MIRA INFORM REPORT

Report Date :

14.11.2014

IDENTIFICATION DETAILS

Name :	LAKSH FINE CHEM PRIVATE LIMITED
Registered Office :	Plot No.: 1801/02, GIDC, Phase – IV, Vithal, Udyognagar, Anand – 388121, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	23.09.2009
Com. Reg. No.:	04-058170
Capital Investment / Paid-up Capital :	Rs. 6.500 Millions
CIN No.: [Company Identification No.]	U24100GJ2009PTC058170
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer , supplier and Exporter of Pharmaceutical Chemicals and APIS
No. of Employees :	15 (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

Maximum Credit Limit :	USD 35000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company moderate track record. The rating is constrained on account of company’s average operational performance marked by low reserves declining in top line growth of the company during financial year 2014. However, trade relations are fair. Business is active. Payments are reported to be 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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
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

N E W S

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

EXTERNAL AGENCY RATING

Rating Agency Name	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	Not Available

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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Kanti Madhani
Designation :	Director
Contact No.:	91-9979922233

LOCATIONS

Registered Office / Factory Address :	Plot No.: 1801/02, GIDC, Phase – IV, Vithal Udyognagar, Anand – 388121, Gujarat, India
Tel. No. :	91-2692-233224
Mobile No. :	91-9979922233 (Mr. Kanti)
Fax No. :	91-2692-233224
E-Mail :	lakshfinchem@yahoo.com
Website :	http://lakshfinechem.com
Location :	Owned

DIRECTORS

As on 16.09.2014

Name :

Mr. Kantibhai madhani

Designation :

Director

Address :

E-35, Akshardham Bunglows-Ii, Near Government Tubewell Station, Bopal, Ahmadabad – 380058, Gujarat, India

Date of Birth/Age :

15.09.1969

Date of Appointment :

23.09.2009

DIN No. :

00370823

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	U24231GJ2003PTC043218	INFINIUM PHARMACHEM PRIVATE LIMITED	Director	21/11/2003	21/11/2003	01/09/2009	Active	NO
2	U24232GJ2007PTC050713	AASTRID SYNTHONS PRIVATE LIMITED	Director	01/05/2007	01/05/2007	01/09/2009	Active	NO
3	U24100GJ2009PTC058170	LAKSH FINE CHEM PRIVATE LIMITED	Director	23/09/2009	23/09/2009	-	Active	NO
4	U24120GJ2011PTC065847	GENIUS CROPSCIENCE PRIVATE LIMITED	Director	10/06/2011	10/06/2011	-	Active	NO

Name :

Ms. Nita Kantilal Madhani

Designation :

Director

Address :

13, Ta. Kalavad, Jivapur, Jamnagar – 361160, Gujarat, India

Date of Birth/Age :

15.09.1974

Date of Appointment :

23.09.2009

DIN No. :

02772746

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	U24100GJ2009PTC058170	LAKSH FINE CHEM PRIVATE LIMITED	Director	23/09/2009	23/09/2009	-	Active	NO
2	U24100GJ2014PTC078852	NCUBE PHARMACEUTICALS PRIVATE LIMITED	Director	21/02/2014	21/02/2014	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 16.09.2014

Names of Shareholders	No. of Shares
Mr. Kantibhai Madhani	507500
Ms. Nita Kantilal Madhani	142490
Ms. Chetnaben Dilipbhai Madhani	10
Total	650000

As on 16.09.2014

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 , supplier and Exporter of Pharmaceutical Chemicals and APIS
Products :	Potassium Iodide Methyl Iodide Nimodipine Gadopentetic Acid Ammonium Iodide Butyl Iodide Ethyl Iodide
Exports :
Products :	Pharmaceutical Chemicals and APIS
Countries :	Bangladesh Pakistan Europe Canada etc.
Imports:	Not Divulged
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Supplier :

• Abhiit Chemicals
• Ankit Enterprises
• Arham Chemicals
• Darshan Chemicals
• Global metal Cheme
• Neha Chemical
• K D Life Science
• S V Lfe Science
• Shri Matangi Chemical

Customers :

Retailers and End Users

No. of Employees :

15 (Approximately)

Bankers :

State Bank of India, Anand Sojita Road, Janta Chowkadi, Anand - 388120, Gujarat, India

Facilities :

Secured Loan	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
Long-term Borrowings
Terms Loans from banks - (Kotak Mahindra Prime Limited Car Loan)	0.085	0.789
Short-term borrowings
Stat Bank of India SME Cash credit A/C No. 309877106491 (Secured by hypothecation of stock and book debt and equitable mortgage of immovable property of the company and personal guarantee of the directors of the company.)	5.683	6.155
Total	5.768	6.944

Banking Relations :
Auditors :
Name :	S A R C and Associates Chartered Accountants
Address :	F-305/306, Kavita Shopping Centre, G. P. O. Road, Anand – 388001, Gujarat, India
PAN N Income-tax PAN of auditor or auditor's firm :	AAWFS9930R
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	Not Divulged

CAPITAL STRUCTURE

As on 16.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.10/- each	Rs. 7.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
650000	Equity Shares	Rs.10/- each	Rs. 6.500 Millions

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs. 6.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
650000	Equity Shares	Rs.10/- each	Rs. 6.500 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	6.500	5.000	2.000
(b) Reserves & Surplus	5.645	4.033	1.917
(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)	12.145	9.033	3.917
(3) Non-Current Liabilities
(a) long-term borrowings	0.622	2.981	2.176
(b) Deferred tax liabilities (Net)	0.022	0.015	0.023
(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)	0.644	2.996	2.199
(4) Current Liabilities
(a) Short term borrowings	5.683	6.155	1.385
(b) Trade payables	26.772	30.942	18.836
(c) Other current liabilities	0.387	0.015	0.616
(d) Short-term provisions	1.171	1.029	0.565
Total Current Liabilities (4)	34.013	38.141	21.402
TOTAL	46.802	50.170	27.518
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	9.809	6.243	4.251
(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	0.036	0.035	0.035
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.266	0.207	0.007
(e) Other Non-current assets	0.132	0.130	0.100
Total Non-Current Assets	10.243	6.615	4.393
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	14.139	13.197	12.983
(c) Trade receivables	19.583	26.282	6.693
(d) Cash and cash equivalents	0.383	0.139	0.736
(e) Short-term loans and advances	2.454	3.937	2.713
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	36.559	43.555	23.125
TOTAL	46.802	50.170	27.518

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2014	31.03.2013	31.03.2012
SALES
Income	100.175	131.893	67.502
Other Income
TOTAL	100.175	131.893	67.502
EXPENSES	96.486	128.812	64.760
PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	4.776	4.923	2.742
FINANCIAL EXPENSES	1.087	0.921	0.437
PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	3.689	4.002	2.305
DEPRECIATION/ AMORTISATION	1.350	0.939	0.5
PROFIT/ (LOSS) BEFORE TAX	2.339	3.063	1.805
TAX	0.727	0.947	0.535
PROFIT/ (LOSS) AFTER TAX	1.612	2.116	1.27
PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	4.033	1.917	0.649
Balance Carried to the B/S	5.645	4.033	1.919
Earnings / (Loss) Per Share (Rs.)	2.48	4.23	2.54

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT/ Sales	(%)	1.61	1.60	1.88
PBIDT / Sales	(%)	4.77	3.73	4.06
Return on Total Assets (PBT/Total Assets}	(%)	5.00	6.11	6.57
Return on Investment (ROI) (PBT/Networth)		0.19	0.34	0.46
Debt Equity Ratio (Total Debt /Networth)		0.52	1.01	0.91
Current Ratio (Current Asset/Current Liability)		1.07	1.14	1.08

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	2.000	5.000	6.500
Reserves & Surplus	1.917	4.033	5.645
Net worth	3.917	9.033	12.145
long-term borrowings	2.176	2.981	0.622
Short term borrowings	1.385	6.155	5.683
Total borrowings	3.561	9.136	6.305
Debt/Equity ratio	0.909	1.011	0.519

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Total Income	67.502	131.893	100.175
		95.391	(24.048)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Total Income	67.502	131.893	100.175
Profit	1.270	2.116	1.612
	1.88%	1.60%	1.61%

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 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	No
17]	Major suppliers	Yes
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	No

UNSECURED LOAN

PARTICULARS	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
Long-term Borrowings
Loan from directors
Kantibhia Madhani	0.012	1.710
Nitaben K Madhani	0.026	0.022
Loans from relatives
Chetnaben Dilpbhai Madani	0.282	0.259
Vijay Vasoya	0.217	0.201
Total	0.537	2.192

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10211214	18/03/2014 *	30,000,000.00	STATE BANK OF INDIA	ANAND SOJITRA ROAD,, JANTA CHOWKADI, ANAND, GUJARAT - 388120, INDIA	C00098293
2	10217646	26/03/2013 *	33,000,000.00	STATE BANK OF INDIA	VITHAL UDYOGNAGAR BRANCH, ANAND-SOJITRA ROAD, JAN TA CHOWKADI, VITHAL UDYOGNAGAR, GUJARAT - 388121, INDIA	B72358419

* Date of charge modification

FIXED ASSETS

• Factory Building
• Air Conditioners
• Electrical Installation
• Plant and Machinery
• Computer
• Electrical Scal
• Motor Car
• Tale Phone
• Printer
• CCTV
• Laboratory Instruments
• New Car XUV 500

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.61.56
UK Pound	1	Rs.97.10
Euro	1	Rs.76.61

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	KAR
Report Prepared by :	KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--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	NO
--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.