MIRA
INFORM REPORT
|
Report Date : |
23.10.2007 |
IDENTIFICATION
DETAILS
|
Name : |
HAMAMA MEIR TRADE (1996) LTD. |
|
|
|
|
Registered Office : |
P.O. Box 50434 (61503), 4 Kaufman Street,
Sharbat House, Tel Aviv 68012 |
|
|
|
|
Country : |
Israel |
|
|
|
|
Financials (as on) : |
30.06.2007 |
|
|
|
|
Date of Incorporation : |
20.11.1996 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Traders, importers, exporters, marketers and distributors in dried foodstuff
(cereals, dried food, nuts, rice, legumes, sesame, coffee, spices, etc.). |
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 |
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
name & address
HAMAMA MEIR TRADE (1996) LTD.
P.O. Box 50434 (61503)
4 Kaufman Street, Sharbat House
TEL AVIV 68012 ISRAEL
Telephone 972 3 510 69 69
Fax 972 3 510 70 10
HISTORY
A private limited company, incorporated as per file No. 51-239801-7 on
20.11.1996.
Subject was incorporated in view of continuing
the trade in food activities of HAMAMA BROS. & CO. LTD., owned and founded
by the Hamama family in 1951 (incorporated in 1972), which turned into a real
estate holding company.
In May 2007 published a prospectus offering
shares to the public through the Tel Aviv Stock Exchange, following which
subject converted into a public limited company and its shares started trading
on 7.6.2007.
SHARE CAPITAL
Authorized share capital NIS 20,000,000.00, divided into - 20,000,000
ordinary shares of NIS 1.00 each, of which shares amounting to NIS 100.00 were
issued.
SHAREHOLDERS
1. Meir Hamama, 35%,
2. Eliyahu Hamama, 35%,
3. PSAGOT TRUST
FUNDS LTD., 10%, an institutional inventor,
4. EXCELLENCE
INVESTMENTS LTD., 5.75%, an institutional inventor,
5. Shares
are also traded on the Tel Aviv Stock Exchange.
DIRECTORS
1. Meir Hamama - Chairman and General Manager,
2. Eliyahu (Eli) Hamama,
3. Avi Diamant.
BUSINESS
Traders, importers, exporters, marketers and distributors in dried
foodstuff (cereals, dried food, nuts, rice, legumes, sesame, coffee, spices,
etc.).
Subject is selling, mostly wholesale, some 50 sorts of products, imported
from different countries.
It has some 300 local customers, mostly to wholesalers, packing and
roasting houses, as well as food manufacturers, retailers and institutional
clients.
Purchasing (of finished goods, no raw materials) are both locally and from
abroad, some 120 suppliers, mainly from Ethiopia, Turkey, North America,
Argentina, Far East (India, Thailand, China).
Among local suppliers are corn growers, etc.
Operating from offices, owned by sister company, in 4 Kaufman Street,
Sharbat House, Tel Aviv, from logistic center in Kiryat Gat (owned by sister
company) on an area of 13,000 sq. meters (8,500 sq. meters are built) and from
bonded warehouses, rented according to needs, in the Ashdod Port.
Having 57 employees (had 55 as of the end of 2005).
MEANS
In May 2007 subject made a public offering
of its shares and bonds, raising a gross proceeds of NIS 91,500,000.
B/S shows:
NIS
(thousands)
31.12.2006 30.06.2007
ASSETS
Current assets:
Cash and cash equivalents 126 205
Customers 85,451 89,868
Other debtors 4,595 6,079
Stock _85,564 _97,761
175,736 193,913
Long term loans 500 471
Fixed assets, net 3,795 3,814
Deferred taxes 329 398
Assets attributed to a ceased activity __1,477 __1,536
181,837 200,132
=======
=======
LIABILITIES
Current liabilities 144,855 82,012
Long term liabilities 1,320 57,862
Liabilities attributed to a ceased activity 800 642
Equity _34,862 _59,616
181,837 200,132
=======
=======
Current market value US$ 23.7 million.
There are 9 charges for unlimited amounts
registered on company’s assets, in favor of local banks and companies.
ANNUAL SALES
Consolidated
Statement of Income
NIS
(thousands)
Year
ended 31.12
2004 2005 2006
Sales 264,810 302,864 298,667
Gross profit 31,705 28,646 30,516
Operating income 22,065 19,307 20,901
Pre-tax income 14,399 17,755 16,207
Net income 9,717 10,870 13,472
======= ====== ======
Consolidated first half of 2007 ales were
NIS 147,347,000 (3.6% decrease comparing to the parallel period in 2006),
making a gross profit of NIS 16,773,000, an operating income of NIS 10,295,000,
and a net profit of
NIS 4,801,000.
OTHER COMPANIES
Subject has wholly-owned subsidiaries, which participate in the Ministry
of Agriculture tenders for receiving duty free or deducted duty import
licenses:
FOOD–TRONICS LTD.,
A.A. SHIBOLET LTD.,
SHAKED HAKESEM LTD.
MAZON SAME'ACH LTD.
TE'ENAT CAN'AN LTD.
Other companies
owned by the Hamama family:
TENE NEGEV LTD.,
marketers and exporters of peanuts
HAMAMA MEIR DEVELOPMENT AND INVESTMENTS CO.
(1991) LTD.,
HAMAMIT LTD.,
TENE PEANUTS LTD.,
HAMAMA BROTHERS
& CO. LTD., real estate,
MILGAD LTD.,
HAMAMA TENE HAI PEANUTS 1997 LTD.
BANKERS
Bank Leumi LeIsrael Ltd., Central Branch
(No. 800), Tel Aviv.
Union Bank of Israel Ltd., Main Branch (No.
063), Tel Aviv.
The First International Bank of Israel Ltd.,
Industrialists' House Branch (No. 057), Tel Aviv.
CHARACTER AND
REPUTATION
In 1997, Meir Hamama, one of the main shareholders in the Group, was
arrested on charges of tax fraud and released on bail.
Since then, nothing unfavorable learned.
Subject is one of the leading and veteran
companies in their field in the local market.
In August 2000 subject, together with 2
other companies won a tender to purchase a plot, on an area of 2,000 sq. meters
in Petach Tikva, on which they intend to build an area of 4,060 sq. meters for
a sum of NIS 6.29 million.
In 2000, the HAMAMA Group sold all activities of MILOUMOR OIL INDUSTRIES
(1992) LTD., processors of oil, to the SHEMEN Group, for a sum of US$ 10
million.
In August 2002, it was reported that the
HAMAMA Group will participate (25%) in a project to build a police building in
Tel Aviv.
In March 2006 subject sold its rights in a plot in Kiryat Gat, including
the structures, to a third party in consideration of NIS 20.78 million.
According to the Foodstuff Industry Union in the Industrialists'
Association, 2006 sales of foodstuff by the food industry rose by 2.9% from
2005, reaching NIS 45.5 million. Sales for exports of the foodstuff branch in
2006 were US$ 686 million, 4.1% increase from 2005, while sales to the local
market rose by 2.1%.
Imports of foodstuff to Israel in 2006 were US$ 1.18 billion, 13.4%
increase from 2005.
SUMMARY
Good for trade engagements.
Maximum unsecured credit recommended US$
2,000,000.
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. |
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%)