MIRA INFORM REPORT

Report No. :	304630
Report Date :	27.01.2015

IDENTIFICATION DETAILS

Name :	AMBICO EXPORTS AND IMPORTS PRIVATE LIMITED
Registered Office :	6, Somaiya Chambers, 2^nd Floor, S. V. Road, Malad (West), Mumbai – 400064, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	28.04.2004
Com. Reg. No.:	11-145961
Capital Investment / Paid-up Capital :	Rs.23.980 Millions
CIN No.: [Company Identification No.]	U51909MH2004PTC145961
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importers of Diamonds.
No. of Employees :	80 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Management has failed to file the latest financials of FY14, with the statutory authorities. As per available, the company possesses a modest networth base along with high total outside liabilities to tangible networth ratio during FY 13. However, trade relations seem to be fair. Business is active. Payment terms are reported as unknown. In view of lack of financial statements, the company can be considered for business dealings with great 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 – 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

Rating Agency Name	CRISIL
Rating	Long term rating=B+
Rating Explanation	High risk of default regarding timely servicing of financial obligations.
Date	17.12.2014

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. Shivsagar
Designation :	Finance Manager
Contact No.:	91-9833188203
Date :	21.01.2015

LOCATIONS

Registered Office/ Factory :	6, Somaiya Chambers, 2^nd Floor, S. V. Road, Malad (West), Mumbai – 400064, Maharashtra, India
Tel. No.:	91-22-28886128
Mobile No.:	91-9833188203 (Mr. Shivsagar)
Fax No.:	91-22-28828000
E-Mail :	pufoam1997@gmial.com
Area :	1500 sq. ft.
Location :	Owned
Locality :	Commercial

DIRECTORS

AS ON 30.09.2013

Name :	Mr. Kalpesh Dhanesh Patel
Designation :	Director
Address :	B-30, Sheetal Nagar, Off. S.V. Road, Malad (West), Mumbai – 400064, Maharashtra, India
Date of Birth/Age :	05.12.1978
Date of Appointment :	28.04.2004
DIN No.:	01096988
Name :	Mr. Harshad Dhanesh Patel
Designation :	Director
Address :	B-30, Sheetal Nagar, Off. S.V. Road, Malad (West), Mumbai – 400064, Maharashtra, India
Date of Birth/Age :	05.03.1974
Date of Appointment :	16.09.2009
DIN No.:	02063814
Name :	Mr. Alpesh Patel
Designation :	Director
Address :	C/38, Anant Nagar, S.V. Road, Malad (West), Mumbai – 400064, Maharashtra, India
Date of Birth/Age :	21.07.1984
Date of Appointment :	28.04.2004
DIN No.:	02441469

KEY EXECUTIVES

Name :	Mr. Shivsagar
Designation :	Finance Manager

MAJOR SHAREHOLDERS

AS ON 30.09.2013

SHAREHOLDER DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2013

Category	Percentage
Bodies corporate	0.52
Directors or relatives of Directors	45.94
Other top fifty shareholders	53.54
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Exporter and Importers of Diamonds.
Products :	Diamonds
Brand Names :	Not Divulged
Agencies Held :	Not Divulged
Exports :
Products :	Diamonds
Countries :	Israel Belgium Singapore
Imports :
Products :	Rough Diamonds
Countries :	Hongkong Dubai Belgium Russia
Terms :
Selling :	Cash, Credit
Purchasing :	Cash, Credit

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Company Name :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark :	Not Divulged

Customers :

Company Name :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark :	Not Divulged

No. of Employees :

80 (Approximately)

Bankers :

Bank of Baroda, Shntinath Shopping Centre, 1^st Floor, S. V. Road, Malad (West), Mumbai – 400064, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Short Term Borrowings
Working capital loans from banks	107.295	52.805
Total	107.295	52.805

Banking Relations :	--
Auditors :
Name :	Hemanshu J. Kamdar and Associates Chartered Accountants
Address :	108, Bhawani Shopping Center, Anand Road, Opposite Railway Station, Malad (West), Mumbai – 400064, Maharashtra, India
Tel. No.:	91-22-28811087
Mobile No.:	91-9323793417
Email :	cahjkaa@yahoo.in hemanshujkamdar@mtnl.net.in
PAN No.:	AAEPK6333L
Membership :	--
Associates/Subsidiaries :	--

CAPITAL STRUCTURE

AS ON 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2398000	Equity Shares	Rs.10/- each	Rs.23.980 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	23.980	18.628
(b) Reserves & Surplus	21.270	13.215
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	10.160
Total Shareholders’ Funds (1) + (2)	45.250	42.003
(3) Non-Current Liabilities
(a) long-term borrowings	7.768	7.382
(b) Deferred tax liabilities (Net)	0.011	0.011
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	7.779	7.393
(4) Current Liabilities
(a) Short term borrowings	107.295	52.805
(b) Trade payables	96.095	39.855
(c) Other current liabilities	2.209	1.356
(d) Short-term provisions	0.000	0.000
Total Current Liabilities (4)	205.599	94.016
TOTAL	258.628	143.412
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1.549	0.652
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	2.093	1.900
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	1.207	0.047
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	4.849	2.599
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	60.570	40.872
(c) Trade receivables	173.602	83.407
(d) Cash and cash equivalents	10.802	13.447
(e) Short-term loans and advances	8.805	3.087
(f) Other current assets	0.000	0.000
Total Current Assets	253.779	140.813
TOTAL	258.628	143.412

SOURCES OF FUNDS		31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		25.742
2] Share Application Money		10.160
3] Reserves & Surplus		3.241
4] (Accumulated Losses)		0.000
NETWORTH		39.143
LOAN FUNDS
1] Secured Loans		23.131
2] Unsecured Loans		8.198
TOTAL BORROWING		31.329
DEFERRED TAX LIABILITIES		0.005
TOTAL		70.477
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.695
Capital work-in-progress		0.000
INVESTMENT		1.900
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	42.142
	Sundry Debtors	52.131
	Cash & Bank Balances	0.059
	Other Current Assets	5.521
	Loans & Advances	1.413
Total Current Assets		101.266
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000
	Other Current Liabilities	33.379
	Provisions	0.005
Total Current Liabilities		33.384
Net Current Assets		67.882
MISCELLANEOUS EXPENSES		0.000
TOTAL		70.477

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
SALES (APPROXIMATELY)	301.300	NA	NA
PROFIT/(LOSS) FOR THE YEAR	3.128	2.860	1.232

Particulars	31.03.2014
Sales Turnover (Approximately)	583.800

Expected Sales (2014-2015): Rs.900.000 Millions

The above information has been parted by Mr. Shivsagar (Finance Manager)

KEY RATIOS

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
Debt Equity Ratio (Total Debt /Networth)	2.54	1.43	0.80
Current Ratio (Current Asset/Current Liability)	1.23	1.50	3.03

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013
	Rs. In Millions	Rs. In Millions
Share Capital	18.628	23.980
Reserves & Surplus	13.215	21.270
Share Application money pending allotment	10.160	0.000
Net worth	42.003	45.250
long-term borrowings	7.382	7.768
Short term borrowings	52.805	107.295
Total borrowings	60.187	115.063
Debt/Equity ratio	1.433	2.543

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	Yes
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 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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	Yes
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	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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Loans and advances from related parties	7.768	7.382
Total	7.768	7.382

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10060265	24/02/2014 *	247,000,000.00	Bank of Baroda	Ibb Branch, Hem Niwas Building, S. V. Road, Kandivali (W), Mumbai, Maharashtra - 400067, India	C13869870

*Date of modification Charges

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.

FIXED ASSETS:

· Plant and Machinery

· Refrigerator

· Air Conditioner

· Mobile Sets

· Motor Car

· Computers

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 records 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.61.50
UK Pound	1	Rs.92.16
Euro	1	Rs.69.62

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	SUB
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		27

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.