MIRA INFORM REPORT

 

 

Report Date :

15.12.2011

 

IDENTIFICATION DETAILS

 

Name :

P.P. STEEL SDN. BHD.

 

 

Registered Office :

Lot 33, Jalan Industri 2/1 Rawang Integrated Industrial Park Rawang Selangor Darul Ehsan 48000

 

 

Country :

Malaysia

 

 

Financials (as on) :

28.02.2011

 

 

Date of Incorporation :

24.01.1989

 

 

Com. Reg. No.:

178180-D

 

 

Legal Form :

Private Company Limited By Shares

 

 

Line of Business :

Industrial processing and sale of metal sheets, metal coils, aluminium ingots and related products.

 

 

No. of Employees :

75 employees

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 580,000

Status :

Satisfactory

Payment Behaviour :

No Complaints

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Malaysia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

IDENTIFICATION DETAILS

 

 

Verified Address

 

Subject name                :           P.P. STEEL SDN. BHD.

Business address          :           Lot 33, Jalan Industri 2/1

Rawang Integrated Industrial Park

 

Town                             :           Rawang

Province                        :           Selangor Darul Ehsan

Zip/postal code              :           48000

Country                         :           Malaysia

Tel                                :           +60 3 60929888

Fax                               :           +60 3 60937849

Email                            :           sales@ppssc.com.my

Website                        :           www.ppssc.com.my

 

 

Registered address        :           C/o KHIDMAT PENGURUSAN KOK LING SDN. BHD.

10A, Jalan 54

Desa Jaya

 

Town                             :           Kepong

Province                        :           Selangor Darul Ehsan

Zip/postal code              :           52100

Country                                                           :                       Malaysia

 

 

SUMMARY DETAILS

 

 

Executive Summary

 

Date founded or registered          :   24/01/1989

 

Legal form                                 :   Private Company Limited By Shares

 

Chief executive                          :   Datuk Lee Sin Pen

 

Issued & paid up capital             :   MYR 6,000,000

 

Sales turnover                            :   MYR 53,553,918 (Non-consolidated 12 months, 28/02/2011)

Net income                                :   MYR 276,629 (Non-consolidated 12 months, 28/02/2011)

Total fixed assets                       :   MYR 52,908,370 (Non-consolidated 12 months, 28/02/2011)

Line of business             :   Industrial processing and sale of metal sheets, metal coils, aluminium ingots and related products.

 

Staff employed                                                                        :   75 employees

CREDIT RISK OPINION

 

Company Analysis

 

Country risk                               :   Country risk is minimal

 

Operation trend                          :   Operational trend is steady

 

Management experience :   Management is reasonably experienced

Financial performance                :   Financial performance is recovering

Organization structure                :   Organizational structure is stable

Detrimental                    :   No detrimental records found

Payment history                                    :   No payment delays noted

 

Credit amount suggestion     :   USD 580,000

 

Credit amount asked                                      :   Not described.

 

 

STATUTORY DETAILS

 

Registry Data

 

Registration date                        :   24/01/1989

 

Legal form                                 :   Private Company Limited By Shares

 

Registration no                              178180-D

 

Registered authority                   :   Companies Commission of Malaysia

Registry status                          :   Live/Active

Previous name                           :   None reported.

Change of legal form                   :   None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

Name                         :      Datuk Lee Sin Pen Designation                :      Managing Director Name                                 :      Lee Sin Pin Designation                                 :      Director

 

 

 

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

 

Name                            :           Lee Sin Pin

Designation                   :           Director

 Identification no :           451130-04-5147

Appointment date           :           24/01/89

Address                        :           22, SD 11/3C

Jalan Kiara, PJU 9

Bandar Sri Damansara 52200

Kuala Lumpur Wilayah Persekutuan Malaysia

 

Name                            :           Datuk Lee Sin Pen

 Designation                  :           Director

Identification no              :           510125-04-5385

Appointment date           :           24/01/89

Address                        :           107, Jalan Dedap Batik

Sierramas Resort Homes

47000 Sungai Buloh Selangor Darul Ehsan Malaysia

 

Name                            :           Fong Lai Chee

Designation                   :           Company Secretary

Identification no              :           580404-10-5946

Appointment date           :           10/11/96

Address                        :           40 Lorong CP 1/8

Taman Cheras Perdana

Batu 9 3/4

Cheras 43200

Selangor Darul Ehsan

Malaysia

 

Name                            :           Gan Siew Hun

Designation                   :           Company Secretary

Identification no              :           680825-10-6048

Appointment date                    :                       16/07/92

Address                        :           32, Jalan Cemara SD 3/2

Bandar Sri Damansara 52200

Kuala Lumpur Wilayah Persekutuan Malaysia

Staff employed               :           75 employees

 

 

Key Advisors

 

Auditors                        :           KHOO & CO.

Suite 12.1, 12th Floor

Wisma Mirama

Jalan Wisma Putra

50460 Kuala Lumpur Wilayah Persekutuan Malaysia

 

 

SHARE CAPITAL

 

Composition

 

Authorized Capital          :   MYR 10,000,000

 

No of shares                  :   10,000,000 Ordinary Shares

 

Share par value              :   MYR 1

 

Issued capital                :   MYR 6,000,000

 

Paid up capital               :   MYR 6,000,000

 

Changed in capital         :   The Subject increased its share capital from MYR 5,000,000 to 10,000,000 on

09-10-1997.

 

 

 

OWNERSHIP / SHAREHOLDERS

 

 

How listed                     :   Full List

 

Composition

 

Shareholder name          :   Datuk Lee Sin Pen

 

Address                        :   107, Jalan Dedap Batik

Sierramas Resort Homes

47000 Sungai Buloh Selangor Darul Ehsan Malaysia

No. of shares                 :   3,000,000 Ordinary Shares

 

Shareholder name          :   Lee Sin Pin

 

Address                        :   22, SD 11/3C

Jalan Kiara, PJU 9

Bandar Sri Damansara 52200

Kuala Lumpur Wilayah Persekutuan Malaysia

No. of shares                 :   900,000 Ordinary Shares

 

Shareholder name          :   Lee Sin Choon

 

Address                        :   174, Jalan Burung Sintar Taman Bukit Maluri Kepong 52100

Kuala Lumpur Wilayah Persekutuan Malaysia

No. of shares                 :   1,200,000 Ordinary Shares

 

Shareholder name          :   Lee Chow Hua

 

Address                        :   14, Jalan Desa Bahru

Taman Bahru

75350 Melaka

 

Malaysia

 

No. of shares                          :   900,000 Ordinary Shares

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

 

Name                :   SUMIMETAL INDUSTRIES (MALAYSIA) SDN. BHD.

Affiliation type    :   Associate

Address            :   Lot 33, Jalan Industri 2/1

Rawang Integrated Industrial Park

Rawang 48000

Selangor Darul Ehsan

Malaysia

 

 

Name                :   P. P. STEEL SERVICE CENTRE SDN. BHD.

Affiliation type    :   Associate

Address            :   Lot 33, Jalan Industri 2/1

Rawang Integrated Industrial Park

Rawang 48000

Selangor Darul Ehsan

Malaysia

 

 

BANK & MORTGAGES

 

Bank Details

 

Name of bank    :   Ambank (M) Berhad

Address            :   Malaysia

Account details  :   Current Account

 

 

Name of bank    :   Alliance Bank Malaysia Berhad

Address            :   Malaysia

Account details  :   Current Account

 

 

Name of bank    :   Hong Leong Bank Berhad

Address            :   Malaysia

Account details  :   Current Account

 

 

Name of bank    :   Public Bank Berhad

Address            :   Malaysia

Account details  :   Current Account

 

 

Name of bank    :   Malayan Banking Berhad

Address            :   Malaysia

Account details  :   Current Account

 

Comments        :   It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

 

Mortgages     :   Total of Charge: 600,000.00

Date of Creation: 30-12-1992

Name of Chargee: PUBLIC BANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: 1,000,000.00

Date of Creation: 24-06-1993

Name of Chargee: HONGKONG BANK MALAYSIA BERAHD Charge Status: FULLY SATISFIED

 

Total of Charge: 4,500,000.00

Date of Creation: 06-05-1996

Name of Chargee: ARAB MALAYSIAN BANK BERHAD Charge Status: FULLY SATISFIED

 

Total of Charge: 3,500,000.00

Date of Creation: 29-11-1996

Name of Chargee: PUBLIC BANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: 85,000.00

Date of Creation: 20-12-1996

Name of Chargee: PUBLIC BANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: 85,000.00

Date of Creation: 20-12-1996

Name of Chargee: PUBLIC BANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: 28,380,000.00

Date of Creation: 02-04-1997

Name of Chargee: HONG LEONG BANK BERHAD Charge Status: FULLY SATISFIED

 

Total of Charge: 208,000.00

Date of Creation: 13-10-1997

Name of Chargee: HONG LEONG BANK BERHAD Charge Status: FULLY SATISFIED

 

Total of Charge: 264,000.00

Date of Creation: 18-12-1997

Name of Chargee: HONG LEONG BANK BERHAD Charge Status: FULLY SATISFIED

 

Total of Charge: 2,800,000.00

Date of Creation: 23-03-2004

Name of Chargee: AMBANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: OPEN CHARGE Date of Creation: 22-12-2004

Name of Chargee: HONG LEONG BANK BERHAD Charge Status: FULLY SATISFIED

 

Total of Charge: OPEN CHARGE Date of Creation: 22-12-2004

Name of Chargee: HONG LEONG BANK BERHAD Charge Status: FULLY SATISFIED

 

Total of Charge: OPEN CHARGE Date of Creation: 28-11-2006

Name of Chargee: ALLIANCE ISLAMIC BANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: OPEN CHARGE Date of Creation: 28-11-2006

Name of Chargee: ALLIANCE ISLAMIC BANK BERHAD Charge Status: UNSATISFIED

 

Total of Charge: 1,500,000.00

Date of Creation: 02-06-2011

Name of Chargee: AMBANK (M) BERHAD Charge Status: UNSATISFIED

 

 

Legal Fillings

 

Bankruptcy fillings          :   None reported.

Court judgements           :   None reported.

Tax liens                       :   None reported.

Others                          :   None reported.

 

 

FINANCIAL DATA

 

Description

 

Source of financial statement               :   Commercial Registry Filings

 

Financial statement date                     :   28/02/11

 

Type of accounts                                :   Full audited

 

Currency                                            :   Malaysia, Ringgit (MYR)

 

Exchange rate                                    :   1 USD = MYR 3.19 as of 14-12-2011

 

Summarized Financial Information

 

Consolidation type                              :

Non Consolidated

Non Consolidated

Currency                                            :

Malaysia, Ringgit (MYR)

Malaysia, Ringgit (MYR)

Denomination                                     :

(x1) One

(x1) One

Date of financial year end                    :

28/02/11

28/02/10

Length of accounts                             :

12 months

12 months

Sale turnover / Income                         :

53,553,918

52,349,482

Gross profit                                        :

11,369,936

8,616,205

Operating profit                                   :

1,130,643

-2,516,738

Profit before tax                                  :

613,674

-3,041,121

Net income                                        :

276,629

-2,650,206

Non current assets                             :

14,223,220

13,040,094

Current assets                                    :

38,685,150

25,077,928

Inventories                                          :

15,788,820

9,748,318

Total assets                                       :

52,908,370

38,118,022

Current liabilities                                 :

34,487,959

19,827,552

Non current liabilities                           :

803,515

950,203

Total liabilities                                    :

35,291,474

20,777,755

Share equity                                       :

17,616,896

17,340,267

Retained earning                                 :

11,616,896

11,340,267

 

 

OPERATION DETAILS

 

Main activities                :   The Subject is engaged in the industrial processing and sale of metal sheets, metal coils, aluminium ingots and related products.

 

 

Purchases

 

Local                :   Yes

International       :   Mainly from South East Asia

 

 

Sales

 

Local                :   Yes

International       :   Mainly to South East Asia

 

 

Property & Assets

 

Premises          :   The Subject operates from headquarters located at the verified heading address consisting of production facilities, warehouse and administrative office.

Branches          :   None reported.

 

Other property   :   Total NBV of property, plant and equipment as of 28-02-2011 was MYR

13,763,840.

 

SUMMARIZED COUNTRY RISK

 

 

Gross Domestic Products (GDP) & Economic Overview

 

Central bank                                          :   Central Bank of Malaysia

 

Reserve of foreign exchange & gold         :   US$ 134.8 billion as of 30 November 2011

 

Gross domestic product - GDP               :   US$ 247.781 billion

 

GPP (Purchasing power parity)               :   442.01 billion of International dollars

 

GDP per capita - current prices               :   US$ 8,624

 

GDP - composition by sector                  :   agriculture: 9.4% industry: 40.9% services: 49.7%

 

Inflation                                                 :   2008: 5.4%

2009: 0.6%

2010: 1.7%

 

Unemployment rate                                :   2008: 3.3%

2009: 3.6%

2010: 3.3%

 

Public debt

(General Government gross debt

 as a % GDP)                                        :   2008: 42.8%

2009: 55.4%

2010: 54.2%

 

Government bond ratings                        :   Standard & Poor's: A-/Stable/A-2

Moody's rating: A3

Moody's outlook: STA

 

Market value of publicly traded shares      :   US$420 billion

 

 

Largest companies in the country            :   CIMB Group Holdings (Banking), Sime Darby (Conglomerates), Public Bank (Banking), Maybank (Banking), Tenaga Nasional(Utilities), Petronas Chemicals, Maxis Berhad

 

Trade & Competitiveness Overview

 

Total exports                                         :   US$210.3 billion

 

Exports commodities                             :   electronic equipment, petroleum and liquefied natural gas, wood and wood products, palm oil, rubber, textiles, chemicals

Total imports                                         :   US$156.2 billion

 

Imports commodities                              :   electronics, machinery, petroleum products, plastics, vehicles, iron and steel products, chemicals

 

Export - major partners                           :   US 15.6%, Singapore 14.6%, Japan 9.1%, China 8.8%, Thailand 5%, Hong

Kong 4.6%

 

Import - major partners                           :   Japan 13%, China 12.9%, Singapore 11.5%, US 10.8%, Taiwan 5.7%, Thailand 5.3%, South Korea 4.9%, Germany 4.6%, Indonesia 4.2%

 

FDI Inflows                                            :   2007: US$8,538 million

2008: US$7,318 million

2009: US$1,381 million

 

 

FDI Outflows                                          :   2007: US$11,280 million

2008: US$14,988 million

2009: US$8,038 million

 

Best countries for doing business            :   21 out of 183 countries

 

Global competitiveness ranking               :   26 (ranking by country on a basis of 133, the first is the best)

 

Country and Population Overview

 

Total population                                     :   28.23 million

 

Total area                                              :   329,847 km2

 

Capital                                                  :   Kuala Lumpur

 

Currency                                                                                 :   Malaysia Ringgits (MYR)

 

Internet users as % of total population     :   57.61%

 

 

PAYMENT HISTORY

 

Purchase Term

 

Local                                                 :   Prepayment, D/P, Credit up to 90 days

 

International                                       :   L/C, D/P, Credit up to 90 days

 

 

Sales Term

 

Local                                                 :   Prepayment, D/P, Credit up to 90 days

 

International                                       :   L/C, D/P, Credit up to 90 days

 

 

Trade Reference/ Payment

Behaviour

 

Comments                                         :   As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined but based on our research, payments are believed to be met without delay.

 

 

Investigation Note

 

Sources                                             :   Interviews and material provided by the Subject

 

:   Other official and local business sources

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.53.58

UK Pound

1

Rs.82.97

Euro

1

Rs.69.89

 

 

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

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

--

NB

                                       New Business

 

--

 

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.