MIRA INFORM REPORT

Report Date :

04.02.2014

IDENTIFICATION DETAILS

Name :	JAYA SURGICAL AND PHARMA PRIVATE LIMITED
Registered Office :	H.No.16-10-27/150, Municipal Colony, Malakpet, Hyderabad – 500036, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	01.02.2006
Com. Reg. No.:	01-048977
Capital Investment / Paid-up Capital :	Rs. 0.600 Million
CIN No.: [Company Identification No.]	U24239AP2006PTC048977
TAN No.: [Tax Deduction & Collection Account No.]	HYDJ01724C
Legal Form :	Private Limited Liability Company
Line of Business :	Distributor of Medicines.
No. of Employees :	48 (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

Maximum Credit Limit :	USD 300000
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. There appears dip in profit of the company in the year 2013. However, overall financial position of the company appears to be decent. Trade relations are reported to be 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 – December 1, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
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

The services sector, the largest contributor to India’s GDP, contracted for the sixth consecutive month in December, as orders dipped. However, hiring has risen.  Direct tax collections rose 12.3 % during the April – December period of the current financial year.  The government has decided to retain 100 per cent foreign direct investment in both greenfield (new) and brown field (existing) pharmaceutical companies, despite concerns over genetic drugs going out of production, if multi-national companies take over domestic ones. In M&A deals, a non-compete clause would not be allowed, except in special circumstances. The Department of Industrial Policy and Promotion plans to release the next edition of its consolidated foreign direct investment policy document on March 31, incorporating changes made in the past year. DIPP compiles all policies related to India’s FDI regime into a single document to make it easy for investors to understand. 185 million estimated number of mobile internet users in India by June 2014, according to a report by the Internet & Mobile Association of India and IMRB International.  India had 110 million mobile internet users with 25 million in rural areas. $3.77 tn estimated global IT spending in 2014, according to research firm Gartner Inc. The growth forecast for this year is cut to 3.1 %from the earlier estimate of 3.5 %. The spending growth forecast for telecom services – a segment that accounts for more than 40 % at total IT spending – from 1.9 per cent to 1.2 per cent is the main reason for this overall IT cut. A Reserve Bank of India committee has recommended setting up a special category of lenders who would cater to small businesses and households, to expand the number of customers with access to banking services. These banks would focus on providing payment services and deposit products.  Indian banks want the free use of automated teller machines to be capped at five transactions in a month including that of the bank in which the account is active. This follows state government order to banks to install security guards at ATM booths after a woman banker was assaulted in Bangalore. The government is likely to present a vote on Account in mid-February. The annual Economic Survey will be tabled later in Parliament along with the full Budget. A full Budget for 2014/15 is likely to be present in July by the new government formed after the General Election. The government will soon launch an internet spy system, called Netra, to detect malafide messages. Security agency will deploy the system to capture dubious voice traffic on applications such as Skype and Google Talk, as well as tweeters.

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 31-03-2012.

INFORMATION PARTED BY

Name :	Mr. Rajeev
Designation :	Accounts Executive
Contact No.:	91-40-24542643
Date :	03.02.2014

LOCATIONS

Registered Office :	H.No.16-10-27/150, Municipal Colony, Malakpet, Hyderabad – 500036, Andhra Pradesh, India
Tel. No.:	91-40-24542643
Fax No.:	Not Available
E-Mail :	l.d.reddy@gmail.com jayasurgical@yahoo.co.in

DIRECTORS

AS ON 12.09.2013

Name :

Mr. Madhu Ramadugu

Designation :

Managing director

Address :

Flat No 101, 16-11-16/N/65 Sangapanduranga Residency Prashanthnagar, Malakpet, Hyderabad - 500036, Andhra Pradesh, India

Date of Birth/Age :

24.05.1976

Date of Appointment :

03.04.2007

DIN No.:

01660542

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	Company/ LLP Status	Defaulting status
1	U33112AP2001PTC037028	JAYA SURGICAL PRIVATE LIMITED	Director	16/07/2001	16/07/2001	Active	YES
2	U24239AP2005PTC047060	INDIGO HEALTH CARE PRIVATE LIMITED	Director	04/08/2005	04/08/2005	Active	YES
3	U24239AP2006PTC048977	JAYA SURGICAL AND PHARMA PRIVATE LIMITED	Managing director	03/04/2007	01/02/2006	Active	NO
4	U85100AP2007PTC055045	FUSION HEALTH CARE PRIVATE LIMITED	Director	07/08/2007	07/08/2007	Active	NO
5	U52300KA2012PTC065974	HOSPITALIS SUPPLY SOLUTIONS PRIVATE LIMITED	Managing director	14/12/2013	16/07/2013	Active	NO

Name :

Gorukanti Lakshmi

Designation :

Director

Address :

Plot No. 25, 321-A/18, Jubilee Hills, Hyderabad - 500004, Andhra Pradesh, India

Date of Birth/Age :

08.07.1959

Date of Appointment :

01.02.2006

DIN No.:

01813080

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	U65910AP1995PTC019958	NIPPON LEASING AND FINANCE COMPANY PRIVATE LIMITED	Director	29/08/2004	29/08/2004	-	Active	NO
2	U24239AP2006PTC048977	JAYA SURGICAL AND PHARMA PRIVATE LIMITED	Director	01/02/2006	01/02/2006	-	Active	NO
3	U45200AP2004PTC044603	BHAVISYA REALTERS PRIVATE LIMITED	Director	24/02/2006	24/02/2006	26/03/2008	Active	NO
4	U45200AP2004PTC044610	BANYANTREE PROMOTERS PRIVATE LIMITED	Director	24/02/2006	24/02/2006	12/10/2007	Active	NO
5	U45200AP2006PTC049409	TUNDRA REALTERS PRIVATE LIMITED	Director	27/04/2007	27/04/2007	08/10/2007	Active	NO
6	U45200AP2006PTC049580	RUBELLA REALTERS PRIVATE LIMITED	Director	27/04/2007	27/04/2007	26/03/2008	Active	NO
7	U45200AP2006PTC049405	MONSTER PROMOTERS PRIVATE LIMITED	Director	27/04/2007	27/04/2007	06/10/2007	Active	NO
8	U45200AP2006PTC049401	PAVLOVA REALTERS PRIVATE LIMITED	Director	18/09/2010	03/07/2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Rajeev
Designation :	Accounts Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 12.09.2013

Names of Shareholders	No. of Shares
R. Madhu	12000
G. Laxmi Devi	15000
G. Jayasree	15000
G. Vijaya Lakshmi	18000
Total	60000

AS ON 12.09.2013

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Distributor of Medicines.
Agencies Held :	· Roche Products Private Limited GSK Pharmaceutical Limited Dr. Reddy’s Laboratories Limited Abbott India Limited
Terms :
Selling :	Cash and Cheque
Purchasing :	Cash and Cheque

GENERAL INFORMATION

Customers :

Wholesalers, Retailers and End Users

No. of Employees :

48 (Approximately)

Bankers :

· HDFC Bank Limited

HDFC Bank House, Senapati Bapat Marg, Lower Parel [West], Mumbai - 400013, Maharashtra, India

· Andhra Bank

Malakpet Branch, Malakpet, Hyderabad - 500036, Andhra Pradesh, India

· Indian Overseas Bank

Raj Bhavan Road, Somajiguda,, Hyderabad - 500082, Andhra Pradesh, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG-TERM BORROWINGS
Vehicle loan from HDFC	0.553	0.000
SHORT TERM BORROWINGS
Cash Credit from HDFC	45.517	0.000
Total	46.070	0.000

Banking Relations :	--
Auditors :
Name :	Ramana Reddy And Associates Chartered Accountants
Address :	10-5-6/B, My Home Plaza, Off: 103, 2nd Floor, Masabtank, Hyderabad – 500028, Andhra Pradesh, India
Tel. No.:	91-40-23316426/ 23316912
Income-tax PAN of auditor or auditor's firm :	ABGPA6282M
Associated Companies :	· Fusion Health Care Private Limited Indigo Health Care Private Limited Medicine World Dheeraj Medicals Yashoda Healthcare Services Private Limited Yashoda Super Specialty Hospital

CAPITAL STRUCTURE

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
100,000	Equity Shares	Rs. 10/- each	Rs. 1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
60,000	Equity Shares	Rs. 10/- each	Rs. 0.600 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	0.600	0.600	0.600
(b) Reserves & Surplus	74.679	67.095	55.487
(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)	75.279	67.695	56.087
(3) Non-Current Liabilities
(a) long-term borrowings	0.553	0.000	0.000
(b) Deferred tax liabilities (Net)	0.250	0.174	0.095
(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)	0.803	0.174	0.095
(4) Current Liabilities
(a) Short term borrowings	45.517	0.000	0.000
(b) Trade payables	69.457	74.176	75.430
(c) Other current liabilities	3.404	3.839	2.083
(d) Short-term provisions	3.625	5.557	8.023
Total Current Liabilities (4)	122.003	83.572	85.536
TOTAL	198.085	151.441	141.718
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	3.612	3.385	1.202
(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	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	3.612	3.385	1.202
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	66.875	66.224	67.672
(c) Trade receivables	116.446	62.886	49.792
(d) Cash and cash equivalents	1.359	6.016	10.495
(e) Short-term loans and advances	5.781	5.970	3.139
(f) Other current assets	4.012	6.960	9.418
Total Current Assets	194.473	148.056	140.516
TOTAL	198.085	151.441	141.718

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	686.694	633.045	519.434
		Other Income	0.527	0.425	0.180
		TOTAL (A)	687.221	633.470	519.614
Less	EXPENSES
		Purchases	647.482	589.077	511.662
		Changes in inventories of finished goods, work in progress and stock in trade	(0.651)	1.447	(34.820)
		Employee benefit Expenses	9.395	8.327	6.030
		Other Expenses	14.217	12.084	8.427
		TOTAL (B)	670.443	610.935	491.299
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		16.778	22.535	28.315
Less	FINANCIAL EXPENSES (D)		5.196	5.179	4.194
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		11.582	17.356	24.121
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.297	0.113	0.083
	PROFIT BEFORE TAX (E-F) (G)		11.285	17.243	24.038
Less	TAX (H)		3.701	5.635	8.062
	PROFIT AFTER TAX (G-H) (I)		7.584	11.608	15.976
	Earnings Per Share (Rs.)		126.40	193.47	266.27

Expected Sales (2013-2014): Rs. 720.000 Millions

The above information has been parted by Mr. Rajeev (Accounts Executive)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	1.10	1.83	3.07
Net Profit Margin (PBT/Sales)	(%)	1.64	2.72	4.63
Return on Total Assets (PBT/Total Assets}	(%)	5.70	11.39	16.96
Return on Investment (ROI) (PBT/Networth)		0.15	0.25	0.43
Debt Equity Ratio (Total Debt/Networth)		0.61	0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.59	1.77	1.64

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	Yes
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	No

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10175624	03/08/2009	50,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSE, SENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI - 400013, MAHARASHTRA, INDIA	A69526630
2	10003926	03/04/2006	2,500,000.00	ANDHRA BANK	MALAKPET BRANCH, MALAKPET, HYDERABAD - 500036, ANDHRA PRADESH, INDIA	A00818724

CONTINGENT LIABILITIES:

Particulars	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
Bank Guarantees	0.980	2.400

FIXED ASSETS:

· Air Conditioners and Cold Room

Computers

Furniture and Fixture

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. 62.69
UK Pound	1	Rs. 102.97
Euro	1	Rs. 84.58

INFORMATION DETAILS

Information Gathered by :	JML
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--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
DEFAULTERS
--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.