MIRA INFORM REPORT

Report Date :

09.05.2012

IDENTIFICATION DETAILS

Name :	A INNOVATIVE INTERNATIONAL LIMITED
Registered Office :	307, 3rd Floor, 'Sampada', Behind Tulsi Complex, Mithakhali Six Road, Navarangpura, Ahmadabad 380009, Gujarat
Country :	India
Financials (as on) :	30.09.2011
Date of Incorporation :	24.02.2009
Com. Reg. No.:	04-056203
Capital Investment / Paid-up Capital :	Rs.12.500 millions
CIN No.: [Company Identification No.]	U29190GJ2009PLC056203
IEC No.:	0809003091
TAN No.: [Tax Deduction & Collection Account No.]	AHMA08842B
PAN No.: [Permanent Account No.]	AAHCA5842J
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Trader of Water Jet Cutting Machines, Laser Machines, Plasma Cutting machines etc.
No. of Employees :	100 Approximately

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 56000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a successor of A Innovative, a partnership concern started in year 2005. It 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. The company can be considered for business dealings with some caution.

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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
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. Hardik Shah
Designation :	Manager
Contact No.:	91-9925123460
Date:	21.04.2012

LOCATIONS

Registered Office :	307, 3rd Floor, 'Sampada', Behind Tulsi Complex, Mithakhali Six Road, Navarangpura, Ahmedabad 380009, Gujarat, India
Tel. No.:	91-79-26565731
Mobile no.:	91-9825123460 (Mr. Jayesh Patel) 91-9825802213 (Mr. Nareshbhai B. Patel)
Fax No.:	91-79-26561238
E-Mail :	sales@ainnovative.in ainnovative@hotmail.com
Website :	www.ainnovative.in www.waterjet.co.in
Area :	1000 sq. ft.
Location :	Rented
Factory :	34, 35, 36, Saket Industrial Estate, Opposite Royal Touch Aluminum, Changodar Circuit Bavla Highway, Ahmadabad, Gujarat, India
Location :	Owned

DIRECTORS

AS ON: 30.09.2011

Name :	Mr. Pankaj Shantilal Dadhaniya
Designation :	Director
Address :	A-901, 8^th Floor, Sepal Residency, Ashwamegh Bunglow – 132 Ring Road, Satilite, Ahmadabad – 380015, Gujarat, India
Date of Birth/Age :	21.02.1973
Date of Appointment :	24.02.2009
Din No.:	02715975
Name :	Mr. Krunal J Bhalodia
Designation :	Director
Address :	201, Odyssey Tower Milapnagar, Main Road Uni Road, Rajkot, Gujarat, India
Date of Birth/Age :	28.12.1985
Date of Appointment :	02.07.2009
Din No.:	02641623
Name :	Mr. Ankit R Hansaliya
Designation :	Director
Address :	Vivek, 2 Jalara Society, Behind Asharmesh Apartment, Uni Road, Behind, Rajkot, Gujarat, India
Date of Birth/Age :	02.07.1986
Date of Appointment :	02.07.2009
Din No.:	02641279
Name :	Mr. Alpesh S Dadhaniya
Designation :	Director
Address :	B/504, Pushpvan Apartments, Behind LOC Petrol Pump , Judges Bunglow Road, Bodakdev, Ahmadabad, Gujarat, India
Date of Birth/Age :	07.10.1971
Date of Appointment :	02.07.2009
Din No.:	02100802
Name :	Mr. Jayesh Dilipkumar Patel
Designation :	Director
Address :	‘Vishal’ Near Vidhyanagar High School, Narayan Chambers Road, India Colony, Ahmadabad – 380024, Gujarat, India
Date of Birth/Age :	15.11.1980
Date of Appointment :	24.02.2009
Din No.:	00470506

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON: 30.09.2011

Names of Shareholders	No. of Shares
A International Private Limited, Gujarat, India	564500
Jayeshbhai Dilipbhai Patel	10000
Tejaiben Jayeshbhai Patel	20000
Chiragbhai Chandubhai Patel	30000
Hemangbhai Bipinbhai Patel	30000
Ravibhai Pankajbhai Patel	30000
Gautambhai Kishorbhai Bhanvadaiya	10000
Gauravbhai Kishorbhat Bhanvadaiya	10000
Pankajbhai Shantilal Dahaniya	10000
Ripaben Pankajbhai Dahaniya	20000
Alpeshbhai Shantilal Dahaniya	10000
Brindaben Shantilal Dahaniya	20000
Jayrambhai Mavjibhai Bhalodiya	20000
Daxitaben Jayarambhai Bhalodiya	85100
Krunalbhai Jayrambhai Bhalodiya	42400
Jayantibhai Mavjibhai Bhalodiya	20000
Shilpaben Jayantibhai Bhalodiya	10000
Raj Jayantibhai Bhalodiya	10000
Natwarlal M. Hansaliya	25000
Rameshbhai M. Hansaliya	25000
Ankitbhai Rameshbhai Hansaliya	100000
Ashvinbhai Laljibhai Manvar	1750
Mitravadan Ashvinbhai Manvar	1800
Kantilal Khimjibhai Dharsandiya	1850
Chandubhai Mohanbhai Medapara	1600
Muktaben Chandubhai Madapara	1700
Mavjibhai Mohanhbhai Patel	1650
Premjibhai Mohanbhai Patel	1950
Bharatbhai Premjibhai Patel	1800
Piyushbhai Rameshbhai Patel	1750
Rameshbhai Dhanjibhai Patel	1850
Amrutbhai Jadavjibhai Godhani	1600
Natwarlal Jadavjibhai Godhani	1750
Arvindbhai Harkhabhai Bhensdadiya	1800
Arjanbhai Harkhabhai Bhensdadiya	1750
Kantaben Rameshbhai Patel	1800
Dakshaben Bharatbhai Patel	1850
Shaileshbhai Odhavjibhai Patel	1900
Vimalbhai Ratilal Patel	1900
Nitinbhai Ratilal Patel	1900
Vanitaben Ratilal Palel	1750
Nimishaben Vimalbhai Patel	1700
Jignaben Nitinbhai Patel	1700
Kajal Balkrishna Savalia	1700
Poonam Neelendu Savalia	1850
Balkrishna Dhirajlal Savalia	1650
Anand Jayeshbhai Kansangara	1800
Krupal Jayeshbhai Kansangara	1900
Vivek H. Hansaliya	70000
Kirtiben M Hansaliya	30000
Total	1250000

AS ON: 30.09.2011

Category	Percentage
Bodies corporate	45.16
Directors or relatives of Directors	54.84
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Trader of Water Jet Cutting Machines, Laser Machines, Plasma Cutting machines etc.
Products :	CNC Cutting Table: DWJ 15/20 Series Flying Arm CNC Water jet Table, DWJ 15 Series Bridge CNC Water jet Table, DWJ 30 Series Bridge CNC Water jet Table  Ultra High Pressure Pump:  KMT Series UHP Pumps, Dardi Series UHP Pumps Optional Accessories: KMT Abrasive Management System, Multiple Cutting Heads, Collision Protection System.
Exports :
Products :	Water Jet Cutting Machines and Laser Cutting Machines
Countries :	· Middle East · Dubai · Africa
Imports :
Products :	Machine Components
Countries :	· China · Germany
Terms :
Selling :	Before Delivery
Purchasing :	Before Delivery

GENERAL INFORMATION

Customers :

· Others

· Manufacturer

No. of Employees :

100 Approximately

Bankers :

· Bank of India, Vastrapur Branch, 27,28,29 Super Plaza, Sandesh Press Road Bodakdev, Ahmadabad 380054, Gujarat, India

· Allahabad Bank, Centralised Retail Banking Boutique, Bhagwati Chambers, Opp. Gujarat Vidhyapith, Ahmadabad – 380013, Gujarat, India

Facilities :

Secured Loan		Rs. In Millions 31.03.2011		Rs. In Millions 31.03.2010
Term Loan
From Bank of India		9.437		11.625
Working Capital Loan		18.600		6.967
From Bank of India*		1.325		0.497
Total		29.362		18.593
Note : * Secured against Primary Security EM of Factory Land and Building at Plot No. 34,35 and 36, Saket Ind. Estate, Vighag 11, Village: Moraiya, Tal: Sanand, Dist: Ahmadabad Hypothecation of Plant and Machineries and other assets Hypothecation of Stock and Book debts Collateral Security EM of residential Appt. 902, Odyssey Tower, Milap Nagar, Rajkot (In name of Jayantibhai M Bhalodiya) EM of Industrial Plot No. 2301 at OM Industries, GIDC Rajkot, owned by M/s. OM Industries Industrial Plot and Building at Block No. 54P, Bileshwarpura, Tal: Kalol, Dist : Gandhinagar, in name of M/s. A International Private Limited.
Unsecured Loan	Rs. In Millions 31.03.2011		Rs. In Millions 31.03.2010
Inter Corporate Deposits	3.789		11.991
From Directors and Others	3.627		0.613
Total	7.416		12.604

Banking Relations :	--
Auditors :
Name :	B. H. Mangrolia and Company Chartered Accountant
Address :	408’ Mahakant’, Opposite V.S. Hospital, Ashram Road, Ahmadabad – 380006, Gujarat, India
Tel No.:	91-79-26578527
Fax No.:	91-79-26576849
E mail :	info@bhamangarolia.com
Parent Company:	· Chamak Paintchem Limited Address : 1471, Mahavir Nagar, Thakkarbapa Nagar, National Highway No.8, Ahmadabad – 382350, Gujarat, India Line of Business : Trading in Lime, Lime Products and Cement paints etc.
Related Parties :	· A International Private Limited Address : 410, 4^th Floor, 'Sampada', Behind Tulsi Complex, Mithakhali Six Road, Navarangpura, Ahmedabad 380009, Gujarat, India Line of Business : Manufacturer and Trader of Water Jet Cutting Machines, Laser Machines, Plasma Cutting machines etc. · Chamak Paint and Adhesives · Chamak Polymers Private Limited · Chamak Paint Industries · Calcium Chemical Industries · Chamak Lime Products Private Limited · Chamak Lime Agency

CAPITAL STRUCTURE

AS ON: 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs. 10/- each	Rs. 15.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs. 10/- each	Rs.12.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		12.500	12.500
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		1.448	0.240
4] (Accumulated Losses)		0.000	0.000
NETWORTH		13.948	12.740
LOAN FUNDS
1] Secured Loans		29.362	18.593
2] Unsecured Loans		7.416	12.604
TOTAL BORROWING		36.778	31.197
DEFERRED TAX LIABILITIES		0.193	0.110
TOTAL		50.919	44.047
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		22.674	20.254
Capital work-in-progress		0.000	0.000
INVESTMENT		0.020	0.020
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	34.694	16.643
	Sundry Debtors	3.640	13.075
	Cash & Bank Balances	2.313	1.049
	Other Current Assets	0.000	0.000
	Loans & Advances	11.960	3.180
Total Current Assets		52.607	33.947
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	12.375	8.696
	Other Current Liabilities	12.007	1.407
	Provisions	0.000	0.071
Total Current Liabilities		24.382	10.174
Net Current Assets		28.225	23.773
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		50.919	44.047

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Sales	67.287	35.040
		Other Income	2.255	2.188
		TOTAL (A)	69.542	37.228
Less	EXPENSES
		Cost of Raw Materials Consumed	11.445	0.926
		Purchases and Other Direct Expenses	53.354	41.447
		Payments to and Provision for Employees	2.701	1.274
		Administrative and Other Expenses	7.115	5.856
		Selling and Distribution Expenses	2.754	2.180
		Valuation Of Stock	(14.142)	(16.632)
		TOTAL (B)	63.227	35.051
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		6.315	2.177
Less	FINANCIAL EXPENSES (D)		3.163	1.333
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.152	0.844
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.449	0.422
	PROFIT BEFORE TAX (E-F) (G)		1.703	0.422
Less	TAX (I)		0.496	0.181
	PROFIT AFTER TAX (G-I) (J)		1.207	0.240
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.240	--
	BALANCE CARRIED TO THE B/S		1.448	0.241
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	4.769	3.810
	TOTAL EARNINGS		4.769	3.810
	IMPORTS
		Raw Materials	20.666	18.590
	TOTAL IMPORTS		20.666	18.590
	Earnings Per Share (Rs.)		0.97	0.19

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010
PAT / Total Income	(%)	1.73	0.64
Net Profit Margin (PBT/Sales)	(%)	2.53	1.20
Return on Total Assets (PBT/Total Assets}	(%)	2.26	0.77
Return on Investment (ROI) (PBT/Networth)		0.12	0.03
Debt Equity Ratio (Total Liability/Networth)		4.38	3.24
Current Ratio (Current Asset/Current Liability)		2.15	3.33

LOCAL AGENCY FURTHER INFORMATION

OPERATION:

Though this being first year, the company has achieved sales turnover at its projected target of Rs. 35.041 millions and booked net profit of Rs.0.241 millions.

Note:

The company was Partnership firm in the name of A Innovative established in the year 2005 than it changed to Private Limited which was incorporated in February 2009. it had started its business activity from 1^st April, 2009.

FORM 8

Corporate identity number of the company	U29190GJ2009PLC056203
Name of the company	A INNOVATIVE INTERNATIONAL LIMITED
Address of the registered office or of the principal place of business in India of the company	307, 3rd Floor, 'Sampada', Behind Tulsi Complex, Mithakhali Six Road, Navarangpura, Ahmedabad 380009, Gujarat, India
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	Allahabad Bank, Centralised Retail Banking Boutique, Bhagwati Chambers, Opp. Gujarat Vidhyapith, Ahmadabad – 380013, Gujarat, INDIA
Nature of instrument creating charge	Agreement for medium term loans and Hypothecation of vehicles/vessels executed between borrowers and the bank dated 28/01/2011 to secure facility namely Allbank Commercial Vehicle Finance.
Date of instrument Creating the charge	28.01.2011
Amount secured by the charge	Rs. 760.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest 10.50% (1.50% p.a. floating rate over the Allahabad Prime Lending rate which is at present 9.00 p.a. ) Terms of repayment Term Loan repayable by 60 EMIs of Rs. 0.016 millions the first installment shall be payable to the bank on 28.02.2011 ............. and the remaining installments shall be paid to the Bank on or before the same day of each month, third month or sixth month as the case may be, until the entire loan has been repaid. Margin 20% Extent and operation of the charge The present Charge shall remain hypothecated to the Allahabad Bank by way of first charge as security for the payment by the borrower to the bank of the said loan and also for the repayment of all indebtedness or the liabilities of the borrower to the bank. Other Nil
Short particulars of the property charged (Including location of the property)	TATA LP 410 EX TWIN TYRE BUS bearing Chassis No. MAT4S5061A8N44726 Engine No 497SPTC4ONZY651153

FIXED ASSETS :

· Land

· Plant and Machinery

· Building

· Computer

· Vehicle

· Furniture, Fixtures and Office Equipments

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	Yes
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	No
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	Yes
24) Banking facility details	Yes
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

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. 52.85
UK Pound	1	Rs. 85.44
Euro	1	Rs. 68.81

INFORMATION DETAILS

Information Gathered by :	SBA
Report Prepared by :	PRL

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
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	3
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.