MIRA INFORM REPORT

 

 

Report Date :           

22.02.2012

 

IDENTIFICATION DETAILS

 

Name :

P.T. AGROJAYA PERDANA

 

 

Registered Office :

Jalan K.L. Yos Sudarso Km. 15.5, Medan Labuhan, Medan 20251, North Sumatra

 

 

Country :

Indonesia

 

 

Date of Incorporation :

04.04.1984

 

 

Com. Reg. No.:

No. AHU-63823.AH.01.02.TH.2008

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Crude Palm Kernel Oil Manufacturing

 

 

No. of Employees :

240

 

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$ 5.0 million

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 – September 30th, 2011

 

Country Name

Previous Rating

                   (30.06.2011)                  

Current Rating

(30.09.2011)

Indonesia

b1

b1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Name of Company

 

P.T. AGROJAYA PERDANA

 

 

company Address

 

Head Office & Factory

Jalan K.L. Yos Sudarso Km. 15.5

Medan Labuhan

Medan 20251, North Sumatra

Indonesia

Phone               - (62-61) 6850688 (Hunting), 6850203, 6851790

Fax                   - (62-61) 6850204

Email                - agrojaya@indo.net.id

Land Area         - 29,192 sq. meters

Building Space  - 11,382 sq. meters

Region              - Industrial Zone

Status               - Owned

 

 

Date of Incorporation

 

04 April 1984

 

 

Legal Form

 

P.T. (Perseroan Terbatas) or Limited Liability Company

 

 

Company Reg. No.

 

The Ministry of Law and Human Rights

- No. C2-683.HT.01.01.TH.85

  Dated 13 February 1985

- No. C-27625.HT.01.04.TH.2003

  Dated 18 November 2003

- No. AHU-63823.AH.01.02.TH.2008

  Dated 16 September 2008

 


Company Status

 

National Private Company

 

 

Permit by the Government Department

 

The Department of Industry

a. License for Pelletizing

    No. 294/DJAI/IUT-I/Non PMA-PMDN/1987

    Dated 22 May 1987

b. License for Palm Kernel Oil

    No. 165/DJAI/PP/D.II/1990

    Dated 14 April 1990

 

 

The Department of Finance

NPWP No. 01.259.055.0-112.000

 

 

Related Company

 

A member of the GROWTH STEEL Group (see attachment)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            : Rp.  16,000,000,000.-

Issued Capital                                  : Rp.  16,000,000,000.-

Paid up Capital                                : Rp.  16,000,000,000.-

 

Shareholders/Owners :

a. Mr. Fadjar Suhendra                          - Rp. 9,600,000,000.-

    Address : Jl. Taman Polinia II No. 27

                    Kec. Medan Polonia

                    North Sumatra

b. Mr. Sugih Suhendra                           - Rp. 6,400,000,000.-

    Address : Jl. Taman Polinia II No. 3

                    Kec. Medan Polonia

                    North Sumatra

 


BUSINESS ACTIVITIES

 

Lines of Business :

Crude Palm Kernel Oil Manufacturing

 

Production Capacity :

a.   Crude Palm of Kernel Oil (CPKO)     - 480,000 tons p.a.

b.   Palm Kernel Expeller                      - 100,800 tons p.a.

 

Total Investment :

a. Equity Capital                              - Rp. 16.0 billion

b. Loan Capital                                - Rp. 20.0 billion

c. Total Investment                           - Rp. 36.0 billion

 

Started Operation :

1984 and ceased operation on 12 February 2012

 

Brand Name :

None

 

Technical Assistance :

None

 

Number of Employee :

240persons                                    

 

Marketing Area :

a. Export    - 65%

b. Local       - 35%

 

Main Customer :

Overseas Market in Europe and South Korea

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. ASIAN AGRI HILIR

b. P.T. KARYA PRAJONA NELAYA

c. P.T. MUSIM MAS

d. P.T. SINAR MAS AGRO Tbk

e. Etc.

 

Business Trend :

Declining

 


BANKER, AUDITOR & LITIGATION

 

Bankers :

a.  P.T. Bank MANDIRI Tbk

     Jalan Diponegoro No. 100-109

     Medan, North Sumatra

      Indonesia

b.  P.T. Bank PERMATA Tbk

                                                      Jalan KH Zainul Arifin No. 49-50

                                                      Medan, North Sumatra

      Indonesia

c.                                                   ABN AMBRO Bank

                                                      Jalan Imam Bonjol No. 26-A

      Medan, North Sumatra

      Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2009 – Rp. 425.0 billion

2010 – Rp. 400.0 billion

2011 – Rp. 380.0 billion

 

Net Profit (estimated) :

2009 – Rp. 29.7 billion

2010 – Rp. 28.0 billion

2011 – Rp. 26.6 billion

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. Sutrisno

Director                                           - Mr. Muchsin Sugandi

 

Board of Commissioners :

President Commissioner                   - Mr. Fadjar Suhendra

Commissioner                                 - Mr. Sugih Suhendra

 

Signatories :

President Directors (Mr. Sutrisno) or Director (Mr. Muchsin Sugandi) which must be approved by Board of Commissioner (Mr. Fadjar Suhendra and Mr. Sugih Suhendra)

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

Credit Risk :

Below Average

 

Credit Recommendation :

Credit can be proceeded normally

 

Proposed Credit Limit :

Moderate amount

 

Maximum Credit Limit :

US$ 5.0 million on the 90 days of payments

 

 

OVERALL PERFORMANCE

 

P.T. AGRO JAYA PERDANA (P.T. AJP) was established in Jakarta, on April 1984 in Medan (North Sumatra) with an authorized capital of Rp. 100,000,000 issued capital of Rp. 50,000,000 entirely paid up. The founding and original shareholders are Mr. Sugih Suhendra, Mr. Tumin and Mr. Lie Tek Tjang, they are Indonesian businessmen of Chinese extraction.    The company's notary deed has frequently been revised. Later in November 2003 the authorized capital was raised to Rp. 16,000,000,000 entirely issued and fully paid up.  By the same time the shareholders had changed and Mr. Tumin and Mr. Lie Tek Tjang pulled out and the whole shares sold to Mr. Fadjar Suhendra. The deed of amendment was made by Mr. John Langsung, SH., a public notary in Medan, was approved by the Ministry of Law and Human Rights in its Decision Letter No. AHU-63823.AH.01.02.TH.2008 dated September 16, 2008.

 

At present, the majority business stakes of P.T. AJP are controlled by Mr. Fadjar Suhendra (60%) and his younger brother Mr. Sugih Suhendra (40%). P.T. AJP is a member of the GROWTH STEEL Group or the GROWTH SUMATERA Group, a small sized company group being led by Mr. Fadjar Suhendra (65). The group focuses its activities to deal with iron and steel casting, steel milling, shrimp culturing and cold storage, cassava pelletizing and chip manufacturing.

 

P.T. AJP is engaged in the filed of palm kernel crushing mill Industry and has been operating since 1987. The factory is located on a 2.9 hectare plot of land at Jalan K.L. Yos Sudarso Km. 15.5,  Medan, North Sumatra. P.T. AJP has crushing capacity of 1800 MT Palm Kernel per day in producing Crude Palm Kernel Oil (CPKO) and Palm Kernel Expeller (PKE). The company was awarded ISO 9001:2000 Quality Management System from TUV and GMP / HACCP from Schutter. About 65% of the company's Palm Kernel Oil and Expeller are exported to Japan, the USA, Europe and the Middle East, and the rest is sold to cooking oil industries in the country. The company equipped with various modern machineries such as 101 units press machines; 92 units of second press machine; 4 units of kernel elevators; 8 unit oil conveyors; 4 lines silo kernel & expeller; 15 units filter pressing; 8 units panels; and other facilities. P.T. AJP also does the trading of Crude Coconut Oil, Copra Expeller and Crude Palm Oil. The products are mainly exported to Europe and Asia Market.

 

Oil yield from Palm Kernel Oil are Crude Palm Kernel Oil (CPKO), in the CPKO included there are fat, protein, fibre and water and some other component able to influence the quality from the oil, one of the important parameter in determining the quality of oil its sour content of free fat. High free fat acid in an oil can generate the strange odor and easy to oxidase so that can cut short a period to keeping. Increase of Rate ALB determined to start from moment palm kernel harvested untul fruit produce by the factory. P.T. AJP is classified as a big-sized company dealing with palm kernel crushing mill industry in North Sumatra. However the factory has been ceased or stopped production on 12 February 2012 because P.T. AJP proved to dispose of waste and cover drainage and footpath residents around the plant. Additionally processing machinery P.T. AJP is very noisy and disturbs the surrounding community. Because of violations committed by the company, the community demands P.T. AJP halt factory operations. In addition the government has also been suggested that P.T. AJP stop the operation of the factory until the company was concerned about community demands. 

 

Generally outlook, the demand for CPO and PKO products has kept on rising well within the last five years in line with the increasingly growing demand for CPO and PKO products both from the local and foreign market. From the production sector, Indonesian CPO and PKO production has kept on rising significantly. The increase in production is caused by the increasingly growing wider of new oil palm estate development and production in Indonesia within the last several years. Besides, the national cooking oil production has kept on increasing in the last five years in line with the changing of the publics’ consumption patterns from using coconut cooking oil to palm cooking oil. Palm oil may tumble as much as 7.4 percent by the end of October 2010 as Malaysian production rebounds and Indonesian growers speed up shipments because of an export tax, according to Godrej International Ltd. Indonesia said August 2010 that production may fall to 19.0 million and 20 million tons, from 21 million in 2009. Global vegetable-oil demand will increase by 4.5 million tons in the year beginning Oct. 1, 2010 exceeding the 3.8 million tons increase in supply, Ministry said. The national crude palm oil, palm kernel oil production has kept on increasing in the last five years in line with the changing of the publics’ consumption patterns from using coconut cooking oil to palm cooking oil.

 

Indonesia’s Production, Consumption, Export of CPO, 2006-2010*

 

Year

Production (Thousand Ton)

Consumption

(Thousand Ton)

Export

(Thousand Ton)

2006

16,05

3,7

12,54

2007

17,27

4,0

12,65

2008

19,20

4,5

14,61

2009

21,14

4,9

16,94

  2010*

22,30

5,1

17,15

    Source: Agriculture Ministry, GAPKI

    *) Estimated by GAPKI (Indonesian Pal Oil Association)

 

Until this time P.T. AJP has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. The management of P.T. AJP is very reclusive towards outsiders and rejected to disclose its financial condition. We observed that total sales turnover of the company in 2009 amounted to Rp. 425.0 billion declined to Rp. 400.0 billion in 2010 dropt to Rp. 380.0 billion in 2011 and projected it will be lower by at least 6% in 2012 due to the stopped of the factory. The operation in 2011 yielded an estimated net profit of at least Rp. 26.6 billion and the company has an estimated total net worth of at least Rp. 220.0 billion. We observe that P.T. AJP is supported by GROWTH STEEL Group with has financially strong and sound behind it. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers.  

 

P.T. AJP's management is headed by Mr. Sutrisno (44) as president director, a businessman with more than 24 years of experience in palm kernel oil industry and trade. Daily activities, he is assisted by Mr. Muchsin Sugandi (42) as director. But, we believed that the prime-mover of the company is Mr. Fadjar Suhendra (65), a businessman with 42 years of experience in steel making and palm kernel oil industry. He is also the prime mover of the GROWTH STEEL Group, a company group focusing its business to deal with iron and steel product industry. The company's management is handled by professional staff in the above business. They have wide relations with private businessmen within and outside the country.

 

So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. Considering P.T. AGROJAYA PERDANA factory’s has been stopped operation on 12 February 2012 we recommend to stop any new business transaction to the company.

 

 

Attachment:

 

 

List of the GROWTH STEEL Group Members

 

 

1.          AGROJAYA PERDANA, P.T. (Palm Kernel Crushing Mills)

2.          GROWTH ASIA, P.T. (Iron and Steel Casting)

3.          GROWTH PACIFIC, P.T. (Shrimp Culture and Cold Storage)

4.          GROWTH PAKANINDO SPESIAL, P.T. (Animal Feed Mills)

5.          GROWTH SUMATRA  INDUSTRY LTD., P.T. (Steel Milling)

6.          HARKAT SEJAAHTERA, P.T. (Crude Palm Oil Processing)

7.          INDOFERRO, P.T. (Pig Iron Industry)

8.          LESTARI AGRIBISNIS INDONESIA, P.T. (Peternakan)

9.          LUBUK NAGA, P.T. (Shrimp Culture)

10.      PRISCOLIN, P.T. (Crude Palm Oil Processing)

11.      SERDANG JAYA PERDANA, P.T. (Coconut Oil Processing) Pabrik minyak kelapa

12.      UNION CONFECTIONARY, P.T. (Candy Manufacturing)

13.      UNION FOODS, P.T. (Food Processing)

14.      Etc.

 

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.49.08

UK Pound

1

Rs.77.79

Euro

1

Rs.65.17

 

 

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.