MIRA INFORM REPORT

Report Date :

07.09.2013

IDENTIFICATION DETAILS

Name :	GARDEN NAMKEENS PRIVATE LIMITED
Registered Office :	No. 12, Cenotaph Road, Chennai – 600018, Tamilnadu
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	13.12.2000
Com. Reg. No.:	11-130002
Capital Investment / Paid-up Capital :	Rs. 13.500 Millions
CIN No.: [Company Identification No.]	U15316MH2000PTC130002
TAN No.: [Tax Deduction & Collection Account No.]	MUMG07949E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing and trading of all types of Namkeens and Sweets.
No. of Employees :	Information denied by management

RATING & COMMENTS

MIRA’s Rating :

B (33)

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

Maximum Credit Limit :	USD 119000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. There appears a huge losses recorded by the company. The company has recorded modest scale of operation. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. 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.

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 DENIED

Management Non Co-Operative (Tel No. 91-25-22662100)

LOCATIONS

Registered Office :	No. 12, Cenotaph Road, Chennai – 600018, Tamilnadu, India
Tel. No.:	91-22-28845925/28845942
Fax No.:	91-22-28845942
E-Mail :	md.sudharsan@cavinkare.com info@gardensnacks.com
Website :	http://www.gerdensnacks.com
Branch:	Located At · Bangalore · Coimbatore · Tirpur

DIRECTORS

As on 29.09.2012

Name :	Mr. Devarajan Mohan
Designation :	Nominee Director
Address :	No.4, 14^th Avenue, Harrington Road, Chetpet, Chennai, Tamilnadu, India
Date of Birth/Age :	25.05.1963
Date of Appointment :	02.09.2010
Din No.:	00682941
Name :	Mr. Sudharsan Madhavachari Durairaghavan
Designation :	Nominee Director
Address :	T-29, Luz Golden Enclave, 180 Luz Church Road, Mylapore, Chennai – 600004, Tamilnadu, India
Date of Birth/Age :	25.07.1965
Date of Appointment :	02.09.2010
Din No.:	02197419
Name :	Mr. Balasubramaniam Muthusamy
Designation :	Nominee Director
Address :	No.1-21, Chaitanya Nest, 9 A, Rathna Nagar Main Road, Teynampet, Chennai – 600018, Tamilnadu, India
Date of Birth/Age :	31.12.1965
Date of Appointment :	02.09.2010
Din No.:	02752256

MAJOR SHAREHOLDERS

As on 29.09.2012

Names of Shareholders	No. of Shares
Cavin Care Private Limited, India	1349900
Cavin Kare Private Limited Jointly with C.K. Ranganathan, India	100
Total	1350000

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

Category	Percentage
Bodies corporate	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and trading of all types of Namkeens and Sweets.

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Farsans and Sweets	Kg	NA	NA	5052481

GENERAL INFORMATION

No. of Employees :

Information denied by management

Bankers :

· HDFC Bank Limited, HDFC Bank Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Facilities :

Secured Loans	31.03.2012 Rs. In Millions	31.03.2011 Rs. In Millions
Short Term Borrowings
Cash Credit	10.174	2.656
Total	10.174	2.656

Note:

Cash credit facility is secured by way of hypothecation of stock and book debts of the company and they are repayable on demand.

Banking Relations :
	--
Auditors :
Name :	UKG and Associates Chartered Accountant
Address :	B/11, 2^nd Floor, West View, Opposite Swami Narayan Temple, L.N. Road, Dadar (East), Mumbai – 400014, Maharashtra, India
PAN No.:	AABPU2688R
Holding Company :	CavinKare Private Limited CIN No.: U24246TN1990PTC046613
Enterprises under significant influence of key management personnel or their relatives :	· Garden Securities Private Limited · Cavinkare Middle East Free Zone Establishment

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1350000	Equity Shares	Rs. 10/- each	Rs. 13.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1350000	Equity Shares	Rs. 10/- each	Rs. 13.500 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	13.500	13.500
(b) Reserves & Surplus	16.174	44.496
(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)	29.674	57.996
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000
(b) Deferred tax liabilities (Net)	1.177	3.986
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	1.177	3.986
(4) Current Liabilities
(a) Short term borrowings	10.174	2.656
(b) Trade payables	33.868	33.452
(c) Other current liabilities	12.481	33.678
(d) Short-term provisions	1.173	1.171
Total Current Liabilities (4)	57.696	70.957
TOTAL	88.547	132.939
I. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	29.900	40.440
(ii) Intangible Assets	0.708	0.974
(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	4.735	7.124
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	35.343	48.538
(2) Current assets
(a) Current investments	13.853	31.741
(b) Inventories	26.435	29.999
(c) Trade receivables	9.011	12.017
(d) Cash and cash equivalents	0.171	0.462
(e) Short-term loans and advances	3.734	10.182
(f) Other current assets	0.000	0.000
Total Current Assets	53.204	84.401
TOTAL	88.547	132.939

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		13.500
2] Share Application Money		0.000
3] Reserves & Surplus		55.322
4] (Accumulated Losses)		0.000
NETWORTH		68.822
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		0.000
TOTAL BORROWING		0.000
DEFERRED TAX LIABILITIES		3.465
TOTAL		72.287
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		40.580
Capital work-in-progress		0.000
INVESTMENT		7.577
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	27.778
	Sundry Debtors	8.849
	Cash & Bank Balances	0.508
	Other Current Assets	0.000
	Loans & Advances	14.849
Total Current Assets		51.984
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	24.142
	Other Current Liabilities	1.287
	Provisions	2.425
Total Current Liabilities		27.854
Net Current Assets		24.130
MISCELLANEOUS EXPENSES		0.000
TOTAL		72.287

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	TOTAL REVENUE		680.497	619.635	443.586
Less	EXPENSES		712.044	598.923	421.242
	PROFIT/(LOSS) BEFORE TAX		(31.547)	20.712	22.344
Less	TAX		(3.225)	7.925	7.455
	PROFIT/(LOSS) AFTER TAX		(28.322)	19.787	14.889
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		42.217	54.322	39.433
Less	APPROPRIATIONS
		Transfer to General Reserve	0.000	1.279	0.000
		Dividend	0.000	20.250	0.000
		Tax on Dividend	0.000	3.363	0.000
	BALANCE CARRIED TO THE B/S		13.895	42.217	54.322
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	10.632	8.835	15.212
	TOTAL EARNINGS		10.632	8.835	15.212
	IMPORTS
		Raw Materials	3.112	1.976	0.000
	TOTAL IMPORTS		3.112	1.976	0.000
	Earnings Per Share (Rs.)		(20.98)	9.47	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	(4.16)	3.19	3.35
Return on Total Assets (PBT/Total Assets}	(%)	(54.45)	22.63	24.13
Return on Investment (ROI) (PBT/Networth)		(1.06)	0.36	0.32
Debt Equity Ratio (Total Debt /Networth)		0.34	0.04	0.00
Current Ratio (Current Asset/Current Liability)		0.92	1.19	1.87

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	No
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)	No
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

NOTE:

· CURRENT MATURITY OF LONG TERM BORROWINGS DETAIL NOT AVAILABLE

· NO CHARGES EXIST FOR THE COMPANY

FIXED ASSETS:

• Plant and Machinery
• Vehicles
• Furniture and Fixtures
• Computers
• Temporary Erections
• Trade Marks

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. 65.96
UK Pound	1	Rs. 102.91
Euro	1	Rs. 86.58

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--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	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		33

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.