MIRA
INFORM REPORT
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Report Date : |
12.06.2007 |
IDENTIFICATION DETAILS
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Name : |
PLASSIM FITTINGS LTD |
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Registered Office : |
Kibbutz Merchavia 19100, |
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Country : |
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Financials (as on) : |
2006 |
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Date of Incorporation : |
29.11.1998 |
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Com. Reg. No.: |
51-270382-8 |
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Legal Form : |
A private limited company, |
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Line of Business : |
Manufacturers, exporters and marketers of plastic fittings and
accessories mainly used for plumbing, water systems, cables, etc. |
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$ 1.5 billion |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
COMPANY NAME &
ADDRESS
PLASSIM FITTINGS LTD.
MERHAVIA 19100
Telephone 972 4 659 85 11
Fax 972 4 642 42
18
Mobile Post Gilboa
HISTORY
A private limited company, incorporated as per file No. 51-270382-8 on
the 29.11.1998.
Subject was established in order to take over part of the activities of
PLASSIM TECHNICAL PLASTIC WORKS FOR AGRICULTURE INDUSTRY AND BUILDING MERHAVIA
LTD., established in 1960.
SHARE CAPITAL
Authorized share capital
SHAREHOLDERS
1.POALIM TRUST SERVICES LTD., 80%, shares are being held in trust on
behalf of PLASSIM TECHNICAL PLASTIC WORKS FOR AGRICULTURE INDUSTRY AND BUILDING
MERHAVIA LTD., owned by Kibbutz Merhavia, a co-operative society, operating a
communal agricultural settlement,
2.MIDDLE EAST TUBE COMPANY LTD., 20%, a public limited company whose
shares are traded on the Tel Aviv Stock Exchange, controlled by Benny Gaon.
In May 2004, it was reported that MIDDLE EAST PIPES will acquire 20% of
3 PLASSIM subsidiaries, PLASSIM FITTINGS LTD., PLASSIM INFRASTR
The deal was finalized in November 2004.
DIRECTORS
1. Ran Ronen, Chairman,
2. Zeev Silberman,
3. Ronen Horowitz,
4. Benny Sarig,
5. Assaf Bone,
6. Ms. Iris Fridman,
7. Menachem Dror,
8. Erez Stein.
GENERAL MANAGER
Gabi Magen.
BUSINESS
Manufacturers, exporters and marketers of plastic fittings and accessories
mainly used for plumbing, water systems, cables, etc.
80% of sales are exports.
Among clients: NETAFIM, NAAN-DAN IRRIGATION, etc.
Subject imports raw materials for production, mainly from
Operating from premises (offices, warehouses and plant), owned by
Kibbutz Merhavia, on an area of 20,000 sq. meters in Kibbutz Merhavia, a
locality near the town of Afula. The premises serve the PLASSIM Group
companies.
EMPLOYEES
Having 30 employees.
There are some 110 employees serving the PLASSIM Group.
MEANS
Consolidated stock is valued at
PLASSIM consolidated machinery and equipment were valued (net) at
PLASSIM is an “Approved Enterprise” and as such enjoys tax benefits and State
incentives. In February 2002, the Investment Center Administration approved a
US$ 970,000 investment plan for the expansion of PLASSIM’s plant.
There are 8 charges for unlimited amounts registered on the company's
assets, in favor of local banks and leasing companies.
ANNUAL SALES
Subject's 2003 sales claimed to be
Subject's 2003 sales claimed to be
Subject's later sales figures not forthcoming.
PLASSIM consolidated 2004 sales claimed to be
PLASSIM consolidated 2005 sales claimed to be
PLASSIM consolidated 2006 sales claimed to be
OTHER COMPANIES
PLASSIM TECHNICAL PLASTIC WORKS FOR AGRICULTURE INDUSTRY AND BUILDING
MERHAVIA LTD., a holding company owned by Kibbutz Merhavia.
The other 2 main companies, besides subject, in the PLASSIM Group, owned
by the above mentioned company and MIDDLE EAST TUBE COMPANY LTD. (80% and 20%
respectively), are:PLASSIM INFRASTRUCTURES LTD., manufacturers and marketers of
plastic pipes and accessories for the infrastructure fields.
PLASSIM ADVANCED SANITATION SOLUTIONS LTD., importers and marketers of
installation and sanitary equipment.
Also part of the PLASSIM Group:
ROMPIPES ENTERPRISES SRL,
PLASSIMETCO LTD., 34%, in receivership, partnered with MIDDLE EAST TUBE
COMPANY LTD, operated P.V.C. tube manufacturing plant, non active since
8.10.1999, due to losses accumulated.
Besides PLASSIM Group, kibbutz Merhavia also operates a nursery, several
shops, a graphic designing studio, and other workshops.
E. M. T. ENTERPRISE MULTIGUARD TECHNOLOGY LTD., 44.3%, controlled by
Kibbutz Merhavia, developers of bio-technology solutions.
MIDDLE EAST TUBE COMPANY LTD., manufacturers, importers and marketers of
steel pipes for various uses. Shares are traded on the Tel Aviv Stock Exchange,
market value US$ 68.2 million. This company is part of the B. GAON HOLDINGS
Group. B. GAON HOLDINGS
BANKERS
Bank Hapoalim Ltd., Afula Branch (No. 727), Afula, account No. 171277.
A check with the Central Banks' database did not reveal anything
detrimental on subject’s a/m account.
CHARACTER AND
REPUTATION
Nothing unfavorable leant.
Subject's officials refused to update financial data (besides stock
figures).
PLASSIM Group is the largest plastic piping manufacturer in
MIDDLE EAST TUBE COMPANY
Benjamin (Benny) Gaon is one of
GAON AGRO is part of the B. GAON HOLDINGS Group, headed (through holding
companies) by Benny Gaon and the Livnat Family, is also involved in financial
services, retail and commerce.
Kibbutz Merhavia was established in 1929. There are some 300 members and
a total population of 546.
The Kibbutz is cultivating over 8,000,000 sq. meters of agricultural
land, having a cattle farm and poultry houses.
The kibbutz financial standing is fair. It also operates country-side
accommodation units.
In May 2006 it was reported that subject's parents asked the
Commissioner for Trade Restrictions to approve the merging of part of their
marketing and sales activities, into a new company equally owned by them. The
idea behind the move is to exploit the synergy between the 2 operations.
According to data published summering
According to the Industrialists Association economic review, import of
plastics increased in 2005 by 4% comparing to the previous year, summing up to
US$ 1.5 billion.
SUMMARY
Notwithstanding the refusal to update financial information, considered
good for trade engagements.
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%)