MIRA INFORM REPORT

Report No. :	311362
Report Date :	12.03.2015

IDENTIFICATION DETAILS

Correct Name :	DIAMOND LOVE BOND BVBA

Registered Office :	Hoveniersstraat 19, 2018 Antwerp

Country :	Belgium

Financials (as on) :	31.12.2013

Date of Incorporation :	30.11.2005

Com. Reg. No.:	877771707

Legal Form :	Private Limited Company

Line of Business :	Wholesaler of diamonds and Other Precious Stones

No of Employees :	Not Available [NOTE: We tried to confirm the number of employees but no one is ready to part any information from the company management.]

RATING & COMMENTS

MIRA’s Rating :

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

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)

Belgium

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Belgium ECONOMIC OVERVIEW

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2013 Belgian GDP grew by 0.1%, the unemployment rate increased to 8.8% from 7.6% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 3.2%. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

Source : CIA

Company name & address

Business number 877771707

Branche Unit Number 2151504639

Company name DIAMOND LOVE BOND BVBA (Correct Name)

Address HOVENIERSSTRAAT 19

2018 ANTWERP

Number of staff 0

Date of establishment 30/11/2005

Telephone number 0485779964

Ultimate holding company

Company name Company Number

Love Bond BVBA 877771707

Commentary

The business was established over 9 years ago.
No employees are recorded for this business.
The business is part of a group.
This business has a foreign parent business.
The business has been at the address for over 9 years.
Operating Result in the latest trading period increased 3522% on the previous trading period.
A 88% growth in Total Assets occurred during the latest trading period.
The business saw an increase in their Cash Balance of 122% during the latest trading period.

Accounts

DATE OF LATEST ACCOUNTS PROFIT BEFORE TAX NET WORTH WORKING CAPITAL

31/12/2013 59,553 459,074 165,444

31/12/2012 -12,543 399,026 105,751

31/12/2011 6,191 184,074 102,911

Accounts

DATE OF LATEST ACCOUNTS BALANCE TOTAL NUMBER OF EMPLOYEES CAPITAL CASHFLOW

31/12/2013 755,516 0 454,000 60,807

31/12/2012 399,908 0 454,000 -11,660

31/12/2011 583,098 0 227,000 6,703

TRENDS

Profitability
Liquidity	---
Net worth

Payment expectations

Industry average payment

expectation days 127.22

Industry average day sales

Outstanding 185.76

Company accounts

Assets

Annual accounts	31-12-2013	%	31-12-2012	%	31-12-2011	%	31-12-2010	%	31-12-2009
Weeks	52		52		52		52		52
Currency	EUR		EUR		EUR		EUR		EUR
Total fixed assets	294,016	-0.05	294,157	33.99	219,540	169	81,551	-	-
Intangible fixed assets	386	-56.17	881	-35.97	1,376	-	0	-	0
Tangible fixed assets	1,130	45.68	776	-33.33	1,163	-25.00	1,551	-	-
Plant & machinery	1,130	45.68	776	-33.33	1,163	-25.00	1,551	-	-
Financial fixed assets	292,500	0	292,500	34.79	217,000	171	80,000	-	-
Total current assets	461,500	336	105,751	-70.91	363,559	265	99,543	-52.21	208,277
Trade debtors	382,696	471	66,934	-70.12	224,038	-	0	-	0
Other amounts receivable	1,863	-51.59	3,849	2314	159	-91.25	1,822	51.50	1,203
Cash	76,279	122	34,242	-75.32	138,723	42.03	97,674	-52.83	207,074
Miscellaneous current assets	663	-8.76	726	13.90	638	1269	47	-	0
Total Assets	755,516	88.92	399,908	-31.42	583,098	221	181,094	-13.05	208,277
Liabilities
Total shareholders equity	459,460	14.89	399,908	115	185,450	3.45	179,259	-13.89	208,170
Issued share capital	454,000	0	454,000	100	227,000	0	227,000	0	227,000
Reserves	5,460	10.09	-54,092	-30.19	-41,550	87.03	-47.741	-153	-18,830
Creditors	296,056	---	---	---	397,648	21563	1.836	1623	106
Other long term Loans	----	----	----	----	137,000	---	---	---	---
Total long term debts	0	---	0	-100	137,000	--	0	--	0
Total current liabilities	296,056	--	0	-100	260,648	14100	1,836	1623	106
Total Liabilities	755,516	88.92	399,908	-31.42	583,098	221	181,094	-13.05	208,277

Ratio analysis

	31.12.2013	%	31.12.2012	%	31.12.2011	%	31.12.2010	%	31.12.2009
TRADING PERFORMANCE
Return on capital employed	12.96	412	-3.14	-263	1.92	11.48	-16.73	-220	-5.22
Return on total assets employed	7.88	250	-3.14	-396	1.06	6.40	-16.56	-217	-5.22
Return on net assets employed	12.96	412	-3.14	-194	3.34	19.96	-16.73	-220	-5.22
SHORT TERM STABILITY
Current ratio	1.56	---	---	---	1.39	-97.44	54.23	-97.23	1956.20
Liquidity ratio / acid ratio	1.56	---	---	---	1.39	-97.44	54.23	-97.23	1956.20
Current debt ratio	0.64	---	---	---	1.41	14000	0.01	---	0.00
Cashflow	60,807	521	-11,660	-273	6,703	23.50	-28,524	-161	-10,922
Net worth	459,074	15.05	399,026	116	184,074	2.69	179,259	-13.89	208,170
LONG TERM STABILITY
Gearing	---	---	---	---	73.87	---	---	---	---
Equity in percentage	60.85	-39.28	100.22	214	31.88	-67.79	98.99	-0.96	99.95
Total debt ratio	0.64	---	---	---	2.14	21300	0.01	--	0.00
Working Capital	165,444	56.45	105,751	2.76	102,911	5.32	97,708	-63.06	208,170

Profit & loss

Gross Operating Margin	65,855	1925	3,252	-79.45	15,821	71.51	-22,125	-732	3,498
Amortization and depreciation	1,254	42.03	883	72.57	512	31.91	388	-	-
Operating result	63,963	3522	1,766	-88.00	14,708	49.26	-29,856	-175	-10,825
Total financial income	8,292	242	2,418	87.87	1,287	17480	7	-99	5,455
Total financial expenses	12,702	-24.05	16,726	70.61	9,804	6849	141	-97.44	5,506
Results on ordinary operations before taxation	59,553	474	-12,543	-302	6,191	20.64	-29,990	-175	-10,876
Results for the year Before Taxation	59,553	474	-12,543	-302	6,191	20.64	-29,990	-175	-10,876
Taxation	---	---	---	---	---	---	-1078	-2415	47
Result on ordinary Operations after taxation	59,553	474	-12,543	-302	6,191	21.41	-28,912	-164	-10,922
Net result	59,553	474	-12,543	-302	6,191	21.41	-28,912	-164	-10,922
Profit (Loss) for the year to be appropriated	59,553	474	-12,543	-302	6,191	21.41	-28,912	-164	-10,922

Industry comparison

Activity code 46761

Activity description Wholesale of diamonds and other precious stones

Industry average payment

expectation days 127.22

Industry average day sales

Outstanding 185.76

Industry quartile analysis

Payment expectations
Lower	120.34
Median	74.63
Upper	46.13

Day sales outstanding
Lower	102.33
Median	54.08
Upper	24.18

Group structure

Company name	Number	Latest
		financials
DIAMOND LOVE BOND BVBA	C 877771707	31-12-2013
DLB Italy SPRL	----	----

Director details

Current director details

Name DEEPAK JAVERI

Position Principal Manager

Start Date 01/07/2014

Street 30 BELGIËLEI ANTWERPEN

Post code 2018

Country Belgium

Name SANGAM JAVERI

Position Principal Manager

Start Date 04/08/2010

Street 112 BELGIËLEI ANTWERPEN

Post code 2018

Country Belgium

Position Non Statutory Partner

Start Date 30/11/2005

Street 112 BELGIËLEI ANTWERPEN

Post code 2018

Country Belgium

Name MARCO POCATERRA

Position Principal Manager

Start Date 01/04/2010

Street 24 VIA SAN MARCO

Country Italy

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds. It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C. India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.75
UK Pound	1	Rs.94.60
Euro	1	Rs.67.09

INFORMATION DETAILS

Analysis Done by :	KAR

Report Prepared by :	MNL

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	--

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.

MIRA INFORM REPORT

Company name & address

Ultimate holding company

Commentary

Accounts

TRENDS

Payment expectations

Company information

Company accounts

Ratio analysis

Profit & loss

Industry comparison

Industry quartile analysis

Group structure

Director details

Unit