MIRA INFORM REPORT

Report Date :

10.12.2008

IDENTIFICATION DETAILS

Name :	DAID NIGERIA LIMITED

Formerly Known as :	DAID MERCHANDISE LIMITED

Registered Office :	107, Mushin Road, Isolo, Lagos

Country :	Nigeria

Date of Incorporation :	12.07.1988

Com. Reg. No.:	RC: 115349

Legal Form :	Private Limited Company

Line of Business :	Distribution, Supply, Installation and Construction of Mechanical Power Transmission Products.

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Good

Payment Behaviour :	No Complaints

Litigation :	Clear

name of the company

DAID NIGERIA LIMITED

OPERATIONS

Subject is into Distribution, Supply, Installation & Construction of Mechanical Power Transmission Products.

In Nigeria, subject is a medium concern in this sector

Subject is located in a commercial area at Plot 2, Block J, Limca Way, Isolo Industrial Estate, Off Oshodi-Apapa Expressway, Isolo, Lagos-Nigeria.

RISK FACTORS

Credit Risk

ASSESSMENT: Apparently healthy, with adequate working capital

to meet normal commitments

CREDIT LINE AMOUNT: Normal

CREDIT LINE OPINION: Subject appears to be a credit worthy organization

External Constraints:

Subject operates in a sector where fluctuation of prices in equipment or Services poses great challenges. Some other challenges include government policies,, low funding of private and non Governmental Agencies etc .

Internal Constraints:

Subject is not under any major constraints internally, whether management or space.

IDENTIFICATION

COMPANY NAME: DAID NIGERIA LIMITED

PREVIOUS NAME: DAID MERCHANDISE LIMITED

REGISTERED NAME: DAID NIGERIA LIMITED

REGISTERED ADDRESS: 107, Mushin Road, Isolo, Lagos-Nigeria.

HEAD OFFICE ADDRESS: Plot 2, Block J, Limca Way, Isolo Industrial Estate, Off

Oshodi-Apapa Expressway, Isolo, Lagos-Nigeria

POSTAL ADDRESS: P.O.Box 1156, Apapa, Lagos.

P.O.Box 1368, Oshodi, Lagos.

TELEPHONE(S): 234-1-8990224, 8990225, 8920052, 8920057, 4521561,

4528722-3(2 lines), 4521563, 4528763, 472 6801, 8543234, 854 3227, 08033469671

FAX: 234-1-4528762, 4528763

E-MAIL: daid@beta.linkserve.com, services@daid.net,

daidengineering@yahoo.com

WEBSITE: www.daidgroup.net
PRIMARY CONTACT: Dr. Olu Adeleye

(Chairman/CEO)

Currency: All monetary quoted in this report are in Nigerian Naira, the local currency or unless otherwise stated. The exchange rate is N118 to 1 US $.

SUMMARY

NATURE OF PREMISES: Leased, office space at head office occupying approximately 1,750 square meters

DATE INCORPORATED 12^th July, 1988

YEAR BEGAN OPERATION: July, 1988

LEGAL FORM: Private Limited Company

REGISTRATION NO: RC: 115349

SHARE CAPITAL: 2,000,000.00

STAFF STRENGHT: 34

SHAREHOLDING STRUCTURE

1. Olu Adeleye

20, Olufemi Peters Street,

Isolo, Lagos.

2. Grace O. Adeleye

20, Olufemi Peters Street, Isolo, Lagos

DIRECTORS

1. Dr. Olu Adeleye

2. Grace O. Adeleye

BACKGROUND

DAID NIGERIA LIMITED is a total engineering services company specializing in Power transmission equipment and accessories. They represent in Nigeria as Sole representatives, reputable overseas engineering organizations such as WEG, SUMITOMO Drive Technologies Europe, Dunlop Conveyor Belting, Holland, Flexco, UK and FLEXON GmbH, Germany to mention a few. Daid Group of Companies was incorporated on the 12th of July, 1988. and commenced effective operation in July 1990 with three staff members as Daid Merchandise Limited.

Daid Group has continued to experience profitable growth both in turnover and human resources.

Staff Strength and Sales Team
The Company Sales Team are fully equipped to provide competent sales and marketing functions and her Staff strength which include permanent and part-time professionals has grown from 3 to 42 while stock today is in excess of N200 million to service the industries.

MANAGEMENT TEAM

Dr. Olu Adeleye - M.InstD,MNIM - Executive Chairman

An accomplished Entrepreneur with over 30years working experience in the Total Engineering Services Industry in Nigeria. He acquired an extensive industry knowledge/experience from Vono Products Plc, RT Briscoe, BEWAC AC-VYB Plc (Manager Fenner Products Division) and Associated Battery Manufacturers. He was the pioneer Managing Director of DAID Nigeria Limited. He is a member of a number of organizations and professional bodies, some of which are Nigerian Institute of Management, Institute of Directors, Nigerian-American Chamber of Commerce to name a few. Olu was awarded an honourary doctorate degree in Business Administration by St. Clements University in recognition of his many achievements in commerce and industry.An accomplished Entrepreneur with over 30years working experience in the Total Engineering Services Industry in Nigeria. He acquired an extensive industry knowledge/experience from Vono Products Plc, RT Briscoe, BEWAC AC-VYB Plc (Manager Fenner Products Division) and Associated Battery Manufacturers. He was the pioneer Managing Director of DAID Nigeria Limited. He is a member of a number of organizations and professional bodies, some of which are Nigerian Institute of Management, Institute of Directors, Nigerian-American Chamber of Commerce to name a few. Olu was awarded an honourary doctorate degree in Business Administration by St. Clements University in recognition of his many achievements in commerce and industry

Engr. Tunde Zedomi (B.SC, FNSE, FNIM) MD/CEO, Daid Engineering Ltd/Acting MD-DNL

A seasoned Engineering professional with vast wealth of experience spanning over 25years in the Engineering profession and Management. He is a fellow of Nigerian Society of Engineers, and the Nigerian Institute of Management. Presently, he is the current Chairman of Apapa Branch of the Nigerian Society of Engineers.

Olusegun Orebanjo (B.sc, MNSCE, COREN) -Director Northern Region Kaduna

A qualified chemical Engineer with 24years working experience. He had his Bachelors degree in Chemical Engineering from University of Lagos. (UNILAG). His area of specialization covers optimization of carbondioxide and oxygen/Nitrogen plants production efficiency, repairs of reciprocating industrial cooling compressor and flushing of cooling systems. Orebanjo was briefly with BOC Gases Kaduna as Works Manager North, Standard Organisation of Nigeria and J.M.D. Holdings Limited as partner among others. He is a registered member with Council for the Regulation of Engineering in Nigeria (COREN) and Nigeria Society of Chemical Engineers (NSCE).A qualified chemical Engineer with 24years working experience. He had his Bachelors degree in Chemical Engineering from University of Lagos. (UNILAG). His area of specialization covers optimization of carbondioxide and oxygen/Nitrogen plants production efficiency, repairs of reciprocating industrial cooling compressor and flushing of cooling systems. Orebanjo was briefly with BOC Gases Kaduna as Works Manager North, Standard Organisation of Nigeria and J.M.D. Holdings Limited as partner among others. He is a registered member with Council for the Regulation of Engineering in Nigeria (COREN) and Nigeria Society of Chemical Engineers (NSCE)

Ayoola Ayodele HND Electrical Eng. - Group Head Sales Administration

An HND graduate of Electrical Engineering from The Polytechnic of Ibadan. Ayo is an experience engineer who has worked with National Electrical Power Authority and Tempo Food & Packaging Limited (Obasanjo Holding) before joining DAID GROUP in year 2005 as a Sales Engineer. He is presently the Group Head Sales Administration.An HND graduate of Electrical Engineering from The Polytechnic of Ibadan. Ayo is an experience engineer who has worked with National Electrical Power Authority and Tempo Food & Packaging Limited (Obasanjo Holding) before joining DAID GROUP in year 2005 as a Sales Engineer. He is presently the Group Head Sales Administration.

Kemi Anifowose B.sc Bus. Admin -Group Head Administration/Personnel

Kemi was an OND graduate of The Federal Polytechnic of Ilaro before proceeding to Lagos State University where she obtained a B.sc degree in Business Administration. She once worked with Aku Rogers Nigeria Limited, Nigerite Nigeria Plc, Ikeja before joining DAID GROUP in 2001 where she rose from the position of a customer Relation Officer to her current position. Kemi was an OND graduate of The Federal Polytechnic of Ilaro before proceeding to Lagos State University where she obtained a B.sc degree in Business Administration. She once worked with Aku Rogers Nigeria Limited, Nigerite Nigeria Plc, Ikeja before joining DAID GROUP in 2001 where she rose from the position of a customer Relation Officer to her current position.

Kemi Boyejo - B.sc Bus Admin in view - Group Head Operation.

Lanre Adeyemi - B.sc Acct in-view - Accountant.

She is currently a final year student of Business Administration Dept in the Lagos State University. She has worked with Murphis Burger in 1998 before joining DAID GROUP in year 2000 as an office clerk and presently the Group Head Operation He is an OND graduate of Booking from Federal Technical College Yaba, also an AATS/ICAN holder from the Institute of Charted Accountant of Nigeria. He is current running a B.sc degree in Accounting with the University of Lagos, Akoka. Lanre has vast experience in Accounting and has worked with many Accounting firm before Joining DAID GROUP in 2005. He is a member Institute of Chartered Accountant of Nigeria.He is an OND graduate of Booking from Federal Technical College Yaba, also an AATS/ICAN holder from the Institute of Charted Accountant of Nigeria. He is current running a B.sc degree in Accounting with the University of Lagos, Akoka. Lanre has vast experience in Accounting and has worked with many Accounting firm before Joining DAID GROUP in 2005. He is a member Institute of Chartered Accountant of Nigeria

Godspower Otuoba B.sc M.Engg - Sales Manager Lagos.

He is a graduate of Metallurgical & Material Engr. from the Federal University of Technology, Akure. He has worked with Federal Institute of Industrial Research, Metal Mate Limited and Global Link Nigeria Limited before joining DAID GROUP as a Sales Engineer in year 2005 and

now the Sales Manager Lagos. He is a member of Nigeria Metallurgical Institute and Council for the Regulation of Engineering in Nigeria (COREN).

Femi Adeleye B.sc, Msc Engr. - Consultant-Operation/Development.

An England based Mechanical Engineer, graduated from University of Leeds, UK. He started his career with AstraZeneca Plc, Cheshire in 2001 before moving to BorgWarner Turbo Systems, Bradford as a Graduate Trainee, Manufacturing Operations in Dec 2002. He is currently with Bayford & Co.Ltd, Wetherby, England as an Assistant Financial controller being a Chartered Accountant in view. He is a graduate of Metallurgical & Material Engr. from the Federal University of Technology, Akure. He has worked with Federal Institute of Industrial Research, Metal Mate Limited and Global Link Nigeria Limited before joining DAID GROUP as a Sales Engineer in year 2005 and now the Sales Manager Lagos. He is a member of Nigeria Metallurgical Institute and Council for the Regulation of Engineering in Nigeria (COREN)

Olubunmi Ajayi B.sc M.Eng. - Consultant, Engineering Services.

A graduate of Mechanical Engineering from the University of Lagos and a Master degree holder of Bus. Admin from University of Ado-Ekiti, Ekiti State with over ten years experience. He started his engineering career with Daid Group as a Sales Engineer before moving over to West African Portland Cement Co. Plc (WAPCO) and later rejoined DAID GROUP as the Engineering Services Manager in the year 2001. He was with SEMPERIT, France in July 2002 and with SUMITOMO, Cyclo Euro, UK in Jan. 2002 for on-training developmental programme. He is a member of Nigerian society of Engineers (NSE), America Society of Engineers (ASME), and Council for the Regulation of Engineering in Nigeria (COREN).

COMPANY LOCATION

The company is located at Plot 2, Block J, Limca Way, Isolo Industrial Estate, Off Oshodi-Apapa Expressway, Nigeria.

AREA OFFICES

* 1, Creek Road,

P.O. Box 1156, Apapa, Lagos.

Tel: (01) 5451621, 5450349

Fax: (01) 5450348

* 2, Chief Amewhule Close, Opposite MCC,

Off Ikwerre Road, Rumuigbo, Port Harcourt, River State.

Tel: (084) 320082, 803-4307482

Fax: (084) 320082

E mail: logistics@daid.net

SUBSIDIARIES

Transmission World Limited

* Bearing Services Limited

TRADE REFERENCES

Subject: have both local and international references

PAYMENT REFERENCES

Subject: have both local and international references

PERFORMANCE RANKING

* Quality of Management: GOOD

* Ethics & Integrity: GOOD

* Ownership Structure: GOOD

PRODUCT DESCRIPTION

Distribution, Supply, Installation & Construction of Mechanical Power Transmission Products

PHYSICAL VISIT

Company Premises
Corporate Affairs Commission

FINANCES

Subject Audited Accounts was not available as the time of compiling this report.

INDUSTRIAL OVERVIEW/ OPERATING ENVIRONMENT

Subject is operating in an industry with very great potentials. With the Local Content Initiative of the supervising agency, Nigerian indigenous companies now have exclusive rights up-to 30% of all contracts awarded within the oil & gas industry. In cases where local expertise is lacking indigenous companies are encouraged to enter into technical partnership with foreign firms. With this innovation, local indigenous companies now have regular access to bids and can also benefit from the transfer of technology and expertise from their foreign technical partners. The Gas sector according to the recent World Bank estimate is worth $ 284 million and it has the capacity for a 10% growth in the next three years. The current low supply of LPG of about 0.5kg/h/yr from Nigeria to West African Sub- Region as against the West African Average of 3.7kg/h/yr, gives room for more investors and expertise.

This sector of the economy has great potentials for intending investors.

CMT REPORT (Corruption, Money Laundering & Terrorism)

Public Notice from various sources including but not limited to: The Courts, Nigerian Prison Service, Economic & Financial Crimes Commission (EFCC), National Drug Law Enforcement Agency (NDLEA), National Agency for Food & Drugs administration and Control (NAFDAC), Independent Corrupt Practices and Other Related Offences Commission (ICPC) Etc.

No negative information on subject from the above agencies as at the time of compiling this report.

OFFICIAL REMARKS

Having carried out all necessary verifications on subject, our investigations revealed that, the

Company, DAID NIGERIA LIMITED is duly registered in Nigeria, with a registered address at 107, Mushin Road, Isolo, Lagos-Nigeria while the operational address is at Plot 2, Block J, Limca Way, Isolo Industrial Estate, Off Oshodi-Apapa Expressway, Nigeria.

Subject is into genuine business transactions. Subject is an ongoing concern.

All information contained in this report is from sources only.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.12
UK Pound	1	Rs.72.59
Euro	1	Rs.63.52

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%)

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