MIRA INFORM REPORT

 

 

Report Date :

03.03.2008

 

 

IDENTIFICATION DETAILS

 

Name :

PHARMA-Q (PTY) LTD

 

 

Registered Office :

50 Commando Road, Industria, JOHANNESBURG, Gauteng

 

 

Country :

South Africa

 

 

Date of Incorporation :

02.12.1997

 

 

Com. Reg. No.:

1997/020825/07

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacturers of pharmaceutical products e.g. capsules, liquids, creams, ointments, injectables and eye drops

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

 

 

 

COMPANY NAME

 

PHARMA-Q (PTY) LTD

 

 

PHYSICAL ADDRESS

 

50 Commando Road

Industria

JOHANNESBURG

Gauteng

 

 

POSTAL ADDRESS

 

Private Bag X09

FLORIDA

1710

TELEPHONE NUMBER: 011 474 7400 / 474 1880

FAX NUMBER:  011 474 7420

 

 

SHAREHOLDERS

 

100%    MICRO HEALTHCARE (PTY) LTD

 

Formerly 100% CREATIVE OUTSOURCING SOLUTIONS INTERNATIONAL (PTY) LTD (COSI), having been changed in November 2005.  The subject also previously traded as COSI PHARMACEUTICALS, however, the trading name has fallen away.

 

 

ASSOCIATE COMPANIES

 

KIHUWI INVESTMENTS (PTY) LTD

           

 

DIRECTORS

 

A LESCH (Managing Director)

D BREET

A MEHTA

 

 

BANKERS

 

NEDBANK, Business East Rand branch, account number 1288002882.  It was stated that the subject enjoys group overdraft facilities to an extent of R5 million, secured by a cession of debtors.  Utilisation is stated to fluctuate.

 DATE REGISTERED

 

2 December 1997

Registration certificate number 1997/020825/07

 

The subject took over the factory of ADCOCK INGRAM PHARMACEUTICALS (PTY) LTD and only commenced operations in 1998.

 

 

VAT NUMBER

 

4460173364

 

 

MAJOR OPERATION

 

Manufacturers of pharmaceutical products e.g. capsules, liquids, creams, ointments, injectables and eye drops

 

 

MAJOR SUPPLIERS

 

The subject imports raw materials from the USA, UK and Spain and deals locally with the following suppliers:

 

ANCHOR RAND  Johannesburg

AKULU MARCHON   Johannesburg

CRODA CHEMICALS  Johannesburg

CTP PACKAGING  Johannesburg

CONSOL GLASS  Pretoria

 

 

MAJOR CUSTOMERS OR BUSINESS SECTORS

 

Pharmaceutical industry e.g. Adcock Ingram, Lever Brothers, etc

 

 

AREA OF DISTRIBUTION AND SELLING

 

Agents throughout South Africa

 

 

EXPORTS

 

None

 

 

 

 

 

TOTAL EMPLOYEES

 

 

400

 

 

OTHER PREMISES

 

None

 

 

OWNED OR LEASED

 

The premises are reported to be leased.

 

 

AUTHORISED SHARE CAPITAL

 

R100 divided into 100 ordinary shares of R1 each

 

 

ISSUED SHARE CAPITAL

 

R100

 

The following estimated financial situation was submitted:

 

STOCK                                     R  20 000 000

DEBTORS                                 R  18 000 000

FIXED ASSETS net book value   R    9 500 000

CREDITORS                              R    8 000 000

TURNOVER per annum              R140 000 000

 

 

AUDITORS

 

ENSLYNS, Bethlehem

 

 

YEAR END

 

AUGUST

 

 

INSURANCE BROKERS

 

EMERALD, Bethlehem

 TRADE REFERENCES – NOVEMBER 2005

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS             PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                                    PATTERN

 

1.         4 yrs                 R500 000          R250 000 -        30 days             35 days             Good

                                                            c/l                     R300 000

 

2.         1993                 R600 000          R  30 000          30 days             30 days             Good

                                                            c/l

 

3.         2003                 R150 000          R  50 000 -        30 days             30 days             Very Good

                                                            c/l                     R100 000

 

 

TRADE REFERENCES – DECEMBER 2006

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS             PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                                    PATTERN

 

1.         4 yrs                 R100 000          R  50 000          30 days             30 days             Good

 

2.         1993                 R600 000          R500 000          30 days             30 days             Good

 

3.         6 yrs                 R300 000          R100 000          30 days             30 days             Good

 

 

CURRENT TRADE REFERENCES

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS             PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                                    PATTERN

 

1.         5 yrs                R1 000 000        R300 000-         30 days             40-45 days        Slow

                                                c/l         R700 000

 

2.         Oct 1993           R  600 000        R600 000          30 days             30 days             Excellent

                                    c/l

 

3.         Old acc             Account on hold                                                                         Problematic

 

 

COMMENTS

 

This is an established company meeting its commitments slowly.  We would prefer to see a figure of €30 000 dealt with on a letter of credit basis as the subject appears to be experiencing cash flow problems.

 

 

 

 

 

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%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions