MIRA INFORM REPORT

Report No. :	318210
Report Date :	20.04.2015

IDENTIFICATION DETAILS

Name :	RADON ENERGY LIMITED
Registered Office :	Flat No.101, 3-5-874/A, R K Vipanchi Estates, Hyderguda, Hyderabad-500029, Telangana
Tel. No.:	91-40-23211660/ 66443322
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	10.05.2010
Com. Reg. No.:	01-068334
Capital Investment / Paid-up Capital :	Rs. 24.810 Million
CIN No.: [Company Identification No.]	U40300AP2010PLC068334
TAN No.: [Tax Deduction & Collection Account No.]	HYDR06995C
PAN No.: [Permanent Account No.]	AAECR8185L
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer wide range of electrical products including Aluminium conductor, Aluminium cable, Distribution transformers and other Aluminium wire and strip products.
No. of Employees :	31 (Approximately) (Office=6+ Factory=25)

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is ISO 9001:2008 company and it manufacturer wide range of electrical products. It is an established company having moderate track record. Company sales turnover has declined over previous year which resulted into approximate 15 % declining in topline growth of the company and it has lower profitability margins. Further due to lower profit it has moderate recovery of its accumulated losses which further deteriorate the liquidity profile of the company. However, weaknesses are partially offset by vast experience of management in the field of manufacturing and distribution backed by its wide spared business networks. However, trade relations are fair. Payments are reported to be slow but correct. In view of moderate business risk profile, the company can be considered for business dealing with some caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

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

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Bharat D.
Designation :	Manager
Contact No.:	91-8143381444
Date :	17.04.2015

LOCATIONS

Registered Office/ Corporate Office:	Flat No.101, 3-5-874/A, R K Vipanchi Estates, Hyderguda, Hyderabad-500029, Telangana. India
Tel. No.:	91-40-23211660/ 66443322
Mobile No.:	91-8143381444 (Mr. Bharat)
Fax No.:	91-40-66737388
E-Mail :	sandeep@radonenergy.com contact@radonenergy.com info@radoenergy.com asramkumarcs@gmail.com mmtl321@gmail.com
Website :	http://www.radonenergy.com
Location :	Rented
Factory:	Survey # 229/E, Kallakal Village, Toopran Mandal, Medak District, Andhra Pradesh, India
Tel. No.:	91- 8454-250350

DIRECTORS

As on: 30.09.2014

Name :

Mr. Sreerekha Kasupa

Designation :

Alternate Director

Address :

3-4-424, Narayana Guda, Hyderabad - 500029, Telangana, India

Date of Birth/Age :

17.08.1967

Date of Appointment :

17.09.2012

DIN No.:

03342534

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	U40300AP2010PLC068334	RADON ENERGY LIMITED	Alternate director	17/09/2012	17/09/2012	-	Active	NO
2	U40104TG2004PLC044668	VISHWANATH TRANSFORMERS LIMITED	Director	30/09/2013	16/05/2013	-	Active	NO

Name :

Mr. Devarakonda Rajagopal

Designation :

Director

Address :

H. No.24/25c, Janapriya Bunglows, Machabolarum Alwal, Secunderabad - 500010, Telengana, India

Date of Birth/Age :

01.04.1947

Date of Appointment :

30.09.2011

DIN No.:

03342549

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	U40300AP2010PLC068334	RADON ENERGY LIMITED	Director	30/09/2011	03/01/2011	-	Active	NO
2	U40105TG2013PTC086687	PRASASTHI RENWABLE ENERGY PRIVATE LIMITED	Director	29/03/2013	29/03/2013	-	Strike off	NO

Name :

Mr. Govind Ganapa

Designation :

Director

Address :

6-3-9, Gadwal, Gadwal-509125, Andhra Pradesh, India

Date of Birth/Age :

11.06.1956

Date of Appointment :

30.09.2011

DIN No.:

03362262

Name :

Mr. Akula Nagaraju

Designation :

Director

Address :

1-10-64/37, Grain Market Road, Jangaon, Warangal - 506167, Andhra Pradesh, India

Date of Birth/Age :

09.04.1964

Date of Appointment :

30.09.2011

DIN No.:

03383993

Name :

Mr. Kiran Kabalavai

Designation :

Director

Address :

3-4-526/29, Flat No.102, Vinutnavilla, Lingampally, Hyderabad - 500027, Telengana, India

Date of Birth/Age :

07.01.1972

Date of Appointment :

30.09.2011

DIN No.:

03390538

KEY EXECUTIVES

Name :	Mr. Bharat D.
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 30.09.2014

Names of Shareholders	No. of Shares
K. Kiran	220000
K. Vishwanath	1000
K. Sandeep	5000
k. Srivijay	240000
K. Umamaheshwari	240000
K. Sharanya	2500
K. Sree Rekha	2500
K. Amarnath Gupta	50000
K. Nagaraj	300000
K. Naga Pavani	250000
D. Raja Gopal	250000
L. Rama Krishna	230000
Renuka Bai Ekbote	75000
G. Savithri Bai	375000
Sudha Kabalavai	240000
Total	2481000

Equity Share Break up (Percentage of Total Equity)

As on: 30.09.2014

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer wide range of electrical products including Aluminium conductor, Aluminium cable, Distribution transformers and other Aluminium wire and strip products.
Products :	Aluminium conductor Aluminium cable Distribution transformers Aluminium wire Strip products.
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Divulged
Imports :
Terms :
Selling :	Cash and credit
Purchasing :	Cash and credit

GENERAL INFORMATION

Suppliers :

Reference :	Aluminium India
Name of the Person :	Hyderabad
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark:	Not Divulged

Customers :

Wholesalers

Reference :	Vishwanath Projects Limited
Name of the Person :	Hyderabad
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark:	Not Divulged

No. of Employees :

31 (Approximately) (Office=6+ Factory=25)

Bankers :

ING Vysya Bank Limited, 8-2-120/76/1/B, Ground Floor, Ashoka Hitech Chambers, Road No.2, Banjara Hills, Hyderabad - 500034, Telangana, India

Bank Name	UCO Bank
Branch	Mubaraq Bazar, Abids Hyderabad, Telengana, India
Person Name (With Designation)	Mrs. Kamala
Contact Number	91-40-23205756
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
IFSC Code:	UCBA 0001441
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Bank Name	ICICI Bank Limited
Branch	Hydarabad
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Bank Name	Andhra Bank
Branch	Hyderabad Abids Branch
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Cash Credit, L/C, Banking Granted – Rs. 30.000 Million
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Loans repayable on demand cash credit from Banks	14.735	10.101
Total	14.735	10.101

Auditors :
Name :	S M G and Associates Chartered Accountants
Address :	H. No.6-3-1185/158 and 159, Flat No. 202, 3rd Floor, Nafees Residency, B.S. Maktha, Begumpet, Hyderabad-500016, Telengana, India
E-Mail :	smgandassociates@gmail.com
PAN N Income-tax PAN of auditor or auditor's firm :	ABTFS6543E
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	Not Divulged

CAPITAL STRUCTURE

As on 30.09.2014

Authorized Capital:

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

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
2,481,000	Equity Shares	Rs.10/- each	Rs. 24.810 Million

FINANCIAL DATA

[all figures are in Rupees Million]

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	24.810	24.810	0.500
(b) Reserves & Surplus	(2.701)	(3.833)	(3.900)
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	24.446
Total Shareholders’ Funds (1) + (2)	22.109	20.977	21.046
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.625	0.687	0.726
(c) Other long term liabilities	1.069	3.600	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	1.694	4.287	0.726
(4) Current Liabilities
(a) Short term borrowings	14.735	10.101	0.000
(b) Trade payables	0.630	6.772	6.017
(c) Other current liabilities	3.545	0.816	0.254
(d) Short-term provisions	0.000	0.000	0.126
Total Current Liabilities (4)	18.910	17.689	6.397
TOTAL	42.713	42.953	28.169
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	11.561	13.023	13.063
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.897	0.627	0.000
(e) Other Non-current assets	0.965	2.154	0.965
Total Non-Current Assets	13.423	15.804	14.028
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	12.277	9.859	7.851
(c) Trade receivables	5.311	3.894	0.476
(d) Cash and cash equivalents	0.657	0.090	0.326
(e) Short-term loans and advances	11.021	13.260	1.157
(f) Other current assets	0.024	0.046	4.331
Total Current Assets	29.290	27.149	14.141
TOTAL	42.713	42.953	28.169

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	178.981	210.983	77.918
		Other Income	0.268	0.051	0.010
		TOTAL (A)	179.249	211.034	77.928
Less	EXPENSES
		Cost of Materials Consumed	151.644	150.800	67.803
		Purchases of Stock-in-Trade	0.000	0.000	9.457
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(2.661)	(0.417)	(3.934)
		Employees benefits expense	7.526	2.824	1.492
		Other expenses	17.549	55.712	3.431
		TOTAL (B)	174.058	208.919	78.249
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)		5.191	2.115	(0.321)
Less	FINANCIAL EXPENSES (D)		2.186	0.225	0.022
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.005	1.890	(0.343)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.865	1.862	1.959
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		1.140	0.028	(2.302)
Less	TAX (H)		0.008	(0.039)	(0.037)
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		1.132	0.067	(2.265)
	Earnings (Loss) Per Share (Rs.)		0.46	0.03	(45.30)

Particulars	31.03.2015
Sales Turnover (Approximately)	160.000

The above information has been parted by Mr. Bharat D. (Manager)

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.63	0.03	(2.91)
Operating Profit Margin (PBIDT/Sales)	(%)	2.90	1.00	(0.41)
Return on Total Assets (PBT/Total Assets}	(%)	2.67	0.07	(8.17)
Return on Investment (ROI) (PBT/Networth)		0.05	0.00	(0.11)
Debt Equity Ratio (Total Debt /Networth)		0.67	0.48	0.00
Current Ratio (Current Asset/Current Liability)		1.55	1.53	2.21

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	0.500	24.810	24.810
Reserves & Surplus	(3.900)	(3.833)	(2.701)
Share Application money pending allotment	24.446	0.000	0.000
Net worth	21.046	20.977	22.109
long-term borrowings	0.000	0.000	0.000
Short term borrowings	0.000	10.101	14.735
Total borrowings	0.000	10.101	14.735
Debt/Equity ratio	0.000	0.482	0.666

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	77.918	210.983	178.981
		170.776	(15.168)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	77.918	210.983	178.981
Profit/Loss	(2.265)	0.067	1.132
	(2.91%)	0.03%	0.63%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
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	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

FINANCIAL RESULTS:

During the year the company has registered a total income of Rs. 179.249 Million as against Rs. 211.034 Million for the previous year.

INDEX OF CAHREGS:

S. NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10400925	10/01/2013	27,500,000.00	ANDHRA BANK	R C Puram Branch, Plot No 2 & 23, Ramchandrapuram, Medak District, Hyderabad - 500032, Andhra Pradesh,  India	B67223164

* Date of charge modification

FIXED ASSETS:

• Plant and Machinery
• Computers
• Office Equipment
• Furniture and Fittings
• Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report: No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.35
UK Pound	1	Rs.93.10
Euro	1	Rs.67.13

INFORMATION DETAILS

Information Gathered by :	RKH
Analysis Done by :	KRN
Report Prepared by :	MTN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	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		30

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.