MIRA INFORM REPORT

 

Report Date :

17.02.2012

 

IDENTIFICATION DETAILS

 

Name :

LAFARGE SURMA CEMENT LIMITED

 

 

Registered Office :

Suvastu Imam Square (3rd Floor), 65, Gulshan Avaenue, Gulshan-1, Dhaka-1212

 

 

Country :

Bangladesh

 

 

Financials (as on) :

2010

 

 

Year of Establishment :

1997

 

 

Com. Reg. No.:

C-34266

 

 

Legal Form :

Public Limited Company (20th January 2003)

 

 

Line of Business :

Manufacturer of Cements & Clinkers

 

 

No. of Employees :

5,000

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

US$ 70,000.00

Status :

Moderate

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Bangladesh 

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


COMPANY DETAILS

 

Name

Lafarge Surma Cement Limited

Address

Suvastu Imam Square (3rd Floor), 65, Gulshan Avaenue, Gulshan-1, Dhaka-1212

Country

Bangladesh

Telephone No

880-2-8854847, 8812026

Fax No

880-2-8825413, 8815167

E-Mail

info@bd.lafarge.com

Website

www.lafarge-bd.com

Established

1997

Registration No

C-34266

Registration Date

11th November 1997 (As Private Limited Company)

Legal Status

Public Limited Company (20th January 2003)

Issuing Authority

The Registrar of Joint Stock Companies & Firms, Dhaka

Business Type

Manufacturer

Status

Satisfactory

Payment Behavior

No complaints have been heard regarding payments

from local suppliers or banks.

 

 

LOCATIONS

 

Head Office

Suvastu Imam Square (3rd Floor), 65, Gulshan Avaenue, Gulshan-1, Dhaka-1212

Telephone No

880-2-8854847, 8812026

Fax No

880-2-8825413, 8815167

E-Mail

info@bd.lafarge.com

Website

www.lafarge-bd.com

Branch   

NIL

Factory

Chhatak, Sunamganj, Bangladesh

Factory Telephone No

N/A

Factory Fax No

N/A

Warehouse

Chhatak, Sunamganj, Bangladesh

 

DIRECTORS

 

Name

Mr. Martin Kriegner

Designation

Chairman

Nationality

UNKNOWN

 

 

Name

Mr. Michael Andrew Cowell

Designation

Managing Director

Nationality

UNKNOWN

 

 

Name

Mr. Jose Maria Fontdecaba

Designation

Director

Nationality

UNKNOWN

 

 

Name

Mr. Anisur Rahman Sinha

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Manzurul Islam

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Shivesh Kumar Sinha

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Zakir Ahmed Khan

Designation

Independent Director

Nationality

Bangladeshi

 

 

Name

Mr. Syed Md. Moazzem Hussain

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Jean Desazars de Montgailhard

Designation

Director

Nationality

UNKNOWN

 

 

Name

Mr. Enrique de Bobes Pellicer

Designation

Director

Nationality

UNKNOWN

 

 

Name

Mr. Salvador Fernandez Capo

Designation

Director

Nationality

Bangladeshi

 

 

SHAREHOLDER

 

Name

Surma Holdings B.V.

Share Percent

58.87%

Country

Netherlands

 

 

Name

Asian Development Bank

Share Percent

9.98%

Country

N/A

 

 

Name

International Finance Corporation 

Share Percent

3.93%

Country

N/A

 

 

Name

Sinha Fashions Limited  

Share Percent

3.02%

Country

Bangladesh

 

 

Name

Islam Cement Limited  

Share Percent

2.75%

Country

Bangladesh

 

 

Name

Other Shareholders   

Share Percent

21.45%

Country

Bangladesh

 

 

BUSINESS DETAILS

 

Line of Business

Manufacturer

Items Dealing In

Cements & Clinkers

Terms of Purchase

Local: Cash or Credit

Import: Against L/C

Terms of Sale

Local: Cash or Credit

Export: Against L/C

 

 

FINANCIAL INFORMATION

 

Consolidated Balance Sheet

As At 30 June 2010

Currency: Taka (In Thousand)

 

ASSETS

2010

NON-CURRENT ASSETS

 

Property, plant and equipment

12,809,215

Intangible assets

5,765

Investment in subsidiaries

519,893

Loan to subsidiary company

1,132,479

 

14,467,352

CURRENT ASSETS

 

Inventories

973,029

Trade receivables

127,007

Accrued interest

241,533

Advances, deposits & prepayments

623,705

Derivative instruments-assets

244

Cash and cash equivalents

20,427

 

1,985,945

TOTAL ASSETS

16,453,297

LIABILITIES

 

Share capital

5,806,868

Accumulated loss

(790,805)

SHAREHOLDERS' EQUITY

5,016,063

NON-CURRENT LIABILITIES

 

Long-term debt

3,809,846

Deferred income tax liabilities

586,448

Contribution to employee benefits

46,132

 

4,442,426

CURRENT LIABILITIES

 

Trade payables

858,562

Other payables

395,784

Derivative instruments-liabilities

21,765

Current portion of long term debt

1,727,386

Bank overdrafts

112,033

Short-term debt

3,878,027

Income tax payable

1,251

 

6,994,808

TOTAL EQUITY AND LIABILITIES

16,453,297

 

 

Statement of Comprehensive Income

For the Period Ended 30 June 2010

Currency: Taka (In Thousand)

 

REVENUE

3,471,118

Cost of sales

(2,488,463)

GROSS PROFIT

982,655

General and administrative expenses

(194,796)

Selling and distribution expenses

(60,587)

Other income

7,427

OPERATING INCOME

734,699

Exchange (loss)/income on foreign currency translation

61,858

Finance costs

(326,465)

Finance income

18,711

Contribution to Workers' Profit Participation and Welfare Funds

(24,440)

NET PROFIT/(LOSS) BEFORE TAX

464,363

Income tax expenses

(201,311)

NET PROFIT/(LOSS) AFTER TAX

263,052

Earnings per share (Taka)

4.53

 

 

EXCHANGE RATE

 

Currency

Unit

Bangladeshi Taka (BDT)

 

Great Britain Pound

1

130.2934

U.S Dollar

1

83.0000

European Euro

1

108.4727

 

 

ADVERSE DATA MONITORING

 

Dishonored Checks

No Found

Debt

No Records Found

Litigation

No Records Found

Performance Defaults

No Records Found

Adverse Press Coverage

No Records Found

Money Laundering

No Records Found

 

 

MAXIMUM RECOMMENDED CREDIT

 

Amount

Based On

US$ 70,000.00

90 Days

 

 

GENERAL INFORMATION

 

Employees

5,000

Range of Products

4 Ordinary Portland cement

4 Blended Cement

4 Clinkers

Brands

4 Supercrete

Awards

4 Super Brands 2009

Group Name 

4 Lafarge Group, France

Subsidiaries / Affiliates

4 Lafarge Umiam Mining Private Limited, India

Enlisted With

4 Dhaka Stock Exchange Limited, Dhaka

4 Chittagong Stock Exchange Limited, Chittagong

Member

4 Dhaka Chamber of Commerce & Industries, Dhaka

4 Bangladesh cement Manufacturer’s Association, Dhaka

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.49.25

UK Pound

1

Rs.77.45

Euro

1

Rs.64.89

 

 

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.