MIRA INFORM REPORT

Report Date :

05.09.2014

IDENTIFICATION DETAILS

Name :	BHAWANI CASTINGS PRIVATE LIMITED
Registered Office :	Z-35, Loha Mandi, Naraina, New Delhi - 110028
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	20.08.1992
Com. Reg. No.:	55-050029
Capital Investment / Paid-up Capital :	Rs.29.835 Millions
CIN No.: [Company Identification No.]	U27310DL1992PTC050029
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers and Dealers of ferrous and Non-Ferrous, Castings including of all kinds of Iron, Steel, Aluminium, Brass etc.
No. of Employees :	Information declined by the management.

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track. Reserves of the company seems to be low 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 – 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

NEWS

As per the latest IMF study, the total weigh of emerging markets in the GDP of the world on a purchasing power parity basis has seen a sizeable shift. It highlights how as against 51 % in 2005, the emerging economies now account for close to 56 % of the global purchasing power GDP as per the latest survey. And with the emerging economies growing at a faster rate than their developed counterparts, there are every possibility that the their share goes up further in the coming years.  China may surpass the US over the next few years.

Politics and economics are very intricately connected. They tend to influence each other in ways that could be very complex and far-reaching. The prospects of the India’s economy have been seriously compromised due to political corruption. High inflation, poor standard of living are to a great extent a result of rampant corruption in the country. China on the other hand, seems to be facing diametrically opposite challenge. American hedge fund manager Jim Chanos has been keenly following the political and economic development in the dragon economy and has figured out something that is quite worrying. He is of the view that the Chinese economy could be heading toward trouble on account of new Chinese President Xi Jingping’s very aggressive anti-corruption drive. Chanos believes tat many things such as apartment sales, luxury products, etc. were largely bought with dirty money. And it is now beginning to impact consumption. This may indeed be bad news for an economy that is struggling to transition from an investment-driven export-oriented economy to a domestic consumption-driven economy.

A study published by Firstpost has revealed that asset classes like real estate and equities were the biggest beneficiaries of the liberalization policies.  A firm called Ciane Analytics studied returns from assets including equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate outperformed every other asset classes during the 23-year period with an annualized return of 20 % ! Equities came in second with annualized return of 15.5 % ! However, while these returns may seem mouthwatering, the fact is that the return from equities adjusted for inflation came down to just 7.1 %.

Some brief news are as under

. R-Power to buy Jaypee’s hydro assets

. Investors await justice in NSEL case

. India seeks MFN status from Pakistan ahead of meeting

. Ukrain’s clashes with rebels hinder MH17 crash investigation

. India exploring merger of state-owned hydro PSUs

..Higher costs weigh down profit growth to slowest in 9 quarters

..Wal-Mart to expand wholesale business in India

. GMR group moves to strengthen balance sheet

. Central Bank to sell 4 % stake to Life Insurance Corporation

. Tata Chemicals plans to raise up to Rs 10000 mn.

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 DENIED BY

Name :	Mr. Ashok Kumar Agarwal
Designation :	Director
Contact No.:	91-9888044934
Date :	01.09.2014

LOCATIONS

Registered Office :	Z-35, Loha Mandi, Naraina, New Delhi - 110028, India
Tel. No.:	Not Available
Mobile No.:	91-9888044934 (Mr. Ashok Kumar Agarwal)
Fax No.:	Not Available
E-Mail :	harshgoyalcs@gmail.com

DIRECTORS

AS ON 3.09.2013

Name :	Mr. Amrish Gupta
Designation :	Director
Address :	# 575, Sector 12-A, Panchkula – 134009, Haryana, India
Date of Birth/Age :	27.02.1980
Date of Appointment :	01.10.2011
DIN No. :	00999119
Name :	Mr. Gaurav Gupta
Designation :	Director
Address :	# 575, Sector 12-A, Panchkula – 134009, Haryana, India
Date of Birth/Age :	01.07.1978
Date of Appointment :	01.03.2011
DIN No. :	00999752
Name :	Mr. Ashok Kumar Aggarwal
Designation :	Director
Address :	# 575, Sector 12-A, Panchkula – 134009, Haryana, India
Date of Birth/Age :	15.03.1953
Date of Appointment :	01.03.2011
DIN No. :	00999854

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2013

Names of Shareholders	No. of Shares
Jay Aay Alloys Private Limited, India	2408000
Rinku Markan	8000
Bhawna Gupta	36500
Ashok Kumar Aggarwal	52500
Gaurav Gupta	60000
Shilpi Gupta	52500
Amrish Gupta	50000
Vinod Gupta	150000
Shiney Aggarwal	60000
Geeta Aggarwal	33000
Ankit Aggarwal	73000
Total	2983500

AS ON 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	80.71
Directors or relatives of Directors	19.02
Other top fifty shareholders	0.27
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers and Dealers of ferrous and Non-Ferrous, Castings including of all kinds of Iron, Steel, Aluminium, Brass etc.

GENERAL INFORMATION

Suppliers :

· Adani Port and SApecial Economic Zones

· Aggarwal Ispat Udyog

· Gupta Steel

· Harsh Steels

· J.K. Enterprises

Customers :

· Aditya Steel Rolling Mills

· Aggarwqal Sons

· A B Steel Industries

· Gobind Casting Private Limited

· Jai Steels

No. of Employees :

Information declined by the management.

Bankers :

· Bank of India, Mandi Gobindgarh Branch, Opp. Bus Stand, G.T. Road, Mandi Gobindgarh - 147301, Punjab, India

· Oriental Bank of Commerce, SCO 810, NAC Manimajra, Chandigarh - 160101, Chandigarh, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG TERM BORROWINGS
Term loans from bank
Oriental Bank of Commerce	5.530	10.748
SHORT TERM BORROWINGS
Loans repayable on demand
From Oriental Bank of Commerce	45.761	52.499
From Oriental Bank of Commerce – Cash Credit	1.199	3.811
Total	52.490	67.058

Banking Relations :	--
Financial Institutions :	· Indiabulls Financial Services Limited · Ketak Mahindra Prime Limited · Reliance Capital Limited · Tata Capital Limited
Auditors :
Name :	Datta Singla and Company Chartered Accountants
Address :	Battan Lal Road, Battan Lal Mill Complex, Mandi Gobindgarh – 147301, Punjab, India
PAN No.:	AAAFD8577H
List of concerns of key management personnel :	· Jay Aay Alloys Private Limited, India · Jai Thakurji Multimetals Private Limited ·

CAPITAL STRUCTURE

AS ON 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
3,000,000	Equity Shares	Rs.10/- each	Rs. 30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2,983,500	Equity Shares	Rs.10/- each	Rs. 29.835 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	29.835	16.675	16.675
(b) Reserves & Surplus	7.160	6.031	(15.501)
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	3.000	10.000	10.000
Total Shareholders’ Funds (1) + (2)	39.995	32.706	11.174
(3) Non-Current Liabilities
(a) long-term borrowings	46.712	31.654	57.423
(b) Deferred tax liabilities (Net)	0.624	0.450	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.047	0.047	0.047
Total Non-current Liabilities (3)	47.383	32.151	57.470
(4) Current Liabilities
(a) Short term borrowings	46.961	56.310	34.371
(b) Trade payables	52.096	38.465	66.968
(c) Other current liabilities	16.603	15.470	39.613
(d) Short-term provisions	0.111	0.214	0.000
Total Current Liabilities (4)	115.771	110.459	140.952
TOTAL	203.149	175.316	209.596
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	17.174	18.461	7.562
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	6.327	0.000	2.852
(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	0.049
(d) Long-term Loan and Advances	10.269	10.461	4.519
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	33.770	28.922	14.982
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	34.328	55.002	0.000
(c) Trade receivables	48.850	12.953	54.792
(d) Cash and cash equivalents	20.306	13.651	87.935
(e) Short-term loans and advances	65.895	64.788	51.887
(f) Other current assets	0.000		0.000
Total Current Assets	169.379	146.394	194.614
TOTAL	203.149	175.316	209.596

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2013	31.03.2012	31.03.2011
	SALES
	Income	NA	NA	NA
	Other Income	NA	NA	NA
	TOTAL	NA	NA	NA
Less	EXPENSES
	TOTAL	NA	NA	NA
	PROFIT/ (LOSS) BEFORE TAX	NA	NA	NA
Less	TAX (I)	NA	NA	NA
	PROFIT/ (LOSS) AFTER TAX	1.505	1.403	(37.605)
	Earnings / (Loss) Per Share (Rs.)	0.50	0.84	(22.55)

KEY RATIOS

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
Debt Equity Ratio (Total Debt /Networth)	2.34	2.69	8.21
Current Ratio (Current Asset/Current Liability)	1.46	1.33	1.38

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	16.675	16.675	29.835
Reserves & Surplus	(15.501)	6.031	7.160
Share Application money pending allotment	10.000	10.000	3.000
Net worth	11.174	32.706	39.995
long-term borrowings	57.423	31.654	46.712
Short term borrowings	34.371	56.310	46.961
Total borrowings	91.794	87.964	93.673
Debt/Equity ratio	8.215	2.690	2.342

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	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	No
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	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	No
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

VIEW INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10346804	16/02/2012	47,080,000.00	ORIENTAL BANK OF COMMERCE	SCO 810, NAC MANIMAJRA, CHANDIGARH, CHANDIGARH - 160101, INDIA	B36726487
2	10332865	02/07/2012 *	126,000,000.00	ORIENTAL BANK OF COMMERCE	SCO 810, NAC MANIMAJRA, CHANDIGARH, CHANDIGARH -  160101, INDIA	B56033400
3	10332870	08/12/2011	20,000,000.00	ORIENTAL BANK OF COMMERCE	SCO 810, NAC MANIMAJRA, CHANDIGARH, CHANDIGARH -  160101, INDIA	B30950117

* Date of charge modification

UNSECURED LOANS

PARTICULAR	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG TERM BORROWINGS
Loans and Advances
From Bank	0.673	0.673
From Body corporate	40.208	18.533
From Others	0.300	1.700
Total	41.181	20.906

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 records 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.60.45
UK Pound	1	Rs.99.46
Euro	1	Rs.79.46

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	RAS
Report Prepared by :	SNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		26

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.