|
Report Date : |
21.11.2013 |
IDENTIFICATION DETAILS
|
Name : |
COLONY SUGAR MILLS LIMITED |
|
|
|
|
Registered Office : |
Ground Floor, Ismail Aiwan-e-Science
Building, 205 Ferozepur Road, Lahore-54600 |
|
|
|
|
Country : |
Pakistan |
|
|
|
|
Financials as on: |
30.09.2012 |
|
|
|
|
Date of Incorporation : |
09.05.2007 |
|
|
|
|
Com. Reg. No.: |
0060891 |
|
|
|
|
Legal Form : |
Public Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturing of Sugar and Allied Businesses |
|
|
|
|
No. of Employees : |
1895 |
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) |
|
Pakistan |
B2 |
B2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
PAKISTAN
- ECONOMIC OVERVIEW
Decades of internal political disputes and low levels of
foreign investment have led to slow growth and underdevelopment in Pakistan.
Agriculture accounts for more than one-fifth of output and two-fifths of
employment. Textiles account for most of Pakistan's export earnings, and
Pakistan's failure to expand a viable export base for other manufactures has
left the country vulnerable to shifts in world demand. Official unemployment is
under 6%, but this fails to capture the true picture, because much of the
economy is informal and underemployment remains high. Over the past few years,
low growth and high inflation, led by a spurt in food prices, have increased
the amount of poverty - the UN Human Development Report estimated poverty in
2011 at almost 50% of the population. Inflation has worsened the situation,
climbing from 7.7% in 2007 to almost 12% for 2011, before declining to 10% in
2012. As a result of political and economic instability, the Pakistani rupee
has depreciated more than 40% since 2007. The government agreed to an International
Monetary Fund Standby Arrangement in November 2008 in response to a balance of
payments crisis. Although the economy has stabilized since the crisis, it has
failed to recover. Foreign investment has not returned, due to investor
concerns related to governance, energy, security, and a slow-down in the global
economy. Remittances from overseas workers, averaging about $1 billion a month
since March 2011, remain a bright spot for Pakistan. However, after a small
current account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's
current account turned to deficit in fiscal year 2012, spurred by higher prices
for imported oil and lower prices for exported cotton. Pakistan remains stuck
in a low-income, low-growth trap, with growth averaging about 3% per year from
2008 to 2012. Pakistan must address long standing issues related to government
revenues and energy production in order to spur the amount of economic growth
that will be necessary to employ its growing and rapidly urbanizing population,
more than half of which is under 22. Other long term challenges include
expanding investment in education and healthcare, adapting to the effects of
climate change and natural disasters, and reducing dependence on foreign
donors.
|
Source
: CIA |
COLONY SUGAR MILLS LIMITED
|
Business Name |
COLONY SUGAR MILLS LIMITED |
|
Address |
Head Office / Registered Office: Ground Floor, Ismail Aiwan-e-Science Building, 205 Ferozepur Road,
Lahore-54600, Pakistan Factories: Unit-1 Chak # 84/15L, 15 KM, Vehari Road Kacha Khoo, Tehsil Mian Chanu,
Distt. Khanewal Unit-2 Karmanwala, Tehsil Phalia, Distt. Mandi Bahauddin. |
|
Telephone |
(+92) (42) 35751308, 35758970 |
|
Fax |
(+92) (42) 35763247 |
|
Mobile |
(+92) (302) 8492727 Mr. Waqar Ibn Zahoor Bandey
– Director |
|
Email |
info@colonysugar.com;
waqarbandey@colonygroup.com |
|
Website |
|
|
Business activities |
Manufacturing of Sugar and Allied Businesses |
Registry Details
|
CRO Registration Number |
0060891 |
|
Date of Registration |
May 09, 2007 |
Other registry
& certification details:
|
Current Legal Form |
Public Limited Liability Company |
|
National Tax Registration Number |
2921850-7 |
|
Date of Registration |
12-Jun-2007 |
|
GST Registration Number |
0304170101364 |
|
Date of Registration & Expiry |
26-Jul-2007 |
|
Chamber of Commerce & Industry |
Lahore Chamber of Commerce and Industry |
|
ISO Certification |
ISO 9001:2008, ISO 14001:2004, ISO 22000:2005 |
|
Date of Registration & Expiry |
Undetermined |
|
Other certifications |
None |
|
Date of Registration & Expiry |
N/A |
Capital
|
Type |
No. of Shares |
Par Value |
Total Value |
|
Authorized |
100,000,000 |
RS.10/- |
RS.1,000,000,000/- |
|
Issued, Subscribed & Paid-Up |
99,020,000 |
RS.10/- |
Rs. 990,200,000/- |
History
|
Who started |
Mr. Waqar Ibn-e- Zahoor Bandey |
|
When started |
09-May-2007 |
|
Change in management |
None Reported |
|
Year of change |
N/A |
|
Change in legal status |
None Reported |
|
Year of change |
N/A |
|
Change in business name |
None Reported |
|
Year of change |
N/A |
|
Name |
Number of Shares |
Nationality |
Appointment Date
(Last) |
|
Mr. Waqar Ibn Zahoor Bandey |
Undetermined |
Pakistani |
31/12/2010 |
|
Mr. Muhammad Asghar |
Undetermined |
Pakistani |
31/12/2010 |
|
Mr. Mian Muhammad Ali |
Undetermined |
Pakistani |
31/12/2010 |
|
Mr. Asad Ali |
Undetermined |
Pakistani |
31/12/2010 |
|
Ms. Samina Gull |
Undetermined |
Pakistani |
31/12/2010 |
|
Mr. Naveed M. Sheikh |
Undetermined |
Pakistani |
31/12/2010 |
|
Mr. Ahmed Haji Moosa |
Undetermined |
Pakistani |
31/12/2010 |
|
Name |
Position in organization |
Qualification |
Years in
employment |
|
Mr. Naveed M Shaikh |
Chairman |
Not Provided |
Not Provided |
|
Mr. Waqar Ibn Zahoor Bandey |
CEO |
MBA |
Not provided. |
|
Mr. Abdul Mansoor Khan |
Company Secretary |
Not provided |
Not provided. |
|
Statutory offices |
Name of service
provider |
|
Statutory Auditors |
M/s. Naveed Zafar Ashfaq
Jaffery & Co. |
|
Legal Advisory Services |
Ms. Aniqua Sheikh |
|
Bank
name |
Approved
financing limits |
|
Al-Baraka
Islamic Bank Ltd. |
100,000,000 |
|
Faysal Bank Ltd. |
668,000,000 |
|
KASB Bank Ltd. |
2,392,000,000 |
|
THE BANK OF PUNJAB |
5,402,000,000 |
|
Emirates Global Islamic Bank |
167,000,000 |
|
National Bank of Pakistan |
1,600,330,000 |
CSM is engaged in manufacturing of Sugar and Allied products.
Purchases (Incl. Imports)
|
Imports from |
United States of America and China (10% only) |
|
Importing terms |
LC basis. |
|
Local (%) |
90% |
|
Local buying terms |
Cash 180 days Credit. |
Sales (Incl. Exports)
|
Exports to |
Middle East (10% Only) |
|
Exporting terms |
LC basis. |
|
Local (%) |
90% |
|
Local selling terms |
Cash and 30 days Credit. |
Additional information (Extracts
from official website of the organization):
COLONY SUGAR MILLS
LIMITED (CSML) is a public limited company, incorporated on May 9th, 2007 to undertake
Sugar and Allied businesses. The company acquired two Sugar plants and one
Ethyl Alcohol (Ethanol) Distillery in the year 2007. After completion of these
acquisitions and approval of the SECP and KSE, the Company was listed on
Karachi Stock Exchange on August 13th, 2008.
Our Sugar Manufacturing facilities are located at Phalia and Mian Chanu
with cane crushing capacity of 7,500 Metric Tons/Day and 4,500 Metric Tons/Day
respectively. The Distillery is located at Phalia, adjacent to the Sugar Plant.
The installed capacity of the Distillery is 125,000 Liters/Day (100 M.
Tons/Day). In order to make a value added product, a De-Hydration Unit (EDU)
was added to the distillery which came in to production in February 2008.
|
Nature of
employment |
Current Year |
Previous Year |
|
All staff |
1895 |
1895 |
|
Total |
1895 |
1895 |
|
Head office Address Owned / Rented Area (approx) |
Ground Floor, Ismail Aiwan-e-Science
Building, 205 Ferozepur Road, Lahore-54600, Pakistan Not provided Not Provided |
|
Factory Address Owned / Rented Area (approx) |
Sugar Division- The Mian Chunnu Plant
Unit-1 Chak # 84/15L, 15 KM, Vehari Road Kacha
Khoo, Tehsil Mian Chanu, Distt. Khanewal Sugar Division- The Phalia Plant Unit-2 Karmanwala, Tehsil Phalia, Distt. Mandi Bahauddin. Both are owned. Not Provided |
|
Warehouse Address Owned / Rented Area (approx) |
None |
During the market check of “M/s. COLONY SUGAR MILLS LIMITED”, we contacted various suppliers /
customers / competitors of the subject company. In their opinion subject
company is a good player of the industry and enjoys average reputation in the
market. Market sources further mentioned that” “M/s. COLONY SUGAR MILLS LIMITED” is
known as a profitable business in the industry.
|
Business Name |
City |
Line of Business |
Percentile of
Shareholding |
|
Colony Mills Limited |
Lahore |
Textile / Spinning |
16% |
|
Particulars |
30-Sep-12 |
30-Sep-11 |
% Change |
|
|
PKR in '000' |
PKR in '000' |
|
|
Current assets |
1,851,136 |
1,570,969 |
17.83 |
|
Current liabilities |
(2,795,196) |
(2,446,480) |
14.25 |
|
Working capital |
(944,060) |
(875,511) |
7.83 |
|
|
|
|
|
|
Non-current assets |
3,380,898 |
3,515,925 |
(3.84) |
|
Long term liabilities |
(752,148) |
(1,115,471) |
(32.57) |
|
Net worth |
1,684,690 |
1,524,943 |
10.48 |
|
|
|
|
|
|
Turnover |
5,940,236 |
5,483,297 |
8.33 |
|
Gross Profit |
638,638 |
661,232 |
(3.42) |
|
EBIT |
501,224 |
533,604 |
(6.07) |
|
Profit / (Loss) before tax |
126,848 |
120,312 |
5.43 |
|
Provision for taxation |
32,899 |
(54,601) |
(160.25) |
|
Profit / (Loss) after tax |
159,747 |
65,711 |
143.11 |
|
|
|
|
|
|
Creditors |
306,024 |
369,992 |
(17.29) |
|
Debtors |
207,732 |
324,547 |
(35.99) |
|
Cash & bank balances |
11,773 |
16,959 |
(30.58) |
|
|
|
|
|
|
Growth trend |
|
|
|
|
Sales growth (%) |
8.33% |
|
|
|
Gross profit growth (%) |
-3.42% |
|
|
|
|
|
|
|
|
Solvency |
|
|
|
|
Current ratio |
(0.66) |
(0.64) |
|
|
Quick ratio |
1.98 |
1.59 |
|
|
Total liabilities to net worth ratio (%) |
(210.56) |
(233.58) |
|
|
|
|
|
|
|
Profitability |
|
|
|
|
Return on sales (%) |
2.69 |
1.20 |
|
|
Return on net worth (%) |
9.48 |
4.31 |
|
|
Contact person |
Mr. Afzaal Mir |
|
Position |
CFO |
|
Comments |
The above said person confirmed operations and referred us the
company’s website for further necessary information. |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.56 |
|
|
1 |
Rs.100.77 |
|
Euro |
1 |
Rs.84.71 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.