MIRA INFORM REPORT

 

 

Report Date :           

05.01.2012

 

IDENTIFICATION DETAILS

 

Name :

ACIDCHEM INTERNATIONAL SDN. BHD.

 

 

Formerly Known As :

PALMCHEM (M) SDN. BHD.

 

 

Registered Office :

2411, Lorong Perusahaan Satu, Prai Industrial Complex, Prai, Pulau Pinang, Zip/postal code  13600

 

 

Country :

Malaysia

 

 

Financials (as on) :

30.06.2010

 

 

Date of Incorporation :

16.12.1983

 

 

Com. Reg. No.:

111715-H

 

 

Legal Form :

Private Company Limited By Shares

 

 

Line of Business :

Manufacturer and sales of fatty acids and glycerine

 

 

No. of Employees :

578 employees (Subject); 30,000 employees (IOI Group)

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

 

Maximum Credit Limit :

USD 14,000,000                    

 

 

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 – September 30th, 2011

 

Country Name

Previous Rating

                   (30.06.2011)                  

Current Rating

(30.09.2011)

Malaysia

a2

a2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

 Bottom of Form

Identification details  Bottom of Form

 

 

Verified Address

Subject name                :           ACIDCHEM INTERNATIONAL SDN. BHD.

 

Business address         :           2411, Lorong Perusahaan Satu

Prai Industrial Complex

Town                             :           Prai

Province                        :           Pulau Pinang

Zip/postal code              :           13600

Country                         :           Malaysia

Tel                                :           +60 4 3907818

Fax                               :           +60 4 3907252

Website                        :           www.ioioleo.com

 

Registered address      :           2411, Lorong Perusahaan Satu

Prai Industrial Complex

Town                             :           Prai

Province                        :           Pulau Pinang

Zip/postal code              :           13600

Country                                                           :                       Malaysia

 

 

Summary details

 

Executive Summary

Date founded or registered          :   16/12/1983

Legal form                                 :   Private Company Limited By Shares

Chief executive                          :   Tan Kean Hua

Issued & paid up capital             :   MYR 20,000,000

Sales turnover                            :   MYR 1,289,038,502 (Non-consolidated 12 months, 30/06/2010)

Net income                                :   MYR 64,382,895 (Non-consolidated 12 months, 30/06/2010)

Total fixed assets                       :   MYR 678,280,183 (Non-consolidated 12 months, 30/06/2010)

Line of business             :   Manufacturer and sales of fatty acids and glycerine.

Staff employed                                                                        :   578 employees (Subject); 30,000 employees (IOI Group)

 

 

Credit risk opinion

 

Company Analysis

Country risk                               :   Country risk is minimal

Operation trend                          :   Operational trend is progressing

Management experience :   Management is adequately experienced

Financial performance                :   Financial performance is very good

Organization structure                :   Organizational structure is consistent

Detrimental                    :   No detrimental records found

Payment history                                    :   No payment delays noted

Credit amount suggestion     :   USD 14,000,000

 

Credit amount asked                           :   Not described.

Comments                                         :   Larger credit can still be considered. The Subject is well positioned in the market and the financial stability of the group is positive.

 

 

 

Statutory details

 

Registry Data

Registration date                                   :   16/12/1983

Legal form                                            :   Private Company Limited By Shares

Registration no                                         111715-H

Registered authority                              :   Companies Commission of Malaysia

Registry status                                     :   Live/Active

Previous name                                      :   The Subject was established under the name PALMCHEM (M) SDN. BHD. and changed to the current style on 05-07-1995.

Change of legal form                                                                                   :   None reported.

 

 

Management / directors

 

Key Management

 

Name                :           Tan Kean Hua

Designation       :           Executive Director

 

Name                :           Khoo Tiang Cheng

Designation       :           Chief Financial Officer

 

Name                :           Lai Choon Wah

Designation    :                       General Manager for Production

 

 

Board of directors / other appointments

 

Appointments

Name                            :           Khoo Tiang Cheng

Designation                   :           Director

Identification no              :           560905-08-5009

Appointment date           :           18/04/11

Address                        :           7 Lorong Kenari 9

Sungai Ara

11900 Bayan Lepas Pulau Pinang Malaysia

Name                            :           Tan Kean Hua

Designation                   :           Director

Identification no              :           640202-10-5499

Appointment date           :           01/07/06

Address                        :           No. 14, Jalan 31/74B Kota Kemuning

40460 Shah Alam Selangor Darul Ehsan Malaysia

 

Name                            :           Dato' Lee Yeow Chor

Designation                   :           Director

Identification no              :           661129-10-5443

Appointment date           :           01/03/02

Address                        :           6, Jalan Beverly Utama

IOI Resort

62502 Putrajaya Wilayah Persekutuan Malaysia

Biography                                                  :            Dato' Lee Yeow Chor serves as Group Executive Director of IOI

 

Corporation Bhd since April 25, 1996. He is a Barrister from Gray’s Inn, London, and holds a Bachelor of Law (LLB) from King’s College London, University of London, and a postgraduate diploma in Finance and Accounting from London School of Economics, University of London. He is the Group Executive Director of IOI Group of companies which are involved in four core business sectors, namely oil palm plantations, oleochemical manufacturing, specialty oils and fats and lastly, property development and investment. Prior to joining IOI Group as a General Manager in 1994, he served in various capacities in the Attorney General’s Chambers and the Malaysian Judiciary service for about four years. His last posting was as a Magistrate. Dato' Lee is the Chairman of the Malaysian Palm Oil Council (“MPOC”) and also serves as a Council Member in the Malaysian Palm Oil Association (“MPOA”). He has also been appointed a Director of the Malaysian Green Technology Corporation in April 2011.

 

Name                            :           Tan Choong Khiang

Designation                   :           Company Secretary

Identification no              :           701016-07-5317

Appointment date           :           01/08/11

Address                        :           7 Jalan PUJ 2/28

Taman Puncak Jalil

Bandar Putra Permai

43300 Seri Kembangan Selangor Darul Ehsan Malaysia

Biography                   :      Mr. Tan Choong Khiang serves as Company Secretary of IOI Corporation Bhd. He was appointed on August 8, 2011.

 

Staff employed   :           578 employees (Subject); 30,000 employees (IOI Group)

 

Key Advisors

 

Auditors            :           KPMG

Level 10, KPMG Tower

8, First Avenue, Bandar Utama

47800 Petaling Jaya Selangor Darul Ehsan Malaysia

 

 

Share capital

 

Composition

 

Authorized Capital                                 :   MYR 25,000,000

 

No of shares                                         :   24,500,000 Ordinary Shares / 500,000 Redeemable Preference

                                                            Shares

 

Share par value                                     :   MYR 1

 

Issued capital                                       :   MYR 20,000,000

 

Paid up capital                                      :   MYR 20,000,000

 

Changed in capital                                 :   The Subject increased its share capital from MYR 15,000,000 to MYR 25,000,000 on 10-03-1992.

 

 

 

ownership / shareholders

 

How listed                                            :   Full List

 

Composition

Shareholder name          :   IOI OLEOCHEMICAL INDUSTRIES BERHAD

Address                        :   2411, Lorong Perusahaan Satu

Prai Industrial Complex

13600 Prai Pulau Pinang Malaysia

No. of shares                 :   20,000,000 Ordinary Shares

 

% of shares                            :   100%

 

 

Related companies & corporate Affiliations

 

Structure

Name                :   IOI CORPORATION BERHAD

Affiliation type    :   Ultimate Holding Company

Address            :   Two IOI Square

IOI Resort

62502, Putrajaya Wilayah Persekutuan Malaysia

 

 

Comments                                         :   IOI Corporation Berhad, an investment holding company, engages in the cultivation of oil palm and rubber, as well as processing of palm oil in Malaysia and internationally. The company involves in manufacturing, refining, and processing of fatty acids, glycerine, soap noodles, and fatty esters; manufacturing and trading of oil palm related by-products; and palm-based renewable energy generation using biomass, as well as in operating palm oil refinery and kernel crushing plants. It also manufactures oleochemical products, metallic stearates, fatty alcohol, methyl esters, specialty oils and fats, plasticizer, and other chemical products; and sells ornamental plants and turfing grass. In addition, the company manages and operates hotels and resorts; and provides construction, golf and recreational club, building maintenance, landscape, and management services, as well as hotel and hospitality services. Further, it issues exchangeable bonds and guaranteed notes; cultivates soft wood timber; develops, produces, and commercializes nutritional lipid ingredients for the dietary supplement and food industry; manages the collection of service charges; and produces emulsified raw materials and semi finished goods on oils and fats. Additionally, the company procures and develops raw material for specialty fats application; invests in shopping malls, office complexes, and other properties; trades and markets food-based products; engages in bulk cargo warehousing and rental of storage tanks; develops residential and commercial properties; and trades in commodities. The company was formerly known as Industrial Oxygen Incorporated Sdn Bhd and changed its name to IOI Corporation Berhad in March 1995. IOI Corporation Berhad was incorporated in 1969 and is based in

Putrajaya, Malaysia.

 

Name                            IOI OLEOCHEMICAL INDUSTRIES BERHAD

Affiliation type                Parent Company

Address                        2411 Lorong Perusahaan Satu

Prai Industrial Complex

13600 Prai Pulau Pinang Malaysia

Comments                    Investment holding company.

 

Name                            IOI OLEO (EUROPE) APS

Affiliation type                Wholly-owned Subsidiary

Address                        c/o ANDREAS JENNOW A/S

Abildgårdsparken 8 B

3460 Birkerød

Denmark

 

Comments                    :   Trading, distributing oleochemical products and carry all European Union registration

of IOI's products.

 

Name                ACIDCHEM (USA) INC.

Affiliation type    Wholly-owned Subsidiary

Address            201 W Passaic Street # 100

Rochelle Park, NJ 07662-3128

United States

 

Comments        Trading in fatty acids and glycerine.

 

Name                IOI EDIBLE OILS SDN BHD

Affiliation type    Sister Company

Address          12km, Sungai Mowtas

Jalan Jaya Chip, Off Jalan Batu Sapi

Sandakan, 90000

Sabah

Malaysia

Comments        :   Commodities trading, palm oil refinery/kernel crushing plant.

 

Name                PAN-CENTURY OLEOCHEMICALS SDN BHD

Affiliation type    Sister Company

Address            Lot 231 Jalan Pekeliling

Pasir Gudang Industrial Estate Estate

81700 Pasir Gudang Johor Darul Takzim Malaysia

Comments        Manufacturing of specialty oils and fats.

 

Name                PAN-CENTURY EDIBLE OILS SDN BHD

Affiliation type    Sister Company

Address            Lot 240 Jalan Timah Tiga

Pasir Gudang Industrial Estate

81700 Pasir Gudang Johor Darul Takzim Malaysia

 

 

Comments        Refining and processing of crude palm oil, soap noodles and glycerine.

 

Name                IOI BIO-ENERGY SDN BHD

Affiliation type    Sister Company

Address            Two IOI Square

IOI Resort

62502, Putrajaya Wilayah Persekutuan Malaysia

Comments        Produce and supply palm-based renewable energy generation using biomass.

Name                IOI SPECIALITY FATS SDN BHD

Affiliation type    Sister Company

Address            12km, Sungai Mowtas

Jalan Jaya Chip, Off Jalan Batu Sapi

Sandakan, 90000

Sabah

Malaysia

Comments        :   Commodities trading and palm oil refinery and palm kernel fractionation.

 

Name                SYARIMO SDN BHD

Affiliation type    Sister Company

Address            Km 3, Jalan Segama

Lahad Datu 91100

Sabah

Malaysia

 

Comments      :   Cultivation of oil palm, processing of palm oil and investment holding.

 

Related companies and corporate affiliations comments

Other companies of IOI Group should be considered affiliates of the Subject.

 

 

Bank & mortgages

 

Bank Details

 

Name of bank                                       :   CIMB Bank Berhad

Address                                               :   Malaysia

Account details                                     :   Current Account

 

Name of bank                                       :   HSBC Bank Malaysia Berhad

Address                                               :   Malaysia

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

 

Total of Charge: 19,000,000.00

Date of Creation: 14-01-1989

Name of Chargee: BANK BUMIPUTRA MALAYSIA BHD

Charge Status: FULLY SATISFIED

 

Total of Charge: 19,000,000.00

Date of Creation: 22-11-1989

Name of Chargee: BANK BUMIPUTRA MALAYSIA BERHAD AND TRUSTEE

Charge Status: FULLY SATISFIED

 

Total of Charge: OPEN CHARGE

Date of Creation: 26-03-1992

Name of Chargee: HONGKONG BANK MALAYSIA BHD

Charge Status: UNSATISFIED

 

Total of Charge: OPEN CHARGE

Date of Creation: 26-03-1992

Name of Chargee: HONGKONG BANK MALAYSIA BHD

Charge Status: UNSATISFIED

 

Total of Charge: OPEN CHARGE

Date of Creation: 26-03-1992

Name of Chargee: HONGKONG BANK MALAYSIA BHD

Charge Status: UNSATISFIED

 

Total of Charge: 20,000,000.00

Date of Creation: 20-07-1993

Name of Chargee: DEVELOPMENT COMMERCIAL BANK BHD

Charge Status: UNSATISFIED

 

 

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                       :   30/06/10

Type of accounts                                  :   Full audited

Currency                                              :   Malaysia, Ringgit (MYR)

Exchange rate                                      :   1 USD = MYR 3.16 as of 02-01-2012

 

Summarized Financial Information

Consolidation type                                                                                       :   Non Consolidated                Non Consolidated               Group Consolidated Currency                                                                                                                      :   Malaysia, Ringgit (MYR)       Malaysia, Ringgit (MYR)     Malaysia, Ringgit (MYR) Denomination                                                                                               :   (x1) One                             (x1) One                            (x1) One

Date of financial year end                                                                            :   30/06/10                             30/06/09                            30/06/11

 

Length of accounts                                                                                      :   12 months                           12 months                         12 months

 

Sale turnover / Income                                                                                 :   1,289,038,502                     1,266,511,490                    16,154,251,000

 

Gross profit                                                                                                  :   219,657,592                        240,921,136                       3,410,562,000

 

Operating profit                                                                                           :   84,493,166                          98,172,884                        2,815,645,000

 

Profit before tax                                                                                            :   84,466,698                          98,116,121                        2,863,612,000

 

Net income                                                                                                   :   64,382,895                          81,450,994                        2,290,513,000

 

Non current assets                                                                                      :   149,567,634                        165,373,939                       11,952,014,000

 

Current assets                                                                                             :   528,712,549                        405,599,778                       7,703,105,000

 

Inventories                                                                                                    :   112,809,829                        78,134,577                        2,651,655,000

 

Total assets                                                                                                 :   678,280,183                        570,973,717                       19,655,119,000

 

Current liabilities                                                                                         :   130,909,966                        84,215,879                        2,288,028,000

 

Non current liabilities                                                                                  :   23,758,460                          27,528,976                        5,105,693,000

 

Total liabilities                                                                                             :   154,668,426                        111,744,855                       7,393,721,000

 

Share equity                                                                                                 :   523,611,757                        459,228,862                       12,261,398,000

 

Retained earning                                                                                         :   503,611,757                        439,228,862                       9,425,524,000

 

Comments                                         :   The non-consolidated financial information above relates to the Subject

                                                          only.

 

The group’s consolidated financial information above relates to the Subject’s Ultimate Holding Company IOI Corporation Berhad and all its subsidiaries which include the Subject.

 

 

Operation details

 

Main activities                                       :   The Subject is engaged in manufacturing and sales of fatty acids and glycerine. The Subject operates a manufacturing facility based in Prai, Pulau Pinang, Malaysia which is capable to produce 370,000 MT of Fatty Acids and 40,000 MT of Glycerine annually.

 

The Subject is ultimately owned by IOI CORPORATION BERHAD.

IOI Corporation Berhad is one of Malaysia's biggest conglomerates that started off from industrial gas manufacturing. It ventured into property development in 1982, followed by oil palm plantations in 1985. As at June 2009, IOI Group employs more than 30,000 personnel of more than 23 different nationalities in 15 countries.

 

IOI Group main businesses are:

 

1) Plantation

 

Plantation is IOI's biggest income generator. The group operates 152,000 hectares of oil palm plantations in Malaysia and 83,000 hectares in Indonesian. It has 12 palm oil mills with total milling capacity of 4.1 million tonnes per year at its 80 estates throughout Malaysia.

 

With oil yield of some 6 tonnes per hectare per year at its matured estates, IOI is the most efficient plantation company in the world. Malaysia's oil

palm average yield for the last 20 years is stagnant at 4 tonnes per hectare per year.

 

2) Property

 

IOI's property businesses can be categorized into real estate development and property investment holding branching out to leisure and hospitality. The property segment contributes around 18 per cent of the group’s earnings.

 

3) Manufacturing of oleochemicals and specialty fats

 

IOI is the largest vegetable oil based oleochemical manufacturer in Asia - held under wholly owned entities IOI Oleochemical Industries Bhd and Pan Century Oleochemical Sdn Bhd with a combined capacity in excess of 750,000 tonnes per annum.

 

These plants produce fatty acids & esters, glycerine, soap noodles, fatty alcohols, and metallic strearates - that have various industrial applications in the production of food, pharmaceutical, cosmetics, personal care, home care, industrial detergent/ surfactants and lubricant products. Products derived from oleochemicals are more readily biodegradable and hence do not pose a threat to the environment. This is because oleochemicals are derived from renewable resources, as compared to petrochemicals which are obtained from exchaustible or non-renewable petroleum.

 

IOI's specialty fats businesses are operated under Loders Croklaan, with manufacturing facilities in the Netherlands, North America, and in Malaysia (with combined production capacity of more than a million tonnes per year). Loders Croklaan's customer base include global food giants like Unilever, Nestle, Cadbury and Kraft. IOI's sales offices are spread out in 8 countries serving customers in 65 countries.

 

Specialty fats provide special function and/or unique solution in food applications and branches out to nutrition / health supplement applications. These fats are use in pastries, confectionery, snack foods and ready-to-eat meals.

 

 

Product & services                              :   Fatty acids and oleic acid

Glycerine

 

 

Purchases

 

Local                                                   :   Yes

International                                         :   Asian countries

 

Sales

Local                                                   :   Yes

International                                         :   Worldwide

 

Industry trend                                       :   1 December 2011

Malaysia has been the world’s top oleochemicals producer for the last 15 years but is now facing stiff competition from Indonesia.

 

With a 25 per cent market share, Malaysia is the global hub for basic oleochemicals.

 

They are eventually turned into daily necessities like soap, shampoo, moisturiser, toothpaste, shaving cream and laundry detergent.

 

According to the Malaysian Palm Oil Board, the country exported RM9.06 billion worth of oleochemicals in the first 10 months of this year.

 

“With inflationary pressures from high feedstock prices, we’ll definitely surpass the RM10 billion mark by year-end,” Malaysian Oleochemical Manufacturers’ Group (MOMG) chairman Tan Kean Hua told Business Times in an interview in Kuala Lumpur.

 

But the industry’s biggest challenge is from its neighbour. The extremely high palm oil export taxes in Indonesia have distorted the playing level.

 

Tan explains that in August 2011, the Indonesian government had raised export taxes drastically to boost refining capacity and downstream activities.

 

Crude palm oil (CPO) export tax was set at 22.5 per cent and refined palm olein tax at 13 per cent. This means that CPO and crude palm kernel oil are cheaper for oleochemical producers there. What's more, oleochemicals exported from Indonesian shores are tax-free.

 

As expected the tax incentives have spurred investments in Indonesia's nascent oleochemical industry. Musim Mas, Indonesia's pioneer and biggest oleochemical player with around 750,000 tonnes annual capacity in Medan, is said to be planning expansion.

 

Wilmar International and US-based Elevance Renewable Sciences too are setting up a 180,000-tonne per year bio-refinery in Surabaya, Indonesia, which is expandable up to 360,000.

 

"With cheaper feedstock available to the Indonesian oleochemical producers, we no longer compete on a level-playing field. Anyway, with one hand tied to our back, we still have to fight," said Tan.

 

In the early 1980s, the US, Europe and Japan were the major producers of oleochemicals or fatty acids, accounting for more than 90 per cent of the world's total production. But from 1985 onwards, there was a big shift from these developed countries to Southeast Asia due to the abundance of palm oil derived oleochemicals.

 

In Europe, with Croda and Cognis selling most of their oleochemical assets, Oleon is now the largest there with a 500,000-tonne a year capacity.

 

In 2006, half of Cognis' oleochemical business was sold to Golden Hope Plantations Sdn Bhd, which is now part of Sime Darby Bhd. Two years later, Cognis owners sold the remaining 50 per cent stake to Thailand's PTT Chemical International and renamed the entity Emery Oleochemicals. Last year, Cognis itself was bought up by German chemical giant BASF.

 

Currently, the world's oleochemicals exports are around 10 million tonnes, with more than half from Southeast Asia.

 

One of the reasons for Malaysia's pole position stems from its process engineers and chemists' technological capabilities to process palm oil and palm kernel oil into more than 100 types of downstream products.

 

There are 18 local oleochemical companies with a combined annual capacity of 2.6 million tonnes.

 

Their plants make basic oleochemicals like fatty acids, fatty alcohols, esters and refined glycerine. These are then formulated to make toothpaste, soap, dish washing detergent, industrial lubricants and even food emulsifiers.

 

Malaysian companies are also expanding too.

 

Tan, who is also IOI Oleo executive director, said his company is investing RM130 million to build a new fatty ester and a 20,000-tonne specialty oleo derivative plant at the Prai Industrial Complex in Penang.

 

Currently, IOI Oleo Group is the leader in Malaysia with annual capacity of 950,000 tonnes. KLK Oleo Group is the second biggest, with facilities churning out 780,000 tonnes.

 

KLK Oleo Group managing director A.K. Yeow said the company is investing in excess of RM600 million to build an integrated methyl ester sulphonate and fatty alcohol plant in Shah Alam, Selangor. “We’re also putting up a specialty fatty ester facility in Klang,” he said.

 

Emery Oleochemicals (M) Sdn Bhd operates a 300,000-tonne per year plant in Telok Panglima Garang, Selangor. It is investing more than RM400 million to go further downstream.

 

Emery Oleochemicals group chief executive officer Dr Kongkrapan Intarajang said, “Our plan is endorsed by Pemandu (Performance Management and Delivery Unit). One of our highlights is a 25,000 tonne-plant to produce biolubricants, green polymer additives and surfactants. It is now being commissioned”.

 

When asked on the industry outlook, Tan acknowledged that some quarters worry about Europe’s sovereign debt crisis eroding customers’ buying confidence. MOMG, however, remains optimistic.

 

“We’re a cost-plus business, oleochemicals are a necessity. It is present in household cleaning products, toiletries, cosmetics, industrial and pharmaceutical items we use everyday,” he said. “Overall, there’s customer base expansion from emerging markets,” Tan added.

 

IOI Corporation Berhad's Subsidiary Terminates Agreement With Pertama

Land & Development Sdn Bhd

Tuesday, 25 Oct 2011

IOI Corporation Berhad announced that the sale and purchase agreement between Company's wholly owned subsidiary, Sri Mayvin Plantation Sdn Bhd, and Pertama Land & Development Sdn Bhd (Pertama Land) for the acquisition of oil palm plantation for a total consideration of MYR 830 million has been terminated on October 25, 2011, due to non-compliance of certain terms and conditions which had been communicated to Pertama Land.

 

IOI Corporation Berhad's Subsidiary To Acquire Oil Palm Plantation

Thursday, 28 Jul 2011

IOI Corporation Berhad announced that its indirect wholly owned subsidiary, Sri Mayvin Plantation Sdn Bhd, has entered into a sale and purchase agreement on July 28, 2011, to acquire oil palm plantation land from Pertama Land & Development Sdn Bhd for a total cash consideration of MYR 830 million.

 

IOI Corporation Berhad Announces Winding Up Of Tampoi Development

Sdn Bhd

Thursday, 28 Jul 2011

IOI Corporation Berhad announced that its dormant wholly owned subsidiary, Tampoi Development Sdn Bhd, will be wound up by way of a members' voluntary winding up pursuant to Section 254(1)(b) of the Companies Act, 1965.

 

IOI Corporation Berhad's Joint Venture South Beach Consortium Pte. Ltd. Secures SGD1.6 Billion New Funding For South Beach

Monday, 18 Apr 2011

 

South Beach Consortium Pte. Ltd. (SBC), the joint venture consortium established to develop South Beach, announced that it has successfully secured financing of SGD1.6 billion on favorable terms. The funds will be used to refinance its SGD800 million bank loan facility and to finance the construction of South Beach. The five-year SGD1.6 billion secured term loan is provided by a syndicate comprising major local and international financial institutions – DBS Bank Ltd., United Overseas Bank Limited, Oversea-Chinese Banking Corporation Limited, The Hongkong and Shanghai Banking Corporation Limited and Sumitomo Mitsui Banking Corporation (Singapore Branch) – the same consortium of banks that had provided the earlier SGD800 million loan facility in June 2009. SBC is presently held by Scottsdale Properties Pte. Ltd. (Scottsdale), a joint venture company in which City Developments Limited holds approximately

50.1% interest and IOI Corporation Berhad holds approximately 49.9%

interest.

 

IOI Corporation Berhad Announces Ownership Interest Of Vertical

Capacity Sdn Bhd

Friday, 15 Apr 2011

IOI Corporation Berhad announced that Vertical Capacity Sdn Bhd has an interest of 1,653,041,216 units representing 41.1930% of shares in the Company.

 

IOI Corporation Berhad's Subsidiary Acquires 49.90% Interest In

Scottsdale Properties Pte. Ltd. Friday, 8 Apr 2011

IOI Corporation Berhad announced that its wholly owned subsidiary, IOI Consolidated (Singapore) Pte Ltd, has acquired 144,770,000 ordinary shares or 49.90% equity interest in Scottsdale Properties Pte. Ltd. for a cash consideration of SGD 114,770,000 on April 8, 2011.

 

IOI Corporation Berhad Announces Interim Dividend

Tuesday, 15 Feb 2011

IOI Corporation Berhad announced an interim single tier dividend of 80% or MYR 0.08 per ordinary share of MYR 0.10 each which is not taxable in the hands of the shareholders pursuant to paragraph 12B of Schedule 6 of the Income Tax Act 1967, be declared in respect of the financial year ending June 30, 2011. The entitlement date is March 17, 2011 and the dividend

will be paid on March 30, 2011.

 

IOI Corporation Berhad Announces Exchange Of USD1,150,000 Nominal Value Five Year Unsecured Second Exchangeable Guarantee Bonds Into New Ordinary Shares

Monday, 31 Jan 2011

IOI Corporation Berhad announced the issuance of additional 888,864 new ordinary shares of MYR0.10 each arising from the Exchange of USD1,150,000 Nominal Value Five Year Unsecured Second Exchangeable Guarantee Bonds. The new shares are to be granted listing and quotation with effect from February 7, 2011.

 

 

Property & Assets

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

 

Branches                                             :   None reported.

 

Other property                                       :   Total NBV of property, plant and equipment as of 30-06-2010 was

MYR 142,469,094.

 

 

Summarized country risk

 

Gross Domestic Products (GDP) & Economic Overview

 

Central bank                                          :   Central Bank of Malaysia

 

Reserve of foreign exchange & gold      :   US$ 135.0 billion as of 15 December 2011

 

Gross domestic product - GDP               :   US$ 247.781 billion

 

GPP (Purchasing power parity)               :   442.01 billion of International dollars

 

GDP per capita - current prices               :   US$ 8,624

 

GDP - composition by sector                  :   agriculture: 9.4% industry: 40.9% services: 49.7%

 

Inflation                                                 2008: 5.4%

2009: 0.6%

2010: 1.7%

 

Unemployment                                      2008 : 3.3 %

2009 : 3.6 %

2010: 3.3 %

Public debt

(General Government gross

debt as a % GDP)                                  2008: 42.8  %

2009: 55.4 %

2010:   54.2%

 

Government bond ratings                        Standard & Poor's: A-/Stable/A-2

Moody's rating: A3

Moody's outlook: STA

 

Market value of publicly traded shares      US$ 420 billion

 

Largest companies in the country           :   CIMB Group Holdings (Banking), Sime Darby (Conglomerates), Public Bank (Banking), Maybank (Banking), Tenaga Nasional(Utilities), Petronas Chemicals, Maxis Berhad

 

Trade & Competitiveness Overview

Total exports                                         US$210.3 billion

 

Exports commodities                             electronic equipment, petroleum and liquefied natural gas, wood and

wood products, palm oil, rubber, textiles, chemicals

 

Total imports                                         US$156.2 billion

 

Imports commodities                              electronics, machinery, petroleum products, plastics, vehicles, iron and

steel products, chemicals

 

Export - major partners                           US 15.6%, Singapore 14.6%, Japan 9.1%, China 8.8%, Thailand 5%,

HongKong 4.6%

 

Import - major partners                           Japan 13%, China 12.9%, Singapore 11.5%, US 10.8%, Taiwan 5.7%,

Thailand 5.3%, South Korea 4.9%, Germany 4.6%, Indonesia 4.2%

 

FDI Inflows                                            2007: US$8,538 million

2008: US$7,318 million

2009: US$1,381 million

 

FDI Outflows                                          2007: US$11,280 million

2008: US$14,988 million

2009: US$8,038 million

 

Best countries for doing business            21 out of 183 countries

 

Global competitiveness ranking               26 (ranking by country on a basis of 133, the first is the best)

 

Country and Population Overview

Total population                                    : 28.23 million

Total area                                             : 329,847 km2

Capital                                                 :  Kuala Lumpur

Currency                                                                                                      :   Malaysia Ringgits (MYR)

Internet users as % of total population  : 57.61%

 

 

Payment history

 

 

Purchase Term

Local                                                    :   Prepayment, D/P, Credit up to 90 days

International                                          :   L/C, Telegraphic transfer, D/P, Credit up to 90 days

 

Sales Term

Local                                                    :   Prepayment, D/P, Credit up to 90 days

International                                          :   L/C, Telegraphic transfer, D/P, Credit up to 90 days

 

Trade Reference/ Payment Behaviour

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.53.14

UK Pound

1

Rs.83.08

Euro

1

Rs.69.25

 

 

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

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NB

New Business

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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.