MIRA INFORM REPORT

Report Date :

13.12.2014

IDENTIFICATION DETAILS

Name :	SALASAR POLYTEX PRIVATE LIMITED
Registered Office :	3007, World Trade Centre, Near Udhna Darwaja, Ring Road, Surat – 395002, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	30.03.1999
Com. Reg. No.:	04-035669
Capital Investment / Paid-up Capital :	Rs.20.163 Millions
CIN No.: [Company Identification No.]	U17100GJ1999PTC035669
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 of Nylon Filament Yarn.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company possesses a modest financial profile characterized by acceptable net profitability and stabilized operations resulting into improved debt coverage indicators. However, trade relations are fair. Business is active. Payment terms are reported as slow but correct. In view of experienced promoters and successful implementation of the project, the subject can be considered for business dealings with some caution.

NOTES:

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long term bank facilities=BB
Rating Explanation	Inadequate credit quality and high credit risk.
Date	12.03.2014

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 PARTED BY

Name :	Mr. Kamlesh Mehta
Designation :	Accounts Department
Contact No.:	91-7600096612
Date :	12.12.2014

LOCATIONS

Registered Office :	3007, World Trade Centre, Near Udhna Darwaja, Ring Road, Surat – 395002, Gujarat, India
Tel. No. :	91-261-2349981
Mobile No.:	91-7600096612 (Mr. Kamlesh Mehta)
Fax No. :	Not Available
E-Mail :	salasarpoly@drdcs.net
Factory:	RS No.772/1-2, Block No.1040 and 1051/B, Village Tadkeshwar, Taluka Madvi, District Surat, Gujarat, India

DIRECTORS

AS ON 30.09.2014

Name :	Mr. Rajeshkumar Badriprasad Todi
Designation :	Director
Address :	504, Malhar Complex, Ichhanath Road, Surat – 395007, Gujarat, India
Date of Birth/Age :	24.06.1972
Date of Appointment :	30.03.1999
DIN No. :	00109406
Name :	Mr. Sanjay Kumar Todi
Designation :	Director
Address :	504, Malhar Complex, Ichhanath Road, Surat – 395007, Gujarat, India
Date of Birth/Age :	23.05.1968
Date of Appointment :	06.02.2004
DIN No. :	00109408
Name :	Anu Sanjaykumar Todi
Designation :	Director
Address :	A-901,Green Avenue, Union Park Street, Ghod Dod Road, Surat – 395001, Gujarat, India
Date of Birth/Age :	29.02.1976
Date of Appointment :	09.05.2009
DIN No. :	00163728
Name :	Mr. Sanjay Satyanarayan Todi
Designation :	Director
Address :	A-901, Green Avenue, Union Park Street, Ghod Dod Road, Surat – 395001, Gujarat, India
Date of Birth/Age :	09.01.1973
Date of Appointment :	09.05.2009
DIN No. :	00197729

KEY EXECUTIVES

Name :	Mr. Kamlesh Mehta
Designation :	Accounts Department

MAJOR SHAREHOLDERS

SHAREHOLDERS DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2014

Category	Percentage
Bodies corporate	77.00
Directors or relatives of Directors	23.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Nylon Filament Yarn.
Products :	Nylon Filament Yarn
Brand Names :	Not Divulged
Agencies Held :	Not Divulged
Exports :	Not Divulged
Imports :
Products :	Raw Material
Countries :	Taiwan
Terms :
Selling :	Cash and Advance Payment
Purchasing :	Cash and Advance Payment

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Not Divulged

Customers :

Not Divulged

No. of Employees :

100 (Approximately)

Bankers :

Banker Name :	Oriental Bank of Commerce and Allahabad Bank
Branch :	OBC - Jash Textile Market, Ring Road, Allahabad Bank - Alaknanda Apartment 864, Athugar Street, Surat – 395002, Gujarat, India
Person Name (With Designation) :	Mr. Parikh (Senior Manager)
Contact Number :	91-261-2340320
Name of Account Holder :	--
Account Number :	--
Account Since (Date/Year of Account Opening) :	--
Average Balance Maintained (If Possible) :	--
Credit Facilities Enjoyed (If any) :	WC=Rs.300.000 Millions
Account Operation :	--
Remarks (If any) :	--

• The Dhanalakshmi Bank Limited, Third Floor, Surat Vankar Bahavan, Ring Road, Surat – 395002, Gujarat, India

Facilities :

SECURED LOANS	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
Long Term Borrowings
Term loans
From Oriental Bank of Commerce (Plant and Machinery)	88.400	14.022
From Oriental Bank of Commerce (Buyers Credit)	0.000	114.693
From Allahabad Bank (Buyers Credit)	43.477	57.096
Short Term Borrowings
Loans repayable on demand
From Banks (CC-AB)	55.831	19.403
From Banks (CC-OBC)	74.513	0.000
From Allahabad Bank (Buyer Credit)	15.092	1.473
From Oriental Bank of Commerce (Buyer Credit)	0.000	60.236
From Tata Capital Limited (Car Loan)	(0.001)	0.237
From Allahabad Bank (Plant and Machinery 1 year Installment)	1.575	15.195
From Oriental Bank of Commerce (Plant and Machinery 1 year Installment)	25.000	25.000
Total	303.887	307.355

Banking Relations :	--
Auditors :
Name :	Todi Tulsyan and Company Chartered Accountants
Address :	2005-B, Rathi Palace, Surat – 395002, Gujarat, India
Tel. No. :	91-261-2345511 / 2730939
E-Mail :	deepak_ttc@yahoo.com
PAN No. :	AACFT0522C
Membership :	--
Associates :	· Salasar Yarn Private Limited · Salasar Filaments Private Limited · Parag International · Indian Polyster Limited · Agrawal Rayon Private Limited

CAPITAL STRUCTURE

AS ON 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.0000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2016250	Equity Shares	Rs.10/- each	Rs.20.163 Millions

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	20.163	17.020	17.020
(b) Reserves & Surplus	282.275	223.884	184.357
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	1.880	1.880
Total Shareholders’ Funds (1) + (2)	302.438	242.784	203.257
(3) Non-Current Liabilities
(a) long-term borrowings	140.942	192.204	63.551
(b) Deferred tax liabilities (Net)	12.241	12.189	12.979
(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)	153.183	204.393	76.530
(4) Current Liabilities
(a) Short term borrowings	172.010	121.544	305.393
(b) Trade payables	14.549	23.337	51.299
(c) Other current liabilities	15.156	2.335	7.458
(d) Short-term provisions	3.508	8.995	-0.400
Total Current Liabilities (4)	205.223	156.211	363.750
TOTAL	660.844	603.388	643.537
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	376.897	365.582	407.231
(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	2.704	6.827	6.827
(e) Other Non-current assets	3.086	4.629	6.173
Total Non-Current Assets	382.687	377.038	420.231
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	79.988	77.785	100.866
(c) Trade receivables	94.877	23.987	22.950
(d) Cash and cash equivalents	60.072	74.823	71.015
(e) Short-term loans and advances	39.110	42.581	8.922
(f) Other current assets	4.110	7.174	19.553
Total Current Assets	278.157	226.350	223.306
TOTAL	660.844	603.388	643.537

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	899.419	769.754	219.129
		Other Income	1.046	2.681	0.790
		TOTAL	900.465	772.435	219.919
	EXPENSES		878.475	724.010	225.968
	PROFIT/(LOSS) BEFORE TAX		21.990	48.425	(6.049)
Less	TAX		4.452	8.898	(50.021)
	PROFIT/(LOSS) AFTER TAX		17.538	39.527	(19.029)
	Earnings Per Share (Rs.)		8.70	--	--

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	1.95	5.14	(8.68)
Return on Total Assets (PBT/Total Assets}	(%)	3.33	8.03	(0.94)
Return on Investment (ROI) (PBT/Networth)		0.07	0.20	(0.03)
Debt Equity Ratio (Total Debt /Networth)		1.03	1.29	1.82
Current Ratio (Current Asset/Current Liability)		1.36	1.45	0.61

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Share Capital	17.020	17.020	20.163
Reserves & Surplus	184.357	223.884	282.275
Share Application money pending allotment	1.880	1.880	0.000
Net worth	203.257	242.784	302.438
long-term borrowings	63.551	192.204	140.942
Short term borrowings	305.393	121.544	172.010
Total borrowings	368.944	313.748	312.952
Debt/Equity ratio	1.815	1.292	1.035

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	219.129	769.754	899.419
		251.279	16.845

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	219.129	769.754	899.419
Profit	(19.029)	39.527	17.538
	(8.68%)	5.14%	1.95%

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	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	Yes

UNSECURED LOANS:

Particulars	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
Long Term Borrowings
Deposit	9.065	6.393
Total	9.065	6.393

INDEX OF CHARGE:

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10216641	27/09/2013 *	702,600,000.00	ORIENTAL BANK OF COMMERCE & ALLAHABAD BANK	OBC - JASH TEXTILE MARKET, RING ROAD, ALLAHABAD BNK - ALAKNANDA APPT 864, ATHUGAR STREET,SURAT, GUJARAT - 395002, INDIA	B86639275
2	10213606	27/09/2013 *	702,600,000.00	ORIENTAL BANK OF COMMERCE & ALLAHABAD BANK	OBC - JASH TEXTILE MARKET, RING ROAD, ALLAHABAD BNK - ALAKNANDA APPT 864, ATHUGAR STREET, SURAT, GUJARAT - 395002, INDIA	B86639622

*Date of modification Charges

NOTE: The registered office of the company has been shifted from 5007, World Trade Centre, Near Udhana Darwaja Ring Road, Surat – 395002, Gujarat, India to the present address w.e.f. 27.06.2011.

FIXED ASSETS:

· Air Conditioner

· Factory Land

· Factory Building

· Computer

· Electrical Installation

· Plant and Machinery

· Motor Car

· Furniture and Fixture

· Plant and Machinery (WIP)

· Office Equipments

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.62.42
UK Pound	1	Rs.98.15
Euro	1	Rs.77.38

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	SUB
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	3
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

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.