MIRA
INFORM REPORT
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Report Date : |
05.08.2008 |
IDENTIFICATION
DETAILS
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Name : |
ITZHAK LEVAVI DIAMONDS
2006 LTD. |
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Registered Office : |
23 Tuval Street, Diamond Exchange, Noam Bldg., Ramat GAN 52521 |
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Country : |
Israel |
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Date of Incorporation : |
1981 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Traders, Processors, Importers, Exporters and Marketers of Diamonds. |
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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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
ITZHAK LEVAVI DIAMONDS 2006 LTD.
Telephone 972 3 752 47 11
Fax 972 3 752 47 13
23 Tuval Street
Diamond Exchange, Noam Bldg.
RAMAT GAN 52521
ISRAEL
HISTORY AND LEGAL FORMATION
Originally established
as a sole proprietorship, established in 1981 and operated under the name
ITZHAK LEVAVI.
Converted into a private limited company and registered as such as per
file
No. 51-383166-9 on the 17.05.2006.
SHARE CAPITAL
Authorized share
capital NIS 2,000.00, divided into -
2,000
ordinary shares of NIS 1.00 each,
of which shares amounting NIS 100.00 were
issued.
SHAREHOLDERS
1.
Itzhak Levavi, 85%,
2.
Eran Sela, 15%.
SOLE DIRECTOR & GENERAL
MANAGER
Itzhak Levavi.
BUSINESS
Traders,
processors, importers, exporters and marketers of diamonds.
50% of sales are
for export.
Amongst local
clientele: RONI DUEK DIAMONDS.
Operating from
office premises, owned by the shareholders, on an area of 110 sq. meters, in 23
Tuval Street, Noam Bulding (room 12, 7th floor), Ramat Gan, and 2
factories for diamond processing and lapidary works:
1. In 46 Bezalel
Street, Ramat Gan
2. In Russia.
Having 30
employees.
MEANS
Financial data not
forthcoming.
There are 2 charges for unlimited amounts
registered on the company's assets (financial assets), in favor of Union Bank
of Israel Ltd.
ANNUAL SALES
2006 sales claimed
to be US$ 30,000,000, of which 50% were for export.
2007 sales claimed
to be US$ 35,000,000, of which 50% were for export.
First half of 2008
sales claimed to be US$ 15,700,000, of which 50% were for export.
OTHER COMPANIES
QUEENY ASSETS
& MANAGEMENT LTD., a real estate company, fully owned by Mr. Levavi, 56.4%
owner of u/m company,
NADLANS LTD., holdings
of yielding properties, a public limited liability company, shares of which are
traded on the Tel Aviv Stock Exchange. Current market value NIS 11.82 million.
EURO-SAT
INVESTMENTS LTD.,
3% owned by Mr. Levavi, a public limited liability company, shares of which are
traded on the Tel Aviv Stock Exchange, current market value NIS 71.16 million.
METZUDA LTD.,
financial portfolios.
BANKERS
Union Bank of Israel Ltd., Ramat Gan Branch (No. 062), Ramat Gan,
account
No. 388800/31.
A check with the Central Banks' database did not reveal any negative
information regarding subject's a/m account.
CHARACTER AND REPUTATION
Nothing
unfavorable learned.
Itzhak Levavi is
veteran in the local diamond industry.
Itzhak Levavi purchased shares in NADLANS in January 2008 for a sum of
NIS 12.3 million. NADLANS purchased a hotel in Yafo (430 sq. meters plot 2,300
sq. meters built) in May 2008 for a sum of NIS 25.2 million and stated that it
will invest further US$ 1 million for renovations.
Local diamond
companies are facing a depression in business in general in recent months due
to the recession in the U.S. markets. The American market has been the No. 1
export market and the crisis in the U.S. market affects directly many Israeli
diamond companies, as purchasing has gone down dramatically. There are reports
on delays in payments from clients, causing a cash flow problem to some
companies.
In the first half
of 2008, there was an increase trend in all money parameters of import and
export: export of cut diamonds (net) from Israel rose by 6% comparing to
parallel period in 2007, reaching US$ 3.8 billion (though carat value fell by
17%). Export of rough diamonds (net) from Israel also increased by 26% to US$
2.19 billion (2.5% fall in carat value).
Import of rough
diamonds (net) rose 15% in the first half of 2008 (from 2007) to US$ 2.77
billion (though carat value fell by 11%), while import of cut diamonds (net)
also increased in 2008 by 19.5% reaching US$ 2.35 billion (carat value rose by
2.3%).
Year 2007 marked a
record in the export of cut diamonds from Israel, with net sales for export of
US$ 7.076 billion, 7% rise from 2006 (US$ 6.611 billion). Total export of cut
and rough diamonds crossed for the first time the US$ 12 billion line. Exports
(net) of rough diamonds were US$ 3.386 billion, a 25.5% increase from 2006 (US$
2.701 billion, which was a 23.2% decrease from 2005).
Import of rough diamonds (net) rose 8% in 2007 by (from 2006) to
US$ 5.084 billion, while import of cut diamonds (net) also increased in 2007 by
13.3% reaching US$ 4.558 billion.
The USA is the
main market for Israel’s export of cut diamonds, although its portion has been
decreasing in view of the economic situation – the export rate is circa 41%,
comparing to 60%-65% in past years. The secondary markets are Hong Kong,
Switzerland, Belgium, U.K, and India.
SUMMARY
Good for trade
engagements.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.42.28 |
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UK Pound |
1 |
Rs.82.79 |
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Euro |
1 |
Rs.65.69 |
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%)