MIRA INFORM REPORT

Report Date :

05.06.2012

IDENTIFICATION DETAILS

Name :	SUMATEX LIMITED (w.e.f.13.08.2007)
Formerly Known As :	SUMATEX SERVICES LIMITED (w.e.f.20.07.2007) SUMATEX SERVICES PRIVATE LIMITED
Registered Office :	H-81, RIICO Industrial Area, Pur Road, Bhilwara – 311 001, Rajasthan
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	23.01.1998
Com. Reg. No.:	17-014593
Capital Investment / Paid-up Capital :	Rs.70.000 millions
CIN No.: [Company Identification No.]	U29262RJ1998PLC014593
TAN No.: [Tax Deduction & Collection Account No.]	JDHS02916E
PAN No.: [Permanent Account No.]	AAFCS0342F
Legal Form :	A Closely held Public Limited Liability Company
Line of Business :	Manufactures and Exporters of selvedge design machines, pattern maker machines, textile weaving machine, jacquard design, weaving machines etc.
No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Maximum Credit Limit :	USD 900000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There is some dip in the turnover and profitability of the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealing with some cautions.

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 :	MS. Garima
Designation :	Market Department
Contact No.:	91-1482-260693
Date :	17.05.2012

LOCATIONS

Registered Office :	H-81, RIICO Industrial Area, Pur Road, Bhilwara – 311 001, Rajasthan
Tel. No.:	91-1482-260693 / 260296 / 260496 / 320750
Mobile No.:	91-9352110778 (Mr. Dinesh)
Fax No.:	91-1482-260575
E-Mail :	sumatex.sanjeev@gmail.com sumatex@sancharnet.in sudeepmalu@gmail.com ssibhi@bankofbaroda.com
Website :	http://www.sumatex.com
Location :	Owned
Factory :	SPL-1, Riico Industrial Area, Phase I and II Billya, Bilwara- 311001, Rajasthan, India

DIRECTORS

As on 28.09.2011

Name :

Mr. Sudeep Malu

Designation :

Managing Director

Address :

A-19, R. K. Colony, Bhilwara–311 001, Rajasthan, India

Date of Birth/Age :

21.08.1961

Qualification :

Graduate, Charted Engineer.

Date of Appointment :

23.01.1998

DIN No :

00177659

Other directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U29262RJ1998PLC014593	SUMATEX LIMITED	Managing director	2/9/2009	23/01/1998	-	Active	NO
2	U29261RJ2003PTC018845	RAJ TEX MACHINARY PRIVATE LIMITED	Director	30/12/2003	30/12/2003	-	Active	NO

Name :

Mr. Sunil Agarwal

Designation :

Whole time- Director

Address :

Sarkari Darwaza, Bhjilwara-311001, Rajasthan, India

Date of Birth/Age :

06.05.1961

Qualification :

B.Tech

Date of Appointment :

30.10.2009

DIN No :

02822627

Name :

Mr. Naveen Kumar Kakani

Designation :

Director

Address :

C-9, Shastri Nagar, Bhilwara-311001, Rajasthan, India

Date of Birth/Age :

17.07.1975

Qualification :

Charted Accountant

Date of Appointment :

05.10.2009

DIN No :

00935794

Other directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U17120MH2003PTC140385	AVIVA COATS PRIVATE LIMITED	Director	9/5/2003	9/5/2003	-	Active	NO
2	U29262RJ1998PLC014593	SUMATEX LIMITED	Director	21/11/2009	5/10/2009	8/3/2012	Active	NO
3	U67120RJ2010PTC032183	EMPOWER BROKING PRIVATE LIMITED	Director	23/06/2010	23/06/2010	-	Active	NO
4	U67110MH2010PTC205524	Green Money Advisors Private Limited	Director	16/07/2010	16/07/2010	-	Active	NO

Name :

Mr. Surendra Chandna

Designation :

Director

Address :

2-F-8, New Housing Board, Shastri Nagar, Bhilwara-311001, Rajasthan, India

Date of Birth/Age :

17.08.1961

Qualification :

B. Tech.

Date of Appointment :

31.10.2009

DIN No :

00923696

Name :

Mr. Surbhit Malu

Designation :

Director

Address :

A-19, R. K. Colony, Bhilwara–311 001, Rajasthan, India

Date of Birth/Age :

31.07.1989

Qualification :

MBA

Date of Appointment :

28.09.2011

DIN No.:

02491895

Other directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U29262RJ1998PLC014593	SUMATEX LIMITED	Director	28/09/2011	30/05/2009	-	Active	NO
2	U29261RJ2003PTC018845	RAJ TEX MACHINARY PRIVATE LIMITED	Director	15/03/2011	15/03/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Anurag Puri Goswami
Designation :	Secretary
Address :	A 323 Harikesh – Vila Vidhyut Nagar, Bhilwara - 311001, Rajasthan, India
Date of Birth/Age :	10.06.1983
Date of Appointment :	25.06.2011
PAN No :	ANUPG1519K

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2011

Names of Shareholders	No. of Shares
	3972456
Supriya Malu	1092344
Sudeep Malu HUF	662600
Surbhit Malu	193200
Sonali Lunawat	210000
Sunita Khicha	126000
Mohan Singh Jain	145320
Nirmal Jain	064680
Sulz Fab Private Limited, India	126000
Crest Latex Private Limited, India	172200
Cardoid Plasteel Private Limited, India	235200
Total	7000000

AS on 28.09.2011

Equity Share Break up (Percentage of Total Equity)

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

BUSINESS DETAILS

Line of Business :	Manufactures and Exporters of selvedge design machines, pattern maker machines, textile weaving machine, jacquard design, weaving machines etc.
Products :	Computerized Pattern Makers (selvedges NAME WRITER) used by the we making patterns, designs erc. on fabric selsvedged Accumulators for weft insertion Software for development of designs for dobbies / full width furnishing fab pattern makers for name, fabric selvedge bands Full Width Electronic Jacqards in variants of 672,1344 2688 or 5376 hooks users
Exports :
Products :	Selvedge design machines, pattern maker machines, textile weaving machine, jacquard design, weaving machines
Countries :	· Turkey · Nepal
Terms :
Selling :	Depends
Purchasing :	Depends

GENERAL INFORMATION

Customers :

Manufacturer

No. of Employees :

300 (Approximately)

Bankers :

Bank of Baroda, SSI Branch, Pur Road, Bhilwara-311001, Rajasthan, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 30.06.2010 (Rs. in Millions)
Working capital loans banks secured	97.763	50.189
Loans taken for vehicles secured	2.342	0.436
Loans taken for other fixed assets secured	25.538	32.063
Total	125.643	82.688
Secured Loan	As on 31.03.2011 (Rs. in Millions)	30.06.2010 (Rs. in Millions)
Loans directors unsecured	0.000	2.169
Total	0.000	2.169

Banking Relations :	--
Auditors :
Name :	R C Somani and Associate Chartered Accountant
Address :	201, Ahinsa Tower, Bhilwara-311001, Rajasthan, India
Related Party :
	· M/s Rajtex Machinery Private Limited · M/s Mayur Fabrics Private Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
15000000	Equity Shares	Rs. 10/- each	Rs. 150.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2005000	Equity Shares	Rs. 10/- each	Rs. 20.050 millions
4995000	Equity Shares	Rs. 10/- each	Rs. 49.950 millions
	Total		Rs. 70.000 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011 (9 month)	30.06.2010	30.06.2009
SHAREHOLDERS FUNDS
1] Share Capital		70.000	70.000	6.450
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		156.087	155.826	111.074
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		226.087	225.826	117.524
LOAN FUNDS
1] Secured Loans		125.643	82.688	58.687
2] Unsecured Loans		0.000	2.169	2.500
TOTAL BORROWING		125.643	84.857	61.187
DEFERRED TAX LIABILITIES		3.345	3.484	2.523
OTHER LIABILITIES		3.931	4.090	3.451
TOTAL		359.006	318.257	184.685
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		225.803	215.641	115.617
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.115	0.128	0.166
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	103.490	57.844	37.772
	Sundry Debtors	10.905	24.867	20.042
	Cash & Bank Balances	8.004	5.699	7.064
	Other Current Assets	0.156	0.156	0.000
	Loans & Advances	20.147	16.131	19.677
Total Current Assets		142.702	104.697	84.555
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	11.234	11.601	10.466
	Other Current Liabilities	0.000	0.000	5.228
	Provisions	4.921	4.513	6.985
Total Current Liabilities		16.155	16.114	22.679
Net Current Assets		126.547	88.583	61.876
MISCELLANEOUS EXPENSES		6.541	13.905	7.026
TOTAL		359.006	318.257	184.685

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011 (9 month)	30.06.2010	30.06.2009
	SALES
		Income	173.230	186.171	177.406
		Other Income	7.932	8.058	3.591
		TOTAL (A)	181.162	194.229	180.997
Less	EXPENSES
		Consumption materials changes inventories	123.407	116.222
		Manufacturing service costs	4.541	5.219
		Contract cost	1.856	11.362
		Employee related expenses	15.262	19.451
		Administrative Expenses	10.650	10.028
		TOTAL (B)	155.716	162.282	155.551
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		25.446	31.947	25.446
Less	FINANCIAL EXPENSES (D)		8.376	8.431	8.052
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		17.070	23.516	17.394
Less/ Add	DEPRECIATION/ AMORTISATION (F)		14.011	11.693	5.907
	PROFIT BEFORE TAX (E-F) (G)		3.059	11.823	11.487
Less	TAX		1.755	3.467	1.449
	PROFIT AFTER TAX		1.304	8.356	10.038
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		17.396	22.045	12.007
Less	APPROPRIATIONS		0.000	13.005	0.000
	BALANCE CARRIED TO THE B/S		18.699	17.396	22.045
	EARNINGS IN FOREIGN CURRENCY		3.341	0.137	0.966
	TOTAL EARNINGS		3.341	0.137	3.478
	IMPORTS
	CIF Value Of Imports		21.003	26.477	25.124
	TOTAL IMPORTS		21.003	26.477	25.124
	Earnings Per Share (Rs.)		0.19	Na	Na

(Rs. In millions)

Particulars	31.03.2012
Sales Turnover (Approximately)	250.000

Expected Sales (2012-2013): Rs.270.000 millions.

The above information has been parted by Ms. Garima.

KEY RATIOS

PARTICULARS		31.03.2011 (9 month)	30.06.2010	30.06.2009
PAT / Total Income	(%)	0.72	4.32	5.55
Net Profit Margin (PBT/Sales)	(%)	1.77	6.35	6.47
Return on Total Assets (PBT/Total Assets}	(%)	0.83	3.69	5.74
Return on Investment (ROI) (PBT/Networth)		0.01	0.05	0.10
Debt Equity Ratio (Total Liability/Networth)		0.62	0.48	0.74
Current Ratio (Current Asset/Current Liability)		8.83	6.49	3.73

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	No
5) Type of Business	Yes
6) Line of Business•	Yes
7) Promoter’s background	Yes
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	No
18) Major customers	Yes
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
21) Market information	--
22) Litigations that the firm / promoter	--
23) Banking Details	Yes
24) Banking facility details	No
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

OPERATIONS:

The company has manufactured and sold Computerized Pattern Makers Machine during the year including its all the models. The company has done job wok and trading of fabric during the the period. The company has its turnover of Rs. 187.700 from the previous period of twelve months Rs. 191.200 millions, The company has enlarged its customer base and started exporting its products during the Year.

The company has participated in various shows. The company has launched various new variants of its Comp Pattern make during the year. The company maintains its Leadership in CPM and having largest market share in India as Indian manufacturer.

Product development has been the key focus area of the company in Jacquard technology.

The company has successfully completed various development project. During the financial year company has carried out work on different development projects under progress. Significant progress in development works in core projects like complete range of Computerized Pattern Makers for full width loom, needle and narrow fabric looms has taken place.

During the financial year company has started software development for Full Width Computerized Pattern Makers (hooks range 672 to 2688). In this software company has work on. Adding a lots of new feature with worldwide software. Additional this the company has started development of Dobby designing software.

Bankers Charges Report as per Registry

Corporate identity number of the company	U29262RJ1998PLC014593
Name of the company	SUMATEX LIMITED
Address of the registered office or of the principal place of business in India of the company	H-81, RIICO Industrial Area, Pur Road, Bhilwara – 311 001, Rajasthan, India Email : sudeepmalu@gmail.com
This form is for	Creation of charge
Type of charge	Immovable property Book debts Movable property (not being pledge)
Particular of charge holder	Bank of Baroda, SSI Branch, Pur Road, Bhilwara-311001, Rajasthan, India Email : ssibhi@bankofbaroda.com
Nature of instrument creating charge	Supplemental composite agreement of hypothecation of goods, book debts, movable machinery and vehicles Supplemental memorandum of entry
Date of instrument Creating the charge	15.02.2012
Amount secured by the charge	Rs. 150.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest @ 5.50 % over the base rate payable at monthly rest Terms of Repayment Repayable in 20 quarterly installments of Rs. 7.50 Lacs each w.e.f. 30.04.2012 interest will be charged as and when due. Margin Margin - 28.59 % Extent and Operation of the charge Hypothecation all the stock of raw materials, SIP, finished goods, consumable spares, packing materials, book debts, all the movable machinery, stores, spares parts etc. of borrower (present and future) Extension of EM of factory land and building situated at SPL-1, Riico Industrial area, Phase I and II, Biliya, Bhilwara. Extension of EM of factory land and building situated at H-79-80-81, F-77-A, E-1-81-A, Riico Ind. area, Bhilwara, together with all structures thereon and attached plant and machinery.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation all the stock of raw materials, SIP, finished goods, consumable spares, packing materials, Book debts, all the movable machinery, stores, spares parts etc. present and future. Extension of equitable mortgage of factory land and building situated at H-79,80,81, Riico Industrial area, Bhilwara together with all structures thereon and attached plant and machinery. Extension of equitable mortgage of factory land and building situated at H-79, 80, 81, Riico Industrial area, Bhilwara together with all structures thereon and attached plant and machinery. Extension of equitable mortgage of factory land and building situated at F-77-A, Riico Industrial area, Bhilwara, together with all structures thereon and attached plant and machinery. Extension of equitable mortgage of factory land and building situated at E-1-81-A, Riico Industrial area, Bhilwara, together with all structures thereon and attached plant and machinery.

FIXED ASSETS

· Land

· Building

· Plant and Machinery

· Furniture and Fixture

· Tools

· Vehicles

· Computer

· Air Conditioner

· Tube Well

· Compressor

· Office Equipment

WEB SIDE DETAILS

HISTORY

Subject has been one of the pioneers for the weaving industry with decade long immaculate track record in enhancing productive efficiency and competitiveness of the weaving industry and emerging as one of the fastest growing textile engineering Company. They have been the first Indian company to manufacture Electronic controlled Computerized Pattern Maker (CPM) Ranging from 24 – 6000 hooks in different models for different means and purposes. CPM (s) are used by the weaving industry for making furnishing fabrics and to make patterns, designs, names and styles on various purposes fabric. As of now more than 7000 installations in different versions and models and more than 300 satisfied customers all over India speaks for our products and services.

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.55.92
UK Pound	1	Rs.86.03
Euro	1	Rs.69.13

INFORMATION DETAILS

Information Gathered by :	SBA
Report Prepared by :	DPK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		29

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.