MIRA INFORM REPORT

Report Date :

10.12.2014

IDENTIFICATION DETAILS

Name :	ASSOCIATED RUBBER CHEMICALS KOCHI PRIVATE LIMITED
Registered Office :	34/1397 A, Assochem Chambers NH -47 Bypass, Edappally, 682024 Kochi, Kerala
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	17.03.2003
Com. Reg. No.:	09-016018
Capital Investment / Paid-up Capital :	Rs. 0.600 Million
CIN No.: [Company Identification No.]	U24295KL2003PTC016018
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and trader of chemicals.
No. of Employees :	25 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 26000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. General financial position of the company seems to be sound and healthy. Profitability of the company is fair. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The company can be considered for business dealings at usual trade terms and condition.

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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

RBI DEFUILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFUILTERS’ 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 PARTED BY

Name :	Mr. Gangadharan
Designation :	Accountant Executive
Contact No.:	91-484-2332134
Date :	06.12.2014

LOCATIONS

Registered Office/Warehouse :	34/1397 - A, Assochem Chambers, NH-47, Bypass, Edappally, Kochi - 682024, Kerala, India
Tel. No.:	91-484-2332134/2331768/2339190
Fax No.:	91-484-2348028
E-Mail :	assochem@vsnl.com accounts@assochem.in
Website :	http://www.assochem.in
Location :	Owned
Branch Address:	Kavilthottam, Ernakulam – 682024, Kerala, India
Factory 1:	Angamaly Ernakulam, Kerala, India
Factory 2:	Plamudy Ernakulam, Kerala, India

DIRECTORS

As on 30.09.2014

Name :

Mr. Sambunamboodiri Thottam Narayanan

Designation :

Managing director

Address :

447-C, Kavilthottam, Manimala Road, Edappally P.O., Ernakulam - 682024, Kerala, India

Date of Birth/Age :

31.03.1958

Date of Appointment :

17.03.2003

DIN No.:

00799412

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	U45202KL1994PLC007752	PRANAVAM COMMUNITY CENTRE LIMITED	Director	28-09-99	28-09-99	-	Active	NO
2	U24295KL2003PTC016018	ASSOCIATED RUBBER CHEMICALS KOCHI PRIVATE LIMITED	Managing director	17-03-03	17-03-03	-	Active	NO
3	U25190DL2008PTC180173	SVR RUBBERS PRIVATE LIMITED	Director	27-06-08	27-06-08	-	Active	NO
4	U74140KL2009PTC024118	NSN CONSULTING PRIVATE LIMITED	Managing director	01-05-09	01-05-09	-	Active	NO

Name :

Ms. Latha Kallampilly Sankaran

Designation :

Director

Address :

50/447-C, Kavilthottam, Manimala Road, Edappally P.O., Ernakulam - 682024, Kerala, India

Date of Birth/Age :

15.08.1963

Date of Appointment :

17.03.2003

DIN No.:

00682463

Others 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	U24295KL2003PTC016018	ASSOCIATED RUBBER CHEMICALS KOCHI PRIVATE LIMITED	Director	17-03-03	17-03-03	-	Active	NO
2	U74140KL2009PTC024118	NSN CONSULTING PRIVATE LIMITED	Director	01-05-09	01-05-09	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Gangadharan
Designation :	Accountant Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares	Percentage
Sambunamboodiri Thottam Narayanan	25,000	41.67
Latha Kallampilly Sankaran	25,000	41.67
Nithu Sambhu	10,000	16.66
Total	60,000	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 Trader of Chemicals.
Products :	v Chemicals.
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	Finish Goods
Countries :	v Sri Lanka
Imports :
Products :	Raw Material
Countries :	v Europe
Terms :
Selling :	Cash and Credit (30 Days)
Purchasing :	Cash and Credit (30 Days)

GENERAL INFORMATION

Suppliers :

v Godrej Industries Limited, India

Customers :

Others

v Apolo Tyres Limited, India

No. of Employees :

25 (Approximately)

Bankers :

Banker Name	Dhanlaxmi Bank Limited
Branch Address	Palarivattom Branch, KMM Building, Opposite KSEB, Ernakulam-682025, Kerala, India
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Over Draft
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Term Loan:
HDFC Vehicle Loan	0.389	0.783
Dhanlaxmi Bank term Loan	1.172	1.523
ICICI Vehicle Loan	0.000	0.000
SHORT TERM BORROWINGS
Loan Repayable on Demand
Dhanlaxmi Bank Limited Overdraft	11.480	9.553
NSIC	0.000	0.000
Total	13.041	11.859

Note:-

BANK OD – Security Details:-

· Hypothecation of stock with 25% margin and Book Debts than 90 Days (margin 40%).

Collateral Security: -

· 77 Cents of land with industrial Building U/Sy no 313/5, Kottoppaly Village, Kothamangalam Taluk, Ernakulam District in the name of Mr. Sambhu Nambooothiri.

· 50 Cents of Land agricultural Land with Factory Building U/Sy no 320/51/58, Kattappady Village, Kathamangalam Taluk, Ernakulam District in the name of Mr. TN Sambhu Namboothiri.

· 21,900 cents of land U/Sy no 210/1A/6N 2A in Kattappady village, Kathamangalam Taluk, Ernakulam District in the name Mr. T N Sambhu Namboothiri

· 66.91 cents of Land with factory building U/Re Sy No 197/3, Block no. 11, Aluva Taluk, Angamaly Village, in the name of the company.

· 11.39 cents of residential plat with building U/Sy no 62/28 in Kanayannur Taluk, Edapally north village, Ernakulam in the name of Mr. TN Sambhu Namboothiri

Auditors :
Name :	Argee And Company Chartered Accountants
Address :	H. No.39/2695, Panthiyil Lane, Warriam Road, Kochi - 682016, Kerala, India
Tel. No.:	91-484-2366391/3953595
Mobile No.:	91-484-2366391
Fax No.:	aargee.co@gmail.com
E-Mail :	AAIFA5285B
Sister Concern :	Associated Chemical, 34/1397 - A, Assochem Chambers, NH-47, Bypass, Edappally, Kochi - 682024, Kerala, India
Enterprises with which the Company had transaction over which the key Managerial Personal/relatives Significant influence:	· Associated Chemicals, India · Metrochem, India

CAPITAL STRUCTURE

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.10/- each	Rs.1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
60000	Equity Shares	Rs.10/- each	Rs.0.600 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	0.600	0.600	0.600
(b) Reserves & Surplus	8.478	6.971	4.543
(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)	9.078	7.571	5.143
(3) Non-Current Liabilities
(a) long-term borrowings	1.561	2.306	1.692
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.075	1.184	2.199
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	1.636	3.490	3.891
(4) Current Liabilities
(a) Short term borrowings	16.917	15.249	13.552
(b) Trade payables	16.876	8.589	4.353
(c) Other current liabilities	2.999	3.965	1.236
(d) Short-term provisions	0.000	0.823	0.968
Total Current Liabilities (4)	36.792	28.626	20.109
TOTAL	47.506	39.687	29.143
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	8.000	8.754	7.035
(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	2.337	3.532	3.815
(c) Deferred tax assets (net)	0.187	0.163	0.159
(d) Long-term Loan and Advances	0.109	0.109	0.087
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	10.633	12.558	11.096
(2) Current assets
(a) Current investments
(b) Inventories	12.452	4.449	2.234
(c) Trade receivables	20.587	19.404	11.623
(d) Cash and cash equivalents	0.365	0.508	1.870
(e) Short-term loans and advances	3.451	2.768	2.320
(f) Other current assets	0.018	0.000	0.000
Total Current Assets	36.873	27.129	18.047
TOTAL	47.506	39.687	29.143

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	131.303	89.763	72.963
		Other Income	1.291	0.485	0.381
		TOTAL (A)	132.594	90.248	73.344
Less	EXPENSES
		Cost of Materials Consumed		68.582	55.292
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade		(1.346)	(1.431)
		Employees benefits expense		4.852	3.567
		Other expenses		11.399	9.728
		TOTAL (B)	127.236	83.487	67.156
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		5.358	6.761	6.188
Less	FINANCIAL EXPENSES (D)		1.659	1.593	1.564
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.699	5.168	4.624
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.419	1.466	1.317
	PROFIT BEFORE TAX (E-F) (G)		2.280	3.702	3.307
Less	TAX (H)		0.761	1.261	1.125
	PROFIT AFTER TAX (G-H) (I)		1.519	2.441	2.182
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		6.869	4.428	2.246
	BALANCE CARRIED TO THE B/S		8.378	6.869	4.428
	Earnings Per Share (Rs.)		25.32	40.68	36.36

Expected Sales (2014-15) : Rs.150.000 Millions

The above information has been parted by Mr. Gangadharan

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	1.16	2.72	2.99
Operating Profit Margin (PBITD/Sales)	(%)	4.08	7.53	8.48
Return on Total Assets (PBT/Total Assets}	(%)	5.07	10.29	13.14
Return on Investment (ROI) (PBT/Networth)		0.25	0.49	0.64
Debt Equity Ratio (Total Debt /Networth)		2.04	2.32	2.96
Current Ratio (Current Asset/Current Liability)		1.00	0.95	0.90

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.20112	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	0.600	0.600	0.600
Reserves & Surplus	4.543	6.971	8.478
Net worth	5.143	7.571	9.078
long-term borrowings	1.692	2.306	1.561
Short term borrowings	13.552	15.249	16.917
Total borrowings	15.244	17.555	18.478
Debt/Equity ratio	2.964	2.319	2.035

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	72.963	89.763	131.303
		23.025	46.277

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	72.963	89.763	131.303
Profit	2.182	2.441	1.519
	2.99%	2.72%	1.16%

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

Note: - Registered Office of the Company has been shifted from “Door No 50 447 Ckavilthottam Manimala Road, Edappally Post, Ernakulam- 682024, Kerala, India” to the present address w.e.f. 28.11.2012.

UNSECURED LOAN

(Rs. In Million)

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
SHORT TERM BORROWINGS
Loans From Directors
Latha K S	1.101	1.197
N S Namboodiri	4.335	4.499
Total	5.436	5.696

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10473717	28/12/2013	10,000,000.00	DHANLAXMI BANK LIMITED	PALARIVATTOM BRANCH, KMM BUILDING, OPP KSEB,, ERNAKULAM, Kerala - 682025, INDIA	B94764164
2	10368505	04/07/2012	1,800,000.00	DHANLAXMI BANK LIMITED	PALARIVATTOM BRANCH, KMM BUILDING, OPP.KSEB, KOCHI, Kerala - 682025, INDIA	B44897122
3	10268304	23/03/2011 *	3,400,000.00	DHANLAXMI BANK LTD	PALARIVATTOM BRANCH, KMM BUILDING, OPP.KSEB, KOCHI, Kerala - 682025, INDIA	B10436855
4	10011042	24/07/2006	750,000.00	DHANALAKSHMI BANK LIMITED	PALARIVATTOM, COCHIN, Kerala - 682025, INDIA	A02681245
5	90020013	12/06/2014 *	26,600,000.00	DHANLAXMI BANK LIMITED	PALARIVATTOM BRANCH, KMM BUILDING, OPP KSEB, KOCHI, Kerala - 682025, INDIA	C10465029

* Date of charge modification

FIXED ASSETS

· Land

· Building

· Plant and Machinery

· Vehicle

· Mobile phone

· Vacuum Cleaner

· Air Conditioner

· Computer

· Motor Car

· Office Equipment

· Generator

· Printer

· Bicycle

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. 92
UK Pound	1	Rs.96.37
Euro	1	Rs.76.10

INFORMATION DETAILS

Information Gathered by :	HTL
Analysis Done by :	KRN
Report Prepared by :	ANU

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	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		45

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.