MIRA INFORM REPORT

Report No. :	332376
Report Date :	18.07.2015

IDENTIFICATION DETAILS

Name :	HAZIRA REFRACTORY WORKS PRIVATE LIMITED
Registered Office :	Village Mora, Hazira Road, Surat – 394 510, Gujarat
Tel. No.:	91-261-2914239
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	03.03.2003
Com. Reg. No.:	04-042086
Capital Investment / Paid-up Capital :	Rs.9.737 Million
CIN No.: [Company Identification No.]	U36999GJ2003PTC042086
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 of Refractories and Monolithic.
No. of Employees :	20 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

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 established company having moderate track record. For the financial year ended 2014, sales turnover of the company has declined which has resulted into dip in profit of the company during under a review. Rating further constrained on account of company’s moderate financial risk profile marked by low reserves and leverage balance sheet profile of the company. However, trade relations are reported as fair. Payments are reported to be slow but correct. In view of leverage balance sheet profile, the company can be considered for business dealing 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 – 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	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	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 31-03-2013.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Vipul patel
Designation :	Manager
Contact No.:	91-261-2914239
Date :	17.07.2015

LOCATIONS

Registered Office :	Village Mora, Hazira Road, Surat – 394 510, Gujarat, India
Tel. No.:	91-261-2914239
Mobile No.:	91-9574007262 (Mr. Vipul)
Fax No.:	91-261-2840239
E-Mail :	adil@hazirarefractoryworks.com adil1@hotmail.com
Website :	www.hazirarefractoryworks.com
Works :	47 to 50, GIDC Ichhapore at and Post: Bhalpore, Surat – 395 005, Gujarat, India

DIRECTORS

As on 30.09.2014

Name :	Mr. Adil Bhimhi Patel
Designation :	Director
Address :	Village Mora, Hazira Road, Surat – 394510, Gujarat, India.
Date of Birth/Age :	22.01.1964
Date of Appointment :	03.03.2003
DIN No.:	00079941
Name :	Mr. Rohit Thakorlal Marfatia
Designation :	Director
Address :	“Parijat” – Near state Bank Society, B / h, Adarsh society, Athwalines Surat, India.
Date of Birth/Age :	24.09.1941
Date of Appointment :	15.10.2010
DIN No.:	03291872

KEY EXECUTIVES

Name :	Mr. Vipul patel
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares
Shri Adil Patel	266300
Shri Adil Patel Smt. Firozi A. Patel	69410
Amt Firozi A. Patel Shri Adil Patel	70000
Shri Adil Patel Minor Anozh A. Patel	90300
Shri Adil Patel Minor Yohan A. Patel	83600
Shri Adil Patel Minor Arzan A. Patel	53700
Smt. Firozi A. Patel Minor Arzan A. Patel	50000
Smt. Firozi A. Patel Minor Yohan A. Patel	63500
Smt. Firozi A. Patel Minor Anozh A. Patel	23000
Daryashbhai B. Patel Minor Azarmine D. Patel	15000
Adil B. Patel Jt. Smt. Firozi A. Patel Jt. Minor Yohan A. Patel	30000
Adil B. Patel Jt. Smt. Firozi A. Patel Jt. Minor Anosh Patel	30000
Adil B. Patel Jt. Smt. Firozi A. Patel Jt. Minor Arzan A. Patel	30000
Hemanh A. Parekh	100
Umesh A. Parekh	100
Yohan A. Patel	98500
ASP Gustadji Bavaadam	100
Thrity ASPI Bavaadam	100
Total	973710

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2014

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Refractories and Monolithic.
Products :	Not Divulged
Brand Names :	Not Divulged
Agencies Held :	Not Divulged
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Cash, L/C and Credit
Purchasing :	Cash, L/C and Credit

PRODUCTION STATUS NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

• Elkem South Asia Private Limited
• Essar Steel Limited
• Gajanan Refractory Private Limited
• Mahavir Traders
• M.F Industries
• Oasis Indian Associates
• Radhe Corporation
• S P Refractory Private Limited
• Shree Narayan Enterprises
• PRC Logistics Private Limited
• Sant Carriers Private Limited

Customers :

Wholesalers and Retailers

• Essar project (India) Limited
• PSR Enterprises
• Reliance Industries limited
• Industrial Boilers Limited
• Compusion Services Private Limited
• Sujtex Engineering Limited

No. of Employees :

20 (Approximately)

Bankers :

Bank Name	Bank of Baroda
Branch	Mora Branch, Kanbhiwad, Surat – 395 510, Gujarat, India
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged
Bank Name	State Bank of India
Branch	Hazira, Surat, Gujarat, India

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Short-term borrowings
Term Loan from Bank
Bank of Baroda (Cash Credit)	8.424	7.209
Total	8.424	7.209

Auditors :
Name :	Y. B. Desai Chartered Accountants
Address :	1/573, Gajanan Chembers, Por Street, Near Anand Hospital, Nanpura, Surat – 395 001, Gujarat, India
Tel No.:	91-261-2474242 / 2465851 / 2465852
Fax No.:	91-261-2464054
PAN N Income-tax PAN of auditor or auditor's firm :	ABFPD1635G
Memberships :	--
Collaborators :	--
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs.10.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
973710	Equity Shares	Rs.10/- each	Rs.9.737 Million

FINANCIAL DATA

[all figures are in Rupees Million]

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	9.737	9.737	9.737
(b) Reserves & Surplus	3.262	0.746	(3.027)
(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)	12.999	10.483	6.710
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.264	0.297	0.335
(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)	0.264	0.297	0.335
(4) Current Liabilities
(a) Short term borrowings	23.675	21.864	20.219
(b) Trade payables	9.185	7.012	3.937
(c) Other current liabilities	2.033	0.487	1.885
(d) Short-term provisions	2.876	2.400	1.998
Total Current Liabilities (4)	37.769	31.763	28.039
TOTAL	51.032	42.543	35.084
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	13.784	14.701	16.046
(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)	0.000	0.000	0.000
(d) Long-term Loan and Advances	1.547	0.778	0.674
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	15.331	15.479	16.720
(2) Current assets
(a) Current investments	2.020	1.257	0.000
(b) Inventories	3.320	6.694	5.470
(c) Trade receivables	26.538	14.719	11.014
(d) Cash and cash equivalents	1.890	1.991	0.728
(e) Short-term loans and advances	1.645	1.277	0.943
(f) Other current assets	0.288	1.126	0.209
Total Current Assets	35.701	27.064	18.364
TOTAL	51.032	42.543	35.084

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Revenue from Operations	65.239	69.308	49.272
	Other Income	0.689	0.143	0.072
	TOTAL (A)	65.928	69.451	49.344
Less	EXPENSES
	Cost of Materials Consumed		40.879	28.831
	Extra Ordinary Items		0.000	0.026
	Change in inventories of Finished Goods Work in Progress and Stock in Trade	(Including Financial and Deprecation)	0.188	0.039
	Employees benefits expense		5.038	4.318
	Other expenses		14.398	8.837
	TOTAL (B)	60.871	60.503	42.051
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	NA	8.948	7.293
Less	FINANCIAL EXPENSES (D)	NA	2.802	2.309
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	5.057	6.146	4.984
Less/ Add	DEPRECIATION/ AMORTISATION (F)	1.376	1.519	1.555
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	3.681	4.627	3.429
Less	TAX (H)	1.138	0.862	0.635
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	2.543	3.765	2.794
	Earnings / (Loss) Per Share (Rs.)	2.61	2.88	2.87

Particulars	31.03.2015
Sales Turnover	85.000

Expected Sales (2015-2016) : Rs.100.000 Million

The above information has been parted by Mr. Vipul Patel (Manager)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	NA	NA	NA
Cash generated from operations	NA	NA	NA
Net cash flow from operating activity	NA	NA	NA

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	3.90	5.43	5.67
Operating Profit Margin (PBIDT/Sales)	(%)	NA	12.91	14.80
Return on Total Assets (PBT/Total Assets}	(%)	7.21	10.88	9.77
Return on Investment (ROI) (PBT/Networth)		0.28	0.44	0.51
Debt Equity Ratio (Total Debt /Networth)		1.82	2.09	3.01
Current Ratio (Current Asset/Current Liability)		0.95	0.85	0.65

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	9.737	9.737	9.737
Reserves & Surplus	(3.027)	0.746	3.262
Net worth	6.710	10.483	12.999
long-term borrowings	0.000	0.000	0.000
Short term borrowings	20.219	21.864	23.675
Total borrowings	20.219	21.864	23.675
Debt/Equity ratio	3.013	2.086	1.821

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	49.272	69.308	65.239
		40.664	(5.871)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	49.272	69.308	65.239
Profit	2.794	3.765	2.543
	5.67%	5.43%	3.90%

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	Yes
3	Locality of the entity	Yes
4	Premises details	No
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	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
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)	No
16	No. of employees	Yes
17	Details of sister concerns	No
18	Major suppliers	Yes
19	Major customers	Yes
20	Banking Details	Yes
21	Banking facility details	Yes
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	Yes
26	Turnover of firm for last three years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	Yes
29	Profitability for last three years	Yes
30	Major shareholders, if available	Yes
31	External Agency Rating, if available	No
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

RESULTS OF OPERATIONS

During the year, the sales of the company Decrease to Rs. 65.200 Million from Rs. 77.200 Million. Likewise, the cost of material consumed and expenditures (excluding depreciation) also gone down from Rs. 40.900 Million to Rs. 34.900 Million. The company has earned profit before tax of Rs. 3.681 Million during the year. The Director expected better performance and results in current financial years.

UNSECURED LOAN

Unsecured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Short-term borrowings
Loans and Advances from related parties
Loans from Directors:
Adil B. Patel	8.276	8.275
Firrozi A Patel	4.520	4.020
Loan from Shareholders :
Darius B. Patel	0.100	0.100
M.B. Patel	0.000	0.000
Hemant Amrutlal Parekh	0.125	0.125
Umeshkumar Amrutlal Parekh	0.125	0.125
Yohan Patel	1.905	1.905
Thrity A. Bavadaam	0.050	0.000
Loan from relatives :
Aspi Gustadji Bhavadaam	0.150	0.105
Total	15.251	14.655

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90105273	29/10/2012 *	7,000,000.00	BANK OF BARODA	MORA BRANCH, KANBHIWAD,, SURAT, Gujarat - 394510, INDIA	B61453700

FIXED ASSETS

• Land
• Building
• Factory Building
• Plant and Equipment
• Plant and machinery
• Electric Fitting
• Office Equipment
• Weighing Scale
• Furniture and Fixture
• Office Furniture
• Vehicles
• Computer and Printer

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.63.49
UK Pound	1	Rs.99.42
Euro	1	Rs.69.14

INFORMATION DETAILS

Information Gathered by :	DIP
Analysis Done by :	KAR
Report Prepared by :	SUJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--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	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		30

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.