MIRA INFORM REPORT

Report No. :	305761
Report Date :	02.02.2015

IDENTIFICATION DETAILS

Name :	VAMA-GEMS BVBA
Registered Office :	Hoveniersstraat 12-Bus 12, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2013
Date of Incorporation :	08.12.1998
Com. Reg. No.:	464983752
Legal Form :	Private Limited Company
Line of Business :	Wholesaler of diamonds and Other Precious Stones
No of Employees :	Not Available [We tried to confirm the number of employees but no one is ready to part any information from the company management.]

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
Belgium	a2	a2

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

Belgium ECONOMIC OVERVIEW

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2013 Belgian GDP grew by 0.1%, the unemployment rate increased to 8.8% from 7.6% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 3.2%. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

Source : CIA

Company summary

Business number 464983752

Branche Unit Number 2091584670

Company name VAMA-GEMS BVBA

Address HOVENIERSSTRAAT 12-BUS 12

2018 ANTWERPEN

Number of staff 0

Date of establishment 08/12/1998

Telephone number 032335524

Fax number 032310800

Commentary

The business was established over 16 years ago.
No employees are recorded for this business.
The business has been at the address for over 10 years.
A 66% growth in Total Assets occurred during the latest trading period.
The business saw a decrease in their Cash Balance of 45% during the latest trading period.
Net Worth is a negative amount during the latest trading period.
Working Capital is a negative amount during the latest trading period.

ACCOUNTS

DATE OF LATEST ACCOUNTS	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/12/2013	2,533	-20,881	-22,545
31/12/2012	-5,557	-22,972	-26,054
31/12/2011	39,975	-17,415	-19,112

Accounts

DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/12/2013	1,248,247	0	18,600	3,328
31/12/2012	747,663	0	18,600	-4,870
31/12/2011	726,861	0	18,600	40,008

TRENDS

Profitability
Liquidity
Net worth

Payment expectations

Industry average payment expectation days 124.20

Industry average day sales outstanding 181.51

Company information

Business number	464983752 Company name	VAMA-GEMS BVBA
Fax number	032310800 Date founded	08/12/1998
Company status	active Company type	Private Limited Company (BL/LX)
Currency	Euro (€) Date of latest accounts	31/12/2013
Activity code	46761 Liable for VAT	yes
Activity description	Wholesaler of diamonds and VAT Number Other Precious Stones	BE.0464.983.752
Belgian Bullettin of Acts Publications	moniteur belge

Company accounts

Assets

Annual accounts	31.12.2013	%	31.12.2012	%	31.12.2011	%	31.12.2010	%	31.12.2009
Weeks	52		52		52		52		52
Currency	EUR		EUR		EUR		EUR		EUR
Total fixed assets	1,664	-46.01	3,082	81.60	1,697	447	310	-78.23	1,424
Tangible fixed assets	1,354	-51.16	2,772	99	1,387	---	---	---	1,114
Plant & machinery	881	-43.15	1,550	74.31	889	---	---	----	---
Furniture & Vehicles	473	-61.31	1,222	145	498	---	---	---	1,114
Financial fixed assets	310	0	310	0	310	0	310	0	310
Total Current assets	1,246,583	67.42	744,581	2.68	725,164	-4.90	762,512	-9.44	842,031
Inventories	440,769	-4.23	460,245	71.64	268,144	-43.70	476,240	54.58	308,079
Other Stocks	440,769	-4.23	460,245	71.64	268,144	-43.70	476,240	54.58	308,079
Trade debtors	777,997	224	239,644	-37.70	384,660	58.57	242,574	-49.60	481,305
Other amounts receivable	1,769	-32.26	2,612	16.47	2,242	2003	107	-94.53	1,948
Cash	18,965	-45.62	34,873	-44.99	63,394	49.49	42,406	-14.04	49,332
Miscellaneous current assets	7,083	-1.72	7,207	7.19	6,723	467	1,185	-13.30	1,367
Total Assets	1,248,247	66.9	747,663	2.86	726,861	-4.71	762,822	-9.56	843,454
Liabilities
Total shareholders equity	-20,881	9.090	-22,972	-31.91	-17,415	30.35	-57,390	-10.93	-51,735
Issued share capital	18,600	0	18,600	0	18,600	0	18,600	0	18,600
Reserves	39,481	94.97	-41,572	-15.43	-36,015	47.39	-75,990	-8.04	-70,335
Creditors	1,269,128	64.69	770,635	3.54	744,276	-9.26	820,213	-8.38	895,189
Trade creditors	1,058,456	96.57	538,462	32.21	407,277	-14.19	474,621	-15.17	559,499
Amounts Payable for Taxes, Remuneration & Social Security	5,625	1553	340	177	123	-89.79	1,202	-91.50	14,145
Miscellaneous current liabilities	205,047	-11.55	231,833	-31.18	336,876	-2.18	344,389	7.10	321,545
Total current liabilities	1,269,128	64.69	770,635	3.54	744,276	-9.26	820,213	-8.38	895,189
Total Liabilities	1,248,247	66.95	747,663	2.86	726,861	-4.71	762,822	-9.56	843,454

Ratio Analysis

	31.12.2013	%	31.12.2012	%	31.12.2011	%	31.12.2010	%	31.12.2009
TRADING PERFORMANCE
Return on capital employed	-12.13	-150	24.19	10.54	-229.54	-1238	20.16	1095	-1.84
Return on total assets employed	0.20	27.03	-0.74	-113	5.50	361	-1.52	-1481	0.11
Return on net assets employed	-12.13	-150	24.19	10.54	-229.54	-1238	20.16	1095	-1.84
SHORT TERM STABILITY
Current ratio	0.98	1.03	0.97	0	0.97	1.30	0.93	-1.06	0.94
Liquidity ratio / acid ratio	0.63	70.27	0.37	-39.34	0.61	74.29	0.35	-41.67	0.60
Current debt ratio	-60.78	-81.16	-33.55	78.50	-42.74	-199	-14.29	82.60	-17.30
Cashflow	3328	68.34	-4870	-112	40008	707	-5656	-209	5187
Net worth	-20,881	90.90	-22,972	-31.91	-17,415	30.35	-57,390	-10.93	-51,735
LONG TERM STABILITY
Equity in percentage	-1.67	54.40	-3.07	-27.92	-2.40	31.91	-7.52	-22.68	-6.13
Total debt ratio	-60.78	-81.16	-33.55	78.50	-42.74	-199	-14.29	82.60	-17.30
Working Capital	-22,545	86.53	-26,054	-36.32	-19,112	33.12	-57,700	-8.54	-53,158

Profit & Loss

Annual accounts	31.12.2013	%	31.12.2012	%	31.12.2011	%	31.12.2010	%	31.12.2009
Weeks	52		52		52		52		52
Currency	EUR		EUR		EUR		EUR		EUR
Gross Operating Margin	21,806	10.85	19,671	-53.88	42,648	2,442	-1,746	-125	6,962
Amortization & Depreciation	1,237	80.04	687	2,005	33	---	----	---	4,238
Operating result	3,162	71.24	-4,439	-110	41,380	378	-10,927	-839	1,478
Total financial income	1	-94.57	24	2,815	1	-99	284	-51.71	589
Total financial expenses	631	-44.77	1,142	-18.75	1,406	51.82	926	-17.10	1,117
Results on ordinary operations Before taxation	2,533	45.58	-5,557	-113	39,975	345	-11,569	-1318	949
Extra ordinary Income	---	---	---	---	---	---	6,200	---	---
Extra ordinary Charges	442	---	---	---	---	---	287	---	---
Extraordinary Items	-442	---	0	---	0	-100	5,913	---	0
Results for the year Before Taxation	2,091	37.63	-5,557	-113	39,975	706	-5,656	-695	949
Result on ordinary Operations after taxation	2,533	45.58	-5,557	-113	39,975	345	-11,569	-1,318	949
Net result	2,091	37.63	-5,557	-113	39,975	706	-5,656	-695	949
Profit (Loss) for the year to be appropriated	2,091	37.63	-5,557	-113	39,975	706	-5,656	-695	949

Industry comparison

Activity code 46761

Activity description Wholesale of diamonds and other precious stones

Industry average payment

expectation days 124.20

Industry average day sales

Outstanding 181.51

Industry quartile analysis

Payment expectations

Company result -

Lower 120.76

Median 74.63

Upper 46.13

Day sales outstanding

Company result -

Lower 102.27

Median 54.08

Upper 24.18

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Summons

there is no data for this company

Protested Bills

there is no data for this company

Bankruptcy and other legal events

there is no data for this company

Director details

Current Director Details

Name	RUPESH NAVINCHENDRA SHAH
Position	Principal Manager
Start Date	03/08/2010
Street	48 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	PINKY SHAH
Position	Principal Manager
Start Date	08/12/1998
Street	514 BOMBAY MARKET, TARDEO ROAD BOMBAY
Country	India

Former Director Details

Name	PINKY SHIROIYA
Position	Principal Manager
Start Date	01/04/1999
End Date	Unknown date
Street	BOMBAY MARKET, TARDEO ROAD BOMBAY
Country	India

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.76
UK Pound	1	Rs.93.13
Euro	1	Rs.70.03

INFORMATION DETAILS

Analysis Done by :	RAS
Report Prepared by :	MNL

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%)

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