MIRA INFORM REPORT

Report No. :	498068
Report Date :	14.03.2018

IDENTIFICATION DETAILS

Name :	MAREL A/S
Registered Office :	P.O. Pedersens Vej 18 8200 Aarhus N
Country :	Denmark
Financials (as on) :	31.12.2016
Date of Incorporation :	19.05.1969
Com. Reg. No.:	25013719
Legal Form :	Limited company
Line of Business :	Manufacture of machinery for food, beverage and tobacco processing
No. of Employees :	244

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+	Low Risk	Business dealings permissible with low risk of default

Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear

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 (30.09.2017)	Current Rating (31.12.2017)
Denmark	A2	A2

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

DENMARK - ECONOMIC OVERVIEW

This thoroughly modern market economy features advanced industry with world-leading firms in pharmaceuticals, maritime shipping, and renewable energy, and a high-tech agricultural sector. Danes enjoy a high standard of living, and the Danish economy is characterized by extensive government welfare measures and an equitable distribution of income. An aging population will be a long-term issue.

Denmark’s small open economy is highly dependent on foreign trade, and the government strongly supports trade liberalization. Denmark is a net exporter of food, oil, and gas and enjoys a comfortable balance of payments surplus, but depends on imports of raw materials for the manufacturing sector.

Denmark is a member of the EU but not the eurozone. Despite previously meeting the criteria to join the European Economic and Monetary Union, Denmark has negotiated an opt-out with the EU and is not required to adopt the euro.

Denmark is experiencing a modest economic expansion. The economy grew by 2.0% in 2016 and an estimated 2.3% in 2017. The expansion is expected to decline slightly in 2018. Unemployment stood at 5.8% in 2017, based on the national measure. The labor market was tight in 2017, with corporations experiencing some difficulty finding appropriately-skilled workers to fill billets. The Danish Government offers extensive programs to train unemployed persons to work in sectors that need qualified workers.

Denmark maintained a healthy budget surplus for many years up to 2008, but the global financial crisis swung the budget balance into deficit. The 2017 deficit was 0.6%. The government projects a lower deficit in 2018, and public debt (EMU debt) as a share of GDP is expected to decline. The Danish Government plans to address tax reform and increased defense spending in 2018.

Source : CIA

Summary

Company name	Marel A/S
Operative address	P.O. Pedersens Vej 18 8200 Aarhus N Denmark
Status	Active
Specification	This company can meet all its obligations.

Legal form	Limited company - A/S
Registration number	Trade register number: 25013719 Trade register number: 25013719
VAT-number	DK25 01 37 19
Year	2016	Mutation	2015	Mutation	2014
Fixed assets	55.618.000	2,34	54.344.000	-0,77	54.768.000
Total receivables	1.326.000	-84,33	8.462.000	176,27	3.063.000
Total equity	33.130.000	-8,99	36.403.000	20,40	30.235.000
Short term liabilities	19.186.000	0,30	19.129.000	7,42	17.807.000
Net result	9.659.000	-36,50	15.212.000	53,61	9.903.000
Working capital	16.543.000	-22,88	21.450.000	46,33	14.659.000
Quick ratio	1,40	-14,11	1,63	13,99	1,43

Contact information

Company name	Marel A/S
Trade names	Marel Aarhus A/S
Operative address	P.O. Pedersens Vej 18 8200 Aarhus N Denmark
Correspondence address	P.O. Pedersens Vej 18 8200 Aarhus N Denmark

Telephone number	+45 89 304444
Fax number	+45 86 775810
Email address	info.dk@marel.com
Website	www.marel.com

Registration

Registration number	Trade register number: 25013719 Trade register number: 25013719
VAT-number	DK25 01 37 19
Status	Active
Establishment date	1969-05-19

Legal form	Limited company - A/S
Subscribed share capital	DKK 9.976.902

Activities

NACE	2893: Manufacture of machinery for food, beverage and tobacco processing

Relations

Shareholders

ULTIMATE GLOBAL SHAREHOLDER Name: ICELAND Address: Reykjav k Country: IS Website: www.government.is Type: Public authority, state, government ULTIMATE DOMESTIC SHAREHOLDER Name: MAREL A/S National id number: 25013719 Address: P.O. Pedersens Vej 18 City: AARHUS N Country: DK Phone: +45 89 304444 Fax: +45 86 775810 Website: www.marel.com Type: Corporate Share direct: 100.00% Share total: 100.00% Turnover: 88.0656852 mil. DKK Total assets: 91.34810759 mil. DKK Profit loss before tax: 92.23801785 mil. DKK Profit loss after tax net income: 71.80841956 mil. DKK Shareholders funds: 246.30011692 mil. DKK SHAREHOLDERS Name: MAREL HF. National id number: 6204830369 Address: Austurhraun 9 City: GARDABAER Country: IS Phone: +354 563 8000 Fax: +354 563 8001 Website: www.marel.is Type: Corporate Share direct: 100.00% Turnover: 969.89889666 mil. DKK Total assets: 1392.43014227 mil. DKK Profit loss before tax: 665.29283251 mil. DKK Profit loss after tax net income: 563.45706144 mil. DKK Shareholders funds: 3907.29528845 mil. DKK Number of employees: 4599

Structure

SUBSIDIARIES Name: ALTINEY S.A. Country: UY Type: Corporate Share direct: 100.00% Name: MAREL BENELUX B.V. National id number: 27111224 Address: Handelstraat 3 City: BOXMEER Country: NL Type: Corporate Phone: +31 485 586811 Fax: +31 485 586222 Website: www.marel.com Share direct: 100.00% Turnover: 13.25717403 mil. DKK Total assets: 6.73996165 mil. DKK Profit loss before tax: 5.20857538 mil. DKK Profit loss after tax net income: 4.28326868 mil. DKK Shareholders funds: 9.48513753 mil. DKK Number of employees: 23 Name: MAREL FOOD SYSTEMS DO BRASIL LTDA. Country: BR Type: Corporate Share direct: 100.00% Name: MAREL FOOD SYSTEMS LIMITED National id number: 119239 Address: Unit B2 City: DUBLIN Country: IE Type: Corporate Share direct: 100.00% Total assets: 1.22164056 mil. DKK Shareholders funds: 6.46701988 mil. DKK Number of employees: 7 Name: MAREL FOOD SYSTEMS LTDA Country: CL Type: Corporate Share direct: 100.00% Name: MAREL GB LTD National id number: 02074320 Address: Unit 2020 City: BIRMINGHAM Country: GB Type: Corporate Website: www.marel.co.uk Share direct: 100.00% Turnover: 21.26933817 mil. DKK Total assets: 8.63296063 mil. DKK Profit loss before tax: 3.0359623 mil. DKK Profit loss after tax net income: 2.21460734 mil. DKK Shareholders funds: 13.49219642 mil. DKK Number of employees: 66 Name: MAREL NEW ZEALAND LIMITED National id number: 1749188 Address: c/o The Office Of Bendall And Cant Limited City: AUCKLAND Country: NZ Type: Corporate Share direct: 100.00% Turnover: 2.38036288 mil. DKK Total assets: 1.37550381 mil. DKK Profit loss before tax: 0.33915616 mil. DKK Profit loss after tax net income: 0.33915616 mil. DKK Shareholders funds: 2.48351314 mil. DKK Name: MAREL POLSKA SP. Z O.O. National id number: 0000275279 Address: Poleczki 35 City: WARSZAWA Country: PL Type: Corporate Phone: +48 22 4902101 Fax: +48 22 8322401 Website: marel.com Share direct: 100.00% Turnover: 9.79149501 mil. DKK Total assets: 2.07587042 mil. DKK Profit loss before tax: 2.97458804 mil. DKK Profit loss after tax net income: 2.30053532 mil. DKK Shareholders funds: 4.05132392 mil. DKK Name: MAREL SALMON A/S National id number: 66309711 Address: Juelstrupparken 14 City: STØVRING Country: DK Type: Corporate Phone: +45 99 864000 Fax: +45 99 864001 Website: www.marel.dk Share direct: 100.00% Turnover: 48.01254258 mil. DKK Total assets: 40.14801032 mil. DKK Profit loss before tax: 57.42500315 mil. DKK Profit loss after tax net income: 44.54000342 mil. DKK Shareholders funds: 115.61199784 mil. DKK Number of employees: 214 Name: NORFO HOLDING LTD. Country: GB Type: Corporate Share direct: 100.00% Name: NORFO UK LTD. Country: GB Type: Corporate Share direct: 100.00% Name: NUTRAY S.A. Country: UY Type: Corporate Share direct: 100.00% Name: SCANVAEGT (DEUTSCHLAND) GMBH Address: Karolinenstr. 35 City: BIELEFELD Country: DE Type: Corporate Share direct: 100.00% Turnover: 2.41834465 mil. DKK Name: SCANVAEGT CHILE LTDA. Address: AV. LOS CONQUISTADORES 2121 City: PROVIDENCIA Country: CL Type: Corporate Share direct: 100.00% Name: SCANVAEGT NEDERLAND BV Country: NL Type: Corporate Share direct: 100.00% Name: SCANVAEGT SVERIGE AB Country: SE Type: Corporate Share direct: 100.00% Name: SCANVAEGT US INC National id number: 58-2540225 Address: 1245 PALMOUR PL City: GAINESVILLE Country: US Type: Corporate Phone: +1 770 536 3495 Website: scanvaegt-us.com Share direct: 100.00% Turnover: 7.11507744 mil. DKK Number of employees: 35 Name: SCANVAEGT LTD Country: NZ Type: Corporate Share direct: 70.00% Name: BERKEL SCANVEKT AS Country: NO Type: Corporate Share direct: 51.00% Name: MAREL BRASIL COMERCIAL E INDUSTRIAL LTDA National id number: 05.013.050/0001-27 Address: AV COMENDADOR LEOPOLDO DEDINI 150 PORTAO B City: PIRACICABA Country: BR Type: Corporate Turnover: 1.60326412 mil. DKK Number of employees: 76 Name: PREDSTAVITELSTVO KOMPANII SKANVEGT INTERNESHNL A/S DANIYA National id number: 9909254432 Address: Yugo-zapadnyi administrativnyi okrug, raion cheremushki, ul garibaldi D 29, K 4 City: MOSCOW Country: RU Type: Corporate Phone: +7 495 7995684 Name: SCANVAEGT BELGIUM BVBA Country: BE Type: Corporate

Bank details

Accounts

Nordea Bank Danmark A/S

Management

Management

Fullname: Ms Linda Jonsdottir Type: Individual Gender: Female date of birth: 1978/01/09 Age: 40 Number of involvements: 21 Function: Chairman Level of responsibility: President / Chairman Appointment date: 2014/11/20 Fullname: Mr Arni Oddur Thordarson Type: Individual Gender: Male date of birth: 1969/04/07 Age: 48 Number of involvements: 22 Function: Member of the Board Level of responsibility: Member Appointment date: 2016/03/18 Fullname: Mr Kristjan Thorsteinsson Type: Individual Gender: Male date of birth: 1950/02/10 Age: 68 Country: Iceland Number of involvements: 8 Function: Member of the Board Level of responsibility: Member Appointment date: 2006/10/04 Fullname: Mr Lars-Bo Nissen Joeker Type: Individual Gender: Male Country: Denmark Number of involvements: 2 Function: General Manager Level of responsibility: Highest executive Appointment date: 2010/05/06 Fullname: Sigurpall Jonsson Type: Individual Country: Iceland Number of involvements: 1 Function: General Manager Level of responsibility: Highest executive Appointment date: 2009/04/02 Fullname: Mr Henrik Skov Ladefoged Type: Individual Gender: Male Country: Denmark Number of involvements: 2 Function: Managing Director Level of responsibility: Highest executive Appointment date: 2009/11/23

Employees

Year	2016	2015	2014	2013	2012
Annual	244	261	250	247	242

Financial analysis

Trend	Fluctuating
Profitability	More than sufficient
Solvability	Sufficient
Liquidity	Sufficient
Show amount in	Euro

Key figures

Year	2016	2015	2014	2013	2012
Quick ratio	1,40	1,63	1,43	1,05	1,52
Current ratio	1,86	2,12	1,82	1,40	1,98
Working capital/ balance total	0,18	0,23	0,17	0,10	0,20
Equity / balance total	0,36	0,38	0,35	0,31	0,33
Equity / Fixed assets	0,60	0,67	0,55	0,48	0,56
Working capital	16.543.000	21.450.000	14.659.000	7.169.000	14.188.000
Equity	33.130.000	36.403.000	30.235.000	21.330.000	24.042.000
Mutation equity	-8,99	20,40	41,75	-11,28	7,66
Mutation short term liabilities	0,30	7,42	-0,48	23,26	-70,82
Return on total assets (ROA)	13,58	20,08	13,88	9,78	27,59
Return on equity (ROE)	37,45	52,37	40,06	31,83	82,48
Gross profit margin	16,10	19,90	16,68	13,21	3,50
Net profit margin	10,97	16,60	15,41	8,04	21,68
Average collection ratio	4,59	4,79	3,61	3,49	6,10
Average payment ratio	66,42	10,83	20,98	34,52	19,40
Equity turnover ratio	2,66	2,52	2,13	2,92	3,68
Total assets turnover ratio	0,96	0,97	0,74	0,90	1,23
Fixed assets turnover ratio	1,58	1,69	1,17	1,41	2,05
Inventory conversion ratio	9,98	9,71	9,20	10,00	13,24
Turnover	88.070.000	91.658.000	64.262.000	62.377.000	88.569.000
Gross margin	23.997.000	27.859.000	19.634.000	17.200.000	12.837.000
Operating result	14.180.000	18.242.000	10.719.000	8.243.000	3.099.000
Net result after taxes	9.659.000	15.212.000	9.903.000	5.013.000	19.205.000
Cashflow	12.604.000	18.072.000		5.291.000	21.937.000
Gross profit	36.549.000	43.217.000		25.815.000	40.413.000
EBITDA	17.125.000	21.102.000		8.521.000	5.831.000
Summary	The 2016 financial result structure is a postive working captial of 16.543.000 euro, which is in agreement with 18 % of the total assets of the company. The working capital has diminished with -22.88 % compared to previous year. The ratio, with respect to the total assets of the company has however, declined. The deterioration between 2015 and 2016 has mainly been caused by a change of the current liabilities. The current ratio of the company in 2016 was 1.86. A company with a current ratio between 1.5 and 3.0 generally indicates good short-term financial strength. The quick ratio in 2016 of the company was 1.4. A company with a Quick Ratio of more than 1 can currently pay back its current liabilities. The 2015 financial result structure is a postive working captial of 21.450.000 euro, which is in agreement with 23 % of the total assets of the company. The working capital has increased with 46.33 % compared to previous year. The ratio, with respect to the total assets of the company has however, increased. The improvement between 2014 and 2015 has mainly been caused by a change of the current assets. The current ratio of the company in 2015 was 2.12. A company with a current ratio between 1.5 and 3.0 generally indicates good short-term financial strength. The quick ratio in 2015 of the company was 1.63. A company with a Quick Ratio of more than 1 can currently pay back its current liabilities.

Financial statement

Auditor	Name: KPMG P/S
Last annual account	2016
Remark annual account	The company is obliged to file its financial statements.

Type of annual account	Corporate
Annual account	Marel A/S P.O. Pedersens Vej 18 8200 Aarhus N Denmark

Balance

Year	2016	2015	2014	2013	2012
End date	2016-12-31	2015-12-31	2014-12-31	2013-12-31	2012-12-31
Type of annual account	Corporate	Corporate	Corporate	Corporate	Corporate
Intangible fixed assets	11.991.000	12.900.000	13.500.000	8.952.000	7.991.000
Tangible fixed assets	8.364.000	5.822.000	5.702.000	5.826.000	5.581.000
Other fixed assets	35.263.000	35.622.000	35.566.000	29.590.000	29.590.000
Fixed assets	55.618.000	54.344.000	54.768.000	44.368.000	43.162.000
Total stock	8.822.000	9.435.000	6.985.000	6.240.000	6.691.000
Total receivables	1.326.000	8.462.000	3.063.000	1.807.000	4.565.000
Liquid funds	14.897.000	14.591.000	12.667.000	8.535.000	6.219.000
Other current assets	10.684.000	8.091.000	9.751.000	8.480.000	11.230.000
Current assets	35.729.000	40.579.000	32.466.000	25.062.000	28.705.000
Total assets	91.347.000	94.923.000	87.234.000	69.430.000	71.867.000
Total equity	33.130.000	36.403.000	30.235.000	21.330.000	24.042.000
Provisions	3.518.000	3.878.000	3.679.000	3.673.000	3.545.000
Long term liabilities	35.513.000	35.513.000	35.513.000	26.534.000	29.763.000
Accounts payable	5.987.000	4.708.000	3.673.000	4.209.000	3.211.000
Liabilities towards credit institutes	25.000	38.000	30.000	3.229.000	268.000
Other short term liabilities	13.174.000	14.383.000	14.104.000	10.455.000	11.038.000
Short term liabilities	19.186.000	19.129.000	17.807.000	17.893.000	14.517.000
Total liabilities	91.347.000	94.923.000	87.234.000	69.430.000	71.867.000
Summary	The total assets of the company decreased with -3.77 % between 2015 and 2016. Despite the total assets decrease, non current assets grew with 2.34 %. In 2016 the assets of the company were 60.89 % composed of fixed assets and 39.11 % by current assets. The assets are being financed by an equity of 36.27 %, and total debt of 63.73 %. The total assets of the company increased with 8.81 % between 2014 and 2015. The total assets are entirely composed of current assets. In 2015 the assets of the company were 57.25 % composed of fixed assets and 42.75 % by current assets. The assets are being financed by an equity of 38.35 %, and total debt of 61.65 %.

Profit and loss

Year	2016	2015	2014	2013	2012
Revenues	88.070.000	91.658.000	64.262.000	62.377.000	88.569.000
Net turnover	88.070.000	91.658.000	64.262.000	62.377.000	88.569.000
Cost of sales	64.073.000	63.799.000	44.628.000	45.177.000	75.732.000
Gross margin	23.997.000	27.859.000	19.634.000	17.200.000	12.837.000
Wages and salaries	19.095.000	19.837.000	17.864.000	16.843.000	16.237.000
Amorization and depreciation	2.945.000	2.860.000		278.000	2.732.000
Operating expenses	9.817.000	9.617.000	8.915.000	8.957.000	9.738.000
Operating result	14.180.000	18.242.000	10.719.000	8.243.000	3.099.000
Financial income	329.000	2.278.000	3.122.000	451.000	18.345.000
Financial expenses	2.102.000	1.457.000	1.730.000	1.905.000	1.614.000
Financial result	-1.773.000	821.000	1.392.000	-1.454.000	16.731.000
Result on ordinary operations before taxes	12.407.000	19.063.000	12.111.000	6.789.000	19.830.000
Taxation on the result of ordinary activities	2.748.000	3.851.000	2.208.000	1.776.000	625.000
Result of ordinary activities after taxes	9.659.000	15.212.000	9.903.000	5.013.000	19.205.000
Net result	9.659.000	15.212.000	9.903.000	5.013.000	19.205.000
Summary	The turnover of the company decreased by -3.91 % between 2015 and 2016. The gross profit of the company decreased by -13.86 % between 2015 and 2016. The operating result of the company declined with -22.27 % between 2015 and 2016. This evolution implies an decrease of the company's economic profitability. The result of these changes is a reduction of the company's Economic Profitability of -32.37 % of the analysed period, being equal to 13.58 in the year 2016. This fall has contributed to a asset turnover decrease, whose index evolved from -1.03 to a level of 0.96. The Net Result of the company decreased by -36.5 % between 2015 and 2016. The company's Financial Profitability has been negatively affected by the financial activities in comparison to the EBITs behaviour. The result of these variations is a profitability reduction of -28.49 % of the analysed period, being 37.45 in the year 2016. The company's financial profitability has been positively affected by its financial structure. The turnover of the company grew with 42.63 % between 2014 and 2015. The gross profit of the company grew with 41.89 % between 2014 and 2015. The operating result of the company grew with 70.18 % between 2014 and 2015. This evolution implies an increase of the company's economic profitability. The result of these changes is an increase of the company's Economic Profitability of 44.67 % of the analysed period, being equal to 20.08 in the year 2015. This growth has contributed to the increase in assets turnover, increasing by 31.08 % reaching 0.97. The Net Result of the company increased by 53.61 % between 2014 and 2015. The company's Financial Profitability has been negatively affected by the financial activities in comparison to the EBITs behaviour. The result of these variations is a profitability reduction of 30.73 % of the analysed period, being 52.37 in the year 2015. The company's financial structure has slowed down its financial profitability.

Country information

Population	5.7 million
GDP per capita	53,745 USD
Country risk	Low
Company risk	Very Low

Publications

Remarks	Status: Active Category: Very large company Last year: 2016 Turnover last year: 88.070.000 EUR Result last year: 9.659.000 EUR TOTAL assets last year: 91.347.000 EUR Number of employees: 244 Number of shareholders: 1 Number of subsidiaries: 22 Number of branches: 2
History	Previous name: Marel Food Systems A/S

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 64.96
UK Pound	1	INR 90.23
Euro	1	INR 80.09
DKK	1	INR 10.77

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :
Report Prepared by :	KET

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)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.