MIRA
INFORM REPORT
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Report Date : |
05.04.2007 |
IDENTIFICATION
DETAILS
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Name : |
MIVAN FAR EAST
SDN BHD |
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Registered Office : |
Lot 824, Komplek
Sun, Jln Bkt Bintang, 8th Flr, 55100 Kuala Lumpur |
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Country : |
Malaysia |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
05/09/1990 |
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Legal Form : |
Private Limited
Company |
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Line of Business : |
Civil Engineering
Construction |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
* Adopted abbreviations : SC - Subject Company ( the company enquired
by you)
N/A - Not Applicable
EXECUTIVE SUMMARY
LOCAL NO : 203754-U
COMPANY NAME : MIVAN
FAR EAST SDN BHD
FORMER NAME : SPIRE FAR EAST SDN BHD (12-03-1992)
INCORPORATION DATE : 05/09/1990
COMPANY STATUS : EXIST
LEGAL STATUS : PRIVATE LIMITED COMPANY
LISTED STATUS : NO
REGISTERED ADDRESS : LOT 824, KOMPLEK SUN, JLN BKT BINTANG, 8TH
FLR,
55100 KUALA LUMPUR, MALAYSIA.
BUSINESS ADDRESS : 501, 4TH FLOOR, BLOK B, GLOMAC
BUSINESS
CENTRE,
10 JALAN SS6/1, 47301 PETALING JAYA,
SELANGOR,
MALAYSIA.
TEL NO : 03 - 78032806
FAX NO : 03 - 78033437
CONTACT PERSON : JAMES MARTIN LAUGHLIN (MANAGING
DIRECTOR)
INDUSTRY CODE : 45209
PRINCIPAL ACTIVITY : CIVIL ENGINEERING CONSTRUCTION
AUTHORISED CAPITAL : MYR11,000,000.00
DIVIDED INTO ORDINARY SHARE
10,000,000
OF MYR1.00 EACH.
PREFERENCE
SHARE 1,000,000 OF MYR1.00 EACH.
ISSUED AND PAID UP
CAPITAL : MYR1,000,000.00 DIVIDED INTO ORDINARY
SHARE
10,000,000
CASH OF MYR1.00 EACH.
PREFERENCE
SHARE 1,000,000 CASH OF MYR1.00
EACH.
SALES : MYR88,512,674 [2005]
NET WORTH : MYR17,034,721 [2005]
STAFF STRENGTH : 30
[2007]
BANKER (S) : MALAYAN BANKING BHD
LITIGATION : CLEAR
FINANCIAL CONDITION : FAIR
PAYMENT : N/A
MANAGEMENT CAPABILITY : AVERAGE
COMMERCIAL RISK : MODERATE
CURRENCY EXPOSURE : MODERATE
GENERAL REPUTATION : SATISFACTORY
INDUSTRY OUTLOOK : MARGINAL GROWTH
HISTORY / BACKGROUND
The SC is a private
limited company and is allowed to have a minimum of one and a maximum of
forty-nine shareholders. As a private limited company, the SC must have at least
two directors. A private limited company is a separate legal entity from its
shareholders. As a separate legal entity, the SC is capable of owning assets,
entering into contracts, sue or be sued by other companies. The liabilities of
the shareholders are to the extent of the equity they have taken up and the
creditors cannot claim on shareholders' personal assets even if the SC is
insolvent. The SC is governed by the Companies Act, 1965 and the company must
file its annual returns, together with its financial statements with the
Registrar of Companies.
The SC is
principally engaged in the (as a / as an) civil engineering construction. The SC is not listed on Bursa Malaysia
(Malaysia Stock Exchange).
The SC is not
qualified to be one of the Top Corporate Performers in the Malaysia 1000
(M1000) publication, a directory jointly published by Companies Commission of
Malaysia (The Registrar Office), Minister of Domestic Trade and Consumer
Affairs and our publication arm, BASIS Publications House Sdn Bhd.
The major
shareholder(s) of the SC are shown as follows :
Name Address IC/PP/Loc
No: Shareholding
MIVAN LTD
NEW PARK, GREYSTONE RD, ANTRIM, 1,000,000
NORTHERN IRELAND, BT41 20N, UNITED
KINGDOM.
-------------------
1,000,000
===========
+ Also Director
DIRECTORS
DIRECTOR 1
Name of Subject : JAMES
MARTIN LAUGHLIN
Address : 10 JLN SETIAKASIH 8, D''SARA HEIGHTS, 50490 KUALA LUMPUR.
IC / PP No : P740015879
Date of Birth : 20/07/1953
Nationality : BRITISH
Date of Appointment : 10/01/1992
DIRECTOR 2
Name of Subject : DAVID
NICHOLAS WILSON
Address : 5 JLN KIARA 11, BDR BOTANIC, 41200 KELANG, SELANGOR.
IC / PP No : P740151050
Date of Appointment : 21/12/1999
DIRECTOR 3
Name of Subject : DAVID
ALEXANDER MERVYN MCCALL
Address : NEW PARK, GREYSTONE RD, ANTRIM, NORTHERN IRELAND,
BT41
20N, UNITED KINGDOM.
IC / PP No : P028576204
Date of Appointment : 01/03/2002
MANAGEMENT
1) Name of Subject : JAMES
MARTIN LAUGHLIN
Position : MANAGING
DIRECTOR
2) Name of Subject : DAVID
NICHOLAS WILSON
Position : FINANCE
DIRECTOR
3) Name of Subject : B H LIM
Position : PROJECT
MANAGER
AUDITOR
Auditor : CHEW & ASSOCIATES
Auditors' Address : LOT
828, KOMPLEK SUN, JLN BKT BINTANG, 8TH FLR, 55100
KUALA
LUMPUR.
COMPANY SECRETARY
1) Company Secretary : TAN
BENG HOCK
IC / PP No. : 4086144
New IC No. : 361028-07-5295
Address : 162
JLN SS 2/4, 47300 PETALING JAYA, SELANGOR.
Date of Appointment : 14/04/1994
2) Company Secretary : LAI
SOOK HEAN
IC / PP No. : A1854741
New IC No. : 710503-08-6122
Address : 206
BLK A10, WANGSA MAJU, SEC 2, 53300 KUALA
LUMPUR.
Date of Appointment : 19/06/2000
BANKING
Banking relations
are maintained principally with :
1) Banker Name : MALAYAN BANKING
BHD
The SC enjoys
normal banking routine with above mentioned banker(s).
No adverse record
was found during our investigation.
ENCUMBRANCE (S)
ENCUMBRANCE 1
Date of Creation : 04
Nov 1992
Description of
Charge : ASSIGNMENT
Amount Secured : O/D
Description of
Property Affected : OBLIGATION UNDER EQUIPMENT LEASE
AGREEMENT
Name & Address
of Chargee : ASIAN INTERNATIONAL MERCHANT BANKERS BHD
UMBC
ANNEXE, JLN SULTAN SULAIMAN, 10TH FLR, 50000
KUALA
LUMPUR.
Form 40 Dated 14
Dec 1992
Registered and
Numbered 1 In The Register of Charges
ENCUMBRANCE 2
Date of Creation : 07
Jul 1995
Description of
Charge : SUBORDINATION AGREEMENT
Amount Secured : FOREIGN CURRENCY
Description of
Property Affected : FIXED & FLOATING CHARGE
Name & Address
of Chargee : NATIONAL AUSTRALIA MERCHANT BANK (SINGAPORE) LTD
SINGAPORE.
Form 40 Dated
Registered and
Numbered 5 In The Register of Charges
ENCUMBRANCE 3
Date of Creation : 06
Jul 1999
Description of
Charge : MEMO OF DEPOSIT
Amount Secured : RM 1,200,000.00
Description of
Property Affected : FIXED DEPOSIT A/C
Name & Address
of Chargee : THE PACIFIC BANK BHD
58,
60, 62 & 64 JLN SS 2/67, 47300 PETALING JAYA,
SELANGOR.
Form 40 Dated 19
Jul 1999
Registered and
Numbered 6 In The Register of Charges
LEGAL CHECK AGAINST
THE SC
* A check has been conducted in our
databank against the SC whether the subject has been
involved in any litigation. Our
databank consists of 99% of the wound up companies in Malaysia
back dated since 1900.
No legal action was
found in our databank.
No winding up
petition was found in our data bank
PAYMENT RECORD
SOURCES OF RAW
MATERIALS :
Local : YES
Overseas : YES
The SC refused to
furnish us with the suppliers' names. Without the financial accounts, we are
not able to comment on the SC's payment habit.
CLIENTELE
Local : YES Percentage : 100%
Domestic Markets : MALAYSIA.
Overseas : NO Percentage : 0
%
Credit Term : AS AGREED.
OPERATIONS
Services : CIVIL
ENGINEERING
Competitor(s) : UNITED
ENGINEERS (MALAYSIA) BHD
BINA PURI
HOLDINGS BHD
GADANG
ENGINEERING (M) SDN BHD
HEXAGON
TOWER SDN BHD
ENERSAVE
WATER SDN BHD
Total Number of
Employees :
YEAR 2007
GROUP N/A
COMPANY 30
Branch : NO
RECENT DEVELOPMENT
We have checked
with the Malaysian National News
Agency's (BERNAMA) database, but
no latest development was noted in our investigation.
CURRENT INVESTIGATION
Latest fresh
investigations carried out on the SC indicated that :
Telephone Number
Provided By Client : 03-78033437
Current Telephone
Number : 03-78032806
Match : YES
Address Provided By
Client : 501, 4TH FLOOR, BLOK B, GLOMAC
BUSINESS
CENTRE,
10 JALAN SS6/1, 47301 KELANA JAYA
Current Address : 501, 4TH FLOOR, BLOK B, GLOMAC
BUSINESS
CENTRE,
10 JALAN SS6/1, 47301 PETALING JAYA,
SELANGOR,
MALAYSIA.
Match : YES
Latest Financial
Accounts : YES
FINANCIAL COMMENTS
The financial summary
of the SC in Year 2005 showed that it was financially FAIR. The SC has
generated a favourable return on its shareholders' funds, indicating that the
SC was efficient in utilising its shareholders' funds to generate favourable
returns. Besides this, it also has an adequate liquidity position with its
current liabilities well covered by its current assets. With its current net
assets, the SC should be able to repay its short term obligations. Although the
SC's liability ratio is high, it is mainly due to high current liabilities
rather than long term debt. However, the high current liabilities are well
covered by its large current assets, indicating that the SC does not face any
shortage in short term working capital.
Overall financial
condition of the SC: FAIR
COMMENTS
Formed in 1990 as a
private limited company, the SC is principally engaged in the provision of
civil engineering construction. With issued and paid up capital of RM1 million,
the SC is backed by Mivan Ltd from UK.
Having been in the
industry for over a decade, the SC should have received strong support from its
regular customers. Being a moderate size company, the SC's interest lies mostly
in the domestic market. With full
concentration in the local market, it is likely to be influenced by the local
economic situation. At present, the SC's management is led by its Managing
Director, James Martiin Laughlin supported by 30 employees.
During the
financial year 2005, the SC's turnover and pre-tax profit stood at RM88,512,674
and RM7,678,659 respectively. Based on the higher profitability, the SC has
generated a favourable return on shareholders' funds which indicated that the
management was efficient in utilising its funds to generate income. Besides,
the SC is in good liquidity position as it has sufficient working capital to
meet its short term financial obligations. Although the SC's liability ratio is
high, it is mainly due to high current liabilities rather than long term debts.
Overall, the SC's financial standing is fair. Given a healthy net worth
standing at RM17,034,721, the SC should be able to further enhance its
business.
We noted that the
SC's products are sourced locally and imported from overseas countries. Thus,
it eliminates the risk of dependency on deliveries from a number of key
suppliers and insufficient quantities of its raw materials. Moreover, its long
presence in the market has enabled the SC to built up an extensive supplier
base. As such, it may not have problems in getting its raw materials.
The SC is clear of
litigation.
The industry has
reached its maturity stage and only enjoying marginal growth. As the market is
saturated and competitive, the SC should improve its management capability and
explore more new market segments in order to have a stable standing in the
industry.
In view of the
above, we recommend credit be granted to the SC normally.
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
PROFIT AND LOSS
ACCOUNT
MIVAN FAR EAST SDN
BHD
31-December-2005
Consolidated
Accounts : No
UnQualified Reports : Yes
RM
Turnover 88,512,674.00
Operating Revenue 0.00
----------------------------
Profit / (Loss) Before Tax 7,678,659.00
----------------------------
Profit / (Loss) After Tax 5,004,345.00
Extraordinary Item 0.00
Minority Interest 0.00
----------------------------
Profit/(Loss) Attributable to
Shareholders 5,004,345.00
----------------------------
Prior Period Adjustment 0.00
Net Dividend <
6,000,000.00 >
Transferred To/From Reserved 0.00
Others 0.00
----------------------------
Unappropriated Profit/(Loss)
Brought Forward 16,030,376.00
----------------------------
Unappropriated Profit/(Loss)
Carried Forward 15,034,721.00
================
BALANCE SHEET
MIVAN FAR EAST SDN
BHD
31-December-2005
Consolidated
Accounts : No
UnQualified Reports : Yes
RM
Fixed Assets 4,766,263.00
Total Investment 0.00
Amount Owing By 0.00
Current Assets 42,450,991.00
Intangible Assets 0.00
Other Assets 0.00
----------------------------
Total Assets 47,217,254.00
================
Working Capital 12,342,282.00
Issued
Capital 1,000,000.00
Paid Up Capital 1,000,000.00
Share Premium & Reserved 1,000,000.00
Unappropriated Profit/(Loss) 15,034,721.00
----------------------------
Shareholder's Fund/Equity 17,034,721.00
----------------------------
Current Liabilities 30,108,709.00
Amount Owing To 0.00
Long-term and Deferred
Liabilities 73,824.00
Share Application Account 0.00
Minority Interest 0.00
----------------------------
Total Equity Liability 47,217,254.00
================
Contingent Liabilities 0.00
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 |
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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 |
|
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 |
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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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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 and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)