MIRA INFORM REPORT

Report No. :	325735
Report Date :	05.06.2015

IDENTIFICATION DETAILS

Name :	EMMBI INDUSTRIES LIMITED
Formerly Known As :	EMMBI POLYARNS LIMITED
Registered Office :	99/2/1, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, U.T. of D. and N.H., Silvassa, Dadar Nagar Haveli – 396230 (U.T.)
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	29.11.1994
Com. Reg. No.:	000387
Capital Investment / Paid-up Capital :	Rs.176.902 Million
CIN No.: [Company Identification No.]	L17120DN1994PLC000387
IEC No.:	0303054930
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAACE3423G
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturing and Trading of HDPE and PP - Woven Polymer Based Products.
No. of Employees :	20 (Approximately)

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

Maximum Credit Limit :	USD 1600000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Subject was incorporated incorporated in 1994. It is engaged in the manufacturing and sales of flexible intermediate bulk containers FIBC (Jumbo Bags) and Woven sacks and various woven polymer based products like Container Liners, Protective irrigation system, Canal Liners, Flexi Tanks, Car covers etc. Overall financial position of the company is sound and healthy. Rating also takes into consideration experience of promoters in polymer based packaging products and increased presence of company in export market. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct. The company can be considered for business dealing 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 Rating = BBB
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	22.04.2015

Rating Agency Name	CARE
Rating	Short Term Rating = A3
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	22.04.2014

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 31-03-2013.

INFORMATION PARTED BY(GENERAL INFORMATION)

Name :	Mr. Nitin
Designation :	Assistant and Finance Manager
Contact No.:	91-22-67845555
Date :	02.06.2015

LOCATIONS

Registered Office :

99/2/1, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, U.T. of D. and N.H., Silvassa, Dadar Nagar Haveli – 396230 (U.T.), India

Tel. No.:

91-22-67845555

Fax No.:

Not Available

E-Mail :

info@emmbi.com

makrand.appalwar@emmbi.com

rinku.appalwar@emmbi.com

rajiv.gadekar@emmbi.com

Website :

www.fibcindia.com

Corporate Office :

Valecha Chambers,  3^rd Floor, Opposite Infiniti Mall,  New Link Road, Andheri (West), Mumbai - 400053, Maharashtra, India

Tel. No.:

91-022-67845555

Fax No.:

91-022-67845506

Unit 1 :

191/2/4, Masat Village, Meghwad Road, U.T. of Dadra and Nagar Haveli, Silvassa – 396230, Gujarat, India

Unit 2 :

99/2/1, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, U.T. of Dadra and Nagar Haveli, Silvassa – 396230, Gujarat, India

Unit 3 :

99/2/9, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, U.T. of Dadra and Nagar Haveli, Silvassa – 396230, Gujarat, India

DIRECTORS

As on 31.03.2014

Name :	Makrand M. Appalwar
Designation :	Chairman and Managing Director
DIN No.:	00171950
Name :	Mrs. Rinku M. Appalwar
Designation :	Executive Director & Chief Financial Officer
DIN No.:	00171976
Name :	Dr. Mitravinda M. Appalwar
Designation :	Non-Executive Directors
DIN No.:	02716731
Name :	Sanjay R. Rathi
Designation :	Non-Executive Directors
DIN No.:	00022432
Name :	Mr. Prashant K. Lohiya
Designation :	Non-Executive Directors
DIN No.:	02990858
Name :	Dr. Venkatesh G. Joshi
Designation :	Non-Executive Directors
DIN No.:	01234871

KEY EXECUTIVES

Name :	Mr. Kaushal R. Patvi
Designation :	Company Secretary and Compliance Officer
Name :	Mr. Nitin
Designation :	Assistant Manager in Finance
BOARD COMMITTEES
Audit Committee :	Mr. Sanjay R. Rathi (Chairman) Mr.Prashant K. Lohiya Dr. Venkatesh G. Joshi Mrs.Rinku M. Appalwar
Nomination & Remuneration Committee :	Mr. Sanjay R. Rathi (Chairman) Mr. Prashant K. Lohiya Dr. Venkatesh G. Joshi
Committee of Directors Committee :	Mr. Makrand M. Appalwar (Chairman) Mr. Sanjay R. Rathi Mrs. Rinku M. Appalwar

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.03.2015

Category of Shareholder	Total No. of Shares	% of Total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	6589800	37.25
Bodies Corporate	2675000	15.12
Any Others (Specify)	630600	3.56
Any Other	630600	3.56
Sub Total	9895400	55.94
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	9895400	55.94
(B) Public Shareholding
(1) Institutions
(2) Non-Institutions
Bodies Corporate	830484	4.69
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	3544923	20.04
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	3256105	18.41
Any Others (Specify)	163338	0.92
Non Resident Indians	163338	0.92
Sub Total	7794850	44.06
Total Public shareholding (B)	7794850	44.06
Total (A)+(B)	17690250	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	17690250	100.00

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

Name of the Shareholder	Details of Shares held
	No. of Shares held	% of grand total
Makarand Moreshwar Appalwar	34,34,200	19.41
Emmbi Laboratories Pvt Ltd	16,25,000	9.19
Rinku Makrand Appalwar	11,36,750	6.43
Maithili Agrotech Pvt Ltd	10,50,000	5.94
Rinku Makrand Appalwar	8,00,000	4.52
Makrad Moreshwar Appalwar	8,00,000	4.52
Mitravinda Moreshwar Appalwar	1,94,000	1.10
Moreshwar Balwant Appalwar	1,18,725	0.67
Maithili Makrand Appalwar	61,750	0.35
Avinash R Laddha	48,000	0.27
Prashant Kailashchandra Lohiya	6,250	0.04
Kailashchandra Balchand Lohia	4,550	0.03
Sarla Kailashchandra Lohia	3,000	0.02
Sanjay R Rathi	2,100	0.01
Sangeeta R Rathi	1,050	0.01
Sushiladevi R Rathi	750	0.00
M B Appalwar	25	0.00
Total	92,86,150	52.49

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

Name of the Shareholder	No. of Shares held	% of Total No. of Shares
Sanjay Gulabchand Bafna	742713	4.20
Adarsh Zacharias Augustine	185638	1.05
Total	928351	5.25

Details of Locked-in Shares

Name of the Shareholder	No. of Shares	Locked-in Shares as % of Total No. of Shares
Makarand Moreshwar Appalwar	2,40,000	1.36
Total	2,40,000	1.36

BUSINESS DETAILS

Line of Business :	Manufacturing and Trading of HDPE and PP - Woven Polymer Based Products.
Products :	HDPE PP - Woven Polymer Based
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	HDPE PP - Woven Polymer Based
Countries :	USA Australia Netherland UK
Imports :
Products :	Raw Material
Countries :	Germany Dubai Israel
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

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 :

Wholesalers, Retailer

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 :

20 (Approximately)

Bankers :

• Punjab National Bank, Goregaon (East ),Mumbai Maharashtra, India
• Export Import Bank of India, Cap Rest
• Axis Bank, Narimanpoint, Mumbai Maharashtra, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Term Loans
From Banks	56.880	79.190
Other loans and advances	0.000	1.800
SHORT TERM BORROWINGS
Working Capital Loans from Banks	591.180	474.170
Total	648.060	555.160

NOTES:

LONG TERM BORROWINGS

1. Term Loans are secured by way of deposit of the title deed in respect of immovable properties of the Company including Land and Building situated at Plot no. 191/2/4, Massat Village, Meghwad Road, UT of Dadra and Nagar Haveli, Silvassa - 396230 and at Plot no. 99/2/1 and 9, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, UT of Dadra and Nagar Haveli, Silvassa - 396230 and by hypothecation of Plant and Machinery and Furniture and Fixtures The term loan are secured by way of first charge.

2. Other Loans and Advances are secured by way of hypothecation of Cars and Transport Vehicles purchased under Hire Purchase Scheme.

3. There is no default in repayment of principal loan or interest thereon.

4. REPAYMENT SCHEDULE

Years	Term Loans	Unsecured Loan
For 2014-15	30.000	11.000
For 2015-16	29.590	3.980
For 2016-17	16.640	0.600
For 2017-18	10.000	--
For 2018-19	0.650	--

SHORT TERM BORROWINGS

Working Capital Loans :

1. Cash Credit and Packing Credit loans from Punjab National Bank are secured by first pari passu charge on hypothecation of entire current assets, both present and future, of the Company including stocks and book debts, stock in transits and stock for job work. Second pari passu charge on immovable properties of the Company including Land and Building situated at Plot no. 191/2/4, Massat Village, Meghwad Road, UT of Dadra and Nagar Haveli, Silvassa - 396230 and at Plot no. 99/2/1 and 9, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, UT of Dadra & Nagar Haveli, Silvassa 396230.

2. Working Capital and Pre-Cum-Post Shipment Loan from Exim Bank is secured by first Pari-Passu charge on entire current assets both present and future; Second Pari-Passu charge on the entire movable fixed assets both present and future; second Pari-Pasu charge on the entire Land and other Immovable properties both present and future.

3. Working Capital and Pre-Cum-Post Shipment Loan from Axis Bank is secured by first Pari-Passu charge on entire current assets both present and future; Second Pari-Passu charge on the entire movable fixed assets both present and future; second Pari-Pasu charge on the entire Land and other Immovable properties both present and future.

Auditors :

Name :

K. J. Shah and Associates

Chartered Accountants

Address :

Shop No. D-11, Sai Darshan - B, Ram Baug Lane, Opposite Mulji Nagar, Borivali (West), Mumbai – 400092, Maharashtra, India

Memberships :

Not Available

Collaborators :

Not Available

Associates / Subsidiaries :

Not Available

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
18000000	Equity Shares	Rs.10/- each	Rs.180.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
17690250	Equity Shares	Rs.10/- each	Rs.176.902 Million

4699530 Equity Shares out of Shares Issued, Subscribed and Paid up were allotted as Bonus Shares in the last five years (Dt: 20.08.2009) by way of capitalisation of free reserves of the company

8657700 Equity Shares out of Shares Issued, Subscribed and Paid up were issued during the year ended 31 March, 2010 for cash as initial public offer in February,2010

1200000 Equity Shares out of Shares Issued, Subscribed and paid up were alloted during the year ended 31 March, 2013 on conversion of share warrant monies.

The Details of Shareholders Holding more than 5% Shares:

	31.03.2014
Name of Shareholder	Number of Shares (In Millions)	% holding
Makrand Moreshwar Appalwar	4.220	23.87
Rinku Makrand Appalwar	1.930	10.89
Emmbi Laboratories Private Limited	1.630	9.19
Maithili Agrotech Private Limited	1.050	5.94

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	176.902	176.900	164.900
(b) Reserves & Surplus	405.020	366.850	331.270
(c) Money received against share warrants	0.000	0.000	8.100
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	581.922	543.750	504.270
(3) Non-Current Liabilities
(a) long-term borrowings	61.450	84.450	46.020
(b) Deferred tax liabilities (Net)	43.090	37.050	30.900
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	43.050	35.780	19.110
Total Non-current Liabilities (3)	147.590	157.280	96.030
(4) Current Liabilities
(a) Short term borrowings	591.180	474.170	381.810
(b) Trade payables	14.690	30.480	11.120
(c) Other current liabilities	68.470	62.180	52.380
(d) Short-term provisions	6.320	4.300	16.070
Total Current Liabilities (4)	680.660	571.130	461.380
TOTAL	1410.172	1272.160	1061.680
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	514.490	474.880	394.870
(ii) Intangible Assets	5.260	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	36.120
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	2.990	2.990	2.990
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	37.820	33.290	91.940
(e) Other Non-current assets	0.120	0.180	0.230
Total Non-Current Assets	560.680	511.340	526.150
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	486.311	405.540	293.700
(c) Trade receivables	311.500	255.540	204.300
(d) Cash and cash equivalents	1.511	3.680	7.620
(e) Short-term loans and advances	50.170	96.060	29.910
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	849.492	760.820	535.530
TOTAL	1410.172	1272.160	1061.680

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	1590.500	1401.910	1022.570
		Other Income	0.590	0.320	0.960
		TOTAL	1591.090	1402.230	1023.530
Less	EXPENSES
		Cost of Materials Consumed	1060.580	906.780	483.050
		Purchases of Stock-in-Trade	122.630	192.070	259.190
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(76.760)	(97.490)	(36.400)
		Employees benefits expense	55.010	60.970	59.470
		Other expenses	275.460	213.800	158.740
		TOTAL	1436.920	1276.130	924.050
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		154.170	126.100	99.480
Less	FINANCIAL EXPENSES		63.110	52.990	32.370
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		91.060	73.110	67.110
Less/ Add	DEPRECIATION/ AMORTISATION		28.900	24.880	16.910
	PROFIT/ (LOSS) BEFORE TAX		62.160	48.230	50.200
Less	TAX		18.820	15.810	17.110
	PROFIT/ (LOSS) AFTER TAX		43.340	32.420	33.090
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		94.210	67.020	39.670
Add	EXCESS PROVISION OF TAX ON PROPOSED DIVIDEND		0.000	0.000	0.010
Add	EXCESS PROVISION OF TAXES OF EARLIER YEARS		0.000	0.190	0.000
Less	MAT CREDIT UTILISED IN EARLIER YEARS		0.000	1.310	0.000
Less	APPROPRIATIONS
		Proposed Dividend	4.420	3.540	4.950
		Dividend Distribution Tax	0.750	0.570	0.800
	BALANCE CARRIED TO THE B/S		132.380	94.210	67.020
	EARNINGS IN FOREIGN CURRENCY		811.320	584.990	489.130
	IMPORTS
		Raw Materials	15.490	38.640	47.320
		Capital Goods	0.000	0.540	0.000
	TOTAL IMPORTS		15.490	39.180	477.320
	Earnings / (Loss) Per Share (Rs.)		2.45	1.91	2.01

CURRENT MATURITIES OF LONG TERM DEBTS

Particulars	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
Current Maturities of Long Term Debts	41.000	35.290	31.630
Total	41.000	35.290	31.630

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	2.72	2.31	3.24
Operating Profit Margin (PBDIT/ Sales)	(%)	9.69	8.99	9.73
Return on Total Assets (PBT/Total Assets}	(%)	4.42	3.80	4.91
Return on Investment (ROI) (PBT/Networth)		0.11	0.09	0.10
Debt Equity Ratio (Total Debt/Networth)		1.12	1.03	0.85
Current Ratio (Current Asset/Current Liability)		1.25	1.33	1.16

STOCK PRICES

Face Value	Rs.10.00
Market Value	Rs.20.00

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	164.900	176.900	176.900
Reserves & Surplus	331.270	366.850	405.020
Net worth	496.170	543.750	581.920
long-term borrowings	46.020	84.450	61.450
Short term borrowings	381.810	474.170	591.180
Total borrowings	427.830	558.620	652.630
Debt/Equity ratio	0.862	1.027	1.122

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Revenue from operations	1022.570	1401.910	1590.500
		37.097	13.452

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Revenue from operations	1022.570	1401.910	1590.500
Profit	33.090	32.420	43.340
	3.24%	2.31%	2.72%

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	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	No
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last two years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	Nol
29	Profitability for last two years	No
30	Major shareholders, if available	No
31	External Agency Rating, if available	Yes
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

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Term Loans
From Corporates	4.570	3.460
Total	4.570	3.460

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10470373	09/08/2014 *	55,000,000.00	PUNJAB NATIONAL BANK	Goregaon (East) Branch, 8, Cama Industrial Estate, Wal Bhat Road, Goregaon (East), Mumbai, Maharashtra - 400063, INDIA	C23403843
2	10407002	14/02/2013	50,000,000.00	PUNJAB NATIONAL BANK	Goregaon (East) Branch, 8, Cama Industrial Estate, Goregaon (East), Mumbai, Maharashtra - 400063,  INDIA	B69169209
3	10407001	12/02/2013	10,000,000.00	PUNJAB NATIONAL BANK	Goregaon (East) Branch, 8, Cama Industrial Estate, Goregaon (East), Mumbai, Maharashtra - 400063,  INDIA	B69168524
4	10403195	24/12/2013 *	665,000,000.00	Punjab National bank	Goregaon (East) Branch, 8, Cama Industrial Estate, Goregaon (East), Mumbai, Maharashtra - 400063,  INDIA	B93595676
5	10373999	20/12/2012 *	90,000,000.00	Axis Bank Limited	Ground Floor, Axis House, C-2, Wadia Industrial Centre, P. B. Marg, Worli, Mumbai, Maharashtra - 400025, INDIA	B68059203
6	10259786	20/12/2012 *	65,000,000.00	PUNJAB NATIONAL BANK	Goregaon (East) Branch, 8, Cama Industrial Estate, Goregaon (East), Mumbai, Maharashtra - 400063,  INDIA	B68184373
7	10250929	07/01/2013 *	250,000,000.00	Export - Import Bank of India	Centre One Building, Floor 21, World Trade Centre, Cuffe Parade, Mumbai, Maharashtra - 400005, INDIA	B66695305
8	10041394	09/08/2014 *	310,000,000.00	PUNJAB NATIONAL BANK	Goregaon (East) Branch, 8, Cama Industrial Estate, Goregaon (East), Mumbai, Maharashtra - 400063,  INDIA	C23384746

* Date of charge modification

GENERAL INFORMATION

Subject (Formerly known as Emmbi Polyarns Limited) ('the Company') is a public limited company and is listed on Bombay Stock Exchange Limited (BSE) and National Stock Exchange (India) Limited (NSE). The Company is engaged in the business of manufacturing and trading of HDPE and PP - Woven Polymer Based Products.

OPERATIONS

During the year, the Company has achieved Revenue from Operations and other Income aggregating to Rs. 1591.090 million as against Rs. 1402.230 million during the previous year, registering an increase of about 13% over the previous year. Profit after providing for taxes is Rs. 43.340 million as against Rs. 32.420 million.

EXPORTS

F.O.B Value of Exports during the year were Rs. 811.320 million as against Rs. 584.990 million that is a net year on Year Growth of around 38.69%. Exports in the current financial year contributed to 54.54% in the net sales. Company has expanded its presence in 45 countries from 38 Countries in the previous year which has resulted healthy growth in the territory of operation.

MANAGEMENT DISCUSSION AND ANALYSIS

FORWARD-LOOKING STATEMENTS

The report contains forward-looking statements, identified by words like 'plans', 'expects', 'will', 'anticipates', 'believes', intends', 'projects', 'estimates' and so on. All statements that address expectations or projections about the future, but not limited to the Company's strategy for growth, product development, market position, expenditures and financial results, are forward-looking statements. Since these are based on certain assumptions and expectations of future events, the Company cannot guarantee that these are accurate or will be realised. The Company's actual results, performance or achievements could thus differ from those projected in any forward looking statements. The Company assumes no responsibility to publicly amend, modify or revise any such statements on the basis of subsequent developments, information or events.

INDUSTRY OVERVIEW

The year 2013-14 quite interesting as the world was optimizing its supply chains and reducing the inventory levels. As a result many companies which are buying the packaging material through distributors are looking for the direct manufacturing companies as vendors to them. The Company is one of the front runners in this process and has created a Special task force to cater to this newly developed opportunity.

Indian companies in the international market are typically helped by the cost advantage they are offering over the western manufacturing companies. It is expected that Indian Raffia industry will grow @ 15 to 18% for the specialty segment for next five to seven years. The company is very well positioned to en-cash this Boom and they expect the constant growth of around 20 % to 25 % annually for next 5 to 7 years.

DOMESTIC BUSINESS OUTLOOK

The steps which were initiated last year are showing their definite fruits this financial year. There was also a steep growth of products in the Domestic market that was achieved by newly launched products such as “Aqua Save” which encompasses the Range of Water Storage Tanks from 250 Liters to 2000 Liters, Canal Liners and Pond Liners and various other proper ty packaging products. The management is also in the process of creating a network of retail distributors for their new product range.

The Company is involved in producing various types of Specialty Bulk Packaging material for the Indian Market. In Domestic market, the Company remains one of the most active players for the packaging needs of the E Commerce Companies, FMCG Products such as Detergent Powder, Branded Salt and Branded Wheat flour etc.

INTERNATIONAL BUISNESS OUTLOOK

Company has improved its share in the international market for various packaging needs for products like Construction Aggregates, Chemicals, Seeds, Fertilizers, and Cement and Food Grains etc. Some of the high value added products, the Company makes for the international market are Car/Automobile Covers, Container Liners, Anti Corrosive Packaging, Electrically conductive polymer based packaging etc.

As per the new policy of export promotion one of the Flagship product of the company’s Export profile is declared under “Focus Product Scheme” and Few more customer countries are added to “Focus Market” of the Ministry of Commerce for the Financial Year 2013-14. This will yield a good boost to Indian Exports and in turn the companies Export performance.

In order to achieve the desired top line in the Export sector The Company has decided to expand its reach in more geographical areas. This will reduce Companies’ dependence on any single market.

CONTINGENT LIABILITIES AND COMMITMENTS

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
a) Contingent liabilities
Guarantees
- Guarantee by Banks to Electricity Department (Silvassa)	4.450	4.450
- Guarantee furnished to Banks in respect of Letter of Credit	--	--
b) Commitments
Estimated amount of contracts unexecuted on capital account	5.700	1.050
c) The Income tax demand for the A. Y. 2010-11 of Rs. 902.200 millions is disputed for which appeal has been made with CIT (Appeal).	--	--

FIXED ASSETS

• Freehold Land
• Building
• Compound Wall
• Plant and Machinery
• Electrical Installation
• Furniture and Fixtures
• Crates
• Office Equipment
• Other Equipment
• Vehicles

UNAUDITED RESULTS FOR THE QUARTER AND ENDED ON 31^st December, 2014

(Rs. In Million)

		Particulars	Quarter ended 31.12.2014	Quarter ended 30.09.2014	Quarter ended(Nine Month) 30.06.2014
1	Income from Operations
	a) Income from Operations		516.45	43.14	1335.01
	b) Other Operating Income		4.77	0.69	3.5609.01
	Total Income from Operations (Net)		521.22	436.83	1344.02
2	Expenses
	a)	Cost of Materials consumed	358.80	280.50	892.97
	b)	Purchase of stock in-trade	48.03	38.77	125.73
	c)	Changes in inventories of finished goods, work-in-progress and stock-in-trade	(29.23)	(0.96)	(42.87)
	d)	Employee benefit expenses	19.38	13.88	45.89
	e)	Depreciation and amortization expense	7.76	5.63	22.49
	f)	Other expenses	67.12	67.79	195.31
	Total Expenses		471.86	405.61	1239.52
3		Profit /(Loss) from operations before other income, finance costs and exceptional items (1-2)	49.36	31.21	104.50
4	Other Income		2.47	0.19	4.78
5		Profit /(Loss) from ordinary activities before finance costs and exceptional items (3+4)	51.83	31.40	109.28
6	Finance Costs		26.77	20.88	63.02
7		Profit /(Loss) from ordinary activities after finance costs but before exceptional items (5-6)	25.06	10.52	46.26
8	Profit /(Loss) from ordinary activities before tax		25.06	10.52	46.26
9	Tax Expense		8.75	3.11	15.43
10	Net Profit /(Loss) from ordinary activities after tax (9-10)		16.31	7.41	30.84
11	Paid up equity share capital (Eq. shares of Rs.10/- each)		176.90	176.90	176.90
12	Reserve excluding revaluation reserves
13		Earnings per share (before/after extraordinary items) of Rs.10/- each
		Basic	0.92	0.42	1.74
		Diluted	0.92	0.42	1.74
A		PARTICULARS OF SHAREHOLDING
1		Public Shareholding
		- No. of Shares	8,014,840	8,404,100	8,014,840
		- Percentage of Shareholding	45.31%	47.51%	45.31%
2		Promoters and promoter group shareholding
		a) Pledged/Encumbered
		- Number of shares	NIL	NIL	NIL
		- Percentage of shares ( as a % of the total shareholding of the promoter and promoter group)	NIL	NIL	NIL
		- Percentage of shares (as a % of the total share capital of the Company)	NIL	NIL	NIL
		b) Non- encumbered
		- Number of shares	9,675,400	9,286,150	9,675,400
		- Percentage of shares ( as a % of the total shareholding of the promoter and promoter group)	100.00%	100.00%	100.00%
		- Percentage of shares (as a % of the total share capital of the Company)	54.69%	52.49%	54.69%

	Particulars		Quarter ended 30.06.2014
B		Investor Complaints
		Pending at the beginning of the quarter	Nil
		Received during the quarter	Nil
		Disposed during the quarter	Nil
		Remaining unresolved at the end of the quarter	Nil

NOTES:

1. The Financial results have been reviewed by Audit Committee and approved by the Board of directors in its meeting held on August 08, 2014. The above results have been reviewed by Statutory Auditors of the Company as required under Clause 41 of the Listing Agreement.

2. The entire operation of the Company relate to only one segment viz. Polymer based multiple products.

3. Effective from April 01, 2014, the management has internally reassessed and changed, wherever necessary the useful life to computer depreciation, to conform to the requirements of the Act. Accordingly, the carrying amount as at 01.04.2014 is being depreciated over revised remaining useful life of the assets. The carrying Value Rs. 0.926 Million, in case of assets worth NIL revised remaining useful life as at 01.04.2014, is reduced after tax adjustment from the Retained Earnings as at such date. Further, had the company continued with the previously assessed useful lives, charge for depreciation for the nine months ended 31.12.2014 would have been higher by Rs. 1.310 Million and profit before tax would be lower by such amount.
4. Figures for the Previous period /quarter have been rearranged/re-grouped wherever necessary, to confirm with the figures for the current year/quarter.

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.64.17
UK Pound	1	Rs.98.30
Euro	1	Rs.72.25

INFORMATION DETAILS

Information Gathered by :	RKH
Analysis Done by :	SAN
Report Prepared by :	RKI

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
--PROFITABILIRY	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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	YES
--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	--

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