MIRA
INFORM REPORT
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Report Date : |
11.01.2008 |
IDENTIFICATION
DETAILS
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Name : |
KARBOCHEM PTY LTD |
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Formerly Known As : |
CAPENSIS (PTY)
LTD |
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Registered Office : |
Bunsen Street, Industrial Site, Sasolburg, Free State |
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Country : |
South Africa |
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Date of Incorporation : |
2 July 2002 |
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Com. Reg. No.: |
2002/015590/07 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacture and Distribution of Synthetic Rubbers |
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 : |
Regular |
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Litigation : |
Clear |
COMPANY NAME
KARBOCHEM (PTY) LTD
Formerly
CAPENSIS (PTY) LTD,
the name having been changed in February 2003.
PHYSICAL ADDRESS
Bunsen Street
Industrial Site
SASOLBURG
Free State
POSTAL ADDRESS
P O Box 19
SASOLBURG
9570
Telephone Number: 016 970 1911
Fax Number: 016
973 1412
It was stated by a respondent
that P O Box 581, Bruma is reported to be the marketing office of the subject
SHAREHOLDERS
100% KARBOCHEM
HOLDINGS (PTY) LTD, which in turn is 30% owned by DR. A J BRINK (Phd in Chemistry),
30% P J STEENKAMP, 30% D T BLACKBURN and 10% by the employees.
ASSOCIATE COMPANIES
KARBOCHEM
PROPERTIES (PTY) LTD
KARBOCHEM
INVESTMENTS (PTY) LTD
KARBOCHEM FIXED
ASSETS (PTY) LTD
Subsidiary companies:
SYNTHETIC LATEX CO
(PTY) LTD
ORCHEM (PTY) LTD
DIRECTORS
DR A J BRINK
P J STEENKAMP
D T BLACKBURN
BANKERS
STANDARD BANK,
Simmonds Street Corporate Branch, Account Number: 022093727. It was stated
that the Sasolburg branch has been delegated to hold the account. It was stated that the subject enjoys
overdraft facilities to an extent of R millions, secured by a cession of
debtors as well as working capital.
Utilisation is stated to be nil as credit balances are normally maintained
at the bank.
DATE REGISTERED
2 July 2002
Registration
Certificate Number: 2002/015590/07
A shelf company was
utilised and the name was changed in February 2003 for trading to commence on 1
April 2003, when the subject took over a division and operations of a business
named Karbochem, which was previously part of the Dow Division of SENTRACHEM
LTD.
The original
KARBOCHEM (PTY) LTD was commenced in 1966 (Reg. No. 1966/004465/07). The latter company was deregistered.
VAT NUMBER
4630205054
MAJOR OPERATION
Manufacture and distribution of synthetic rubbers. It was stated that the subject imports 2 key raw materials, Butadiene and Styrene, which are converted into synthetic rubber.
MAJOR SUPPLIERS
The subject imports raw materials from Saudi Arabia and deals locally with:
CREST CHEMICALS
FREIGHT MAX Durban
TANKER SERVICES Johannesburg
MAJOR CUSTOMERS OR
BUSINESS SECTORS
Tyre industry, e.g. Dunlop, Bandag, Goodyear and re-treading industry, etc.
AREA OF DISTRIBUTION AND SELLING
South Africa
EXPORTS
45% to Europe and Australia
TOTAL EMPLOYEES:
355
OTHER PREMISES
The subject has a manufacturing site in Newcastle as well as other premises in Sasolburg, where tenants rent from the subject.
OWNED OR LEASED
The premises are reported to be owned by the subject. The subject also owns other premises that are rented out to approximately 6 tenants.
AUTHORISED SHARE CAPITAL:
R1 000 divided into 1 000 ordinary shares of R1 each
ISSUED SHARE CAPITAL
R100
The following estimated financial situation was submitted:
STOCK R190 000 000 – R200 000 000
DEBTORS R130 000 000
CASH varies
FIXED ASSETS net value, including property R180 000 000
CREDITORS R110 000 000 – R120 000 000
LOANS from the directors to subject R 14 000 000
TURNOVER per annum R750 000 000
AUDITORS
MEINTJIES & VERMOOTEN, Pretoria
YEAR END
AUGUST
INSURANCE BROKERS:
ALEXANDER FORBES
TRADE REFERENCES – MAY 2006:
PERIOD
HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
CREDIT
CREDIT
PATTERN
1. Old acc R1 000 000 R 700 000 - 30 days 30 days Very Good
R 1000 000
2. 06/1998 R
500 000 R 50 000 -
30 days 30 days Good
c/l
R 176 000
3. 15 yrs R
500 000 R 500 000
30 days 30 days Excellent
TRADE REFERENCES –
MAY 2007
PERIOD HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
CREDIT CREDIT PATTERN
1. 1999 R
500 000 R300 000 30 days 30 days Very Good
c/l
2. Old acc R1 000 000 R600 000 30 days 30 days Very Good
3. Old acc R
500 000 R500 000 30 days 30 days Very Good
CURRENT TRADE
REFERENCES
PERIOD HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
CREDIT
CREDIT PATTERN
1.
9 yrs R500 000 R
250 000 30 days
30 days Very good
2. Old
acc open R 400 000 30 days 30 days Very good
3. Old
acc open R3 000 000
30 days 30 days Very good
COMMENTS
This is an established company that was taken over by a management buyout in February 2003. Suppliers speak highly of the subject and commitments are being met timeously. No adverse comments have been heard and the subject is considered equal to US$1 500 000 over 30 days.
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%)