MIRA INFORM REPORT

 

 

Report Date :

03.04.2012

 

IDENTIFICATION DETAILS

 

Name :

SAUDI GROUP FOR CONSTRUCTION MATERIALS CO LTD

 

 

Registered Office :

Al Khaleej Commercial Centre, 7th Floor Olaya 80 Street Olaya District PO Box 58290 Riyadh 11594

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

09.08.1983

 

 

Com. Reg. No.:

1010047854, Riyadh

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Import and distribution of building and construction materials.

 

 

No. of Employees :

3,000

 

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 :

US$ 4,000,000

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Saudi Arabia

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                                     : SAUDI GROUP FOR CONSTRUCTION MATERIALS CO LTD

Country of Origin                                    : Saudi Arabia

Legal Form                                            : Limited Liability Partnership

Registration Date                                   : 9th August 1983

Commercial Registration Number            : 1010047854, Riyadh

Chamber Membership Number                : 25005

Issued Capital                                        : SR 8,000,000

Paid up Capital                                      : SR 8,000,000

Total Workforce                                     : 3,000

Activities                                               : Import and distribution of building and construction materials.

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Recommended Credit Limit                     : US$ 4,000,000

Person Interviewed                                 : Magdi Salem, Accountant

 

COMPANY NAME

 

SAUDI GROUP FOR CONSTRUCTION MATERIALS CO LTD

 

 

ADDRESS

 

Registered & Physical Address

 

Building             : Al Khaleej Commercial Centre, 7th Floor

Street               : Olaya 80 Street

Area                 : Olaya District

 

PO Box             : 58290

 

Town                 : Riyadh 11594

Country             : Saudi Arabia

 

Telephone         : (966-1) 4650165 / 4650169

Facsimile          : (966-1) 4651643 / 4627901

Email                : saudigroup@saudigroup.net.sa / info@saudigroup.net.sa

 

Premises

 

Subject operates from a medium sized suite of offices that are rented and located in the Central Business Area of Riyadh.

 

Branch Office (s)

 

     Location                                                                                           Description

 

·       Dammam                                                                                         Sales Office

Tel: (966-3) 8595477 / 8573505

Fax: (966-3) 8595605

 

·       Jeddah                                                                                             Sales Office

Tel: (966-2) 6214404 / 6204827

Fax: (966-2) 6204827

 

·       Tabuk                                                                                               Sales Office

Tel: (966-4) 4276820

 

·       Prince Salman Street                                                                        Rented warehouse premises

Old Industrial City

Riyadh

Tel: (966-1) 4482864

Fax: (966-1) 4470523

 

Subject operates a network of over 70 branches located throughout Saudi Arabia.

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Dr Ali Hassan Dayekh                                                                       Managing Partner

 

·       Mohamed Abdulaziz Al Jarullah                                                          Partner

 

·       Ahmad Abdulaziz Al Jarullah                                                              Partner

 

·       Ahmed Mustafa                                                                                 Finance Manager

 

·       Alaa Karra                                                                                        Commercial Manager

 

·       Alaa Saad                                                                                        Human Resources Manager

 

·       I T Vijayakumar                                                                                 Administration Manager

 

·       Majed Al Assar                                                                                 Construction Materials Manager

 

·       Essam Mirghani                                                                                Steel Products Manager

 

·       Mohamed Zaman                                                                              Wood Products Manager

 

·       Alaa Karrar                                                                                       Sales Manager

 

·       Magdi Salem                                                                                    Accountant

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 9th August 1983

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.  : 1010047854, Riyadh

 

Chamber Member No. : 25005

 

Issued Capital              : SR 8,000,000

 

Paid up Capital            : SR 8,000,000

 

Name of Partner (s)

 

·       Dr Ali Hassan Dayekh

 

·       Mohamed Abdulaziz Al Jarullah

 

·       Ahmad Abdulaziz Al Jarullah

 

 

AFFILIATED COMPANIES

 

·       Kuwait Cotton Products for Trade & Industries

 

·       Cisus Trading Est

 

·       Jarallah Est

 

·       Qatar Group Company

 

·       Al Seyassah Co

 

·       Arab Times Co

 

·       Dar Al Hadaf Co

 

·       Al Muna Company

 

·       Al Seyassah Commercial Print

 

·       Arab Times Photographic & Silk Screen House

 

·       Brothers Group Kuwait

 

·       Shuwaikh Trading Group

 

·       Nerah Jewellery

 

·       Saudi Group Company

 

·       Halla Industrial Co

 

·       Hai Aladel Co

 

·       Saudi Fertilizer Factory

 

·       Arabian Wood Work Factory

 

·       Saudi Wooden Pressed Factory

 

·       Usaimi & Jarallah Co

 

·       Iraq Group for Development

 

·       Al Riyadh Laboratories & Electricity Company

 

·       Advanced Technology Company

 

·       Saudi Mesh & Steel Company

 

·       Al Bander Hotel & Resort

 

·       Mezzaluna

 

·       Zoe

 

·       Savage Garden

 

·       Mansoon

 

·       Satam Complex

 

·       Alnama Group

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of building and construction materials such as wood, steel,

     hardware, tools, construction chemicals, insulation materials, fireproofing and safety materials.

 

Import Countries: Germany, Russia, Turkey, Romania, Finland, Spain, Italy, China, Malaysia, Thailand, Brazil and Canada.

 

Operating Trend: Steady

 

Subject has a workforce of approximately 3,000 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

                                                Year Ending 31/12/10:                Year Ending 31/12/11:

 

Total Sales                                SR 1,880,000,000,000                SR 2,150,000,000,000

 

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

 

The above figures were provided by Mr Magdi Salem, Accountant

 

 

BANKERS

 

·       National Commercial Bank

Malaz Branch

PO Box: 42536

Riyadh 11551

Tel: (966-1) 4776450

     Fax: (966-1) 4769502

 

·       Saudi British Bank

PO Box: 109

Jeddah 21411

Tel: (966-2) 6512121

 

·       Arab National Bank (ANB)

King Faisal Street

North Morabbaa

PO Box: 56921

Riyadh 11564

Tel: (966-1) 4029000

Fax: (966-1) 4027747

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction      June 2005                    June 2006                    July 2007                      July 2008

Credit amount                372,000             444,640             448,748             1,215,480

Amount overdue 0                                  0                                  0                                  0

Payment terms              90 days                         90 days                         90 days                         90 days

Payment Method           Letters of Credit             Letters of Credit             Letters of Credit             Letters of Credit

Paying record                No Complaints               No Complaints               No Complaints               No Complaints

Currency                       Canadian Dollars            Canadian Dollars            Canadian Dollars            Canadian Dollars

 

 

GENERAL COMMENTS

 

Established in 1983, subject is owned and managed by Mr Dr Ali Hassan Dayekh, Mr Mohamed Abdulaziz Al Jarullah and Mr Ahmad Abdulaziz Al Jarullah who are all well respected in the local business community.

 

According to local sources, subject’s financial condition is satisfactory whilst payments are made in a timely manner. The company’s operating history is reportedly clear and as such we are of the opinion that it is a sound trade risk.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.51.15

UK Pound

1

Rs.81.80

Euro

1

Rs.68.34

 

 

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.