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Report Date : |
06.03.2013 |
IDENTIFICATION DETAILS
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Name : |
TRANSWORLD DIAMONDS PTY LTD |
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Registered Office : |
Level 1, 5-7 King William Road, Unley Sa 5061 |
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Country : |
Australia |
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Date of Incorporation : |
16.10.2009 |
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Legal Form : |
Australian Proprietary Company |
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Line of Business : |
The subject operates in the import and wholesale distribution of jewellery on behalf of the group. |
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No. of Employees : |
325 to 350 (group) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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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 – 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 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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
TRANSWORLD DIAMONDS PTY LTD
ACN: 140 044 408
ABN: 35 140 044 408
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Summary Panel |
||
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Established |
1948 |
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Incorporated |
2009 |
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Status |
Trading |
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Line of Business |
Import and wholesale of jewellery |
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Chief Executive Officer |
Albert Bensimon |
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Adverse Listings |
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The subject
operates in the import and distribution of jewellery on behalf of the group.
For the last financial
year ended 30 June 2012 the subject traded profitably and recorded revenue of
$25,000,000.
For the same
period the group recorded revenue of $65,000,000.
On a projected basis
the group expects to record revenue of $70,000,000 to $72,000,000 for the
current financial year ending 30 June 2013.
Current assets
include group stock on hand of $25,000,000 to $28,000,000.
In regards to
asset backing the subjects Director Albert Bensimon is advised to own the
premises located at the above listed trading address.
Company Type Australian
Proprietary Company
Incorporation State: VIC
Incorporation Date: 16 OCT 2009
Registered Office
LEVEL 1,
5-7 KING WILLIAM ROAD,
UNLEY SA 5061
Current Directors Total: 1
ALBERT BENSIMON – Appointed: 16 OCT 2009
151 FISHER Street MALVERN, South Australia 5061
DOB: 15 FEB 1948
Current Secretaries Total: 2
IAN COLIN ELLISS – Appointed: 16 OCT 2009
ALBERT BENSIMON – Appointed: 16 OCT 2009
Share Structure - Classes Total: 2
A CLASS A: 900 – Amount paid: $900
B CLASS B: 100 – Amount paid: $100
Shareholders Total: 2
B 100 - GOLD DISC PTY. LTD.
A 900 - SHIELS JEWELLERS (SA) PTY LTD
SECURITY INTERESTS Effective
30 January 2012 the Personal Property Securities Register (PPSR) was introduced to give the different
Commonwealth, State and Territory laws and registers regarding security
interests in personal property under one national system.
ADELAIDE,
SA 5000
TELEPHONE (618) 8110 4110
FACSIMILE (618) 8110 4199
WEBSIT www.shiels.com.au
HOLDING ENTITY SHEILS
JEWELLERS P/L
ASSOCIATES ENTITY 24
CARAT NOMINEES P/L (the retail arm of the group)
TRANSWORLD
ENTERPRISES P/L
GROUP TRADING
STYLES SHIELS
JEWELLERS
GRAHAMS
JEWELLERS
GROUP BRANCHES The Group maintains around 45
branches across Australia.
BANK NATIONAL
AUSTRALIA BANK
Branch:
Adelaide, SA 5000
EMPLOYEES Nil
325
to 350 (group)
The subject was incorporated in Victoria on
16 October 2009 as Transworld Diamond P/L before adopting the current style on
20 October 2009.
Group operations were established by Jack
Shiels in 1948.
The current owner purchased the operations of
Shiels Jewellers in 1977.
The subject operates in the import and wholesale
distribution of jewellery on behalf of the group.
The subject distributes all product to the Associated entity
Shiels Jewellers (SA) Pty Ltd
The Group
operates in the retail and repair of jewellery and watches with brands
including Flawless Cut, Amadora, Australian Diamond Collection and ECC –
Enhance Create Connect.
Activities are conducted from premises
located at the above listed trading address.
A search of of on 1 March 2013 failed to
trace any litigation listed against the subject at that date.
The subject is not required to lodge
financial statements with the Australian Securities and Investments Commission.
During the current interview conducted with
Financial Controller Michael Amey he advised that the subject operates in the
import and distribution of jewellery on behalf of the group.
Mr. Amey advised that for the last financial
year ended 30 June 2012 the subject traded profitably and recorded revenue of
$25,000,000. For the same period the group recorded revenue of $65,000,000.
On a projected basis the group expects to
record revenue of $70,000,000 to $72,000,000 for the current financial year
ending 30 June 2013. The increase in sales is attributable to a growth in group
stores particularly in Queensland.
Current assets include group stock on hand
of $25,000,000 to $28,000,000.
Current liabilities include creditors of
$5,000,000 to $7,000,000.
The subject maintains a financing facility
with its bankers which is used to assist in funding working capital
requirements.
In regards to asset backing the subjects
Director Albert Bensimon is advised to own the premises located at the above
listed trading address.
Further details pertaining to the subjects
financial position were unable to be obtained for the current enquiry.
The subject imports all requirements. Only
one supplier provided for the current enquiry. A trade survey on the Group traced
the following accounts:
1.
(Catene
d’Italia) Nominated supplier is yet to respond to correspondence despite
chasing.
DIAMOND INDUSTRY –
INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
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The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
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The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
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Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
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The diamond jewellery industry in India today may be more
than Rs 60000 mil and is rated amongst the fastest growing in the world.
Indi ranks third in the world in domestic diamond consumption.
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Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
DIAMOND
SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT
This could be the biggest credibility crisis
the Indian diamond industry has ever faced. Fifteen banks run the risk of
losing Rs 2000 crore lent to a dozen diamond firms in Surat. Until about two
months ago, they had not repaid these dues. Bankers believe many
diamantaires borrowed money during the economic downturn two years ago and
diverted funds to businesses like real estate and capital markets. Many of
themselves made money from these businesses but their diamond companies have
gone sick and declared insolvency.
-
Most of the money borrowed from the banks in the name
of their diamond business has been diverted in real estate and the share
market. The banks are not in a position to seize their properties because in
many cases, these were purchased in the name of their relatives and friends.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.65 |
|
|
1 |
Rs.82.66 |
|
Euro |
1 |
Rs.71.21 |
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%)
This report is issued at your request without any risk
and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its
officials.