MIRA INFORM REPORT

Report Date :

27.02.2013

IDENTIFICATION DETAILS

Name :	SANJAY CHEMICALS (INDIA) PRIVATE LIMITED

Registered Office :	Unit G-1, 5^th Floor, Kanmoor House Condominium, 281/287, Narsi Natha Street, Mumbai – 400009, Maharashtra

Country :	India

Financials (as on) :	31.03.2012

Date of Incorporation :	20.10.2000

Com. Reg. No.:	11-129290

Capital Investment / Paid-up Capital :	Rs. 29.578 Millions

CIN No.: [Company Identification No.]	U51434MH2000PTC129290

TAN No.: [Tax Deduction & Collection Account No.]	MUMS27686B

PAN No.: [Permanent Account No.]	AAFCS2929E

Legal Form :	Private Limited Liability Company

Line of Business :	Trader and Importer of Chemicals.

No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (34)

RATING

STATUS

PROPOSED CREDIT LINE

26-40

Capability to overcome financial difficulties seems comparatively below average.

Small

Maximum Credit Limit :	USD 2290000

Status :	Moderate

Payment Behaviour :	Slow but correct

Litigation :	Clear

Comments :	Subject is an established company having moderate track record. The profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payment terms are slow but correct. The company 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

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	CARE
Rating	Long term Bank facilities : BB+
Rating Explanation	Moderate risk of default
Date	April 4, 2012

Rating Agency Name	CARE
Rating	Short term Bank facilities : A4
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	April 4, 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

Name :	Mr. Karan Rathod
Designation :	Accounts Department
Contact No.:	91-22-40361100
Date :	25.02.2013

LOCATIONS

Registered/ Head Office :	Unit G-1, 5^th Floor, Kanmoor House Condominium, 281/ 287, Narsi Natha Street, Mumbai – 400009, Maharashtra, India
Tel. No.:	91-22-40361100/ 66312988/ 66313088
Mobile No.:	91-9821094067 (Mr. Dilip Parmar)
Fax No.:	91-22-23754337
E-Mail :	scipl.mumbai@sanjaychemindia.com karan.rathod@sanjaychemindia.com dilip@sanjaychemindia.com sanjay@sanjaychemindia.com
Website :	http://www.sanjaychemindia.com
Location :	Owned

DIRECTORS

AS ON 30.09.2011

Name :	Mr. Dilip Vijayraj Parmar
Designation :	Managing director
Address :	Flat 507-8, 5th Floor, Matruchaya, Building 378/80, N Natha Street, Mandavi, Mumbai - 400003, Maharashtra, India
Date of Birth/Age :	14.03.1964
Qualification :	B.Com
Date of Appointment :	20.10.2000
PAN No.:	AACPP6972C
DIN No.:	00867949

Name :	Mr. Sanjay Vijayrajji Parmar
Designation :	Director
Address :	Ooranwala Mansion, 1st Floor, Dr. Ambedkar Marg, Parel, Mumbai – 400012, Maharashtra, India
Date of Birth/Age :	08.01.1974
Qualification :	BA
Date of Appointment :	20.10.2000
PAN No.:	AADPP7910K
DIN No.:	00478460

Name :	Mr. Manoj Vijayraj Parmar
Designation :	Director
Address :	Ooranwala Mansion, 1st Floor, Dr. Ambedkar Marg, Parel, Mumbai – 400012, Maharashtra, India
Date of Birth/Age :	14.03.1968
Qualification :	BSC
Date of Appointment :	20.10.2000
PAN No.:	AADPP7905Q
DIN No.:	02452281

Name :	Mr. Vijayraj Multanmal Parmar
Designation :	Director
Address :	Ooranwala Mansion, 1st Floor, Dr. Ambedkar Marg, Parel, Mumbai – 400012, Maharashtra, India
Date of Birth/Age :	13.03.1944
Qualification :	SSC
Date of Appointment :	20.10.2000
PAN No.:	AACPP6971B
DIN No.:	02452291

KEY EXECUTIVES

Name :	Mr. Karan Rathod
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

SHAREHOLDING DETAILS FILE ATTACHED

AS ON 30.09.2011

Equity Share Breakup		Percentage of Holding
Category
Bodies corporate		34.49
Directors or relatives of directors		65.51
Total		100.00

BUSINESS DETAILS

Line of Business :	Trader and Importer of Chemicals.

Imports :
Products :	Chemicals
Countries :	Ø China Ø Germany

Terms :
Selling :	Cash and Credit

Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

Wholesalers and Retailers

No. of Employees :

50 (Approximately)

Bankers :

Ø Development Credit Bank Limited, 601 and 602, Peninsula Business Park, 6^th Floor, Tower A, Senapati Bapat Marg, Lower Parel, Mumbai - 400013, Maharashtra, India

Ø Development Credit Bank Limited, 301, Trade Plaza, 414, Veer Savarkar Marg, Prabhadevi, Mumbai – 400025, Maharashtra, India

Ø Development Credit Bank Limited, 154, S V Road, East Dongri, Mumbai – 400009, Maharashtra, India

Facilities :

Secured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Working capital loans from banks	17.430	79.343
Total	17.430	79.343


Banking Relations :	--

Auditors :
Name :	MGB and Company Chartered Accountants
Address :	101-A Jolly Bhavan No. 2, Opposite Nirmala Niketan, 7 New Marine Lines, Churchgate, Mumbai – 400020, Maharashtra, India
Income-tax PAN of auditor or auditor's firm :	AAAFM5742R

Related Parties :	Ø Scorpio Exim Private Limited [U52321MH2005PTC158479] Ø Zany Share Trading Private Limited [U67120MH2006PTC159576]

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount

3,550,000	Equity Shares	Rs. 10/- each	Rs. 35.500 Millions
45,000	Preference Shares	Rs. 100/- each	Rs. 4.500 Millions
	Total		Rs. 40.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

2,683,700	Equity Shares	Rs. 10/- each	Rs. 26.837 Millions
27,407	Preference Shares	Rs. 100/- each	Rs. 2.741 Millions
	Total		Rs. 29.578 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		29.578	27.038	17.458
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		543.436	468.813	210.580
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		573.014	495.851	228.038
LOAN FUNDS
1] Secured Loans		17.430	79.343	0.927
2] Unsecured Loans		45.335	51.055	239.387
TOTAL BORROWING		62.765	130.398	240.314
DEFERRED TAX LIABILITIES		0.429	0.441	0.446

TOTAL		636.208	626.690	468.798

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		5.107	4.834	4.285
Capital work-in-progress		0.000	0.000	0.000

INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	434.306	375.604	323.512
	Sundry Debtors	1372.691	1629.846	1337.771
	Cash & Bank Balances	374.322	144.533	98.840
	Other Current Assets	38.123	67.436	0.000
	Loans & Advances	45.653	19.418	65.348
Total Current Assets		2265.095	2236.837	1825.471
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000	0.000	1334.480
	Other Current Liabilities	1633.994	1614.368	6.902
	Provisions	0.000	0.613	19.576
Total Current Liabilities		1633.994	1614.981	1360.958
Net Current Assets		631.101	621.856	464.513

MISCELLANEOUS EXPENSES		0.000	0.000	0.000

TOTAL		636.208	626.690	468.798

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	5467.279	5323.321	4415.638
		Other Income	N.A.	N.A.	14.101
		TOTAL (A)	N.A.	N.A.	4429.739

Less	EXPENSES
		Cost of Goods			4293.497
		Personal Cost			6.847
		Administrative and Other Expenses			76.719
		TOTAL (B)	N.A.	N.A.	4377.063

Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)				52.676

Less	FINANCIAL EXPENSES (D)				26.564

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		21.975	44.042	26.112

Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.823	0.734	0.640

	PROFIT BEFORE TAX (E-F) (G)		21.152	43.308	25.472

Less	TAX (H)		7.489	14.996	9.182

	PROFIT AFTER TAX (G-H) (I)		13.663	28.312	16.290

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		72.134	43.822	27.532

	BALANCE CARRIED TO THE B/S		85.797	72.134	43.822

	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Export	15.361	0.000	8.742

	CIF VALUE OF IMPORTS		1823.405	1567.800	1019.608

	Earnings Per Share (Rs.)		5.04	15.14	11.07

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	N.A.	N.A.	0.37

Net Profit Margin (PBT/Sales)	(%)	0.39	0.81	0.58

Return on Total Assets (PBT/Total Assets}	(%)	0.93	1.93	1.39

Return on Investment (ROI) (PBT/Networth)		0.04	0.09	0.11

Debt Equity Ratio (Total Debt/Networth)		0.11	0.26	1.05

Current Ratio (Current Asset/Current Liability)		1.39	1.39	1.34

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	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	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 LOANS

Unsecured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Intercorporate borrowings	27.609	37.647
Loans and advances from related parties	16.499	13.285
Loans and advances from directors	1.227	0.123
Total	45.335	51.055

Note: The registered address of the company has been shifted from 507 Matruchhaya Building, 378/80 Narsi Natha Street, Mumbai - 400009, Maharashtra, India to the present w.e.f.01.08.2012

PERFORMANCE

The Company’s Turnover during the year has increased to Rs. 5467.279 millions as compared to previous years Rs. 5323.321 millions. The Net Profit after tax during the year has also increased to Rs. 13.663 millions as compared to previous years Rs. 28.312 millions

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U51434MH2000PTC129290
Name of the company	SANJAY CHEMICALS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Unit G-1, 5^th Floor, Kanmoor House Condominium, 281/287, Narsi Natha Street, Mumbai – 400009, Maharashtra, India Email: kamlesh@sanjaychemindia.com
This form is for	Modification of charge
Charge identification number of the modified	10211615
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	Development Credit Bank Limited, 601 and 602, Peninsula Business Park, 6^th Floor, Tower A, Senapati Bapat Marg, Lower Parel, Mumbai - 400013, Maharashtra, India Email: vijaykurankar@dcbbank.com CIN No.: L99999MH1995PLC089008
Nature of description of the instrument creating or modifying the charge	Second Supplemental Joint Deed of Hypothecation dt. 15.06.2012 Facilities sanctioned by DCB Rs. 255.000 Millions OBC Rs 408.800 Millions ICICI Bank Rs. 470.000 Millions UBI Rs 300.000 Millions Citi Bank Rs 170.000 Millions Total Rs.1603.800 Millions
Date of instrument Creating the charge	15.06.2012
Amount secured by the charge	Rs. 1603.800 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per Details of Charge Holders Terms of Repayment As per Details of Charge Holders Margin As per Details of Charge Holders Extent and Operation of the charge The Charge is operative and modified for Rs.1603.800 Millions. By consent of all the Parties, viz., Development Credit Bank Limited and ICICI Bank Limited and Oriental Bank of Commerce and Union Bank of India and Citibank N.A., Development Credit Bank Limited is designated and recognized as the Lead Bank under Consortium called as."Development Credit Bank Limited Consortium"
Short particulars of the property charged	First pari-passu charge on: The whole of the Current Assets of the Borrower namely, Stocks of Raw Materials, Stocks in Process, Semi-Finished and Finished Goods, Stores and Spares not relating to Plant and Machinery (Consumable Stores and Spares), Bills Receivable and Book Debts and all other movables, both present and future whether now lying loose or in cases or which are now lying loose or in cases or which are now lying or stored in or about or shall hereinafter from time to time during the continuance of the security of these presents be brought into or upon or be stored or be in or about of the Borrowers factories, premises and godowns situate at Mumbai and / or anywhere in India or wherever else the same may be or be held by any party to the order of disposition of the borrower or in the course of transit or on high seas or on order, or delivery , howsoever and where so ever in the possession of the Borrower and either by way of substitution or addition.
Date of Modification	10.02.2011
Particulars of the present modification	By this present modification, the total charge gets enhanced to Rs.1603.800 Millions as detailed below:- DCB Rs.255.000 Millions ICICI Rs.470.000 Millions OBC Rs.408.800 Millions UBI Rs.300.000 Millions CITIBANK Rs.170.000 Millions ----------------------- Total Rs.1603.800 Millions ============== Other Terms and Conditions remain unchanged.

FIXED ASSETS

Ø Land and Building

Ø Office premises

Ø Office equipments

Ø Air conditioners

Ø Furniture and fixtures

Ø Vehicles

Ø Computers

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. 54.04
UK Pound	1	Rs. 81.80
Euro	1	Rs. 71.41

INFORMATION DETAILS

Information Gathered by :	PDT

Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--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.

MIRA INFORM REPORT

434.306

323.512

1372.691

1337.771

374.322

98.840

38.123

0.000

45.653

65.348

2265.095

0.000

1334.480

1633.994

6.902

0.000

19.576

1633.994

631.101

0.37

0.39

0.58

0.93

1.39

0.04

0.11

0.11

1.05

1.39

1.34

Unit