|
Report Date : |
24.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
TESCO |
|
|
|
|
Registered Office : |
#5 Hubert Place, Colombo-05 |
|
|
|
|
Country : |
Sri Lanka |
|
|
|
|
Date of Incorporation : |
Not Available |
|
|
|
|
Legal Form : |
Proprietorship Company (In Operation) |
|
|
|
|
Line of Business : |
Importer and Wholesaler of
Food Items |
|
|
|
|
No. of Employees : |
Approximately 10 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
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 – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Sri Lanka |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
SRI LANKA - ECONOMIC OVERVIEW
Sri Lanka continues to experience strong economic growth
following the end of the 26-year conflict with the Liberation Tigers of Tamil Eelam
(LTTE). The government has been pursuing large-scale reconstruction and
development projects in its efforts to spur growth in war-torn and
disadvantaged areas, develop small and medium enterprises and increase
agricultural productivity. The government's high debt payments and bloated
civil service have contributed to historically high budget deficits, but fiscal
consolidation efforts and strong GDP growth in recent years have helped bring
down the government's fiscal deficit. However, low tax revenues are a major
concern. The 2008-09 global financial crisis and recession exposed Sri Lanka''s
economic vulnerabilities and nearly caused a balance of payments crisis. Growth
slowed to 3.5% in 2009. Economic activity rebounded with the end of the war and
an IMF agreement, resulting in two straight years of 8% growth in 2010-11.
Growth moderated to about 6% in 2012. Agriculture slowed due to a drought and
weak global demand affected exports and trade. In early 2012, Sri Lanka floated
the rupee, resulting in a sharp depreciation, and took steps to curb imports. A
large trade deficit remains a concern. Strong remittances from Sri Lankan
workers abroad have helped to offset the trade deficit.
Source
: CIA
|
a. |
Name of Subject of Inquiry |
: |
TESCO
|
|
b. |
Legal Form & Status |
: |
Proprietorship Company (In Operation) |
|
c. |
Proprietor |
: |
Jayatissa Herath |
|
d. |
Primary Line of Business |
: |
Importer and Wholesaler of Food Items |
|
e |
Place of Business |
: |
#
17A, 4th Cross Street. Colombo-11. Sri
Lanaka Mobile:
(00 94 77) 365 8470- (Mr.
Thulasikaran –CEO/ Manager) |
|
f. |
Office & Stores |
: |
#
5, Hubert Place, Colombo
-15 |
|
g. |
No. of
Employees |
: |
Approx.
10 |
|
a. |
Registration No |
: |
- Not Disclosed- |
|
|
b. |
Date of Registration |
: |
- Not Disclosed- |
|
|
c. |
Registered Office |
: |
#5
Hubert Place, Colombo-05, Sri Lanka. |
|
|
Auditors |
: |
Not Disclosed |
||
|
e. |
Company Secretaries |
: |
Not Applicable |
|
|
f. |
Bankers |
: |
Nation Trust Bank. |
|
Based on the
corporate laws of Sri Lanka, legal entities which are Private Company with
Limited Liability/Proprietorship/Partnership is not required to make public
disclosure of their annual financials.
Therefore no
Financials are available for this entity
·
History.
The Subject Company TESCO is a
proprietorship company in operation. Mr. Thulasikaran, Manager was contacted
and he declined to disclose registration and financial details without knowing
the identity of the enquiring party.
The Proprietorship/Partnership companies
are being registered at the Provincial Registrar of Companies and when the
owner refuse to provide such details, it is not possible to obtain such details
from the registry.
·
Location.
The Subject Company is
located at # 17A, 4th Cross
Street, Colombo, one of the main business places in Colombo city.
·
Operational
Details.
General
The subject company’s primary
line of business is Import and
Distribution (Wholesale) of food items.
Products
Potatoes, Onions, Chillies, Lentils etc.
Import Country
India.
Employees
Approximately
10.
·
Financial Data
The company has declined to provide information on its
finances
Based on the
corporate laws of Sri Lanka, legal entities which are Private Company with
Limited Liability/Proprietorship/Partnership is not required to make public
disclosure of their annual financials. Therefore no Financials are available for
this entity
·
General Comments
When we contacted the Manager of the subject company, Mr.
Thulasikaran, he was cordial but
declined to provide any information such as
Operational & financial Information of the
company. If any information is
needed the suppliers could
contact him directly and no
Information could be
provided without knowing the end user.
However all information received from the
subject is included in the report.
·
Trade references
The subject
company did not provide any trade reference referrals
·
Credit
Recommendations
Since no financial information
has been forthcoming from the company, it is not possible to comment on the
merits or otherwise of the company.
No computerised data bases exist to make
checks whether the partners or the company has any legal action or lawsuit
initiated against any of them but informal (but not in-depth) checks do not
indicate any such cases in the public knowledge.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.69 |
|
|
1 |
Rs.100.79 |
|
Euro |
1 |
Rs.86.30 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.