MIRA INFORM REPORT

Report Date :

30.10.2013

IDENTIFICATION DETAILS

Name :	ALLURE HAIR PRODUCTS PRIVATE LIMITED
Registered Office :	A-14 and 15, SIDCO Industrial Estate, Arumbakkam, Chennai – 600 106, Tamilnadu
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	14.07.2011
Com. Reg. No.:	18-081512
Capital Investment / Paid-up Capital :	Rs.12.500 millions
CIN No.: [Company Identification No.]	U36102TN2011PTC081512
TAN No.: [Tax Deduction & Collection Account No.]	CHEA17507A
PAN No.: [Permanent Account No.]	AAJCA6555A
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is involved in the business of manufacturing, trading, importing, exporting and processing of human hair, wigs and wefts.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 46000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appear accumulated losses recorded by the company during the financial year 2012. However, trade relations are fair. Business is active. Payment terms are reported to be slow. The company can be considered for business dealings 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

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.

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. Ramjee Yogasundaram
Designation :	Director
Contact No.:	91-9444075410
Date :	26.10.2013

LOCATIONS

Registered Office/ Factory :	A-14 and 15, SIDCO Industrial Estate, Arumbakkam, Chennai – 600 106, Tamilnadu, India
Tel. No.:	91-44-23634941-44/ 236349991
Mobile No.:	91-9444075410 (Mr. Ramjee Yogasundaram)
Fax No.:	91-44-23634948
E-Mail :	yogam@ramjeeleathers.in accounts@ramjeeleathers.in
Website :	www.allurepremiumhair.com
Area :	15000 sq ft
Location :	Owned

DIRECTORS

AS ON 31.12.2012

Name :

Mr. Ramjee Yogasundaram

Designation :

Director

Address :

18, Kuppuswami Road, F-1-Akansha Apartments, Chetpet, Chennai – 600 031, Tamilnadu, India

Date of Birth/Age :

27.01.1958

Date of Appointment :

14.07.2011

DIN No.:

02168029

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U19100TN2008PTC068634	NILCO TANNERS PRIVATE LIMITED	Director	22-07-08	22-07-08	Active	NO
2	U36102TN2011PTC081512	ALLURE HAIR PRODUCTS PRIVATE LIMITED	Director	14-07-11	14-07-11	Active	NO

Name :

Mr. Parasuraman Gandhi Sathish

Designation :

Director

Address :

New No.12, Old No.33, Venkatesa Maistry Street Sowcarpet, Chennai – 600 079, Tamilnadu, India

Date of Birth/Age :

15.08.1977

Date of Appointment :

14.07.2011

DIN No.:

03567152

KEY EXECUTIVES

Name :	S. Sandeep and Associates
Designation :	Company Secretaries
Address :	53, 1^st Main Road, G1, Senha, R.A. Puram, Chennai – 600 028, Tamilnadu, India
Tel. No.:	91-44-42074764
E-Mail:	sandeep@sandeep-cs.in
Website :	www.sandeep-cs.in

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 31.12.2012

Names of Shareholders	No. of Shares
Ramjee Yogasundaram	50000
Parasuraman Gandhi Sathish	200000
M. Renuka Devi	250000
Ramjee Damodaran	500000
Y. Thamaraichelvi	250000
Total	1250000

AS ON 31.12.2012

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

BUSINESS DETAILS

Line of Business :	Subject is involved in the business of manufacturing, trading, importing, exporting and processing of human hair, wigs and wefts.
Products :	· Human Hair · Bulk Hair · Virgin Hair · Machine Weft Hair · Curly Hair · Remy Single Drawn Hair · Remy Double Drawn Hair · Hair Extensions · Straight Hair
Exports :
Products :	Human Hair
Countries :	· USA · France · Switzerland · Netherlands
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Suppliers :	· Chennai Expo Prints Private Limited · H.T.L. Logistics India Private Limited · ICC Worldwide · K N K Hardwares · R V Krishniah Chetty and Sons · Sakthi Sai Cartons · Sewing Machine House · SRG Print Solutions Private Limited · Success Shipping Associates
Customers :	Retailers and End Users
No. of Employees :	50 (Approximately)
Bankers :	· Canara Bank, Overseas Branch, Anna Salai, Chennai – 600 002, Tamilnadu, India · ICICI Bank Limited, Chennai, Tamilnadu, India

Banking Relations :	--
Auditors :
Name :	Mr. K. Mangesh Chartered Accountant
Address :	No.39, First Floor, Sri Sai Hospital, 7^th Avenue, Ashok Nagar, Chennai – 600 083, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	AACPM7104P
Enterprises that directly or indirectly through one or more intermediaries, control, or are controlled by or are under common control with the reporting enterprises :	· Ramjee Leathers and Supplies · Ramjee Auto Enterprises

CAPITAL STRUCTURE

AS ON 31.12.2012

Authorised Capital :

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

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.10/- each	Rs.12.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012
I. EQUITY AND LIABILITIES
(1) Shareholders' Funds
(a) Share Capital	12.500
(b) Reserves & Surplus	(0.940)
(c) Money received against share warrants	0.000
(2) Share Application money pending allotment	0.000
Total Shareholders’ Funds (1) + (2)	11.560
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000
(b) Deferred tax liabilities (Net)	0.000
(c) Other long term liabilities	0.000
(d) Long-term provisions	0.000
Total Non-current Liabilities (3)	0.000
(4) Current Liabilities
(a) Short term borrowings	0.000
(b) Trade payables	0.156
(c) Other current liabilities	14.847
(d) Short-term provisions	0.000
Total Current Liabilities (4)	15.003
TOTAL	26.563
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	0.303
(ii) Intangible Assets	0.000
(iii) Capital work-in-progress	0.000
(iv) Intangible assets under development	0.000
(b) Non-current Investments	0.000
(c) Deferred tax assets (net)	0.000
(d) Long-term Loan and Advances	0.080
(e) Other Non-current assets	0.000
Total Non-Current Assets	0.383
(2) Current assets
(a) Current investments	0.000
(b) Inventories	5.073
(c) Trade receivables	0.378
(d) Cash and cash equivalents	2.672
(e) Short-term loans and advances	17.736
(f) Other current assets	0.321
Total Current Assets	26.180
TOTAL	26.563

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012
	SALES
		Income from Operations	3.189
		Other Income	0.110
		TOTAL	3.299
Less	EXPENSES
		Office Expenses	4.227
		Administrative Expenses
		Advertising Expenses
		TOTAL	4.227
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		(0.928)
Less/ Add	DEPRECIATION/ AMORTISATION		0.012
	PROFIT / (LOSS) BEFORE TAX		(0.940)
Less	TAX		0.000
	PROFIT / (LOSS) AFTER TAX		(0.940)
	EARNINGS IN FOREIGN CURRENCY		3.098
	Earnings / (Loss) Per Share (Rs.)		(0.75)

Particulars	31.03.2013
Sales Turnover (Approximately)	25.000

Expected Sales (2013-2014): Rs.30.000 millions

The above information has been parted by Mr. Ramjee Yogasundaram (Director).

KEY RATIOS

PARTICULARS		31.03.2012
PAT / Total Income	(%)	(28.49)
Net Profit Margin (PBT/Sales)	(%)	(29.48)
Return on Total Assets (PBT/Total Assets}	(%)	(3.54)
Return on Investment (ROI) (PBT/Networth)		(0.08)
Debt Equity Ratio (Total Debt/Networth)		0.00
Current Ratio (Current Asset/Current Liability)		1.74

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	Yes
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	Yes
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last two years	Yes
12) Profitability for last one year	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	Yes
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	Yes
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	No
33) Voter ID No of Proprietor/Partner/Director, if available	No
34) External Agency Rating, if available	No

INDEX OF CHARGES:

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10419449	20/03/2013	37,500,000.00	CANARA BANK	OVERSEAS BRANCH, ANNA SALAI, CHENNAI, TAMILNADU - 600002, INDIA	B73089815

NATURE OF OPERATIONS:

The company was incorporated in the year 2011. It is involved in the business of manufacturing, trading, importing, exporting, processing human hair, wigs and wefts.

Since the company was incorporated on 14^th July 2011, the books of accounts were closed in the first instance from 14^th July 2011 to 31^st March 2012.

OVERVIEW AND FINANCIAL RESULTS:

The Company was incorporated on 14^th July 2011 and being in its early stage of operations, necessary processes and systems are being implemented in the Company to gear up for commencement of its business activities

FIXED ASSETS:

· Plant and Machinery

o Camera and Accessories

o Feed Off Arm Machine

o Fusing Machine

o Draw Card

o Electrical Items

o Glue Gun

o Glue Pot

o Tip Plier

o Weighing Scale

· Computers

o Computer and Printer

· Furniture and Fittings

o Furniture and Fittings

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.61.46
UK Pound	1	Rs.98.99
Euro	1	Rs.84.72

INFORMATION DETAILS

Information Gathered by :	SVA
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	2
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		26

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.