MIRA INFORM REPORT

Report Date :

02.05.2014

IDENTIFICATION DETAILS

Name :	KARNAVATI ENGINEERING LIMITED
Registered Office :	Cadila Corporate Complex, Sarkhej Dholka Road, Bhat, Ahmedabad – 382 210, Gujarat
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	13.07.1981
Com. Reg. No.:	04-004488
Capital Investment / Paid-up Capital :	Rs.30.000 millions
CIN No.: [Company Identification No.]	U29199GJ1981PLC004488
IEC No.:	0896005666
TAN No.: [Tax Deduction & Collection Account No.]	AHMK00433G
PAN No.: [Permanent Account No.]	AAACK6047Q
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is engaged into the business of manufacturing and exporting of pharma machinery and allied equipments.
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 rating is constrained on account of low reserves of the company and increased in external borrowing of the company over previous year, which acts as threatening to the liquidity position of the company. However, trade relations are fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealing 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 – March 31, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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

US investment bank Goldman Sachs has upgraded its outlook on Indian markets as it expects positive impact of the election cycle.

India’s economy may grow 4.7 % in the current financial year, lower than the official estimate of 4.9 %, Fitch Rating said. The global rating agency expects the economy to pick up in the next two financial years.

Global ratings agency Standard & Poor said increasing focus by India Inc on lowering debt is likely to improve their credit profiles.

Singapore (1.1 million Indian tourists in 2012), Thailand (one million), the United Arab Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred holidays hotspots for Indians. The total figure is expected to increase to 1.93 million by 2017, according to the latest Eurmonitor international report.

There is a $29.34 bn outward foreign direct investment by domestic companies between April and January of 2013/14 which has seen some signs of recovery according to a Care Ratings report.

There are 264 number of new companies being set up every day on average during 2014. Most of them are registered in Mumbai. India had 1.38 million registered companies at the end of January, 2014.

Twitter like messaging service Weibo Corporation has filed to raise $ 500 million via a US initial public offering. Alibaba, which owns a stake in Weibo is expected to raise about $ 15 billion New York this year in the highest profile Internet IPO since Facebook’s in 2012.

Bharti Airtel has raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at a coupon rate of three per cent and maturing in 2020. This is the largest ever bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon rate in February.

Indian Oil Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex at its almost complete Paradip refinery in Odhisha in three to four years. The company board is set to consider the setting up of a 700000 tonne per annum polypropylene plant at an estimated cost at Rs.3150 crore.

Global chief information officers at gathering in Bangalore in April to meet Indian startups at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in the making.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Bank Facilities: BB+
Rating Explanation	Moderate risk of default and high credit risk.
Date	December 03, 2013

Rating Agency Name	CARE
Rating	Short Term Bank Facilities: A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	December 03, 2013

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. Jayesh Mistry
Designation :	Export Department
Contact No.:	91-9099099338
Date :	28.04.2014

LOCATIONS

Registered Office :	Cadila Corporate Complex, Sarkhej Dholka Road, Bhat, Ahmedabad – 382 210, Gujarat, India
Tel. No.:	91-2718-225001
Mobile No.:	91-9099099338 (Mr. Jayesh Mistry)
Fax No.:	91-2718-225039
E-Mail :	secretarial@karnavationline.com info@karnavationline.com International Sales and Marketing: Gokul.songara@karnavationline.com Domestic Sales and Marketing: rbjoshi@karnavationline.com Global  Spares and Services Division (For Spares) spares.service@karnavationline.com (For Services) Gokul.songara@karnavationline.com mochi.kuldip@karnavationline.com Internal Sales: vishal.modi@karnavationline.com
Website :	http://www.cadilapharma.co.in http://www.karnavatiengineering.com
Locality :	Commercial
Head Office/ Corporate Office/ Factory :	Survey No.342, Nani Kadi, Taluka Kadi, District Mehsana – 382 715, Gujarat, India
Tel. No.:	91-2764-241464/ 65/ 66
Fax No.:	91-2764-242608/ 244205/ 242223
Branch Office :	Located at: · Mumbai · Delhi · Bangalore · Hyderabad · Chennai · Kerala

DIRECTORS

AS ON 28.09.2013

Name :

Dr. Rajiv Indravadan Modi

Designation :

Director

Address :

13, Sajiv Baug, New Sharda Mandir Road, Paldi, Ahmedabad – 380 007, Gujarat, India

Date of Birth/Age :

09.05.1960

Qualification :

M. Sc., B. Tech, PHD

Date of Appointment :

26.03.1990

DIN No.:

01394558

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	U29199GJ1981PLC004488	KARNAVATI ENGINEERING LIMITED	Director	26-03-1990	26-03-1990	-	Active	NO
2	U24231GJ1991PLC015132	CADILA PHARMACEUTICALS LIMITED	Managing director	01-07-2010	28-02-1991	-	Active	NO
3	U24231GJ1973PLC002286	CADILA LABORATORIES PRIVATE LIMITED	Director	05-10-1991	05-10-1991	-	Active	NO
4	U74120GJ1994PLC023239	IRM LIMITED	Director	11-10-1994	11-10-1994	-	Active	NO
5	U67120GJ1995PTC025713	CPL INFRASTRUCTURE PRIVATE LIMITED	Director	03-05-1995	03-05-1995	-	Amalgamated	NO
6	U51909GJ1995PLC027839	CASIL HEALTH PRODUCTS LIMITED	Director	17-10-1995	17-10-1995	-	Active	NO
7	U67120GJ1997PTC032109	CASIL FINANCE PRIVATE LIMITED	Director	15-04-1997	15-04-1997	-	Strike off	NO
8	U33111GJ1994PTC050484	MEDTEK ASIA PRIVATE LIMITED	Director	24-03-1999	24-03-1999	-	Amalgamated	NO
9	U24231GJ2000PLC038320	CASIL INDUSTRIES LIMITED	Director	01-10-2012	07-07-2000	-	Active	NO
10	U72200GJ2000PLC038743	CADINDIA INSURANCE COMPANY LIMITED	Director	04-10-2000	04-10-2000	-	Strike off	NO
11	U85110TN1997PLC039016	APOLLO HOSPITALS INTERNATIONAL LIMITED	Director	31-07-2006	31-07-2006	-	Active	NO
12	U63023GJ2008PLC052813	GREEN CHANNEL LOGI-SOLUTIONS LIMITED	Director	05-02-2008	05-02-2008	-	Active	NO
13	U85100GJ2008FTC052859	STEMCYTE INDIA THERAPEUTICS PRIVATE LIMITED	Director	07-08-2009	13-06-2008	-	Active	NO
14	U01403GJ2009PTC056409	CPL BIOLOGICALS PRIVATE LIMITED	Director	24-03-2009	24-03-2009	-	Active	NO
15	U65993GJ2009PTC056511	CPL HOLDINGS PRIVATE LIMITED	Director	01-04-2009	01-04-2009	-	Active	NO
16	U01403GJ2009PTC056669	CPL AGRO PRODUCTS PRIVATE LIMITED	Director	20-04-2009	20-04-2009	-	Active	NO
17	U45209GJ2008PTC055133	CPL INFRASTRUCTURE PRIVATE LIMITED	Director	08-10-2010	08-10-2010	-	Active	NO
18	U74999GJ2009PTC058116	IRM ENTERPRISES PRIVATE LIMITED	Director	30-09-2011	04-08-2011	-	Active	NO
19	U24230GJ2012PTC069227	CASIL BG MEDICAL DEVICES PRIVATE LIMITED	Director	28-02-2012	28-02-2012	-	Active	NO
20	U73100GJ2012PTC070636	INVERIKA BIORESEARCH PRIVATE LIMITED	Director	07-06-2012	07-06-2012	-	Active	NO
21	U24230GJ2012PLC071212	OMNICARE PHARMACEUTICALS LIMITED	Director	19-07-2012	19-07-2012	-	Active	NO
22	U70101GJ2013PTC074111	IRM PROPERTIES PRIVATE LIMITED	Director	21-03-2013	21-03-2013	-	Amalgamated	NO

Name :

Mrs. Monika Rajiv Garware Modi

Designation :

Director

Address :

13, Sajiv Baug, New Sharda Mandir Road, Paldi, Ahmedabad – 380 007, Gujarat, India

Date of Birth/Age :

04.06.1963

Date of Appointment :

10.08.1996

DIN No.:

00143400

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	L10889MH1957PLC010889	GARWARE POLYESTER LIMITED	Managing director	31-03-1989	31-03-1989	-	Active	NO
2	U91110MH1981NPL024836	B D GARWARE RESEARCH CENTRE	Director	09-04-1993	09-04-1993	-	Active	NO
3	U24110MH1995PLC090555	GARWARE CHEMICALS LIMITED	Director	13-07-1995	13-07-1995	30-08-2007	Active	NO
4	U24231GJ1991PLC015132	CADILA PHARMACEUTICALS LIMITED	Director	15-12-1995	15-12-1995	-	Active	NO
5	U51909GJ1995PLC027839	CASIL HEALTH PRODUCTS LIMITED	Director	10-08-1996	10-08-1996	-	Active	NO
6	U74120GJ1994PLC023239	IRM LIMITED	Director	10-08-1996	10-08-1996	-	Active	NO
7	U29199GJ1981PLC004488	KARNAVATI ENGINEERING LIMITED	Director	10-08-1996	10-08-1996	-	Active	NO
8	U67120GJ1995PTC025713	CPL INFRASTRUCTURE PRIVATE LIMITED	Director	10-08-1996	10-08-1996	-	Amalgamated	NO
9	U67120GJ1997PTC032109	CASIL FINANCE PRIVATE LIMITED	Director	15-04-1997	15-04-1997	-	Strike off	NO
10	U74999MH1989PLC053573	GARWARE INDUSTRIES LIMITED	Director	05-12-1998	05-12-1998	-	Amalgamated	NO
11	U65990MH1981PTC025590	MONIKA HOLDINGS PRIVATE LIMITED	Director	07-01-1999	07-01-1999	-	Amalgamated	NO
12	U24231GJ2000PLC038320	CASIL INDUSTRIES LIMITED	Director	04-07-2003	04-07-2003	-	Active	NO
13	U01403GJ2009PTC056409	CPL BIOLOGICALS PRIVATE LIMITED	Director	08-06-2009	08-06-2009	-	Active	NO
14	U70102MH2009PTC197095	GREAT DESIGN PROPERTIES PRIVATE LIMITED	Director	31-03-2010	31-03-2010	-	Amalgamated	NO
15	U45400MH2010PTC202621	ENVISION PROPERTIES PRIVATE LIMITED	Director	11-05-2010	11-05-2010	-	Amalgamated	NO
16	U45202MH2010PTC205261	BEST DESIGN PROPERTIES PRIVATE LIMITED	Director	16-07-2010	16-07-2010	-	Amalgamated	NO
17	U45400MH2007PTC172262	VIA INVESTMENT CONSULTANTS PRIVATE LIMITED	Director	07-09-2012	29-06-2012	-	Amalgamated	NO
18	U24119MH2003PTC139109	NAIGAON CHEMICALS PRIVATE LIMITED	Director	07-09-2012	29-06-2012	-	Amalgamated	NO
19	U24230GJ2012PLC071212	OMNICARE PHARMACEUTICALS LIMITED	Additional director	08-12-2012	08-12-2012	-	Active	NO
20	U85110TN1997PLC039016	APOLLO HOSPITALS INTERNATIONAL LIMITED	Additional director	08-12-2012	08-12-2012	-	Active	NO
21	U24230GJ2012PTC069227	CASIL BG MEDICAL DEVICES PRIVATE LIMITED	Director	26-08-2013	08-12-2012	-	Active	NO
22	U73100GJ2012PTC070636	INVERIKA BIORESEARCH PRIVATE LIMITED	Director	03-12-2013	08-12-2012	-	Active	NO
23	U63023GJ2008PLC052813	GREEN CHANNEL LOGI-SOLUTIONS LIMITED	Director	28-09-2013	08-12-2012	-	Active	NO
24	U24231GJ1973PLC002286	CADILA LABORATORIES PRIVATE LIMITED	Director appointed in casual vacancy	24-12-2012	24-12-2012	-	Active	NO
25	U70102MH2012PTC234792	GREAT VIEW REAL ESTATES PRIVATE LIMITED	Director	20-08-2013	10-01-2013	-	Active	NO
26	U74999MH2012PLC235072	GARWARE INDUSTRIEES LIMITED	Director	19-08-2013	10-01-2013	-	Active	NO
27	U70101GJ2013PTC074111	IRM PROPERTIES PRIVATE LIMITED	Director	21-03-2013	21-03-2013	-	Amalgamated	NO
28	U45209GJ2008PTC055133	CPL INFRASTRUCTURE PRIVATE LIMITED	Director	27-09-2013	01-06-2013	-	Active	NO
29	U74999GJ2009PTC058116	IRM ENTERPRISES PRIVATE LIMITED	Director	27-09-2013	01-06-2013	-	Active	NO
30	U01403GJ2009PTC056669	CPL AGRO PRODUCTS PRIVATE LIMITED	Director	27-09-2013	01-06-2013	-	Active	NO
31	U65993GJ2009PTC056511	CPL HOLDINGS PRIVATE LIMITED	Director	27-09-2013	01-06-2013	-	Active	NO

Name :

Mrs. Shilaben Indravadan Modi

Designation :

Director

Address :

13, Sajiv Baug, New Sharda Mandir Road, Paldi, Ahmedabad – 380 007, Gujarat, India

Date of Birth/Age :

09.12.1931

Date of Appointment :

10.08.1996

DIN No.:

01976356

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	U24231GJ1991PLC015132	CADILA PHARMACEUTICALS LIMITED	Director	16-12-1995	16-12-1995	-	Active	NO
2	U51909GJ1995PLC027839	CASIL HEALTH PRODUCTS LIMITED	Director	10-08-1996	10-08-1996	-	Active	NO
3	U74120GJ1994PLC023239	IRM LIMITED	Director	10-08-1996	10-08-1996	-	Active	NO
4	U29199GJ1981PLC004488	KARNAVATI ENGINEERING LIMITED	Director	10-08-1996	10-08-1996	-	Active	NO
5	U67120GJ1995PTC025713	CPL INFRASTRUCTURE PRIVATE LIMITED	Director	10-08-1996	10-08-1996	-	Amalgamated	NO
6	U67120GJ1997PTC032109	CASIL FINANCE PRIVATE LIMITED	Director	15-04-1997	15-04-1997	-	Strike off	NO
7	U72200GJ2000PLC038743	CADINDIA INSURANCE COMPANY LIMITED	Director	04-10-2000	04-10-2000	-	Strike off	NO
8	U24231GJ2000PLC038320	CASIL INDUSTRIES LIMITED	Director	04-07-2003	04-07-2003	-	Active	NO
9	U63023GJ2008PLC052813	GREEN CHANNEL LOGI-SOLUTIONS LIMITED	Director	05-02-2008	05-02-2008	-	Active	NO
10	U45209GJ2008PTC055133	CPL INFRASTRUCTURE PRIVATE LIMITED	Director	26-09-2008	26-09-2008	-	Active	NO
11	U01403GJ2009PTC056409	CPL BIOLOGICALS PRIVATE LIMITED	Director	24-03-2009	24-03-2009	09-06-2009	Active	NO
12	U65993GJ2009PTC056511	CPL HOLDINGS PRIVATE LIMITED	Director	01-04-2009	01-04-2009	-	Active	NO
13	U01403GJ2009PTC056669	CPL AGRO PRODUCTS PRIVATE LIMITED	Director	20-04-2009	20-04-2009	-	Active	NO
14	U74999GJ2009PTC058116	IRM ENTERPRISES PRIVATE LIMITED	Director	15-09-2009	15-09-2009	-	Active	NO
15	U24230GJ2012PLC071212	OMNICARE PHARMACEUTICALS LIMITED	Director	19-07-2012	19-07-2012	-	Active	NO
16	U70101GJ2013PTC074111	IRM PROPERTIES PRIVATE LIMITED	Director	21-03-2013	21-03-2013	-	Amalgamated	NO

Name :

Prof. Dhaval Janakkumar Mehta

Designation :

Director

Address :

B-13, Konark Karishma Apartment, Opposite Renuka Hall, Vastrapur, Ahmedabad – 380 015, Gujarat, India

Date of Birth/Age :

25.07.1938

Date of Appointment :

30.09.2011

DIN No.:

03410982

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	U29199GJ1981PLC004488	KARNAVATI ENGINEERING LIMITED	Director	30-09-2011	08-01-2011	-	Active	NO

Name :

Mr. Dilip Anubhai Shah

Designation :

Director

Address :

1, Sarthi-II, Opposite St. Kabir School, Thaltej, Ahmedabad – 380 054, Gujarat, India

Date of Birth/Age :

29.09.1939

Date of Appointment :

30.09.2010

DIN No.:

00027009

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	U29120GJ1991PTC015812	TMVT INDUSTRIES PRIVATE LIMITED	Managing director	31-05-2011	18-04-2005	-	Active	NO
2	U74999GJ2006PTC048346	VISHVA EXIM PRIVATE LIMITED	Director	30-05-2006	30-05-2006	-	Active	NO
3	U29190GJ2009PTC058117	STAR TECHNOCRATES PRIVATE LIMITED	Director	15-09-2009	15-09-2009	01-04-2012	Active	NO
4	U29199GJ1981PLC004488	KARNAVATI ENGINEERING LIMITED	Director	30-09-2010	13-08-2010	-	Active	NO
5	U29253GJ2013PTC076902	FERRO MACHINERY MANUFACTURERS PRIVATE LIMITED	Director	20-09-2013	20-09-2013	-	Active	NO

Name :

Mr. Mukund Sureshbhai Modi

Designation :

Director

Address :

702, Samarthya Heights, Opposite Asopalav Party Plot, Jodhpur Gam, Satellite, Ahmedabad – 380 015, Gujarat, India

Date of Birth/Age :

01.11.1958

Date of Appointment :

28.09.2013

DIN No.:

00092062

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	U51909GJ2003PTC042511	SHRIRANGAM ENTERPRISE PRIVATE LIMITED	Director	17-06-2003	17-06-2003	-	Active	YES
2	L15400GJ1993PLC020073	SANBLUE CORPORATION LIMITED	Director	29-09-2003	29-09-2003	11-01-2010	Active	NO
3	U29199GJ1981PLC004488	KARNAVATI ENGINEERING LIMITED	Director	28-09-2013	02-06-2013	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Jayesh Mistry
Designation :	Export Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2013

Names of Shareholders	No. of Shares
Rajiv I. Modi (Trustee of Mahendra Family Trust)	400
Rajiv I. Modi (Trustee of Mihir Trust)	400
Rajiv I. Modi (Trustee of Manthan Family Trust)	400
Shilaben I. Modi (Trustee of Raj Trust)	400
Rajiv I. Modi	2998398
Green Channel Logi-Solutions Limited, India	1
CPL Infrastructure Private Limited, India	1
Total	3000000

AS ON 28.09.2013

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged into the business of manufacturing and exporting of pharma machinery and allied equipments.

Products :

Products Descriptions	Item Code No.
Capsule Filling Machine	842230.01
Other Packing or Wrapping Machinery, Punches and Dies	842240.00

Brand Names :

“RIMEK”

Exports :

Products :

Finished Goods

Countries :

USA

Terms :

Selling :

L/C and Credit

Purchasing :

L/C and Credit

PRODUCTION STATUS (AS ON 31.03.2011):

Particulars	Unit	Licensed Capacity* [As per industrial Licence IL 116 (85)]	Installed Capacity* (As certified by the Directors)	Actual Production
Machineries (including attachments)	Nos.	--	--	342
Punches and Dies	Nos.	--	--	6886

NOTE:

* The licenced capacity are not stated in view of the abolilation of industrial licencing of all the class of goods.

* The installed capacity of machineries including attachments is Rs.81.000 millions per annum is as per the management being a technical matter.

GENERAL INFORMATION

No. of Employees :

100 (Approximately)

Bankers :

• Corporation Bank, Corporation Bank, Zonal Office, 2^nd Floor, Near Navrangpura Post Office, Navrangpura, Ahmedababd – 380 009, Gujarat, India
• Vijaya Bank, Industrial Finance Branch, Kamdhenu Complex, Ambawadi, Ahmedabad – 380 015, Gujarat, India
• Syndicate Bank, Ashram Road, Ahmedabad, Gujarat, India
• Export-Import Bank of India, Centre One Building, World Trade Centre, Cuffe Parade, Mumbai – 400 005, Maharashtra, India

Facilities :

Secured Loans	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG TERM BORROWINGS
Term Loans from Banks:
Term Loan from Bank and Financial Institution	10.000	10.500
Vehicle Loans	1.417	1.008
SHORT TERM BORROWINGS
Loans repayable on Demand:
Working Capital Loans from Bank	53.398	49.483
Total	64.815	60.991

Notes:

LONG TERM BORROWINGS

A. Securities for Term Loans:

(a-1) Term loans from a Financial Institution is secured by way of First pari passu charge equitable mortgaged (Created in favour of term lenders) of land along with immovable property situated at Survey No. 342 paiki at Mouje Village, Nani Kadi, Taluka Kadi, District Mehsana and as well as hypothecation of all plant and machinery installed at the facility.

(a-2) Term Loan from a Bank is secured by extension of First pari passu charge along with Exim Bank created on the entire Fixed Assets of the Company except Assets financed by other Bank. It is further secured by creating first pari passu charge along with Exim Bank on Factory Land and Building situated at S.No.312, Paiki at Mouje Village Nani Kadi, Taluka Kadi, District Mehsana and an upgradation of building and plant machinery financed by the Bank.

(b) Long Term working capital term loan is further secured by letter of comfort from Cadila Pharmaceuticals Limited (CPL), Company under the same Management, the said loan is further secured by way of second pari passu charge over entire current assets of the company both Current and Future.

(c) Secured by way of hypothecation of vehicle purchased.

B. Terms of repayment:

(a) The Term Loan from a Financial Institution is repayable in eleven equal quarterly instalments of Rs.1.500 millions each along with inter- @ 12.60% p.a.

(b) The Term Loan from a Bank is repayable in twenty equal quarterly instalments of Rs.1.125 millions each commencing from April 2014. Interest @ 12.50% p.a. is to be paid separately as and when due.

(c) Vehicle Loans are repayable in 48 monthly instalments. Such loans carry interest within a range of 10.50% - 13% p.a.

C. There are no continuous defaults in repayment of loan and interest thereon as on March 31, 2013 for all the loans under this head.

D. Terms of Repayment for Unsecured Long Term Borrowings:

a. Interest Free term loan finance provided by a related party is payable after a period of twelve months in accordance with the terms of repayment mutually agreed upon at me relevant time. This loan does not carry any interest.

SHORT TERM BORROWINGS

A. Working Capital Loans which are repayable on demand from Banks are secured by hypothecation of inventories lying at the factory premises or at any other place (including goods in Transit), Bills Receivable, Book Debts. Such loans carry interest @ 12.50% p.a.

B. There are no continuous defaults in repayment of loan and interest thereon as on March 31, 2013.

Banking Relations :	--
Auditors :
Name :	Mukesh M. Shah and Company Chartered Accountants
Address :	101-102, 1^st Floor, H.K. House, Ashram Road, Ahmedabad – 380 009, Gujarat, India
Tel. No.:	91-79-26585814/ 26580549
Fax No.:	91-79-26581236
E-Mail :	mukesh@mmsco.in contact@mmsco.in
Website :	www.mmsco.in
PAN No.:	AAIFM0810A
Enterprises significantly influenced by Directors and/ or their relatives :	Cadila Pharmaceuticals Limited Cadila Pharmaceuticals (Ethiopia) PLC Casil Health Products Limited Casil Industrial Limited IRM Limited IRM Enterprises Private Limited IRM Properties Private Limited CPL Infrastructure Private Limited Omnicare Pharmaceuticals Limited Inverika Bioresearch Private Limited Green Channel Logi-Solutions Limited IRM Trust Kaka-Ba and Kala Budh Public Charitable Trust

CAPITAL STRUCTURE

AS ON 28.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 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	30.000	30.000	30.000
(b) Reserves & Surplus	9.181	2.521	(5.017)
(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)	39.181	32.521	24.983
(3) Non-Current Liabilities
(a) Long-term borrowings	42.417	42.508	23.783
(b) Deferred tax liabilities (Net)	12.691	12.542	10.133
(c) Other long term liabilities	0.819	0.391	0.727
(d) Long-term provisions	2.796	2.871	2.585
Total Non-current Liabilities (3)	58.723	58.312	37.228
(4) Current Liabilities
(a) Short term borrowings	53.398	49.483	31.014
(b) Trade payables	49.965	47.360	62.489
(c) Other current liabilities	36.704	21.734	61.924
(d) Short-term provisions	4.758	0.080	0.080
Total Current Liabilities (4)	144.825	118.657	155.507
TOTAL	242.729	209.490	217.718
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	86.664	84.823	99.741
(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	0.102	0.050	0.050
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	29.046	11.677	12.342
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	115.812	96.550	112.133
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	86.239	80.785	71.808
(c) Trade receivables	28.589	22.154	24.771
(d) Cash and cash equivalents	1.592	2.937	4.727
(e) Short-term loans and advances	7.651	5.485	4.020
(f) Other current assets	2.846	1.579	0.259
Total Current Assets	126.917	112.940	105.585
TOTAL	242.729	209.490	217.718

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from Operations	210.216	195.488	154.727
		Other Income	0.244	0.330	0.176
		TOTAL (A)	210.460	195.818	154.903
Less	EXPENSES
		Cost of materials consumed	97.842	100.824	75.496
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(16.299)	(15.138)	1.818
		Employee benefit expense	49.174	39.871	37.610
		Other expenses	42.709	43.829	37.290
		Exceptional Items	0.000	0.000	0.101
		TOTAL (B)	173.426	169.386	152.315
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		37.034	26.432	2.588
Less	FINANCIAL EXPENSES (D)		11.241	8.037	9.191
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		25.793	18.395	(6.603)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		8.293	8.442	9.595
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		17.500	9.953	(16.198)
Less	TAX (H)		7.330	2.415	(5.663)
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		10.170	7.538	(10.535)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(4.221)	(11.759)	(1.224)
Less	APPROPRIATIONS
		Proposed Dividend	3.000	0.000	0.000
		Corporate Dividend Tax on Proposed Dividend	0.510	0.000	0.000
	BALANCE CARRIED TO THE B/S		2.439	(4.221)	(11.759)
	EARNINGS IN FOREIGN CURRENCY
		FOB value of Exports	98.994	73.719	69.388
		Installation and Commissioning Charges	7.867	2.500	3.378
	TOTAL EARNINGS		106.861	76.219	72.766
	CIF VALUE OF IMPORTS
		Raw Materials, Spares	14.309	0.000	0.655
	TOTAL IMPORTS		14.309	0.000	0.655
	Earnings / (Loss) Per Share (Rs.)		3.39	2.51	(3.51)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	4.83	3.85	(6.80)
Net Profit Margin (PBT/Sales)	(%)	8.32	5.09	(10.47)
Return on Total Assets (PBT/Total Assets}	(%)	7.21	4.75	(7.44)
Return on Investment (ROI) (PBT/Networth)		0.45	0.31	(0.65)
Debt Equity Ratio (Total Debt/Networth)		2.45	2.83	2.19
Current Ratio (Current Asset/Current Liability)		0.88	0.95	0.68

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns.)	(INR in Mlns.)	(INR in Mlns.)
Share Capital	30.000	30.000	30.000
Reserves & Surplus	(5.017)	2.521	9.181
Net worth	24.983	32.521	39.181
long-term borrowings	23.783	42.508	42.417
Short term borrowings	31.014	49.483	53.398
Total borrowings	54.797	91.991	95.815
Debt/Equity ratio	2.193	2.829	2.445

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Revenue from Operations	154.727	195.488	210.216
		26.344	7.534

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Revenue from Operations	154.727	195.488	210.216
Profit	(10.535)	7.538	10.17
	(6.81%)	3.86%	4.84%

LOCAL AGENCY FURTHER INFORMATION

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

INDEX OF CHARGES:

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10410842	18/02/2013	121,500,000.00	CORPORATION BANK	CORPORATION BANK, ZONAL OFFICE, 2ND FLOOR, NEAR NAVRANGPURA POST OFFICE, NAVRANGPURA, AHMEDABAD, GUJARAT - 380009, INDIA	B70269089
2	10206597	26/05/2010 *	24,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, WORLD TRADE CENTRE, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA	A86365954
3	90096984	17/06/2013 *	145,500,000.00	CORPORATION BANK	CORPORATION BANK, ZONAL OFFICE, 2ND FLOOR, NEAR NAVRANGPURA POST OFFICE, NAVRANGPURA, AHMEDABABD, GUJARAT - 380009, INDIA	B78483526
4	90102261	15/05/2003	6,000,000.00	VIJAYA BANK	INDUSTRIAL FINANCE BRANCH, AMBAWADI, AHMEDABAD, GUJARAT - 380015, INDIA	-
5	90100651	07/06/2001 *	3,000,000.00	VIJAYA BANK	INDUSTRIAL FINANCE BRANCH, AMBAWADI, AHMEDABAD, GUJARAT - 380015, INDIA	-
6	90101928	20/05/2002 *	3,000,000.00	VIJAYA BANK	INDUSTRIAL FINANCE BRANCH ; AMBAWADI, AHMEDABAD, GUJARAT - 380015, INDIA	-
7	90101201	10/01/1991 *	2,000,000.00	BANK OF INDIA	INDUSTRIAL FINANCE BRANCH, 3 FLOOR MANGALMURTI COMPLEX; ASHRAM ROAD, AHMEDABAD, GUJARAT - 380014, INDIA	-

* Date of charge modification

Unsecured Loans	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG TERM BORROWINGS
Loans from Related Parties	31.000	31.000
Total	31.000	31.000

REVIEW OF OPERATIONS:

During the year, the company has earned a total income of Rs.210.460 millions as against the total income of Rs.195.818 millions in the previous year, showing growth of 6%. The Company has earned a profit of Rs.10.170 millions as against the profit of Rs.7.538 millions in the previous year showing growth of 35% which is mainly due to increase in operating income by 56% and better gross margins.

The efforts of the company are continuing to further improve the performance in the coming years.

CONTINGENT LIABILITIES:

Particulars	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
In respect of guarantees given by Banks and/ or counter guarantees given by the Company.	4.272	3.286

FIXED ASSETS:

· Freehold Land

· Buildings

· Office Equipment

· Plant and Machinery

· Furniture and Fixtures

· Vehicles

· Computers

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.60.34
UK Pound	1	Rs.101.45
Euro	1	Rs.83.31

INFORMATION DETAILS

Information Gathered by :	PLK
Analysis Done by :	KAR
Report Prepared by :	SMN

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	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	YES
--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.