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Report Date : |
16.02.2013 |
IDENTIFICATION DETAILS
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Name : |
SAM PHARMACEUTICALS LIMITED |
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Registered Office : |
12-14, Luke Street, Lagos Island, Lagos State |
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Country : |
Nigeria |
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Date of Incorporation : |
18.10.1971 |
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Com. Reg. No.: |
RC: 9354 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturing, Importation & Marketing of Pharmaceuticals products, Medical equipment, Health & Beauty Services etc. |
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No. of Employees : |
About 106 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
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Nigeria |
B1 |
B1 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
NIGERIA - ECONOMIC OVERVIEW
Oil-rich Nigeria has been hobbled by political instability, corruption, inadequate infrastructure, and poor macroeconomic management, but in 2008 began pursuing economic reforms. Nigeria's former military rulers failed to diversify the economy away from its overdependence on the capital-intensive oil sector, which provides 95% of foreign exchange earnings and about 80% of budgetary revenues. Following the signing of an IMF stand-by agreement in August 2000, Nigeria received a debt-restructuring deal from the Paris Club and a $1 billion credit from the IMF, both contingent on economic reforms. Nigeria pulled out of its IMF program in April 2002, after failing to meet spending and exchange rate targets, making it ineligible for additional debt forgiveness from the Paris Club. In November 2005, Abuja won Paris Club approval for a debt-relief deal that eliminated $18 billion of debt in exchange for $12 billion in payments - a total package worth $30 billion of Nigeria's total $37 billion external debt. Since 2008 the government has begun to show the political will to implement the market-oriented reforms urged by the IMF, such as modernizing the banking system, removing subsidies, and resolving regional disputes over the distribution of earnings from the oil industry. GDP rose strongly in 2007-11 because of growth in non-oil sectors and robust global crude oil prices. President JONATHAN has established an economic team that includes experienced and reputable members and has announced plans to increase transparency, diversify economic growth, and improve fiscal management. Lack of infrastructure and slow implementation of reforms are key impediments to growth. The government is working toward developing stronger public-private partnerships for roads, agriculture, and power. Nigeria's financial sector was hurt by the global financial and economic crises, but the Central Bank governor has taken measures to restructure and strengthen the sector to include imposing mandatory higher minimum capital requirements.
Source
: CIA
SAM
PHARMACEUTICALS LIMITED
The company engages in
Manufacturing, Importation & Marketing of Pharmaceuticals products, Medical equipment, Health & Beauty
Services etc.
The company is
located at 8/9 Oyadiran Estate, Sabo, Yaba, Lagos State, Nigeria.
COMPANY NAME: SAM PHARMACEUTICALS LIMITED
REGISTERED NAME: SAM PHARMACEUTICALS
LIMITED
SECTOR: PHARMACEUTICALS
REGISTERED ADDRESS: 12-14,
Luke Street, Lagos Island, Lagos State, Nigeria
HEAD OFFICE ADDRESS: 8/9
Oyadiran Estate, Sabo, Yaba, Lagos State, Nigeria
PREVIOUS ADDRESS: 47-57,
Martins Street, Lagos Island, Lagos
POSTAL ADDRESS: P.O.
Box 2724, Marina, Lagos State, Nigeria
TELEPHONE: 234-1-775-4480,
7753455
E-MAIL: sampharm@hyperia.com
Currency:
All monetary quoted in this report are in Nigerian Naira, the local currency or
unless otherwise stated. The exchange rate is N150 to 1 US $.
NATURE OF PREMISES: Owned
office space approximately 5,000 square meters
DATE INCORPORATED: 18th
October, 1971
LEGAL FORM: Private
Limited Company
REGISTRATION NO: RC:
9354
SHARE CAPITAL: 100,000,000.00
ISSUED CAPITAL: 25,000.00
PAID-UP CAPITAL: 25,000.00
COMPANY SECRETARY: Mr.
S. Anusei
AUDITORS: Obilade
Ojutalayo & Co.
STAFF STRENGHT: About
106
150, Awolowo Road, Ikoyi, Lagos State,
Nigeria
36, Oke Ona Street, Surulere, Lagos State,
Nigeria
8/9 Oyadiran Estate, Sabo, Yaba, Lagos
State, Nigeria
Sam Pharmaceuticals Limited was incorporated
on 18th October, 1971 with Registration Number (RC: 9354) with
100,000,000.00 share capital. The corporate head office/factory is located at
8/9 Oyadiran Estate, Sabo, Yaba, Lagos State, Nigeria, Nigeria. The premises is
made up of a warehouse and an administrative office.
The company engages in
Manufacturing, Importation & Marketing of Pharmaceuticals products, Medical equipment, Health & Beauty
Services etc.
During our visit to
the company, we met the warehouse officer (an Indian man) who disclosed that
though he knew the importance of the exercise but cannot divulge information
about the company since the source of the enquiry was not disclosed. He later
instructed Mr. Yusuf, his assistant to receive our letter and promised to
forward it to the Managing Director and hope to get back to us in due course.
All efforts to persuade him in order to obtain more information from him proved
futile.
Note: The
Company increased its Share Capital from 25,000,000.00 to 50,000,000.00 on 3rd October,
2006 and was later increased from 50,000,000.00 to 100,000,000.00 in 21st May,
2012 and paid its Statutory Annual Returns till 2011.
Conclusion: Based on our visit to the company, some
of the company’s products sighted and brief discussion with the warehouse
officer, we are of the opinion that the company is a legal entity. As such, any
business relationship with the company should be mutually beneficial.
·
Metrosam Infusion
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Parasam Caplet
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Grisam Tablets
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Aldoxi Tablets
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Gasrol Tablets
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Maxiron Capsules
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Primalar Tablets
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Samtrim
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Metrosam Tablets
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Dolon Capsules
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NcosamTablets
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Mocks Capsules
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Ascorvit Tablets
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Ribosam Tablets
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Prednisam
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Plox Capsules
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Cotetra Capsules
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Amlin Capsules
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General Public
·
Group of Companies
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Chemists
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Private hospitals
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Government hospitals
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Pharmaceutical companies
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Wholesalers
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Retailers among others
* Quality of
Management: GOOD
* Ethics & Integrity: GOOD
* Ownership Structure: GOOD
The company’s Audited Accounts was not available as at the time of
compiling this report. However, we advise that the maximum credit limit to be accorded
to the company could be put at 100million US dollars ($100m USD). This opinion
is as a result of the company’s performance in the pharmaceutical industry in
Nigeria.
The Pharmaceutical industry
is very important to the economy of every country. Pharmaceuticals products,
especially drugs, are so priceless that no nation can survive without them and
every serious-minded government pays great attention to drugs. Drugs are so
important that the World Health organization (WHO) recommends a National Drug
Policy for every country. Nigeria’s pharmaceutical market is large, considering
the size of the population growth, it is likely to increase speedily in the
coming years, because the country has a huge potential. Aside from being
Africa’s most populous nation, there is an entrepreneurial ethic in the
country, which could help the pharmaceutical sector develop rapidly.
Nevertheless, the national
health system still suffers from low level of funding and total per capita
healthcare expenditure is well below US$10.
Arguably, the key problem
facing the sector is the scourge of counterfeit drugs, which account for
approximately half of all drug sales in the country. Fake and counterfeit drugs
kill thousands of people each year, also undermine the local manufacturing
sector, and deter multinationals. However, the National Agency for Food and
Drug Administration and Control (NAFDAC) is fighting to stem the illicit trade,
also conducted 15, 697 raids between 2001 and 2006. Although this has had an
impact, the trade continues unabated, due to high demand for affordable
treatments. Nonetheless, the activities of NAFDAC has greatly encouraged more
indigenous players in this sector.
Despite the apparent growth
in the number of indigenous players in the industry, there remains the fact
that no company has set up a basic active raw material manufacturing plant in
Nigeria, not even for Paracetamol or Aspirin. The Pharmaceutical industry is
greatly challenged in this regard.
The amendment of the
Essential Drug List (EDL) decree restricting the application only to public
health institutions was the first tonic to the industry. With the amendment to
this decree, companies were able to expand their product base, resuscitate
abandoned product lines, and increase their volume, turnover and profit
margins. Industries were able to source their raw materials and equipment, free
from encumbrances. This was of great benefit.
The abolition of Value
Added Tax (VAT) on pharmaceutical raw materials, coupled with the reduction of
tariff on raw materials and equipment by the Nigerian government have greatly
encouraged the pharmaceutical industry.
NAFDAC’s differential
tariff and its war against fake drugs are now creating a boom for the
pharmaceutical industry. Presently, there more than eighty-six (86) local
pharmaceutical manufacturing companies producing only about 30% of Nigeria’s
drug need.
This sector of the economy
has great potentials for intending investors.
CMT REPORT (Corruption, Money Laundering
& Terrorism)
Public Notice from various sources including but not limited to: The
Courts, Nigerian Prison Service, Economic & Financial Crimes Commission
(EFCC), National Drug Law Enforcement Agency (NDLEA), National Agency for Food
& Drugs Administration and Control (NAFDAC), Independent Corrupt Practices
and other related offences Commission (ICPC) Etc.
No negative
information on subject from the above agencies.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.53.99 |
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|
1 |
Rs.83.72 |
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Euro |
1 |
Rs.72.08 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.