MIRA INFORM REPORT

 

 

Report Date :

18.07.2013

 

IDENTIFICATION DETAILS

 

Name :

P.T. UNIVERSAL AGRI BISNISINDO

 

 

Registered Office :

Jalan Raya Narogong Km. 14 Cikiwil, Bantar Gebang Bekasi, 17310 West Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

11.02.1999

 

 

Com. Reg. No.:

No. AHU-26924.AH.01.02.TH.2010

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Animal Feed Milling

 

 

No. of Employees :

178 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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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 more than 6% annually in 2010-12. 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 fiscal deficit below 3%, 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 2013 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 high oil prices.

Source : CIA


Name of Company

 

P.T. UNIVERSAL AGRI BISNISINDO

 

 

Address

 

Head Office & Factory

Jalan Raya Narogong Km. 14

Cikiwil, Bantar Gebang

Bekasi, 17310

West Java

Indonesia

Phones             - (62-21) 8250277 (Hunting)

Fax                   - (62-21) 8250283-84

Land Area         - 11,500 sq. meters

Building Space  - 8,000 sq. meters

Region              - Industrial Zone

Status               - Rent

 

 

Registration data

 

Date of Incorporation :

11 February 1999

 

Legal Form :

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

 

Company Reg. No. :

The Ministry of Law and Human Rights

- No. C-10349.HT.01.01.TH.1999

  Dated 2 June 1999

- No. AHU-26924.AH.01.02.TH.2010

  Dated 26 May 2010

 

Company Status :

Foreign Investment (PMA) Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.758.310.5-431.000

 

Related Company :

P.T. LUXINDO INTERNUSA (Animal Feed Milling)

 

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            : Rp. 150,000,000,000.-

Issued Capital                                  : Rp.   84,000,000,000.-

Paid up Capital                                : Rp.   84,000,000,000.-

 

Shareholders/Owners :

a. FUTURE SIGHT INVESTMENT LTD.                    - Rp. 75,000,000,000.-

    Address : Torotola,

                    British Virgin Island

b. Mr. Awaluddin Octo Rachnalim                                    - Rp.   3,150,000,000.-

    Address : Komplek JIP I Block F No. 17

                    Medan Johor, Medan

                    North Sumatera

                    Indonesia

c. Mr. David Eteng                                                            - Rp.   3,150,000,000.-

    Address : Jl. Kol. Sugiono No. 18-C

                    Medan Maimun, Medan

                    North Sumatera

                    Indonesia

d. Mr. Drs. Kiong Tat Shiong                                            - Rp.   1,350,000,000.-

    Address : Jl. Sikambing Raya No. 2 A

                    Medan Petisah, Medan

                    North Sumatera

                    Indonesia

e. Mr. Salim Chandra                                                        - Rp.   1,350,000,000.-

    Address : Komplek Citra Wisata Block IX/38

                    Medan Johor, Medan

                    North Sumatera

                    Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Animal Feed Milling

 

Production Capacity :

Animal Feed                                    - 720,000 tons p.a.

 

Total Investment :

a.   Equity Capital                            - Rp.   84.0 billion

b.   Loan Capital                              - Rp.   20.6 billion

c.   Total Investment                         - Rp. 104.6 billion

 

Started Operation :

2000

 

Brand Name :

Universal Agri Bisnisindo

 

Technical Assistance :

None

 

Number of Employee :

178 persons

 

Marketing Area :

Export      - 70%

Local       - 30%

 

Main Customer :

Animal Feed Distributors

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. CHAROEN PHOKPHAND INDONESIA

b. P.T. GOLD COIN INDONESIA

c. P.T. INDOJAYA AGRINUSA

d. P.T. MALINDO FEEDMILL

e. Etc.

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a.   Hongkong and Shanghai Banking Corp. Ltd.

      World Trade Centre

      Jalan Jend. Sudirman Kav. 29-31

      Jakarta Selatan

      Indonesia

b.   P.T. Bank NEGARA INDONESIA Tbk

      Ruko Plaza Menteng Block B No. 19               

      Jalan M.H. Thamrin

      Bekasi, West Java

      Indonesia

c.   P.T. Bank UOB BUANA Tbk

      Jalan Asemka No. 32-33

      Jakarta Pusat

      Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2010 – Rp. 142.0 billion

2011 – Rp. 151.0 billion

2012 – Rp. 160.0 billion

 

Net Profit (estimated) :

2010 – Rp. 10.6 billion

2011 – Rp. 11.5 billion

2012 – Rp. 12.0 billion

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. Syafei

Director                                           - Mr. I Wayan Mertayasa

 

Board of Commissioners :

Commissioner                                 - Mr. Andry Jaya

 

Signatories :

President Director (Mr. Syafei) or the Director (Mr. I Wayan Mertayasa) 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

 

P.T. UNIVERSAL AGRI BISNISINDO (P.T. UAB) was incorporated in Jakarta based on notary deed of Mr. Jhon Langsung, SH., No. 6 dated 11 February 1999 with the authorized capital of Rp. 45,000,000,000 issued capital of Rp. 20,600,000,000 entirely paid up. The founding shareholders of the company are Mr. Awaluddin Octo Rachnalim, Mr. Drs. Khiong Tat Shiong, Mr. Tjong Lim and Mr. David Eteng, they are Indonesian businessmen of Chinese descent. The company notary documents had been changed a couple of times. Then according to the latest revision of notary documents of Mrs. Emi Susilowati, SH., No. 01 dated 4 March 2010 the company authorized capital was increased to Rp. 150,000,000,000 issued capital to Rp. 84,000,000,000 entirely paid up. Concurrently FUTURE SIGHT INVESTMENT LTD of British Virgin Island entered into the company as new shareholder. On the same occasion the company status was converted into Foreign Investment (PMA) company status. With this time the composition of its shareholders has been changed to become FURURE SIGHT INVESTMENT LTD (89.28%), Mr. Awaluddin Octo Rachnalim (3.75%), Mr. David Eteng (3.75%), Mr. Drs. Khiong Tat Shiong (1.61%) and Mr. Salim Chandra (1.61%). The deed of amendments was approved by the Ministry of Law and Human Rights in its decision letter No. AHU-26924.AH.01.02.TH.2010 dated May 26, 2010.

 

P.T. UAB operates under Foreign Investment (PMA) facilities in the animal feed industry and breeding farm business. The company manages a plant located at Jalan Raya Narogong Km. 14, Bekasi, West Java standing on 11,500 sq. meters land. According to the licenses the company has a production capacity of 720,000 tons of animal feeds (fish meal, and chicken feed meal) respectively per annum. The company's production is entirely marketed in the country under the UAB brand through animal feed distributors appointed in several big cities of the country. The whole basic materials like corn obtained from Sumatera, Java, Sulawesi and other cities in the country. P.T. UAB manufacturing and marketing of livestock and poultry feeds, aqua feeds, protein concentrates and premixes; manufacturing and marketing of micro encapsulated additives and other specialty products, trading in agricultural commodities. We observe the operation of P.T. UAB has been growing and developing well in the last three years. 

 

In overall views we find the demand for animal feed, fish meal, fish oil and feather meals had been rising by 5% to 6% per year in the last five years, in line with the growth of animal feed industry in the country. We observed that the national poultry industry in 2008 is having a difficult time as production cost has been increasing due to the high prices of the basic materials for animal feed triggered by bad weather conditions and the world crude oil price hike. Besides that the competition is very tight due to a large number of similar companies operating in the country. It’s projected the demand for animal feed, fish meal, fish oil and feather meals will be rising in the future at least 5% per annum. The business position of P.T. UAB is appraised to be favorable for having established wide marketing networks within and outside the country.

 

Until this time P.T. UAB has not been registered with Indonesian Stock Exchange, so that they had not obliged to announce their financial statement. The management of P.T. UAB is very reclusive towards outsiders and rejected to disclose its financial condition. We observed that total sales turnover of the company in 2010 amounted to Rp. 142.0 billion rose to Rp. 151.0 billion in 2011 increased to Rp. 160.0 billion in 2012 and projected to go on rising by at least 5% in 2013. It estimated the company has gained a net profit of Rp. 12.0 billion the company has an estimated total net worth of at least Rp. 91.0 billion. We observe that P.T. UAB 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). The company usually pays its debts punctually to suppliers.  

 

The management of P.T. is headed by Mr. Syafei (49) a professional manager with experience in animal feed milling manufacturing and trading. In his daily activity, he is assisted by Mr. I Wayan Mertayasa (67) as Director. The company's management is handled by professional staff in the above business. They have wide relations with private businessmen within and outside the country. 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. UNIVERSAL AGRI BISNISINDO is sufficiently fairly good for business transaction.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.36

UK Pound

1

Rs.89.69

Euro

1

Rs.77.98

 

 

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%)

 

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.