MIRA
INFORM REPORT
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Report Date : |
20.09.2007 |
IDENTIFICATION DETAILS
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Name : |
PRECISION EXHAUST &
CATALYST FZC |
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Registered Office : |
Saif Zone, Warehouse No.
A4-09, P O Box – 8216, Sharjah, |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
23.11.2002 |
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Com. Reg. No.: |
1569 |
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Legal Form : |
Free Zone Company - FZC |
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Line of Business : |
Engaged in the manufacture
of automobile components such as exhaust systems, exhaust accessories,
catalytic converters, door sashes and disc brake pads. |
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$ 200,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
SUMMARY
Company Name :
PRECISION EXHAUST & CATALYST FZC
Country of Origin :
Legal Form :
Free Zone Company - FZC
Registration Date : 23rd
November 2002
Licence Number : 1569
Membership Number : 700345
Issued Capital : UAE Dh
300,000
Paid up Capital : UAE Dh
300,000
Total Workforce : 45
Line of Business : Manufacture of automobile components
Financial Condition : Fair
Payments :
Nothing detrimental uncovered
Operating Trend : Steady
COMPANY NAME
PRECISION EXHAUST &
CATALYST FZC
ADDRESS
Registered & Physical Address
Location : Saif Zone, Warehouse No. A4-09
PO Box : 8216
Town : Sharjah
Country :
Telephone : (971-6) 5572072
Facsimile : (971-6) 5572071
Email : precisio@emirates.net.ae
Premises
Subject operates from a medium sized suite of offices and a factory that
are rented and located in the Saif Zone.
KEY PRINCIPALS
Name Nationality Position
Rattan Kapur Indian Managing
Director
Pawan Madan Indian Director
Rajiv Kapur Indian Director
Rohan Kapur Indian Director
Romilla Kapur Indian Director
LEGAL FORM &
OWNERS
Date of Establishment : 23rd
November 2002
Legal Form :
Free Zone Company - FZC
Licence No. : 1569
Membership No. : 700345
Issued Capital : UAE
Dh 300,000
Paid up Capital : UAE
Dh 300,000
Name of Shareholder
(s) Percentage
Rajiv Kapur 45%
Rattan Kapur 15%
Rohan Kapur 15%
Romilla Kapur 15%
Pawan Madan 10%
Note to the Legal Form
A Free Zone Establishment - or FZE - is an establishment formed and registered
within the Free Zones and regulated solely by the Free Zone authorities.
Such establishments must have a capital of at least UAE Dh 1 million and
liability will be limited to the amount of paid-up capital. A FZE need only
have a single shareholder and is an independent legal entity.
This legal form allows for 100 percent foreign ownership within the
United Arab Emirates and allows foreign companies to maintain a presence in the
UAE (within the free zone), without the usual requirement of a local sponsor
that would hold majority ownership, i.e. minimum of 51 % equity in the capital.
AFFILIATED COMPANIES
Mark Exhaust System Ltd
Haryana
LINE OF BUSINESS
Operations : Engaged in the manufacture of automobile components
such as exhaust systems,
exhaust accessories, catalytic converters, door sashes and disc brake pads.
Import Countries :
Brand Names : OMEGA and PRECISION
Operating Trend : Steady
Subject has a workforce of 45 employees.
FINANCIAL HIGHLIGHTS
Financial highlights provided by outside sources are given below :
Currency :
Year
Ending 31/12/05: Year
Ending 31/12/06:
Total Revenue UAE
Dh 12,500,000 UAE Dh
13,800,000
Local sources consider subject’s financial condition to be Fair.
BANKERS
The Standard Chartered Bank
PO Box : 5
Sharjah
Tel : (971-6) 5357788
Fax : (971-6) 5335500
PAYMENT HISTORY
No complaints regarding subject’s payments have been reported.
GENERAL COMMENTS
Opinion on the credit figure of US$ 150,000:
During the course of this investigation nothing detrimental was
uncovered regarding subject’s operating history or the manner in which payments
are fulfilled. As such the company is considered to be a fair trade risk and
the above credit figure is within subject’s financial means.
Maximum suggested credit figure: US$ 200,000
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. |
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%)