MIRA INFORM REPORT

Report No. :	487933
Report Date :	24.01.2018

IDENTIFICATION DETAILS

Name :	FIOTEX COTSPIN PRIVATE LIMITED
Registered Office :	Survey No. 202, At Sanosara, Post - Rupavati, Taluka Dhrol, Jamnagar - 360110, Gujarat
Mobile No.:	91-9825231073 (Mr. Rajnikant Ghodasara) 91-9825075014 (Mr. Ripple Patel)
Country :	India
Financials (as on) :	31.03.2017
Date of Incorporation :	02.06.2015
Com. Reg. No.:	04-083386
Capital Investment / Paid-up Capital :	INR 520.000 Million
CIN No.: [Company Identification No.]	U17123GJ2015PTC083386
IEC No.:	Not Available
GSTIN :	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AACCF5958M
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing of Yarn (Registered Activity)
No. of Employees :	Not Available

RATING & COMMENTS

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

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

Maximum Credit Limit :	USD 1610000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject was incorporated in the year 2015 and it is having moderate track. The company primarily manufacturers cotton yarn which is used in all kinds of garments. Further as per indirect sources we could find that company has started its operations in December 2016. For the financial year 2017, the company has achieved decent revenue form operation but reported losses. Further, rating is constrained on account of start-up phase of business operations in a fragmented industry and large working capital requirements. However, rating weakness is partially offset by healthy capital structure of the company and promoters extensive experience in the textile industry. Trade relations are reported to be fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealings with some caution.

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

Rating Agency Name	CRISIL
Rating	Long term rating : BB
Rating Explanation	Moderate risk of default
Date	25.05.2017

Rating Agency Name	CRISIL
Rating	Short term rating : A4+
Rating Explanation	Minimal degree of safety and very high credit risk
Date	25.05.2017

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 24.01.2018

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.

LOCATIONS

Registered Office / Factory :	Survey No. 202, At Sanosara, Post - Rupavati, Taluka Dhrol, Jamnagar - 360110, Gujarat, India
Tel. No.:	Not Available
Mobile No.:	91-9825231073 (Mr. Rajnikant Ghodasara) 91-9825075014 (Mr. Ripple Patel)
Fax No.:	Not Available
E-Mail :	info@fiotex.in admin@fiotex.in fiotexcotspin@gmail.com
Website :	http://www.fiotex.in

DIRECTORS

As on 31.03.2017

Name :

Mr. Shaileshbhai Govindbhai Vasnani

Designation :

Director

Address :

Flat No. 701, Maruti Mahor Appartment Opposite Gokul Dairy, Near Oscar Sadhuvasvani Road, Rajkot-360005, Gujarat, India

Date of Appointment :

01.08.2015

DIN No.:

00372754

Other Directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U26933GJ2004PLC044818	ITALICA FLOOR TILES LIMITED	28/09/2004	-
U50402GJ2006PTC049309	MIZIA MARKETING PRIVATE LIMITED	07/11/2006	-
U55101GJ2009PTC056013	CLUB PRIVILEGE PRIVATE LIMITED	20/06/2011	-
U26933GJ2011PTC063956	ETA BUSINESS PRIVATE LIMITED	08/02/2011	-
U17120GJ2011PTC065433	DWARKADHISH COTSPIN PRIVATE LIMITED	10/09/2013	-

Name :

Mr. Ripple Jamnadas Patel

Designation :

Director

Address :

Ripple, 10-A, Saurashtra Kala Kendra Society, Near Brhma Samaj, Rajkot 360005, Gujarat, India

Date of Appointment :

25.10.2016

DIN No.:

00578651

Other Directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U24231GJ1989PTC012449	EVEREST FERTILIZERS AND CHEMICALS PRIVATE LIMITED	29/07/2000	-
U50402GJ2006PTC049309	MIZIA MARKETING PRIVATE LIMITED	07/11/2006	-
U26933GJ2011PTC063956	ETA BUSINESS PRIVATE LIMITED	12/05/2011	-

Name :

Mr. Rajnikant Shivlalbhai Ghodasara

Designation :

Director

Address :

Shiv Nandanvan Society, Street No. 5, University Road, Rajkot-360005, Gujarat, India  

Date of Birth/Age :

09.06.1976

Date of Appointment :

02.06.2015

DIN No.:

01173115

Name :

Mr. Rajeshkumar Shivlal Ghodasara

Designation :

Director

Address :

Umiya Nivas,15, Gunda Wadi, Rajkot 360001, Gujarat, India

Date of Birth/Age :

07.08.1972

Date of Appointment :

01.08.2015

DIN No.:

01179115

Other Directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U17200GJ2013PTC073609	GRV SPINTEX PRIVATE LIMITED	18/02/2013	-

Name :

Mr. Mahendra Trambaklal Fefar

Designation :

Director

Address :

Block No. 17, Krishna Gayatri Nagar – 2, Ravapar Road, Near Umiya Chowk, Morbi-363641, Gujarat, India

Date of Birth/Age :

01.09.1985

Date of Appointment :

01.08.2015

DIN No.:

02730025

Other Directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U26933GJ2010PTC059244	MOTTO TILES PRIVATE LIMITED	15/01/2010	-
U26960GJ2016PTC092232	ROLLS GRANITO PRIVATE LIMITED	27/05/2016	-
U26990GJ2016PTC092657	SLIMTILE PRIVATE LIMITED	22/02/2017	-

Name :

Mr. Chintan Dhdramshibhai Sitapara

Designation :

Director

Address :

Shree Tapas Society, Street No. 1 Block No. 22, Nana Mauva Main Road, Rajkot-360004, Gujarat, India 

Date of Birth/Age :

21.12.1981

Date of Appointment :

01.08.2015

DIN No.:

03559742

Other Directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U31100GJ2011PTC066142	GALAXY STAMPING PRIVATE LIMITED	02/07/2011	-
U17120GJ2013PTC076361	AASTHA SPINTEX PRIVATE LIMITED	15/01/2014	-

Name :

Mr. Saileshkumar Maganlal Patel

Designation :

Director

Address :

5, Chandravihar Society, Jin Plot, Dhangadra-363310, Gujarat, India 

Date of Birth/Age :

12.01.1978

Date of Appointment :

02.06.2015

DIN No.:

03597473

Other Directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U17120GJ2011PTC065433	DWARKADHISH COTSPIN PRIVATE LIMITED	10/09/2013	-

MAJOR SHAREHOLDERS

As on 31.03.2017

SHAREHOLDING DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2017

Category	Percentage
Promoters (Individual/Hindu Undivided Family – Indian)	39.60
Public/Other than promoters (Individual/Hindu Undivided Family – Indian)	48.94
Public/Other than promoters (Body corporate)	11.46
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing of Yarn (Registered Activity)

Products / Services :

Item Code No.	Products/Services Description
12345678	Yarn

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Available

Imports :

Not Available

Terms :

Not Available

PRODUCTION STATUS – (NOT AVAILABLE)

GENERAL INFORMATION

Suppliers :

Reference :	Not Available
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark:	--

Customers :

Reference :	Not Available
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark:	--

No. of Employees :

Not Available

Bankers :

Banker Name :	State Bank of India
Branch :	Commercial Branch, Nobel House, Near Jalaram Petrol Pump, Kalavad Road, Rajkot-360001, Gujarat, India
Person Name (With Designation) :	--
Contact Number :	--
Name of Account Holder :	--
Account Number :	--
Account Since (Date/Year of Account Opening) :	--
Average Balance Maintained :	--
Credit Facilities Enjoyed (CC/OD/Term Loan) :	--
Account Operation :	--
Remark :	--

Facilities :

Secured Loan	31.03.2017 (INR in Million)	31.03.2016 (INR in Million)
Long-term Borrowings
Rupee term loans from others	982.696	0.000
Loans repayable on demand from others	152.480	0.000
Short-term borrowings
Working capital loans from banks	236.272	0.000
Total	1371.448	0.000

Auditors :
Name :	S. Sharda and Associates Chartered Accountants
Address :	Sarda House, 13/14 Savsar Plot, Sanala Road, Morbi – 363641, Gujarat, India
Income-tax PAN of auditor or auditor's firm :	AAAFZ3476D
Memberships :	Not Available
Collaborators :	Not Available
Related Party :	Patel Cotton Industries

CAPITAL STRUCTURE

As on 30.09.2017

Authorised Capital :

No. of Shares	Type	Value	Amount
55000000	Equity Shares	INR 10/- each	INR 550.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
52000000	Equity Shares	INR 10/- each	INR 520.000 Million

FINANCIAL DATA

[all figures are in INR Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2017	31.03.2016
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	520.000	190.650
(b) Reserves and Surplus	44.085	0.000
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	3.635
Total Shareholders’ Funds (1) + (2)	564.085	194.285
(3) Non-Current Liabilities
(a) long-term borrowings	1135.176	19.900
(b) Deferred tax liabilities (Net)	44.712	0.000
(c) Other long-term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	1179.888	19.900
(4) Current Liabilities
(a) Short-term borrowings	236.272	0.000
(b) Trade payables	94.715	0.000
(c) Other current liabilities	70.648	2.573
(d) Short-term provisions	9.376	0.126
Total Current Liabilities (4)	411.011	2.699
TOTAL	2154.984	216.884
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1555.166	16.664
(ii) Intangible Assets	0.000	0.000
(iii) Tangible assets capital work-in-progress	0.000	121.989
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term loans and advances	0.427	0.288
(e) Other Non-current assets	3.808	7.920
Total Non-Current Assets	1559.401	146.861
(2) Current assets
(a) Current investments	4.000	0.000
(b) Inventories	239.940	0.000
(c) Trade receivables	210.794	0.000
(d) Cash and bank balances	8.850	38.168
(e) Short-term loans and advances	131.315	31.850
(f) Other current assets	0.684	0.005
Total Current Assets	595.583	70.023
TOTAL	2154.984	216.884

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017	31.03.2016
	SALES
	Revenue from operations	766.805	0.000
	Other Income	105.490	0.000
	TOTAL	872.295	0.000
Less	EXPENSES
	Cost of Materials Consumed	584.552	0.000
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(41.823)	0.000
	Employee benefit expense	36.471	0.000
	Other expenses	117.531	0.000
	TOTAL	696.731	0.000
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	175.564	0.000
Less	FINANCIAL EXPENSES	69.383	0.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	106.181	0.000
Less/ Add	DEPRECIATION/ AMORTISATION	87.288	0.000
	PROFIT/ (LOSS) BEFORE TAX	18.893	0.000
Less	TAX	44.712	0.000
	PROFIT/ (LOSS) AFTER TAX	(25.819)	0.000
	Earnings / (Loss) Per Share (INR)	(0.50)	0.000

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2017	31.03.2016
Current Maturities of Long term debt	NA	NA
Net cash flows from (used in) operations	(273.637)	(37.364)
Net cash flows from (used in) operating activities	(273.637)	(37.364)

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016
Average Collection Days (Sundry Debtors / Income * 365 Days)	100.34	0.00
Account Receivables Turnover (Income / Sundry Debtors)	3.64	0.00
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	59.14	0.00
Inventory Turnover (Operating Income / Inventories)	0.73	0.00
Asset Turnover (Operating Income / Net Fixed Assets)	0.11	0.00

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.72	0.10
Debt Equity Ratio (Total Liability / Networth)	2.43	0.10
Current Liabilities to Networth (Current Liabilities / Net Worth)	0.73	0.01
Fixed Assets to Networth (Net Fixed Assets / Networth)	2.76	0.71
Interest Coverage Ratio (PBIT / Financial Charges)	2.53	0.00

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016
Net Profit Margin ((PAT / Sales) * 100)	%	(3.37)	0.00
Return on Total Assets ((PAT / Total Assets) * 100)	%	(1.20)	0.00
Return on Investment (ROI) ((PAT / Networth) * 100)	%	(4.58)	0.00

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016
Current Ratio (Current Assets / Current Liabilities)	1.45	25.94
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	0.87	25.94
G-Score Ratio Financial (Networth / Total Assets)	0.26	0.90
G-Score Ratio Debt (Debts / Equity Capital)	2.64	0.10
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.45	25.94

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

FINANCIAL ANALYSIS

[all figures are in INR Million]

DEBT EQUITY RATIO

Particular	31.03.2016	31.03.2017
	(INR In Million)	(INR In Million)
Share Capital	190.650	520.000
Reserves & Surplus	0.000	44.085
Money received against share warrants	0.000	0.000
Share Application money pending allotment	3.635	0.000
Net worth	194.285	564.085
long-term borrowings	19.900	1135.176
Short term borrowings	0.000	236.272
Total borrowings	19.900	1371.448
Debt/Equity ratio	0.102	2.431

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	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	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 about one year 10 months	Yes
27]	Reasons for variation <> 20%	--
28]	Estimation for coming financial year	No
29]	Profitability for last about one year 10 months	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

OPERATIONS AND DESCRIPTION OF THE COMPANY'S WORKING DURING THE YEAR

During the year the company's operational performance has been satisfactory as the Company has reported total income of INR 872.200 million for the current year as compared to nil income in the previous year the company has achieved Net loss of INR (25.800) million. for the current year as compared to nil in the previous year. The Company has set up a good marketing network and is focusing on operational efficiency, reduction of cost at all levels and better working capital management. The directors are hopeful that in the coming years the Company will perform much better. The product of the Company has received good response in the market. The directors are hopeful and enthusiastic about the future prospects of the Company.

UNSECURED LOAN

PARTICULAR	31.03.2017 (INR in Million)	31.03.2016 (INR in Million)
Long-term Borrowings
Deposits from others	0.000	19.900
Total	0.000	19.900

INDEX OF CHARGES

S No	SRN	Charge Id	Charge Holder Name	Date of Creation	Amount	Address
1	G03263647	100025830	State Bank of India	25/04/2016	1389000000.0	COMMERCIAL BRANCH, NOBEL HOUSE, NEAR JALARAM PETROL PUMP, KALAVAD ROAD RAJKOT GUJARAT 360001 INDIA

FIXED ASSETS

• Land
• Buildings
• Furniture and Fixture
• Plant and equipment
• Factory equipments
• Office equipment
• Computer equipments

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 63.77
UK Pound	1	INR 89.20
Euro	1	INR 78.22

INFORMATION DETAILS

Analysis Done by :	PRA
Report Prepared by :	JYTK

SCORE FACTORS

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	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.

·