MIRA INFORM REPORT

 

 

Report Date :

01.12.2012

 

IDENTIFICATION DETAILS

 

Name :

DTI GROUP LTD

 

 

Registered Office :

50 Affleck Road, Perth Airport, Australia,  6105

 

 

Country :

Australia

 

 

Financials (as on) :

30.06.2012

 

 

Date of Incorporation :

08.06.1995

 

 

Reg. No.:

069791091

 

 

Legal Form :

Unlisted Public Company

 

 

Line of Business :

Design, development, sales and management of integrated video Surveillance and vehicle tracking technology.

 

 

No. of Employees :

60

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Australia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Australia - ECONOMIC OVERVIEW

 

Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron ore, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia also has a large services sector and is a significant exporter of natural resources, energy, and food. Key tenets of Australia''s trade policy include support for open trade and the successful culmination of the Doha Round of multilateral trade negotiations, particularly for agriculture and services. The Australian economy grew for 17 consecutive years before the global financial crisis. Subsequently, the former RUDD government introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the slowing world economy, while the Reserve Bank of Australia cut interest rates to historic lows. These policies - and continued demand for commodities, especially from China - helped the Australian economy rebound after just one quarter of negative growth. The economy grew by 1.4% during 2009 - the best performance in the OECD - by 2.7% in 2010, and by 1.8% in 2011. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009 and fell to 5.0% in 2011. As a result of an improved economy, the budget deficit is expected to peak below 4.2% of GDP and the government could return to budget surpluses as early as 2015. Australia was one of the first advanced economies to raise interest rates, with seven rate hikes between October 2009 and November 2010. The GILLARD government is focused on raising Australia''s economic productivity to ensure the sustainability of growth, and continues to manage the symbiotic, but sometimes tense, economic relationship with China. Australia is engaged in the Trans-Pacific Partnership talks and ongoing free trade agreement negotiations with China, Japan, and Korea.

 

Source : CIA

 


IDENTIFICATION DETAILS

 

Verified Address

 

Subject name                            : DTI GROUP LTD

Other style / Business name       : DIGITAL TECHNOLOGY INTERNATIONAL

 

Business address                      : 50 Affleck Road

Town                                         : Perth Airport

Province                                    : Western Australia

Zip/postal code              : 6105

Country                                     : Australia

Tel                                            : +61 8 94791195

Fax                                           : +61 8 94791190

Email                                        : dti@dti.com.au

Website                                    : www.dti.com.au

 

Registered address                    : 50 Affleck Road

Town                                         : Perth Airport

Province                                    : Western Australia

Zip/postal code              : 6105

Country                                     : Australia

 

 

SUMMARY DETAILS

 

Executive Summary

 

Date founded or registered          : 08/06/1995

Legal form                                 : Unlisted Public Company

Chief executive              : Richard Andrew Johnson

Issued & paid up capital             : AUD 10,053,700

Sales turnover                            : AUD 14,762,644 (Consolidated 12 months, 30/06/2012)

Net income                                : AUD -227,115 (Consolidated 12 months, 30/06/2012)

Total fixed assets                       : AUD 11,751,331 (Consolidated 12 months, 30/06/2012)

Line of business                         : Design, development, sales and management of integrated video

   Surveillance and vehicle tracking technology.

Staff employed                           : 60 employees

 

Company Analysis

 

Country risk                               : Country risk is minimal

Operation trend              : Operational trend is declining

Management experience             : Management is reasonably experienced

Financial performance                : Financial performance is fair

Organization structure                : Organizational structure is stable

Detrimental                                : No detrimental found

Payment history                        : No payment delays noted

Credit amount suggestion           : USD 600,000

Credit amount asked                  : Not described.

 

 

STATUTORY DETAILS

 

Registry Data

 

Registration date                                                : 08/06/1995

Legal form                                                         : Unlisted Public Company

Registration no Australian Company Number        : 069791091

Registered authority                                           : Australian Securities & Investments Commission

Fiscal/ Tax no : Australian Business Number       : 15069791091

Registry status                                                  : Live/Active

Previous name                                                   : The Subject was established on 08-06-1995 under the

name UTS NAVIGATION SYSTEMS PTY LTD and changed its name to UTS NAVIGATION SYSTEMS

LTD on 15-07-2004. UTS NAVIGATION SYSTEMS LTD then changed its name to the current style on 08-12-2004.

Change of legal form                                           : None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

 

Name                                                                : Richard Andrew Johnson

Designation                                                       : Chief Executive Officer

Name                                                                : Bruce Douthwaite Mitchell

Designation                                                       : Chief Financial Officer

 

Name                                                                : Bruce Were

Designation                                                       : Chief Operating Officer

Name                                                                : Rick Gougeon

Designation                                                       : General Manager – America

 

Name                                                                : Steve Donnohue

Designation                                                       : General Manager – EMEA

 

Name                                                                : Jean-Michel Florent

Designation                                                      : General Manager – Asia

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

 

Name                                                                : Neil Edward Goodey

Designation                                                       : Director

Appointment date                                               : 08/06/95

Address                                                            : 7 Barberry Court

Dianella, WA 6059

Australia

Biography                                                          : Born on 15-05-1969 in United Kingdom.

 

Neil has over 20 years management and directorship experience in technology and mining service companies. Neil was co-founder of DTI Group as well as a number of other successful companies including UTS Geophysics. Neil is Managing Director and cofounder of Core scan Pty Ltd.

 

Name                                                                : Glyn Denison

Designation                                                       : Director

Appointment date                                               : 19/01/04

Address                                                            : 4 Clarendon Street

Cottesloe, WA 6011

Australia

Biography                                                          : Born on 28-09-1952 in Perth, Western Australia,  Australia.

Glyn has over 20 years experience in the transit technology sector and was a co-founder of ERG Limited. Glyn is a Director of OBJ Ltd. and consults with the business consulting firm of Evans & Peck Ltd. Glyn’s qualifications include a B.Eng., Grad.Dip.B.A., and MIEAust.

 

Name                                                                : Christopher John Morris

Designation                                                       : Director

Appointment date                                               : 29/06/11

Address                                                            : Unit 10, 123 Beaconsfield Parade

Albert Park, VIC 3206

Australia

Biography                                                          : Born on 20-10-1947 in Melbourne, Victoria, Australia.

Chris attended his first computer course in Melbourne in 1966 after completing high school. Following this he worked for various computer companies mainly associated with maintaining companies share registries until 1978 when he was a founding member of Computershare Limited (established in 1978) and was appointed Chief Executive Officer in 1990. Chris’ extensive knowledge of the securities industry and its user requirements from both a national and international perspective, coupled with his passion and long term strategic vision, has been instrumental in developing Computershare into a global company that is unique in its provision of a full range of solutions to meet the needs of listed companies and their stakeholders.

In September 2010 he relinquished his executive responsibilities at Computershare Limited and took on the role of Non-Executive Chairman. Since then he has joined the board of Web Firm and is Chairman of Car Parking Technologies. He is also on the board of

a number of private technology companies and owns a hotel group called the Colonial Leisure Group which has 15 hotels in Perth and Melbourne.

 

Name                                                                : Jeremy Philip King

Designation                                                       : Director

Appointment date                                               : 29/06/11

Address                                                            : 8 St Leonards Avenue

West Leederville, WA 6007

Australia

Biography                                                          : Born on 11-05-1974 in Melbourne, Victoria, Australia.

Jeremy is a corporate lawyer with over 12 years experience in domestic and international law, as well as in financial and corporate matters. He spent several years in London where he worked with Allen & Overy LLP and Debevoise & Plimpton LLP. He has extensive

corporate experience, particularly in relation to cross-border private equity, leveraged buy-out acquisitions and acting for banks, financial institutions and corporate issuers in respect of various debt and equity capital raisings. As a corporate advisor with Max Capital Pty Limited, he regularly advises a wide range of listed public and private companies in respect to capital raisings, investments, acquisitions and corporate issues.

 

Name                                                                : Richard Andrew Johnson

Designation                                                       : Director

Appointment date                                               : 09/08/11

Address                                                            : 3 Vigors Court

Duncraig, WA 6023

Australia

Biography                                                          : Born on 29-12-1963 in Calgary, Canada.  Richard is a qualified engineer and has over 17 years experience in the transit technology sector. In 2005 Richard joined DTI as General Manager and commenced the role as Chief Executive Officer in October 2006. In June 2011 Richard joined the Board as Managing Director. Prior to joining DTI, he held senior  management positions within ERG Limited which developed, supplied, and managed integrated fare collection systems for the transit industry around the world. Richard’s qualifications include a B.Sc (Eng), M.Eng.St., and an MBA.

 

Name                                                                : Bruce Douthwaite Mitchell

Designation                                                       : Company Secretary

Appointment date                                               : 27/05/12

Address                                                            : 20 Langley Way

Booragoon, WA 6154

Australia

Biography                                                          : Born on 13-04-1967 in Pietermaritzburg, South Africa.

Bruce has been a qualified Chartered Accountant for almost 20 years and has over 15 years experience in senior financial roles. He joined DTI in 2012 as CFO and is responsible for the management and administration of all aspects relating to both internal and external financial accounting and reporting. Prior to DTI Bruce gained

experience working as a Financial Director for several South Africa based companies. He has worked across varied industries including IT and manufacturing.

Staff employed                                                   : 60 employees

 

 

Key Advisors

 

Auditors                                                            : BDO AUDIT (WA) PTY LTD

38 Station Street

Subiaco, WA 6008

Australia

 

HORWATH AUDIT (WA)

128 Hay Street

Subiaco, WA 6008

Australia

 

Solicitors                                                           : HEWETT & LOVITT

Level 1, 849 Wellington Street

West Perth, WA 6005

Australia

 

 

SHARE CAPITAL

 

Composition

 

Authorized Capital                                              : AUD 10,053,700

No of shares                                                      : 10,376,117 Ordinary Shares

Share par value                                      : No par value

Issued capital                                                    : AUD 10,053,700

Paid up capital                                                   : AUD 10,053,700

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed                                                         : N/A

 

Composition

 

Ownership / Shareholding comment                     : Unlisted Public Companies in Australia are not required to disclosed their shareholding structure however the Subject is believe to be controlled by the Board of Directors.

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

 

Name                                                                : VIRTUAL OBSERVER PTY LTD

Affiliation type                                                    : Wholly-owned Subsidiary

Address                                                            : 50 Affleck Road

Perth Airport, WA 6105

Australia

 

Name                                                                : DTI EMEA LIMITED

Affiliation type                                                    : Wholly-owned Subsidiary

Address                                                            : Hill House

1 Little New Street

London EC4A 3TR

United Kingdom

 

Name                                                                : CORESCAN PTY LTD

Affiliation type                                                    : Associate

Address                                                            : Unit 13, 28 Belmont Avenue

Belmont, WA 6104

Australia

 

 

BANK & MORTGAGES

 

Bank Details

 

Name of bank                                                    : Westpac Banking Corporation

 

Address                                                            : Australia

 

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                                                         : Satisfied Charge Details:

 

 

ASIC Charge Number: 808186

Date Registered: 04-07-2001

Charge type: Both Fixed & Floating

Date Created: 02-06-2001

Chargees Name: COMMONWEALTH BANK OF AUSTRALIA

 

ASIC Charge Number: 1308268

Date Registered: 02-06-2006

Charge type: Both Fixed & Floating

Date Created: 02-06-2006

Chargees Name: PENDULUM CAPITAL PTY LIMITED

 

ASIC Charge Number: 1779354

Date Registered: 21-04-2009

Charge type: Both Fixed & Floating

Date Created: 15-04-2009

Chargees Name: PENDULUM INVESTMENTS PTY LIMITED

 

ASIC Charge Number: 1807040

Date Registered: 30-06-2009

Charge type: Both Fixed & Floating

Date Created: 16-06-2009

Chargees Name: WESTPAC BANKING

CORPORATION

 

ASIC Charge Number: 1900689

Date Registered: 23-12-2009

Charge type: Both Fixed & Floating

Date Created: 21-12-2009

Chargees Name: PENDULUM INVESTMENTS PTY LIMITED

 

ASIC Charge Number: 1916580

Date Registered: 21-01-2010

Charge type: Both Fixed & Floating

Date Created: 20-01-2010

Chargees Name: PENDULUM INVESTMENTS PTY LIMITED

 

ASIC Charge Number: 2054196

Date Registered: 30-09-2010

Charge type: Both Fixed & Floating

Date Created: 30-09-2010

Chargees Name: BERMUDA COMMERCIAL BANK LIMITED

 

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                                    : 30/06/12

Type of accounts                                               : Full audited

Currency                                                           : Australia Dollar (AUD)

Exchange rate                                                   : 1 USD = AUD 0.96 as of 28-11-2012

 

Summarized Financial Information

 

Consolidation type                                             : Consolidated               Consolidated

Currency                                                           : Australia Dollar (AUD) Australia Dollar (AUD)

Denomination                                                    : (x1) One                      (x1) One

Date of financial year end                                    : 30/06/12                      30/06/11

Length of accounts                                             : 12 months                   12 months

Sale turnover / Income                                        : 14,762,644                 16,638,361

Profit before tax                                                 : -426,992                      565,151

Net income                                                        : -227,115                      776,151

Non current assets                                             : 4,077,676                    3,089,495

Current assets                                                   : 7,673,655                    8,651,587

Inventories                                                         : 2,516,626                    1,367,136

Total assets                                                      : 11,751,331                  11,741,082

Current liabilities                                                : 4,264,623                    4,286,308

Non current liabilities                                          : 34,556                        60,403

Total liabilities                                                    : 4,299,179                    4,346,711

Share equity                                                      : 7,452,152                    7,394,371

Reserve                                                             : 1,153,272                    1,118,376

Retained earning                                                : -2,903,601                   -2,676,486

 

Comments :                                          The consolidated financial information above relates to the Subject and all its subsidiaries.

 

 

OPERATION DETAILS

 

Main activities                                        : The Subject is engaged in design, development, sales and management of integrated video surveillance and vehicle tracking technology specially developed for use in the public transport sector including bus, rail, taxi and law enforcement operations.

 

The Subject’s integrated solution incorporates proprietary hardware and software technology which enables high quality digital video, audio and vehicle location information to be captured, stored, retrieved and reviewed across a fleet of transit vehicles.

 

Product & services                                 : Bus Solutions

-Mobile Digital Recorder (MDR5 series)

-CCTV Investigation Software

-Surveillance Management System

Rail Solutions

-Integrated Rail Communication, Passenger Information and Video

Surveillance System

-DRU System Server

-Video Surveillance Recording

-Train Data Recorder (TDR)

-Passenger Emergency Intercom

-Driver Display Unit

-External Destination Indicator

-CCTV Investigation Software

-Surveillance Management System

-Automated Camera Maintenance System

-Fleet Data Management System (FDMS)

-Vehicle Location System

-Vehicle Data Recorder

Taxi Solutions

-In Car Video

-Software and Data, Vehicle Interface Modules

-Driver Duress

-Camera Coverage & Picture Quality

 

Purchases

 

International                                           : Taiwan, China, United States, United Kingdom

 

Sales

 

Local                                                    : Yes

International                                           : United Kingdom, United States, United Arab Emirates, South Africa, Netherlands

 

Property & Assets

 

Premises                                              : The Subject operates from premises located at the verified heading address consisting of a production facility, warehouse and administrative office.

Branches                                              : None reported.

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

 

Central bank                                          : Reserve Bank of Australia

Reserve of foreign exchange & gold         : US$ 43.879 billion

Gross domestic product - GDP               : US$ 1.586 trillion

GPP (Purchasing power parity)               : 954.296 billion of International dollars

GDP per capita - current prices               : US$ 68,916

GDP - composition by sector                  : agriculture: 4%

Industry                                                 : 25.6%

Services                                                : 70.4%

Inflation                                                 : 2009: 1.8%

2010: 2.8%

2011: 3.4%

Unemployment rate                                : 2009: 5.6%

2010: 5.2%

2011: 5.1%

Public debt

(General Government gross debt as

a % GDP)

: 2009: 16.9%

2010: 20.4%

2011: 22.9%

Government bond ratings                        : Standard & Poor's: AAA/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded

shares

: US$1.258 trillion

Largest companies in the country            : Commonwealth Bank (Banking), BHP Billiton (Materials), Westpac Banking Group (Banking), Rio Tinto (Materials), National Australia Bank (Banking), ANZ Banking (Banking), Telstra (Telecommunications)

 

Trade & Competitiveness Overview

 

Total exports                                         : US$210.7 billion

 

Exports commodities                             : Coal, iron ore, gold, meat, wool, alumina, wheat

 

Total imports                                         : US$187.2 billion

 

Imports commodities                              : Machinery and transport equipment, computers and office machines, telecommunication equipment and parts, crude oil and petroleum products

 

Export - major partners                           : Japan 18.9%, China 14.2%, South Korea 8%, US 6%, NZ

5.6%, India 5.5%, UK 4.2%

 

Import - major partners                           : China 15.5%, US 12.8%, Japan 9.6%, Singapore 5.6%, Germany 5.2%, UK 4.3%, Thailand 4.2%

FDI Inflows                                            : 2008: US$46,843 million

2009: US$25,716 million

2010: US$32,472 million

 

FDI Outflows                                          : 2008: US$33,604 million

2009: US$16,160 million

2010: US$26,431 million

 

Best countries for doing business            : 10 out of 183 countries

 

Global competitiveness ranking               : 20 (ranking by country on a basis of 142, the first is the best)

Country and Population Overview

 

Total population                                     : 22.23 million

 

Total area                                              : 7,692,024 km2

 

Capital                                                  : Canberra

 

Currency                                               : Australian dollars (AUD)

 

Internet users as % of total

Population                                             : 76%

 

 

PAYMENT HISTORY

 

Purchase Term

 

Local                                                    : Credit 30-60 days, Prepayment

International                                           : Credit 45 days, Prepayment

Sales Term

 

Local                                                    : Credit 30 days

International                                           : Credit 30-45 days

 

Trade Reference/ Payment

 

Behavior

 

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.54.52

UK Pound

1

Rs.87.48

Euro

1

Rs.70.89

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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.