MIRA INFORM REPORT

 

 

Report Date :           

18.04.2012

 

IDENTIFICATION DETAILS

 

Name :

AL NAKHIL PAPER INDUSTRIES CO LTD

 

 

Registered Office :

Second Industrial City, P O Box  22815, Riyadh 11416

 

 

Country :

Saudi Arabia 

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

18.08.1993

 

 

Com. Reg. No.:

1010112003, Riyadh

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Manufacturer of paper products

 

 

No. of Employees :

320

 

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$ 1,500,000

 

 

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 – March 31st, 2012

 

Country Name

Previous Rating

                   (31.12.2011)                  

Current Rating

(31.03.2012)

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                                     : AL NAKHIL PAPER INDUSTRIES CO LTD

Country of Origin                                    : Saudi Arabia

Legal Form                                            : Limited Liability Partnership

Registration Date                                   : 18th August 1993

Commercial Registration Number                        : 1010112003, Riyadh

Chamber Membership Number                : 53402

Issued Capital                                        : SR 30,000,000

Paid up Capital                                      : SR 30,000,000

Total Workforce                                     : 320

Activities                                               : Manufacture of paper products.

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Recommended Credit Limit                     : US$ 1,500,000

Person Interviewed                                 : Mohamed Amasha, Financial Controller

 

 

 

COMPANY NAME

 

AL NAKHIL PAPER INDUSTRIES CO LTD

 

 

company ADDRESS

 

Registered & Physical Address

Location            : Second Industrial City

PO Box             : 22815

Town                 : Riyadh 11416

Country             : Saudi Arabia

Telephone         : (966-1) 2650201

Facsimile          : (966-1) 2650182

Mobile               : (966-50) 5181684 / 5485536

Email                : mamsha@alkhorayef.com

 

Premises

Subject operates from a suite of offices and a factory covering an area of 15,500 square metres that are owned and located in the Industrial Area of Riyadh.

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

 

·       Mohamed Abdullah Al Khorayef                                                          Chief Executive Officer

 

·       Bandar Ibrahim Al Khorayef                                                                General Manager

 

·       Saad Abdullah Al Khorayef                                                                 Administration Manager

 

·       Mohamed Amasha                                                                            Financial Controller

 

·       Adel Al Ayyar                                                                                   Sales Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 18th August 1993 (Commercial production started in 1995)

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.  : 1010112003, Riyadh

 

Chamber Member No. : 53402

 

Issued Capital              : SR 30,000,000

 

Paid up Capital                        : SR 30,000,000

 

Name of Partner (s)

 

·       Abdullah Ibrahim Al Khorayef & Sons Group (AIA)                                90%

(Al Khorayef Commercial Co Ltd)

Al Khorayef Building

Al Kharj Road

2nd Industrial City

PO Box: 305

Riyadh 11411

Tel: (966-1) 4351479 / 4955452

Fax: (966-1) 4358852 / 4950261

 

·       Al Khorayef Printing Solution                                                              10%

Riyadh

 

 

AFFILIATED COMPANIES

 

Subject is a member of the Al Khorayef Group, which was established in 1957 as a modest private company working in the agricultural sector and representing major international producers of agricultural equipment such as submerged pumps and artesian well-drilling machines. Over the years, the company grew and became a leader in the Saudi agricultural field. It also played an important role in farming, managing thousands of hectares of land.

 

The group diversified across several industrial and commercial lines and now incorporates companies involved in agriculture, petroleum, credit, maintenance and operations, printing, travel and paper as well as medical and marine supplies. Its operations are spread over 10 countries.

 

The Al Khorayef Group comprises the following concerns:

 

·       Al Khorayef Industries Co Ltd

Second Industrial City

Street No. 5602, Zone C

PO Box: 42852

Riyadh 11551

Tel: (966-1) 2651124 / 2652057

Fax: (966-1) 2652348

Email: factory@khorayef.com

 

·       Al Khorayef Operations & Maintenance Co Ltd

PO Box: 305

Riyadh 11411

Tel: (966-1) 4351479 / 4351480

 

·       Al Khorayef Agricultural Projects Co

PO Box: 53390

Riyadh 11583

Tel: (966-1) 4351479

 

·       Al Khorayef Medical Co

PO Box: 60537

Riyadh 11551

Tel: (966-1) 4358424

Fax: (966-1) 4357369

 

·       Saudi Steel Company Ltd

Abqaiq Road

Second Industrial Estate

PO Box: 546

Dammam 31932

Tel: (966-3) 8421563

Fax: (966-3) 8430582

 

·       Al Khorayef Sons Co Ltd

Imam Mohamed Bin Saud Street

PO Box: 305

Riyadh 11411

Tel: (966-1) 4351479

 

·       Al Khorayef Hankook Ltd

     Riyadh

 

·       Saudi Parts Centre Co Ltd

Al Kharj Road

2nd Industrial City

Riyadh

Tel: (966-1) 4950917 / 4953620

Fax: (966-1) 4953351

 

·       Saudi Instalment House

PO Box: 18331

Riyadh

Tel: (966-1) 4628402

 

·       Trans Orient Modern Machinery Company Ltd

PO Box: 4605

Riyadh

Tel: (966-1) 4768257

Fax: (966-1) 4775439

 

·       Al Khorayef Management Services

World Trade Centre, 5th Floor

PO Box: 57714

Riyadh

Tel: (966-1) 4657030

 

·       ARAC Health Care Company

PO Box: 60537

Riyadh

Tel: (966-1) 4358424

Fax: (966-1) 4357369

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of paper products, specialising in carbonless copy paper (CCP) as well as   printing and writing paper.

 

Customers of the company are continuous form printers, paper traders and some government agencies.

           

The company has been certified for ISO 9002 since March 2000.

 

Production Capacity:   15,000 tonnes of carbonless copy paper (CCP) per annum

                                    30,000 tonnes of printing and writing paper per annum

 

Import Countries: Brazil, Indonesia and Europe.

 

Export Countries: Subject exports 20 percent of its carbonless copy paper production to neighbouring countries.

 

Operating Trend: Steady

 

Subject has a workforce of approximately 320 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 122,800,000             SR 130,000,000

 

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

 

The above figures were provided by Mr Mohamed Amasha, Financial Controller

 

 

BANKERS

 

·       Saudi American Bank

PO Box: 833

Riyadh 11471

Tel: (966-1) 4774770

 

·       Al Bank Al Saudi Al Fransi

Mather Road

PO Box: 56006

Riyadh 11554

Tel: (966-1) 4042222

Fax: (966-1) 4042311

 

·       National Commercial Bank

Airport Road

PO Box: 2800

Riyadh 11461

Tel: (966-1) 4772281

Fax: (966-1) 4730322

 

·       Riyad Bank

King Abdul Aziz Road

PO Box: 22622

Riyadh 11416

Tel: (966-1) 4122243

Fax: (966-1) 4013030

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

The company mainly produces carbonless copy paper (CCP) in which it is a market leader in Saudi Arabia with more than a 50 percent market share. It is also considered the second largest paper trader in the kingdom

 

The company is run in a professional manner and is a member of the well known Al Khorayef Group of Companies that has a number of ventures throughout the Kingdom.

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.51.62

UK Pound

1

Rs.81.94

Euro

1

Rs.67.65

 

 

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.