MIRA INFORM REPORT

Report Date :

12.10.2013

IDENTIFICATION DETAILS

Name :	P-NET SOLUTIONS LIMITED (w.e.f.15.03.2013)
Formerly Known As :	P-NET SOLUTIONS PRIVATE LIMITED
Registered Office :	879, Pocket C, IFC Ghazipur Paper Market, Ghaziur, Delhi - 110096
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	18.04.2006
Com. Reg. No.:	55-148397
Capital Investment / Paid-up Capital :	Rs. 0.308 Million
CIN No.: [Company Identification No.]	U72901DL2006PLC148397
TAN No.: [Tax Deduction & Collection Account No.]	DELP15174F
PAN No.: [Permanent Account No.]	AAECP0321L
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trader and Dealer of Computer Peripherals.
No. of Employees :	10 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 73500
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. The company has seen a significant increase in its sales turnover as well as net profitability during 2012. There are no external borrowings recorded in the books. However, profit margin seems to be low. Trade relations are fair. Business is active. Payments are reported as slow but correct. 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

Name :	Mr. Mayank
Designation :	Company Secretary
Contact No.:	91-11-22144472
Date :	11.10.2013

LOCATIONS

Registered Office :	879, Pocket C, IFC Ghazipur Paper Market, Ghaziur, Delhi – 110096, India
Tel. No.:	91-11-22144472
Fax No.:	Not Available
E-Mail :	cs@pnetindia.com
Website :	www.pnetindia.com
Location :	Owned

DIRECTORS

AS ON 29.09.2012

Name :

Mr. Jai Kishan Gaur

Designation :

Director

Address :

149, Kailavan-1, Bulandshahr – 203001, Uttar Pradesh, India

Date of Birth/Age :

28.07.1980

Date of Appointment :

30.09.2010

DIN No.:

02842870

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	Company/ LLP Status	Defaulting status
1	U72901DL2006PLC148397	P-NET SOLUTIONS LIMITED	Director	30/09/2010	17/04/2010	Active	NO
2	U70109DL2012PTC241579	ARK TOWNSHIPS PRIVATE LIMITED	Director	27/12/2012	27/12/2012	Active	NO

Name :

Mr. Saurabh Gupta

Designation :

Director

Address :

E-38A, Nanak Pura, New Delhi – 110021, India

Date of Birth/Age :

13.01.1984

Date of Appointment :

30.09.2011

DIN No.:

03054266

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	Company/ LLP Status	Defaulting status
1	U72901DL2006PLC148397	P-NET SOLUTIONS LIMITED	Director	30/09/2011	01/06/2011	Active	NO
2	U72200DL2012PTC246774	SERVENET LINKS PRIVATE LIMITED	Director	27/12/2012	27/12/2012	Active	NO
3	U72900DL2013PTC248774	KRISHNI INFOTECH SOLUTIONS PRIVATE LIMITED	Director	12/08/2013	12/08/2013	Active	NO
4	U74899DL1985PTC021021	AMICI ELECTRONICA PRIVATE LIMITED	Additional director	18/09/2013	18/09/2013	Active	NO

Name :

Mr. Amreesh Kumar

Designation :

Director

Address :

38, Model Basti, Karol Bagh, New Delhi – 110005, India

Date of Birth/Age :

07.10.1967

Date of Appointment :

13.05.2010

DIN No.:

03069885

KEY EXECUTIVES

Name :	Mr. Mayank
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

NOTE: SHAREHOLDING AND ALLOTTEES FILE ATTACHED

AS ON 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Other top fifty shareholders	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Dealer of Computer Peripherals.
Terms :
Selling :	Cash and Credit
Purchasing :	Cash, Credit and Depend

GENERAL INFORMATION

Customers :	Others
No. of Employees :	10 (Approximately)
Bankers :	· Axis Bank Limited, Delhi, India · ICICI Bank Limited

Banking Relations :	--
Auditors :
Name :	Nitin Mittal and Company Chartered Accountants
Address :	Ground Floor, C-21B, South Extension-I, New Delhi – 110049, India
Income-tax PAN of auditor or auditor's firm :	AAHFN5490L

CAPITAL STRUCTURE

AFTER 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
5,000,000	Equity Shares	Rs. 10/- each	Rs. 50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
821,457	Equity Shares	Rs. 10/- each	Rs. 8.215 Millions

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
50,000	Equity Shares	Rs. 10/- each	Rs. 0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
30,785	Equity Shares	Rs. 10/- each	Rs. 0.308 Million

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	0.308	0.254
(b) Reserves & Surplus	18.078	12.768
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.900
Total Shareholders’ Funds (1) + (2)	18.386	13.922
(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	27.629	0.254
(c) Other current liabilities	0.000	0.000
(d) Short-term provisions	0.229	0.184
Total Current Liabilities (4)	27.858	0.438
TOTAL	46.244	14.360
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	2.139	2.224
(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	2.783	4.186
(c) Deferred tax assets (net)	0.055	0.053
(d) Long-term Loan and Advances	0.000	0.000
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	4.977	6.463
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	0.000	0.000
(c) Trade receivables	39.980	5.374
(d) Cash and cash equivalents	0.794	2.389
(e) Short-term loans and advances	0.354	0.011
(f) Other current assets	0.139	0.123
Total Current Assets	41.267	7.897
TOTAL	46.244	14.360

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.160
2] Share Application Money		0.000
3] Reserves & Surplus		7.413
4] (Accumulated Losses)		0.000
NETWORTH		7.573
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		0.000
TOTAL BORROWING		0.000
DEFERRED TAX LIABILITIES		0.000
TOTAL		7.573
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2.323
Capital work-in-progress		0.000
INVESTMENT		1.273
DEFERRED TAX ASSETS		0.047
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000
	Sundry Debtors	16.558
	Cash & Bank Balances	1.146
	Other Current Assets	0.000
	Loans & Advances	12.129
Total Current Assets		29.833
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	25.598
	Other Current Liabilities	0.102
	Provisions	0.213
Total Current Liabilities		25.913
Net Current Assets		3.920
MISCELLANEOUS EXPENSES		0.010
TOTAL		7.573

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	293.563	191.657
		Other Income	2.782	0.832
		TOTAL	296.345	192.489	186.037
Less	EXPENSES
		TOTAL	293.419	191.518	185.287
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		2.926	0.971	[Including Depreciation Expenses]
Less/ Add	DEPRECIATION/ AMORTISATION		0.088	0.119
	PROFIT BEFORE TAX		2.838	0.852	0.750
Less	TAX		0.150	0.111	0.144
	PROFIT AFTER TAX		2.688	0.741	0.606
	Earnings Per Share (Rs.)		105.18	29.18	37.77

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.91	0.38	0.33
Net Profit Margin (PBT/Sales)	(%)	0.97	0.44	NA
Return on Total Assets (PBT/Total Assets}	(%)	6.54	8.42	2.33
Return on Investment (ROI) (PBT/Networth)		0.15	0.06	0.10
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.48	18.03	1.15

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	No
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	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	No
34]	External Agency Rating, if available	No

Note:

The registered office of the company has been shifted from 879, Pocket G, IFC Ghazipur Paper Market, Ghaziur, Delhi - 110096, India to the present w.e.f. 01.06.2011

INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY

PERFORMANCE:

Total Income for the year ended March 31, 2012 has been increased to Rs. 296.345 Millions as compared to Rs. 192.489 Millions for the fiscal year ended March 31, 2011 an increase of 53.95%. Profit before tax was Rs. 2.838 Millions for the year ended March 31, 2012.

FIXED ASSETS:

· Office Buildings

· Vehicles

· Computer

· DG Set

· 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. 61.16
UK Pound	1	Rs. 97.77
Euro	1	Rs. 82.78

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		44

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.