MIRA INFORM REPORT

 

 

Report Date :

11.10.2012

 

IDENTIFICATION DETAILS

 

Name :

RAGI INDUSTRIES LIMITED

 

Registered Office :

 

2-4, Vika Vills Community Road, Ikeja, Lagos State

 

 

Country :

Nigeria

 

 

Date of Incorporation :

23.11.2004

 

 

Com. Reg. No.:

RC: 611763

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Importation and Sales of Industrial Chemicals from various countries.

 

 

No. of Employees :

Over 10

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Nigeria

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

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


Company name

 

RAGI INDUSTRIES LIMITED

 

 

OPERATIONS

 

The company is engages in Importation and Sales of Industrial Chemicals from various countries.

 

 

COMPANY LOCATION

 

The company address is located at 3, Olajire House, Ilupeju Bye-Pass, Lagos State, Nigeria

 

 

IDENTIFICATION

 

COMPANY NAME:                                RAGI INDUSTRIES LIMITED

REGISTERED NAME:                           RAGI INDUSTRIES LIMITED

REGISTERED ADDRESS:                     2-4, Vika Vills Community Road, Ikeja, Lagos State, Nigeria

HEAD OFFICE ADDRESS:                    3, Olajire House, Ilupeju Bye-Pass, Lagos State, Nigeria

PREVIOUS ADDRESS:                         28, Michael Adekoya Street, Ilupeju, Lagos State, Nigeria

TELEPHONE:                                       234-1-2718175, 7917575 (Not reachable)

FAX:                                                     234-1-2718178, 7917575 (Not reachable)

PRIMARY CONTACT:                            Mr. Ravi Kumar (Sales Manager)

 

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 500 square meters

DATE INCORPORATED:                       23rd November, 2004

YEAR BEGAN OPERATION:                 2004

LEGAL FORM:                                      Limited Liability Company

REGISTRATION NO:                             RC: 611763

SHARE CAPITAL:                                 10,000,000.00

ISSUED CAPITAL:                                10,000,000.00

PAID-UP CAPITAL:                               10,000,000.00

STAFF STRENGHT:                              Over 10

 

OWNERSHIP/SHAREHOLDING STRUCTURE

 

Names                                                                                                                                      %Held

  1. Sharma Kautilya                                                                                                            1%

39/9, Sathotn Soi-9, South Sathorn Road, Yannawa Bangkok 10102, Bangkok Thailand

 

  1. Gira Investments Limited LLC                                                                                         99%

39/9, Sathotn Soi-9, South Sathorn Road, Yannawa Bangkok 10102, Bangkok Thailand

 

  1. Pince Yadavendra (Mr.)

39/9, Sathotn Soi-9, South Sathorn Road, Yannawa Bangkok 10102, Bangkok Thailand

 

  1. Sharma Shilpa Kautilya (Mrs.)

39/9, Sathotn Soi-9, South Sathorn Road, Yannawa Bangkok 10102, Bangkok Thailand

 

 

DIRECTORS

 

  1. Sharma Kautilya
  2. Pince Yadavendra (Mr.)
  3. Sharma Shilpa Kautilya (Mrs.)

 

 

BACKGROUND

 

Ragi Industries Limited was incorporated on 23rd November, 2004 with Registration Number (RC: 611763). It corporate head office comprising multiple offices apartment on the 1st Floor of a two (2) storey building painted cream and it has a wide security gate painted black. The 2nd Floor of the same building is occupied by Heritage Estate and Home Limited and the facility is located at 3, Olajire House, Ilupeju Bye-Pass, Lagos State, Nigeria. The company’s warehouse is attached to the administrative block, though it is a bungalow on the down floor of the premises. Industrial Chemicals were sighted at the warehouse.

 

During our visit on 8th October, 2012, Mr. Ravi Kumar (234-1-7904502), the Sales Manager stated that the company is into Importation and Sales of Industrial Chemicals from various countries such as China, India etc. He also stated that the company relocated from 28, Michael Adekoya Street, Ilupeju, Lagos State, Nigeria for the past three (3) years.

Meanwhile, the management of the company declined further information and insisted on knowing the source of enquiry and all efforts to persuade them proved abortive.

 

Conclusion:  Based on our visit, trucks sighted beside the warehouse including facilities sighted, we are of the opinion that the company appears to be credible. As such, any business relationship with the company should be mutually beneficial.

 

TYPES OF CUSTOMERS

 

·         General Public

·         Group of Companies

 

 

 

PRODUCTS

 

Mineral Products - Ores, Slag & Ash

 

 

PERFORMANCE RANKING

 

* Quality of Management:          GOOD

* Ethics & Integrity:                     GOOD

* Ownership Structure:               GOOD

 

 

FINANCES

 

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

 

 


INDUSTRIAL OVERVIEW/ OPERATING ENVIRONMENT

 

Subject is operating in an industry with very great potentials. This sector in Nigeria has a lot to explore when it comes to the need for expansion, improvement of product quality, work force development and general technical expertise. Mainly, private individuals dominate this sector. Despite the huge capital required for setting up this investment, it has grown in its leaps and bounds over the decades in the nation, although, the efforts of the Federal Government cannot be ruled out. The government has put in place different policies that support private individuals to secure loans/ mortgages from banks and other financial institutions. However, to record a groundbreaking in this sector, foreign investors are inevitable.

 

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 as at the time of compiling this report.

 

 

OFFICIAL REMARKS

 

Having carried out all necessary verifications on the company, our investigations revealed that Ragi Industries Limited is duly registered in Nigeria with a registered address is located at 2-4, Vika Vills Community Road, Ikeja, Lagos State, Nigeria, Lagos State, Nigeria, while its operational address is located at 3, Olajire House, Ilupeju Bye-Pass, Lagos State, Nigeria

 

Information contained in the report is mostly from secondary sources.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.04

UK Pound

1

Rs.84.83

Euro

1

Rs.68.21

 

 

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%)

 

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.