MIRA INFORM REPORT

3decades

MIRA INFORM REPORT

Report No. :	487411
Report Date :	24.01.2018

IDENTIFICATION DETAILS

Name :	SHREERAM FIBRES INDIA PRIVATE LIMITED (w.e.f.15.12.1994)

Formerly Known As :	MEENAXI PASHIONS PRIVATE LIMITED

Registered Office :	Shreeram Ginning and Pressing Mill Premises Dhar Road, Gandhwani Dhar – 454350, Madhya Pradesh
Tel. No.:	91-731-4213622

Country :	India

Financials (as on) :	31.03.2017

Date of Incorporation :	11.07.2007

Com. Reg. No.:	10-019663

Capital Investment / Paid-up Capital :	INR 6.744 Million

CIN No.: [Company Identification No.]	U17303MP2007PTC019663

IEC No.:	Not Divulged

GSTIN/UIN:	Not Divulged

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

PAN No.: [Permanent Account No.]	AALCS0223M

Legal Form :	Private Limited Liability Company

Line of Business :	The company is engaged in the business of Ginning and pressing and trading of cotton. Wholesale trading of wheat, soyabean and maize. (Registered Activity)

No. of Employees :	Information denied by the management

RATING & COMMENTS

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

MIRA’s Rating :

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

Maximum Credit Limit :	USD 130000

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Clear

Comments :	Subject was incorporated in the year 2007 and it is engaged in ginning and pressing and trading of cotton. As per financials of march 2017, the company has registered a decline in it revenue as compared to its previous year’s revenue and has reported average profit margin of 1.20%. Rating takes into consideration the company’s satisfactory track record of business operations marked by sound net worth base along with average debt coverage indicators and decent liquidity position. Further, the company has reported good earnings per share of INR 10.75 against its face value of INR 10. Payments are reported to be usually 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

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	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	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 23.01.2018

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.

INFORMATION DENIED

Name :	Mr. Sandeep
Contact No.:	91-731-4213622
Date :	20.01.2018

LOCATIONS

Registered Office/Factory :	Shreeram Ginning and Pressing Mill Premises Dhar Road, Gandhwani Dhar – 454350, Madhya Pradesh, India
Tel. No.:	91-731-4213622
Fax No.:	Not Available
E-Mail :	shreeram.ginning@gmail.com
Website :	http://www.shreeramfibres.in

Indore office:	307, Pukhraj Corporate, Navlakha, Indore – 452001, Madhya Pradesh, India

DIRECTORS

AS ON 31.03.2017

Name :	Mr. Ameet Gupta
Designation :	Director
Address :	Bus Stand Gandhwani, Dhar – 454350, Madhya Pradehs, India
Date of Birth/Age :	20.10.1976
Date of Appointment :	11.07.2007
DIN No.:	01620872

Name :	Mr. Arpit Khandelwal
Designation :	Director
Address :	Bus Stand Gandhwani, Dhar – 454350, Madhya Pradehs, India
Date of Birth/Age :	04.06.1983
Date of Appointment :	11.07.2007
DIN No.:	01620886

Name :	Mr. Mohan Lal Khandelwal
Designation :	Director
Address :	Bus Stand Gandhwani, Dhar – 454350, Madhya Pradehs, India
Date of Birth/Age :	24.07.1953
Date of Appointment :	11.07.2007
DIN No.:	01620914

Name :	Mr. Sumeet Gupta
Designation :	Director
Address :	Bus Stand Gandhwani, Dhar – 454350, Madhya Pradehs, India
Date of Birth/Age :	25.09.1979
Date of Appointment :	11.07.2007
DIN No.:	01620930

MAJOR SHAREHOLDERS

AS ON 31.03.2017

Names of Shareholders	No. of Shares
Ameet Gupta	199000
Arpit Khandelwal	47000
Mohan Lal Khandelwal	113000
Sumeet Gupta	141000
Ameet Khandelwal	12400
Sumeet Khandelwal	8400
Rekhadevi Khandelwal	40400
Laxmidevi Khandelwal	20400
Asthadevi Khandelwal	4400
Mohan Lal Khandelwal (HUF)	88400
Total	674400

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2017

Category	Percentage
Promoters- Individual/Hindu Undivided Family- Indian	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The company is engaged in the business of Ginning and pressing and trading of cotton.
Wholesale trading of wheat, soyabean and maize.

(Registered Activity)

Products / Services :

Name and Description of main products / services	NIC Code of the Product/service
Cotton ginning, cleaning and bailing	0163
Wholesale trading of wheat, soyabean and maize	4620

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS – (NOT AVAILABLE)

GENERAL INFORMATION

Suppliers :

Arpit Trading Company, Indore
Ascent Energy Conservation Services Indore
Classic Holidays And Travel Shoppe
Dalal Apex Cotton Agency Private Limited
Dalal Ramswaroop Radhakishan Brokers Private Limited
Gourav Traders
H. Gupta And Company

Reference :	Palak Logistics
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark:	--

Customers :

Dalal Nagori And Company
Control Union Certification Mumbai
ECGC Insurance
Indira Securities Private Limited
Jet Tech Private Limited
Kailash And Company
Life Care Club
Maral Overseas Limited
SGS India Private Limited
Shiv Enterprises

Reference :	Vijay and Company
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark:	--

No. of Employees :

Information denied by the management

Bankers :

Banker Name :	State Bank of India
Branch :
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 :

(INR In Million)

SECURED LOAN	As on 31.03.2017	As on 31.03.2016
SHORT TERM BORROWING
Loans repayable on demand
Secured loans
Bank of Baroda Br. Bariya (CCL)	49.580	49.694
Bank of Baroda Br. Bariya (Export Limit)	27.290	0.000
Bank of Baroda Br. Bariya (07/02)	14.910	0.000
Bank of Baroda Br. Bariya (MTL)	7.680	0.000
(on hypothecation of stocks of the company, secured by the fixed assets of the company and guarantee given by the directors)
Total	99.460	49.694

Auditors :
Name :	H. Gupta and Company Chartered Accountants
Address :	Royal House,11/3 Ushaganj, Indore – 452001, Madhya Pradesh, India
PAN N Income-tax PAN of auditor or auditor's firm :	ACHPG3475A
Membership number:	010195

Memberships :	Not Available

Collaborators :	Not Available

Associates/Subsidiaries :	--

CAPITAL STRUCTURE

AS ON 31.03.2017

Authorised Capital :

No. of Shares	Type	Value	Amount

1000000	Equity Shares	INR 10/- each	INR 10.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

674400	Equity Shares	INR 10/- each	INR 6.744 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	6.744	6.744	6.744
(b) Reserves & Surplus	39.158	31.909	26.142
(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)	45.902	38.653	32.886

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

(4) Current Liabilities
(a) Short term borrowings	146.348	84.929	75.160
(b) Trade payables	12.573	8.736	10.421
(c) Other current liabilities	0.000	0.000	0.000
(d) Short-term provisions	3.450	2.300	1.850
Total Current Liabilities (4)	162.371	95.965	87.431

TOTAL	208.273	134.618	120.317

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	20.026	18.969	10.103
(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	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.101	0.000
Total Non-Current Assets	20.026	19.070	10.103

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	135.091	92.437	64.341
(c) Trade receivables	46.512	17.825	32.055
(d) Cash and cash equivalents	1.345	0.910	8.478
(e) Short-term loans and advances	3.650	2.594	3.803
(f) Other current assets	1.649	1.782	1.537
Total Current Assets	188.247	115.548	110.214

TOTAL	208.273	134.618	120.317

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017	31.03.2016	31.03.2015
	SALES
	Income	604.834	635.598	535.154
	Other Income	12.131	17.578	13.263
	TOTAL	616.965	653.176	548.417

Less	EXPENSES
	Cost of Materials Consumed	554.266	604.693	468.547
	Purchases of Stock-in-Trade	0.000	0.000	0.000
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(42.326)	(28.200)	25.080
	Employees benefits expense	5.767	4.529	2.693
	Other expenses	75.189	55.879	36.700
	TOTAL	592.896	636.901	533.020

	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	24.069	16.275	15.397

Less	FINANCIAL EXPENSES	10.442	7.026	7.858

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	13.627	9.249	7.539

Less/ Add	DEPRECIATION/ AMORTISATION	2.835	1.182	1.231

	PROFIT/ (LOSS) BEFORE TAX	10.792	8.067	6.308

Less	TAX	3.544	2.300	1.952

	PROFIT/ (LOSS) AFTER TAX	7.248	5.767	4.356

	Earnings / (Loss) Per Share (INR)	10.75	8.55	6.46

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 flows from (used in) operations	(46.648)	(0.265)	15.427

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Average Collection Days (Sundry Debtors / Income 365 Days)*	28.07	10.24	21.86

Account Receivables Turnover (Income / Sundry Debtors)	13.00	35.66	16.69

Average Payment Days (Sundry Creditors / Purchases 365 Days)*	8.28	5.27	8.12

Inventory Turnover (Operating Income / Inventories)	0.18	0.18	0.24

Asset Turnover (Operating Income / Net Fixed Assets)	1.20	0.86	1.52

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.78	0.71	0.73

Debt Equity Ratio (Total Liability / Networth)	3.19	2.20	2.29

Current Liabilities to Networth (Current Liabilities / Net Worth)	3.54	2.48	2.66

Fixed Assets to Networth (Net Fixed Assets / Networth)	0.44	0.49	0.31

Interest Coverage Ratio (PBIT / Financial Charges)	2.31	2.32	1.96

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016	31.03.2015
Net Profit Margin ((PAT / Sales) 100)*	%	1.20	0.91	0.81

Return on Total Assets ((PAT / Total Assets) 100)*	%	3.48	4.28	3.62

Return on Investment (ROI) ((PAT / Networth) 100)*	%	15.79	14.92	13.25

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Current Ratio (Current Assets / Current Liabilities)	1.16	1.20	1.26

Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	0.33	0.24	0.52

G-Score Ratio Financial (Networth / Total Assets)	0.22	0.29	0.27

G-Score Ratio Debt (Debts / Equity Capital)	21.70	12.59	11.14

G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.16	1.20	1.26

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	6.744	6.744	6.744
Reserves & Surplus	26.142	31.909	39.158
Net worth	32.886	38.653	45.902

long-term borrowings	0.000	0.000	0.000
Short term borrowings	75.160	84.929	146.348
Total borrowings	75.160	84.929	146.348
Debt/Equity ratio	2.285	2.197	3.188

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	535.154	635.598	604.834
		18.769	(4.840)

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	535.154	635.598	604.834
Profit/(Loss)	4.356	5.767	7.248
	0.81%	0.91%	1.20%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	No
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	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	No
18	Major suppliers	Yes
19	Major customers	Yes
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	No
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

General information

The company is engaged in the business of Ginning and pressing and trading of cotton. The company has factory at Gandhwani District Dhar, Madhya Pradesh, India

Operations and future outlook

The company has achieved total revenue and net profit of INR 616.965 Million and INR 7.245 Million respectively as against total revenue and net profit of INR 653.176 Million and INR 5.768 Million respectively during the previous financial year ended 31^st March 2016.

UNSECURED LOANS:

Particulars	31.03.2017 INR In Million	31.03.2016 INR In Million
SHORT TERM BORROWINGS
Loans and advances from related parties	46.988	35.235
Total	46.988	35.235

INDEX OF CHARGE:

SNO	SRN	CHARGE ID	CHARGE HOLDER NAME	DATE OF CREATION	DATE OF MODIFICATION	DATE OF SATISFACTION	AMOUNT	ADDRESS
1	G35039726	100075888	BANK OF BARODA	02/02/2017	-	-	50000000.0	BARIYA BRANCHAWALDA BAGH ROAD, VILLAGE BARIYA, TEHSIL GANDHWANIDHARMP456661IN
2	G08523052	10425637	BANK OF BARODA	30/03/2013	05/07/2016	-	78500000.0	AWALDA BAGH ROAD,VILLAGE BARIYATEHSIL GANDHWANIDHARMP456661IN
3	B75108605	10125949	STATE BANK OF INDIA	13/09/2008	12/01/2013	18/04/2013	55000000.0	GANDHWANI BRANCHDISTRICT DHAR, GANDHWANIINDOREMP454350IN

FIXED ASSETS:

Tangible assets:

Agriculture land
Car
Computer
Factory building
Mobile
Office equipment
Plant and machinery
Water cooler
A.C

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	INR
US Dollar	1	INR 63.77
UK Pound	1	INR 89.20
Euro	1	INR 78.21

INFORMATION DETAILS

Information Gathered by :	KAM

Analysis Done by :	VIV

Report Prepared by :	NKTS

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	NO
--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.