MIRA
INFORM REPORT
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Report Date : |
21st
November, 2006 |
IDENTIFICATION
DETAILS
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Name : |
C.L.P.
INDUSTRIES LIMITED |
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Registered Office : |
Mobile Post Sde Gat, Negba 79856 Israel |
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Country : |
Israel |
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Date of Incorporation : |
21.05.1991 |
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Com. Reg. No.: |
51-157149-9 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturers, printers,
marketers and exporters of packaging, including aluminium packaging,
sophisticated, flexible plastic packaging and packaging materials from multi
layer sheets. |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
US$
1,500,000 |
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Status : |
Good |
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Payment Behaviour : |
Regular
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Litigation : |
Clear |
Company name & Address
C.L.P. INDUSTRIES LTD.
Telephone 972 8 679 03 00
Fax 972 8 675 40 61
Mobile Post Sde Gat
NEGBA 79856 ISRAEL
HISTORY
A private limited company, incorporated as per file
No. 51-157149-9 on 21.5.1991, under the name C.L.P. GAL INDUSTRIES LTD., which
changed to the present name on the 14.6.1999.
SHARE
CAPITAL
Authorized share capital NIS 40,000,009.00, divided
into -
8 management "A" shares,
1 management "B" shares,
40,000,000 ordinary shares, all of NIS 1.00 each, Of
which shares amounting to NIS 35,000,007.00 were issued.
SHAREHOLDERS
1. TADBIK-PACK LTD., 50%, a fully owned subsidiary of TADBIK LTD, a
public limited liability company whose shares are traded on the Tel Aviv Stock
Exchange.
2. Kibbutz Negba, 35%, a cooperative society,
operating a communal agricultural settlement, established 1939.
3. MIZRAHI TEFAHOT BANK TRUST CO. LTD., 12.9%,
shares are being held in trust on behalf of Kibbutz Negba,
4. C.L.P LAMINATION AND POLYPROPHILEN COATINGS
KIBBUTZ NEGBA, 2.1%, controlled by Kibbutz Negba.
During 2004, Kibbutz Negba acquired Kibbutz Sde Yoav
shares (15%) in subject.
In August 1999 TADBIK-PACK LTD. acquired its stake in
subject from its former shareholder, DELEK INVESTMENTS AND PROPERTY LTD., in
consideration of
NIS 17.1 million (see also CHARACTER AND REPUTATION).
DIRECTORS
1. Eitan
Ariely - Chairman,
2. Ilan Drori - Subject’s Vice Chairman and Chairman of
TADBIK LTD.,
3. Amos Sapir,
4. Avner
Barzilay,
5. Amir
Frechtman,
6. Baruch
Ochnik,
7. Oded Levy,
8. Meron
Grinberg,
9. Akiva
Polack.
GENERAL
MANAGER
Haim Gofen
BUSINESS
Manufacturers, printers, marketers and exporters of
packaging, including aluminum packaging, sophisticated, flexible plastic
packaging and packaging materials from multi layer sheets.
Subject’s clientele includes leading local and foreign
companies, such as:
OSEM, TNUVA, UNILEVER ISRAEL, VERED HAGALIL, MATA, ,
VITA, TARA, STRAUSS-ELITE, AL-BAAD, ZAN LAKOL, SUNFROST, COCA COLA ISRAEL,
NESTLE, UNILEVER, PEPSICO, WALCAN, J.M. PACKAGING, etc.
Among suppliers: PLASTO SAK, GADOT CHEMICAL TANKERS
AND TERMINALS, POLYON BARKAI INDS., etc.
Sole local representatives of WOLF, of Germany.
Operating from owned plant and offices on an area of
20,000 sq. meters (12,000 built) in Kibbutz Negba (which is also the registered
address of subject).
Also operating from a plant in Russia and from
marketing offices in South Africa and the USA.
Working with agents worldwide.
Having 250 employees (same as in 2005).
MEANS
During the first half of 2002, subject invested US$ 5
million in new manufacturing lines.
Current stock is valued at NIS 28,000,000 (same as in
2005).
Subject is an “Approved Enterprise” and as such enjoys
tax benefits and state incentives. In August 2001 the Israel investment
Authority approved a US$ 8.2 million investment plan to expand subject’s plant
in Negba.
In February 2004, the Investment Center Administration
approved a further
US$ 2.4 million investment for the expansion of subject’s plant.
There are 11 charges for unlimited sums registered on
the company’s assets, in favor of the State of Israel and local banks.
Consolidated
B/S shows (last obtainable)
NIS
(thousands)
31.12.2004 31.12.2003
ASSETS
Current Assets:
Cash and
cash equivalents 1,978 838
Customers 67,014 57,849
Other
debtors 7,838 4,750
Stock 28,850 25,907
105,680 89,344
Investments and long
term debentures 165 176
Fixed Assets (net) 76,073 67,477
Other assets ____347 ___535
182,265 157,532
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LIABILITIES
Current liabilities 89,462 85,571
Long term
liabilities 46,375 38,989
Equity _46,428 _32,972
182,265 157,532
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ANNUAL
SALES
Consolidated
Statements of Income
NIS
(thousands)
Year
ended December 31.12
2002 2003 2004
Sales 167,420 183,146 221,466
Gross profit 40,316 41,853 50,299
Operating
income 10,360 10,039 14,817
Pre-Taxes
Income 5,227 2,970 21,719
Net income 2,944 1,688 16,343
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2005 sales claimed to be NIS 226,000,000 (over 50% for
export).
First 10 months of 2006 sales claimed to be NIS
200,000,000 (54% for export).
Parent
company TADBIK-PACK LTD. ended 2005 with a net profit
of NIS 9,671,000, which includes the
profits from subject's operations.
OTHER
COMPANIES
C.L.P. PACKAGING S.A., 100%, marketers of subject’s
products in South Africa,
C.L.P. PLASTUPAK, 100%, of Russia, manufacturers and
marketers of packaging products,
C.L.P. PACKAGING SOLUTIONS INC., 100%, marketers of
subject’s products in the U.S.A,
C. L. P. (RUSSIA) LTD., 100%,
IZASLAV LLC, 74%, Russia,
TADBIK LTD. - local leading manufacturers and
marketers of self adhesive labels and automated adhesive machines for packing
in the food, pharmaceutical, cosmetic and other industries. Market value US$
11.9 million and consolidated annual sales of NIS 400 million in 2005. Owns the
subsidiaries:
TADBIK ADVANCED TECHNOLOGY LTD. (T.A.T.), 100%,
investing in start-up companies.
LOGOTECH INC. 100%, manufacturers and marketers of
adhesive labels and packing machines, based in New Jersey U.S.A., (estimated
1995 - 1997 investments US$ 3.5 millions).
TADBIK REAL ESTATE LTD., 100%, group’s real estate
company.
TADBIK ADHESIVE & MARKING SYSTEMS LTD., 100%.
TADBIK-PACK LTD., manufacturers, marketers and
exporters of packaging solutions, using rotary offset printing.
BANKERS
Bank Leumi LeIsrael B.M., Main Branch (No. 876),
Haifa,
Mizrahi Tefahot Bank Ltd., Main Business Branch (No.
461), Tel Aviv,
The First International Bank of Israel Ltd., Main
Branch (No. 046), Tel Aviv,
Mercantile Discount Bank Ltd., Main Branch (No. 654),
Tel Aviv
CHARACTER
AND REPUTATION
Nothing unfavorable learned.
In 2005, we received positive suppliers opinions on
subject:
PLASTO SAK officials told us they are working with
subject for 8 years, supplying them with raw materials. Dealings are estimated
at NIS 20 million per year. Credit terms are current + 100 days.
Subject was described as a good client who always pays
on time.
POLYON BARKAI INDUSTRIES officials told us they are
working with subject for 14 years, supplying them with plastic sheets. Dealings
are estimated at NIS 4 million per year. Credit terms are current + 90 days.
Subject was described as a good client who always pays
on time.
Subject is ISO 9002 certified.
TADBIK LTD. is co-owned by Ilan Drori, of the Drori
Family, and ISRAEL EQUITY LTD. (IEL), an investment group which acquired ELRAN
shares (40.5%) in TADBIK in February 2004, for a sum of NIS 15.3 million.
In August 1999, TADBIK-PACK LTD., acquired from DELEK
INVESTMENT LTD. 50% subject’s shares
and control over the company in consideration of NIS 17.1 million (NIS 7
million for the shares and NIS 10.1 million for covering owner’s loan). This
transaction was approved by the Trade Restraint Commissioner in December 1999.
In March 2000 subject established a fully owned
subsidiary, called C.L.P. PACKAGING S.A., which will market subject’s products
in South Africa.
In January 2001 subject established a fully owned
subsidiary called C.L.P. PLASTUPAK, which will manufacture and market subject’s
products in Russia.
In July 2001 subject established another fully owned
subsidiary called C.L.P. PACKAGING SOLUTIONS INC., which will market subject’s
products in the USA.
In May 2004, it was reported that MALAM will provide
subject with computing outsourcing services, for a sum of NIS 1.5 million.
Kibbutz Negba also cultivates large areas of agricultural land, including
fruit plantations, operates dairy farming, poultry etc.
There
are some 120 packaging production plants in Israel, directly employing 9,500
employees.
According to the Chairman of the Packaging
and Design Institute the branch sales in 2006 expected to increase by 4%
comparing to 2005 and reach US$ 1.2 billion, of which US$ 310 million are
exports (a 11% increase).
During the first half of 2006, around US$ 50 million
were invested in the branch in R&D and design .
From the
Plastic and Rubber Manufacturers Association in Israel analysis, the following
figures were reported:
The
branches sales in the first half of 2006 grew by 6% comparing to the parallel
period in 2005, summing up at US$ 1.77 billion. Exports in this period
witnessed a 6.9% rise (reaching US$ 925 million) and 4.9% rise in sales to the
local market, which reached US$ 850 million.
Sales of
the branch in 2005 reached US$ 3.35 billion, 4.3% increase from 2004. The
increase included 8% increase in exports, which amounted to US$ 1.73 billion,
and 0.5% increase in sales to the local market, which reached US$ 1.6 million.
Exports
were to Europe (50%), North America (33%), South America (5%), Australia (5%),
Africa (5%) and the Middle East (2%).
Following
the growth in the branch, 200 new employees joined the industry in 2005, and
the current number of employees in the branch is 21,000.
SUMMARY
Good for
trade engagements.
Maximum
unsecured credit recommended US$ 1,500,000.
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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