MIRA INFORM REPORT

Report No. :	303744
Report Date :	20.01.2015

IDENTIFICATION DETAILS

Name :	R.R. INDUSTRIAL CORPORATION (INDIA) PRIVATE LIMITED
Registered Office :	Station Road, Telghani Naka, Raipur – 492 001, Chhattisgarh
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	29.05.2009
Com. Reg. No.:	10-021207
Capital Investment / Paid-up Capital :	Rs.79.836 millions
CIN No.: [Company Identification No.]	U27100CT2009PTC021207
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAECR4291B
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in trading of Steel Material.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Profitability of the company seems to be low during 2014. However, general financial position of the company seems to be decent. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings at usual trade terms and conditions.

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)
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

NOT AVAILABLE

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/ Head Office :	Station Road, Telghani Naka, Raipur – 492 001, Chhattisgarh, India
Tel. No.:	91-771-2882809/ 2523809/ 2884809/ 4008301-330
Fax No.:	91-771-4008318/ 2525909
E-Mail :	rkscaryp@yahoo.co.in rrindustrialraipur@rrsteelraipur.com rrindustrial@sify.com sanjay@rrsteelraipur.com
Website :	www.rrsteelraipur.com
Branch Office :	Located at : · Rourkela  · Indore  · Hyderabad  · Nagpur  · Sikar  · Lucknow   · Surat

DIRECTORS

AS ON 30.09.2014

Name :

Mr. Sanjay Kumar Jain

Designation :

Managing Director

Address :

House No.3/600, College Ward, Raipur – 492 001, Chhattisgarh, India

Date of Birth/Age :

17.09.1971

Date of Appointment :

29.05.2009

PAN No.:

ACHPJ6394H

DIN No.:

00703158

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	U27108CT2004PTC017004	R.R.IRON AND STEEL PRIVATE LIMITED	Director	01/10/2004	01/10/2004	-	Active	NO
2	U27102CT2004PTC016621	UDAY SPONGE AND POWER PRIVATE LIMITED	Additional director	17/07/2008	17/07/2008	02/08/2008	Active	NO
3	U45200CT2009PTC021094	AARTI R.R. INFRAPROJECTS PRIVATE LIMITED	Director	09/03/2009	09/03/2009	-	Active	NO
4	U27100CT2009PTC021207	R.R. INDUSTRIAL CORPORATION (INDIA) PRIVATE LIMITED	Managing director	29/05/2009	29/05/2009	-	Active	NO
5	U65922WB1991PTC052539	KUSH TRADING AND COMMERCE PRIVATE LIMITED	Director	04/01/2010	04/01/2010	-	Active	NO

Name :

Mrs. Rekha Jain

Designation :

Director

Address :

House No.3/600, College Ward, Raipur – 492 001, Chhattisgarh, India

Date of Birth/Age :

27.03.1972

Date of Appointment :

29.05.2009

PAN No.:

ABZPJ0234D

DIN No.:

00703330

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	U27108CT2004PTC017004	R.R.IRON AND STEEL PRIVATE LIMITED	Director	01/10/2004	01/10/2004	-	Active	NO
2	U27100CT2009PTC021207	R.R. INDUSTRIAL CORPORATION (INDIA) PRIVATE LIMITED	Director	29/05/2009	29/05/2009	-	Active	NO
3	U65922WB1991PTC052539	KUSH TRADING AND COMMERCE PRIVATE LIMITED	Director	04/01/2010	04/01/2010	-	Active	NO

Name :

Mr. Kanhaiya Lal Gangwal

Designation :

Director

Address :

R.R. Industrial Corporation, H.P .Petrol Pump, Telghani Naka, Raipur – 492 001, Chhattisgarh, India

Date of Birth/Age :

10.07.1940

Date of Appointment :

29.05.2009

DIN No.:

02611186

MAJOR SHAREHOLDERS

AS ON 30.09.2014

Names of Shareholders	No. of Shares	% of Holding
Sanjay Kumar Jain	5000	0.06
Rekha Jain	5000	0.06
R.R. Iron and Steel Private Limited, India	375000	4.70
Kanhaiya Lal Gangwal	2105000	26.37
Kush Trading and Commerce Private Limited, India	5493600	68.81
Total	7983600	100.00

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2014

Category	Percentage
Bodies corporate	73.51
Directors or relatives of Directors	26.49
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in trading of Steel Material.

Products :

Product Description	Item Code No. (ITC Code)
M.S. Angle and M.S. Channel and Other Steel Products	72281090

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Available

Imports :

Not Available

Terms :

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 :

Banker Name	State Bank of India
Branch Address	Medium Enterprises Sales Hub, SME Branch Premises, Byron Bazar, Raipur – 492 001, Chhattisgarh, India
Person Name (With Designation)	Not Available
Contact Number	Not Available
Name of Account Holder	Not Available
Account Number	Not Available
Account Since (Date/Year of Account Opening)	Not Available
Average Balance Maintained (If Possible)	Not Available
Credit Facilities Enjoyed (If any)	Not Available
Account Operation
Remarks (If any)	Not Available

Punjab National Bank, Main Branch, Jai Stambh Chowk, Raipur – 492 001, Chhattisgarh, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Loans taken for fixed assets (Hypothecation of vehicle)	0.265	0.307
SHORT TERM BORROWINGS
Working capital loans from banks (Hypothecation of Raw Material, Finished Goods, other products, Consumable and Stores and book debts and plant and machinery and building of the company and personal guarantee by director)	13.598	30.786
Total	13.863	31.093

Banking Relations :	--
Auditors :
Name :	R.K. Singhania and Associates Chartered Accountants
Address :	205, 1^st Floor, Samta Colony, Raipur, Chhattisgarh, India
PAN No.:	AAGFR3093N
Memberships :	Not Available
Collaborators :	Not Available
Holding Company :	Kush Trading and Commerce Private Limited (CIN No.: U65922WB1991PTC052539)
Associates :	Aarti R.R. Infraprojects Private Limited (CIN No.: U45200CT2009PTC021094) R.R. Iron and Steel Private Limited (CIN No.: 27108CT2004PTC017004) Shree Shyam Rolling Mill, India R. R. Industrial Corporation, India

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
7983600	Equity Shares	Rs.10/- each	Rs.79.836 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	79.836	66.900	24.900
(b) Reserves & Surplus	125.421	102.512	36.407
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.050
Total Shareholders’ Funds (1) + (2)	205.257	169.412	61.357
(3) Non-Current Liabilities
(a) Long-term borrowings	27.676	29.622	34.650
(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)	27.676	29.622	34.650
(4) Current Liabilities
(a) Short term borrowings	13.598	30.786	40.404
(b) Trade payables	121.616	235.302	141.279
(c) Other current liabilities	20.088	7.880	6.628
(d) Short-term provisions	1.663	0.000	0.000
Total Current Liabilities (4)	156.965	273.968	188.311
TOTAL	389.898	473.002	284.318
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	0.766	1.012	0.044
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	4.712	4.712	4.712
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	23.891	23.810	23.629
(c) Deferred tax assets (net)	0.048	0.047	0.076
(d) Long-term Loan and Advances	18.465	31.933	21.671
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	47.882	61.514	50.132
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	11.300	29.113	5.795
(c) Trade receivables	252.002	350.770	215.659
(d) Cash and cash equivalents	3.497	4.475	7.728
(e) Short-term loans and advances	70.350	25.456	4.383
(f) Other current assets	4.867	1.674	0.621
Total Current Assets	342.016	411.488	234.186
TOTAL	389.898	473.002	284.318

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	1291.875	1541.255	1395.189
		Other Income
		TOTAL	1291.875	1541.255	1395.189
Less	TOTAL EXPENSES		1286.438	1536.664	1391.102
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		5.437	4.591	4.087
Less	DEPRECIATION/ AMORTISATION		0.276	0.169	0.374
	PROFIT/ (LOSS) BEFORE TAX		5.161	4.422	3.713
Less	TAX		1.656	1.317	1.170
	PROFIT/ (LOSS) AFTER TAX		3.505	3.105	2.543
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		5.762	2.657	0.114
	BALANCE CARRIED TO THE B/S		9.267	5.762	2.657
	Earnings / (Loss) Per Share (Rs.)		0.52	0.39	0.32

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Return on Total Assets (PBT/Total Assets}	(%)	1.43	0.99	1.45
Return on Investment (ROI) (PBT/Networth)		0.03	0.03	0.06
Debt Equity Ratio (Total Debt/Networth)		0.20	0.36	1.22
Current Ratio (Current Asset/Current Liability)		2.18	1.50	1.24

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(INR in Mlns.)	(INR in Mlns.)	(INR in Mlns.)
Share Capital	24.900	66.900	79.836
Reserves & Surplus	36.407	102.512	125.421
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	0.050	0.000	0.000
Net worth	61.357	169.412	205.257
Long Term borrowings	34.650	29.622	27.676
Short Term borrowings	40.404	30.786	13.598
Total borrowings	75.054	60.408	41.274
Debt/Equity ratio	1.223	0.357	0.201

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Total Income	1,395.189	1,541.255	1,291.875
		10.469	(16.180)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Total Income	1,395.189	1,541.255	1,291.875
Profit	2.543	3.105	3.505
	0.18%	0.20%	0.27%

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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

NOTE:

The registered address of the company has been shifted from Ashika Stock Btoking Limited, Telghani Naka, Raipur – 492 001, Chattisgarh to the present address w.e.f. 18.08.2009.

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Intercorporate deposits	17.500	19.000
Loans and advances from directors	9.911	10.315
Total	27.411	29.315

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10385371	28/09/2012	45,000,000.00	PUNJAB NATIONAL BANK	MAIN BRANCH, JAI STAMBH CHOWK, RAIPUR, CHHATTISGARH - 492001, INDIA	B61695946
2	10321086	26/08/2013 *	114,368,000.00	STATE BANK OF INDIA	MEDIUM ENTERPRISES SALES HUB, SME BRANCH PREMISES, BYRON BAZAR, RAIPUR, CHHATTISGARH - 492001, INDIA	B83220681

* Date of charge modification

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

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.61.70
UK Pound	1	Rs.93.41
Euro	1	Rs.71.33

INFORMATION DETAILS

Analysis Done by :	RAS
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
-- PROFITABILITY	1~10	3
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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		45

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.