MIRA INFORM REPORT

 

 

Report Date :

05.02.2013

 

IDENTIFICATION DETAILS

 

Name :

HARLEY'S LTD

 

 

Registered Office :

Westland’s Road, On Harleys Complex, Nairobi P. o. Box 42718-00100 Nairobi,

 

 

Country :

Kenya

 

 

Date of Incorporation :

09.11.1953

 

 

Com. Reg. No.:

2849

 

 

Legal Form :

Limited Corporation 

 

 

Line of Business :

Subject operate as importers and distribution of pharmaceuticals, Laboratory equipment and medicines and related facilities

 

 

No. of Employees :

75 employees.

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

Without Financials

 

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 – 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

 

 

SUBJECT'S NAME

 

Registered Name:

HARLEY'S LTD

Requested Name:

HARLEY'S LTD

Other Names:

None

 

 

ADDRESS AND TELECOMMUNICATION

 

Physical Address:

Westland’s Road, On Harleys Complex, Nairobi

Postal Address:

P. o. Box 42718-00100

 

Nairobi,

Country:

Kenya

Phone:

254-20-3747380/90/93/95/315522

Fax:

254-20-3747390/2247216/3748141

Email:

info@harleysltd.com / anjana@harleysltd.com

Website:

www.harleyslimited.com

 

 

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:

9-Nov-1953

Reg. Number:

2849

Nominal Capital

KES. 800,000 Divided into Shares of 16,000

each KES 50

Subscribed Capital

KES. 800,000

Subscribed Capital is Subscribed in the following form:

 

Position

Shares

Mr. Ashwin Kumar Raishi Haria

Chairman

40%

Mr. Hitesh Chandulal Haria

Director

30%

Mr. Mansukhlal Raishi Haria

Director

30%

 

 

RELATED COMPANIES

 

None

Parent company.

None

Subsidiary company.

CROSS LABORATORY SUPPLIERS LTD,

PALSHA LIMITED,

R.H AND SONS LTD,

HARIA PRINTERS LIMITED.

Affiliated company.

None

Shareholder of subject firm.

None

Branches of the firm

 

 

OPERATIONS

 

Registered to operate as importers and distribution of pharmaceuticals, Laboratory equipment and medicines and related facilities

Imports:

Asia, UK

Exports:

East Africa i.e. Tanzania, Uganda, Rwanda, Burundi, Congo, Seychelles, Zanzibar, Malawi, Zambia, Liberia, Sierra Leon and South Sudan

Trademarks:

None

Terms of sale:

Cash (30%) and 25-90 days (70%), invoices.

 

 

Main Customers:

Distributors, Medical institutions etc

Employees:

75 employees.

Vehicles:

Several motor vehicles.

Territory of sales:

Kenya

Location:

Leased premises, 8,000 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 = 87.60 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.)

 

2011

2012

Sales

619,520,000

630,000,000

BANK

 

Bank Name:

BARCLAYS BANK

Branch:

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.52.97

UK Pound

1

Rs.83.17

Euro

1

Rs.72.20

 

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.