MIRA INFORM REPORT

Report Date :

22.06.2013

IDENTIFICATION DETAILS

Name :	RAMA GUM INDUSTRIES (INDIA) LIMITED [w.e.f. April 2013]
Formerly Known As :	RAMA INDUSTRIES
Registered Office :	R.S. No. 125, Plot No. 10-15 and 31-36, Near GIDC, Patan Road, Deesa – 385535, Gujarat
Country :	India
Financials (as on) :	31.03.2012 [Rama Industries [Partnership Concern]
Date of Incorporation :	02.04.2013
Com. Reg. No.:	04-074306
Capital Investment / Paid-up Capital :	Rs. 150.000 Millions
CIN No.: [Company Identification No.]	U24139GJ2013PLC074306
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Supplier of Guar Gum Powder and Guar Gum Splits.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (36)

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
Comments :	Subject is a successor of partnership concern started in the year 1989 with the name “Rama Industries”. And later in the year April 2013 it got converted into private limited company. It is having a moderate track record. 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 great caution.

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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Short term rating : [CRISIL] A4
Rating Explanation	Having minimal degree of safety regarding timely payment of financial obligation it carry very high credit risk.
Date	June 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.

LOCATIONS

Registered Office/ Factory 1 :	R.S. No. 125, Plot No. 10-15 and 31-36, Near GIDC, Patan Road, Deesa – 385535, Gujarat, India
Tel. No.:	91-2744-226761/ 226762/ 226494
Fax No.:	91-2744-226494
E-Mail :	info@ramagum.com drmehul@ramagum.net, info@ramagum.com, info@ramagum.net
Website :	http://www.ramagum.com
Factory 2 :	Prakash Gum Industries 45-46, GIDC, Deesa – 385535, Gujarat, India
Tel. No.:	91-2744-226093/ 221193/ 224193/ 226494
Fax No.:	91-2744-226494
Overseas Office :	Located at: Canada UK Malaysia

DIRECTORS

Name :

Mr. Mitul Babulal Shah

Designation :

Managing Director

Address :

634/4 Chandan Society, Highway Road, Deesa – 385535, Banaskantha, Gujarat, India

Date of Birth/Age :

20.05.1979

Date of Appointment :

01.06.2013

DIN No.:

02051917

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U24130GJ2005PTC046248	RAMA GUMS PRIVATE LIMITED	Director	14/06/2005	14/06/2005	Active	NO
2	U67100GJ2009PTC058561	RUSHAY COMMODITIES PRIVATE LIMITED	Director	13/11/2009	13/11/2009	Active	NO
3	U72900GJ2011PTC066489	XENIAR TECHNOLOGY PRIVATE LIMITED	Director	25/07/2011	25/07/2011	Active	NO
4	U24139GJ2013PLC074306	RAMA GUM INDUSTRIES (INDIA) LIMITED	Managing director	01/06/2013	02/04/2013	Active	NO

Name :

Mr. Jinpal Babulal Shah

Designation :

Director

Address :

Chandan Soceity-4, Highway Road, Deesa – 385535, Gujarat, india

Date of Birth/Age :

12.08.1983

Date of Appointment :

02.04.2013

DIN No.:

02700733

Name :

Mr. Prakashbhai Vaghjibhai Shah

Designation :

Director

Address :

7-Alankar SO, At-Deesa, District B.K. Palanpur – 385535, Gujarat, India

Date of Birth/Age :

06.01.1965

Date of Appointment :

02.04.2013

DIN No.:

05216886

Name :

Mr. Babulal Vaghjibhai Shah

Designation :

Director

Address :

634/GH, Chandan Sosa, Navadia-11, Disa - 385535, Gujarat, India

Date of Birth/Age :

01.06.1958

Date of Appointment :

02.04.2013

DIN No.:

05216880

Name :

Mrs. Darshna Jinpal Shah

Designation :

Director

Address :

4, Chandan Society, Highway Road, Deesa-385535, District Banaskantha, North Gujarat, India

Name :

Mrs. Avani Mitulbhai Shah

Designation :

Director

Address :

4, Chandan Society, Highway Road, Deesa-385535, District Banaskantha, North Gujarat, India

Name :

Mrs. Subhadraben Babulal Shah

Designation :

Director

Address :

4, Chandan Society, Highway Road, Deesa-385535, District Banaskantha, North Gujarat, India

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares
Mitul Babulal Shah	3750000
Prakashbhai Vaghjibhai Shah	750000
Subhadraben Babulal Shah	1500000
Avani Mitulbhai Shah	3000000
Babulal Vaghjibhai Shah	3000000
Jinpal Babulal Shah	1500000
Darshna Jinpal Shah	1500000
Total	15000000

BUSINESS DETAILS

Line of Business :

Manufacturer and Supplier of Guar Gum Powder and Guar Gum Splits.

GENERAL INFORMATION

Suppliers :

RAMA INDUSTRIES [PARTNERSHIP CONCERN]

Geo Chem Laboratories India Limited

Globus Transitos Limited

J.R. Roadlines Private Limited

K.V. International

Pooja Logistics

Schekner Logistics

Translog Express Private Limited

Balaji Traders

Dalal Shakti Trading Company

Jamesly Consultants

Maharashtra Traders

Gujarat Laboratory

SGS India Private Limited

Anand Trading Company

Customers :

RAMA INDUSTRIES [PARTNERSHIP CONCERN]

Benchmark Houston, USA

Helly Agencies India Private Limited

Sabarkantha Jilla Dudh Utpadak Mandli Limited

Adachi Naturals Polymers Private Limited

Rushay Commodities Private Limited

Shanti Food and Agro Products, Jodhpur

Sima Enterprises

No. of Employees :

Not Available

Bankers :

Canara Bank, 104, Jyoti Commercial Complex, Near Shyamal Cross Road , Vejalpur, Ahmedabad - 380015, Gujarat, India

Facilities :

RAMA INDUSTRIES [PARTNERSHIP CONCERN]

Secured Loans	31.03.2012 (Rs. In Millions)
Canara Bank – Packing Credit	109.442
Canara Bank – Bills	53.535
Total	162.977

Banking Relations :	--
Auditors :
Name :	A.K. Sethiya and Company Chartered Accountants
Address :	9-10, Mahavir Complex, Rishala Chowk, Deesa – 385535, Gujarat, India
Tel. No.:	91-2744-230647
Income-tax PAN of auditor or auditor's firm :	ACXPS9010P

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
25000000	Equity Shares	Rs. 10/- each	Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
15000000	Equity Shares	Rs. 10/- each	Rs. 150.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

RAMA INDUSTRIES [PARTNERSHIP CONCERN]

SOURCES OF FUNDS		31.03.2012
SHAREHOLDERS FUNDS
1] Partner’s Capital		143.440
2] Share Application Money		0.000
3] Reserves & Surplus		0.000
4] (Accumulated Losses)		0.000
NETWORTH		143.440
LOAN FUNDS
1] Secured Loans		162.976
2] Unsecured Loans		0.633
TOTAL BORROWING		163.609
DEFERRED TAX LIABILITIES		0.000
TOTAL		307.049
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		31.390
Capital work-in-progress		0.000
INVESTMENT		28.093
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	108.224
	Sundry Debtors	367.614
	Cash & Bank Balances	2.861
	Other Current Assets	0.000
	Loans & Advances	36.360
Total Current Assets		515.059
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	161.185
	Other Current Liabilities	106.051
	Provisions	0.257
Total Current Liabilities		267.493
Net Current Assets		247.566
MISCELLANEOUS EXPENSES		0.000
TOTAL		307.049

PROFIT & LOSS ACCOUNT

RAMA INDUSTRIES [PARTNERSHIP CONCERN]

	PARTICULARS		31.03.2012
	SALES
		Income	5997.573
		Other Income	14.192
		TOTAL	6011.765
Less	EXPENSES
		Cost of Goods sold	5573.223
		Manufacturing and Direct Expenses	139.959
		Personnel Cost	2.141
		General, Administrative, Selling and Distribution Expenses	224.421
		Salary to Partners	0.600
		Interest to Partners	6.643
		TOTAL	5946.987
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		64.778
Less	FINANCIAL EXPENSES		11.918
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		52.860
Less/ Add	DEPRECIATION/ AMORTISATION		0.839
	NET PROFIT		52.021

KEY RATIOS

PARTICULARS		31.03.2012
PAT / Total Income	(%)	0.87
Net Profit Margin (PBT/Sales)	(%)	0.87
Return on Total Assets (PBT/Total Assets}	(%)	9.52
Return on Investment (ROI) (PBT/Networth)		0.36
Debt Equity Ratio (Total Debt/Networth)		1.14
Current Ratio (Current Asset/Current Liability)		1.93

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last one year	Yes
12]	Profitability for last one year	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	Yes
18]	Major customers	Yes
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	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

UNSECURED LOANS

RAMA INDUSTRIES [PARTNERSHIP CONCERN]

Unsecured Loans	31.03.2012 (Rs. In Millions)
Prakash Mehata, Surat	0.633
Total	0.633

FIXED ASSETS:

Land

Factory Building

Machinery

Dead Stock

Laboratory Equipment

Air Conditioner

Computer

Vehicles

Zerox Machine Expenses

Water Cooler

Sewing Machine

Other 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 records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proeeding 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. 59.35
UK Pound	1	Rs. 92.11
Euro	1	Rs. 78.59

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
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	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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		36

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.