MIRA INFORM REPORT

Report Date :

03.10.2013

IDENTIFICATION DETAILS

Name :	ELECTROLAB (INDIA) PRIVATE LIMITED
Registered Office :	401, Tirupati Industrial Estate, I.B. Patel Road, Off. Western Express Highway, Goregaon (East), Mumbai – 400 063, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	06.08.2002
Com. Reg. No.:	11-136735
Capital Investment / Paid-up Capital :	Rs.20.000 Millions
CIN No.: [Company Identification No.]	U33110MH2002PTC136735
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Pharmaceutical Testing Equipments.
No. of Employees :	190 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (54)

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

Maximum Credit Limit :	USD 381000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. Profit margin of the company appears to be fair. Also financial position of the company appears to be sound and healthy. Trade relations are reported to be fair. Business is active. Payments are reported to be regular. The company can be considered 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 – 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

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

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 (GENERAL DETAILS)

Name :	Mr. Amit Trikamlal Marfatia
Designation :	Director
Contact No.:	91-9821040280
Date :	27.09.2013

LOCATIONS

Registered Office/ Factory 1 :	401, Tirupati Industrial Estate, I.B. Patel Road, Off. Western Express Highway, Goregaon (East), Mumbai – 400 063, Maharashtra, India
Tel. No.:	91-22-40413131
Mobile No.:	91-9322403322 (Mrs. Usha) 91-9821040280 (Mr. Amit Marfatiya)
Fax No.:	91-22-26863727/ 40413199
E-Mail :	sales@electrolabindia.com admin@electrolabindia.com amitm@electolabindia.com
Website :	http://www.electrolabindia.com
Area :	10000 sq. ft.
Location :	Owned
Factory 2 :	EL23/24, T.T.C. Electronic Zone, M.I.D.C., Mahape, Navi Mumbai – 400 710, Maharashtra, India
Tel. No.:	91-22-65296783/ 41613131
Fax No.:	91-22-41613199
Area :	35000 sq. ft.
Location :	Owned
USA Branch :	Pharma Alliance Group Located at: · USA
Tel. No.:	+ 1(202) 5365489
E-Mail :	usa@electrolabindia.com

DIRECTORS

AS ON 29.09.2012

Name :

Mr. Amit Trikamlal Marfatia

Designation :

Whole Time Director

Address :

26/A, Walkeshwar Road, Mumbai – 400 006, Maharashtra, India

Date of Birth/Age :

15.08.1949

Date of Appointment :

01.04.2011

DIN No.:

00096827

Voter Id No.:

MT/04/024/0066453

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	U33110MH2002PTC136735	ELECTROLAB (INDIA) PRIVATE LIMITED	Whole-time director	01/04/2011	06/08/2002	-	Active	NO

Name :

Mr. Bharat Kanubhai Zaveri

Designation :

Whole Time Director

Address :

B-1, Queen’s View, 28/30, Walkeshwar Road, Mumbai – 400 006, Maharashtra, India

Date of Birth/Age :

12.03.1961

Date of Appointment :

01.04.2011

DIN No.:

00096935

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	U33110MH2002PTC136735	ELECTROLAB (INDIA) PRIVATE LIMITED	Whole-time director	01/04/2011	06/08/2002	-	Active	NO

Name :

Mr. Aditya Amit Marfatia

Designation :

Whole Time Director

Address :

26/A, Walkeshwar Road, Mumbai – 400 006, Maharashtra, India

Date of Birth/Age :

31.01.1979

Date of Appointment :

01.04.2011

DIN No.:

02907832

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	U33110MH2002PTC136735	ELECTROLAB (INDIA) PRIVATE LIMITED	Whole-time director	01/04/2011	20/01/2010	-	Active	NO
2	AAA-3671	ELECTROLABULTIMA (INDIA) LLP	Designated Partner	03/02/2011	03/02/2011	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Amit Trikamlal Marfatia	25000
Bharat Kanubhai Zaveri	992500
Amita Amit Marfatia	470000
Parul Bharat Zaveri	7500
Ankit Amit Marfatia	5000
Aditya Amit Marfatia	500000
Total	2000000

AS ON 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Pharmaceutical Testing Equipments.
Products :	Dissolution Tester Media Preparator Suppository Disintegration Tester Bottle Rotating Apparatus Disintegration Tester Friability Tester Leak Tester Tap Density Tester Electromagnetic sieve shaker Peristaltic Pumps Tablet Hardness Tester Tablet Testers Bottle Torque Tester Powder Flow Tester Washers Cleaning Agents and Disinfectants Lab Scale Granulating Equipments
Brand Names :	ELECTROLAB
Exports :
Products :	Pharmaceutical Testing Equipments
Countries :	Europe Brazil South Africa Turkey US Pakistan Arab Countries China Indonesia Malaysia Sri Lanka Bangladesh
Imports :
Products :	Raw Material
Countries :	Korea China Taiwan US
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :	End Uses
No. of Employees :	190 (Approximately)
Bankers :	CITI Bank, Dr. D.N. Road Branch, Andheri (East) Bank of Baroda, Valkeshwar Branch Kotak Mahindra Bank Limited

Banking Relations :	--
Auditors :
Name :	R.V. Patwa and Company Chartered Accountants
Address :	404, Seta Kutir, C.D. Barfiwala Marg, Andheri (West), Mumbai – 400 058, Maharashtra, India
Tel. No.:	91-22-26287681
Mobile No.:	91-9869636854
E-Mail :	rajeshpatwa@gmail.com
PAN No.:	AABPP5793N

CAPITAL STRUCTURE

AS ON 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1) Shareholders' Funds
(a) Share Capital	20.000	4.000
(b) Reserves & Surplus	75.234	29.520
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	95.234	33.520
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) Long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	0.000	0.000
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	32.673	23.313
(c) Other current liabilities	261.662	175.357
(d) Short-term provisions	27.707	12.955
Total Current Liabilities (4)	322.042	211.625
TOTAL	417.276	245.145
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	106.626	97.917
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.265	0.222
(d) Long-term Loan and Advances	2.231	0.884
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	109.122	99.023
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	52.541	9.961
(c) Trade receivables	134.924	87.808
(d) Cash and cash equivalents	87.363	25.452
(e) Short-term loans and advances	29.952	18.349
(f) Other current assets	3.374	4.552
Total Current Assets	308.154	146.122
TOTAL	417.276	245.145

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		4.000
2] Share Application Money		0.000
3] Reserves & Surplus		8.400
4] (Accumulated Losses)		0.000
NETWORTH		12.400
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		62.350
TOTAL BORROWING		62.350
DEFERRED TAX LIABILITIES		0.000
TOTAL		74.750
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		43.855
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERRED TAX ASSETS		0.298
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	18.032
	Sundry Debtors	8.839
	Cash & Bank Balances	4.572
	Other Current Assets	0.000
	Loans & Advances	11.902
Total Current Assets		43.345
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	6.261
	Other Current Liabilities	2.538
	Provisions	3.954
Total Current Liabilities		12.753
Net Current Assets		30.592
MISCELLANEOUS EXPENSES		0.005
TOTAL		74.750

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from Operations	379.902	204.556	22.879
		Other Income	4.222	1.777	4.750
		TOTAL (A)	384.124	206.333	27.629
Less	EXPENSES
		Cost of material consumed	168.601	134.226	19.611
		Employee Benefit Expenses	41.762	13.865
		Manufacturing Expenses	11.055	5.168
		Administrative Expenses	41.989	17.820
		TOTAL (B)	263.407	171.079	19.611 (including financial expenses)
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		120.717	35.254
Less	FINANCIAL EXPENSES (D)		31.264	0.216
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		89.453	35.038	8.018
Less/ Add	DEPRECIATION/ AMORTISATION (F)		6.042	4.843	5.100
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		83.411	30.195	2.918
Less	TAX (H)		26.564	9.076	0.864
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		56.847	21.119	2.054
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		29.519	8.400	6.348
	Excess provision written off		0.000	0.000	0.002
Less	APPROPRIATIONS
		Interim Dividend	10.000	0.000	0.000
		Tax on Interim Dividend	1.133	0.000	0.000
		Transfer to Reserves	1.000	0.000	0.000
	BALANCE CARRIED TO THE B/S		74.233	29.519	8.400
	EARNINGS IN FOREIGN CURRENCY
		Exports	96.793	13.299	11.740
		Commission Received	0.000	0.419	3.761
	TOTAL EARNINGS		96.793	13.718	15.501
	Earnings Per Share (Rs.)		28.42	52.99	5.14

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	14.80	10.24	7.43
Net Profit Margin (PBT/Sales)	(%)	21.96	14.76	12.75
Return on Total Assets (PBT/Total Assets}	(%)	20.00	12.33	3.35
Return on Investment (ROI) (PBT/Networth)		0.88	0.90	0.24
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	5.03
Current Ratio (Current Asset/Current Liability)		0.96	0.69	3.40

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	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	No
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	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	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	Yes
34) External Agency Rating, if available	No

Note:

No Charges Exist for Company

SCHEME OF MERGER:

Pursuant to the Scheme of Merger of Electrolab (A Partnership Firm under the same management) vide their Agreement dated 1^st April, 2011, the entire business and all assets and liabilities, duties and obligations of Electrolab have been transferred to and vested in the Company with effect from 1^st April, 2011.

The erstwhile Partnership Firm Electrolab was engaged in the similar business of manufacturing, trading and servicing of Pharma Lab Instruments.

FIXED ASSETS:

Tangible Assets

· Leasehold Land

· Factory Building

· Computer

· Plant and Machinery

· Furniture and Fixtures

· Vehicles

Intangible Assets

· Computer Software

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.62.35
UK Pound	1	Rs.101.20
Euro	1	Rs.84.54

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		54

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.