MIRA INFORM REPORT

Report Date :

07.11.2012

IDENTIFICATION DETAILS

Name :	NIMBUS PIPES LIMITED (w.e.f. January, 2010)
Formerly Known As :	NIMBUS INDUSTRIES
Registered Office :	E-35, RIICO Industrial Area, Bagru Extension, Jaipur – 303007, Rajasthan
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	20.01.2010
Com. Reg. No.:	17-030783
Capital Investment / Paid-up Capital :	Rs.20.505 Millions
CIN No.: [Company Identification No.]	U25209RJ2010PLC030783
TAN No.: [Tax Deduction & Collection Account No.]	JPRN05166A
PAN No.: [Permanent Account No.]	AADCN1836F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Marketing of HDPE Pipes and Its Fittings.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Maximum Credit Limit :	USD 330000
Status :	Moderate
Payment Behaviour :	Slow
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. 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 – 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

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	(Cash Credit Limit) B+
Rating Explanation	High Risk of Default
Date	19.01.2011

Rating Agency Name	CRISIL
Rating	(Bank Guarantee) P4
Rating Explanation	Minimal degree of safety it carry very high credit risk.
Date	19.01.2011

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ 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/ Factory 1 :	E-35, RIICO Industrial Area, Bagru Extension, Jaipur – 303007, Rajasthan, India
Tel. No.:	91-141-4028496
Fax No.:	91-141-2208891
E-Mail :	pklath@nimbuspipes.com admin@nimbuspipes.com
Website :	http://www.nimbuspipes.com
Factory 2:	G-9C, Kabir Marg, Bani Park, Jaipur - 302006, Rajasthan, India.
Tel. No.:	91-141-4028496/ 2378496
Fax No.:	91-141-2378496
Factory 3:	SPC-123/123A, RIICO Industrial Area, Manda Near Kaladera, Choinu, Jaipur – 302023, Rajasthan, India

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Pravin Kumar Lath

Designation :

Director

Address :

234, Block – B, Bngur Avenue, PS – Lake Town, Kolkata – 700055, West Bengal, India

Date of Birth/Age :

10.01.1970

Date of Appointment :

20.01.2010

DIN No.:

01993680

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	U25209WB1995PTC074225	NIMBUS IRRIGATION PVT. LTD.	Additional director	30/03/2008	30/03/2008	01/10/2008	Active	NO
2	U25209RJ2010PLC030783	NIMBUS PIPES LIMITED	Director	20/01/2010	20/01/2010	-	Active	NO

Name :

Mr. Ashish Kumar Lath

Designation :

Director

Address :

234, Block – B, Bngur Avenue, PS – Lake Town, Kolkata – 700055, West Bengal, India

Date of Birth/Age :

13.10.1977

Date of Appointment :

20.01.2010

DIN No.:

02850029

Name :

Mrs. Savita Jhunjhunwala

Designation :

Director

Address :

10/1, Nurar Pukar Lane, PO – Utasanga, Kolkata – 700067, West Bengal, India

Date of Birth/Age :

28.07.1960

Date of Appointment :

20.01.2010

DIN No.:

02032655

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Agastya Plastic Private Limited (SC)	5000
Ashish Kumar Lath (SC)	55000
Boond Mercantile Private Limited (SC)	7500
Chaturang Commercial Private Limited (SC)	25000
Debraj Good Private Limited (SC)	146500
D N Jhunjhunwala (SC)	16000
Enoch Mercantile Private Limited (SC)	5000
Kartik Commercial and Financer Private Limited (SC)	32500
Lalita Choundhary (SC)	0.000
Mudit Jhunjhunwala (SC)	16000
Navin Kumar Lath (SC)	16000
Pravin Kumar Lath (SC)	1050000
Savita Jhunjhunwala (SC)	600000
Software Wizards Limited (SC)	30000
Swabhumi Agency Private Limited (SC)	5000
Sweta Lath (SC)	16000
Vikrant Construction Private Limited (SC)	25000
Total	2050500

(AS ON 31.03.2012)

Names of Allottees	No. of Shares Allotted
Doon Vally Finance Limited	22500
Kartik Commercial and Finance Private Limited	53750
Kaway Trading and Finance Private Limited	53000
Kotriwal Commercial Private Limited	10000
Liberal Spinners Limited	12000
Oven Commercial Private Limited	11000
Radiant Equity Management	15000
Shreti Mata Finance Private Limited	5000
Vikrant Constructions Private Limited	13750
Total	196000

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Bodies corporate	14.00
Directors or relatives of directors	86.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Marketing of HDPE Pipes and Its Fittings.

Products :

Products Description	Item Code No.
PE Pipes	--
Fittings	--
Irrigation Systems	--

Brand Name :

NIMBUS

PRODUCTION STATUS

Particulars	Unit	31.03.2011
Licensed Capacity	MT	12500
Installed Capacity	MT	12500

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of Bikaner and Jaipur

M. I. Road, Jaipur – 302001, Rajasthan, India

· Bank of Baroda

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
SBBJ Term Loan	79.511	10.011
SBBJ Cash Credit (The above loans are secured by equitable mortgage of factory land and building and hypothecation of plant and machinery, stock, book debts and all other current of the company)	80.980	45.265
HDFC Bank Limited (Vehicle Loan)	0.226	0.460
SBBJ (Car Loan)	0.437	0.000
Total	161.154	55.736
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Loans from Body Corporations	5.679	33.886
Loans from Directors and Their relatives	8.129	7.130
Loans from Others	39.426	14.665
Total	53.234	55.681

Banking Relations :	--
Financial Institutions :	· Tamilnadu Industrial Investment Corporation Limited No.692, Anna Salai, Nandanam, Chennai – 60035, Tamilnadu, India
Auditors :
Name :	Badaya and Company Chartered Accountant
Address :	11-12, First Floor, Samod Tower, 7 Dudu Bagh, Opposite City Centre, S.C. Road, Jaipur – 302001, Rajasthan, India
Tel No.:	91-141-2363149
PAN No.:	AAAFB9492M

CAPITAL STRUCTURE

(AS ON 27.09.2012)

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2246502	Equity Shares	Rs.10/- each	Rs.22.465 Millions

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2050502	Equity Shares	Rs.10/- each	Rs.20.505 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		20.505	18.575
2] Share Application Money		2.911	0.000
3] Reserves & Surplus		58.533	18.282
4] (Accumulated Losses)		0.000	0.000
NETWORTH		81.949	36.857
LOAN FUNDS
1] Secured Loans		161.154	55.736
2] Unsecured Loans		53.234	55.681
TOTAL BORROWING		214.388	111.417
DEFERRED TAX LIABILITIES		1.526	0.301
TOTAL		297.863	148.575
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		116.061	31.460
Capital work-in-progress		0.000	0.000
INVESTMENT		0.006	0.006
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	102.678	30.347
	Sundry Debtors	86.607	86.930
	Cash & Bank Balances	22.250	13.020
	Other Current Assets	18.355	16.861
	Loans & Advances	14.981	6.218
Total Current Assets		244.871	153.376
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	48.395	30.196
	Other Current Liabilities	11.646	6.279
	Provisions	3.556	3.681
Total Current Liabilities		63.597	36.475
Net Current Assets		181.274	116.901
MISCELLANEOUS EXPENSES		0.522	0.208
TOTAL		297.863	148.575

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Income	386.728	66.272
		Other Income	10.362	8.867
		TOTAL (A)	397.090	75.139
Less	EXPENSES
		Sundry Purchases	118.901	4.590
		Manufacturing Expenses	203.926	60.082
		Administrative Expenses	12.206	1.873
		Personal Expenses	17.298	1.999
		Selling Expenses	15.030	0.860
		Preliminary Expenses W/o	0.082	0.052
		Profit on Sale of fixed assets	(0.022)	0.000
		TOTAL (B)	367.421	69.456
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		29.669	5.683
Less	FINANCIAL EXPENSES (D)		19.029	2.607
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		10.640	3.076
Less/ Add	DEPRECIATION/ AMORTISATION (F)		4.741	0.813
	PROFIT BEFORE TAX (E-F) (G)		5.899	2.263
Less	TAX (H)		1.094	0.495
	PROFIT AFTER TAX (G-H) (I)		4.805	1.768
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1.467	0.000
Less	APPROPRIATIONS
		Differed Tax provision	1.225	0.301
	BALANCE CARRIED TO THE B/S		5.047	1.467
	Earnings Per Share (Rs.)		2.34	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010
PAT / Total Income	(%)	1.21	2.35
Net Profit Margin (PBT/Sales)	(%)	1.53	3.41
Return on Total Assets (PBT/Total Assets}	(%)	1.63	1.22
Return on Investment (ROI) (PBT/Networth)		0.07	0.06
Debt Equity Ratio (Total Liability/Networth)		3.39	4.01
Current Ratio (Current Asset/Current Liability)		3.85	4.20

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last two years	Yes
12]	Profitability for last two 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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
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
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

FORM 8

This form is for	Creation of charge
Corporate identity number of the company	U25209RJ2010PLC030783
Name of the company	NIMBUS PIPES LIMITED
Address of the registered office or of the principal place of business in India of the company	E-35, RIICO Industrial Area, Bagru Extension, Jaipur – 303007, Rajasthan, India pklath@nimbuspipes.com
Type of charge	Book Debts Floating Charge Others: Bill Raised on TWAD Board
Particular of charge holder	Tamilnadu Industrial Investment Corporation Limited No.692, Anna Salai, Nandanam, Chennai – 600035, Tamilnadu, India Email : kasatathapara@yahoo.com CIN No.: U93090TN1949SGC001458
Nature of description of the instrument creating or modifying the charge	1. Power of Attorney. 2. Sanction Letter
Date of instrument Creating the charge	22/03/2012
Amount secured by the charge	Rs.30.000 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest The rate of interest will be 15.75% p. a. additional interest of 2.50% p. a. will be levied on the defaulted period exceeding credit period of 120 days. Terms of Repayment The bill Financed amount (loan) together with interest thereon will be repaid on or before 120 days from the date of disbursement. Margin 90% Extent and Operation of the charge The charge will operate on bills of Tamilnadu waTer Supply and Drainage Board (Twad Board) which are to be financed by the Tamilnadu Industrial Investment Corporation Limited, upto Rs.30.000 Millions.
Short particulars of the property charged	Authorise the Corporation (TIIC) to collect net/ Bill amount payable to the contractors from TWAD Board. Guarantee of Directors of the Company.

FIXED ASSETS:

· Land

· Pipe Machine

· Cutter Suitable

· Drip Irrigation Machine

· Injection Moulding Machine

· Sizer

· Building and Shed

· Air conditioner

· Computer Systems

· Furniture and fixture

· Plant and Machinery

· Motor Cycle and Cycle

· Mobile Instrument

· Motor Car

· Scooter

· Office Equipments

· Refrigerator

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 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.54.60
UK Pound	1	Rs.87.31
Euro	1	Rs.69.86

INFORMATION DETAILS

Report Prepared by :

NIT

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	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.