MIRA INFORM REPORT

Report Date :

08.05.2014

IDENTIFICATION DETAILS

Name :	CHETAK AUTO ENGINEERING PRODUCTS COMPANY PRIVATE LIMITED

Registered Office :	Shop No. UG 9-10, Libra Siana Tower, Plot No. 9-10, Rani Bagh Colony, Opposite Imperial Academy, Indore - 452017, Madhya Pradesh

Country :	India

Financials (as on) :	31.03.2013

Date of Incorporation :	13.02.1996

Com. Reg. No.:	10-010493

Capital Investment / Paid-up Capital :	Rs. 1.812 Millions

CIN No.: [Company Identification No.]	U50404MP1996PTC010493

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer of excavator cabins and other sheet metal parts for excavators and other vehicles and related activities.

No. of Employees :	150 (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 144000

Status :	Satisfactory

Payment Behaviour :	Slow but correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track record. There is a dip in profit of the company in the year 2013. However, overall financial position of the company is decent. Trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealing 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 – March 31, 2014

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

India

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.

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 :	Ms. Kavita Bansal
Designation :	Accounts Manager
Contact No.:	91-8827392812
Date :	05.05.2014

LOCATIONS

Registered / Corporate Office :	Shop No. UG 9-10, Libra Siana Tower, Plot No. 9-10, Rani Bagh Colony, Opposite Imperial Academy, Indore - 452017, Madhya Pradesh, India
Tel. No. :	91-731-2877396/ 6465282
Mobile No. :	91-8827392812 (Ms. Kavita Bansal)
Fax No. :	91-731-2877396
E-Mail :	chetakauto@capcoindia.com kavitab@capcoindia.com
Website :	www.capcoindia.com

Factory :	249, Industrial Area, Sector No. 3, Pithampur, Dist Dhar - 454775, Madhya Pradesh, India
Tel. No.:	91-7292-256452/ 256832/ 403173

DIRECTORS

As on 28.09.2013

Name :

Mr. Jagdish Singh Saluja

Designation :

Director

Address :

82-B, Rani Bagh Colony, Khandwa Road, Indore – 452001, Madhya Pradesh, India

Date of Birth/Age :

29.10.1943

Date of Appointment :

13.02.1996

DIN No. :

01631478

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	U50404MP1996PTC010493	CHETAK AUTO ENGINEERING PRODUCTS COMPANY PVT LTD	Director	13/02/1996	13/02/1996	Active	NO
2	U50300MP2007PTC019888	CHETAK AUTO PRIVATE LIMITED	Additional director	12/11/2007	12/11/2007	Active	NO

Name :

Mr. Gurbhej Singh Juneja

Designation :

Managing Director

Address :

123, Rani Bagh Colony, Khandwa Road, Indore – 452001, Madhya Pradesh, India

Date of Birth/Age :

28.05.1966

Date of Appointment :

30.09.2009

DIN No. :

00640235

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	U50404MP1996PTC010493	CHETAK AUTO ENGINEERING PRODUCTS COMPANY PVT LTD	Managing director	30/09/2009	13/02/1996	Active	NO
2	U30009PN2004PTC019838	CHETAK AUTOCRAFT PRIVATE LIMITED	Director	12/10/2004	12/10/2004	Active	NO
3	U50300MP2007PTC019888	CHETAK AUTO PRIVATE LIMITED	Managing director	04/10/2007	04/10/2007	Active	NO

Name :

Mrs. Paramjeet Juneja

Designation :

Director

Address :

123, Rani Bagh Colony, Khandwa Road, Indore – 452001, Madhya Pradesh, India

Date of Birth/Age :

08.11.1968

Date of Appointment :

30.09.2011

DIN No. :

03507683

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	U50300MP2007PTC019888	CHETAK AUTO PRIVATE LIMITED	Additional director	25/04/2011	25/04/2011	Active	NO
2	U50404MP1996PTC010493	CHETAK AUTO ENGINEERING PRODUCTS COMPANY PVT LTD	Director	30/09/2011	25/04/2011	Active	NO

Name :

Mr. Surjeet Singh Juneja

Designation :

Director

Address :

A/6, 301, Ganga Satelite, Wanwadi Road, Pune – 411040, Maharashtra, India

Date of Birth/Age :

01.05.1941

Date of Appointment :

28.08.2004

KEY EXECUTIVES

Name :	Ms. Kavita Bansal
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2013

Names of Shareholders	No. of Shares	Percentage of Holding
Jagdish Singh Saluja	123760	24.39
Gurbhej Singh Juneja	108080	21.30
Surinder Jeet Saluja	45360	8.94
Jyoti Saluja	11200	2.21
Paramjeet Juneja	61040	12.03
Tanishq Saluja	157920	31.13
Total	507360	100.00

As on 28.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of excavator cabins and other sheet metal parts for excavators and other vehicles and related activities.

Products :

Item Code No. (ITC Code)	Product Description
8431.001	Cabin Body
--	Hydraulic Tank

Exports :

Products :

Finished Goods

Countries :

Australia

Imports :

Products :

Machines

Countries :

· USA

· Canada

Terms :

Selling :

Advance Payment, L/C and Cheque

Purchasing :

Advance Payment, L/C and Cheque

GENERAL INFORMATION

Customers :

Volvo Vecv

No. of Employees :

150 (Approximately)

Bankers :

· State Bank of Indore, Industrial Estate Branch, Indore - 452001, Madhya Pradesh, India

· Canara Bank, M.G. Road, Indore – 452001, Madhya Pradesh, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
From Banks
Term Loan from Canara Bank (Secured by hypothecation all movable machineries and plant, properties, goods, vehicles, documents of title to goods, entire current assets including all present &future book debts, receivables etc. Also secured by equitqble mortgage of companies factory premises at Pithampur and office premises at Indore)	0.000	0.122
Vehicle Loans from HDFC Bank
Mercedez Benz Car	1.047	1.550
Hyundai Sentro Car	0.000	0.042
(Secured by Hypothecation of Mercedez Benz Car bearing Regn. No. MP-09-CN-5000 and Hyundai Sentro Car bearing Regn. No. -09-CG-8502 respectively and personal guarantee of Directors)
Vehicle Loan from ICICI Bank Innova Car (Secured by Hypothecation of Innova Car bearing Regn. No. MP-09-CG-9857 and personal guarantee of Directors)	0.174	0.563

SHORT TERM BORROWINGS
Loans from banks: Cash Credit limit from Canara Bank (Secured by hypothecation all movable machineries and plant, properties, goods, vehicles, documents of title to goods, entire current assets including all present and future book debts, receivables etc. Also secured by equitable mortgage of companies factory premises at Pithampur and office premises at Indore)	17.345	12.443
Total	18.566	14.720

Banking Relations :	--

Auditors :
Name :	Rajendra Goyal and Company Chartered Accountants
Address :	First Floor, Kalyan Vishranti Grah, (Office Block), Railway Station - Jhabua Tower Road, Indore – 452001, Madhya Pradesh, India
Tel. No. :	91-731-2511780/ 2510289
E-Mail :	Kogata12@yahoo.com
Website :	www.rajendragoyal.icai.org.in
Income-tax PAN of auditor or auditor's firm :	AABFR9811K

Company under the control of Key Management Personnel :	Chetak Autocraft Private Limited

CAPITAL STRUCTURE

As on 28.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount

510,000	Equity Shares	Rs.10/- each	Rs. 5.100 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

507,360	Equity Shares	Rs.10/- each	Rs. 5.074 Millions

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount

250,000	Equity Shares	Rs.10/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

181200	Equity Shares	Rs.10/- each	Rs. 1.812 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

NOTE: FINANCIALS DETAILS FILE ATTACHED.

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	1.812	1.812	1.812
Reserves & Surplus	8.166	24.905	34.284
Net worth	9.978	26.717	36.096

long-term borrowings	4.689	2.277	1.221
Short term borrowings	14.152	12.443	17.345
Total borrowings	18.841	14.720	18.566
Debt/Equity ratio	1.888	0.551	0.514

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	147.417	200.700	201.508
		36.144	0.403

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	147.417	200.700	201.508
Profit	0.784	16.442	9.379
	0.53%	8.19%	4.65%

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 four 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	Yes
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	10307323	16/05/2013 *	62,500,000.00	CANARA BANK	M G ROAD, INDORE, INDORE, MADHYA PRADESH - 452001, INDIA	B77111011
2	90208325	26/11/1998	47,900.00	STATE BANK OF INDORE	INDUSTRIAL ESTATE BRANCH, INDORE, MADHYA PRADESH, INDIA	-

* Date of charge modification

CORPORATE INFORMATION

Company was incorporated on 13.02.1996 under the Companies Act, 1956 with a view to engage into manufacture of excavator cabins and other sheet metal parts for excavators and other vehicles and related activities. Company commenced its business from the date of incorporation and established its manufacturing facilities at Industrial Area, Pithampur Distt. Dhar (M. P.)

REVIEW OF OPERATIONS

During the year the Company recorded total revenue of Rs. 201.508 Millions and earned a net profit after tax of Rs.9.379 Millions as compared with the corresponding figures in the previous year of Rs. 200.700 Millions and Rs. 16.442 Millions respectively. The turnover increased marginally by Rs. 0.805 Million and net profit after tax decreased by 7.036 Millions over the corresponding figures of previous year. The decrease in profitability is due to increase in the cost of raw material as well as manufacturing cost.

CONTINGENT LIABILITIES (AS ON 31.03.2013)

Bank guarantees issued by Canara Bank for a aggregate sum of Rs. 0.339 Million margin money deposited in the form of bank fixed deposits with the same bank for a sum of Rs.0.096 Million)

FIXED ASSETS

Tangible Assets

· Land (Leasehold)

· Factory Building

· Electrical Installation

· Furniture and Fixtures

· Vehicle

· Office Equipments

· Computer

· Office Building

· Plant and Machinery

· Site Development

Intangible Assets

· 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.60.04
UK Pound	1	Rs.101.97
Euro	1	Rs.83.58

INFORMATION DETAILS

Information Gathered by :	PRT

Analysis Done by :	SUM

Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

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