MIRA
INFORM REPORT
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Report Date : |
18.05.2011 |
IDENTIFICATION DETAILS
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Name : |
NATIONAL ALUMINIUM PRODUCTS CO SAOG |
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Formerly Known As : |
OMAN ALUMINIUM |
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Registered Office : |
National Aluminium Products Building Road No. 7 Rusayl Industrial Estate
P.O. Box : 15 Rusayl 124 Muscat |
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Country : |
Oman |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
08.12.1984 |
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Com. Reg. No.: |
1/22025/0 |
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Legal Form : |
Omani general joint stock company |
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Line of Business : |
Manufacturers of aluminium profiles, door and window frames,
balcony railings and a wide range of
profiles, including sliding, hinge and swing doors and windows, kitchen
cabinets, curtain walls, hand rails and louvres. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
RO 300,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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) |
|
Oman |
A2 |
A2 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company NAME
National Aluminium Products Co SAOG
ADDRESS
Building : National Aluminium Products Building
Street : Road No. 7
Area : Rusayl Industrial
Estate
P.O. Box : 15 Rusayl 124
Town : Muscat
Country : Oman, Sultanate of
Telephone: (968) 2444 6450 / 2444 6110 / Mobile (968) 9938 8388 (Habib Bin
Mohsin Al Lawati)
Fax : (968) 2444 6453 / 2444
6449
E-Mail : napco@omantel.net.om /
napco@gto.net.om / habib@napco.co.om / bipul@napco.co.om
Website : www.napcooman.com /
www.omanalum.com
Shortform Name : Napco
Also known as : Oman Aluminium
SENIOR COMPANY PERSONNEL
Name Position
1. Rashid Bin Saif Al Sadi
Chairman
2. Abdullah Bin Salim Bin
Deputy
Chairman / CEO
Abdullah Al Harthy
3. R.K. Jain
General Manager
4. Arun Kalbag
Head
of Sales and Marketing
5. Mannu Kapoor
Head
of Sales and Marketing
(Oman & UAE)
6. Jai Shankar
Financial
Controller
7. Abdul Rasheed
Operations
Manager
8. Habib Bin Mohsin Al Lawati
Administrative
Manager / Human
Resource
Manager / Compliance
Officer
9. G.K. Mathur
Manager
Plant Engineering
10.B.S. Rana
Technical
Manager
11.Hamdan Al Durey
Legal
Advisor
12.Mujtaba A. Shaban
Assistant
General Manager
13.R. Jayasankar
Company
Secretary
Total Employees : 227
PAYMENTS
No complaints have been regarding payments from local suppliers or
banks.
National Aluminium Products Co. SAOG (Napco) commenced production in
1987 and its shares are quoted on the Muscat Securities Market.
Napco made profits each year through the 1990s; incurred losses in
1999 and 2000; made profits in 2001-2004; a loss in 2005; profits in 2006-2007,
incurred loss in 2008 and returned to profits in 2009-2010.
We consider it is acceptable to deal with subject for LARGE amounts.
Profit trend will be monitored.
Opinion on maximum credit : RO 300,000
Trade risk assessment : Normal
Opinion on the credit figure of US DLRS 150,000 :
We consider the above figure to be within the company's financial
capabilities.
SIGNIFICANT CHANGES
Napco completes expansion project
On 28 January 2010, Times of Oman reported - MUSCAT: National Aluminium
Products Co. (Napco), one of the leading manufacturers of aluminium profiles in
the Middle East, has recently completed its value added expansion project.
The company has set up a new natural finish plant in an area measuring
1,064 square metres in its existing plant at the Rusayl Industrial Estate at a
cost of RO 300,000.
The key equipment for the plant was procured from reputed European
suppliers. The project was commissioned within the budgeted estimates.
Naturall from Napco, quality aluminium systems with sleek wood and
marble finish that are both elegant and durable, can be tailor-made to suit
one's home needs a range of profiles for doors, windows and kitchen cabinets,
available in a variety of shades and tones.
Naturall is flexible, anticorrosive, insect-resistant, waterproof,
fireproof, durable and maintenance-free. Over the years, the naturall finish
products of Napco have become quite popular with developers, fabricators and
endusers.
To meet the growing demands, Napco has doubled the annual output of
naturall finish profiles from the existing 1,200 tonnes to 2,400 tonnes per
annum. The expansion augurs well in meeting the growing demand of this finish.
Napco's plant and equipment conform to international quality standards.
TRADE REFERENCES
NAME : DUBAI ALUMINIUM CO LTD
P.O.Box : 3627
Town : Dubai
Country : UAE
Telephone : (971 4) 846 666
NAME : HENKEL
Town : D- 10191 Dusselfdorf
Country : Germany
Telephone : (49 211) 437 0456
NAME : SERVICE ALUMINIUM CO
LTD
Street : Prospect Works, East
Brook Road
Town : Gloucester GL4 7DB
Country : UK
Telephone : (44 1452) 423541
PRINCIPAL BANKERS
NAME : OMAN ARAB BANK
Branch : Main branch
Street : Al Markazi Street,
Muttrah Business District
PO Box : 2010 Ruwi 112
Town : Muscat
Telephone: (968) 2470 6265 / 2470 1060
Fax : (968) 2479 7736 / 2470
1091
The company also has an account with :
Bank Muscat (SAOG)
Main Branch
Al Burj Street, Muttrah Commercial District 1073
PO Box 134 Ruwi 112
Muscat
Telephone: (968) 2470 3044 / 2478 8638 / 2470 8653
Fax : (968) 2478 9886 / 2478
8638
AUDITORS
1. Ernst & Young Oman
Ernst & Young Building
Qurum
PO Box 1750 Ruwi 112
Muscat
Telephone: (968) 2455 9559
Fax : (968) 2456 6043
2. KPMG Oman
HSBC Building, 4th Floor
Central Bank Street
PO Box 641 Ruwi 112
Muscat
Telephone: (968) 2470 9181 /
2470 9182
Fax : (968) 2470 0839
Email : kpmgoman@kpmg.com
Website : www.kpmg.com.om
FINANCIAL INFORMATION
Balance Sheets as at 31 December 2010 showed :
31/12/2010 31/12/2009 31/12/2008
(in
thousands of RO)
ASSETS
Cash 12 154 300
Time
Deposits 442 346 333
Cash
& Cash Equivalents
454 500 633
Accounts
Receivables 7,549 6,515 9,046
Provision
for Doubtful
Receivables (57) (55) (55)
Net
Receivables 7,492 6,459 8,991
Current
receivables 7,492 6,459 8,991
Raw
Material 3,193 2,003 2,035
Other
Raw Materials 581 1,102 1,256
Work
in Process 80 181 217
Finished
Goods 429 464 384
Total
Inventory 4,284 3,750 3,893
Provision
(Inventory) (33) (32) 0
Net
Inventory 4,251 3,718 3,893
Advance
Payments to Suppliers 339 209 225
Due
from Sister
Companies/Associates 0 0 .43
Other
Current Assets 87 61 88
Total
Current Assets 12,623 10,947 13,830
Land
& Buildings
2,365 2,193 2,193
Furniture
& Equipment 924 861 831
Machinery 15,541 14,854 14,344
Other
Fixed Assets 68 68 54
Accumulated
Depreciation (13,766) (12,767) (11,836)
Capital
work in Progress 134 224 78
Fixed
Assets 5,266 5,434 5,664
Property/Real
estate Investment 220 220 220
Other
Long term Investments 0 0 63
Total
Long term Investments 220 220 283
Other
Non-Current Assets 0 0 86
Total
Long Term Assets 5,486 5,654 6,032
Total
Assets 18,109 16,601 19,862
LIABILITIES
& SHAREHOLDERS EQUITY
Short
Term Debt 4,142 2,868 8,599
Accounts
Payable 4,602 4,427 1,763
Accrued
Expenses 1,081 1,381 1,059
Due
To Sister Companies 8 3 0.40
Other
Current Liabilities 246 299 3,008
Total
Current Liabilities 10,080 8,978 14,428
Other
Long Term Liabilities 0 0 211
Total
Long-term Liabilities 0 0 211
Total
Liabilities 10,080 8,978 14,639
Tax
Provision 361 2 82
Deferred
Tax Income 155 254 0
Provision
for Employees'
Termination
Benefits 230
214 229
Total
Provisions 745 470 311
Total
Liabilities & Provisions 10,825 9,449 14,950
Paid-up
Capital 3,357 3,357 3,357
Legal/Statutory
Reserve 1,119 1,119 1,073
Change
in Fair Val. Resv.
&
Translation Adj. 0 0 29
Retained
Earnings/
Accumulated
losses 2,808 2,676 453
Total
Shareholders' Equity 7,284 7,152 4,912
Total
Liabilities
&
Shareholders' Equity 18,109 16,601 19,862
Comm.
& Contingent Liabilities 8,711 2,538 4,434
INCOME
STATEMENT
Gross
Revenue 20,981 21,136 29,192
Cost
of Goods Sold (15,705) (15,242) (24,301)
Gross
Margin 5,276 5,894 4,891
S.G.
& A.
(1,754) (1,813) (2,316)
Depreciation
Expense (1,000) (1,043) (959)
Net
Operating Profit 2,522 3,039 1,616
Interest
Expense (37) (49) (102)
Interest
Income 0.13 0.58 0
Investment
Income 0 (180) (2,815)
Total
Investment Income 0 (180) (2,815)
Foreign
Exchange Gain/Loss 23 45 13
Provisions (187) (46) 0
Other
Income 118 147 17
Other
Expenses 0 0 (55)
Net
Profit Before Taxes/Zakat 2,439 2,955 (1,327)
Tax
/ Zakat Provision (293) (351) 159
Net
Profit After Taxes or Zakat 2,146 2,604 (1,168)
Unusual
Items 0 (67) 0
Net
Profit After Unusual Items 2,146 2,538 (1,168)
Financial year ends 31 December.
Loans
The Company has credit facilities from commercial banks comprising
overdrafts, guarantees, loan against trust receipts, export bill
discounting and letters of credit.
These facilities are secured by
the hypothecation of inventories and assignment of trade receivables.
Interest is charged at commercial rates.
Term loan is repayable in twelve half yearly equal instalments of RO
125,000 each, commencing July 2004. Interest is charged at commercial
rates.
Secured charges
The term loan facility from a commercial bank is secured by a
registered first charge over the entire assets of the expansion
project.
LEGAL STATUS AND HISTORY
Date Started : 8 December 1984
History : The company was registered as a joint stock company on 8
December 1984. Construction of the factory began in mid-1985. Subject commenced
production in September 1987.
HE Mohammed Bin Musa Al Yousef is a former Chairman of subject. Former
director Shaikh Hilal Al Hubsi was not re-elected at the AGM held 17 April
2002.
Former technical director Khalid Al Alawi was appointed at AGM 17 April
2002, and stepped down from the Board 3 April 2003, so as to comply with the
changes in the Commercial Companies Law pertaining to limit on maximum number
of Directorships.
Former director Amar Abdulhussain Shaban, appointed at AGM 17 April
2002, resigned in January 2003.
Former Director & General Manager, Rahul Malhotra resigned in 2005.
Nitin Warty was appointed Chief Executive Officer on 9 April 2005.
Other former directors: Saad Al Zaid (elected June 2003); Mohammed
Abdulla Al Khonji (elected 17 April 2002).
C.R. No. : 1/22025/0 (valid)
Authorised Capital : RO 3,357,145 (divided into RO 1 shares)
Paid up Capital : RO 3,357,145 (divided into RO 1 shares)
Societe Anonyme Omani Generale (Omani general joint stock company)
with the following directors and shareholders :
Directors
1. Rashid Bin Saif Al Sadi (Chairman)
2. Abdullah Bin Salim Bin Abdullah Al Harthy (Deputy Chairman)
3. Akshay J. Kothari
4. Mohammed Sadiq Jawad Sulaiman
5. Abdul Hakeem Amur Salim Al Misalhi
6. Dr. Naufal Hameed Rasheed Ibrahim
7. Sayyid Wasfi Jamshid Abdulla Al Said
Shareholders
Percentage
1. NIFCO Private Equity Fund (Government) 15.44%
(Managed by National Investment
Funds Company)
Muscat International Centre,
Penthouse Floor
CBD Area
PO Box 3028 Ruwi 112
Muscat
Telephone: (968) 2481 3143
Fax : (968) 2481 3241
2. Oman and Emirates Investment Holding Company 10.57%
Beit Majan Building, 5th Floor
Al Kuwair Area
PO Box 2205 Ruwi 112
Muscat
Telephone: (968) 2448 9548 /
2448 9542
Fax : (968) 2448 9465
Email : info@omanemirates.com
Website : www.omanemirates.com
3. Ministry of Defense Pension Fund (Government) 10.00%
Muscat
4. Other members of the general public 63.99%
Napco's shares are quoted on the Muscat Securities Market.
Affiliated companies of National Aluminium Products Co SAOG:
Associates
Mitsuba Metal Coat Co. LLC
30%
Sharjah, UAE
ACTIVITIES
The Company is involved in the following activities :
Manufacturers of aluminium profiles, door and window frames, balcony
railings and a wide range of profiles, including sliding, hinge and
swing doors and windows, kitchen cabinets, curtain walls, hand rails
and louvres.
Subject product range includes:
- Mill finish Solid / Hollow Aluminium Profiles.
- Anodize Aluminium Profiles.
- Powder Coated Aluminium Extrusion Profiles.
- Thermal Break and Bend Aluminium section Profiles.
- Wood Grain finish Aluminium Profile.
- Industrial Aluminium section Profile.
Napco offers over 6000 profiles to suit architectural, industrial &
general purpose applications. Subject offers customized profile for customer
specific requirements.
NACE Code: 2442
Brands : "Al Sadd" windows & kitchens; "Brital"
curtain walling
systems; "Naturall" powder coating; NAPCO .
Principals & Agencies: Brital, Wicona.
Subject is ISO 9001 : 2008 certified.
Production Capacity : 18,000
tonnes a year (t/y)
(increased
in 2003 from 8,500 t/y)
Production : 8,595 tonnes - 2002
: 8,789 tonnes - 2003
: 10,881 tonnes - 2004
: 13,321 tonnes - 2005
Market share : estimated 60%
Exports 10% of production to Europe and 70% to GCC and Africa.
Imports raw material & equipment from Dubai (UAE), Germany,
UK, China, France and Italy.
Exports to GCC, Lebanon, Yemen, Germany, Denmark, Singapore, UK, USA and
South Africa.
Subject’s major projects include:
- Burj Al Arab - Dubai
- Dubai Airport
- Millennium Tower
- Emirates Towers – Dubai
- Grand Hyatt Hotel – Dubai
- The Tower – Dubai
- 21st Century Tower – Dubai
- Capricorn Tower – Dubai
- Kuwait National Petroleum Corporation Tower – Kuwait
- Commercial Bank of Kuwait
- Hilton Hotel – Qatar
- Al Hodaifa Towers – Qatar
- Radisson SAS Hotel – Muscat
- Knowledge Oasis – Muscat
FACILITIES
The Company has the following facilities :
49,000 sq. m. owned industrial complex comprising several
administrative offices and a factory with warehousing facilities located
in the Rusayl Industrial Estate on a land leased from Rusayl
Industrial Estate Authority under an agreement which expires on 31
December 2027. The factory was built by German contractors and
British sub-contractors.
Subject has two extrusion presses from SMS Hansclever, Germany (2000 MT)
and Danieli Breda, Italy (2800 MT).
The extrusion presses are complemented by two anodizing lines with a
capacity of 5000 MT per annum and a powder coating plant from Ercon, UK with a
capacity of 7000 MT per annum. NAPCO also has a wood/marble finish (NATURALL)
powder coating plant from Eurallaca, Italy.
BRANCH OFFICES
1. PO Box 116912
Dubai
United Arab Emirates
Telephone: (971 4) 335 4531
Fax : (971 4) 335 5728
Email : napcodub@emirates.net.ae
2. UK / EUROPE
Agent
Telephone: Mobile (44) 772 516
0925
Fax : (44) 870 383 5052
E-Mail : stephen.lefevre@btinternet.com
SPECIAL NOTE
Interviewed: Jai Shankar (Financial Controller).
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.07 |
|
|
1 |
Rs.72.97 |
|
Euro |
1 |
Rs.63.57 |
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 |
|
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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.