MIRA INFORM REPORT

Report No. :	318739
Report Date :	21.05.2015

IDENTIFICATION DETAILS

Name :	FASHION DIFFUSIONZ PRIVATE LIMITED

Registered Office :	B-1104 Royal Heritage, Near Coz Way, Gorat Road, Rander, Surat – 395009, Gujarat
Tel. No.:	91-261-2450022

Country :	India

Financials (as on) :	31.03.2014

Date of Incorporation :	05.04.2011

Com. Reg. No.:	04-064788

Capital Investment / Paid-up Capital :	Rs.0.100 Million

CIN No.: [Company Identification No.]	U17120GJ2011PTC064788

IEC No.:	Not Available

TAN No.: [Tax Deduction & Collection Account No.]	Not Available

PAN No.: [Permanent Account No.]	Not Available

Legal Form :	Private Limited Liability Company

Line of Business :	Trader and Exporter of Ladies Apparel.

No. of Employees :	30 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Maximum Credit Limit :	USD 4000

Status :	Moderate

Payment Behaviour :	Slow but correct

Litigation :	Clear

Comments :	Subject is a relatively new company having moderate track. Company has recorded huge long term borrowings and trade payables that may impact its liquidity. Trade relations are reported as fair. Business is active. Payment terms are slow but correct. The company can be considered for the business dealings with usual trade and terms.

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

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

EXTERNAL AGENCY RATING

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. Yusuf Baboo Kapadia
Designation :	Director
Contact No.:	91-9879889822
Date :	14.05.2015

LOCATIONS

Registered Office :	B-1104 Royal Heritage, Near Coz Way, Gorat Road, Rander, Surat – 395009, Gujarat
Tel. No.:	91-261-2450022
Mobile No.:	91-9879889822 (Mr. Yusuf)
Fax No.:	Not Available
E-Mail :	hardikkakadiya@yahoo.com sales.diffusionz@gmail.com

Administrative Office :	305-308, B-Block, Kubergi Textile Park, Behind Belgium Square, Ring Road, Surat – 395003, Gujarat, India

DIRECTORS

AS ON 30.09.2014

Name :

Mr. Yusuf Baboo Kapadia

Designation :

Director

Address :

White House No. 2/A, Pushpak Society, Luncikui, Navsari – 396445, Gujarat, India

Date of Birth/Age :

15.09.1979

Date of Appointment :

05.04.2011

DIN No.:

03463136

Other Directorship:

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

U17120GJ2011PTC064788

FASHION DIFFUSIONZ PRIVATE LIMITED

Director

05/04/2011

Active

U18109GJ2013PTC073584

FASHION WEBZ PRIVATE LIMITED

Director

18/02/2013

15/12/2014

Active

Name :

Meera Harshad Vyas

Designation :

Director

Address :

8, Gokuldham Row House, Bhatpor, Surat – 394510, Gujarat, India

Date of Appointment :

25.02.2015

DIN No.:

07030982

Other Directorship:

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

U74900GJ2015PLC081808

RAY ECOMMERCE LIMITED

Managing director

08/01/2015

Active

U17120GJ2011PTC064788

FASHION DIFFUSIONZ PRIVATE LIMITED

Director

25/02/2015

Active

MAJOR SHAREHOLDERS

AS ON 30.09.2014

Names of Shareholders	No. of Shares	% of Holding
Sheetal Tejas Soni	2000	20.00
Meera Harshad Vyas	100	1.00
Yusuf Baboo Kapadia	7900	79.00
Total	10000	100.00

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2014

Category	Percentage
Directors or relatives of Directors	99.00
Other top fifty shareholders	1.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Exporter of Ladies Apparel.

Products :	Lehenga Cholis Sarees Salwar Suits

Brand Names :	Not Divulged

Agencies Held :	Not Divulged

Exports :
Products :	Finished Goods
Countries :	Europe USA

Imports :	Not Divulged

Terms :
Selling :	Cash, Credit

Purchasing :	Cash, Credit

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Company Name :	Ashika Textile India Pvt. Ltd.
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

· Brijraj Fashion Private Limited

· Devta Apparels Private Limited

· Indian Women Fashion Private Limited

· Jinaam Dress Private Limited

· M.R.Creation Private Limited

· Mahotsav Caeation Private Limited

· Parvati Fabrics Limited

· Ridhi Sidhi Sarees Private Limited

· Rinky Fashions Private Limited

· S Dev Fashions Private Limited

· Sammanita Fashions Private Limited

· Sangeet Fashion Textiles Private Limited

· Sm Boutique India Private Limited

Customers :

Company Name :	Bigshoe Bazaar India Private Limited
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

· Doomshell Softwares Private Limited

· Fashion Webz Private Limited

· G S Tech India Private Limited

· Gouri Retail Private Limited

· Net Avenue Techologies Private Limited

· Opusasia Technologies Private Limited

· Skl Solutions and Marketing Private Limited

· Talash Infosoft Private Limited

· Sulbha Fashions Private Limited

· Utsav Fashion Private Limited

· Virka Infotech Private Limited

· Anubha Creations Private Limited

· Orbymart Marketing Private Limited

· Rajasthani Store Haritage Private Limited

· Senorita Creations Private Limited

· Shimmer Production Private Limited

No. of Employees :

30 (Approximately)

Bankers :

Banker Name :	Axis Bank
Branch :	Surat, Gujarat, 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 :	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan) :	Not Divulged
Account Operation :	Not Divulged
Remark :	Not Divulged


Auditors :
Name :	J.R. Kakadiya and Company Chartered Accountants
Address :	A-205, City Centre, Near Reshambhavan, Lal Darwaja, Station Road, Surat – 395003, Gujarat, India
PAN No.:	AAEFJ8607Q

Collaborators :	Not Divulged

Membership :	Not Divulged

Associates/Subsidiaries :	--

CAPITAL STRUCTURE

AS ON 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount

10000	Equity Shares	Rs.10/- each	Rs.0.100 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

10000	Equity Shares	Rs.10/- each	Rs.0.100 Million

FINANCIAL DATA

[all figures are in Rupees Million]

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	0.100	0.100	0.100
(b) Reserves & Surplus	1.448	0.377	-0.109
(c) Money received against share warrants	0.000	0.000	0.000

(2) Share Application money pending allotment	0.000	1.221	0.000
Total Shareholders’ Funds (1) + (2)	1.548	1.698	-0.009

(3) Non-Current Liabilities
(a) long-term borrowings	5.650	0.000	1.121
(b) Deferred tax liabilities (Net)	0.177	0.030	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	5.827	0.030	1.121

(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	8.953	5.631	2.312
(c) Other current liabilities	0.000	0.000	0.000
(d) Short-term provisions	2.594	1.022	0.141
Total Current Liabilities (4)	11.547	6.653	2.453

TOTAL	18.922	8.381	3.565

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	3.200	0.525	0.242
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.080
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	3.200	0.525	0.322

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	5.168	1.625	0.000
(c) Trade receivables	4.702	2.996	1.526
(d) Cash and cash equivalents	5.247	2.934	1.602
(e) Short-term loans and advances	0.581	0.270	0.074
(f) Other current assets	0.024	0.031	0.041
Total Current Assets	15.722	7.856	3.243

TOTAL	18.922	8.381	3.565

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income
		Other Income
		TOTAL (A)	79.234	45.888	13.853

Less	EXPENSES
		TOTAL (B)	77.438	45.152	14.002

	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1.796	0.736	(0.149)

Less	FINANCIAL EXPENSES (D)		0.000	0.014	0.000

	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1.796	0.722	(0.149)

Less	DEPRECIATION/ AMORTISATION (F)		0.126	0.126	0.040

	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		1.670	0.596	(0.189)

Less	TAX (H)		0.599	0.110	0.000

	PROFIT/(LOSS) AFTER TAX (G-H) (I)		1.071	0.486	(0.189)

	Earnings Per Share (Rs.)		107.05	4.86	--

Particulars

31.03.2015

Sales Turnover (Approximately)

80.000

The above information has been parted by Mr. Yusuf

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars

31.03.2014

31.03.2013

31.03.2012

Current Maturities of Long term debt

Cash generated from operations

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Return on Total Assets (PBT/Total Assets)	(%)	8.83	7.11	(5.42)

Return on Investment (ROI) (PBT/Networth)		1.08	0.35	21.00

Debt Equity Ratio (Total Debt /Networth)		3.65	0.00	(124.56)

Current Ratio (Current Asset/Current Liability)		1.36	1.18	1.32

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million	Rs. In Million
Share Capital	0.100	0.100	0.100
Reserves & Surplus	(0.109)	0.377	1.448
Share Application money pending allotment	0.000	1.221	0.000
Net worth	(0.009)	1.698	1.548

long-term borrowings	1.121	0.000	5.650
Short term borrowings	0.000	0.000	0.000
Total borrowings	1.121	0.000	5.650
Debt/Equity ratio	(124.556)	0.000	3.650

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
Total Income	13.853	45.888	79.234
		231.250	72.668

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	13.853	45.888	79.234
Profit	-0.189	0.486	1.071
	-1.36%	1.06%	1.35%

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)	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	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	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	Yes
31	External Agency Rating, if available	No
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:

Particulars	31.03.2014 Rs. In Million	31.03.2013 Rs. In Million
Long Term Borrowings
Meera Vyas	1.800	0.000
Tejaskumar Ramdas Soni	1.250	0.000
Yusuf Kapadia	2.600	0.000

Total	5.650	0.000

NO CHARGES EXIST FOR COMPANY

FIXED ASSETS:

· Air Conditioner

· Digital Electronic Scale

· Microwave Oven

· Machine

· Refrigerator

· Vending Machine

· Barcode Printer

· Computer

· Financial Accounting Software

· Printer

· CC TV Camera

· Server

· Bike (Access 125)

· Cash Safe

· Furniture

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.63.69
UK Pound	1	Rs.99.73
Euro	1	Rs.71.90

INFORMATION DETAILS

Information Gathered by :	PRT

Analysis Done by :	KIN

Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO

TOTAL		28

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.

MIRA INFORM REPORT

Unit