MIRA INFORM REPORT

Report Date :

27.09.2012

IDENTIFICATION DETAILS

Name :	SANJIVANI CASTING PRIVATE LIMITED
Registered Office :	Survey No. 164, GIDC Road, Veraval (Shapar), Taluka Kotda Sangani, Rajkot – 360002, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	28.10.2003
Com. Reg. No.:	04-043119
Capital Investment / Paid-up Capital :	Rs. 2.500 Millions
CIN No.: [Company Identification No.]	U27310GJ2003PTC043119
TAN No.: [Tax Deduction & Collection Account No.]	RKTS02514B
PAN No.: [Permanent Account No.]	AAHCS6039F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing of Investment Casting.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 150000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having good track. It has achieved better growth in sales and profits during 2011. Financial position of the company appears to be good. Trade relations are reported as decent. Business is active. Payments are reported to be regular and as per commitments. The company can be considered good for 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 – 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	SE ZB
Rating Explanation	High performance capability and moderate financial strength.
Date	August 2009

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 :	Survey No. 164, GIDC Road, Veraval (Shapar), Taluka Kotda Sangani, Rajkot – 360002, Gujarat, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	smdodiya2003@yahoo.com smdroc@yahoo.com
Website :	http://www.sanjivanicasting.com
Factory :	Survey No. 164, Gondal N/ H -8B, SIDC Road, Veravar (Sharpar), Tal. Kotda Sangani, Rajkot – 360002, Gujarat, India
Tel. No.:	91-2827-254393/ 254394/ 252024/ 254043
Fax No.:	91-2827-254394
E-Mail :	sales@sanjivanicasting.com

DIRECTORS

AS ON 30.09.2011

Name :

Mr. Ketan Shantilal Dhruv

Designation :

Director

Address :

Jay Shri Chamunda Krupa, Raval Nagar, B/h Saurashtra Kala Kendra Nirmal Convent School Road, Rajkot – 360005, Gujarat, India

Date of Appointment :

28.10.2003

DIN No.:

00523120

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	Company/ LLP Status	Defaulting status
1	U27310GJ2003PTC043119	SANJIVANI CASTING PRIVATE LIMITED	Director	28/10/2003	28/10/2003	Active	NO
2	U27310GJ2004PTC044197	SANDORI CASTINGS PRIVATE LIMITED	Managing director	28/05/2008	17/09/2007	Active	NO

Name :

Mr. Vinubhai Parbatbhai Kapadia

Designation :

Director

Address :

Old Swaminarayan temple, Mohanbhai Dungarbhai’s Building, Village Shapar – Veraval, Rajkot – 360001, Gujarat, India

Date of Birth/Age :

01.08.1962

Date of Appointment :

28.10.2003

DIN No.:

01884606

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	Company/ LLP Status	Defaulting status
1	U27310GJ2003PTC043119	SANJIVANI CASTING PRIVATE LIMITED	Director	28/10/2003	28/10/2003	Active	NO
2	U27310GJ2004PTC044197	SANDORI CASTINGS PRIVATE LIMITED	Director	17/09/2007	17/09/2007	Active	NO

Name :

Mr. Nalinbhai Laxmanbhai Vora

Designation :

Director

Address :

New Swaminarayan Temple, Village Shapar Veraval, Rajkot – 360001, Gujarat, India

Date of Birth/Age :

02.11.1970

Date of Appointment :

28.10.2003

DIN No.:

02440812

Name :

Mr. Vejabhai Mulubhai Bariya

Designation :

Director

Address :

B/H, Shri Hari Appliances, Village Shapar Veraval, Rajkot, Gujarat, India

Date of Birth/Age :

01.06.1970

Date of Appointment :

28.10.2003

DIN No.:

01892088

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	Company/ LLP Status	Defaulting status
1	U27310GJ2003PTC043119	SANJIVANI CASTING PRIVATE LIMITED	Director	28/10/2003	28/10/2003	Active	NO
2	U27310GJ2004PTC044197	SANDORI CASTINGS PRIVATE LIMITED	Director	17/09/2007	17/09/2007	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Ketan Shantilal Dhruv	71250
Vinubhai Parbatbhai Kapadia	71250
Nalinbhai Laxmanbhai Vora	53750
Vejabhai Mulubhai Bariya	53750
Total	250000

AS ON 30.09.2011

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

BUSINESS DETAILS

Line of Business :

Manufacturing of Investment Casting.

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Investment Casting	Pcs	No Licence is required	N. A.	321697

Notes: Quantity of Pcs. comprising in different sizes and different weight.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

HDFC Bank, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Term Loan
From HDFC Bank A/c -2680693	0.000	0.753
From HDFC Bank A/c - 2719773	0.000	0.026
HDFC term loan A/c - 80021740 ( Against mortgage of land and Building, and hypothecation of plant and machinery and guarantee by all Directors )	0.000	2.079
Cash Credit
From HDFC Bank A/c	2.914	7.708
From HDFC Bank WCDL A/c – 1404 (Against hypothecation stock, book debts & bills purchase and guarantee of all Directors)	4.427	0.000
Car Loan
From HDFC Bank	0.069	0.136
From HDFC Bank A/c no.15657559	0.251	0.395
From HDFC Bank Ltd.A/c II	0.000	0.053
From Sundaram Finance Ltd (Against hypothecation of vehicle )	0.150	0.178
Total	7.811	11.328
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
From Directors	4.635	4.243
From Banks & Body Corporates	5.000	15.127
From Relative of Directors	22.426	16.275
Total	32.061	35.645

Banking Relations :	--
Auditors :
Name :	Dodiya Mehta and Company Chartered Accountants
Address :	601, Shilp Tower, Tagore Road, Rajkot – 360002, Gujarat, India
Tel. No.:	91-281-2482886/ 6623886
Income-tax PAN of auditor or auditor's firm :	AACFD5674P
Subsidiaries :	Sandori Castings Private Limited [U27310GJ2004PTC044197]

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs. 10/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
250000	Equity Share	Rs.10/- each	Rs. 2.500 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		2.500	2.500	2.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		35.831	22.887	17.346
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		38.331	25.387	19.846
LOAN FUNDS
1] Secured Loans		7.811	11.328	7.882
2] Unsecured Loans		32.061	35.645	29.054
TOTAL BORROWING		39.872	46.973	36.936
DEFERRED TAX LIABILITIES		0.644	0.755	0.891
TOTAL		78.847	73.115	57.673
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		18.866	19.787	20.225
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		3.713	4.126	3.750
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	12.047	7.950	7.974
	Sundry Debtors	70.595	57.048	35.343
	Cash & Bank Balances	3.816	0.767	0.475
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	21.761	20.316	22.805
Total Current Assets		108.219	86.081	66.597
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	43.621	30.528	26.496
	Other Current Liabilities	4.325	2.741	1.363
	Provisions	4.028	3.641	5.078
Total Current Liabilities		51.974	36.910	32.937
Net Current Assets		56.245	49.171	33.660
MISCELLANEOUS EXPENSES		0.023	0.031	0.038
TOTAL		78.847	73.115	57.673

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income
		Other Income
		TOTAL	198.734	150.089	179.315
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	179.808	138.820	166.462
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		18.926	11.269	12.853
Less/ Add	DEPRECIATION/ AMORTISATION		3.088	3.162	3.217
	PROFIT BEFORE TAX		15.838	8.107	9.636
Less	TAX		2.894	2.647	3.216
	PROFIT AFTER TAX		12.944	5.460	6.420
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		22.887	17.346	10.926
Add	PGVCL Interest Income of Year 2008-09		0.000	0.081	0.000
	BALANCE CARRIED TO THE B/S		35.831	22.887	17.346
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Export	63.811	52.384	46.078
	Earnings Per Share (Rs.)		51.78	21.84	25.68

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	6.51	3.64	3.58
Return on Total Assets (PBT/Total Assets}	(%)	12.46	7.66	11.10
Return on Investment (ROI) (PBT/Networth)		0.41	0.32	0.49
Debt Equity Ratio (Total Liability/Networth)		2.40	3.30	3.52
Current Ratio (Current Asset/Current Liability)		2.08	2.33	2.02

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 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	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

REVIEW OF PERFORMANCE AND BUSINESS PROSPECTIS:

The total Income of the Company is increased from Rs. 150.089 Millions of previous year to Rs.198.734 Millions during the year under report. The profit before taxation is increased from Rs. 8.107 Millions of previous year to profit of Rs.15.839 Millions and net profit after taxation and provision for deferred tax liabilities is increased from of Rs. 5.460 Millions of previous year to profit of Rs. 12.945 Millions during the year. This is including profit of Rs. 6.769 Millions on sales of investment - shares long term capital gains.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U27310GJ2003PTC043119
Name of the company	SANJIVANI CASTING PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Survey No. 164, GIDC Road, Veraval (Shapar), Taluka Kotda Sangani, Rajkot – 360002, Gujarat, India Email ID: smdodiya2003@yahoo.com
This form is for	Modification of charge
Charge identification number of the modified	10016303
Type of charge	Immovable Property
Particular of charge holder	HDFC Bank, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India Email ID: RBBform8@hdfcbank.com CIN No.: L65920MH1994PLC080618
Nature of description of the instrument creating or modifying the charge	Memorandum recording past transactions of creation of Mortgage by Deposit of Title Deeds.
Date of instrument Creating the charge	26.03.2012
Amount secured by the charge	Rs. 37.500 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest at the rate as may be communicated by the Bank from time to time. Terms of Repayment Working Capital facility shall be repayable On Demand Term loan shall be repayable in suitable instalments. Margin As may be stipulated by the Bank from time to time. Extent and Operation of the charge The Company accorded and gave oral consent to Bank to continue to hold and retain the title deeds (by way of Constructive delivery) in respect of its immovable properties, as security for repayment of Rs. 37.500 Millions by the Company, together with principal, interest, liquidated damages, costs, charges and expenses. Others NIL.
Short particulars of the property charged	Immovable property being Industrial Building situated at Plot No.12-14-15 and 16 situated at Bearing RS No.164 paiki with lying and being at Village Veraval, Sub Dist Kotda-Sangani Dist Rakot with all the present & future structure thereon having plotted are adm 22819.49 Sq. Feet (2120.00 sq. mtrs).
Date of latest modification prior to the present modification	27/02.2012
Particulars of the present modification	The charge shall now stand increased upto Rs. 37.500 Millions in favour the Bank against the equitable mortgage of immovable property at Village Veraval, Sub District Kotda-Sangani District Rakot.

FIXED ASSETS:

v Land and Development

v Building

v Plant and Machinery

v Cars and Bus

v Scooters

v Laboratory

v Furniture

v Electric Fitting

v Computer and Software

WEBSITE DETAILS:

PROFILE:

Subject started with well qualified and vastly experienced team members. It is customer focused organization and now well known for manufacture and supply of Stainless Steel, Carbon Steel, Alloy and Super alloy investment casting for the domestic and international market requirements.

At SJCPL we have fully equipped and well established plant on the bass of lean manufacturing, located at Rajkot city (INDIA) with a turnover of approx 8.0 million US$ per annum. They are dedicated to achieving excellence in our work. Sanjivani Casting maintains the ethical and professional standards and strives to stay on leading edge in technology, in an ever-changing environment.

Their manufacturing plant consist of in-house advance technologies for fast new development and manufacture of various engineering components with excellent quality, on time delivery and cost effectiveness through establishing process measures and goals to guide and track improvements.

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. 53.58
UK Pound	1	Rs. 86.60
Euro	1	Rs. 68.94

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		51

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

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.