MIRA INFORM REPORT

Report No. :	310466
Report Date :	03.03.2015

IDENTIFICATION DETAILS

Name :	INDUCTION EQUIPMENT (INDIA) PRIVATE LIMITED
Registered Office :	T-117, Bhosari Industrial Estate, Pune – 411026, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	13.03.1987
Com. Reg. No.:	11-042878
Capital Investment / Paid-up Capital :	Rs. 5.310 Million
CIN No.: [Company Identification No.]	U31909PN1987PTC042878
TAN No.: [Tax Deduction & Collection Account No.]	PNEI04177F
PAN No.: [Permanent Account No.]	AAACI3884K
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged offer complete Induction hardening solutions and manufacture Standard Vertical and Horizontal Machines as well as special purpose machine
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. As per registrar of companies the date of balance sheet i.e. financials filed is shown as 31^st March, 2014 but the documents related to the financials for the year 2014 are not available from any sources. As per available financial of 2013, the company has incurred a loss from its operations. However, trade relation are fair. Business is active. Payment terms are reported to be slow but correct. The company 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 – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Rajesh
Designation :	Assistant General Manager Marketing
Contact No.:	91-20-66346100
Date :	02.03.2015

LOCATIONS

Registered Office :	T-117, Bhosari Industrial Estate, Pune – 411026, Maharashtra, India
Tel. No.:	91-20-66346100/27122245/46
Fax No.:	91-20-66346149/27120012
E-Mail :	vivek.Behere@saetgroup.com steelindia@seatgroup.com saetindia@saetgroup.com iei117@eth.net info@inductionindia.com AccDeptIN@saetgroup.com canavesiod@saet.it
Website :	http://www.industionindia.com
Factory :	E-28/1, Bhosari Industrial Area, Opposites Philips Company, Bhosari MIDC, Pune – 411026, Maharashtra, India
Tel. No.:	91-20-66335300/1/2
E-Mail :	chtdeptIN@saetgroup.com

DIRECTORS

As on: 18.12.2014

Name :

Mr. Sanjay Dharamvir Premi

Designation :

Director

Address :

6 Kasturi Apartments Sanewadi, Pune – 411007, Maharashtra, India

Date of Birth/Age :

30.06.1956

Date of Appointment :

13.03.1987

DIN No.:

00510538

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	U31909PN1987PTC042878	INDUCTION EQUIPMENTS (INDIA) PRIVATE LIMITED	Director	13-03-1987	13-03-1987	-	Active	NO
2	U29299MH1998PTC112814	INDUCTION SYSTEMS (INDIA) PRIVATE LIMITED	Director	06-01-1998	06-01-1998	-	Active	NO

Name :

Mr. Kumar Mahbubani Pribhdas

Designation :

Director

Address :

313, Sadhu Vaswani Nagar Aundh, pune- 411007, Maharashtra, India

Date of Birth/Age :

03.09.1953

Date of Appointment :

13.03.1987

DIN No.:

00536466

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	U45202MH1980PTC022230	DEVI CONSTRUCTION COMPANY PRIVATE LIMITED	Director	14-02-1980	14-02-1980	25-02-2008	Active	NO
2	U31909PN1987PTC042878	INDUCTION EQUIPMENTS(INDIA) PRIVATE LIMITED	Director	13-03-1987	13-03-1987	-	Active	NO
3	U29299MH1998PTC112814	INDUCTION SYSTEMS (INDIA) PRIVATE LIMITED	Director	06-01-1998	06-01-1998	-	Active	NO
4	U51909PN1999PTC013626	PILMAN VENTURES PRIVATE LIMITED	Director	17-05-1999	17-05-1999	-	Active	NO
5	U74900PN2007FTC133574	SAET India Private Limited	Alternate director	27-07-2011	27-07-2011	-	Active	NO

Name :

Emilia Nicoletta Conte

Designation :

Director

Address :

6 Via Estirere Samauro Torinese, Turin, Italy, 10099

Date of Birth/Age :

13.12.1962

Date of Appointment :

30.08.2007

DIN No.:

01461914

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	U74900PN2007FTC133574	SAET India Private Limited	Director	10-07-2007	10-07-2007	-	Active	NO
2	U31909PN1987PTC042878	INDUCTION EQUIPMENTS(INDIA) PRIVATE LIMITED	Director	30-08-2007	30-08-2007	-	Active	NO

Name :

Mr. Leonardo Salazzari

Designation :

Director

Address :

Torino 20 Sidoli, Torino, Italy

Date of Birth/Age :

27.02.1964

Date of Appointment :

16.09.2013

DIN No.:

06546248

Name :

Mr. Massimo Armando Tartarotti

Designation :

Additional director

Address :

T 117 MIDC Bhosari, Pune- 411026, Maharashtra, India

Date of Birth/Age :

15.12.1961

Date of Appointment :

11.07.2014

DIN No.:

06921539

KEY EXECUTIVES

Name :	Kanj and Associates
Designation :	Company Secretaries
Address :	3-4, Aishwarya Sankul, S.No. 17, G.A. Kulkarni Path, Opposites Joshi Railway Museum, Kothrud, Pune- 411038, Maharashtra, India
Name :	Mr. Rajesh
Designation :	Assistant General Manager Marketing

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 18.12.2014

Names of Shareholders	No. of Shares
Saet India Private Limited, India	33900
Premi Dharam Vir Sanjay	9600
Mahbubani Pribhdas Kumar	9600
Total	53100

Equity Share Break up (Percentage of Total Equity)

As on: 18.12.2014

Category	Percentage
Bodies corporate	63.84
Directors or relatives of Directors	36.16
Total	100.00

BUSINESS DETAILS

Line of Business :	Subject is engaged offer complete Induction hardening solutions and manufacture Standard Vertical and Horizontal Machines as well as special purpose machine
Products :	Vertical and Horizontal Machines.
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	Finished Goods
Countries :	Turkey Egypt Canada Italy
Imports :	Not Available
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

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, Retailers and Manufacturer

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 :

100 (Approximately)

Bankers :

• Oriental Bank of Commerce, Pimpri, Pune-411018, Maharashtra, India
• HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel West, Mumbai - 400013, Maharashtra, India
• The Cosmos Coperative Bank Limited, 269/270, Shaniwar Peth, Pune - 411030, Maharashtra, India

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Short-term borrowings
Loans repayable on demand from banks (secured)
Cash Credit Facility from Bank	1.875	15.186
Total	1.875	15.186

Note: Cash credit facility Bank:

Company has obtained the cash credit facility from HDFC Bank. Total sanction limit of facility of Rs. 20.000 Million Rate of interest for the said facility is base rate + 3.3%

Security:

Primary Security: This facility is primarily secured by way of first and exclusive charge on all present and future stocks and books debts.

Collateral Security: Facility is collaterally secured by way of mortgage of industrial property situated at T‐177, MIDC , Bhosari, Pune and personal guarantee of Mr. Kumar Mahbunani and Mr. Sanjay Premi (Director).

Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	706, B Wing, 7th Floor, ICC Trade Tower International, Convention Center Senapati Bapat Road, Pune- 411016, Maharashtra, India
Tel. No.:	91-20-66244600
Fax No.:	91-20-66244605
PAN N Income-tax PAN of auditor or auditor's firm :	AACFD4815A
Memberships :	Not Available
Collaborators :	Not Available
Holding Company	SAET India Private Limited

CAPITAL STRUCTURE

As on 18.12.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
80,000	Equity Shares	Rs.100/- each	Rs. 8.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
53,100	Equity Shares	Rs.100/- each	Rs. 5.310 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	5.310	5.310	5.310
(b) Reserves & Surplus	83.588	104.068	94.560
(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)	88.898	109.378	99.870
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.080
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	8.584	5.857	4.677
Total Non-current Liabilities (3)	8.584	5.857	4.757
(4) Current Liabilities
(a) Short term borrowings	1.875	17.228	21.080
(b) Trade payables	11.065	13.194	18.787
(c) Other current liabilities	15.820	18.275	27.075
(d) Short-term provisions	1.930	1.954	6.529
Total Current Liabilities (4)	30.690	50.651	73.471
TOTAL	128.172	165.886	178.098
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	48.925	15.324	16.724
(ii) Intangible Assets	0.008	0.375	0.742
(iii) Capital work-in-progress	1.164	11.884	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	54.249	42.078
(c) Deferred tax assets (net)	3.404	0.102	0.000
(d) Long-term Loan and Advances	5.062	5.933	10.361
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	58.563	87.867	69.905
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	24.706	26.700	42.337
(c) Trade receivables	25.093	32.145	31.929
(d) Cash and cash equivalents	14.224	4.865	29.152
(e) Short-term loans and advances	5.586	14.309	4.775
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	69.609	78.019	108.193
TOTAL	128.172	165.886	178.098

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Total Income	86.720	142.146	106.001
Less	EXPENSES		104.886	121.644	79.604
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		(18.166)	20.502	26.397
Less	INTEREST CHARGES		1.590	3.137	0.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		(19.756)	17.365	26.397
Less/ Add	DEPRECIATION/ AMORTISATION		2.178	1.979	2.121
	PROFIT/ (LOSS) BEFORE TAX		(21.934)	15.386	24.276
Less	TAX		(1.454)	5.879	8.947
	PROFIT/ (LOSS) AFTER TAX		(20.480)	9.507	15.329
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports		13.901	13.040	2.366
	Freight		0.097	0.171	4.557
	TOTAL EARNINGS		13.998	13.211	6.923
	Earnings / (Loss) Per Share (Rs.)		(385.69)	179.04	288.68

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
Return on Total Assets (PBT/Total Assets}	(%)	(17.75)	15.44	17.85
Return on Investment (ROI) (PBT/Networth)		(0.25)	0.14	0.24
Debt Equity Ratio (Total Debt /Networth)		0.02	0.16	0.21
Current Ratio (Current Asset/Current Liability)		2.27	1.54	1.47

FINANCIAL ANALYSIS

[All figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	5.310	5.310	5.310
Reserves & Surplus	94.560	104.068	83.588
Net worth	99.870	109.378	88.898
long-term borrowings	0.000	0.000	0.000
Short term borrowings	21.080	17.228	1.875
Total borrowings	21.080	17.228	1.875
Debt/Equity ratio	0.211	0.158	0.021

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Total Income	106.001	142.146	86.720
		34.099	(38.992)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Total Income	106.001	142.146	86.720
Profit/Loss	15.329	9.507	(20.480)
	14.46%	6.69%	(23.62%)

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

UNSECURED LOAN

Unsecured Loan	31.03.2013 (Rs. in Million)	31.03.2012 (Rs. in Million)
Short-term borrowings
Borrowings from related parties	0.000	1.000
Interest accrued and due	0.000	1.042
Total	0.000	2.042

INDEX OF CHARGES:

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10281716	23/08/2011 *	40,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA	B19176999

* Date of charge modification

FIXED ASSETS:

• Leasehold Land
• Building
• Improvement to Leasehold
• Premises
• Plant and equipment
• Tools
• Electrical Installation
• Furniture & fixtures
• Office equipment
• Computers
• Vehicles
• Software

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.61.82
UK Pound	1	Rs.95.27
Euro	1	Rs.69.14

INFORMATION DETAILS

Information Gathered by :	DPA
Analysis Done by :	RSM
Report Prepared by :	MTN

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	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		29

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.