MIRA
INFORM REPORT
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Report Date : |
26.04.2008 |
IDENTIFICATION
DETAILS
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Name : |
ETA MELCO
ELEVATOR CO LLC |
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Registered Office : |
Sheikh Saoud
Saqer Al Qasimi Building, Salah Al Din Street, Al Mateena, P O Box 5239,
Dubai |
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Country : |
United Arab
Emirates |
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Date of Incorporation : |
1975 |
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Com. Reg. No.: |
40884, Dubai |
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Legal Form : |
Limited Liability Company – LLC |
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Line of Business : |
Import and
Distribution of Elevators, Escalators and related Spare Parts. |
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$ 1,500,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
SUMMARY
Company Name : ETA MELCO ELEVATOR CO LLC
Country of Origin : Dubai, United Arab Emirates
Legal Form : Limited Liability Company - LLC
Start Date : 1975
Registration Date : 5th October 1981
Commercial Registration Number : 40884, Dubai
Trade Licence Number : 206731
Membership Number : 8451
Issued Capital : UAE Dh 8,000,000
Paid up Capital : UAE Dh 8,000,000
Total Workforce : 1,700
Line of Business : Elevators and escalators.
Financial Condition : Undetermined
Payments : Nothing detrimental uncovered
COMPANY NAME
ETA MELCO ELEVATOR
CO LLC
ADDRESS
Registered & Physical Address
Building : Sheikh Saoud Saqer Al Qasimi
Building
Street : Salah Al Din Street
Area : Al Mateena
PO Box : 5239
Town : Dubai
Country : United Arab Emirates
Telephone : (971-4) 2729999 / 2729899
Facsimile : (971-4) 2725121
Email : etamelco@eta-ascon.com
Premises
Subject operates
from a large suite of offices and a warehouse that are leased and located in
the Industrial Area of Dubai.
Branch Office (s)
Location Description
·
Gulf Air
Building Office
premises
PO Box: 11058
Dubai
Tel: (971-4) 2716655 / 2715109
·
PO Box: 3967 Office
premises
Abu Dhabi
Tel: (971-2) 6349534
Fax: (971-2) 6347282
KEY PRINCIPALS
Name Nationality Position
·
Sayed Mohamed
Salahuddin Indian Managing
Director
·
Abdullah Bin
Ahmed Al Ghurair Emirati Director
·
V. K. Kumar - General
Manager
·
Ahmed Meeran - Sales Manager
LEGAL FORM &
OWNERS
Date of Establishment : Subject’s
operations date back to 1975, however it was registered on 5th
October 1981.
Legal Form :
Sharikat Thet Massouliya
Mahdoudeh (Limited Liability Company - LLC)
Commercial Reg. No. : 40884, Dubai
Trade Licence No. : 206731
(Expires 21st September 2007)
Membership No. : 8451
Issued Capital : UAE Dh 8,000,000
Paid up Capital : UAE Dh 8,000,000
Name of Shareholder
(s) Percentage
·
Abdullah Bin
Ahmed Al Ghurair 51%
·
Mitsubishi
Corp Ltd 30%
Japan
·
Amana
Investments Ltd 19%
Hong Kong
Note to the Legal Form
A Limited Liability Company (LLC) is defined in the Company Law as a company incorporated with not less than two and not more than fifty shareholders, each responsible only for the liabilities of the company to the extent of their share participation in the capital of the company.
The Company Law provides that the capital of a Limited Liability Company (LLC) should not be less than UAE Dh 300,000, which should be divided into equal shares of a value not less than UAE Dh 100 each.
This type of company may engage in any form of legitimate business, with the exception of insurance, banking and investment of funds.
Non UAE Participation
The participation of non-Emirati in a trade or business in the United Arab Emirates is governed by the Foreign Business Investment Law, which sets capital requirements and requires 51 percent Emirati participation in capital and profits.
It is common for the 51 percent to be held by the UAE national on paper only with the foreign partner(s) providing all the capital requirements for the company and paying an annual fee to the local partner.
Under this arrangement the above ownership may not reflect the actual profit distribution within the company, as the company may have internal management agreements in place that provides full management of the company in return for a share of the company’s assets and profits. This internal relationship may or may not be recognised by law depending on the way the internal agreement is made.
AFFILIATED COMPANIES
Subject is a member of the Al Ghurair Group, which has a turnover over
in excess of UAE Dh 3 billion (US$ 850 million). The group has a diversified
range of interests spanning real estate, finance and industry, with specialist
operations in banking, trading and shipping.
Some of the very successful industries that it operates today in the
United Arab Emirates, include the National Flour Mills Co Ltd, National Cement
Company, Gulf Extrusions at Jebel Ali, Masafi Mineral Water Co LLC, National
Mosaic Tiles, Arabian Packaging Co and Al Ghurair Publishing and Printing. In
the banking sector, the Ghurairs are owners of the UAE’s largest private bank,
the Dubai-based Mashreq Bank, which is one of the Group’s most successful
ventures and operates from branches both within and outside the UAE.
The Al Ghurair Group is active in London, New York, Cairo, Khartoum,
Istanbul, Bombay, Doha, Colombo, Karachi and Lahore.
In real estate the Al Ghurair Centre has become a prominent landmark in
Dubai. It was built at a cost of more than US $ 150 million and is now home to
most of the city’s top retailers.
The Al Ghurair Group comprises the following concerns :
·
Emirates
Trading Agency LLC (ETA)
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Al Ghurair
Holdings (Private) Ltd
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Gulf
Extrusions Ltd
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Arabian
Aluminium Company
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Al Ghurair
Publishing & Printing House
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Union Mosaic
& Marble Company
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Al Ghurair
Centre
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Arabian Mix
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National
Cement Company Ltd
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Arabian
Packing Company
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Gulf Utensils
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Gulf Import
& Export Co
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House of
Perfume
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Computer
Intelligence and Communications Ltd
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Gulf
Confectionery & Biscuit Company
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Oman Insurance
Co Limited
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Mashreq Bank
·
Al Ghurair
Enterprises
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Al Ghurair
Exchange
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National Flour
Mills Company Ltd
·
National
Concrete Company Ltd
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Masafi Mineral
Water Co LLC
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Associated
Construction & Investment Co LLC (ASCON)
·
Al Ghurair
Fieness Perry & Partners
·
Pak Arab
Traders
·
Al Ghurair
Real Estate
·
Al Khaleej
Sugar Co WLL
·
Central
Electric Equipment Co LLC (CEEC)
·
National Oman
Marble Company
·
Rawda Quarries
Ltd
·
Ghurair Tarmac
·
Oman Finance
Company
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Ghurair Crown
(Engineering) Ltd
·
Al Ghurair
Industries (Pvt) Ltd
LINE OF BUSINESS
Operations : Engaged in the import and distribution of
elevators, escalators and related spare parts.
Subject also offers installation, maintenance and repair of elevators and escalators. It has approximately 8,000 elevators under comprehensive maintenance contracts.
The company's installations at the Emirates Tower, Burj Al Arab and the new terminal at the Dubai International Airport were rated among the world's best projects by the top international elevators magazine "The Elevator World."
800 units per year are being sold in the UAE by ETA-Melco and the company has a market share of around 55 percent.
Subject obtained the prestigious ISO-9001 Certificate in 1999.
Import
Countries: Japan, Germany
and Sweden
International
Suppliers:
·
Mitsubishi Electric Corporation Japan
·
Alcan Singen GmbH Germany
·
Besam AB Sweden
Export Countries: Qatar, Oman, Kuwait, Turkey, Sri
Lanka, Maldives, India, Bangladesh and the CIS countries.
Subject has a
workforce of approximately 1,700 employees.
FINANCIAL HIGHLIGHTS
Companies
registered in Dubai, United Arab Emirates are not legally required to make
their accounts public and no financial information was released by the company
or submitted by outside sources.
BANKERS
·
Mashreq Bank
Plc
Deira Branch
PO Box : 1250
Dubai
Tel
: (971-4) 2229131 / 2221134
PAYMENT HISTORY
No complaints
regarding subject’s payments have been reported.
GENERAL COMMENTS
Established in
1975, subject is involved in the import and distribution of elevators,
escalators and related spare parts. Subject also operates and elevator and
escalator contractors.
This is a well
established company, part of the Al Ghurair Group which is deemed trustworthy
for respecting its financial trade commitments. Payment obligations are
reportedly met in a prompt and timely manner and local sources advise that
subject is a sound trade risk.
Maximum suggested
credit figure: US$ 1,500,000
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/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%)