MIRA INFORM REPORT

 

 

Report Date :

22.02.2013

 

IDENTIFICATION DETAILS

 

Name :

P.T. CRODA INDONESIA

 

 

Formerly Known As :

P.T. UNIQEMA INDONESIA

 

 

Registered Office :

Kawasan Industri Jababeka Jalan Jababeka IV Block V Kav. 74-75 Cikarang, Bekasi 17530 West Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

09.03.1995

 

 

Com. Reg. No.:

No. AHU-AH.01.10-31913

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Surfactant Industry

 

 

No. of Employees :

76 persons

 

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 :

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

(31.03.2011)

Current Rating

(30.06.2012)

Indonesia

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, grew an estimated 6.1% and 6.4% in 2010 and 2011, respectively. The government made economic advances under the first administration of President YUDHOYONO (2004-09), introducing significant reforms in the financial sector, including tax and customs reforms, the use of Treasury bills, and capital market development and supervision. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth in 2009. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a small current account surplus, a fiscal deficit below 2%, and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government in 2012 faces the ongoing challenge of improving Indonesia's insufficient infrastructure to remove impediments to economic growth, labor unrest over wages, and reducing its fuel subsidy program in the face of rising oil prices.

 

Source : CIA


Name of Company

 

P.T. CRODA INDONESIA

 

 

Address

 

Head Office & Factory

Kawasan Industri Jababeka

Jalan Jababeka IV Block V Kav. 74-75

Cikarang, Bekasi 17530

West Java

Indonesia

Phones             - (62-21) 8934923 (Hunting)

Fax                   - (62-21) 8934926

Land Area         - 10,000 sq. meters

Building Area     - 8,500 sq. meters

Region              - Industrial Estate

Status               - Owned

 

 

Registration data

 

Date of Incorporation :

a. 9 March 1995 as P.T. ICI SURFACTANTS INDONESIA

b. 25 November 1999 as P.T. UNIQEMA INDONESIA

c. 15 December 2006 as P.T. CRODA INDONESIA

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Law and Human Rights

- No. AHU-AH.01.10-2143

  Dated 28 January 2008

- No. AHU-58141.AH.01.02.TH.2010

  Dated 14 December 2010

- No. AHU-AH.01.10-31913

  Dated 3 September 2012

 

Company Status :

Foreign Investment (PMA) Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.084.747.3-431.000

The President of the Republic of Indonesia

No. B-83/Pres/02/1995

Dated 10 February 1995

 

The Capital Investment Coordinating Board

- No. 125/I/PMA/1995

  Dated 23 February 1995

- No. 670/III/PMA/1998

  Dated 25 May 1998

- No. 1709/III/PMA/1999

  Dated 22 December 1999

- No. 22/II/PMA/2003

  Dated 27 January 2003

 

Related Company :

A Member Company of CRODA CHEMICALS Group, India

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            : US$ 7,500,000.-

Issued Capital                                  : US$ 7,500,000.-

Paid up Capital                                : US$ 7,500,000.-

 

Shareholders/Owners :

a. CRODA CHEMICALS (INDIA) PRIVATE LIMITED  - US$ 7,498,000.-

    Address : Plot No. 1/1 Part TTC Industries Area

                    Thane Belapur Road, Koparkhairne

                    Navi Mumbai, 400 710, Maharashtra

                    India

b. CRODA OVERSEAS HOLDINGS LIMITED                      - US$        2,000.-

    Address : Cowock Hall, Snaith Goole

                    East Yorkshire, DN14 9AA

                    England

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

a.   Surfactant Industry

b.   Export Import Chemicals           

 

Production Capacity :

a.   Surfactants                                    - 15,000 tons p.a.

b.   Export Import Chemicals                 - US$ 3.8 million

c.   Import Services (Agro Chemicals)    - 0.7 million

 

Total Investment :

a. Equity Capital                              - US$   7.5 million

b. Loan Capital                                - US$   5.0 million

c. Total Investment                           - US$ 12.5 million

 

Started Operation :

1996

 

Brand Name :

CRODA

 

Technical Assistance :

CRODA INTERNATIONAL PLC., of the United Kingdom

 

Number of Employee :

76 persons

 

Marketing Area :

Local       - 60%

Export      - 40%

 

Main Customers :

a. P.T. MERMAID TEXTILE INDUSTRY

b. P.T. ARGO MANUNGGAL INDUSTRY

c. P.T. KITM TEXTILE INDUSTRY

d. P.T. INSAN SANDANG INTERNUSA

e. Etc

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. LAUTAN LUAS Tbk

b. P.T. MATSUMOTOYUSHI INDONESIA

c. P.T. GOO CHEMICAL INDONESIA

d. P.T. INDOKIMIA MAKMUR

e. Etc

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a.   CITIBANK N.A.

      Jalan Jend. Sudirman Kav. 70 A

      Jakarta Pusat

      Indonesia

b.   BANGKOK Bank

      Jalan M.H. Thamrin No. 3

      Jakarta Pusat

      Indonesia

c.   P.T. Bank SBI INDONESIA

Gedung Graha Mandiri
Jalan Imam Bonjol No.61 lantai 1
Jakarta Pusat, 10310
Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2010 – Rp. 87.5 billion

2011 – Rp. 94.0 billion

2012 – Rp. 98.0 billion

 

Net Profit (estimated) :

2010 – Rp. 7.0 billion

2011 – Rp. 8.1 billion

2012 – Rp. 9.0 billion

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - DR. Anand Aminbhavi

Directors                                         - a. Mr. Arthur Donald Knox

                                                        b. Mr. Ritesh Tanna

                                                        c. Mr. Rupark Sarswat

 

Board of Commissioners :

President Commissioner                   - Mr. Annottam Ghosh

Commissioners                                - a. Mr. David Edward Barrachlough

                                                        b. Mr. Graham Lloyd Myers

 

Signatories :

President Director (DR. Anand Aminbhavi) or one of the Directors (Mr. Arthur Donald Knox, Mr. Ritesh Tanna or Mr. Rupark Sarswat) which must be approved by Board of Commissioner

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

 

Credit Risk :

Average

 

Credit Recommendation :

Credit should be proceeded with monitor

 

Proposed Credit Limit :

Small amount – periodical review

 

 

OVERALL PERFORMANCE

 

Originally named P.T. ICI SURFACTANTS INDONESIA established in Cikarang, Bekasi, West Java in March 1995 with an authorized capital of US$ 7,500,000 wholly issued of which US$ 750,000 was paid up. Founders and shareholders are P.T. PERDONI, P.T. GALIC BINA MADA (both of Indonesia) and ICI OMICRON B.V. from the Netherlands. Its company notary deed has been changed a couple of times. In April 1998, the paid up capital was increased to US$ 7,500,000. Later in November 1999, the company renamed to P.T. UNIQEMA INDONESIA. Then in December 2006 the company renamed to P.T. CRODA INDONESIA (P.T. CI). Concurrently ICI OMICRON BV., of Netherlands withdrew and the whole share sold to CRODA INTERNATIONAL PLC., of the United Kingdom as new shareholder. The shareholders are CRODA INTERNATIONAL PLC., (60%), P.T. PERDONI (20%) and P.T. GALIC BINA MADA (20%). The deed of amendment was approved by the Ministry of Law and Human Right in its Decision Letter No. AHU-AH.01.10-2143, dated January 28, 2008. Then according the notary documents in November 2010 the whole shares had been taken over by CRODA CHEMICALS (INDIA) PRIVATE LIMITED of India (99.97%) and CRODA OVERSEAS HOLDINGS LIMITED of United Kingdom (0.03%). The deed of amendments was approved by the Ministry of Law and Human Rights in its decision letter No. AHU-58141.AH.01.02.TH.2010 dated December 14, 2010. Then according to the latest revision of notary documents of Mrs. Fransiska Lilis Harja, SH., No. 10 dated 8 August 2012 the board of director and the board of commissioner had been changed (see profile of this report). The deed of amendments was approved by the Ministry of Law and Human Rights in its decision letter No. AHU-AH.01.10-31913 dated September 3, 2012.

 

P.T. CI is a foreign capital investment (PMA) company licensed by Investment Coordinating Board (BKPM) to deal with surfactant industry by managing a plant located at Kawasan Industri Jababeka, Jalan Jababeka IV, Cikarang, operating since the early 1996. P.T. CI manufactures and supplies a range of natural based specialities and oleochemicals for personal care, health care, home care, crop care, polymers and coatings, polymer additives, lubricants and lubricant additives, and general industrial applications. The plant has absorbed a total investment of US$ 12.0 million coming from company's capital of US$ 7.5 million and the balance from loans. The plant is licensed to produce 15,000 tons of surfactant per year. Chemical for textile industry types such as depsodye, depsolube, edunine, lanapex, lanaryl and permalose. Some 40% of the products is exported to Malaysia, Australia, Thailand, the Philippines, Vietnam, Srilanka, etc., while the other 60% is for local textile industries among are P.T. KITM TEXTILE INDUSTRY, P.T. INSANSANDANG INTERNUSA, P.T. ARGO MANUNGGAL INDUSTRY, P.T. INDORAMA SYNTHETIS Tbk and others.

 

Besides, P.T. CI also import of industrial chemical from various countries of CRODA Group companies. Meanwhile some of the products is also supplied to various industries such as personal care industries, soap industries and other industries. P.T. CI belongs to a medium- sized company of its kind and the operation had been growing in the last three years.

 

The domestic demand for various types of chemical products had been rising by 8% to 10% on the average per annum in the last five years in line with the rapid growth of various industrial sectors including paint industry, plastic, ink, textile, rubber, printing and others in the above period of times as the consumers. But, later dwindled as the global economic slowdown since October 2008, followed by tight money policy imposed by Indonesian Central Bank (Bank Indonesia) and also heated by political issue in the country. The demand growth started to awake in June 2009 in line with the amelioration of economic condition in the country.  Market competition is very tough on account of large number of other similar companies operating in the country. P.T. CI business position in this case is not too badly because it has built regular customers and extensive marketing network all across the country.

 

Imports of Raw Materials and Auxiliary Goods, 2004-2011

 

Year

Food and Beverages Mainly for Industry (Million US$)

Raw Materials for Industry

(Million US$)

Primary

Processed

Primary

Processed

2004

1,456.7

568,6

2,236.3

15,357.8

 

2005

1,325.3

830,4

2,064.0

17,407.0

 

2006

1,352.2

909,1

2,438.7

18,050.7

 

2007

2,079.1

1,537.1

2,827.4

21,759.1

 

2008

3,244.5

1,271.6

4,722.3

40,312.9

 

2009

2,640.9

1,582.0

2,901.7

29,248.7

 

2010

3,074.8

2,165.9

4,539.5

41,714.3

 

2011

4,186.7

3,330.2

6,813.2

53,409.0

 

                        Source: Central Bureau of Statistic (BPS)           

 

Until this time P.T. CI has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. We observed that total sales turnover of the company in 2010 amounted to Rp. 87.5 billion rose to Rp. 94.0 billion in 2011 to Rp. 98.0 billion in 2012 and projected to go on rising by at least 5% in 2013. The operation in 2012 yielded an estimated net profit of at least Rp. 9.0 billion and the company has an estimated total networth of at least Rp. 55.0 billion. We observe that P.T. CI is supported by foreign partner with has financially strong and sound behind it. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). Based on information obtained from some customers, the payment habit of the company is smooth ranging from 1 to 3 months.

 

The management of P.T. CI is led by Dr. Anand Aminbhavi (59) a professional manager of India with experience in surfactants industry and trade. Daily operation in Indonesia is runs by Mr. Arthur Donald Knox (50), Mr. Ritesh Tanna (39) and Mr. Rupark Sarswat (41) as Directors.

 

So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. P.T. CRODA INDONESIA is sufficiently fairly good for business transaction.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.48

UK Pound

1

Rs.82.71

Euro

1

Rs.72.23

 

 

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%)

 

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