MIRA
INFORM REPORT
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Report Date : |
26.04.2007 |
IDENTIFICATION
DETAILS
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Name : |
HAKOHAV METAL VALVES INDUSTRIES (1987) LTD. |
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Registered Office : |
P.O. Box 8682, 8 Ashlagan Street, Industrial Zone, Kiryat Gat 82021 |
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Country : |
Israel |
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Date of Incorporation : |
22.12.1987 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturers and marketers of valves for industry and agriculture. |
RATING &
COMMENTS
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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 : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
Correct Name &
address
HAKOHAV METAL VALVES INDUSTRIES (1987) LTD.
P.O. Box 8682
8 Ashlagan Street
Industrial Zone,
KIRYAT GAT 82021 ISRAEL
Telephone 972 7 681 88 99
Fax 972 7 681 88
01
Also known as
HAKOHAV VALVES LTD.
HISTORY
A private limited company, incorporated as per file No. 51-125584-6 on
the 22.12.1987.
Company is a merger of the following:
1. HAKOHAV IMPORT AND EXPORT VALVES LTD., incorporated as per file No.
51-107010-4 on the 21.5.1985.
2. HAKOHAV VALVE INDUSTRIES CO. LTD., incorporated as per file No.
51-084743-7 on the 27.3.1980.
SHARE CAPITAL
Authorized share capital NIS 34,000.00, divided into - 34,000 ordinary
shares of NIS 1.00 each, of which shares amounting to NIS 12,216.00 were
issued.
SHAREHOLDERS
Subject is fully owned by GAON AGRO INDUSTRIES LTD. (50% directly and
50% via their subsidiary), controlled by Benny Gaon.
DIRECTORS
1. Michael Tzefanya,
2. Motty Debby,
3. Yogev Carmel,
4. Israel Cohen.
GENERAL MANAGER
Yossi Busani
BUSINESS
Manufacturers and marketers of valves for industry and agriculture.
Among clients are municipalities, MEKOROT WATER CO. (national water
carrier), KAMAN MENDELSON, ISRAEL ELECTRIC CORP., IDE, etc.
Among local suppliers: URDAN INDUSTRIES, YETZIKOT HAMIFRATZ, etc.
Operating from rented premises (offices and plant), on an area of 2,500
sq. meters in 8 Ashlagan Street, Industrial Zone, Kiryat Gat.
Having 32 employees.
MEANS
Current stock is valued at NIS 6,000,000.
Subject is a subsidiary of GAON AGRO INDUSTRIES LTD., and its financial
data is included in their consolidated financial statements.
Main indicators from GAON AGRO B/S to the 31.12.2006:
Total B/S: NIS 524,989,000,000 (was NIS 410,506,000,000 in 31.12.2005)
Equity: NIS 84,833,000,000 (was NIS 64,061,000,000 in 31.12.2005)
There are 5 charges for unlimited amounts and 1 charge for a total sum
of NIS 1,664,319.00 registered on the company assets, in favor of local banks
and the State of Israel
ANNUAL SALES
2005 sales claimed to be NIS 17,000,000.
2006 sales claimed to be NIS 24,000,000, making a net profit of over NIS
1,500,000.
GAON AGRO INDS. consolidated 2005 sales were NIS 265,292,000, making a
gross profit of NIS 55,927,000, an operating income of NIS 31,937,000 and a net
profit of NIS 11,404,000.
GAON AGRO INDS. consolidated 2006 sales were NIS 356,121,000, making a
gross profit of NIS 77,589,000, an operating income of NIS 45,584,000 and a net
profit of NIS 30,958,000.
GAON AGRO INDUSTRIES LTD. also controls:
SAGIV ACS LTD., 53%, manufacturers and marketers of ball valves and
piping accessories
RIMON CONSULTIMG & MANAGEMENT SERVICES LTD, 33.3%, consulting
services in the water and sewage fields
MIDDLE EAST TUBE COMPANY LTD., manufacturers, importers and marketers of
steel pipes for various uses. Shares are traded on the Tel Aviv Stock Exchange,
market value US$ 71.2 million. The company control 20% in PLASSIM TECHNICAL
PLASTIC WORKS FOR AGRICULTURE INDUSTRY AND BUILDING MERHAVIA LTD., manufacturers
and marketers of plastic piping
VIA MARIS DESALINATION LTD., water desalination project
AMIAD FILTERATION SYSTEMS (1997) LTD., 26%, manufacturers, marketers and
exporters of water filters made of plastic, metal and stainless steel.
METZERPLAS INDUSTRIES LTD., 25%, manufacturers, marketers and exporters
of plastic and irrigation systems.
GAON AGRO is part of the B. GAON HOLDINGS Group, headed (through holding
companies) by Benny Gaon and the Livnat Family, involved also in financial services,
retail and commerce.
B. GAON HOLDINGS LTD. also controls, among others:
HAMASHBIR FOR AGRICULTURAL LTD., marketers and suppliers of agriculture
materials and inputs.
ARAVA EXPORT GROWERS LTD., 50%, exporters of agricultural produce.
H & O FASHION LTD., importers, marketers and retailers of apparel
and fashion products.
GAON CAPITAL MARKETS LTD.,
ACE MARKETING CHAINS LTD., AUTO DEPOT LTD.,
DEAD SEA LABS LTD.,
GROUNDNUTS MARKETING LTD., etc.
BANKERS
Bank Hapoalim Ltd., Central Branch (No. 600), Tel Aviv, account No.
667571.
A check with the Central Banks' database did not reveal any negative
information regarding subject's a/m account.
CHARACTER AND
REPUTATION
Nothing unfavourable learned.
Benjamin (Benny) Gaon is one of Israel’s leading businessmen. Annual
reserves of all the companies in the GAON Group are estimated at US$ 1 billion.
Recently, his Group has been focusing on the water and agriculture
related fields, including several acquisitions, in view of the big potential in
those industries.
In the framework of the decision by URDAN INDUSTRIES LTD. to cease the
activities of its subsidiary VULCAN FOUNDRIES LTD., in the end of 2006 subject
purchased in February 2007 the machinery and equipment related to the
production of valves from VULCAN in consideration of NIS 1.1 million.
According to the Chairman of the Metal and Electricity sectors at the
Manufacturers’ Association, overall sales of the various metal related sectors
in 2005 increased by 13% in real terms comparing to 2004, reaching NIS 57
billion. Sales to the local market increased by 16% form 2004, summing up to
NIS 34.7 billion. The metal products branch in particular noted an impressive
21.8% increase up to NIS 21.5 billion, comparing to NIS 17.6 billion in 2004.
Basic metal sales amounted to NIS 4.2 billion, a 17.8% increase.
The recovery contributed to the growth in the
manufacturing activity and the number of employees in those sectors after several
years of downsizing. After the increase in 2004, 800 new employees were added
to the branches in 2005, bringing the total number of employees in these
industries to 89,400.
SUMMARY
Good for trade engagements
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%)