MIRA INFORM REPORT

Report No. :	332153
Report Date :	13.07.2015

IDENTIFICATION DETAILS

Name :	MORTEX INDIA
Registered Office :	9, Jagmohan, Malick Lane, Kolkata - 700069, West Bengal
Tel No. :	91-33-22430764
Country :	India
Financials (as on) :	31.03.2015
Year of Establishment :	1977
Capital Investment :	Rs.433.795 Million
IEC No.:	Not Available
TIN No.:	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Trader and Exporter of Ferro Alloys.
No. of Employees :	40 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established partnership concern having satisfactory record. Mr. Indumanis (Account Head) has provided us with all information. Profitability of the concern seems to be low during 2014. However, general financial position of the concern seems to be decent. The rating also takes into consideration concerns experienced partners, long track record in the steel and ferro alloys trading business, established clientele, well-diversified products portfolio, low reserve concentration risk, low commodity price and forex fluctuation risk with back-to-back orders and satisfactory working capital management. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The concern 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 – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
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 = BBB-
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	10.02.2015

Rating Agency Name	CARE
Rating	Short Term Bank Facilities = A3
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	10.02.2015

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 31-03-2013.

INFORMATION PARTED BY

Name :	Mr. Indumanis
Designation :	Account Head
Contact No.:	91-33-22430764

LOCATIONS

Registered Office/ Factory :	9, Jagmohan, Malick Lane, Kolkata - 700 069, West Bengal, India
Tel. No.:	91-33-22430764
Mobile No. :	91-9831038364 (Mr. Mahesh Keyal)
Fax No.:	91-33-22486310
E-Mail :	sales@mortex.in director@mortex.in marketing@mortex.in
Website :	www.mortex.in
Area :	1000 sq. ft.
Location :	Owned
Corporate Office:	No.1A, East India House, 20, British India Street, Kolkata – 700 069, West Bengal, India
Warehouse :	149-6, J.N. Mukharjee Road, Bandhaghat, Near Maya Cinema, Howrah – 711106, West Bengal, India

PARTNERS

Name :	Mr. Mahesh Keyal
Designation :	Partner
Name :	Mrs. Rashmi Keyal
Designation :	Partner
Name :	Mrs. Sharda Devi Keyal
Designation :	Partner

KEY EXECUTIVES

Name :	Mr. Indumanis
Designation :	Accounts Head

BUSINESS DETAILS

Line of Business :	Trader and Exporter of Ferro Alloys.
Products :	· Ferro Products · Iron · Metal
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	Ferro Products Iron Metal
Countries :	Asian Counties African Countries European Countries Turkey Japan Pakistan Sri Lanka Bangladesh
Imports :	Not Divulged
Terms :
Selling :	Cash and Cheque
Purchasing :	Cash and Cheque

GENERAL INFORMATION

Suppliers :

Reference :	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 :	--

Customers :

Reference :	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 :	--

No. of Employees :

40 (Approximately)

Bankers :

· Standard Chartered Bank, 19, Netaji Subhash Road, Kolkata, West Bengal, India

· Ratnakar Bank Limited, Kolkata Main Branch, West Bengal, India

· HSBC Bank

· ICICI Bank Limited, R.M. Mukharjee Road, Kolkata, West Bengal, India

Facilities :

--

Banking Relations :	--
Auditors :
Name :	Zaver and Company Chartered Accountants
Memberships :	--
Collaborators :	--
Sister Concerns:	Not Available

CAPITAL STRUCTURE

As On 31.03.2014

Capital Investment :
Owned :	Rs.433.795 Million
Borrowed :	--
Total :	Rs.433.795 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2014	31.03.2013
SHAREHOLDERS FUNDS
1] Partners Capital		433.795	289.454
2] Share Application Money		0.000	0.000
3] Profit and Loss Account		0.000	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		433.795	289.454
LOAN FUNDS
1] Secured Loans		655.778	522.971
2] Unsecured Loans		168.009	176.137
TOTAL BORROWING		823.787	699.108
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		1257.582	988.562
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		3.096	1.803
Capital work-in-progress		0.000	0.000
INVESTMENT		83.296	9.796
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	97.191	33.814
	Sundry Debtors	644.570	679.926
	Cash & Bank Balances	99.319	19.162
	Other Current Assets	234.845	227.547
	Loans & Advances	381.594	291.311
Total Current Assets		1457.519	1251.760
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	260.600	293.583
	Other Current Liabilities	25.729	11.214
	Provisions	0.000	0.000
Total Current Liabilities		286.329	304.797
Net Current Assets		1171.190	946.963
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		1257.582	958.562

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013
	SALES
		Income	7453.881	5870.162
		Other Income	463.967	318.106
		TOTAL	7917.848	6188.268
Less	EXPENSES
		Cost of goods sold	7358.580	5788.984
		Advertisement	0.233	0.131
		Bank Charges	15.247	6.414
		Commission	4.522	2.443
		Conference Fees	0.190	0.161
		Consultancy charges	1.911	0.376
		Conveyance expenses	0.104	0.080
		Delivery expenses	0.569	0.977
		Computer software and website expenses	0.311	0.000
		Donation	5.910	3.735
		Export inspection charges	10.216	6.265
		Discounts and rebate	14.721	0.000
		Clearing and forwarding charges	285.505	229.423
		Insurance charges	2.952	1.720
		Interest on loan paid	10.838	18.001
		Interest to bank	29.095	22.568
		Salary and bonus	2.456	1.988
		Service tax and Cess	8.819	1.308
		Travelling expenses	5.738	3.548
		Interest on partners’ capital	36.262	27.302
		Other expenses	82.773	35.319
		TOTAL	7,876.952	6,150.743
	PROFIT/(LOSS) BEFORE DEPRECIATION		40.896	37.525
Less	DEPRECIATION/ AMORTISATION		0.674	3.102
	NET PROFIT/ (LOSS)		40.222	34.423

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013
Net Profit Margin (PAT/Sales)	(%)	0.54	0.59
Operating Profit Margin (PBITD/Sales)	(%)	0.55	0.64
Return on Total Assets (PBT/Total Assets}	(%)	2.75	2.75
Return on Investment (ROI) (PBT/Networth)		0.09	0.12
Debt Equity Ratio (Total Debt /Networth)		1.90	2.42
Current Ratio (Current Asset/Current Liability)		5.09	4.11

Particulars	31.03.2015
Sales Turnover (Approximately)	1000.000

The above information has been parted by Mr. Indumanis

Note: Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million
Partners’ Capital	289.454	433.795
Profit and Loss Account	0.000	0.000
Net worth	289.454	433.795
Secured Loans	522.971	655.778
Unsecured Loans	176.137	168.009
Total borrowings	699.108	823.787
Debt/Equity ratio	2.415	1.899

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million
Sales	5870.162	7453.881
		26.979

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million
Sales	5870.162	7453.881
Profit	34.423	40.222
	0.59%	0.54%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	No
3	Locality of the entity	Yes
4	Premises details	Yes
5	Buyer visit details	----------------
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	Yes
9	Promoter’s background	No
10	Date of Birth of Proprietor / Partners / Directors	No
11	Pan Card No. of Proprietor / Partners	No
12	Voter Id Card No. of Proprietor / Partners	No
13	Type of business	Yes
14	Line of Business	Yes
15	Export/import details (if applicable)	Yes
16	No. of employees	Yes
17	Details of sister concerns	No
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	No
22	Conduct of the banking account	No
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last three years	Yes
27	Reasons for variation <> 20%	-------------------
28	Estimation for coming financial year	No
29	Profitability for last two years	Yes
30	Major shareholders, if available	No
31	External Agency Rating, if available	Yes
32	Litigations that the firm/promoter involved in	No
33	Market information	No
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

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.63.38
UK Pound	1	Rs.97.65
Euro	1	Rs.70.43

INFORMATION DETAILS

Information Gathered by :	KAM
Analysis Done by :	RAS
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
-- PROFITABILITY	1~10	4
--LIQUIDITY	1~10	6
--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	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		49

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.