MIRA INFORM REPORT

Report No. :	342893
Report Date :	30.09.2015

IDENTIFICATION DETAILS

Name :	TEJAS NETWORKS LIMITED [w.e.f. 18.03.2008]

Formerly Known As :	TEJAS NETWORKS INDIA LIMITED [w.e.f. 23.10.2002] TEJAS NETWORKS INDIA PRIVATE LIMITED

Registered Office :	J. P. Software Park, Plot No 25, Sy. No 13,14,17,18, Konnapana Agrahara Village, Begur Hobli, Bangalore – 560100, Karnataka
Tel. No.:	91-80-41794600/ 700/ 800/ 51794600/ 700/ 800

Country :	India

Financials (as on) :	31.03.2014

Date of Incorporation :	24.04.2000

Com. Reg. No.:	08-026980

Capital Investment / Paid-up Capital :	Rs. 1009.792 Million

CIN No.: [Company Identification No.]	U72900KA2000PLC026980

IEC No.:	Not Available

TAN No.: [Tax Deduction & Collection Account No.]	BLRT01403D

PAN No.: [Permanent Account No.]	AABCT1670M

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Subject is Enabler of High-Performance Telecom Infrastructure by developing Innovative Carrier Class Communications Equipment.

No. of Employees :	Information declined by the management.

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Exist

Comments :	Subject was incorporated in the year 2000, having satisfactory track record. It is a leading provider of end-to end optical transport solutions to telecom service providers. For the financial year 2014, the company has recorded increase in its revenue by 43.54% and has achieved profit margin of 1.34%. The company possesses good net worth base marked by increase in its reserves and there is favourable gap between trade payables and receivables. Ratings also take into consideration company’s improved operating margins. Trade relations are fair. Business is active. Payments are reported to usually correct. The company can be considered 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

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	ICRA
Rating	Long Term Fund Based Limits = BBB+
Rating Explanation	Moderate degree of safety and moderate credit risk
Date	25.03.2015

Rating Agency Name	ICRA
Rating	Short Term Fund Based Limits = A2
Rating Explanation	Strong degree of safety and low credit risk
Date	25.03.2015

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 DENIED

Management non-Cooperative

91-80-41794600

LOCATIONS

Registered Office :	J. P. Software Park, Plot No 25, Sy. No 13,14,17,18, Konnapana Agrahara Village, Begur Hobli, Bangalore – 560100, Karnataka, India
Tel. No.:	91-80-41794600/ 700/ 800/ 51794600/ 700/ 800
Fax No.:	91-80-41214481/ 51214481 / 41794738
E-Mail :	info@tejasnetworks.com krishnakanthv@india.tejasnetworks.com
Website :	http://www.tejasnetworks.com

Head Office/ R & D Centre / Optical Lab :	Zone 2, 1st Floor, Khanija Bhavan, 49, Race Course Road, Bangalore – 560 001, Karnataka, India
Tel. No.:	91-80-2226 7495 / 2238 4712 – 19
Fax No.:	91-80-2226 7494
E-Mail :	info@tejasnetworks.com sanjay@tejasnetworks.com corporate@tejasnetworks.com
Website :	http://www.tejasnetworks.com
Area :	20000 sq. ft.
Location :	Rented

Branches 2 :	301, Sai Plaza, Junction of Jawahar Road, And RB Mehta Marg, Opposite Ghatkopar Railway Station, Ghatkopar (East), Mumbai – 4001 077, Maharashtra, India
Tel. No.:	91-22-65938780 / 25153767
Fax No.:	91-22-25103442
E-Mail :	sales-mumbai@tejasnetworks.com

Branches 3 :	2nd Floor, 11 Prem Sadan Building, Rajhendra Place, New Delhi – 110 008, India
Tel. No.:	91-11-6546 4059 / 6549 8589
Fax No.:	91-11-2572 1226
E-Mail :	sales-delhi@tejasnetworks.com

Sales Office:	· 104, Sagar Shopping Centre, 76, J P Road Andheri (West), Mumbai – 400058, Maharashtra , India · R 535, 2^nd Floor, New Rajinder Nagar, New Delhi – 110060, India Tel: 91-11-5546-4059 Telefax: 91-11-2874-5106

Overseas Office:	· Tejas Networks Inc., 595 Summer Street, Suite 2, Stamford, Connecticut 06901, USA · C/o. Tejas Communication Pte. Ltd., 6, Shenton Way, #28-09 DBS Building Tower Two, Singapore - 068809 Email: sales-international@tejasnetworks.com Tejsas networks India limited · C/o Sandstone Capital, 177 Milk Street, 1^st Floor, Boston, MA – 02109 Email: sales-international@tejasnetworks.com

Branches 4 :	58, 1st Main Road, J. P Nagar, 3rd Phase, Bangalore 560 078, Karnataka, India

Branches 5 :	Located At : · Bangalore · Gurgaon · Mumbai · Kolkata · Pondicherry

DIRECTORS

AS ON 24.09.2014

Name :

Ashok Jhunjhunwala

Designation :

Director

Address :

C2-2-5, Third Loop Road, IIT Campus, IIT Madras, Chennai - 600036, Tamil Nadu, India

Date of Birth :

22.06.1953

Date of Appointment :

07.03.2002

DIN No.:

00417944

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	U74999TN2000NPL045443	VISHAL BHARATH COMNET	Director	25/07/2000	25/07/2000	30/09/2013	Active	NO
2	L72100KA1989PLC014226	SASKEN COMMUNICATION TECHNOLOGIES LIMITED	Director	22/09/2014	22/11/2000	-	Active	NO
3	U72200DL2000PLC184006	JATAAYU SOFTWARE LIMITED	Director	04/05/2001	04/05/2001	14/12/2007	Amalgamated	NO
4	L65993TN1993PLC024142	Polaris Consulting & Services Limited	Director	23/07/2014	16/06/2001	-	Active	NO
5	U64202TN2000PTC044818	N-LOGUE COMMUNICATIONS PRIVATE LIMITED	Director	28/12/2001	28/12/2001	01/10/2005	Under liquidation	NO
6	U72900KA2000PLC026980	TEJAS NETWORKS LIMITED	Director	07/03/2002	07/03/2002	-	Active	NO
7	U72900DL2003NPL120999	NATIONAL INTERNET EXCHANGE OF INDIA	Nominee director	19/06/2003	19/06/2003	-	Active	NO
8	U30007TN1994PTC027281	MIDAS COMMUNICATION TECHNOLOGIES PRIVATE LIMITED	Director	18/09/2003	18/09/2003	01/06/2009	Active	NO
9	U74899DL1987GOI002354	NATIONAL RESEARCH DEVELOPMENT CORPORATION	Director	08/02/2005	08/02/2005	08/02/2008	Active	NO
10	U73100TN2006NPL059651	IIT MADRAS RESEARCH PARK	Director	27/04/2006	27/04/2006	-	Active	NO
11	L32309KA1954GOI000787	BHARAT ELECTRONICS LIMITED	Director	19/09/2006	23/05/2006	22/05/2009	Active	NO
12	L67120MH1993PLC074411	3I Infotech Limited	Director	25/07/2007	19/10/2006	15/09/2014	Active	NO
13	L64200MH1995PLC086354	TATA TELESERVICES (MAHARASHTRA) LIMITED	Director	25/09/2014	12/04/2007	-	Active	NO
14	U40106TG2007PTC052755	InteliZon Energy Private Limited	Additional director	04/01/2008	04/01/2008	01/08/2008	Active	NO
15	L64200MH1986PLC039266	Tata Communications Limited	Director	07/08/2009	25/10/2008	-	Active	NO
16	U64203HP1994PLC014541	EXICOM TELE-SYSTEMS LIMITED	Director	07/09/2009	31/12/2008	-	Active	NO
17	U73100DL2012NPL233152	BIOTECHNOLOGY INDUSTRY RESEARCH ASSISTANCE COUNCIL	Director	25/06/2013	25/06/2013	-	Active	NO
18	U73200TN2013NPL094014	IITM INCUBATION CELL	Director	03/12/2013	03/12/2013	-	Active	NO
19	U34101KA1996PTC020195	Mahindra Reva Electric Vehicles Private Limited	Director	22/09/2014	20/01/2014	-	Active	NO
20	L72900TN2011PLC080183	INTELLECT DESIGN ARENA LIMITED	Director	17/09/2014	17/09/2014	-	Active	NO

Name :

Sanjay Nayak

Designation :

Karnataka, India

Address :

529, 17- D Main, 6th Block, Koramangala, Bangalore - 560095, Karnataka, India

Date of Birth :

28.06.1964

Date of Appointment :

01.01.2014

Qualification :

BE (BIT Ranchi); MS (Computer Engeeneing) NCSU

Experience :

06.05.2000

PAN No.:

AAAPN0409J

DIN No.:

01049871

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	U72900KA2000PLC026980	TEJAS NETWORKS LIMITED	Managing director	01/01/2014	06/05/2000	-	Active	NO
2	U32201KA2013PTC071695	vSave Energy Private Limited	Director	06/11/2013	06/11/2013	-	Active	NO
3	U73100KA2014NPL074734	ELCIA ESDM CLUSTER	Nominee director	05/06/2014	05/06/2014	-	Active	NO

Name :

Gururaj Deshpande

Designation :

Director

Address :

11, Fairway Drive, Andover, MA - 01810, United States Of America

Date of Birth :

30.11.1950

Date of Appointment :

24.04.2000

DIN No.:

01979383

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	U72900KA2000PLC026980	TEJAS NETWORKS LIMITED	Director	24/04/2000	24/04/2000	-	Active	NO
2	U72200KA2008PTC047066	HiveFire Technologies India Private Limited	Director	07/07/2008	07/07/2008	20/04/2011	Strike off	NO

Name :

Balakrishnan Venkatraman

Designation :

Director

Address :

567, 6th Main Road, 3rd Stage, 3rd Block,, Basaveshwara Nagar, Bangalore - 560079, Karnataka, India

Date of Birth :

30.10.1964

Date of Appointment :

11.06.2010

DIN No.:

02825465

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	U72900KA2000PLC026980	TEJAS NETWORKS LIMITED	Director	11/06/2010	09/11/2009	-	Active	NO
2	U80900DL2010NPL209163	EXTENSIBLE BUSINESS REPORTING LANGUAGE (XBRL) INDIA	Director	05/12/2011	28/01/2011	15/06/2015	Active	NO
3	L85110KA1981PLC013115	INFOSYS LIMITED	Whole-time director	09/06/2012	11/06/2011	31/12/2013	Active	NO
4	U72200KA2002PLC030310	INFOSYS BPO LIMITED	Director	08/06/2012	11/06/2011	31/12/2013	Active	NO
5	U67190KA2009PTC051638	MICROGRAAM MARKETPLACE PRIVATE LIMITED	Director	01/04/2013	01/04/2013	-	Active	NO
6	U72200KA2010PTC056070	AVEKSHAA TECHNOLOGIES PRIVATE LIMITED	Director	08/11/2014	08/11/2014	-	Active	NO
7	U72400KA2014PTC073219	CLONECT SOLUTIONS PRIVATE LIMITED	Director	15/12/2014	05/12/2014	-	Active	NO
8	U74130PN2010PTC137755	Realtime Taxsutra Services Private Limited	Additional director	03/03/2015	03/03/2015	-	Active	NO
9	AAE-4615	BLUERESERVOIR BUSINESS SERVICES LLP	Designated Partner	29/07/2015	29/07/2015	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Krishnakanth Venkata Gangavarapu
Designation :	Secretary
Address :	10, 6^th Cross, P.R. Layout, Bangalore – 560017, Karnataka, India
Date of Birth/Age :	27.08.1980
Date of Appointment :	16.03.2011
PAN No.:	AKSPM6451B

Name :	Dr. Kumar N Sivarajan
Designation :	CTO
Qualification :	B.Tech (IIT-M), Ph.D (EE), Cal Tech, USA,
Date of Appointment :	01.05.2000
Experience :	27.6 Years

Name :	Mr. Arnob Roy
Designation :	President-Engineering
Qualification :	B.Tech(IIT-KGP); MS (EE), Unebraska, USA
Experience :	28 Years
Date of Appointment :	10.05.2000

Name :	Mr. Murali R
Designation :	CFO
Qualification :	B.A, C A
Experience :	29.2 Years
Date of Appointment :	28.08.2006

Name :	Mr. Harmeet Singh
Designation :	Senior Vice President – International Business Development
Qualification :	B. Tech, P.hd
Experience :	17.9 years
Date of Appointment :	01.01.2007

Name :	Mr. Allan Philip
Designation :	Technical Director
Qualification :	BE,
Experience :	23.6 years
Date of Appointment :	12.04.2010

Name :	Mr. Rajiv Mahajan
Designation :	Sr. Vice President Domestic Sales
Qualification :	BE, MS
Experience :	24.3 Years
Date of Appointment :	27.10.2000

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 24.09.2014

DETAILS OF SHAREHOLDERS ARE ATTACHED.

Equity Share Break up (Percentage of Total Equity)

AS ON 24.09.2014

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	48.60
Bodies corporate	0.28
Directors or relatives of Directors	2.29
Other top fifty shareholders	46.65
Others	2.18
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is Enabler of High-Performance Telecom Infrastructure by developing Innovative Carrier Class Communications Equipment.

Products :

Item Code No.

Product Description

8517

8523

Multiplexers Optical Networking and Telecommunication
Software

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Available

Imports :

Not Available

Terms :

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	Axis Bank Limited
Branch	Corporate Banking Branch, Queens Road, Bangalore - 560001, Karnataka, India
Person Name (With Designation)	Not Available
Contact Number	Not Available
Name of Account Holder	Not Available
Account Number	Not Available
Account Since (Date/Year of Account Opening)	Not Available
Average Balance Maintained (If Possible)	Not Available
Credit Facilities Enjoyed (If any)	Not Available
Account Operation	Not Available
Remarks (If any)	Not Available

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Loans against Fixed Deposits (Secured against fixed deposit maintained with the Bank, at an interest rate of 12.9% and repayable on 5th February, 2016)	250.000	0.000

Short-term borrowings
Term Loan from Banks	2030.328	1593.579
Total	2280.328	1593.579

Auditors :
Name :	Deloitte Haskin and Sells Chartered Accountants
Address :	Deloitte Centre, Anchorage II, 100/2, Richmond Road, Bangalore - 560 025, Karnataka, India
PAN No. of Auditors Firm:	AACFD3771D

Memberships :	Not Divulged

Collaborators :	Not Divulged

Subsidiaries :	Tejas Communication Pte. Limited, SINGAPORE Tejas Israel Limited, ISRAEL Vsave Energy Private Limited, INDIA, [U32201KA2013PTC071695]

CAPITAL STRUCTURE

AS ON 24.09.2014

Authorised Capital: Rs. 1764.520 Million

Issued, Subscribed & Paid-up Capital: Rs. 1255.311 Million

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount

109,900,000	Equity Shares	Rs. 10/- each	Rs. 1099.000 Million
420,000	Preference Shares	Rs. 1000/- each	Rs. 420.000 Million
			Rs. 1519.000 Million

Issued Capital:

No. of Shares	Type	Value	Amount

91,001,377	Equity Shares	Rs. 10/- each	Rs. 910.014 Million
394,330	Preference Shares	Rs. 1000/- each	Rs. 394.330 Million
			Rs. 1304.344 Million

Subscribed and Paid-up Capital:

No. of Shares	Type	Value	Amount

Subscribed and fully Paid-up Capital:
58,273,447	Equity Shares	Rs. 10/- each	Rs. 582.734 Million
394,330	Compulsorily Convertible Preference Shares	Rs. 1000/- each	Rs. 394.330 Million

Subscribed and not fully Paid-up Capital:

32,727,930	Equity Shares	Rs. 10/- each	Rs. 32.728 Million
	Total		Rs. 1009.792 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	1,009.792	1,009.792	615.462
(b) Reserves & Surplus	2,331.483	2,278.712	3,044.404
(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)	3,341.275	3,288.504	3,659.866

(3) Non-Current Liabilities
(a) long-term borrowings	300.000	30.000	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	4.345	1.751	0.000
(d) long-term provisions	15.922	25.644	30.876
Total Non-current Liabilities (3)	320.267	57.395	30.876

(4) Current Liabilities
(a) Short term borrowings	2,179.138	1,768.964	1,655.905
(b) Trade payables	1,418.588	1,136.963	734.792
(c) Other current liabilities	119.420	54.897	46.712
(d) Short-term provisions	19.730	10.078	11.368
Total Current Liabilities (4)	3,736.876	2,970.902	2,448.777

TOTAL	7,398.418	6,316.801	6,139.519

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	289.696	132.439	87.353
(ii) Intangible Assets	356.007	634.538	532.161
(iii) Capital work-in-progress	0.000	2.131	0.000
(iv) Intangible assets under development	843.235	717.664	759.860
(b) Non-current Investments	45.879	45.672	587.546
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	535.819	486.332	460.128
(e) Other Non-current assets	340.074	8.558	1.608
Total Non-Current Assets	2,410.710	2,027.334	2,428.656

(2) Current assets
(a) Current investments	0.000	0.000	158.567
(b) Inventories	2,083.120	2,007.210	2,029.824
(c) Trade receivables	2,174.009	1,263.733	740.931
(d) Cash and cash equivalents	220.190	554.197	256.877
(e) Short-term loans and advances	355.462	416.969	499.379
(f) Other current assets	154.927	47.358	25.285
Total Current Assets	4,987.708	4,289.467	3,710.863

TOTAL	7,398.418	6,316.801	6,139.519

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	3,947.298	2,749.808	1,806.863
	Other Income	109.244	128.616	186.625
	TOTAL SALES	4,056.542	2,878.424	1,993.488

Less	EXPENSES
	Cost of Materials Consumed	1,859.244	1,364.123	990.666
	Purchases of Stock-in-Trade	0.000	0.000	0.000
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	0.000	0.000	0.000
	Employees benefits expense	415.731	416.361	513.470
	Exceptional Items	0.000	541.874	0.000
	Other expenses	729.753	507.003	466.190
	TOTAL EXPENSES	3,004.728	2,829.361	1,970.326

Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	1,051.814	49.063	23.162

Less	FINANCIAL EXPENSES	440.586	334.469	373.270

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	611.228	(285.406)	(350.108)

Less	DEPRECIATION/ AMORTISATION	558.457	480.286	443.144

	PROFIT/ (LOSS) BEFORE TAX	52.771	(765.692)	(793.252)

Less	TAX	0.000	0.000	0.000

	PROFIT/ (LOSS) AFTER TAX	52.771	(765.692)	(793.252)

	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	1,673.693	939.552	515.552
	Royalty	0.032	20.927	16.404
	Sales commission	0.040	26.159	0.000
	Dividend & Interest	0.000	0.000	98.059
	Corporate charges	19.099	33.922	43.449

	TOTAL EARNINGS	1,692.864	1,020.560	673.464

	IMPORTS
	Raw Materials	1,469.441	938.394	938.394
	Components and Stores parts	0.000	0.000	0.000
	Capital Goods	32.081	70.694	7,5.0,89
	TOTAL IMPORTS	1,501.522	1,009.088	938.394

	Earnings / (Loss) Per Share (Rs.)	0.86	(12.44)	(3.00)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	119.420	54.897	NA
Cash generated from operations	NA	NA	NA
Cash generated from (Used) operations	218.620	506.131	263.162
Net cash flows from (used in) operating activities	192.484	496.131	224.083

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	1.34	(27.85)	(43.90)

Operating Profit Margin (PBIDT/Sales)	(%)	26.65	1.78	1.28

Return on Total Assets (PBT/Total Assets}	(%)	0.81	(13.79)	(16.55)

Return on Investment (ROI) (PBT/Networth)		0.02	(0.23)	(0.22)

Debt Equity Ratio (Total Debt /Networth)		0.78	0.56	0.45

Current Ratio (Current Asset/Current Liability)		1.33	1.44	1.52

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	615.462	1009.792	1009.792
Reserves & Surplus	3044.404	2278.712	2331.483
Net worth	3659.866	3288.504	3341.275

long-term borrowings	0.000	30.000	300.000
Short term borrowings	1655.905	1768.964	2179.138
Total borrowings	1655.905	1853.861	2598.558
Debt/Equity ratio	0.452	0.564	0.778

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
Sales	1806.863	2749.808	3947.298
	--	52.187	43.548

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million	Rs. In Million
Sales	1806.863	2749.808	3947.298
Profit	(793.252)	(765.692)	52.751
	(43.90%)	(27.85%)	1.34%

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	Yes
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 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	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

Note: Registered office of the company is shifted from 2nd Floor, GNR Tech Park, 46/4, Garvebhavi Palya, Kudlu Gate, Hosur Main Road, Bangalore - 560068, Karnataka, India to present address w.e.f. 16.05.2012.

HIGH COURT OF KARNATAKA Bengaluru Bench CA 1638/2013

Petitioner/Applicant Name	M/S CENTUM ELECTRONICS LIMITED	Respondent/Defendant Name	M/S TEJAS NETWORKS LIMITED
Petnr./Appnt. Advocate	VIVEK P BAJAJ	Respnt./Defnt. Advocate	--
Date Filed	29/08/2013	District	Bangalore City

CORPORATE INFORMATION:

Tejas Networks Limited is a leading enabler of high-performance telecom infrastructure by developing innovative carrier class communications equipment. Tejas pioneered the development of a strong portfolio of packet-aware optical transport products based on SDH/SONET and has been credited with one of the first commercial deployments of Ethernet-over-SDH/SONET. Tejas has developed products that transition legacy networks into intelligent, ethernet-enabled networks, which can be used to offer many new revenue-generating, data services.

UNSECURED LOAN

(Rs. in millions)

PARTICULARS	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Term loan from Others (Repayable in the form of annual Royalties @ 26% of total grant received for a period of 5 years from the date of commercialization. If project is abandoned then total grant received to be repaid with interest @ 12% p.a.)	50.000	30.000

Short-term borrowings
Term loan from Others	148.810	175.385
Total	198.810	205.385

CONTINGENT LIABILITIES:

(Rs. in millions)

PARTICULARS	31.03.2014
Contingent liabilities and commitments
Contingent liabilities
(a) Bills Discounted	602.259
(b) Disputed Central Excise Demands	138.186
(c) Disputed Income Tax Demands	383.872
(d) Guarantees issued	389.448

Commitments
Tangible assets	1.214
Total	1514.979

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10569226	24/04/2015	390,000,000.00	Export-Import Bank of India	CENTRE ONE, FLOOR 21,, WORLD TRADE CENTRE, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA	C53542726
2	10513170	09/08/2014	13,000,000.00	Export-Import Bank of India	CENTRE ONE, FLOOR 21,, WORLD TRADE CENTRE, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA	C15209182
3	10406859	30/01/2013	585,000,000.00	VIJAYA BANK	12/10, JALAHALLI BRANCH, M.S.R.MAIN ROAD, SUNDAR NAGAR, GOKULA, BANGALORE, KARNATAKA - 560054, INDI A	B69117505
4	10314681	10/10/2011	650,000,000.00	DBS BANK LIMITED	SALARPURIA WINDSOR, NO.2, ULSOOR ROAD, BANGALORE, KARNATAKA - 560042, INDIA	B24130080
5	10116502	21/01/2015 *	980,000,000.00	Standard Chartered Bank	NO.112, 'SERENITY',K'MANGALA, KORAMANGALA, 5TH BL OCK,, BANGALORE, KARNATAKA - 560095, INDIA	C43651611
6	10037315	17/08/2007 *	660,000,000.00	Citibank N.A.	506-507, LEVEL 5,, PRESTIGE MERIDIAN 2, #30, M. G . ROAD,, BANGALORE, KARNATAKA - 560001, INDIA	A22861736
7	10016338	17/12/2014 *	500,000,000.00	Axis Bank Limited	CORPORATE BANKING BRANCH, QUEENS ROAD, BANGALORE, KARNATAKA - 560001, INDIA	C39785688
8	80005192	07/06/2011 *	700,000,000.00	ING VYSYA BANK LIMITED	22,GROUND FLOOR,ING VYSYA HOUSE,, M.G.ROAD,, BANG ALORE, KARNATAKA - 560001, INDIA	B15567605

FIXED ASSETS

Land and Building
Furniture’s and Fixtures
Office Equipment
Computer
Vehicles
Factory Equipments
Lease hold improvements & Electrical Installation
Research and Development Assets
Lab equipment
Networking equipment

PRESS RELEASE:

TEJAS EYES OVER RS. 5000.000 Million REVENUE THIS FY, UP OVER 30%

Tejas Networks, a networking and telecommunication gear maker, is expecting to close the ongoing financial year with revenue of over Rs. 5000.000 Million, a top official said.

17 November 2014

NEW DELHI:

Tejas Networks, a networking and telecommunication gear maker, is expecting to close the ongoing financial year with revenue of over Rs. 5000.000 Million, a top official said. "Last year, our revenue was around Rs. 4000.000 Million. We are expecting around 30% growth in revenue this year," Dr Kumar N Sivarajan, co-founder and CTO at Tejas Networks, told ET.

Tejas makes and sells optical networking equipment and has significant presence in the Packet Transport Networking (PTN) solutions space. It invests close to 20% of its overall revenues in research and development (R&D) every year. After India, Malaysia is the second biggest market for the company after India. It is also present in seven international markets, including Bangladesh, Middle East, Africa and Mexico.

Sivarajan said that the company earned more than 50% revenue from outside India last year. "It was for the very first time that our international revenue surpassed India revenue." According to Sivarajan, the company's packet transport solution with MPLS TP technology is getting traction in many markets outside India.
Tejas recently won a Packet Transport Networking (PTN) solutions deal worth Rs. 10.000 million from Malaysia's telecom infrastructure provider SACOFA. It had also won a deal from RailTel in a tender based on PTN technology.

"Our new wins are based on this MPLS technology. Many carriers in India and worldwide are going to implement MPLS technology based optical transport solutions. We are well placed to win good chunk of optical business and expect more wins based on this technology in India and outside India markets," Sivarajan said.

In India, the company works with state-run BSNL, RailTel and PowerGrid among others in the government space. Bharti Airtel and Tata Communications are some large customers in the private telco space. "We have a large customer base in India, which we want to expand further," Sivarajan said. The company faces major competition from the Chinese gear makers Huawei and ZTE. However, Sivarajan said that Tejas leads the MPLS-based PTN market and is ahead of the competition in the country.

According to Sivarajan, 4G technology will drive fiberisation of towers in the country due to high bandwidth requirement. Presently, a majority of towers are on microwave in India. "Fiberisation is good in general for the telecom industry and particularly for optical transport business where Tejas operates in." He added that 4G will do to broadband what mobile did to telephony in the country, since there will be more demand for bandwidth. The company has close to 600 people across its operations with 90% workforce in India.

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. 66.18
UK Pound	1	Rs. 100.46
Euro	1	Rs. 74.61

INFORMATION DETAILS

Information Gathered by :	DIP

Analysis Done by :	AMT

Report Prepared by :	SYL

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		45

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.