MIRA INFORM REPORT

Report Date :

11.09.2013

IDENTIFICATION DETAILS

Name :	BHOGALE COATING AND PAINTS PRIVATE LIMITED
Registered Office :	G-7/A-42 Cooperative Industrial Estate, Station Road, MIDC, Aurangabad – 431005, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	26.08.2004
Com. Reg. No.:	11-148236
Capital Investment / Paid-up Capital :	Rs. 1.408 Millions
CIN No.: [Company Identification No.]	U24220MH2004PTC148236
TAN No.: [Tax Deduction & Collection Account No.]	NSKB02080B
PAN No.: [Permanent Account No.]	PANAPPLIED
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of High Quality Coating and Paints.
No. of Employees :	Not Available

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 22000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The latest financial for the year 2012 is not available. As per previous year’s record, the company seems to be satisfactory. Trade relations are reported to be fair. Business is active. Payments are reported to be unknown. The company can be considered for business dealings with some cautions.

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.

LOCATIONS

Registered/ Corporate Office :	G-7/A-42 Cooperative Industrial Estate, Station Road, MIDC, Aurangabad – 431005, Maharashtra, India
Tel. No.:	91-240-2335293/ 2351576
Fax No.:	91-240-2335293
E-Mail :	bhogalebrothers@sify.com mktg@bhogalecoating.com info@bhogalecoating.com mahesh.singhi@nirlep.com
Website :	http://www.bhogalecoating.com

DIRECTORS

AS ON 30.09.2011

Name :

Mr. Shyamala Ramchandra Bhogale

Designation :

Director

Address :

20, Mitramandal Cooperative Housing Society, Osmanpura, Aurangabad – 431005, Maharashtra, India

Date of Birth/Age :

23.09.1957

Date of Appointment :

26.08.2004

DIN No.:

00486743

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	Company/ LLP Status	Defaulting status
1	U24110MH1990PTC055621	AMULET COATINGS PRIVATE LIMITED	Director	30/09/1997	30/09/1997	Active	NO
2	U24220MH2004PTC148236	BHOGALE COATING AND PAINTS PRIVATE LIMITED	Director	26/08/2004	26/08/2004	Active	NO
3	U36900PN2011PLC139372	AARNAVA PRECISION TECHNOLOGIES LIMITED	Director	29/04/2011	29/04/2011	Active	NO

Name :

Mr. Rajani Mukund Bhogale

Designation :

Director

Address :

8, Mitramandal Cooperative Housing Society, Osmanpura, Aurangabad – 431005, Maharashtra, India

Date of Birth/Age :

14.06.1957

Date of Appointment :

27.07.2006

DIN No.:

00486781

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Shayamala R Bhogale	55000
Rajani M. Bhogale	54999
Neelima Mohan Sawant	1100
Pratima Sunil Deshpande	1100
Madhuri Umesh Deshpande	1100
Neeta Kapadia	1
Suhas Nityanand Bhogale	27500
Total	140800

AS ON 30.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	78.12
Other top fifty shareholders	21.88
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of High Quality Coating and Paints.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

The Vaidyanath Urban Cooperative Bank Limited, Trimurti Chowk, Aurangabad - 431005, Maharashtra, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Vaidyanath Bank CC	0.467	0.827
Term Loan for Machinery	0.306	0.225
Term Loan for Land and Building	4.907	4.552
Vaidyanath Bill Discounting	4.546	3.578
Tata Motor Vehicle Expenses (Flat)	0.000	0.155
Total	10.226	9.337

Banking Relations :	--
Auditors :
Name :	S.V. Gogate and Company Chartered Accountants
Address :	5, Aniruddha Soceity, Sant Janabia Peth, Vile Parle, Aurangabad – 400057, Maharashtra, India
Tel. No.:	91-22-26131839
Income-tax PAN of auditor or auditor's firm :	AABPG4828K

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
250,000	Equity Shares	Rs. 10/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
140,800	Equity Shares	Rs. 10/- each	Rs. 1.408 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		1.408	1.408	1.375
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		4.037	2.474	2.194
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		5.445	3.882	3.569
LOAN FUNDS
1] Secured Loans		10.226	9.337	4.257
2] Unsecured Loans		9.132	9.432	9.465
TOTAL BORROWING		19.358	18.769	13.722
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		24.803	22.651	17.291
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		9.854	3.048	1.831
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		10.789	12.553	13.670
DEFERREX TAX ASSETS		0.011	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	6.786	4.478	4.655
	Sundry Debtors	2.989	1.325	0.000
	Cash & Bank Balances	0.476	0.605	0.105
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	3.397	7.040	1.471
Total Current Assets		13.648	13.448	6.231
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	7.836	4.116	3.503
	Other Current Liabilities	0.124	0.181	0.071
	Provisions	1.539	2.111	0.887
Total Current Liabilities		9.499	6.408	4.461
Net Current Assets		4.149	7.040	1.770
MISCELLANEOUS EXPENSES		0.000	0.010	0.020
TOTAL		24.803	22.651	17.291

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	37.344	23.381	16.746
		Other Income	0.708	0.815	0.800
		TOTAL	38.052	24.196	17.546
Less	EXPENSES
		Office Expenses	35.970	22.405	16.151
		Administrative Expenses
		Advertising Expenses
		TOTAL	35.970	22.405	16.151
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		2.082	1.791	1.395
	DEPRECIATION/ AMORTISATION		0.563	0.342	0.389
	PROFIT BEFORE TAX		1.519	1.449	1.006
	TAX		0.490	0.461	0.480
	PROFIT AFTER TAX		1.029	0.183	0.488
	Earnings Per Share (Rs.)		7.30	0.13	0.35

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	2.70	0.76	2.78
Net Profit Margin (PBT/Sales)	(%)	4.07	6.20	6.01
Return on Total Assets (PBT/Total Assets}	(%)	6.46	8.78	12.48
Return on Investment (ROI) (PBT/Networth)		0.28	0.37	0.28
Debt Equity Ratio (Total Debt/Networth)		3.56	4.83	3.84
Current Ratio (Current Asset/Current Liability)		1.44	2.10	1.40

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	No
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	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	No

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10207220	02/03/2010	6,000,000.00	THE VAIDYANATH URBAN COOPERATIVE BANK LIMITED	BRANCH AT NIKE PLAZA, TRIMURTI CHOWK, OPPOSITE HEDGEWAR HOSPITAL, AURANGABAD - 431005, MAHARASHTRA, INDIA	A81318925
2	10091661	14/06/2011 *	8,500,000.00	THE VAIDYANATH URBAN COOPERATIVE BANK LIMITED	TRIMURTI CHOWK, AURANGABAD - 431005, MAHARASHTRA, INDIA	B15455280
3	90355095	11/04/2005	2,300,000.00	THE VAIDYANATH URBAN COOPERATIVE BANK LIMITED	PARLI VAGANATH, AURANGABAD, MAHARASHTRA, INDIA	-

* Date of charge modification

UNSECURED LOANS

Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Deferal Sale Tax	1.500	1.500
Unsecured Loan	7.632	7.932
Total	9.132	9.432

FIXED ASSETS:

· Land

· Factory Building

· Plant and Machinery

· Dies and Punches

· Furniture and Fixture

· Lab Equipment

· Computer

· Vehicle

· Office Equipment

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. 64.22
UK Pound	1	Rs. 100.83
Euro	1	Rs. 85.21

INFORMATION DETAILS

Report Prepared by :

BVA

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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--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.