MIRA INFORM REPORT

Report No. :	317735
Report Date :	21.04.2015

IDENTIFICATION DETAILS

Name :	AERZEN MACHINES (INDIA) PRIVATE LIMITED
Formerly Known As :	RAPP + PAREKH ENTERPRISES PRIVATE LIMITED
Registered Office :	E- 115/116, GIDC, Manjusar, Taluka- Savli, Vadodara- 391775, Gujarat
Country :	India
Financials (as on) :	31.12.2013
Date of Incorporation :	09.03.2005
Com. Reg. No.:	04-045653
Capital Investment / Paid-up Capital :	Rs. 2.249 Million
CIN No.: [Company Identification No.]	U29199GJ2005PTC045653
IEC No.:	3406004083
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AADCR3755R
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Blowers, Screw Compressors and Gas Meters.
No. of Employees :	70 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 130000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The rating is constrained on account of a loss incurred by the company during FY 2014. 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 – 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	CRISIL
Rating	Long Term Rating = “BB”
Rating Explanation	Moderate risk of default
Date	21.08.2014

Rating Agency Name	CRISIL
Rating	Short Term Rating = “A4+”
Rating Explanation	Minimal degree of safety and carry very high credit risk.
Date	21.08.2014

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 PARTED BY (GENERAL DETALS)

Name :	Mr. Sibhu
Designation :	Manager
Contact No.:	91-7043330602
Date :	16.04.2015

LOCATIONS

Registered Office / Factory :	E- 115/116, GIDC, Manjusar, Taluka- Savli, Vadodara- 391775, Gujarat, India
Tel. No.:	91-2667-2648161 / 17
Fax No.:	91-2667-264818
E-Mail :	bimal.sanghavi@aerzenindia.com
Website :	www.aerzenindia.in
Area :	14500 Sq. Mtr.
Location :	Owned

DIRECTORS

As on 10.06.2014

Name :

Mr. Klause Hasso Heller

Designation :

Director

Address :

Memeler Str. 16- 31789, Hameln, Germany

Date of Birth/Age :

26.09.1967

Date of Appointment :

27.06.2006

DIN No.:

01858516

Name :

Mr. Bimal Sanghavi

Designation :

Director

Address :

A-9 UMA Colony, BH Kailash Society Waghodi Road, Vadodara-.390019, Gujarat. India

Date of Birth/Age :

19.10.1959

Date of Appointment :

09.03.2011

DIN No.:

02361679

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	U29199GJ2005PTC045653	AERZEN MACHINES (INDIA) PRIVATE LIMITED	Director	09-03-11	27-12-08	-	Active	NO

Name :

Mr. Jitendra Mangle

Designation :

Managing Director

Address :

S.No.150, To 153, Mahada Row, House No.771 Ajmerard/ Pimpri, Pune-411018, Maharashtra, India

Date of Birth/Age :

02.09.60

Date of Appointment :

01.05.2012

DIN No.:

05274316

Name :

Mr. Sujan Hedge

Designation :

Additional Director

Address :

204, Tirupati Appartment, 33, Haribhakti Colony, Race Course Circle, Baroda- 390007, Gujarat, India

Date of Birth/Age :

07.05.1958

Date of Appointment :

01.05.2012

DIN No.:

02361695

Other Directorship:

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	U29199GJ2005PTC045653	AERZEN MACHINES (INDIA) PRIVATE LIMITED	Managing director	01-05-12	01-05-12	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Sibhu
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 10.06.2014

Names of Shareholders	No. of Shares
Satish Parekh	1
MS Aerzen international SalesGMBH	224892
Total	224893

As on 10.06.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	99.99
Other	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Blowers, Screw Compressors and Gas Meters.
Products :	Blowers Delta Blower Generation 5 Vacuum Pumps Screw Compressors
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	Finished Goods
Countries :	Bangladesh Srilanka Singapore
Imports :
Products :	Raw Material
Countries :	Germany
Terms :
Selling :	Cheque
Purchasing :	Cheque

PRODUCTION STATUS = NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

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

Customers :

Manufacturer

Reference :	Reliance
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

No. of Employees :

70 (Approximately)

Bankers :

• Bank of Baroda, SSI Branch, Opposite GIDC Manjusar, Manjusar Taluka, Savli, Vadodara – 391775, Gujarat, India

Facilities :

(Rs. In Millions)

SECURED LOAN	As on 31.12.2013	As on 31.12.2012
SHORT TERM BORROWING
Loans repayable on demand
From Banks	56.075	57.787
Total	56.075	57.787

Auditors :
Name :	Pradip R Shah and company Chartered Accountant
Address :	203, “Aakanksha” 2^nd Floor, Near Navrangpura Rly. Crossing, Ahmedabad- 380009, Gujarat, India
Tel. No.:	91-79-26466575/ 26569342 / 26746518
Mobile No.:	91-79-26466575
E-Mail :	pradip_shah@vsnl.com
PAN No.:	ACAPS7123A
Memberships :	Not Available
Collaborators :	Not AVailable
Holding Company:	Ø Aerzen International Sales GmbH Germany
Associate Company:	Ø Aerzen Belgium NV Ø Aerzen Asia PTE Ltd Ø Aerzen Netherland B.V

CAPITAL STRUCTURE

As on 10.06.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs.2.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
224,893	Equity Shares	Rs.10/- each	Rs.2.249 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.12.2013	31.12.2012	31.12.2011
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	2.249	2.249	2.249
(b) Reserves & Surplus	41.714	61.273	48.487
(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)	43.963	63.522	50.736
(3) Non-Current Liabilities
(a) long-term borrowings	34.117	40.356	48.005
(b) Deferred tax liabilities (Net)	0.000	0.000	0.603
(c) Other long term liabilities	0.473	0.474	0.474
(d) long-term provisions	1.796	1.303	0.907
Total Non-current Liabilities (3)	36.386	42.133	49.989
(4) Current Liabilities
(a) Short term borrowings	56.075	57.787	53.519
(b) Trade payables	181.362	105.786	132.376
(c) Other current liabilities	3.421	2.389	19.359
(d) Short-term provisions	4.146	3.006	0.298
Total Current Liabilities (4)	245.004	168.968	205.552
TOTAL	325.353	274.623	306.277
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	49.227	52.844	56.898
(ii) Intangible Assets	0.287	0.345	0.000
(iii) Capital work-in-progress	0.000	0.022	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.015
(c) Deferred tax assets (net)	6.845	1.261	0.000
(d) Long-term Loan and Advances	0.612	8.426	11.237
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	56.971	62.898	68.150
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	92.123	61.495	112.710
(c) Trade receivables	56.745	58.103	36.098
(d) Cash and cash equivalents	105.138	88.289	78.608
(e) Short-term loans and advances	12.394	1.809	9.262
(f) Other current assets	1.982	2.029	1.449
Total Current Assets	268.382	211.725	238.127
TOTAL	325.353	274.623	306.277

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.12.2013	31.12.2012	31.12.2011
	SALES
	Income	197.436	254.887	156.897
	Other Income	10.292	9.814	5.923
	TOTAL (A)	207.728	264.701	162.820
Less	EXPENSES
	TOTAL (B)	193.143	237.98	158.662
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	(16.556)	26.721	4.158
Less	FINANCIAL EXPENSES (D)	0.381	6.483	3.608
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	(16.937)	20.238	0.550
Less/ Add	DEPRECIATION/ AMORTISATION (F)	(6.816)	6.747	7.239
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	(23.753)	13.491	(6.689)
Less	TAX (I)	(4.194)	0.706	(4.453)
	PROFIT/ (LOSS) AFTER TAX (G-I) (J)	(19.559)	12.785	(2.236)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD (K)	25.054	12.269	14.505
	Balance Carried to the B/S	5.495	25.054	12.269
	EARNINGS IN FOREIGN CURRENCY	6.964	11.722	10.862
	IMPORTS
	Raw Materials	112.225	101.444	124.103
	TOTAL IMPORTS	112.225	101.444	124.103
	Earnings / (Loss) Per Share (Rs.)	(86.97)	56.85	(9.95)

KEY RATIOS

PARTICULARS		31.12.2013	31.12.2012	31.12.2011
Net Profit Margin (PAT/Sales)	(%)	(9.91)	5.02	(1.43)
Operating Profit Margin (PBDIT / Sales)	(%)	(8.39)	10.48	2.65
Return on Total Assets (PBT/Total Assets}	(%)	(7.46)	4.94	(2.18)
Return on Investment (ROI) (PBT/Networth)		(0.54)	0.21	(0.13)
Debt Equity Ratio (Total Debt /Networth)		2.05	1.55	2.00
Current Ratio (Current Asset/Current Liability)		1.10	1.25	1.16

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.12.2011	31.12.2012	31.12.2013
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	2.249	2.249	2.249
Reserves & Surplus	48.487	61.273	41.714
Net worth	50.736	63.522	43.963
long-term borrowings	48.005	40.356	34.117
Short term borrowings	53.519	57.787	56.075
Total borrowings	101.524	98.143	90.192
Debt/Equity ratio	2.001	1.545	2.052

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.12.2011	31.12.2012	31.12.2013
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	156.897	254.887	197.436
		62.455	(22.540)

NET PROFIT MARGIN

Net Profit Margin	31.12.2011	31.12.2012	31.12.2013
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	156.897	254.887	197.436
Profit	(2.236)	12.785	(19.559)
	(1.43%)	5.02%	(9.91%)

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	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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

Note:

Registered office of the company has been shifted from 301-1, A – Square Building, 82, Urmi Society, Productivity Road, Near Haveli, Vadodara, Gujarat, India to the present address w.e.f.01.10.2008

UNSECURED LOAN

(Rs. In Million)

Particulars	As on 31.12.2013	As on 31.12.2012
LONG TERM BORROWING
Term Loan
From related parties	34.117	40.356
Total	34.117	40.356

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10287093	31/03/2011	55,000,000.00	BANK OF BARODA	SSI BRANCH, OPP. GIDC MANJUSAR, MANJUSAR TALUKA,  SAVLI, VADODARA, Gujarat - 391775, INDIA	B11546009

* Date of charge modification

FIXED ASSETS

Ø Land

Ø Building

Ø Plant and Equipment

Ø Furniture and Fixtures

Ø Vehicles

Ø Office Equipment

Ø Computers

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.62.56
UK Pound	1	Rs.93.56
Euro	1	Rs.67.49

INFORMATION DETAILS

Information Gathered by :	RKH
Analysis Done by :	DIV
Report Prepared by :	ART

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		27

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	--

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