MIRA INFORM REPORT

Report No. :	284522.2
Report Date :	14.02.2015

IDENTIFICATION DETAILS

Name :	EMPIRE PHOTOVOLTAIC SYSTEMS PRIVATE LIMITED
Registered Office :	Sy. No. 114/P, Plot No. # 7/A1, Fab City, Srinagar Village, Maheshwaram Mandal, Ranga Reddy - 501359 Telangana
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	30.09.2010
Com. Reg. No.:	36-070659
Capital Investment / Paid-up Capital :	Rs.90.375 Millions
CIN No.: [Company Identification No.]	U31908TG2010PTC070659
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AACCE6024D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Solar Photovoltaic Module
No. of Employees :	35 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ca (15)

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 and delayed
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The rating takes into consideration delay in debt servicing due to weak liquidity position of the company. However, business is active. Payments are reported to be slow and delayed. The company can be considered for business dealings on safe and secured trade terms and conditions. On 2 June 2014, Telangana became the 29th state of India, consisting of the ten north-western districts of Andhra Pradesh with Hyderabad as its capital. The city of Hyderabad will continue to serve as the joint capital for Andhra Pradesh and the successor state of Telengana for a period of ten years. As a result of which both the state have their own registrar of companies offices and the said subject is now transferred from Andhra Pradesh ROC to Telangana ROC.

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 = D
Rating Explanation	Expected to be in default
Date	03.01.2014

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

Name :	Mr. Sunil
Designation :	Account Manager Sales
Contact No.:	91-9963993804
Date :	30.09.2014

Name :	Mr. Dasu
Designation :	Manager Finance and HR
Contact No.:	91-9963993807
Date :	30.09.2014

LOCATIONS

Registered Office / Factory :	Sy. No. 114/P, Plot No. # 7/A1, Fab City, Srinagar Village, Maheshwaram Mandal, Ranga Reddy – 501359, Telangana, India
Tel. No.:	Not Available
Mobile No.:	91-9963993804 (Mr. Sunil) 91-9963993807 (Mr. Dasu)
Fax No.:	Not Available
E-Mail :	kiranch@epssolar.com dasu@epssolar.com
Website :	http://epssolar.com
Branch Office :	Plot No:462,H.No-2-56/33/22A, Jayasudha Heights,100 Feed Road, Ayyappa Society, Hitech City, Hyderabad - 500081, Telangana, India
Tel. No.:	91-40-65817799, 65817792 / 93

DIRECTORS

Name :

Mr. Kiram Kumar Chintanippu

Designation :

Director

Address :

H.No.5-1-86/1, Kaviraj Nagar, Near Yellandu Road, Khammam – 507002, Andhra Pradesh, India

Date of Birth/Age :

05.05.1976

Date of Appointment :

30.11.2011

DIN No.:

03642793

PAN No.:

ACMPC0340B

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	U31908TG2010PTC070659	EMPIRE PHOTOVOLTAIC SYSTEMS PRIVATE LIMITED	Director	30-11-11	30-11-11	-	Active	NO
2	U40300TG2013PTC086432	EMPIRE ENERGY SYSTEMS PRIVATE LIMITED	Director	18-03-13	18-03-13	-	Active	NO
3	U72200TG2014PTC092517	KOTECH IT SOLUTIONS PRIVATE LIMITED	Director	27-01-14	27-01-14	-	Active	NO

Name :

Mr. Chennai Loganathan Nanthakumar

Designation :

Additional director

Address :

New No.24 (Old No.36), V.V.Koil Street, Vellala Teynampet, Chennai, 600086, Tamil Nadu, India

Date of Appointment :

12.05.2014

DIN No.:

00906578

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	U01409TN2007PTC062216	HEXAGON BIORESOURCES PRIVATE LIMITED	Managing director	01-12-08	02-02-07	-	Under Process of Striking off	NO
2	U74999TN2012PLC086795	ALECTRONA PAPERS AND ENERGY LIMITED	Whole-time director	12-08-13	17-07-12	-	Active	NO
3	U65991TN1872PLC001381	THE MYLAPORE HINDU PERMANENT FUND LIMITED	Whole-time director	29-08-14	12-11-12	-	Active	NO
4	U31908TG2010PTC070659	EMPIRE PHOTOVOLTAIC SYSTEMS PRIVATE LIMITED	Additional director	12-05-14	12-05-14	-	Active	NO
5	U40300TG2013PTC086432	EMPIRE ENERGY SYSTEMS PRIVATE LIMITED	Director	26-08-14	26-08-14	-	Active	NO

Name :

Dhevanathanyadav

Designation :

Director

Address :

3-1, Deenadayalan Street, T. Nagar, Chennai – 600017, Tamilnadu, India

Date of Birth/Age :

30.05.1961

Date of Appointment :

20.08.2014

DIN No.:

01431689

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	U65991TN1992PTC023392	DHEVA CHITS (INDIA) PRIVATE LIMITED	Director	03-09-92	03-09-92	-	Strike off	NO
2	U51909TN1993PLC025324	DHEV PETRO PRODUCTS LTD	Director	25-06-93	25-06-93	-	Strike off	NO
3	U51909TN1995PTC033322	DHEVA TELEYSYSTEMS INTERNATIONAL P LTD	Director	29-09-98	29-09-98	-	Strike off	NO
4	U63090TN1999PLC041707	DIKSAT TRANSWORLD LIMITED	Managing director	02-01-14	09-09-99	-	Active	NO
5	U65921TN1992PTC022173	DHEVA INVESTMENTS AND FINANCE (INDIA) PRIVATE LIMITED	Director	04-09-02	04-09-02	-	Active	NO
6	U65991TN1872PLC001381	THE MYLAPORE HINDU PERMANENT FUND LIMITED	Managing director	03-11-11	03-11-06	-	Active	NO
7	U74999TN2012PLC086795	ALECTRONA PAPERS AND ENERGY LIMITED	Director	15-11-13	17-07-12	-	Active	NO
8	U40100TN2013PTC094334	DSH OIL & GAS ENGINEERING PRIVATE LIMITED	Director	28-02-14	26-12-13	-	Active	NO
9	U31908TG2010PTC070659	EMPIRE PHOTOVOLTAIC SYSTEMS PRIVATE LIMITED	Director	20-08-14	20-08-14	-	Active	NO
10	U40300TG2013PTC086432	EMPIRE ENERGY SYSTEMS PRIVATE LIMITED	Director	26-08-14	26-08-14	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Sunil
Designation :	Account Manager Sales

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2012

Names of Shareholders	No. of Shares
Anil Kumar Lingutla	1228999
Radhakrishna Rao Ponnaganti	476001
Venkata Ramana Lingutla	250000
Ravi Kumar Mandalapu	2202500
Madan Mohan Chava	1500000
Kiran Kumar Chintanippu	1000000
Srinivasa Rao Doppalapudi	750000
Total	7407500

As on 02.01.2014

Names of Allottee	No. of Shares Allotted
Anil Kumar Lingutla	429138
Ravi Kumar Mandalapu	46413
Kiran Kumar Chintanippu	382059
Total	857610

As on 28.09.2012

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 :	Manufacturer of Solar Photovoltaic Module
Imports :
Products :	Material and Parts
Countries :	Arabian Countries.
Terms :
Selling :	Advance Payment / Credit (30 / 60 Days)
Purchasing :	Advance Payment / Credit (30 / 60 Days)

GENERAL INFORMATION

Customers :

Wholesalers, Retailers and End Users

No. of Employees :

35 (Approximately)

Bankers :

State Bank of India, Royal Arcadia, Balkampet Road, Sanjeeva Reddy Nagar, Hyderabad - 500038, Andhra Pradesh, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
Long-term borrowings
Rupee term loans from banks	127.500	28.607
Short-term borrowings
Rupee term loans from banks	35.975	0.000
Total	163.475	28.607

Banking Relations :	---
Auditors :
Name :	Tukaram and Company Chartered Accountants
Address :	3-6-69/209, Venkatrama Towers, Basheerbagh, Hyderabad – 500029, Telangana ,India
Tel. No.:	91-40-23221536 / 23228785 / 23228086
E-Mail :	91-40-23221474
PAN No.:	AAAFT9960E

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital : Rs.122.500 Millions

Issued, Subscribed & Paid-up Capital : Rs.109.251 Millions

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
12250000	Equity Shares	Rs.10/- each	Rs.122.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
9037500	Equity Shares	Rs.10/- each	Rs.90.375 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	90.375	74.075	0.100
(b) Reserves & Surplus	(17.167)	0.000	0.000
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	9.637	6.706	14.417
Total Shareholders’ Funds (1) + (2)	82.845	80.781	14.517
(3) Non-Current Liabilities
(a) long-term borrowings	127.500	28.607	0.000
(b) Deferred tax liabilities (Net)	0.000	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)	127.500	28.607	0.000
(4) Current Liabilities
(a) Short term borrowings	35.975	0.000	0.000
(b) Trade payables	14.025	7.618	0.027
(c) Other current liabilities	14.799	1.760	0.000
(d) Short-term provisions	0.650	0.506	0.000
Total Current Liabilities (4)	65.449	9.884	0.027
TOTAL	275.794	119.272	14.544
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	209.176	18.300	1.698
(ii) Intangible Assets	2.463	2.068	0.000
(iii) Capital work-in-progress	0.007	53.745	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	8.108	25.358	6.040
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	219.754	99.471	7.738
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	29.675	2.021	0.000
(c) Trade receivables	12.379	0.000	0.000
(d) Cash and cash equivalents	13.820	13.864	5.957
(e) Short-term loans and advances	0.000	0.000	0.000
(f) Other current assets	0.166	3.916	0.849
Total Current Assets	56.040	19.801	6.806
TOTAL	275.794	119.272	14.544

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013
	SALES
		Income	48.700
		Other Income	0.900
		TOTAL (A)	49.600
Less	EXPENSES
		Consumption of Material	29.100
		Administrative and Other Cost	12.900
		TOTAL (B)	42.000
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		7.600
Less	FINANCIAL EXPENSES (D)		15.400
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(7.800)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		9.300
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		(17.100)
Less	TAX (H)		0.000
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(17.100)
	IMPORTS
		Raw Materials	38.700
		Plant and Machinery	85.500
	TOTAL IMPORTS		124.200
	Earnings / (Loss) Per Share (Rs.)		(1.89)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	(34.48)	NA	NA
Net Profit Margin (PBT/Sales)	(%)	(35.11)	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	(6.20)	NA	NA
Return on Investment (ROI) (PBT/Networth)		(0.21)	NA	NA
Debt Equity Ratio (Total Debt /Networth)		1.97	0.35	0.00
Current Ratio (Current Asset/Current Liability)		0.86	2.00	252.07

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	0.100	74.075	90.375
Reserves & Surplus	0.000	0.000	(17.167)
Share Application money pending allotment	14.417	6.706	9.637
Net worth	14.517	80.781	82.845
long-term borrowings	0.000	28.607	127.500
Short term borrowings	0.000	0.000	35.975
Total borrowings	0.000	28.607	163.475
Debt/Equity ratio	0.000	0.354	1.973

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	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last one year	Yes
12]	Profitability for last one year	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
721]	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	No
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: The registered office of the company has been shifted from Flat No 303, Aditya Windsor, White Fields-II, Opposite To Jayabheri Silicon County, Madhapur Hyderabad – 500084, Andhra Pradesh, India to present address w.e.f. 23.05.2013.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10341047	13/05/2014 *	159,300,000.00	STATE BANK OF INDIA	'ROYAL ARCADIA', BALKAMPET ROAD, SANJEEVA REDDY NAGAR, HYDERABAD, ANDHRA PRADESH - 500038, INDIA	C04246898

* Date of charge modification

FIXED ASSETS

• Furniture and fixtures
• Land
• Buildings
• Plant and equipment
• Vehicles
• Office equipment
• Computer equipments

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.62.14
UK Pound	1	Rs.95.78
Euro	1	Rs.71.05

INFORMATION DETAILS

Information Gathered by :	JML/ SVA
Analysis Done by :	RAS
Report Prepared by :	KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	1
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	1
--CREDIT LINES	1~10	1
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		15

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.