MIRA INFORM REPORT

Report Date :

16.05.2013

IDENTIFICATION DETAILS

Name :	RAPIER MACHINERY MANUFACTURING COMPANY (INDIA) PRIVATE LIMITED
Registered Office :	134/136, L. K. Market, Zaveri Bazar, Mumbai – 400002, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	09.09.1987
Com. Reg. No.:	11-044627
Capital Investment / Paid-up Capital :	Rs. 15.059 Millions
CIN No.: [Company Identification No.]	U29260MH1987PTC044627
PAN No.: [Permanent Account No.]	AAACJ3877B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of textile machinery, equipments and accessories.
No. of Employees :	60 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 1000000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. There appears a rise in the net profit year on year. Financial position is fair. Trade relations are reported as fair. Business is active. Payment terms are usually correct. The company can be considered for business dealing 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

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Lumpsum Bank Facilities: BBB-
Rating Explanation	Moderate degree of safety and moderate credit risk
Date	12.03.2013

Rating Agency Name	CARE
Rating	Short Term Bank Facilities : A3
Rating Explanation	Moderate degree of safety and higher credit risk
Date	12.03.2013

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.

INFORMATION PARTED BY

Name :	Ms. Usha
Designation :	Accounts Department
Contact No.:	91-22-22401372
Date :	15.05.2013

LOCATIONS

Registered Office :	134/136, L. K. Market, Zaveri Bazar, Mumbai – 400002, Maharashtra, India
Tel. No.:	91-22-22401372/ 22408834 (R)/ 22408261/ 22424290/ 22411261
Fax No.:	91-22-22401372
E-Mail :	jaideep.india@yahoo.com
Location :	Owned
Factory :	Located At: Silvassa

DIRECTORS

As on: 29.09.2012

Name :	Mr. Mahendra Kumar Hariharnath Agarwal
Designation :	Director
Address :	101, Indira Bhavan, 1^st Floor, Walkeshwar Road, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	04.01.1956
Date of Appointment :	09.09.1987
PAN No.:	ACAPA7731L
DIN No.:	00409977
Name :	Mr. Vikash Agarwal
Designation :	Director
Address :	101, Indira Bhavan, 1^st Floor, Walkeshwar Road, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	29.03.1980
Date of Appointment :	30.07.2002
PAN No.:	ADHPA9666N
DIN No.:	00410063
Name :	Mr. Ashok Kumar Hariharnath Agarwal
Designation :	Director
Address :	134/136, Javeri Bazaar, 1^st Floor, Kalbadevi, Mumbai – 400002, Maharashtra, India
Date of Birth/Age :	01.01.1960
Date of Appointment :	29.02.2008
PAN NO.:	AFXPA5494A
DIN No.:	00410400

KEY EXECUTIVES

Name :	Ms. Usha
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 29.09.2012

Names of Shareholders	No. of Shares
Mahendra Kumar Agarwal	14120
Mahendra Kumar Agarwal (HUF)	4000
Ashok Kumar Agarwal	16220
Ashok Kumar Agarwal (HUF)	4000
Vinay Agarwal	3000
Varun Agarwal	4630
Tarun Agarwal	3470
Vikas Agarwal	4620
Vishal Agarwal	4520
Bharat Bullion Company, India	2570
Pushpadevi Agarwal	11000
Ajay Agarwal	9200
Shanu Agarwal	2500
Surendra Kumar Agarwal (HUF)	4500
Hariharnath Pushpadevi Private Family Trust, India	7000
Hariharnath Pushpadevi	260
Vijaya Agarwal	8915
Reena Agarwal	9085
Narendra Kumar Agarwal	5310
Narendra Kumar Agarwal (HUF)	4000
Mamta Agarwal	16585
Seiko Plastic Woven Sack Private limited, India	1085
Asha Agarwal	5000
Gopal Agarwal	5000
Total	150590

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Bodies corporate	0.72
Directors or relatives of Directors	86.20
Other top fifty shareholders	13.08
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of textile machinery, equipments and accessories.
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

End Users and OEM’s

No. of Employees :

60 (Approximately)

Bankers :

• Canara Bank, Kakad Market Branch, 306, Kalbadevi Road, Mumbai - 400002, Maharashtra, India

Tel No.: 91-22-22016888

• Bank of Baroda
• ICICI Bank Limited
• UTI Bank Limited
• State Bank of India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Term loans from banks (Term Loan under TUFs from Canara Bank – 2) (Term Loan from bank is secured by Personel guarantees of directors of company Mahendra Kumar Agarwal, Vikas Agarwal, Ashok Kumar Agarwal)	119.991	97.488
Loans taken for fixed assets (Car Loan from ICICI Bank) ((Term Loan from bank is secured by Personel guarantees of directors of company Mahendra Kumar Agarwal, Vikas Agarwal, Ashok Kumar Agarwal)	1.486	4.484
Working capital loans from banks	154.561	144.457
Total	276.038	246.429

Banking Relations :	--
Auditors :
Name :	Shah and Taparia Chartered Accountants
Address :	12 , Navjeevanwadi, Dhobitalao, Mumbai – 400002, Maharashtra, India
PAN.:	AAOFS0663D
Associates :	Shri Hari Textiles Private Limited CIN No.: U65990MH1990PTC056646 Seiko Plastic Woven Sack Private Limited CIN No.: U25209MH1985PTC037722 Jaideep Glass Works Private Limited CIN No.: U26100MH1980PTC023388 Royal Metal Printers Private Limited CIN No.: U22219MH1986PTC040042

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	Equity Shares	Rs.100/- each	Rs. 30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
150590	Equity Shares	Rs.100/- each	Rs. 15.059 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		15.059	15.059	15.059
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		417.447	333.778	294.046
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		432.506	348.837	309.105
LOAN FUNDS
1] Secured Loans		276.038	246.429	227.431
2] Unsecured Loans		68.491	46.603	29.052
TOTAL BORROWING		344.529	293.032	256.483
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		777.035	641.869	565.588
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		367.432	271.096	220.163
Capital work-in-progress		34.219	13.018	0.000
INVESTMENT		2.816	2.816	18.211
DEFERREX TAX ASSETS		5.272	2.112	9.244
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	160.280	162.502	122.474
	Sundry Debtors	267.125	239.476	204.805
	Cash & Bank Balances	29.594	12.339	8.747
	Other Current Assets	4.353	6.237	0.000
	Loans & Advances	60.953	53.556	47.122
Total Current Assets		522.305	474.110	383.148
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	51.001	61.699	53.989
	Other Current Liabilities	78.355	55.918	10.064
	Provisions	25.653	3.666	1.125
Total Current Liabilities		155.009	121.283	65.178
Net Current Assets		367.296	352.827	317.970
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		777.035	641.869	565.588

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2012	31.03.2011
	SALES
		Income		1309.419	1082.042
		Other Income
		TOTAL		1309.419	1082.042
Less	EXPENSES
		Office Expenses
		Administrative Expenses		1178.512	1021.877
		Advertising Expenses
		TOTAL		1178.512	1021.877
	PROFIT BEFORE TAX			130.907	60.165
Less	TAX			38.871	20.432
	PROFIT AFTER TAX			92.036	39.733
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD			333.779	294.046
Less/ Add	Income Tax Adjustment of Earlier Years			(8.368)	0.000
	BALANCE CARRIED TO THE B/S			417.447	333.779
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Exports		29.500	42.834
	TOTAL EARNINGS			29.500	42.834
	IMPORTS
		Stores & Spares		NA	2.368
		Capital Goods		NA	50.476
	TOTAL IMPORTS			NA	52.844
	Earnings Per Share (Rs.)			611.17	263.85

	PARTICULARS		31.03.2010
	SALES
		Income	772.175
		Other Income	16.832
		TOTAL (A)	789.007
Less	EXPENSES
		Material Consumed	536.241
		Increase / (Decrease in Stock)	15.583
		Manufacturing Expenses	86.251
		Employees Expenses / Cost	41.455
		Administrative Expenses	28.872
		Selling & Distribution Expenses	8.448
		TOTAL (B)	716.850
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		72.157
Less	FINANCIAL EXPENSES (D)		23.218
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		48.939
Less/ Add	DEPRECIATION/ AMORTISATION (F)		47.473
	PROFIT BEFORE TAX (E-F) (G)		1.466
Less	TAX (H)		(5.989)
	PROFIT AFTER TAX (G-H) (I)		7.455
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		286.467
Less/ Add	Income Tax Adjustment of Earlier Years		0.1234
	BALANCE CARRIED TO THE B/S		294.046
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Exports	36.394
	TOTAL EARNINGS		36.394
	IMPORTS
		Stores & Spares	0.982
		Capital Goods	54.867
	TOTAL IMPORTS		55.849
	Earnings Per Share (Rs.)		49.51

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	7.03	3.67	0.95
Net Profit Margin (PBT/Sales)	(%)	NA	NA	0.19
Return on Total Assets (PBT/Total Assets}	(%)	14.71	8.07	0.24
Return on Investment (ROI) (PBT/Networth)		0.30	0.17	0.01
Debt Equity Ratio (Total Debt /Networth)		0.79	0.84	0.83
Current Ratio (Current Asset/Current Liability)		3.37	0.26	0.17

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

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U29260MH1987PTC044627
Name of the company	RAPIER MACHINERY MANUFACTURING COMPANY (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	134/136, L. K. Market, Zaveri Bazar, Mumbai – 400002, Maharashtra jaideep.india@yahoo.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90236253
Type of charge	Immovable property Book debts Movable property (not being pledge)
Particular of charge holder	Canara Bank, Kakad Market Branch, 306, Kalbadevi Road, Mumbai - 400002, Maharashtra, India arun.govil@gmail.com
Nature of instrument creating charge	Supplemental Common Hypothecation Agreement Supplemental Letter Evidencing Deposit of Title Deeds ( Both Agreement constitute a single Charge)
Date of instrument Creating the charge	11.12.2012
Amount secured by the charge	Rs. 905.700 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 2.25% p.a. above Base Rate, presently 12.75% p. a. shall be charged at monthly rests. Bank Guarantee- 50% of the applicable charges and other limits as per existing guidelines. PC/FDB/FBE- As applicable Terms of Repayment OCC On Demand Term Loan (TUFS)-III- to be repaid in 69 equal monthly installments of Rs. 2.279 Millions each and last installments of Rs.0.028 Million Term Loan -IV- to be repaid in 66 Monthly installments of Rs. 5.876 Millions each and Last inst of Rs.5.700 Millions commencing from September 13. Margin Raw material - 25%, WIP & FG - 25%, Spares- 50% Book Debts - 30% Bank Guarantee -10% Term Loan I - 20%,Term Loan II -35.24%,Term Loan III- Overall project-27.94% Term Loan IV - 33.78% FLC-20% Extent and Operation of the charge Exclusive first charge by way of Hypothecation on Movable and Immovable assets of the Company Others Limits enhanced from Rs. 528.200 Millions to Rs. 905.700 Millions, details as per annexure attached
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of Stock, Book Debts and Plant and Machineries as per Schedule attached with Sup.CHA lying and being at S.No.212/1,Near Check post, Vapi Silvassa Road, Village Dadra, Silvassa and 259/1/1, Navneet Shah Industrial Estate, Plot No.11,12,13, Village Dadra at Silvassa Equitable Mortgage on Company’s immovable property situated at Survey No. 212 paiki, adm.5350 Sq. Mtrs., Near Dadra Check post, Village Dadra, Dadra Nagar Haveli (U.T.)
Date of instrument modifying the charge	28.07.2011
Particulars of the present modification	By Sup. Common Hypothecation Agreement, Hypothecation of Stock, Book Debts and Plant and Machineries has now increased from Rs.528.200 Millions to Rs.905.700 Millions. By Sup LEDTD, Equitable Mortgage on Caompany’s immovable property situated at Survey No.212, Near Dadra Check post, Dadra, Dadra Nagar Haveli (U.T.) has also increased from Rs.528.200 Millions to Rs.905.700 Millions.

UNSECURED LOAN

(Rs in Millions)

Particular	As on 31.03.2012	As on 31.03.2011
Intercorporate deposits	19.108	22.434
Loans and advances from others	33.726	16.496
Loans and advances from directors	15.495	7.673
Other loans and advances	0.162	0.000
Total	68.491	46.603

FIXED ASSETS

• Land
• Buildings
• Plant and equipment
• Furniture and Fixtures
• Vehicles
• Office Equipment
• Computer 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. 54.78
UK Pound	1	Rs. 83.38
Euro	1	Rs. 70.72

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	UDS

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--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	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		50

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.