MIRA INFORM REPORT

Report No. :	307047
Report Date :	14.02.2015

IDENTIFICATION DETAILS

Name :	GIRIRAJ IRON LIMITED
Registered Office :	Bunglow No.14, Final Plot No.18, Vanashree Co Operative Housing Society Limited, Thal Tej, Ahmedabad – 380054, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	26.04.2011
Com. Reg. No.:	04-065137
Capital Investment / Paid-up Capital :	Rs. 70.000 Millions
CIN No.: [Company Identification No.]	U51101GJ2011PLC065137
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	AHMG04796B
PAN No.: [Permanent Account No.]	AAECG2514N
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trading of steel products including hot rolled (HR) Plates, HR Sheets, HR Coils and Cold Rolled (CR) Coil.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an establishing company having moderate track record. As per available information subject is a successor of “Giriraj Steel” a partnership concern which was incorporated in the year 1976. The company began its operations as public company in year April 2011. As per financials of 2013-14 the company has reported low profitability. Trade relations seems to be fair. Business is active. Payment terms are reported to be slow but correct. Trade company can be considered for business dealings with some caution.

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	CARE
Rating	Long term bank facilities “BB”
Rating Explanation	Inadequate credit quality high credit risk
Date	September, 2014

Rating Agency Name	CARE
Rating	Short term bank facilities “A4”
Rating Explanation	Minimal degree of safety very high credit risk.
Date	September, 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 :	Bunglow No.14, Final Plot No.18, Vanashree Co Operative Housing Society Limited, Thal Tej, Ahmedabad – 380054, Gujarat, India
Tel. No.:	91-79-26840170, 71,72,73,74
Fax No.:	91-79-26840169
E-Mail :	papatelandco@yahoo.co.in giristeel@yahoo.co.in
Branch Office 1 :	518,Navratan Building, 5th Floor, 69, P.D. Mello Road, Carnac Bunder, Mumbai-400009, Maharashtra, India
Tel. No.:	91-22-30297711,30297617
Branch Office 2 :	Near Zenith High School, Dabhoi Road, Pratapnagar, Baroda, Gujarat, India
Tel. No.:	91-265-2582267
Godown :	Opposite Swaminarayan Way Bridge, Kanbha, India
Tel. No.:	91-2718-286052/286273

DIRECTORS

As on 30.09.2014

Name :

Mr. Bhadreshkumar Vadilal Shah

Designation :

Director

Address :

15 Viram Society, Nr. Circuit House Shahibaug, Ahmedabad – 380004, Gujarat, India

Date of Birth/Age :

23.09.1963

Date of Appointment :

26.04.2011

DIN No.:

01773165

PAN No.:

ACIPS6377A

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	U52390GJ2008PTC053429	GIRIRAJ EXIM PRIVATE LIMITED	Managing director	01/04/2011	31/03/2008	-	Active	NO
2	U51101GJ2011PLC065137	GIRIRAJ IRON LIMITED	Director	26/04/2011	26/04/2011	-	Active	NO

Name :

Mr. Shaileshkumar Vadilal Shah

Designation :

Director

Address :

A/3, Vaibhav Appartment, Part-1, Shahibaug, Ahmedabad – 380004, Gujarat, India

Date of Birth/Age :

23.08.1956

Date of Appointment :

26.04.2011

DIN No.:

01752190

PAN No.:

ATRPS1975J

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	U52390GJ2008PTC053429	GIRIRAJ EXIM PRIVATE LIMITED	Director	31/03/2008	31/03/2008	-	Active	NO
2	U51101GJ2011PLC065137	GIRIRAJ IRON LIMITED	Director	26/04/2011	26/04/2011	-	Active	NO

Name :

Mr. Maitray Shailesh Shah

Designation :

Director

Address :

A/3, Vaibhav Appartment, Part-1, Shahibaug, Ahmedabad – 380004, Gujarat, India

Date of Birth/Age :

09.02.1982

Date of Appointment :

26.04.2011

DIN No.:

01752174

PAN No.:

ATVPS2327N

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	U52390GJ2008PTC053429	GIRIRAJ EXIM PRIVATE LIMITED	Director	31/03/2008	31/03/2008	-	Active	NO
2	U51101GJ2011PLC065137	GIRIRAJ IRON LIMITED	Director	26/04/2011	26/04/2011	-	Active	NO

Name :

Mr. Utkarsh Shaileshbhai Shah

Designation :

Director

Address :

A/50, Aryaman Bunglows, Nr. Railway Crossing, Thaltej Shilaj Road, Thaltej,

Ahmedabad – 380059, Gujarat, India

Date of Birth/Age :

21.11.1983

Date of Appointment :

26.04.2011

DIN No.:

03426882

PAN No.:

AQDPS6303B

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares	Percentage
Shaileshbhai Vadilal Shah	2450000	35.00
Bhadresh Vadilal Shah	2450000	35.00
Maitray Shailesh Shah	350000	5.00
Vadilal Venichand Shah	700000	10.00
Utkarsh Shailesh Shah	350000	5.00
Radhika Bhadresh Shah	350000	5.00
Trupti Bhadresh Shah	350000	5.00
Total	7000000	100.00

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 :	Trading of steel products including hot rolled (HR) Plates, HR Sheets, HR Coils and Cold Rolled (CR) Coil.
Products :	Not Available
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Not Available
Purchasing :	Not Available

PRODUCTION STATUS NOT AVAILABLE

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 :

Yes Bank Limited, 9th Floor, Nehru Centre, Discovery of India, Dr. Annie Besant Road, Worli,, Mumbai - 400018, Maharashtra, India

Facilities :

(Rs. In Millions)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
Long Term Borrowing
Rupee term loans from others	1.255	1.859
Short Term Borrowing
Loans repayable on demand	284.728	309.492
Total	285.983	311.351

Auditors :
Name :	P A Patel and Company Chartered Accountant
Address :	302/C, Sahjanand, Complex, Shahibaug Road Ahmedabad, Gujarat, India
PAN No.:	AAMPP2307B
Memberships :	Not Available
Collaborators :	Not Available
Associates :	Giriraj Exim Private Limited

CAPITAL STRUCTURE

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7000000	Equity Shares	Rs.10/- each	Rs.70.000 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	70.000	40.000	40.000
(b) Reserves & Surplus	13.240	31.988	19.784
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	83.240	71.988	59.784
(3) Non-Current Liabilities
(a) long-term borrowings	80.388	89.168	146.076
(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)	80.388	89.168	146.076
(4) Current Liabilities
(a) Short term borrowings	284.728	309.492	272.365
(b) Trade payables	106.602	181.230	397.465
(c) Other current liabilities	5.811	6.389	1.576
(d) Short-term provisions	7.384	10.678	18.993
Total Current Liabilities (4)	404.525	507.789	690.399
TOTAL	568.153	668.945	896.259
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	4.011	4.281	5.707
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	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)	0.472	0.392	0.237
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	4.483	4.673	5.944
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	230.952	181.824	232.449
(c) Trade receivables	258.573	419.638	555.313
(d) Cash and cash equivalents	5.292	3.930	0.203
(e) Short-term loans and advances	68.853	58.880	102.350
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	563.670	664.272	890.315
TOTAL	568.153	668.945	896.259

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	2347.354	2327.299	2888.596
		Other Income	26.596	12.483	16.442
		TOTAL (A)	2373.950	2339.782	2905.038
Less	EXPENSES
		Purchases of Stock-in-Trade	2298.511	2099.349	2610.917
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(49.128)	50.625	141.711
		Employees benefits expense	1.780	1.699	1.610
		Other expenses	48.451	116.717	78.136
		TOTAL (B)	2299.614	2268.390	2832.374
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		74.336	71.392	72.664
Less	FINANCIAL EXPENSES (D)		55.963	52.183	41.241
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		18.373	19.209	31.423
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.112	1.443	1.926
	PROFIT BEFORE TAX (E-F) (G)		17.261	17.766	29.497
Less	TAX (H)		6.009	5.561	9.713
	PROFIT AFTER TAX (G-H) (I)		11.252	12.205	19.784
	Earnings Per Share (Rs.)		1.61	--	--

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.48	0.52	0.68
Operating Profit Margin (PBDIT/Sales)	(%)	3.17	3.07	2.52
Return on Total Assets (PBT/Total Assets}	(%)	3.04	2.66	3.29
Return on Investment (ROI) (PBT/Networth)		0.21	0.25	0.49
Debt Equity Ratio (Total Debt /Networth)		4.39	5.54	7.00
Current Ratio (Current Asset/Current Liability)		1.39	1.31	1.29

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	40.000	40.000	70.000
Reserves & Surplus	19.784	31.988	13.240
Net worth	59.784	71.988	83.240
long-term borrowings	146.076	89.168	80.388
Short term borrowings	272.365	309.492	284.728
Total borrowings	418.441	398.660	365.116
Debt/Equity ratio	6.999	5.538	4.386

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	2888.596	2327.299	2347.354
		(19.431)	0.862

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	2888.596	2327.299	2347.354
Profit	19.784	12.205	11.252
	0.68%	0.52%	0.48%

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	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year	No
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	No
34]	External Agency Rating, if available	Yes

UNSECURED LOAN

(Rs. In Millions)

Particular	As on 31.03.2014	As on 31.03.2013
Long Term Borrowing
Other loans and advances	79.133	87.309
Total	79.133	87.309

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10291867	01/01/2014 *	327,000,000.00	YES BANK LIMITED	9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA,, DR.  ANNIE BESANT ROAD, WORLI, MUMBAI, Maharashtra - 400018, INDIA	B93950020

* Date of charge modification

FIXED ASSETS

• Furniture and fixtures
• Office equipment
• Computer equipments
• Other 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 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.62.13
UK Pound	1	Rs.95.77
Euro	1	Rs.71.05

INFORMATION DETAILS

Information Gathered by :	SUC
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		32

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.