MIRA INFORM REPORT

 

 

Report Date :

19.01.2013

 

IDENTIFICATION DETAILS

 

Name :

VERALCO (CYPRUS) LIMITED

 

 

Registered Office :

118 Anexartisias, Apt.201, Limassol, 3040

 

 

Country :

Cyprus

 

 

Date of Incorporation :

20.09.2007

 

 

Com. Reg. No.:

C208569

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Wholesale Trade Agents and Brokers

 

 

No. of Employees :

Not Available

 

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 :

Unknown

 

 

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)

Cyprus

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

CypRus - ECONOMIC OVERVIEW

 

The area of the Republic of Cyprus under government control has a market economy dominated by the service sector, which accounts for four-fifths of GDP. Tourism, financial services, and real estate are the most important sectors. Erratic growth rates over the past decade reflect the economy's reliance on tourism, the profitability of which often fluctuates with political instability in the region and economic conditions in Western Europe. Nevertheless, the economy in the area under government control has grown at a rate well above the EU average since 2000. Cyprus joined the European Exchange Rate Mechanism (ERM2) in May 2005 and adopted the euro as its national currency on 1 January 2008. An aggressive austerity program in the preceding years, aimed at paving the way for the euro, helped turn a soaring fiscal deficit (6.3% in 2003) into a surplus of 1.2% in 2008, and reduced inflation to 4.7%. This prosperity came under pressure in 2009, as construction and tourism slowed in the face of reduced foreign demand triggered by the ongoing global financial crisis. Although Cyprus lagged behind its EU peers in showing signs of stress from the global crisis, the economy tipped into recession in 2009, contracting by 1.7%, and has been slow to bounce back since, posting an anemic growth rate of 1.0% in 2010. A massive munitions blast in July 2011 at a Cypriot naval base triggered country-wide energy outages, a collapse of the governing coalition, and a cabinet shuffle intensifying Cyprus's economic problems. The economy experienced no economic growth in 2011. Serious Cypriot financial sector problems surfaced in early 2011 as the Greek fiscal crisis and euro zone debt crisis deepened. Two of Cyprus's biggest banks are among the largest holders of Greek bonds in Europe and have a substantial presence in Greece through bank branches and subsidiaries. A liquidity squeeze is choking the financial sector and the real economy as many global investors doubt the Cypriot economy can weather the EU crisis. Cyprus's borrowing costs have risen steadily because of its exposure to Greek debt. The budget deficit is on the rise and reached 7.4% of GDP in 2011, a violation of the EU's budget deficit criteria - no more than 3% of GDP. In response to the country's deteriorating finances and serious risk of contagion from the Greek debt crisis, Nicosia is promising to implement measures to cut the cost of the state payroll, curb tax evasion, and revamp social benefits. However, it has been slow to act, lacking a consensus in parliament and among the social partners for its proposed measures.

 

Source : CIA

 

 

 


Basic Information

 

Registered Name

VERALCO (CYPRUS) LIMITED

English Name

VERALCO (CYPRUS) LIMITED

Registered Address

118 Anexartisias, Apt.201, Limassol, 3040, Cyprus

Headquarters:

118 Anexartisias, DIAM 201, Lemesos, 3040, Limassol, Cyprus

Telephone

+35725746127

Fax

+35725746458

E-mail

info@veralco.com.eu

Web Site

http://www.veralco.com.eu (Under construction)

Legal Type

Limited Company

Registration No

C208569

Registration Date

20/09/2007

Start Date

20/09/2007

Years of Operation:

6

Last return

25/10/2007

 

 

CINFO ID:

CYC23128725

 

 

 

 

Summary

 

Employees

April 2012

 

 

 

Company

 

 

 

 

 

Total Number

Not Available

 

 

 

 

 

 

Additional Info:

Correspondence & Legal Advisor: SUXESS MANAGEMENT LIMITED, 40 Kimonos, 3095, Limasoll, Tel: 25342042

 

 

Payment

 

Assessment:

Above Average Risk

Payment Habits:

NO COMPLAINTS

A check against all available information sources revealed that no late payment incidents against Subject Company exist.

 

Commercial morality

Satisfactory

 

 

Financial strength

Unable to comment

Given the fact that no recent detailed financial statements were released to us, we feel unable to express a safe and reliable opinion on their creditability and Financial Strength.

 

 

Business History

 

Date

Event Name

Old Value

New Value

20/09/2007

Change of name

G.G. TRADE-AIM LIMITED

VERALCO (CYPRUS) LIMITED

 

 

Capital

 

Authorized Capital

20,000.00

EUR

Issued Capital

0.00

EUR

Nominal No Of Shares

20,000.00

 

Issued No Of Shares

2,000.00

 

Nominal value

1.00

EUR

Paid Up

2,000.00

EUR

 

 

Corporate Structure

 

Directors

Position

Acts As

ID

Occupation

Age

Appointed

Other dir.

 

GROUTIDIS MICHALIS

 

Director / Secretary

 

716176(ID)

Businessman

43

25/10/2007

Yes

35A Vasileos Pavlou A', Limassol, Cyprus

Other Directorship:

 

 

 

Name

 

Registration Date

Reg. No.

Status

Position

Update Date

 

BEARINGS (A & P) LIMITED

 

16/03/1981

C15379

Registered and operational

Director

06/06/2012

 

BEARING (A&P) CYPRUS SHIP SUPPLIERS LIMITED

*

17/05/2007

C199656

Registered and operational

Director

05/06/2012

 

 

 

 

 

Other Shareholding:

 

 

 

Name

 

Registration Date

Reg. No.

Status

%

Update Date

 

BEARINGS (A & P) LIMITED

 

16/03/1981

C15379

Registered and operational

30

06/06/2012

 

GEMIGAR LIMITED

 

22/01/1980

C13400

Registered and operational

1

13/08/2007

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secretary

Position

Acts As

ID

Occupation

Age

Appointed

Other dir.

 

GROUTIDIS MICHALIS

 

Director / Secretary

 

716176(ID)

Businessman

43

25/10/2007

Yes

35A Vasileos Pavlou A', Limassol, Cyprus

Other Directorship:

 

 

 

Name

 

Registration Date

Reg. No.

Status

Position

Update Date

 

BEARINGS (A & P) LIMITED

 

16/03/1981

C15379

Registered and operational

Director

06/06/2012

 

BEARING (A&P) CYPRUS SHIP SUPPLIERS LIMITED

*

17/05/2007

C199656

Registered and operational

Director

05/06/2012

 

 

 

 

 

Other Shareholding:

 

 

 

Name

 

Registration Date

Reg. No.

Status

%

Update Date

 

BEARINGS (A & P) LIMITED

 

16/03/1981

C15379

Registered and operational

30

06/06/2012

 

GEMIGAR LIMITED

 

22/01/1980

C13400

Registered and operational

1

13/08/2007

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shareholders

ID / Reg. No.

Acts As

Nationality

Shares

%

Shares Breakdown

Class

Type

 

 

 

GROUTIDIS MICHALIS

 

716176(ID)

 

CYPRIOT

2000

100

-

-

-

 

 

35A Vasileos Pavlou A', Limassol, Cyprus

 

Other Directorship:

 

 

 

Name

 

Registration Date

Reg. No.

Status

Position

Update Date

 

BEARINGS (A & P) LIMITED

 

16/03/1981

C15379

Registered and operational

Director

06/06/2012

 

BEARING (A&P) CYPRUS SHIP SUPPLIERS LIMITED

*

17/05/2007

C199656

Registered and operational

Director

05/06/2012

 

 

 

 

 

Other Shareholding:

 

 

 

Name

 

Registration Date

Reg. No.

Status

%

Update Date

 

BEARINGS (A & P) LIMITED

 

16/03/1981

C15379

Registered and operational

30

06/06/2012

 

GEMIGAR LIMITED

 

22/01/1980

C13400

Registered and operational

1

13/08/2007

 

 

 

 

 

Operation

 

Activity Code

Description

NACE 1.1

51.9

Other wholesale

 

NACE 1.1

52.12

Other retail sale in non-specialized stores

 

US SIC 1987

331

Steel works, blast furnaces and rolling and finishing manufacturing

 

 

 

Line of Business

 

According to the Article of Associations the current company deals with general trade although this was not confirmed. However the article makes provision for other activities as well.


After desk research we have the impression that the company in question deals with the trade of steel products.Please note that this was not confirmed by an outside source.


Business Activities


General Trading


Industry Classifications – NAICS


» Wholesale Trade Agents and Brokers NAICS #42512

» Wholesale Trade NAICS #42

» Other Miscellaneous Durable Goods Merchant Wholesalers NAICS #42399

» Apparel, Piece Goods, and Notions Merchant Wholesalers NAICS #4243

» Other Miscellaneous Nondurable Goods Merchant Wholesalers NAICS #42499

 

 

 

Export to

Percentage

 

Comments

Non Retrievable

 

 

 

 

 

 

 

Import from

Percentage

 

Comments

Non Retrievable

 

 

 

 

 

 

Premises

 

 

 

 

 

 

 

 

Type

headquarters

 

Address:

118 Anexartisias, DIAM 201, Lemesos, 3040, Limassol, Cyprus

 

Headquarters comprise of

Offices

 

 

Banks

 

CYPRUS POPULAR BANK PUBLIC CO LTD

 

39 Archiepiskopou Makariou C' Avenue, 2025, Nicosia, Cyprus

 

Charges

No

Date registered

Date prepared

Type

Description/No

Amount

Sequence

Beneficiary

1

27/12/2007

17/12/2007

Floating Charge on all Company's Assets

 

25,000.00 CYP

-

Cyprus Popular Bank Public Co Ltd

 

 

Total Number

Total Amount (EUR)

Floating Charge on all Company's Assets

1

42,715.04

TOTAL CHARGES

1

42,715.04

 

 

Negatives

 

No negative data

 

 

Corporate Structure Detrimental

 

 

Legal Entities - Status

Company Name

Reg. No.

Status

BEARING (A&P) CYPRUS SHIP SUPPLIERS LIMITED

C199656

Registered and operational

 

 

 

Legal Entities

Company Name

Reg. No.

Case No/

Invoice No.

 

Default Desc.

Amount

Claimant

Date of Claim

BEARING (A&P) CYPRUS SHIP SUPPLIERS LIMITED

C199656

1000095521

 

Telecom bills

234.00 EUR

 

23/08/2012

 

 

Additional Information

 

MAIN SOURCES OF INFORMATION

 

i. Visited Official Companies’ Registryii. Interview with Company / Correspondence

iii. Desk Research

iv. Search through Internet Subscription Databases (Business Information)

v. Specialized Media Search Global & Local

vi. Search through internet Social Networks

vii. Infocredit Negative Record Database

viii. Relationship/Directorship Search through Infocredit Database

 

The company in question deals with the trade of steel products.

We tried contacting the company in question several times; however our attempts to contact an official were unsuccessful.Please note that the information included in the report was obtained from the Official Companies’ Registrar and through desk research.

 

A check against our revealed that no negative payment incidents against Subject Company, such as unpaid invoices, dishonored cheques and utility bills, bankruptcies exist etc.

 

COUNTRY DEVELOPMENTS:

 

On 13 June 2012, Moody’s Investor Service once again downgraded Cyprus’s government bond ratings by two notches to Ba3 from Ba1 and research is now being carried out for further possible downgrade.

 

The Cypriot banks’ exposure to Greece totals 29 billion Euros, or 160% of GDP, including both Greek government bonds and loans to Greek residents. As a result, it is expected that an increase of support by the government may have to be offered to the Cypriot banks due to their exposure to the Greek government and economy and Moody’s will be reflecting these in the Cypriot sovereign ratings.

 

On 25 June 2012 Financial Mirror published that, Cyprus has applied for the European bailout fund due to its need of 1.8 billion Euros to recapitalize its second largest lender, Cyprus Popular Bank. Stefanos Stefanou, a government spokesman, said that negotiations are yet to be made to determine the precise amount of money which will be lent to Cyprus. He also noted that despite the aid request from the EU, the Cypriot government will continue seeking for a loan from a country outside the EU, such as China and Russia, needed to help cover its budget deficit (2011 deficit: 6.3% of GDP, one of the highest in the Eurozone).

 

The country has already borrowed 2.5bn euros from Russia, whose business people are important customers of Cyprus's relatively large offshore financial sector which offers low tax rates. If Russia accepts to supply another loan with a low interest rate then Cyprus may be more willing to borrow the money to cover their refinancing needs from Russia instead of the EU.

 

On 25 June 2012 Fitch announced a downgrade of Cyprus’s rating by one notch from BBB- to BB+; a decision due to Cyprus’s heavy exposure to the Greek economy.

 

Cyprus is keen to protect its low 10% corporate taxation rate which makes it an attractive base for foreign companies. The government is reluctant to acquire loans from the EU due to fear of further austerity measures placed, which may obstruct corporations from situating themselves in Cyprus. (End of Country Developments)

 

Contact Information

 

Name:

None at current stage

 

 

Recent Enquiries

 

Recent Enquiries on this subject

 

Last 6 months:

Last 3 months:

2

2

Last 1 month:

2

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.94

UK Pound

1

Rs.86.24

Euro

1

Rs.72.20

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

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.