MIRA INFORM REPORT

Report Date :

21.10.2013

IDENTIFICATION DETAILS

Name :	NIKOPAS ENGINEERING PRIVATE LIMITED
Registered Office :	41/42, Podar Chambers, S.A. Brelvi Road, Fort, Mumbai – 400 023, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	30.07.1977
Com. Reg. No.:	11-019776
Capital Investment / Paid-up Capital :	Rs.0.394 Million
CIN No.: [Company Identification No.]	U28939MH1977PTC019776
TAN No.: [Tax Deduction & Collection Account No.]	MUMN11413D
PAN No.: [Permanent Account No.]	AAACN1371J
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Supplier and Exporter of Circular Threading Dies and Hexagonal Die Nuts.
No. of Employees :	60 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 8000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company has failed to file its financial information with Government Department since 2011. As per previous financial of 2010, company seems to be small. However, trade relations are fair. Business is active. Payment terms are unknown. The company can be considered for business dealing 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

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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	SE 3B
Rating Explanation	Moderate performance capability and moderate financial strength.
Date	29.12.2012

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION PARTED BY

Name :	Ms. Leena
Designation :	Accounts Department
Contact No.:	91-22-22661112
Date :	15.10.2013

LOCATIONS

Registered Office :	41/42, Podar Chambers, S.A. Brelvi Road, Fort, Mumbai – 400 023, Maharashtra, India
Tel. No.:	91-22-22661112/ 66318245/ 28698147/ 22663815 91-2525-272470/ 657752
Mobile No.:	91-9820670974 (Mr. Dilip Baburao Sawant)
Fax No.:	91-22-22663815
E-Mail :	mailinkopas@yahoo.co.in cbpco@mtnl.net.in dilipkrotika@yahoo.com nkpmktg@gmail.com
Website :	http://www.nikopas.com
Location :	Rented
Factory :	Located at: · Tarapur
Location :	Owned

DIRECTORS

AS ON 29.09.2010

Name :

Mr. Dilip Baburao Sawant

Designation :

Director

Address :

12/93, Mohan Co-operative, Housing Society, Govind Nagar, Borivali (West), Mumbai – 400 092, Maharashtra, India.

Date of Birth/Age :

03.08.1950

Date of Appointment :

07.11.1978

DIN No.:

01151114

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	U28939MH1977PTC019776	NIKOPAS ENGINEERING PRIVATE LIMITED	Director	07/11/1978	07/11/1978	-	Active	NO
2	U29110MH1995PTC086007	FINE-TECHNIK PRESSED PARTS (INDIA) PRIVATE LIMITED	Director	02/03/1995	02/03/1995	20/08/2011	Active	NO

Name :

Mrs. Rajashree Dilip Sawant

Designation :

Director

Address :

12/93, Mohan Co-operative Housing Society, Govind Nagar, Borivali (West), Mumbai – 400 092, Maharashtra, India.

Date of Birth/Age :

13.06.1952

Date of Appointment :

07.11.1978

DIN No.:

02275448

KEY EXECUTIVES

Name :	Ms. Leena
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2010

Names of Shareholders	No. of Shares
Gurunath Lala Pangam	150
Dilip Baburao Sawant	3270
Gulam Hussain Gotekar	354
Shantaram Babu Parab	169
Total	3943

AS ON 29.09.2010

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

BUSINESS DETAILS

Line of Business :	Manufacturer, Supplier and Exporter of Circular Threading Dies and Hexagonal Die Nuts.
Products :	Hex Die Nuts Multi Start Dies Circular Thread Cutting Dies
Brand Names :	NKP
Exports :
Products :	Hex Die Nuts Multi Start Dies Circular Thread Cutting Dies
Countries :	US Nigeria Dubai UK
Imports :
Products :	Cutting Tools
Countries :	UK
Terms :
Selling :	Advance
Purchasing :	Advance

GENERAL INFORMATION

No. of Employees :

60 (Approximately)

Bankers :

• ABN Amro Bank
• CitiBank
• ICICI Bank Limited, Fort Branch, Churchgate, Mumbai, Maharashtra, India
• The Hongkong and Shanghai Banking Corporation Limited

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
From Development Corporation of Konkan Limited	0.159	0.160
Total	0.159	0.160

Banking Relations :	--
Auditors :
Name :	C.B. Pokle and Company Chartered Accountants
Address :	201, 2^nd Floor, Chitrakoot, Kashinath, Dhuru Street, Agar Bazar, Dadar (West), Mumbai – 400 028, Maharashtra, India
Tel. No.:	91-22-24322223/ 24
Fax No.:	91-22-24322225
E mail :	cbpco@mtnl.net.in
Memberships :	Engineering Export Promotion Council (EEPC)

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
5000	Equity Shares	Rs.100/- each	Rs.0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3943	Equity Shares	Rs.100/- each	Rs.0.394 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		0.394	0.394	0.394
2] Share Application Money		0.091	0.091	0.091
3] Reserves & Surplus		1.591	1.319	0.929
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2.076	1.804	1.414
LOAN FUNDS
1] Secured Loans		0.159	0.160	0.896
2] Unsecured Loans		3.844	5.430	1.233
TOTAL BORROWING		4.003	5.590	2.128
DEFERRED TAX LIABILITIES		0.000	0.010	0.032
TOTAL		6.079	7.404	3.574
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2.257	2.599	0.722
Capital work-in-progress		0.000	0.000	0.834
INVESTMENT		0.002	0.002	0.002
DEFERRED TAX ASSETS		0.001	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4.283	3.142	2.610
	Sundry Debtors	5.428	7.417	5.905
	Cash & Bank Balances	0.083	0.202	0.223
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.364	0.758	0.707
Total Current Assets		10.158	11.519	9.445
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	6.085	5.594	6.429
	Other Current Liabilities	0.000	0.426	0.282
	Provisions	0.254	0.696	0.719
Total Current Liabilities		6.339	6.716	7.429
Net Current Assets		3.819	4.803	2.016
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		6.079	7.404	3.574

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	18.293	25.243	22.154
		Other Income
		TOTAL (A)	18.293	25.243	22.154
Less	EXPENSES
		Office Expenses	16.931	23.541	20.773
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	16.931	23.541	20.773
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1.362	1.702	1.381
Less	FINANCIAL EXPENSES/ INTEREST (D)		0.798	0.970	0.336
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.564	0.732	1.045
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.341	0.229	0.539
	PROFIT BEFORE TAX (E-F) (G)		0.223	0.503	0.506
Less	TAX (H)		(0.049)	0.113	0.265
	PROFIT AFTER TAX (G-H) (I)		0.272	0.390	0.241
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1.099	0.709	0.468
	BALANCE CARRIED TO THE B/S		1.371	1.099	0.709
	Earnings Per Share (Rs.)		69.02	98.90	60.87

Particulars	31.03.2013	31.03.2012	31.03.2011
Sales Turnover (Approximately)	35.500	31.500	26.000

The above information has been parted by Ms. Leena (Accounts Department).

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.49	1.54	1.08
Return on Total Assets (PBT/Total Assets}	(%)	2.19	3.56	18.44
Return on Investment (ROI) (PBT/Networth)		0.10	0.28	0.36
Debt Equity Ratio (Total Debt/Networth)		1.93	3.10	1.50
Current Ratio (Current Asset/Current Liability)		1.60	1.71	1.27

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	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 six years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	Yes
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	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	No
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

INDEX OF CHARGES:

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10371422	26/07/2012	6,000,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B55998405
2	90365033	23/01/1979	798,000.00	THE MAHARASHTRA STATE FINANCIAL CORP.	A.K. NAYAK MARG, BOMBAY, MAHARASHTRA, INDIA	-

Unsecured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
From Bank (Against personal guarantee of directors due within one year Rs. 1.426 millions)	2.932	2.949
Overdraft from ICIC Bank (Against personal Guarantee of Director)	0.383	0.000
From Director	0.100	0.000
From financial institutions (Against personal guarantee of directors due within one year Rs.0.833 million)	0.000	1.965
From development corporation of Konkan Limited	0.209	0.209
From others	0.219	0.307
Total	3.844	5.430

TRADE REFERENCES:

· SNS Engineering Private Limited – Mumbai

FIXED ASSETS:

· Plant and Machinery

· Factory Building

· Furniture and Fixtures

· Office/ Factory Equipments

· Cars and Other Vehicles

· Premium on License

· Cycle

· Computer

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 records 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.61.28
UK Pound	1	Rs.99.03
Euro	1	Rs.83.80

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	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		27

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.