MIRA
INFORM REPORT
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Report Date : |
25.01.2008 |
IDENTIFICATION
DETAILS
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Name : |
AROMOR FLAVORS AND FRAGRANCES LTD |
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Registered Office : |
Mobile Post Megido,
Givat Oz 19225 |
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Country : |
Israel |
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Date of Incorporation : |
02.07.1982 |
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Com. Reg. No.: |
55-000635-7 |
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Legal Form : |
Limited Partnership |
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Line of Business : |
Manufacturers,
marketers and exporters of aroma chemicals, specializing in raw materials, flavors
and fragrances for the food, detergent and cosmetics industries. |
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 |
COMPANY NAME & ADDRESS
AROMOR FLAVORS AND FRAGRANCES LTD.
(Trading as: AROMOR FLAVORS & FRAGRANCES
LTD.)
Mobile Post Megido
GIVAT OZ 19225 ISRAEL
Telephone 972
4 652 49 00
Fax 972
4 642 50 52
HISTORY
Originally established as a limited partnership
under the name of AROMOR CHEMICALS INDUSTRIES GIVAT OZ, registered as per file No.
55-000635-7 on the 2.7.1982.
As of the 1.1.1994, the partnership became a
holding company and all its industrial activities were transferred to subject,
which was registered as a private limited company as per file No. 51-189894-2
on the 22.12.1993, under the name in caption.
SHARE
CAPITAL
Authorized share capital NIS 3,000,000.00,
divided into – 1 golden share, 2,999,999 ordinary shares, all of NIS 1.00 each,
of which shares amounting to NIS 2,346,542.00 were issued.
SHAREHOLDERS
1. Aromor
Chemicals Industries Givat Oz, 70% of ordinary shares and 100% of gold
shares, a limited partnership fully owned by Kibbutz Givat Oz, a co-operative
society, operating a communal agricultural settlement,
2. THE FIRST INTERNATIONAL BANK OF ISRAEL TRUST
CO. LTD., 30%, shares are being held in trust on behalf of BKF VISION LTD.,
owned by Israeli private investors, headed by Yossi Fait.
On 15.4.2005, a group of private investors (BKF
VISION LTD.) acquired 30% of subject, for a sum of US$ 2.1 million.
DIRECTORS
According to the Registarar of Companies,
subject has the following 2 directors:
Mario Nisemblat (subject's former General
Manager)
Marcello Rotem (subject's controller)
Although no notice to this effect has so far has
so far been recorded in the Registrar of Companies, we are informed that by
subject's officials that the Board of Directors is as follows:
1. Dani
Porat, Chairman,
2. Yossi
Fait,
3. Marcello
Rotem,
4. Shimon
Ziles,
5. Oded
Glazer,
6. Ofer
Aviani,
7. Eli
Asraf.
GENERAL
MANAGER
Itzhak (Itzik) Molcho
BUSINESS
Manufacturers, marketers and exporters of aroma
chemicals, specializing in raw materials, flavors and fragrances for the food,
detergent and cosmetics industries.
Almost all sales are exports.
Among local suppliers: GADOT CHEMICALS,
DEPOTCHEM, HATAVOR TRANSPORT, PAZGAS, etc.
Operating from premises (offices, warehouse and
plant), owned by the Kibbutz Givat Oz, on an area of 10,000 sq. meters in
Kibbutz Givat Oz, a locality in the Yzre'el Valley, at the Northern part of
Israel.
Having 80 employees (had 70 employees in 2007,
same as in 2005 and 2006).
MEANS
B/S to the 31.12.2004 totaled NIS 42,784,000.
Equity to the 31.12.2004 totaled NIS 23,000,000.
B/S to the 31.12.2005 totaled NIS 56,016,000.
Equity to the 31.12.2005 totaled NIS 28,100,000.
B/S to the 31.12.2006 totaled NIS 50,524,000.
Equity to the 31.12.2006 totaled NIS 28,000,000.
Current stock is valued at NIS 17,000,000 (same
as in 2005/ 6/ 7).
Subject is an “Approved Enterprise” and as such
enjoys tax benefits and State incentives.
In August 2001, the Investment Center
Administration approved a US$ 704,000 investment plan for the expansion of
subject’s plant.
There are 23 charges for unlimited amounts
registered on the company’s assets, in favor of the State of Israel, local
banks and leasing companies.
ANNUAL
SALES
2001 sales claimed to be NIS 39,000,000, of
which 97% were for export, making a pretax profit of NIS 5,530,000 and a net profit
of NIS 4,378,000.
2002 sales claimed to be NIS 41,000,000, of
which 95% were for export.
2003 sales claimed to be NIS 49,000,000, of
which 95% were for export.
2004 sales claimed to be NIS 60,000,000, of
which 95% were for export, ending with a loss of NIS 241,000.
2005 sales claimed to be NIS 65,000,000, of
which 95% for export, ending with a loss of NIS 1,300,000.
2006 sales claimed to be NIS 74,000,000, of
which 95% for export.
2007 sales claimed to be NIS 76,271,000, of
which 95% for export.
OTHER
COMPANIES
AROMOR FLAVORS AND FRAGRANCES INC., 100%
subsidiary in New Jersey, USA, marketers of subject's products in the USA.
Kibbutz Givat Oz also controls:
HEVEA GIVAT OZ, rubber polymer products
manufacturers and compression molding.
BANKERS
The First International Bank of Israel Ltd.,
Afula Branch (No. 111), Afula,
account No. 211206.
A check with the Central Banks' database did not
reveal anything detrimental on subject’s a/m account.
CHARACTER
AND REPUTATION
Nothing unfavorable learned.
Kibbutz Givat Oz, established 1949, also
cultivates a large area of agricultural land, including fruit plantation,
operate dairy farming, poultry etc. There are some 250 members in the Kibbutz,
out of population of 500.
Besides the farming, subject and HEVEA, the
Kibbutz also operates small business and a youth hostel.
Subject is ISO 9002 certified.
According to the Chairman of the Chemical, Pharmaceutical and
Environment Division at the Industrialists Association, total sales of the branches
in 2006 witnessed a remarkable 12.6% growth to US$ 17.4 billon, after in 2005
sales increased by 10% from 2004.
2006 exports of the branch were US$ 8.8 billion (some one third
attributed to the chemical industry), a 15.7% increase from 2005, and sales to
the local market reached US$ 8.6 billion, a 10% increase from 2005.
The chemical and pharmaceutical industries are the 2nd
largest export branch (after the hi-tech) and comprise 30% of Israel’s
industrial exports. The industry employs 28,700 employees.
Purchasing abroad amounted to US$ 1.5 billion in 2006.
The branch projected sales in 2007 include a 15% rise in sales for
export (to US$ 10 billion) and 12% rise in total sales (to US$ 19.5 billion).
SUMMARY
Good for trade engagements.
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%)