MIRA INFORM REPORT

 

 

Report Date :

12.02.2013

 

IDENTIFICATION DETAILS

 

Name :

GIBCA FURNITURE INDUSTRIES CO LLC (GFI)

 

 

Registered Office :

Ajman New Industrial Area PO Box 20923 & 3072 Ajman

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

06.01.1993

 

 

Com. Reg. No.:

5134, Ajman

 

 

Legal Form :

Limited Liability Company - LLC

 

 

Line of Business :

Manufacture of furniture products

 

 

No. of Employees :

225

 

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 :

Good

Payment Behaviour :

Regular

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

(31.03.2011)

Current Rating

(30.06.2012)

UAE

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

UAE - 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 UAE 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. The economy is expected to continue a slow rebound. 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


 

 

 

SUMMARY

 

Company Name                                     : GIBCA FURNITURE INDUSTRIES CO LLC (GFI)

Country of Origin                                                : Ajman, United Arab Emirates

Legal Form                                            : Limited Liability Company - LLC

Registration Date                                   : 6th January 1993

Commercial Registration Number                        : 5134, Ajman

Trade Licence Number                            : 17975

Chamber Membership Number                : 14343

Issued Capital                                        : UAE Dh 10,000,000

Paid up Capital                                      : UAE Dh 10,000,000

Total Workforce                                     : 225

Activities                                               : Manufacture of furniture products

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Person Interviewed                                 : Sirvastan Nambiragan, Finance Manager

 

 

 


COMPANY NAME

 

GIBCA FURNITURE INDUSTRIES CO LLC (GFI)

 

 

ADDRESS

 

Registered & Physical Address

 

Location            : Ajman New Industrial Area

 

PO Box             : 20923 & 3072

 

Town                 : Ajman

Country             : United Arab Emirates

 

Telephone         : (971-6) 7436888 / 7435923

Facsimile          : (971-6) 7436903 / 7435938

Email                : gibtrd@emirates.net.ae / info@gfiuae.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are owned and located in the Industrial Area of Ajman.

 

Branch Office (s)

 

     Location                                                                                           Description

 

·       Dubai – Sharjah Road                                                                        Sales Office

PO Box: 289

Sharjah

Tel: (971-6) 5333333

Fax: (971-6) 5333444

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Sheikh Faisal Bin Sultan Al Qassimi                                                   Managing Director

 

·       Sheikh Khalid Saqr Al Qassimi                                                           Director

 

·       Sheikh Sultan Bin Saqr Al Qassimi                                                     Director

 

·       Tanwir Farooqi                                                                                  General Manager

 

·       Sirvastan Nambiragan                                                                        Finance Manager

 

·       Abdul Ziyad                                                                                      Operations Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 6th January 1993

 

Legal Form                  : Limited Liability Company - LLC

 

Commercial Reg. No.  : 5134, Ajman

 

Trade Licence No.       : 17975

 

Chamber Member No. : 14343

 

Issued Capital              : UAE Dh 10,000,000

 

Paid up Capital            : UAE Dh 10,000,000

 

Name of Shareholder (s)                                            Percentage

 

·       Gibca Company Ltd                                                               70%

PO Box: 289

Sharjah

Tel: (971-6) 5333333

Fax: (971-6) 5333444

 

·       Sheikh Faisal Bin Sultan Al Qassimi                                       20%

 

·       Sheikh Khalid Saqr Al Qassimi                                                 5%

 

·       Sheikh Sultan Bin Saqr Al Qassimi                                           5%

 

 

AFFILIATED COMPANIES

 

Subject is a member of the Gibca Group of Companies, which has diversified activities covering manufacturing, contracting, trading & representation, retailing, property and investment.

 

The Gibca Group consists of the following concerns:

 

·       Alico Industries Co. Ltd

·       Arabian Profile Company Limited

·       Aluminium and Light Industries Co. Ltd

·       Commercial United Packaging Co. Ltd

·       Gibca Crusher and Quarry Operations Company Ltd

·       Glasshouse Co. Ltd

·       Glass Reinforced Composites

·       Gibca Mineral Industries LLC

·       Gulf Glass Industries Co. Ltd

·       Tekab Co. Ltd

·       Gibca Electro Mechanical Company Ltd

·       Continental Trading Co. LLC

·       EMA Lubricants Co. Ltd

·       Emirates Specialities Co. LLC

·       Gibca Air Conditioning

·       Grand Stores

·       Ajman Souk

·       Coral Beach Resort

·       Dhaid Souk

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of furniture products including, classroom accessories, cubicles, lockers,

                 kitchen units, vanities, partitions, glass walls, acoustic ceiling and wall panels, desks and chairs.

 

Subject has signed a licence agreement with Hufcor Inc, of the USA, to produce operable walls and folding partitions under license in the United Arab Emirates and will cover sales in the entire Arab-GCC countries.

 

                 Subject is ISO 9001 accredited.

 

Import Countries: United States of America, Japan, the Netherlands and Austria.

 

International Suppliers:

 

·       Trespa International BV          Netherlands

·       Artweger                               Austria

·       Hufcor Inc                             United States of America

·       Daiken                                 Japan

·       Kotobuki                               Japan

 

Operating Trend: Steady

 

Subject has a workforce of approximately 225 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/10:                Year Ending 31/12/11:

 

Total Sales                                UAE Dh 73,600,000                   UAE Dh 80,000,000

 

Local sources consider subject’s financial condition to be Fair.

 

The above figures were provided by Mr Sirvastan Nambiragan, Finance Manager

 

 

BANKERS

 

·       Abu Dhabi Commercial Bank

PO Box: 1843

     Ajman

     Tel: (971-6) 7443444

     Fax: (971-6) 7443300

 

·       National Bank of Ras Al Khaimah

King Faisal Road

PO Box: 41010

Sharjah

Tel: (971-6) 5746888

Fax: (971-6) 5746363

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Gibca Furniture Industries Co LLC (GFI) has been trading for over 15 years and specialises in the manufacture of furniture products, such as cubicles, lockers, kitchen units, vanities, partitions, glass walls, acoustic ceiling and wall panels, desks and chairs.

 

The company is a member of the well-known Gibca Group of Companies, and is partly owned by Sheikh Khalid Saqr Al Qassimi, a member of the ruling family in Ajman, and a wealthy and prominent businessman.

 

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.53.68

UK Pound

1

Rs.84.84

Euro

1

Rs.71.87

 

 

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.