MIRA INFORM REPORT

Report Date :

29.04.2013

IDENTIFICATION DETAILS

Name :	MADHAV DIAM BVBA

Registered Office :	Hoveniersstraat 12 2018 Antwerpen

Country :	Belgium

Financials (as on) :	30.06.2012

Date of Incorporation :	26.05.2011

Com. Reg. No.:	836780594

Legal Form :	Private Limited Company (BL/LX)

LINE OF BUSINESS :	PREPARATION OF DIAMONDS

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear

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 – March 31^st, 2013

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Belgium

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

BELGIUM - ECONOMIC OVERVIEW

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2011 Belgian GDP grew by 1.8%, the unemployment rate decreased slightly to 7.2% from 8.3% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 4.2% in 2011 and 3.3% in 2012. Fourth quarter GDP growth in 2012 was at -0.1%, the third consecutive quarter of negative growth. This brought economic growth for the whole of 2012 to negative 0.2%. It also left Belgium on the brink of a possible recession at the end of 2012. However, at year's end, the government appeared close to meeting its 2012 budget deficit goal of 3% of GDP. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

Source : CIA

Company name and address

Business number	836780594
Company name	MADHAV DIAM BVBA
Address	HOVENIERSSTRAAT 12
	2018 ANTWERPEN

Number of staff	0
Date of establishment	26/05/2011
Telephone number	-
Fax number	-

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
30/06/2012	2,377,244	28,219	213,689	209,570

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
30/06/2012	520,912	0	192,800	22,683

Trends

Profitability		-
Liquidity		-
Net worth		-

Payment expectations

Past payments		Payment expectation days	45.51
Industry average payment expectation days	71.02	Industry average day sales outstanding	105.72
Day sales outstanding	20.85

Court data summary

Bankruptcy details
Court action type	no
Protested bills
Bill amount	-
NSSO details
Date of summons	-
Business number	836780594	Company name	MADHAV DIAM BVBA
Fax number	-	Date founded	26/05/2011
Company status	active	Company type	Private Limited Company (BL/LX)
Currency	Euro (€)	Date of latest accounts	30/06/2012
Activity code	32121	liable for VAT
Activity description	Preparation of diamonds	VAT Number	BE.0836.780.594
Belgian Bullettin of Acts Publications	moniteur belge

Joint Industrial Committee (JIC)

comparison mode

averagemedian

Profit & loss

Annual accounts	30-06-2012	%		%		Industry average	%
Weeks	57		-		-
Currency	EUR		-		-
Turnover	2,377,244	-	-	-	-	-	-
Total operating expenses	2,344,061	-	-	-	-	-	-
Operating result	33,183	-	-	-	-	-	-
Total financial income	0	-	-	-	-	-	-
Total financial expenses	4,964	-	-	-	-	-	-
Results on ordinary operations before taxation	28,219	-	-	-	-	-	-
Taxation	7,330	-	-	-	-	-	-
Results on ordinary operations after taxation	20,889	-	-	-	-	-	-
Extraordinary items	0	-	-	-	-	-	-
Other appropriations	0.00	-	-	-	-	-	-
Net result	20,889	-	-	-	-	-	-
other information
Dividends	-	-	-	-	-	-	-
Director remuneration	-	-	-	-	-	-	-
Employee costs	-	-	-	-	-	-	-
Wages and salary	-	-	-	-	-	-	-
Employee pension costs	-	-	-	-	-	-	-
Social security contributions	-	-	-	-	-	-	-
Other employee costs	0	-	-	-	-	-	-
Amortization and depreciation	1,794	-	-	-	-	-	-

balance sheet

Annual accounts	30-06-2012	%		%		Industry average	%
Weeks	57		-		-
Currency	EUR		-		-
Intangible fixed assets	0	-	-	-	-	-	-
Tangible fixed assets	4,119	-	-	-	-	-	-
Land & building	-	-	-	-	-	-	-
Plant & machinery	-	-	-	-	-	-	-
Other tangible assets	4,119	-	-	-	-	-	-
Financial fixed assets	-	-	-	-	-	-	-
Total fixed assets	4,119	-	-	-	-	-	-
Inventories	230,813	-	-	-	-	-	-
Raw materials & consumables	-	-	-	-	-	-	-
Work in progress	0	-	-	-	-	-	-
Finished goods	0	-	-	-	-	-	-
Other stocks	230,813	-	-	-	-	-	-
Trade debtors	135,815	-	-	-	-	-	-
Cash	43,138	-	-	-	-	-	-
other amounts receivable	107,027	-	-	-	-	-	-
Miscellaneous current assets	0	-	-	-	-	-	-
Total current assets	516,793	-	-	-	-	-	-
current liabilities
Trade creditors	292,287	-	-	-	-	-	-
Short term group loans	-	-	-	-	-	-	-
Other short term loans	4,106	-	-	-	-	-	-
Miscellaneous current liabilities	10,830	-	-	-	-	-	- -
Total current liabilities	307,222	-	-	-	-	-	-
Long term debts
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	-	-	-	-	-	-	- -
Other long term liabilities	0	-	-	-	-	-	-
Total long term debts	0	-	-	-	-	-	-
shareholders equity
Issued share capital	192,800	-	-	-	-	-	-
Share premium account	-	-	-	-	-	-	-
Reserves	20,889	-	-	-	-	-	-
Revaluation reserve	-	-	-	-	-	-	-
Total shareholders equity	213,689	-	-	-	-	-	-
Working capital	209,570	-	-	-	-	-	-
Cashflow	22,683	-	-	-	-	-	-
Net worth	213,689	-	-	-	-	-	-

ratio analysis

Annual accounts	30-06-2012	change(%)		change(%)		Industry average	%
Trading performance
Profit Before Tax	1.19	-	-	-	-	-	-
Return on capital employed	13.21	-	-	-	-	-	-
Return on total assets employed	5.42	-	-	-	-	-	-
Return on net assets employed	13.21	-	-	-	-	-	-
Sales / net working capital	11.34	-	-	-	-	-	-
Stock turnover ratio	9.71	-	-	-	-	-	-
Debtor days	20.85	-	-	-	-	-	-
Creditor days	45.51	-	-	-	-	-	-
short term stability
Current ratio	1.68	-	-	-	-	-	-
Liquidity ratio / acid ratio	0.93	-	-	-	-	-	-
Current debt ratio	1.44	-	-	-	-	-	-
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	1.92	-	-	-	-	-	-
Equity in percentage	41.02	-	-	-	-	-	-
Total debt ratio	1.44	-	-	-	-	-	-

Industry comparison

Activity code	32121
Activity description	Preparation of diamonds
industry average credit rating	78.30
Industry average credit limit	9475.63

Payment expectations

Payment expectation days	45.51
Day sales outstanding	20.85

Industry comparison

Activity code	32121
Activity description	Preparation of diamonds
Industry average payment expectation days	71.02
Industry average day sales outstanding	105.72

Industry quartile analysis

Payment expectations
Company result	45.51
Lower	133.78
Median	66.02
Upper	20.85


Day sales outstanding
Company result	20.85
Lower	97.57
Median	38.92
Upper	14.97


Company result	45.51
Lower	133.78
Median	66.02
Upper	20.85


Company result	20.85
Lower	97.57
Median	38.92
Upper	14.97

Summary

Group - Number of Companies	0
Linkages - Number of Companies	0
Number of Countries	0

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Bankruptcy details


There is no bankruptcy data against this company

court data

there is no data for this company

Current director details

Name	CHIRAG SATISCHANDRA ZAVERI
Position	Principal Manager
Start Date	26/05/2011
Street	48 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	RAJENDRA BABUBHAI PATEL
Position	Principal Manager
Start Date	04/07/2012
Street
Post code
Country	India

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds. It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C. India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.29
UK Pound	1	Rs.83.88
Euro	1	Rs.70.67

INFORMATION DETAILS

Report Prepared by :

PRL

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	--

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%)

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.