MIRA
INFORM REPORT
|
Report Date : |
01.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
ABIC LTD. |
|
|
|
|
Registered Office : |
P.O. Box 8077, Netanya 12 Hatrufa Street New Industrial
Zone, Kiryat Nordau Netanya 42504 |
|
|
|
|
Country : |
Israel |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
05.09.1939. |
|
|
|
|
Legal Form : |
Public Limited Liability Company |
|
|
|
|
Line of Business : |
Marketing of TEVA Group’s drugs |
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 – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
Israel |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Name and address
ABIC LTD.
(Also trading as: TEVA ABIC LTD.)
Telephone 972 9 863 97 77
Fax 972 9 835 78 14
P.O. Box 8077, Netanya
12 Hatrufa Street
New Industrial Zone, Kiryat Nordau
NETANYA 42504 ISRAEL
HISTORY & LEGAL FORMATION
Originally
incorporated as a private limited company and registered as such as per file
No. 51-000441-9 on the 05.09.1939.
Converted into a
public limited liability company and registered as such as per file No.
52-003273-1 on the 14.09.1981.
In the beginning
of the 1990s re-converted into a private limited company (keeping its latter
registration number).
In January 2009
TEVA Group, which subject is part of, sold its Israeli animal health business
unit which operated mainly under subject (see more below).
SHARE CAPITAL
Authorized share
capital NIS 15,000,000.00, divided into -
3,383,610 preference "A" shares
of NIS 2.50 each (1,310,970 share issued),
6,373,494 ordinary shares, of NIS 1.00
each (2,463,050 shares issued),
167,481 ordinary "A" shares
(163,147 shares issued), of NIS 1.00 each,
of which shares
amounting to NIS 5,903,622.00 were issued.
SHAREHOLDERS
Company is fully owned by TEVA
PHARMACEUTICAL INDUSTRIES LTD. (directly & via subsidiaries), a public
limited company, whose shares are traded on the Tel Aviv
Stock Exchange, the NASDAQ Exchange Stock Exchange, SEAQ International in
London and the Frankfurt Stock Exchange.
DIRECTORS
1. Ron Miron, General Manager,
2. Erez Israeli,
3. Daniel Ravid,
4. David Mizrahi
5. Dov Primovich.
BUSINESS
Subject is engaged
in marketing of TEVA Group’s drugs, both imported and manufactured in Israel,
in the local market. It is part of the Pharma Division of the TEVA
PHARAMACEUTICALS Group.
(In the past
subject operated as developers, manufacturers and marketers of active
pharmaceutical ingredients (API) for the pharmaceuticals industry).
Among clients are
all local insurance healthcare funds, hospitals, pharmacies etc. All marketing
is local.
Subject has the
license to exploit and distribute Swedish ASTRA patents in
Israel.
The ABIC Group operates
from main headquarters, plant and distribution network, on an area of 16,000
sq. meters (a plot of 74,000 sq. meters), in 12 Hatrufa Street (corner Giborey
Israel Street), Industrial Zone Kiryat Nordau, Netanya.
Additional offices
at the headquarters of TEVA Pharamaceutical
Industries Ltd., in 5 Basel Street, Petach Tikva.
TEVA Group is in
the midst of transferring a large part of its activities, mainly distribution,
to its new logistic compound in Hevel Modi’in. In this framework it is going to
sell most of its premises in Netanya, where subject and the Group have been
operating from, although some labs, plant and storage operation will remain in
Netanya.
Having over 50
employees serving subject itself.
There are 39,660
employees serving the TEVA Group (6,774 employees of which in Israel).
MEANS
Subject and other
companies in the TEVA Group are “Approved Enterprises” and as such enjoy tax
benefits and State incentives. In June 1998, the Israeli
Investment Center (IIC) approved a US$ 1.5 million investment plan for the
expansion of subject’s plant. In April 2002, IIC approved a further US$ 1.58
million investment plan for the expansion of subject’s plant.
There are no
charges registered on the company’s assets.
TEVA’s current
market value US$ 45.26 billion.
Financial data is
included in the Consolidated B/S of TEVA PHARMACEUTICAL INDUSTRIES LTD., which
shows:
US$
(millions)
31.12.2010 31.03.2011
ASSETS
Current assets
Cash and cash equivalents 1,248 721
Short term investments 36 27
Accounts receivable 5,476 5,576
Inventories 3,866 4,225
Prepaid expensed and other
current assets 1,416 1,503
12,042 12,052
Long-term investments and receivables 632 671
Property, plant & equipment (net) 4,357 4,591
Identifiable intangible assets (net) 5,751 6,112
Goodwill 15,232 15,800
Other assets 138 27
38,152 39,253
====== ======
LIABILITIES
Current liabilities 9,694 8,885
Long-term liabilities 6,456 7,235
Equity 22,002 23,133
38,152 39,253
====== ======
REVENUES
TEVA
PHARMACEUTICALS INDUSTRIES LTD.
Consolidated Statement of Income
US$
(millions)
Year
ended 31.12
2008 2009 2010
Sales 11,085 13,899 16,121
Gross profit 5,968 7,367 9,065
Operating income 1,145 2,405 3,871
Income before income
taxes 827 2,203 3,646
Net income 635 2,004 3,339
====== ====== ======
TEVA
PHARMACEUTICALS first 3 months of 2011 consolidated sales were
US$ 4,080 million
(11.7% increase compared to 1st quarter 2010), making a gross profit
of US$ 2,188 million, an operating income of US$ 867 million and a net income
US$765 million.
OTHER COMPANIES
ABIC MARKETING
LTD., 100%.
Parent company
TEVA PHARMACEUTICALS INDUSTRIES LTD., developers, manufacturers, marketers and exporters
of pharmaceuticals, chemicals, and veterinary products. TEVA and its
subsidiaries develop generic and proprietary drugs in all major therapeutic
categories, which are distributed worldwide.
Worldwide
operations are conducted through a network of subsidiaries primarily located in
North America, Europe, Latin America and Asia. Having direct operations in some
60 countries, including 40 finished dosage pharmaceutical manufacturing sites
in 19 countries, 28 pharmaceutical R&D centers and 21 API manufacturing
sites.
Principal
operating subsidiaries are (all 100% stake unless otherwise stated):
TEVA
PHARMACEUTICALS USA, INC.,
IVAX INTERNATIONAL B.V., the Netherlands and
IVAX PHARMACEUTICAL IRELAND,
TEVA ANIMAL HEALTH INC., USA,
TEVA CLASSICS
S.A.S, France,
NOVOPHARM LTD.,
Canada,
TEVA PHARMA ITALIA
S.R.L., Italy
TEVA PHARMACEUTICALS CR s.r.o, Czech Republic,
BARR
PHARMACEUTICALS, INC., USA,
TEVA HUNGARY PHARMACEUTICAL MARKETING LTD., Hungary,
TEVA PHARMACEUTICALS POLSKA sp. Z.o.o., Poland,
AWD PHARMA GmbH & CO. KG, Germany,
TEVA DEUTCHLAND GmbH, Germany,
TEVA U.K. LIMITED,
U.K,
PHARMACHEMIE B.V.,
the Netherlands,
PLANTEX CHEMICALS B.V., the Netherlands,
LEMERY S.A. DE C.V., Mexico,
LABORATORIOS ELMOR S.A., Venezuela,
LABORATORIO CHILE S.A., Chile,
PLIVA HRVATSKA d.o.o., Croatia,
PLIVA d.d., Croatia, 98%,
PLIVA KRAKOW SA, Poland, 97%,
LABORATORIOS DAVUR S.L., Spain,
PLIVA RUS LLC, Russia,
GALENA PHARMA LLC, Russia,
TEVA-KOWA PHARMA CO., LTD., a joint venture in Japan, owns
TAISHO PHARMACEUTICAL INDUSTRIES LTD., Japan.
ASSIA CHEMICAL INDUSTRIES LTD., developers,
manufacturers, exporters and marketers of Active Pharmaceutical Ingredients
(API) and fine chemicals and raw materials for the pharmaceutical industry.
SALOMON LEVIN & ELSTEIN LTD., importers and
distributors of pharmaceuticals and allied goods.
TEVA
MEDICAL LTD., manufacturers, importers,
marketers of medical equipment, specializing in dialysis systems and solutions.
PLANTEX LTD., developers, manufacturers and
marketers of raw materials for generic medicine. It is part of TEVA’s Active
Pharmaceutical Ingredients (TAPI) Division.
MERCKLE RATIOPHARM GROUP,
And many more in the TEVA Group.
BANKERS
Bank Hapoalim
Ltd., Belinson Branch (No. 552), Petach Tikva.
Bank Leumi LeIsrael
Ltd., Central Tel Aviv Branch (No.800), Tel Aviv.
Israel Discount
Bank Ltd., Jerusalem Main Branch (No. 060), Jerusalem.
Mizrahi Tefahot
Bank Ltd., Main Business Center Branch (No 461), Tel Aviv.
CHARACTER
AND REPUTATION
Nothing unfavorable learned.
TEVA
PHARMACEUTICALS is ranked 1st in the list of leading Israeli
companies in terms of market value. It is ranked among the top 20
pharmaceutical companies in the world and the leading generic pharmaceutical
company.
TEVA’s global
share in the generic pharmaceutical market is 11% and in the American market
share is estimated to be 24%.
In the local
market TEVA Group has a 25% market share in the pharmaceutical field. TEVA is
the largest non-governmental supplier of healthcare products and services in
Israel.
TEVA’s API
division maintains a portfolio of API intellectual property with over 3,600
registered and pending patents and a record of 90% of submitted patents being
granted.
In October 2008,
TEVA announced it signed an agreement for selling its veterinary business unit
in Israel, in consideration of US$ 44 million, to PHIBRO ANIMAL HEALTH CORP.
TEVA decided to move out of the veterinary field, which is strategically no
longer part of its core activities. The veterinary activities in Israel have
been conducted chiefly by ABIC BIOLOGICAL
LABORATORIES TEVA LTD. and ABIC VETERINARY PROD
Other general
significant facts on TEVA Group:
At the end of 2003
TEVA acquired full ownership in SICOR, developers of API products and generic
pharmaceuticals, for a sum of US$ 3.4 billion, US$ 2 billion in cash and US$
1.4 billion in shares.
In January 2006, TEVA
finalized a major acquisition of IVAX CORP., its main competitor in the generic
drugs field, in a transaction valued US$ 8 billion in cash and shares.
In February 2008
TEVA acquired the American bio-pharmaceutical company CoGenesys, operating in
the biological treatments, for US$ 400 million.
In July 2008 TEVA
completed the acquisition of the publicly traded company (NYSE) BENTLEY
PHARMACEUTICALS (Spain), manufacturers and marketers of generic drugs, for US$
360 million (in cash).
In December 2008 TEVA
completed the BARR PHARMACEUTICALS, INC. acquisition, the 4th largest generic
drug company worldwide (established 1970, with 2007 sales were US$ 2.5
billion), in consideration of US$ 9 billion - US$ 7.46 billion (40% in shares,
rest in cash), as well as taking upon itself BARR's debt in volume of US$ 1.5
billion. This major acquisition is expected to further enhance TEVA's
leadership position in the U.S. and will significantly strengthen its position
in key European and Central and Eastern European markets.
In August 2010,
TEVA completed the acquisition of RATIOPHARM, Germany's second largest generics
producer for the sum of US$4.95 billion. Following the acquisition, TEVA will
be the number one generic company in Europe, holding the leading market position
in ten countries, as well as ranking in the top three in seven additional
countries.
In
January 2011 TEVA completed the acquisition of THÉRAMEX, MERCK KGaA's European based
women's health business, for € 265 million.
In January 2011
TEVA acquired CORPORACION INFARMASA of Peru for an estimated price of up to US$
300 million.
On the 02.05.2011 TEVA announced the acquisition of CEPHALON, a
biotechnological company, developers of nerve system drugs and more, for US$ 6.8
billion. Deal is expected to be completed in 3rdQ 2011. CEPHALON, established
1987, with 3,726 employees, is publicly traded in Wall Street according to a
market value of US$ 5.8 billion. CEPHALON expected 2011 is US$ 3 billion, and
its brand and ethical drugs portfolio are complimentary to TEVA 's.
In May 2011 TEVA
announced it is acquiring 57% of TAIYO (Japan's 3rd largest
pharmaceutical company) for US$ 460 million. This will turn TEVA into Japan’s 2nd
larges generic company, in a market valued US$ 6 billion per annum.
These days TEVA Group completes its new logistic
center in Hevel Modiin Industrial Park (near Shoham), to where they are shifting
the logistics activities, on an owned area of 77,000 sq. meters. Estemated investment in the project is valued at US$ 100
million.
Sales by local
Pharmaceutical Industries have been constantly growing, reaching total sales of
US$ 5,500 million in 2008, of which US$ 4,969.5 million were for export 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 Israel is valued at some 15% of the local
whole drugs market, with annual growth rate of circa 15%.
SUMMARY
Good for trade engagements.
Good for all
credits
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.72 |
|
|
1 |
Rs.71.95 |
|
Euro |
1 |
Rs.64.79 |
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%)
This report is issued at your request without any risk
and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its
officials.