MIRA INFORM REPORT

 

 

Report Date :

25.11.2011

 

IDENTIFICATION DETAILS

 

Name :

HPM LEGRAND NEW ZEALAND LIMITED

 

 

Registered Office :

106-124 Target Road Glenfield Auckland 0627

 

 

Country :

New  Zealand

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

15.10.1959

 

 

Com. Reg. No.:

58768

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Distributor of products and systems for electrical installations, and their components used in residential, commercial and industrial buildings.

 

 

No. of Employees :

50 (Subject) 31,500 (Group)

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 420,000

Status :

Good

Payment Behaviour :

Usually Correct

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 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

New Zealand

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

IDENTIFICATION DETAILS

 

Verified Address

 

Subject name                            :   HPM LEGRAND NEW ZEALAND LIMITED

 

Business address                      :   106-124 Target Road

 

Town                                         :   Glenfield

Province                                    :   Auckland

Zip/postal code                          :   0627

Country                                     :   New  Zealand

Tel                                            :   +64 9 4420802

Fax                                           :   +64 9 4420803

Website                                    :   www.hpm.co.nz

 

 

Registered address                    :   106-124 Target Road

Town                                         :   Glenfield

Province                                    :   Auckland

Zip/postal code                          :   0627

Country                                     :   New  Zealand

 

Postal address                          :   PO BOX 33-1064

Town                                         :   Takapuna

Province                                    :   Auckland

Zip/postal code                          :   0740

Country                                                                                   :   New  Zealand

 

 

SUMMARY DETAILS

 

Executive Summary

 

Date founded or registered          :   15/10/1959

 

Legal form                                 :   Private Limited Company

 

Chief executive                          :   Jeff Butler

 

Issued & paid up capital             :   NZD 683,000

 

Sales turnover                            :   NZD 18,732,111 (Non-consolidated 12 months, 31/12/2010)

Net income                                :   NZD 355,354 (Non-consolidated 12 months, 31/12/2010)

Total fixed assets                       :   NZD 18,815,789 (Non-consolidated 12 months, 31/12/2010)

Line of business             :   Distributor of products and systems for electrical installations, and their components used in residential, commercial and industrial buildings.

 

Staff employed                                                                        :   50 (Subject) 31,500 (Group)

 

CREDIT RISK OPINION

 

Company Analysis

 

Country risk                               :   Country risk is minimal

 

Operation trend                          :   Operational trend is steady

 

Management experience :   Management is reasonably experienced

Financial performance                :   Financial performance is fair

Organization structure                :   Organizational structure is stable

Detrimental                    :   No detrimental records found

Payment history                                    :   No payment delays noted

 

Credit amount suggestion     :   USD 420,000

 

Credit amount asked                  :   Not described.

 

Comments                                :   Larger credit can still be considered. The Subject is well positioned in the market and the financial stability of the group is positive.

 

 

STATUTORY DETAILS

 

Registry Data

 

Registration date            :   15/10/1959

 

Legal form                     :   Private Limited Company

 

Registration no  58768

 

Registered authority       :   New Zealand Companies Office

 

Registry status              :   Live/Active

 

Previous name               :   The Subject was established on 15-10-1959 under the name ADAM AGENCIES LIMITED and changed its name to G.V. WICKENS LIMITED on 16-08-1962. G.V. WICKENS LIMITED then changed its name to HPM N.Z. LIMITED on 01-12-1988. HPM N.Z. LIMITED finally changed to the current style on 01-01-2009.

 

Change of legal form       :   None reported.

Comments                    :   On 01-01-2009, Legrand New Zealand Limited (Company No: 1258630) was amalgamated into HPM N.Z. Limited. HPM N.Z. Limited changed its name to the current style on amalgamation.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

 

Name                :           Giuseppe Parola

Designation       :           Managing Director

 

Name                :           Jeff Butler

Designation       :           NZ Regional Manager

 

Name                :           Jeremy Carter

Designation    :                       Business Development Manager

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

 

 

Appointments

Name                         : Designation                : Appointment date        : Address                     :

 

 

 

 

Antoine Didier Marie Burel

 

Director

 

16/02/07

 

12 Allée de la Grange

 

76360 Pissy-Pôville

France

 

Name                         :

 

Giuseppe Parola

Designation                :

Director

Appointment date        :

16/02/07

Address                     :

13 Lancelot Street

Concord, NSW 2137

Australia

Biography                   :

Born on 07-03-1965 in Angera, Italy.

 

Name                         :

 

Gilles Schnepp

Designation                :

Director

Appointment date        :

01/01/09

Address                     :

9 Rue du Dobropol

75017 Paris

France

Biography                   :

Born on 16-10-1958 in Lyon, France.

 

 

Mr. Gilles Schnepp is the Chairman of the Board and Chief Executive Officer, and a Member of the Executive Committee of Legrand SA as of March 17, 2006. He served as Vice Chairman of the Board of the Company from December 10, 2002 until March 17, 2006. He is also Member of the Company’s Strategy Committee. He graduated from Hautes Etudes Commerciales (HEC). He began his career at Merrill

Lynch France, where he became Vice President. He joined Legrand in 1989 as Assistant Finance Director, and then took the post of General Secretary, before serving as Finance Director from 1996 until

2000 and Deputy CEO from 2000 until March 17, 2006, serving also as a Director and Member of the Executive Committee of the Company from 2001. He currently holds several other mandates, within Legrand SA subsidiaries, including Chairman and CEO of Legrand France, Chairman of TCL Legrand International Electrical and Leten, among others.

 

 

Name                            :           Patrice Soudan

Designation                   :           Director

Appointment date           :           16/02/07

Address                        :           10 Rue de Cordelas

87350 Panazol

France

 

Biography                      :           Born on 29-09-1958 in Aix Eu Provence, France.

 

Mr. Patrice Soudan is Member of Executive Committee of Legrand SA. He is also Vice President-Wiring Devices & Home Systems Division, Deputy Chief Operating Officer of the Company. Mr. Soudan joined Legrand in 1990 as Finance Controller for international subsidiaries. He held successively the positions of Head of Finance Control, Vice-President Group Finance Control and Group Chief Financial Officer from 2001 to 2008, before taking over the management of the Wiring Devices and Home Systems Division.

 

Staff employed               :           50 (Subject) 31,500 (Group)

 

 

Key Advisors

 

 

Auditors                        :           DELOITTE

Level 18, Deloitte Centre

80 Queen Street Shortland Street Auckland 1140

New Zealand

 

 

Solicitors                       :           MINTER ELLISON RUDD WATTS Level 20, Lumley Centre

88 Shortland Street

Auckland 1010

New Zealand

SHARE CAPITAL

 

 

Composition

 

Authorized Capital                              :   NZD 683,000

 

No of shares                                       :   341,500 Ordinary Shares

 

Share par value                                   :   NZD 2

 

Issued capital                                     :   NZD 683,000

 

Paid up capital                                                                                         :   NZD 683,000

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed                     :   Full List

 

Composition

Shareholder name          :   LEGRAND AUSTRALIA PTY LTD

Address                        :   Unit 99, 77-99 St Hilliers Road

Auburn, NSW 2144

Australia

 

No. of shares                 :   341,500 Ordinary Shares

 

% of shares                            :   100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

 

Name                :   LEGRAND SA

 

Affiliation type    :   Ultimate Holding Company

 

Address            :   128 avenue du Maréchal de Lattre de Tassigny

87045 Limoges

France

 

Comments        :   Legrand S.A., together with its subsidiaries, manufactures and sells products and systems for electrical installations, and their components used in residential, commercial, and industrial buildings worldwide. The company offers a range of control and command, cable management, and energy distribution, as well as voice, data, and image products primarily under the Legrand and Bticino brand names. Its control and command products comprise electrical on-off switches and wall sockets, thermostats, dimmers, switches activated by infrared presence detectors, electro-mechanical and electronic timer switches, and other building automated products that enable lighting, climate control, sound diffusion, and automated shutter closing functions; and communication systems for video, telephone, or IT networks, as well as security products, such as fire and intruder alarm systems; smoke, water, heat, and motion detectors; and emergency lighting equipment for homes, offices, and other commercial properties. The company’s

 

Name                :   LEGRAND GROUP PTY LTD

Affiliation type    :   Intermediate Holding Company

Address            :   Unit 99, 77-99 St Hilliers Road

Auburn NSW 2144

Australia

 

Name                :   LEGRAND AUSTRALIA PTY LTD

Affiliation type    :   Parent Company

Address            :   Unit 99, 77-99 St Hilliers Road

Auburn, NSW 2144

Australia

 

Comments        :   Manufacturer and distributor of products and systems for electrical installations, and their components used in residential, commercial and industrial buildings.

 

 

Name                :   LEGRAND NEDERLAND B.V.

Affiliation type    :   Sister Company

Address            :   Van Salmstraat 76

5281 RS Boxtel

Netherlands

 

Name                :   LEGRAND - BTICINO GMBH

Affiliation type    :   Sister Company

Address            :   Am Silberg 14

59494 Soest

Germany

 

Name                :   LEGRAND (INDIA) PVT. LTD.

Affiliation type    :   Sister Company

Address            :   61/62, Kalpataru Square, 6th Floor

Off Andheri-Kurla Road - Andheri (East)

400 059 Mumbai

India

 

Name                :   LEGRAND (SUISSE) S.A.

Affiliation type    :   Sister Company

Address            :   Industriestrasse, 3

5242, Birr

Switzerland

 

Name                :   LEGRAND (S) PTE LTD

Affiliation type    :   Sister Company

Address            :   15 Jalan Kilang Barat

# 07-05 Frontech Centre

159357 Singapore

Singapore

 

Name                :   LEGRAND (HK) LTD

Affiliation type    :   Sister Company

Address            :   12/F., Wearbest Building Phase II

66 To Kwa Wan Road

Kowloon

Hong Kong

 

Name                :   LEGRAND ELECTRIC LIMITED

Affiliation type    :   Sister Company

Address            :   Dial Lane

West Bromwich

B70 0EB

 

Related companies and corporate

affiliations comments      :   Other companies of the Legrand Group should be considered affiliates of the Subject.

 

 

BANK & MORTGAGES

 

 

Bank Details

 

Name of bank                :   Citibank N.A.

Address                        :   New Zealand

Account details              :   Current Account

 

 

Comments                    :   It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

 

Mortgages                              :   None reported.

 

 

Legal Fillings

 

Bankruptcy fillings          :   None reported.

Court judgements           :   None reported.

Tax liens                       :   None reported.

Others                          :   None reported.

 

 

 

FINANCIAL DATA

 

 

Description

 

Source of financial statement               :   Commercial Registry Filings

 

Financial statement date                     :   31/12/10

 

Type of accounts                                :   Full audited

 

Currency                                            :   New Zealand, Dollar (NZD) Exchange rate                                                   :   1 USD = NZD 1.34 as of 23-11-2011

Summarized Financial Information

Consolidation type                              :   Non Consolidated     Non Consolidated         Group Consolidated

 

   Currency                                                                              :   New Zealand, Dollar     New Zealand, Dollar     Euro (EUR)

                                                                        (NZD)                        (NZD)

 

Denomination                                                                                           :   (x1) One                             (x1) One                            (x1) One

 

Date of financial year end                                                                        :   31/12/10                             31/12/09                            31/12/10

 

Length of accounts                                                                                  :   12 months                           12 months                         12 months

 

Sale turnover / Income                                                                             :   18,732,111                          18,293,239                         3,890,500,000

 

Operating profit                                                                                       :                                                                                                                                                                        757,600,000

 

Profit before tax                                                                                        :   553,733                              153,654                             646,600,000

 

Net income                                                                                               :   355,354                              73,115                               419,500,000

 

Non current assets                                                                                  :   7,296,903                            5,568,763                          4,640,600,000

 

Current assets                                    :   11,518,886                                                              9,710,758                                                                 1,424,100,000

 

Inventories                                          :

3,987,427

4,084,071

549,100,000

Total assets                                       :

18,815,789

15,279,521

6,064,700,000

Current liabilities                                 :

7,272,453

4,091,539

1,253,000,000

Non current liabilities                           :

0

0

2,075,700,000

Total liabilities                                    :

7,272,453

4,091,539

3,328,700,000

Share equity                                       :

11,543,336

11,187,982

2,736,000,000

Retained earning                                 :

10,860,336

10,504,982

1,810,700,000

 

Comments                    :   The non-consolidated financial information above relates to the Subject only.

 

The group’s consolidated financial information above relates to the Subject’s Ultimate Holding Company Legrand SA and all its subsidiaries which include the Subject.

 

OPERATION DETAILS

 

Main activities    :   The Subject is engaged as distributor of products and systems for electrical installations, and their components used in residential, commercial and industrial buildings.

 

The Subject is part of Legrand SA (formerly Legrand Holding SA), which is a France-based company that specializes in the design, manufacture and distribution of products and systems for electrical installations and information networks. Its portfolio of products is divided into four groups, such as management of electrical installations, cable management systems, power and Voice Data Image distribution. The Company offers wiring devices and accessories, distribution boxes and sockets, flush mounting, control and connection devices and safety systems for people and property, among others, for use in residential, commercial and industrial buildings. The Company operates through brand names like Legrand, Arnould, Cablofil, Ortronics, Planet Watthom, Cofrel, Zucchini, URA and Alpes Technologies, among others. Legrand SA operates in more than 180 countries with over 178,000 products in its catalogues, divided into 98 product families. As of March 31, 2011, Wendel held a 11.1% stake in the Company's shareholdings.

 

Product & services         :   Electresafe - RCD - residual current device

Excel - range of switches/powerpoints

IMO - industrial gear

Instant Heat - 3 in 1 ventilation system Nelon New Zealand - lighting accessories Nostalgic - range of switches/powerpoints Quantum - industrial switchgear

Remon - multiple remote switching system

 

Purchases

 

International       :   Australia, Asian countries, Europe

 

 

Sales

 

Local                :   Yes

 

International       :   Pacific Island

 

 

Property & Assets

 

 

Premises          :   The Subject operates from premises located at the verified heading address consisting of warehouse and administrative office.

 

Branches          :   None reported.

 

Other property   :   Total NBV of property, plant and equipment as of 31-12-2010 was NZD

229,328.

 

 

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

 

Central bank                                          :   Reserve Bank of New Zealand

Reserve of foreign exchange & gold         :   US$ 18.421 billion

Gross domestic product - GDP               :   US$ 140,434 billion

 

GPP (Purchasing power parity)               :   119.791 billion of International dollars

 

GDP per capita - current prices               :   US$ $32,145

 

GDP - composition by sector                  :   agriculture: 4.6% industry: 23.7% services: 71.7%

 

Inflation                                                 :   2008: 4%

2009: 2.1%

2010: 2.5%

 

Unemployment rate                                :   2008: 4.2%

2009: 6.2%

2010: 6.2%

 

Public debt

(General Government gross debt as a % GDP) :   2008: 20.4%

2009: 26.2%

2010: 31%

 

Government bond ratings                        :   Standard & Poor's: AA+/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

 

Market value of publicly traded shares      :   US$ 67.061 billion

 

Largest companies in the country            :   Telecom of New Zealand, Transpower, Fletcher Building,Infratil

 

 

Trade & Competitiveness Overview

 

 

Total exports                                         :   US$29.53 billion

 

Exports commodities                             :   dairy products, meat, wood and wood products, fish, machinery

 

Total imports                                         :   US$31.11 billion

 

Imports commodities                              :   machinery and equipment, vehicles and aircraft, petroleum, electronics,textiles, plastics

 

 

Export - major partners                           :   Australia 22%, US 11.5%, Japan 9.2%, China 5.3%, UK 4.6%

 

Import - major partners                           :   Australia 20.7%, China 13.4%, US 9.7%, Japan 9.5%, Singapore 4.9%, Germany 4.7%

 

FDI Inflows                                            :   2007: US$3,441 million

2008: US$4,993 million

2009: US$348 million

 

FDI Outflows                                          :   2007: US$3,703 million

2008: US$-239 million

2009: US$-406 million

 

Best countries for doing business                :   3 out of 183 countries

 

Global competitiveness ranking               :   23 (ranking by country on a basis of 133, the first is the best)

 

 

Country and Population Overview

 

 

Total population             :   4.37 million

 

Total area                      :   270,467 km2

 

Capital                          :   Wellington

 

Currency                                 :   New Zealand dollars (NZD)

 

Internet users as % of total population:   84.38%

 

 

PAYMENT HISTORY

 

Purchase Term

 

International                                       :   L/C, Prepayment, Credit up to 90 days

 

 

Sales Term

 

Local                                                 :   Prepayment, Credit up to 90 days

 

International                                       :   L/C, Credit up to 90 days

 

 

Trade Reference/ Payment

Behaviour

 

Comments                                         :   As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined but based on our research, payments are believed to be met without delay.

 

 

Investigation Note

 

Sources                                             :   Interviews and material provided by the Subject

 

:   Other official and local business sources

 

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.52.25

UK Pound

1

Rs.81.23

Euro

1

Rs.69.82

 

 

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.