MIRA INFORM REPORT
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Report Date : |
13.01.2012 |
IDENTIFICATION DETAILS
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Name : |
SIEMENS CONCENTRATED SOLAR POWER LTD. |
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Formerly Known As : |
SOLEL SOLAR SYSTEMS LTD |
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Registered Office : |
P.O. Box 811, Beit Shemesh (99107), 3 Hahachshara Street, Industrial Zone West, Beit Shemesh 99053 |
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Country : |
Israel |
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Date of Incorporation : |
29.04.1992 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Developers, Manufacturers, Exporters and marketers of Concentrated Solar Power (CSP)-based solar fields for solar power stations, and equipments & products for solar thermal power plants |
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No. of Employees
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500 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment
Behaviour : |
No Complaints |
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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
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Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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Israel |
a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
SIEMENS CONCENTRATED SOLAR POWER LTD.
(Also known is short: SIEMENS CSP)
Telephone 972
2 995 01 11; 995 02 55
Fax 972
2 996 66 20
P.O. Box 811, Beit
Shemesh (99107)
3 Hahachshara Street
Industrial Zone West
BEIT SHEMESH-99053-ISRAEL
HISTORY & LEGAL FORMATION
A private limited company, incorporated as
per file No. 51-168029-0 on the 29.04.1992.
Company was founded with the purpose of
continuing part of the activities of LUZ INDUSTRIES ISRAEL LTD. (established in
1980) which went bankrupt (see more below CHARACTER).
Subject was originally registered under the
name SOLEL SOLAR SYSTEMS LTD., which following its acquisition by SIEMENS
Concern change name to the present one on the
SHARE
CAPITAL
Authorized share capital NIS 125,000.00, divided into -
12,500,000 ordinary shares of
NIS 0.01 each,
of which 7,140,828
shares amounting to NIS 71,408.28 were issued.
SHAREHOLDERS
Subject is fully owned by SIEMENS
INTERNATIONAL HOLDING B.V. of the Netherlands, owned by SIEMENS A.G. of Germany
(a publicly traded company).
In the beginning of
2009 subject issued a tender for the acquisition of full ownership in subject.
On the 10.11.2009 SIEMENS Concern acquired subject’s shares from the group of
shareholders, in consideration of US$ 418 million.
In practice,
subject is part of SIEMENS ISRAEL Group.
DIRECTORS
1.
Michael Axman, Acting General Manager (temporary),
2.
Eliezer Tockman, General Manager of SIEMENS ISRAEL,
3.
Avi Bernmiler.
BUSINESS
Developers, manufacturers, exporters and marketers of Concentrated Solar Power (CSP)-based solar fields for solar power stations, and equipments & products for solar thermal power plants.
All sales are for export, mostly to U.S.A. and Spain, as well as to South Africa.
Most of purchases are imports.
Among local suppliers: SCOPE METALS GROUP, A.D. SINUN, PHOENICIA AMERICA ISRAEL, etc.
Operating from large rented premises (offices and plant), on an area of 7,000 sq. meters, in 3 Hahachshara Street, Industrial Zone West, Beit Shemesh, and from a plant in Har Hotzvim Industrial Park, Jerusalem.
Having 500 employees, some 400 of which in Israel and some 100 employees in Spain.
Having over 900 employees in SIEMENS ISRAEL Group.
MEANS
Prior to the
SIEMENS acquisition, in 2008 subject raised US$ 105 million from investors.
With connection to
the tender offer for its shares, financial data of subject was exposed as of
the 1st half of 2009: Equity US$ 70 million, cash value US$ 20
million, assets US$ 165 million, short-term liabilities US$ 10 million.
Subject’s other
and later financial data not forthcoming, however known to be financially
solid, also drawing upon the resources of the SIEMENS concern. SIEMENS reported
it will invest € 50 million in subject in the next few years.
There are no
charges registered on the company's assets.
REVENUES
2006 sales claimed
to be US$ 30,000,000.
2007 sales claimed
to be US$ 60,000,000, all for export.
2008 sales claimed
to be US$ 33,000,000, all for export.
Subject’s sales in
2008 fell due to the global crisis and reportedly subject ended 2008 with a US$
17 million net loss, after ending 2007 with a net profit of US$ 18 million.
2009 sales
reported to be US$ 200,000,000.
Later sales
figures not forthcoming.
OTHER COMPANIES
SOLEL INC., a U.S.
100% subsidiary, project development, subject's U.S. arm (name may have changed
following the SIEMENS acquisition). Also known to have subsidiary in Spain.
SIEMENS ISRAEL LTD., also fully owned by
SIEMENS INTERNATIONAL HOLDINGS B.V., the official local representatives
of SIEMENS, of Germany, importers, manufacturers and marketer, engaged in:
1) Electrical engineering and electronics, switchboards,
products, systems, solutions and services for industrial automation
2) Energy,
Power stations (power generation and transmission), solar and clean energy
systems (also via subject)
3) Transportation
(trains carts & locomotives, light rail, turnkey systems, electrification,
Railway Automation and integrated services)
4) Software
5) Healthcare systems, suppliers to the healthcare industry and a
trendsetter in medical imaging, laboratory diagnostics and medical information
technology
Also fully owned by SIEMENS AG, part of subject’s Group:
SIEMENS COMPUTER AIDED DIGNOSIS LTD. (known as SIEMENS CADVision) develops software for improving
diagnosis in medical imaging systems.
SIEMENS INDUSTRY SOFTWARE LTD. (formerly
TECNOMATIX, part of SIEMENS PLM Software Div.), software development.
SIEMENS PRODUCT LIFECYCLE MANAGEMENT SOFTWARE 2 (IL) LTD.
Also part of SIEMENS activities in Israel:
NOKIA SIEMENS NETWORKS ETHERNET SOLUTIONS LTD., 50%, developers,
manufacturers, exporters and marketers of carrier Ethernet solutions for
Metropolitan Area Networks.
NOKIA SIEMENS NETWORKS TECHNOLOGIES ISRAEL 1990 LTD.
(formerly SEABRIDGE), 50%, developers, manufacturers and marketers of Carrier
Ethernet switches for telecommunications networks.
NOKIA SIEMENS NETWORKS ISRAEL LTD.
The SIEMENS Group is
also involved in domestic electrical appliances and in technological ventures
in Israel.
BANKERS
According to our:
· Bank Hapoalim Ltd., Central Branch (No. 600), Tel Aviv, account No. 614001 – main account.
· Bank Leumi Le’Israel Ltd., Jerusalem Main Branch (No. 901), Jerusalem, account No. 162600/15,
·
Israel Discount Bank Ltd., Jerusalem Main Branch
(No. 060), Jerusalem,
account No. 9466118.
A check with the
Central Banks’ database did not reveal any negative information regarding
subject’s a/m accounts.
Note: A/m Bank details
were given on the eve of the acquisition by SIEMENS, therefore there may have
been changes which we are unaware of (subject's official refused to disclose
bank data).
CHARACTER AND REPUTATION
Nothing
unfavorable learned.
Subject's officials refused to disclose
financial and bank data.
Subject has ISO
9002 standard of quality since 1998.
SIEMENS, who
acquired subject at the end of 2009, is a world leading concern in the
infrastructures fields. SIEMENS beat ALSTOM and AREVA in gaining the ownership
in subject, in a tender process that spanned over several months and was
managed by CREDIT SWISS.
SIEMENS acquired
subject as part of its pro-environmental strategy and preparing to the huge
“Desertech” project (estimated volume of € 400 billion) in which it
participates with other large global corporations, for a thermo-solar farms in
the Sahara Desert, intended to supply 15% of Europe’s electricity needs.
SIEMENS is one of
the world’s sole 2 companies which hold the CPS technology for electricity production,
in the thermal-solar sector, one of the fastest growing areas in the energy
field (expected to reach € 23 billion by 2020 according to research). SCHOTT is
the leading one of the two, and with subject, SIEMENS hopes to gain control.
SIEMENS, one of
the largest concerns in the world, is also a leading concern in the various
infrastructures fields. More than 30% of the country’s
electricity supply is produced with Siemens turbines.
Subject's operations intertwine with those of SIEMENS ISRAEL in certain
projects.
Subject was
established in 1992 by a group of Israeli engineers and a group of investors
from Belgium headed by Louis Begault, also with financing provided by other
European investors. Subject acquired in consideration of less than US$ 2 million
most of the assets and the intellectual know-how of LUZ INDUSTRIES ISRAEL LTD.,
which during 1984-1991 designed, manufactured and constructed 9 utility-scale
Solar Energy Generating Systems power plants in California, U.S.A. At a later
date other investors invested in subject, among them international the
investment fund ECOFIN that invested in subject.
In mid 2008,
subject’s (then) General Manager, Avi Bernmiler, won the “Excellent Exporter
Award” from the President of the State of Israel.
In 2005 subject
entered the Spanish market, with a contract to supply a Spanish country club
with solar systems in volume of NIS 1.1 million. In April 2006 subject won a
large scope contract, for supply solar technology to a Spanish energy venture
in the Granada County (for supply electricity to 200,000 homes).
Subject already
won a US$ 24.5 million contract for the Spanish firm COBRA (of the ACS Group)
to build the power station, and later for Spanish ARIES (US$ 50 million).
Subject's partner in the project is Spanish leading infrastructure Group
SACYR-VALLEHERMOSSO. The project, subsidized by the Spanish government, is
designed for 3 solar power stations with 50mv capacity each to be ready by 2011
and operate for 25 years. Total investment in the project is of hundreds of US$
million, and subject's share was estimated at US$ 500 million over 4 years. It
is the first time for subject of supplying clean electric power by its own
(thus far it has been technology and equipment).
In January 2006 it
was published that subject will supply solar technology worth US$ 10.5 million
for an American energy venture, which will provide clean electricity in the
State of Nevada.
In June 2006 it
was published that subject won a contract in California to upgrade 7 solar power
stations owned by FPL ENERGY, one of the largest electricity suppliers in the
USA. The deal is estimated at US$ 45 million.
In March 2007
subject signed a further contract with FPL ENERGY to supply thousands
thermo-solar systems in California, in volume of US$ 15 million.
In July 2007, subject signed a contract with PACIFIC GAS & ELECTRIC
CO. (PG&E), the largest electricity company in California, to erect a
thermo-solar power station using subject's technology in the Mojave Desert, on
an area of 14 sq. km. The project, for producing and selling 533mv of solar
converted energy is valued at US$ 2 billion and planned to produce electricity
over span of 25 years.
In September 2009 it was reported that subject inaugurated a plant in
Finland, with investment of US$ 9 million, for the production of parabolic
solar reflectors for subject’s solar field projects. Subject cooperated with
Finish firm GLASTON, a world leader in glass processing technologies.
During 2009 subject won a contract for erecting 2 thermo-solar power
stations for OHL contracts in Spain, each of 50MW. It also won contracts for
IBEREOLICA SOLAR to supply solar collectors for 8 power stations in volume of
US$ 190 million. Subject also signed 2 contracts in total of US$ 250 million
for 70,000 solar collectors for the other large project in Spain it takes part
in (the 150mw production project).
In October 2009 it was reported that subject and IDE TECHNOLOGIES LTD.
(a leading company dealing in desalination facilities and water treatment)
signed a draft for cooperation in overseas projects.
SIEMENS /subject,
jointly with local SHIKUN & BINUI Group, is the sole bidder for the State
B.O.T. tender (25 years) for the thermo-solar power station Plot A, which is
part of a large project to erect, for the first time in Israel, 2
In October 2009 it
was reported that subject will invest NIS 400 million in the construction of a
new plant, to be situated in Beit Shemesh, for production of pipes and mirrors
for the solar systems. Subject already purchased the plot and intends to employ
further hundreds employees.
In February 2010 SIEMENS Concern CEO said in a media interview on their
intentions to invest in subject (see MEANS) € 50 million within the next years.
He also mentioned winning a € 40 million volume contract in Spain for EOLIA
RENOVABLES, for technical operation and maintenance of PV systems.
In May 2011 it was reported that subject will recruit some 300 employees
in Israel and Europe.
In September 2011 it was reported that subject will erect a solar field in
Spain for US$ 50 million, following 2 more projects in Spain totaling US$ 100
million.
The Solar Energy
field noted a dramatic rise in 2008: in the beginning of the year there were 5
companies engaged in solar systems installation, and in the end of 2009 the
number reached some 100 firms, employing some 1,000. This is part of the global
demand for renewable energies, and in particular in the local market due to the
Israeli government decisions regarding the encouragement of use of solar
energy.
The Israel Export
& International Cooperation Institute reports that the export of renewable
energy from Israel is expected to grow by 4 times within a decade, reaching US$
1 billion by
The global
renewable energy market is estimated at US$ 200 billion.
The
local solar energy market for the small medium scale (up to 50 KW) is estimated at NIS 360 million, of which 90% are to
the business sector.
According to a report from November 2011, the international solar power
is suffering from difficulties, resulting from the current global credit
crises, and from over manufacturing of solar panels (mainly by Chinese manufacturers).
According to the report, SIEMENS is expected to right off a loss of € 200
million on its investment in subject.
SUMMARY
Good for trade
engagements.
Maximum unsecured credit recommended several US$ millions
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.51.83 |
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UK Pound |
1 |
Rs.79.42 |
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Euro |
1 |
Rs.65.90 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.