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Report Date : |
06.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
ELECTRO CABLE |
|
|
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Registered Office : |
6th of
October Road ( |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Year of Establishments: |
1954 |
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Com. Reg. No.: |
1650, Shubra El
Kheima |
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Legal Form : |
Egyptian Joint Stock Company |
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Line of Business : |
Manufacturers of electric cables. |
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No. of Employees : |
1650 |
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 |
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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 – March 31st 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Egypt |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
egypt ECONOMIC OVERVIEW
Occupying the
northeast corner of the African continent, Egypt is bisected by the highly
fertile Nile valley, where most economic activity takes place. Egypt's economy was
highly centralized during the rule of former President Gamal Abdel NASSER but
opened up considerably under former Presidents Anwar EL-SADAT and Mohamed Hosni
MUBARAK. Cairo from 2004 to 2008 aggressively pursued economic reforms to
attract foreign investment and facilitate GDP growth. Despite the relatively
high levels of economic growth in recent years, living conditions for the
average Egyptian remained poor and contributed to public discontent. After
unrest erupted in January 2011, the Egyptian Government backtracked on economic
reforms, drastically increasing social spending to address public
dissatisfaction, but political uncertainty at the same time caused economic
growth to slow significantly, reducing the government's saless. Tourism,
manufacturing, and construction were among the hardest hit sectors of the
Egyptian economy, and economic growth is likely to remain slow during the next
several years. The government drew down foreign exchange reserves by more than
50% in 2011 and 2012 to support the Egyptian pound and the dearth of foreign
financial assistance - as a result of unsuccessful negotiations with the
International Monetary Fund over a multi-billion dollar loan agreement which
have dragged on more than 20 months - could precipitate fiscal and balance of
payments crises in 2013.
|
Source : CIA |
Company Name :
ELECTRO CABLE
Country of Origin : Egypt
Legal Form : Egyptian Joint Stock Company
Registration Date : 1954
Commercial Registration Number : 1650, Shubra El Kheima
Industrial
Registration Number :
0076080
Import Registration
Number : 0001486
Issued Capital : £E 496,388,000
Paid up Capital : £E 496,388,000
Total Workforce : 1,650
Activities : Manufacturers of electric cables.
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
ELECTRO CABLE EGYPT
SAE
Registered &
Physical Address
Street : 6th of October Road
(Ismailia Canal Road), Km 4.6
Area : Mostorod Industrial Zone, Shubra El Kheima, Kaliubeya
PO Box : 208
Town : Cairo
Country : Egypt
Telephone : (20-2) 42205085 / 42205848 / 42205822
/ 42202147 / 42207310 / 44756219
Facsimile : (20-2) 22202103
Email : ece1@soficom.com.eg
Premises
Subject operates
from a large suite of offices, factory and warehousing facilities covering an
area of 370,000 square metres that are owned and located in the Industrial Area
of Cairo.
Branch Office (s)
Location Description
·
40 Talaat Harb Street Rented office premises
Cairo
Tel: (20-2) 25745641 / 25755774
Name Position
·
Ahmed
Mohamed Abdallah Al Husseiny Chairman
·
Wedad
Mohamed El Garby Director
·
Ali
Abdallah Ali Director
·
Abd El
Hady Swillam Director
·
Abd El
Wadoud Abd El Kader Director
·
Abd El
Rahman Abd El Ghany Director
·
Mohamed
Sultan Rahoma Director
·
Fatma
Shahat Salem Director
·
Mohamed
Zkreh Director
·
Mohamed Kamal Export
Manager
·
Abd El Raouf Abd El Aleem Shokr Accounts
Manager
·
Adel
Meghawry Public
Relations Manager
·
Hossney
Khodeir Planning
Manager
·
Mohamed
Shehata Purchasing
Manager
Date of Establishment : 1954
Legal Form :
Egyptian Joint Stock
Company
Commercial Reg. No. : 1650, Shubra El
Kheima
Industrial Reg. No. : 0076080
Import Reg. No. : 0001486
Authorised
Capital : £E 850,000,000
Issued Capital : £E 496,388,000
Paid up Capital : £E 496,388,000
Name of Shareholder
(s) Percentage
·
Egyptian businessmen and private investors 86.00%
·
Misr Insurance 9.00%
·
Social Insurance Fund 2.40%
·
Employee Shareholders Association 2.60%
Activities: Engaged in the manufacture and export of all
kinds of electric cables (such as ground, telephone, high and low voltage
cables and air joints) and varnish insulated copper wires.
Subject is ISO 9001 and 9002 certified.
Import
Countries: India, United
Kingdom and Japan
Export Countries: United Arab Emirates, Saudi Arabia, Yemen,
Tunisia, Algeria, Sudan, Syria, Kenya, Zimbabwe, Romania, Cyprus and Malta
Operating Trend: Steady
Subject has a
workforce of approximately 1,650 employees.
Financial highlights
provided by local sources are given below:
Currency: Egyptian
Pounds (£E 000’s)
Balance Sheet 31/12/008 31/12/09 31/12/10
Fixed assets 379,008 386,688 407,695
Long term
investments 9,857 14,648 14,649
Inventories 83,152 96,249 107,592
Cash 57,002 105,924 89,850
Current liabilities 102,196 90,741 133,319
Long term debt 42,363 22,342 6,475
Total shareholders’
equity 505,741 589,522 628,497
Income
Statement
Net turnover 451,030 412,432 528,164
EBITDA 57,870 85,917 97,697
EBIT 49,009 79,314 89,133
Net profit 40,259 60,143 71,410
|
Company
Financials for the year ending 31/12/11 |
Annual
(2011) |
|
Income Statement |
|
|
Sales/Total Sales |
439,497 |
|
EBITDA |
48,643 |
|
EBIT |
52,007 |
|
Net Income |
40,039 |
|
Balance Sheet |
|
|
Total Current Assets |
299,033 |
|
Total Assets |
726,549 |
|
Current Liabilities |
101,664 |
|
Total Liabilities & Debt |
104,516 |
|
Total Equity |
622,033 |
Net profit for the year
ending 31/12/12 was £E 1.90 million a 95% decline in profits.
Local sources
consider subject’s financial condition to be Fair.
·
Banque
Misr
151 Mohamed Farid Street
Cairo
Tel: (20-2) 33912711 / 33912106
Fax: (20-2) 33919779
·
National
Bank of Egypt
24 Sherif Street
Cairo
Tel: (20-2) 33924175
Fax: (20-2) 33924143
·
Bank of
Alexandria
Cairo
Tel: (20-2) 24824056 /
24836073
Fax: (20-2) 24837468
·
Commercial
International Bank (CIB)
Nile Tower Building
21-23 Giza Street
PO Box: 2430
Cairo
Tel: (20-2) 35703043
Fax: (20-2) 35703172 / 35072691
·
Misr
Iran Development Bank
PO Box: 219
Cairo
Tel: (20-2) 35757311
Fax: (20-2) 35701185
No complaints
regarding subject’s payments have been reported.
Amount overdue 0
Payment terms 60
days
Payment Method Letters
of Credit
Paying record No
Complaints
Currency US
Dollars
Subject is the
largest diversified cables company in Egypt. It produces both power cables
and telecommunication cables for local markets and for export as
well. Approximately two thirds of saless are derived from
power cables sales to the Electricity Sector and it supplies more than 50% of
the requirements of the Egyptian Electricity Authority
During the course
of this investigation nothing detrimental was uncovered regarding the manner in
which payment obligations are fulfilled. The operating history is clear and the
financial situation is satisfactory. As such we are of the opinion that the subject
is a fair trade risk.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.56.42 |
|
UK Pound |
1 |
Rs.86.54 |
|
Euro |
1 |
Rs.73.86 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.