MIRA INFORM REPORT

 

 

Report Date :           

24.03.2011

 

IDENTIFICATION DETAILS

 

Name :

AL JAZIRA GROUP BSC (C)

 

 

Formerly Known As :

AL JAZIRA COLD STORE COMPANY WLL

 

 

Registered Office :

Al Jazira Complex, Um Ishoom Avenue, Road 20, P O Box 26087, Mahooz 332

 

 

Country :

Bahrain

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

28.09.1989

 

 

Com. Reg. No.:

851, Manama

 

 

Legal Form :

Bahraini Shareholding Company Closed BSC (C)

 

 

Line of Business :

Subject operates several divisions include Al Jazira Supermarkets Division, Cold Store & Distribution Division, Restaurant Division

 

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$ 1,500,000

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 – December 31, 2010

 

Country Name

Previous Rating

                   (30.09.2010)                  

Current Rating

(31.12.2010)

Bahrain

a2

a2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

SUMMARY

 

Company Name                                     : AL JAZIRA GROUP BSC (C)

Previously Known As                              : AL JAZIRA COLD STORE COMPANY WLL

Country of Origin                                    : Bahrain

Legal Form                                            : Bahraini Shareholding Company Closed BSC (C)

Start Date                                             : 1965

Registration Date                                   : 28th September 1989

Commercial Registration Number            : 851, Manama

Issued Capital                                        : BD 5,500,000

Paid up Capital                                      : BD 5,500,000

Total Workforce                                     : 550

Activities                                               : Subject operates several divisions (see below for details)

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Recommended Credit Limit                     : US$ 1,500,000

Person Interviewed                                 : Hemant Desai, Finance Manager

 

COMPANY NAME

 

AL JAZIRA GROUP BSC (C)

 

 

PREVIOUSLY KNOWN AS

 

AL JAZIRA COLD STORE COMPANY WLL

 

 

company ADDRESS

 

Registered & Physical Address

Location            : Al Jazira Complex

Street               : Um Ishoom Avenue, Road 20

PO Box             : 26087

Town                 : Mahooz 332

Country             : Bahrain

Telephone         : (973-17) 714914 / 720700 / 740111

Facsimile          : (973-17) 740657 / 712923 / 740417

Email                : jazira@batelco.com.bh / info@aljaziragroup.com.bh / hemant@aljaziragroup.com.bh

 

Please note that 80 Osama Bin Zaid Avenue, Road 2721, Zinj Area, Adliya 327 is subject’s previous address.

 

Premises

Subject operates from a large suite of offices and a supermarket that are owned and located in the Central Business Area of Mahooz.

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Building No. 1564                                                                              Owned supermarket

Budaiya Highway (Road 85)

     Janoosan 502

     Budaiya

     Tel: (973-17) 590845

     Fax: (973-17) 593227

 

·       Mina Salman                                                                                    Owned warehouse

Tel: (973-17) 727118

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

 

·       Mohamed Hassan Diwani                                                                   Chairman

 

·       Abdul Hussain Khalil Diwani                                                               Managing Director

 

·       Mohamed Sadiq Khalil Diwani                                                            Director

 

·       Harry Crompton                                                                                 General Manager

 

·       Ahmed Abbas                                                                                   Marketing Manager

 

·       Hemant Desai                                                                                   Finance Manager

 

·       A N Karthik                                                                                       Financial Controller

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : Subject’s operations date back to 1965, however it was registered on 28th September 1989

 

History                         : Subject was originally established in 1965 under the name of “Al Jazira Cold Store Company WLL”. However in 2007 subject was re-registered under the current style of “Al Jazira Group BSC (C)”

 

Legal Form                  : Bahraini Shareholding Company Closed BSC (C)

 

Commercial Reg. No.  : 851, Manama

 

Issued Capital              : BD 5,500,000

 

Paid up Capital            : BD 5,500,000

 

Name of Shareholder (s)

 

·       Mohamed Hassan Diwani

 

·       Abdul Hussain Khalil Diwani

 

·       Mohamed Sadiq Khalil Diwani

 

·       Heirs of Murtada Khalil Diwani

 

 

AFFILIATED COMPANIES

 

·       Deeko Bahrain WLL

Building 881, Road 115, Block 601

North Sitra Industrial Area

PO Box: 26512 / 26094

Sitra

Tel: (973-17) 731871 / 731166 / 730385

Fax: (973-17) 732082

 

·       Diwani Trading Co WLL

Manama

     Tel: (973-17) 714914

 

·       Tominna Trading Co

PO Box: 100

Manama

Tel: (973-17) 253511

 

·       Gulf Garments Industry WLL

     Mameer Industrial Area

     PO Box: 104

     Manama

     Tel: (973-17) 701559

     Fax: (973-17) 701562

     Email: info@gulfgarment.com

 

 

OPERATIONS

 

Activities: Subject’s operations are performed through the following divisions:

 

·       Al Jazira Supermarkets Division

 

Subject are owners and operators of three supermarkets specialising in the retail of foodstuff products such as frozen meats, vegetables, dry and canned foods, pet food as well as general consumer goods such as cosmetics, perfumes, and beauty products as well as household goods and textiles.

 

       The Adliya Supermarket is the oldest of the three having been established in 1965. Mahooz was opened in 1995 and the Budaiya Supermarket in 1996.

 

       The Al Jazira Complex comprises a supermarket, as well as retail fashion outlets such as Woolworths, Truworths, Identity, Indigo Nation, and Scullers. The complex also has an In-house bakery, coffee shop, salad bar, video shop and a counter for fresh flowers and plants.

 

·       Cold Store & Distribution Division

 

This division operates a fleet of 7 reefer trucks, 6 delivery vans, and 25 service cars. These cover the length and breadth of Bahrain distributing the full range of products to cold stores, supermarkets, traders, co-operative societies and five star hotels and restaurants. The division operates from a warehouse located at Mina Salman, which also includes facilities for meat processing, sausage making and cold storage facilities.

 

·       Restaurant Division

 

Subject operates restaurants under the Veneto franchise.

 

Import Countries: The United Kingdom, France, Denmark, Netherlands, Germany, Switzerland, South Africa, Saudi Arabia, Australia and the United States of America.

 

International Suppliers:

 

·       H.J. Heinz Co Ltd                  United Kingdom

·       John West Foods Ltd            United Kingdom

·       United Biscuits                     United Kingdom

·       Unilever Exports Ltd              United Kingdom

·       Woolworths                          United Kingdom

·       Spillers Ltd                           United Kingdom

·       Coro                         Denmark

·       MD Foods                            Denmark

·       Letona Food                         Germany

·       Dat-Schuab                          Netherlands

·       Hero Schweiz                       Switzerland

·       L’ Oreal Vichy                       France

·       Volvic                                   France

·       Sara Lee                              Australia

·       Napco Ltd                             Saudi Arabia

·       Apollinars Brunnen AG          South Africa

·       General Mills Inc                   United States of America

·       Best Foods Corp                   United States of America

 

Operating Trend: Steady

 

Subject has a workforce of approximately 550 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Bahraini Dinar (BD)

 

                                                Year Ending 31/12/09:                Year Ending 31/12/10:

 

Total Sales                                BD 32,500,000                           BD 35,000,000

 

Local sources consider subject’s financial condition to be Good.

 

The above figures were provided by Mr Hemant Desai, Finance Manager

 

BANKERS

 

·       Al Ahli Commercial Bank

Government Avenue

PO Box: 5941

Manama

Tel: (973-17) 244333

Fax: (973-17) 241301

 

·       National Bank of Bahrain BSC

Sitra Branch

PO Box: 106

Manama

Tel: (973-17) 731128

 

·       Standard Chartered Bank

Standard Chartered Bank Building

Government Road

PO Box: 29

Manama

Bahrain

Tel: (973-17) 223636 / 255946

Fax: (973-17) 230503

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                  May 1999                      June 2002                    June 2003

Credit amount                            20,000                          480,000             500,000

Amount overdue             0                                  0                                  0

Payment terms                          30 days                         60 days                         90 days

Payment Method                       Letters of Credit             Letters of Credit             Letters of Credit

Paying record                            No Complaints               No Complaints               No Complaints

Currency                                   Pounds Sterling             US Dollars                     US Dollars

 

 

GENERAL COMMENTS

 

Al Jazira Group BSC is very well established in the local market with operations dating back to 1965. It operates three supermarkets located in Adliya, Budaiya and Mahooz, specialising in the retail of foodstuff and general consumer goods. The company deals with a host of reputable international suppliers with no problems noted regarding the manner in which payment obligations are met.

 

Local sources report that the company is run in a professional manner with a clear operating history. It is owned by members of the Diwani family who are respected members of the local business community. The financial situation is healthy and profitable and the above credit figure is deemed to be within subject’s financial means.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.44.97

UK Pound

1

Rs.73.35

Euro

1

Rs.63.98

 

 

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.