MIRA INFORM REPORT

Report Date :

02.05.2013

IDENTIFICATION DETAILS

Name :	OLIVE TEX SILK MILLS PRIVATE LIMITED
Registered Office :	146, Shiv Shakti Industrial Estate, III Phase, Opposite Mittal Industrial Estate, Andheri-Kurla Road, Andheri (East) Mumbai – 400 059, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	03.01.2007
Com. Reg. No.:	11-166694
Capital Investment / Paid-up Capital :	Rs.36.877 millions
CIN No.: [Company Identification No.]	U17299MH2007PTC166694
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Fabrics.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 549000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The external borrowing appears to be huge. The company defaults on debt repayment from September 2012 to November 2012 due to tight liquidity position. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow. 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 – 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

EXTERNAL AGENCY RATING

Rating Agency Name	FITCH
Rating	Long Term Issuer Rating: D
Rating Explanation	Indicates a broad-based default event for an entity for the default of a short term obligation.
Date	February, 2013

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 :	146, Shiv Shakti Industrial Estate, III Phase, Opposite Mittal Industrial Estate, Andheri-Kurla Road, Andheri (East) Mumbai – 400 059, Maharashtra, India
Tel. No.:	91-22-28505393
Fax No.:	Not Available
E-Mail :	picano@olivetex.com
Website :	www.olivetex.com
Factory 1 :	F-1/24, MIDC, Tarapur Industrial Area, Village Kolavade, Boisar, Maharashtra, India
Factory 2 :	S-36, MIDC, Tarapur Industrial Area, Village Kolavade, Boisar, Maharashtra, India
Factory 3 :	Gala No.157, Shiv Shakti Industrial Estate, Sakinaka, Andheri-Kurla Road, Andheri (East) Mumbai – 400 059, Maharashtra, India
Tel. No.:	91-22-40788000
Fax No.:	91-22-28596767

DIRECTORS

As on 29.09.2012

Name :	Mr. Narendra Mahavir Prasad Agarwal
Designation :	Director
Address :	602-A, Eden III, Hiranandani Gardens, Powai, Andheri (West), Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	08.01.1961
Date of Appointment :	03.01.2007
PAN No.:	ADPPA4568H
DIN No.:	00009155
Name :	Ms. Maya Narendra Agarwal
Designation :	Director
Address :	602-A, Eden III, Hiranandani Gardens, Powai, Andheri (West), Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	07.02.1960
Date of Appointment :	03.01.2007
DIN No.:	00959531
Name :	Mr. Kunal Narendra Agrawal
Designation :	Director
Address :	602-A, Eden III, Hiranandani Gardens, Powai, Andheri (West), Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	31.10.1984
Date of Appointment :	10.04.2007
DIN No.:	00959573

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Narendra Agarwal	3362500
Mayadevi Agarwal	156250
Kunal N. Agarwal	100000
Anisha Agarwal	30000
Satyanarayana Agarwal HUF	12510
Satya Shakambri Securities Private Limited, India	6260
Shribhagwan Kahndelwal	5000
Digambar G. Narkar	10
Kailash Agarwal HUF	10
Kiran Agarwal	5000
Manohar Vastralaya, India	10
Murarilal Agarwal	10
Pawan Agarwal	5000
Pankaj Fab, India	10
Ramlal Tibrewal	10
Mahesh Traders, India	10
Rita Devi Agarwal	5000
Sapna K. Agarwal	10
S.K. Brothers, India	10
Vishwambharlal Bhoot	10
Asha Pansari	10
Anjani Chirania	10
Pankaj Tex, India	10
Narendra Agarwal HUF	20
Total	3687670

As on 21.12.2012

Names of Allottee	No. of Shares
Deepak Sushil Sureka	352941
Total	352941

As on 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	0.17
Directors or relatives of directors	99.28
Other top fifty shareholders	0.55
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Fabrics.

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Installed Capacity	Actual Production (including job work/ outsourced)
Fabrics	Meters	5136000	6886803

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Union Bank of India, Saki Naka Branch, Mittal Industrial Estate, Sanjay Building No.2, Andheri Kurla Road, Andheri (East), Mumbai – 400 059, Maharashtra, INDIA

Facilities :

Secured Loans	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
LONG TERM BORROWINGS
Term Loans	34.525	38.356
Vehicle Loans
Other Loan
SHORT TERM BORROWINGS
Working Capital Loans
From Banks	213.777	197.703
Total	248.302	236.059

Banking Relations :	--
Auditors :
Name :	V.K. Beswal and Associates Chartered Accountants
Address :	408/410, Rewa Chambers, 4^th Floor, 31, New Marine Lines, Mumbai – 400 020, Maharashtra, India
Tel. No.:	91-22-43455656
Fax No.:	91-22-43455666
E-Mail :	admin@vkbeswal.com
Income-tax PAN of auditor or auditor's firm :	AAAFV1807C
Enterprises owned or significantly influenced by KMP or their relatives :	Narendra Textiles Kunal Synthetics Maya Fabrics Anisha Enterprises

CAPITAL STRUCTURE

After 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4040611	Equity Shares	Rs.10/- each	Rs.40.406 millions

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3687670	Equity Shares	Rs.10/- each	Rs.36.877 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		36.877	36.877	36.877
2] Share Application Money Pending		12.000	0.000	0.000
3] Reserves & Surplus		88.432	65.119	48.745
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		137.309	101.996	85.622
LOAN FUNDS
1] Secured Loans		248.302	236.059	232.036
2] Unsecured Loans		56.681	113.828	89.611
TOTAL BORROWING		304.983	349.887	321.647
DEFERRED TAX LIABILITIES		10.340	7.628	7.305
TOTAL		452.632	459.511	414.574
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		164.900	135.043	144.565
Capital work-in-progress		0.000	0.238	0.000
INVESTMENT		0.110	30.010	30.010
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	235.092	210.396	114.108
	Sundry Debtors	162.623	167.328	186.408
	Cash & Bank Balances	6.066	5.146	0.257
	Other Current Assets	1.401	32.961	0.000
	Loans & Advances	30.922	27.054	30.657
Total Current Assets		436.104	442.885	331.430
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	112.242	118.951	82.728
	Other Current Liabilities	27.980	22.699	4.805
	Provisions	8.260	7.015	3.895
Total Current Liabilities		148.482	148.665	91.431
Net Current Assets		287.622	294.220	239.999
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		452.632	459.511	414.574

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from Operations	751.010	710.693	591.332
		Other Income	14.358	3.003	8.814
		TOTAL (A)	765.368	713.696	600.146
Less	EXPENSES
		Cost of materials consumed	483.283	553.832	537.179
		Changes in inventories of finished goods & work-in-progress	24.117	(66.368)
		Employee Benefit Expenses	11.175	7.970
		Other Expenses	143.634	129.461
		Prior Period Adjustments	0.054	0.002
		TOTAL (B)	662.263	624.897	537.179
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		103.105	88.799	62.967
Less	FINANCIAL EXPENSES (D)		59.322	51.159	31.946
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		43.783	37.640	31.021
Less/ Add	DEPRECIATION/ AMORTISATION (F)		11.553	10.817	10.636
	PROFIT BEFORE TAX (E-F) (G)		32.230	26.823	20.385
Less	TAX (H)		8.917	10.449	7.807
	PROFIT AFTER TAX (G-H) (I)		23.313	16.374	12.578
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		51.994	35.620	NA
	BALANCE CARRIED TO THE B/S		75.307	51.994	35.620
	EARNINGS IN FOREIGN CURRENCY
		Export Sales	46.632	23.058	21.052
	TOTAL EARNINGS		46.632	23.058	21.052
	Earnings Per Share (Rs.)		6.32	4.44	3.41

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	3.05	2.29	2.10
Net Profit Margin (PBT/Sales)	(%)	4.29	3.77	3.45
Return on Total Assets (PBT/Total Assets}	(%)	5.36	4.64	4.28
Return on Investment (ROI) (PBT/Networth)		0.23	0.26	0.24
Debt Equity Ratio (Total Debt/Networth)		2.22	3.43	3.76
Current Ratio (Current Asset/Current Liability)		2.94	2.98	3.62

LOCAL AGENCY FURTHER INFORMATION

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	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	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
LONG TERM BORROWINGS
From Inter Corporate Loans	6.065	2.105
From Directors and Shareholders	26.597	5.011
SHORT TERM BORROWINGS
From Inter Corporate Loans	24.019	93.529
From Directors and Shareholders	0.000	13.183
Total	56.681	113.828

FIXED ASSETS:

· Land

· Factory Premises

· Office Premises

· Plant and Machinery

· Office Equipments

· Furniture and Fixtures

· Motor Vehicles

· 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 records 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.54.22
UK Pound	1	Rs.84.00
Euro	1	Rs.70.97

INFORMATION DETAILS

Report Prepared by :

SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	2
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		26

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.