MIRA INFORM REPORT

Report Date :

22.04.2014

IDENTIFICATION DETAILS

Name :	AXIS ELECTRICAL COMPONENTS (INDIA) PRIVATE LIMITED
Registered Office :	Axis House, Plot No.104-C, Government Industrial Estate, Kandivali (West), Mumbai – 400 067, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	21.05.1997
Com. Reg. No.:	11-108174
Capital Investment / Paid-up Capital :	Rs.15.000 millions
CIN No.: [Company Identification No.]	U31200MH1997PTC108174
TAN No.: [Tax Deduction & Collection Account No.]	MUMA18966D
PAN No.: [Permanent Account No.]	AAACA9691C
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Electrical Components.
No. of Employees :	150 (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 950000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Overall financial position of the company is sound. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct. The company can be considered for business dealing at usual trade terms and conditions.

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, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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

US investment bank Goldman Sachs  has upgraded its outlook on Indian markets as it expects positive impact of the election cycle.

India’s economy may grow 4.7 % in the current financial year, lower than the official estimate of 4.9 %, Fitch Rating said. The global rating agency expects the economy to pick up in the next two financial years.

Global ratings agency Standard & Poor said increasing focus by India Inc on lowering debt is likely to improve their credit profiles.

Singapore (1.1 million Indian tourists in 2012), Thailand (one million), the United Arab Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred holidays hotspots for Indians. The total figure is expected to increase to 1.93 million by 2017, according to the latest Eurmonitor international report.

There is a $29.34 bn outward foreign direct investment by domestic companies between April and January of 2013/14 which has seen some signs of recovery according to a Care Ratings report.

There are 264 number of new companies being set up every day on average during 2014. Most of them are registered in Mumbai. India had 1.38 million registered companies at the end of January, 2014.

Twitter like messaging service Weibo Corporation has filed to raise $ 500 million via a US initial public offering. Alibaba, which owns a stake in Weibo is expected to raise about $ 15 billion New York this year in the highest profile Internet IPO since Facebook’s in 2012.

Bharti Airtel has raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at a coupon rate of three per cent and maturing in 2020. This is the largest ever bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon rate in February.

Indian Oil Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex at its almost complete Paradip refinery in Odhisha in three to four years. The company board is set to consider the setting up of a 700000 tonne per annum polypropylene plant at an estimated cost at Rs.3150 crore.

Global chief information officers at gathering in Bangalore in April to meet Indian startups at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in the making.

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. Dipti Shinde
Designation :	Marketing Department
Contact No.:	91-22-28696636
Date :	07.04.2014

LOCATIONS

Registered Office/ Factory :	Axis House, Plot No.104-C, Government Industrial Estate, Kandivali (West), Mumbai – 400 067, Maharashtra, India
Tel. No.:	91-22-67756000/ 28696636
Fax No.:	91-22-28678491
E-Mail :	axisindia@vsnl.com info@axis-india.com marketing@axis-india.com (Marketing) purchase@axis-india.com (Purchase) logistics@axis-india.com (Logistics) accounts@axis-india.com (Accounts)
Website :	www.axis-india.com
Location :	Owned

DIRECTORS

As on 30.09.2013

Name :

Mr. Kanderp Sevantilal Khandwala

Designation :

Director

Address :

401, Megh Apartment, 4^th Floor Military Road, Juhu, Mumbai – 400049, Maharashtra, India

Date of Birth/Age :

27.09.1958

Date of Appointment :

21.05.1997

DIN No.:

00514555

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	U51900MH1977PTC004407	PARAMOUNT COMMERCIAL CORPN PVT LTD	Director	26/05/1980	26/05/1980	-	Active	NO
2	U31200MH1997PTC108174	AXIS ELECTRICAL COMPONENTS (INDIA) PRIVATE LIMITED	Director	21/05/1997	21/05/1997	-	Active	NO
3	U74999MH1994GAP081104	BOMBAY INDUSTRIES ASSOCIATION	Director	29/04/2006	29/04/2006	04/09/2009	Active	NO

Name :

Mr. Nimish Premsingh Taterh

Designation :

Director

Address :

1902 Great Eastern Height CTS Limited, Marve Road, Malad (West), Mumbai – 400064, Maharashtra, India

Date of Birth/Age :

15.10.1967

Date of Appointment :

21.05.1997

DIN No.:

00517983

KEY EXECUTIVES

Name :	Ms. Dipti Shinde
Designation :	Marketing Department

MAJOR SHAREHOLDERS

As on 30.09.2013

Names of Shareholders	No. of Shares	% of Holding
Kanderp S. Khandwala	75000	50.00
Nimish Premsingh Taterh	75000	50.00
Total	150000	100.00

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Electrical Components.
Products :	Copper Lugs Copper Ferrules Brass Cable Glands Earth Clamps Earth Conductors Line Taps Split Bolts Hot Line Clamp LT AB Fittings Pole Line Hardware Suspension Clamp Dead end Clamp Piercing Connectors PG Clamps
Exports :
Products :	Finish Goods
Countries :	Gulf Country Middle East Asian Country Europe South Africa Arabic Countries
Imports :
Products :	Raw Materials
Countries :	Malaysia China
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

150 (Approximately)

Bankers :

Central Bank of India, Mumbai Main Office, Documentation Cell, 2^nd Floor, Central Bank Building, Fort, Mumbai – 400 001, Maharashtra, India

Tel. No.: 91-22-22625932

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Short Term Borrowings
From Central Bank of India
Working Capital Loan	4.093	6.610
Export Packing Credit	30.000	0.000
Bill Discounting (Secured against mortgage of Immovable Assets, Inventory and Receivable. Also Guaranteed by Directors)	0.000	4.661
Car loan form HDFC Bank Limited	0.848	0.000
Total	34.941	11.271

Banking Relations :	--
Auditors :
Name :	N.P. Patwa and Company Chartered Accountants
Address :	102, Sudaive, Plot No.97, Hindu Colony Road No. 3, Dadar (CR), Mumbai – 400 014, Maharashtra, India
Tel. No.:	91-22-24118146/ 24115870/ 24114590
E-Mail :	nppatwa@gmail.com
PAN No.:	AAGFN2813E
Associates/Subsidiaries :	Paramon Commercial Corporation Private Limited Address: Axis House Plot No.104C, Government Industrial Estate, Kandivali (West), Mumbai – 400067, Maharashtra, India Line of Business: Manufacturer and Exporter of Electrical Components.

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.100/- each	Rs.15.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	15.000	15.000	15.000
(b) Reserves & Surplus	221.311	165.009	147.475
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	236.311	180.009	162.475
(3) Non-Current Liabilities
(a) long-term borrowings	0.172	0.105	0.090
(b) Deferred tax liabilities (Net)	0.000	0.055	0.055
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	1.116	0.892	0.608
Total Non-current Liabilities (3)	1.288	1.052	0.753
(4) Current Liabilities
(a) Short term borrowings	34.941	11.271	94.029
(b) Trade payables	40.507	64.086	67.159
(c) Other current liabilities	12.764	21.079	11.622
(d) Short-term provisions	20.148	8.765	15.128
Total Current Liabilities (4)	108.360	105.201	187.938
TOTAL	345.959	286.262	351.166
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	24.457	19.274	19.464
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	2.253	2.209	7.100
(c) Deferred tax assets (net)	0.127	0.000	0.000
(d) Long-term Loan and Advances	3.000	1.710	1.656
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	29.837	23.193	28.220
(2) Current assets
(a) Current investments	35.670	32.868	30.648
(b) Inventories	60.068	78.523	77.771
(c) Trade receivables	121.818	84.605	159.229
(d) Cash and cash equivalents	4.770	2.135	4.446
(e) Short-term loans and advances	93.796	64.938	50.836
(f) Other current assets	0.000	0.000	0.016
Total Current Assets	316.122	263.069	322.946
TOTAL	345.959	286.262	351.166

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2013	31.03.2012	31.03.2011
	SALES
		Income
		Other Income
		TOTAL (A)		552.718	540.592	474.392
Less	EXPENSES
		Increase in Stock				(10.315)
		Material Consumption				140.439
		Cost of Goods Sold				148.083
		Manufacturing Expenses				40.270
		Administrative Expenses				43.151
		Selling and Distribution Expenses				28.620
		Prior Period Expenses				0.353
		TOTAL (B)		469.864	499.708	390.601
				(Including Financial Expenses and Depreciation)	(Including Financial Expenses and Depreciation)
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)					83.791
Less	FINANCIAL EXPENSES (D)					7.968
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)					75.823
Less	DEPRECIATION/ AMORTISATION (F)					2.817
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)			82.854	40.884	73.006
Less	TAX (H)			26.552	18.350	21.628
	PROFIT/(LOSS) AFTER TAX (G-H) (I)			56.302	22.534	51.378
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD			NA	145.574	104.196
Less	APPROPRIATIONS
			Capitalisation of Reserve for issue of fully paid up Bonus shares	NA	NA	10.000
	BALANCE CARRIED TO THE B/S			NA	NA	145.574
	EARNINGS IN FOREIGN CURRENCY
			Export Earnings	446.949	389.451	337.284
	TOTAL EARNINGS			446.949	389.451	337.284
	Earnings Per Share (Rs.)			375.00	150.22	342.52

Particulars	31.03.2014
Sales Turnover (Approximately)	850.000

Expected Sales (2014-2015): Rs.900.000 Millions

The above information has been parted by Ms. Dipti Shinde

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	10.19	4.17	10.83
Return on Total Assets (PBT/Total Assets}	(%)	24.11	14.39	21.22
Return on Investment (ROI) (PBT/Networth)		0.35	0.23	0.45
Debt Equity Ratio (Total Debt /Networth)		0.15	0.06	0.58
Current Ratio (Current Asset/Current Liability)		2.92	2.50	1.72

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Share Capital	15.000	15.000	15.000
Reserves & Surplus	147.475	165.009	221.311
Net worth	162.475	180.009	236.311
long-term borrowings	0.090	0.105	0.172
Short term borrowings	94.029	11.271	34.941
Total borrowings	94.119	11.376	35.113
Debt/Equity ratio	0.579	0.063	0.149

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Total Income	474.392	540.592	552.718
		13.955	2.243

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Total Income	474.392	540.592	552.718
Profit	51.378	22.534	56.302
	10.83%	4.17%	10.19%

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

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
From Directors (Maximum Outstanding Rs.0.209 Million Previous year 0.121 million)	0.172	0.105
Total	0.172	0.105

OPERATION AND OUTLOOK:

During the year the company earned total income of Rs.552.718 Millions as against Rs.540.592 Millions achieved during the corresponding period of previous year. After offsetting the expenses the company made a profit (before tax) of Rs.82.854 Millions as against profit of Rs.40.884 Millions achieved during the corresponding period of the previous year.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	80033600	12/06/2007 *	87,500,000.00	Central Bank of India	Mumbai Main Office , Documentation Cell ,, 2nd Floor , Central Bank Bldg. Fort, Mumbai, Maharashtra - 400001, India	A18849745
2	90145087	29/03/2004	19,500,000.00	Central Bank of India	Mumbai Main Office, Documentation Cell; M.G. Road; Fort, Mumbai, Maharashtra - 400023, India	-
3	90146623	29/03/2004	27,500,000.00	Central Bank of India	Mumbai Main Office, Documentation Cell; M.G. Road; Fort, Mumbai, Maharashtra - 400023, India	-
4	90144610	29/07/2003	47,000,000.00	Central Bank of India	Mumbai Main Office, Documentation Cell; M.G. Road; Fort, Mumbai, Maharashtra - 400023, India	-
5	90149148	01/11/2012 *	150,000,000.00	Central Bank of India	Mumbai Main Office, Documentation Cell; M.G. Road; Fort, Mumbai, Maharashtra - 400023, India	B63929202
6	90146443	31/03/2003	67,000,000.00	Central Bank of India	Mumbai Main Office, Documentation Cell; M.G. Road; Fort, Mumbai, Maharashtra - 400023, India	-

*Date of modification Charges

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

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.60.33
UK Pound	1	Rs.101.41
Euro	1	Rs.83.38

INFORMATION DETAILS

Information Gathered by :	HTL
Analysis Done by :	SUM
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION		0
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--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	YES
--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.