MIRA INFORM REPORT

 

 

Report Date :

17.10.2012

 

IDENTIFICATION DETAILS

 

Name :

KENYA TEA DEVELOPMENT AGENCY HOLDING LTD

 

 

Registered Office :

KTDA Farmers Building, Moi Avenue, Nairobi, P.O. Box 30213, 00100 Nairobi

 

 

Country :

Kenya

 

 

Date of Incorporation :

15.06.2000

 

 

Com. Reg. No.:

C.89741

 

 

Legal Form :

Private Company

 

 

Line of Business :

subject is private teas management agency

 

 

No. of Employees :

Not Available 

 

 

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 :

Unknown

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

(31.03.2012)

Current Rating

(30.06.2012)

Kenya

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

kenya - ECONOMIC OVERVIEW

 

Although the regional hub for trade and finance in East Africa, Kenya has been hampered by corruption and by reliance upon several primary goods whose prices have remained low. Low infrastructure investment threatens Kenya's long-term position as the largest East African economy. The IMF halted lending in 2001 when the government failed to institute several anticorruption measures. In the key December 2002 elections, Daniel Arap MOI's 24-year-old reign ended, and a new opposition government took on the formidable economic problems facing the nation. After some early progress in rooting out corruption and encouraging donor support, the KIBAKI government was rocked by high-level graft scandals in 2005 and 2006. In 2006, the World Bank and IMF delayed loans pending action by the government on corruption. The international financial institutions and donors have since resumed lending, despite little action on the government's part to deal with corruption. Post-election violence in early 2008, coupled with the effects of the global financial crisis on remittance and exports, reduced GDP growth to 1.7 in 2008, but the economy rebounded in 2009-10. GDP growth in 2011 was only 4.3% due to inflationary pressures and sharp currency depreciation - as a result of high food and fuel import prices, a severe drought, and reduced tourism. In accordance with IMF prescriptions, Kenya raised interest rates and increased the cash reserve in November 2011.

 

Source : CIA

 

 

 


BUSINESS PROFILE

 

Company Name

(legal name)

KENYA TEA DEVELOPMENT AGENCY HOLDING LTD

Date of Incorporation

 

15th June 2000

Registered No.

 

C.89741

Registered Address

KTDA Farmers Building, Moi Avenue, Nairobi
P.O. Box 30213, 00100 Nairobi Kenya

Legal Form (General)

 

Private Co  

Head Office Address

KTDA Farmers Building, Moi Avenue, Nairobi
P.O. Box 30213, 00100 Nairobi Kenya

Tel No

 

254203227000 - 2 / +254202221441 - 4

Fax No

+254202211240

E-mail

info@ktdateas.com

 mailto:keringet@water.co.ke

Website

www.ktdateas.com

 

 

SHAREHOLDING DETAILS

 

MAJOR SHAREHOLDERS

NAME

% SHAREHOLDING

NATIONALITY

450,000 small scale tea farmers

Not disclosed

Kenyan

65 tea factory companies

Not disclosed

Kenyan

Total

100%

-

The subject has a board composed of 15 directors representing 65 tea factory companies and 450,000 small scale tea farmers who are the shareholders.

 

2.1 BOARD OF DIRECTORS:

NAME

NATIONALITY

Peter T. Kanyago (Chairman)

Kenyan

Lerionka Tiampati (Group CEO)

Kenyan

 

 

MANAGEMENT PROFILES

 

MANAGEMENT

#1

First name

Lerionka

Last Name

Tiampati

Nationality

Kenyan

Job Description

Group CEO

Other details

The subject also serves as the group CEO of the subject and all the subsidiaries.

 


 

#2

First name

Alfred

Last Name

Njagi

Nationality

Kenyan

Job Description

General Manager-Operations(MS)

Other details

He is in charge of operations

 

 

FINANCIAL COMPARATIVES

 

The financial statement of the subject could not be obtained due to refusal by the subject’s principal to disclose information citing constraints by the company’s policy.

 

Financial Analysis

ROC Status

 Undetermined

RecFin

Undetermined

 

BANK DETAILS

Bank Name :

National Bank of Kenya Ltd

Bank Address :

P.O. Box 72866 00200, Nairobi Kenya

 

 

BUSINESS OPERATIONS

 

Industry

Tea

Main Products & Services

The subject is private teas management agency

1.Tea Estate Management

2.Coordination of logistics of green leaf collection

3. IT related services

4.Tea Marketing and Selling

5.Tea Extension Services

6.Management of tea-processing factories

 

 

COMMENTS & OBSERVATION

 

Comments

Additional information (Public Information)

 

The subject is legally registered and domiciled in Kenya. -

The subject was initially registered as a state corporation under the name Kenya Tea Development Authority before it was privatized on 15th June 2000 and registered as Kenya Tea Development Agency ltd. 

 

The name was later changed on 14th December 2009 from Kenya Tea Development Agency ltd to Kenya Tea Development Agency Holding ltd.

 

As per the stored with the registrar of companies, the subject was formed to acquire and undertake the whole of the existing business assets and property vested in or held by the Kenya Tea Development Authority.

 

The subject manages 65 tea factory companies. The factory companies, which own KTDA as corporate shareholders, are owned by some 450,000 small scale tea farmers who are both shareholders and suppliers of leaf to their respective factories

 

 

Source

Source

 

-Registrar of Companies

-National directories

-Regulatory authorities

-Subject’s principal

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.52.82

UK Pound

1

Rs.84.96

Euro

1

Rs.68.61

 

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%)

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