MIRA INFORM REPORT

Report Date :

20.09.2014

IDENTIFICATION DETAILS

Name :	SUNGLOW PHARMACEUTICALSS PRIVATE LIMITED
Registered Office :	Plot No 29-38, Opposite Co-Op Milk Dairy (Pontlait), Kurumbapet-605009, Pondicherry
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	18.01.2010
Com. Reg. No.:	18-002407
Capital Investment / Paid-up Capital :	Rs. 35.050 Millions
CIN No.: [Company Identification No.]	U24232PY2010PTC002407
Legal Form :	Private Limited Liability Company
Line of Business :	Supplier and Manufacturer of Pharmaceuticals, Tablets, Capsules, Dry Powder, Sachet.
No. of Employees :	Information decline 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

Maximum Credit Limit :	USD 120000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company has incurred a loss from its operations 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

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 DENIED

Management Non-cooperative

Tel. No. 91-413-2277313

LOCATIONS

Registered Office / Factory :	Plot No 29-38, Opposite Co-Op Milk Dairy (Pontlait), Kurumbapet-605009, Pondicherry, India
Tel. No.:	91-413-2277313
Fax No.:	Not Available
E-Mail :	sunglowpharma@gmail.com contact@sunglowpharma.com gkamraj_24@yahoo.co.in
Corporate Office :	Plot No. 6,F Block, TVD’s Srishti Flats, United Colony 2^nd Street, Medavakkam--600100, Chennai, India
Tel. No.:	91-44-43534656

DIRECTORS

As on 30.09.2013

Name :	Mr. S. Sivapragasam
Designation :	Director
Address :	No.1, Odai Street, Lakshmi Nagarm Karuvadikuppam, Pondicherry 605008, Tamilnadu, India
Date of Birth/Age :	24.09.1972
Date of Appointment :	18.01.2010
DIN No.:	02890737
Name :	Mr. S. Sowrinathan
Designation :	Director
Address :	10 Mariamman Kovil Street, Sanniyasikuppam, Pallianealiyanur Via, Thirubuvanal Post, Pondicherry 605107, Tamilnadu, India
Date of Birth/Age :	25.07.1973
Date of Appointment :	18.01.2010
DIN No.:	02919239
Name :	Mr. G. Kamaraj
Designation :	Director
Address :	S2, Prasath Manor, No.24, Gokulam Colony, Velacherry, Chennai 600042, Tamilnadu, India
Date of Birth/Age :	08.03.1966
Date of Appointment :	28.05.2010
DIN No.:	02910388

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	U24232PY2010PTC002407		SUNGLOW PHARMACEUTICALSS PRIVATE LIMITED	Director	15-07-11	28-05-10	-	Active	NO
2	U24100TN2012PTC087894		SUNGLOW LIFESCIENCE PRIVATE LIMITED	Director	01-10-12	01-10-12	-	Active	NO
Name :		Mr. K.K. Vinupal
Designation :		Director
Address :		D6, Second Floor, Ceedeeyes Golden Avenue, Vijaya Nagar, Velacherry, Chennai 600042, Tamilnadu, India
Date of Birth/Age :		21.11.1964
Date of Appointment :		16.06.2011
DIN No.:		03552323

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	U24232PY2010PTC002407	SUNGLOW PHARMACEUTICALSS PRIVATE LIMITED	Director	15-07-11	16-06-11	-	Active	NO
2	U74990TN2011PTC078845	RELIMED PHARMACEUTICALS PRIVATE LIMITED	Whole-time director	18-11-11	18-11-11	-	Active	NO
3	U24100TN2012PTC087894	SUNGLOW LIFESCIENCE PRIVATE LIMITED	Director	01-10-12	01-10-12	-	Active	NO

Name :	Mr. Sivaraja Kumar
Designation :	Director
Address :	35, 4th Cross Street, Kurinji Nagar, Lawspet, Pondicherry 605008, Tamilnadu, India
Date of Birth/Age :	09.06.1965
Date of Appointment :	12.04.2013
DIN No.:	06520906
Name :	Mr. V.Rajasekaran
Designation :	Director
Address :	52, I Main Road, Indira Nagar, Adyar, Chennai 600020, Tamilnadu, India
Date of Birth/Age :	15.05.1964
Date of Appointment :	09.09.2013
DIN No.:	06693891

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	U24100TN2012PTC087894	SUNGLOW LIFESCIENCE PRIVATE LIMITED	Additional director	09-09-13	09-09-13	-	Active	NO
2	U24232PY2010PTC002407	SUNGLOW PHARMACEUTICALSS PRIVATE LIMITED	Additional director	09-09-13	09-09-13	-	Active	NO
3	U74990TN2011PTC078845	RELIMED PHARMACEUTICALS PRIVATE LIMITED	Additional director	01-10-13	01-10-13	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares
S. Sivapragasam	27500
S. Sowrinathan	25000
K. Kavitha	12000
Malarvizhy Thandapani	5700
Eratna Sababathi	6300
Sivasankaran	20000
R. Jayasri	46000
G Kamaraj	39000
Padma Kamaraj	32000
Nagasundaram	27000
K K Vinupal	13400
Sreeja Vinupal	16600
D.L.Mohandoss	10000
P.Sivraja Kumar	10000
G.Kalivardhan	36000
V.V.A. Selvakumar	24000
TOTAL	350500

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Directors or relatives of Directors	55.78
Other top fifty shareholders	44.22
Total	100.00

BUSINESS DETAILS

Line of Business :	Supplier and Manufacturer of Pharmaceuticals, Tablets, Capsules, Dry Powder, Sachet.
Products :	· Tablets · Capsule · Sachets

GENERAL INFORMATION

No. of Employees :

Information decline by the management.

Bankers :

HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel West, Mumbai-40013, Maharashtra, India

Facilities :

SECURED LOAN

(Rs. In Millions)

Particulars	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Term Loan from :
Shriram City Union Finance Limited (Secured against hypothecation of Genset) (Terms of Payment-36 Installments of Rs. 20,174/- each payable from 07.10.2011)	0.218	0.365
Magma Fin Crop (Secured against hypothecation of Maruti Omni Car) (Terms of repayment-36 instalment of Rs. 6,196/- each payable from May,2012)	0.131	0.000
Term Loan from UCO Bank (Secured against hypothecation of Machinery)	2.480	0.000
SHORT TERM BORROWINGS
Loans Repayable on demand from Banks
Cash Credit Facilities from UCO Bank Limited (Secured by First Charge on all Stock, Book Debt and Receivables (Not more than 90 Days old), Bill, Other Chargeable Current assets of the company and personal guarantee of direct and shareholders)	12.530	11.164
Total	15.359	11.529

Banking Relations :	---
Auditors :
Name :	K. Kishore and Company Chartered Accountant
Address :	No. 7d, 7th Floor, Ega Trade Centre, 318, Poonamallee High Road, Kilpauk, Chennai-600010, Tamil Nadu, India
Tel. No.:	91-44-26402065
Fax No.:	91-44-42858099
E-Mail :	kkishore_co@yahoo.com
PAN No.:	AABPK3132E
Associates/Subsidiaries :	Relimed Pharmaceuticals Private Limited (U74990TN2011PTC078845)

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
360000	Equity Shares	Rs.100/- each	Rs. 36.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
350500	Equity Shares	Rs.100/- each	Rs. 35.050 Millions

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
360000	Equity Shares	Rs.100/- each	Rs. 36.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
305500	Equity Shares	Rs.100/- each	Rs. 30.550 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	35.050	30.550	12.000
(b) Reserves & Surplus	(2.867)	(1.390)	(1.214)
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	3.000	0.000
Total Shareholders’ Funds (1) + (2)	32.183	32.160	10.786
(3) Non-Current Liabilities
(a) long-term borrowings	24.312	0.865	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.451
(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)	24.312	0.865	0.451
(4) Current Liabilities
(a) Short term borrowings	12.530	11.164	7.264
(b) Trade payables	76.792	22.442	13.597
(c) Other current liabilities	9.671	4.488	4.041
(d) Short-term provisions	0.000	0.000	0.000
Total Current Liabilities (4)	98.993	38.094	24.902
TOTAL	155.488	71.119	36.139
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	25.039	21.870	15.806
(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	4.900	0.000	0.000
(c) Deferred tax assets (net)	1.171	0.519	0.000
(d) Long-term Loan and Advances	8.046	0.658	0.577
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	39.156	23.047	16.383
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	28.284	22.737	8.076
(c) Trade receivables	84.248	23.647	10.479
(d) Cash and cash equivalents	0.810	0.060	0.265
(e) Short-term loans and advances	2.850	1.143	0.647
(f) Other current assets	0.140	0.485	0.289
Total Current Assets	116.332	48.072	19.756
TOTAL	155.488	71.119	36.139

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	162.967	80.507	0.096
		Other Income
		TOTAL	162.967	80.507	0.096
Less	EXPENSES
		TOTAL	165.095	81.654	0.858
	PROFIT BEFORE TAX		(2.128)	(1.147)	(0.762)
Less	TAX		(0.652)	(0.970)	0.451
	PROFIT AFTER TAX		(1.476)	(0.177)	(1.213)
	Earnings Per Share (Rs.)		(0.04)	(0.01)	(0.10)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	(0.91)	(0.22)	(12.63)
Return on Total Assets (PBT/Total Assets}	(%)	(1.42)	(1.62)	(2.11)
Return on Investment (ROI) (PBT/Networth)		(0.07)	(0.04)	(0.07)
Debt Equity Ratio (Total Debt /Networth)		1.14	0.37	0.67
Current Ratio (Current Asset/Current Liability)		1.18	1.26	0.79

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	12.000	30.550	35.050
Reserves & Surplus	(1.214)	(1.390)	(2.867)
Share Application money pending allotment	0.000	3.000	0.000
Net worth	10.786	32.160	32.183
long-term borrowings	0.000	0.865	24.312
Short term borrowings	7.264	11.164	12.530
Total borrowings	7.264	12.029	36.842
Debt/Equity ratio	0.673	0.374	1.145

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	0.096	80.507	162.967
		83,761.458	102.426

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	0.096	80.507	162.967
Profit	1.213	0.177	1.476
	1263.54%	0.22%	0.91%

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 two 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	No
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	As on 31.03.2013 (Rs. In Millions)	As on 31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Term Loan from
Loan from Shareholders (Repayable on demand)	21.483	0.500
Total	21.483	0.500

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10464827	28/11/2013	22,360,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W  , MUMBAI, MAHARASHTRA - 400013, INDIA	B91404400

* Date of charge modification

FIXED ASSETS

· Building

· Plant and Machinery

· Furniture and Fittings

· Computer and Printers

· Vehicles

· Office Equiepments

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. 60.80
UK Pound	1	Rs. 78.46
Euro	1	Rs. 100.06

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	RSM
Report Prepared by :	ASH

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	NO
--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.