MIRA INFORM REPORT

Report No. :	338895
Report Date :	27.08.2015

IDENTIFICATION DETAILS

Name :	KRISHNA STEEL PRODUCT
Registered Office :	204, Sagar Complex, 2^nd Floor, Near Jashonath Chowk, Bhavnagar – 364001, Gujarat
Tel. No.:	91-278-3004257
Country :	India
Financials (as on) :	31.03.2015 (Provisional)
Year of Establishment :	2011
Capital Investment :	Rs. 69.606 Million
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	AHMK05818B
PAN No.: [Permanent Account No.]	AAJFK8094K
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Manufacturer of M.S/ H.T. Angels, Channel, Girder, Beam, Round Bars, TMT Bars etc.
No. of Employees :	65 (Approximately) (In Office: 5 and In Factory: 65)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a partnership concern established in the year 2011. It is engaged in the business of manufacturing of steel products. It has a satisfactory track record. In the view of available financials of the year ended 2015, the concern has decent sales volume marked by good profitability margin. Rating also takes into consideration healthy balance sheet profile along with intensive working capital and fine net worth position of the concern. Further, the concern has respectable and well qualified partners with good experience. Trade relations are reported as fair. Business is active. Payments terms are usually correct. In view of healthy financial base, the concern can be considered for 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 – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
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

NOT AVAILABLE

RBI DEFAILTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2013.

INFORMATION PARTED BY

Name :	Mr. Nikul V. Dhameliya
Designation :	Partner
Contact No.:	91-9825224546

LOCATIONS

Registered Office :	204, Sagar Complex, 2^nd Floor, Near Jashonath Chowk, Bhavnagar – 364001, Gujarat, India
Tel. No.:	91-278-3004257/ 2524546
Mobile No.:	91-9825224546 (Mr. Nikul V. Patel)
Fax No.:	91-278-2524546
E-Mail :	info@krushnasteel.com
Website :	http://www.krushnasteel.com
Area :	300 Sq. Ft.
Location :	Rented
Factory :	Survey No. 222, GIDC – 4, Sihor, Bhavnagar - 364240, Gujarat, India
Area :	12242 Sq. Ft.
Location :	Leased

PARTNERS

Name :	Mr. Nikul V. Dhamelia Patel
Designation :	Partner
Address :	262/B, Riddhi Siddhi Society, Near Dada’s Vav, Sihor, District Bhavnagar – 364240, Gujarat, India
Age/ Date of Birth :	24.08.1980
Qualification :	M.B.A.
Name :	Mr. Mahesh Dhamelia Patel
Designation :	Partner
Address :	262/B, Riddhi Siddhi Society, Near Dada’s Vav, Sihor, District Bhavnagar – 364240, Gujarat, India
Age/ Date of Birth :	28.07.1981
Qualification :	B.Com, LLB
Name :	Mr. Pratik Parbadia Patel
Designation :	Partner
Address :	Opposite Shriji Cinema, Nagjipara Gadhada (Swamina), District Botad – 364750, Gujarat, India
Age/ Date of Birth :	25.03.1986
Qualification :	B.Com

KEY EXECUTIVES

Name :	Mr. Sagar Chawada
Designation :	Accountant

BUSINESS DETAILS

Line of Business :	Manufacturer of M.S/ H.T. Angels, Channel, Girder, Beam, Round Bars, TMT Bars etc.
Products :	· Kitchen Fitting · Window Grills · Showroom Fittings · Stair Failings · Stainless Steel Balustrades, etc.
Brand Names :	--
Agencies Held :	--
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Cash and Credit (30/ 60/ 90 Days)
Purchasing :	Cash and Credit (30/ 60/ 90 Days)

GENERAL INFORMATION

Suppliers :

Reference:	SAIL (Steel Authority of India)
Name of the Person (Designation):	Not Divulged
Contact Number:	Not Divulged
Since how long known:	Not Divulged
Maximum limit dealt:	Not Divulged
Experience:	Not Divulged
Remark	Not Divulged

Customers :

End Users and Manufacturer

Reference:	Diamond Power
Name of the Person (Designation):	Mr. Ravi Kumar Jain (Manager)
Contact Number:	91-9714234003
Since how long known:	4 Years
Maximum limit dealt:	Not Divulged
Experience:	Product Quality = Good Delivery Behaviour = Good Overall = Good
Remark	They gave us positive response about subject company they are satisfied with their product quality and delivery behavior.

No. of Employees :

65 (Approximately) (In Office: 5 and In Factory: 65)

Bankers :

Bank Name:	HDFC Bank Limited
Branch:	G 1-2, Ground Floor, Starling Point, Waghawadi Road, Bhavnagar, Gujarat, India
Person Name (with Designation):	Mr. Piyush (Assistant Manager)
Contact Number:	91-9328877099
Name of Account Holder:	Krishna Steel Product
Account Number:	Not Divulged
Account Since (Date/ Year of A/c Opening):	2009
Average Balance Maintained (Optional):	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan):	Credit Limit = Rs. 50.000 Million
Account Operation:	Not Divulged
Remarks: They gave us satisfactory remark.

Auditors :
Name :	Shweta D. Parekh Chartered Accountant
Address :	302, Aangi Arcde, Opposite Jawahar Meda, Atabhai Road, Bhavnagar – 364002, Gujarat, India
Tel. No.:	91-278-3001852
E-mail:	Sdparekh12@gmail.com
Sister Concern :	· Krishna Steel Industries Address: Survey No. : 8,10,11 Bhavnahar – Rajkot Road, Sihor, District Bhavnagar - 364002, Gujarat, India Activity: Manufacturer of Angels, Channel, TMT Bar, Round Bar, etc. · Krishna Ispat Address: Survey No.: 43, Plot No. 1 and 2, Sihor Ghanghali Road, Village Vadia, District Bhavnagar - 364002, Gujarat, India Activity: Manufacturer of Lngots

CAPITAL STRUCTURE

Capital Investment :
Owned :	Not Divulged
Borrowed :	--
Total :	Not Divulged

FINANCIAL DATA

[all figures are in Rupees Millions]

PARTICULARS	31.03.2014	31.03.2013
Sales Turnover (Approximately)	1167.000	905.000

The above information has been parted by Mr. Nikul V. Dhameliya (Partner).

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

FINANCIAL DATA

[all figures are in Rupees Million]

SUMMARIZED BALANCE SHEET FIGURES

PARTICULARS	31.03.2015 PROVISIONAL
LIABILITIES
Profit for the year	11.043
Capital	69.606
Secured Loan	10.012
Unsecured Loan	65.168
Current Liabilities	199.778
Other Liabilities	2.427
ASSETS
Inventory	109.043
Fixed Assets	56.111
Current Assets	206.619
Cash and Bank	(8.576)
Sundry Debtors	183.020
Loans and Advance	32.175
Deposit	1.378

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2015 Provisional
	SALES
		Gross Profit	206.733
		Other Income	12.846
		TOTAL	219.579
Less	EXPENSES
		Cost of Materials Consumed	181.302
		Administrative Expenses	8.100
		C.S.T. on Purchase (Raw)	0.321
		Coal Purchase A/C	3.511
		Labour Technical Staff	0.403
		Labour Wages (P.F)	0.161
		Power Expenses	3.074
		Stores and Spares	1.003
		Truck Freight (Raw)	2.199
		Vat on Purchase	8.122
		Other Expenses	0.340
		TOTAL	208.536
	NET PROFIT		11.043

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	Yes
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	Yes
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	No
12	Voter Id Card No. of Proprietor / Partners	No
13	Type of business	Yes
14	Line of Business	Yes
15	Export/import details (if applicable)	No
16	No. of employees	Yes
17	Details of sister concerns	Yes
18	Major suppliers	Yes
19	Major customers	Yes
20	Banking Details	Yes
21	Banking facility details	Yes
22	Conduct of the banking account	Yes
23	Financials, if provided	Yes
24	Capital in the business	No
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last three years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last one year	Yes
30	Major shareholders, if available	No
31	External Agency Rating, if available	No
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

TRADE REFERENCES – LOCAL

Reference :	Inabensa Bharat Private Limited
Address :	189-193, VIII, Chandrapura, Taluka Halol
Mob. No. :	91-9712979920 (Mr. Nitin Goenka)
Reference:	Electrotheem India Limited
Address :	Plot No. 80, 92, Juni Jethardi, Taluka Karjan, District Baroda, Gujarat, India
Mob. No. :	91-79883108 (Mr. Amit Gupta)
Reference:	Diamond Power Infrastructure Limited
Address :	Phase – II, VIII Vadala, Taluka Savili, District Varodara – 391110, Gujarat, India
Mob. No. :	91-9714234003 (Mr. Ravi Jena)
Reference :	Kalptaru Power Trans Limited
Address :	Plot No. A4/ 1, 4/2, 4/5 GIDC, Electronic State, Sector 25, Gandhinagar - 382010, Gujarat, India
Mob. No. :	91-9924057043 (Mr. Tushar Sheth)

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

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

2] Court Declaration :

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

3] Asset Declaration :

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

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

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

Charges or investigation registered against subject: None

7] Criminal Records

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

8] Affiliation with Government :

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

9] Compensation Package :

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

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

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

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

CONTRAVENTION

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

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.66.16
UK Pound	1	Rs.103.88
Euro	1	Rs.75.89

INFORMATION DETAILS

Information Gathered by :	SUP
Analysis Done by :	TRI
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		45

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.