MIRA INFORM REPORT

Report Date :

12.04.2013

IDENTIFICATION DETAILS

Name :	RENUKA EQUIPMENTS PRIVATE LIMITED
Registered Office :	C – 23, MIDC Area Hingna Road, Nagpur – 440028, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	30.09.2003
Com. Reg. No.:	11-106255
Capital Investment / Paid-up Capital :	Rs.4.956 Millions
CIN No.: [Company Identification No.]	U29299MH2003PTC106255
TAN No.: [Tax Deduction & Collection Account No.]	NGPR00690E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Capital equipments for Steel Plants like Ladles upto 200T, Ladle Cars upto 250T, Transfer Cars upto 250T, above Burden Probes, Winches,Roof Panels for Arc Furnace, Reducibilty Apparatus.
No. of Employees :	30 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 83000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The financials of 2012 are not made available. As per the financials of 2011, the financial strength and performance capability of the company is normal. Mr. Mukesh from the Accounts Department has provided us with general information but denied to disclose any financial details. However, trade relations are fair. Business is active. Payment terms are unknown. 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.

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	Long Term Rating = B+
Rating Explanation	High risk of default
Date	21.03.2012

Rating Agency Name	CRISIL
Rating	Short Term Rating = A4
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	21.03.2012

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 (GENERAL DETAILS)

Name :	Mr. Mukesh
Designation :	Account Department
Contact No.:	91-7104-645754
Date :	05.04.2013

LOCATIONS

Registered Office / Factory :	C – 23, MIDC Area Hingna Road, Nagpur – 440028, Maharashtra, India
Tel. No.:	91-7104-237409/237407/2237408/645754
Fax No.:	91-7104-237408
E-Mail :	replngp_ngp@sancharnet.in

DIRECTORS

As on 28.09.2012

Name :	Mr. Soumitra Sudhakar Kothari
Designation :	Managing Director
Address :	126, Nelco Society, Subhash Nagar, Nagpur – 440022, Maharashtra, India
Date of Birth/Age :	04.11.1974
Date of Appointment :	28.07.2006
DIN No. :	00763744
Name :	Mrs. Rasika Soumitra Kothari
Designation :	Director
Address :	126, Nelco Society, Subhash Nagar, Nagpur – 440022, Maharashtra, India
Date of Birth/Age :	16.04.1981
Date of Appointment :	04.10.2005
DIN No. :	00853431
Name :	Mr. Ravindra Hariram Munne
Designation :	Director
Address :	Plot No. 6, Gopal Nagar, III Road Bus Stop, Nagpur, Maharashtra, India
Date of Birth/Age :	05.12.1966
Date of Appointment :	31.01.2004
DIN No.:	00757720

KEY EXECUTIVES

Name :	Mr. Mukesh
Designation :	Account Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2012

Names of Shareholders	No. of Shares
Soumitra S Kothari	209688
Rasika S Kothari	188338
Soumitra S Kothari (HUF)	77013
N. V Shastri	19825
Milind V Panday	763
Total	495627

As on 28.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	15.54
Directors or relatives of Directors	84.46
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Capital equipments for Steel Plants like Ladles upto 200T, Ladle Cars upto 250T, Transfer Cars upto 250T, above Burden Probes, Winches,Roof Panels for Arc Furnace, Reducibilty Apparatus.
Terms :
Selling :	Cash / Credit
Purchasing :	Cash / Credit

GENERAL INFORMATION

Customers :

Manufacturers

No. of Employees :

30 (Approximately)

Bankers :

Bank of Baroda – Dharampeth Branch, West High Court Road, Nagpur – 440010, Maharashtra, India

Tel. No.: 91-712-2521767

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
CASH CREDIT
Bank of Baroda (Against: Secured by charge on inventory and debtors)	13.557	9.442
TERM LOAN
Bank of Baroda (Against: Secured by charge on factory land and building) (payable within 1 year Rs.1.025 Millions (Previous year Rs.1.025 Millions)	1.194	2.219
Bank of Baroda (Against : Hypothecation against car) Payable within 1 year Rs.0.062 Million (Previous Years Rs. NIL)	0.458	0.000
Total	15.209	11.661

Banking Relations :	--
Auditors :
Name :	Ekbote Deshmukh and Company Chartered Accountants
Address :	S-2, Shree Chaitanya Apartments, Mata Mandir Road, Nagpur – 440010, Maharashtra, India
PAN.:	AAAFE7537E

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs. 10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
495627	Equity Shares	Rs. 10/- each	Rs.4.956 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		4.956	0.650	0.650
2] Share Application Money		0.000	0.050	0.200
3] Reserves & Surplus		15.898	14.521	8.530
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		20.854	15.221	9.380
LOAN FUNDS
1] Secured Loans		15.209	11.661	13.507
2] Unsecured Loans		7.115	6.428	5.603
TOTAL BORROWING		22.324	18.089	19.110
DEFERRED TAX LIABILITIES		0.572	0.433	0.537
TOTAL		43.750	33.743	29.027
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		19.077	16.852	17.373
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		5.010	3.428	1.990
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	20.000	16.000	15.500
	Sundry Debtors	32.770	30.382	14.945
	Cash & Bank Balances	1.406	0.923	0.775
	Other Current Assets	4.302	2.948	2.069
	Loans & Advances	1.054	0.908	0.841
Total Current Assets		59.532	51.161	34.130
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	33.210	29.161	12.918
	Other Current Liabilities	4.024	7.148	11.548
	Provisions	2.635	1.389	0.000
Total Current Liabilities		39.869	37.698	24.466
Net Current Assets		19.663	13.463	9.664
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		43.750	33.743	29.027

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	147.320	94.152	42.115
		Other Income
		TOTAL	147.320	94.152	42.115
Less	EXPENSES
		Office Expenses	NA
		Administrative Expenses		85.483	39.666
		Advertising Expenses
		TOTAL	NA	85.483	39.666
	PROFIT BEFORE TAX		NA	8.669	2.449
Less	TAX		NA	2.677	0.938
	PROFIT AFTER TAX		6.922	5.992	1.511
	Earnings Per Share (Rs.)		13.97	92.18	NA

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	4.70	6.36	3.59
Return on Total Assets (PBT/Total Assets}	(%)	NA	12.75	4.76
Return on Investment (ROI) (PBT/Networth)		NA	0.57	0.26
Debt Equity Ratio (Total Debt /Networth)		1.07	1.19	2.04
Current Ratio (Current Asset/Current Liability)		1.49	1.36	1.39

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS

Rs. In Millions

PARTICULARS	31.03.2011	31.03.2010	31.03.2009
For Capital Goods	0.501	1.350	1.192
For Trading Goods	24.325	6.527	2.574
For Expenses	8.384	21.284	9.152
Total	33.210	29.161	12.918

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	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 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	Yes
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	No
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

DETAILS OF UNSECURED LOANS

(Rs. In Millions)

Particular	As on 31.03.2011	As on 31.03.2010
From Directors	5.052	4.557
From Shareholders	2.063	1.871
Total	7.115	6.428

FIXED ASSETS:

• Land
• Computers
• Office Equipments
• Furniture
• Vehicle
• Plant and Machinery
• Building

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.54.46
UK Pound	1	Rs.83.13
Euro	1	Rs.70.99

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	BSN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

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.