MIRA INFORM REPORT

 

 

Report Date :

30.04.2013

 

IDENTIFICATION DETAILS

 

Name :

SUMMIT FIBRES LIMITED

 

 

Registered Office :

Unga St, Off Shimanzi Rd, Mombasa

 

 

Country :

Kenya

 

 

Date of Incorporation :

30.09.1987

 

 

Com. Reg. No.:

35623

 

 

Legal Form :

Limited Corporation 

 

 

Line of Business :

Manufacture of textiles, fibres and yarns

 

 

No. of Employees :

250 employees

 

 

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, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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

 

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. 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. Unemployment is very high. The country has experienced chronic budget deficits, inflationary pressures, and sharp currency depreciation - as a result of high food and fuel import prices. The discovery of oil in March 2012 provides an opportunity for Kenya to balance its growing trade deficit if the deposits are found to be commercially viable and Kenya is able to develop a port and pipeline to export its oil.

Source : CIA

SUBJECT'S NAME   

 

Registered Name:                                  SUMMIT FIBRES LIMITED

Requested Name:                                  SUMMIT FIBRES LIMITED

Other Names:                                        None

 

 

ADDRESS AND TELECOMMUNICATION

 

Physical Address:                                 Unga St, Off Shimanzi Rd, Mombasa

Postal Address:                                    P. o. Box 99559-80100

                                                            Mombasa,

Country:                                                Kenya

Phone:                                                  254-41-2011763          

Cell:                                                      254-721400686

Fax:                                                      254-41-2011763          

Email:                                                   sfl@africaonline.co.ke

Website:                                               None

 

 

CREDIT OPINION

 

Financial Index as of December 2012 shows subject firm with a medium risk of credit. However, bank and credit information obtained reveal a history of prompt payments.

 

 

LEGAL

 

Legal Form:                                                    Limited Corporation 

Date Incorporated:                                          30-Sept-1987

Reg. Number:                                                 35623

Nominal Capital KES. 45,000,000 Divided into Shares of 450,000

each KES. 100

Subscribed Capital                                         KES. 45,000,000

 

Subscribed Capital is Subscribed in the following form:

                                                                     Position                          Shares

Mr. Navinchandra Karamshi Shah                    MD                                 

Mr. Mahendra Karamshi Shah                          Director                          

Mr. Godfrey Kamau Mwangi                            Director                          

Mr. Kirti Ramniklal Shah                                  Director                           67,500

Midco Textile (E.A) Limited                             Shareholder                     191,250

Summit Textiles (E.A) Limited                          Shareholder                     191,250

 

 

RELATED COMPANIES  

 

None                                                              Parent company.

None                                                              Subsidiary company.

None                                                              Affiliated company.

None                                                              Shareholder of subject firm.

In Nairobi, Kenya                                            Branches of the firm

 

 

OPERATIONS

 

Registered to operate manufacture of textiles,fibres and yarns

Imports:                                                         Asia

Exports:                                                         None

Trademarks:                                                   None

Terms of sale:                                                Cash (40%) and 25-90 days (60%), invoices.

                                                                    

Main Customers:                                            Industries,firms and organizations  

Employees:                                                    250 employees.

Vehicles:                                                        Several motor vehicles.

Territory of sales:                                           Kenya

Location:                                                        Leased premises, 100,000 square feet,

 

 

AUDITORS AND INSURANCE   

 

Auditors:                                                        Information not available.

Insurance Brokers:                                          Information not available.

                                                                    

 

FINANCE 

 

Currency Reported:                                         Kenya Shillings (KES.)

Approx. Ex. Rate:                                           1 US Dollar = 83.80 Kenya Shillings

Fiscal Year End:                                             December 31, 2012

Inflation:                                                         According to information given by independent sources, the inflation at December 31st, 2012 was of 13%.

 

Financial Information not Submitted                

                                                                    

                                                                    

Profit and Loss (expressed in KES.)

                                                                                   2012

Sales                                                                           650,000,000

 

BANK 

 

Bank Name:                                                    BARCLAYS BANK OF KENYA LIMITED

Branch:                                                          Nkrumah Road, Mombasa, Kenya

Comments:                                                    None

                                                                    

 

TRADE REFERENCES    

 

Experiences:                                                  Good

                                                                    

 

NOTARIAL BONDS   

 

None

 

 

COMMENTS / ADDITIONAL INFORMATION    

 

This information was obtained from outside sources other than the subject company itself and confirmed the above subject.


                                                                    

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.28

UK Pound

1

Rs.84.23

Euro

1

Rs.70.90

 

 

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.