MIRA INFORM REPORT

 

 

Report Date :

27.01.2011

 

IDENTIFICATION DETAILS

 

Name :

VITERRA LTD

 

 

Formerly Known As :

ABB Grain Ltd

 

 

Registered Office :

Grain House 1/130 South Terrace, Adelaide, South Australia 5000

 

 

Country :

Australia

 

 

Financials (as on) :

23.09.2009

 

 

Date of Incorporation :

30.10.1998

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Australian Agribusiness

 

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

 

Status :

Good

 

 

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 – June 30, 2010

 

Country Name

Previous Rating

                   (01.04.2010)                  

Current Rating

(30.06.2010)

Australia

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

   

REGISTERED NAME      

 

VITERRA LTD

ACN: 084 962 130

ABN: 59 084 962 130

 

 

CORPORATE SEARCH

 

Incorporation Date:                     30 Oct 1998

 

Incorporation State:                    South Australia

 

Registered Office                       GRAIN HOUSE 1/130 SOUTH Terrace

                                                ADELAIDE, South Australia 5000 Australia

 

Number of Shares Issued:           207702130

 

Paid Capital:                              $1,142,972,096.01

 

Directors                                   REES, Jason Frank

                                                18 Torrens Rd

                                                LINDEN PARK, SA 5065

 

                                                AST, Edward Arthur

                                                813, 19 Holdfast Promenade

                                                GLENELG, SA 5034

 

                                                GORDON, Robert Francis

                                                79 Sugarloaf Cres

                                                CASTLECRAG, NSW 2068

 

Secretary                                  DAMIAN GERARD EDWARDS FITZGERALD

                                                Appointment Date: 27 Sep 2004

 

 

BUSINESS STRUCTURE

 

TRADING ADDRESS                 124 to 130 South Tce

                                                ADELAIDE, SA 5000

 

TELEPHONE                             (618) 8211 7199

 

FACSIMILE                                       (618) 8231 1249

 

CONTROLLED ENTITIES

(at 23 September 2009)  ABB Grain (NZ) Ltd

·         ABB Insurance Ltd

·         ABB Ltd

·         ABB Rural Finance P/L

·         Ausbulk Ltd

·         Adelaide Malting Company Pty Ltd

·         Australian Barley Board Pty Ltd

·         Ceretech P/L

·         Grain Australia P/L

·         Joe White Maltings Pty Ltd

·         Jossco Australia Pty Ltd

·         Maltco International Pty Ltd

·         NRM Feeds Ltd

·         NZ Grain and Seed Ltd

·         PCL Feeds Ltd

·         Professional Grain Services P/L

·         South Australian Bulk Handling Pty Ltd

·         Southern Wharf Services Pty Ltd

·         TLC World Pty Ltd

·         Tomati Property Investments

·         Wardie Co P/L

 

ULTIMATE HOLDING

ENTITY VITERRI INC

 

BANK   Not determined

           

EMPLOYEES                Not determined

 

           

BACKGROUND

 

The subject was incorporated in South Australia on 30 October 1998 as ABB Grain Ltd before adopting the current style on 12 February 2010.

 

The subject was created at the outbreak of WWII as the Australian Barley Board. ABB co-ordinated the acquisition and marketing of Barley across Australia until 1942. The ABB continued in its earlier role for SA growers.

 

ABB was corporatised in 1999 and ABB listed on the ASX in July 2002. In 2003, ABB acquired Jossco, expanding its commodity trading activities. In late 2004, ABB Grain was formed by the merger of three SA-based grain companies - ABB Grain, AusBulk and United Grower Holdings.

 

On September 9 2009 it was announced that the subject had been taken over by Canadian Agribusiness for $1.6 billion.

                                                                       

OPERATIONS

 

The subject is a leading Australian agribusiness that accumulates grain from all grain growing regions across Australia and trades in all grain commodities.

 

The subject’s supply chain strength comprises operations in storage, handling and logistics, as well as providing a number of value adding services.

 

The malting division, Joe White Maltings, is one of the world’s largest producers of malt with the capacity to produce 500,000 tonnes per annum.

 

The subject’s range of rural services include fertiliser and agchem supply, financial services and insurance and wool and livestock activities.

 

 

ADVERSE

                                               

A search of the of Credit Advantage Limited failed to trace any litigation listed against the subject at that date.

 

 

FINANCES

 

From the subjects most recently lodged financial statements, it is noted that for the financial year ended 23 September 2009 the subject recorded revenue of $2,385,600,000, which resulted in an operating Loss before tax of $34,800,000 and an operating Loss after tax of $25,000,000.

 

Below is a summary of the subject’s income results for the past two financial years.

 

 

Viterra Ltd - consolidated (formerly ABB Grain Ltd)

 

As at 23 September 2009

As at 30 September 2008

Change (%)

Revenue

$2,385,600,000

$2,238,200,000

6.59%

Profit b/tax

($34,800,000)

$70,900,000

-149.08%

Profit a/tax

($25,000,000)

$48,800,000

-151.23%

 

During fiscal 2009, the subject recorded Net Cashflows from operating activities totalling $21,100,000.

 

As at 23 September 2009, the subject recorded total current assets of $701,000,000. They included cash of $24,400,000, receivables of $250,500,000 and inventories of $285,200,000.

 

Current liabilities at the same date totalled $817,000,000 and included payables of $107,800,000, provisions of $20,400,000 and borrowings of $605,700,000.

 

As at 30 September 2009 the subject recorded a deficiency in Working Capital of $116,000,000 and a current ratio of 0.86 to 1.

 

Net Assets totalled $989,100,000 as at 23 September 2009. At this date, the subject further recorded a Debt to Equity ratio of 0.84 to 1.

 

 

 

Viterra Ltd - consolidated (formerly ABB Grain Ltd)

 

As at 23 September 2009

As at 30 September 2008

Change (%)

Revenue

$2,385,600,000

$2,238,200,000

6.59%

Profit b/tax

($34,800,000)

$70,900,000

-149.08%

Profit a/tax

($25,000,000)

$48,800,000

-151.23%

Net Profit Margin

-1.05%

2.18%

-3.23%

Current Assets

$701,000,000

$793,900,000

-11.70%

Non-Current Assets

$1,115,700,000

$1,015,800,000

9.83%

Total Assets

$1,816,700,000

$1,809,700,000

0.39%

Current Liabilities

$817,000,000

$372,600,000

119.27%

Non-Current Liabilities

$10,600,000

$326,200,000

-96.75%

Total Liabilities

$827,600,000

$698,800,000

18.43%

Net Assets

$989,100,000

$1,110,900,000

-10.96%

Working Capital

($116,000,000)

$421,300,000

-127.53%

Current Ratio

0.86

2.13

-59.73%

Debt to Equity

0.84

0.63

33.02%

 

The subject is ultimately owned by Viterra Inc a Canadian Public Listed corporation that employs 6,100 staff globally.

 

For the year ended 31 October 2010 the global group reported revenue of US$8,095.3 million resulted in a Net Income of US$142.4 million.

 

 

TRADE SURVEY

 

During the current investigation, contact with the subject’s principals was unable to be established.

 

Subsequently details pertaining to the company’s suppliers were unable to be obtained and a trade survey could not be conducted.

 

 

SUMMARY

 

The subject was incorporated in South Australia on 30 October 1998 as ABB Grain Ltd before adopting the current style on 12 February 2010.

 

On September 9 2009 it was announced that the subject had been taken over by Canadian Agribusiness for $1.6 billion.

                       

For the financial year ended 23 September 2009 the subject recorded revenue of $2,385,600,000, which resulted in an operating Loss before tax of $34,800,000 and an operating Loss after tax of $25,000,000.

 

During fiscal 2009, the subject recorded Net Cashflows from operating activities totalling $21,100,000.

 

As at 30 September 2009 the subject recorded a deficiency in Working Capital of $116,000,000 and a current ratio of 0.86 to 1.

 

Net Assets totalled $989,100,000 as at 23 September 2009.

The subject is ultimately owned by Viterra Inc a Canadian Public Listed corporation that employs 6,100 staff globally.

 

           


 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.53

UK Pound

1

Rs.72.78

Euro

1

Rs.62.14

 

 

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

 

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.