MIRA INFORM REPORT

Report Date :

07.03.2013

IDENTIFICATION DETAILS

Name :	CALDERYS INDIA REFRACTORIES LIMITED
Formerly Known As :	ACE REFRACTORIES LIMITED ACE CALDERYS LIMITED
Registered Office :	Katni Refractories Works, PO Katni - 483504, Madhya Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	12.08.2005
Com. Reg. No.:	10-017865
Capital Investment / Paid-up Capital :	Rs. 419.800 Millions
CIN No.: [Company Identification No.]	U02692MP2005PLC017865
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Refractory Materials.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

A (63)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 9780000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having fine track record. It is India’s second largest refractory manufacturer. Latest financial i.e. 2011-12 are missing with the Government Department. From the available financial, it seems that the company is performing well. Financial position of the company is good. 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 – 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

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	FITCH
Rating	Long Term Rating : AA- (ind)
Rating Explanation	Very low credit risk. Very strong capacity for payment of financial commitments.
Date	21^st August, 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 :	Katni Refractories Works, PO Katni - 483504, Madhya Pradesh, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	manoj.kakani@calderys.com
Website :	www.calderys.com
Head Office :	Thapar House, Temple Road, Civil Lines, Nagpur – 440001, Maharashtra, India
Tel. No.:	91-712-2528506/ 2530885
Fax No.:	91-712-2530885
E-Mail :	info.india@calderys.com
Branch Office :	131/132, D-Wing, First Floor, Clover Centre, 7 Moledina Road, Pune – 411001, Maharashtra, India
E-Mail :	sbanerjee50@rediffmail.com

DIRECTORS

AS ON 26.09.2012

Name :	Mr. Hakimuddin Ali
Designation :	Managing director
Address :	107, Hakimi Villa, Fakhri Hills, Lulla Nagar, Kondhwa, Pune – 411048, Maharashtra, India
Date of Birth/Age :	18.05.1969
Date of Appointment :	07.12.2010
DIN No.:	03383031
Name :	Mr. Umesh Chander Deveshwar
Designation :	Whole-time director
Address :	302, Marina Residency, Plot No. 2/2, Nelson Square, near Poonam Chambers, Nagpur – 440013, Maharashtra, India
Date of Birth/Age :	08.10.1948
Date of Appointment :	24.09.2007
DIN No.:	00121332
Name :	Christian Jean Paul Schenck
Designation :	Nominee director
Address :	13, Rue Camille Lenoir, Reims, 51100, France
Date of Birth/Age :	05.02.1950
Date of Appointment :	24.09.2007
DIN No.:	01798957
Name :	Christian Louis Marie Marin
Designation :	Nominee director
Address :	1 Bis Rue Du Doctuer Rousseau, Epernay, 51200, France
Date of Birth/Age :	24.12.1966
Date of Appointment :	16.06.2008
DIN No.:	02241732
Name :	Christophe Gerard Joseph Gerault
Designation :	Nominee director
Address :	43 45, Lutticherstrasse, Koin, 50674, Germany
Date of Birth/Age :	12.08.1975
Date of Appointment :	16.06.2008
DIN No.:	02244893

KEY EXECUTIVES

Name :	Mr. Ishwar Bhujade
Designation :	Executive Assistant to Director
Name :	Mr. Manoj Kakani
Designation :	Secretary
Address :	D5, Sanchayani Building, Swalambi Nagar, Nagpur, Maharashtra, India
Date of Birth/Age :	18.04.1976
Date of Appointment :	29.01.2009
PAN No.:	AFXPK1128F

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 26.09.2012

Names of Shareholders	No. of Shares
Imerys Asia Pacific Pte Limited	37732331
Umesh Chander Deveshwar	20000
Tapan Kumar Biswas	8592
Santanu Basak	1228
Pratap Singh Khokhar	3898
Vinit Subodh Kalamkar	1528
Ramkumar Dubey	306
A K Vishwakarma	256
Shyamal Bhattacharjee	256
Bhupesh S. Gedam	216
N. P. Singh	216
Sushavon Sarkar	144
Vidhata Rawat	115
T N Surendran	64
Ashish Kumar Sanyal	64
Naveen S.	162
Total	37769376

AS ON 26.09.2012

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	99.90
Directors or relatives of directors	0.05
Other top fifty shareholders	0.05
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Refractory Materials.

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Licensed Capacity	Rated Capacity	Actual Production
Refractory Products	NA	165000	139563

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	Ø State Bank of India, Industrial Finance Branch, 5, Sai Complex, Bharat Nagar, Amravati Road, Nagpur – 440033, Maharashtra, India Ø ICICI Bank Limited, Landmarkrace Cource Circle, Alkapuri, Baroda – 390015, Gujarat, India Ø Union Bank of India, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

Banking Relations :	--
Auditors :
Name :	S. R. Batliboi and Associates Chartered Accountants
Address :	6th Floor, Express Tower, Nariman Point, Mumbai – 400021, Maharashtra, India
Income-tax PAN of auditor or auditor's firm :	AABFS3421N
Holding Company :	Imerys Asia Pacific Pte Limited
Ultimate Holding Company :	Imerys Limited
Enterprises owned or significantly influenced by key management personnel or their relatives :	Ex-Servicemen’s Multipurpose Services India Private Limited (upto 31.12.2010)
Group Companies :	Ø Calderys South Africa Pty Limited Ø Imerys Performance and Filtration Minerals Private Limited (Calderys India Private Limited) Ø Calderys France SAS Ø Calderys Taiwan Company Limited Ø Calderys Deutschland GmbH and Company OHG Ø Calderys China Company Limited Ø Calderys Jiansgsu Company Limited Ø Calderys Italia SRL Ø Calderys The Netherlands BV Ø Calderys Nordic AB Ø Calderys Australia Pty Limited Ø Calderys Austria GmbH Ø Calderys Iberica Refractories Ø Calderys Hungary Ø Calderys Refractories Solution, Sweden Ø Calderys UK Limited Ø Imerys Ceramics India Private Limited (Formerly Jumbo Mining Limited)

CAPITAL STRUCTURE

AS ON 26.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
51,000,000	Equity Shares	Rs. 10/- each	Rs. 510.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
37,769,376	Equity Shares	Rs. 10/- each	Rs. 377.694 Millions

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
51,000,000	Equity Shares	Rs. 10/- each	Rs. 510.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
41,976,476	Equity Shares	Rs. 10/- each	Rs. 419.800 Millions

Notes:

1. Of the above equity shares 41873655 equity shares are held by Imerys Asia Pacific Pte Limited.

2. Options in force as of March 31, 2011 are Nil Shares

3. Nil Preferences Shares are held by Imerys Asia Pacific Pte Limited. During the year all preferences shares are converted in equity shares

4. During the year the company has bought back 8860086 shares from Imerys Asia Pacific Pte Limited at the premium of Rs. 60 per share and extinguished in accordance with section 77A of the Companies Act, 1956.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		419.800	508.200	507.700
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2026.300	1973.000	1568.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2446.100	2481.200	2075.700
LOAN FUNDS
1] Secured Loans		0.000	0.000	350.000
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	350.000
DEFERRED TAX LIABILITIES		0.000	0.000	39.000
TOTAL		2446.100	2481.200	2464.700
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1349.700	1451.200	1614.900
Capital work-in-progress		8.500	3.800	10.700
INVESTMENT		192.100	478.200	471.900
DEFERRED TAX ASSETS		3.300	16.600	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	596.900	428.000	335.100
	Sundry Debtors	777.100	635.400	720.000
	Cash & Bank Balances	303.700	110.300	71.800
	Other Current Assets	16.000	4.200	0.000
	Loans & Advances	321.300	298.600	137.800
Total Current Assets		2015.000	1476.500	1264.700
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	734.000	537.500	556.100
	Other Current Liabilities	322.000	269.900	228.000
	Provisions	66.500	137.700	113.400
Total Current Liabilities		1122.500	945.100	897.500
Net Current Assets		892.500	531.400	367.200
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		2446.100	2481.200	2464.700

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	4992.900	4263.600	4087.600
		Other Income	138.500	54.200	132.000
		TOTAL (A)	5131.400	4317.800	4219.600
Less	EXPENSES
		Material Costs	2049.800	1755.400	1707.300
		Purchase of trading goods	975.400	793.000	891.100
		Variation in stocks	(37.000)	(28.500)	(5.200)
		Employee Cost	283.700	211.500	191.700
		Operating and Other Expenses	837.600	732.600	742.700
		TOTAL (B)	4109.500	3464.000	3527.600
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1021.900	853.800	692.000
Less	FINANCIAL EXPENSES (D)		14.000	29.500	66.900
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1007.900	824.300	625.100
Less/ Add	DEPRECIATION/ AMORTISATION (F)		147.000	190.200	191.100
	PROFIT BEFORE TAX (E-F) (G)		860.900	634.100	434.000
Less	TAX (H)		276.600	208.300	147.700
	PROFIT AFTER TAX (G-H) (I)		584.300	425.800	286.300
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1026.700	624.300	361.400
Less	APPROPRIATIONS
		Transfer to Capital Redemption Reserve	88.600	0.000	0.000
		Utilised for Buy Back	88.600	0.000	0.000
		Dividend	0.000	20.000	20.000
		Tax on Dividend	0.000	3.400	3.400
	BALANCE CARRIED TO THE B/S		1433.800	1026.700	624.300
	EARNINGS IN FOREIGN CURRENCY
		Export of Refractory Products on FOB Basis	215.700	171.800	468.300
		Consultation Fees	27.400	21.400	9.300
		Services	12.300	17.800	27.200
	TOTAL EARNINGS		255.400	211.000	504.800
	IMPORTS
		Raw Materials	285.000	240.100	234.900
		Stores & Spares	1.300	0.300	0.000
		Capital Goods	13.700	6.100	6.600
		Trading Goods	112.300	91.500	69.800
	TOTAL IMPORTS		412.300	338.000	311.300
	Earnings Per Share (Rs.)
	Basic		25.38	37.32	24.53
	Diluted		11.59	8.38	5.65

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	11.39	9.86	6.79
Net Profit Margin (PBT/Sales)	(%)	17.24	14.87	10.62
Return on Total Assets (PBT/Total Assets}	(%)	25.59	21.66	15.07
Return on Investment (ROI) (PBT/Networth)		0.35	0.26	0.21
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	0.17
Current Ratio (Current Asset/Current Liability)		1.80	1.56	1.41

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 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	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	No
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

BACKGROUND:

Ace Calderys Limited (Formerly known as Ace Refractories Limited) herein referred as the Company has been incorporated on August 12, 2005. The company is in the business of providing refractory solutions. In 2007-08 Imerys Asia Pacific Pte Limited has acquired98% stake from the existing shareholders and consequently the company had become a subsidiary of Imerys Asia Pacific Pte Limited.

HISTORY:

Ø The Associated Cement Companies Limited was formed in 1936. Its Refractory unit came into existence in 1951.

Ø ACC Refractories became ACE Refractories in Sept. 2005.

Ø In October 2007, ACE Refractories became a member of the Calderys Group.

Ø In April 2008, Ace Refractories was rechristened as ACE Calderys Limited.

Ø Since May 2012, Ace Calderys has evolved as Calderys India Refractories Limited.

FIXED ASSETS:

Ø Goodwill

Ø Brands and Trademark

Ø Patents and Knowhow

Ø Freehold Land

Ø Leasehold Land

Ø Buildings

Ø Plant and Machinery

Ø Leasehold Improvement

Ø Furniture and Fixture

Ø Railway Siding

Ø Vehicles

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. 54.71
UK Pound	1	Rs. 82.79
Euro	1	Rs. 71.43

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		63

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.