MIRA INFORM REPORT

Report No. :	352248
Report Date :	15.12.2015

IDENTIFICATION DETAILS

Name :	INDIA STEEL (PTY) LTD
Formerly Known As :	MOVE-ON-UP 171
Registered Office :	21 - 7th Avenue Parktown North Johannesburg, Gauteng 2193
Country :	South Africa
Date of Incorporation :	26.02.2004
Com. Reg. No.:	2004/005163/07
Legal Form :	Private Company (Pty) Ltd
Line of Business :	Subject is engaged in export of metals, being mainly scrap metal and steel
No. of Employee :	40 (Total Permanent Employees) 90 (Casual Employees)

RATING & COMMENTS

MIRA’s Rating :

Ba

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

Status :	Satisfactory
Payment Behaviour :	No complaints
Litigation :	Clear

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)
South Africa	A2	A2

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

SOUTH AFRICA - ECONOMIC OVERVIEW

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors; and a stock exchange that is Africa’s largest and among the top 20 in the world.

Even though the country's modern infrastructure supports a relatively efficient distribution of goods to major urban centers throughout the region, unstable electricity supplies retard growth. Economic growth has decelerated in recent years, slowing to just 1.5% in 2014. Unemployment, poverty, and inequality - among the highest in the world - remain a challenge. Official unemployment is roughly 25% of the work force, and runs significantly higher among black youth. Eskom, the state-run power company, is building three new power stations and is installing new power demand management programs to improve power grid reliability. Load shedding and resulting rolling blackouts gripped many parts of South Africa in late 2014 and early 2015 because of electricity supply constraints that resulted from technical problems at some generation units, unavoidable planned maintenance, and an accident at a power station in Mpumalanga province. The rolling black outs were the worst the country faced since 2008. Construction delays at two additional plants, however, mean South Africa will continue to operate on a razor thin margin; economists judge that growth cannot exceed 3% until electrical supply problems are resolved.

South Africa's economic policy has focused on controlling inflation; however, the country faces structural constraints that also limit economic growth, such as skills shortages, declining global competitiveness and frequent work stoppages due to strike action. The current government faces growing pressure from urban constituencies to improve the delivery of basic services to low-income areas and to increase job growth.

Source : CIA

General Comments

This is an established steel exporting company which is meeting its local commitments on times, and is spoken of highly by its suppliers. The subject is considered equal to its normal business.

COMPANY INFORMATION

OVERVIEW

INDIA STEEL (PTY) LTD was established in April 2004 when a shelf company, styled

History MOVE-ON-UP 171 (PTY) LTD, was utilised for registration purposes. The name of the company was changed in April 2004 to the current name.

Major Operations or Business The subject is involved in the export of metals, being mainly scrap metal and

Sectors steel.

Industry Export

SIC Code(s) 66(Export)

STATUTORY INFORMATION

Registered Name	INDIA STEEL (PTY) LTD
Previous Names	MOVE-ON-UP 171 (2004/04/22);
Registration Number	2004/005163/07
Type of Company	Private Company (Pty) Ltd
Registration Date	26/02/2004
Date Commenced Trading	22/04/2004
Commercial Status	In Business

CONTACT DETAILS

Contact Number	+27 11 908 9440
Fax Number	+27 11 908 9441 / +27 86 665 5240
Website	www.indiasteel.co.za
Social Media Presence	The subject has no social media presence.
Registered Physical Address	21 - 7th Avenue Parktown North JOHANNESBURG Gauteng 2193
Trading Physical Address	Nzenga Junction, 1 Van Till Road Alrode ALBERTON Gauteng 1451
Postal Address	P O Box 4177 RIVONIA Sandton Gauteng 1450

TAX INFORMATION

Income Tax Number 9234635150

VAT Number 4200212092

AUDITORS INFORMATION

Name

TICHAUER & BLOCH CA (SA)

INSURANCE BROKER INFORMATION

Insurance Broker Name

ABSA INSURANCE BROKERS

Contact Person

Unknown to the respondent.

OWNERSHIP STRUCTURE

Shareholders/Members	Share/Interest (%)
SACHIN AHUJA (Passport Number 7579308)	100

PRINCIPAL INFORMATION

PRINCIPAL DETAILS

Full Name	ID No.	Designation	Status	Date of Appoint- ment	Active Interests	Prev. Interests	Judg- ments	Fraud Listing
LEGAL FRONTIERS (CORPORATE SERVICES),			Active	17/10/2011	0	0	0	0
REDDY, SURRENDRA	7508225218085		Active	21/05/2015	9	2	0	0
VERMA, ASHISH	J5420477		Active	25/11/2014	5	0	0	0
BISHOP, DENNIS JACOBUS	5011075078008		Resigned	26/02/2004	0	0	0	0
AHUJA, NARENDRA KUMAR	L3327470		Resigned	25/11/2014	1	3	0	0
AHUJA, SACHINI	750209DOB0000		Resigned	03/05/2004	1	1	0	0
AHUJA, SACHIN	7502096064181		Resigned	01/04/2004	0	0	0	0

ACTIVE BUSINESS INTERESTS

ACTIVE BUSINESS INTERESTS: ASHISH VERMA

Company Name	Registration No.	Business Status	Principle Status	Judgments
AHUJA INVESTMENTS	2011/102081/07	In Business	Active	0
ALRODE SCRAP METALS	2011/102076/07	In Business	Active	0
PIONEER METALS	2011/104797/07	In Business	Active	0
VEER STEEL MILLS	2011/102089/07	In Business	Active	0

ACTIVE BUSINESS INTERESTS: SURRENDRA REDDY

Company Name	Registration No.	Business Status	Principle Status	Judgments
AHUJA INVESTMENTS	2011/102081/07	In Business	Active	0
ALRODE SCRAP METALS	2011/102076/07	In Business	Active	0
BLACK ELEVATOR CORPORATION SA	2008/013378/07	AR Final deregistration	Active	0
CHRONUS DEVELOPMENT AGENCY	2009/127409/23	AR Final deregistration	Active	0
DELEVEX 906	2008/103001/23	AR Final deregistration	Active	0
GOLDEN RIBBON TRADING 373	2008/013480/07	AR Final deregistration	Active	0
PIONEER METALS	2011/104797/07	In Business	Active	0
VEER STEEL MILLS	2011/102089/07	In Business	Active	0

PREVIOUS BUSINESS INTERESTS

PREVIOUS BUSINESS INTERESTS: SURRENDRA REDDY

Company Name	Registration No.	Business Status	Principle Status	Judgments
DOTSQUARE SIGNAGE	2006/001910/07	AR Final deregistration	Resigned	1
LENKENE FIRE FITTINGS	2007/007178/07	In Business	Resigned	0

GENERAL COMMENTS

Comments

It was stated that Ashish Verma is the administrative and financial director at the subject.

BANK ACCOUNT VERIFICATION

Verified	Yes
Bank Name	STANDARD BANK
Account Holder	INDIA STEEL (PTY) LTD
Account Number	402183738

GENERAL COMMENTS

Comments

It was stated that the subject also banks with NEDBANK, Westrand Branch. Account Number 1286093619.

OPERATIONS

MAJOR OPERATIONS

Major Business Activities	The subject is involved in the export of metals, being mainly scrap metal and steel.
Foreign Trade Activities	The subject exports to India, Malaysia and the Far East.
Major Suppliers	The subject sources supplies from the following local companies: ARCELORMITTAL STEEL, Vanderbijlpark JABULANI SCRAP METAL, Johannesburg NATIONAL RECYCLERS, Johannesburg UCG, Johannesburg
Major Customers	Overseas steel manufacturing companies.
Major Brands	Not applicable.

BRANCH INFORMATION

Area of Distribution

Exports to India

PREMISES

Other Premises Rented or Owned

The premises are reported to be owned by the company the purchase price for this property together with a second property was approximately R2 420 000. The property is bonded in favour of NEDBANK and is stated by the Director to have a market value of R30 000 000.

EMPLOYEES

Salaried Employees	40
Waged Employees	0
Total Permanent Employees	40
Casual Employees	90
Contracted Employees	0

GENERAL COMMENTS

Comments

The head office premises are reported to be owned by the subject however, further information was not forthcoming.

It was stated that the subject also owns other properties, however, further information was not forthcoming.

COMPANY FLEET

Total Vehicles 12

Fleet Operations --

This Fleet is Made Up of:

Trucks 12

FINANCING TERMS

Sales Terms	30 days,
Overdraft	It was stated that the subject previously enjoyed overdraft facilities with both banks, however, both facilities have been cancelled as credit balances are normally maintained at the bank.
Sureties	It was stated that no sureties are held.
Debtors Ceded	It was stated that the subject's debtors have not been ceded.
Debtors Factored	It was stated that the subject's debtors have not been factored.
Bonds	None listed.
Date Obtained	01/12/2015
Year End	February

FINANCIAL FIGURES

Currency	ZAR
Actual numbers, 000' or mio	Actual Numbers
Source	Ashish Verma - Financial Director

INCOME STATEMENT

	Current Financial Year (est)	Previous Financial Year	Prior Financial Year
Turnover/Revenue	356,000,000

BALANCE SHEET

	Current Financial Year (est)	Previous Financial Year
Assets
--Inventory/Stock	15,000,000
--Accounts Receivable/Debtors	20,000,000
Liability
Current Liabilities
--Accounts Payable/Creditors	17,000,000

Comment

Full financial information was not disclosed.

TRADE REFERENCES

TRADE REFERENCE ANALYTICS

# of Trade Refs in the last 3 years	Overall Trade Score	Average Usage of Terms	Average Monthly Purchase	Average Usage of Credit Limit
4	100%	100%	300,000.00 ZAR	100%

TRADE REFERENCES

Trade Ref #	Date	Trade Score 2 = best 0 = worst	Terms Given (Taken) in days	Monthly Limit Given (Taken)	Account Opened years	Payment Trend (prev. 3 years)			Acc. Insured	Notes
Ref 1	01/12/2015	2	30 (30)	Declined ()	+3	2	-	-	Unknown	It is against company policy to divulge trade figures, however, the subject purchases between ZAR1,000,000 and ZAR10,000,00 0.
Ref 2	01/12/2015	N/A	see notes (see notes)	()		-	-	-	Unknown	It is against company policy to divulge trade reference information.
Ref 3	01/12/2015	N/A	see notes (see notes)	()		-	-	-	Unknown	It is against company policy to divulge trade reference information.
Ref 4	01/12/2015	2	see notes (see notes)	300,000 ZAR (300,000 ZAR)	5	2	-	-	Unknown	The subject operates on a C.O.D and a 30 day basis, depending on purchase, and always pays timeously per arrangement s. When the credit is reached, the account is paid in full before purchases continue.

ADMIN DETAILS

Researcher	Inoxico
Contact Tel No.	+27 10 001 0540
Email	research@inoxico.com

INTERVIEWEE

Contact Person Ashish Verma

Position Financial Director

Company Tel No. +27 84 524 0240

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.66.99
UK Pound	1	Rs.101.78
Euro	1	Rs.73.47
ZAR	1	Rs. 4.44

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	ASH

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	--

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%)

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.