MIRA
INFORM REPORT
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Report Date : |
02.08.2011 |
IDENTIFICATION DETAILS
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Name : |
DEXCEL LTD. |
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Formerly Known As : |
KARIN ADVERTISING LTD |
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Registered Office : |
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Country : |
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Date of Incorporation : |
09.11.1966 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Developers,
Manufacturers, Exporters and Marketers of generic pharmaceuticals |
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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Maximum Credit Limit : |
US $ 4,000,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2011
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Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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Israel |
a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
company Name and address
DEXCEL LTD.
Telephone 972
4 636 40 00
Fax 972
4 636 40 04
Southern Industrial Zone 1
OR AKIVA 30600
HISTORY & LEGAL FORMATION
A private limited company incorporated as per file No. 51-047774-8 on the
09.11.1966.
Originally registered under the name KARIN ADVERTISING LTD., which changed
to the present name on the 26.10.1989.
SARE
CAPITAL
Authorized share capital
50,000,000 ordinary “A”
shares (11,750,000 shares issued),
50,000,000 ordinary “B”
shares (11,750,000 shares issued),
all of
of which shares amounting to
SHAREHOLDERS
Subject is fully owned by DEXXON LTD., owned by
Dan Oren.
(DISCOTRADE LTD., a fully owned subsidiary of DEXXON holds 1 share).
DIRECTORS
1.
Dan Oren, Managing Director
of the DEXXON Group,
2.
Avi Abramoff,
3.
Avraham Dov,
4.
Uri Oren.
BUSINESS
Developers, manufacturers, exporters and marketers of generic
pharmaceuticals.
Some 80% of Group’s sales are for export.
DEXXON markets over 65 products in more than 170 dosages, principally in
solid oral dosage form.
Sales are to all local health funds, hospitals, drug wholesalers, drugstore
chains and pharmacies, distributors and government agencies.
Subject also manufactures for private label. The DEXXON Group manufactures
drugs for SUPER PHARM,
Among local suppliers: YES PHARMA, HUBERMAN & SONS, MOGAL E.T.C., A.
ADIRAN, I.S.I. SCIENTIFIC INSTRUMENTS, BERLIN TECHNOLOGIES, HELION, ZIFRONI
CHEMICAL SUPPLIERS, MICHAEL CHEMICALS, OROKIA ISRAEL, etc.
Group’s advertising office: LEAD (of ADLER CHOMSKY Group).
PR Agency: GIL AD COMMUNICATIONS
Operating from premises (headquarters, 2 manufacturing facilities,
warehouses), owned by DEXXON LTD., on total area of 34,000 sq. meters, in
Southern Industrial Zone 1, Or Akiva. The Group also operates from a plant, on
an area of 15,000 sq. meters, in
Also operating from 18 countries, main branches in
Having some 900 employees serving the DEXXON Group worldwide, of which some
850 employees in
MEANS
Financial data not forthcoming, however known to be financially solid.
Subject is an “Approved Enterprise” and as such enjoys tax benefits and
State incentives. Subject also enjoys the Chief Scientist Office financial
support.
In February 2004, the Israeli Investment Center (IIC) approved a US$ 7.4
million investment plan for the expansion of subject’s plant in Or Akiva, and
the expansion of the Group’s plant in
In November 2007, it was reported that parent DEXXON is submitting an
application to the IIC for the erection of a new pharmaceutics plant with
investment of
There is 1 charge for an unlimited amount, as well as 2 charges for the
total sum of US$ 17,875,000.00 registered on the company's assets, in favor of
Bank Leumi Le’Israel Ltd.
ANNUAL
SALES
DEXXON Group consolidated 2006 sales reported to exceed US$ 100,000,000,
mostly for export.
DEXXON Group consolidated 2007 sales reported to be US$ 119,000,000, mostly
for export.
DEXXON Group consolidated 2008 sales reported to be US$ 215,000,000, around
80% of which is for export (thanks to jump in a drug against heartburn sale to
the
DEXXON Group consolidated 2009 sales reported to be circa US$ 220,000,000,
around 80% of which is for export.
DEXXON Group consolidated 2010 sales reported to be circa US$ 250,000,000,
around 80% of which is for export.
OTHER
COMPANIES
DEXXON LTD., parent company, heading the Group, which on top of development
and manufacturing, also operate as agents, importers and marketers of
pharmaceuticals, solely representing, among others: BRACCO (
The Group also invests in bio-tech start-ups.
DEXXON Group subsidiaries:
DEXCEL PHARMA TECHNOLGIES LTD., developers,
manufacturers, exporters and marketers of generic prescription
drugs.
DEXCEL PHARMA LTD. (
DEXCEL PHARMA GMBH (
DEXCEL PT ISRAEL LTD.
DISCOTRADE LTD.
DEXOPAL LTD.
GADLON LTD.
DEXXON HOLDINGS LTD.
DEXXON TECHNOLOGIES 2005 LTD.
MEDIGUS LTD., 9.9%, publicly traded on the Tel Aviv Stock Exchange, a
medical device company that specializes in developing innovative endoscopic
procedures and devices for carrying out these procedures. Current market value
US$ 23 million.
BANKERS
Bank Hapoalim Ltd,
Bank Leumi Le’Israel Ltd., Hamiftatz Business Branch (No. 898), Kiryat
Bialik.
CHARACTER
AND REPUTATION
In January 2011 it was reported a former employee is suing subject (pending
for a class action) for
Apart from that, nothing unfavorable learned.
Despite our
efforts, we were unable to speak with subject's officials, as they were always
unavailable. We left messages which so far remain unanswered.
Subject’s parent DEXXON the 2nd largest drug manufacturers in
DEXXON plants are approved by the US FDA, the UK MHRA and the German
authorities and fully comply with current GMP.
In November 2007, DEXXON Group launched an advertising campaign for its OTC
drugs with total investment of
In October 2007,
it was reported that
Owner and General
Manager, Mr. Dan Oren, was quoted to say that with the approvals of DEXXON
prescribed drugs that are currently on their shelves, they expect to reach
annual sales of US$ 800 million by 2012.
In August 2008,
Mr. Oren estimated DEXXON will go public in 2010 (in 2003 DEXXON planned a public offering, but gave it up then).
In August 2008, it was reported that DEXXON
doubled its sales following the launch of subject’s anti heartburn medicine
“Omepradex Z” in
As a result, the
Group will erect 2 new plants to meet the demand, with investment of NIS 170
million, one in Or Akiva, adjacent to the present location (8,000 sq. meters),
and another plant in Yoqneam (18,800 sq. meters). The plants scheduled to start
operation on the 2nd quarter of 2009 and employ further 175
employees.
Group’s sales in
Subject's owner
and General Manager, Mr. Dan Oren, was quoted to say in 2008 that with the
approvals of DEXXON prescribed drugs that are currently on their shelves, they
expect to reach annual sales of US$ 800 million by 2012.
In August 2008,
Mr. Oren estimated DEXXON will go public in 2010 (in 2003 DEXXON planned a public offering, but gave it up then).
In May 2009, Mr. Oren said they have now 30 different products in
development, 27 of which are in phases of submission for approval in various
countries.
Exports of pharmaceuticals
in 2010 rose by 41.5% from 2009, reaching US$ 6,614 million. This comes after
in 2009 exports fell by 6.7% from 2008, due to the global economic crisis.
Sales for export
are to over 120 countries. Products included drugs, raw materials for medicine
production, veterinary medication.
The Israeli market
for pharmaceuticals was estimated at US$ 1,600 million in 2008, of which US$
1,124 million for human consumption (including from import).
The
non-prescription drugs market in
According
to the Central Bureau of Statistics, import of chemical raw materials for the
local industries decreased in 2009 by 18.5% comparing to 2008, as part of the
local and global slow-down trend.
An improvement was marked in chemicals
import in 2010, as local and global economy recovered from the crisis, with
growth of 18% comparing to 2009, with value of imported chemical raw materials
reaching US$ 4,231.4 million.
SUMMARY
Notwithstanding
the lack of updated data from subject's officials, considered good for trade
engagements.
Maximum unsecured credit recommended US $ 4,000,000 credit.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.44.05 |
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1 |
Rs.72.40 |
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Euro |
1 |
Rs.63.46 |
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 |
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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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.