MIRA INFORM REPORT

 

Report Date :

16.04.2012

 

IDENTIFICATION DETAILS

 

Name :

TENCATE GEOSYNTHETICS ASIA SDN. BHD.

 

 

Formerly Known As :

POLYFELT ASIA SDN. BHD.

 

 

Registered Office :

C/o SECURITIES SERVICES (HOLDINGS) SDN. BHD.

Level 7, Menara Milenium Jalan Damanlela Pusat Bandar Damansara Kuala Lumpur Wilayah Persekutuan 50490

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

15.05.1993

 

 

Com. Reg. No.:

264232-U

 

 

Legal Form :

Private Company Limited By Shares

 

 

Line of Business :

Manufacturing and distribution of geotextiles for civil and engineering construction.

 

 

No. of Employees :

120 employees (Subject); 4,353 (Ten Cate Group)

 

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 :

USD 2,200,000

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 – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Malaysia

A2

A2

 

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 :              TENCATE GEOSYNTHETICS ASIA SDN. BHD.

Business address :        14, Jalan Sementa 27/91

Seksyen 27

Town :                           Shah Alam

Province :                      Selangor Darul Ehsan

Zip/postal code :            40400

Country :                       Malaysia

Tel :                              +60 3 51928568

Fax :                             +60 3 51928575

Email :                          info.asia@tencate.com

Website :                      www.tencate.com

 

Registered address :      C/o SECURITIES SERVICES (HOLDINGS) SDN. BHD.

Level 7, Menara Milenium

Jalan Damanlela

Pusat Bandar Damansara

Town :                           Kuala Lumpur

Province :                      Wilayah Persekutuan

Zip/postal code :            50490

Country :                       Malaysia

 

SUMMARY DETAILS

 

Executive Summary

Date founded or registered :        15/05/1993

Legal form :                               Private Company Limited By Shares

Chief executive :                        John James Smith

Issued & paid up capital :           MYR 18,000,000

Sales turnover :              MYR 122,815,142 (Consolidated 12 months, 31/12/2010)

Net income :                              MYR 16,182,212 (Consolidated 12 months, 31/12/2010)

Total fixed assets :                     MYR 85,074,251 (Consolidated 12 months, 31/12/2010)

Line of business :                       Manufacturing and distribution of geotextiles for civil and engineering

construction.

Staff employed :                         120 employees (Subject); 4,353 (Ten Cate Group)

 

CREDIT RISK OPINION

 

Company Analysis

Country risk :                             Country risk is minimal

Operation trend :                        Operational trend is steady

Management experience :           Management is adequately experienced

Financial performance :              Financial performance is good

Organization structure :              Organizational structure is stable

Detrimental :                  No detrimental records found

Payment history :                      No payment delays noted

Credit amount suggestion :         USD 2,200,000

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 :                      15/05/1993

Legal form :                               Private Company Limited By Shares

Registration no                          264232-U

Registered authority :                 Companies Commission of Malaysia

Registry status :                        Live/Active

Previous name :                         The Subject was established under the name POLYFELT ASIA SDN. BHD. And changed to the current style on 04-08-2006.

Change of legal form :                 None reported.

 

MANAGEMENT / DIRECTORS

 

Key Management

Name :                          John James Smith

Designation :                 Managing Director

 

Name :                          Loke Kean Hooi

Designation :                 General Manager

 

Name :                          Low Siew Chong

Designation :                 Financial Controller

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

Name :                          Wallace Lamar Moore Jr.

Designation :                 Director

Identification no :            213894985

Appointment date :         02/09/10

Address :                      Fischergasse 18

4040 Linz

Austria

 

Name :                          Joseph Wallace Averette III

Designation :                 Director

Identification no :            425501525

Appointment date :         24/06/10

Address :                      67 Emerald Allie

Hoschton, GA 30548

United States

 

Name :                          Mohamed Bashir Bin Mohamed Shariff

Designation :                 Director

Identification no :            460614-06-5165

Appointment date :         08/05/96

Address :                      4-C,Jalan Maktab Enam

Off Jalan Gurney

54100 Kuala Lumpur

Wilayah Persekutuan

Malaysia

 

Name :                          Pattis Naidu A/L M Danapal

Designation :                 Director

Identification no :            500822-10-5401

Appointment date :         05/01/01

Address :                      No. 9, Jalan SS 3/94

Kelana Jaya

47300 Petaling Jaya

Selangor Darul Ehsan

Malaysia

 

Name :                          John James Smith

Designation :                 Director

Identification no :            761321700

Appointment date :         15/05/93

Address :                      No. 155G, Sri Wangsaria Condominium

Jalan Ara, Bangsar Baru

59100 Kuala Lumpur

Wilayah Persekutuan

Malaysia

 

Name :                          Chua Siew Chuan

Designation :                 Company Secretary

Identification no :            580826-05-5408

Appointment date :         31/03/08

Address :                      No. 6 Jalan SS 14/8E

Subang Jaya

47500 Petaling Jaya

Selangor Darul Ehsan

Malaysia

 

Name :                          Pan Seng Wee

Designation :                 Company Secretary

Identification no :            750810-10-5510

Appointment date :         01/03/09

Address :                      No. 11 Jalan Setia Impian U13/4N

Setia Alam, Seksyen U13

40170 Shah Alam

Selangor Darul Ehsan

Malaysia

Staff employed :             120 employees (Subject); 4,353 (Ten Cate Group)

 

Key Advisors

Auditors :                      KPMG

KPMG TOWER

8 First Avenue

Bandar Utama

47800 Petaling Jaya

Selangor Darul Ehsan

Malaysia

 

 

SHARE CAPITAL

 

Composition

Authorized Capital :        MYR 100,000,000

No of shares :                70,000,000 Convertible Redeemable Shares / 30,000,000 Ordinary Shares

Share par value :            MYR 1

Issued capital :              MYR 18,000,000

Paid up capital :             MYR 18,000,000

 

OWNERSHIP / SHAREHOLDERS

 

How listed :                   Full List

 

Composition

Shareholder name :        KONINKLIJKE TEN CATE N.V.

Address :                      Stationsstraat 11

7607 GX Almelo

Netherlands

No. of shares :               17,999,999 Ordinary Shares

 

Shareholder name :        TENCATE GEOSYNTHETICS FRANCE SAS

Address :                      9 Rue Marcel Paul

95870 Bezon

France

No. of shares :               1 Ordinary Share


RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

Name :                          KONINKLIJKE TEN CATE N.V.

Affiliation type :              Parent Company

Address :                      Stationsstraat 11

7607 GX Almelo

Netherlands

Comments :                  Royal (Koninklijke in Dutch) Ten Cate N.V., together with its subsidiaries,

engages in the development, production, and sale of functional materials for

safety and protection, aerospace, industrial, sport and recreation, and

infrastructure and environment applications worldwide. The company’s Advanced

Textiles and Composites segment manufactures and sells protective and safety

fabrics for the professional wear and outdoor fabrics markets. This segment also

offers composites for the aerospace industry and special industrial applications,

and for personal protection and vehicle armour, including composite materials

with bullet, fragment, knife, and needle-proof characteristics. Its Geosynthetics

and Grass segment engages in the manufacture and sale of fabrics, grids, and

nonwovens for use in civil engineering, the construction industry, and the

environmental market, as well as industrial fabrics for various applications, such

as agribusiness, sport, and recreation. This segment also manufactures synthetic

turf components and systems, including synthetic grass fibres and backing for a

range of applications, such as football, hockey, and other sports pitches, as well

as landscaping. The company’s Other Activities segment manufactures and sells

rubber and foam rollers and components for the office equipment industry and

related products, such as printers, copiers, fax machines, postal sorting

machines, and automated teller machines, as well as develops, produces, and

sells inkjet technology and related components for industrial applications. It

operates primarily in Europe, North America, South America, Australia, and Asia.

The company was formerly known as Royal Nijverdal–Ten Cate nv and changed

its name to Royal Ten Cate nv in 1995. Royal Ten Cate nv is headquartered in

Almelo, the Netherlands.

 

Name :                          TENCATE GEOSYNTHETICS (THAILAND) LTD.

Affiliation type :              Wholly-owned Subsidiary

Address :                      3 Fl. Sermsap Building

169/98 Ratchadaphisek Road

Din Daeng, Din Daeng, Bangkok 10320

Thailand

 

Name :                          TENCATE GEOSYNTHETICS MALAYSIA SDN. BHD.

Affiliation type :              Wholly-owned Subsidiary

Address :                      14, Jalan Sementa 27/91

Seksyen 27

Shah Alam 40400

Selangor Darul Ehsan

Malaysia

 

Name :                          TENCATE GEOSYNTHETICS SINGAPORE PTE. LTD.

Affiliation type :              Wholly-owned Subsidiary

Address :                      67B Tuas South Avenue 1

Singapore 637581

Singapore

 

Name :                          TENCATE GEOSYNTHETICS (U.K.) LIMITED

Affiliation type :              Sister Company

Address :                      PO Box 773

Telford

Shropshire TF7 9 FE

United Kingdom

 

Name :                          TENCATE GEOSYNTHETICS ITALY S.R.L.

Affiliation type :              Sister Company

Address :                      Via Montale 2

20036 Meda

Italy

 

Name :                          TEN CATE INDUSTRIAL ZHUHAI CO., LTD

Affiliation type :              Sister Company

Address :                      South of Nangang West Road

Gaolan Port Economic Zone

Zhuhai 519050, Guangdong

China

 

Name :                          TENCATE ADVANCED COMPOSITES USA INC.

Affiliation type :              Sister Company

Address :                      18410 Butterfield Blvd.

Morgan Hill, California 95037

United States

 

Name :                          TENCATE GEOSYNTHETICS DEUTSCHLAND GMBH

Affiliation type :              Sister Company

Address :                      Max-Planck-Straίe 6

63128 Dietzenbach

Germany

 

Name :                          TENCATE PROTECT BV

Affiliation type :              Sister Company

Address :                      P.O. Box 186

7440 AD Nijverdal

The Netherlands

 

Related companies and corporate affiliations comments

: Other companies of the Ten Cate Group should be considered affiliates of the Subject.


BANK & MORTGAGES

 

Bank Details

 

Name of bank :              Malayan Banking Berhad (Maybank)

Address :                      Malaysia

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 :                                 Malaysia, Ringgit (MYR)

Exchange rate :                         1 USD = MYR 3.08 as of 16-04-2012

 

Summarized Financial Information

 

Consolidation type :                   Consolidated Consolidated Group Consolidated

Currency :                                 Malaysia, Ringgit (MYR) Malaysia, Ringgit (MYR) Euro (EUR)

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

Date of financial year end :          31/12/10                        31/12/09                        31/12/11

Length of accounts :                   12 months                     12 months                     12 months

Sale turnover / Income : 122,815,142                  127,320,554                  1,138,800,000

Operating profit :                        19,095,662                    26,553,703                    89,600,000

Profit before tax :                       18,464,679                    25,026,486                    78,300,000

Net income :                              16,182,212                   22,934,452                    59,600,000

Non current assets :                   34,219,258                    36,205,269                    531,700,000

Current assets :                         50,854,993                    41,273,178                    471,700,000

Inventories :                               17,209,185                    16,367,378                    267,900,000

Total assets :                            85,074,251                    77,478,447                    1,003,400,000

Current liabilities :                      15,910,574                    18,169,545                    213,200,000

Non current liabilities :                23,126,662                    7,030,405                      320,700,000

Total liabilities :                          39,037,236                    25,199,950                    533,900,000

Share equity :                            46,037,015                    52,278,497                    469,500,000

Reserve :                                   28,037,015                    34,014,308

 

Comments :                  The consolidated financial information above relates to the Subject and its subsidiaries. The group’s consolidated financial information above relates to the Subject’s Ultimate Holding Company Koninklijke Ten Cate N.V. and all its subsidiaries which include the Subject.

 

OPERATION DETAILS

 

Main activities :              The Subject is engaged in manufacturing and distribution of geotextiles for civil and engineering construction.

The Subject operates as a subsidiary of Royal (Koninklijke in Dutch) Ten Cate N.V..

Royal Ten Cate is a 300 year old company specializing in high technology textiles and composites for protective fabrics, aerospace, antiballistic, construction and artificial grass industries. The Ten Cate Group is recognized as a global market leader in these fields and has manufacturing, sales and distribution facilities in North America, Europe and Asia.

 

Product & services :       - Non woven and woven geotextiles

- Geogrids and soil reinforcement composites, geotubes and geocontainers

Brand :                          TENCATE

 

Purchases

International :                 Europe, Asia

 

Sales

Local :                          Yes

International :                 Asia & Ocenia: Australia, Austria, Bangladesh, Brunei, Cambodia, China,

Hong Kong, India, Indonesia, Japan, Laos, Myanmar, Nepal, Philippines,

Singapore, Sri Lanka, Taiwan, Thailand, Vietnam

Key events : Koninklijke Ten Cate NV Acquires Performance Materials Corporation

Baycomp

 

Monday, 26 Mar 2012

Koninklijke Ten Cate NV announced that it has reached an agreement for

the strategic acquisition of Performance Materials Corporation Baycomp

from Camarillo (California), United States, the American and Canadian

specialist company in composite materials molding and thermoplastic

uni-directional tape materials. No financial details of the transaction were

disclosed. The Company expects the purchase of Performance Materials

Corporation Baycomp to be completed on or before April 2, 2012.

Koninklijke Ten Cate NV's TenCate Geosynthetics Project Partner In

Yellow River Dike Monitoring

 

Monday, 19 Mar 2012

Koninklijke Ten Cate NV announced that TenCate Geosynthetics and AGT

International have signed a letter of intent for collaboration on the

installation of TenCate GeoDetect technology in a dike body at the Yellow

River in Dayulan (Zhengzhou) in the Henan province in China. TenCate

GeoDetect is a monitoring system based on geotextiles with interwoven

fiber optics, which registers changes in embankments and dikes. The

system will be used in the AGT Flood Early Warning System.

Koninklijke Ten Cate NV Acquires Danish ARDS ApS-DJ

 

Friday, 23 Dec 2011

Dow Jones reported Koninklijke Ten Cate NV has issued a press release

announcing its cooperation with the Danish company ABDS ApS for the

development and market preparation of the TenCate ABDS(TM) active

blast countermeasure system, a system for the protection of army vehicles

against improvised explosive devices and roadside bombs. The Company

announces an agreement with the shareholders to acquire all the shares of

ABDS ApS, which will be integrated into the Company as Ten Cate Active

Protection ApS. Full ownership by the Company effectively supports a

timely international market introduction through producers of army vehicles

in order to substantially increase the survivability protection levels of

vehicles used in crisis areas. The acquisition shall be completed once

Danish authorities have approved the transaction, which approval is

expected shortly. The implementation of the TenCate ABDS(TM) active

blast countermeasure system is planned to take place in the course of

2012-2013.

 

Koninklijke Ten Cate NV Supplies Flame Resistant Fabrics For Canadian

Air Force

 

Monday, 14 Nov 2011

Koninklijke Ten Cate NV announced that its TenCate Protective Fabrics is

providing flame resistant (FR) fabric for two tenders in the Canadian

military market. The first tender concerns the Advance Combat Ensemble

(ACE) used by the Canadian Air Force. This military ensemble will be made

with Nomex FR fabric in the TenCate Brigade portfolio. The second tender

involves TenCate Campshield FR liner fabric for use in tents by all

Canadian Defence Forces. This FR fabric is also Nomex based. Financial

terms of the agreement were not disclosed.

 

Property & Assets

Premises :                    The Subject operates from premises located at the verified heading

address consisting of production facilities, warehouse and administrative

office.

Branches :                    In addition, the Subject operates from production facilities located at:

Lot 6, Jalan Bunga Tanjong 1

Senawang Industrial Park

70400 Seremban

Negeri Sembilan

Malaysia

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

MYR 32,640,353.

 

 


SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

Central bank :                                        Central Bank of Malaysia

Reserve of foreign exchange & gold :       US$ 135.7 billion as of 31 March 2012

Gross domestic product - GDP :             US$ 247.781 billion

GPP (Purchasing power parity) :             US$ 442.01 billion of International dollar

GDP per capita - current prices :             US$ 8,624

GDP - composition by sector :                agriculture: 10.2%

industry: 42.1%

services: 47.8%

 

Inflation :                                               2008: 5.4%

2009: 0.6%

2010: 1.7%

2011: 2.8%

 

Unemployment rate :                              2008: 3.3%

2009: 3.6%

2010: 3.3%

2011: 3.2%

Public debt

(General Government gross debt as

a % GDP):                                            2008: 42.8%

2009: 55.4%

2010: 54.2%

 

Government bond ratings :                      Standard & Poor's: A-/Stable/A-2

Moody's rating: A3

Moody's outlook: STA

Market value of publicly traded

shares:                                                             US$ 420 billion

Largest companies in the country :          CIMB Group Holdings (Banking), Sime Darby (Conglomerates), Public Bank Berhad (Banking), Maybank (Banking), Tenaga Nasional Berhad (Utilities), Petronas Chemicals, Maxis Berhad

 

Trade & Competitiveness Overview

 

Total exports :                                       US$210.3 billion

 

Exports commodities :                           Electronic equipment, petroleum and liquefied natural gas, wood and wood products, palm oil, rubber, textiles, chemicals

 

Total imports :                                       US$156.2 billion

 

Imports commodities :                            Electronics, machinery, petroleum products, plastics, vehicles, iron and steel products, chemicals

 

Export - major partners :                         US 15.6%, Singapore 14.6%, Japan 9.1%, China 8.8%, Thailand 5%, Hong Kong 4.6%

 

Import - major partners :                         Japan 13%, China 12.9%, Singapore 11.5%, US 10.8%, Taiwan 5.7%, Thailand 5.3%, South Korea 4.9%, Germany 4.6%, Indonesia 4.2%

 

FDI Inflows :                                          2007: US$8,538 million

2008: US$7,318 million

2009: US$1,381 million

 

FDI Outflows :                                        2007: US$11,280 million

2008: US$14,988 million

2009: US$8,038 million

Best countries for doing business :          21 out of 183 countries

Global competitiveness ranking :             21 (ranking by country on a basis of 142, the first is the best)

 

Country and Population Overview

Total population :                                   28.23 million

Total area :                                            329,847 km2

Capital :                                                Kuala Lumpur

Currency :                                             Malaysia Ringgits (MYR)

Internet users as % of total

population:                                            55.3%

 

PAYMENT HISTORY

 

Purchase Term

International :     L/C, Document against payment, Prepayment, Credit up to 120 days

 

Sales Term

Local :              Prepayment, Bank transfer, Document against payment, Credit up to 120 days

International :     L/C, Document against payment, Prepayment, Credit up to 120 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.51.42

UK Pound

1

Rs.81.93

Euro

1

Rs.67.67

 

 

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.