MIRA
INFORM REPORT
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Report Date : |
28.11.2008 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
Plot No. 6, Building
No. 206, Road No. 2, Rusayl Industrial Estate, Rusayl 124, |
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Country : |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
21.03.1984 |
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Com. Reg. No.: |
1/8675/2 |
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Legal Form : |
Omani Public Joint Stock Company |
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Line of Business : |
Manufacturers of low, medium and high voltage power cables, conductors and building wires. |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
US$ 2,000,000 |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
SUMMARY
Company Name :
Country of Origin :
Legal Form : Omani Public Joint Stock Company
Registration Date : 21st March 1984
Commercial Registration Number : 1/8675/2
Issued Capital : RO 8,970,000
Paid up Capital : RO 8,970,000
Total Workforce : 570
Activities : Manufacturers of low, medium and high voltage power cables, conductors and building wires.
Financial Condition : Good
Payments : Nothing detrimental uncovered
Operating Trend : Steady
Recommended Credit Limit : US$ 2,000,000
COMPANY NAME
ADDRESS
Registered & Physical
Address
Building : Plot No. 6, Building No. 206
Street : Road No. 2
Area : Rusayl Industrial Estate,
Rusayl 124
PO Box : 25
Town :
Country :
Telephone : (968) 24446464
Facsimile : (968) 24446096
Email : omancabl@omantel.net.om
Premises
Subject operates
from a large suite of offices and a factory that are owned and located in the
Industrial Area of Muscat.
Branch Office
(s)
Location Description
·
PO Box
: 24410 Office
premises
Tel : (974) 4688384
Fax : (974) 4687663
·
PO Box
: 25864 Office
premises
Sharjah
Tel : (971-6) 5743558
Fax : (971-6) 5731039
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5th
Floor, Sahara Complex Office
premises
Hawalli
KEY PRINCIPALS
Name Position
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Mustafa
Mukhtar Ali Al Lawati Chairman
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Hussain
Bin Salman Al Lawati Vice
Chairman & Managing Director
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Maqbool
Ali Salman Director
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Mohammed
Jawad Hassan Director
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Mohammed
Shihab Habib Director
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Christian
Raskin Director
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Salim
Rabbani Director
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M
Vaidya General
Manager
LEGAL FORM & OWNERS
Date of Establishment : 21st
March 1984
Legal Form :
Sharikat Al Mousahama Al
Omania (Societe Anonyme Omani
General - SAOG) (Omani Public Joint Stock
Company)
Commercial Reg. No. : 1/8675/2
Issued Capital : RO 8,970,000
Paid up Capital : RO 8,970,000
Name of Shareholder (s)
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Mustafa
Mukhtar Ali Al Lawati
·
Hussain
Bin Salman Al Lawati
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Maqbool
Ali Salman
·
Mohammed
Jawad Hassan
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Mohammed
Shihab Habib
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Christian
Raskin
·
Salim
Rabbani
·
Omani
businessmen & private investors
AFFILIATED COMPANIES
·
Draka
Holding NV
The
·
Al
Saleh Lighting
PO Box : 1736
Ruwi 112
Tel : (968) 24707312
Fax : (968) 24781571
OPERATIONS
Activities: Engaged in the manufacture of low, medium
and high voltage power cables, conductors and building
wires.
Import
Countries: Europe and the
Operating Trend: Steady
Subject has a
workforce of approximately 570 employees.
FINANCIAL DATA
Financial
highlights provided by local sources are given below:
Currency: Riyal
Omani (RO)
Balance Sheet 31/12/07 31/12/06
ASSETS
Non current assets
Property, plant
and equipment 20,884,745 16,762,583
Investment in an
associate 477,890 358,563
Investments
available for sale 165,035 152,433
Total non-current assets 21,527,670
17,273,579
Current assets
Inventories 35,993,609 33,337,409
Trade and other
receivables 50,791,500 33,775,129
Due from related
parties 1,689,992 2,020,783
Cash and bank
balances 3,454,789 3,200,710
Total current assets 91,929,890
72,334,031
Total assets 113,457,560
89,607,610
EQUITY AND LIABILITIES
Equity
Share capital 8,970,000 8,970,000
Share premium 977,500 977,500
Legal reserve 2,990,000 1,863,407
General reserve 504,476 117,672
Retained earnings
19,573,302 6,849,729
Cumulative
changes in fair values (5,101,602) (4,989,274)
Total equity 27,913,676
13,789,034
Liabilities
Non- current liabilities
Term loans 4,477,571 6,674,567
Deferred
government grant 70,725 105,828
Deferred tax 583,306 460,215
Total non- current liabilities 5,131,602
7,240,610
Current liabilities
Bank borrowings 50,231,487 39,268,272
Current
maturities of term loans 2,049,780 1,633,895
Trade and other
payables 25,799,868 26,011,828
Due to related
parties 350,792 464,145
Taxation 1,980,355 1,199,826
Total current liabilities 80,412,282
68,577,966
Total liabilities 85,543,884
75,818,576
Total equity and liabilities 113,457,560
89,607,610
Net assets 27,913,676
13,789,034
Profit & Loss Account
Sales 217,445,385
125,718,029
Cost of sales (192,456,706) (109,152,896)
Gross profit 24,988,679
16,565,133
Other income 445,252 276,156
Administrative
expenses (3,150,529) (2,539,565)
Selling and
distribution expenses (2,064,006) (1,694,747)
Depreciation (136,109) (123,071)
Profit from operations 20,083,287
12,483,906
Net financing
costs (2,926,196) (2,008,718)
Share of excess
fair value -- 341,644
Share of results
of an associate 42,926 16,919
Profit before
income tax 17,200,017 10,833,751
Income tax
expense (2,066,047) (1,296,450)
Net profit for the year 15,133,970
9,537,301
Sales for the first
9 months ending 30/09/08 are RO 244,940,000 and net profit is RO 17,794,000.
Local sources
consider subject’s financial condition to be Good.
BANKERS
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Commercial Bank of
Muttrah Business District
PO Box : 1696, Ruwi 112
Tel : (968) 24793225 / 24793226 /
24793228
Fax : (968) 24793229
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National
Bank of Oman Limited (SAOG)
Muttrah Business District
PO Box : 751, Ruwi 112
Tel : (968) 24708894 / 24708630 / 24708684
Fax : (968) 24707781 / 24703972
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Bank of
Greater Muttrah
PO Box : 6326, Ruwi 112
Tel : (968) 24701769
Fax : (968) 24796488
PAYMENT HISTORY
No complaints
regarding subject’s payments have been reported.
GENERAL COMMENTS
Established in
1984, subject is involved in the manufacture of low, medium and high voltage power
cables, conductors and building wires.
During the course
of this investigation nothing detrimental was uncovered regarding subject’s
operating history or the manner in which payments are fulfilled. As such the
company is considered to be a fair trade risk and the above credit figure is
deemed to be within subject’s financial means.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.49.84 |
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1 |
Rs.76.81 |
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Euro |
1 |
Rs.64.38 |
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%)