MIRA INFORM REPORT

 

 

Report Date :

15.02.2013

 

IDENTIFICATION DETAILS

 

Name :

EMEIS COSMETICS PTY. LTD.

 

 

Registered Office :

25 Smith Street, Fitzroy Victoria 3065

 

 

Country :

Australia

 

 

Financials (as on) :

30.06.2012

 

 

Date of Incorporation :

21.05.1990

 

 

Legal Form :

Australian Proprietary Company

 

 

Line of Business :

Subject is engaged in research, development and distribution of beauty products.

 

 

No. of Employees :

80

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

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)

Australia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Australia - ECONOMIC OVERVIEW

 

Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron ore, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia also has a large services sector and is a significant exporter of natural resources, energy, and food. Key tenets of Australia''s trade policy include support for open trade and the successful culmination of the Doha Round of multilateral trade negotiations, particularly for agriculture and services. The Australian economy grew for 17 consecutive years before the global financial crisis. Subsequently, the former RUDD government introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the slowing world economy, while the Reserve Bank of Australia cut interest rates to historic lows. These policies - and continued demand for commodities, especially from China - helped the Australian economy rebound after just one quarter of negative growth. The economy grew by 1.4% during 2009 - the best performance in the OECD - by 2.7% in 2010, and by 1.8% in 2011. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009 and fell to 5.0% in 2011. As a result of an improved economy, the budget deficit is expected to peak below 4.2% of GDP and the government could return to budget surpluses as early as 2015. Australia was one of the first advanced economies to raise interest rates, with seven rate hikes between October 2009 and November 2010. The GILLARD government is focused on raising Australia''s economic productivity to ensure the sustainability of growth, and continues to manage the symbiotic, but sometimes tense, economic relationship with China. Australia is engaged in the Trans-Pacific Partnership talks and ongoing free trade agreement negotiations with China, Japan, and Korea.

 

Source : CIA

 


IDENTIFICATION DETAILS

 

Verified Address

Subject name :              EMEIS COSMETICS PTY. LTD.

Business address :        25 Smith Street

Town :                           Fitzroy

Province :                      Victoria

Zip/postal code :            3065

Country :                       Australia

Tel :                              +61 3 94128900

Fax :                             +61 3 94128990

Website :                      www.aesop.com

Registered address :      25 Smith Street

Town :                           Fitzroy

Province :                      Victoria

Zip/postal code :            3065

Country :                       Australia

 

 

SUMMARY DETAILS

 

Executive Summary

Date founded or registered :        21/05/1990

Legal form :                               Australian Proprietary Company

Chief executive :                        Michael Anthony O'Keeffe

Issued & paid up capital :           AUD 5

Sales turnover :              AUD 40,603,108 (Group-consolidated 12 months, 30/06/2012)

Net income :                              AUD 1,545,735 (Group-consolidated 12 months, 30/06/2012)

Total fixed assets :                     AUD 19,172,087 (Group-consolidated 12 months, 30/06/2012)

Line of business :                       Research, development and distribution of beauty products.

Staff employed :                         80 employees (Subject); 362 employees (Emeis Group)

 

 

Company Analysis

 

Country risk :                             Country risk is minimal

Operation trend :                        Operational trend is steady

Management experience :           Management is reasonably experienced

Financial performance :              Financial performance is fair

Organization structure :              Organizational structure is stable

Detrimental :                  No detrimental found

Payment history :                      No payment delays noted

 


STATUTORY DETAILS

 

Registry Data

Registration date :                                              21/05/1990

Legal form :                                                       Australian Proprietary Company

Registration no Australia Company Number:         007409001

Registered authority :                                         Australian Securities and Investments Commission

Fiscal/ Tax no :                                                  Australia Business Number: 56007409001

Registry status :                                                Live/Active

Previous name :                                                 TWENTY-FOURTH WARINA PTY. LTD. (initial)

Change of legal form :                                         None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

Name :                          Michael Anthony O'Keeffe

Designation :                 Chief Executive Officer

Name :                          Matthew Nott

Designation :                 Financial Manager

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

Name :                          Dennis Paphitis

Designation :                 Director

Appointment date :         23/05/90

Address :                      1 White Lodge Court

Kew, VIC 3101

Australia

Biography :                    Born on 11-02-1963 in Melbourne, Victoria, Australia.

Name :                          Michael Anthony O'Keeffe

Designation :                 Director

Appointment date :         04/04/12

Address :                      243 The Boulevard

Ivanhoe East, VIC 3079

Australia

Biography :                    Born on 15-03-1970 in Melbourne, Victoria, Australia.

Name :                          Jeremy Steele

Designation :                 Director

Appointment date :         04/04/12

Address :                      2 Opawa Street

Brighton, VIC 3186

Australia

Biography :                    Born on 08-06-1973 in Loxton, South Australia, Australia.

Name :                          Kieran James Rivett

Designation :                 Company Secretary

Appointment date :         04/04/12

Address :                      21 Candy Street

Northcote, VIC 3070

Australia

Biography :                    Born on 31-12-1971 in Melbourne, Victoria, Australia.

 

Staff employed :             80 employees (Subject); 362 employees (Emeis Group)

 

 

SHARE CAPITAL

 

Composition

Authorized Capital :        AUD 5

No of shares :                5 Ordinary Shares

Share par value :            AUD 1

Issued capital :              AUD 5

Paid up capital :             AUD 5

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed :                   Full List

Composition

Shareholder name :        EMEIS HOLDINGS PTY LTD

Address :                      25 Smith Street

Fitzroy, VIC 3065

Australia

No. of shares :               5 Ordinary Shares

% of shares :                 100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

Name :                          NATURA COSMÉTICOS S.A.

Affiliation type :              Ultimate Holding Company

Address :                      Rodovia Regis Bittencourt, km 293 ed. I - N/a - Potuvera

Itapecerica da Serra

Sao Paulo 06850-000

Brazil

Comments :                  Natura Cosméticos S.A. engages in the development, production, distribution, qand sale of cosmetics, fragrances, and hygiene products. It is also involved in the product and technology development, and market research; and provision of in vitro research and testing services. It operates primarily in Brazil, Argentina, Chile, Peru, Mexico, Colombia, and Latin America. The company is headquartered in Itapecerica da Serra, Brazil.

Name :                          EMEIS HOLDINGS PTY LTD

Affiliation type :              Parent Company

Address :                      25 Smith Street

Fitzroy, VIC 3065

 

Australia

Name :                          EMEIS TRADING PTY LTD

Affiliation type :              Sister Company

Address :                      25 Smith Street

Fitzroy, VIC 3065

Australia

Name :                          NATURA COSMÉTICOS ESPAÑA S.L.

Affiliation type :              Sister Company

Address :                      C/ Gran Via De Les Corts Catalanes, 583

P.5., Barcelona 08011

Spain

Name :                          NATURA COSMÉTICOS S.A.

Affiliation type :              Sister Company

Address :                      Av. Apoquindo, 4501

Piso 9, Las Condes

Santiago

Chile

Related companies and corporate

affiliations comments

: Other companies of the Natura Group should be considered affiliates of the

Subject.

 

 

Bank Details

 

Name of bank :              National Australia Bank

Address :                      Australia

Account details :            Current Account

Comments :                  It is generally not the policy of local banks to provide credit status information to non-related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

Mortgages :                   None reported.

Legal Fillings

Bankruptcy fillings :        None reported.

Court judgements :         None reported.

Tax liens :                     None reported.

Others :                        None reported.

 


 

FINANCIAL DATA

 

Description

Source of financial statement :                Commercial Registry Filings

Financial statement date :                      30/06/12

Type of accounts :                                 Full audited

Currency :                                             Australia Dollar (AUD)

Exchange rate :                                     1 USD = AUD 0.97 as of 11-02-2013

Summarized Financial Information

Consolidation type :                               Group Consolidated                    Group Consolidated

Currency :                                             Australia Dollar (AUD)                Australia Dollar (AUD)

Denomination :                                      (x1) One                                    (x1) One

Date of financial year end :                      30/06/12                                    30/06/11

Length of accounts :                               12 months                                 12 months

Sale turnover / Income :              40,603,108                                30,634,288

Profit before tax :                                   2,508,556                                  888,719

Net income :                                          1,545,735                                  646,906

Non current assets :                               7,427,775                                  5,566,282

Current assets :                                     11,744,312                                7,214,737

Inventories :                                           4,746,341                                  3,526,148

Total assets :                                        19,172,087                                12,781,019

Current liabilities :                                  7,039,695                                  4,176,247

Non current liabilities :                            3,637,578                                  1,889,737

Total liabilities :                                      10,677,273                                6,065,984

Share equity :                                        8,494,814                                  6,715,035

Retained earning :                                  2,302,948                                  757,213

Comments :                              The group’s consolidated financial information above relates to the Subject’s Parent Company Emeis Holdings Pty Ltd and all its subsidiaries which include the Subject.

 

 

OPERATION DETAILS

 

Main activities :           The Subject is engaged in research, development and distribution of

beauty products.

As of 7 January 2013, the Subject operates as a subsidiary of Natura

Cosméticos SA.

Natura Cosméticos S.A. engages in the development, production,

distribution, and sale of cosmetics, fragrances, and hygiene products. It is

also involved in the product and technology development, and market

research; and provision of in vitro research and testing services. It operates

primarily in Brazil, Argentina, Chile, Peru, Mexico, Colombia, and Latin

America. The company is headquartered in Itapecerica da Serra, Brazil.

Product & services :     Hair Care products

Shampoo, conditioner, scalp treatments, hair cream

Body Care products

Deodorant, hand cream, body cleanser & scrub, handwash, mouthwash

Fragrance

Eau De Toilette for men & women, perfume

Gift Kits

Kits include body oil, shaving duet, hair and body products. flight gift sets

among others

Skincare products

Anti-oxidant products for skin, eye serum, facial cream, shave lotion, facial

cleanser, exfoliating paste, skin toner, cleansing masque, make up

remover

Brand :                         AESOP

 

 

Purchases

International : Europe, Middle East, Asia

Sales

Local                           : Yes

International                : United States, Europe, Asia, Middle East

Key events                   : 20 December 2012

Brazil Natura To Buy 65% Stake in Australia's Aesop For $71.6M

SAO PAULO--Brazilian cosmetics company Natura Cosmeticos SA

(NATU3.BR) on Thursday said it has agreed to buy a 65% stake in

Australian high-end beauty-product retailer Emeis Holdings for $71.6

million, expanding its international presence.

Natura said it expects to conclude the deal by April 30. Emeis operates

under the Aesop brand name across Australia, Asia, Europe and North

America.

Natura and Aesop will continue to operate as independent companies but

will share regional expertise, according to the statement.

Natura already has operations in Brazil, Argentina, Chile, Peru, Mexico and

Colombia.

Natura sells cosmetics and fragrances door to door in Latin America and is

market leader in Brazil, the world's second-largest beauty market,

according to market researcher Euromonitor International. But it doesn't

have a significant presence elsewhere.

Aesop, based in Melbourne, operates more than 60 stores in 11 countries.

It has locations in such areas as New York, Tokyo and Hong Kong. Aesop

has opened 14 stores this year.

Natura also will buy distributors of Aesop's products to high-end

department stores around the world, The Wall Street Journal reported

Thursday, citing people familiar with the matter. That could allow Natura to

expand internationally and gain retail outlets where it can increase its

visibility and build its brand.

Natura also sells door-to-door in Argentina, Mexico, Chile, Peru and

Colombia. It is the world's fourth-largest direct seller by market share,

behind Avon Products Inc. (AVP), Amway Corp. and Japan Consumers

Cooperative Union, according to Euromonitor. The market's other major

companies include Herbalife Ltd. (HLF), Mary Kay Inc. and Tupperware

Brands Corp. (TUP).

Natura sells lipsticks, sunscreens and creams made from local ingredients

such as macadamia nuts and acai berries.

Aesop sells products for skin, hair and body and expects to generate about

64 million Australian dollars ($67.4 million) in sales in the year ending in

June. The deal would give it an opening to Brazil's market.

Lazard Ltd. advised Natura, and Goldman Sachs Group Inc. advised

Aesop.

Property & Assets

Premises :                    The Subject operates from premises located at the verified heading

address consisting of a administrative office, research and development

facility.

Branches :                   In addition, the Subject operates from branch office located at:

500 Oxford Street

Bondi Junction, NSW 2022

Australia

Tel: +61 2 93694944

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

Central bank :                                        Reserve Bank of Australia

Reserve of foreign exchange & gold :       US$ 43.879 billion

Gross domestic product - GDP :             US$ 1.586 trillion

GPP (Purchasing power parity) :             954.296 billion of International dollars

GDP per capita - current prices :             US$ 68,916

GDP - composition by sector :                agriculture: 4%

industry: 25.6%

services: 70.4%

Inflation :                                               2009: 1.8%

2010: 2.8%

2011: 3.4%

Unemployment rate :                              2009: 5.6%

2010: 5.2%

2011: 5.1%

Public debt

(General Government gross debt as

a % GDP)

: 2009: 16.9%

2010: 20.4%

2011: 22.9%

Government bond ratings :                      Standard & Poor's: AAA/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded

shares

: US$1.258 trillion

Largest companies in the country :          Commonwealth Bank (Banking), BHP Billiton (Materials), Westpac Banking Group (Banking), Rio Tinto (Materials), National Australia Bank (Banking),

ANZ Banking (Banking), Telstra (Telecommunications)

 


Trade & Competitiveness Overview

 

Total exports :                           US$210.7 billion

Exports commodities :               Coal, iron ore, gold, meat, wool, alumina, wheat

Total imports :                           US$187.2 billion

Imports commodities :                Machinery and transport equipment, computers and office machines,

telecommunication equipment and parts, crude oil and petroleum products

Export - major partners :             Japan 18.9%, China 14.2%, South Korea 8%, US 6%, NZ 5.6%, India

5.5%, UK 4.2%

Import - major partners :             China 15.5%, US 12.8%, Japan 9.6%, Singapore 5.6%, Germany 5.2%,

UK 4.3%, Thailand 4.2%

FDI Inflows :                              2008: US$46,843 million

2009: US$25,716 million

2010: US$32,472 million

FDI Outflows :                            2008: US$33,604 million

2009: US$16,160 million

2010: US$26,431 million

Best countries for doing business : 10 out of 183 countries

Global competitiveness ranking : 20 (ranking by country on a basis of 142, the first is the best)

 

Country and Population Overview

 

Total population :           22.23 million

Total area :                    7,692,024 km2

Capital :                        Canberra

Currency :                     Australian dollars (AUD)

Internet users as % of total

population

: 76%

 

 

PAYMENT HISTORY

 

Purchase Term

International : Prepayment, Telegraphic transfer, D/P, Credit 30-90 days

Sales Term

Local : Prepayment, Bank transfer, D/P, Credit 30-90 days

International : Prepayment, Telegraphic transfer, D/P, Credit 30-90 days

Trade Reference/ Payment

Behaviour

Comments : As local and international trade references were not supplied, the Subject's

payment track record history cannot be appropriately determined but based

on our research, payments are believed to be met without delay.

Investigation Note

Sources : Interviews and material provided by the Subject

: Other official and local business sources

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.87

UK Pound

1

Rs.83.59

Euro

1

Rs.72.37

 

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

 

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.