MIRA INFORM REPORT

Report Date :

09.08.2014

IDENTIFICATION DETAILS

Name :	A-1 FENCE PRODUCTS COMPANY PRIVATE LIMITED
Registered Office :	503, Golden Heights, Shastri Nagar, Andheri (West), Mumbai – 400053, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	12.05.2009
Com. Reg. No.:	11-192329
Capital Investment / Paid-up Capital :	Rs.0.980 Million
CIN No.: [Company Identification No.]	U28990MH2009PTC192329
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of high quality steel perimeter fencing systems.
No. of Employees :	Information declined by the management

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 480000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. As per ROC the date of balance sheet (i.e financial filed) is shown as 31.03.2013 but the documents related to the financials for the year 2013 are not available from any sources. As per available financials of 2012, the reserves of the company is decent. General financial position of the company is good. Trade relations are reported as fair. Business is active. Payment terms are reported to be usually correct. The company can be considered normal for business dealings 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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
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

N E W S

As per the latest IMF study, the total weigh of emerging markets in the GDP of the world on a purchasing power parity basis has seen a sizeable shift. It highlights how as against 51 % in 2005, the emerging economies now account for close to 56 % of the global purchasing power GDP as per the latest survey. And with the emerging economies growing at a faster rate than their developed counterparts, there are every possibility that the their share goes up further in the coming years.  China may surpass the US over the next few years.

Politics and economics are very intricately connected. They tend to influence each other in ways that could be very complex and far-reaching. The prospects of the India’s economy have been seriously compromised due to political corruption. High inflation, poor standard of living are to a great extent a result of rampant corruption in the country. China on the other hand, seems to be facing diametrically opposite challenge. American hedge fund manager Jim Chanos has been keenly following the political and economic development in the dragon economy and has figured out something that is quite worrying. He is of the view that the Chinese economy could be heading toward trouble on account of new Chinese President Xi Jingping’s very aggressive anti-corruption drive. Chanos believes tat many things such as apartment sales, luxury products, etc. were largely bought with dirty money. And it is now beginning to impact consumption. This may indeed be bad news for an economy that is struggling to transition from an investment-driven export-oriented economy to a domestic consumption-driven economy.

A study published by Firstpost has revealed that asset classes like real estate and equities were the biggest beneficiaries of the liberalization policies.  A firm called Ciane Analytics studied returns from assets including equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate outperformed every other asset classes during the 23-year period with an annualized return of 20 % ! Equities came in second with annualized return of 15.5 % ! However, while these returns may seem mouthwatering, the fact is that the return from equities adjusted for inflation came down to just 7.1 %.

Some brief news are as under

. R-Power to buy Jaypee’s hydro assets

. Investors await justice in NSEL case

. India seeks MFN status from Pakistan ahead of meeting

. Ukrain’s clashes with rebels hinder MH17 crash investigation

. India exploring merger of state-owned hydro PSUs

..Higher costs weigh down profit growth to slowest in 9 quarters

..Wal-Mart to expand wholesale business in India

. GMR group moves to strengthen balance sheet

. Central Bank to sell 4 % stake to Life Insurance Corporation

. Tata Chemicals plans to raise up to Rs 10000 mn.

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 31-03-2014.

INFORMATION DECLINED BY

Name :	Mr. Alex
Designation :	Finance Head
Contact No.:	260-3292809
Date :	07.08.2014

Name :	Mr. Bhupesh More
Designation :	Finance Head
Date :	07.08.2014

LOCATIONS

Registered Office :	503, Golden Heights, Shastri Nagar, Andheri (West), Mumbai – 400053, Maharashtra, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	tanujajalan@yahoo.co.in
Website :	www.a-1fenceproducts.com
Corporate Office:	21, Raju Industrial Estate, Near Dahisar Check Naka, Dahisar (East), Mumbai – 401104, Maharashtra, India
Tel. No.:	91-22-28457540/28457252
Fax No.:	91-22-28455014
Factory 1 :	35-36 Athal Industrial Estate, Athal, Silvassa – 396230, Dadra and Nagar Haveli, India
Tel. No.:	91-260-3292809
Factory 2:	Behind Soniwadi. Vankas Sub-Station Road, Sanjan, District Valsad – 396150, Gujarat, India
Tel. No.:	91-260-2575766

DIRECTORS

As on 28.09.2013

Name :

Mr. Prabhat Kumar Shyam Lall Gupta

Designation :

Director

Address :

503, Golden Heights, Shastri Nagar, Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

16.11.1949

Date of Appointment :

12.05.2009

DIN No.:

00354825

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	U99999MH2000PTC129730	ARAVALI HI-TECH PRIVATE LIMITED	Director	23/11/2000	23/11/2000	-	Active	NO
2	U65993MH2004PTC145941	SAURDEEP INVESTMENT PRIVATE LIMITED	Director	28/04/2004	28/04/2004	-	Active	NO
3	U27100MH2004PTC144014	SAM ALLOYS PRIVATE LIMITED	Director	14/03/2006	14/03/2006	-	Active	NO
4	U28990MH2009PTC192329	A-1 FENCE PRODUCTS COMPANY PRIVATE LIMITED	Director	12/05/2009	12/05/2009	-	Active	NO

Name :

Mr. Vivek Prabhat Kumar Gupta

Designation :

Director

Address :

503, Golden Heights, Shastri Nagar, Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

26.12.1978

Date of Appointment :

12.05.2009

DIN No.:

00354978

Name :

Mr. Kanta Gupta

Designation :

Director

Address :

503, Golden Heights, Shastri Nagar, Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

08.02.1928

Date of Appointment :

12.05.2009

DIN No.:

02491383

Name :

Mr. Saurabh Prabhat Gupta

Designation :

Director

Address :

503, Golden Heights, Shastri Nagar, Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

26.07.1981

Date of Appointment :

12.05.2009

DIN No.:

02491395

KEY EXECUTIVES

Name :	Mr. Alex
Designation :	Finance Head
Name :	Mr. Bhupesh More
Designation :	Finance Head

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2013

Names of Shareholders	No. of Shares	%age holding
Prabhat Kumar Gupta	24500	25.00
Saurabh Gupta	23520	24.00
Kanta Gupta	23520	24.00
Vivek Guta	23520	24.00
Aravali Hightech Private Limited	980	1.00
Saurdeep Investment Private Limited	980	1.00
Sam Alloys Private Limited	980	1.00
Total	98000	100.00

Equity Share Break up (Percentage of Total Equity)

As on 28.09.2013

Category	Percentage
Bodies corporate	3.00
Directors or relatives of Directors	97.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of high quality steel perimeter fencing systems.

GENERAL INFORMATION

Suppliers:

· A Kumar and Company

· A B Tools

· A P Coating

· Agarwal Fasterns Private Limited

· Arihant Enterprises

· Frineds Metal

· Jagnath Extrusion Private Limited

· Mahavir Polyfilms Private Limited

Customers:

· A G Industries

· Apex Encon Project Private Limited

· Arihant Enterprises

· Deepak Steel Industrial

· J K Builder

· Metal Fabric Bangalore Private Limited

· Shah and Company

· Total India Private Limited

No. of Employees :

Information declined by the management

Bankers :

· Karnataka Bank Limited

· Bank of Baroda

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long-term Borrowings
Term Loan From bank	41.024	69.186
Total	41.024	69.186

Banking Relations :	--
Auditors :
Name :	Bharat G. Shah Chartered Accountants
Address :	209, B, Shyam Kamal, B Building, Agarwal Market, Tejpal Road, Vile- Parle (East), Mumbai – 400057, Maharashtra, India
Tel. No.:	91-22-26151448
Mobile No.:	91-9821086967
Fax No.:	91-22-26119591
E-Mail :	Bharatshah_ca@yahoo.co.in
PAN N Income-tax PAN of auditor or auditor's firm :	AAGPS2455J

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.10/- each	Rs. 2.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
98000	Equity Shares	Rs.10/- each	Rs. 0.980 Million

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	0.980	0.980
(b) Reserves & Surplus	119.333	109.072
(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)	120.313	110.052
(3) Non-Current Liabilities
(a) long-term borrowings	145.946	139.293
(b) Deferred tax liabilities (Net)	0.372	0.218
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	146.318	139.511
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	133.226	23.575
(c) Other current liabilities	49.715	13.755
(d) Short-term provisions	1.887	1.320
Total Current Liabilities (4)	184.828	38.650
TOTAL	451.459	288.213
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	100.984	75.499
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	16.900	0.800
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	46.212	54.386
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	164.096	130.685
(2) Current assets
(a) Current investments	21.995	0.320
(b) Inventories	48.071	52.838
(c) Trade receivables	185.192	78.823
(d) Cash and cash equivalents	3.401	3.638
(e) Short-term loans and advances	28.605	21.798
(f) Other current assets	0.099	0.111
Total Current Assets	287.363	157.528
TOTAL	451.459	288.213

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.500
2] Share Application Money		0.000
3] Reserves & Surplus		0.000
4] (Accumulated Losses)		(0.001)
NETWORTH		0.499
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		0.134
TOTAL BORROWING		0.134
DEFERRED TAX LIABILITIES		0.000
TOTAL		0.633
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.000
Capital work-in-progress		0.000
INVESTMENT		0.500
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000
	Sundry Debtors	0.000
	Cash & Bank Balances	0.009
	Other Current Assets	0.000
	Loans & Advances	0.000
Total Current Assets		0.009
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000
	Other Current Liabilities	0.000
	Provisions	0.000
Total Current Liabilities		0.000
Net Current Assets		0.009
MISCELLANEOUS EXPENSES		0.124
TOTAL		0.633

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2012	31.03.2011	31.03.2010
GROSS TURNOVER	408.403	472.787	NA
DEPRECIATION	9.538	7.900	NA
NET PROFIT /( LOSS) FOR THE YEAR	13.412	11.885	(0.001)
Earnings / (Loss) Per Share (Rs.)	136.86	NA	NA

KEY RATIOS

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
Debt Equity Ratio (Total Debt /Networth)	1.21	1.27	0.27
Current Ratio (Current Asset/Current Liability)	1.55	4.08	0.00

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	0.980	0.980
Reserves & Surplus	109.072	119.333
Net worth	110.052	120.313
long-term borrowings	139.293	145.946
Short term borrowings	0.000	0.000
Total borrowings	139.293	145.946
Debt/Equity ratio	1.266	1.213

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)
Gross Turnover	472.787	408.403
		(13.618)

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)
Gross Turnover	472.787	408.403
Profit	11.885	13.412
	2.51%	3.28%

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	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	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	Yes
18]	Major customers	Yes
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

UNSECURED LOAN

PARTICULARS	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long-term Borrowings
Loans and Advance from related parties	104.957	65.572
Loan from directors and companies under same management	(0.035)	4.535
Total	104.922	70.107

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10458685	23/10/2013	500,000,000.00	KARNATAKA BANK LIMITED	OVERSEAS BRANCH, 104-106, EMBASSY CENTRE, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA	B88954680
2	10322211	20/10/2011	18,000,000.00	KARNATAKA BANK LIMITED	OVERSEAS BRANCH, 104-106, EMBASSY CENTRE, JB MARG, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, IN DIA	B27500396
3	10272215	31/01/2011	49,000,000.00	KARNATAKA BANK LIMITED.	OVERSEAS BRANCH, 104-106, EMBASSY CENTRE, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA	B06727895
4	10227111	22/10/2013 *	40,000,000.00	KARNATAKA BANK LIMITED	OVERSEAS BRANCH, 104-106, EMBASSY CENTRE, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA	B88924204
5	10232690	20/10/2011 *	237,000,000.00	KARNATAKA BANK LIMITED	OVERSEAS BRANCH, 104-106, EMBASSY CENTRE, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA	B27507060
6	10226986	22/10/2013 *	430,000,000.00	KARNATAKA BANK LIMITED	OVERSEAS BRANCH, 104-106, EMBASSY CENTRE, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA	B88923933

* Date of charge modification

FIXED ASSETS

· Land

· Building

· Plant and Machinery

· Electrical Equipment

· Furniture and Fixture

· Office Equipment

· Computer

· Motors cars, Bike and Scooter

· Mobile

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.61.56
UK Pound	1	Rs.103.50
Euro	1	Rs.82.41

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	DIV
Report Prepared by :	KVT

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	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	NO
--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.