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Report Date : |
05.10.2012 |
IDENTIFICATION DETAILS
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Name : |
AARTI STEEL NIGERIA LIMITED |
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Registered Office : |
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Country : |
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Date of Incorporation : |
26.11.2003 |
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Com. Reg. No.: |
RC. 499767 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturing of Industrial Aluminium, Rubber and Plastics |
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No. of Employees : |
20 |
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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
|
Nigeria |
B1 |
B1 |
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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 |
NIGERIA - ECONOMIC OVERVIEW
Oil-rich Nigeria has been hobbled
by political instability, corruption, inadequate infrastructure, and poor
macroeconomic management, but in 2008 began pursuing economic reforms.
Nigeria's former military rulers failed to diversify the economy away from its
overdependence on the capital-intensive oil sector, which provides 95% of
foreign exchange earnings and about 80% of budgetary revenues. Following the
signing of an IMF stand-by agreement in August 2000, Nigeria received a
debt-restructuring deal from the Paris Club and a $1 billion credit from the
IMF, both contingent on economic reforms. Nigeria pulled out of its IMF program
in April 2002, after failing to meet spending and exchange rate targets, making
it ineligible for additional debt forgiveness from the Paris Club. In November
2005, Abuja won Paris Club approval for a debt-relief deal that eliminated $18
billion of debt in exchange for $12 billion in payments - a total package worth
$30 billion of Nigeria's total $37 billion external debt. Since 2008 the
government has begun to show the political will to implement the
market-oriented reforms urged by the IMF, such as modernizing the banking
system, removing subsidies, and resolving regional disputes over the
distribution of earnings from the oil industry. GDP rose strongly in 2007-11
because of growth in non-oil sectors and robust global crude oil prices.
President JONATHAN has established an economic team that includes experienced
and reputable members and has announced plans to increase transparency,
diversify economic growth, and improve fiscal management. Lack of
infrastructure and slow implementation of reforms are key impediments to
growth. The government is working toward developing stronger public-private
partnerships for roads, agriculture, and power. Nigeria's financial sector was
hurt by the global financial and economic crises, but the Central Bank governor
has taken measures to restructure and strengthen the sector to include imposing
mandatory higher minimum capital requirements.
Source : CIA
AARTI STEEL NIGERIA LIMITED
The company engages in Manufacturing of Industrial Aluminium, Rubber and Plastics
The company address located at 15A, Sowemimo Street, GRA, Ikeja, Lagos
State, Nigeria.
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 $.
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
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
|
S/N |
Name |
Position |
|
1. |
Ajay Sharma |
ICT System Analyst |
|
2. |
Akhai Ehimigbai |
Manager |
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
The company’s Audited Account was not available during our visit; therefore, as such, its present financial state could not be ascertained.
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.
(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.
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.51.97 |
|
UK Pound |
1 |
Rs.83.67 |
|
Euro |
1 |
Rs.67.19 |
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 |
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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.