MIRA INFORM REPORT

 

 

Report Date :

13.06.2012

 

IDENTIFICATION DETAILS

 

Name :

P.T. BANDUNG DJAJA TEXTILE (P.T. BADJATEX)

 

 

Formerly Known As :

C.V. BADJATEX

 

 

Registered Office :

Jalan Citepus No. 5 Pasawahan, Deyeuhkolot, Cisirung Bandung 40256 West Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

27.06.1975

 

 

Com. Reg. No.:

No. AHU-29325.AH.01.01.TH.2011

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Textile (Weaving) Industry

 

 

No. of Employees :

950 persons     

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

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 – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

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. BANDUNG DJAJA TEXTILE (P.T. BADJATEX)

 

 

Address

 

Head Office & Factory

Jalan Citepus No. 5

Pasawahan, Deyeuhkolot, Cisirung

Bandung 40256

West Java

Phones             - (022) 5203033 (Hunting), 5207913

Fax                   - (022) 5203040

E-mail               - badjabdg@badjatex.com

                          marketing@badjatex.com

Website            - http://www.badjatex.com

Land Area         - 30,000 sq. meters

Building             - 18,500 sq. meters

Region              - Industrial Zone

Status               - Owned

 

 

Registration data

 

Date of Incorporation :

a.   27 June 1975 as C.V. BADJATEX

b.   28 January 2011 as P.T. BANDUNG DJAJA TEXTILE (BADJATEX)

 

Legal Form :

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

 

Company Reg. No. :

The Ministry of Law and Human Rights

No. AHU-29325.AH.01.01.TH.2011

Dated 13 June 2011

 

Company Status :

Private National and Domestic Investment (PMDN) Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.118.471.0-421.000

The Capital Investment Coordinating Board

- No. B-103/A/Sp.01/BKPM/XII/1975

  Dated 29 December 1975

- No. 133/II/PMDN/1989

  Dated 31 August 1989

 

- No. 227/II/PMDN/1994

  Dated 22 August 1994

- No. 497/III/PMDN/1995

  Dated 7 November 1995

 

Related Company :

P.T. MALAKASARI (Spinning Mills)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            : Rp. 90,458,687,000.-

Issued Capital                                  : Rp. 90,458,687,000.-

Paid up Capital                                : Rp. 90,458,687,000.-

 

Shareholders/Owners :

a. Mr. Tomas Yusuf AKA Jong Tjoeng Kik                        - Rp. 45,229,343,500.-

    Address : Jl. Cipaganti No. 124

                    Bandung, West Java

                    Indonesia

b. Mr. Yoseph Setiawan                                                    - Rp. 45,229,343,500.- 

    Address : Jl Rancabentang No. 72

                    Bandung, West Java

                    Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Textile (Weaving) Industry

 

Production Capacity :

a.   Denim (Jeans)                           -   6,000,000 yards p.a.

b.   Suiting Cottons                          -   4,000,000 yards p.a.

c.   Rayon Yarns                             - 10,800,000 meters p.a.

d.   T/C Yarns                                  -   5,200,000 meters p.a.

e.   Finishing Fabrics                       - 33,030,000 meters p.a.

f.    Grey Fabrics                             - 25,230,000 meters p.a.

 

Total Investment :

a.   Equity Capital                            - Rp.   90.4 billion

b.   Loan Capital                              - Rp.     0.7 billion

c.   Loan Capital                              - Rp. 111.6 billion

d.   Total Investment                         - Rp. 202.7 billion

 

Started Operation :

1975

 

Brand Name :

Bandung Djaja Textile (Badjatex)

 

Technical Assistance :

None

 

Number of Employee :

950 persons                                   

 

Marketing Area :

Export      - 70%

Local       - 30%

 

Main Customer :

Garment Industries

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. BINTANG TERANG TEXTILE

b. P.T. GUNAWANTEX

c. P.T. SIPUTEX

d. P.T. TRISULATEX

e. Etc.

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a.   Indonesia Exim Bank

      Jalan Asia Afrika No. 19

      Bandung, West Java

      Indonesia

b.   P.T. Bank CENTRAL ASIA Tbk           

      Jalan Asia Afrika 122-124

      Bandung, West Java

      Indonesia

c.   P.T. Bank MANDIRI Tbk

      Jalan asia Afrika No. 107

      Bandung, West Java

      Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2009 – Rp. 612.0 billion

2010 – Rp. 625.0 billion

2011 – Rp. 635.0 billion

 

Net Profit (estimated) :

2009 – Rp. 42.8 billion

2010 – Rp. 43.7 billion

2011 – Rp. 44.4 billion

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

Director                                           - Mr. Tomas Yusuf AKA Jong Tjong Kik

Marketing Manager                          - Mr. Amit Suresh, MBA

 

Board of Commissioners :

Commissioner                                 - Mr. Yoseph Setiawan

 

Signatories :

Director (Mr. Tomas Yusuf AKA Jong Tjong Kik) which must be approved by Board of Commissioner

 

 

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

 

 

OVERALL PERFORMANCE

 

Originally the company was named C.V. BANDUNG DJAYA TEXTILE MILLS (C.V. BADJATEX) was established on 27 June 1975 in Bandung, West Java with the legal status of C.V. (Commanditaire Vennootschap) or partnership by Mr. Rustandi Jusuf AKA (also known as) Jong Tjoeng Hoa and his younger brother Mr. Tomas Jusuf AKA Jong Tjong Kik. They are an Indonesian business family of Chinese extraction. Later based on notary deed of Mrs. Elisa Kurniati, SH, No. 47 dated 28 January 2011 the company status was changed into Perseroan Terbatas or Limited Liability Company with the complete name P.T. BANDUNG DJAJA TEXTILE or abbreviated P.T. BADJATEX. According to the company notary documents the company authorized capital amounted at Rp. 90,458,687,000 wholly issued and paid up. The founding and shareholders are Mr. Tomas Yusuf AKA Jong Tjong Kik (50%) and Mr. Yoseph Setiawan (50%). The company notary document was approved by the Ministry of Law and Human Rights in its decision letter No. AHU-29325.AH.01.01.TH.2011 dated June 13, 2011.

 

P.T. BADJATEX has been in operation since 1977 in textile industry by initially producing polyester suiting and voile. The company manages a plant located at Jalan Citepus No. 5, Pasawahan, Deyeuhkolot, Bandung, West Java on a land of 30,000 square meters. From being the first company to pioneer colored denim in the 80`s, today Badjatex actively promotes a variety of exciting new pure spun cotton fabrics. Initially, the plant had annual production capacity of just 6.0 million yards of Denim (Jeans), 4.0 million yards of Suiting Cottons, 10.0 million meters of Rayon Yarns and 5.2 million meters of T/C Yarns. In August 1989, P.T. BADJATEX gained a permit from BKPM to expand its plant to increase its annual production capacity to 10.8 million meters of Rayon Yarns and 5.2 million meters of T/C Yarns. Then in August 1994, P.T. BADJATEX obtained a license from BKPM to expand its plant to increase its annual production capacity to 20.0 million meters of finished fabrics and 20.0 million meters of grey fabrics of 20.0 million meters per year respectively.

 

From an initial production capacity of 1,000 yards per day 30 years ago, today Badjatex produces 80,000 to 100,000 yards of fabrics per day. In order to achieve this guarantee, the company’s attention to quality begins from purchasing of the yarn through to weaving, dyeing, printing and final finishing. The fabrics are then passed on to their customers through only the best distributors and wholesalers. To stay ahead of the competition, P.T. Badjatex's Research and Development department plays a key role in collating an analyzing a variety of information. New manufacturing technologies are developed in-house and also in partnership with other world class companies. Unique continuous dyeing machinery has rapidly increased turnaround to their custom dye service and advance computer systems are in daily operation throughout the entire production process. The company has a production capacity of 1,000,000 yards per month for basic and fancy denim. The whole basic material in the form of Cotton Yarns, Polyester Yarns, Rayon Yarn, Lycra Yarns, Jute Yarn, Linen Yarn and Silk Yarns is obtained from P.T. SUNRISE BUMI TEXTILE and P.T. INDORAMA SYNTEHTICS Tbk.

 

Mr. Amit Suresh, MBA, Marketing Manager disclosed that the company has regular customers in garment companies among others are P.T. BALIWIG GARMENT, P.T. INDO PANCA GARMANETS, P.T. BLATINDO GARMENT, Perusahaan Koperasi GARUDA MAS and others.

 

 

The company diversified its business in 1989 to rayon and T/C fabrics with 10.8 million meters of raven fabrics and 5.2 million meters of T/C fabrics respectively. P.T. BADJATEX has also succeeded in exporting 30% of its products to several European countries and the USA.  We observed that P.T. BADJATEX is classified as a large sized company of its kind in the country of which the operation has been growing in the last three years.

 

Generally, the demand for textile products has tended to be fluctuating within the last five years. The country’s garment industry is facing serious marketing problem not only in the country but also abroad. According to the Central Bureau of Statistics (BPS) the Indonesian garments export in 2002 amounted to 333,100 tons (US$ 3,887.2 million) to 339,000 tons (US$ 4,037.9 million) in 2003 to 327.300 tons (US$ 4,351.9 million) in 2004 to 369.500 tons (US$ 4,967.0 million) in 2005 to 399,600 tons (US$ 5,608.1 million) in 2006, to 399,800 tons (US$ 5,712.9 million) in 2007 rose to 417,600 tons (US$ 6,092.2 million) in 2008 declined to 393.400 tons (US$ 5,735.6 million) in 2009 and 445,200 tons (US$ 6,598.0 million) in 2010. The Indonesia textile products export in 2002 amounted to 1,425.9 tons (US$ 3,075.9 million) to 1,307.5 tons (US$ 3,064.6 million) in 2003 to 1,300.4 tons (US$ 3,354.6 million) in 2004 to 1,427.3 tons (US$ 3,704.0 million) in 2005 to 1,477.8 tons (US$ 3,908.6 million) in 2006 to 1,473.6 tons (US$ 4,178.0 million) in 2007 decrease to 1,312.2 tons (US$ 4,127.9 million) in 2008 rose to 1,369.6 tons (US$ 3,602.8 million) in 2009 and to 1,525.9 tons (US$ 4,721.8 million) in 2010.

 

The domestic textile producers are pessimism the textile export in 2009 could match the export numbers in 2008. The blow of the global economic crisis is resulted in the reduced of demand from the export destination countries like the United States (U.S.), Japan, and European Union region. The Export Textiles and the Textile Products (TPT) in 2009 is predicted to fall to 10.2 percent compared to the last year. In the year 2008 the export value reached 10.8 billion US dollars. While this year’s the exports expected fall into US$ 9.7 billion. The Chairman of the Indonesian Textile Association (API), Mr. Benny Soetrisno said that the decline in global purchasing power caused of the demand in the Indonesian textile products could not be able to grow as tight as 2008. The export volume and value of the national TPT products in 2002 to 2010 are pictured on the following table.

 

      Year

Garment

Textile Products

(Thousand Ton)

(US$ Million)

(Thousand Ton)

(US$ Million)

2002

2003

2004

2005

2006

2007

2008

2009

2010

333.1

339.9

327.3

369.5

399.6

399.8

417.6

393.4

445.2

3,887.2

4,037.9

4,351.9

4,967.0

5,608.1

5,712.9

6,092.2

5,735.6

6,598.0

1,425.9

1,307.5

1,300.4

1,427.3

1,477.8

1,473.6

1,312.2

1,369.6

1,525.9

3,075.9

3,064.6

3,354.6

3,704.0

3,908.6

4,178.0

4,127.9

3,602.8

4,721.8

Source: Central Bureau of Statistic     

 

Until this time P.T. BADJATEX has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. The management of P.T. BADJATEX 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. 612.0 billion rose to Rp. 625.0 billion in 2010 increased to Rp. 635.0 billion in 2011 and projected to go on rising by at least 5% in 2012. The operation in 2011 yielded an estimated net profit of at least Rp. 44.4 billion and the company has an estimated total networth of at least Rp. 121.0 billion. 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.

 

The management of P.T. BADJATEX is led by Mr. Tomas Yusuf AKA Jong Tjong Kik (65) a businessman and professional manager with experience in integrated textile industry and trading. Daily activity he is assisted by Mr. Amit Suresh, MBA (45) a professional manager of India as Marketing Manager. He earned Master of Business Administration (MBA) from University of Detroit Mercy, in Marketing. 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. P.T. BANDUNG DJAJA TEXTILE or P.T. BADJATEX is sufficiently fairly good for business transaction.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.56.05

UK Pound

1

Rs.86.69

Euro

1

Rs.69.98

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.