MIRA INFORM REPORT

 

 

Report Date :

17.03.2008

 

 

IDENTIFICATION DETAILS

 

Name :

UNITED GREASE AND LUBRICANTS LLC (UGL)

 

 

Registered Office :

New Industrial Area, PO Box 2685, Ajman

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2007

 

 

Date of Incorporation :

1985

 

 

Com. Reg. No.:

12093, Ajman

 

 

Legal Form :

Limited Liability Company - LLC

 

 

Line of Business :

Manufacture of Lubricants and Greases

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

US$ 1,000,000

 

 

Status :

Good

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

SUMMARY

 

Company Name                         : UNITED GREASE AND LUBRICANTS LLC (UGL)

Country of Origin                                    : Ajman, United Arab Emirates

Legal Form                                            : Limited Liability Company - LLC

Start Date                                             : 1985

Registration Date                                   : 14th November 1996

Commercial Registration Number            : 12093, Ajman

Trade Licence Number                            : 23746

Chamber Membership Number                : 20197

Issued Capital                                        : UAE Dh 1,500,000

Paid up Capital                                      : UAE Dh 1,500,000

Total Workforce                                     : 110

Activities                                               : Manufacture of lubricants and greases

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                         : Steady

Recommended Credit Limit                     : US$ 1,000,000

 

 

 

 

 

COMPANY NAME

 

UNITED GREASE AND LUBRICANTS LLC (UGL)

 

 

ADDRESS

 

Registered & Physical Address

 

Location            : New Industrial Area

PO Box             : 2685

Town                 : Ajman

Country             : United Arab Emirates

Telephone         : (971-6) 7436521

Facsimile          : (971-6) 7439709

Mobile               : (971-50) 5282942

Email                : ugl@emirates.net.ae

 

 

Premises

 

Subject operates from a suite of offices, a manufacturing plant and warehousing facilities covering an area of 100,000 square metres that are owned and located in the Industrial Area of Ajman.

 

 

KEY PRINCIPALS

 

     Name                                                           Nationality                     Position

 

·       Redha Hassan Al Yousuf                                 Emirati                        Managing Director

 

·       Liaquat Ali Rajput                                          Pakistani                      Director

 

·       Reza Hassan Mukhtar                                     Emirati                        Director

 

·       Sayed Kudrathulla                                                -                            General Manager

 

·       Kashif Husain                                                      -                            Operations Manager

 

·       K.S. Parjapati                                                      -                            Marketing Manager

 

·       Hanees Babu C. C                                               -                            Purchasing Manager

 

·       P.M. Nazeer                                                        -                            Chief Chemist

 

·       N.C. Suresh Kumar                                              -                            Finance Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1985, however subject was registered on 14th November 1996.

 

Legal Form                  : Limited Liability Company - LLC

 

Commercial Reg. No.  : 12093, Ajman

 

Trade Licence No.       : 23746

 

Chamber Member No. : 20197

 

Issued Capital              : UAE Dh 1,500,000

 

Paid up Capital            : UAE Dh 1,500,000

 

 
Name of Shareholder (s)

 

·       Redha Hassan Al Yousuf

 

·       Liaquat Ali Rajput

 

·       Reza Hassan Mukhtar

 

 

AFFILIATED COMPANIES

 

·       Euro Asia General Trading

Nasser Mubarak Building

Al Mateena Street

PO Box: 6669

     Dubai

     Tel: (971-4) 2714209 / 2719831

     Fax: (971-4) 2719136

 

·       Reza Mukhtar Enterprises

     PO Box: 13462

     Dubai

     Tel: (971-4) 2714209

     Fax: (971-4) 2719136

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of lubricants and greases, including the following products:

 

        -  Automotive lubricants

        -  Industrial lubricants

        -  Marine lubricants

        -  Greases

        -  Brake fluid

 

Production Capacity:   Lubricating Oils - 40,000 metric tonnes per annum

                                    Grease – 5,000 metric tonnes per annum

 

Import Countries: United States of America, Japan and Europe.

 

Export Countries: Sudan, Algeria, Pakistan, India, Bangladesh, Taiwan, China, Europe, CIS States,

     GCC region and African States.

 

Brand Names: SCOPE, DYNAM, and LUBEREX

 

Operating Trend: Steady

 

Subject has a workforce of 110 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/06:                Year Ending 31/12/07:

 

Sales                                        UAE Dh 150,000,000                  UAE Dh 170,000,000

 

Local sources consider subject’s financial condition to be Good.

 

 

BANKERS

 

·       United Arab Bank

New Ajman Souk

PO Box: 2700

Ajman

Tel: (971-6) 7465335

Fax: (971-6) 7465727

 

·       Commercial Bank of Dubai

PO Box : 4199

Ajman

Tel: (971-6) 7456668

Fax: (971-6) 7449987

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                                 August 2005

Credit amount                                        173,000

Amount overdue                         0

Payment terms                                      90 days

Payment Method                                   Letters of Credit

Paying record                                        No Complaints

Currency                                               Pounds Sterling

GENERAL COMMENTS

 

Opinion on the credit figure of US$ 150,000:

 

Established in 1985, United Grease and Lubricants LLC specialises in the manufacture of lubricants and greases for automotive, industrial and marine use. The company has made steady progress in the local market and is run in a professional manner.

 

During the course of this investigation nothing detrimental was uncovered regarding the manner in which payment obligations are fulfilled. The operating history is clear and the financial situation is satisfactory. As such we are of the opinion that the subject is a fair trade risk and the above credit figure is within subject’s financial means.

 

 

 

 

 

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