MIRA INFORM REPORT

Report Date :

29.10.2013

IDENTIFICATION DETAILS

Name :	FLOVEL ENERGY PRIVATE LIMITED (w.e.f. 11.11.2010)
Formerly Known As :	FLOVEL MECAMIDI ENERGY PRIVATE LIMITED
Registered Office :	M-27, Greater Kailash, Part-II, New Delhi – 110048
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	14.11.2006
Com. Reg. No.:	55-155444
Capital Investment / Paid-up Capital :	Rs. 61.174 Millions
CIN No.: [Company Identification No.]	U40102DL2006PTC155444
TAN No.: [Tax Deduction & Collection Account No.]	DELF03293D
PAN No.: [Permanent Account No.]	AABCF0582E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Hydro Turbine and Supply of Electro Mechanical Equipment
No. of Employees :	200 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 620000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Overall financial of the company appears to be decent. Trade relations are reported to be fair. Business is active. Payment terms are reported to be usually correct. The company can be considered for business dealing at usual trade terms and condition.

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

India’s current account deficit or CAD in April-June widened to 4.9 % of gross domestic product. High imports of gold and oil led to a worsening of the trade deficit, resulting in CAD jumping to $ 21.8 billion to the latest quarter from $ 16.9 billion in the corresponding quarter of the previous financial year. The government aims to bring down CAD to 3.7 % or $ 70 billion, in 2013/14, from 4.8 % or $ 88.2 billion in 2012/13.

The finance ministry has started preparations for Budget 2014/15. With general elections scheduled to be held by May next year, there will only be an interim budget. The new government will present the fiscal Budget.

The Supreme Court has barred clinical trials for new drugs till a monitoring mechanism is put in place to protect the lives of people on which the drugs are tested.

Mumbai has been named the world’s second most honest city according to a survey on 15 cities worldwide by Readers’ Digest magazine. Finnish capital Helsinki bagged the top spot for the world’s most honest city while Lisbon, the capital of Portugal, proved to be the least honest.  The survey put hundreds of people to test in four continents to find out just how honest they were by dropping wallets and seeing how many would be returned.

3.7 % Growth of the core sector in August, a seven month high. This takes the overall growth in April-August this year to 2.3 % compared with 6.3 % in the corresponding period next financial year.

$19 million Estimated average spending by companies across the globe including India, on social media this year, according to a global study by information technology major Tata Consultancy Services. This will rise to $ 24 million in 2015.

Rising inflation, fewer employment avenues and dwindling earnings are taking a toll on the spending capacity in India. Over 72 % respondents from middle and lower middle income families would be forced to slash their Diwali expenditure by 40 % and on average spend nearly 25 % of their monthly salary on Diwali, according to a survey by Assochem.

Analysts believe the shutdown of the US government would have limited impact in sectors such as IT or tourism that are dependent on Visa clearances.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Rating = BBB-
Rating Explanation	Moderate credit quality and average credit risk
Date	12.11.2012

Rating Agency Name	CRISIL
Rating	Short Term Rating = A3
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	12.11.2012

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 :	Mr. Kishor Chauhan
Designation :	Secretary
Contact No.:	91-129-4090600
Date :	28.10.2013

LOCATIONS

Registered Office :	M-27, Greater Kailash, Part-II, New Delhi – 110048, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	kishor.chauhan@flovel.net
Website :	http://flovel.net
Location :	Owned
Corporate Office :	15/3, Mathura Road, Faridabad – 121008, Haryana, India
Tel. No.:	91-129-4090600
Fax No.:	91-129-4090650
E-Mail :	contact@flovel.net
Factory :	Mitrol - Deeghot Road (Near Railway Crossing), 72 KM Stone, Delhi – Mathura Road, District Palwal – 121102, Haryana, India
Tel. No.:	91-1275-310660

DIRECTORS

As on 29.09.2012

Name :

Mr. Maharaj Kar

Designation :

Managing Director

Address :

M-27, Greater Kailash - II, New Delhi – 110048, India

Date of Birth/Age :

01.09.1950

Date of Appointment :

01.04.2007

DIN No.:

00316282

PAN No.:

AAAPK1649M

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	U74899DL1992PTC049600	FLOVEL TACKE PRIVATE LIMITED	Director	17-07-92	17-07-92	-	Dormant	NO
2	U40108DL2003PTC120344	TRUST ENERGY PRIVATE LIMITED	Director	02-08-06	02-08-06	-	Strike off	NO
3	U40101DL2002PTC114029	MG AND COMPANY PRIVATE LIMITED	Director	01-09-06	01-09-06	-	Active	NO
4	U40102DL2006PTC155444	FLOVEL ENERGY PRIVATE LIMITED	Managing director	01-04-07	14-11-06	-	Active	NO
5	U67120DL2007PTC160618	FLOVEL MG HOLDINGS PRIVATE LIMITED	Director	16-03-07	16-03-07	-	Active	NO
6	U45204DL2008PTC177402	FLOVEL POWER SOLUTIONS PRIVATE LIMITED	Director	29-04-08	29-04-08	-	Active	NO
7	U29120HR2008PTC038113	TB HYDRO FLOVEL VALVES PRIVATE LIMITED	Director	01-07-08	01-07-08	-	Active	NO

Name :

Mr. Gautam Kar

Designation :

Whole Time Director

Address :

M-27, Greater Kailash - II, New Delhi – 110048, India

Date of Birth/Age :

06.01.1978

Date of Appointment :

01.04.2007

DIN No.:

00316255

PAN No.:

AHEPK8627Q

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	U40101DL2002PTC114029	MG AND COMPANY PRIVATE LIMITED	Director	29-01-02	29-01-02	-	Active	NO
2	U40108DL2003PTC120344	TRUST ENERGY PRIVATE LIMITED	Director	14-05-03	14-05-03	-	Strike off	NO
3	U40101HP2005PTC028426	SHIRAD HYDRO ENERGY PRIVATE LIMITED	Director	17-05-05	17-05-05	02-08-06	Active	NO
4	U40102DL2006PTC155444	FLOVEL ENERGY PRIVATE LIMITED	Whole-time director	01-04-07	14-11-06	-	Active	NO
5	U67120DL2007PTC160618	FLOVEL MG HOLDINGS PRIVATE LIMITED	Director	16-03-07	16-03-07	-	Active	NO
6	U45204DL2008PTC177402	FLOVEL POWER SOLUTIONS PRIVATE LIMITED	Director	29-04-08	29-04-08	-	Active	NO
7	U29120HR2008PTC038113	TB HYDRO FLOVEL VALVES PRIVATE LIMITED	Director	01-07-08	01-07-08	-	Active	NO

Name :

Mrs. Aruna Kar

Designation :

Director

Address :

M-27, Greater Kailash - II, New Delhi – 110048, India

Date of Birth/Age :

09.07.1951

Date of Appointment :

01.10.2012

DIN No.:

00996971

PAN No.:

AAGPK5549J

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	U40101DL2002PTC114029	MG AND COMPANY PRIVATE LIMITED	Director	01-11-04	01-11-04	-	Active	NO
2	U40102DL2006PTC155444	FLOVEL ENERGY PRIVATE LIMITED	Whole-time director	01-10-12	29-03-10	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Kishor Chauahn
Designation :	Secretary
Address :	H.No. 1266, Janta Flat, G.T.B Enclace Delhi-110093, India
Date of Birth/Age :	30.09.1986
Date of Appointment :	21.11.2011
PAN No.:	ANQPC2086F

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Flovel MG Holdings Private Limited, India	6020760
Aruna Kar	96650
Total	6117410

As on 29.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	98.42
Directors or relatives of Directors	1.58
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Hydro Turbine and Supply of Electro Mechanical Equipment
Imports :
Products :	Raw Material
Terms :
Selling :	Credit
Purchasing :	Credit / Depend

GENERAL INFORMATION

Customers :

Others

No. of Employees :

200 (Approximately)

Bankers :

· ICICI Bank Limited, Landmarkrace Cource Circle, Alkapuri, Baroda - 390015, Gujarat, India

· State Bank of Travancore, 3, Bhikaji Cama Place (Ansal Chamber-1), R.K. Puram, New Delhi - 110066, India

· State Bank of India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Long-term borrowings
Term loans from bank	29.810	55.121
Loans taken for vehicles	3.467	5.259
Other loans and advances, others	137.194	139.041
Short-term borrowings
Term loans from others	75.912	65.560
Total	246.383	264.981

Banking Relations :	---
Auditors :
Name :	Sanjeev Chandra and Company Chartered Accountants
Address :	252-D 1st Floor, SANT Nagar, Iskon Temple Road, East of Kailash, New Delhi-110065, India
PAN No.:	AAQFS5436G
Holding company :	Flovel Mg Holdings Private Limited
Joint venture :	Mecamidi SA, France
Associate :	· TB Hydro Flovel Valves Private Limited · Flovel Power Solutions Private Limited · MG and Company Private Limited

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
16500000	Equity Shares	Rs.10/- each	Rs.165.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6117410	Equity Shares	Rs.10/- each	Rs.61.174 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	61.174	48.500
(b) Reserves & Surplus	94.111	76.194
(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)	155.285	124.694
(3) Non-Current Liabilities
(a) long-term borrowings	170.471	199.421
(b) Deferred tax liabilities (Net)	15.782	14.766
(c) Other long term liabilities	14.622	19.548
(d) long-term provisions	22.497	12.506
Total Non-current Liabilities (3)	223.372	246.241
(4) Current Liabilities
(a) Short term borrowings	121.026	140.965
(b) Trade payables	327.748	276.849
(c) Other current liabilities	284.461	82.177
(d) Short-term provisions	36.713	18.867
Total Current Liabilities (4)	769.948	518.858
TOTAL	1148.605	889.793
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	280.932	275.137
(ii) Intangible Assets	8.865	8.735
(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)	0.000	0.000
(d) Long-term Loan and Advances	5.857	1.119
(e) Other Non-current assets	36.575	93.132
Total Non-Current Assets	332.229	378.123
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	47.477	44.747
(c) Trade receivables	419.629	290.531
(d) Cash and cash equivalents	64.624	45.196
(e) Short-term loans and advances	110.191	123.269
(f) Other current assets	174.455	7.927
Total Current Assets	816.376	511.670
TOTAL	1148.605	889.793

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2012	31.03.2011
SALES
	Income	1140.539	870.459
	Other Income	16.789	16.407
	TOTAL	1157.328	886.866
EXPENSES
	Office Expenses
	Administrative Expenses	1120.559	852.034
	Advertising Expenses
	TOTAL	1120.559	852.034
PROFIT BEFORE TAX		36.769	34.832
TAX		11.583	12.408
PROFIT AFTER TAX		25.141	20.546
Earnings Per Share (Rs.)		4.20	4.24

Particulars	31.03.2013
Sales Turnover (Approximately)	1250.000

The above information has been parted by Mr. Kishor Chauhan

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011
PAT / Total Income	(%)	2.17	2.32
Net Profit Margin (PBT/Sales)	(%)	3.22	4.00
Return on Total Assets (PBT/Total Assets}	(%)	3.20	3.91
Return on Investment (ROI) (PBT/Networth)		0.24	0.28
Debt Equity Ratio (Total Debt /Networth)		1.88	2.73
Current Ratio (Current Asset/Current Liability)		1.06	0.99

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

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2012	As on 31.03.2011
Short-term borrowings
Loans and advances from related parties	45.114	75.405
Total	45.114	75.405

OPERATING RESULTS

During the period the Company has recorded an annual turnover of Rs. 1140.539 Millions as against Rs.870.459 Millions of the previous period indicating an increase by 31%. The Company also posted a Net Profit After Tax (PAT) of Rs. 25.141 Millions as compared to Rs.20.546 Millions in the previous period resulting in increase of 22.36%.

BUSINESS OUTLOOK AND FUTURE HORIZON

The Company has aggressive business plans for the future and is expanding its market share in the area of its operations by some strategic initiatives. It is commendable to note here that even in tough times the Company stood strong and able to grasp a good market share inspite of various roadblocks in its way such as global melt down, decrease in market size, cut throat competition and a new entrant in to the market. The Company showed a solid business development in the year 2011-12 despite of global financial and economic crisis. In the face of difficult economic environment, order intake and order backlog were satisfactory. The aggressive marketing strategy of the Company has resulted in procuring orders worth Rs. 715.431 Millions for the Financial Year 2012-13. This reflects that with in such a short span of time, the Company is making its presence felt in the market.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10432929	21/06/2013	520,000,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B77906493
2	10315013	06/09/2013 *	1,195,000,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B87361697
3	10250706	15/04/2011 *	47,600,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B11925229
4	10090925	26/04/2010 *	347,500,000.00	STATE BANK OF INDORE	COMMERCIAL BRANCH, M-47, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	A85144111

* Date of charge modification

FIXED ASSETS

· Land

· Buildings

· Plant and equipment

· Furniture and fixtures

· Vehicles

· Office equipment

· Computer equipments

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] 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.61.50
UK Pound	1	Rs.99.49
Euro	1	Rs.84.88

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--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	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		46

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.