MIRA INFORM REPORT

 

 

Report Date :

31.05.2007

 

IDENTIFICATION DETAILS

 

Name :

REY & LENFERNA LTD

 

 

Registered Office :

Royal Road, Bell Village, Port Louis

 

 

Country :

Mauritius

 

 

Date of Incorporation :

27.11.40

 

 

Com. Reg. No.:

620

 

 

Legal Form :

Public

 

 

Line of Business :

Importer and distributor of engineering equipments, contracting, automotive spare parts, electronic products and provides other related services.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

NAME OF COMPANY

 

REY & LENFERNA LTD

                            

 

ADDRESS

 

ROYAL ROAD

BELL VILLAGE

PORT LOUIS

TEL: (230) 208-9872

FAX: (230) 208-9876

EMAIL: admin@reylenferna.com

 

 

INCORPORATED

 

27.11.40

 

 

STATUS

 

Public

 

 

CO NO

 

620

 

 

DIRECTORS

 

Mr. François de Grivel

Mr. Marie François Ignace Jean Hugues Maigrot

Mr. Marie Henri Dominique Galea

Mr. Bernard Wong Ping Lun

Mr. Jean Marie Rene Leclezio

Mr. Jean Claude Baissac (chairperson)

 

 

SHAREHOLDERS (Main)                SHARES

 

Brista & Cie                                                                                           77,241,763

Societe Forancis                                                                                    77,665,671

Kasa Textile & Co Ltd                                                                            75,193,475

Promotion & Development Ltd                                                                 46,979,434

Mr. M. Gerard Chasteau de Balyon                                                            1,287,357

Franciscea Ltd                                                                                         1,472,869

 

 

ISSUED CAPITAL

 

RS 30,000,000

 

 

ACTIVITIES

 

Importer and distributor of engineering equipments, contracting, automotive spare parts, electronic products and provides other related services.

 

 

SIZE

 

Company’s offices, showrooms and after sales centre are located at Royal Road, Bell Village.

 

 

IMPORTS

 

Subject imports mainly from sources in Europe, which makes up about 40% of the total purchases. Other sources are South Africa, China and Singapore.

 

 

EMPLOYMENT

 

150 – 200

 

 

FINANCE      (2005)

 

Turnover:                                   MUR 288m

Profit:                                        MUR 27m

 

 

BUSINESS ANTECEDANTS

 

Rey & Lenferna was incorporated in 1940 and has ever since taken part in the modernisation of Mauritius by consistently supplying quality products and equipments. Through years of partnership with international companies, subject has been able to establish itself as a market leader in its respective field of activities both locally and in the region. Concern operates through different departments and has successfully completed several projects in:

 

Hospitals

Hotels

Industries etc.

 

 

PRODUCT LINES

 

Air Con & ventilation

Automotive trade

Batteries

Catering equipment

Electrical

Generators

Laundry equipment

UPS

Water related products

 

 

SOME EXCLUSIVE BRANDS

 

Midea

Endress + Hauser

Delphi

Lucas

Codigel

Gesan

Sigma

Avery Berkel

GE

Davey

 

 

OBSERVATION

 

Subject has expanded its activities in different product lines and has thus known major developments in the recent past. Turnover for the period ending 31st December 2005 reached MUR 288m and operating profit of MUR 43m.

 

 

PROSPECTS

 

Overall prospects for 2006 look encouraging with the forecasted growth in sectors such as tourism and the opening up of the regional markets.

 

 

CREDITWORTHINESS

 

Concern is a reliable partner in the sector and is believed financially capable to accommodate for the applicable credit figure of R 250,000.

 

 

BANKERS

 

The Mauritius Commercial Bank Ltd

Barclays Bank PLC

 

 

BALANCE SHEET - 31 DECEMBER 2005

 

 

 

THE GROUP

THE COMPANY

 

RS

RS

ASSETS

 

 

NON CURRENT ASSETS

 

 

Property, plant and equipment

300,528,064

74,142,456

Intangible assets

508,000

-

Investments in subsidiaries

-

71,905,856

Investments in associates

3,494,342

2,570,840

Available-for-sale investments

100

100

Non current receivables

3,166,000

-

Deferred tax assets

10,688,722

7,962,829

Retirement benefit assets

2,022,129

2,022,129

 

----------------------------

----------------------------

 

320,407,357

158,604,210

 

----------------------------

----------------------------

CURRENT ASSETS

 

 

Inventories

167,456,260

94,515,888

Construction contracts in progress

11,608,000

-

Receivables and prepayments

222,284,720

122,191,802

Cash at bank and in hand

112,280,236

1,491,983

 

----------------------------

----------------------------

 

513,629,216

218,199,673

 

----------------------------

---------------------------

Total Assets

834,036,573

376,803,883

 

==============

==============

EQUITY AND LIABILITIES

 

 

Capital & Reserves

 

 

Share Capital

30,000,000

30,000,000

Share premium

372,906

372,906

Revaluation reserves

11,924,529

11,924,529

Fair value reserves

-

-

Foreign currency translation reserve

313,000

-

Retained earnings

227,696,424

44,685,484

 

----------------------------

----------------------------

 

270,306,859

86,982,919

Minority interests

74,226,547

-

 

----------------------------

----------------------------

 

344,533,406

86,982,919

 

---------------------------

----------------------------

NON CURRENT LIABILITIES

 

 

Borrowings

68,993,031

65,152,031

Retirement benefit obligations

25,100,071

13,709,696

Deferred tax

9,533,000

-

 

----------------------------

----------------------------

 

103,626,102

78,861,727

 

----------------------------

----------------------------

CURRENT LIABILITIES

 

 

Trade and other payables

272,290,562

120,378,460

Current income tax liabilities

12,421,555

900,000

Borrowings

101,164,948

89,680,777

 

----------------------------

----------------------------

 

385,877,065

210,959,237

 

----------------------------

----------------------------

Total liabilities

489,503,167

289,820,964

 

----------------------------

----------------------------

Total equity and liabilities

834,036,573

376,803,883

 

==============

==============

 

 

 

INCOME STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2005

 

THE GROUP

THE COMPANY

 

RS

RS

Turnover

616,533,561

288,550,949

Cost of sales

(388,015,175)

(202,199,918)

 

----------------------------

---------------------------

Gross Profit

228,518,386

86,351,031

Other operating income

27,411,335

31,007,948

Administrative costs

(181,668,105)

(73,494,707)

Loss arising on deemed disposal of part

 

 

holding in subsidiary

(4,384,000)

-

 

----------------------------

----------------------------

Operating Profit

69,877,616

43,864,272

Finance costs - net

(5,107,682)

(13,399,998)

Share of results of associate

1,195,502

-

Negative goodwill

164,255,671

-

 

----------------------------

----------------------------

Profit before taxation

230,321,107

30,464,274

Taxation

(11,730,519)

(2,995,772)

 

----------------------------

----------------------------

Profit for the year

218,490,588

27,468,502

 

==============

==============


 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

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

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

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

 

Small

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

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

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%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions