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Report Date : |
01.08.2013 |
IDENTIFICATION DETAILS
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Name : |
ARABIAN PACKAGING COMPANY LLC (APC) |
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Registered Office : |
Saif Ahmed Al Ghurair Building, Salah Al Din Street, Deira, Hor Al
Anz, PO Box: 10337, Dubai |
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Country : |
United Arab Emirates |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
1982 |
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Com. Reg. No.: |
40354 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Subject’s operations are performed through the following divisions: Corrugated Boxes
Division, Flexible Packaging Division |
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No. of Employees : |
375 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 : |
Regular |
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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 – March, 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
United Arab Emirates |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
UNITED ARAB
EMIRATES -
ECONOMIC OVERVIEW
The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.
|
Source
: CIA |
Company Name :
ARABIAN PACKAGING COMPANY LLC (APC)
Country of Origin :
Dubai, United Arab Emirates
Legal Form :
Limited Liability Company - LLC
Start Date :
1982
Registration Date :
12th February 1984
Commercial Registration Number :
40354, Dubai
Trade Licence Number :
300177
Chamber Membership Number :
10476
Issued Capital :
UAE Dh 45,000,000
Paid up Capital :
UAE Dh 45,000,000
Total Workforce :
375
Activities :
Subject operates through several divisions (see below for details)
Financial Condition :
Good
Payments :
Nothing detrimental uncovered
Operating Trend :
Steady
Person Interviewed :
Iqbal Mohamed, Finance Manager
ARABIAN PACKAGING COMPANY LLC (APC)
Registered &
Physical Address
Building : Saif Ahmed
Al Ghurair Building
Street : Salah Al Din
Street
Area : Deira, Hor
Al Anz
PO Box : 10337
Town : Dubai
Country : United Arab
Emirates
Telephone : (971-4) 2623377
Facsimile : (971-4)
2851972 / 2851973
Mobile : (971-50)
5542864
Email : arabpack@emirates.net.ae
/ info@arabpack.com
Premises
Subject operates from a medium sized suite of offices that are owned and
located in the Central Business Area of Dubai.
Branch Office (s)
Location Description
Street No. 215/3 Owned
office, warehouse & factory
Al Ramool, Rashidya covering
an area of 10,000 square
PO Box: 10337
metres
Dubai
Tel: (971-4) 2858658 / 2854400
Fax: (971-4) 2855578
Sheikh Zayed Road Rented
factory
Jebel Ali Industrial Area No. 2
Tel: (971-4) 8802555 / 8801588
Fax: (971-4) 8802225
Name Position
Mohamed Saif Al Ghurair Managing
Director
Ahmed Saif Al Ghurair Director
Abdel Moneim Salem Director
Huzifa Mohsin Marketing
Manager
M Kevin Production
Manager
Iqbal Mohamed Finance
Manager
Mohamed Zuhaib Financial
Controller
Date of Establishment : Subject was
established in 1982 and was registered on 12th February 1984
Legal Form : Limited Liability
Company - LLC
Commercial Reg. No. : 40354, Dubai
Trade Licence No. : 300177
Chamber Member No. : 10476
Issued Capital : UAE Dh 45,000,000
Paid up Capital : UAE Dh 45,000,000
Name of
Shareholder (s) Percentage
Saif Al Ghurair Group Co 99%
Al Ghurair Private Co 1%
Subject is a member of the Al Ghurair Group, which has a turnover over
in excess of UAE Dh 3 billion (US$ 850 million). The group has a diversified
range of interests spanning real estate, finance and industry, with specialist
operations in banking, trading and shipping.
Some of the very successful industries that it operates today in the
United Arab Emirates, include the National Flour Mills Co Ltd, National Cement
Company, Gulf Extrusions at Jebel Ali, Masafi Mineral Water Co LLC, National
Mosaic Tiles and Al Ghurair Publishing and Printing. In the banking sector, the
Ghurairs are owners of the UAE’s largest private bank, the Dubai-based Mashreq
Bank, which is one of the Group’s most successful ventures and operates from
branches both within and outside the UAE.
The Al Ghurair Group is active in London, New York, Cairo, Khartoum,
Istanbul, Bombay, Doha, Colombo, Karachi and Lahore.
In real estate the Al Ghurair Centre has become a prominent landmark in
Dubai. It was built at a cost of more than US $ 150 million and is now home to
most of the city’s top retailers.
The Al Ghurair Group comprises the following concerns:
Al Ghurair Holdings (Private) Ltd
Gulf Extrusions Ltd
Arabian Aluminium Company
Al Ghurair Publishing & Printing House
Union Mosaic & Marble Company
Al Ghurair Centre
Arabian Mix
National Cement Company Ltd
Emirates Trading Agency LLC (ETA)
Gulf Utensils
Gulf Import & Export Co
House of Perfume
Computer Intelligence and Communications Ltd
Gulf Confectionery & Biscuit Company
Oman Insurance Co Limited
Mashreq Bank
Al Ghurair Enterprises
Al Ghurair Exchange
National Flour Mills Company Ltd
National Concrete Company Ltd
Masafi Mineral Water Co LLC
Associated Construction & Investment Co LLC (ASCON)
Al Ghurair Fieness Perry & Partners
Pak Arab Traders
Al Ghurair Real Estate
Al Khaleej Sugar Co WLL
Central Electric Equipment Co LLC (CEEC)
National Oman Marble Company
Rawda Quarries Ltd
Ghurair Tarmac
Oman Finance Company
Ghurair Crown (Engineering) Ltd
Al Ghurair Industries (Pvt) Ltd
Activities: Subject’s
operations are performed through the following divisions:
Corrugated Boxes Division
Engaged in the manufacture of corrugated
cardboard boxes and die cut trays with a production capacity of 50,000 tonnes
per annum.
Drinking cartons accounts for 70 percent of
subject’s production capacity. The company’s products are also used
for packaging fruit and vegetables.
Flexible Packaging Division
Engaged in printing and electronic cylinder
engraving. It is capable of printing on a variety of substrates like OPP,
PET, nylon, Alfoil, cellophane and paper.
The division also manufactures and converts
all kinds of flexible material - monofilms, laminates (multilayer films),
shrink films, soap wrappers and labels.
Subject was ISO 9002 certified on 16th
March 1996.
Production Capacity: 80,000 tonnes
Import Countries: Canada,
South Africa, Russia, Germany, France and Switzerland
Export Countries: Saudi Arabia, Oman, Bahrain, Kuwait,
Iran, Pakistan, India, Sudan and various African countries
Operating Trend: Steady
Subject has a workforce of approximately 375 employees.
Financial highlights provided by local sources are given below:
Currency: United Arab Emirates Dirham (UAE Dh)
Year Ending 31/12/11: Year Ending 31/12/12:
Total Sales UAE
Dh 348,769,000 UAE Dh
315,381,607
Local sources consider subject’s financial condition to be Good.
The above figures were provided by Mr Iqbal Mohamed, Finance Manager
Citibank
Al Maktoum Street
Deira
PO Box: 749
Dubai
Tel: (971-4) 5074121
Fax: (971-4) 2238922
Commercial Bank of Dubai
Baniyas Street
Deira
PO Box: 1709
Dubai
Tel: (971-4) 2227121 / 2253222
Fax: (971-4) 2220943 / 2254565
Bank of Oman Ltd
PO Box: 125
Dubai
No complaints regarding subject’s payments have been reported.
Arabian Packaging Company LLC (APC) has been in business for over 30
years and is well established in the local business community. It has two divisions
covering the manufacture of corrugated cardboard boxes and die cut trays, as
well as printing and electronic cylinder engraving.
The company is part of the very well known and financially strong Al
Ghurair Group that has a diversified range of interests spanning real estate,
finance and industry, with specialist operations in banking, trading and
shipping.
During the course of this investigation nothing detrimental was
uncovered regarding subject’s operating history or the manner in which payments
are fulfilled. As such the company is considered to be a fair trade risk.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.11 |
|
|
1 |
Rs.92.97 |
|
Euro |
1 |
Rs.80.93 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.