MIRA INFORM REPORT

Report Date :

07.02.2014

IDENTIFICATION DETAILS

Name :	FORTUNE PHARMA PRIVATE LIMITED
Registered Office :	Tapadiya Terrace, 1^st Floor, Adalat Road, Aurangabad – 431 001, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	02.07.2002
Com. Reg. No.:	11-136393
Capital Investment / Paid-up Capital :	Rs.60.000 Millions
CIN No.: [Company Identification No.]	U24230MH2002PTC136393
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in manufacturing and marketing of various APLs and intermediaries for usage in human and veterinary health.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ca (14)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Management has failed to file the financial statements since F.Y.2012 whereas the financials for 2011 are filed with the government department but the same are not available with us. As per available financials of 2010, the company possesses a modest financial profile marked by low position of reserves and increasing debtors. As per the government the capital base of the company appears to be increasing during 2011. Business is active as per the status shown with the registrar of companies. Payment terms are reported as unknown. The company can be considered for business dealings on a safe and secured 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 onproviding 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.

LOCATIONS

Registered Office / Corporate Office :	Tapadiya Terrace, 1^st Floor, Adalat Road, Aurangabad – 431 001, Maharashtra, India
Tel. No.:	91-240-2338841 / 2361935
Fax No.:	91-240-2335273
E-Mail :	sales@fortunepharma.com devendraring@gmail.com headoffice@fortunepharma.com
Website :	www.fortunepharma.com
Production Facility :	B-6, MIDC Shendra Aurangabad – 431 210, Maharashtra India
Tel. No.:	91-240-6610731 / 725 / 730
Fax No.:	91-240-6610714

DIRECTORS

AS ON 30.09.2011

Name :

Mr. Sudhakar Haribhau Mulay

Designation :

Managing Director

Address :

Bansilal Nagar, Rahool Nagar, Aurangabad – 431 001, Maharashtra, India

Date of Birth/Age :

05.10.1940

Date of Appointment :

02.07.2002

DIN No.:

00449580

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	U45200MH1988PTC049587	MULAY CONSTRUCTIONS PRIVATE LIMITED	Managing director	10/11/1988	10/11/1988	Active	NO
2	U45200MH1989PTC050474	SWAPNALOK BUILDERS PRIVATE LIMITED	Managing director	25/01/1989	25/01/1989	Active	NO
3	U45200MH1991PTC060238	MULAY BROTHERS PRIVATE LIMITED	Director	11/02/1991	11/02/1991	Active	NO
4	U24230MH2002PTC136393	FORTUNE PHARMA PRIVATE LIMITED	Managing director	02/07/2002	02/07/2002	Active	NO
5	U24220MH1997PTC111488	S S ANTIBIOTICS PRIVATE LIMITED	Director	01/06/2005	01/06/2005	Dormant	NO

Name :

Mr. Vikram Sudhakar Mulay

Designation :

Director

Address :

‘Purandar’ Raj Nagar, Railway Station Road, Aurangabad – 431 030, Maharashtra, India

Date of Birth/Age :

08.11.1981

Date of Appointment :

02.07.2002

DIN No.:

00401608

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	U45200MH1988PTC049587	MULAY CONSTRUCTIONS PRIVATE LIMITED	Director	07/09/1998	07/09/1998	Active	NO
2	U45200MH1989PTC050474	SWAPNALOK BUILDERS PRIVATE LIMITED	Director	15/04/2001	15/04/2001	Active	NO
3	U24230MH2002PTC136393	FORTUNE PHARMA PRIVATE LIMITED	Director	02/07/2002	02/07/2002	Active	NO
4	U24220MH1997PTC111488	S S ANTIBIOTICS PRIVATE LIMITED	Director	15/08/2006	15/08/2006	Dormant	NO

Name :

Mr. Sangeeta Hemant Badhe

Designation :

Director

Address :

1228 / C, D G Shivaji Nagar, Pune – 411 030, Maharashtra, India

Date of Birth/Age :

28.09.1972

Date of Appointment :

02.07.2002

DIN No.:

01384965

Name :

Mr. Vishram Indrarao Jagtap

Designation :

Director

Address :

9, Near Mdhuban Ashram, Sai Vrindavan Colony, Plot No-9, Paitan Road, Aurangabad – 431 005, Maharashtra, India

Date of Birth/Age :

11.11.1972

Date of Appointment :

02.07.2002

DIN No.:

02410146

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	U45200MH1988PTC049587	MULAY CONSTRUCTIONS PRIVATE LIMITED	Director	18/03/1999	18/03/1999	Active	NO
2	U24230MH2002PTC136393	FORTUNE PHARMA PRIVATE LIMITED	Director	02/07/2002	02/07/2002	Active	NO
3	U15137MH2012PTC234015	SAI SHAM FOODTECH PRIVATE LIMITED	Director	01/08/2012	01/08/2012	Active	NO

MAJOR SHAREHOLDERS

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Sudhakar Haribhau Mulay	1350500
Vikram Sudhakar Mulay	1350000
Sangeeta Hemant Badhe	750000
Vishram Indrarao Jagtap	97000
Smita Sudhakar Mulay	688500
Bapusaheb Haribhau Pankade	70000
Rajaram Ganpati MoreSandip Sarjerao Patil	100000
Sandip Sarjerao Patil	30000
Sudam Kanbarao Kejgir	40000
Mulay Construction Private Limited, India	1250000
Swati Vikram Mulay	244000
Sudhakar Haribhau Mulay (HUF)	30000
Total	6000000

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2011

Category	Percentage
Bodies corporate	22.00
Directors or relatives of Directors	74.00
Other top fifty shareholders	4.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in manufacturing and marketing of various APLs and intermediaries for usage in human and veterinary health.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Canara Bank, Shahaganj Branch, Aurangabad – 431 001, Maharashtra, India

· The Malkapur Urban Co-op Bank Limited

Facilities :

SECURED LOANS:

Particulars	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
Term loan from Canara Bank (Secured by 1^st charge of land, building, plant and machinery etc. charge of mortgage on directors property and personal guarantees of all directors)	56.555	46.685
Cash credit Account Canara Bank (Secured by hypothecation of stocks)	31.686	50.853
Cholamandalam Finance Limited (Star Bus)	0.002	0.251
Cholamandalam Finance Limited (Mahindra Max)	0.372	0.000
ICICI Bank (Mahindra Logan)	0.145	0.348
ICICI Bank (Tata Safari)	0.438	0.622
Total	89.198	98.759

Banking Relations :	--
Auditors :
Name :	S. E. Kalantri and Company Chartered Accountants
Address :	Opposite Boys Hostel, S. B. College, Aurangpura, Aurangabad – 431 001, Maharashtra, India
PAN No.:	ABLFS3709K

CAPITAL STRUCTURE

AS ON 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
9000000	Equity Shares	Rs. 10/- each	Rs.90.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6000000	Equity Shares	Rs. 10/- each	Rs.60.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		60.000	30.000	30.000
2] Share Application Money		20.000	40.915	25.965
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		80.000	70.915	55.965
LOAN FUNDS
1] Secured Loans		89.198	98.759	104.674
2] Unsecured Loans		59.645	53.959	22.073
TOTAL BORROWING		148.843	152.718	126.747
DEFERRED TAX LIABILITIES		8.865	0.000	0.000
TOTAL		237.708	223.633	182.712
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		129.007	109.129	103.389
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		17.396	8.017	8.017
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	45.867	52.747	31.372
	Sundry Debtors	58.584	12.309	8.941
	Cash & Bank Balances	2.348	0.363	1.331
	Other Current Assets	0.961	0.961	0.820
	Loans & Advances	7.838	12.825	8.543
Total Current Assets		115.598	79.205	51.007
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000	0.000	0.000
	Other Current Liabilities	75.505	44.035	12.268
	Provisions	0.000	0.000	0.000
Total Current Liabilities		75.505	44.035	12.268
Net Current Assets		40.093	35.170	38.739
MISCELLANEOUS EXPENSES		12.589	14.687	16.784
PROFIT AND LOSS ACCOUNT		38.623	56.630	15.783
TOTAL		237.708	223.633	182.712

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income
		Other Income
		TOTAL	223.600	45.700	65.600
Less	EXPENSES
		TOTAL	198.600	68.800	55.800
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		25.000	(23.100)	9.800
Less	DEPRECIATION/ AMORTISATION		7.000	17.700	13.400
	PROFIT/(LOSS) BEFORE TAX		18.000	(40.800)	(3.600)
Less	TAX		0.000	0.000	0.000
	PROFIT/(LOSS) AFTER TAX		18.000	(40.800)	(3.600)
	Earnings Per Share (Rs.)		3.00	NA	NA

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	8.05	(89.28)	(5.49)
Return on Total Assets (PBT/Total Assets}	(%)	7.36	(21.66)	(2.33)
Return on Investment (ROI) (PBT/Networth)		0.22	(0.58)	(0.06)
Debt Equity Ratio (Total Debt /Networth)		1.86	2.15	2.26
Current Ratio (Current Asset/Current Liability)		1.53	1.80	4.16

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
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	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	No
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

OPERATING RESULTS:

During the year, subject had achieved a turnover of Rs.223.600 Millions against last year’s Rs.45.700 Millions. Subject is positive about its future growth.

UNSECURED LOANS:

Particulars	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
Mulay Constructions Private Limited	28.935	30.160
Deogiri Finance and Constructions Private Limited	0.327	0.327
Sudhakar H. Mulay (HUF)	0.000	0.300
Sudhakar H. Mulay	15.506	11.980
Vikram Sudhakar Mulay	14.877	11.192
Total	59.645	53.959

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10391736	30/11/2012	161,600,000.00	STATE BANK OF INDIA	INDUSTRIAL FINANCE BRANCH, JAGGI'S BUILDING, JALNA ROAD, KRANTI CHOWK, AURANGABAD, AURANGABAD - 431005, MAHARASHTRA, INDIA	B64041114
2	10286788	30/03/2011	170,000,000.00	STATE BANK OF INDIA	INDUSTRIAL FINANCE BRANCH, JAGGI'S BUILDING, JALNA ROAD, KRANTI CHOWK, AURANGABAD, AURANGABAD - 431005, MAHARASHTRA, INDIA	B12174769
3	90374854	12/05/1987 *	800,000.00	PUNJAB NATIONAL BANK	CUDDAPAH, CUDDAPAH, ANDHRA PRADESH, INDIA	-

* Date of charge modification

FIXED ASSETS:

· Industrial Plot

· Factory Building

· Plant and Machinery

· Furniture and Fixture

· Office Equipments

· Vehicles

· Site Development

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 records 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.62.50
UK Pound	1	Rs.101.92
Euro	1	Rs.84.50

INFORMATION DETAILS

Report Prepared by :

NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	1
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	1
--LEVERAGE	1~10	1
--RESERVES	1~10	1
--CREDIT LINES	1~10	1
--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		14

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.