MIRA INFORM REPORT

 

 

Report Date :

08.03.2011

 

IDENTIFICATION DETAILS

 

Name :

R.N. SPINNING MILLS LTD

 

 

Registered Office :

ML Tower (5th Floor), 1 East Rampura, DIT Road, Dhaka-1219

 

 

Country :

Bangladesh

 

 

Financials (as on) :

31.12.2008

 

 

Date of Incorporation :

25.07.2008

 

 

Com. Reg. No.:

C-54808

 

 

Legal Form :

Public Limited Company

 

 

Line of Business :

manufacturing and selling of cotton yarn

 

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 :

US$ 30,000.00

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 – December 31, 2010

 

Country Name

Previous Rating

                   (30.09.2010)                  

Current Rating

(31.12.2010)

Bangladesh

b1

b1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

COMPANY DETAILS

 

Name

R.N. Spinning Mills Ltd

Address

ML Tower (5th Floor), 1 East Rampura, DIT Road, Dhaka-1219,

Country

Bangladesh

Telephone No

880-2-9337472, 9338232, 8312878

Fax No

880-2-9337862

E-Mail

rnspinning@gmail.com

Website

www.rnspinningmills.com

Established

2008

Commercial Production From

2009

Company Registration No

C-54808

Registration date

25th July 2008

Legal Status

Public Limited

Business Type

Manufacturer & Seller

Status

Satisfactory

Payment Behavior

No complaints have been heard regarding payments 

from local suppliers or banks.

 

 

LOCATIONS

 

Head Office

ML Tower (5th Floor), 1 East Rampura, DIT Road, Dhaka-1219, Bangladesh

Telephone No

880-2-9337472, 9338232, 8312878

Fax No

880-2-9337862

E-Mail

rnspinning@gmail.com

Website

www.rnspinningmills.com

Branch

NIL

Factory

Plot No.100-107 & 127-134, Comilla Export Processing Zone, Comilla

Factory Telephone No

N/A

Factory Fax No

N/A

Warehouse

Plot No.100-107 & 127-134, Comilla Export Processing Zone, Comilla

DIRECTORS

 

Name

Al-Haj Mustafizur Rahman

Designation

Chairman

Nationality

Bangladeshi

 

 

Name

Mr. Md. Abdul Kader Faruk

Designation

Managing Director

Nationality

Bangladeshi

 

 

Name

Mr. Abdul Quayum Mamun

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mrs. Shirin Faruk

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Kim Jong Suk

Designation

Korean

Nationality

Bangladeshi

 

 

Name

Mr. Abid Mostafizur Rahman)

Designation

Director

Nationality

Bangladeshi

 

 

SHAREHOLDERS

 

Name

Al-Haj Mustafizur Rahman

Share Amount

600

Nationality

Bangladeshi

 

 

Name

Al-Haj Md. Abdul Kader Faruk

Share Amount

19,000

Nationality

Bangladeshi

 

 

Name

Mr. Abdul Quayum Mamun

Share Amount

400

Nationality

Bangladeshi

 

 

Name

Mrs. Shirin Faruk

Share Amount

2,000,000

Nationality

Bangladeshi

 

 

Name

Mr. Kim Jong Suk

Share Amount

2,667,156

Nationality

Bangladeshi

 

 

Name

M. L. Dyeing Ltd.

Represented by

Mrs. Jaheda Khondoker

Share Amount

2,042,000

Country

Bangladesh

 

 

Name

Mr. Abid Mostafizur Rahman

Share Amount

1,000

Nationality

Bangladesh

 

 

BUSINESS DETAILS

 

Line of Business

Manufacturer & Seller

Items Dealing In

Yarn

Terms of Purchase

Local: Cash or Credit

Import: Against L/C

Terms of Sale

Local: Against L/C

 

BANKERS

 

Name

National Bank Limited

Branch

Dilkusha Branch

Address

Dilkusha C/A, Dhaka

SWIFT

N/A

 

 

Name

AB Bank Limited

Branch

Dilkusha Branch

Address

Dilkusha C/A, Dhaka

SWIFT

N/A

 

 

Name

Bank Asia Limited

Branch

Motijheel Branch

Address

Motijheel C/A, Dhaka

SWIFT

N/A

 

 

Name

The City Bank Limited 

Branch

Motijheel Branch

Address

Motijheel C/A, Dhaka

SWIFT

N/A

 

 

FINANCIAL INFORMATION

 

R. N. SPINNING MILLS LTD.

Balance Sheet

As at 31st December 2008

 

 

2008

Application of fund:

 

Fixed Assets:

1,348,618,605

Property, Plant & Equipment

1 ,344,310,362

Security Deposits

4,308,243

 

 

Current Assets:

583,608,481

Inventory

277,618,420

Advances, Deposits and Prepayments

4,308,731

Bills Receivable

301,056,293

Cash and Cash Equivalents

625,037

 

 

Current Liabilities:

431,810,735

Creditors and Accrues

10,304,846

Bills Payable

44,256,051

Short term loan from Bank

377,249,838

Net Current Assets (A-B)

151,797,746

Total Assets

1,500,416,351

 

 

Sources of fund:

 

Share Capital

1,200,502,796

Ordinary Shares

673,015,600

Preference Shares

436,527,000

Retaining Earning Balance

90,960,196

 

299,913,555

Long term loan from bank

299,913,555

Inter Company Balance

------------

Total Liabilities

1,500,416,351

 

R. N. SPINNING MILLS LTD.

Income Statement

For the year ended 31st December 2008

 

 

2008

Export

1,040,508,594

Less Cost of goods sold

893,295,153

Gross Profit

147,213,441

 

 

Less operating expenses

1 3,058,512

Operation income

134,154,929

Less: Other operating expenses:

29,555

Trading and consulting Fees

--------

Welfare Expenses

29,555

Net operating Income

134,125,374

Financial expenses

5 5,587,251

Net operating profit

78,538,123

Add: Other non-operation income

3,922,440

Net profit before tax

82,460,563

Provision for taxation

------------

Profit after tax

82,460,563

Earning Per Share

19.37

 

Note: The subject did not launched any financial information after 2008

 

Auditor:                                               (A. WAHAB & CO.)

CHARTERED ACCOUNTANTS

 

CAPITAL STRUCTURE

 

Authorized Capital

Tk.1500,000,000.00

Paid Up Capital

Tk.1,109,542,600.00

Each Share Value

Tk.100

 

 

EXCHANGE RATE

 

Currency

Unit

Bangladeshi Taka (BDT)

 

Great Britain Pound

1

111.0123

U.S Dollar

1

70.3500

European Euro

1

93.7906

 

 

ADVERSE DATA MONITORING

 

Dishonored Checks

No Found

Debt

No Records Found

Litigation

No Records Found

Performance Defaults

No Records Found

Adverse Press Coverage

No Records Found

Money Laundering

No Records Found

 

 

MAXIMUM RECOMMENDED CREDIT

 

Amount

Based On

US$ 30,000.00

90 Days

 

 

GENERAL INFORMATION

 

Employees

540

Office Area (Sq. Ft)

2000 sq.ft (leased)

Factory Area (Sq. Ft)

31,500 sq.ft (leased)

Warehouse Area (Sq. Ft)

8,700 sq.ft (leased)

Range of Products

4 Cotton Yarn

Major Clients 

4 M.L. Dying Ltd., Mymensingh, Bangladesh

4 Shepherd Yarn Ltd., Mymensingh, Bangladesh

4 Labib Yarn Dying Mills Ltd., Gazipur, Bangladesh

4 K. ALI Dying & finishing Industries, Dhaka, Bangladesh

Raw Materials From

4 M/s. Oxley Trading Limited, New Zealand

4 M/s. Darlon GmbhH Ltd., Germany

Certifications

NIL

Group Name

4 Far Group

Subsidiaries / Affiliates

4 M.L. Dying Limited

4 Far Apparel Limited

4 Chong Won ARS Sweater Limited

4 M. L. Hotel Tower Limited

Enlisted With

4 Dhaka Stock Exchange

4 Chiitagong Stock Exchange

Member

4 Bangladesh Textiles Mills Association, Dhaka

4 Dhaka Chamber of Commerce & Industries, Dhaka

 

 

COMMENTS

 

The subject is a public limited company who is engaged in manufacturing and selling of cotton yarn. The company was established in 2004 as a private limited company and 2008 it was enlisted as public limited company.

 

The directors are conversant in their line of trade and they are also experienced businessman. They are financially solvent and good at their business commitments, it is reported.

 

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.13

UK Pound

1

Rs.73.36

Euro

1

Rs.60.06

 

 

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.