MIRA INFORM REPORT

Report Date :

29.04.2013

IDENTIFICATION DETAILS

Name :	MEHTA API PRIVATE LIMITED
Registered Office :	315-318 Janki Centre, Plot No.29, Shah Industrial, Estate, Off Veera Desai Road, Andheri (West), Mumbai – 400053, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	30.03.1987
Com. Reg. No.:	11-043003
Capital Investment / Paid-up Capital :	Rs.9.801 Millions
CIN No.: [Company Identification No.]	U24230MH1987PTC043003
TAN No.: [Tax Deduction & Collection Account No.]	MUMS41431F
PAN No.: [Permanent Account No.]	AAECS9868B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing and Marketing of APIs and Advance Drug Intermediates.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (34)

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

Maximum Credit Limit :	USD 380000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. There appears drastic fall in the profitability borrowing seems to be increasing over years. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. 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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Cash Credit: BB
Rating Explanation	Having moderate risk of default regarding timely servicing of financial obligation
Date	January, 2013

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 / Head Office :	315-318 Janki Centre, Plot No.29, Shah Industrial, Estate, Off Veera Desai Road, Andheri (West), Mumbai – 400053, Maharashtra, India
Tel. No.:	91-22-66926541/61459500
Fax No.:	91-22-66925901/26730129
E-Mail :	mehta_api@mehtapharma.com vinay.shah@mehtapharma.com info@mehtaapi.com satyajitmishra_cs@rediffmail.com
Factory :	Gut No. 546,519, 520 & 571, Behind Plot No. N-211, Village Kumbhavli, Taluka Palghar, District Thana, Maharashtra, India
Tel. No.:	91-2525-645438 / 39 / 605010
Fax No.:	91-2525-275780 / 90
Tarapur Plant:	Behind RMI Group, Near Plot No. N-211, Village Kumbhavali, Adjacent to MIDC Area, Trarapur, Taluka-Palghar, District-Thane, Pin-401506, Maharashtra
Tel. No.:	91-2525-645438/39
Fax No.:	91-2525-275780/90
Branch Office :	Located at: Boisar Virar

DIRECTORS

As on 29.09.202

Name :	Mr. Harshadrai Prabhudas Mehta
Designation :	Managing Director
Address :	B-201/202, Mohan Villa, Bajaj Road, Vile Parle (West), Mumbai – 400 056, Maharashtra, India
Date of Appointment :	01.04.1987
DIN No.:	00796610
PAN No.:	AABPM1999B

Name :	Mr. Devendra Harshadrai Mehta
Designation :	Director
Address :	B-201-202, Mohan Villa, Bajaj Road, Vile Parle (West), Mumbai – 400 056, Maharashtra, India
Date of Appointment :	01.01.2001
DIN No.:	00796682
PAN No.:	AABPM0360J

Name :	Mr. Yogin Harshadrai Mehta
Designation :	Director
Address :	B-201-202, Mohan Villa, Bajaj Road, Vile Parle (West), Mumbai – 400 056, Maharashtra, India
Date of Appointment :	01.01.2001
DIN No.:	00796692
PAN No.:	AABPM0364N
Name :	Mr. Vijay Lachmn Kripalani
Designation :	Additional Director
Address :	801, 8^th Floor, A-Wing Vanmli Society, Opp Dukes Factory, Off Sion Trombay Road, Chember, Mumbai – 400071, Maharashtra, India
Date of Appointment :	04.10.2013
DIN No.:	00033759
Name :	Mr. Anil Balkrishna Ghogare
Designation :	Director
Address :	Flat No.104, 1^st Floor, Rajnigndha Chs, Plot No. 106, Gorai 2, Borivali West, Mumbai – 400091, Maharashtra, India
Date of Appointment :	04.10.2012
DIN No.:	00432659

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.202

Names of Shareholders	No. of Shares
Harshadrai Mehta	35833
Devendra Mehta	28670
Yogin Mehta	28670
Manisha Mehta	500
Mehta Chemicals, India	1000
H. P. Mehta (HUF)	1000
Kundanbala Mehta	1833
Darshana Mehta	500
Total	98006

Equity Share Break up (Percentage of Total Equity)

As on 29.09.202

Category	Percentage
Bodies corporate	2.04
Directors or relatives of Directors	97.96
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Marketing of APIs and Advance Drug Intermediates.

GENERAL INFORMATION

No. of Employees :

100 (Approximately)

Bankers :

· Central Bank of India

Kasturi Building, J Tata Road, Churchgate, Mumbai – 400 020, Maharashtra, India

· HDFC Bank Limited

· Axis Bank Limited

· State Bank of India

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Rupee term loans from banks	1.474	35.640
Term loans from banks	196.549	152.264
Total	198.023	187.904

Banking Relations :	--
Auditors :
Name :	V J Shah and Company Chartered Accountants
Address :	1^st Floor, HIra Niwas, 46, Mody Street, CST, Mumbai – 400001, Maharashtra, India
PAN No.:	AAAFV0230F

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
98006	Equity Shares	Rs.100/- each	Rs.9.801 Millions

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		9.801	9.801	9.401
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		86.000	78.572	49.608
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		95.801	88.373	59.009
LOAN FUNDS
1] Secured Loans		198.023	187.904	44.151
2] Unsecured Loans		113.561	58.278	32.474
TOTAL BORROWING		311.584	246.182	76.625
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		407.385	334.555	135.634
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		134.154	117.727	69.109
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.206	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	161.756	175.750	110.913
	Sundry Debtors	219.456	255.725	114.855
	Cash & Bank Balances	101.735	84.742	0.197
	Other Current Assets	46.724	4.892	13.076
	Loans & Advances	41.962	36.360	47.767
Total Current Assets		571.633	557.469	286.808
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	242.709	313.366	196.159
	Other Current Liabilities	54.173	26.751	10.562
	Provisions	1.726	0.524	13.562
Total Current Liabilities		298.608	340.641	220.283
Net Current Assets		273.025	216.828	66.525
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		407.385	334.555	135.634

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2012	31.03.2011	31.03.2010
	SALES
			Income	1286.000	1125.000	655.375
			Other Income	NA	NA	31.715
			TOTAL (A)	NA	NA	687.090
Less	EXPENSES
			Raw Materials, Packing Materials and Goods Consumption			591.874
			Manufacturing Expenses			16.763
			Administrative Expenses			4.383
			Payment to and provision for employees			5.232
			Selling and Administrative Expenses			7.629
			TOTAL (B)	NA	NA	625.881
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)					61.209
Less	INTEREST AND FINANCIAL CHARGES (D)					12.959
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)					48.250
Less/ Add	DEPRECIATION/ AMORTISATION (F)					10.416
	PROFIT BEFORE TAX (E-F) (G)			NA	NA	37.834
Less	TAX (H)			NA	NA	13.500
	PROFIT AFTER TAX (G-H) (I)			11.000	42.000	24.334
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD			NA	22.507	4.675
Less	INCOME TAX ADJUSTMENTS OF EARLIER YEARS			NA	NA	0.002
Less	APPROPRIATIONS
		Transfer to General Reserve		NA	NA	6.500
	BALANCE CARRIED TO THE B/S				NA	22.507
	EARNINGS IN FOREIGN CURRENCY			NA	321.011	118.007
	Earnings Per Share (Rs.)			112.24	428.55	258.85

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	NA	3.54
Net Profit Margin (PBT/Sales)	(%)	NA	NA	5.77
Return on Total Assets (PBT/Total Assets}	(%)	NA	NA	10.63
Return on Investment (ROI) (PBT/Networth)		NA	NA	0.64
Debt Equity Ratio (Total Debt/Networth)		3.25	2.79	5.03
Current Ratio (Current Asset/Current Liability)		1.91	1.64	1.30

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	Yes
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	No
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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

Unsecured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Term loans from bank	20.803	0.000
Loans and Advances from related parties	92.758	58.278
Total	113.561	58.278

Note: Registered office of the company has been shifted from 314, Janki Centre 29, Shah Industrialist, Andheri West, Mumbai – 400053, Maharashtra, India to the present address w.e.f 25.01.2012

FINANCIAL RESULTS:

The company has been able to effect the Total Sales of Rs. 1286.000 Millions (Previous year Rs.1125 Millions) an increase of 14.31%. Profit after tax of Rs.11.000 Millions (Previous Year Rs.42.000 Millions) a decrease of 73.81%.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U24230MH1987PTC043003
Name of the company	MEHTA API PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	315-318 Janki Centre, Plot No.29, Shah Industrial, Estate, Off Veera Desai Road, Andheri (West), Mumbai – 400053, Maharashtra, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10013362
Type of charge	Immovable property Movable property (not being pledge)
Particular of charge holder	Central Bank of India Kasturi Building, J Tata Road, Churchgate, Mumbai – 400 020, Maharashtra, India
Nature of instrument creating charge	Letter of Hypothecation Dated 06/09/2012 Term Loan Agreement Dated 06/09/2012 Memorandum of Entry Dated 06/09/2012 All the three Agreement of Hypothecation,Term Loan Agreement, Memorandum of Entry are consider as a single charge
Date of instrument Creating the charge	06.09.2012
Amount secured by the charge	Rs.643.400 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest For Fund Based CC (HYP)Cum OD (Book Debt Upto 90 Days) : BR+3.5% For Term Loan-I BR+2.25%, Term Loan II : 6 Months Libor+7%, Term Loan III : BR+4.00% Terms of Repayment On Demand Margin CC(Hypothecation) Cum OD (Book debt upto 90 days) : 25%, For Packing Credit: 10%, For Term Loan I: 28% FOR BLDG and 25% For Plant and Machinery, Term Loan II: 25%, Bank Guarantee:10%, Letter Of Credit For Import Upto 180 days:10% Extent and Operation of the charge The Charge will remain in full force till the repayment of facilities both fund and Non-fund based sanctioned by the Bank to the Company.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Subservient charge on current Assets of the Company. Exclusive Charge on the Entire movable and immoveable fixed assets of the company comprising inter alia machinery, equipment, Plant and spare part which now or Hereafter from time to time during this security shall belong to the Borrowers wherever may be including in transit, including at GUT No. 546, 571, 519, 520 at Kumbhavali, Boisar.
Date of instrument modifying the charge	12.06.2012
Particulars of the present modification	The Company has extended the mortgage to cover additional facilities. The present mortgage is now extended to the tune of Rs 643.400 Millions

FIXED ASSETS

· Buildings

· Furniture and Fixtures

· Office Equipment

· Vehicles

· Plant and Machineries

· Computers

WEB DETAILS

Profile

Subject engaged in manufacturing and marketing of APIs and Advance Drug Intermediates.... Globally.

Highly commitment to Excellence in Product Quality and adherence to stringent delivery schedule. Exports to about 20 countries including Regulated Markets - spanning all 6 continents. A technology driven company setting up high benchmarks for quality has strong API processing and manufacturing capability

Subject evolving as a research driven organization focusing on manufacturing and marketing of APls and Advance Intermediates. It is led by visionary management with its ambitious plans. The company has capacity to manufacture multi step highly complex, high potent, chiral and semi-systhetic APls. Exporting worldwide to 20 countries including Regulated Markets - spanning across 6 continents.

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 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.54.29
UK Pound	1	Rs.83.88
Euro	1	Rs.70.67

INFORMATION DETAILS

Information Gathered by :

KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		34

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.