MIRA INFORM REPORT

Report Date :

12.02.2014

IDENTIFICATION DETAILS

Name :	SHANTHA BIOTECHNICS LIMITED (w.e.f.25.08.2004)
Formerly Known As :	SHANTHA BIOTECHNICS PRIVATE LIMITED (w.e.f.20.08.2004) SHANTHA BIO TECHNICS PRIVATE LIMITED
Registered Office :	3^rd and 4^th Floor, H.No.5-10-173, Fateh Maidan Road, Basheerbagh, Hyderabad - 500004, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	10.03.1993
Com. Reg. No.:	01-015470
Capital Investment / Paid-up Capital :	Rs. 192.699 Millions
CIN No.: [Company Identification No.]	U24110AP1993PLC015470
TAN No.: [Tax Deduction & Collection Account No.]	HYDS07760E
PAN No.: [Permanent Account No.]	AAECS6982Q
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing of Biotechnology based Pharmaceutical Products.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Company has incurred loss from its operation in 2013. However, trade relations are fair. Business is active. Payment terms are slow but correct. The company 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.

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 worst is over for India’s economy with gross domestic product likely to expand 5 %to 5.5 % this year and more than 6 % in 2015, according to Moody’s Analytics. Concerns over the rupee and current account deficit are under control, said the agency. Ratings firm Crisil has forecast 6 % growth for 2014/15 up from the estimated 4.8 % for 2013/14.  Total economic growth, infrastructure bottlenecks and lack of transparency and consistency in foreign direct investment policies seem to have taken a toll on India’s attractiveness as an investment destination, says an Ernst & Young survey.  Projects with FDI component fell 16.4 % across the globe in 2012 from the previous year.  The drop in India was steeper at 21 %. State run carrier Air India is doling out free tickets to its 24000 employees, even as it expects to incur a loss of Rs 39000 mn this financial year and has a debt of Rs 350000 mn. 550000 number of jobs generated across India in 2013, a fall of 0.4 % as compared to with a year earlier. The National Capital Region has a one-fourth share in total jobs created, according to a study by industry lobby group Assochem, Banks, real estate, automobile and telecommunications sectors are showing a rise of job creation. $ 805 mn investments by venture capital firms in India during 2013, registering a drop of about 18 % over the previous year. The Information Technology and IT-Enabled Services Industry retained its status as the favourable venture capital investors in 2013. Pakistan has temporarily banned gold imports for the second time in six months, as it tries to stem smuggling into India. India’s import duty on gold is 10 % and curbs on purchases have dried up legal imports into what used to be the world’s biggest bullion buyers. The World Gold Council puts the amount smuggled into India at upto 200 tonnes in 2013. The Reserve Bank of India has proposed that unclaimed bank deposits estimated to be about Rs 35000 mn be used for education and awareness among depositors.  According to the plan, deposits that have not been claimed for at least 10 years will be transferred to the scheme.

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/ Corporate Office :	3^rd and 4^th Floors, H.No.5-10-173, Fateh Maidan Road, Basheerbagh, Hyderabad - 500004, Andhra Pradesh, India
Tel. No.:	91-40-23234104/ 23234105/ 23234136/ 66301000
Fax No.:	91-40-23234133/ 23234103
E-Mail :	rajasekar@shanthabiotech.co.in shanta@hdl.vsn1.net.in info@shanthabiotech.co.in kumar.tbn@shanthabiotech.co.in
Website:	http://www.shanthabiotechnics.com
Medchal Office/ Factory :	Post Box No. 4, Medchal, Hyderabad – 501401, Andhra Pradesh, India
Tel. No.:	91-8418-220922/ 220693/ 4/ 5
Fax No.:	91-8418-220656

DIRECTORS

AS ON 06.09.2013

Name :

Mr. Harish Venkatachalam Iyer

Designation :

Managing director

Address :

Plot No. 26, Vasanth Valley, Kondapur Village, Serilingampally Hyderabad – 500084, Andhra Pradesh, India

Date of Birth/Age :

22.10.1969

Qualification :

Ph.D (Chemical Engg.)

Date of Appointment :

30.08.2011

PAN No.:

AAJPI1323F

DIN No.:

02744989

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	U73100KA2008PLC046583	BIOCON RESEARCH LIMITED	Director	22/07/2010	24/08/2009	23/05/2011	Active	NO
2	U24110AP1993PLC015470	SHANTHA BIOTECHNICS LIMITED	Managing director	30/08/2011	13/06/2011	-	Active	NO

Name :

Koduru Iswara Varaprasad Reddy

Designation :

Director

Address :

Plot No.822, Road No.40, Jubilee Hills, Hyderabad – 500033, Andhra Pradesh, India

Date of Birth/Age :

30.06.1947

Qualification :

B.Sc., B.E., MBA

Date of Appointment :

30.08.2011

PAN No.:

AEOPK0334F

DIN No.:

00196148

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	U21011AP1991PTC012978	TRUST HOUSE TECHNICAL SERVICES PRIVATE LIMITED	Director	22/07/1991	22/07/1991	12/11/2010	Active	NO
2	U24110AP1993PLC015470	SHANTHA BIOTECHNICS LIMITED	Director	30/08/2011	10/03/1993	-	Active	NO
3	U72200AP1992PLC014675	ANANTH TECHNOLOGIES LIMITED	Director	01/06/1993	01/06/1993	13/11/2009	Active	NO
4	U65993AP1995PTC019842	SVAS INVESTMENTS PRIVATE LIMITED	Director	28/03/1995	28/03/1995	-	Active	NO
5	U10200AP1995PTC018574	MERICLONE BIOLUK PRIVATE LIMITED	Director	29/09/1995	29/09/1995	-	Strike off	NO
6	U31300AP1996PTC026016	INDUS INSUL PRIVATE LIMITED	Director	23/12/1996	23/12/1996	-	Active	NO
7	U31909DD1998PLC004665	NED ENERGY LIMITED	Director	11/12/1998	11/12/1998	29/09/2007	Active	NO
8	U24232AP2007PTC052719	SPARSHA PHARMA INTERNATIONAL PRIVATE LIMITED	Director	12/02/2007	12/02/2007	-	Active	NO
9	U85100AP2008PTC062090	SARVEJANA HEALTHCARE PRIVATE LIMITED	Director	30/09/2009	11/01/2009	-	Active	NO
10	U24100AP2009PTC062594	INDIAN INSTITUTE OF BIOTECHNOLOGY PRIVATE LIMITED	Director	23/01/2009	23/01/2009	-	Active	NO
11	U24239AP2005PTC047102	AHLADA ENGINEERS PRIVATE LIMITED	Director	27/09/2013	23/08/2013	-	Active	NO
12	U74300AP2011PTC078261	THARANGA DIGITAL NETWORKS INDIA PRIVATE LIMITED	Director	11/12/2013	11/12/2013	-	Active	NO

Name :

Mr. Shailesh Ayyangar

Designation :

Director

Address :

A7, Rashmi, Byramji Gamdia Road, Carmicheal Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

15.10.1954

Qualification :

A graduate in Veterinary Science, and holds a Post-graduate Degree in Business Management from the Indian Institute of Management (IIM), Ahmedabad, Gujarat

Date of Appointment :

30.08.2011

DIN No.:

00268076

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	U24230MH1997PTC111122	CHIRON BEHRING VACCINES PRIVATE LIMITED	Nominee director	21/10/2005	21/10/2005	08/07/2009	Active	NO
2	L24239MH1956PLC009794	SANOFI INDIA LIMITED	Managing director	25/10/2010	25/10/2005	-	Active	NO
3	U24230MH2002PLC137682	SANOFI-SYNTHELABO (INDIA) LIMITED	Managing director	18/11/2010	18/11/2005	-	Active	NO
4	U91120MH1965GAP013389	ORGANISATION OF PHARMACEUTICAL PRODUCERS OF INDIA	Director	23/09/2006	23/09/2006	-	Active	NO
5	U24232MH1996PTC205997	SANOFI PASTEUR INDIA PRIVATE LIMITED	Director	25/06/2009	22/06/2009	02/07/2009	Active	NO
6	U74999MH1924NPL001128	BOMBAY CHAMBER OF COMMERCE AND INDUSTRY	Director	09/06/2010	09/06/2010	13/09/2011	Active	NO
7	U24110AP1993PLC015470	SHANTHA BIOTECHNICS LIMITED	Director	30/08/2011	13/06/2011	-	Active	NO

Name :

Olivier Charmeil

Designation :

Director

Address :

75, Rue De Courcelles, Paris - 75008, France

Date of Birth/Age :

19.02.1963

Date of Appointment :

30.09.2010

DIN No.:

00370311

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	U24230MH2002PLC137682	SANOFI-SYNTHELABO (INDIA) LIMITED	Director	24/02/2006	24/02/2006	07/04/2011	Active	NO
2	L24239MH1956PLC009794	SANOFI INDIA LIMITED	Director appointed in casual vacancy	30/10/2006	30/10/2006	23/08/2011	Active	NO
3	U24110AP1993PLC015470	SHANTHA BIOTECHNICS LIMITED	Director	30/09/2010	03/09/2009	-	Active	NO

Name :

Jean Louis Grunwald

Designation :

Director

Address :

46 Hua Guan Avenue, Singapore - 589142

Date of Birth/Age :

20.05.1961

Date of Appointment :

30.08.2011

DIN No.:

00570064

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	L24239MH1956PLC009794	SANOFI INDIA LIMITED	Alternate director	02/09/2009	10/11/2006	27/10/2009	Active	NO
2	U24232MH1996PTC205997	SANOFI PASTEUR INDIA PRIVATE LIMITED	Additional director	25/11/2010	25/11/2010	12/06/2011	Active	NO
3	U24110AP1993PLC015470	SHANTHA BIOTECHNICS LIMITED	Director	30/08/2011	13/06/2011	-	Active	NO

Name :

Philippe Grillet

Designation :

Director

Address :

13, Rue Brochant Paris 75017, France

Date of Birth/Age :

09.10.1958

Date of Appointment :

06.09.2013

DIN No.:

06633315

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	U24110AP1993PLC015470	SHANTHA BIOTECHNICS LIMITED	Director	06/09/2013	05/08/2013	Active	NO

KEY EXECUTIVES

Name :	Mr. Rajasekar Narayanasamy
Designation :	Secretary
Address :	Plot No. 13, Cyber Medows, Kondapur, Hyderabad, Andhra Pradesh, India
Date of Birth/Age :	14.08.1961
Date of Appointment :	23.04.2001
PAN No.:	ABKPN6370M

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 06.09.2013

NOTE: SHAREHOLDING DETAILS FILE ATTACHED

AS ON 06.09.2013

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	97.12
Directors or relatives of directors	2.76
Other	0.12
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing of Biotechnology based Pharmaceutical Products.

Products/ Services :

ITC Code No.	Product Descriptions
30022012	Vaccine Hepatitis

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	· IDBI Bank Limited # 5-9-89/1 and 2, Chapel Road, Hyderabad - 500001, Andhra Pradesh, India · Export-Import Bank Of India Floor 21, Centre One Building, World Trade Centre, Cuffe Parade, Mumbai - 400006, Maharashtra, India · Indian Overseas Bank 1-2-61 and 62, Parklane, Secunderabad, Secunderabad - 500003, Andhra Pradesh, India

Banking Relations :	--
Auditors :
Name :	Price Waterhouse And Company Chartered Accountants
Address :	#8-2-293/82/A/1131A, Road no 36 Jubilee Hills, Hyderabad – 500034, Andhra Pradesh, India
Income-tax PAN of auditor or auditor's firm :	AAEFP5579P
Ultimate Holding company :	Sanofi SA, France
Holding company :	Sanofi Pasteur Merieux SAS, France
Subsidiary company :	Shantha West Inc
Fellow Subsidiary company :	· Sanofi Pasteur India Private Limited [U24232MH1996PTC205997] Sanofi-Synthelabo (India) Limited [U24230MH2002PLC137682] Sanofi India Limited [L24239MH1956PLC009794] Sanofi Aventis Pakistan Limited Sanofi Pasteur, Inc Sanofi Pasteur Thailand Sanofi Aventis Malaysia Sanofi Aventis Uruguay Sanofi Pasteur, SA (France) Sanofi Pasteur (USA) Sanofi Pasteur (Canada) Sanofi Aventis, Singapore Sanofi Aventis Deutschland Gmbh Sanofi Pasteur ASI TIC A.S. Turkey Frm Merial SAS

CAPITAL STRUCTURE

AS ON 06.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
25,000,000	Equity Shares	Rs. 10/- each	Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
20,283,137	Equity Shares	Rs. 10/- each	Rs. 202.831 Millions

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
25,000,000	Equity Shares	Rs. 10/- each	Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
19,269,926	Equity Shares	Rs. 10/- each	Rs. 192.699 Millions

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	192.699	172.437	162.306
(b) Reserves & Surplus	2620.849	897.321	51.726
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	1620.920	0.000
Total Shareholders’ Funds (1) + (2)	2813.548	2690.678	214.032
(3) Non-Current Liabilities
(a) long-term borrowings	67.406	1007.112	2059.746
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	47.580	38.834	54.099
Total Non-current Liabilities (3)	114.986	1045.946	2113.845
(4) Current Liabilities
(a) Short term borrowings	1750.000	0.000	0.582
(b) Trade payables	205.354	187.800	259.615
(c) Other current liabilities	103.367	844.162	1255.907
(d) Short-term provisions	27.331	27.346	138.193
Total Current Liabilities (4)	2086.052	1059.308	1654.297
TOTAL	5014.586	4795.932	3982.174
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1851.902	1921.100	1923.800
(ii) Intangible Assets	8.264	8.469	7.456
(iii) Capital work-in-progress	2194.494	1600.166	901.571
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.170	0.170	0.170
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	204.121	194.401	227.671
(e) Other Non-current assets	4.287	3.084	43.503
Total Non-Current Assets	4263.238	3727.390	3104.171
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	503.695	767.278	391.415
(c) Trade receivables	64.435	70.605	67.261
(d) Cash and cash equivalents	120.673	177.618	214.783
(e) Short-term loans and advances	60.181	47.759	195.755
(f) Other current assets	2.364	5.282	8.789
Total Current Assets	751.348	1068.542	878.003
TOTAL	5014.586	4795.932	3982.174

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	670.445	263.239	512.281
		Other Income	39.402	372.173	62.655
		TOTAL (A)	709.847	635.412	574.936
Less	EXPENSES
		Cost of materials consumed	242.411	216.473	173.483
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	273.322	(345.359)	(19.660)
		Employee benefit expense	350.627	385.024	340.929
		Other expenses	1083.231	864.752	717.602
		Exceptional items	0.000	(37.551)	768.881
		TOTAL (B)	1949.591	1083.339	1981.235
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(1239.744)	(447.927)	(1406.299)
Less	FINANCIAL EXPENSES (D)		111.075	175.752	111.648
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(1350.819)	(623.679)	(1517.947)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		147.404	141.566	117.621
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		(1498.223)	(765.245)	(1635.568)
Less	TAX (H)		0.000	0.000	(26.288)
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		(1498.223)	(765.245)	(1609.280)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(1943.948)	(1178.703)	430.577
	BALANCE CARRIED TO THE B/S		(3442.171)	(1943.948)	(1178.703)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	522.454	136.869	263.957
		Other Earnings	0.000	0.000	20.444
	TOTAL EARNINGS		522.454	136.869	284.401
	IMPORTS
		Raw Materials	73.142	85.576	44.658
		Stores & Spares	125.222	68.775	27.737
		Capital Goods	138.167	200.758	464.095
	TOTAL IMPORTS		336.531	355.109	536.490
	Earnings/ (Loss) Per Share (Rs.)		(79.63)	(45.50)	(99.15)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	(211.06)	(120.43)	(279.91)
Net Profit Margin (PBT/Sales)	(%)	(223.47)	(290.70)	(319.27)
Return on Total Assets (PBT/Total Assets}	(%)	(53.13)	(19.54)	(53.10)
Return on Investment (ROI) (PBT/Networth)		(0.53)	(0.28)	(7.64)
Debt Equity Ratio (Total Debt/Networth)		0.65	0.37	9.63
Current Ratio (Current Asset/Current Liability)		0.36	1.01	0.53

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	Yes
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	No
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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY

UNSECURED LOANS

UNSECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG-TERM BORROWINGS
Loans repayable on demand	0.000	920.000
Deferred sales tax loan	57.653	75.408
Other loans and advances	9.753	11.704
SHORT TERM BORROWINGS
Loans repayable on demand	1750.000	0.000
Total	1817.406	1007.112

CHANGE OF ADDRESS:

The Registered Office of the company has been shifted from Plot No. 822A, Road No. 40, Jubilee Hills, Hyderabad – 500033, Andhra Pradesh, India to the present address w.e.f.23.09.2008.

GENERAL INFORMATION

Subject is a limited company incorporated under the provisions of the Companies Act 1956 and is primarily engaged in the business of manufacturing biotechnology based pharmaceutical products.

PERFORMANCE OF THE COMPANY

The company could achieve a turnover of Rs. 670.445 Millions during the year 2012-13 compared to Rs. 263.239 Millions during the previous year. The increase is mainly due to Export sales increase by Rs. 210.845 Millions. The company sales is less mainly due to loss of prequalification of Shan5, Company’s premium product.

The company is working on remediation plans and is hopeful off getting the product prequalified by WHO in year 2014.

SPECIAL ECONOMIC ZONE (SEZ)

The company is developing a Special Economic Zone in Muppireddypally near the current facilities for research and manufacturing of biotech products and related services. The SEZ has been notified by the Government of India in August 2010. The company is also constructing manufacturing facilities in the SEZ for the manufacturing and filling of various vaccines. The facilities are expected to get into commercial operations in the year 2014.

FIXED ASSETS:

· Land

Buildings

Other building

Plant and equipment

Other plant and equipment

Furniture and fixtures

Vehicles

Motor vehicles

Office equipment

Other equipments

Computer software

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. 62.44
UK Pound	1	Rs. 102.48
Euro	1	Rs. 85.28

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		32

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	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.