MIRA INFORM REPORT

 

 

Report Date :

29.06.2012

 

IDENTIFICATION DETAILS

 

Name :

AARTI STEEL NIGERIA LIMITED

 

 

Registered Office :

Suite 414, 4th Floor, 8/10, Broad Street, Lagos Island, Lagos State, Nigeria

 

 

Country :

Nigeria

 

 

Date of Incorporation :

26.11.2003

 

 

Com. Reg. No.:

RC. 499767

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacturing of Industrial Aluminium, Rubber and Plastics

 

 

No. of Employees :

20

 

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

 

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 – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Nigeria

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 


Company name

 

AARTI STEEL NIGERIA LIMITED

 

 

OPERATIONS

 

The company engages in Manufacturing of Industrial Aluminium, Rubber and Plastics

 

 

COMPANY LOCATION

 

The company address located at 15A, Sowemimo Street, GRA, Ikeja, Lagos State, Nigeria.

 

 

IDENTIFICATION

 

COMPANY NAME:                                 AARTI STEEL NIGERIA LIMITED

REGISTERED NAME:                            AARTI STEEL NIGERIA LIMITED

SECTOR:                                              MANUFACTURING

REGISTERED ADDRESS:                      Suite 414, 4th Floor, 8/10, Broad Street, Lagos Island, Lagos

State, Nigeria

HEAD OFFICE ADDRESS:                     15A, Sowemimo Street, GRA, Ikeja, Lagos State, Nigeria

TELEPHONE:                                        234-1-7903553

FAX:                                                     234-1-7904990

MOBILE:                                               234-803-502-8108

EMAIL:                                                 artinigeria@yahoo.co_in

Currency: All monetary quoted in this report are in Nigerian Naira, the local currency or unless otherwise stated. The exchange rate is N150 to 1 US $.

 

 

SUMMARY

 

NATURE OF PREMISES:                       Leased office space approximately 1,000 square meters

DATE INCORPORATED:                        26th November, 2003

YEAR BEGAN OPERATIONS:                2003

LEGAL FORM:                                      Private Limited Company

REGISTRATION NO:                             RC. 499767

SHARE CAPITAL:                                 550,000,000.00

ISSUED CAPITAL:                                20,000,000.00

PAID-UP CAPITAL:                               20,000,000.00

UNALLOYTED:                                      530,000,000.00

STAFF STRENGHT:                              About 20

 

OWNERSHIP/SHAREHOLDING STRUCTURE

 

Names                        

Shivalikview Steel Trad                          

3, Industrial Area, Phase I, Chandigarh, India

 

Rockland Steel Trading PVT LTD

3, Industrial Area, Phase I, Chandigarh, India

 

Nayyar Budhi Parkash

1331, Sector 44B, Chandigarh, India

 

Chand Hardev

1258, Old Post Office Street, Manimajara, India

 

Kumar Neeraj

House 421, Sector 9, Panchkula, India

 

Shivalik View Steel Trading PVT LTD                                                      

3, Industrial Area, Phase I, Chandigarh, India

 

 

DIRECTORS                                             

 

  1. Nayyar Budhi Parkash
  2. Chand Hardev
  3. Kumar Neeraj

 

MANAGEMENT TEAM

 

S/N

Name

Position

1.

Ajay Sharma

ICT System Analyst

2.

Akhai Ehimigbai

Manager

 

 

BACKGROUND

 

Aarti Steel Nigeria Limited was incorporated on 26th November, 2003 with Registration Number (RC: 499767). Its corporate head office is made up of a storey building painted butter colour and it is located at 15A, Sowemimo Street, GRA, Ikeja, Lagos State, Nigeria.

Aarti Steel Nigeria Limited has constructed a Greenfield manufacturing plant for steel galvanizing in Ogun State. The new facility has a manufacturing capacity of 50,000 tons a year, with a provision to expand this capacity, and produces galvanized steel coils, galvanized plain steel sheets, and galvanized corrugated (roofing) steel sheets. When the facility is fully online, it is expected to be the largest local manufacturer, employing about 200 individuals onsite, with an additional 1,000 individuals expected to be employed indirectly in the provision of support and ancillary services.

The plant uses piped compressed natural gas as its main energy source. Natural gas will be used to produce electric power for captive consumption through a gas generator, as well as for all heating and melting furnaces. This approach will avoid the emission of CO2 and also supports the government’s policy of using gas for productive purposes instead of flaring. Flaring and venting of natural gas in oil wells is a significant source of greenhouse gas emissions.

During our visit on 25th June, 2012, the security man who attended to us refused to allow us into the offices but received our documents and promised to pass it to the management. It is a clear fact that the company operates from there due to the attendance and registered of the staff cited within the security post. All effort to speak with any other person proved futile due to security measure.

Conclusion:  Based on our visit and discussion with the security man on duty, we are of the view that business is taken place in the premises. As such, any business relationship with the company should be mutually beneficial.

 

PRODUCT DESCRIPTION

·         Sheets

·         Steel

·         Wind

 

TYPES OF CUSTOMERS

·        General Public

·        Group of Companies

 

PERFORMANCE RANKING

* Quality of Management:          GOOD

* Ethics & Integrity:                     GOOD

* Ownership Structure:               GOOD

 

FINANCES 

 

The company’s Audited Account was not available during our visit; therefore, as such, its present financial state could not be ascertained.

 

 

INDUSTRIAL OVERVIEW/ OPERATING ENVIRONMENT

 

There are many opportunities in this sector of the economy. This could be largely achieved through Foreign Companies joint ventures with Nigerian companies, with adequate Training/Technical Assistance - Provision of training facilities for a large work force indirectly engaged in the Sub-Sector of the economy. This sector of the economy has great potentials for intending investors.

 

CMT REPORT

(Corruption, Money Laundering & Terrorism)

 

Public Notice from various sources including but not limited to: The Courts, Nigerian Prison Service, Economic & Financial Crimes Commission (EFCC), National Drug Law Enforcement Agency (NDLEA), National Agency for Food & Drugs Administration and Control (NAFDAC), Independent Corrupt Practices and other related offences Commission (ICPC) Etc.

No negative information on subject from the above agencies.

 

 

OFFICIAL REMARKS

 

Having carried out all necessary verifications on the company, our investigations revealed that Aarti Steel Nigeria Limited is duly registered in Nigeria with a registered address is located at Suite 414, 4th Floor, 8/10, Broad Street, Lagos Island, Lagos State, Nigeria, while its operational address is located at 15A, Sowemimo Street, GRA, Ikeja, Lagos State, Nigeria

Information contained in the report is mostly from secondary sources.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.56.92

UK Pound

1

Rs.88.91

Euro

1

Rs.71.25

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.