MIRA INFORM REPORT

Report No. :	306322
Report Date :	04.02.2015

IDENTIFICATION DETAILS

Name :	BIOP STEELS AND POWER PRIVATE LIMITED
Registered Office :	Modi Bhavan, Hospet Road, Allipura, Bellary - 583104, Karnataka
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	20.10.2010
Com. Reg. No.:	08-055589
Capital Investment / Paid-up Capital :	Rs. 90.000 Millions
CIN No.: [Company Identification No.]	U27310KA2010PTC055589
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAECB2876N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing Sponge Iron
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 230000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company has incurred a loss from its operations during 2014. However, trade relations is improving. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings with some cautions.

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	ICRA Rating
Rating	Term Loan – Proposed = B+
Rating Explanation	Have high risk of default
Date	April 2014

Rating Agency Name	ICRA Rating
Rating	Non Fund base - Proposed = A4
Rating Explanation	Have minimal degree of safety and carry very high credit risk
Date	April 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.

LOCATIONS

Registered Office :	Modi Bhavan, Hospet Road, Allipura, Bellary - 583104, Karnataka, India
Tel. No.:	91-8392-237666
Fax No.:	91-8392-244575
E-Mail :	raghava_3012@rediffmail.com modi_sk@rediffmail.com
Factory :	Obulapuram Village, Rayadurga Taluk, Anantapur , Andhra Pradesh, India

DIRECTORS

As on 15.09.2014

Name :

Mr. Santosh Kumar Modi

Designation :

Director

Address :

36/28, Modiniketan, Infantry Road, Cantonment, Bellary – 583103, Karnataka, India

Date of Birth/Age :

15.01.1951

Date of Appointment :

20.10.2010

DIN No.:

01653861

Voter ID No.:

HHS1201847

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	U13100KA1967PTC001659	VIBHUTIGUDDA MINES PRIVATE LIMITED	Director	29/04/1979	29/04/1979	-	Active	NO
2	U11100KA1980PTC004006	KPF PRIVATE LIMITED	Director	24/11/1980	24/11/1980	-	Active	NO
3	L27101TG1983PLC004225	UNI-METAL ALLOYS LIMITED	Director	29/10/1984	29/10/1984	01/10/2007	Active	NO
4	U13100KA1985PTC006822	BELLARY IRON ORES PRIVATE LIMITED	Managing director	09/04/1985	09/04/1985	-	Active	NO
5	L85110KA1993PLC014691	SILKTEX LIMITED	Director	23/01/2002	23/01/2002	15/02/2012	Active	NO
6	U13209KA2003PTC032571	HINDUSTHAN CALCINED METALS PRIVATE LIMITED	Managing director	29/10/2003	29/10/2003	-	Active	NO
7	U45400TG2008PTC057125	SKYLINE SHELTERS PRIVATE LIMITED	Additional director	30/09/2009	19/02/2008	-	Active	NO
8	U55101TG2009PTC063757	ESPIRIT HOTELS PRIVATE LIMITED	Director	28/09/2011	24/09/2010	-	Active	NO
9	U27310KA2010PTC055589	BIOP STEELS & POWER PRIVATE LIMITED	Director	20/10/2010	20/10/2010	-	Active	NO
10	U45200WB2011PTC158638	SWARN REAL ESTATES PRIVATE LIMITED	Director	08/04/2011	08/04/2011	-	Active	NO
11	U70109WB2011PTC163260	SM CONCLAVE PRIVATE LIMITED	Director	23/06/2011	23/06/2011	-	Active	NO
12	U51909WB2008PTC124464	SHIVAM DEALCOM PRIVATE LIMITED	Director	02/11/2011	02/11/2011	-	Active	NO
13	U74900WB2012PTC186226	SWARN CORP PRIVATE LIMITED	Director	26/09/2012	26/09/2012	-	Active	NO
14	U70101WB1996PTC081857	QUEEN PROPERTIES PRIVATE LIMITED	Director	23/04/2013	23/04/2013	-	Active	NO
15	U45400WB2011PTC166750	NATURAL AWAS PRIVATE LIMITED	Director	15/01/2014	15/01/2014	-	Active	NO

Name :

Manju Modi

Designation :

Director

Address :

36/28, Modiniketan, Infantry Road, Cantonment, Bellary – 583103, Karnataka, India

Date of Birth/Age :

23.06.1952

Date of Appointment :

20.10.2010

DIN No.:

01653874

Voter ID No.:

HHS1201839

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	U13100KA1985PTC006822	BELLARY IRON ORES PRIVATE LIMITED	Director	25/04/1998	25/04/1998	-	Active	NO
2	U13100KA1967PTC001659	VIBHUTIGUDDA MINES PRIVATE LIMITED	Director	25/04/1998	25/04/1998	-	Active	NO
3	U11100KA1980PTC004006	KPF PRIVATE LIMITED	Director	25/04/1998	25/04/1998	-	Active	NO
4	U13209KA2003PTC032571	HINDUSTHAN CALCINED METALS PRIVATE LIMITED	Director	29/10/2003	29/10/2003	-	Active	NO
5	U70102TG2006PTC051232	KAMALA INTERNATIONAL EXIM PRIVATE LIMITED	Director	30/09/2008	01/06/2008	30/03/2013	Active	NO
6	U27310KA2010PTC055589	BIOP STEELS & POWER PRIVATE LIMITED	Director	20/10/2010	20/10/2010	-	Active	NO
7	U45200WB2011PTC158638	SWARN REAL ESTATES PRIVATE LIMITED	Director	08/04/2011	08/04/2011	-	Active	NO
8	U70101WB1996PTC081857	QUEEN PROPERTIES PRIVATE LIMITED	Director	23/04/2013	23/04/2013	-	Active	NO

MAJOR SHAREHOLDERS

As on 15.09.2014

Names of Shareholders	No. of Shares
Santosh Kumar Modi	25000
Manju Modi	25000
Bellary Iron Ores Private Limited	40000
Total	90000

As on 15.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturing Sponge Iron
Products :	Iron Boxes Iron Channel Iron Trays Iron Lanterns Alloy Steel Spring Steel Strip
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :	Not Available

PRODUCTION STATUS (AS on 31.03.2014)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Sponge Iron	MT	200 TPD	200TPD	24903.10 MT

GENERAL INFORMATION

Suppliers :

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

Customers :

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

No. of Employees :

Not Available

Bankers :

• State Bank of India, SME Branch, PB10, Station Road, Bellary – 583101, Karnataka, India

Facilities :

(Rs. In Millions)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
SHORT TERM BORROWING
Loan repayable on demands	387.710	0.000
Total	387.710	0.000

Auditors :
Name :	Badri and Company Chartered Accountants
Address :	Shri Gowri, 16/14, 3 rd Floor, Ananthapur Road, Old Madras Trunk Road, Near Old HP Gas, Bellary - 583101, Karnataka, India
PAN No.:	AACFB2655G
Memberships :	Not Available
Collaborators :	Not Available
Key Management Personnel :	Bellary Iron Ores Private Limited Vibhutigudda Mines Private Limited K P F Private Limited Suggulamma Gudda Mining Company Gavisiddeswara Enterprises BIOP Steels and Power Private Limited Skyline Shelters Private Limited Espirit Hotels Private Limited Swarn Real Estates Private Limited SM Conclave Private Limited Shivam Dealcom Private Limited Swarn Corp Private Limited Queen Properties Private Limited Natural Awas Private Limited

CAPITAL STRUCTURE

As on 15.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.1000/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
90000	Equity Shares	Rs.1000/- each	Rs. 90.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

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	90.000	90.000	10.000
(b) Reserves & Surplus	(8.541)	11.323	10.758
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	10.000	0.000
Total Shareholders’ Funds (1) + (2)	81.459	111.323	20.758
(3) Non-Current Liabilities
(a) long-term borrowings	107.300	91.001	0.000
(b) Deferred tax liabilities (Net)	3.760	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	111.060	91.001	0.000
(4) Current Liabilities
(a) Short term borrowings	387.710	0.000	0.000
(b) Trade payables	147.534	0.000	0.000
(c) Other current liabilities	51.487	3.761	0.000
(d) Short-term provisions	0.253	0.543	0.033
Total Current Liabilities (4)	586.984	4.304	0.033
TOTAL	779.503	206.628	20.791
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	207.986	2.181	0.941
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	185.879	167.252	2.831
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.266	6.323	16.291
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	48.878	14.330	0.194
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	443.009	190.086	20.257
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	248.373	0.000	0.000
(c) Trade receivables	38.924	0.000	0.000
(d) Cash and cash equivalents	(1.241)	1.069	0.534
(e) Short-term loans and advances	0.199	0.036	0.000
(f) Other current assets	50.239	15.437	0.000
Total Current Assets	336.494	16.542	0.534
TOTAL	779.503	206.628	20.791

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES	NA	NA	NA
Less	EXPENSES	NA	NA	NA
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	2.030	0.532	0.000
Less/ Add	DEPRECIATION/ AMORTISATION	18.133	0.000	0.000
	PROFIT/ (LOSS) BEFORE TAX	(16.103)	0.532	10.758
Less	TAX	3.760	0.000	0.000
	PROFIT/ (LOSS) AFTER TAX	(19.863)	0.532	10.758
	Earnings / (Loss) Per Share (Rs.)	(220.70)	5.91	NA

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Return on Total Assets (PBT/Total Assets}	(%)	(2.71)	1.61	644.58
Return on Investment (ROI) (PBT/Networth)		(0.20)	0.00	0.52
Debt Equity Ratio (Total Debt /Networth)		6.08	0.82	0.00
Current Ratio (Current Asset/Current Liability)		0.57	3.84	16.18

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	10.000	90.000	90.000
Reserves & Surplus	10.758	11.323	(8.541)
Share Application money pending allotment	0.000	10.000	0.00
Net worth	20.758	111.323	81.459
long-term borrowings	0.000	91.001	107.300
Short term borrowings	0.000	0.000	387.710
Total borrowings	0.000	91.001	495.010
Debt/Equity ratio	0.000	0.898	6.077

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	No
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
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	Yes
34]	External Agency Rating, if available	Yes

UNSECURED LOAN

(Rs. In Million)

Particulars	As on 31.03.2014	As on 31.03.2013
LONG TERM BORROWING
Loans repayable on demand from others	107.300	91.001
Total	107.300	91.001

OPERATIONS:

Sponge Iron Plant:

During the year under consideration, the company has started its operations of manufacturing Sponge Iron. The sponge iron plant has been successfully commissioned during the year.

The capacity of the sponge iron plant is 2 X 100 TPD. The company has begun its trial production of 1 x 100 TPD during the fag end of June 2013. The company has started trial production during the month of june and later commercial production started after successful trail run. Depreciation has been provided from the date of commencement of commercial production.

The company plans to build on the momentum that has been generated in the forth coming year.

The company has been able to achieve pretty decent turnover when considered in the backdrop of slowing down of the economy, scarcity in raw material availability primarily iron ore, rising input costs, financial constraints and this being the first year of operations of the company.

The Company has approached for term loan from State Bank of India, Commercial Br, Bellary in order to meet the investment requirements for the power plant.

Power Plant:

The company is in the process of setting up proper infrastructure and necessary equipments required for commencement of business relating to generation of power, Expenditure incurred on the said project has been accounted under the head of capital work in progress and expenses pending capitalisation.

The commissioning of the power plant is expected to made in the month of Sep 2014. With the commissioning of the plant, power generated from the same out of the waste gases generated from the sponge iron unit would enable the company to save fuel costs and better margin realisation per tonne of sponge iron sold.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10489781	16/04/2014	635,900,000.00	STATE BANK OF INDIA	SME Branch (Earlier known as Commercial Branch),  P B 10, Station Road,, BELLARY, Karnataka - 583101, INDIA	C03678877

* Date of charge modification

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.61.73
UK Pound	1	Rs.92.71
Euro	1	Rs.69.94

INFORMATION DETAILS

Analysis Done by :	RAS
Report Prepared by :	ART

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--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		26

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.