MIRA INFORM REPORT

Report Date :

28.11.2013

IDENTIFICATION DETAILS

Name :	SINGHAL INDUSTRIES PRIVATE LIMITED
Registered Office :	Block No.1547, B/H Mukut Pipe, Kalon - Khatraj Road, Moti Bhoyan, Ahmedabad – 382721, Gujarat
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	20.09.2007
Com. Reg. No.:	04-051779
Capital Investment / Paid-up Capital :	Rs.11.140 Millions
CIN No.: [Company Identification No.]	U25202GJ2007PTC051779
TAN No.: [Tax Deduction & Collection Account No.]	AHMS16939G
PAN No.: [Permanent Account No.]	AALCS2909N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of PP/HDPE Leno Mesh Bags, Woven Sack Bags, PE Liner Bags, Jumbo Bags, Tarpaulin Fabrics, HDPE Sheet, PP Sheets and Warning Mat/Tape.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (33)

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

Maximum Credit Limit :	USD 330000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The rating take into consideration below-average financial risk profile, weak liquidity position marked by stretched cash conversion cycle and susceptibility to intense industry competition. Trade relations are reported to be fair. Business s active. Payments are reported to be slow but correct. 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

INDIAN ECONOMIC OVERVIEW

The current downturn provides an opportunity to push ahead with reforms to accelerate growth, says the latest India Development Update report released by the World Bank. The report says that the adverse effects of rupee depreciation are likely to be offset by the gains in the exports performance due to improved external competitiveness. Since May this year, the local currency has depreciated substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.

A stagflation like situation appears to have arisen as inflation jumped to an eight month high of 6.46 % for the month of September. It is up from 6.10 % in August. Growth continues to be muted with factory output plunging to 0.6  % in August. Onion prices have risen nearly 300 % from last September. Vegetables cost nearly 90 % more than they did last year. Wake up to the economic contribution of slum dwellers. They contribute more than 7.5 % to the country’s gross domestic product, according to a recent study conducted in 50 top cities.

136000 estimated number of jobs created during the second quarter of the current financial year. 50000 estimated number of additional jobs in the field of corporate social responsibility in the coming years.

The International Finance Corporation expects to come out with its rupee linked bonds issue before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched in India from 1^st November.

The Land Acquisition Act to provide just and fair compensation to farmers will come into force from January 1 next year, said Rural Development Minister Jairam Ramesh. The Act replaces a 119 year old registration. The Securities and Exchange Board of India has approved the trading of currency futures on the Bombay Stock Exchange. The exchange plans to launch the currency futures platform with advanced trading technology by the end of November.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating: B
Rating Explanation	Have risk of default.
Date	22.04.2013

Rating Agency Name	CRISIL
Rating	Short Term rating: A4
Rating Explanation	Have minimal degree of safety and carry very high credit risk.
Date	22.04.2013

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/ Factory :	Block No.1547, B/H Mukut Pipe, Kalon - Khatraj Road, Moti Bhoyan, Ahmedabad – 382721, Gujarat, India
Tel. No.:	91-79-25860975/ 25861975/ 26779864/ 27542815
Mobile No.:	91-9924030000 (Mr. Tushar Agrawal)
Fax No.:	91-79-25850755/39167169
E-Mail :	rajivshah1965@gmail.com info@singhalgroup.in tusharsingh@singhalgroup.in singhalind@gmail.com vrs@icenet.co.in
Website :	http://www.singhalgroup.in

DIRECTORS

As on 30.09.2013

Name :

Mr. Tushar Pradeepkumar Agrawal

Designation :

Director

Address :

30, Someshwara Complex No. 1, Near Shyamal Raw House Road, Satellite, Ahmedabad - 380015, Gujarat, India

Date of Birth/Age :

30.12.1983

Date of Appointment :

20.09.2007

DIN No.:

01490852

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U25202GJ2007PTC051779	SINGHAL INDUSTRIES PRIVATE LIMITED	Director	20/09/2007	20/09/2007	-	Active	NO
2	U25200GJ2008PTC054187	SINGHAL PLASTIC INDUSTRIES PRIVATE LIMITED	Director	11/06/2008	11/06/2008	-	Active	NO
3	U51109GJ2008PTC072707	ECONOMY VINCOM PRIVATE LIMITED	Director	19/04/2010	19/04/2010	-	Active	NO

Name :

Mr. Pradipkumar Kailashchandra Agrawal

Designation :

Director

Address :

30, Someshwara Complex No. 1, Near Shyamal Raw House Road, Satellite, Ahmedabad - 380015, Gujarat, India

Date of Birth/Age :

17.06.1958

Date of Appointment :

20.09.2007

DIN No.:

01490896

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U25202GJ2007PTC051779	SINGHAL INDUSTRIES PRIVATE LIMITED	Director	20/09/2007	20/09/2007	-	Active	NO
2	U25200GJ2008PTC054187	SINGHAL PLASTIC INDUSTRIES PRIVATE LIMITED	Director	11/06/2008	11/06/2008	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares
Tushar Pradeepkumar Agrawal	96000
Pradeep K. Agrawal	161625
Pradeep K. Agrawal (HUF)	62800
Singhal Plastic Industries Private Limited, India	508500
Economy Vincome Private Limited, India	275000
Anchal Gupta	19875
Pulkit P Agarwal	1875
Sushma Agrawal	68875
Vinay Singhal	12250
Bhakti Barter Private Limited	17500
Total	1224300

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Bodies corporate	99.10
Directors or relatives of Directors	0.90
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of PP/HDPE Leno Mesh Bags, Woven Sack Bags, PE Liner Bags, Jumbo Bags, Tarpaulin Fabrics, HDPE Sheet, PP Sheets and Warning Mat/Tape.
Products :	Ø Plastic Sheets Ø PP Sheets Ø HDPE Sheets Ø LDPE Sheets Ø PP Roofing Sheets Ø Decorative Sheets Ø Fibre Glass Sheets Ø Thermoforming Sheets Ø Vacuum Forming Sheets Ø Wood Grain Plastic Sheets Ø Warning Tape and Mate Ø Cable Protecting Sheets Ø Underground Gas Line Protecting Sheets Ø Lamination Sheets.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Ø State Bank of India, Laghu Udyog Branch, Opposite Gandhigram Railway Station, Ahmedabad – 380009, Gujarat, India

Ø ICICI Bank Limited

Ø HDFC Bank Limited

Facilities :

Secured Loan	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Long-term Borrowings
From banks
State Bank of India-Project Term Loan-l	22.462	30.949
State Bank of India-Project Term Loan-ll	18.106	21.990
Kotak Mahindra Bank -Commercial Vehicle Loan	0.343	0.000
ICICI-Car Loan	0.000	0.862
Short-term borrowings
Loans repayable on demand From State Bank of India	81.476	53.802
Total	122.387	107.603
Note: Secured Term Loan borrowing from State bank of India is secured by way of Equitable Mortgage of Factory land and Building, Hypothecation of Plant and Machinery , Collateral Security by Company, Promoters and Directors, Corporate Guarantee of Singhal Plastic Industries Private Limited and personal guarantee of promoters and director Secured Car Loan from lClCl Bank is secured by way of hypothecation of Car.

Banking Relations :
Auditors :
Name :	Rajiv Shah and Associates Chartered Accountants
Address :	31, Kalindi Complex, Navrangpura, Ahmedabad – 380009, Gujarat, India
Tel. No.:	91-79-27542815/ 66612815
Fax No.:	91-79-40070198
E-Mail :	rajivshah1965@gmail.com
Income-tax PAN of auditor or auditor's firm :	AAEFR3394N

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.10/- each	Rs. 12.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1224300	Equity Shares	Rs.10/- each	Rs. 12.243 Millions

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.10/- each	Rs. 12.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1114000	Equity Shares	Rs.10/- each	Rs. 11.140 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	11.140	11.140	9.640
(b) Reserves & Surplus	71.138	65.887	48.912
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	1.600
Total Shareholders’ Funds (1) + (2)	82.278	77.027	60.152
(3) Non-Current Liabilities
(a) long-term borrowings	63.071	61.332	72.206
(b) Deferred tax liabilities (Net)	0.101	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	1.936	0.290	0.000
Total Non-current Liabilities (3)	65.108	61.622	72.206
(4) Current Liabilities
(a) Short term borrowings	81.476	53.802	32.548
(b) Trade payables	59.855	34.412	16.405
(c) Other current liabilities	13.931	18.499	5.559
(d) Short-term provisions	0.000	0.000	1.231
Total Current Liabilities (4)	155.262	106.713	55.743
TOTAL	302.648	245.362	188.101
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	83.808	91.341	96.462
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	26.354	12.349	7.585
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.036	0.036	0.036
(c) Deferred tax assets (net)	0.000	0.550	0.000
(d) Long-term Loan and Advances	3.306	1.515	0.218
(e) Other Non-current assets	0.000	3.169	1.132
Total Non-Current Assets	113.504	108.960	105.433
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	109.530	74.570	42.755
(c) Trade receivables	54.378	39.387	19.392
(d) Cash and cash equivalents	1.581	1.732	1.096
(e) Short-term loans and advances	14.998	11.591	9.125
(f) Other current assets	8.657	9.122	10.300
Total Current Assets	189.144	136.402	82.668
TOTAL	302.648	245.362	188.101

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	330.325	240.832	202.165
		Other Income	3.358	1.691	1.253
		TOTAL (A)	333.683	242.523	203.418
Less	EXPENSES
		Operational Expenses	323.784	231.222
		Changes in inventories of finished goods, work-in-progress, raw material and stores and consumables	(34.961)	(31.814)
		Employee benefits expense	2.165	1.940
		Other expenses	10.920	9.864
		TOTAL (B)	301.908	211.212	183.301
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		31.775	31.311	20.117
Less	FINANCIAL EXPENSES (D)		13.725	16.542	8.931
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		18.050	14.769	11.186
Less/ Add	DEPRECIATION/ AMORTISATION (F)		10.501	11.336	8.792
	PROFIT BEFORE TAX (E-F) (G)		7.549	3.433	2.394
Less	TAX (H)		2.297	(0.042)	(0.293)
	PROFIT AFTER TAX (G-H) (I)		5.252	3.475	2.687
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		4.226	0.751	(1.935)
	PROVISION OF DTL OF EARLIER YEAR		0.652	(0.738)	(0.204)
	BALANCE CARRIED TO THE B/S		9.479	4.226	0.752
	Earnings Per Share (Rs.)		4.71	3.12	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	1.57	1.43	1.32
Net Profit Margin (PBT/Sales)	(%)	2.29	1.43	1.18
Return on Total Assets (PBT/Total Assets}	(%)	2.73	1.48	1.33
Return on Investment (ROI) (PBT/Networth)		0.09	0.04	0.04
Debt Equity Ratio (Total Debt /Networth)		1.76	1.49	1.74
Current Ratio (Current Asset/Current Liability)		1.22	1.28	1.48

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

UNSECURED LOAN

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Long-term Borrowings
Loans and advances from related parties	22.159	7.530
Total	22.159	7.530

REVIEW OF OPERATION AND FUTURE PROSPECTS:-

Company was able to achieve the impressive growth in the financial year and able to achieve sale of Rs. 330.000 Millions compare to Rs. 240.000 Millions which is increased by 38%. They are planning to increase the production capacity to fulfill the increasing demand of the product.

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10143607	11/01/2013 *	299,000,000.00	STATE BANK OF INDIA	LAGHU UDHYOG BRANCH, OPP GANDHIGRAM RLWY STATION, ELLISBRIDGE, AHMEDABAD-380009, AHMEDABAD, GUJARA T - 380009, INDIA	B67507335
2	10116345	11/01/2013 *	294,500,000.00	STATE BANK OF INDIA	LAGHU UDYOG BRANCH, OPP. GANDHIGRAM RLWY STATION, ELLISBRIDGE AHMEDABAD, AHMEDABAD, GUJARAT - 380009, INDIA	B68259134

Note: * Date of charge modification

FIXED ASSETS

Ø Land

Ø Buildings

Ø Plant and Machinery

Ø Furniture and Fixtures

Ø Vehicles

Ø Lorry

Ø 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 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.62.36
UK Pound	1	Rs.101.11
Euro	1	Rs.84.68

INFORMATION DETAILS

Report Prepared by :

KVT

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	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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		33

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.