MIRA INFORM REPORT

 

 

Report Date :

17.05.2007

 

IDENTIFICATION DETAILS

 

Name :

DAR AL DAWA DEVELOPMENT & INVESTMENT CO

 

 

Registered Office :

Al Nour Complex, Wadi Saqra Street, Al Rabia Area, P O Box 9364, Amman 11191

 

 

Country :

Jordan

 

 

Financials (as on) :

31.12.2005

 

 

Date of Incorporation :

17th August 1975

 

 

Com. Reg. No.:

94, Amman

 

 

Legal Form :

Public Shareholding Company – PLC

 

 

Line of Business :

Manufacture and marketing of Antibiotics, chemotherapeutics, antimycotics, dermatologicals, anti-inflammatories and analgesics, antihemorrhoidals, cardiovasculars, gastrointestinals and anti-diabetics, Central nerve system products and respiratory products, vitamins, minerals, anti-histamines, gonadotrophins and mouth washes

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

US$ 1,000,000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

SUMMARY

 

Company Name                         : DAR AL DAWA DEVELOPMENT & INVESTMENT CO

Doing Business As                                : DAR AL DAWA

Country of Origin                                    : Jordan

Legal Form                                            : Public Shareholding Company - PLC

Registration Date                                   : 17th August 1975

Commercial Registration Number            : 94, Amman

Issued Capital                                        : JD 20,000,000

Paid up Capital                                      : JD 20,000,000

Total Workforce                                     : 706

Line of Business                                    : Manufacture and marketing of pharmaceuticals and drugs.

Financial Condition                                 : Good

Payments                                             : Prompt

Operating Trend                         : Steady

 

 

 

COMPANY NAME

 

DAR AL DAWA DEVELOPMENT & INVESTMENT CO

 

 

DOING BUSINESS AS

 

DAR AL DAWA

 

 

ADDRESS

 

Registered & Physical Address

 

Building             : Al Nour Complex

Street               : Wadi Saqra Street

Area                 : Al Rabia Area

PO Box             : 9364

Town                 : Amman 11191

Country             : Jordan

Telephone         : (962-6) 5539175 / 5727132 / 5539176 / 5539414

Facsimile          : (962-6) 5601568 / 5727776 / 5533199

Email                : dad@mail.go.com.jo

 

 

Premises

 

Subject operates from a large suite of offices that are owned and located in the Suburban Business Area of Amman.

 

 

Branch Office (s)

 

     Location                                                                                           Description

 

·       Nawar Area                                                                                       Owned factory premises

Amman 11191

     Tel : (962-6) 5727132

     Fax : (962-6) 5727776

 

 

KEY PRINCIPALS

 

·       Nizar Abdul Raheem Jardaneh                                                            Chairman

 

·       Dr Sami Farah Al Halabi                                                                    Vice Chairman

 

·       Mohamed Sadeq Al Fityani                                                                Managing Director

 

·       Nabbeh Al Nabulsi                                                                             Director

 

·       Samih Matalqa                                                                                  Director

 

·       Mohamed Yaish                                                                                Director

 

·       Issa Qubain                                                                                      Director

 

·       Mohamed Al Sabbagh                                                                       Director

 

·       Azmi Lattouf                                                                                     Director

 

·       Dr Abdel Rahman Toukan                                                                  Director

 

·       Mohamed Sameh Qamhawi                                                               Director

 

·       Raouf Salfiti                                                                                      Director

 

·       Rashid A. Dawoodi                                                                            Director

 

·       Adnan Fraij                                                                                       Sales Manager

 

·       Khaldoun Shahati                                                                              Marketing Manager

 

·       Ali M Ghanayem                                                                               Finance Manager

 

·       Zaki Abu Ghazaleh                                                                            Production Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 17th August 1975

 

Legal Form                  : Sharikat Al Mousahama Al Aamah (Public Shareholding Company - PLC)

 

Commercial Reg. No.  : 94, Amman

 

Issued Capital              : JD 20,000,000

 

Paid up Capital            : JD 20,000,000

 

 

Name of Shareholder (s)

 

·       Nizar A. Jardaneh

 

·       Sami Al Halabi

 

·       Mohamed Al Fityani

 

·       Nabbeh Al Nabulsi

 

·       Samih Matalqa

 

·       Mohamed Yaish

 

·       Issa Qubain

 

·       Mohamed Al Sabbagh

 

·       Azmi Lattouf

 

·       Dr. Abdel Rahman Toukan

 

·       Mohamed Sameh Qamhawi

 

·       Raouf Salfiti

 

·       Rashid A. Dawoodi

 

Note to the Legal Form

 

A Public Shareholding Company (PLC) is formed by two or more shareholders. The liability of the shareholders is limited to their shares in the company’s capital. The minimum authorised capital is set at JD 500,000 of which at least 25 % should be paid upon incorporation, with the remaining 75 % to be paid within four years. Shares must be offered to the public and are freely transferable.

 

 

AFFILIATED COMPANIES

 

Company                                                                                               Percentage Held

 

·       Dar Al Dawa Veterinary & Agricultural Industrial Company Ltd                           33.63%

Sahab Industrial Estate

PO Box : 285

Amman 11710

Tel : (962-6) 4722559 / 5727981 / 5727982

Fax : (962-6) 4722579 / 5727984

 

·       Dar Foodstuffs Company Limited                                                                    -

     PO Box : 285

     Amman

 

·       Al Shifa Co for Medical Industries                                                                   -

Sana’a

     Yemen

 

·       Nutri Food (NUTRIDAR)                                                                                 -

Amman

 

·       Cosmo Dar                                                                                                   -

Amman

    

 

LINE OF BUSINESS

 

Operations : Subject is engaged in the manufacture and marketing of the following products :

 

- Antibiotics, chemotherapeutics, antimycotics, dermatologicals, anti-inflammatories and analgesics, antihemorrhoidals, cardiovasculars, gastrointestinals and anti-diabetics.

-  Central nerve system products

-  Ophthalmologicals / otologicals / nasals

-  Respiratory products, vitamins, minerals, anti-histamines, gonadotrophins and mouth washes.

 

Subject holds a manufacturing licence from Parke Davis for 10 of its products.

 

Import Countries : Switzerland, the United Kingdom and the Far East.

 

Export Countries : United Arab Emirates, Saudi Arabia, Iraq, Algeria, Oman, Qatar, Bahrain, Yemen, Libya, Lebanon, Tunisia and Romania.

 

Operating Trend : Steady

 

Subject has a workforce of approximately 706 employees.

 

 

FINANCIAL HIGHLIGHTS

 

Financial highlights provided by outside sources are given below :

 

Currency : United States Dollars (US$)

 

                                                                                      31/12/03                      31/12/04                   31/12/05

 

Cash on Hand & At Bank

14,076,335

14,245,364

10,872,895

Receivables

26,657,032

28,000,771

32,383,113

Stock on Hand

7,907,371

9,817,042

9,508,565

Cheques Under Collection

2,241,949

2,223,547

2,547,137

Other Current Assets

958,010

1,082,612

1,202,629

Total Current Assets

51,840,698

55,369,336

56,514,339

Fixed Assets, Net                     

8,918,233

9,083,366

9,405,938

Other Assets

8,206,360

10,204,606

25,588,839

Total Assets

68,965,291

74,657,308

82,103,037

 

 

 

 

B- Liabilities

 

 

 

Payables

4,888,237

4,817,049

4,805,654

Other Current Liabilities

4,314,391

5,571,715

8,350,011

Total Current Liabilities

9,202,629

10,388,764

13,155,665

Total Liabilities and Shareholders' Equity

68,965,291

74,657,308

82,103,037

 

 

 

 

 C - Capital and Shareholders' Equity

 

 

 

Authorized & Subscribed and Paid-up Capital

28,248,588

28,248,588

28,248,588

Compulsory Reserves

9,174,477

10,258,119

11,425,129

Voluntary Reserves

5,427,350

7,594,633

9,928,654

Other Reserves

8,918,042

10,001,684

11,168,695

Proposed Dividends

5,649,718

5,649,718

5,649,718

Retained Earnings

2,344,487

1,950,832

2,526,589

Shareholders' Equity

59,762,662

64,268,544

68,947,371

 

 

 

 

Profit & Loss Statement

 

 

 

Net Sales

39,378,229

40,551,552

46,384,401

Cost of Sales

-18,142,356

-17,478,891

-20,974,883

Gross Profit

21,235,873

23,072,661

25,409,518

Administrative, General and other Expenses

-11,417,178

-12,340,234

15,540,435

Other Revenues

649,004

810,196

1,801,021

Net Income before allocations

9,761,484

10,836,408

11,671,517

Board of Directors' remuneration

-70,621

-70,621

77,684

Income Tax

-313,510

-334,661

401,771

Other Expenditures

-243,575

-275,527

297,134

Net Profit

9,133,778

10,155,599

10,893,517

 

Local sources consider subject’s financial condition to be Good.

 

 

BANKERS

 

·       Arab Bank Plc

King Faisal Street

PO Box : 8 & 68

Amman

Tel : (962-6) 5638161

     Fax : (962-6) 5637082

 

·       Jordan Kuwait Bank

Abdali Branch

PO Box : 9776

Amman

Tel : (962-6) 5688814

 

·       HSBC Bank Middle East

Khalid Bin Walid Street

Jebel Hussein

PO Box : 925286

Amman

Tel : (962-6) 5660471 / 5607471

Fax : (962-6) 5692964

 

·       Jordan National Bank

PO Box : 1578

Amman

Tel : (962-6) 4612391

 

 

PAYMENT HISTORY

 

Subject’s payment record is reported to be met in a generally prompt manner.

 

 

GENERAL COMMENTS

 

Dar Al Dawa Development & Investment Co is a leading concern in its field in Jordan and has been trading for over 30 years in the manufacture and marketing of a wide range of pharmaceuticals and drugs. Subject enjoys a clear operating history and exports its products mainly to Middle Eastern and African countries.

 

Local sources report that subject’s financial position is deemed satisfactory and that payments are generally made in a prompt manner.

 

Maximum suggested credit figure: US$ 1,000,000

 

 

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