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Report Date : |
14.02.2013 |
IDENTIFICATION DETAILS
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Name : |
EMIRATES STEEL INDUSTRIES (ESI) |
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Registered Office : |
Corniche Road,
Mussafah Industrial Area, P O Box 9022, Abu Dhabi |
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Country : |
United Arab Emirates |
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Year of Establishment : |
1998 |
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Legal Form : |
Public Joint Stock Company |
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Line of Business : |
Manufacture of reformed steel bars |
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No. of Employees : |
600 |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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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, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
United Arab
Emirates |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
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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 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 |
Company Name : EMIRATES STEEL INDUSTRIES (ESI)
Also Known As : EMIRATES IRON & STEEL FACTORY (EISF)
Country of Origin : Abu Dhabi, United Arab Emirates
Legal Form : Public Joint Stock Company
Registration Date : 1998
Trade Licence Number : 1005740
Chamber Membership Number : 217434
Issued Capital : UAE Dh 1,000,000
Paid up Capital : UAE Dh 1,000,000
Total Workforce : 600
Activities : Manufacture of reformed steel bars.
Financial Condition : Undetermined
Payments : Nothing detrimental uncovered
Person Interviewed : Abdulaziz Al Amiri, Public Relations Manager
EMIRATES STEEL
INDUSTRIES (ESI)
EMIRATES IRON & STEEL
FACTORY (EISF)
Registered &
Physical Address
Street : Corniche Road
Area : Mussafah Industrial Area
PO Box : 9022
Town : Abu Dhabi
Country : United Arab Emirates
Telephone : (971-2) 5511187
Facsimile : (971-2) 5510911 / 5515113
Email : inquiry@esi-steel.com
Premises
Subject operates
from a large suite of offices and a factory that are owned and located in the
Industrial Area of Abu Dhabi.
Name Position
·
Suhail Al Amry Chairman
·
Saeed Al Rumaithy General
Manager
·
Juma Al Mansouri Commercial
Manager
·
Masoud Abu Dayaki Finance
Manager
·
Abdulaziz
Al Amiri Public
Relations Manager
·
Mahmoud
Al Hamadi Administration
Manager
Date of Establishment : 1998 (Commercial
production began in October 2001)
Legal Form :
Public Joint Stock Company
Trade Licence No. : 1005740
Chamber Member No. : 217434
Issued Capital : UAE Dh 1,000,000
Paid up Capital : UAE Dh 1,000,000
Name of Shareholder
(s) Percentage
·
General
Holding Corporation 100%
PO Box: 4499
Abu Dhabi
Tel: (971-2) 6144444
Fax: (971-2) 6312857
Email: info@ghc.ae
General Holding Corporation is
wholly owned by the Abu Dhabi government.
·
Abu
Dhabi Basic Industries Corporation (ADBIC)
Abu Dhabi
Activities: The company specialises in manufacturing
high yield reformed steel bars (or rebar), in sizes 10mm to
32mm in diameter and 12 meters in length, direct reduced iron, steel
billets, heavy sections, wire rod, and rebar in coil.
The company has been involved in prestigious projects such as the
Emirates Palace Hotel in Abu Dhabi, the Corniche Development project, the Dubai
Airport Expansion project, the Dubai Marina Towers, Shangri La Hotel in Dubai,
the Four Seasons Hotel in Doha and water and power projects in Sharjah and
Fujairah amongst others.
With a view to achieve the strategic ambitions set
by GHC and the Government of Abu Dhabi, Emirates Steel has initiated an expansion
program based on a phased approach:
In January 2006, the Company launched its Phase 1
Expansion program involving the purchase and
construction of a 1.6 million MTPA Direct Reduction Plant (DRP), a 1.4
million MTPA Steel Melt Plant (SMP), a 0.62 million MTPA Rebar Rolling Mill
(RM2), a 0.48 million MTPA Wire Rod and Coil Rolling Mill (RM3), together with
associated infrastructure and facilities.
In February 2008, Emirates Steel launched its Phase
2A Expansion program comprising a 1.6 million MTPA DRP, 1.4 million MTPA SMP,
and associated infrastructure and facilities.
In November 2009, the Company launched its Phase 2B
Expansion program comprising a 1 million MTPA Heavy Sections Rolling Mill
(RM4).
Phase 1 was
successfully completed in June 2009; Phase 2A was commissioned in early 2011
and Phase 2B will be commissioned by early 2012. For further growth, Emirates
Steel is considering a number of
potential Greenfield investment opportunities and acquisitions.
Import
Countries: Europe and Asia
Subject has a
workforce of approximately 600 employees.
Companies
registered in Abu Dhabi, United Arab Emirates are not legally required to make
their accounts public and no financial information was released by the company
or submitted by outside sources.
·
National
Bank of Abu Dhabi
Sheikh Khalifa Street
PO Box: 4
Abu Dhabi
Tel: (971-2) 6345777 / 6327113 / 6335262
Fax: (971-2) 6336078
No complaints
regarding subject’s payments have been reported.
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.53.85 |
|
UK Pound |
1 |
Rs.84.42 |
|
Euro |
1 |
Rs.72.40 |
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.