MIRA INFORM REPORT

Report Date :

30.05.2014

IDENTIFICATION DETAILS

Name :	KOMAL GEMS NV
Registered Office :	Hoveniersstraat 2-/619, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	01.03.1989
Com. Reg. No.:	436733986
Legal Form :	Public Limited Liability Company (BE)
Line of Business :	Wholesale of diamonds and other precious stones
No. of Employees :	2

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	No complaints
Litigation :	--

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 – September 30, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
Belgium	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

BELGIUM - ECONOMIC OVERVIEW

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2011 Belgian GDP grew by 1.8%, the unemployment rate decreased slightly to 7.2% from 8.3% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 4.2% in 2011 and 3.3% in 2012. Fourth quarter GDP growth in 2012 was at -0.1%, the third consecutive quarter of negative growth. This brought economic growth for the whole of 2012 to negative 0.2%. It also left Belgium on the brink of a possible recession at the end of 2012. However, at year's end, the government appeared close to meeting its 2012 budget deficit goal of 3% of GDP. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

Source : CIA

Company name & address

KOMAL GEMS NV

Business number	436733986
Company name	KOMAL GEMS NV
Address	HOVENIERSSTRAAT 2-/619
	2018 ANTWERPEN
Number of staff	2
Date of establishment	01/03/1989
Telephone number	032269673
Fax number	032269673

Ultimate holding company

Company name	Company Number
Komal Gems NV	436733986

Commentary

The business was established over 24 years ago.

The business has 1 employees.

The business is part of a group.

This business has a foreign parent business.

The business has been at the address for over 2 years.

Operating Result in the latest trading period increased 82% on the previous trading period.

Pre-tax profits increased by 21% compared to the previous trading period.

The business saw a decrease in their Cash Balance of 97% during the latest trading period.

Turnover in the latest trading period increased 26% on the previous trading period.

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2012	161,348,352	315,036	13,728,498	20,204,131
31/12/2011	127,657,416	258,232	11,515,046	15,928,558
31/12/2010	137,710,378	227,796	9,927,673	15,525,604

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2012	73,116,933	2	13,070,000	288,088
31/12/2011	64,024,168	2	11,106,000	238,408
31/12/2010	46,016,861	2	1,721,001	218,677

Trends

Profitability
Liquidity
Net worth

Payment expectations

Past payments		Payment expectation days	62.45
Industry average payment expectation days	165.54	Industry average day sales outstanding	116.45
Day sales outstanding	134.58

Court data summary

Bankruptcy details
Court action type		no
Protested bills
Bill amount		-
NSSO details
Date of summons		08/01/2013
Business number	436733986		Company name	KOMAL GEMS NV
Fax number	032269673		Date founded	01/03/1989
Company status	active		Company type	Public Limited Liability Company (BE)
Currency	Euro (€)		Date of latest accounts	31/12/2012
Activity code	46761		liable for VAT	yes
Activity description	Wholesale of diamonds and other precious stones		VAT Number	BE.0436.733.986
Belgian Bullettin of Acts Publications	moniteur belge

Social Balance Sheet Details

Social Balance Sheet		Total
During the reporting year ended 31-12-2012
Full-time Employees		2
Part-time Employees		1
Total Fte Employees		3
Number of hours worked
Full-time Employees		3,625
Part-time Employees		1,521
Total		5,146
Personnel Charges
Full-time Employees		118,175
Part-time Employees		49,585
Total		167,760
Benefits In Addition To Wages		-
During the previous reporting year
Average number employees in Fte		3
Actual working hours		5,210
Personnel Charges		166,441
Benefits In Addition To Wages		-
Type of Contract	Full-Time		Part-Time	Total Fte
Unlimited Duration Contracts	2		1	3
Limited Duration Contracts	-		-	-
Contracts For Specific Work	-		-	-
Contracts Regarding Substitution	-		-	-

Gender and Education Level
Men	Full-Time		Part-Time		Total Fte
Primary education	-		-		-
Secondairy education	2		-		2
Higher education (non university)	-		-		-
Higher education (university)	-		-		-
Women	Full-Time		Part-Time		Total Fte
Primary education	-		-		-
Secondairy education	-		1		1
Higher education (non university)	-		-		-
Higher education (university)	-		-		-
Working Category		Full-Time		Part-Time		Total Fte
Management		-		-		-
White collar worker		2		1		3
Blue collar worker		-		-		-
Other		-		-		-

Temporary personnel			Total
Average number of temporary staff			-
Actual working hours			-
Cost of temporary staff			-
New staff and leavers	Full-Time	Part-Time		Total Fte
New Starters	1	-		1
Leavers	1	-		1

Total of formal continuing vocational training initiatives for workers paid by the employer	Male	Female
Number of employees	-	-
Number of training hours	-	-
Net costs for enterprise	-	-
Total of less formal and informal continuing vocational training initiatives for workers paid by the employer	Male	Female
Number of employees	1	-
Number of training hours	16	-
Net costs for enterprise	518	-
Total of initial training initiatives at the expense of the employer	Male	Female
Number of employees	-	-
Number of training hours	-	-
Net costs for enterprise	-	-

Personnel (NSSO classification)

Code	-
Description	FROM 1 TO 4 EMPLOYEES

Joint Industrial Committee (JIC)

JIC Code	218
Description	Additional national joint committee for the employees
category

Significant Events

Event Date	06/09/2011
Event Description
Event Details	Afschaffing van de aandelen aan toonder en omvorming naar aandelen op naam. Toekenning van 3044 nieuwe aandelen aan Gajera Rakesh.

comparison mode

average

median

Profit & loss

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	161,348,352	26.39	127,657,416	-7.30	137,710,378	46,354,280	248
Total operating expenses	159,092,112	25.85	126,418,122	-6.99	135,914,490	45,960,199	246
Operating result	2,256,240	82.06	1,239,294	-30.99	1,795,888	149,299	1411
Total financial income	190,917	-49.47	377,846	2242	16,129	98,474	93.88
Total financial expenses	2,132,121	56.90	1,358,908	-14.22	1,584,221	206,049	934
Results on ordinary operations before taxation	315,036	22.00	258,232	13.36	227,796	33,073	852
Taxation	65,585	16.50	56,296	18.18	47,635	20,878	214
Results on ordinary operations after taxation	249,452	23.53	201,937	12.09	180,161	18,219	1269
Extraordinary items	0	-	0	-100	3,776	-4,731	0
Other appropriations	0.00	-	0.00	-	0	-	-
Net result	249,452	23.53	201,937	9.79	183,937	13,505	1747
other information
Dividends	-	-	-	-	-	172,177	-
Director remuneration	-	-	-	-	-	112,756	-
Employee costs	167,760	0.79	166,441	12.56	147,866	128,209	30.85
Wages and salary	134,132	0.94	132,886	22.22	108,724	106,943	25.42
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	31,116	4.08	29,895	21.45	24,615	26,960	15.41
Other employee costs	2,512	-31.35	3,660	-74.81	14,527	4,447	-43.51
Amortization and depreciation	38,636	5.94	36,471	4.98	34,740	17,659	118

balance sheet

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	1,599	-100
Tangible fixed assets	539,496	0.22	538,322	-5.43	569,223	183,469	194
Land & building	453,186	-3.49	469,574	-3.37	485,963	357,447	26.78
Plant & machinery	22,919	-4.41	23,978	-1.12	24,249	22,553	1.62
Furniture & Vehicles	63,391	41.59	44,770	-24.13	59,011	17,3805,418	264
Leasing & Other Similar Rights	-	-	-	-	-	142,15332,369	-
Other tangible assets	0	-	0	-	0	7,857	-100
Financial fixed assets	14,880	0	14,880	0	14,880	294,591	-94.95
Total fixed assets	554,376	0.21	553,202	-5.29	584,103	385,406	43.84
Inventories	12,864,881	-15.30	15,189,450	271	4,089,497	3,084,234	317
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,474	-100
Finished goods	12,864,881	-15.30	15,189,450	271	4,089,497	1,969,752	553
Other stocks	0	-	0	-	0	575,356	-100
Trade debtors	59,489,167	44.78	41,090,720	-0.11	41,135,367	4,156,596	1331
Cash	187,438	-97.38	7,161,945	3760	185,503	222,496	-15.76
other amounts receivable	9,817	-20.86	12,404	-4.28	12,959	184,388	-94.68
Miscellaneous current assets	11,254	-31.57	16,447	74.37	9,432	17,970	-37.37
Total current assets	72,562,557	14.32	63,470,966	39.70	45,432,758	7,192,452	908
Total Assets	73,116,933	14.20	64,024,168	39.13	46,016,861	7,546,6081,454,122	868
current liabilities
Trade creditors	27,220,008	7.28	25,373,182	110	12,028,055	3,016,229	802
Short term group loans	-	-	-	-	-	-	-
Financial debts	24,514,097	22.59	19,996,304	16.83	17,115,736	4,237,715193,728	478
Current portion of long term debt	72,676	4.73	69,392	4.56	66,365	107,54515,189	-32.42
Amounts Payable for Taxes, Remuneration & Social Security	77,619	33.81	58,009	66.23	34,896	9,398 -	128
Miscellaneous current liabilities	474,025	-76.83	2,045,521	208	662,102	56.82	- -
Total current liabilities	52,358,425	10.13	47,542,408	58.97	29,907,154	5,323,948	883
Long term debts and liabilities
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	7,030,010	41.54	4,966,714	-19.66	6,182,034	531	- -
Deffered taxes	-	-	-	-	-	35,14124,730	-
Provisions for Liabilities & Charges	0	-	0	-	0	3,211 0	-100
Other long term liabilities	0	-	0	-	0	129,944	-100
Total long term debts	7,030,010	41.54	4,966,714	-19.66	6,182,034	567,386	1139
shareholders equity
Issued share capital	13,070,000	17.68	11,106,000	545	1,721,001	911,754	1333
Share premium account	-	-	-	-	-	109,362	-
Reserves	658,498	60.98	409,046	-95.02	8,206,672	699,073	-5.80
Revaluation reserve	-	-	-	-	-	968,672	-
Total shareholders equity	13,728,498	19.22	11,515,046	15.99	9,927,673	1,641,262	736
Working capital	20,204,131	26.84	15,928,558	2.60	15,525,604	1,868,504	981
Cashflow	288,088	20.84	238,408	9.02	218,677	28,055	926
Net worth	13,728,498	19.22	11,515,046	15.99	9,927,673	1,637,953	738
back to top

ratio analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.20	0	0.20	17.65	0.17	-26,00	0.77
Return on capital employed	1.52	-3.18	1.57	11.35	1.41	31,00	-95.10
Return on total assets employed	0.43	7.50	0.40	-20.0	0.50	-212,00	0.20
Return on net assets employed	2.29	2.23	2.24	-2.18	2.29	20,00	-88.55
Sales / net working capital	7.99	-0.25	8.01	-9.70	8.87	45,00	-99
Stock turnover ratio	7.97	-33.03	11.90	300	2.97	113,00	-92.95
Debtor days	134.58	14.55	117.49	7.76	109.03	134,00	0.43
Creditor days	62.45	-14.76	73.26	126	32.30	123,00	-49.23
short term stability
Current ratio	1.39	3.73	1.34	-11.84	1.52	7,00	-84.56
Liquidity ratio / acid ratio	1.14	11.76	1.02	-26.09	1.38	4,00	-71.50
Current debt ratio	3.81	-7.75	4.13	37.21	3.01	9,00	-57.67
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	230.30	5.94	217.39	-7.63	235.34	371,00	-37.92
Equity in percentage	18.78	4.39	17.99	-16.60	21.57	-3.312,00	0.57
Total debt ratio	4.33	-5.04	4.56	25.27	3.64	11,00	-60.64

Industry comparison

Payment expectations

Payment expectation days	62.45
Day sales outstanding	134.58

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	165.54
Industry average day sales outstanding	116.45

Industry quartile analysis

Payment expectations
Company result	62.45
Lower	134.36
Median	84.93
Upper	44.93
Day sales outstanding
Company result	134.58
Lower	112.73
Median	59.01
Upper	28.58

Summary

Group - Number of Companies	2
Linkages - Number of Companies	0
Number of Countries	0

Group Structure

Company name	Number	Latest financials
- KOMAL GEMS NV	436733986	31-12-2012
- - LAXMI JEWEL (BELGIUM) BVBA	862915067	31-12-2012

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Individual Shareholders

Shareholder Name
Forename	Rakesh Girdharlal	Middle name	-
Surname	Gajera
Shareholder Details
Start date	05/10/2011(estimated)	End date	-
Percentage owned	-
Shareholder Address
Street name	Van Eycklei	House number	45
Minor town	-	Postal town	Antwerpen
Post code	2018	Country	Belgium

Shareholder Name
Forename	Girdharbhai	Middle name	-
Surname	Gajera
Shareholder Details
Start date	29/09/1998	End date	-
Percentage owned	-
Shareholder Address
Street name	Van Eycklei	House number	45
Minor town	-	Postal town	Antwerpen
Post code	2018	Country	Belgium

Shareholder Name
Forename	Shaileshkumar	Middle name	-
Surname	Gajera
Shareholder Details
Start date	29/09/1998	End date	-
Percentage owned	-
Shareholder Address
Street name	-	House number	-
Minor town	-	Postal town	-
Post code	-	Country	-

Shareholder Name
Forename	Lalithbhai	Middle name	-
Surname	Bhardia
Shareholder Details
Start date	29/09/1998	End date	-
Percentage owned	-
Shareholder Address
Street name	-	House number	-
Minor town	-	Postal town	-
Post code	-	Country	-

Companies that match this address

no Companies Match this address

NSSO details

Business number	436733986
Name of defendant	-
Legal form of defendant	-
Date of summons	-
Labour court	-

Bankruptcy details

There is no bankruptcy data against this company

Legal events

Legal event type	Social Security Summons
Legal event sub type
Event date	08/01/2013	Secondary event date
Court number		Registry body identfier
Court type	Employment Court	Court name	Antwerpen
3rd party name	Rijksdienst voor Sociale Zekerheid	3rd party type	Summoning Party
3rd party address

Current director details

Name	KASTURBEN GAJERA
Position	Director
Start Date	09/09/2010
End Date	04/06/2016
Street	45 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	LAXMI JEWEL (BELGIUM) BVBA
Position	Legal Representative
Start Date	02/06/2007
Date of birth	15/01/2004
Street	2 HOVENIERSSTRAAT ANTWERPEN
Post code	2018
Country	Belgium

Name	GIRDHARBHAI HARIBHAI GAJERA
Position	Director
Start Date	30/06/2011
Street	45 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	GIRDHARBHAI HARIBHAI GAJERA
Position	Managing Director
Start Date	09/09/2010
End Date	04/06/2016
Street	45 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	JATINKUMAR GIRDHARLAL GAJERA
Position	Director
Start Date	05/10/2011
Country	United Arab Emirates

Name	RAKESH GAJERA
Position	Director
Start Date	07/09/2013
End Date	03/06/2017

Former director details

Name	RAKESH GIRDHARLAL GAJERA
Position	Director
Start Date	06/09/2011
End Date	31/12/2012
Street	45 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	LAXMI JEWEL (BELGIUM) BVBA
Position	Director
Start Date	14/09/2012
End Date	01/06/2013
Date of birth	15/01/2004
Street	2 HOVENIERSSTRAAT ANTWERPEN
Post code	2018
Country	Belgium

Name	GIRDHARBHAI HARIBHAI GAJERA
Position	Principal Manager
Start Date	02/11/1993
End Date	29/09/1998
Street	45 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	DIRK EILERS
Position	Director
Start Date	29/09/1998
End Date	-
Street	37 SINT-HUBERTUSLAAN SCHILDE
Post code	2970
Country	Germany

Name	LALITHBHAI BHARDIA
Position	Director
Start Date	31/12/1999
End Date	-

Name	SHAILESHKUMAR GAJERA
Position	Director
Start Date	31/12/1999
End Date	-

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.58.84
UK Pound	1	Rs.98.41
Euro	1	Rs.80.03

INFORMATION DETAILS

Report Prepared by :

SDA

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	----

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%)

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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.