MIRA INFORM REPORT

Report Date :

29.12.2014

IDENTIFICATION DETAILS

Name :	SHREE HARI YARNS PRIVATE LIMITED

Registered Office :	House No. 5975, Gat No. A-1a 3, Laxmi Process Road, Behind MSEB Office, Ichalkaranji – 416115, Maharashtra

Country :	India

Financial as on:	31.03.2014

Date of Incorporation :	31.05.2010

Com. Reg. No.:	136433

Paid-up Capital :	Rs. 9.105 Millions

CIN No.: [Company Identification No.]	U17120PN2010PTC136433

TAN No.: [Tax Deduction & Collection Account No.]	KLPS08494D

PAN No.: [Permanent Account No.]	AAOCS3562Q

Legal Form :	Private Limited Liability Company

Line of Business :	Trader and Distributor of Yarns.

No. of Employees :	16 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Status :	Satisfactory

Payment Behaviour :	Slow but correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track. General financial position of the company seems to be sound and healthy. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered 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 – September 30, 2014

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

India

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

EXTERNAL AGENCY RATING

Rating Agency Name	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	Not Available

RBI DEFAILTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAILTERS’ 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. Sunil Pareek
Designation :	Accountant
Contact No.:	91-9371120961
Date :	27.12.2014

LOCATIONS

Registered Office / Warehouse :	House No. 5975, Gat No. A-1a 3, Laxmi Process Road, Behind MSEB Office, Ichalkaranji – 416115, Maharashtra, India
Tel. No.:	91-230-2438430 / 1 / 2 / 3 / 329 / 3349 / 98606
Mobile No.:	91-9371120961 (Mr. Sunil Pareek)
Fax No.:	91-230-2438441
E-Mail :	sunil@sryarn.com ravi@sryarn.com amrutparakh@rediffmail.com
Area :	4000 Sq.ft
Location :	Rented

DIRECTORS

AS ON 27.09.2014

Name :

Mr. Ravishankar Harishankar Panchloria

Designation :

Director

Address :

House No. 5975, Gat No. A-1a 3, Laxmi Process Road, Behind MSEB Office, Ichalkaranji – 416115, Maharashtra, India

Date of Birth/Age :

01.07.1977

Date of Appointment :

31.05.2010

DIN No.:

03034718

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	U17120PN2010PTC136433	SHREE HARI YARNS PRIVATE LIMITED	Director	31/05/2010	31/05/2010	-	Active	NO
2	U17219PN2005PTC020780	BALDEV TEXTILE MILLS PRIVATE LIMITED	Director	25/09/2014	05/06/2014	-	Active	NO

Name :

Mr. Ankit Subhashkumar Sonthalia

Designation :

Director

Address :

House No. 5975, Gat No. A-1a 3, Laxmi Process Road, Behind MSEB Office, Ichalkaranji – 416115, Maharashtra, India

Date of Birth/Age :

25.02.1987

Date of Appointment :

31.05.2010

DIN No.:

03034729

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	U17120PN2010PTC136433	SHREE HARI YARNS PRIVATE LIMITED	Director	31/05/2010	31/05/2010	-	Active	NO
2	U17219PN2005PTC020780	BALDEV TEXTILE MILLS PRIVATE LIMITED	Director	25/09/2014	05/06/2014	-	Active	NO

Name :

Mr. Harishankar Ramdhan Panchloriya

Designation :

Director

Address :

House No. 5975, Gat No. A-1a 3, Laxmi Process Road, Behind MSEB Office, Ichalkaranji – 416115, Maharashtra, India

Date of Birth/Age :

05.06.1955

Date of Appointment :

31.05.2010

DIN No.:

00241981

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	U51494WB1996PTC077210	SHREE HARI STORES ( CLOTH ) PVT LTD	Director	12/02/1996	12/02/1996	-	Active	NO
2	U17219PN2005PTC020780	BALDEV TEXTILE MILLS PRIVATE LIMITED	Director	25/05/2005	25/05/2005	-	Active	NO
3	U17120PN2010PTC136433	SHREE HARI YARNS PRIVATE LIMITED	Director	31/05/2010	31/05/2010	-	Active	NO

Name :

Mr. Ashish Subhash Sonthaliya

Designation :

Director

Address :

Durga Nivas, 17, Sailo Kumar Mukharjee Road, Howrah – 711101, West Bengal, India

Date of Birth/Age :

30.06.1985

Date of Appointment :

31.05.2010

DIN No.:

00316020

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	U17299WB2005PTC101285	S.R. TEXWASH PRIVATE LIMITED	Director	24/01/2005	24/01/2005	30/11/2009	Active	NO
2	U17219PN2005PTC020780	BALDEV TEXTILE MILLS PRIVATE LIMITED	Director	27/05/2005	27/05/2005	-	Active	NO
3	U17120PN2010PTC136433	SHREE HARI YARNS PRIVATE LIMITED	Director	31/05/2010	31/05/2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Sunil Pareek
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 27.09.2014

Name of Shareholders	No. of Shares
Shree Harishankar Panchloriya 131,B.L.	250
Ravishankar H Panchloriya	5250
Ashish S. Sonthalia	250
Ankit S.Sonthalia	250
Harishankar Panchloriya(HUF)	20100
Ravishankar Panchloriya(HUF)	100
Sonali Ravishankar Panchloria	5100
Sumitradevi H. Panchloria	15400
Subhash kumar Sonthali	100
Subhashkumar Sonthalia(HUF)	3850
Sushila Subhash. Sonthalia	100
Sureshkumar Sonthalia	5100
Sureshkumar Sonthalia (HUF)	20550
Chandan H. Panchloria	100
Sarla Gupta	100
Saurav S. Sonthalia	5000
Rameshkumar Sonthalia (HUF)	100
Ashish Sonthalia (HUF) I	2200
Neha Sonthalia	2000
Sushila Suresh Sonthalia	1300
Ramswaroop Baldev Purohit	100
Radiant Equity Management Private Limited, India	3700
Shriniwas Nandkishor Purohit	1
Poonamchand Jagdishprasad Chodak	1
Ritika Sonthalia	50

Total	91052

Equity Share Break up (Percentage of Total Equity)

AS ON 27.09.2014

Category	Percentage
Bodies corporate	4.00
Directors or relatives of Directors	96.00

Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Distributor of Yarns.

Brand Names :	Not Divulged

Agencies Held :	Not Divulged

Exports :	Not Divulged

Imports :	Not Divulged

Terms :
Selling :	Cash, Credit

Purchasing :	Cash, Credit

PRODUCTION STATUS : NOT AVAILABLE

GENERAL INFORMATION

Supplier :

· S. R. Yarn Distributors

· Chaitanya Consultancy Services

· IDEA Cellular Limited

· M.S.E.D. Company Limited

Customers :

Wholesalers, Retailers

· A.L. Textiles

· Ambrish Exports

· Anjani Textiles

· Arihant Syncotex Mills Private Limited

No. of Employees :

16 (Approximately)

Bankers :

· Ratnakar Bank Limited, House No. 5975, Gat No. A1-1a3, Laxmi Process Road, Behind MSEB Office, Ichalkaranji - 416115, Maharashtra, India

· The Ratnakar Bank Limited, Shahupuri, Kolhapur - 416115, Maharashtra, India

Facilities :

Secured Loan	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
Long-term Borrowings
State bank of India – Car Loans	1.661	0.000
Short-term borrowings
The Ratnakar Bank Limited CC A/c [Secured by way of hypothecation of movable inventories and book debts, both present and future. Further secured by way of equitable mortgage of the immovable property situated at present premises no 27-211, Street No.262, Erstwhile Plot No.67, Block No. CD, Rajrhat, West Bengal admeasuring are of 3230.30 Sq.ft. owned by father of director Mr. Subhaskumar Sonthalia. ]	43.683	28.963
Total	45.344	28.963


Banking Relations :	--

Auditors :
Name :	S. N. Randar and Associates Chartered Accountants
Address:	Shantiniketan, Ward No. 5, H. No. 400/1, Date Mala, Ichalkaranji - 416115, Maharashtra, India
Tel. No.:	91-230-2425699
Fax No.:	91-230-2425697
Email:	randarca@gmail.com
PAN No.:	AAZPR5930R

Memberships :	Not Available

Collaborators :	Not Available

Holding Company :	Radiant Equity Management Private Limited, India

CAPITAL STRUCTURE

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount

100000	Equity Shares	Rs. 100/- each	Rs. 10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

91052	Equity Shares	Rs. 100/- each	Rs. 9.105 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	9.105	9.100	9.100
(b) Reserves & Surplus	23.121	16.586	10.328
(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)	32.226	25.686	19.428

(3) Non-Current Liabilities
(a) long-term borrowings	28.953	35.555	20.129
(b) Deferred tax liabilities (Net)	0.003	0.000	0.007
(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)	28.956	35.555	20.136

(4) Current Liabilities
(a) Short term borrowings	43.683	28.963	29.023
(b) Trade payables	52.268	80.407	82.943
(c) Other current liabilities	1.502	2.408	1.002
(d) Short-term provisions	0.000	0.000	0.347
Total Current Liabilities (4)	97.453	111.778	113.315

TOTAL	158.635	173.019	152.879

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	3.296	1.247	1.306
(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	0.008	0.000
(d) Long-term Loan and Advances	1.300	0.852	0.127
(e) Other Non-current assets	0.078	0.088	0.128
Total Non-Current Assets	4.674	2.195	1.561

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	2.003	1.802	0.202
(c) Trade receivables	148.132	167.201	149.093
(d) Cash and cash equivalents	1.417	0.996	1.918
(e) Short-term loans and advances	2.409	0.825	0.105
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	153.961	170.824	151.318

TOTAL	158.635	173.019	152.879

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	688.945	785.221	552.555
	Other Income
	TOTAL	688.945	785.221	552.555

Less	EXPENSES
	TOTAL	678.833	775.877	544.989

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	10.112	9.344	7.566

Less/ Add	DEPRECIATION/ AMORTISATION	0.364	0.301	0.185

	PROFIT/ (LOSS) BEFORE TAX	9.748	9.043	7.381

Less	TAX	3.041	2.785	2.291

	PROFIT/ (LOSS) AFTER TAX	6.707	6.258	5.090

	Earnings / (Loss) Per Share (Rs.)	73.66	68.77	55.93

Expected Sales ( 2014-2015 ) : Rs.720.000 Millions

The above information has been parted / denied by Mr. Sunil Pareek.

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT/ Sales	(%)	0.97	0.80	0.92

PBIDT / Sales	(%)	1.47	1.19	1.37

Return on Total Assets (PBT/Total Assets}	(%)	6.14	5.23	4.83

Return on Investment (ROI) (PBT/Networth)		0.30	0.35	0.38

Debt Equity Ratio (Total Debt /Networth)		2.25	2.51	2.53

Current Ratio (Current Asset/Current Liability)		1.58	1.53	1.34

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	9.100	9.100	9.105
Reserves & Surplus	10.328	16.586	23.121
Share Application money pending allotment	0.000	0.000	0.000
Net worth	19.428	25.686	32.226

long-term borrowings	20.129	35.555	28.953
Short term borrowings	29.023	28.963	43.683
Total borrowings	49.152	64.518	72.636
Debt/Equity ratio	2.530	2.512	2.254

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	552.555	785.221	688.945
		42.107	(12.261)

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	552.555	785.221	688.945
Profit	5.090	6.258	6.707
	0.92%	0.80%	0.97%

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	Yes
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	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
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	No

UNSECURED LOAN

PARTICULARS	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
Long-term Borrowings
Loans and advances from related parties
Loans from shareholder	9.408	21.467
Loans from deposits	17.884	14.088
Total	27.292	35.555
Note : Loans from director and shareholders has not having definite maturity, however they have given commitment for long term investment.

FIXED ASSETS

· Air Conditioner

· Card Punching Machine

· Electric Installation

· Fax Machine

· Furniture and Fixture

· Generator

· Motor Cycle

· Nestle Tea Coffee Vending Machine

· Office Equipment

· Testing Instrument

· Vacuum Cleaner

· Motor Car

· Computer

· Mobile Phone

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.63.64
UK Pound	1	Rs.98.98
Euro	1	Rs.77.74

INFORMATION DETAILS

Information Gathered by :	NYA

Analysis done by :	KAR

Report Prepared by :	SNT

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	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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		42

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.

MIRA INFORM REPORT

Unit