MIRA INFORM REPORT

Report No. :	346581
Report Date :	23.10.2015

IDENTIFICATION DETAILS

Name :	FOURRTS (INDIA) LABORATORIES PRIVATE LIMITED [w.e.f.12.06.1996]
Formerly Known As :	FOURTS (INDIA) LABORATORIES PRIVATE LIMITED
Registered Office :	Plot No. 1 and 2, Fourrts Avenue, Annai Indra Nagar, Okkiyam Thoraipakkam, Chennai – 600097, Tamilnadu
Tel. No.:	91-44-49027550/ 43441880
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	31.03.1979
Com. Reg. No.:	18-007782
Capital Investment / Paid-up Capital :	Rs. 380.084 Million
CIN No.: [Company Identification No.]	U85185TN1979PTC007782
IEC No.:	0488046815
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAACF0467F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing and Selling of Pharmaceutical Formulations.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 2468000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject was incorporated in the year 1979 by Mr. S V Veerramani and his friends, it manufactures pharmaceutical formulations. It is based in Chennai (Tamilnadu) and it is having satisfactory track record. Rating takes consideration company’s established position in the pharmaceutical formulations segment and above-average financial risk profile, with healthy gearing and debt protection metrics. This rating strength is partially offset by the company’s exposure to risks related to intense competition in the pharmaceutical formulations industry and to ramp-up of operations at its new export-oriented unit. Trade relations are reported as fair. Business is active. Payment terms are reported to be usually correct. The company can be considered normal for business dealings at usual trade terms and conditions.

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 Bank facilities = BBB+
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	February 2015

Rating Agency Name	CRISIL
Rating	Short term Bank facilities = A2+
Rating Explanation	Strong degree of safety and low credit risk.
Date	February 2015

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 31-03-2015.

INFORMATION DECLINED

MANAGEMENT NON-COOPERATIVE

(CONTACT NO.: 91-44-49027550)

LOCATIONS

Registered/ Corporate Office :	Plot No. 1 and 2, Fourrts Avenue, Annai Indra Nagar, Okkiyam Thoraipakkam, Chennai – 600097, Tamilnadu, India
Tel. No.:	91-44-49027550/ 43441880
Fax No.:	91-44-24581199
E-Mail :	accounts@fourrts.com
Website :	http://www.fourrts.com
Factory 1 :	Vandalur Road, Kelambakkam – 603103, Tamilnadu, India
Tel. No.:	91-44-47404310/ 27474325
Fax No.:	91-44-27475083
Factory 2 :	# 23, Venkatamangalam, Kandigai, Chennai - 600048, Tamilnadu, India
Tel. No.:	91-44-49027550

DIRECTORS

AS ON 07.09.2012

Name :	Sekharipuram Viswanathan Veeramani
Designation :	Managing director
Address :	49 Kamaraj Avenue, II Street, Justice Ramaswamy Road, Adyar, Chennai, 600020, Tamilnadu, India
Date of Appointment :	31.03.1979
DIN No.:	00907641
Name :	Radha Veeramani
Designation :	Director
Address :	New No.172, Old No.49, Justice Ramaswamy Road, Kamaraj Avenue, Ii Street, Adyar, Chennai, 600020, Tamilnadu, India
Date of Appointment :	31.10.1991
PAN No.:	AGJPR0400J
DIN No.:	02878823

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 07.09.2012

Names of Shareholders	No. of Shares
Lalitha Guru	675
Aishwarya	1225
K.S. Narayanaswamy	300
C.H. Kamalam	1900
S.P. Gopalakrishnan	650
Parvathi Ramachandran	600
S.P. Ramachandran	600
P.S. Ramachandran	4000
Lalitha Gopalakrishnan	550
Ashwin	1600
R. Rajagopal	75
Uma Venkatesh	3000
S.V. Veerramani	950000
K.S. Kamala	2000
V. Gayathri	118805
K.N. Rajammal	700
V. Nithya	116180
Radha Veirramani	1001030
N. Mahadevan	1900
M. Radha	250
P. Kamal	650
L.N. Paramasivan	350
Nalina Seshadri	2000
Vidya Hariharan	2400
R. Seshadri	2000
K. S. Saraswathi	750
Suguna Ravi	2250
S.S. Radhakrishnan	2000
S V Subramanian	8000
Geetha Narayanan	2000
J Sunder	3200
L Mohan Iyer	3200
Total	2234840

AS ON 30.11.2012

Names of Allottees	No. of Shares
S.V. Veerramani	200000
Radha Veirramani	204000
Total	404000

AS ON 19.03.2014

Names of Allottees	No. of Shares
Radha Veirramani	59000
S.V. Veerramani	53000
V. Gayathri	55800
J Sunder	41400
V. Nithya	59400
L Mohan Iyer	41400
Total	310000

AS ON 07.09.2012

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	99.00
Other top fifty shareholders	1.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Selling of Pharmaceutical Formulations.

Products :

ITC Code No.	Product Descriptions
30049025	Medicine

Brand Names :

--

Agencies Held :

--

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS: NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference:	Not Divulged
Name of the Person (Designation):	Not Divulged
Contact Number:	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 (Designation):	Not Divulged
Contact Number:	Not Divulged
Since how long known:	Not Divulged
Maximum limit dealt:	Not Divulged
Experience:	Not Divulged
Remark	Not Divulged

No. of Employees :

Not Divulged

Bankers :

Bank Name:	Not Divulged
Branch:	Not Divulged
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 :

SECURED LOANS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG-TERM BORROWINGS
Rupee term loans from banks	175.985	253.156
Rupee term loans from others	1.268	0.000
SHORT TERM BORROWINGS
Rupee term loans from banks	619.672	0.000
Term loans from others	76.000	0.000
Total	872.925	253.156

Banking Relations :	--
Financial Institution :	Sbicap Trustee Company Limited
Auditors :
Name :	Vijayaraghavan and Associates Chartered Accountants
Address :	Old No 23, New No 51 Giri Road T Nagar Chennai – 600017, Taminadu, India
Income-tax PAN of auditor or auditor's firm :	AAAFV1842R
Memberships :	--
Collaborators :	--
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AFTER 29.09.2014

Authorised Capital : Rs. 500.000 Million

Issued, Subscribed & Paid-up Capital : Rs. 498.434 Million

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
5,000,000	Equity Shares	Rs. 100/- each	Rs. 500.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3,800,840	Equity Shares	Rs. 100/- each	Rs. 380.084 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	380.084	293.684	223.484
(b) Reserves & Surplus	483.877	436.210	454.625
(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)	863.961	729.894	678.109
(3) Non-Current Liabilities
(a) Long-term borrowings	178.269	255.027	414.939
(b) Deferred tax liabilities (Net)	71.544	63.658	14.773
(c) Other long term liabilities	13.982	13.982	15.532
(d) long-term provisions	58.639	37.511	36.125
Total Non-current Liabilities (3)	322.434	370.178	481.369
(4) Current Liabilities
(a) Short term borrowings	695.672	631.128	474.584
(b) Trade payables	311.385	226.366	245.793
(c) Other current liabilities	18.941	13.226	12.500
(d) Short-term provisions	148.443	102.508	76.088
Total Current Liabilities (4)	1174.441	973.228	808.965
TOTAL	2360.836	2073.300	1968.443
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	824.419	837.405	151.150
(ii) Intangible Assets	62.858	70.472	0.000
(iii) Capital work-in-progress	0.000	0.000	612.458
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.003	0.003	0.003
(c) Deferred tax assets (net)	18.115	10.942	19.848
(d) Long-term Loan and Advances	8.024	8.739	6.728
(e) Other Non-current assets	0.000	0.000	148.836
Total Non-Current Assets	913.419	927.561	939.023
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	217.589	186.098	164.344
(c) Trade receivables	655.385	471.162	462.191
(d) Cash and cash equivalents	466.571	419.565	297.442
(e) Short-term loans and advances	89.066	53.823	97.644
(f) Other current assets	18.806	15.091	7.799
Total Current Assets	1447.417	1145.739	1029.420
TOTAL	2360.836	2073.300	1968.443

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	GROSS INCOME AND OTHER INCOME		NA	2403.000	2156.200
Less	EXPENSES
		TOTAL	NA	NA	NA
	PROFIT BEFORE TAX		NA	NA	NA
Less	TAX		NA	NA	NA
	PROFIT AFTER TAX		148.267	101.500	91.900
	Earnings Per Share (Rs.)		39.01	34.56	41.12

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

PARTICULARS	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	0.000	0.000	0.000
Cash generated from operations	NA	NA	NA
Net Cash flow from (used in) Operations	NA	NA	NA

KEY RATIOS

PARTICULARS	31.03.2014	31.03.2013	31.03.2012
Debt Equity Ratio (Total Liability/Networth)	1.01	1.21	1.31
Current Ratio (Current Asset/Current Liability)	1.23	1.18	1.27

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)
Share Capital	223.484	293.684	380.084
Reserves & Surplus	454.625	436.210	483.877
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	0.000	0.000	0.000
Net worth	678.109	729.894	863.961
Long-term borrowings	414.939	255.027	178.269
Short term borrowings	474.584	631.128	695.672
CURRENT MATURITIES OF LONG-TERM DEBTS	0.000	0.000	0.000
Total borrowings	889.523	886.155	873.941
Debt/Equity ratio	1.312	1.214	1.012

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	No
8	Designation of contact person	No
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	Yes
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	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 two 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	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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	90285774	10/01/2005 *	650,000.00	STATE BANK OF INDIA	GUINDY BRANCH, CHENNAI, TAMIL NADU - 600032, INDIA	-
2	90284771	18/12/2002	1,000,000.00	STAE BANK OF INDIA	GUINDY BRANCH, CHENNAI, TAMIL NADU - 600032, INDIA	-
3	90285545	18/12/2002	9,200,000.00	STATE BANK OF INDIA	GUINDY BRANCH, CHENNAI, TAMIL NADU - 600032, INDIA	-
4	90284761	22/02/2001	1,250,000.00	STATE BANK OF INDIA	GUINDY BRANCH, CHENNAI, TAMIL NADU - 600032, INDIA	-
5	90285411	22/02/2001	4,500,000.00	STATE BANK OF INDIA	GUINDY BRANCH, CHENNAI, TAMIL NADU - 600032, INDIA	-
6	90285272	29/03/2000 *	3,900,000.00	STATE BANK OF INDIA	GUINDY BRANCH, CHENNAI, TAMIL NADU - 600032, INDIA	-
7	90284670	12/02/1998	99,840.00	CEAT FINANCIAL SERVICES LIMITED	3RD FLOOR RAJ COMPLEX 240 LLOYOS ROAD, MADRAS, TAM  IL NADU - 600086, INDIA	-
8	90284669	04/02/1998	225,949.00	CEAT FINANCIAL SERVICES LIMITED	3RD FLOOR RAJ COMPLEX 240 LLOYOS ROAD, MADRAS, TAM  IL NADU - 600086, INDIA	-
9	90285864	18/10/1996	127,656.00	CEAT FINANCIAL SERVICES LIMITED	3RD FLOOR RAJ COMPLEX NO.240 LLOYDS ROAD, MADRAS,  TAMIL NADU - 600086, INDIA	-
10	90284667	13/04/1991	750,000.00	STATE BANK OF INDIA	SHASTRI NAGAR BRANCH SHASTRI NAGAR, MADRAS, TAMIL  NADU - 600020, INDIA	-

* Date of charge modification

UNSECURED LOANS

PARTICULARS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG-TERM BORROWINGS
Deposits from others	1.016	1.871
SHORT TERM BORROWINGS
Deposits	631.128	0.000
Total	632.144	1.871

CONTINGENT LIABILITIES (AS ON 31.03.2014):

Contingent Liabilities not provided for in respect of:

1) Guarantees outstanding in favour of Customers/Government Departments issued by the Bank and secured by Counter Guarantees given by the Company Rs.28.631 Million (Rs.101.577 Million)

2) Letter of Credit outstanding for purchase of raw materials Rs.23.234 Million (Rs. 13.962 Million)

3) The estimated amount of contracts to be executed on capital accounts not provided for as at end of the year for construction of Plant II, stands at Rs. 37.471 Million (Rs. 54.211 Million).

FIXED ASSETS:

· Land

· Buildings

· Plant and equipment

· Factory equipments

· Other pollution reduction equipment

· Other plant and equipment

· Furniture and fixtures

· Vehicles

· Office equipment

· Computer equipments

· Other equipments

· Licenses and franchise

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. 65.15
UK Pound	1	Rs. 100.54
Euro	1	Rs. 73.97

INFORMATION DETAILS

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		49

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.