MIRA INFORM REPORT

 

 

Report Date :           

17.11.2011

 

IDENTIFICATION DETAILS

 

Correct Name :

DAVIK SDE BOKER ACS LTD. 

 

 

Registered Office :

Sde Boker 84993     

 

 

Country :

Israel

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

03.02.1982

 

 

Legal Form :

Agricultural Cooperative Society

 

 

Line of Business :

Manufacturers, Importers, Marketers and Exporters of self-adhesive tapes and labels, including pressure sensitive self-adhesive tapes, for office use, packaging and other industries

 

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$ 400,000.

 

 

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 – September 30th, 2011

 

Country Name

Previous Rating

                   (30.06.2011)                  

Current Rating

(30.09.2011)

Israel

a2

a2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Company name & address

 

DAVIK SDE BOKER ACS LTD.

(Also trading as DAVIK SDE BOKER and as

DAVIK SELF-ADHESIVE TAPES)

Telephone                972 8 656 01 00

Fax                         972 8 656 01 18

SDE BOKER            84993                   ISRAEL

 

 

HISTORY & LEGAL FORMATION

 

Originally established as a limited partnership, registered as such as per file No. 55-000614-2 on the 03.02.1982, under the name DAVIK SDE BOKER.

 

In 1993 converted into an agricultural cooperative society and registered as such as per file No. 57-002780-5.

 

* ACS in subject’s name stands for Agricultural Cooperative Society.

 

 

OWNERSHIP

 

Subject is fully owned by Kibbutz Sde Boker, a co-operative society, operating communal an agricultural settlement.

 

 

DIRECTORS

 

1.  Amnon Brody, Chairman,

2.  Tzur Dat, General Manager,

3.  Shimon Ravid,

4.  Eyal Meir,

5.  Erez Yardeni,

6.  Arie Vind.

 

 

BUSINESS

 

Manufacturers, importers, marketers and exporters of self-adhesive tapes and labels, including pressure sensitive self-adhesive tapes, for office use, packaging and other industries.

 

Also –via DAVIK SYSTEM Division- supply packaging machinery and equipment, as well as installation and upgrade of packaging systems.

Some 40% of sales are exports to some 50 countries worldwide.

Amongst local customers: OSEM, STRAUSS -ELITE, MAMAN CARGO, SANO, HOGLA KIMBERLY, TNUVA, S. LERNER, Ministry of Defense, AL BAD MASSUOT YITZHAK, GURI, ELCAM MEDICAL, CENTRAL BOTTLING CO. (Coca Cola Israel), SOGLOWEK, HP ISRAEL, NETO Group, etc.

 

Amongst local suppliers: SALINA INDUSTRIES, DOR CHEMICALS, GADOT CHEMICAL, etc. Subject is also using the import purchasing and export services of TOAM IMPORT AND EXPORT.

 

Local representatives and distributors of:

 

·         SEAT, ITALDIBIPACK, of Italy,

·         MONTA, of Germany,

·         ALFA DOT, of the UK.

 

Main packaging machinery suppliers: MAILLIS, SIAT, ITALDIBIPACK, PACKWAY, SISCODATA, POLYPACK, PENTEC, WULFTEC, SMIPACK.

Also distributors of SYFAN, of Israel.

 

Operating from offices and a plant, on an area of 2,500 sq. meters, in Kibbutz Sde Boker (which owns the property) and from a rented warehouse, in Manpetat Sivey Hadarom Street, Masmia Junction.

 

Also have sales office in the U.K. and distributors network worldwide.

 

Note: "Kibbutz" is a typical local cooperative agricultural settlement/ village.

 

Having 85 employees (same as in 2010, had 90 employees in early 2009).

 

 

MEANS

 

Current stock is valued at NIS 13,000,000 (was valued at NIS 12,000,000 in mid 2010 and at NIS 13,000,000 in mid 2009).

 

Subject is an “Approved Enterprise” and as such enjoys tax benefits and State incentives.

In May 2000, the Israel Investment Center (IIC) approved the US$ 2.9 million investment plan to expand the plant in Sde Boker.

 

                                                                                                                        

B/S shows

                                                                                             NIS (thousands)

                                                                                         31.12.2009          31.12.2010

ASSETS

Current assets

     Cash                                                                                     108                    157

     “Kibbutz” Purchasing Organizations                                       5,947                  9,533

     Accounts receivable                                                           21,071                18,737

     Stock                                                                                13,862                15,417

                                                                                             40,988                43,844

 

Investments                                                                              2,049                  2,184

Fixed assets, net                                                                      7,810                  7,715

Other assets                                                                            1,575                  1,575

                                                                                             52,422                55,318

                                                                                           ======              ======

 

LIABILITIES

Current liabilities                                                                     20,645                20,939

Long term liabilities                                                                   4,196                  4,365

Equity                                                                                   27,581               30,014

                                                                                             52,422                55,318

                                                                                           ======              ======

 

 

SALES

 

·         2007 sales claimed to be NIS 74,000,000, 40% for export. We are informed that subject ended 2007 a profit (figures unavailable).

·         2008 sales claimed to be NIS 70,000,000, 35% for export.

·         2009 sales were NIS 56,934,000, of which 35% were for export. Subject ended 2009 with a net profit (figures unavailable).

·         2010 sales were NIS 57,000,000, of which 35% were for export. We were informed that subject ended 2010 with a nice profit.

·         2011 projected sales are NIS 73,000,000, of which 40% for export.

 

 

OTHER COMPANIES

 

·         Kibbutz Sde Boker also holds:

·         HEN HOUSE SDE BOKER ACS LTD., cultivation of chicks for saturation.

·         SDE BOKER WINERIES, winery, winemakers.

 

                                                                                                                        

BANKERS

 

·         Bank Hapoalim Ltd., Beer Sheva Branch (No. 631), Beer Sheva, account No. 606000.

·         Mizrahi Tefahot Bank Ltd., Beer Sheva Business Branch (No. 426), Beer Sheva, account No. 587130.

 

A check with the Central Banks’ database did not reveal anything detrimental on subject’s a/m accounts.

 

CHARACTER AND REPUTATION

 

Nothing unfavorable learned.

 

DAVIK is a well known company, enjoying a good reputation.

 

Subject is ISO 9002 certified.

 

Kibbutz Sde Boker, a locality in the southern Negev region, founded in 1952. There are some 170 members (population of 400). The Kibbutz is engaged in farming activities, cultivating irrigated land and vineyard, operating hen-house, etc. Besides, the Kibbutz offers several tourist attractions.

 

In June 2004, it was reported that subject signed several deals to provide adhesive tapes to the USA and Australia, for a sum of US$ 4 million.

 

In November 2005, it was reported that subject signed a cooperation deal with MONTA of Germany, to exclusively distribute the German company’s products locally.

 

In February 2006, it was reported that subject signed a cooperation deal with German packaging machinery company to supply them with carrying handles for Coca-Cola six packs, in a deal amounting to NIS 1 million.

 

In February 2006, it was reported that subject signed a deal with Russian Postal Authority to supply them with safety tapes amounting to € 1 million. Subject claimed that it invested NIS 1 million in R&D for the new type of safety tape.

 

 

SUMMARY

 

Good for trade engagements.

Maximum unsecured credit recommended US$ 400,000.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.50.90

UK Pound

1

Rs.80.30

Euro

1

Rs.68.48

 

 

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%)

 

 

 

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.