MIRA INFORM REPORT

 

 

Report Date :

10.05.2013

 

IDENTIFICATION DETAILS

 

Name :

GRAND MILLS PJSC

 

 

Formerly Known As :

GRAND MILLS FOR FLOUR & ANIMAL FEED COMPANY PJSC

 

 

Registered Office :

Abu Dhabi Terminal, Gate No. 2, Mina Zayed Port, PO Box 46622, Abu Dhabi

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

13.10.2004

 

 

Legal Form :

Private Joint Stock Company

 

 

Line of Business :

Production of flour, animal feeds and fodder

 

 

No. of Employees :

375

 

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 :

Good

Payment Behaviour :

Regular

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)

 United Arab Emirates

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

UNITED ARAB EMIRATES - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

 

Source : CIA

 

 

 

 

 

 

 

 

SUMMARY

 

Company Name                         : GRAND MILLS PJSC

Previously Known As                              : GRAND MILLS FOR FLOUR & ANIMAL FEED COMPANY PJSC

Country of Origin                                    : Abu Dhabi, United Arab Emirates

Legal Form                                            : Private Joint Stock Company

Registration Date                                   : 13th October 2004

Trade Licence Number                            : 1002091

Chamber Membership Number                : 105989

Issued Capital                                        : UAE Dh 10,000,000

Paid up Capital                                      : UAE Dh 10,000,000

Total Workforce                                     : 375

Activities                                               : Production of flour, animal feeds and fodder.

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                         : Steady

 

 

 

 

COMPANY NAME

 

GRAND MILLS PJSC

 

PREVIOUSLY KNOWN AS

 

GRAND MILLS FOR FLOUR & ANIMAL FEED COMPANY PJSC

 

ADDRESS

 

Registered & Physical Address

 

Location            : Abu Dhabi Terminal, Gate No. 2

Area                 : Mina Zayed Port

PO Box             : 46622

Town                 : Abu Dhabi

Country             : United Arab Emirates

 

Telephone         : (971-2) 6969111 / 6731772

Facsimile          : (971-2) 6969222

Email                : m.nassour@ghc.ae / info@grandmills.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of Abu Dhabi.

 

Branch Offices

 

     Location                                                                                           Description

 

·       Sky Tower, 17th Floor                                                             Office premises

Reem Island

Abu Dhabi

Tel: (971-2) 59060600

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Manolis Trigkoni                                                                                General Manager

 

·       Iqbal Hamza                                                                                     Group Financial Officer

 

·       Syed Mazahir Hasnain                                                                       Finance Manager

 

·       Fateh Yaldan                                                                                    Financial Controller

 

·       Daniel Marie                                                                                     Operations Manager

 

·       Abdul Rahman Al Attas                                                                     Purchasing Manager

 

·       Khalid Ahmed Sulaiman                                                                     Human Resources & Admin Manager

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 13th October 2004

 

History                         : Subject was originally established in 2004 under the name of “Emirates Flour & Animal Feed

  Factory”, however subject re-registered in September 2005 under the current style of “Grand

  Mills For Flour & Animal Feed Company PJS”. In January 2013 subject changed its name to

  “Grand Mills PJSC”.

 

Legal Form                  : Private Joint Stock Company

 

Trade Licence No.       : 1002091 (Expires 04/02/2014)

 

Chamber Member No. : 105989

 

Issued Capital              : UAE Dh 10,000,000

 

Paid up Capital            : UAE Dh 10,000,000

 

Name of Shareholder (s)                                     Percentage

 

·       Agthia Group PJSC                                                       100%

Al Ghaith Holding Tower, 2nd Floor

Airport Road

PO Box: 37725

Abu Dhabi

United Arab Emirates

Tel: (971-2) 4146444

Fax: (971-2) 4463644

Email: info@agthia.com

 

AFFILIATED COMPANIES

 

·       Al Ain Mineral Water Company

PO Box: 16020

     Al Ain

     United Arab Emirates

     Tel: (971-3) 7686500

     Fax: (971-3) 7686515

 

·       Al Ain Vegetable Processing & Canning Factory

     Abu Samra

     PO Box: 67244

     Al Ain

     United Arab Emirates

     Tel: (971-3) 7372188

     Fax: (971-3) 7372588

 

·       Al Ain Food & Beverages LLC

     3rd District - Bldg No. 69

     6th October City

     Egypt

     Tel: (20-2) 38364250 / 38364260

     Fax: (20-3) 38366745

 

OPERATIONS

 

Activities: Engaged in the production of flour, animal feeds and fodder.

 

                 Subject is ISO 9001 and 14001 accredited.

 

                 Subject plans to increase the flour milling capacity by 50% by installing a new milling plant involving

     estimated Capex of UAE Dh 50 million. Subject began production in the second half of 2011.

 

Production Capacity:   260,000 tonnes of flour per annum

                                                                                               325,000 tonnes of feed per annum

 

Import Countries: Europe and the United States of America

 

Operating Trend: Steady

 

Subject has a workforce of approximately 375 employees.

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/11:                Year Ending 31/12/12:

 

Total Sales                                UAE Dh 673,200,000                  UAE Dh 675,000,000

 

Local sources consider subject’s financial condition to be Good.

 

The above financial figures are based on estimations by our local sources.

 

BANKERS

 

·       Abu Dhabi Islamic Bank

Baniyas Street

Abu Dhabi

Tel: (971-2) 6343000

       Fax: (971-2) 6342222

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.24

UK Pound

1

Rs.84.29

Euro

1

Rs.71.36

 

INFORMATION DETAILS

 

Report Prepared by :

NLM

 

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.