MIRA INFORM REPORT

Report Date :

15.06.2013

IDENTIFICATION DETAILS

Name :	SYNTHESIS WINDING TECHNOLOGIES PRIVATE LIMITED
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	22.03.2002
Com. Reg. No.:	08-030265
Capital Investment / Paid-up Capital :	Rs. 8.250 Millions
CIN No.: [Company Identification No.]	U29299KA2002PTC030265
TAN No.: [Tax Deduction & Collection Account No.]	BLRS04110B
PAN No.: [Permanent Account No.]	AAGCS8980E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Winding Machines
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 210000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal 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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
India	A1	A1

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

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 :	Ms. Megha
Designation :	Marketing Executive
Contact No.:	91-9902850850
Date :	12.06.2013

LOCATIONS

Registered Office /Factory :	No. 95, 5^th Cross, Electronic City, Bangalore 560100, Karnataka, India
Tel. No.:	91-80-30282020
Mobile No.:	91-9902850850 (Ms. Megha)
Fax No.:	91-80-30200274
E-Mail :	accounts@synthesisindia.com marketing@synthesisindia.com
Website :	www.synthesisindia.com
Area :	4000 sq. ft
Location :	Owned

DIRECTORS

AS ON 28.09.2012

Name :	Mr. Munikote Rajeevalochanam Seetharam
Designation :	Whole Time Director
Address :	No.274, Aradeshana Halli, Devanahalli Taluka, Bangalore-562110, Karnataka, India
Date of Birth/Age :	24.08.1966
Date of Appointment :	22.03.2002
DIN No.:	00498008
Name :	Mr. Melukote Shivaramu Lokesh
Designation :	Whole Time Director
Address :	No.2/3, Nisargabda Enclave, 5^th Block BSK 3rs Stage, Ring Road, Bangalore-560086, Karnataka, India
Date of Birth/Age :	20.12.1955
Date of Appointment :	22.03.2002
DIN No.:	02081792

KEY EXECUTIVES

Name :	Ms. Megha
Designation :	Marketing Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2012

Names of Shareholders	No. of Shares
Munikote Rajeevalochanam Seetharam	412500
Melukote Shivaramu Lokesh	412500
TOTAL	825000

AS ON 28.09.2012

Equity Shares Break Up	Percentage of Holding
Directors or relatives of Directors	100.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Winding Machines

Products :

ITC Code	Product Description
847919	Coil Winding Machine

Exports :

Products :

Winding Machines

Countries :

· European Countries

· China

Imports :

Products :

Auto Parts

Countries :

· Japan

Terms :

Selling :

By Cheque

Purchasing :

By Cheque

GENERAL INFORMATION

Customers :

Others

No. of Employees :

100 (Approximately)

Bankers :

State Bank of India, SME Branch, J P Nagar, 5^th Phase, Bangalore 560078, Karnataka, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Short Term Borrowings
State Bank of India (Working Capital Loan)	17.335	0.000
(Secured against fixed and current assets of the company)
TOTAL	17.335	0.000

Banking Relations :	--
Auditors :
Name :	G Vishwanath and Company Chartered Accountant
Address :	No.208, 3^rd Cross, 2^nd Main, Hanumantha Nagar, Bangalore-560019, Karnataka, India
PAN No.:	AAGPV1465Q

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs. 10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
825000	Equity Shares	Rs.10/- each	Rs. 8.250 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	8.250	8.250
(b) Reserves & Surplus	44.813	31.613
(c) Money received against share warrants	0.000	0.000
	53.063	39.863
(2) Share Application money pending allotment	0.000	0.000
(3) Non-current liabilities
(a) long-term borrowings	0.575	1.600
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	5.956	5.633
(4) Current liabilities
(a) Short term borrowings	17.335	0.000
(b) Trade payables	8.194	21.925
(c) Other current liabilities	23.162	31.621
(d) Short-term provisions	7.396	9.390
TOTAL	115.681	110.032
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	8.677	9.480
(ii) Intangible Assets	1.200	1.529
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.786	0.605
(d) Long-term Loan and Advances	0.000	0.000
(e) Other Non-current assets	17.801	11.301
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	13.635	38.137
(c) Trade receivables	35.113	19.748
(d) Cash and cash equivalents	29.347	13.645
(e) Short-term loans and advances	9.122	15.587
(f) Other current assets	0.000	0.000
TOTAL	115.681	110.032

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		8.250
2] Share Application Money		0.000
3] Reserves & Surplus		27.007
4] (Accumulated Losses)		0.000
NETWORTH		35.257
LOAN FUNDS
1] Secured Loans		0.073
2] Unsecured Loans		1.600
TOTAL BORROWING		1.673
DEFERRED TAX LIABILITIES		0.000
TOTAL		36.930
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		9.019
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	8.407
	Sundry Debtors	26.150
	Cash & Bank Balances	11.310
	Other Current Assets	0.000
	Loans & Advances	16.792
Total Current Assets		62.659
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	13.072
	Other Current Liabilities	12.179
	Provisions	9.497
Total Current Liabilities		34.748
Net Current Assets		27.911
MISCELLANEOUS EXPENSES		0.000
TOTAL		36.930

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	192.763	145.872	101.875
		Other Income		1.966	0.867
		TOTAL (A)	192.763	147.838	102.742
Less	EXPENSES
		Manufacturing Expenses	172.864	107.514	56.097
		Employees Remuneration		29.433	21.902
		Administrative Expenses		18.855	15.657
		Increase/(Decrease) in Finished Goods		(16.876)	(0.381)
		TOTAL (B)	172.864	138.926	93.275
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		[Including Financial	8.912	9.467
			And
Less	FINANCIAL EXPENSES (D)		Deprecation]	0.756	3.204
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			8.156	6.263
Less/ Add	DEPRECIATION/ AMORTISATION (F)			1.431	1.286
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		19.899	6.725	4.977
Less	TAX (H)		6.699	2.119	1.604
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		13.200	4.606	3.373
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	0.507	0.634
Less	APPROPRIATIONS
		Transfer to General Reserve	NA	4.500	3.500
	BALANCE CARRIED TO THE B/S		NA	0.613	0.507
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	42.849	7.717	12.547
		Other Earnings	0.137	0.000	0.000
	TOTAL EARNINGS		42.986	7.717	12.547
	IMPORTS
		Stores & Spares	NA	3.123	2.598
	TOTAL IMPORTS		NA	3.123	2.598
	Earnings Per Share (Rs.)		16.00	5.58	--

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	6.85	3.12	3.28
Net Profit Margin (PBT/Sales)	(%)	NA	4.61	4.88
Return on Total Assets (PBT/Total Assets}	(%)	17.32	6.15	6.94
Return on Investment (ROI) (PBT/Networth)		0.38	0.17	0.14
Debt Equity Ratio (Total Debt /Networth)		0.34	0.04	0.05
Current Ratio (Current Asset/Current Liability)		1.56	1.38	1.80

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

Unsecured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Long Term Borrowings
M S Lokesh – Director	0.050	1.050
M R Seetharam – Director	0.525	0.550
TOTAL	0.575	1.600

BUSINESS OUTLOOK AND STRATEGY

That in spite of the slow recovery from recession in the Economy for World, the Company has done well during the year. They have every hope that the Company can perform well during the future years also as the economy is now looking up and the Company has been able get good orders from the Public and Private Sector Companies. The company is also making its effort to expand its business presence in the overseas markets as well. The Power sector is in the expanding mode in the internal economy and the company is hopeful of getting good orders from this sector as well.

FIXED ASSETS

· Land and Building

· Plant and Machinery

· Furniture and Fixture

· Motor Cars

· Vehicles

· Generators

· Office Equipments

· Computer and Printer

· Air Conditioner

· Electrical Equipments

· Factory Equipments

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. 57.74
UK Pound	1	Rs. 90.64
Euro	1	Rs. 77.02

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	DPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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.