Report Date :

11.08.2014

IDENTIFICATION DETAILS

Name :	SHREEOM WIRES PRIVATE LIMITED
Registered Office :	426/431, Gali No.8, Friends Colony Industrial Area, Shahdara, Delhi - 110095
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	24.02.2011
Com. Reg. No.:	55-214742
Capital Investment / Paid-up Capital :	Rs.12.300 Millions
CIN No.: [Company Identification No.]	U28939DL2011PTC214742
PAN No.: [Permanent Account No.]	AAPCS3993J
Legal Form :	Private Limited Liability Company
Line of Business :	To trade, Manufacture and deal in wires and cables of all kinds.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a company with limited history of its operations having moderate track record. The company possesses a moderate financial profile marked by modest networth base and an increase in the debt levels to fund the capital expenditure and working capital requirement. Moreover, the liquidity position has been stretched owing to slow debtors realisations, accrued payables, low cash accruals and weak debt protection metrics during the year under consideration. Management has witnessed a healthy growth in its operating income, whereas has reported low profitability leading to lower the margins during its second year of operations during FY13. However, trade relations seem to be fair. Business is active. Payment terms are reported as slow. In views experienced management, the company can be considered for business dealings with 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 – 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.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	B+ (Term Loans)
Rating Explanation	Risk prone credit quality and high risk of default.
Date	April 2014

Rating Agency Name	ICRA
Rating	A4 (Non Fund Based Limits)
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	April 2014

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 DENIED BY

Name :	Mr. Rajeev
Designation :	Operation Head
Contact No.:	91-9899996788
Date :	09.08.2014

LOCATIONS

Registered Office :	426/431, Gali No.8, Friends Colony Industrial Area, Shahdara, Delhi – 110095, India
Tel. No.:	Not Available
Mobile No.:	91-9899996788 (Mr. Rajeev)
Fax No.:	Not Available
E-Mail :	pkgupta.ca1988@yahoo.com

DIRECTORS

As on: 30.09.2013

Name :	Mr. Sanjay Goel
Designation :	Director
Address :	C-44, West Jyoti Nagar, Delhi – 110093, India
Date of Birth/Age :	08.10.1970
Date of Appointment :	24.02.2011
PAN No.:	AAKPG9837D
DIN No.:	02191472
Name :	Mr. Mander Das Jain
Designation :	Director
Address :	C-49, West Jyoti Nagar, Delhi – 110093, India
Date of Birth/Age :	18.04.1935
Date of Appointment :	09.05.2011
PAN No.:	AHRPJ1524N
DIN No.:	03518714
Name :	Mr. Shubham Jain
Designation :	Director
Address :	C-88 A-3, Ramprastha Colony, Ghaziabad – 201001, Uttar Pradesh, India
Date of Birth/Age :	28.01.1993
Date of Appointment :	03.12.2012
PAN No.:	AQRPJ6998D
DIN No.:	06397717

KEY EXECUTIVES

Name :	Mr. Rajeev
Designation :	Operation Head

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 30.09.2013

Names of Shareholders	No. of Shares
Sanjay Goel	125000
Mander Das Jain	1245000
Shubham Jain	290000
Anita Choudhary	250000
Pankaj Jain	175000
Nadhu Jain	665000
Total	2750000

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 :

To trade, Manufacture and deal in wires and cables of all kinds.

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

State Bank of India, SME Branch, G.T. Road Shahdara, Delhi - 110032, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Rupee term loans from banks	12.025	0.000
Other loans and advances	0.537	0.000
SHORT TERM BORROWINGS
Working capital loans from banks	58.108	23.047
Total	70.670	23.047

Banking Relations :	--
Auditors :
Name :	Pradeep Chand Gupta and Company Chartered Accountants
Address :	33, IInd Floor, Savita Vihar, Delhi-110092, India
PAN No.:	AFKPG5391P

CAPITAL STRUCTURE

As on: 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2750000	Equity Shares	Rs.10/- each	Rs.27.500 Millions

As on: 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1230000	Equity Shares	Rs.10/- each	Rs.12.300 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1230000	Equity Shares	Rs.10/- each	Rs.12.300 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	12.300	4.500	0.500
(b) Reserves & Surplus	15.735	12.149	(0.022)
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.500	0.000
Total Shareholders’ Funds (1) + (2)	28.035	17.149	0.478
(3) Non-Current Liabilities
(a) long-term borrowings	40.412	27.850	0.000
(b) Deferred tax liabilities (Net)	0.066	0.108	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	40.478	27.958	0.000
(4) Current Liabilities
(a) Short term borrowings	83.399	23.047	0.000
(b) Trade payables	209.846	40.767	0.000
(c) Other current liabilities	1.103	0.398	0.000
(d) Short-term provisions	0.379	0.442	0.009
Total Current Liabilities (4)	294.727	64.654	0.009
TOTAL	363.240	109.761	0.487
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	23.525	14.129	0.000
(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	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.867	0.180	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	24.392	14.309	0.000
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	15.385	21.071	0.000
(c) Trade receivables	313.546	70.631	0.000
(d) Cash and cash equivalents	0.023	0.887	0.437
(e) Short-term loans and advances	0.000	0.870	0.000
(f) Other current assets	9.894	1.993	0.050
Total Current Assets	338.848	95.452	0.487
TOTAL	363.240	109.761	0.487

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2013	31.03.2012	31.03.2011
	SALES
	Income	NA	367.910	0.000
	Other Income	NA	1.018	0.000
	TOTAL	NA	368.928	0.000
Less	EXPENSES
	Cost of goods sold		361.824	0.000
	Accountancy Charges		0.108	0.000
	Audit Fees		0.027	0.000
	Bank charges		1.959	0.000
	Differed Tax		0.108	0.000
	Director Remuneration		0.720	0.000
	Factory Liscence Fee		0.010	0.000
	Fixed Assets W/Off		0.006	0.000
	Insurance Expenses		0.037	0.000
	Legal and Professional Charges		0.037	0.009
	Petrol and Conveyance		0.028	0.000
	Preliminary Exp. W/Off		0.051	0.013
	Professional Charges		0.005	0.000
	Rates and Taxes		0.020	0.000
	Rent (Factory)		0.700	0.000
	Rent (Office)		0.120	0.000
	Repair and Maint.		0.020	0.000
	R.O.C. Fee		0.056	0.000
	Staff Welfare		0.019	0.000
	Telephone Exp.		0.005	0.000
	TOTAL	NA	365.860	0.022
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		3.068	(0.022)
Less/ Add	DEPRECIATION/ AMORTISATION		1.482	0.000
	PROFIT/ (LOSS) BEFORE TAX	NA	1.586	(0.022)
Less	TAX	NA	0.415	0.000
	PROFIT/ (LOSS) AFTER TAX	3.586	1.171	(0.022)
	Earnings / (Loss) Per Share (Rs.)	2.92	NA	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	NA	0.32	NA
Net Profit Margin (PBT/Sales)	(%)	NA	0.43	NA
Return on Total Assets (PBT/Total Assets}	(%)	NA	1.44	(4.52)
Return on Investment (ROI) (PBT/Networth)		NA	0.09	(0.05)
Debt Equity Ratio (Total Debt/Networth)		4.42	2.97	0.00
Current Ratio (Current Asset/Current Liability)		1.15	1.48	54.11

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	0.500	4.500	12.300
Reserves & Surplus	(0.022)	12.149	15.735
Net worth	0.478	16.649	28.035
long-term borrowings	0.000	27.850	40.412
Short term borrowings	0.000	23.047	83.399
Total borrowings	0.000	50.897	123.811
Debt/Equity ratio	0.000	3.057	4.416

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 two 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	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	Yes

UNSECURED LOAN

(Rs. In Millions)

Particular	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Rupee term loans from others	27.850	27.850
SHORT TERM BORROWINGS
Loans repayable on demand from others	25.291	0.000
Total	53.141	27.850

RESULTS OF OPERATIONS:

This was the second complete financial year of 12 Months of the functioning of the company since its incorporation. Inspite of the difficult economic conditions, the company performed well. The global economy in the financial year (FY) 2012-13 improved slowly but was short on expectations. The highlights of the company performance are as under:-

Revenue from operation increased by 207.43 %.

Profit before tax increased by 206.33%

Net Block of Fixed Assets increased by 66.50%.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10303949	20/03/2013 *	130,000,000.00	STATE BANK OF INDIA	SME BRANCH, G.T. ROAD SHAHDARA, DELHI, DELHI - 110032, INDIA	B75142547

* Date of charge modification

FIXED ASSETS

Tangible Assets

· Land

· Buildings

· Plant and equipment

· Factory equipments

· Vehicles

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 :	SUB
Report Prepared by :	VRN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--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	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		29

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.