MIRA INFORM REPORT

 

 

Report Date :

24.08.2013

 

IDENTIFICATION DETAILS

 

Name :

EVEREST GROUP NEPAL

 

 

Registered Office :

P. O. Box No. 8 JanakpurDham, Dhanusha

 

 

Country :

Nepal

 

 

Date of Incorporation :

03.02.1981

 

 

Legal Form :

Group Concern

 

 

Line of Business :

Group Activity

EVEREST PAPER MILLS

Manufacturing Various grades of Writing & Printing Paper: 

EVEREST SUGAR & CHEMICAL IND. LTD.

Manufacturing fine granulated white sugar

EVEREST WIRES INDUSTRY

Manufacturing Super-Enameled Copper Wire

ANNARPURNA RICE MILL

Manufacturing Premier quality Basmati & Mansuli Rice  

EVEREST MOULDING & SINTERING

Manufacturing  PET preforms, PVC battery separator, etc.

EVEREST NON - FERROUS METALS

Manufacturing solder wire/sticks, PbO

 

 

No. of Employees :

3200

 

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)

Nepal

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

nepal - ECONOMIC OVERVIEW

 

Nepal is among the poorest and least developed countries in the world, with about one-quarter of its population living below the poverty line. Agriculture is the mainstay of the economy, providing a livelihood for three-fourths of the population and accounting for a little over one-third of GDP. Industrial activity mainly involves the processing of agricultural products, including pulses, jute, sugarcane, tobacco, and grain. Nepal has considerable scope for exploiting its potential in hydropower, with an estimated 42,000 MW of feasible capacity, but political instability hampers foreign investment. Additional challenges to Nepal's growth include its landlocked geographic location, civil strife and labor unrest, and its susceptibility to natural disaster.

 

Source : CIA

 


Company Information

 

EVEREST GROUP NEPAL

P. O. Box No. 8       
JanakpurDham, Dhanusha,       
Nepal       
Tel:                                           (977) – 41- 20512, 20093, 22259       
Fax:                                          (977) – 41 – 20317, 21021       
Email:                                       info@everestgroup.com.np 

 

Main Office :    Pyukha, New Road,       
P. O. Box 2332,       
Kathmandu, Nepal       
Tel:                                           (977) – 1 – 225428, 240934/35       
Fax:                                          (977) - 1 - 224565       
Email:                                       everest@ntc.net.np

 

Type of Concern:                        Group Concern

 

Year Establishment:                   03.02.1981

 

Legal Status:                             Group Concern

 

Name of Directors:                     Mr. O. P. Saraff, (Chairman)       
                                                Mr. K. K. Saraff, (Managing Director)

 

Auditors:                                   B. S. Khagaur & Sons., Kathmandu, Nepal

 

Staff      :                                   3200

 

Bankers:                                   Nepal Bank Limited  
                                                Standard Chartered Bank Nepal Ltd..  
                                                Nepal Bangladesh Bank Ltd.

 

Business:                                  In the 40’s, Late Sri Dina Nath Saraff, our founder father planted the seed of Everest Group starting his own import-export firm “ Brij Mohan Dina Nath” in Janakpur, which dealt initially  in the import of clothing materials from India, Soda Ash and various kinds of spices from Malaysia & Indonesia and export of rice to India. Janakpur (birthplace of Goddess Sita, according to the epic, Ramayana) was then a very small medieval settlement amidst disease infested forest. This firm was to be the embryo of the present group.   

                                                       
He had subsequently acquired the sole agency of ESSO and of Brooke Bond tea in the 50’s & 60’s for Nepal and started marketing their petroleum products such as, Petrol, Diesel, LDO, engine oil, Kerosene oil etc. and tea respectively.  By mid 60’s he established another firm “ Everest Trading Company” along with the JhunJhunwalas in Biratnagar, and started exporting Jute to millers in India.  

                      
It was in the late 60’s that our founder father showed his charisma in opening the door for industrialization when he established “Janakpur Soap Factory”, manufacturing various grades of soap and marketing it under the famous brand name “Natraj” and “OX”.   

                                                   
In the 70’s, our founder along with his son’s assistance established “Everest Cardboard Industry Pvt. Ltd.”, first in the country to manufacture corrugated boxes from Kraft paper imported from India and Sweden.  During that phase, he also established “Tiger Tea Company”. Tea was imported from India, blended and packed in Nepal and marketed to the Nepalese consumers in the brand name “Tiger”.  

                                                       
Thereafter, under our founder’s leadership, his great vision & strong determination mingled with his son’s assistance,  the group continued to grow in its industrial and commercial endeavours. With investments in well-diversified industries and a  decicated management team, Everest Group stands as one of the foremost industrial & trading houses in the Himalayan Kingdom.

 

 

EXPORT

 

1.  Various grades of writing & printing paper 
2.  Pashmina products such as Shawls, stoles, baby blankets and scarves
3.  PVC Battery Separators 
4.  Lead Oxide 
5.  Battery plates 
6.  Solder Wire / sticks

 

 

INDUSTRIAL IMPORTS

 

The following major raw materials are imported on continuous basis to Calcutta (port) by our manufacturing units:

Everest Paper Mills Pvt Ltd.

1. Sodium Sulphite Anhydrous (Na2SO3); Purity: 90% min. 
     Quantity: 200 MT / month

2.  Waste Paper ( US publication Blank, Hard White Shavings etc) 
     Quantity:  200 MT / month

.............

Everest Sugar & Chemical Industries 

1.  Refined Bright Yellow Crude Sulphur ; Purity: 99.9% 
      Quantity: 250 -300 MT / Annum 

Everest Wire Industries 

1.  Copper Scrap (ISRI Berry, BIRCH) 
      Qty: 200 MT / month

2.  SCR Copper Rod ( 8 - 10 mm) -  ASTM B49/92 
      Qty: 100 MT / month

..........

Everest Moulding & Sintering Industries 
 .........

1.  PVC Resin/powder ( k - 72) 
     Qty: 60 MT per month 
 ......

Everest Non - Ferrous Metal Industries

1.   Lead Ingots ( 99. 97 % min purity) 
      Qty: 60 -80 MT / month

2.   Tin Ingots (99.8% min purity) 
       Qty: 20 -25 MT / month

 

OM IMPEX TRADE LINK

 

Since the beginning, Om Impex Trade Link, sister concern of Everest Group, has been enterprising in the fields of trade and services, whether it be in the domestic markets or in the international arena. The group has an enviable trading expertise and a well-established marketing network all over the country.

Wide range of products imported, marketed, distributed or indented in the country include Chemicals (Caustic Soda, Sodium Sulphite, Chlorine and Soda Ash), Non-Ferrous Metals (DAEWOO & ZINSA), home appliances (AUCMA, Singapore), office equipment, photographic / video cameras, clothing materials and various consumer products (oil seeds, umbrellas, dry fruits and nuts, spices etc.)

Chemical fertilizers such as DAP, MAP etc. and Urea 46 are imported / indented from various countries to cater the agricultural sector of Nepal. We also participate in government fertilizer tenders.

 

 

SERVICES

 

TRANSPORTATION

Nepal is a country with diverse geographical features and limited infrastructure. Under such formidable conditions bulk transportation has always proven to be extremely challenging. 

Saraff Transport Service (STS), a sister concern, provides transportation service of various goods and cargo in the country. STS is only one of the very few transport service providers in the country who can be relied for punctual delivery of customers’ goods. It is our network of branches and highly qualified staff which make transportation from Indian seaports to the remote areas of Nepal. We have branches and ware houses spread over the major cities in Nepal and Calcutta (only port used for Nepal) to ensure easy and systematic flow of goods from source to destination.

 

EVEREST PAPER MILLS

Manufacturing Various grades of Writing & Printing Paper: 

EVEREST SUGAR & CHEMICAL IND. LTD.

Manufacturing fine granulated white sugar

EVEREST WIRES INDUSTRY

Manufacturing Super-Enameled Copper Wire

ANNARPURNA RICE MILL

Manufacturing Premier quality Basmati & Mansuli Rice  

EVEREST MOULDING & SINTERING

Manufacturing  PET preforms, PVC battery separator, etc.

EVEREST NON - FERROUS METALS

Manufacturing solder wire/sticks, PbO

 

Finance                                     :           Capital : Nepal Rs. 50 Crore

Turnover: Nepal Rs. 80 Crore

 

Remarks                                               : Business may be done at usual trade terms & condition.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.69

UK Pound

1

Rs.100.79

Euro

1

Rs.86.30

 

 

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%)

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.