MIRA INFORM REPORT

Report Date :

31.05.2014

IDENTIFICATION DETAILS

Name :	BALAJEE STRUCTURAL (INDIA) LIMITED
Formerly Known As :	BALAJEE STRUCTURALS (INDIA) LIMITED (w.e.f.24.04.2006) BALAJEE STRUCTURALS (INDIA) PRIVATE LIMITED
Registered Office :	Near Agrasen Chowk, Bajrang Nagar, Raipur - 492001, Chhattisgarh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	25.02.2000
Com. Reg. No.:	10-014067
Capital Investment / Paid-up Capital :	Rs. 26.918 Millions
CIN No.: [Company Identification No.]	U27106CT2000PLC014067
PAN No.: [Permanent Account No.]	AABCB7575P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Supplier of Structural Steels, Rounds, Flats, CTD Bars, Ingots etc.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Maximum Credit Limit :	USD 966000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a relatively small company having moderate track record. The rating reflects moderate financial risk profile marked by low profit margin and increased in the borrowings of the company during 2013. However, trade relations are reported as fair. Business is active. Payment terms are reported to be 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 – 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.

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 DECLINED

MANAGEMENT NON-COOPERATIVE

(CONTACT NO.: 91-771-2535851)

LOCATIONS

Registered Office :	Near Agrasen Chowk, Bajrang Nagar, Raipur - 492001, Chhattisgarh, India
Tel. No.:	91-771-2535851/ 2224938/ 2225151/ 4043351
Fax No.:	91-771-2536751
E-Mail :	rkscaryp@yahoo.co.in marketing@balajeegroupindia.com sureshjindal@nalajeegroupindia.com vishnujindal@balajeegroupindia.com pawanjindal@balajeegroupindia.com vishnujindal@balajeegroupindia.com amitjindal@balajeegroupindia.com ankitjindal@balajeegroupindia.com sureshjindal@balajeegroupindia.com
Website :	http://www.balajeegroupindia.com
Factory :	Ring Road No.2, Tatibandh, Raipur – 492001, Chhattisgarh, India
Tel. No.:	91-771-4043251/ 4043351/ 3298151

DIRECTORS

AS ON 30.09.2013

Name :

Mr. Suresh Kumar Agrawal

Designation :

Director

Address :

11, Jalasaya Marg, Chobey Colony, Raipur - 492001, Chhattisgarh, India

Date of Birth/Age :

21.04.1965

Qualification :

Graduate

Date of Appointment :

25.02.2000

DIN No.:

00182991

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	U27106CT1989PTC005016	BALAJEE LOHA PRIVATE LIMITED	Director	17/01/1989	17/01/1989	Active	NO
2	U27106CT2000PLC014067	BALAJEE STRUCTURAL(INDIA) LIMITED	Director	25/02/2000	25/02/2000	Active	NO

Name :

Mr. Vishnu Kumar Agrawal

Designation :

Director

Address :

7, Jalasaya Marg, Chobey Colony, Raipur - 492001, Chhattisgarh, India

Date of Birth/Age :

11.07.1973

Qualification :

Graduate

Date of Appointment :

25.02.2000

PAN No.:

ACJPA2704J

DIN No.:

00182995

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	U27101CT1996PTC010800	BALAJEE REALINFRA PRIVATE LIMITED	Director	02/05/1996	02/05/1996	11/05/2012	Active	NO
2	U27106CT2000PLC014067	BALAJEE STRUCTURAL(INDIA) LIMITED	Director	25/02/2000	25/02/2000	-	Active	NO
3	U27106CT1985PTC002989	SHREE HANUMAN LOHA PRIVATE LIMITED.	Director	20/04/2009	20/04/2009	11/05/2012	Active	NO
4	U51909WB2004PTC100422	GLORIOUS TIE-UP PRIVATE LIMITED	Director	13/07/2009	13/07/2009	-	Active	NO

Name :

Mr. Amit Jindal

Designation :

Director

Address :

11, Jindal House, Jalasaya Marg, Chobey Colony, Raipur - 492001, Chhattisgarh, India

Date of Birth/Age :

10.07.1983

Qualification :

Graduate

Date of Appointment :

21.01.2006

PAN No.:

AFHPJ2268P

DIN No.:

01598411

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	U27106CT2000PLC014067	BALAJEE STRUCTURAL(INDIA) LIMITED	Director	21/01/2006	21/01/2006	Active	NO
2	U27106CT1985PTC002989	SHREE HANUMAN LOHA PRIVATE LIMITED.	Director	07/04/2006	07/04/2006	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2013

Names of Shareholders	No. of Shares
Vishnu Kumar Agrawal	86700
Suresh Kumar Agrawal	3400
B D Agrawal HUF	3500
Pawan Kumar Agrawal	97000
J P Agrawal	122700
Rekha Agrawal	10000
S K Agrawal HUF	6700
Gayatri Agrawal	15000
M R Agrawal HUF	16700
J P Agrawal HUF	6700
Indu Bai Agrawal	62500
Mohan Lal Agarwal	100000
Jindal Loha Private Limited, India	878900
Balajee Realinfra Private Limited, India	947000
Glorious Tie-Up Private Limited, India	335000
Total	2691800

AS ON 30.09.2013

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	80.28
Directors or relatives of directors	19.72
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Supplier of Structural Steels, Rounds, Flats, CTD Bars, Ingots etc.

Products/ Services :

ITC Code No.	Product Descriptions
72282000	MS Ingot and Rolled Product

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

· Punjab National Bank

Main Branch, Jaistambh Chowk, Raipur - 492001, Chhattisgarh, India

· IDBI Bank Limited

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
SHORT-TERM BORROWINGS
Working capital loans from Banks	190.123	104.850
Total	190.123	104.850

Banking Relations :	--
Financial Institution :	· Madhya Pradesh Financial Corporation Indore, Madhya Pradesh, India
Auditors :
Name :	Rajesh J. Agrawal and Company Chartered Accountants
Address :	Near Dr. Farista, Beside SBI Zonal Office, Katora Talab, Raipur, Chhattisgarh, India
Income-tax PAN of auditor or auditor's firm :	AAIFR5780L

CAPITAL STRUCTURE

AFTER 30.09.2013

Authorised Capital : Rs. 44.000 Millions

Issued, Subscribed & Paid-up Capital : Rs. 34.018 Millions

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
4,400,000	Equity Shares	Rs. 10/- each	Rs. 44.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2,691,800	Equity Shares	Rs. 10/- each	Rs. 26.918 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	26.918	26.918	26.918
(b) Reserves & Surplus	214.621	210.893	207.384
(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)	241.539	237.811	234.302
(3) Non-Current Liabilities
(a) long-term borrowings	110.323	98.214	68.838
(b) Deferred tax liabilities (Net)	3.857	2.877	3.053
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	114.180	101.091	71.891
(4) Current Liabilities
(a) Short term borrowings	190.123	104.850	134.024
(b) Trade payables	62.838	26.969	94.637
(c) Other current liabilities	36.498	68.931	51.375
(d) Short-term provisions	0.000	1.071	0.431
Total Current Liabilities (4)	289.459	201.821	280.467
TOTAL	645.178	540.723	586.660
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	112.842	72.583	72.333
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.300	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	23.627	16.754	18.212
(e) Other Non-current assets	0.463	0.382	0.000
Total Non-Current Assets	136.932	90.019	90.545
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	192.254	173.857	151.534
(c) Trade receivables	190.085	187.058	267.404
(d) Cash and cash equivalents	63.240	15.230	11.643
(e) Short-term loans and advances	61.833	74.087	65.334
(f) Other current assets	0.834	0.472	0.200
Total Current Assets	508.246	450.704	496.115
TOTAL	645.178	540.723	586.660

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	1828.746	1777.953	1715.696
		Other Income	2.417	1.575	2.070
		TOTAL (A)	1831.163	1779.528	1717.766
Less	EXPENSES
		Cost of Materials Consumed	1464.108	1272.253	1219.850
		Purchases of Stock-in-Trade	111.730	336.649	256.852
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	9.704	(44.096)	17.367
		Employees benefits expense	2.477	3.173	3.185
		Other expenses	202.137	172.964	177.574
		TOTAL (B)	1790.156	1740.943	1674.828
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		41.007	38.585	42.938
Less	FINANCIAL EXPENSES (D)		16.949	17.472	19.881
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		24.058	21.113	23.057
Less/ Add	DEPRECIATION/ AMORTISATION (F)		18.631	16.091	16.536
	PROFIT BEFORE TAX (E-F) (G)		5.427	5.022	6.521
Less	TAX (H)		1.699	1.513	2.224
	PROFIT AFTER TAX (G-H) (I)		3.728	3.509	4.297
	Earnings Per Share (Rs.)		1.38	1.30	1.60

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	0.20	0.20	0.25
Net Profit Margin (PBT/Sales)	(%)	0.30	0.28	0.38
Return on Total Assets (PBT/Total Assets}	(%)	0.84	0.93	1.11
Return on Investment (ROI) (PBT/Networth)		0.02	0.02	0.03
Debt Equity Ratio (Total Debt/Networth)		1.24	0.85	0.87
Current Ratio (Current Asset/Current Liability)		1.76	2.23	1.77

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	26.918	26.918	26.918
Reserves & Surplus	207.384	210.893	214.621
Net worth	234.302	237.811	241.539
long-term borrowings	68.838	98.214	110.323
Short term borrowings	134.024	104.850	190.123
Total borrowings	202.862	203.064	300.446
Debt/Equity ratio	0.866	0.854	1.244

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	1715.696	1777.953	1828.746
		3.629	2.857

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	1715.696	1777.953	1828.746
Profit	4.297	3.509	3.728
	0.25%	0.20%	0.20%

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	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	Yes
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	90204242	30/03/2013 *	200,000,000.00	PUNJAB NATIONAL BANK	MAIN BRANCH, JAISTHAMBH CHOWK, RAIPUR, RAIPUR - 492001, CHHATTISGARH, INDIA	B74908385

* Date of charge modification

UNSECURED LOANS

UNSECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG-TERM BORROWINGS
Loans and advances from directors	13.112	9.587
Loans and advances from others	97.211	88.627
Total	110.323	98.214

FIXED ASSETS:

· Land

Buildings

Office building

Factory building

Plant and equipment

Factory equipments

Vehicles

Motor vehicles

Office equipment

Computer equipments

Other equipments

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. 59.03
UK Pound	1	Rs. 98.91
Euro	1	Rs. 80.34

INFORMATION DETAILS

Information Gathered by :	HTL
Analysis Done by :	DIV
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
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	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		29

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.