MIRA INFORM REPORT

Report No. :	329767
Report Date :	30.06.2015

IDENTIFICATION DETAILS

Name :	SRI LAKSHMI SARASWATHI SPINTEX LIMITED
Registered Office :	No.9, [Old No.8], Crescent Road, Shenoy Nagar, Chennai-600030, Tamilnadu
Tel. No.:	91-44-26286888
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	20.12.2010
Com. Reg. No.:	18-078474
Capital Investment / Paid-up Capital :	Rs. 15.000 Million
CIN No.: [Company Identification No.]	U17120TN2010PLC078474
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Hosiery Garments.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

B (33)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 140000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Management of the company has failed to file its financials with the government department for the FY 2014. However as per the financial of 2013, rating takes into consideration subject moderate financial risk profile marked by low reserve, low profitability and relatively less cash balance. Subject has achieved better growth in sale turnover during FY 2013. Rating weakness are partially offset by the promoter’s extensive experience and established customer relationships, over the medium terms. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. Subject can be considered for business dealings with some cautions.

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	30.09.2014

Rating Agency Name	CRISIL
Rating	Short term rating A4+
Rating Explanation	Minimal degree of safety very high credit risk.
Date	30.09.2014

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 31-03-2014.

INFORMATION DENIED BY

Name :	Mr. Swami
Designation :	Account Executive
Contact No.:	91-44-26286888
Date :	26.06.2015

LOCATIONS

Registered Office :	No.9, [Old No.8], Crescent Road, Shenoy Nagar, Chennai-600030, Tamilnadu, India
Tel. No.:	91-44-26286888
Fax No.:	91-44-26192882
E-Mail :	adithyapraveen@slsgroupind.com contactus@slsgroupind.com
Website :	www.slsgroupind.com
Area :
Location :
Garments Division :	No 8/375A Srinagar, Pallivasal Street, Pitchampalayam Pudur, Tirupur -641603, Tamilnadu, India
Tel. No.:	91-421- 2477688/4333378
Fax No.:	91-421- 2488488

DIRECTORS

As on 30.09.2013

Name :

Mr. Sarath Chander Aditya Praveen

Designation :

Managing Director

Address :

B-13, Fort Indraprastha, 18-A, Kalakshetra Road, Thiruvanmiyur,, Chennai-600041, Tamilnadu, India

Date of Birth/Age :

01.03.1975

Date of Appointment :

03.01.2011

DIN No.:

00703671

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	U30007TN2001PLC047933	SRI LAKSHMI SARASWATHI IMPEEX (INDIA) LIMITED	Managing director	24/10/2001	24/10/2001	-	Active	NO
2	U17120TN2010PLC078474	SRI LAKSHMI SARASWATHI SPINTEX LIMITED	Managing director	03/01/2011	20/12/2010	-	Active	NO
3	U18109TN2012PLC088948	SRI LAKSHMI SARASWATHI HOLDINGS LIMITED	Director	13/12/2012	13/12/2012	-	Active	NO
4	U17200TN2015PTC101043	SRI LAKSHMI SARASWATHI COTSPIN PRIVATE LIMITED	Managing director	19/06/2015	19/06/2015	-	Active	NO

Name :

Mr. Naveen Chandra Sarath Chander

Designation :

Managing Director

Address :

B-13, Fort Indraprastha, 18-A, Kalakshetra Road, Thiruvanmiyur,, Chennai-600041, Tamilnadu, India

Date of Birth/Age :

08.10.1970

Date of Appointment :

09.02.2013

DIN No.:

01068786

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	U30007TN2001PLC047933	SRI LAKSHMI SARASWATHI IMPEEX (INDIA) LIMITED	Director	24/10/2001	24/10/2001	-	Active	NO
2	U17120TN2010PLC078474	SRI LAKSHMI SARASWATHI SPINTEX LIMITED	Managing director	09/02/2013	20/12/2010	-	Active	NO
3	U18109TN2012PLC088948	SRI LAKSHMI SARASWATHI HOLDINGS LIMITED	Director	13/12/2012	13/12/2012	-	Active	NO
4	U17200TN2015PTC101043	SRI LAKSHMI SARASWATHI COTSPIN PRIVATE LIMITED	Managing director	19/06/2015	19/06/2015	-	Active	NO

Name :

Mr. B Chander Sarath

Designation :

Director

Address :

B-13, Fort Indraprastha, 18-A, Kalakshetra Road, Thiruvanmiyur,, Chennai-600041, Tamilnadu, India

Date of Birth/Age :

19.07.1942

Date of Appointment :

20.12.2010

DIN No.:

00704894

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	U30007TN2001PLC047933	SRI LAKSHMI SARASWATHI IMPEEX (INDIA) LIMITED	Director	30/10/2002	30/10/2002	-	Active	NO
2	U17120TN2010PLC078474	SRI LAKSHMI SARASWATHI SPINTEX LIMITED	Director	20/12/2010	20/12/2010	-	Active	NO
3	U18109TN2012PLC088948	SRI LAKSHMI SARASWATHI HOLDINGS LIMITED	Director	13/12/2012	13/12/2012	-	Active	NO
4	U17200TN2015PTC101043	SRI LAKSHMI SARASWATHI COTSPIN PRIVATE LIMITED	Director	19/06/2015	19/06/2015	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Swami
Designation :	Account Executive
Name :	L. R. Nagasubramanya
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares
B. Sarath Chander	1109900
Rajini Sarath Chander	354800
Anandparanthaman	100
S.Naveen Chandra	100
C.S. Adithya Praveen	34900
Lakshmi Chaya Naveen	100
G.Nithyananthan	100
Total	1500000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Hosiery Garments.
Products :	Not Available
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Divulged
Imports :	Not Divulged
Terms :	Not Divulged

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	Oriental Bank of Commerce
Branch	No.63, Dr. R. K. Salai, Mylapore, Chennai – 600004, Tamilnadu, 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)
OBC Vehicle Loan	4.040	0.000
Total	4.040	0.000

Auditors :
Name :	K K Raghavan Chartered Accountants
Address :	No.2, New Tank Street, Nungambakkam, Chennai – 600034, Tamilnadu, India
PAN N Income-tax PAN of auditor or auditor's firm :	AISPR8614H
Memberships :	--
Collaborators :	--
Associates/Subsidiaries :	Not Divulged

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1,500,000	Equity Shares	Rs.10/- each	Rs.15.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,500,000	Equity Shares	Rs.10/- each	Rs.15.000 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2013	31.03.2012 (15 Months)
SHAREHOLDERS FUNDS
1] Share Capital		15.000	0.500
2] Share Application Money		29.800	14.678
3] Reserves & Surplus		5.317	0.654
4] (Accumulated Losses)		0.000	0.000
NETWORTH		50.117	15.832
LOAN FUNDS
1] Secured Loans		4.040	0.000
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		4.040	0.000
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		54.157	15.832
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		6.609	2.199
Capital work-in-progress		0.000	0.000
INVESTMENT		0.001	0.001
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories
	Sundry Debtors
	Cash & Bank Balances
	Other Current Assets
	Loans & Advances
Total Current Assets		128.937	39.552
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities
	Provisions
Total Current Liabilities		81.598	26.187
Net Current Assets		47.339	13.365
Preoperative and Preliminary Expenses		0.208	0.267
TOTAL		54.157	15.832

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012 (15 Months)
	SALES
		Income	220.147	55.438
		Other Income	12.111	1.411
		TOTAL (A)	232.258	56.849
Less	EXPENSES
		Manufacturing and other Expenses	183.684	46.492
		Administrative Expenses	9.551	6.554
		Selling and Distribution Expenses	23.304	1.160
		Preoperative and preliminary Expenses	0.058	0.058
		TOTAL (B)	216.597	54.264
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		15.661	2.585
Less	FINANCIAL EXPENSES (D)		6.738	1.281
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		8.923	1.304
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.912	0.423
	PROFIT BEFORE TAX (E-F) (G)		8.011	0.881
Less	TAX (H)		2.475	0.296
	PROFIT AFTER TAX (G-H) (I)		5.536	0.585
Less	APPROPRIATIONS
		Proposed Dividend	0.872	0.029
	BALANCE CARRIED TO THE B/S		4.664	0.556
	Earnings Per Share (Rs.)		3.69	1.17

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2013	31.03.2012 (15 Months)
Current Maturities of Long term debt	NA	NA
Cash generated from operations	NA	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012 (15 Months)
Net Profit Margin (PAT / Sales)	(%)	2.51	1.06
Operating Profit Margin (PBIDT/Sales)	(%)	7.11	4.66
Return on Total Assets (PBT/Total Assets}	(%)	5.91	2.11
Return on Investment (ROI) (PBT/Networth)		0.16	0.06
Debt Equity Ratio (Total Debt /Networth)		0.08	0.00
Current Ratio (Current Asset/Current Liability)		1.58	1.51

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013
	(Rs. In Million)	(Rs. In Million)
Share Capital	0.500	15.000
Reserves & Surplus	0.654	5.317
Share Application money pending allotment	14.678	29.800
Net worth	15.565	49.909
Secured Loan	0.000	4.040
Unsecured Loan	0.000	0.000
Total borrowings	0.000	4.040
Debt/Equity ratio	0.000	0.081

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013
	(Rs. In Million)	(Rs. In Million)
Sales	55.438	220.147
		297.105

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013
	(Rs. In Million)	(Rs. In Million)
Sales	55.438	220.147
Profit	0.585	5.536
	1.06%	2.51%

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	No
17	Details of sister concerns	No
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	No
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last two years three months	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	Yes
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

OPERATIONS

During the financial year the company achieved a turnover of Rs. 220.100 Million is 400% increase compared to the previous year and a net profit before tax of Rs. 8.010 Million which increased by 9 times compared to the previous year.

The Company’s Fabric and Garments were well received in the overseas market though the overseas markets were sluggish. The company is planning to expand the Garments manufacturing facility for which the required infrastructure is being setup. The Company is upbeat of the prospects of the business and is confident of achieving increased business in the years to come.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10493320	16/05/2014	50,000,000.00	SBI GLOBAL FACTORS LIMITED	6TH FLOOR, METROPOLITAN BUILDING, BANDRA-KURLA, COMPLEX, BANDRA(EAST), MUMBAI, Maharashtra - 400051, INDIA	C04241154
2	10502539	30/04/2013	550,000.00	ORIENTAL BANK OF COMMERCE	NO.63, DR. R. K. SALAI, MYLAPORE, CHENNAI, Tamil Nadu - 600004, INDIA	B98033152
3	10506685	09/03/2013	3,200,000.00	ORIENTAL BANK OF COMMERCE	NO.63, DR. R. K. SALAI, MYLAPORE, CHENNAI, Tamil Nadu - 600004, INDIA	B98032543
4	10373115	11/07/2012	1,008,000.00	ORIENTAL BANK OF COMMERCE	R K SALAI BRANCH, NO.63, DR. RADHAKRISHNAN SALAI, MYLAPORE, CHENNAI, Tamil Nadu - 600004, INDIA	B56602840
5	10311943	29/03/2014 *	259,500,000.00	BANK OF MAHARASHTRA	MOUNT ROAD BRANCH, 603, ANNA SALAI, CHENNAI, Tamil Nadu - 600006, INDIA	C11683190

FIXED ASSETS

Computers

Electrical

Furniture and Fittings

Machinery

Office equipments

Vehicle

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.63.92
UK Pound	1	Rs.100.40
Euro	1	Rs.70.41

INFORMATION DETAILS

Information Gathered by :	SUP
Analysis Done by :	SAN
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	4
--RESERVES	1~10	3
--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		33

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.