MIRA INFORM REPORT

Report No. :	488879
Report Date :	13.02.2018

IDENTIFICATION DETAILS

Name :	ITG SOFTWARE ENGINEERING (INDIA) PRIVATE LIMITED (w.e.f. 09.10.2003)
Formerly Known As :	ITG SOFTWARE ENGINEERING PRIVATE LIMITED
Registered Office :	A-1, Dhawan Deep 6, Jantar Mantar Road, New Delhi - 110001
Tel. No.:	91-141-2771997
Country :	India
Financials (as on) :	31.03.2017
Date of Incorporation :	28.02.2003
Com. Reg. No.:	55-119203
Capital Investment / Paid-up Capital :	INR 1.261 Million
CIN No.: [Company Identification No.]	U72200DL2003PTC119203
IEC No.:	1305002547
GSTIN No.:	08AABCI1225K1ZR
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AABCI1225K
Legal Form :	Private Limited Liability Company
Line of Business :	· Trader, Importer and Distributor of Industrial Automation Products, Solutions, Providing Services, Repairing, Maintenances for Software and Software Marketing. [Confirmed By Management] · Subject is engaged into trading of Software and Computer Hardware and also providing of consultancy services. [Registered Activity]
No. of Employees :	12 (Approximately)

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

Maximum Credit Limit :	USD 35000
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a subsidiary of “ITG System Inc., California” incorporated in the year 2003 having satisfactory track record. It is engaged as trader, importer, distributor of industrial automation product and solution and providing services. For the financial year 2017, the company has achieved fair growth in its revenue as compared to its previous year along with average profit margin during the year. Rating takes into consideration, the favorable financial risk profile marked by comfortable operation margins along with high debt coverage indicators. Rating continue to derive strength from, long and established track record of its business operation backed by well experienced promoter group. However rating strengths are partially offset by the fluctuating input prices and amidst competitive scenario. Payments seems to be slow but correct. In view of aforesaid, 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

Country Name	Previous Rating (30.06.2017)	Current Rating (30.09.2017)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	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 31-03-2016.

BIFR (Board for Industrial & Financial Reconstruction) LISTING STATUS

Subject’s name is not listed as a Sick Unit in the publicly available BIFR (Board for Industrial & Financial Reconstruction) list as of 13.02.2018.

IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS

Subject’s name is not listed in the publicly available IBBI (Insolvency and Bankruptcy Board of India) list as of report date.

INFORMATION PARTED BY

Name :	Mr. Rohit Sharma
Designation :	Manager
Contact No.:	91-9001758222
Date :	06.02.2018

Tel No.: 91-141-2771995/3027953 (No. does not exist)

LOCATIONS

Registered Office :	A-1, Dhawan Deep 6, Jantar Mantar Road, New Delhi – 110001, India
Tel. No.:	Not Available
Mobile No.:	91-9001758222 (Mr. Rohit Sharma)
Fax No.:	Not Available
E-Mail :	rohitsh@itgindia.com accounts@itgindia.com
Website :	http://www.itgindia.com
Location :	Owned
Locality :	Commercial
Head Office/ Warehouse :	H1- 240 to 243 and H1-252 to 255, EPIP, RIICO Industrial Area, Sitapura, Jaipur-302022, Rajasthan India

DIRECTORS

AS ON 31.03.2017

Name :	Mrs. Meeran Devi
Designation :	Director
Address :	CHH 5 BGKT Extension, Scheme Basni, Jodhpur- 342001, Rajasthan India
Date of Appointment :	26.08.2004
DIN No.:	01345517
Name :	Mr. Yeong Sun Kou
Designation :	Director
Address :	7630 Elder Wood Ct Cupertino 95014 US
Date of Appointment :	30.09.2005
DIN No.:	01874986
Name :	Mr. Alkesh Choudhary
Designation :	Director
Address :	6573, Rocky Crest, Dr. San Jose, California 95120 US
Date of Appointment :	28.02.2003
DIN No.:	02476343
Name :	Mr. Juin Jay Lee
Designation :	Director
Address :	203, Oak Wood Way Los Gatos Ca Los Gatos Ca 95032 US
Date of Appointment :	30.09.2005
DIN No.:	02879311

KEY EXECUTIVES

Name :	Mr. Rohit Sharma
Designation :	Manager

MAJOR SHAREHOLDERS

AS ON 31.03.2017

Names of Shareholders	No. of Shares	% of Holding
Om Prakash Choudhary	4000	3.17
Alkesh Choudhary	5000	3.97
Meeran Devi Choudhary	1000	0.79
ITG System Inc., USA	116100	92.07
Total	126100	100.00

AS ON 07.08.2017

Equity Share Break up	Percentage
Category
Promoters – [Individual/Hindu Undivided Family – Indian]	7.93
Public/Other than promoters -[Bodies corporate]	92.07
Total	100.00

BUSINESS DETAILS

Line of Business :

· Trader, Importer and Distributor of Industrial Automation Products, Solutions, Providing Services, Repairing, Maintenances for Software and Software Marketing. [Confirmed By Management]

· Subject is engaged into trading of Software and Computer Hardware and also providing of consultancy services. [Registered Activity]

Products / Services :

ITC Code	Product/ Services Description
99612840	Trading Software and Hardware

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Products :

Automation Products

Countries :

Taiwan

Terms :

Selling :

Cash, Cheque, Credit and NEFT, RTGS

Purchasing :

Cash, Cheque, Credit and NEFT, RTGS

PRODUCTION STATUS – (NOT AVAILABLE)

GENERAL INFORMATION

Suppliers :

· Adhar Infonet Private Limited

· Advancetech Industrial Computing India Private Limited

· Advantech Company Limited

· Tata Communication Limited

· Jeena and Company

· Ridhi Sidhi Computers

· M.M Parcel Services

· Monad Electronics

· Sky Tours and Holiday

· Law Line

Customers :

Wholesalers, Retailers and End Users

· Centum Electronics Limited

· Digi Drives Private Limited

· Forbes Marshall Private Limited

· Ganga Acrowools Limited

· Grind Master Machines Private Limited

· Mahindra and Mahindra Limited

· NTPC Limited

· Mel Systems and Services

· Micron Systems

· Park Controls and Communication Limited

No. of Employees :

12 (Approximately)

Bankers :

Bank Name	IDBI Bank Limited
Branch	Jaipur, Rajasthan, India
Person Name (With Designation)	--
Contact Number	--
Name of Account Holder	--
Account Number	--
Account Since (Date/Year of Account Opening)	--
Average Balance Maintained (If Possible)	--
Credit Facilities Enjoyed (If any)	--
Account Operation	--
Remarks (If any)	--

· IDBI Bank Limited

· HDFC Bank Limited

Auditors :
Name :	Daiya Tiwari and Soni Chartered Accountants
Address :	103, D-10, Raj Villas Aprtment I, Meera Marg Bani Park Jaipur – 302016, Rajasthan, India
Tel. No.:	761-2200421/2200422
PAN No.:	AABFD3664J
Memberships :	Not Available
Collaborators :	Not Available
Holding Company (Confirmed by management) :	ITG Systems Inc., USA
Companies controlled by directors, promoters, and KMP and their relative:	· Opal Soft Inc. · Tele Synergy

CAPITAL STRUCTURE

AS ON 30.09.2017

Authorised Capital :

No. of Shares	Type	Value	Amount
400000	Equity Shares	INR 10/- each	INR 4.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
126100	Equity Shares	INR 10/- each	INR 1.261 Million

FINANCIAL DATA

[all figures are INR Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2017	31.03.2016	31.03.2015
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	1.261	1.261	1.261
(b) Reserves & Surplus	11.011	9.783	8.736
(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)	12.272	11.044	9.997
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.556	0.504	0.467
(c) Other long term liabilities	5.515	5.515	5.515
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	6.071	6.019	5.982
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	16.125	13.217	11.707
(c) Other current liabilities	3.604	2.835	2.723
(d) Short-term provisions	0.813	0.812	0.950
Total Current Liabilities (4)	20.542	16.864	15.380
TOTAL	38.885	33.927	31.359
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	10.453	10.678	11.114
(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	0.000
(d) Long-term Loan and Advances	0.106	0.106	0.085
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	10.559	10.784	11.199
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	6.494	5.905	8.107
(c) Trade receivables	14.091	10.539	8.128
(d) Cash and cash equivalents	5.720	3.039	2.855
(e) Short-term loans and advances	1.980	3.660	1.070
(f) Other current assets	0.041	0.000	0.000
Total Current Assets	28.326	23.143	20.160
TOTAL	38.885	33.927	31.359

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017	31.03.2016	31.03.2015
	SALES
	Income	67.837	61.909	41.240
	Other Income	0.451	0.070	0.159
	TOTAL	68.288	61.979	41.399
Less	EXPENSES
	Cost of Materials Consumed	0.000	0.000	0.000
	Purchases of Stock-in-Trade	52.843	42.309	23.848
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	-0.589	2.201	0.346
	Direct Expenses	2.078	1.797	0.732
	Employees benefits expense	6.236	6.421	10.336
	Selling and Distribution Expenses	1.730	3.462	1.501
	Other expenses	3.646	3.384	2.419
	TOTAL	65.944	59.574	39.182
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	2.344	2.405	2.217
Less	FINANCIAL EXPENSES	0.126	0.349	-0.018
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	2.218	2.056	2.235
Less/ Add	DEPRECIATION/ AMORTISATION	0.414	0.491	0.704
	PROFIT/ (LOSS) BEFORE TAX	1.804	1.565	1.531
Less	TAX	0.541	0.484	0.458
	PROFIT/ (LOSS) AFTER TAX	1.263	1.081	1.073
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	2.041	5.502	6.778
	TOTAL EARNINGS	2.041	5.502	6.778
	Earnings / (Loss) Per Share (INR)	10.01	8.57	8.51

Expected Sales (2017-2018): INR 70.000 Million [Due to the Business Growth]

The above information has been parted by Mr. Rohit Sharma [Manger]

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2017	31.03.2016	31.03.2015
Current Maturities of Long term debt	NA	NA	NA
Cash generated from operations	NA	NA	NA
Net cash flow from operating activities	NA	NA	NA

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Average Collection Days [Sundry Debtors / Income * 365]	75.82	62.14	71.94
Account Receivables Turnover [Income / Sunday Debtors]	4.81	5.87	5.07
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	111.38	114.02	179.18
Inventory Turnover (Operating Income / Inventories)	0.36	0.41	0.27
Asset Turnover (Operating Income / Net Fixed Assets)	0.22	0.23	0.20

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.53	0.50	0.49
Debt Equity Ratio (Total Liability / Networth)	0.00	0.00	0.00
Current Liabilities to Networth (Current Liabilities / Net Worth)	1.67	1.53	1.54
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.85	0.97	1.11
Interest Coverage Ratio (PBIT / Financial Charges)	18.60	6.89	(123.17)

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016	31.03.2015
PAT to Sales ((PAT / Sales) * 100)	%	1.86	1.75	2.60
Return on Total Assets ((PAT / Total Assets) * 100)	%	3.25	3.19	3.42
Return on Investment (ROI) ((PAT / Networth) * 100)	%	10.29	9.79	10.73

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Current Ratio (Current Assets / Current Liabilities)	1.38	1.37	1.31
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	1.06	1.02	0.78
G-Score Ratio Financial (Networth / Total Assets)	0.32	0.33	0.32
G-Score Ratio Debt (Debts / Equity Capital)	0.00	0.00	0.00
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.38	1.37	1.31

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

FINANCIAL ANALYSIS

[all figures are INR Million]

DEBT EQUITY RATIO

Particular	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Share Capital	1.261	1.261	1.261
Reserves & Surplus	8.736	9.783	11.011
Share Application money pending allotment	0.000	0.000	0.000
Net worth	9.997	11.044	12.272
Long Term borrowings	0.000	0.000	0.000
Short Term borrowings	0.000	0.000	0.000
Total borrowings	0.000	0.000	0.000
Debt/Equity ratio	0.000	0.000	0.000

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Sales	41.240	61.909	67.837
		50.119	9.575

NET PROFIT MARGIN

Net Profit Margin	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Sales	41.240	61.909	67.837
Profit	1.073	1.081	1.263
	2.60%	1.75%	1.86%

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	Yes
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	No
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)	No
16	No. of employees	Yes
17	Details of sister concerns	Yes
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%	Yes
28	Estimation for coming financial year	Yes
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

NOTE:

The Registered Office of the Company has been shifted from “Flat No.27/503 East End Appts., Mayur Vihar Extn., Phase I, New Delhi – 110001, India” to the present address w.e.f. 29.07.2006.

GENERAL INFORMATION:

Subject is a domestic Private limited company registered under companies act 1956. Registered office of the company situated at New Delhi. The company is carrying on the Trading in Software and Hardware.

Performance of the company:

The company has achieved a good turnover of INR 67.834 million, Company has developed a good reputation in the market. Directors are hopeful for better turnover for current financial year.

INDEX OF CHARGE:

S No	SRN	Charge Id	Charge Holder Name	Date of Creation	Date of Modification	Date of Satisfaction	Amount	Address
1	G03674884	10155827	IDBI Bank Limited	13/04/2009	14/07/2012	10/05/2016	4990000.0	IDBI TOWER WTC COMPLEX CUFFE PARADE, MUMBAI -400005, MAHARASHTRA, INDIA

FIXED ASSETS:

Tangible Assets

· Building

· Air Conditioner

· Computer Equipment

· Furniture and Fixture

· Electrical Goods

· Car

· RIICO Land

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 records 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	INR
US Dollar	1	INR   64.28
UK Pound	1	INR 89.02
Euro	1	INR 78.93

INFORMATION DETAILS

Information Gathered by :	AKS
Analysis Done by :	NIS
Report Prepared by :	PJP

SCORE FACTORS

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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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.