MIRA INFORM REPORT

Report No. :	326643
Report Date :	11.06.2015

IDENTIFICATION DETAILS

Name :	ADVANCE METAL POWDER
Registered Office :	Plot No. 84, Mittal Chambers, Nariman Point, Mumbai - 400021, Maharashtra
Tel. No.:	91-22-22021472
Country :	India
Financials (as on) :	31.03.2015
Year of Establishment :	1989
Capital Investment :	Rs. 58.088 Million [As on 31.03.2014]
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 Stainless Steel Wire and Iron Powder.
No. of Employees :	35 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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 established in 1989 as a partnership concern and it is having moderate track record. Subject is engaged in trading of stainless steel wires and iron powders. Rating constrained on modest scale of operation with low profit margin and below the average financial risk profile marked by moderate networth position and weak debt protection metrics. The rating takes into account of extensive experience of the firm’s partners in the business of trading in welding materials. Trade relations are fair. Business is active. Payment terms are slow but correct. In view of experienced partners in the industry, the concern can be considered for the business dealings 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	CRISIL
Rating	Long term Rating = BB-
Rating Explanation	Inadequate credit quality and high credit risk.
Date	28.08.2014

Rating Agency Name	CRISIL
Rating	Short term Rating = A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	28.08.2014

RBI DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAILTERS’ 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. Virchand Lodaya
Designation :	Accounts Manager
Contact No.:	91-9892584334
Date :	08.06.2015

LOCATIONS

Registered Office :	Plot No. 84, Mittal Chambers, Nariman Point, Mumbai - 400021, Maharashtra, India
Tel. No.:	91-22-22021472/ 22045731/ 40021472
Mobile No.:	91-9892584334 (Mr. Virchand Lodaya)
Fax No.:	91-22-22851770
E-Mail :	admet@amp.net.in
Area :	856 Sq. ft.
Location :	Owned
Warehouse 1 :	Prerna Complex, Bhiwandi Village, Thane, Maharashtra, India
Warehouse 2 :	178, Ajay Compound, Behind Gosarani Compound, Godown No. 7, Rahnal, Bhiwandi, Thane, Maharashtra, India
Area :	10000 Sq. ft.
Location :	Owned
Warehouse 3 :	61-C, Currey Road East, Near Godrej Compound, Mumbai – 400012, Maharashtra, India
Area :	5000 Sq. ft.
Location :	Owned

PARTNERS

Name :	Mr. M.P. Purohit
Designation :	Partner
Name :	Mr. Rakesh P. Purohit
Designation :	Partner

KEY EXECUTIVES

Name :	Mr. Virchand Lodaya
Designation :	Accounts Manager

BUSINESS DETAILS

Line of Business :	Trader and Exporter of Stainless Steel Wire and Iron Powder.
Brand Names :	--
Agencies Held :	--
Exports :
Products :	--
Countries :	--
Imports :
Products :	Raw Material
Countries :	· Germany · France · China
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Suppliers :

Reference:	Viraj Profiles
Name of the Person (Designation):	Mr. Sanjay Choudhary [Purchase Manager]
Contact Number:	91-7314229666
Since how long known:	30 Years
Maximum limit dealt:	Rs. 10.000 Million [Monthly]
Experience:	Payment Behaviour = Excellent Market Goodwill = Excellent Overall = Excellent
Remark	They gave us positive response about the subject company they are satisfied with their product quality and delivery behaviour.

Customers :

Wholesalers and Retailers

Reference:	D & H Secherson
Name of the Person (Designation):	Mr. Navin Patel [Marketing Manager]
Contact Number:	91-9049991544
Since how long known:	15 Years
Maximum limit dealt:	Rs. 130.000 Million [Yearly]
Experience:	Payment Behaviour = Good Market Goodwill = Good Overall = Good
Remark	They gave us positive response about the subject company they are satisfied with their delivery behaviour.

No. of Employees :

35 (Approximately)

Bankers :

Bank Name:	Bank of Baroda
Branch:	Marine Drive Branch, Mumbai, Maharashtra, 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 A/c Opening):	Not Divulged
Average Balance Maintained (Optional):	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan):	Not Divulged
Account Operation:	Not Divulged
Remarks: Not Divulged

Facilities :

--

Banking Relations :	--
Auditors :
Name :	Bangali and Company Chartered Accountants
Memberships :	--
Collaborators :	--
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 31.03.2014

Capital Investment :
Owned :	Rs. 58.088 Million
Borrowed :	--
Total :	Rs. 58.088 Million

FINANCIAL DATA

[all figures are in Rupees Million]

PARTICULARS	31.03.2015
Sales Turnover (Approximately)	1320.000

The above information has been parted by Mr. Virchand Lodaya (Accounts Manager)

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

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2014	31.03.2013	31.03.2012
SHAREHOLDERS FUNDS
1] Partners Capital		58.088	74.461	72.087
2] Share Application Money		0.000	0.000	0.000
3] Profit and Loss Account		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		58.088	74.461	72.087
LOAN FUNDS
1] Secured Loans		164.198	107.041	115.098
2] Unsecured Loans		9.929	10.029	10.029
TOTAL BORROWING		174.127	117.070	125.127
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		232.215	191.531	197.214
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		9.866	10.832	12.397
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.923	0.923	0.923
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	165.892	139.426	148.814
	Sundry Debtors	279.676	256.736	213.354
	Cash & Bank Balances	9.301	0.449	1.338
	Other Current Assets	6.244	5.806	12.420
	Loans & Advances	10.613	16.496	14.457
Total Current Assets		471.726	418.913	390.383
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	236.496	220.251	191.591
	Other Current Liabilities	3.095	3.193	2.840
	Provisions	10.709	15.693	12.058
Total Current Liabilities		250.300	239.137	206.489
Net Current Assets		221.426	179.776	183.894
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		232.215	191.531	197.214

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	1175.459	1082.918	1219.218
		Other Income	0.744	0.808	1.510
		TOTAL (A)	1176.203	1083.726	1220.728
Less	EXPENSES
		Cost of Goods sold	1103.608	1017.393	1160.873
		Administrative Expenses	14.283	11.730	10.558
		Other Expenses	20.227	18.010	18.430
		VAT and Central Sales Tax	4.222	4.665	4.931
		TOTAL (B)	1142.340	1051.798	1194.792
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		33.863	31.928	25.936
Less	FINANCIAL EXPENSES (D)		17.147	18.769	12.440
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		16.716	13.159	13.496
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.238	1.396	1.495
	PROFIT BEFORE TAX (E-F) (G)		15.478	11.763	12.001
Less	TAX (H)		5.495	3.634	3.708
	PROFIT AFTER TAX (G-H) (I)		9.983	8.129	8.293

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.85	0.75	0.68
Operating Profit Margin (PBDIT/Sales)	(%)	2.88	2.95	2.13
Return on Total Assets (PBT/Total Assets}	(%)	3.21	2.74	2.85
Return on Investment (ROI) (PBT/Networth)		0.27	0.16	0.17
Debt Equity Ratio (Total Liability/Networth)		3.00	1.57	1.74
Current Ratio (Current Asset/Current Liability)		1.88	1.75	1.89

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particulars	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Partners Capital	72.087	74.461	58.088
Profit and Loss Account	0.000	0.000	0.000
Net worth	72.087	74.461	58.088
Secured Loans	115.098	107.041	164.198
Unsecured Loans	10.029	10.029	9.929
Total borrowings	125.127	117.070	174.127
Debt/Equity ratio	1.736	1.572	2.998

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	1219.218	1082.918	1175.459
		(11.179)	8.546

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	1219.218	1082.918	1175.459
Profit	8.293	8.129	9.983
	0.68%	0.75%	0.85%

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	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	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)	Yes
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	No
29	Profitability for last three years	Yes
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

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. 63.88
UK Pound	1	Rs. 98.47
Euro	1	Rs. 72.15

INFORMATION DETAILS

Information Gathered by :	KMN
Analysis Done by :	KAS
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--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		32

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.