of default regarding timely servicing of financial obligations.
D (Default)	Instruments with this rating are in default or are expected to be in default soon.

RBI DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAILTERS’ 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 :	Welspun City, Village Versamedi, Taluka Najar, Kutuch, Anjar Gujarat – 370110, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	rashmi_mamtura@welspun.com
Corporate Office :	Welspun House, 7^th Floor, Kamala Mills Compound, Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India
Tel. No.:	91-22-66136000/24908000
Fax No.:	91-22-24908020/24908021
Plant Office :	Village Salav, P.O.Welspun Baug, District Raigad -402202, Maharashtra, India
Tel. No.:	91-2144 – 260110 to 260119
Fax No.:	91-2144-260122

DIRECTORS

As on 26.012.2011

Name :

Mr. Balkrishan Goenka

Designation :

Director

Address :

Rocky Isle 46-C, Bhulabhai Desai Road, Mumbai – 400 026, Maharashtra, India

Date of Birth/Age :

15.08.1966

Date of Appointment :

22.05.2009

Din No.:

00270175

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	L17110GJ1985PLC033271	WELSPUN INDIA LIMITED	Director	05/08/2011	17/01/1985	-	Active	NO
2	L99999DN1983PLC000045	WELSPUN SYNTEX LIMITED	Director	16/07/1991	16/07/1991	-	Active	NO
3	L65910DL1987PLC019341	WELSPUN FINANCE LIMITED	Director	16/04/1992	16/04/1992	15/06/2007	Active	NO
4	L27100GJ1995PLC025609	WELSPUN CORP LIMITED	Whole-time director	29/06/2011	26/04/1995	-	Active	NO
5	U18101MH1997PLC107982	WELSPUN ZUCCHI TEXTILES LIMITED	Director	13/05/1997	13/05/1997	20/05/2007	Active	NO
6	U17120GJ1985PTC056127	WELSPUN WINTEX LIMITED	Director	25/11/2002	25/11/2002	10/02/2010	Active	NO
7	U65910GJ1982PTC055383	WELSPUN FINTRADE Private Limited	Director	26/12/2002	26/12/2002	25/03/2011	Active	NO
8	U70100GJ1989PLC056345	WELSPUN MERCANTILE LIMITED	Director	26/12/2002	26/12/2002	25/03/2011	Active	NO
9	U65990GJ1992PLC050965	KRISHIRAJ TRADING LIMITED	Director	26/12/2002	26/12/2002	21/04/2010	Active	NO
10	U25209MH1994PLC076875	GOODVALUE POLYPLAST LIMITED	Director	24/03/2003	24/03/2003	11/06/2007	Active	NO
11	U51900MH1994PLC078026	VIPUNA TRADING LIMITED	Director	24/03/2003	24/03/2003	12/06/2007	Active	NO
12	U67120MH1994PLC078799	MERTZ SECURITIES LIMITED	Director	13/02/2004	13/02/2004	04/01/2007	Active	NO
13	U27109GJ2004PLC044249	WELSPUN STEEL LIMITED	Director	03/06/2004	03/06/2004	-	Active	NO
14	U74899DL1987PTC029192	GOLDENARCH ESTATES PRIVATE LIMITED	Director	18/02/2005	18/02/2005	31/03/2011	Active	NO
15	U51909GJ2002PLC041136	WELSPUN ENERGY LIMITED	Director	29/09/2010	07/06/2006	-	Active	NO
16	U70200MH1998PTC117426	WELSPUN DEVELOPERS AND INFRASTRUCTRE PRIVATE LIMITED	Director	05/08/2006	05/08/2006	-	Active	NO
17	U22210GJ1995PLC027871	WELSPUN ANJAR SEZ LIMITED	Director	16/08/2006	16/08/2006	21/05/2009	Active	NO
18	U11201GJ2006PTC064142	WELSPUN NATURAL RESOURCES PRIVATE LIMITED	Director	07/09/2006	07/09/2006	20/11/2008	Active	NO
19	U63012MH2006PLC165280	WELSPUN LOGISTICS LIMITED	Director	30/09/2010	30/10/2006	-	Active	NO
20	U40109MH2006PLC165964	WELSPUN URJA INDIA LIMITED	Additional director	08/11/2011	04/12/2006	-	Active	NO
21	U26960MH2007PTC167560	GIANT REALTY PRIVATE LIMITED	Director	05/02/2007	05/02/2007	-	Active	NO
22	U70109MH2007PTC168489	WELSPUN REALTY PRIVATE LIMITED	Director	08/03/2007	08/03/2007	05/11/2007	Active	NO
23	U45200MH1999PTC120035	MGN AGRO PROPERTIES PRIVATE LIMITED	Director	13/03/2007	13/03/2007	-	Active	NO
24	U45200GJ2007PLC064986	ALSPUN INFRASTRUCTURE LIMITED	Director	07/04/2007	07/04/2007	14/10/2011	Active	NO
25	U40100GJ2005PLC046554	Adani Welspun Exploration Limited	Director	29/09/2007	27/04/2007	-	Active	NO
26	U40108MH2007PTC170611	WELSPUN ENERGY ANUPPUR PRIVATE LIMITED	Additional director	08/11/2011	07/05/2007	-	Active	NO
27	U27108MH2007PLC171855	WELSPUN PIPES LIMITED	Director	20/06/2007	20/06/2007	15/01/2010	Active	NO
28	U45400DL2007PTC162485	Welspun Orissa Steel Private Limited	Director	01/09/2008	01/09/2008	21/07/2009	Active	NO
29	L52100GJ2008PLC055195	WELSPUN INVESTMENTS AND COMMERCIALS LIMITED	Director	07/10/2008	07/10/2008	08/11/2011	Active	NO
30	L51100GJ2000PLC037204	WELSPUN GLOBAL BRANDS LIMITED	Director	11/06/2009	10/11/2008	-	Active	NO
31	L27100GJ1993PLC020358	REMI METALS GUJARAT LIMITED	Additional director	15/11/2008	15/11/2008	07/11/2011	Active	NO
32	U27100GJ2008PLC064145	WELSPUN MAXSTEEL LIMITED	Director	16/08/2011	22/05/2009	-	Active	NO
33	U14220MH1989PTC050290	REFINED SALTS PRIVATE LIMITED	Director	21/07/2009	21/07/2009	-	Active	NO
34	U27109GJ2009PTC055893	WELSPUN STEEL RESOURCES PRIVATE LIMITED	Director	24/07/2009	24/07/2009	15/01/2010	Active	NO
35	L45201GJ1994PLC023920	WELSPUN PROJECTS LIMITED	Director	30/11/2010	27/04/2010	-	Active	NO
36	U45400MH2007PLC170350	WELSPUN INFRATECH LIMITED	Director	29/08/2011	18/04/2011	-	Active	NO
37	U99999MH1998FTC117187	Leighton Welspun Contractors Private Limited	Additional director	28/04/2011	28/04/2011	28/07/2011	Active	NO
38	U40300MH2009PLC197014	WELSPUN ENERGY MADHYA PRADESH LIMITED	Additional director	15/10/2011	15/10/2011	-	Active	NO

Name :

Mr. Mintoo Bhandari

Designation :

Nominee Director

Address :

35, Partridge Way, Holliston, MA 017462646

Date of Birth/Age :

19.08.1965

Date of Appointment :

18.08.2011

Din No.:

00054831

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	U72900MH2000PTC130279	VIEW CORPORATE ADVISORS PRIVATE LIMITED	Director	05/07/2001	05/07/2001	16/03/2008	Active	NO
2	U45400MH2007PTC176833	AGM India Advisors Private Limited	Managing director	06/11/2008	06/06/2008	-	Active	NO
3	L64200MH2006PLC160733	WIRE AND WIRELESS (INDIA) LIMITED	Alternate director	24/07/2008	24/07/2008	21/10/2008	Active	NO
4	L51909DL1988PLC101836	DISH TV INDIA LIMITED	Nominee director	16/12/2010	28/07/2008	-	Active	NO
5	U74120MH2010PTC210865	AION India Investment Advisors Private Limited	Director	09/05/2012	29/03/2011	-	Active	NO
6	L27100GJ1995PLC025609	WELSPUN CORP LIMITED	Nominee director	18/08/2011	18/08/2011	-	Active	NO
7	U27100GJ2008PLC064145	WELSPUN MAXSTEEL LIMITED	Nominee director	18/08/2011	18/08/2011	-	Active	NO

Name :

Mr. Utsav Baijal

Designation :

Nominee Director

Address :

561 ATS Greens, Sector 93A, Expressway Noida 201301

Date of Birth/Age :

11.12.1976

Date of Appointment :

17.12.2011

Din No.:

02592194

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	U45400MH2007PTC176833	AGM India Advisors Private Limited	Director	29/09/2009	21/03/2009	-	Active	NO
2	U27100GJ2008PLC064145	WELSPUN MAXSTEEL LIMITED	Nominee director	17/12/2011	17/12/2011	-	Active	NO
3	U45400MH2007PLC170350	WELSPUN INFRATECH LIMITED	Director	29/02/2012	29/02/2012	-	Active	NO
4	U51909GJ2002PLC041136	WELSPUN ENERGY LIMITED	Additional director	10/05/2012	10/05/2012	-	Active	NO

Name :

Vijay Singh Bapna

Designation :

Whole Time Director

Address :

5^th Floor, Room No. 503, Purna, 68-A, Sir Pochkhanwala Road, Worli, Mumbai – 400025, Maharashtra, India

Date of Birth/Age :

28.08.1948

Experience :

39 Years

Date of Appointment :

22.05.2009

Din No.:

02599024

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	L27100GJ1993PLC020358	REMI METALS GUJARAT LIMITED	Director	31/07/2010	05/03/2009	-	Active	NO
2	U27109GJ2004PLC044249	WELSPUN STEEL LIMITED	Whole-time director	01/04/2011	01/04/2009	-	Active	NO
3	U27100GJ2008PLC064145	WELSPUN MAXSTEEL LIMITED	Whole-time director	01/04/2011	22/05/2009	-	Active	NO
4	U14298MH2010PTC209181	WELSPUN MINERAL RESOURCES PRIVATE LIMITED	Director	30/12/2011	18/03/2011	-	Active	NO
5	U63023MH2005PLC158237	Oil Field Warehouse & Services Limited	Director	08/10/2011	08/10/2011	-	Active	NO

Name :

Madhav Vasant Phadke

Designation :

Nominee Director

Address :

Flat No. 3, Bldg No. 4B, Pereira Nagar CHS Ltd, Khopat, Behind ST Work Shop Thane- 400601

Date of Birth/Age :

19.06.1961

Date of Appointment :

18.03.2011

Din No.:

03432453

Name :

Rajesh Rameshkumar Mandawewala

Designation :

Additional Director

Address :

161/171-B, Tanna Residency Bay View, OPP. Sidhivinayak Temple, Prabhadevi Mumbai -400025 Maharashtra India

Date of Birth/Age :

05.05.1962

Date of Appointment :

31.01.2012

Din No.:

00007179

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	L17110GJ1985PLC033271	WELSPUN INDIA LIMITED	Managing director	01/04/2011	26/10/1989	-	Active	NO
2	L99999DN1983PLC000045	WELSPUN SYNTEX LIMITED	Director	10/10/2010	16/07/1991	-	Active	NO
3	L65910DL1987PLC019341	WELSPUN FINANCE LIMITED	Director	16/04/1992	16/04/1992	19/07/2010	Active	NO
4	L27100GJ1995PLC025609	WELSPUN CORP LIMITED	Director	26/04/2012	26/04/1995	-	Active	NO
5	U18101MH1997PLC107982	WELSPUN ZUCCHI TEXTILES LIMITED	Director	13/05/1997	13/05/1997	-	Active	NO
6	U17120MH1972GAT016028	ASSOCIATION OF SYNTHETIC FIBRE INDUSTRY	Nominee director	25/09/1999	25/09/1999	-	Active	NO
7	U17120GJ1985PTC056127	WELSPUN WINTEX LIMITED	Director	25/11/2002	25/11/2002	-	Active	NO
8	U65990GJ1992PLC050965	KRISHIRAJ TRADING LIMITED	Director	26/12/2002	26/12/2002	27/04/2012	Active	NO
9	U65910GJ1982PTC055383	WELSPUN FINTRADE Private Limited	Director	26/12/2002	26/12/2002	-	Active	NO
10	U70100GJ1989PLC056345	WELSPUN MERCANTILE LIMITED	Director	26/12/2002	26/12/2002	-	Active	NO
11	U01403MH2000PLC123779	MEP COTTON LIMITED	Director	27/06/2006	27/06/2006	15/03/2012	Active	NO
12	U70200MH1998PTC117426	WELSPUN DEVELOPERS AND INFRASTRUCTRE PRIVATE LIMITED	Director	05/08/2006	05/08/2006	-	Active	NO
13	U22210GJ1995PLC027871	WELSPUN ANJAR SEZ LIMITED	Director	16/08/2006	16/08/2006	19/07/2010	Active	NO
14	U27109GJ2004PLC044249	WELSPUN STEEL LIMITED	Director	01/09/2006	01/09/2006	-	Active	NO
15	U51909GJ2002PLC041136	WELSPUN ENERGY LIMITED	Additional director	15/05/2012	15/09/2006	-	Active	NO
16	U40109MH2006PLC165964	WELSPUN URJA INDIA LIMITED	Additional director	05/12/2006	05/12/2006	20/08/2007	Active	NO
17	U67120MH1994PLC078799	MERTZ SECURITIES LIMITED	Director	22/09/2007	04/01/2007	01/12/2008	Active	NO
18	U45200MH1999PTC120035	MGN AGRO PROPERTIES PRIVATE LIMITED	Director	13/03/2007	13/03/2007	-	Active	NO
19	U45200GJ2007PLC064986	ALSPUN INFRASTRUCTURE LIMITED	Director	07/04/2007	07/04/2007	-	Active	NO
20	U25209MH1994PLC076875	GOODVALUE POLYPLAST LIMITED	Director	11/06/2007	11/06/2007	01/12/2008	Active	NO
21	U51900MH1994PLC078026	VIPUNA TRADING LIMITED	Director	24/09/2007	12/06/2007	01/12/2008	Active	NO
22	L52100GJ2008PLC055195	WELSPUN INVESTMENTS AND COMMERCIALS LIMITED	Director	11/06/2009	10/11/2008	16/12/2009	Active	NO
23	L51100GJ2000PLC037204	WELSPUN GLOBAL BRANDS LIMITED	Director	01/04/2011	10/11/2008	-	Active	NO
24	U17120MH1967PLC013669	CONFEDERATION OF INDIAN TEXTILE INDUSTRY	Director	12/12/2008	12/12/2008	28/09/2010	Active	NO
25	U41000MH2009NPL194289	WEL-TREAT ENVIRO MANAGEMENT ORGANISATION	Director	22/07/2009	22/07/2009	17/11/2010	Active	NO
26	U72200GJ2001PLC039513	WELSPUN TRADINGS LIMITED	Additional director	04/03/2010	04/03/2010	19/07/2010	Active	NO
27	L25209DN1985PLC000162	NILKAMAL LIMITED	Additional director	01/08/2010	01/08/2010	30/07/2011	Active	NO
28	U45400MH2007PLC170350	WELSPUN INFRATECH LIMITED	Director	29/08/2011	18/04/2011	-	Active	NO
29	U27100GJ2008PLC064145	WELSPUN MAXSTEEL LIMITED	Additional director	31/01/2012	02/11/2011	-	Active	NO
30	L27100GJ1993PLC020358	REMI METALS GUJARAT LIMITED	Director	07/11/2011	07/11/2011	-	Active	NO
31	U25200GJ2005PTC046696	ANGEL POWER AND STEEL PRIVATE LIMITED	Additional director	21/11/2011	21/11/2011	-	Active	NO
32	L45201GJ1994PLC023920	WELSPUN PROJECTS LIMITED	Additional director	06/07/2012	06/07/2012	-	Active	NO

Name :

Ram Gopal Sharma

Designation :

Additional Director

Address :

E 707 Lok Sarita, Military Road, Marol, Andheri(E) Mumbai - 400059Maharashtra India

Date of Birth/Age :

11.09.1940

Date of Appointment :

31.01.2012

Din No.:

00026514

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	L27100GJ1995PLC025609	WELSPUN CORP LIMITED	Director	30/10/2004	30/10/2004	-	Active	NO
2	U27109GJ2004PLC044249	WELSPUN STEEL LIMITED	Director	10/05/2006	10/05/2006	-	Active	NO
3	L17110GJ1985PLC033271	WELSPUN INDIA LIMITED	Director	30/09/2009	25/08/2008	-	Active	NO
4	L27100GJ1993PLC020358	REMI METALS GUJARAT LIMITED	Director	29/04/2009	29/04/2009	-	Active	NO
5	U67120WB1951GOI020023	ALLBANK FINANCE LTD	Director	30/07/2009	30/07/2009	26/08/2011	Active	NO
6	U27100GJ2008PLC064145	WELSPUN MAXSTEEL LIMITED	Additional director	31/01/2012	16/08/2011	-	Active	NO

KEY EXECUTIVES

Name :	Jigar Shah
Designation :	Secretary
Address :	16, Kirti Kunj, Liberty Garden, Malad (West), Mumbai – 400 064, Maharashtra, India
Date of Birth/Age :	21.04.1987
Date of Appointment :	12.10.2011
Pan No.:	BMLPS6577G
Name :	Subhash Maheshwari
Designation :	President (Projects)
Name :	Partha S.Ghose
Designation :	President and Unit Head
Name :	Prakash Tatla
Designation :	President (marketing)
Name :	Pradeep Gokhroo
Designation :	President (Finance and Commerce)
Name :	Dilip singh
Designation :	Senior Vice President (Technical)
Name :	Narendra Bhandari
Designation :	Senior Vice President (Finance )

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 26.012.2011

Names of Shareholders	No. of Shares
Welspun Corp Limited, India	113622058
Insight Solutions Limited, Mauritius	16260294
Grasim Industries Ltd, India	198800
Mr. Dwarka Dass Rathi, India	200
Mr. Sanjeev Bafna	200
Mr. Pavan Kumar Jain	200
Mr. Ashok Malu	200
Mr. Hemant Kadel	200
Mr. Ravindra Kastia	200
Total	130082352

As on 26.012.2011

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	12.50
Bodies corporate	87.50
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer  of Hot Briquetted Iron (HBI),Direct Reduced Iron (DRI)

Product:

ITC number of product	Description of product or services
720310-00	SPONGE IRON

PRODUCTION STATUS As on 30.09.2011

Particulars	Unit	30.09.2011
Installed Capacity	MT	1350000
Actual Production	MT	1124416

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· IDBI Bank Limited, IDBI tower WTC Complex, Cuffe Parade, Mumbai -400005, Maharashtra, India

Facilities :

Rs. In Millions

SECURED LOAN	30.09.2011 (18 Months)	31.03.2010
Rupee term loans banks secured	6715.507	4891.970
Foreign currency loans banks secured	0.000	963.830
Working capital loans banks secured	68.024	213.283
Total	6783.531	6069.083

UNSECURED LOAN	30.09.2011 (18 Months)	31.03.2010
Rupee term loans banks unsecured	2000.000	0.000
Deferred sales tax loan unsecured	466.654	0.000
Total	2466.654	0.000

Financial Institutions:	IDBI Trusteeship Services Limited, Asian Building, Ground Floor, 17, RKamani Marg, Balard Estate, Mumbai- 400001, Maharashtra, India
Banking Relations :	--
Auditors :
Name :	MGB and Company Chartered Accountant
Address :	101-A Jolly Bhavan No 2 Opposite Nirmala Niketan 7 New Marine Lines Churchgate Mumbai 400020 India
Pan No.:	AAAFM5742R
Holding Company :	Welspun Steel Limited (upto 13 August 2011) Cin No.:U27109GJ2004PLC044249 Welspun Corp Limited (w.e.f 13 August 2011) Cin No.: L27100GJ1995PLC025609
Fellow Subsidiaries (w.e.f 13 August 2011) :	· Welspun Pipe Limited · Natural Resources Private Limited · Welspun Pipe Inc · Welspun Tradings Limited · Welspun Infratech Limited · Welspun Mauritius Holding Limited · Welspun Construction Private Limited · Welspun Middle East Pipe Company LLC · Welspun Middle East Pipe · Coating Company LLC · Welspun Middle East DMCC · Welspun Tubular LLC Welspun Global Trade LLC · Welspun Plastics Private Limited · Welspun Projects Limited · Welspun Road Projects Private Limited · Welspun Infra Projects Private Limited · Welspun Energy Maharashtra Private · Limited, MSK Projects (Himmatnagar Bypass) Private Limited · Welspun Energy Transportation Private Limited · Welspun Water Infrastructure Private Limited
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives:	· Remi Metals Gujarat Limited Cin No.:L27100GJ1993PLC020358 · Welspun India Limited Cin No.:L17110GJ1985PLC033271 · Welspun Projects Limited Cin No.:L45201GJ1994PLC023920 · Welspun Retail Limited Cin No.:U71210GJ2004PLC045144 · Welspun Global Brands Limited Cin No.:L51100GJ2000PLC037204 · Welspun Logistics Limited Cin No.:U63012MH2006PLC165280 · Mgn Agro Properties Private Limited Cin No.:U45200MH1999PTC120035 · Welspun Infratech Limited Cin No.:U45400MH2007PLC170350 · Welspun Fintrade Limited Cin No.:U65910GJ1982PLC055383

CAPITAL STRUCTURE

As on 30.09.2011 (18 Months)

Authorised Capital :

No. of Shares	Type	Value	Amount
272000000	Equity Share	Rs.10/- each	Rs.2720.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
130082352	Equity Share	Rs.10/- each	Rs.1300.824 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		30.09.2011 (18 Months)	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		1300.824	1300.824	1.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1841.355	1565.392	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		3142.179	2866.216	1.000
LOAN FUNDS
1] Secured Loans		6783.531	6069.083	0.000
2] Unsecured Loans		2466.654	0.000	0.000
TOTAL BORROWING		9250.185	6069.083	0.000
DEFERRED TAX LIABILITIES		301.865	103.225	0.000
TOTAL		12694.229	9038.524	1.000
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5781.371	5160.351	0.000
Capital work-in-progress		4135.943	2998.400	0.000
INVESTMENT		1324.479	29.906	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	3753.958	1753.218	0.000
	Sundry Debtors	2342.962	1261.755	0.000
	Cash & Bank Balances	8.349	80.093	0.471
	Other Current Assets	9.240	0.000	0.000
	Loans & Advances	765.222	424.873	0.000
Total Current Assets		6879.731	3519.939	0.471
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	388.006	867.403	0.005
	Other Current Liabilities	4990.118	1747.804	0.000
	Provisions	49.171	54.865	0.000
Total Current Liabilities		5427.295	2670.072	0.005
Net Current Assets		1452.436	849.867	0.466
MISCELLANEOUS EXPENSES		0.000	0.000	0.534
TOTAL		12694.229	9038.524	1.000

PROFIT & LOSS ACCOUNT

	PARTICULARS		30.09.2011 (18 Months)	31.03.2010	31.03.2009
	SALES
		Income	24237.009	10850.337	-
		Other Income	386.015	106.266	-
		TOTAL (A)	24623.024	10956.603	-
Less	EXPENSES
		Consumption materials changes inventories	20831.881	8757.015	-
		Manufacturing service costs	784.878	443.792	-
		Employee related expenses	437.548	252.191	-
		Administrative selling other expenses	453.641	239.645	-
		Exceptional Income	0.000	87.816	-
		TOTAL (B)	22507.948	9780.459
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		2155.076	1176.144	-
Less	FINANCIAL EXPENSES (D)		1167.103	730.470	-
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		947.973	445.674	-
Less/ Add	DEPRECIATION/ AMORTISATION (F)		424.679	236.699	-
	PROFIT BEFORE TAX (E-F) (G)		523.294	208.975	-
Less	TAX (H)		247.332	103.225	-
	PROFIT AFTER TAX (G-H) (I)		275.962	105.750	-
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		105.750	-	-
	BALANCE CARRIED TO THE B/S		381.712	105.750	-
	Earnings Per Share (Rs.)		2.12	2.57	-

KEY RATIOS

PARTICULARS		30.09.2011 (18 Months)	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.12	0.97	-
Net Profit Margin (PBT/Sales)	(%)	2.16	1.93	-
Return on Total Assets (PBT/Total Assets}	(%)	4.13	2.40	-
Return on Investment (ROI) (PBT/Networth)		0.17	0.07	-
Debt Equity Ratio (Total Liability/Networth)		4.67	3.04	0.00
Current Ratio (Current Asset/Current Liability)		1.27	1.31	94.20

LOCAL AGENCY FURTHER INFORMATION

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
Promoters background	Yes
No. of Employees	No
Name of Person Contacted	No
Designation of contact person	No
Turnover of firm for last two years	Yes
Profitability for last two years	Yes
Reasons for variation <> 20%	-
Estimation for coming financial year	No
Capital the business	Yes
Details of sister concerns	Yes
Major Suppliers	No
Major Customers	No
Payment Terms	No
Export / Import Details [If Applicable]	No
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	Yes
Incorporation details, if applicable	Yes
Last accounts filed at ROC	Yes
Major Shareholders, if applicable	Yes
PAN of Proprietor/Partner/Director, if available	No
Passport No of Proprietor/Partner/Director, if available	No
Voter ID No of Proprietor/Partner/Director, if available	No

FORM 8

Corporate identity number of the company	U27100MP2008PLC020834
Name of the company	WELSPUN MAXSTEEL LIMITED
Address of the registered office or of the principal place of business in India of the company	Welspun City, Village Versamedi, Taluka NAjar, Kutuch, Anjar Gujarat – 370110, India Email: rashmi_mamtura@welspun.com
This form is for	Creation of charge
Type of charge	· Book debts · Movable property · Floating Charge
Particular of charge holder	IDBI Bank Limited, IDBI tower WTC Complex, Cuffe Parade, Mumbai -400005, Maharashtra, India Email: giriraj.gupta@idbi.co.in
Nature of instrument creating charge	Deed of Hypothecation dated 12th September, 2011 executed between the Company and IDBI Bank Ltd at Delhi
Date of instrument Creating the charge	12.09.2011
Amount secured by the charge	Rs. 4000.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: As per the Sanction Letter of Charge holder as amended from time to time. Terms of Repayment As per the Sanction Letter of Charge holder as amended from time to time. Margin As per the Sanction Letter of Charge holder as amended from time to time. Extent and Operation of the charge First charge over the whole of the movable properties of the Borrower including plant and machinery, machinery spares, tools and accessories and movables both present and future, more particularly as per the attached Deed of Hypothecation dated 12th September, 2011.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	First charge over the whole of the movable properties of the Borrower including plant and machinery, machinery spares, tools and accessories and movables both present and future more particularly as per the attached Deed of Hypothecation dated 12th September, 2011.

CONTINGENT LIABILITY

Rs.In Millions

	As on 30.09.2011
Bank Guarantees	401.202
Claims against the Company not acknowledged as debts	28.852
Disputed service tax / excise duty and custom duty liabilities.# (Include dispute dues of Rs.53.623 Millions (Rs.53.622.000 Millions) for which bank guarantee issued)	2246.348
Bills discounted with Banks	315.131
Unexpired Letters of Credit (Net of liability provided)	471.373

# Does not include disputed custom duty of Rs. 86,010,267 since custom duty even if paid is admissible as Cenvat Credit (benefit) to the company.

FIXED ASSETS

Tangible Assets

• Land Freehold
• Lease Hold Land
• Buildings
• Plant and Machinery
• Office Equipments
• Furniture and Fixture
• Motor Vehicles

In Tangible Assets

• Goodwill

WEBSITE DETAILS

PROFILE

Subject was formed on 22 May, 2009 after Welspun Power and Steel Limited. completed the acquisition of Vikram Ispat, the Sponge Iron Business of Grasim Industries Limited.

Now part of the US$ 3 billion Welspun Group, the facility was set up in 1989 with design capacity of 0.75 million tons of Sponge Iron in the form of HBI (Hot Briquetted Iron) and an initial investment of Rs. 5250.000 millions.

Spread across 435 acres of land with a captive Port, the facility is located in the scenic beaches of Salav village in Raigad district of Maharashtra.

The facility today boasts of being the only natural gas-based DRI plant for merchant sale in India with a turnover of Rs. 10080.000 millions. (FY2008-09).

The Company currently has a work force of more than 550 employees and has an installed capacity of 0.900 million ton per annum.

Subject takes pride in being the first and the only one of its kind in the world to produce both HBI and DRI (Direct Reduced Iron) from the same Reactor" using state of the art technology “HYL III” from HYLSA of MEXICO and engineering expertise of Davy Dravo of USA. The facility is today connected to the main gas grid of India with access to GAIL, ONGC, KG Basin, LNG Petronet and Shell Hazira. It has a long-term tie-up of raw material with NMDC (for Iron-ore), GIIC Bahrain (for pellets) and GAIL and RIL (for Gas).

It is worthy to mention that Welspun plans to invest approximately Rs. 60000.000 millions with 330 MW power project technology provided by HYLSA (now owned by Tenova) on this facility over the next 2-3 years. This expansion on Gas Based DRI, Electric Arc Furnace and Secondary metallurgy will boost high-end slab making. Welspun believes that this state-of-the-art facility marks a new level of excellence in product quality and will fulfill the Group's vision of being an integrated player from ‘Iron ore to Pipes'.

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.55.76
UK Pound	1	Rs.86.80
Euro	1	Rs.67.43

INFORMATION DETAILS

Report Prepared by :

BYI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	6
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.