MIRA
INFORM REPORT
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Report Date : |
05.06.2007 |
IDENTIFICATION DETAILS
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Name : |
SAVCIO HOLDINGS (PTY) LTD |
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Registered Office : |
1st Floor, South Block, |
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Country : |
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Date of Incorporation : |
23 December 2004 |
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Com. Reg. No.: |
2004/036123/07 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Providing maintenance and repair service for rotating
electrical equipment and transformers. |
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
WILEC ELECTRICAL
PHYSICAL ADDRESS
6 Old Mutual Mini Park
POSTAL ADDRESS
CITY DEEP
2049
TELEPHONE NUMBER: 011 613 1811
FAX NUMBER: 011 613 7107
On investigation it was established that with effect from September / October 2005 the subject became a trading division of SAVCIO HOLDINGS (PTY) LTD, which report should be consulted.
COMPANY NAME
SAVCIO HOLDINGS (PTY) LTD
Formerly
MICAWBER 407 (PTY) LTD, the name having been changed on 1 September 2005.
TRADING DIVISION
LH MARTHINUSEN
Phalaborwa
MARTHINUSEN AND
COUTTS
Welkom
REID MITCHELL
Benoni
TEMSO
Rustenburg
WILEC
TRANSWIRE
METPLUS
Robertsham
LOCO COIL
TECHNOLOGIES
COMPRO ENGINEERING
ESP (Equipment Spare
Parts)
AMT SERVICES
BUKUBUHLE WIRE
GET WAREHOUSE
PHYSICAL ADDRESS
1st Floor
South Block
20 Zulberg Close
BRUMA
Bedfordview
POSTAL ADDRESS
Postnet
Private Bag X4
BEDFORDVIEW
2008
TELEPHONE NUMBER: 011 615 6002
FAX NUMBER: 011 616 9458
SHAREHOLDERS
25% ETHOS PRIVATE EQUITY
13% AKA CAPITAL
13% SPHERE HOLDINGS (PTY) LTD
25% ACTIS OCOVANGO
15% OLD MUTUAL ASSET MANAGEMENT
9% THE
MANAGEMENT TRUST
ASSOCIATE COMPANIES
The subject owns various
dormant companies.
A M T SERVICES (PTY)
LTD (dormant )
DIRECTORS
A I J CARIM ID No. 7106015248089 (Sphere
Holdings)
C B ROOS ID No. 7111185269089 (Sphere
Holdings)
G A JARVIS ID No. 5906245011088 (Old
Mutual)
G MOROLO ID No. 5807285879089 (ESP)
J B HINSON ID No. 7306205329083) (Actis)
J F LARCOMBE ID No. 7408015182080 (Savcio)
L VAN VUGHT ID No. 4305285080080 (Actis)
L M CORLET ID No. 7410300599085 (Old
Mutual)
M DENALANE ID No. 7603080297082 (AKA
Capital)
M
N O DAVIES ID No. 3603065043083 (Ethos)
BANKERS
The subject’s main
banker is FIRST NATIONAL BANK. It was
stated that the divisions’ bank with various bankers and that each has their
own account number. It was stated that
the divisions are managed by a cash management scheme controlled by the
subject.
DATE REGISTERED
23 December 2004
Registration
Certificate Number 2004/036123/07
SAVCIO HOLDINGS (PTY)
LTD was formed in 2005 in one of the biggest private equity deals of the year
when a private equity consortium, including BEE investors, acquired the Repairs
& Services and Replacement Parts Divisions of DELTA ELECTRICAL INDUSTRIES
LTD for a sum of R1.3 billion. It was
stated that each business entity within the subject continues to operate under
its original brand name.
VAT NUMBER
4010221820
Each division has
its own VAT number.
MAJOR OPERATION
The subject’s primary business is providing maintenance and repair service for rotating electrical equipment and transformers. The subject focuses on maintaining and repairing medium-to-large-size equipment.
The Wirelec business supplies input materials to the electrical manufacturing and repair industry, wire and insulation products e.g. magnet wire, copper, aluminium strips, insulation materials for both high and low voltage machines and VPI resins and impregnating varnishes. Wirelec also markets self-adhesive tapes and coated and bonded abrasives.
The Transwire business manufacture magnet wire and shaped conductor products and products for the transformer manufacturing and repair industry.
The Equipment Spare Part (ESP): The replacement parts business specialises in the procurement and distribution of aftermarket replacement parts, which include ground engaging tools, undercarriage for earthmoving equipment, parts for diesel engines, transmissions and heavy trucks.
The Get Warehouse division wholesales ground engaging tools.
MAJOR SUPPLIERS
MORGAN CARBON
ATAVIC ENGINEERING
DEEP BLUE ENGINEERING
BEARING WISE
The following suppliers are for the ESP division:
FEDERAL MOGUL
TYCO INTERNATIONAL
WEARPACT
INVICTA BEARINGS
BEARINGMAN
MAJOR CUSTOMERS OR BUSINESS SECTORS
Government entities e.g. Spoornet
Mining e.g. Anglo, Rio Tinto, Goldfields
Steel production e.g. Mittal Steel, Highveld and Columbus Stainless
Petrochemical e.g. Sasol, Petronas and Caltex
Paper and pulp e.g. Sappi and Mondi
AREA OF DISTRIBUTION
AND SELLING
EXPORTS
African countries
TOTAL EMPLOYEES
1 600 employees in
the group
OTHER PREMISES
9 workshops, 16
distribution centres and two manufacturing facilities throughout
OWNED OR LEASED
It was stated that most of the premises are reported to be leased
AUTHORISED SHARE
CAPITAL
R1 000 divided into 1 000 ordinary shares of R1 each
ISSUED SHARE CAPITAL
R1
Full financial information was not forthcoming from respondents at the company and outside authorities were unable to assist in this respect.
AUDITORS
DELOITTE
YEAR END
SEPTEMBER
INSURANCE BROKERS
ALEXANDER FORBES
TRADE REFERENCES –
DECEMBER 2006
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 5 months R30 000 R6 000 - 30
days 30 days Good/New
c/l R10 000
2. 1999 R30 000 R30 000 30
days 30 days Very good
3. Do not give trade
references
TRADE REFERENCES –
NOVEMBER 2006
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 15
yrs+ R250 000 R250 000 30 days 30
days Very good
2.5% 2.5%
2. 1 yr R200 000 R100 000 30 days 30
days Very good
3. Old
acc. R400 000 R380 000 30 days 30 days Very good
CURRENT TRADE
REFERENCES
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 15
yrs R500 000 R100 000 30 days 30
days Excellent
2.5% 2.5%
2. 20
yrs R40 000 R30 000 30 days 30
days Very good
2.5% 2.5%
3. 10 yrs+ R400 000 R150
000 30 days 30 days Very good
c/l
COMMENTS
This is a new company, which commenced active operations when it acquired the Repairs and Service and Replacement Parts divisions of a large and well-established group. In view of the standing of the subject, it is considered equal to $1 000 000 over 180 days.
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%)