MIRA
INFORM REPORT
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Report Date : |
18.12.2007 |
IDENTIFICATION
DETAILS
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Name : |
C.V. SEKAWAN |
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Registered Office : |
Jl. Orde Baru
No. 4, (Jl. Raya Binjai Km. 12.5), Medan, North Sumatra |
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Country : |
Indonesia |
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Date of Incorporation : |
1987 |
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Legal Form : |
Partnership with sleeping partner |
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Line of Business : |
Export Import of Agricultural Products |
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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Maximum Credit Limit : |
US$ 330,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
Correct Name of Company
C.V. SEKAWAN
Address
Head Office &
Warehousing
Jl. Orde Baru No.
4
(Jl. Raya Binjai
Km. 12.5)
Medan
North Sumatra
Indonesia
Phones - (62-61) 8451189,
8467526
Fax - (62-61) 8467252
Email - heriadylian@cvsekawan.com
Website - http://www.cvsekawan.com
Land Area -
2,000 sq. meters
Office Space -
1,600 sq. meters
Region - Industrial
Zone
Status - Rent
Date of Incorporation
1987
Legal Form
C.V.
(Commanditaire Vennootschaap) or partnership with sleeping partner
Company Reg. No.
Not Required
Company Status
National Private Company
Permit by the Government
Department
Not Available
Related Company
C.V. AGRO MAS (Trading and Exporter of Agricultural Products)
CAPITAL AND OWNERSHIP
Capital Structure :
Owned Capital : Rp. 2.5
billion
Owners :
a. Mr.
Heriady Lian (Active Partner)
b. Miss Dewi Lian (Silent Partner)
BUSINESS ACTIVITIES
Lines of Business:
Export Import of Agricultural Products
Production Capacity
None
Total Investment
None
Started Operation
1987
Brand Name
None
Technical Assistance
None
Number of Employee
50 persons
Marketing Area
a. Export - 98%
b. Local -
2%
Main Customer
Buyers in
Malaysia, Singapore, India, Pakistan, Nepal, Philippine, China and local
distributors
Market Situation
Very Competitive
Main Competitors
a. C.V. PRIMATAMA
b. P.T. MULTIMULIA
LANGGENG
c. C.V. ARSAM
PRATAMA
d. P.T. USTRANESIA
e. C.V. MUKTI
JABAR
Business Trend
Growing
BANKER, AUDITOR & LITIGATION
Bankers :
a. P.T. Bank CENTRAL ASIA Tbk
Jalan Jend. Sudirman No. 33
Medan, North Sumatera
Indonesia
b. P.T. Bank LIPPO
Tbk
Jalan Pemuda
Medan, North Sumatera
Indonesia
Auditor :
Internal Auditor
Litigation :
No litigation record in our database
FINANCIAL FIGURE
Annual Sales (estimated) :
2004 – Rp. 18.0
billion
2005 – Rp. 21.0
billion
2006 – Rp. 24.5
billion
2007 – Rp. 13.7
billion (January-June)
Net Profit
(estimated) :
2004 – Rp. 1.3 billion
2005 – Rp. 1.7 billion
2006 – Rp. 2.0 billion
2007 – Rp. 1.1 billion (January-June)
Payment Manner :
Average
Financial Comments :
Satisfactory
KEY EXECUTIVES
Board of Management :
Director - Mr. Heriady Lian
Board of Commissioners :
None
Signatories :
Director (Mr. Heriady Lian) is only the
authorized person to sign the loan on behalf of the company
CAPABILITIES
Management Capability :
Good
Business Morality
Good
Credit Risk
Average
Credit Recommendation
Credit should be proceeded with monitor
Proposed Credit Limit
Small amount – periodical review
Maximum Credit Limit
US$ 330,000 on 90 days D/A
OVERALL PERFOMANCE
C.V. SEKAWAN was established in 1987 in Medan, North Sumatera, with
the legal status of Commanditaire Vennootschaaf (C.V) or partnership with
sleeping partner. Founders and owners of
the company are Mr. Heriady Lian as active partner and his daughter Miss Dewi Lian as silent partner. Both are
of Indonesian business family of Chinese origins. Being as a C.V. company, the amount of its authorized capital was
not mentioned at the time of its establishment. We estimate, C.V. SEKAWAN has own capital of about Rp. 2.5
billion and it will be rising in line with the progress of its business
operation. We observe Mr. Heriady Lian is also founder and majority business
stakes owners of C.V. AGRO MAS dealing with trading and exporter of
agricultural products.
C.V. SEKAWAN started with operation since 1987 in the field of export import of agricultural products such as fruits, groundnuts, vegetable, brownbeans, mung beans, tobacco products, betel nuts, spices and seasoning, tea, coffee bean, garlic and others. Mr. Heriady Lian, the director and owner of the company explained that the whole products such as groundnuts imported from India, garlic from China and others from others countries. He explained that mung beans, ginger, betel nuts, spices, tea, coffee beans, tobacco, cloves, desiccated coconut, cassia vera, long pepper, dammar bathu, gum, cocoa beans and other products is collected from mainland of Indonesia such as from North Sumatera, Nangroe Aceh Darusalam and other cities of Sumatera. The whole products are exported to Malaysia, Singapore, India, Pakistan China, and Nepal. The whole products also supplied through traditional market in North Sumatera such as Medan, Tebing Tinggi, Pematang Siantar. We observe that operation of C.V. SEKAWAN has been growing in the last three years.
We have noticed that the demand for agricultural products had increased some 10% to 11% per annum in the last five years in line with the growth of industrial manufacturing in the country and international market. In the coming years, the growth rate of demand is estimated at about 6% to 7% per annum. The present market situation for agricultural products is very competitive for a large number of similar companies operating in the country.
Meanwhile, competition is quite heavy in the export import of agricultural products with many companies now doing business in this field in Indonesia. We consider C.V. SEKAWAN to be in a quite favorable position for having already got hold of a steady clientele in the Medan and surroundings.
Until this time C.V. SEKAWAN has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. Mr. Heriady Lian explained that sales turnover of the company in 2004 amounted to Rp. 18.0 billion increased to Rp. 21.0 billion in 2005 and rose again to Rp. 24.5 billion in 2006 with a net profit of Rp. 2.0 billion. As from January to June 2007 the sales turnover amounted to Rp. 13.7 billion with a net profit of Rp. 1.1 billion and estimated total networth at least Rp. 5.5 billion. It is projected that total sales turnover of the company will be higher by at least 7% in 2008. The financial condition of the company is backed up by financially strong and sound businessmen behind it. So far, we did not hear that the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers.
The management of C.V. SEKAWAN is headed by Mr. Heriady Lian (48), a professional manager and businessman with has experienced for more than 20 years in the field of export import of agricultural products. The management of the company is handled by experienced professional manager having wide relation with private businessmen of home and overseas as well as with the government sectors. So far, we did not hear that the company’s management involved in a dirty business practice or detrimental cases that settled in the country. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.
C.V. SEKAWAN is sufficiently fairly good for business transaction. However, in view of the unstable economic condition in the country we recommend to treat prudently in extending a loan to the company.
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. |
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%)