MIRA
INFORM REPORT
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Report Date : |
20.07.2007 |
IDENTIFICATION DETAILS
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Name : |
ARAB AND INDIA
SPICES LTD |
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Registered Office : |
Double |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
4th
October 1986 |
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Com. Reg. No.: |
15196,
Sharjah |
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Legal Form : |
Limited Liability Company – LLC |
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Line of Business : |
Manufacture
and processing of lentils, pulses and spices, chilli, turmeric, cumin and
coriander. |
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$ 500,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
SUMMARY
Company Name : ARAB AND INDIA SPICES
LTD
Country of Origin :
Legal Form :
Limited Liability Company - LLC
Registration Date : 4th
October 1986
Commercial
Registration Number : 15196, Sharjah
Trade Licence Number : 26908
Membership Number : 16209
Issued Capital : UAE Dh
1,500,000
Paid up Capital : UAE Dh
1,500,000
Total Workforce : 225
Line of Business : Manufacture and processing of lentils, pulses and spices.
Financial Condition : Fair
Payments :
Nothing detrimental uncovered
Operating Trend : Steady
COMPANY NAME
ARAB AND INDIA
SPICES LTD
ADDRESS
Registered & Physical Address
Street :
Area : Industrial Area No. 5
PO Box : 24403
Town : Sharjah
Country :
Telephone : (971-6) 5422418 / 5432645
Facsimile : (971-6) 5431380
Email : arabinds@emirates.net.ae
Premises
Subject operates
from a large suite of offices, a factory and a warehouse that are owned and
located in the Industrial Area of Sharjah.
Branch Office (s)
Location Description
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Tel: (971-4) 2251390
Fax: (971-4)
2258092
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KEY PRINCIPALS
Name Nationality Position
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Suraish
Kumar Lal Tagalani Indian Managing Director
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Kumar
Lala Megaraj Tagalani Indian Director
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Saif
Sayed Homaid Al Nuaimi Emirati Director
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Mr
Suresh - General
Manager
LEGAL FORM &
OWNERS
Date of Establishment : 4th
October 1986
Legal Form :
Sharikat Thet Massouliya
Mahdoudeh (Limited Liability Company - LLC)
Commercial Reg. No. : 15196, Sharjah
Trade Licence No. : 26908
Membership No. : 16209
Issued Capital : UAE Dh 1,500,000
Paid up Capital : UAE Dh 1,500,000
Name of Shareholder
(s) Percentage
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Saif
Sayed Homaid Al Nuaimi 51%
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Kumar
Lala Megaraj Tagalani 25%
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Suraish
Kumar Lal Tagalani 24%
Note to the Legal Form
A Limited Liability Company (LLC) is defined in the Company Law as a company incorporated with not less than two and not more than fifty shareholders, each responsible only for the liabilities of the company to the extent of their share participation in the capital of the company.
The Company Law provides that the capital of a Limited Liability Company (LLC) should not be less than UAE Dh 150,000, which should be divided into equal shares of a value not less than UAE Dh 100 each.
This type of company may engage in any form of legitimate business, with the exception of insurance, banking and investment of funds.
LINE OF BUSINESS
Operations: Engaged in the
manufacture and processing of lentils, pulses and spices, chilli, turmeric,
cumin and coriander.
Import
Countries: Far East and
Export
Countries:
Operating Trend: Steady
Subject has a
workforce of 225 employees.
FINANCIAL HIGHLIGHTS
Financial
highlights provided by outside sources are given below :
Currency :
Year
Ending 31/12/05: Year
Ending 31/12/06:
Total Revenue UAE Dh 38,700,000 UAE Dh 41,930,000
Local sources
consider subject’s financial condition to be Fair.
BANKERS
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United
Arab Bank
PO Box : 881
Sharjah
Tel : (971-6) 5354111
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HSBC
Bank
PO Box : 25
Sharjah
Tel : (971-6) 5537222
Fax : (971-6) 5537880
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Mashreq
Bank Plc
Foreign Trade Centre
PO Box : 9271
Sharjah
Tel : (971-6) 5351366 / 5354873
Fax : (971-6) 5372903
PAYMENT HISTORY
No complaints
regarding subject’s payments have been reported.
Date of transaction June 2006
Credit amount 139,025
Amount overdue 0
Payment terms 60
days
Payment Method Letters
of Credit
Paying record No
Complaints
Currency Canadian
Dollars
GENERAL COMMENTS
Opinion on the
credit figure of US$ 150,000
Established since
1986, Arab and India Spices Ltd is well known in the local market and enjoys a
good reputation for the quality of its products.
During the course
of this investigation nothing detrimental was uncovered regarding the manner in
which payment obligations are fulfilled. The operating history is clear and the
financial situation is satisfactory. As such we are of the opinion that the subject
is a fair trade risk and the above credit figure is within subject’s financial
means.
Maximum suggested
credit figure: US$ 500,000
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%)