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MIRA
INFORM REPORT
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Report Date : |
06.04.2007 |
IDENTIFICATION
DETAILS
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Name : |
UNITED PAPER
INDUSTRIES CO KSC (UPI) |
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Registered Office : |
Mina Abdullah
Industrial Area, P O Box 5149, Safat 13052 |
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Country : |
Kuwait |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
7th February 1998 |
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Com. Reg. No.: |
72174, Safat |
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Legal Form : |
Kuwaiti Shareholding Company – KSC |
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Line of Business : |
Manufacture of paper
for the cartons, cement sacks and other similar products. |
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$ 300,000 |
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Status : |
Good |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
SUMMARY
Company Name : UNITED PAPER INDUSTRIES CO KSC (UPI)
Country of Origin : Kuwait
Legal Form : Kuwaiti Shareholding Company - KSC
Registration Date : 7th February 1998
Commercial Registration Number : 72174, Safat
Membership Number : 55112
Issued Capital : KD 4,000,000
Paid up Capital : KD 4,000,000
Total Workforce : 180
Line of Business : Manufacture of paper for the cartons, cement sacks
and similar products.
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
COMPANY NAME
UNITED PAPER
INDUSTRIES CO KSC (UPI)
ADDRESS
Registered & Physical Address
Location : Mina Abdullah Industrial Area
PO Box : 5149
Town : Safat 13052
Country : Kuwait
Telephone : (965) 3260501 / 4747441
Facsimile : (965) 3260508 / 4745818
Email : unipaper@qualitynet.net
Premises
Subject operates from
a suite of offices and a factory covering an area of 28,000m² that are owned
and located in the Industrial Area of Safat.
KEY PRINCIPALS
·
Abdullah Al D. Al Dakheel Managing
Director
·
Dikheel A. Al Dakheel Director
·
Mashari A. Hamada Director
LEGAL FORM &
OWNERS
Date of Establishment : 7th
February 1998
Legal Form :
Sharikat Al Mouasahama
Al Kuwaitia (Kuwaiti
Shareholding Company - KSC)
Commercial Reg. No. : 72174, Safat
Membership No. : 55112
Issued Capital : KD 4,000,000
Paid up Capital : KD 4,000,000
Name of Shareholder
(s) Percentage
·
Al Ahlia
Investment Co KSC (C) 40%
Al Watania Tower, 7th
& 9th Floors
Fahad Al Salem Street
Al Salhiya
PO Box: 22816
Safat 13089
Tel: (965) 2446534 / 2445744 /
2402116
Fax: (965) 2446556
Email ahlia@ahliainvest.com
·
Abdullah Al D. Al Dakheel ]
]
·
Dikheel A. Al Dakheel ]
]
60%
·
Mashari A. Hamada ]
]
·
Un-named
Kuwaiti businessmen & private investors ]
Note to the Legal Form
Under the Commercial Companies Law a Kuwaiti Shareholding Company is required to have a minimum of 51 percent of its shares owned by Kuwaiti Nationals. Non-Kuwaiti ownership is allowed up to a maximum of 49 percent of the capital.
A KSC must have a minimum of 5 shareholders each responsible only for the liabilities of the company to the extent of their share participation in the capital of the company. Shares of KSC’s are freely transferable, subject to the requirement of Kuwait ownership of at least 51 percent.
The Commercial Companies Law provides that the capital of a Kuwaiti Shareholding Company should not be less than KD 7,500.
AFFILIATED COMPANIES
Subject is a member of the Al Ahlia Group, which comprises the following
concerns:
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Al Ahlia
Chemicals Co WLL
PO Box : 24297
Safat 13103
Tel : (965) 4736302
Fax : (965) 4723128
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Al Ahlia
Contracting Co
PO Box : 25419
Safat 13115
Tel : (965) 2447456
Fax : (965) 2438682
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Al Ahlia
Industrial Projects Co
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Al Noor
Consultants Co
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Arab Building
Industrial Resource Co WLL
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Credit Rating
& Collections Co
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Kuwait
Building Materials Manufacturing Co
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Shuaiba Paper
Products Co
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Al Assriya Holding
Co
LINE OF BUSINESS
Operations : Engaged in the manufacture of paper for the
cartons, cement sacks and other similar products.
Subject’s product range includes Extensible Sack Kraft, Plain Kraft, Fluting and Kraft Liner Board in the substance range of 70 to 200 gsm/Mt2
Production
Capacity: 26,500 tons per
annum
Import Countries
: United States of America
and Europe.
Operating Trend
: Steady
Subject has a
workforce of approximately 180 employees.
FINANCIAL HIGHLIGHTS
Financial highlights
provided by outside sources are given below :
Currency : Kuwaiti
Dinars (KD)
Year
Ending 31/12/05: Year
Ending 31/12/06:
Total Revenue KD 3,950,000 KD 4,250,000
Local sources
consider subject’s financial condition to be Fair.
BANKERS
·
Gulf Bank KSC
Mubarak Al Kabir Street
PO Box : 3200
Safat 13033
Tel : (965) 2449501
Fax : (965) 2445212
·
Commercial
Bank of Kuwait
Mubarak Al Kabir Street
PO Box : 2861
Safat 13029
Tel : (965) 2411001
Fax : (965) 2450150
PAYMENT HISTORY
No complaints
regarding subject’s payments have been reported.
Date of transaction June 2005
Credit amount 53,000
Amount overdue 0
Payment terms 120
days
Payment Method Letters
of Credit
Paying record No
Complaints
Currency Pounds
Sterling
GENERAL COMMENTS
Opinion on the
credit figure of US$ 150,000
Established in
1998, United Paper Industries Co KSC (UPI) has made steady progress in the
local market. It is engaged in the manufacture of paper for the cartons, cement
sacks and other similar products. The business is run in a professional manner
and is 40% owned by the well known and financially sound, Al Ahlia Investment
Co KSC (C).
During the course
of this investigation nothing detrimental was uncovered regarding subject’s
operating history or the manner in which payments are fulfilled. As such the
company is considered to be a sound trade risk and the above credit figure is
within subject’s financial means.
Maximum suggested
credit figure: US$ 300,000
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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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%)