MIRA INFORM REPORT

Report No. :	508347.2
Report Date :	15.05.2018

IDENTIFICATION DETAILS

Name :	KAUSHAL PHARMA
Registered Office :	55, B.R.B. Basu Road, 3rd Floor, Block-F, Room No A55, Kolkata-700001, West Bengal
Mobile No.:	91-9830624500 [Mr. Vibhav Kaushal]
Country :	India
Financials (as on) :	31.03.2017
Year of Establishment :	1980
Capital Investment :	INR 1.769 Million
IEC No.: [Import-Export Code No.]	Not Divulged
GSTN : [Goods & Service Tax Registration No.]	19ADRPG5458L1ZS
Drug License No:	42025W/ 3205 SBW
TIN No.:	Not Divulged
PAN No.: [Permanent Account No.]	ADRPG5458L
Legal Form :	Sole Proprietary Concern
Line of Business :	Trader of Pharmaceuticals Products and Medicine. [Confirmed by Management]
No. of Employees :	10 [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 5000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a proprietorship concern established in the year 1980 and it is having satisfactory track record. It is engaged as trader of pharmaceutical products and medicine. As per available financials of March 2017, the concern has achieved decent growth of in its sales turnover along with fair profit margin during the year. Rating takes into consideration, the satisfactory financial risk profile marked by improved revenue profile and acceptable capital base. Rating continue to derive strength from its established track record of its business operation backed by entrepreneurial experience of the proprietor. Rating also considers positive feedback received from its supplier Kaushal Healthcare Private Limited) for good payment behaviour and market goodwill, further from its banker (HDFC Bank) for satisfactory banking transactions. Payments seems to be usually correct. In view of aforesaid, the concern can be considered for business dealings at usual trade terms and conditions. Note 1: Site visit was conducted at the given address and our executive had successfully traced the subject. At the premises our executive met Mr. Anup (Office Executive) confirmed the existence of the subject and also provided contact number (033-22355379). As per our executive’s observation, it’s a 4 storey building and subject is situated on 3rd floor comprising of total area of 120 SQ.FT. Location is easy to find. Locality seems to be commercial and area near the premise building appears to be neutral. Further, our executive have sighted 6+ employees at the premises along with some office items such as telephone, computer, Xerox machine as well as furniture items. Name board of the subject was sighted at the given premise address. On enquiry with Mr. Atun Das from “Drug Centre” and Mr. K. Hailder from “S.S Medical” both person from neighbour companies confirmed the existence of the subject. Note 2: The name board sighted is a printed paper which was affixed at the entrance door.

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)
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 31-03-2018.

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 15.05.2018.

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. Vibhav Kaushal
Designation :	Authorised Signatory
Contact No.:	91-9830624500
Date :	11.05.2018

LOCATIONS

Registered Office :	55, B.R.B. Basu Road, 3^rd Floor, Block-F, Room No A55, Kolkata-700001, West Bengal, India
Tel. No.:	91-33-22355379
Mobile No.:	91-9830624500 [Mr. Vibhav Kaushal]
Fax No.:	Not Available
E-Mail :	ravshalpharma14@gmail.com
Area :	120 Sq. Ft.
Location :	Rented
Locality :	Commercial [As per site visit]

SOLE PROPRIETOR

Name :	Mr. Rajendra Prasad Gupta
Designation :	Proprietor
Address :	34C, Colootola Street, Kolkata-700073, West Bengal, India
Date of Birth/Age :	27.06.1936
PAN No.:	ADRPG5458L

KEY EXECUTIVES

Name :	Mr. Vibhav Kaushal
Designation :	Authorised Signatory

BUSINESS DETAILS

Line of Business :	Trader of Pharmaceuticals Products and Medicine. [Confirmed by Management]
Products/ Services :	· Pharmaceuticals Products · Medicine
Brand Names :	Not Available
Agencies Held :	MERK
Exports :
Products :	Not Available
Countries :	Not Available
Imports :
Products :	Not Available
Countries :	Not Available
Terms :
Selling :	Credit [30 Days]
Purchasing :	Credit [30 Days]

GENERAL INFORMATION

Suppliers :

Reference:

Kaushal Healthcare Private Limited

Name of the Person (Designation):

Mr. Vibhav Kaushal [Director]

Contact Number:

91-9830624500

Since how long known:

5 Years

Maximum limit dealt:

---

Experience:

Payment Behavior	Market Goodwill	Overall
Good	Good	Good

Remark

They gave us positive response about subject, they are satisfied with their payment behaviour and market goodwill.

Customers :

Wholesaler and Retailers

Reference:	Fine Health Private Limited
Name of the Person (Designation):	Mr. Abhijit Mali [Manager]
Contact Number:	91-8336087871
Since how long known:	3 Years
Maximum limit dealt:	--
Experience:	--
Remark	Continuously ringing

No. of Employees :

10 [Approximately]

Bankers :

Bank Name:	HDFC Bank Limited
Branch:	P/34, Indian Exchange Place, Shah House, Kolkata-700001, West Bengal, India
Person Name (with Designation):	Ms. Soumya Mandal [Relationship Manager]
Contact Number:	91-9330101364
Name of Account Holder:	KAUSHAL PHARMA
Account Number:	50200010750390 IFSC Code: HDFC0001242
Account Since (Date/ Year of A/c Opening):	2015
Average Balance Maintained (Optional):	---
Credit Facilities Enjoyed (CC/OD/Term Loan):	---
Account Operation:	Current Account
Remarks:	We spoke with Ms. Soumya Mandal [Relationship Manager] who gave us positive response about subject, they are satisfied with their banking transactions.

Auditors :
Name :	SDP and Associates Chartered Accountants
Address :	46 C, Chowringhee Road, Everest House, Flat -14 G, Kolkata, West Bengal, India
Tel No:	91-33-22882944/ 22882945/ 22882946
Membership No.:	054318
Memberships :	Not Available
Collaborators :	Not Available
Sister Concern : [Confirmed by Management]	· Kaushal Healthcare Private Limited Address: 44, EZRA, Street, Room No. 13B, Ground Floor, Kolkata, West Bengal, India Line of Business: Wholesale

CAPITAL STRUCTURE

AS ON 31.03.2017

Capital Investment :
Owned :	INR 1.769 Million
Borrowed :	---
Total :	INR 1.769 Million

FINANCIAL ANALYSIS

[all figures are in INR Million]

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2017	31.03.2016
SHAREHOLDERS FUNDS
1] Proprietor Capital Account		1.769	0.821
2] Reserves & Surplus		0.000	0.000
NETWORTH		1.769	0.821
LOAN FUNDS
1] Secured Loans		0.000	0.000
2] Unsecured Loans		2.639	3.715
TOTAL BORROWING		2.639	3.715
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		4.408	4.536
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.144	0.116
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2.859	3.256
	Sundry Debtors	1.221	0.395
	Cash & Bank Balances	1.051	2.190
	Other Current Assets	0.030	0.015
	Loans & Advances	0.000	0.000
Total Current Assets		5.161	5.856
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities and Provisions	0.897	1.436
Total Current Liabilities		0.897	1.436
Net Current Assets		4.264	4.420
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		4.408	4.536

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2017	31.03.2016
	SALES
		Revenue from Operations	58.346	37.403
		Other Income	0.008	0.006
		TOTAL	58.354	37.409
Less	EXPENSES
		Purchase of Trading Goods	54.129	36.006
		Changes in Inventories	0.397	(1.347)
		Employees benefit Expenses	1.340	1.503
		Administrative and Other Expenses	1.486	0.878
		TOTAL	57.352	37.040
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		1.002	0.369
Less	INTEREST		0.033	0.000
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		0.969	0.369
Less/ Add	DEPRECIATION/ AMORTISATION		0.021	0.014
	NET PROFIT / (LOSS)		0.948	0.355

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016
Average Collection Days (Sundry Debtors / Income * 365 Days)	7.64	3.85
Account Receivables Turnover (Income / Sundry Debtors)	47.79	94.69
Inventory Turnover (Operating Income / Inventories)	0.35	0.11
Asset Turnover (Operating Income / Net Fixed Assets)	6.96	3.18

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.67	0.86
Debt Equity Ratio (Total Liability / Networth)	1.49	4.52
Current Liabilities to Networth (Current Liabilities / Net Worth)	2.00	6.27
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.08	0.14
Interest Coverage Ratio (PBIT / Financial Charges)	30.36	0.00

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016
Net Profit Margin ((PAT / Sales) * 100)	%	1.62	0.95
Return on Total Assets ((PAT / Total Assets) * 100)	%	17.87	5.94
Return on Investment (ROI) ((PAT / Networth) * 100)	%	53.59	43.24

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016
Current Ratio (Current Assets / Current Liabilities)	1.46	1.14
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	0.65	0.50
G-Score Ratio Financial (Networth / Total Assets)	0.33	0.14
G-Score Ratio Debt (Debts / Equity Capital)	1.49	4.52
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.46	1.14

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
Proprietor Capital	0.821	1.769
Reserves & Surplus	0.000	0.000
Net worth	0.821	1.769
Secured Loans	0.000	0.000
Unsecured Loans	3.715	2.639
Total borrowings	3.715	2.639
Debt/Equity ratio	4.525	1.492

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2016	31.03.2017
	INR In Million	INR In Million
Sales	37.403	58.346
		55.993

NET PROFIT MARGIN

Net Profit Margin	31.03.2016	31.03.2017
	INR In Million	INR In Million
Sales	37.403	58.346
Profit	0.355	0.948
	0.95%	1.62%

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	Yes
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	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	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	Yes
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last two years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last two years	Yes
30	Major shareholders, if available	No
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

OBSERVATION POINTS

Name of Company :	KAUSHAL PHARMA
Address :	55, B.R.B. Basu Road, 3rd Floor, Block-F, Room No A55, Kolkata-700001, West Bengal, India
Contact No.:	91-33-22355379
Person to whom we met:	Mr. Anup (Office Executive)
Name Board :	Sighted [The name board sighted is a printed paper which was affixed at the entrance door.]
Location:	Easy
Landmark (If Any):	BRB Basu Road
Total Floors of the Building :	4 Floors
Subject situated on:	3rd Floor
Locality:	Commercial
Area of Premises :	120 Sq. Ft.
Area :	Neutral
No. of employees seen at premises:	06 [Approx.]
Visibility of Items:	· Telephone · Computers · Xerox Machine
Furniture Items Sighted :	Yes
Neighbours Interview :	On enquiry with Mr. Atun Das from “Drug Centre” and Mr. K. Hailder from “S.S Medical” both person from neighbour companies confirmed the existence of the subject.
Proof of visit:	Photos

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	Indian Rupees
US Dollar	1	INR 67.32
UK Pound	1	INR 91.25
Euro	1	INR 80.51

INFORMATION DETAILS

Information Gathered by :	SHW
Analysis Done by :	NIS
Report Prepared by :	IND

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.