MIRA INFORM REPORT

 

 

Report Date :

23.08.2012

 

IDENTIFICATION DETAILS

 

Name :

HARMONYA LABAIT LTD.

 

 

Formerly Known As :

COMIX FASHION LTD

 

 

Registered Office :

P.O. Box 8796, Netanya, Bnei Dror Industrial Zone, Bnei Dror 4581500

 

 

Country :

Israel

 

 

Date of Incorporation :

09.12.2004

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importers, marketers and retailers of house ware goods (giftware, ornamental items, home design products, kitchen ware, etc.), home textile and light furniture

 

 

No. of Employees :

100 employees.

 

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

 

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)

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 

 

HARMONYA LABAIT LTD.

Telephone 972 9 891 17 10

Fax           972 9 891 91 44

P.O. Box 8796, NETANYA

Bnei Dror Industrial Zone

BNEI DROR- 4581500-ISRAEL

 

 

HISTORY & LEGAL FORMATION

 

A private limited company, incorporated as per file No. 51-361643-3 on the 09.12.2004.

 

Originally incorporated under the name HIDUSH UBINUY LTD., which changed to COMIX FASHION LTD. on the 8.12.2005 and then changed to present name on the 28.11.2007.

 

(Note: English registered name is HARMONIA LABAIT LTD. with an “I”, while subject is also using the name with “Y” as you gave. The name’s translation into English is: “Harmony for Home”).

 

 

SHARE CAPITAL

 

Authorized share capital NIS 25,000.00, divided into:-

                25,000 ordinary shares of NIS 1.00 each,

of which 2,000 shares amounting to NIS 2,000.00 were issued.

 

 

SHAREHOLDERS

 

SOLE DIRECTOR & GENERAL MANAGER

 

 

BUSINESS

 

Company is fully owned by Miran Malka.

 

Miran Malka, born in 1972.

 

Importers, marketers and retailers of house ware goods (giftware, ornamental items, home design products, kitchen ware, etc.), home textile and light furniture.

 

Also operating a household goods retail store chain of 20 shops under the name “Harmonya Labait”, of which 9 are franchised (had 17 shops in early 2012, 15 in 2011 -1 franchised -, and 13 shops in 2010). 4 new branches are to be opened in the near future, of which 1 owned and 3 on franchise.

 

Shops are situated mainly in commercial centers and shopping malls.

 

All purchasing is from import, mainly from the Far East.

 

All of subject's imported goods are sold solely in their retail chain.

 

Operating from rented offices and warehouse, on an area of 3,000 sq. meters, in the Industrial Zone, Bnei Dror, which is a locality east of Netanya (to where they moved from 75 Hameyasdim Street, Even Yehuda, a nearby locality).

 

Also operating from 20 shops, 200-400 sq. meters each, rented, in: Nahariya, Nesher-Tel Hanan, Kiryat Shmona, Karmiel, Tiberias, Kiryat Ata, Afula, Netanya, Modi’in, Rishon Le-Zion, Hadera, Nes Ziona, Kiryat Gat, Bilu Junction, Kfar Sava, Beer Sheva (2 shops), Ashdod, Upper Nazareth and Ramat Gan.

 

4 new branches are in stages of opening: in Yarka Village, Eilat, in Netivot, and in Petach Tikva.

 

Among landlords: IBC INDUSTRIAL BUILDINGS, GAZIT GLOBE ISRAEL, BIG.

 

Having in all some 100 employees.

 

 

MEANS

 

Stock is valued at NIS 20,000,000.

 

Estimated annual advertising budget NIS 4 million.

 

There are 4 charges for unlimited amounts registered on the company's assets (general current charge on all assets and financial assets), in favor of Bank Hapoalim Ltd. (last charge placed on the 15.05.2012).

 

 

salES

 

2007 sales claimed to be NIS 15,000,000.

2008 sales claimed to be NIS 20,000,000.

2009 sales unavailable.

2010 sales claimed to be NIS 40,000,000.

2011 sales claimed to be NIS 60,000,000.

Sales for the first half of 2012 claimed to be NIS 40,000,000.

 


BANKERS

 

Bank Hapoalim Ltd., Netanya Business Branch (No. 167), Netanya, account

No. 47299.

 

A check with the Central Banks' database did not reveal any negative information regarding subject's a/m account.

 

Israel Discount Bank Ltd., Netanya Poleg Branch (No. 526), Netanya.

 

 

CHARACTER AND REPUTATION

 

Nothing unfavorable learned.

 

Prior to establishing subject, owner and General Manager Miran Malka worked as a salaried employee at the same area as subject and was the marketing VP of MATIM LI STORES, a large local fashion dealer and retailer (owned by Avi Malka, his bother).

 

It was reported that Mr. Malka acquired the chain of stores in March 2006 from the receiver of the previous owner, who established the chain in 2001, and went into financial difficulties.

 

During May 2012 it was reported on 3 new shops subject is in stages of opening: Bialik Mall, Ramat Gan – leased 300 sq. meters, paying NIS100 per sq.m/ month

 

7 Mall, Beer Sheva – leased 320 sq. meters, paying NIS100 per sq.m/ month

 

Hataas St., Kfar Saba – leased 350 sq. meters, paying NIS100 per sq.m/ month.

 

In August 2012 it was reported that subject leased premises for 3 new branches: in Yakhin Center, Petach Tikva– leased 300 sq. meters, paying NIS100 per sq.m/ month, in Hasatat St., Eilat – leased 460 sq. meters, paying NIS 60 per sq.m/ month, and in Kfar Yarka– leased 450 sq. meters, paying NIS60 per sq.m/ month.

 

According to the Central Bureau of Statistics (CBS) data, private consumption expenditure by local households in furniture in 2011 fell by 3.6% from 2010, after in 2010 it rose by 7.3% from 2009.

 

From CBS data, import of Household Utensils in 2011 rose by 7.3% from 2010, summing up to US$ 589.4 million. This comes after in 2010 import rose by 15.8% from 2009 (2009 level was similar to 2008).

 

The local household products market is considered highly competitive after reaching market saturation. It includes household textile, tableware and kitchenware and utensils, bath accessories and ornaments &decorative items, ceramic and glass ware, etc. According to estimations, the local household products market volume reaches NIS 2.5 – 3 billons annually (of which circa NIS 1 billion for “home textile”), and includes retail, wholesale, institutional markets (Retail chains capture 30% of the market share, specialization stores 20%, while the institutional and workers unions sector has 50% share).

 

 

The total giftware market in Israel is estimated at NIS 9 - 10 billion (including holidays presents) annually according to surveys. The market has been growing over the last years, which brought the local supermarket chains to expand their activities in this branch, considered 'Non-Food'. The market is divided into the following categories: simple shops, exclusive shops, household and giftware chains, complementary department in marketing chains, and departments in DIY chains.

 

 

SUMMARY

 

Good for trade engagements.

 

 

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.51

UK Pound

1

Rs.87.60

Euro

1

Rs.69.17

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.