MIRA INFORM REPORT

Report Date :

06.04.2013

IDENTIFICATION DETAILS

Name :	ORBIT IMPEX
Registered Office :	13, Kailash Darshan, 8^th Floor, Nana Chowk, Mumbai – 400 007, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	16.07.2000
Capital Investment / Paid-up Capital :	Rs. 0.110 million
TAN No.: [Tax Deduction & Collection Account No.]	MUMO02137C
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Importer and Exporter of Bulk Drugs Formulations and Intermediates.
No. of Employees :	10 (Approximately)

ATING & COMMENTS

MIRA’s Rating :

Ba (52)

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

Maximum Credit Limit :	USD 400
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established partnership concern having a good track record. The concern is performing efficiently. Trade relations are reported as decent. Business is active. Payment terms are reported as regular and as per commitment. The concern can be considered 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

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.

INFORMATION PARTED BY

Name :	Mr. Deepak
Designation :	Finance Manager
Contact No.:	91-22-23803200

LOCATIONS

Registered Office :	13, Kailash Darshan, 8th Floor, Nana Chowk, Mumbai – 400 007, Maharashtra, India
Tel. No.:	91-22-23803200 / 23896269
Fax No.:	91-22-23803202/23520594
E-Mail :	orbit@vsnl.net orbit@orbitimpex.net
Website :	www.orbitimpex.net
Area :	450 Sq. ft
Location :	Leased

PARTNER

Name :	Mr. Arvind B. Sheth
Designation :	Partner
Date of Birth/Age :	57 Years
Qualification :	B.Sc.- Micro
Name :	Mr. Amit A. Sheth
Designation :	Partner
Date of Birth/Age :	30 Years
Qualification :	B.Com
Name :	Mr. Ashish A. Sheth
Designation :	Partner
Name :	Mrs. Meena A. Sheth
Designation :	Partner (Housewife)
Name :	Mr. Jayesh Ghelani
Designation :	Partner

KEY EXECUTIVES

Name :	Mr. Deepak
Designation :	Finance Manager

BUSINESS DETAILS

Line of Business :	Importer and Exporter of Bulk Drugs Formulations and Intermediates.
Exports :
Products :	Bulk Drugs Formulations and Intermediates
Countries :	· Europe · Middle East
Imports :
Products :	Raw Material
Countries :	· Israel · U.S.A. · Europe · China · Korea
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :	End Users
No. of Employees :	10 (Approximately)
Bankers :	Bank of Baroda, Gamdevi Branch, Mumbai – 400007, Maharashtra, India Tel. No.: 91-265-2362395 / 2361824 / 2361806

Banking Relations :	--
Auditors :
Sister Concern :	· Orbit Finechem 32, Kailash Darshan, 8^th Floor, Nana Chowk, Mumbai - 400 007, Maharashtra, India · Line of Business - Importer and Indentor of bulk drugs and intermediates · Oribit Life Science Private Limited

CAPITAL STRUCTURE

As on 31.03.2012

Capital Investment :
Owned :	Rs. 0.110 million
Borrowed :	--
Total :	Rs. 0.110 million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.110	0.110	0.110
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		67.184	51.255	38.312
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		67.294	51.365	38.422
LOAN FUNDS
1] Secured Loans		164.353	150.416	74.939
2] Unsecured Loans			0.000	0.000
TOTAL BORROWING		164.353	150.416	74.939
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		231.647	201.781	113.361
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		23.771	9.723	2.692
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		4.771	0.271	0.000
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	39.593	40.370	13.296
	Sundry Debtors	560.400	339.112	241.453
	Cash & Bank Balances	2.670	4.499	1.869
	Other Current Assets	0.306	0.158	0.000
	Loans & Advances	42.054	41.948	25.754
Total Current Assets		645.023	426.087	282.372
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	420.585	219.314	171.703
	Other Current Liabilities	2.336	1.553
	Provisions	18.997	13.433
Total Current Liabilities		441.918	234.300	171.703
Net Current Assets		203.105	191.787	110.669
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		231.647	201.781	113.361

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	1503.183	1233.238	793.551
		Other Income	(2.385)	2.177	0.242
		TOTAL (A)	1500.798	1235.415	793.793
Less	EXPENSES
		Cost of materials consumed	1409.097	1166.578	777.215
		Purchases of Stock-in-trade	0.000	0.000
		Changes in inventories of finished goods work-in-progress and stock-in-trade	0.000	0.000
		Employee benefit expenses	17.394	13.552
		Other Expenses	32.475	23.848
		TOTAL (B)	1458.966	1203.978	777.215
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		41.832	31.437	16.578
Less	FINANCIAL EXPENSES (D)		14.837	9.588	7.542
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		26.995	21.849	9.036
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.372	0.826	0.420
	PROFIT BEFORE TAX (E-F) (G)		24.623	21.023	8.616
Less	TAX (H)		8.695	8.080	2.899
	PROFIT AFTER TAX (G-H) (I)		15.928	12.943	5.717
0Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		51.255	38.312	32.595
	BALANCE CARRIED TO THE B/S		67.183	51.255	38.312
	Earnings Per Share (Rs.)		14480.00	11767.00	5382.22

Note: Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	1.06	1.05	0.72
Net Profit Margin (PBT/Sales)	(%)	1.64	1.70	1.09
Return on Total Assets (PBT/Total Assets}	(%)	3.68	4.82	3.02
Return on Investment (ROI) (PBT/Networth)		0.37	0.41	0.22
Debt Equity Ratio (Total Debt /Networth)		2.44	2.93	1.95
Current Ratio (Current Asset/Current Liability)		1.46	1.82	1.64

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	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	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
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	No

ABOUT THEM

Subject is a part of the Rs. 3000.000 millions Orbit Group. With activities ranging from API trading and indenting, formulation manufacturing and in-licensing, the group is a well-known name in pharmaceutical circles. Through Orbit Financial Capital the group has forayed into mergers and acquisitions, raising of private equity and debt in the finance domain.

The top team at Orbit Group comprises of Mr. Arvind Sheth, Mr. Amit Sheth and Mr. Ashish Sheth. Mr. Arvind has a 40+ year experience in the Pharma field, while Mr. Amit and Mr. Ashish ably drive the Group to growth with their passion and zeal.

Subject a partnership firm, looks after API related activities namely trading and indenting. Through this OI represents top Pharma companies as their agents. It also focuses on development of new molecules for the Indian market. With a manufacturing base at Hyderabad, India and well connected resources from China OI is strongly placed in cost effectively sourcing various bulk drugs and intermediates.

One of OI’s strength has been sourcing and development of new molecules. OI has successfully captured major market share in Diethyl Malonate and in intermediates of Gabapantene, Metformin, and Pregabalin. Sourcing of new molecules and developing strategic tie-ups with manufacturers is their focus area.
On the international front, due to OI’s relations with Chinese principals, it enjoys a price advantage. Additionally OI assists in registration of molecules in China through its strategic partners. Apart from China, OI imports from Korea, Taiwan, Japan, Germany and Italy. OI is the sole selling agent for Italian major Bono Lo. OI also exports to countries like Vietnam, Turkey and China.

Going forward OI wants to be a name to reckon with in the arena of new molecule development. With a focus on exports and registration of molecules and intermediates, OI is planning expansion of its services.

COMPANY PROFILE OF ORBIT GROUP

The Paramount architect / promoter and Chief Partner of this Group, Mr. ARVIND B SHETH who has worked with Multinational renowned Pharmaceutical company M/s. E-Merck India Limited, as an Executive in Laboratory; He is “APPROVED CHEMIST” as per ‘FDA’ – Maharashtra. He has handled hundreds of Chemicals, Sampled them, analyzed them on most sophisticated Instruments and reported to Germany. He was instrumental in framing of Specifications of wide range of Chemicals which is being marketed by M/s. E. Merck as on date.

Due to extensive and comprehensive experience in handling vide range of Chemicals used by Drugs and Pharmaceutical Industries, In ORBIT IMPEX the most uncommon is in dealing with most Specialized Fine Chemicals required in manufacturing of latest Drug Molecules.

Because of excellent rapport with Technical and Commercial Chief Executives of most reputed companies, they have developed excellent sourcing of raw materials, and in Today’s most competitive business, the Success lies with cheapest sourcing of Quality Material.

As a versatile, enterprising company in the field of pharmaceuticals, ORBIT has diligently built itself into being a leading supplier of requirements to all sectors of the pharmaceutical and chemical industry in India. Their forte has been globally sourcing high quality raw materials at the most competitive rates.

For almost 25 years, Mr. Arvind Sheth has been associated with several prominent Bulk Drug Manufacturers in India. ORBIT offers on a regular basis, a wide spectrum of pharmaceutical bulk actives and intermediates, in addition to undertaking custom synthesis on request.

Orbit Lifescience Private Limited parent company of Orbit Impex has a major thrust on P to P/Loan Licence activity alongwith the supply of API’s and Raw material for Bulk drugs manufacturing. Orbit has also ventured into Biotech field since last two years and has launched many new products. They are also working on futuristic products.

Their group activity today contributes a kitty of Rs.2000.000 millions which includes Rs.1000.000 millions from Branded formulation manufacturing Business and Rs.1000.000 millions from API Business

P to P activity for Formulations

Orbit manufactures over 300 formulations representing various therapeutic segments and dosage forms. They are servicing the Industry with all dosages forms such as Tablets, Capsules, Liquids, Syrups, Dry Powder, Ointments, Injectables, large and small liquid parental and with secluded areas for Anticancer preparations.

The activity is conducted in western and southern part of India with partly spread in Northern India. Their manufacturing sites are spread over to 25 establishments in Chennai, Pondicherry, Daman, Baroda, Dehradun, Roorkee, Baddi and Solan.

Currently their patronage is spread over 40 customers of which 25 are listed in the TOP 50 Pharma Players by ORG. Today they manufacture 300 leading brands for the above Companies.

We are doing P to P activities for the following companies:-

· Ajanta Pharma Limited

• Alkem Limited
• Alembic Limited
• Cadila Pharmaceuticals Limited
• Glenmark Pharmaceuticals Limited
• Intas Pharmaceuticals
• Ipca Laboratories Limited
• J. B. Chemicals and Pharmaceuticals Limited
• Lupin Limited
• Macleods Pharmaceuticals Limited
• Mankind Pharma Private Limited
• Novartis Enterprises Limited
• Panacea Biotech Limited
• Ranbaxy Laboratories Limited
• Sun Pharmaceutical Industries Limited
• Svizera Healthcare
• Torrent Pharmaceuticals Limited and many more …

Overseas Associates

They are the exclusive authorized indenting agents for Distillerie Bonollo SpA, Italy, one of the world’s largest manufacturers of Natural L (+) Tartaric Acid.

Contract Manufacturing and Development of New products

They undertake contract manufacturing and development for both Intermediates and API alongwith Formulations.

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.54.88
UK Pound	1	Rs.83.54
Euro	1	Rs.70.90

INFORMATION DETAILS

Information Gathered by :	PJA
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		52

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.