MIRA INFORM REPORT

Report No. :	333688
Report Date :	29.07.2015

IDENTIFICATION DETAILS

Name :	NASENSE LABS PRIVATE LIMITED (w.e.f.26.06.2012)
Formerly Known As :	USP ORGANICS PRIVATE LIMITED
Registered Office :	Plot Nos.24 and 25, S.V. Co-Operative Indl Estate, Jeedimelta, Quthubullapur (M), Hyderabad – 500055, Telangana
Tel. No.:	91-40-64643573
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	24.03.1995
Com. Reg. No.:	36-019809
Capital Investment / Paid-up Capital :	Rs.189.848 Million
CIN No.: [Company Identification No.]	U24231TG1995PTC019809
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAACU6806D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers and dealers in Pharmaceuticals, Chemical preparations and Compounds, Intermediates, Bulk Drugs and Formulations.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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 :	Nasense Labs Private Limited incorporated on 24^th March, 1995. It is well established company having satisfactory track record. The rating reflects on company healthy financials risk profile marked by the growing scale of operations, improvement in profitability and capital structure and a comfortable debt protection metrics. The rating continues to drive strength on established track record of the company and experienced promoters and established marketing channels. Trade relations are reported as fair. Business is active. Payment are reported to usually correct. In view of decent operational and financial base, the company can be considered good for normal business dealings at usual trade terms and condition.

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 DECLINED BY

Name :	Mr. Verma
Designation :	Account Manager
Contact No.:	91-40-64643573
Date :	27.07.2015

LOCATIONS

Registered Office :	Plot Nos.24 and 25, S.V. Co-Operative Indl Estate, Jeedimelta, Quthubullapur (M), Hyderabad – 500055, Telangana, India
Tel. No.:	91-40-64643573
Fax No.:	91-40-23713572
E-Mail :	accounts@nasense.com
Website :	http://www.nasense.com
Head Office:	Plot No. D-70, Sri Sivalaxmi Nilayam, Behind Vellanki Foods, Madhuranagar, Hyderabad – 500038, Telangana, India

DIRECTORS

As on 07.08.2014

Name :

Mr. Goutam Gottumukkala

Designation :

Managing Director

Address :

D-68, Flat No.201, Madhura Nagar, Hyderabad – 500038, Telangana, India

Date of Birth/Age :

17.08.1985

Date of Appointment :

01.04.2011

PAN No.:

ARCPG3215A

DIN No.:

02610408

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	U24231TG1995PTC019809	NASENSE LABS PRIVATE LIMITED	Managing director	01/04/2011	02/04/2009	-	Active	NO

Name :

Ms. Uma Gottumukkala

Designation :

Whole Time Director

Address :

D-68, Flat No.201, Madhura Nagar, Hyderabad – 500038, Telangana, India

Date of Birth/Age :

05.06.1967

Date of Appointment :

01.04.2011

PAN No.:

AHNPG0154H

DIN No.:

02467569

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	U24231TG1995PTC019809	NASENSE LABS PRIVATE LIMITED	Whole-time director	01/04/2011	24/03/1995	-	Active	NO

Name :

Mr. Harish Chandra Bijlwan

Designation :

Director

Address :

16, Kanan Kunj, Sahasthdhara, Road, Dehradun – 248001, Uttaranchal, India

Date of Birth/Age :

18.06.1966

Date of Appointment :

31.01.2012

DIN No.:

03149388

Name :

Mr. Raghava Kuppanna Satya

Designation :

Director

Address :

30-642/5/F-206, Plaza Block Roack, View Apartments, Safilguda, Hyderabad – 500056, Telangana, India

Date of Birth/Age :

03.04.1960

Date of Appointment :

31.01.2012

DIN No.:

03149388

KEY EXECUTIVES

Name :	Mr. Verma
Designation :	Account Manager

MAJOR SHAREHOLDERS

As on 07.08.2014

Names of Shareholders	No. of Shares
G.R.K. Raju	6353728
G. Padmavathi	35010
G. Uma	5244025
G. Prasada Raju	1085510
G. Goutam	1270470
Sri G. Sudheer	5
G. Arjun	60000
Smt. G. Swarupa	5
Sri G. Vivek	5
Sri G. Vineet	5
Nagarjuna Agrichem Limited, India	4936052
Total	18984815

As on 07.08.2014

Category	Percentage
Bodies corporate	26.00
Directors or relatives of Directors	74.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturers and dealers in Pharmaceuticals, Chemical preparations and Compounds, Intermediates, Bulk Drugs and Formulations.
Products :	Pharmaceuticals Chemical preparations Compounds Intermediates Bulk Drugs Formulations
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 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 :

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:	Not Divulged

No. of Employees :

Information declined by the management

Bankers :

Bank Name	State Bank of India
Branch	Commercial Branch, Mid Corporate Group, Bank Street, Koti, Hyderabad – 500095, Telangana, 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

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Rupee term loan from banks	12.000	18.000
Other Loans and Advances	0.572	1.003
Short-term borrowings
Rupee term loan from banks	79.158	0.000
Working Capital loans from banks	0.000	37.155
Total	91.730	56.158

Auditors :
Name :	K.R. Bapuji and Company Chartered Accountants
Address :	Flat No.204,Vijayasree Apartments, Nagarjuna Nagar, Ameer Pet, Hyderabad-500073, Telangana, India
PAN N Income-tax PAN of auditor or auditor's firm :	AADFK3667N
Memberships :	Not Available
Collaborators :	Not Available
Associates:	Nagarjuna Agrichem Limited, India (L24219TG1986PLC016607) Padmasri Organics Private Limited, India (U24233tg2008ptc060961)

CAPITAL STRUCTURE

As on 07.08.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	Rs.10/- each	Rs.200.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
18984815	Equity Shares	Rs.10/- each	Rs.189.848 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	189.848	134.604	134.604
(b) Reserves & Surplus	33.516	6.201	(9.625)
(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)	223.364	140.805	124.979
(3) Non-Current Liabilities
(a) long-term borrowings	23.735	50.063	55.802
(b) Deferred tax liabilities (Net)	14.169	3.556	0.000
(c) Other long term liabilities	84.708	75.925	55.396
(d) long-term provisions	0.408	0.296	0.092
Total Non-current Liabilities (3)	123.020	129.840	111.290
(4) Current Liabilities
(a) Short term borrowings	79.158	37.155	30.479
(b) Trade payables	95.311	74.418	42.193
(c) Other current liabilities	90.721	96.209	70.365
(d) Short-term provisions	7.634	4.375	1.538
Total Current Liabilities (4)	272.824	212.157	144.575
TOTAL	619.208	482.802	380.844
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	275.426	279.266	241.632
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	28.439
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.600	0.600	1.100
(c) Deferred tax assets (net)	0.000	0.000	2.286
(d) Long-term Loan and Advances	1.440	1.440	0.992
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	277.466	281.306	274.449
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	205.913	114.197	41.420
(c) Trade receivables	105.683	58.541	44.697
(d) Cash and cash equivalents	10.679	10.200	8.726
(e) Short-term loans and advances	19.467	18.558	11.552
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	341.742	201.496	106.395
TOTAL	619.208	482.802	380.844

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	TOTAL INCOME	464.406	307.053	162.800
Less	EXPENSES	384.349	247.770	159.504 (Including financial, depreciation and expenses)
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	80.057	59.283
Less	FINANCIAL EXPENSES	29.943	26.506
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	50.114	32.777
Less	DEPRECIATION/ AMORTISATION	12.186	11.109
	PROFIT/ (LOSS) BEFORE TAX	37.928	21.668	3.296
Less	TAX	10.613	5.742	(0.312)
	PROFIT/ (LOSS) AFTER TAX	27.315	15.926	3.608
	EARNINGS IN FOREIGN CURRENCY
	Foreign Exchange Earning	3.748	NA	NA
	TOTAL EARNINGS	3.748	NA	NA
	Earnings / (Loss) Per Share (Rs.)	1.44	0.84	0.19

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	(8.391)	42.103	31.242

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	5.88	5.19	2.22
Operating Profit Margin (PBIDT/Sales)	(%)	17.24	19.31	NA
Return on Total Assets (PBT/Total Assets}	(%)	6.13	4.49	0.94
Return on Investment (ROI) (PBT/Networth)		0.17	0.15	0.03
Debt Equity Ratio (Total Debt /Networth)		0.46	0.62	0.69
Current Ratio (Current Asset/Current Liability)		1.25	0.95	0.74

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	134.604	134.604	189.848
Reserves & Surplus	(9.625)	6.201	33.516
Net worth	124.979	140.805	223.364
long-term borrowings	55.802	50.063	23.735
Short term borrowings	30.479	37.155	79.158
Total borrowings	86.281	87.218	102.893
Debt/Equity ratio	0.690	0.619	0.461

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)
Total Income	162.800	307.053	464.406
		88.607	51.246

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	162.800	307.053	464.406
Profit	3.608	15.926	27.315
	2.22%	5.19%	5.88%

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	Yes
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	No
17	Details of sister concerns	Yes
18	Major suppliers	No
19	Major customers	No
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	No
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	No
35	Negative Reporting by Auditors in the Annual Report	No

NOTE: Registered office of the company has been shifted from 404, Project “A” Apartments, Moti Nagar, Erragadda, Hyderabad – 500018, Telangana, India to the present address w.e.f.01.10.2008

OPERATIONS OF THE COMPANY:

During the year, the Company achieved Sales of Rs.464.400 Million as compared to Rs.307.000 Million during the previous year, and Profit before Tax Rs.37.928 Million (Previous year profit of Rs.21.668 Million). The Directors are confident to improve the profitability in the coming years.

A Comprehensive evaluation of debottlenecking areas in the plant was carried out during the year and it is expected to result in enhanced productivity in operations and place the company in a stronger position to exploit the opportunities presented by the market in the coming years.

The Directors are happy to report that two new products developed by the company namely 4-Dimethyl Amino Pyridine, 3-Acetyl Pyridine, 2-Amino Pyridine and Sodium Tert Butoxide and the production is planned to be launched in the month of July, 2014.

The growth of domestic sales by the company was in line with the overall increase in the Indian market during the year. The company has commenced firming up enhanced export volumes for a key molecule with its customers and also has initiated necessary steps to broaden its portfolio in work markets. Addition of new products range for the next year is in process. The outlook for the company in the export segment looks optimistic during 2014-15.

FUTURE:

The company can foresee a good momentum in sales in the current financial year as the arrangements with strategic manufacturers of new range of products is in advanced stage to increase the volume and profitability of the company. Apart from this our R and D has been fully strengthened to meet the future and current market trends and covert the opportunities into reality for higher scale of commercial production and profitability. Thus the company is exploring all the possibilities to acquire the knowhow from other strategic manufacturers to combine our best efforts for all round growth and create better wealth for the company.

UNSECURED LOAN

PARTICULARS	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Loans and Advances from related parties	11.163	31.060
Total	11.163	31.060

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10526356	26/09/2014	12,267,862.00	RELIANCE CAPITAL LTD	"H" BLOCK 1ST FLOOR, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai, Maharashtra - 400710, INDIA	C30013478
2	10060736	09/01/2015 *	249,100,000.00	State Bank of India	Commercial Branch, Mid Corporate Group, Bank Street, Koti, Hyderabad, Telangana - 500095, INDIA	C42474908

FIXED ASSETS

• Land
• Buildings
• Office building
• Plant and equipments
• Factory equipments
• Other plant and equipment
• Furniture and fixtures
• Vehicles
• Motor vehicles
• Office equipment
• Computer equipments
• Other 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.64.02
UK Pound	1	Rs.99.77
Euro	1	Rs.70.88

INFORMATION DETAILS

Information Gathered by :	DIP
Analysis Done by :	KSH
Report Prepared by :	SUD

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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		46

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.