MIRA INFORM REPORT

Report Date :

30.09.2014

IDENTIFICATION DETAILS

Name :	BIOCON LIMITED
Registered Office :	20th KM, Hosur Main Road, Hebbagodi, Electronics City, Bangalore – 560100, Karnataka
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	29.11.1978
Com. Reg. No.:	08-003417
Capital Investment / Paid-up Capital :	Rs.1000.000 Millions
CIN No.: [Company Identification No.]	L24234KA1978PLC003417
TAN No.: [Tax Deduction & Collection Account No.]	BLRB00214E
PAN No.: [Permanent Account No.]	AAACB7461R
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturer of biotechnology products and also engaged in research and development in the biotechnology sector.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Aa (72)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a well-established company having fine track record. The rating reflects company’s healthy financial risk profile marked by adequate liquidity position and fair profitability and decent profitability of the company. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered good for normal business dealings at usual trade terms 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Rating : “AA+”
Rating Explanation	High degree of safety and very low credit risk.
Date	03.06.2014

Rating Agency Name	CRISIL
Rating	Short Term Rating : “A1+”
Rating Explanation	Very strong degree of safety and lowest credit risk
Date	03.06.2014

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. mayank verma
Designation :	Accounts head
Contact No.:	91-80-28082808 (Extension 2027)
Date :	29.09.2014

LOCATIONS

Registered Office /Factory 1 / Corporate Headquarters:	20^th KM, Hosur Main Road, Hebbagodi, Electronics City, Bangalore – 560100, Karnataka, India
Tel. No.:	91-80-28422169/28523434/ 28082808 / 40144014
Fax No.:	91-80-28422623/25531662/28523423
E-Mail :	info@biocon.com contact.us@bioconindia.com contact.us@biocon.com usha.tn@biocon.com kiran.kumar@biocon.com rani.desai@biocon.com
Website :	http://www.biocon.com
Area :	15000 sq. ft.
Locations :	Owned
Factory 2 :	Plot No 113/C2, Bommasandra Industrial Area, Bommasandra, Bangalore – 560099, Karnataka, India
Factory 3 :	Plot No 2,3,4 and 5, Bommasandra – Jigani Link Road, Bangalore – 560099, Karnataka, India
Factory 4 :	Plot 213-215 IDA Phase – II,pashamlaram Medak District – 502307, Andhara Pradesh, India

DIRECTORS

As on 31.03.2014

Name :	Ms. Kiran Mazumdar-Shaw
Designation :	Chairman and Managing Director
Address :	874/1, 7^th Cross III Block, Koramangala, Bangalore – 560034, Karnataka, India
Date of Birth/Age :	20.11.1978
Qualification :	B.Sc. (Hons.), PG Diploma in Malting and Brewing
Date Of Appointment :	01.12.1978
Name :	Mr. John Shaw
Designation :	Vice Chairman
Date of Birth/Age :	64 Years
Name :	Dr. Bala S. Manian
Designation :	Chairman and Founder
Date of Birth/Age :	67 Years
Name :	Prof. Charles L. Cooney
Designation :	Director
Address :	35, Chestnut Palace, Brookline MA , USA
Date of Birth/Age :	14.09.1961
Date of Appointment :	27.07.2001
Name :	Ms. Mary Harney
Designation :	Director
Date of Birth/Age :	60 Years
Name :	Prof. Ravi Mazumdar
Designation :	Director
Address :	706, Carrolton Boulevard, West Lafayeete, IN – 47906, USA
Date of Birth/Age :	14.07.1940
Date of Appointment :	08.08.2000
Name :	Mr. Russel Walls
Designation :	Director
Date of Birth/Age :	69 Years
Name :	Mr. Suresh N. Talwar
Designation :	Director
Date of Birth/Age :	74 Years
Name :	Prof. Catherine Rosenberg
Designation :	Director
Name :	Mr. Peter Bains
Designation :	Director
Name :	Mr. Daniel M. Bradbury
Designation :	Director`

KEY EXECUTIVES

CORE COMMITTEE
Name :	Ms. Kiran Mazumdar-Shaw
Designation :	Chairman and Managing Director
Name :	Mr. Murali Krishnan
Designation :	President
Name :	Mr. John Shaw
Designation :	Vice Chairman
Name :	Dr. Abhijit Barve
Designation :	President
Name :	Dr. Arun Chandavarkar
Designation :	Chief Operating Officer
Name :	Mr. Rakesh Bamzai
Designation :	President
Name :	Mr. Ravi Dasgupta
Designation :	Group Head
Name :	Mr. Rahul Agrawal
Designation :	Finance Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.06.2014

Category of Shareholder	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	80747694	40.37
Sub Total	80747694	40.37
(2) Foreign
Individuals (Non-Residents Individuals / Foreign Individuals)	1665558	0.83
Bodies Corporate	39535194	19.77
Sub Total	41200752	20.60
Total shareholding of Promoter and Promoter Group (A)	121948446	60.97
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	6560039	3.28
Financial Institutions / Banks	5495063	2.75
Foreign Institutional Investors	28053983	14.03
Sub Total	40109085	20.05
(2) Non-Institutions
Bodies Corporate	4855269	2.43
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	12872435	6.44
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	10728351	5.36
Any Others (Specify)	9486414	4.74
Non Resident Indians	1019057	0.51
Trusts	7834884	3.92
Clearing Members	632473	0.32
Sub Total	37942469	18.97
Total Public shareholding (B)	78051554	39.03
Total (A)+(B)	200000000	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	200000000	0.00
Total (A)+(B)+(C)	200000000	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of biotechnology products and also engaged in research and development in the biotechnology sector.

Products :

ITC Code No.	Products Description
350790	Enzymes for Pharmaceutical Use
280000 and 290000	Organic and Inorganic Chemicals

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

· State Bank of India, Overseas Branch, No. 65, St. Marks Road, Bangalore - 560001, Karnataka, India

The Hongkong and Shanghai Banking Corporation Limited, 7 M.G.Road, Bangalore - 560001, Karnataka, India

Facilities :

SECURED LOAN	31.03.2014 (Rs in Millions)	31.03.2013 (Rs in Millions)
SHORT TERM BORROWINGS
From banks / financial institution
Packing Credit foreign currency loan	541.000	0.000
Cash Credit	274.000	282.000
Total	815.000	282.000

NOTE:

LONG TERM BORROWINGS

(a) On February 9, 2000, the Company obtained an order from the Karnataka Sales Tax Authority for allowing an interest free deferment of sales tax (including turnover tax) for a period up to 12 years with respect to sales from its Hebbagodi manufacturing facility for an amount not exceeding Rs. 649.000 millions. This is an interest free liability. The amount is repayable in 10 equal half yearly installments of Rs. 65 each starting from February 2012.

(b) On March 31, 2005, the Company entered into an agreement with the Council of Scientific and Industrial Research (‘CSIR’), for an unsecured loan of Rs. 3.000 millions for carrying out part of the research and development project under the New Millennium Indian Technology Leadership Initiative (‘NMITLI’) Scheme. The loan is repayable over 10 equal annual installments of Rs. 0.3 starting from April 2009 and carry an interest rate of 3 percent per annum.

(c) (i) On March 31, 2009, the Department of Scientific and Industrial Research (‘DSIR’) sanctioned financial assistance for a sum of Rs. 17.000 to the Company for part financing one of its research projects. The assistance is repayable in the form of royalty payments for three years post commercialisation of the project in five equal annual installments of Rs. 3 each. The said projects have been completed during the year ended March 31, 2010 and the repayments would commence from April 1, 2013.

(ii) In addition, during the FY 2010-11, the Company has further received Rs. 4.000 towards a development project out of sanctioned amount of Rs. 12.000. The assistance is repayable in the form of royalty payments for a period of five years post commercialisation of the project in five equal annual installments of Rs. 3 each. The saidproduct has not yet been commercialised as at March 31, 2013.

(d) On November 3, 2009, the Department of Biotechnology (‘DBT’) under the Biotechnology Industrial Partnership Programme (‘BIPP’) has sanctioned financial assistance for a sum of Rs. 53.000 millions to the Company for financing one of its research projects. Of the said sanctioned amount, the Company had received a sum of Rs. 37.000 millions during the year ended March 31, 2011 and the remaining amount of Rs. 16.000 millions during the previous year. The loan is repayable over 10 half yearly installments of Rs. 5.000 millions after two years from date of completion of the project and carries an interest rate of 2 percent per annum. However, the Company has repaid the loan during the year end March 31, 2013.

In addition, on May 23, 2011, the DBT under the BIPP has sanctioned financial assistance of Rs. 40.000 millions to the Company for financing another research project. Of thesanctioned amount, the Company has received a sum of Rs. 12.000 millions during the previous year. The loan is repayable over 10 half yearly installments of Rs. 4.000 after one year from date of completion of the project and carries an interest rate of 2 percent per annum. However, the Company has repaid the loan during the year end March 31, 2013.

(e) On August 25, 2010, the Department of Science and Technology (‘DST’) under the Drugs and Pharmaceutical Research Programme (‘DPRP’) has sanctioned financial assistance for a sum of Rs. 70.000 millions to the Company for financing one of its research projects. Of the said sanctioned amount, the Company has received the first installment of Rs. 14.000 millions during the year ended March 31, 2011 and the remaining amount during the year ended March 31, 2012. The loan is repayable over 10 annual installments of Rs. 7 each starting from July 1, 2012, and carries an interest rate of 3 percent per annum.

(f) In respect of the financial assistance received under the aforesaid programmes (refer notes (b) to (e) above), the Company is required to utilize the funds for the specified projects and is required to obtain prior approvals from the said authorities for disposal of assets / Intellectual property rights acquired/developed under the above programmes.

SHORT TERM BORROWINGS

(i) The Company has obtained foreign currency denominated loans of Rs. 491.000 (US$ 9 million) [March 31, 2012 - Rs. 812.000 millions (US$ 15.95 million)], carrying an interest rate of LIBOR plus 0.5% to 1.50% p.a., from Bank/Financial institutions as at March 31, 2013.

(ii) The Company has working capital facilities with Banks carrying interest rate ranging from 11%-13% per annum. These facilities are repayable on demand, secured by pari-passu first charge on inventories and trade receivables. As on March 31, 2013, the Company has utilized fund based limits of Rs. 282.000 millions (March 31, 2012 - Rs. 56.000 millions)

Banking Relations :	---
Auditors :
Name :	S. R. Batliboi and Associates Chartered Accountants
Address :	Bangalore, Karnataka, India
Joint Venture :	NeoBiocon FZ LLC
Associate :	IATRICa Inc.
Subsidiary :	· Syngene International Limited Clinigene International Limited Biocon Biopharmaceuticals Limited Biocon Research Limited Biocon SA Biocon Sdn.Bhd.
Enterprise owned by key management personnel :	Glentec International

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
220000000	Equity shares	Rs.5/- each	Rs. 1100.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
200000000	Equity shares	Rs.5/- each	Rs. 1000.000 millions

As on 31.03.2014

(a) Reconciliation of the shares outstanding at the beginning and at the end of the reporting period

Equity Shares	31.03.2014
	No.	Rs. In millions
At the beginning of the year	200,000,000	1000.000
Issued during the year	--	--
Outstanding at the end of the year	200,000,000	1000.000

(b) Terms/rights attached to equity shares

The Company has only one class of equity shares having a par value of Rs. 5 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

During the year ended March 31, 2013, final dividends proposed for distribution to equity shareholders was Rs. 7.5 (March 31, 2012 – Rs. 5) per share. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts, if any. The distribution will be in proportion to the number of equity shares held by the shareholders.

(c) Aggregate number of bonus shares issued during the period of five years immediately preceding the reporting date

On September 15, 2008, the Company issued 100,000,000 equity shares of Rs. 5 each as fully paid bonus shares by capitalization of balance in the securities premium account of Rs.500.

iv. Details of shareholders holding more than 5% shares in the Company

Equity Shares	31.03.2014
Equity shares of Rs. 5 each fully paid	No.	% holding
Dr Kiran Mazumdar Shaw	79,287,564	39.64%
Glentec International	39,535,194	19.77%

As per of the Company, including its register of shareholders/members. The above shareholding represents both legal and beneficial ownerships of shares.

(e) Shares reserved for issue under options for details of shares reserved for issue under the employee stock option (ESOP) plan of the Company.

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	1000.000	1000.000	1000.000
(b) Reserves & Surplus	23177.000	21068.000	19964.000
(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)	24177.000	22068.000	20964.000
(3) Non-Current Liabilities
(a) long-term borrowings	259.000	400.000	605.000
(b) Deferred tax liabilities (Net)	400.000	302.000	349.000
(c) Other long term liabilities	1311.000	1083.000	649.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	1970.000	1785.000	1603.000
(4) Current Liabilities
(a) Short term borrowings	815.000	773.000	868.000
(b) Trade payables	2685.000	2650.000	2511.000
(c) Other current liabilities	899.000	679.000	769.000
(d) Short-term provisions	1639.000	2177.000	1488.000
Total Current Liabilities (4)	6038.000	6279.000	5636.000
TOTAL	32185.000	30132 .000	28203.000
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	9410.000	8455.000	6757.000
(ii) Intangible Assets	83.000	59.000	93.000
(iii) Capital work-in-progress	1018.000	512.000	825.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	1449.000	1660.000	1664.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	5546.000	4713.000	5343.000
(e) Other Non-current assets	6.000	0.000	0.000
Total Non-Current Assets	17512.000	15399.000	14682.000
(2) Current assets
(a) Current investments	3483.000	4530.000	4906.000
(b) Inventories	3576.000	3589.000	3404.000
(c) Trade receivables	4946.000	4270.000	4450.000
(d) Cash and cash equivalents	2042.000	1792.000	400.000
(e) Short-term loans and advances	568.000	510.000	302.000
(f) Other current assets	58.000	42.000	59.000
Total Current Assets	14673.000	14733.000	13521.000
TOTAL	32185.000	30132.000	28203.000

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	22025.000	19380.000	15558.000
		Other Income	606.000	515.000	666.000
		TOTAL (A)	22631.000	19895.000	16224.000
Less	EXPENSES
		Cost of raw materials and packing materials consumed	8876.000	8300.000	6971.000
		Purchases of traded goods	1039.000	857.000	857.000
		Employee benefits expense	2664.000	2276.000	1916.000
		Other expenses	4741.000	4110.000	2893.000
		Exceptional items	0.000	139.000	0.000
		(Increase)/Decrease in inventories of finished goods, traded goods and work-in-progress	13.000	(179.000)	(414.000)
		Recovery of Product development costs from co-development partner	(41.000)	(41.000)	0.000
		TOTAL (B)	17292.000	15462.000	12223.000
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		5339.000	4433.000	4001.000
Less	FINANCIAL EXPENSES (D)		9.000	12.000	17.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		5330.000	4421.000	3984.000
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1244.000	951.000	940.000
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		4086.000	3470.000	3044.000
Less	TAX (H)		842.000	713.000	489.000
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		3244.000	2757.000	2555.000
Add	Impact of scheme of merger for earlier year (L)		55.000	0.000	0.000
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		14476.000	13750.000	12613.000
Less	APPROPRIATIONS
		Transfer to General Reserve	330.000	276.000	256.000
		Dividend	170.000	1500.000	1000.000
		Tax on Dividend	1000.000	255.000	162.000
	BALANCE CARRIED TO THE B/S		16275.000	14476.000	13750.000
	EARNINGS IN FOREIGN CURRENCY
		Export of goods on FOB basis	10669.000	9450.000	6661.000
		Licensing and development fees	37.000	114.000	27.000
		Other operating revenue	97.000	342.000	79.000
		Other income	0.000	0.000	5.000
		Interest on foreign currency loan given to subsidiary company	0.000	0.000	1.000
	TOTAL EARNINGS		10803.000	9906.000	6773.000
	IMPORTS
		Raw Materials	5239.000	4917.000	3833.000
		Packing materials	247.000	177.000	193.000
		Traded goods	408.000	250.000	0.000
		Maintenance spares	66.000	49.000	44.000
		Capital goods	613.000	168.000	411.000
	TOTAL IMPORTS		6573.000	5561.000	4481.000
	Earnings / (Loss) Per Share (Rs.)
	Basic		16.81	14.08	13.04
	Diluted		16.62	13.95	12.92

QUARTERLY / SUMMARISED RESULTS

Particulars (Rs. Millions)	Jun 2014
Audited / UnAudited	UnAudited
Net Sales	5586.900
Total Expenditure	4422.900
PBIDT (Excl OI)	1164.000
Other Income	117.400
Operating Profit	1281.400
Interest	2.700
Exceptional Items	0.000
PBDT	1278.700
Depreciation	307.400
Profit Before Tax	971.300
Tax	225.000
Provisions and contingencies	0.000
Profit After Tax	746.300
Extraordinary Items	0.000
Prior Period Expenses	0.000
Other Adjustments	0.000
Net Profit	746.300

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
PAT / Total Income	(%)	14.33	13.86	15.75
Net Profit Margin (PBT/Sales)	(%)	18.55	17.91	19.57
Return on Total Assets (PBT/Total Assets}	(%)	13.75	12.41	11.84
Return on Investment (ROI) (PBT/Networth)		0.17	0.16	0.15
Debt Equity Ratio (Total Debt/Networth)		0.04	0.05	0.07
Current Ratio (Current Asset/Current Liability)		2.43	2.35	2.40

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	1000.000	1000.000	1000.000
Reserves & Surplus	19964.000	21068.000	23177.000
Net worth	20964.000	22068.000	24177.000
long-term borrowings	605.000	400.000	259.000
Short term borrowings	868.000	773.000	815.000
Total borrowings	1473.000	1173.000	1074.000
Debt/Equity ratio	0.070	0.053	0.044

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)
Sales	15558.000	19380.000	22025.000
		24.566	13.648

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	15558.000	19380.000	22025.000
Profit	2555.000	2757.000	3244.000
	16.42%	14.23%	14.73%

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	Yes
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	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	Yes
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	Yes

LITIGATION DETAILS

High Court of Karnataka - Principal Bench at Bangalore

ITA 650/2013

Petitioner/Appnt.	THE COMMISSIONER OF INCOME - TAX
Respondent/Defnt. Name	M/S BIOCON LIMITED
Petnr./Appnt. Advocate	ARAVIND KV
Respnt./Defnt. Advocate
Date Filed	13/12/2013	Classification
District	Bangalore City

Stage	Hearing Last Posted for: ADMISSION
Last Action Taken	ADMIT/RULE Last Date of Action 01/04/2014 Next hearing date
Before Hon'ble Judge/s	DILIP B.BHOSALE B.MANOHAR

Case No	Court name	Disposal Dt
ITA 371/2010	INCOME TAX APPELLATE TRIBUNAL BANGALORE	16/07/2013

Sl.No.	Honble Judge	Date of Order
1	HONBLE DBBJ & BMJ	01/04/2014

UNSECURED LOANS

PARTICULARS	31.03.2014 (Rs in Millions)	31.03.2013 (Rs in Millions)
LONG TERM BORROWINGS
Deferred sales tax Liability	195.000	324.000
Other loans and advance
NMITU – CSIR Loan	1.000	2.000
Financial Assistance From DSIR	14.000	18.000
Financial Assistance From DST	49.000	56.000
SHORT TERM BORROWINGS
From banks/Financial institutions
Packing credit foreign currency loan (unsecured)	0.000	491.000
Total	259.000	891.000

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10300393	29/06/2011	44,267,000.00	DEPARTMENT OF BIOTECHNOLOGY	6-8TH FLOOR, BLOCK NO. 2, CGO COMPLEX, NEW DELHI,  DELHI - 110003, INDIA	B18143230
2	10255822	12/11/2010	57,081,000.00	DEPARTMENT OF BIOTECHNOLOGY	6-8TH FLOOR, BLOCK NO. 2, CGO COMPLEX, LODHI ROAD,, NEW DELHI, DELHI - 110003, INDIA	B01390137
3	10059940	17/02/2007	650,000,000.00	STATE BANK OF INDIA	OVERSEAS BRANCH, NO. 65, ST. MARKS ROAD,, BANGALORE, KARNATAKA - 560001, INDIA	A11660974
4	10060347	17/02/2007	650,000,000.00	STATE BANK OF INDIA	OVERSEAS BRANCH, NO. 65, ST. MARKS ROAD,, BANGALORE, KARNATAKA - 560001, INDIA	A11661360
5	80022593	23/07/2010 *	1,773,500,000.00	THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMI  TED	7 M.G.ROAD, BANGALORE, KARNATAKA - 560001, INDIA	A90645920

Biocon to Mark a Decade of Excellence in

Affordable Insulin Therapy

Bangalore, India, August 10th, 2014

Biocon Ltd, Asia's premier biotechnology company, kicked off a series of patient outreach programs to mark a Decade of Excellence in Affordable Insulin Therapy, through which it has been touching the lives of lakhs of diabetic patients. Biocon was an early pioneer in the development of generic recombinant human Insulin (rh-Insulin) and introduced it to patients in India in 2004.

As a part of the initiative, special programs like health camps for senior citizens are being organized in several cities across India. In Bangalore, Dr. N. Prakash (General Practitioner, MBBS DNB) led the company’s efforts at the Shree Old Age Home in Mahalakshmipuram, where over 40 senior citizens underwent a comprehensive free health check-up. The camp included cardio-diabetic screening, health & eye checkups followed by doctor consultations and a session on diabetes awareness.

The company’s engagement with the senior citizens who underwent screening at the health camp will extend to subsidized/free lifetime medication (oral cardio, anti – diabetics & insulins ) and distribution of free optical devices.

The health camp was organized as a part of Biocon’s efforts to improve the quality of life of patients, especially the less privileged & neglected members of society who deserve that extra attention and care in the advancing years.

Commenting on this noble initiative, Mr. Ravindra Limaye, President, Marketing, Biocon said, “The instances of chronic morbidities like diabetes and hypertension among the geriatric population are constantly increasing. Also, as age advances, this is the population which is neglected worldwide. Proper diagnosis and timely treatment are key in reducing the burden of illness and associated costs.”

“For the past decade, Biocon has been hand holding patients through a holistic & highly effective diabetes management program that reaches out to all stakeholders. As we approach the milestone of a decade of excellence in affordable insulin therapy in India, we are endeavoring to empower many more fellow Indians with increased choices in healthcare management,” he added.

Dr. N. Prakash said: “I am happy to be a part of this initiative from Biocon to bring healthcare services to the doorsteps of less privileged members of the society. I feel they will greatly benefit from the health interventions that we did today.”

Developing countries like India are challenged with a much larger disease burden due to ageing populations and rising incidence of non-communicable diseases (NCDs) like diabetes, cancer and autoimmune disorders.

Among the NCDs, diabetes represents a huge disease burden for India, where there were 65 million cases of diabetes in 2013. It is estimated that India could have over 85 million diabetes patients by 2030. (Source: ICMR; Research Society for the Study of Diabetes in India).

Over the past decade, Biocon has been offering cost-effective and easily accessible treatment for diabetes, which typically imposes a huge economic burden on patients that gets magnified because it leads to related complications, including heart, kidney, eye and foot disease.

Biocon has been addressing the large need for affordable Insulin therapy in India through its generic rh-Insulin and analogs. It has increased patient access to Insulin across India by ensuring affordability, resulting in improved diabetes management. Nearly a million patients have benefited from Biocon’s inclusive diabetes management programme till date.

Biocon's differentiated insulin products and devices and personalized medical support have given the company the distinction of being not only the largest Indian insulin’s company but the fastest growing insulin’s company in India as well. (Source: MAT June 2014, IMS).

‘Winning with Diabetes’ is an ongoing patient outreach initiative of Biocon, which is manned by around 100 diabetes care advisors working round-the-clock to improve patient adherence to therapy (medication, diet and exercise) through a structured six visit plan for counseling called ‘iTAP’ (insulin therapy assistance program). Other programs include ABIDE, a novel diabetes education initiative for medical practitioners and Sampark, a chemist education program.

Biocon announces Q1 FY15 results

Revenues: ₹ 7420.000 Millions; EBITDA: ₹ 1910.000 Millions; PAT: ₹ 1030.000 Millions

Bengaluru, India: July 24, 2014

Commenting on the quarterly performance and highlights, Chairman and Managing Director, Kiran Mazumdar-Shaw stated, ““Their revenue growth this quarter has been muted. Their business performance reflects the challenges that we are temporarily facing in some of their key markets especially in the Middle East We are working towards diversifying their regional dependencies to diminish the impact of such externalities. However, we have sustained their operating margins and profits despite increase in costs. Their business profitability has remained intact indicating the benefits of portfolio optimization. Their development pipeline across biosimilars and novel candidates continues to progress well. We remain committed towards improving their performance in the coming quarters”.

Highlights:

· Biocon files its first set of ANDAs, targets the US generics market

· Extension of the research collaboration between Bristol Myers Squibb and Syngene

· Appointment of Mr. Siddharth Mittal as Chief Financial Officer, Biocon

Business Performance

Financial Highlights: Q1 FY15 (In ₹ Millions)

Revenue : 7420.000 R&D Expenses: 310.000 (6% of Biopharmaceutical sales) EBITDA: 191.000 (EBITDA Margin: 26%) PAT: 1030.000 (PAT Margin: 14%)

Revenue Breakup: • Biopharmaceuticals: 5470.000 • Research Services: 172.000 • Other Income: 230.000

Biopharmaceuticals

Biopharma

The biopharma segment recorded revenues of 4360.000 Millions in Q1FY15.

The e biopharma business was impacted this quarter by various external factors including the ongoing geo political conflicts in the MENA region, affecting the growth of this business. We believe this is a temporary phasing issue as the underlying demand remains robust. We hope that stability in the region will restore business momentum. We are working towards mitigating the impact of these regional instabilities on their Business performance.

This quarter we filed their first ANDAs, targeting the US generics market. This effort is part of their communicated strategy to move up the pharma value chain to enter finished dosages with generic formulations. We continue working towards further optimization of their product portfolio in the small molecules vertical, with a clear focus on profitable growth.

We remain on track to initiate global phase III trials for their biosimilar glargine. Their upcoming insulin facility in Malaysia continues to progress well and we expect the plant to be commissioned, as per plan in the second half of this fiscal.

Branded Formulations

The branded formulations recorded revenues of 1110.000 Millions in Q1 FY15. The vertical grew at 10% YoY, in line with the industry. This quarter, we have reorganized certain divisions within this vertical. The reorganization largely focuses around the cardiology and diabetes divisions to drive synergies around key anchor brands and optimization of product portfolios with a focus on profitability.

Novel Molecules

The initial set of trials for their oral insulin molecule, IN-105, are on track. We continue to engage with potential partners to out-licensing discussions for their novel anti-CD6 molecule, Itolizumab.

Research Services

The research services segment grew by 12% YoY in Q1 FY15, recording revenues of 1720.000 Millions. This quarter witnessed the extension of their research collaboration with Bristol Myers Squibb, for 5 years. This extension of their longest standing collaboration validates their integrated drug discovery model and reiterates their commitment towards quality, world class research.

Commenting on this performance, Peter Bains, Director Syngene International, said, “They have made a steady start to the new fiscal, and will build upon this performance during the course of the year. They have been investing in capacity expansions, some of which will come into play in the latter half of FY15. The new capacities will help them expand their order book and build growth momentum. A key milestone this quarter was the extension of their partnership with Bristol Myers Squibb until the year 2020.”

Appointments:

Mr. Siddharth Mittal, President – Finance has been appointed as Chief Financial Officer of Biocon Limited effective August 01, 2014. He joined Biocon in May 2013 and takes over from Mr. Murali Krishnan, who retires after more than 30 years of distinguished service with the organization. Siddharth is a Chartered Accountant (India) and a CPA (US) and has more than 15 years of global and diversified experience. Prior to joining Biocon, he was Vice President-Finance and Corporate Controller with a leading US based multinational Information Technology Company based in Bangalore.

Outlook

The inherent growth drivers for their business remain intact and will play out over the course of this year. The progress in their development pipeline (across biosimilars and novel molecules) will help some of their molecules to enter the clinic. However, these milestones are subject to various external dynamics including the business and clinical trial environment in the country. They continue to make investments across infrastructure and people, to support their growth and work steadfastly to deliver strong, sustained value growth to their stakeholders.

CORPORATE INFORMATION

Subject was incorporated at Bangalore in 1978 for manufacture of biotechnology products. Subject is an integrated healthcare company engaged in manufacture of biotechnology products for the pharmaceutical sector. The Company is also engaged in research and development in the biotechnology sector. During the year ended March 31, 2007, the Company had received an approval for operation of SEZ Developer and for setting up SEZ Unit operations to be located within Biocon SEZ.

Syngene International Limited ('Syngene'), promoted by Dr Kiran Mazumdar Shaw, was incorporated at Bangalore in 1993. In March 2002, Biocon acquired 99.99 per cent of the equity shares of Syngene and, resultantly, Syngene became the subsidiary of Biocon. As at March 31, 2014, 12.31% of the equity interest in Syngene is held by third parties.

On January 10, 2008, Biocon entered into an agreement with Dr. B.R. Shetty to set up a joint venture Company NeoBiocon FZ-LLC, with a 50% equity interest incorporated in Dubai (‘NeoBiocon’).

The Company has also established Biocon Research Limited (‘BRL’), a subsidiary of the Company to undertake research and development in novel and innovative drug initiatives.

During the year ended March 31, 2011, Biocon set up a wholly owned subsidiary company in Malaysia, Biocon Sdn. Bhd. (‘Biocon Malaysia’) for development and manufacture of bio-pharmaceuticals.

During the year ended March 31, 2014, the Company has established Biocon Academy, a not for profit company under Companies Act, 1956 to provide educational courses, training and research in the biosciences, life sciences and all fields of study.

MANAGEMENT DISCUSSION AND ANALYSIS

Industry Landscape, Opportunity and Outlook

Global pharmaceutical market

Fiscal 2014 was an interesting phase in the evolution of the global pharma market; marked by increased regulatory oversight, continued pricing pressures and a sustained wave of pharma reforms in various developed markets. These externalities not only defined the growth momentum but also the strategies employed across the industry to return to sustainable growth. The slowdown in pharma growth in the developed markets due to various recessionary and fiscal prudence measures has largely been offset by the sustained momentum seen across developing markets. In fact, IMS expects this trend to continue for the next 5 years as well.

One of the key driver for this differential growth performance, beyond the respective economic engines, is the healthcare support system in these geographies. The developing markets have seen an increasing trend of government-sponsored healthcare initiatives aimed at decreasing the out-of-pocket (OOP) spend of patients. The developed markets on the other hand, are trying to do a balancing act between the current OOP spending from patients and the sustained pressure to decrease their healthcare spends. In both of these scenarios, the current drug pricing mechanisms have come under substantial scrutiny and criticism by various stakeholders.

To elaborate further: Barring a few exceptions, the list prices for high end medications including biologics does not vary substantially between the developed and developing markets. This is despite the disparity in income and the high OOP expenditure in developing markets, which makes these drugs unaffordable to a large section of the patient pool. As the above figure shows, the highest OOP expenditures take place in some of the countries with lowest GDP per capita. Several governments in these countries are looking to expand accessibility and affordability by expanding healthcare coverage, active patent regime management and encouraging local players to make generic versions of both small molecules and biologics.

This momentum in the developing markets has helped crystallise newer business models to help deliver affordable innovation with improved patient outcomes and value to the various stakeholders. The regulators are opening up further to the prospect of biosimilars, with regulatory guidelines gaining more clarity.

The scenario in the developed countries is not very different either. The increasing gap between drug prices and nationwide inflation rates has created an unaffordability gap. Given that the pharma companies have now begun to charge significant premiums for their latest novel drugs, the various stakeholders in the healthcare management process find themselves at crossroads when it comes to containing their healthcare expenditures.

Given that the next generics patent wave is at least 5 years away, countries are increasingly turning towards biosimilars to balance healthcare expenses. The European Union (EU) has been at the forefront of encouraging the uptake of biosimilars and shaping the regulatory landscape as well. A key event this year was the regulatory approval granted to a biosimilar monoclonal antibody (infliximab) for commercialization in EU.

The new biosimilar based business models, therefore focus on delivering quality biosimilars buoyed by the healthcare rationing initiatives being adopted across developed markets. The financial viability for a biosimilar based business model gains further veracity if we look at the uptake of biosimilars in the five key EU nations

We have seen differential rates of biosimilar uptake in various EU member nations, largely reflecting the variations in their local healthcare systems. On the one hand we have Germany, which saw quick adoption of biosimilars at launch; while other nations like Spain and Italy have slowly warmed up to biosimilars. This trajectory is remarkably similar to the adoption behaviour we saw when generic small molecules were introduced in the developed markets. This gives us further confidence that it is a matter of time and further experience, which will be the inflexion point for the global biosimilars market.

Despite these encouraging developments, the biggest caveat in the evolution of the pharma market still lies in the regulatory space. The cautious approach to biosimilars by certain regulators has helped delay millions of dollars worth of potential savings which could have accrued to both patients and healthcare systems worldwide. IMS predicts global pharma spending to exceed $1 Trillion in 2014, largely due to the delay in entry of biosimilars in the market place1.

The paradox for biosimilars lies in the fact that, in several cases, the clinical trial requirements for the biosimilar are significantly larger vis- à-vis what were used to approve the reference innovator biologic in the first place. A fine balance is hence needed between the value of additional information gained from extensive clinical trials vis-à-vis the level of safety, efficacy and biosimilarity data which would already be available from pre-Phase III analysis.

The next few years would be critical in shaping the debate around affordability and equality to access. The implementation of the Affordable Care Act in the US, coupled with the austerity measures across developed markets to support economic recovery should help open up further avenues of discussions between the various stakeholders in the pharma space. In addition, the expansion of healthcare coverage in developing nations along with the upward economic and social mobility will help propel more value-conscious pharma pricing decisions worldwide. The pharma landscape is now shifting to a more stringent cost-benefit analysis of drugs, thereby setting the stage for affordable innovation to make the value leap from developing to developed markets.

BUSINESS STRATEGY AND OPERATIONAL PERFORMANCE

The year gone by

The shifting regulatory and business landscape in FY14 made for some interesting times for Biocon. While on the one hand we witnessed sustained momentum in Research Services, on the other we saw changing market dynamics impacting the Biopharmaceuticals segment as discussed further in the note below. We also made progress on their development pipeline encompassing their biosimilar and novel portfolio. In addition, the depreciation of the rupee vis-à-vis the dollar also aided their growth momentum.

Despite the headwinds, we delivered broad based growth across all their verticals. Their diversified growth strategy focussing on the 5 verticals, helped us deliver a healthy growth of 16% this year to reach Rs.29,332 in FY14 up from Rs.25,380 in FY13. While Research Services grew at 28% YoY, Branded Formulations and Biopharma delivered growth of 13% and 15% respectively.

FIXED ASSETS

Tangible Assets

Land

Buildings

Leasehold Improvements

Plant and Equipment

Research and Development Equipments

Furniture and Fixtures

Vehicles

Intangible Assets

Intellectual Property Rights

Computer Software

Marketing Rights

PRESS RELEASE

KIRAN MAZUMDAR-SHAW AWARDED THE ‘2014 GLOBAL ECONOMY PRIZE’ BY THE KIEL INSTITUTE FOR THE WORLD ECONOMY

Bangalore, India, June 23, 2014

Ms Kiran Mazumdar-Shaw, Chairperson and Managing Director of Biocon Ltd, Asia’s leading Biopharmaceutical Company, has been awarded the Kiel Institute’s most coveted ‘2014 Global Economy Prize’ for Business during the 100th anniversary celebrations of the Institute held in Kiel, Germany on Sunday, June 22.

The Kiel Institute for the World Economy is an international center for research in global economic affairs, economic policy consulting and economic education. This prestigious award, established in 2005 by the Kiel Institute, is bestowed upon individuals who have been pioneers in finding solutions to global economic problems

by strongly influencing and implementing economic or trade systems based on individual initiative and responsibility.

This annual prize is awarded to three individuals: A high ranking policy maker, a renowned economist and an outstanding entrepreneur. This year’s winners are:

Politics: H.E. Madam Ellen Johnson-Sirleaf, President of Liberia

Economic Sciences: Prof Richard H. Thaler, the University of Chicago

Business: Ms Kiran Mazumdar-Shaw, Chairperson & Managing Director, Biocon, India

Sigmar Gabriel, German Vice Chancellor and Minister for Economic affairs, delivered a keynote address at the ceremony, which was attended by distinguished personalities from politics, academia, business and civil society.

Ms Mazumdar-Shaw is the first Indian woman and the fourth Indian to be conferred this prize. Previous honorees include Amartya Sen, Nobel laureate in Economics (2007); Baba N. Kalyani, Chairman of the Kalyani Group (2009); and Sunil Bharti Mittal, Chairman of the Bharti Group (2009).

Accepting the award from Prof. Dennis Snower, President, Kiel Institute for the World Economy, Ms Mazumdar-Shaw, CMD, Biocon, said, “I am honored to receive this prestigious award and consider it a great privilege to be in the company of great economists, world leaders and entrepreneurs. I thank the Kiel Institute for awarding me with ’The Global Economy Prize 2014’. ”

Ms Mazumdar-Shaw pioneered biotechnology in India and started Biocon as a novel enzymes company, which has evolved into India’s largest biopharmaceutical enterprise committed to affordable innovation. Biocon has the largest scientific talent pool in India, and is engaged in path-breaking research to develop novel and differentiated biopharmaceuticals aimed at reducing the cost of treatment for cancer, diabetes and autoimmune disorders for patients worldwide.

With this award, Ms Mazumdar-Shaw joins an elite list that includes Gro Harlem Brundtland, Norway’s former Prime Minister; Mary Robinson, former President of Ireland; Joseph E. Stiglitz, Nobel laureate in Economics; Paul R. Krugman, Nobel laureate in Economics; Pascal Lamy, former Director General of the World Trade Organization; Jean-Claude Trichet, former President of the European Central Bank; and Dietmar Hopp, Founder of SAP.

About the Global Economy Prize:

The Kiel Institute Global Economy Prize is awarded to honor persons who have been pioneers in finding solutions to global economic problems, who have been willing to participate in a dialog with people from other walks of life, and who have championed a society based on individual initiative and responsibility. The prize is awarded to a

high-ranking policymaker, a renowned economist and an outstanding entrepreneur.

The Global Economy Prize is not endowed with prize money.

About Kiel Institute for the World Economy:

The Kiel Institute is an international centre for research in global economic affairs, economic policy consulting and economic education. The Institute engages especially in creating solutions to problems in global economic affairs. On basis of its research, the Institute advises decision takers in policy, business and society and informs the broader public about important developments in international economic policy. In 2013, it was ranked as one of the top 20 research centres in the world for international trade and one of the top four think tanks in the world for economic policy.

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 records 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.61.43
UK Pound	1	Rs.97.73
Euro	1	Rs.77.93

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAR
Report Prepared by :	JAY

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	8
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		72

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.