MIRA INFORM REPORT

Report Date :

20.05.2013

IDENTIFICATION DETAILS

Name :	MESO PRIVATE LIMITED
Formerly Known As :	MERCANTILE ESSENTIAL OIL COMPANY (INDIA) PRIVATE LIMITED
Registered Office :	101, Centre Point, 1^st Floor, Jijibhai Lane, Lalbaug, Opposite Parel Post Office, Parel, Mumbai – 400012, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	11.09.1992
Com. Reg. No.:	11-068508
Capital Investment / Paid-up Capital :	Rs. 22.500 Millions
CIN No.: [Company Identification No.]	U15140MH1992PTC068508
TAN No.: [Tax Deduction & Collection Account No.]	MUMM09382C
PAN No.: [Permanent Account No.]	AAACM7427Q
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing and Exporter of Perfumes, Cosmetics and Toiletries.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

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

Maximum Credit Limit :	USD 2200000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. There appears an increase in the profitability year on year. Financial position is strong. Trade relations are fair. Business is active. Payments terms are usually correct. 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	BBB- (Long Term Borrowing)
Rating Explanation	Moderate degree of safety and low credit risk.
Date	26.11.2012

Rating Agency Name	CRISIL
Rating	A3 (Short Term Borrowings)
Rating Explanation	Moderate degree of safety and very high credit risk.
Date	26.11.2012

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. Patil
Designation :	Office Executive
Contact No.:	91-22-66675151
Date :	18.05.2013

LOCATIONS

Registered Office :	101, Centre Point, 1^st Floor, Jijibhai Lane, Lalbaug, Opposite Parel Post Office, Parel, Mumbai – 400012, Maharashtra, India
Tel. No.:	91-22-24166294/ 24166295/ 66675151
Fax No.:	91-22-24148226
E-Mail :	legal@meso-in.com
Website :	http://www.meso-in.com
Factory :	Unit No. 193-194, 195, 204-210 A, 354, Kandla Special Economic Zone, Gandhidham, Kutch – 370230, Gujarat, India
Tel. No.:	91-2836-252207/ 202
Fax No.:	91-2836-252307
Area :	60000 Sq. fts.
Location :	Owned
R and D :	Plot No. 1, 14 to 16, Nehru Nagar, Old Mahibalipuram, Kottivakkam, Chennai – 600034, Tamilnadu, India
Area :	50000 Sq. fts.
Location :	Owned

DIRECTORS

AS ON 28.09.2012

Name :	Mr. Kishor Sunderlal Sheth
Designation :	Chairman cum Managing Director
Address :	3, Beacom, 140, Madam Cama Road, Mumbai – 400 021, Maharashtra, India
Date of Birth/Age :	12.11.1938
Date of Appointment :	11.09.1992
DIN No.:	00257901
Name :	Mr. Ketan Kishor Sheth
Designation :	Whole Time Director
Address :	3, Beacom, 140, Madam Cama Road, Mumbai – 400 021, Maharashtra, India
Date of Birth/Age :	09.06.1967
Date of Appointment :	01.10.1997
Voter ID No.:	MT/04/019/036946
DIN No.:	00298932
Name :	Mr. Hemant Ishwarlal Vashi
Designation :	Director
Address :	6-D, Sonawala Building, 4^th Floor, Tardeo, Mumbai – 400007, Maharashtra, India
Date of Birth/Age :	07.07.1952
Date of Appointment :	03.12.1996
DIN No.:	00257844
Name :	Mr. Shashikant Sunderlal Sheth
Designation :	Director
Address :	Oberoi Sky Gardens, A-wing, 301B, 3^rd Floor, Plot No. 119, Lokhandwala Complex, Mumbai – 400053, Maharashtra, India
Date of Birth/Age :	11.09.1946
Date of Appointment :	15.05.2006
DIN No.:	00296865

KEY EXECUTIVES

Name :	Mr. Patil
Designation :	Office Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2012

Names of Shareholders	No. of Shares
Kishor Sunderlal Sheth	20254
Madhukar Sunderlal Sheth	6750
Shashikant Sunderlal Sheth	20250
Chandrika Kishor Sheth	18000
Ketan Kishor Sheth Jointly with Ketan Kishor Sheth	40500
Sejal Ketan Sheth	18000
Ila Shashikant Sheth	20250
Jayesh Shashikant Sheth	40500
TOTAL	184504

AS ON 28.09.2012

Equity Shares Break Up	Percentage of Holding
Directors or relatives of Directors	100.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Exporter of Perfumes, Cosmetics and Toiletries.

Products :

Products Description	Item Code No.
Perfumes & Cosmetics	330299

Exports :

Products :

Finished Goods

Countries :

· USA

· South America

· Middle East Countries

· Far East Africa

Terms :

Selling :

L/C, Cash, Credit

Purchasing :

L/C, Cash, Credit

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Actual Production
i) Perfumes & Toilet Water	(in Tons)	153
ii) Beauty & Makeup Preparation	(in Tons)	486
iii) Hair Preparation	(in Tons)	235

GENERAL INFORMATION

Customers :

· Wholesalers

· Retailers

· End Users

No. of Employees :

50 (Approximately)

Bankers :

Ø State Bank of India, Overseas Branch, 2^nd Floor, Arcade, Cuffe Parade, Mumbai – 400005, Maharashtra, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Short Term Borrowings
Export Packing Credit	0.206	109.677
Packing Credit Foreign Currency	46.377	12.415
Bill Purchase	22.002	6.167
TOTAL	68.585	128.259

Banking Relations :	--
Auditors :
Name :	Kamdar Desai and Patel Chartered Accountants
Address :	Vasaikar House, 296 Cadell Road, Dadar (West), Mumbai – 400028, Maharashtra, India
PAN No.:	AAFK6984H
Associates :	· Mikasa Cosmetics Limited · Concorde Fragrances Private Limited · Divine Marketing Private Limited · Shefam Industries · Shebro Manufacturing Company · Mera Designers Private Limited · Merchantile Essential Oil Company (Partnership Firm)

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
305000	Equity Shares	Rs.100/- each	Rs. 30.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
225004	Equity Shares	Rs.100/- each	Rs. 22.500 Millions

NOTE

Of which 4 shares are allotted for consideration other than cash in the scheme of amalgamation

AS ON 28.09.2012

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
184504	Equity Shares	Rs.100/- each	Rs. 18.450 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		22.500	22.500	22.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		537.483	497.049	495.676
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		559.983	519.549	518.176
LOAN FUNDS
1] Secured Loans		68.585	128.259	95.495
2] Unsecured Loans		1.043	7.143	0.000
TOTAL BORROWING		69.628	135.402	95.495
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		629.611	654.951	613.671
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		31.015	38.900	26.197
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		130.056	87.852	80.798
DEFERREX TAX ASSETS		1.633	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	91.464	121.792	60.360
	Sundry Debtors	171.308	175.508	166.031
	Cash & Bank Balances	42.407	17.280	27.732
	Other Current Assets	24.239	8.396	0.000
	Loans & Advances	220.527	245.767	175.812
Total Current Assets		549.945	568.743	429.935
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	42.787	33.936	(83.626)
	Other Current Liabilities	4.137	2.497	3.371
	Provisions	36.114	4.111	3.514
Total Current Liabilities		83.038	40.544	(76.741)
Net Current Assets		466.907	528.199	506.676
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		629.611	654.951	613.671

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	505.768	391.538	408.364
		Other Income
		TOTAL	505.768	391.538	408.364
Less	EXPENSES
		Office Expenses	445.168	346.983	348.681
		Administrative Expenses
		Advertising Expenses
		TOTAL	445.168	346.983	348.681
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		60.600	44.555	59.683
Less	FINANCIAL EXPENSES		13.380	11.858	11.966
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		47.220	32.697	47.717
Less/ Add	DEPRECIATION/ AMORTISATION		10.934	9.017	8.072
Add	Exceptional Items		32.016	0.000	0.000
	PROFIT / (LOSS) BEFORE TAX		68.302	23.680	39.645
Less	TAX		27.868	0.217	0.864
	PROFIT / (LOSS) AFTER TAX		40.434	23.463	38.781
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		484.859	461.396	444.796
	BALANCE CARRIED TO THE B/S		525.293	484.859	483.577
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	497.586	385.925	403.685
		Freight And Insurance	2.293	0.916	7.709
	TOTAL EARNINGS		499.879	386.841	411.394
	IMPORTS
		Raw Materials	56.683	97.860	55.070
		Packing Materials	12.526	16.873	7.331
	TOTAL IMPORTS		69.209	114.733	62.401
	Earnings Per Share (Rs.)		179.71	104.28	172.36

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	7.99	5.99	9.50
Return on Total Assets (PBT/Total Assets}	(%)	11.72	3.90	8.69
Return on Investment (ROI) (PBT/Networth)		0.12	0.05	0.08
Debt Equity Ratio (Total Debt /Networth)		0.12	0.26	0.18
Current Ratio (Current Asset/Current Liability)		6.62	14.03	(5.60)

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	Yes
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)	Yes
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 31.03.2012	Rs. In Millions 31.03.2011
Short Term Borrowings
From Members , Directors and relatives	1.043	1.043
Loans and Advances from Others	0.000	6.100
TOTAL	1.043	7.143

SUNDRY CREDITORS DETAILS

(Rs. In Millions)

Particulars	31.03.2012	31.03.2011	31.03.2010
Sundry Creditors
Sundry creditors for Goods	40.319	32.277	(83.626)
Sundry creditors for Expenses	2.468	1.659	--
TOTAL	42.787	33.936	(83.626)

OPERATIONS

HIGHLIGHTS

The turnover of the Company during the financial year was Rs.506.600 Millions as compared to the turnover of Rs. 388.100 Millions during the previous financial year showing a growth of 30%.The improved turnover is attributed to growth in sales volumes of 18% and depreciating rupee. The Company’s traditional Non-Alcoholic Perfumery products continue to do well while its relatively new product ranges of Alcoholic Perfumery and FMCG have started doing well.

MARKETS

While the company continues to operate in its traditional markets of Middle East and African countries. Strong initiatives are being taken to enter into the new markets of South East and Far East Asian countries and also in the markets of untapped African countries.

FIXED ASSETS

· Factory Building

· Plant and Machinery

· Moulds

· Air-conditioner

· Office Equipments

· Laboratory Equipments

· Computer

· Scooter / Mopeds

· Motor Car

· Furniture and Fixtures

· Electric Fittings

· Residential Flats

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. 55.04
UK Pound	1	Rs. 83.60
Euro	1	Rs. 70.68

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	DPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	5
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		48

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.