MIRA
INFORM REPORT
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Report Date : |
3rd
January, 2007 |
IDENTIFICATION
DETAILS
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Name : |
RAD DATA COMMUNICATIONS LTD. |
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Registered Office : |
P.O. Box 13161
(61131), 24 Raoul Wallenberg Street, Ramat Hachayal Industrial Area, Tel Aviv
69719 Israel |
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Country : |
Israel |
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Date of Incorporation : |
17.06.1979 |
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Com. Reg. No.: |
51-081943-6 |
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Legal Form : |
Private
Limited Company |
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Line of Business : |
Developers, manufacturers,
marketers and exporters of network access equipment for data communications
and telecommunications applications. |
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 : |
Regular |
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Litigation : |
Clear |
Company Name & Address
RAD COMMUNICATIONS LTD.
Correct name
RAD DATA COMMUNICATIONS LTD.
Telephone 972 3 645 81 81
Fax 972 3 649 82 50
P.O. Box 13161
(61131)
24 Raoul Wallenberg Street
Ramat Hachayal Industrial Area
TEL AVIV 69719 ISRAEL
HISTORY
A private limited company and
registered as such as per file No. 51-081943-6 on the 17.6.1979 and started
operations in 1981.
Originally incorporated under the
name of RAD COMPUTERS LTD., which changed to the present one on the 12.2.1985.
SHARE CAPITAL
Authorized share capital NIS
7,203,065.00, divided into -
52,465,600 preference
"A" shares,
16,564,400 preference
"B" shares,
1,500,000 ordinary "C"
shares,
995,500 ordinary shares,
505,150 deferred shares, all of
NIS 0.10 each, of which shares amounting to NIS 7,151,077,082.80 were issued.
SHAREHOLDERS
1. Mr. Yehuda Zisapel -
Major shareholder,
2. Zohar Zisapel,
3. Ms. Nava Zisapel,
4. ZISAPEL ASSETS (1992) LTD.,
5. KLIL & MICHAEL ASSETS (1992) LTD.,
6. NAVA & YEHUDA ZISAPEL ASSETS LTD.,
7. KLIL & MICHAEL LTD., all controlled by the Zisapel Family.
DIRECTORS
1. Zohar Zisapel, Chairman,
2. Yehuda Zisapel, brother of Zohar,
3. Mrs. Nava Zisapel, wife of Yehuda.
GENERAL MANAGER
Efraim (Efi) Wachtel
BUSINESS
Developers, manufacturers,
marketers and exporters of network access equipment for data communications and
telecommunications applications.
Subject develops access solutions
for carriers and corporate networks.
Over 90% of sales are for export.
Among local customers: BEZEQ THE
ISRAELI TELECOMMUNICATIONS CO.
Among foreign customers are some
150 international operators and corporate, including:
I.B.M., INTEL, LUCENT, NOKIA,
SIEMENS, AT&T, BRITISH TELECOM, FRANCE TELECOM, JAPAN TELECOM, KAZAKH
TELECOM, etc.
Among local suppliers: WINTEGRA.
Operating from offices and
development centers in 24 Raul Wallenberg Street (headquarters of the RAD-BYNET
Group, owned by the Group), from offices in nearby Habarzel Street (including
31 Habarzel Street), all in Ramat Hachayal Industrial Area, Tel Aviv, and from
offices in Hotzvim Mountain Industrial Zone, Jerusalem.
Also operating from over 20
offices worldwide, as well as numerous distributors
Having over 1,000 employees, of
which around 100 abroad.
MEANS
Financial data not forthcoming,
however known to be financially solid.
Subject is an “Approved
Enterprise” and as such enjoys tax benefits and state incentives. It is also
eligible for the Chief Scientist grants. In 2000 the approved grant for subject
amounted to NIS 18.3 million.
There are no charges registered
on the company's assets.
ANNUAL SALES
2001 sales reported to be US$
157,000,000.
2002 sales reported to be US$
147,000,000.
2003 sales reported to be US$
132,000,000.
2004 sales reported to be US$
130,000,000.
2005 sales reported to be close
to US$ 150,000,000.
RAD-BYNET
Group's consolidated 2005 sales were US$ 640,000,000.
OTHER COMPANIES
Subsidiaries:
RAD DATA COMMUNICATIONS, INC., U.S.A.,
RAD AMERICA LATINA S.A., Argentine,
RAD DO BRASIL LTDA., Brazil,
RAD DATA COMMUNICATIONS GMBH, Germany,
RAD DATA COMMUNICATIONS LTD., UK,
RAD FAR EAST LTD., China,
RAD DATA AUSTRALIA PTY. LTD., Australia.
The Zisapel Bros. also control the RAD-BYNET Group, which includes:
Ø BYNET ELECTRONICS LTD.,
importers, distributors, marketers and service providers of testing,
measurement and system solutions.
Ø
BYNET COLLEGE, BYNETEL LTD, BYNET SEMECH OUTSOURCING
LTD.,
Ø
BYNET SYSTEMS APPLICATIONS LTD.
Ø
RIT
TECHNOLOGIES LTD.,
Ø
RAD BYNET ASSETS AND SERVICES LTD., owns, rents and
manages real estate assets of the Group,
Ø AB-NET COMMUNICATION LTD., importers, marketers and
distributors of communication equipment, hardware and software, communication
systems, computers and peripherals, data storage and software solutions.
Ø
RAD NETWORK INSTALLATIONS LTD,
Ø
RADGUARD LTD, under liquidation,
Ø
RADWISE LTD.,
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RADCOM LTD,
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RADVISION LTD,
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RADVIEW LTD,
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RADWARE LTD,
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RADLAN COMPUTER COMMUNICATIONS LTD,
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SILICOM LTD.,
Ø RND OPERATION SERVICES LTD.,
Ø WISAIR INC.,
Ø CERAGON NETWORKS LTD.
Ø SANRAD LTD,
Ø XERRA NETWORKS LTD.,
Ø TIMEBE LTD.
Ø
RADWIN LTD.,
Ø
MULULES LTD.,
Ø
PACKETLIGHT NETWORKS LTD.,
Ø RADlive
Inc., and more.
BANKERS
Bank Hapoalim Ltd., Hadar Yosef
Branch (No. 610) and Central Branch
(No. 600), Tel Aviv.
CHARACTER AND REPUTATION
Nothing unfavorable learnt.
Subject officials refused to
disclose any details.
Subject is certified ISO 9001 for
its R&D and manufacturing, while its environmental management system has
been certified ISO 14001.
The
RAD-BYNET Group, controlled by the brothers Yehuda and Zohar Zisapel, composes
of some 30 companies, dealing in different niches of communications equipment
and systems, computers hardware and software. RAD-BYNET, founded in 1973, is a
local pioneer in the electronic field.
The
Group, employing some 3,000, is divided to the RAD Group, which concentrates in
development, manufacturing and export, and the BYNET Group, which focuses on
the local market, importing, marketing and service providers for IT and
telecommunications equipment and solutions. The Group supports in many
start-ups financially and technically. Several companies were sold (e.g.
LANNET, RADWISE), several are traded on the New York Stock Exchange.
Subject and the Group are
involved in a lot of local social activities, contributing tens thousands US$
each year.
In March 2000 it was published
that subject will cooperate with Swedish company UTFORS in building a
communication network in Scandinavia, estimated at US$ 10 million.
In September 2000, the RAD BYNET
Group was nominated as an official distributor and service provider to DELL’s
computer’s communication and network in Israel.
In July 2001 it was reported that
subject, as part of the global and local hi-tech crisis, is among a group of
Israeli companies, who notified their suppliers to hold their shipments due to
large stock levels already accumulated. Subject’s CEO denied the reports and
said that as much as it concerns subject, although subject may have asked to
postpone some of the supplies, it never refused to honor its orders or refused
payment.
In August 2001 subject dismissed
150 employees. Subject’s officials explained that in view of the world
communication market, subject needs to cut back on expenses.
During 2000-2001, subject
reported numerous deals with foreign companies, including US$ 10 million with
DDI of Japan, and US$ 6 million to CTE of El Salvador.
In December 2001, it was reported
that subject signed a deal to provide communication equipment to NBC, of the
USA.
In June 2002, it was reported
that the RAD Group is negotiating a deal to erect a high-tech industrial park
in Romania and Slovakia.
In July 2002, it was reported
that the RAD-BYNET Group is erecting a 50,000 sq. meters complex project in
Hotzvim Mountain, Jerusalem, in an investment of
US$ 50 million.
In November 2002, it was reported
that subject signed a deal to export communication equipment to the China
Ministry of Justice.
In April 2003, it was reported
that subject signed a NIS 2.4 million deal to acquire a software management
system from VIGNETTE of the USA.
In September 2003, it was
reported that subject signed a US$ 5 million deal to provide communication
solutions to the Greek Lottery.
In January 2004, it was reported
that the Israel-France Chamber of Commerce granted subject an “exceptional
exporter” award, after its exports to France reached US$ 20 million in 2003.
In June 2004, it was reported
that subject signed a US$ tens of millions deal to provide communication
solutions to SHPTE of China.
In June 2006, it was reported
that subject won the American-Israeli Chamber of Commerce in Atlanta prize, for
its contribution to the recovery after the disaster in New Orleans following
the hurricane. Short time after the hurricane subject won the BELL SOUTH tender
to supply new communications equipment and enable data communication connection
in and to the city and.
In October 2006, subject
announced BEZEQ, the local wireline operator, chose thousands of its access
products.
Since
the 2nd half of 2003, following the recovery the in the world’s
hi-tech markets, the local Electronics, Telecommunication and Information
Technologies sectors performance has been improving accordingly.
According to the Electronics Manufacturers
Association, 2005 sales of the IT and electronics industries amounted to US$
16.6 billion, a 6% increase from 2004. Exports in 2005 were US 14.2 billion, a
6% increase from 2004.
After
several years of downsizing, 3,700 new employees entered the branch in 2004 and
further 2,300 in 2005, and currently there are 57,200 employees working in the
IT and Electronics sectors directly.
SUMMARY
Maximum unsecured credit
recommended up to several US$ millions.
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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