MIRA
INFORM REPORT
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Report Date : |
01.04.2008 |
IDENTIFICATION
DETAILS
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Name : |
AL JAZIRA GROUP BSC |
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Formerly Known as : |
AL JAZIRA COLD STORE COMPANY WLL |
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Registered Office : |
80 Osama Bin Zaid Avenue, Road 2721, Zinj Area, PO Box 26087, Adliya 327 |
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Country : |
Bahrain |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
1965 |
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Com. Reg. No.: |
851, Manama |
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Legal Form : |
Bahraini Shareholding Company Closed BSC (C) |
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Line of Business : |
Subject’s operations are performed through the following divisions: Al Jazira Supermarkets Division, Cold Store & Distribution Division, Ship handling Division, Fashion Division, Restaurant Division |
RATING &
COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
US$ 1,500,000 |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
SUMMARY
Company Name :
AL JAZIRA GROUP BSC
Previously Known As : AL JAZIRA COLD STORE COMPANY WLL
Country of Origin : Bahrain
Legal Form : Bahraini Shareholding Company Closed BSC (C)
Start Date : 1965
Registration Date : 28th September 1989
Commercial Registration Number : 851, Manama
Issued Capital : BD 4,000,000
Paid up Capital : BD 4,000,000
Total Workforce : 650
Activities : Subject operates several divisions (see below for details)
Financial Condition : Good
Payments : Nothing detrimental uncovered
Operating Trend : Steady
Recommended Credit Limit : US$ 1,500,000
COMPANY NAME
AL JAZIRA GROUP BSC
PREVIOUSLY KNOWN AS
AL JAZIRA COLD STORE COMPANY WLL
ADDRESS
Registered & Physical Address
Location : 80 Osama Bin
Zaid Avenue, Road 2721, Zinj Area
PO Box : 26087
Town : Adliya 327
Country : Bahrain
Telephone : (973) 714914 /
720700
Facsimile : (973) 740657 /
712923
Email : jazira@batelco.com.bh
Premises
Subject operates from a large suite of offices and a supermarket that
are owned and located in the Central Business Area of Adliya.
Branch Office (s)
Location Description
· Al Jazira Complex Owned
supermarket
Um Ishoom Avenue,
Road 20
Mahooz
332
Tel:
(973) 740111
Fax:
(973) 740417
· Building No. 1564 Owned
supermarket
Budaiya Highway
(Road 85)
Janoosan
502
Budaiya
Tel:
(973) 590845
Fax:
(973) 593227
· Mina Salman Owned
warehouse
Tel: (973) 727118
KEY PRINCIPALS
Name Position
· Mohamed Hassan
Diwani Chairman
· Abdul Hussain
Khalil Diwani Managing
Director
· Mohamed Sadiq
Khalil Diwani Director
· A.N.
Karthik Chief
Accountant
LEGAL FORM & OWNERS
Date of
Establishment : Subject’s
operations date back to 1965, however it was registered on 28th
September 1989
History : Subject was
originally established in 1965 under the name of “Al Jazira Cold Store Company
WLL”. However in
2007 subject was re-registered under the current style of “Al Jazira Group
BSC”
Legal Form : Bahraini
Shareholding Company Closed BSC (C)
Commercial Reg.
No. : 851, Manama
Issued Capital : BD 4,000,000
Paid up Capital : BD 4,000,000
Name of Shareholder (s)
· Mohamed Hassan
Diwani
· Abdul Hussain
Khalil Diwani
· Mohamed Sadiq
Khalil Diwani
· Heirs of Murtada Khalil Diwani
AFFILIATED COMPANIES
· Deeko Bahrain WLL
Building 881, Road 115, Block 601
North Sitra Industrial Area
PO Box : 26512 / 26094
Sitra
Tel : (973-17) 731871 / 731166 / 730385
Fax : (973-17) 732082
· Diwani Trading Co
WLL
Manama
Tel :
(973-17) 714914
· Tominna Trading Co
PO Box : 100
Manama
Tel : (973-17)
253511
· Gulf Garments
Industry WLL
OPERATIONS
Activities: Subject’s operations are performed through the following divisions:
· Al Jazira Supermarkets Division
Subject are owners
and operators of three supermarkets specialising in the retail of foodstuff
products such as frozen meats, vegetables, dry and canned foods, pet food as
well as general consumer goods such as cosmetics, perfumes, and beauty products
as well as household goods and textiles.
The Adliya Supermarket is the oldest of
the three having been established in 1965. Mahooz was opened in 1995 and the
Budaiya Supermarket in 1996.
The Al Jazira Complex comprises a
supermarket, as well as retail fashion outlets such as Woolworths, Truworths,
Identity, Indigo Nation, and Scullers. The complex also has an In-house bakery,
coffee shop, salad bar, video shop and a counter for fresh flowers and plants.
· Cold Store & Distribution Division
This division
operates a fleet of 7 reefer trucks, 6 delivery vans, and 25 service cars.
These cover the length and breadth of Bahrain distributing the full range of
products to cold stores, supermarkets, traders, co-operative societies and five
star hotels and restaurants. The division operates from a warehouse located at
Mina Salman, which also includes facilities for meat processing, sausage making
and cold storage facilities.
· Shipchandling Division
Subject is also
engaged in shipchandling activities and supplies.
· Fashion Division
Engaged in the wholesale and retail of
fashion accessories and readymade garments for ladies and gents.
· Restaurant Division
Subject operates restaurants under the
following franchises – ZYNG, Veneto and Mex Chicken
Import Countries: The United Kingdom, France, Denmark, Netherlands,
Germany, Switzerland, South Africa, Saudi
Arabia, Australia and the United States
of America.
International Suppliers:
· H.J. Heinz Co Ltd United Kingdom
· John West Foods
Ltd United Kingdom
· United Biscuits United Kingdom
· Unilever Exports
Ltd United Kingdom
· Woolworths United Kingdom
· Spillers Ltd United Kingdom
· Coro Denmark
· MD Foods Denmark
· Letona Food Germany
· Dat-Schuab Netherlands
· Hero Schweiz Switzerland
· L’ Oreal Vichy France
· Volvic France
· Sara Lee Australia
· Napco Ltd Saudi Arabia
· Apollinars Brunnen
AG South Africa
· General Mills Inc United States of America
· Best Foods Corp United States of America
Operating Trend: Steady
Subject has a workforce of approximately 650 employees.
FINANCIAL DATA
Financial highlights provided by local sources are given below:
Currency: Bahraini Dinar (BD)
Year
Ending 31/12/06: Year
Ending 31/12/07:
Sales BD
22,000,000 BD
25,000,000
Local sources consider subject’s financial condition to be Good.
The above financial figures are based on estimations by our local sources.
BANKERS
·
Al Ahli Commercial Bank
Government Avenue
PO Box 5941
Manama
Tel: (973-17)
244333
Fax: (973-17)
241301
· National Bank of
Bahrain BSC
Sitra Branch
PO Box 106
Manama
Tel: (973-17)
731128
· Standard Chartered
Bank
Standard Chartered
Bank Building
Government Road
PO Box 29
Manama
Bahrain
Tel: (973-17)
223636 / 255946
Fax: (973-17)
230503
PAYMENT HISTORY
No complaints regarding subject’s payments have been reported.
Date of transaction May
1999 June 2002 June 2003
Credit amount 20,000 480,000 500,000
Amount overdue 0 0 0
Payment terms 30
days 60 days 90 days
Payment Method Letters
of Credit Letters of Credit Letters of Credit
Paying record No
Complaints No Complaints No Complaints
Currency Pounds
Sterling US Dollars US Dollars
GENERAL COMMENTS
Opinion on the credit figure of US$ 150,000:
Al Jazira Group BSC is very well established in the local
market with operations dating back to 1965. It operates three supermarkets
located in Adliya, Budaiya and Mahooz, specialising in the retail of foodstuff
and general consumer goods. The company deals with a host of reputable
international suppliers with no problems noted regarding the manner in which
payment obligations are met.
Local sources report that the company is run in a professional manner
with a clear operating history. It is owned by members of the Diwani family who
are respected members of the local business community. The financial situation
is healthy and profitable and the above credit figure is deemed to be within
subject’s financial means.
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%)