MIRA INFORM REPORT

Report Date :

16.10.2013

IDENTIFICATION DETAILS

Name :	WOCKHARDT LIMITED
Registered Office :	Wockhardt Towers, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	08.07.1999
Com. Reg. No.:	11-120720
Capital Investment / Paid-up Capital :	Rs. 3533.400 Millions
CIN No.: [Company Identification No.]	L24230MH1999PLC120720
TAN No.: [Tax Deduction & Collection Account No.]	NSKW00152F
PAN No.: [Permanent Account No.]	AAACW2472M
Legal Form :	A Public Limited Liability company. The company’s Shares are Listed on the Stock Exchange.
Line of Business :	Manufacturing and Marketing of Pharmaceuticals in the form of Injections, Liquids and solutions, Agro Products, Tablets and Capsules, Ointments, Powders, Bulk Drugs, Large Volume Parenterals and Others.
No. of Employees :	7000 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

A (58)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 44660000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having fine track record. The company has recorded better growth in profit and sales turnover during the year 2013. Overall fundament of the company appears to be sound and healthy. Trade relations are fair. Business is active. Payments are regular as per commitments. The company can be considered good 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 DECLINED BY

Management non co-operative

LOCATIONS

Registered / Corporate Office :	Wockhardt Towers, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra, India
Tel. No.:	91-22-26534444 / 26533333
Fax No.:	91-22-26522727 / 26522828 / 26534242
E-Mail :	wock@giasbm01.vsnl.net.in wockhard@giasbm01.vsnl.net.in ocassubhoy@wockhardtin.com spathak@wockhardt.com contactus@wockhardt.com jmanmadkar@wockhardt.com
Website :	www.wockhardt.com
Factory 1 :	Wockhardt Biotech Park, H14/2 M.I.D.C., Area Waluj, Aurangabad - 431136, Maharashtra, India
Tel. No.:	91-240-6626444
Fax No.:	91 240 6626333
Factory 2 :	L1 M.I.D.C., Chikalthana, Aurangabad - 431210, Maharashtra, India
Tel. No.:	91-240-6637444
Fax No.:	91-240-6637333
Factory 3 :	87A, Silver Industrial Estate, Bhimpore, Nani Daman - 396210, Union Territory, India
Tel. No.:	91-260-6610300 / 6610333
Fax No.:	91-260-2220940
Factory 4 :	106/4,5,7 Kadaiya, Nani Daman 396210, Union Territory India
Tel. No.:	91260-6531306
Fax No.:	91-260-2220214
Factory 5 :	138 G.I.D.C. Estate, Ankleshwar 393002, District Bharuch, Gujarat, India
Tel. No.:	91-2646-661444
Fax No.:	91-2646-661555
Factory 6 :	P O Barotiwala, District Solan, Himachal Pradesh 174103, India
Tel. No.:	91-1795-664444
Fax No.:	91-1795-664242
Factory 7 :	Ash Raod North, Wexham Industrial Estate, Wrexham, LL13 9UF, Wales, UK
Tel. No.:	+44-1978-661261
Fax No.:	+44-1978-660130
Factory 8 :	Ballymacarbry Clonmel Co., Tippearary, Ireland
Tel. No.:	+353-52-6186000
Fax No.:	+353-52-6136311
Factory 9 :	6451, Main Street, Morton Frove, III Inois 60053-2633, USA
Tel. No.:	+1-847+9675600
Fax No.:	+1-847-9672211
Factory 10 :	B-15/2, MIDC Waluj-431136, Maharashtra, India
Tel. No.:	91-240-6636400
Fax No.:	91-240-6636444
Factory 11 :	E-1/1, MIDC, Shendra-431201, Maharashtra, India
Tel. No.:	91-240-6617444
Fax No.:	91-240-6617333
International Office :	Located At: USA UK Ireland Switzerland
Research Centers :	Located At: India UK USA

DIRECTORS

AS ON 31.03.2013

Name :	Dr. Habil Khorakiwala
Designation :	Chairman
Name :	Dr. Murtaza Khorakiwala
Designation :	Managing Director
Name :	Mr. Shekhar Datta
Designation :	Director
Name :	Mr. Aman Mehta
Designation :	Director
Name :	Mr. R A Shah
Designation :	Director
Name :	Dr. Huzaifa Khorakiwala
Designation :	Executive Director

KEY EXECUTIVES

Name :	Mr. V R Khetan
Designation :	Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.06.2013

Category of Shareholder	No. of Shares	% of No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	887625	0.81
Bodies Corporate	79697757	72.83
Sub Total	80585382	73.64
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	80585382	73.64
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	1680678	1.54
Financial Institutions / Banks	1849379	1.69
Insurance Companies	15170	0.01
Foreign Institutional Investors	11379104	10.40
Sub Total	14924331	13.64
(2) Non-Institutions
Bodies Corporate	1570455	1.44
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	7416514	6.78
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	4328246	3.96
Any Others (Specify)	607942	0.56
Clearing Members	181013	0.17
Non Resident Indians	302878	0.28
Trusts	2451	0.00
Directors & their Relatives & Friends	121600	0.11
Sub Total	13923157	12.72
Total Public shareholding (B)	28847488	26.36
Total (A)+(B)	109432870	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	150533	0.00
Sub Total	150533	0.00
Total (A)+(B)+(C)	109583403	0.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Marketing of Pharmaceuticals in the form of Injections, Liquids and solutions, Agro Products, Tablets and Capsules, Ointments, Powders, Bulk Drugs, Large Volume Parenterals and Others.

PRODUCTION STATUS [AS ON 31.03.2011]

Particulars	Unit	Installed Capacity	Actual Production
Injections	Ltrs.	262000	116862
Liquids and Solutions	Ltrs.	3000000	2411848
Tablets and Capsules	Nos. in Lacs	83240	70997
Ointments	Kgs.	160000	93595
Powder	Kgs.	--	5878639
Bulk Drugs	Kgs.	520400	360403

GENERAL INFORMATION

No. of Employees :

7000 [Approximately]

Bankers :

· ICICI Bank

· State Bank of India

Facilities :

Secured Loan	Rs. In Millions 31.03.2013	Rs. In Millions 31.03.2012
Long Term Borrowings
10% Redeemable Non-Convertible Debentures	0.000	1500.000
Rupee Denominated Term Loans
From banks/financial institutions	0.000	5055.900
From others	18.800	768.800
Short Term Borrowings
Loans repayable on demand
Working capital facilities from banks	1631.700	2222.800
TOTAL	1650.500	9547.500
Notes Long Term Borrowings 1. During the current year: a) The CDR EG approved the Company's exit from the CDR vide its letter dated March 14, 2013 which was subject to payment of recompense to all lenders till the date of exit. The Company has repaid to CDR lenders, all the loans along with full recompense on loans till the date of repayment. The process to obtain the No Dues and No Objection Certificates for releasing the securities provided to CDR lenders under the CDR Scheme as stated below is currently under progress. b) The rupee denominated term loan from others amounting to Rs. 18.800 Millions (Previous Year –Rs. 18.800 Millions) is secured by first charge on pari passu basis by hypothecation of movable properties of the company (except book debts) at all locations. This term loan from others with interest rate of 2% p.a. is repayable in 10 equal half yearly installments beginning 1 year after completion of the project. 2. During the previous year: a) The debentures which were redeemable at par in four annual installments of Rs. 500.000 Millions each starting from August 7, 2012 were secured by first charge on pari-passu basis: i) By way of mortgage of immovable properties and hypothecation of movable assets at Plot No L-1, D-4, Chikhalthana in Aurangabad, Plot No. 138, Ankleshwar in Gujarat, Plot No. 87A, Bhimpore in Daman and Biotech Park H-14/2, MIDC Waluj in Aurangabad. ii) by way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon in Punjab. iii) by way of mortgage of immovable properties and hypothecation of movable assets of Company's wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra in Aurangabad; and by way of second charge on pari passu basis on current assets of the company at all locations. b) Further, during previous year, Term Loans were secured as under: Pursuant to the approved Corporate Debt Restructuring Package, the rupee denominated term loans from banks/ financial institutions amounting to Rs. 4829.800 Millions as on March 31, 2012 were secured by first charge on pari passu basis and rupee denominated term loans from banks/financial institutions amounting to Rs. 1307.800 Millions were secured by third charge on pari passu basis: i) By way of mortgage of immovable properties and hypothecation of movable assets at Plot No L-1, D-4, Chikhalthana in Aurangabad, Plot No. 138, Ankleshwar in Gujarat, Plot No. 87A, Bhimpore in Daman and Biotech Park H-14/2, MIDC Waluj in Aurangabad. ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon in Punjab. iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company's wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra in Aurangabad. Further, loans amounting to Rs. 4829.800 Millions as on March 31, 2012 were secured by second charge on pari passu basis and loans amounting to Rs. 1307.800 Millions as on March 31, 2012 were secured by third charge on pari passu basis on current assets of the Company at all locations. (II) Pursuant to the approved Corporate Debt Restructuring Package, the rupee denominated term loans from banks amounting to Rs. 174.700 Millions as on March 31, 2012 were secured by third charge on pari passu basis: i) By way of mortgage of immovable properties at Plot No L-1, D-4, Chikhalthana in Aurangabad, Plot No. 87A, Bhimpore in Daman and Biotech Park H-14/2, MIDC Waluj in Aurangabad and hypothecation of current assets of the Company at all locations. ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon in Punjab. iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company's wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra in Aurangabad. iv) The Company was in the process of creating charge on immovable property at Plot No. 138, Ankleshwar in Gujarat and movable assets of the Company at all locations. (III) Pursuant to the approved Corporate Debt Restructuring Package, the rupee denominated loans from others amounting to Rs. 750.000 Millions as on March 31, 2012 were secured by third charge on pari passu basis: i) By way of mortgage of immovable properties at Plot No L-1, D-4, Chikhalthana in Aurangabad, Plot No. 87A, Bhimpore in Daman, Plot No. 138, Ankleshwar in Gujarat and Biotech Park H-14/2, MIDC Waluj in Aurangabad and by way of hypothecation of current assets of the Company at all locations. ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon in Punjab. iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company's wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra in Aurangabad. iv) The Company was in the process of creating charge on movable assets of the Company at all locations. (IV) Terms of repayment as per CDR scheme of rupee denominated term loans from banks/financial institutions were as under: i) Rupee term loans and Working capital term loans from banks with interest rate of 10% p.a. were repayable in 24 quarterly installments by April 2016. ii) Priority loans from banks with interest rate of 12% p.a. were repayable in 8 quarterly equal installments, by June 2012. iii) Short term loans from banks with interest rate of 10% p.a. were repayable in 20 quarterly equal installments by October 2018. (V) Term loan from others amounting Rs. 750.000 Millions as on March 31, 2012 with interest rate of 10% p.a. were repayable in 20 quarterly installments by October 2018 as per CDR scheme. c) Loans amounting to Rs.9062.200 Millions as on March 31, 2012 were also secured by irrevocable personal guarantee by H.F. Khorakiwala, Chairman and corporate guarantee by Palanpur Holdings and Investments Private Limited. d) As against the above secured loans taken, the promoters/promoter group have pledged shares numbering 70,158,917 as on March 31, 2012. All the aforesaid loans have been repaid fully during the year. 3. Interest free sales tax tax deferral loan is repayable in the month of May every year. This loan is repayable by May 2019. 4. Loans from others with interest rate of 3% p.a. is repayable in 10 annual installment. Loans amounting Rs. 13.200 Millions (Previous Year –Rs. 18.900 Millions) is repayable by June 2019 and the balance Rs. 38.200 Millions (Previous Year – Rs. 42.400 Millions) by October 2021. Short Term Borrowings a) Working capital facilities from Banks are secured by way of: i) First charge on pari passu basis on present and future stock of raw materials, consumables, spares, semi-finished goods, finished goods and book debts. ii) Second charge on pari passu basis by way of mortgage of immovable properties and hypothecation of movable assets, both present and future at Plot No L-1, D-4, Chikhalthana in Aurangabad, Plot No. 138, Ankleshwar in Gujarat, Plot No. 87A, Bhimpore in Daman and Biotech Park H-14/2, B-15/2, both at MIDC Waluj, and E-1/1 at MIDC, Shendra, in Aurangabad, and Jagraon in Punjab. b) During previous year: 1) Pursuant to the approved Corporate Debt Restructuring Package, the working capital facilities were secured by way of second charge on pari passu basis: i) By way of mortgage of immovable properties and hypothecation of movable assets at Plot No L-1, D-4, Chikhalthana in Aurangabad, Plot No. 138, Ankleshwar in Gujarat, Plot No. 87A, Bhimpore in Daman and Biotech Park H-14/2, MIDC Waluj in Aurangabad. ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon in Punjab iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company's wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra in Aurangabad; and by way of first charge on pari passu basis on current assets of the Company at all locations 2) Loans were also secured by irrevocable personal guarantee by H.F. Khorakiwala, Chairman and corporate guarantee by Palanpur Holdings and Investments Private Limited 3) As against the above secured loans taken, the promoters/promoter group have pledged shares numbering 70,158,917 as on March 31, 2012

Banking Relations :	--
Auditors :
Name :	Haribhakti and Company Chartered Accountants
Solicitors :	Crawford Bayley and Company Amarchand and Mangaldas and Suresh A. Shroff and Company Majmudar and Company
Holding Company :	Khorakiwala Holdings and Investments Private Limited
Associates :	Swiss Biosciences AG
Wholly Owned Subsidiaries :	Wockhardt UK Holdings Limited (formerly, Wockhardt UK Limited) CP Pharmaceuticals Limited CP Pharma (Schweiz) AG Wallis Group Limited The Wallis Laboratory Limited Wockhardt Farmaceutica Do Brasil Ltda Wallis Licensing Limited Wockhardt Biopharm Limited Vinton Healthcare Limited Wockhardt Infrastructure Development Limited Z and Z Services GmbH (formerly, esparma GmbH) Wockhardt Europe Limited Wockhardt Nigeria Limited Wockhardt USA LLC w.e.f. October 3, 2008 (formerly, Wockhardt USA Inc.,) Wockhardt Bio AG (Formerly Wockhardt EU Operations (Swiss) AG) Wockhardt UK Limited Wockhardt Cyprus Limited Wockpharma Ireland Limited Pinewood Laboratories Limited Nonash Limited Laboratoires Negma S.A.S. (formerly, Negma Lerads S.A.S.) Wockhardt France (Holdings) S.A.S. Esparma AG Wockhardt Holding Corp Morton Grove Pharmaceuticals, Inc. MGP Inc. Girex S.A.S. (liquidated on October 6, 2011) Mazal Pharmaceutique S.A.R.L. (liquidated on October 6, 2011) Laboratoires Pharma 2000 S.A.S. (formerly, Pharma 2000 S.A.S.) Hariphar S.C. Niverpharma S.A.S. Negma Beneulex S.A. S.C.I. Salome Phytex S.A.S. Scomedia S.A.S. (sold on May 16, 2011) Laboratoires Lerads S.A.S. (Merged on November 28, 2012) Wockhardt Farmaceutica SA DE CV. (w.e.f. November 9, 2012) Wockhardt Services SA DE CV. (w.e.f. June 21, 2012)
Fellow Subsidiary :	· Carol Info Services Limited
Other Related Parties :	· Palanpur Holdings and Investments Private Limited · Wockhardt Hospitals Limited · Merind Limited · Wockhardt Foundation

CAPITAL STRUCTURE

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
250000000	Equity Shares	Rs.5/- each	Rs. 1250.000 Millions
2000000000	Preference Shares	Rs.5/- each	Rs. 10000.000 Millions
	TOTAL		Rs. 11250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
109435903	Equity Shares	Rs.5/- each	Rs. 547.200 Millions
147500	Add : Shares Issued during the year Pursuant to ESOS		Rs. 0.700 Million
446549949	Optionally Convertible Cumulative Redeemable Preference Shares	Rs.5/- each	Rs. 2232.700 Millions
325095022	Less Shares Redeemed During The Year		Rs. (1625.500) Millions
1076198988	Non Convertible Cumulative Redeemable Preference Shares	Rs.5/- each	Rs. 5381.000 Millions
600539047	Less Shares Redeemed During The Year		Rs. (3002.700) Millions
	TOTAL		Rs. 3533.400 Millions

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
250000000	Equity Shares	Rs.5/- each	Rs. 1250.000 Millions
2000000000	Preference Shares	Rs.5/- each	Rs. 10000.000 Millions
	TOTAL		Rs. 11250.000 Millions

Issued, Subscribed & Paid-up Capital : Rs. 3534.330 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	3533.400	8160.900	7999.300
(b) Reserves & Surplus	7633.800	654.900	(1284.500)
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	11167.200	8815.800	6714.800
(3) Non-current liabilities
(a) long-term borrowings	95.200	7415.200	9158.600
(b) Deferred tax liabilities (Net)	1205.500	2051.400	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	260.800	289.000	215.800
Total Non-current Liabilities (3)	1561.500	9755.600	9374.400
(4) Current liabilities
(a) Short term borrowings	1631.700	2222.800	3521.300
(b) Trade payables	4693.000	3695.300	2911.600
(c) Other current liabilities	11746.500	6943.300	7316.100
(d) Short-term provisions	873.300	211.500	157.800
Total Current Liabilities (4)	18944.500	13072.900	13906.800
TOTAL	31673.200	31644.300	29996.000
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	8768.600	8212.500	7339.700
(ii) Intangible Assets	597.600	347.100	284.800
(iii) Capital work-in-progress	4817.900	4736.600	4655.600
(iv) Intangible assets under development	0.000	3371.400	3061.800
(b) Non-current Investments	3079.500	3079.500	3079.500
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	3429.200	2941.600	3073.700
(e) Other Non-current assets	49.200	0.000	0.000
Total Non-Current Assets	20742.000	22688.700	21495.100
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	5275.900	4530.700	3050.700
(c) Trade receivables	2066.300	2608.400	3117.300
(d) Cash and cash equivalents	1839.300	759.400	1616.700
(e) Short-term loans and advances	1749.700	1057.100	716.200
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	10931.200	8955.600	8500.900
TOTAL	31673.200	31644.300	29996.000

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	24711.800	22971.000	17549.200
		Other Income	455.000	199.700	170.900
		TOTAL	25166.800	23170.700	17720.100
Less	EXPENSES
		Cost of Material Consumed	8593.000	6702.900	5813.600
		Purchase of Stock In Trade	2614.300	2365.300	2229.200
		Employee benefits expenses	3010.700	2182.900	1719.400
		Other Expenses	5609.700	4812.300	3678.000
		Exceptional Items	(2881.800)	1616.500	2928.800
		Changes in inventories of Finished goods, work in progress and stock in trade	(829.500)	(843.900)	184.100
		Exchange Fluctuation Loss / (Gain) Net	(198.400)	270.500	(158.900)
		TOTAL	15918.000	17106.500	16394.200
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		9248.800	6064.200	1325.900
Less	FINANCIAL EXPENSES		1543.700	2153.600	2030.800
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		7705.100	3910.600	(704.900)
Less/ Add	DEPRECIATION/ AMORTISATION		807.700	663.100	615.800
	PROFIT / (LOSS) BEFORE TAX		6897.400	3247.500	(1320.700)
Less	TAX		(829.800)	(1863.200)	0.000
	Profit for the year from Continuing Operations		6067.600	1384.300	0.000
	Profit for the discontinued operations (before tax)		236.000	589.600	0.000
	Tax expenses of discounted operations		(76.600)	(133.900)	0.000
	Profit from discontinued operations		159.400	455.700	0.000
	PROFIT / (LOSS) AFTER TAX		6227.000	1840.000	(1320.700)
	EARNINGS IN FOREIGN CURRENCY
		Exports of goods on F.O.B. basis	11740.400	12094.400	6748.700
		Management and Technical fees	57.800	128.100	140.000
		Outlicensing fees	1677.700	1400.000	0.000
		Royalty	31.100	7.300	6.200
		Interest	34.800	31.400	28.700
		Research and Development Services	40.600	101.900	31.500
		Assignment of New Chemical Entity	1000.000	0.000	0.000
		Others	0.000	26.000	22.700
	TOTAL EARNINGS		14582.400	13789.100	6977.800
	IMPORTS
		Raw Materials	2538.200	2314.900	1449.200
		Component and Spares	44.900	217.900	86.800
		Capital Goods	260.200	366.400	213.100
	TOTAL IMPORTS		2843.300	2899.200	1749.100
	Earnings / (Loss) Per Share (Rs.)		56.88	16.81	8.27

QUARTERLY RESULTS

PARTICULARS	30.06.2013
	1^st Quarter
Net Sales	5013.200
Total Expenditure	4637.600
PBIDT (Excl OI)	375.600
Other Income	65.400
Operating Profit	441.000
Interest	47.900
Exceptional Items	0.000
PBDT	393.100
Depreciation	224.800
Profit Before Tax	168.300
Tax	9.400
Provisions and contingencies	0.000
Profit After Tax	158.900
Extraordinary Items	0.000
Prior Period Expenses	0.000
Other Adjustments	0.000
Net Profit	158.900

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	24.74	7.94	(7.45)
Net Profit Margin (PBT/Sales)	(%)	27.91	14.14	(7.53)
Return on Total Assets (PBT/Total Assets}	(%)	29.01	15.87	(6.88)
Return on Investment (ROI) (PBT/Networth)		0.62	0.37	(0.20)
Debt Equity Ratio (Total Debt /Networth)		0.15	1.09	1.89
Current Ratio (Current Asset/Current Liability)		0.58	0.69	0.61

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	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	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
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	No
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

Unsecured Loan	Rs. In Millions 31.03.2013	Rs. In Millions 31.03.2012
Long Term Borrowings
Deferred Payment Liabilities
Sales tax deferral loan	31.000	39.100
Loans from Others	45.400	51.400
TOTAL	76.400	90.500

VIEW INDEX OF CHARGES

S. No	Charge ID	Date of Charge Creation /Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN
1	10253301	07/12/2011 *	26,152,000.00	DEPARTMENT OF BIOTECHNOLOGY	6-8th FLOOR, BLOCK NO. 2, CGO COMPLEX, LODHI ROAD, NEW DELHI, DELHI - 110003, INDIA	B27629591
2	10239938	15/03/2011 *	16,412,700,000.00	SBICAP TRUSTEE COMPANY LIMITED	202, MAKER TOWER, 'E', CUFFE PARADE, COLABA,, MUMBAI, MAHARASHTRA - 400005, INDIA	B09941931
3	10240003	31/08/2010	16,932,800,000.00	SBICAP TRUSTEE COMPANY LIMITED	202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI, MAHARASHTRA - 400005, INDIA	A94607587
4	10238614	18/08/2010	29,864,500,000.00	STATE BANK OF INDIA	CAPITAL MARKET BRANCH, VIDEOCON HERITAGE, GROUND FLOOR, CHARANJIT RAI MARG, MUMBAI, MAHARASHTRA - 400001, INDIA	A92103076
5	10225953	29/06/2010	4,667,210,000.00	SBICAP TRUSTEE COMPANY LIMITED	202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI, MAHARASHTRA - 400005, INDIA	A88114897
6	10195016	23/11/2009	484,900,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA	A76885995
7	10192780	23/11/2009	2,990,100,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	A75404855
8	10199434	23/11/2009	3,820,000,000.00	STATE BANK OF INDIA	CORPORATE ACCOUNTS GROUP BRANCH, VOLTAS HOSE, 23, J.N. HEREDIA MARG, MUMBAI, MAHARASHTRA - 400001, INDIA	A76706431
9	10038845	08/02/2007	11,250,000,000.00	STATE BANK OF INDIA	NEW ISSUE AND SECURITIES AND SERVICES DIVSIONS, MUMBAI MAIN BRANCH, MUMBAI SAMACHAR MARG, MUMBAI, MAHARASHTRA - 400023, INDIA	A11304755
10	90144213	21/04/2009 *	4,725,000,000.00	STATE BANK OF INDIA	CORPORATE ACCOUNTS GROUP BRANCH, VOLTAS HOUSE, 23, J.N HEREDIA MARG, VOLTAS HOUSE, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	A63782932
11	90143190	29/12/2000	1,410,000,000.00	STATE BANK OF INDIA	CORPORATE ACCOUNTS BRANCH, VOLTAS HOUSE; J.N. HER EDIA MARG; BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	-
12	90146062	03/01/2000	1,033,200,000.00	STATE BANK OF INDIA	CAG BRANCH; KILLICK HOUSE, CHARANJIT RAJ MARG, MUMBAI, MAHARASHTRA - 400001, INDIA	-
* Date of charge modification

FINANCIAL PERFORMANCE

The Company registered a 24% growth in consolidated income to Rs. 57720.000 Millions and 2% growth in standalone income to Rs. 26280.000 Millions for the year ended March 31, 2013, on a year on year basis. The Profit before depreciation, interest and tax on a consolidated basis grew from Rs. 14420.000 Millions to Rs. 21390.000 Millions thereby registering a healthy growth of 48% and profit after tax on consolidated basis grew from Rs. 3430.000 Millions to Rs. 15940.000 Millions thereby registering a growth of 365% On a standalone basis, the profit after tax stood at Rs. 6230.000 Millions against Rs. 1840.000 Millions for the previous year, thereby registering a growth of 239%.

In the Month of May 2013, the Company has received an Import Alert from the US FDA on its manufacturing unit located at Waluj near Aurangabad. The impact of the Import Alert on the consolidated revenues is expected to be approximately US$ 100 million on an annualised basis. The Company is taking all steps to address the concerns raised by US FDA and is also working on various measures to mitigate the above impact. 

SUBSIDIARY COMPANIES

The Company has 32 subsidiaries as on 31st March 2013. During the year 2012-2013, Laboratories Lerads S.A.S. was merged with Wockhardt France (Holdings) S.A.S., the holding Company. Further, Haripar S.C. (a subsidiary of Laboratories Pharma 2000 S.A.S.) and S.C.I. Salome (a subsidiary of Laboratories Negma S.A.S.) were liquidated. Further, 2 subsidiaries were incorporated in Mexico namely Wockhardt Farmaceutica SA DE CV and Wockhardt Services SA DE CV.

MANAGEMENT DISCUSSIONS AND ANALYSIS

DRAMATIC TURNAROUND CONTINUES

The Dramatic Turnaround of the previous year continued in the current year 2012-13 with Wockhardt achieving newer heights across all levels of operations. The company joined the Billion Dollar club by scaling $1 billion in Sales. The year also witnessed introduction of several niche products in the US market, and completion of the Nutrition business sale. The company saw betterment across all financial parameters with increased focus on Rand D, manufacturing and efficient supply chain management.

REVENUES

Net Sales grew by 29% to Rs. 56100.000 Millions from Rs. 43510.000 Millions achieved during the previous year.

Rs. in Millions

	1 FY 13	FY 12	Change	% Change
Revenue from operations	56100.000	43510.000	12590.000	29%

Sequential growth in Sales continued in the current year as well with the latest quarter being the 8th consecutive quarter of sequential growth.

The revenue growth in FY 2013 is higher by 29% over FY 2012 driven by 52% growth in US market, 12% growth in India and Emerging markets and 22% growth in European market (excluding France).

The revenue split was lead by US operations at 52% (compared to 44% as in FY 2012)while European Business contributed 24% (compared to 28% in FY 2012) and India and Rest of the World contributing 24 % (compared to 28% in FY 2012).

PROFITABILITY

TTM GROSS MARGIN % NORMALIZED

The Gross Margins have consistently stayed above 60% from March-11 onwards.

The strong sales growth in US Operation and continued emphasis on cost control ensured substantial increase in EBITDA - rising by 51.9% to Rs. 20910.000 Millions (vs Rs. 13770.000 Millions in previous year).

The Company has recorded thirteen successive quarters of sequential growth in EBITDA.

Company's EBITDA margins went up to 37.3% compared to 31.6% in the previous year.

Material consumption for FY13 stood at 30% of sales compared to 35% in FY12, largely due to improved realizations. US being a better margin geography and higher contribution in sales from US business resulted in better Gross Margins for the company.

During the year the company applied the revised criteria of recognition to its development costs and accordingly product development expenses from Q2FY13 were expensed to P and L As a result the R and D costs for FY13 stood at 5.6% of sales compared to 1.7%in FY12, showing a growth of 317%. On a like to like basis the R and D costs showed a growth of 56%.

Other expenses were under control at 16% of sales for FY13 compared to 19% for FY12.Interest costs also reduced in FY13 compared to FY12 due to reduction in Debt during the year.

DEBT AND LEVERAGE

Net Debt to Equity

The Net Debt to Equity ratio has now come down to 0.4.

During the year the company repaid loans of Rs. 15210.000 Millions including the settlement of the FCCB loans. Also a substantial portion of Indian debt has been repaid during the year.

DEBT POSITION

Rs. in Millions

	FY 13	FY 12	Change	% Change
Secured	20620.000	32710.000	(12090.000)	(37%)
Unsecured	80.000	2210.000	(2130.000)	(96%)
Total	20700.000	34920.000	(14220.000)	(41%)

GLOBAL OUTLOOK

The Global Market for Pharmaceuticals is expected to breach the $ 1 Trillion mark in2013 and go to $1.2 Trillion by 2016.

Geographical Spread

Geography wise, USA will continue to hold the top position but its share will decline and countries like China will increase their presence.

· USA had been in the sub 10% growth trajectory since 2007 will be growing at an even lower growth rate of 1-4% per year range between 2012-16. The expected market size of US is set to grow to $ 350-380 Billion by 2016. Though Patent expiries will impact strongly till 2013, health reforms may provide a positive impact as will the brand products price increases.

· EU5, however, finds itself in a difficult territory with mounting national debts, healthcare spending cuts being implemented on providers including pharmaceutical companies and an overall slow or negative growth rates. Market does carry a risk of de growth for a certain period of time while the overall economy manages to claw back. Pharmaceutical market growth (CAGR) is expected to be in -1 to 2% range with almost flattish revenue at $150-155 Billion in 2016.

· China expectedly will be leading the charge and will be the highest growing region. The growth is expected to be 15-18% CAGR between 2012-16 and the Market size is expected to reach $161 Billion by 2016 making it world's second largest market after US and beating Japan to no. 3.

· India is expected to register second highest growth after China at 14-17% CAGR and is expected to more than double its market size to $29 Billion by 2016.

GENERIC PENETRATION

The potential for the Generics market to grow globally is immense considering patent expiries, cuts in healthcare spending and increasing importance of pharma emerging conomies.

Generics market will continue the momentum across the world and particularly in the USA. The Shift from Branded to Generics will gather further pace as total Global sales of generics will increase from $ 242 Billion in 2011 to $415 Billion by 2016, a large component of which will be outside USA. The Generics market growth will be way ahead of the growth curve of the overall growth. A large component of this value, $230 Billion, will be from Pharmerging countries.

SEGMENT-WISE PERFORMANCE

The company is exclusively into pharmaceutical business segment

COMPANY OUTLOOK

The company's long term outlook continues to be promising given the following

a. Overall growth in the global pharmaceutical industry

b. Wockhardt's continued focus on R and D

c. Increasing pipeline of niche and complex technology generic products

d. Encouraging progress on Bio-similars and NCE programs

The short term outlook however is constrained by the recent FDA import alert on its manufacturing site at Waluj. The company is in the process of initiating several mitigating measures and is determined to resolve the issue at the earliest.

FIXED ASSETS

· Trademarks / Technical knowhow

· Software

· Freehold land

· Leasehold land

· Buildings

· Plant and Machinery

· Furniture and Fittings

· Office Equipments

· Information Technology Equipments

· Vehicles

WEBSITE DETAILS

PRESS RELEASE

WOCKHARDT Q1FY14 NET SALES AT RS.13580.000 MILLIONS AND PAT AT RS.3240.000 MILLIONS

	Q1-FY14		Q1-FY13	FY13
	Apr - Jun		Apr - Jun	Apr - Mar
	2013		2012	2013
	Rsc	Gwth Y-O-Y	Rsc	Rsc	Gwth Y-O-Y
Sales	1,358	1%	1,342	5,610	23%
R&D*	98	326%	23	313
R&D % to Sales	7.2%		1.7%	5.6%
Operating Profit	421	(13)%	483	2,091	52%
Op. Profit Margins %	31.0%		36.0%	37.3%
Profit After Tax	324	(14)%	378	1,594	365%
PAT Margins	23.9%		28.2%	23.4%
EPS	29.2		34.1	143.3	360%

* Q1FY13 R and D expenses do not include the product development expenses as the same were being capitalised till Jun-13. On a like to like basis, R and D expenses for Q1FY13 would have been Rs.640.000 Millions and resultant Operating Profit and PAT for Q1FY13 would have been Rs.4420.000 Millions and Rs.3250.000 Millions respectively.

Quarter ended 30th June 2013

Consolidated revenue for the quarter was Rs. 13580.000 Millions and Profit After Tax was at Rs.3240.000 Millions which represents about 24% of Profit After Tax Margins.

The company increased its Research spent significantly and the same is now at 7.2% to sales at Rs.980.000 Millions and including capital expenditure is at 7.7% to sales for the quarter.

Wockhardt filed 4 new product applications with USFDA during the quarter. Cumulative products pending approval with USFDA stands at 50 as on June 2013.

Wockhardt also filed for 27 patents during the quarter taking the cumulative filings to 1773 and has been granted 11 patents during the year taking the cumulative patents granted to 228.

Capex

Capital expenditure of Rs.680.000 Millions was incurred during the quarter

Business Highlights

Wockhardt’s International Business contributed 82% of the Total Revenues during the quarter.

Wockhardt’s US business recorded a growth of 11% in Q1FY14 and contributed 53% of the Global Revenues for Wockhardt

The UK business recorded a growth of 1% in Q1FY14. The Irish market recorded a decline of 31% in Q1FY14

The India business grew by 3% and the Emerging Markets business declined by 28% in Q1FY14

About Wockhardt :

Wockhardt is a highly technology intensive global pharmaceutical and biotechnology company. It’s multi-disciplinary and innovative R AND D programmes globally are strongly focused on creating Intellectual Properties. It has 3 research centres globally and manufacturing facilities across India, USA, UK and Ireland. Wockhardt has a significant presence in USA, Europe and India, with 83% of its global revenues coming from international businesses. With a large pool of Patents and Intellectual Property knowhow, Wockhardt is home to 607 scientists, of whom 80 are doctorates. In all, Wockhardt has 228 Patents granted worldwide. In biotechnology research, it has built competent ‘Concept to Market’ capability in all facets of development and manufacture of recombinant biopharmaceuticals. Wockhardt boasts of a multi-ethnic workforce of more than 8600 people from 21 different nationalities.

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. 61.69
UK Pound	1	Rs. 98.59
Euro	1	Rs. 83.67

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	DPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--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	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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		58

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.