MIRA INFORM REPORT

Report Date :

14.01.2014

IDENTIFICATION DETAILS

Name :	SATHYADEEP ENGINEERING COMPANY LIMITED
Registered Office :	Flat No. 102, Gupta Plaza, Plot No. 13, Site No. 37 and 38 Local Shopping Centre, Kalkaji, New Delhi - 110019
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	01.07.1985
Com. Reg. No.:	55-021378
Capital Investment / Paid-up Capital :	Rs.10.000 Millions
CIN No.: [Company Identification No.]	U72900DL1985PLC021378
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Wire Machinery, Welded Wire Mesh, Wire Drawing and Wire Drawing and Ribbing Plants, Wire Straightening, Cutting Machines.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 110000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Overall financial position of the company is sound and healthy. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct. The company can be considered for business dealings at usual 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 – 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.

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. I.S. Sharma
Designation :	Managing Director
Contact No.:	91-9810253963
Date :	11.10.2014

LOCATIONS

Registered Office :	Flat No. 102, Gupta Plaza, Plot No. 13, Site No. 37 and 38 Local Shopping Centre, Kalkaji, New Delhi – 110019, India
Tel. No. :	91-11-26488191
Mobile No. :	91-9810253963 (Mr. I.S. Sharma)
Fax No. :	91-11-26488192
E-Mail :	info@rmgcs.com sathyadp@ndfusnl.net.in
Website :	www.sathyadeep.com
Location :	Owned
Factory :	D-16 and 312, Sector – 63, Noida – 201301, Uttar Pradesh, India

DIRECTORS

As on 30.09.2013

Name :

Mr. Aditya Sharma

Designation :

Director

Address :

E-157, Sector - 11 DLF, Faridabad - 121003, Haryana, India

Date of Birth/Age :

12.08.1980

Date of Appointment :

01.04.2006

DIN No. :

00238396

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	U74999DL2004PTC131368	MASTER GRATINGS PRIVATE LIMITED	Director	17/12/04	17/12/04	-	Active	NO
2	U72900DL1985PLC021378	SATHYADEEP ENGINEERING COMPANY LIMITED	Director	01/04/06	01/04/06	-	Active	NO
3	U93030DL2008PTC181621	GROWTH EXIM PRIVATE LIMITED	Director	01/08/08	01/08/08	-	Active	NO
4	U29253DL2007PTC162360	SECO MACHINES PRIVATE LIMITED	Director	30/09/11	01/07/10	-	Active	NO

Name :

Mr. Ishwar Singh Sharma

Designation :

Director

Address :

D-20, Ist Floor, Kalkaji, New Delhi - 110019, Delhi, India

Date of Birth/Age :

20.01.1948

Date of Appointment :

01.07.1985

DIN No. :

00366216

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	U72900DL1985PLC021378	SATHYADEEP ENGINEERING COMPANY LIMITED	Director	01/07/85	01/07/85	-	Active	NO
2	U74999DL2004PTC131368	MASTER GRATINGS PRIVATE LIMITED	Director	17/12/04	17/12/04	01/07/07	Active	NO
3	U29253DL2007PTC162360	SECO MACHINES PRIVATE LIMITED	Director	20/04/07	20/04/07	-	Active	NO

Name :

Ms. Usha Sharma

Designation :

Director

Address :

D-20, Ist Floor, Kalkaji, New Delhi - 110019, Delhi, India

Date of Birth/Age :

20.01.1954

Date of Appointment :

01.07.1985

DIN No. :

01133602

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	U72900DL1985PLC021378	SATHYADEEP ENGINEERING COMPANY LIMITED	Director	01/07/85	01/07/85	-	Active	NO
2	U29253DL2007PTC162360	SECO MACHINES PRIVATE LIMITED	Director	20/04/07	20/04/07	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares	%age
Ishwar Singh Sharma	85345	85.35
Usha Sharma	14355	14.36
Rekha Sharma	75	0.08
Madhu Sharma	75	0.08
Shashi Sharma	75	0.08
Tushar Sharma	25	0.03
Eesha Sharma	25	0.03
Mayank Vats	25	0.03
Total	100000	100.00

As on 30.09.2013

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 and Exporter of Wire Machinery, Welded Wire Mesh, Wire Drawing and Wire Drawing and Ribbing Plants, Wire Straightening, Cutting Machines.
Exports :
Products :	Finished Goods
Countries :	Abu Dubai Kenya Saudi Arabia Mauritius
Terms :
Selling :	Cash and L/C
Purchasing :	Cash, L/C and Credit (60 Days)

GENERAL INFORMATION

Suppliers :

Shubh Brothers Private Limited, Delhi

Customers :

S. R. Kapoor and Sons, Delhi

No. of Employees :

50 (Approximately)

Bankers :

The Jammu and Kashmir Bank Limited, p-2, Jop Plaza, Sectro – 18, Noida – 201301, Uttar Pradesh, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Term Loan
From Bank	0.530	0.761
From Other Parties	0.000	0.536
SHORT TERM BORROWINGS
Secured / Unsecured
Loan repayable on demand	10.194	19.462
Current maturities if term loan	0.239	0.474
Total	10.963	21.233

Banking Relations :	--
Auditors :
Name :	Sanjiv Jha and Company Chartered Accountants
Address :	Y-337A, Sector-12, Noida – 201301, Uttar Pradesh, India
PAN No. :	AEJPJ6960M
Sister Concern :	v Master Greetings Private Limited, India v Seco Machine Private Limited

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.100/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.100/- each	Rs.10.000 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	10.000	10.000	10.000
(b) Reserves & Surplus	17.582	10.675	10.740
(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)	27.582	20.675	20.740
(3) Non-Current Liabilities
(a) long-term borrowings	0.674	1.887	1.782
(b) Deferred tax liabilities (Net)	0.000	0.029	0.012
(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)	0.674	1.916	1.794
(4) Current Liabilities
(a) Short term borrowings	10.433	19.936	4.613
(b) Trade payables	7.762	14.901	0.000
(c) Other current liabilities	13.068	26.104	18.600
(d) Short-term provisions	3.804	2.122	2.063
Total Current Liabilities (4)	35.067	63.063	25.276
TOTAL	63.323	85.654	47.810
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	24.081	24.085	22.194
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	1.634	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)	0.135	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	24.216	25.719	22.194
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	22.751	33.552	12.835
(c) Trade receivables	6.014	17.022	6.127
(d) Cash and cash equivalents	0.235	0.077	0.875
(e) Short-term loans and advances	10.107	9.284	5.779
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	39.107	59.935	25.616
TOTAL	63.323	85.654	47.810

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	148.789	94.748	104.560
		Other Income	1.402	1.939	0.428
		TOTAL	150.191	96.687	104.988
Less	EXPENSES
		Cost of Materials Consumed	87.345	70.425	70.318
		Manufacturing Expenses	16.115	8.222	7.321
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	7.276	-11.181	-2.043
		Employees benefits expense	8.288	7.600	6.765
		Other expenses	16.047	9.137	11.930
		TOTAL	135.071	84.203	94.291
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		15.120	12.484	10.697
Less	FINANCIAL EXPENSES		1.089	2.411	0.927
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		14.031	10.073	9.770
Less/ Add	DEPRECIATION/ AMORTISATION		3.520	3.337	2.942
	PROFIT/ (LOSS) BEFORE TAX		10.511	6.736	6.828
Less	TAX		3.641	2.153	2.125
	PROFIT/ (LOSS) AFTER TAX		6.870	4.583	4.703
	Earnings / (Loss) Per Share (Rs.)		68.70	45.83	47.03

Particulars	31.03.2014
Sales Turnover (Approximately)	150.000

Expected Sales (2014-2015): Rs.150.000 Millions

The above information has been parted by Mr. I.S. Sharma

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	4.57	4.74	4.48
Net Profit Margin (PBT/Sales)	(%)	7.06	7.11	6.53
Return on Total Assets (PBT/Total Assets}	(%)	16.63	8.02	14.28
Return on Investment (ROI) (PBT/Networth)		0.38	0.33	0.33
Debt Equity Ratio (Total Debt/Networth)		0.40	1.06	0.31
Current Ratio (Current Asset/Current Liability)		1.12	0.95	1.01

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	10.000	10.000	10.000
Reserves & Surplus	10.740	10.675	17.582
Net worth	20.740	20.675	27.582
long-term borrowings	1.782	1.887	0.674
Short term borrowings	4.613	19.936	10.433
Total borrowings	6.395	21.823	11.107
Debt/Equity ratio	0.308	1.056	0.403

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)
Revenue from operations	104.560	94.748	148.789
		(9.384)	57.037

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Revenue from operations	104.560	94.748	148.789
Profit	4.703	4.583	6.870
	4.50%	4.84%	4.62%

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	Yes
17]	Major suppliers	Yes
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

NOTE:

The registered address of the company has been shifted from T 21 2^nd Floor, Okhla Industrial area, Phase – II, New Delhi, India to the present address w.e.f 01.08.2006

UNSECURED LOANS

PARTICULAR	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Loans and advance from other parties	0.144	0.590
Total	0.144	0.590

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10457010	18/01/2014 *	21,000,000.00	The Jammu and Kashmir Bank Limited	P-2, JOP PLAZA, SECTOR-18, NOIDA, Uttar Pradesh -  201301, INDIA	B98433568
2	10334076	30/12/2011	20,000,000.00	Citibank N.A	Jeevan Bharti Building, 4th Floor, 124, Connaught  Circus, Connaught Place, New Delhi, Delhi - 110001, INDIA	B31481120
3	90035448	27/11/2010 *	18,000,000.00	THE JAMMU AND KASHMIR BANK LIMITED	P-2, JOP PLAZA, SECTOR-18, NOIDA, Uttar Pradesh -  201301, INDIA	B00289728
4	90031939	05/01/1988 *	367,000.00	CENTRAL BANK OF INDIA	SWAMI RAMTIRATH NAGAR, NEW DELHI, Delhi, INDIA	-

* Date of charge modification

FIXED ASSETS

œ Computer

œ Plant and Machinery

œ Furniture and Fixture

œ Land and Building

œ Office Equipment

œ Vehicles

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.61.24
UK Pound	1	Rs.98.68
Euro	1	Rs.77.60

INFORMATION DETAILS

Information Gathered by :	DIP
Analysis Done by :	SUM
Report Prepared by :	ANK

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	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	6
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		47

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.