MIRA INFORM REPORT

 

 

Report Date :           

10.01.2012

 

IDENTIFICATION DETAILS

 

Correct Name :

PURAV TEX

 

 

Registered Office :

Jalan Bandung No. 9, B-17/122, Pasar Baru, (Simpang Jl. Pelangkaraya), Medan 20212, North Sumatra

 

 

Country :

Indonesia

 

 

Year of Establishment :

2000

 

 

Com. Reg. No.:

Not Available

 

 

Legal Form :

Sole Proprietary Concern

 

 

Line of Business :

Trading and Distribution of Textile Products

 

 

No. of Employees :

12

 

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$ 220,000

 

 

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 Concern 

 

PURAV TEX

 

 

concern Address

 

Head Office

Jalan Bandung No. 9, B-17/122, Pasar Baru

(Simpang Jl. Pelangkaraya)

Medan 20212, North Sumatra

Indonesia

Phone               - (62-61) 4145561

Fax                   - (62-61) 4574495

Building Area     - 2 storey

Office Space      - 120 sq. meters

Region              - Commercial

Status               - Owned

 

 

Year of Incorporation

 

2000’s

 

 

Legal Form

 

Sole Proprietary Concern

 

 

Concern  Reg. No.

 

The Ministry of Law and Human Rights

Not Required

 

 

Concern Status

 

Private Company

 

Permit by the Government Department

 

The Department of Finance

Not available

 

 

Related Concern 

 

Not available

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Owned Capital                  - Rp. 500,000,000.-

 

Owner :

Mr. Kumar  Motiram AKA Kumar  - 100%

 

 

BUSINESS ACTIVITIES

 

Lines of Business :                        

Trading and Distribution of Textile Products

 

Total Investment :

None

 

Started Operation :

2000

 

Brand Name :

PURAV TEX

 

Technical Assistance :

None

 

Number of Employee :

12 persons                                     

 

Marketing Area :

Local (Domestic)    - 100%

 

Main Customers :

Textile Retails and Dealers in Jakarta and its surroundings

 

Market Situation :

Very Competitive

 

Main Competitors :

a. PT. Ramatex

b. CV. Ragam Jaya Utama

c. PT. Suritex

d. PT. Saehan Textiles

e. PT. Sinar Pantja Djaja

f.  Etc.

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

Banker :

P.T. Bank CENTRAL ASIA Tbk

Mangga Dua Branch

Jl. Mangga Dua Raya Blok C-5 Kav. 1

Jakarta 14430

Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Total Sales/Revenue (estimated) :

2008 – Rp. 11.6 billion

2009 – Rp. 13.0 billion

2010 – Rp. 14.5 billion

2011 – Rp. 16.2 billion

 

Net Profit (estimated) :

2008 – Rp. 490 million

2009 – Rp. 550 million 

2010 – Rp. 640 million

2011 – Rp. 720 million

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

Director                                           - Mr. Kumar Motiram AKA Kumar

 

Board of Commissioners :

Commissioner                                 - None

 

Signatories :

The Director (Mr. Kumar Motiram AKA Kumar) is the only person who is authorized to sign the loan on behalf of the concern

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

Credit Risk :

Average

 

Credit Recommendation :

Credit should be proceeded with monitor

 

Proposed Credit Limit :

Small amount – periodical review

 

Maximum Credit Limit :

US$ 220,000 on 90 days D/A

 

 

OVERALL PERFORMANCE

 

PURAV TEX was established in Jakarta in 2000’s with a legal status of sole proprietary concern .  The founding owners are Mr. Kumar Motiram AKA Kumar, an Indian origin Indonesian businessman.   The same as other sole proprietary legal status concern , the amount of its capital was not mentioned at its establishment deed. It is estimated that PURAV TEX owns a capital of Rp. 500 million and it will be rising in line with the progress of its business operation.

 

PURAV TEX has been in operation as from 2000 dealing with trading and distribution of textile products.  Ms. Maria, a marketing staff of the concern  disclosed that the types of textile products being traded are including high fabrics (polyester and cotton).  Ms. Maria added that most of the products are imported from Italy, Spain, India, Japan, etc.  The above textile products are sold to various companies such as textile products retails and dealers in Jakarta, Bogor, Bekasi, Tangerang, Bandung and it surrounding.   We observe that PURAV TEX is classified as a small sized concern  of its kind in the country of which the operation has been growing in the last three years.

 

Generally, demand for textile and textile product has been fluctuating in the last five years.  According to the Central Bureau of Statistics (BPS) the Indonesia textile products export in 2002 amounted to 1,425.9 tons (US$ 3,075.9 million) declined to 1,307.5 tons (US$ 3,064.6 million) in 2003 to 1,300.4 tons (US$ 3,354.6 million) in 2004 and rose again to 1,427.3 tons (US$ 3,704.0 million) in 2005.   In 2006, the textile products export amounted of 1,477.800 tons (US$ 3,908.6 million) declined to 1,473.6 tons (US$ 4,178.0 million) in 2007 dropped again to 1,312,200 tons (US$ 4,127.9 million) in 2008, rose to 1,369,600 tons (US$ 3,602.8 million) in 2009 and rose again to 1,525,900 tons (US$ 4,721.8 million) in 2010. It is projected the demand will be higher by at least 4% to 5% per year within the coming two years. Competition is very tight due to a large number of similar imported products are marketed in the country.  Business position of PURAV TEX is quite well for it has controlled customers and a wide marketing network in Jakarta, Bogor, Tangerang, Bekasi (Jabotabek) and its surroundings.

PURAV TEX has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement.   We observed that total sales turnover of the concern  in 2008 amounted to Rp.11.6 billion increased to Rp. 13.0 billion in 2009 rose again to Rp. 14.5 billion in 2010 and to Rp. 16.2 billion in 2011.  The operation in 2010 yielded an estimated net profit of at least Rp. 640 million increased to Rp. 720 million in 2011 and the concern  has an estimated total networth of at least Rp. 2.0 billion.  So far, we did not heard that the concern  having been black listed by the Central Bank (Bank Indonesia). The concern  usually pays its debts punctually to suppliers.  

 

 The management of PURABV TEX is led by Mr. Kumar Motiram AKA Kumar (45) a businessman of Indian extraction with experience more than 15 years in trading, distribution and importing of textile products.  In daily activities, he is assisted by a number professional staffs 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 concern  being filed to the district court for detrimental cases or involved in any business malpractices. The concern ’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

PURAV TEX is sufficiently fairly good for business transaction.  However, in view of the global economic slowdown we recommend to treat prudently in extending a loan to the concern .

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.52.73

UK Pound

1

Rs.81.34

Euro

1

Rs.67.01

 

 

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.