MIRA INFORM REPORT

Report Date :

25.06.2013

IDENTIFICATION DETAILS

Name :	ELAN AUTO INDIA LIMITED
Registered Office :	Plot No. 24, Sector-25, Faridabad - 121005, Haryana
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	30.03.2010
Com. Reg. No.:	05-040313
Capital Investment / Paid-up Capital :	Rs.29.406 Millions
CIN No.: [Company Identification No.]	U35999HR2010PLC040313
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of fabricated sheet metal components and precision assemblies and sub-assemblies for OEM customers.
No. of Employees :	450 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 250000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a successor of partnership concern started in 1984 named as D M Enterprises. Later it got converted into private limited company during 2010. It is an established company having moderate track record. External borrowings are increasing over previous year. The profit margin of the company also appears to be low during 2012. The ratings also take into consideration. The large working capital requirements, weak debt production. Metrics and modest net worth. However, trade relations are fair. Business is active. Payment terms are slow but correct. In view of promoters extensive industry experience and its established relationship with its customer, the company can be considered for business dealings with some 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	B+ (Long Term Rating)
Rating Explanation	High risk of default.
Date	26.07.2012

Rating Agency Name	CRISIL
Rating	A4 (Short Term Rating)
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	26.07.2012

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. Neeraj Jain
Designation :	Director
Contact No.:	91-9818174181
Date :	10.06.2013

LOCATIONS

Registered Office/ Factory :	Plot No. 24, Sector-25, Faridabad - 121005, Haryana, India
Tel. No.:	91-129-4262008/ 4262012
Mobile No.:	91-9818174181 (Mr. Neeraj Jain)
Fax No.:	Not Available
E-Mail :	rpclahli@yahoo.co.in info@elanautoindia.com njain@elanautoindia.com  sksaini@elanautoindia.com  design@elanautoindia.com
Website :	http://elanautoindia.com
Location :	Owned

DIRECTORS

As on: 29.09.2012

Name :	Mr. Tantia Manoj
Designation :	Director
Address :	H. No. 454, Sector-14, Faridabad - 121007, Haryana, India
Date of Birth/Age :	23.08.1968
Date of Appointment :	30.03.2010
DIN No.:	00083760
Name :	Mr. Shyam Sunder Jain
Designation :	Director
Address :	05.08.1953
Date of Birth/Age :	H. No. 492, Sector-14 Faridabad – 121007, Haryana, India
Date of Appointment :	30.03.2010
DIN No.:	00083761
Name :	Mr. Satish Jain
Designation :	Director
Address :	H. No. 1443, Sector-14 Faridabad - 121007, Haryana, India
Date of Birth/Age :	05.06.1972
Date of Appointment :	30.03.2010
DIN No.:	00110033

MAJOR SHAREHOLDERS

As on: 29.09.2012

Names of Shareholders	No. of Shares
Shyam Sunder Jain	1092590
Manoj Tantia	155928
Satish Jain	583717
S.K. Jain	10000
Shashi Jain	303401
Neeraj Jain	162087
Vineet Jain	86505
Bharti Jain	274
Bimla Devi Maheshwari	1219
Deepak Tantia	100
H.G. Tantia HUF	100
Kaushlya Devi	100
L.R.Jain	595

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Directors or relatives of Directors	95.03
Other	4.97
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of fabricated sheet metal components and precision assemblies and sub-assemblies for OEM customers.
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

450 (Approximately)

Bankers :

· United Bank of India, A-3/1,Nehru ground, NIT Town, Faridabad - 121001, Haryana, India

· ICICI Bank Limited

· Standard Chartered Bank

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
LONG TERM BORROWINGS
Term Loan	30.646	28.046
SHORT TERM BORROWINGS
Working Capital Loans
Untied Bank of India --CC A/C	63.825	50.854
Haryana Financial Corporation	0.647	1.508
National Small Industrial Corporation	4.932	13.266
ICICI Bank Limited Car Loan--- Skoda	0.424	0.609
ICICI Bank Limited Car Loan--- SX4-ii	0.103	0.229
Standard Chartered Bank Car Loan A/c	0.000	0.851
Total	100.577	95.363

Banking Relations :
Auditors :
Name :	Sudhir Chaudhary and Associates Chartered Accountants
Address :	205, Om Shubham Tower, Neelam Bata Road, NIT, Faridabad – 121001, Haryana, India
PAN No.:	ABCFS6938E
Substantial Interest of Director in the company :	Admach Auto Industries India Private Limited

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2940626	Equity Shares	Rs.10/- each	Rs.29.406 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	29.406	28.292
(b) Reserves & Surplus	35.581	11.197
(c) Money received against share warrants	0.000	0.00
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	64.987	39.489
(3) Non-Current Liabilities
(a) long-term borrowings	48.726	34.054
(b) Deferred tax liabilities (Net)	5.080	2.670
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	1.290	0.995
Total Non-current Liabilities (3)	55.096	37.719
(4) Current Liabilities
(a) Short term borrowings	69.931	67.317
(b) Trade payables	39.834	49.590
(c) Other current liabilities	10.927	11.428
(d) Short-term provisions	1.769	1.577
Total Current Liabilities (4)	122.461	129.912
TOTAL	242.544	207.120
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	95.857	84.298
(ii) Intangible Assets	0.000	0.000
(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)	0.000	0.000
(d) Long-term Loan and Advances	0.894	0.944
(e) Other Non-current assets	0.170	0.226
Total Non-Current Assets	96.921	85.468
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	77.020	50.402
(c) Trade receivables	46.673	57.177
(d) Cash and cash equivalents	1.326	3.008
(e) Short-term loans and advances	20.604	11.065
(f) Other current assets	0.000	0.000
Total Current Assets	145.623	121.652
TOTAL	242.544	207.120

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011
	SALES
		Income	287.267	202.264
		Other Income	0.471	0.339
		TOTAL (A)	287.738	202.603
Less	EXPENSES
		Cost of materials consumed	207.873	140.769
		Changes in inventories of finished goods and work‐in‐progress and Stock‐in‐Trade	(12.311)	0.891
		Personnel Expenses	28.360	17.841
		Other Expenses	35.743	26.014
		TOTAL (B)	259.665	185.515
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		28.073	17.088
Less	FINANCIAL EXPENSES (D)		16.462	8.639
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		11.611	8.449
Less/ Add	DEPRECIATION/ AMORTISATION (F)		4.594	2.835
	PROFIT BEFORE TAX (E-F) (G)		7.017	5.614
Less	TAX (H)		3.804	3.917
	PROFIT AFTER TAX (G-H) (I)		3.213	1.697
	IMPORTS
		Others	207.873	140.769
	TOTAL IMPORTS		207.873	140.769
	Earnings Per Share (Rs.)		1.56	0.83

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011
PAT / Total Income	(%)	1.12	0.84
Net Profit Margin (PBT/Sales)	(%)	2.44	2.78
Return on Total Assets (PBT/Total Assets}	(%)	2.89	2.71
Return on Investment (ROI) (PBT/Networth)		0.11	0.14
Debt Equity Ratio (Total Debt /Networth)		1.83	2.57
Current Ratio (Current Asset/Current Liability)		1.19	0.94

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 two years	Yes
12]	Profitability for last two 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)	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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOAN:

(Rs. In Millions)

Particulars	As on 31.03.2012	As on 31.03.2011
LONG TERM BORROWINGS
Loans and Advances from Relatives
Directors	12.216	0.000
Other Loans and Advances	5.864	6.008
Total	18.080	6.008

FIXED ASSETS:

· Land

· Building

· Temporary Cabin

· Plant and Machinery

· Electric Equipment

· Scooter/ Motor

· Furniture and Fixtures

· Car

· Tools and Dies

· Fans and Cooler

· Mobile

· Computer

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.59.73
UK Pound	1	Rs.91.82
Euro	1	Rs.78.23

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	RAJ

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	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		32

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

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.