MIRA INFORM REPORT

 

 

Report Date :

25.02.2013

 

IDENTIFICATION DETAILS

 

Name :

OLAER AUSTRALIA PTY LTD

 

 

Formerly Known As :

OLAER FAWCETT CHRISTIE PTY LTD

 

 

Registered Office :

13 Boola Place Cromer New South Wales 2099

 

 

Country :

Australia

 

 

Financials (as on) :

31.12.2011 (Group Consolidated)

 

 

Date of Incorporation :

08.03.1972

 

 

Com. Reg. No.:

000983915

 

 

Legal Form :

Australian Proprietary Company

 

 

Line of Business :

Import & distribution of hydraulic equipment.

 

 

No. of Employees :

18 (Subject) 59,331 (Parker Hannifin Corporation)

 

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)

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                : OLAER AUSTRALIA PTY LTD

Business address          : 13 Boola Place

Town                             : Cromer

Province                        : New South Wales

Zip/postal code              : 2099

Country                         : Australia

Tel                                : +61 2 99816888

Fax                               : +61 2 99816144

Email                            : info@olaer.com.au

Website                        : www.olaer.com.au

 

Registered address        : 13 Boola Place

Town                             : Cromer

Province                        : New South Wales

Zip/postal code              : 2099

Country                         : Australia

 

 

SUMMARY DETAILS

 

Executive Summary

Date founded or registered          : 08/03/1972

Legal form                                 : Australian Proprietary Company

Chief executive                          : Carl John Mcgowan

Issued & paid up capital             : AUD 10,000

Sales turnover                            : GBP 130,533,000 (Group consolidated 12 months, 31/12/2011)

Net income                                : GBP 3,479,000 (Group consolidated 12 months, 31/12/2011)

Total fixed assets                       : GBP 81,899,000 (Group consolidated 12 months, 31/12/2011)

Line of business                         : Import & distribution of hydraulic equipments.

Staff employed                           : 18 (Subject) 59,331 (Parker Hannifin Corporation)

 

 

CREDIT RISK OPINION

 

Company Analysis

Country risk                               : Country risk is minimal

Operation trend              : Operational trend is steady

Management experience             : Management is adequately experienced

Financial performance                : Financial performance is good

Organization structure                : Organizational structure is stable

Detrimental                    : No detrimental found

Payment history                        : No payment delays noted

Credit amount asked                  : Not described.

Comments                                : Larger credit can be considered if guaranteed by Ultimate Holding Company.

STATUTORY DETAILS

 

Registry Data

Registration date                                                : 08/03/1972

Legal form                                                         : Australian Proprietary Company

Registration no Australian Company Number        : 000983915

Registered authority                                           : Australian Securities and Investments Commission

Fiscal/ Tax no                                                    : Australian Business Number: 89000983915

Registry status                                                  : Live/Active

Previous name                                                   : OLAER FAWCETT CHRISTIE PTY LTD

  FAWCETT CHRISTIE HYDRAULICS PTY LTD

  CHRISTIE HYDRAULICS AUSTRALIA PTY LTD

 TOMMAN ISLAND PTY LTD (initial)

Change of legal form                                           : None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

Name                : Carl John Mcgowan

Designation        : Managing Director

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

Name                            : Carl John Mcgowan

Designation                   : Director

Appointment date           : 02/07/12

Address                        : 18 Pennybright Place

  Kellyville, Nsw 2155

  Australia

Biography                      : Born on 12-09-1963 in Liverpool, United Kingdom.

Name                            : Gillian Barbara Wilcox

Designation                   : Director and Company Secretary

Appointment date           : 02/07/12

Address                        : Unit 11, 3-7 James Street

  Baulkham Hills, NSW 2153

                                      Australia

Biography                      : Born on 23-08-1955 in Auckland, New Zealand.

Staff employed               : 18 (Subject) 59,331 (Parker Hannifin Corporation)

 

 

SHARE CAPITAL

 

Composition

Authorized Capital          : AUD 10,000

No of shares                  : 10,000 Ordinary Shares

Share par value              : AUD 1

Issued capital                : AUD 10,000

Paid up capital               : AUD 10,000

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed                     : Full List

 

Composition

Shareholder name          : OLAER INTERNATIONAL LIMITED

Address                        : Glendale Avenue

 Sandycroft Industrial Estate

 Deeside CH5 2QP Flintshire

 United Kingdom

No. of shares                 : 10,000 Ordinary Shares

% of shares                   : 100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

Name                            : PARKER HANNIFIN CORPORATION

Affiliation type                : Ultimate Holding Company

Address                        : 6035 Parkland Blvd

  Cleveland, OH 44124

  United States of America

Comments      

Parker Hannifin Corporation manufactures fluid power systems,electromechanical controls, and related components worldwide. Its Industrial segment offers pneumatic and electromechanical components, and systems; filters, systems, and instruments to monitor and remove contaminants from fuel, air, oil, water, and other liquids and gases; connectors that control, transmit, and contain fluid; hydraulic components and systems for builders and users of industrial and mobile machinery and equipment; critical flow components for process instrumentation, healthcare, and ultra-high-purity applications; and static and dynamic sealing devices. This segment sells its products to original equipment manufacturers (OEMs) and their replacement markets in the manufacturing, transportation, and processing industries. The company’s Aerospace segment provides flight control systems and components, including hydraulic, electrohydraulic, electric backup hydraulic, electrohydrostatic, and electro-mechanical components for precise control of aircraft rudders, elevators, ailerons, and other aerodynamic control surfaces. It also provides electronics thermal management heat rejection systems, and single-phase and two-phase heat collection systems for radar, ISAR, and power electronics. This segment markets its products primarily to OEMs in the commercial, military, and general aviation markets, as well as to end users. Its Climate and Industrial Controls segment offers systems and components primarily for use in the mobile and stationary refrigeration, and air conditioning industry; and in fluid control applications in various industries, such as processing, fuel dispensing, beverage dispensing, and mobile emissions. This segment serves OEMs and their replacement markets. Parker-Hannifin Corporation markets its products through direct-sales employees, independent distributors, wholesalers, and sales representatives. The company was founded in 1918 and is headquartered in Cleveland, Ohio.

 

Name                            : OLAER GROUP LIMITED

Affiliation type                : Intermediate Holding Company

Address                        : Glendale Avenue

 Sandycroft Industrial Estate

 Deeside CH5 2QP Flintshire

 United Kingdom

Comments :

Olaer Group Limited manufactures and distributes accumulators, oil coolers, and filters. Its products include high pressure bladder accumulators, diaphragm accumulators, piston accumulators, silicone accumulators, stainless steel accumulators, hydracushions, pulsation dampers, heat exchangers, plate heat exchangers, air blast coolers, oil filters, screw pumps, water valves, chillers, anti-waterhammers, and high pressure units. The company serves industry field, mobile, energy, and oil and gas sectors. Its products are used in heavy industry, machine tools, injection moulding machines, laser cutting and welding machines, textile machines, aerospace, and mechatronics. The company has locations in

the United States, South Africa, India, Australia, Korea, Spain, France, the United Kingdom, Belgium, the Netherlands, Italy, Switzerland, Germany, Denmark, Austria, the Czech Republic, Poland, Norway, Sweden, and Finland. Olaer Group Limited was founded in 1936 and is headquartered in Flintshire, United Kingdom.

 

Name                            : OLAER INTERNATIONAL LIMITED

Affiliation type                : Parent Company

Address                        : Glendale Avenue

 Sandycroft Industrial Estate

 Deeside CH5 2QP Flintshire

 United Kingdom

 

Name                            : OILTECH HYDRAULIC MANUFACTURING (SUZHOU) CO, LTD

Affiliation type                : Sister Company

Address                         : No. 2 workshop, 95 WeiXin Road

 Weiting, Suzhou 215121

 Jlangsu

 China

 

Name                            : OLAER INDUSTRIES S.A.

Affiliation type                : Sister Company

Address                        : 16 rue de Seine

  F-92704 Colombes Cedex

  France

 

Related companies and corporate

affiliations comments                  : Other companies of the Parker Hannifin Corporation should be     considered affiliates of the Subject.

 

 

BANK & MORTGAGES

 

Bank Details

Name of bank                : Commonwealth Bank Of Australia

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                     : Satisfied Charges:

  Asic Charge Number: 1883757

  Date Registered: 20-11-2009

  Charge Type: Both Fixed & Floating

  Date Created: 21-10-2009

  Chargees Name: COMMONWEALTH BANK OF AUSTRALIA

 

 

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            : 31/12/11

Type of accounts                       : Full audited

Currency                                   : United Kingdom, Pound (GBP)

Exchange rate                           : 1 USD = GBP 0.65 as of 20-02-2013

 

 

Summarized Financial Information

 

 

Consolidation type                     : Group Consolidated                              Group Consolidated

Currency                                   : United Kingdom, Pound                        United Kingdom, Pound

             (GBP)                                                 (GBP)

 

Denomination                            : (x1) One                                                         (x1) One

Date of financial year end             : 31/12/11                                                         31/12/10

Length of accounts                     : 12 months                                                      12 months

Sale turnover / Income                : 130,533,000                                                   112,175,000

Profit before tax                         : 6,485,000                                                       2,709,000

Net income                                 : 3,479,000                                                       1,199,000

Non current assets                     : 23,700,000                                                     24,079,000

Current assets                           : 58,199,000                                                     59,087,000

Inventories                                 : 19,223,000                                                     17,825,000

Total assets                              : 81,899,000                                                     83,166,000

Current liabilities                        : 26,488,000                                                     31,661,000

Non current liabilities                  : 47,562,000                                                     45,666,000

Total liabilities                            : 74,050,000                                                     77,327,000

Share equity                               : 7,849,000                                                       5,839,000

Comments                               

 The group’s consolidated financial information above relates to the Subject’s Intermediate Holding Company Olaer Group Limited and all its subsidiaries which include the Subject.

 

OPERATION DETAILS

 

Main activities

The Subject is engaged in import & distribution of hydraulic equipments such as accumulators, heat exchangers, cooler units, air conditioners, screw pumps, filters, actuators and boosters.

 

The Subject is ultimately owned by Parker Hannifin Corporation, incorporated in Ohio, United States of America.

 

With annual sales exceeding $13 billion in fiscal year 2012, Parker Hannifin Corporation is the world’s leading diversified manufacturer of motion and control technologies and systems

 

Parker Hannifin Corporation manufactures fluid power systems, electromechanical controls, and related components worldwide.

 

Its Industrial segment offers pneumatic and electromechanical components, and systems; filters, systems, and instruments to monitor and remove contaminants from fuel, air, oil, water, and other liquids and gases; connectors that control, transmit, and contain fluid; hydraulic components and systems for builders and users of industrial and mobile machinery and equipment; critical flow components for process instrumentation, healthcare, and ultra-high-purity applications; and static and dynamic sealing devices. This segment sells its products to original equipment manufacturers (OEMs) and their replacement markets in the manufacturing, transportation, and processing industries.

 

The company’s Aerospace segment provides flight control systems and components, including hydraulic, electrohydraulic, electric backup hydraulic, electrohydrostatic, and electro-mechanical components for

precise control of aircraft rudders, elevators, ailerons, and other aerodynamic control surfaces. It also provides electronics thermal management heat rejection systems, and single-phase and two-phase heat

collection systems for radar, ISAR, and power electronics. This segment markets its products primarily to OEMs in the commercial, military, and general aviation markets, as well as to end users.

 

Its Climate and Industrial Controls segment offers systems and components primarily for use in the mobile and stationary refrigeration, and air conditioning industry; and in fluid control applications in various industries, such as processing, fuel dispensing, beverage dispensing, and mobile emissions. This segment serves OEMs and their replacement markets.

 

Parker-Hannifin Corporation markets its products through direct-sales employees, independent distributors, wholesalers, and sales representatives. The company was founded in 1918 and is headquartered in Cleveland, Ohio.

 

Product & services

High pressure bladder accumulators

Diaphragm accumulators

Piston accumulators

Pulsation dampers

Heat exchangers

Plate heat exchangers

Air blast coolers

Oil filters

Screw pumps

Water valves

Chillers

Anti-waterhammers

High pressure units

 

Purchases

International       : Mainly from United Kingdom, China, Germany, Denmark, Norway, United States

 

Sales

Local                : Yes

International       : Pacific Islands

 

Key events

2 July 2012

 

Parker Completes Acquisition of the Olaer Group in the United Kingdom

 

Parker Hannifin Corporation (NYSE: PH), the global leader in motion and control technologies, today announced that it has successfully completed its previously announced agreement to acquire the Olaer Group headquartered in Deeside, United Kingdom. Terms of the transaction were not disclosed. The Olaer Group has annual sales of approximately 150 million Euros ($200 million) and 550 employees. Approximately 88 percent of the sales will be reported as Industrial International and 12 percent reported as Industrial North America. With manufacturing and sales in 14 countries in North America, Asia and Europe, the Olaer Group expands Parker's presence in geographic growth areas and offers expertise in

hydraulic accumulator and cooling systems for target growth markets such as oil and gas, power generation and renewable energy.

 

"With the completion of this acquisition, we are pleased to officially welcome the employees of the Olaer Group to Parker Hannifin," said Jeff Cullman, President of Parker's Hydraulics Group. "We are excited about the opportunities for us to grow our business by providing customers with an expanded set of products and solutions and by extending the reach of the Olaer Group offering through Parker's extensive distribution, OEM and international sales company channels. A detailed integration plan is being initiated to allow for a smooth transition of Olaer into the Parker organization."

 

 

24 April 2012

 

Parker Signs Agreement to Acquire the Olaer Group to Expand Geographic and Market Presence with Complementary Accumulator and Cooling Technologies

 

Parker Hannifin Corporation (NYSE:PH), the global leader in motion and control technologies, today announced that it has signed an agreement to acquire the Olaer Group headquartered in Deeside, United Kingdom. Olaer is a leading manufacturer of a broad range of advanced hydraulic accumulator and cooling technologies to provide solutions for energy,mobile and industrial markets. The acquisition is subject to regulatory approvals and customary closing conditions. Terms of the transaction were

not disclosed.

 

Olaer has annual sales of approximately 150 million Euros ($200 million) and employs 550 people. The company has manufacturing and sales facilities in the United Kingdom, France, Sweden and China and sales companies in 14 countries. Upon completion of the transaction, the acquired company will be integrated into Parker's Hydraulics Group as part of the Industrial Segment. Approximately 88 percent of the sales will be reported as Industrial International and 12 percent reported as Industrial North America.

 

"This acquisition, once completed, will allow us to strengthen our position in key growth areas both geographically and by end market," said Jeff Cullman, President of Parker's Hydraulics Group. "Olaer has built a strong position in Europe and a growing presence in Asia. Importantly, Olaer has a solid reputation in our target growth markets such as oil and gas, power generation and renewable energy. The acquisition would also expand our product offering with the addition of cooling technologies and deepens our expertise in bladder accumulator technology. We look forward to the closing of this acquisition when we can welcome the Olaer employees to Parker."

 

"Joining Parker is absolutely the right move for Olaer now," said Mike Blenkinsop, Chief Executive Officer, Olaer Group. "This transaction will secure Olaer's continued development, with the added dimension of being an integral part of one of the world's leading manufacturing companies."

 

With annual sales exceeding $12 billion in fiscal year 2011, Parker Hannifin is the world's leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide variety of mobile, industrial and aerospace markets. The company employs approximately 58,000 people in 47 countries around the world. Parker has increased its annual dividends paid to shareholders for 56 consecutive fiscal years, among the top five longest-running dividend-increase records in the S&P 500 index.

 

 

Property & Assets

 

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

  address consisting of warehouse and administrative office.

Branches          : None reported.

 

 

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, Credit 30-60 days

 

Sales Term

Local : Prepayment, Credit 30-60 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.54.43

UK Pound

1

Rs.83.20

Euro

1

Rs.71.91

 

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.