MIRA INFORM REPORT

Report Date :

10.03.2012

Tel. No.:	91-22-61140999
Fax No.:	91-22-61140940

IDENTIFICATION DETAILS

Name :	SAURADIP CHEMICAL INDUSTRIES PRIVATE LIMITED
Registered Office :	A-16, Royal Industrial Estate, Naigaon Cross Road, Wadala, Mumbai – 400031, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	06.03.1986
Com. Reg. No.:	11-039133
Capital Investment / Paid-up Capital :	Rs.0.100 Million
CIN No.: [Company Identification No.]	U24110MH1986PTC039133
TAN No.: [Tax Deduction & Collection Account No.]	MUMS57711D
PAN No.: [Permanent Account No.]	AADCS9990B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Speciality Chemicals.
No. of Employees :	37 (Approximately) [In Office – 7 and In Factory – 30]

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 10000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small 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 :	Ms. Vishakha
Designation :	Office Executive
Contact No.:	91-22-61140999
Date :	20.02.2012

LOCATIONS

Registered Office :	A-16, Royal Industrial Estate, Naigaon Cross Road, Wadala, Mumbai – 400031, Maharashtra, India
Tel. No.:	91-22-61140999
Fax No.:	91-22-61140940
E-Mail :	sauradip@hotmail.com mehernosh_kainaz@hotmail.com
Website :	www.sauradip.com
Location :	Owned
Factory :	Located at : · Vasai

DIRECTORS

As on 08.06.2011

Name :

Dr. Kishore Manilal Shah

Designation :

Director

Address :

B-62, Chinar, R.A. Kidwai Marg, Wadala, Mumbai – 400033, Maharashtra, India

Date of Birth/Age :

11.11.1938

Date of Appointment :

06.03.1986

DIN No.:

00343398

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	U24110MH1986PTC039133	SAURADIP CHEMICAL INDUSTRIES PRIVATE LIMITED	Director	6/03/1986	6/03/1986	-	Active	NO
2	U24110MH1983GAP029243	INDIAN SPECIALITY CHEMICAL MANUFACTURERS' ASSOCIATION	Director	6/09/2006	6/09/2006	-	Active	NO

Name :

Mr. Rajiv Kishore Shah

Designation :

Whole-time director

Address :

B-62, Chinar, R.A. Kidwai Marg, Wadala, Mumbai – 400033, Maharashtra, India

Date of Birth/Age :

12.03.1974

Date of Appointment :

02.04.1994

DIN No.:

00343450

Name :

Mrs. Sonali Ronak Sheth

Designation :

Director

Address :

B-62, Chinar, R.A. Kidwai Marg, Wadala, Mumbai – 400033, Maharashtra, India

Date of Birth/Age :

01.07.1970

Date of Appointment :

12.06.1991

DIN No.:

00439521

KEY EXECUTIVES

Name :	Ms. Vishakha
Designation :	Office Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 08.06.2011

Names of Shareholders	No. of Shares
Kishore Manilal Shah	6600
Rajiv Kishore Shah	1700
Jaidip Kishore Shah	1700
Total	10000

Equity Share Break up (Percentage of Total Equity)

As on 08.06.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Speciality Chemicals.
Terms :
Selling :	Cash/ Credit (30 – 60 days)
Purchasing :	Cash/ Credit (30 – 60 days)

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	Actual Production
Antistatic Oil and Conning Agent	Lts.	862212

GENERAL INFORMATION

Customers :

· Wholesalers

· Retailers

· End Users

· OEM’s

No. of Employees :

37 (Approximately) [In Office – 7 and In Factory – 30]

Bankers :

· Dena Bank, Matunga (Maheshwari Udyan) Branch, Matunga, Mumbai – 400014, Maharashtra, India

· Canara Bank

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Canara Bank – Car Loan (Secured by hypothecation of Motor Car)	0.087	0.173
Dena Bank – Machinery Loan (Secured by hypothecation of Machinery)	2.785	0.000
Dena Bank Cash Credit Facility (Secured by hypothecation of stock and receivables)	3.288	0.259
Total	6.160	0.432
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Directors	6.872	1.788
From Shareholders	2.856	1.072
Total	9.728	2.860

Banking Relations :	--
Auditors :
Name :	M. D. Dumasia and Company Chartered Accountants
Address :	611-A, Seva Samit Nagar, Sion Koliwada, Mumbai – 400037, Maharashtra, India
PAN.:	AACPD7122J

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
20000	Equity Shares	Rs.10/- each	Rs.0.200 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.10/- each	Rs.0.100 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		0.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2.706	2.035	1.759
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2.806	2.135	1.859
LOAN FUNDS
1] Secured Loans		6.160	0.432	0.250
2] Unsecured Loans		9.728	2.860	3.095
TOTAL BORROWING		15.888	3.292	3.345
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		18.694	5.427	5.204
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		6.077	1.168	0.809
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	5.791	2.707	1.285
	Sundry Debtors	9.377	9.887	3.298
	Cash & Bank Balances	0.118	0.034	0.735
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.756	1.269	0.898
Total Current Assets		16.042	13.897	6.216
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2.945	9.473	1.661
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	0.480	0.165	0.160
Total Current Liabilities		3.425	9.638	1.821
Net Current Assets		12.617	4.259	4.395
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		18.694	5.427	5.204

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	61.980	49.018	30.512
		Other Income	0.000	0.000	0.000
		TOTAL (A)	61.980	49.018	30.512
Less	EXPENSES
		Materials Consumed	50.332	39.048
		Direct Expenses	4.100	3.349
		Administrative Expenses	5.319	6.020
		TOTAL (B)	59.751	48.417
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		2.229	0.601
Less	FINANCIAL EXPENSES (D)		0.537	0.033
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1.692	0.568	30.200
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.702	0.174
	PROFIT BEFORE TAX (E-F) (G)		0.990	0.394	0.312
Less	TAX (H)		0.318	0.118	0.133
	PROFIT AFTER TAX (G-H) (I)		0.672	0.276	0.179
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1.512	1.236	NA
	BALANCE CARRIED TO THE B/S		2.184	1.512	1.236
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	2.532	1.530	0.000
	TOTAL EARNINGS		2.532	1.530	0.000
	Earnings Per Share (Rs.)		99.00	--	31.00

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.08	0.56	0.59
Net Profit Margin (PBT/Sales)	(%)	1.59	0.80	1.02
Return on Total Assets (PBT/Total Assets}	(%)	4.48	2.61	4.44
Return on Investment (ROI) (PBT/Networth)		0.35	0.18	0.17
Debt Equity Ratio (Total Liability/Networth)		6.88	6.06	2.78
Current Ratio (Current Asset/Current Liability)		4.68	1.44	3.41

LOCAL AGENCY FURTHER INFORMATION

Note:

The registered address of the company A/378, Achal Shanti Estate, Sonawala Marg, Goregaon (East), Mumbai – 400063, Maharashtra, India has been shifted to the present address w.e.f. 15.04.2011

OPERATIONS AND ACCOUNTS:

The year witnessed a stable one. The turnover was Rs.61.900 Millions as against Rs.49.000 Millions last year. The profit after tax was Rs. 0.987 Million as against Rs.0.276 Million last year. The antistatic oil business has become a crowded place with more and more new entrants who indulge in price cuts. The Directors have also changed the marketing strategy which they expect to enable the company to retain its good and established patronage.

Bankers Charges Report as per Registry

Corporate identity number of the company	U24110MH1986PTC039133
Name of the company	SAURADIP CHEMICAL INDUSTRIES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	4/378, Achal Shanti Estatesonawala Marg, Goregaon (East), Mumbai – 400063, Maharashtra, India Email : mehernosh_kainaz@hotmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90224916
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	Dena Bank, Matunga (Maheshwari Udyan) Branch, Matunga, Mumbai – 400014, Maharashtra, India Email : mahesh@denabank.co.in
Nature of instrument creating charge	Unattested Memorandum of Modification Hypothecation Agreement
Date of instrument Creating the charge	09.07.2010
Amount secured by the charge	Rs.7.700 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit - BPLR + 1.25% - 0.50% i.e. 13.25% p.a. Term Loan - BPLR + 1.25% - 0.50% + 0.50% i.e. 13.75% p.a. Terms of repayment Cash Credit - On Demand Term Loan to be repaid in 48 monthly installments of Rs.0.134 Million each Margin Cash Credit - Stock -30%, Book Debt -40%. Term Loan - 25% Extent and operation of the charge Security created by way of first charge and to cover the principal amount together with interest, charges, etc. Others Security created in respect of the following credit facilities: 1/ Cash Credit : Rs.3.000 Millions 2/ Term Loan (against Plant and Machinery) Rs.4.700 Millions Total...... Rs.7.700 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	All stock of raw materials, stock in process, finished goods such as chemicals, anti-static oil, textile ancillaries etc. consumable stores and spares, packing materials etc., both present and future being or hereafter brought into or upon or thereafter in course of transit to any godowns, jathas or place whatsoever and wheresoever in the possession or occupation of the Borrower. All tangible movable properties and assets of whatsoever nature including plant, machinery, tools and accessories, stores and spares relating to the plant and machinery, furniture articles and things belonging to the company and being at their premises / factories, at 378 Achal Shanti Estate, Sonawala Marg, Goregoan (East), Mumbai 400063, Maharashtra, India
Date of instrument modifying the charge	01.04.2002
Particulars of the present modification	Total amount secured stands enhanced from Rs.0.800 Million to Rs.7.700 Millions with increase in cash credit limit from Rs.0.800 Million to Rs.3.000 Millions and sanction of a fresh term loan of Rs.4.700 Millions. The aggregate amount of Rs.7.700 Millions is additionally secured against all present and future book debts, outstandings, moneys, receivables, claims, bills, rights etc.

FIXED ASSETS

· Goodwill

· Office Premises

· Plant and Machinery

· Air Conditioner

· Office Equipment

· Typewriter

· Mobile Phone

· Computer

· Vehicles

· Furniture

· Laboratory 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.50.02
UK Pound	1	Rs.79.01
Euro	1	Rs.66.18

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	2
--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.