MIRA INFORM REPORT

 

 

Report Date :

31.08.2012

 

IDENTIFICATION DETAILS

 

Name :

LONATEX KNITTED FABRICS AND GARMENT FABRICATION

 

 

Registered Office :

13 Haret Halawat Souk El Selah El Kalaa Cairo

 

 

Country :

Egypt

 

 

Year of Establishment :

1967

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Knitting, dyeing and printing of garments and underwear

 

 

No. of Employees :

1,000

 

 

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 :

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)

Egypt

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EGYPT - ECONOMIC OVERVIEW

 

Occupying the northeast corner of the African continent, Egypt is bisected by the highly fertile Nile valley, where most economic activity takes place. Egypt's economy was highly centralized during the rule of former President Gamal Abdel NASSER but opened up considerably under former Presidents Anwar EL-SADAT and Mohamed Hosni MUBARAK. Cairo from 2004 to 2008 aggressively pursued economic reforms to attract foreign investment and facilitate GDP growth. Despite the relatively high levels of economic growth in recent years, living conditions for the average Egyptian remained poor and contributed to public discontent. After unrest erupted in January 2011, the Egyptian Government drastically increased social spending to address public dissatisfaction, but political uncertainty at the same time caused economic growth to slow significantly, reducing the government's revenues. Tourism, manufacturing, and construction are among the hardest hit sectors of the Egyptian economy, and economic growth is likely to remain slow at least through 2012. The government is utilizing foreign exchange reserves to support the Egyptian pound and Egypt may seek a loan from the International Monetary Fund.

 

Source : CIA

 

SUMMARY

 

Company Name                         : LONATEX KNITTED FABRICS AND GARMENT FABRICATION

Country of Origin                                    : Egypt

Legal Form                                            : Limited Liability Partnership

Registration Date                                   : 1967

Issued Capital                                        : £E 2,500,000

Paid up Capital                                      : £E 2,500,000

Total Workforce                                     : 1,000

Activities                                               : Knitting, dyeing and printing of garments and underwear

Financial Condition                                 : Undetermined

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                 : Dr Mohamed Samir Kamal Eddine, Managing Partner

 

COMPANY NAME

 

LONATEX KNITTED FABRICS AND GARMENT FABRICATION

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : 13 Haret Halawat Souk

Area                 : El Selah El Kalaa

Town                 : Cairo

Country             : Egypt

 

Mobile               : (20-100) 2108338 / (20-122) 2108338

Email                : drsamirkamal@lonatex.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of Cairo.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Dr Mohamed Samir Kamal Eddine                                                      Managing Partner

·       Karim Mohamed Samir Kamal Eddine                                     Partner

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1967

 

Legal Form                  : Limited Liability Partnership

 

Issued Capital              : £E 2,500,000

 

Paid up Capital            : £E 2,500,000

 

Name of Partner (s)

 

·       Dr Mohamed Samir Kamal Eddine

 

·       Karim Mohamed Samir Kamal Eddine

AFFILIATED COMPANIES

 

·       Delta Industries

Cairo

 

 

OPERATIONS

 

Activities: Engaged in the knitting, dyeing and printing of garments and underwear.

 

Import Countries: Europe and the Far East.

 

Subject has a workforce of approximately 1,000 employees.

 

 

FINANCIAL DATA

 

Companies registered in Egypt are not legally required to make their accounts public and no financial information was released by the company or submitted by outside sources.

 

 

BANKERS

 

·       Commercial International Bank (CIB)

Nile Tower Building

21-23 Giza Street

PO Box: 2430

Cairo

Tel: (20-2) 25703043

Fax: (20-2) 25703172 / 25072691

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Local sources report that payment obligations are met in a generally timely manner and the operating history is clear. As such the company is deemed a fair trade risk and the above credit figure is considered to be within subject’s financial means.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.55.65

UK Pound

1

Rs.88.10

Euro

1

Rs.69.83

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.