MIRA INFORM REPORT

 

 

Report Date :

26th May 2006

 

IDENTIFICATION DETAILS

 

Name :

MODERN CO FOR PREFABRICATION HOUSING LTD (NEWFAB)

 

 

Registered Office :

Industrial Area No. 1

1018, Sharjah

United Arab Emirates

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31/12/2005

 

 

Date of Incorporation :

23rd February 1974

 

 

Com. Reg. No.:

3108, Sharjah

 

 

Legal Form :

Limited Liability Company - LLC

 

 

Line of Business :

Manufacturers of prefabricated buildings.

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 250,000

 

 

Status :

Good 

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

 

SUMMARY

 

Company Name

MODERN CO FOR PREFABRICATION HOUSING LTD  (NEWFAB)

Country of Origin

Sharjah, United Arab Emirates

Legal Form

Limited Liability Company - LLC

Registration Date

23rd February 1974

Commercial Registration Number

3108, Sharjah

Trade Licence Number

335

Membership Number

666

Issued Capital

UAE Dh 1,280,000

Paid up Capital

UAE Dh 1,280,000

Total Workforce

150

Line of Business

Manufacturers of prefabricated buildings.

Financial Condition

Fair

Payments

Nothing detrimental uncovered

Operating Trend

Steady

 

 

 

 

 

COMPANY NAME

 

MODERN CO FOR PREFABRICATION HOUSING LTD (NEWFAB)

 

 

 

ADDRESS

 

Registered & Physical Address

 

Location            : Industrial Area No. 1

PO Box             : 1018

Town                 : Sharjah

Country             : United Arab Emirates

Telephone         : (971-6) 5332129

Facsimile          : (971-6) 5723241

Email                : newfab@emirates.net.ae

 

Premises

 

Subject operates from a medium sized suite of offices and a factory that are owned and located in the Industrial Area of Sharjah.

 

 

 

KEY PRINCIPALS

 

Name                                                                            Nationality                     Position

 

Samir N Khoory                                                             Lebanese                      Managing Director

 

Amjad Mohamed Yusuri Mohamed Al Douik                     Emirati                          Director

 

Bassam Ghalib                                                              -                                   General Manager

 

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 23rd February 1974

 

Legal Form                  : Sharikat Thet Massouliya Mahdoudeh (Limited Liability Company - LLC)

 

Commercial Reg. No.  : 3108, Sharjah

 

Trade Licence No.       : 335 (Expires 31st August 2006)

 

Membership No.          : 666

 

Issued Capital              : UAE Dh 1,280,000

 

Paid up Capital            : UAE Dh 1,280,000

 

Name of Shareholder (s)                                           Percentage

 

Amjad Mohamed Yusuri Mohamed Al Douik                                 51%

 

Samir N Khoory                                                                         49%

 

Note to the Legal Form  

A Limited Liability Company (LLC) is defined in the Company Law as a company incorporated with

not less than two and not more than fifty shareholders, each responsible only for the liabilities of the company to the extent of their share participation in the capital of the company.

 

The Company Law provides that the capital of a Limited Liability Company (LLC) should not be less

than UAE Dh 150,000, which should be divided into equal shares of a value not less than UAE Dh 100 each.

 

This type of company may engage in any form of legitimate business, with the exception of insurance, banking and investment of funds.

 

Non UAE Participation   

The participation of non-Emirati in a trade or business in the United Arab Emirates is governed by the

Foreign Business Investment Law, which sets capital requirements and requires 51 percent Emirati participation in capital and profits.

 

It is common for the 51 percent to be held by the UAE national on paper only with the foreign partner(s) providing all the capital requirements for the company and paying an annual fee to the local partner.

 

Under this arrangement the above ownership may not reflect the actual profit distribution within the company, as the company may have internal management agreements in place that provides full management of the company in return for a share of the company’s assets and profits. This internal relationship may or may not be recognised by law depending on the way the internal agreement is made.

 

 

 

LINE OF BUSINESS

 

Operations : Engaged in the manufacture of prefabricated buildings.

 

Import Countries : Europe and GCC countries.

 

Operating Trend : Steady

 

Subject has a workforce of 150 employees.

 

 

 

FINANCIAL HIGHLIGHTS

 

Financial highlights provided by outside sources are given below :

 

Currency : United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/04 :                           Year Ending 31/12/05 :

 

Total Revenue                            UAE Dh 16,750,000                               UAE Dh 19,200,000

 

Local sources consider subject’s financial condition to be Fair.

 

 

BANKERS

 

Investment Bank for Trade & Finance LLC

Al Arooba Street

PO Box : 1885

Sharjah

Tel : (971-6) 5355391 / 5355392

 

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

 

GENERAL COMMENTS

 

Opinion on the credit figure of US$ 150,000:

 

Established in 1974, subject is owned and managed by Mr Samir N Khoory, a Lebanese national who operates in Sharjah under the local sponsorship of Mr Amjad Mohamed Yusuri Mohamed Al Douik.

 

According to local sources, subject’s financial condition is satisfactory whilst payments are made in a timely manner. The company’s operating history is reportedly clear and the above credit figure is considered to be within subject’s financial means.

 

Maximum suggested credit figure: US$ 250,000

 

 

RATING EXPLANATIONS

 

 

RATING

STATUS

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

 

 

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