MIRA INFORM REPORT

Report Date :

30.05.2012

IDENTIFICATION DETAILS

Name :	SHAKO FLEXI PACK PRIVATE LIMITED
Registered Office :	A-162, Someshwar Complex -1, Popular Plaza, 132, FT. Ring Road, Satellite, Ahmedabad – 380015, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	03.03.1992
Com. Reg. No.:	04 - 17211
Capital Investment / Paid-up Capital :	Rs.14.000 Millions
CIN No.: [Company Identification No.]	U51100GJ1992PTC017211
TAN No.: [Tax Deduction & Collection Account No.]	AHMS00676E
PAN No.: [Permanent Account No.]	AADCS9281R
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Flexible Packaging Products.
No. of Employees :	62 (Approximately) (Office – 10, Factory – 50 and Branch – 02)

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 220000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability 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 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 :	Mr. Kaushal Shah
Designation :	Director
Contact No.:	91-9821187307
Date :	26.05.2012

LOCATIONS

Registered Office :	A-162, Someshwar Complex -1, Popular Plaza, 132, FT. Ring Road, Satellite, Ahmedabad – 380015, Gujarat, India
Tel. No.:	Not Available
Mobile No.:	91-9821187307 (Mr. Kaushal Shah)
Fax No.:	Not Available
E-Mail :	info@shakoflex.com
Website :	www.shakoflex.com
Factory :	1023, 1024, Gumasan, Near Sandvik Asia Limited, Mehsana Highway, Village Rajpur, Tal-Kadi Mehsana, Mehsana – 382715, Gujarat, India
Tel. No.:	91-2764-278248/ 278261
Fax No.:	91-2764-278290
Email :	vivek@shakoflex.net info@shakoflex.com
Area :	2.25 lac
Location :	Owned
Marketing/ Branch Office :	132, 3^rd Floor, Champaklal Industries Estate, Near Sion Telephone Exchange, Sion, Mumbai – 400022, Maharashtra, India
Tel. No.:	91-22-24025988/ 24044263
Fax No.:	91-22-24012824
Area :	700 sq. ft.
Location :	Owned

DIRECTORS

(AS ON 30.09.2011)

Name :	Mr. Bhupendra Nandlal Kothari
Designation :	Managing Director
Address :	904, Kanha Tower, Parthsarthi Avenue, 132 Ft Ring Road, Stellite, Ahmedabad – 380015, Gujarat, India
Date of Birth/Age :	06.01.1943
Qualification :	B. com
Experience :	40 years
Date of Appointment :	18.03.1992
DIN No.:	01520501
Name :	Mr. Vikram Nanchand Shah
Designation :	Director
Address :	Flat No.6, 3^rd Floor, Gujarat Society, Plot No.198-A, Mumbai – 400022, Maharashtra, India
Date of Birth/Age :	11.05.1944
Qualification :	M. E.
Experience :	38 years
Date of Appointment :	03.03.1992
DIN No.:	00489281
Name :	Mr. Vivek Bhupendra Kothari
Designation :	Director
Address :	904, Kanha Tower, Parthsarthi Avenue, 132 Ft Ring Road, Stellite, Ahmedabad – 380015, Gujarat, India
Date of Birth/Age :	08.11.1976
Qualification :	B. Com
Experience :	12 years
Date of Appointment :	11.11.2000
DIN No.:	01520531
Name :	Mr. Rahul Vikram Shah
Designation :	Director
Address :	198, A/6 Gujarat Society, Sion (West), Mumbai – 400022, Maharashtra, India
Date of Birth/Age :	24.01.1976
Qualification :	Diploma Polymer Engineer
Experience :	13 years
Date of Appointment :	11.11.2000
DIN No.:	01798888
Name :	Mr. Kaushal Vikram Shah
Designation :	Director
Address :	198, A/6 Gujarat Society, Sion (West), Mumbai – 400022, Maharashtra, India
Date of Birth/Age :	04.02.1974
Qualification :	B.E.
Experience :	15 years
Date of Appointment :	01.05.2004
DIN No.:	01798886

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Bhupendra Nandlal Kothari	465750
Vivek Bhupendra Kothari	198180
Vikram Nanchand Shah	246050
Kaushal Vikram Shah	139500
Rahul Vikram Shah	144100
Shivani V Kothari	44520
Mousmai B Kothari	46450
Vaishali B Kothari	48800
Bharti V Shah	38150
Shital K. Shah	11000
Amishi R. Shah	12500
Bhupendra N. Kothari (HUF)	5000
Total	1400000

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Flexible Packaging Products.
Exports :
Products :	Flexible Packaging
Countries :	USA
Terms :
Selling :	L/C, Cash and Credit (30-60-90 days)
Purchasing :	L/C, Cash and Credit (30-60 days)

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Installed Capacity	Actual Production
Flexible Packaging	150 MT/ Month	120 MT/ Month

GENERAL INFORMATION

Customers :

Wholesalers, Retailers, End Users and OEM’s

No. of Employees :

62 (Approximately) (Office – 10, Factory – 50 and Branch – 02)

Bankers :

· Bank of Baroda

Chhatral Branch, Chhatral, Gandhinagar – 384062, Gujarat, India

· HDFC Bank

· Kotak Mahindra Bank

· Axis Bank

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
BOB CC against stock and Hypothecation of Book debts	30.914	18.678
BOB Term Loan 137 Bridge Loan	0.000	12.500
BOB Term Loan II -48-60051	0.000	0.000
BOB Term Loan III-53/6008	0.246	1.094
BOB Term Loan IV -60013/43	4.160	5.580
BOB Term Loan -80	10.958	13.185
BOB Term Loan -105	2.089	2.547
BOB Term Loan -130	1.575	2.130
BOB Term Loan -156	2.044	0.000
BOB Term Loan -167	6.949	0.000
BOB Term Loan -181	3.000	0.000
BOB Car Loan – Mumbai	1.143	0.000
Barclays Bank Loan 919942	0.000	0.661
Barclays Bank Loan 00933007224490	2.412	0.000
HDFC 12490447- Mumbai	0.000	0.178
HDFC Car Loan 12625722 Factory	0.000	0.199
Kotak Mahindra CF5309380 Skoda Car	0.448	0.770
Axis Bank AU0040100158367	0.449	0.770
Total	66.387	58.292
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
From Director	1.674	0.000
From Shareholders and Relatives	2.012	2.026
From Others	1.399	0.580
Total	5.085	2.606

Banking Relations :	--
Auditors :
Name :	Mahesh Sompura and Company Chartered Accountant
Address :	Ahmedabad, Gujarat, India
Name :	Dalal and Associates Chartered Accountant
Address :	A/4/2, Prarambh Complex, B/h. State Bank of India, Swastik Society, Navrangpura, Ahmedabad – 380009 , Gujarat, India
Tel No.:	91-79-30020606
Fax No.:	91-79-26404467
PAN No.:	ADQPD5319J
Email :	dalalasso@gmail.com

CAPITAL STRUCTURE

(AS ON 30.09.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
1750000	Equity Shares	Rs.10/- each	Rs.17.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1400000	Equity Shares	Rs.10/- each	Rs.14.000 Millions

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		14.000	12.000	10.000
2] Share Application Money		0.000	1.825	1.262
3] Reserves & Surplus		40.469	18.045	18.460
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		54.469	31.870	29.722
LOAN FUNDS
1] Secured Loans		66.387	58.292	42.103
2] Unsecured Loans		5.085	2.606	2.055
TOTAL BORROWING		71.472	60.898	44.158
DEFERRED TAX LIABILITIES		9.782	7.066	5.843
TOTAL		135.723	99.834	79.723
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		89.929	84.013	57.916
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	30.208	21.406	9.264
	Sundry Debtors	69.236	51.494	44.302
	Cash & Bank Balances	12.644	10.028	3.241
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	28.151	13.740	9.279
Total Current Assets		140.239	96.668	66.086
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	76.199	68.385	39.978
	Other Current Liabilities	4.308	4.125	2.019
	Provisions	13.938	8.337	2.282
Total Current Liabilities		94.445	80.847	44.279
Net Current Assets		45.794	15.821	21.807
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		135.723	99.834	79.723

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	385.160	287.346	251.398
		Labour Charges/ Jobwork Income	0.000	0.259	0.281
		Stock loss due to Fire	0.000	12.751	0.000
		Other Income	14.446	0.394	2.260
		TOTAL (A)	399.606	300.750	253.939
Less	EXPENSES
		Increase in closing stock of semi-finished goods	(4.263)	(9.182)	0.123
		Raw Materials Consumption	268.079	210.329	169.120
		Manufacturing and Operating Cost	51.044	36.660	39.437
		Administrative, Selling and General Expenses	40.957	53.983	27.068
		TOTAL (B)	355.817	291.790	235.748
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		43.789	8.959	18.191
Less	FINANCIAL EXPENSES (D)		7.899	5.302	5.106
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		35.890	3.657	13.085
Less/ Add	DEPRECIATION/ AMORTISATION (F)		4.375	3.444	2.692
	PROFIT BEFORE TAX (E-F) (G)		31.515	0.213	10.393
Less	TAX (H)		9.459	1.224	4.231
	PROFIT AFTER TAX (G-H) (I)		22.056	(1.011)	6.162
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		13.733	16.148	12.156
Less	APPROPRIATIONS
		Transfer to General Reserve	0.551	0.000	1.000
		Interim Dividend	1.400	1.200	1.000
		Dividend Tax	0.232	0.204	0.170
	BALANCE CARRIED TO THE B/S		33.606	13.733	16.148
	Earnings Per Share (Rs.)		17.41	(0.84)	15.40

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.52	(0.34)	2.43
Net Profit Margin (PBT/Sales)	(%)	8.18	0.07	4.13
Return on Total Assets (PBT/Total Assets}	(%)	13.69	0.12	8.38
Return on Investment (ROI) (PBT/Networth)		0.58	0.01	0.35
Debt Equity Ratio (Total Liability/Networth)		3.05	4.45	2.98
Current Ratio (Current Asset/Current Liability)		1.48	1.20	1.49

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
Promoter’s Background	Yes
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	-----
Estimation for coming financial year	No
Capital in the business	Yes
Details of sister concerns	No
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	-----
Litigations that the firm/ Promoters Involved in	-----
Banking details	Yes
Banking Facility Details	Yes
Conduct of the Banking Account	-----
Buyer visit details	-----
Financials, if provided	Yes
Incorporation details is applicable	Yes
Last Accounts filed at ROC	Yes
Major Shareholders, if available	Yes

NOTE

The registered office of the company has been shifted from A/ 132, Popular Plaza, Someshwar Complex, Satellite, Ahmedabad - 380015, Gujarat, India to A- 162, Someshwar Complex 1, Popular Plaza 132 Ft. Ring Road, Satellite, Ahmedabad – 380015, Gujarat with effect from 24.03.2008.

FIXED ASSETS

· Land

· Factory Building

· Plant and Machinery

· Electric Installation

· Office Equipments

· Furniture and Fittings

· Car

· Fax Machine

· Air Condition

· Scooter

· Cylinder

· Computer

· Laboratory Equipment

· Wad Dies

· Printing Roller

· Water Filter

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.55.58
UK Pound	1	Rs.87.14
Euro	1	Rs.69.73

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NIT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
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	3
--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	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.