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Report Date : |
05.10.2013 |
IDENTIFICATION DETAILS
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Name : |
DHOFAR FISHERIES INDUSTRIES COMPANY SAOG |
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Registered Office : |
Raysut Industrial Area, PO Box :
2438, Salalah 211 |
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Country : |
Oman |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
01.01.1997 |
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Com. Reg. No.: |
2/11512/3 |
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Legal Form : |
Omani Joint Stock Company |
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Line of Business : |
Fishing, processing, canning and marketing of fish related products |
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No. of Employees : |
120 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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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) |
|
Oman |
A2 |
A2 |
|
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 |
oman - ECONOMIC OVERVIEW
Oman is a middle-income economy that is heavily dependent on dwindling oil resources. Because of declining reserves and a rapidly growing labor force, Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP to 9% by 2020 and creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. However, increases in social welfare benefits, particularly since the Arab Spring, will challenge the government's ability to effectively balance its budget if oil revenues decline. By using enhanced oil recovery techniques, Oman succeeded in increasing oil production, giving the country more time to diversify, and the increase in global oil prices through 2011 provided the government greater financial resources to invest in non-oil sectors. In 2012, continued surpluses resulting from sustained high oil prices and increased enhanced oil recovery allowed the government to maintain growth in social subsidies and public sector job creation. However, the Sultan made widely reported statements indicating this would not be sustainable, and called for expanded efforts to support SME development and entrepreneurship. Government agencies and large oligarchic group companies heeded his call, announcing new initiatives to spin off non-essential functions to entrepreneurs, incubate new businesses, train and mentor up and coming business people, and provide financing for start-ups. In response to fast growth in household indebtedness, the Central Bank reduced the ceiling on personal interest loans from 8 to 7%, lowered mortgage rates, capped the percentage of consumer loans at 50% of borrower's salaries for personal loans and 60% for housing loans, and limited maximum repayment terms to 10 and 25 years respectively. In 2012 the Central Bank also issued final regulations governing Islamic banking and two full-fledged Islamic banks held oversubscribed IPOs while four traditional banks opened sharia-compliant Islamic windows.
|
Source
: CIA |
Company Name : DHOFAR
FISHERIES INDUSTRIES COMPANY SAOG
Country of Origin :
Oman
Legal Form :
Omani Joint Stock Company
Registration Date :
1st January 1997
Commercial Registration Number :
2/11512/3
Issued Capital :
RO 2,540,000
Paid up Capital :
RO 2,540,000
Total Workforce :
120
Activities :
Fishing, processing, canning and marketing of fish related products
Financial Condition :
Poor
Payments :
Nothing detrimental uncovered
DHOFAR FISHERIES INDUSTRIES COMPANY SAOG
Registered &
Physical Address
Location : Raysut
Industrial Area
PO Box : 2438
Town : Salalah 211
Country : Sultanate of
Oman
Telephone : (968) 23219140
/ 23219141
Facsimile : (968) 23219217
Email : dhofarfisheries@dhofarfisheries.com
/ dfico@omantel.net.om / hamid@dhofarfisheries.com
Premises
Subject operates from a medium sized suite of offices, processing
facilities and warehousing that are owned and located in the Industrial Area of
Salalah.
Name Position
Tayeb Abdulrahim Baker Chairman
Ahmed Ali Al Sarkal Deputy
Chairman
Mahesh K Sheregar Director
Densil Quadross Director
Adnan Tareen Director
Date of Establishment : 1st
January 1997
Legal Form : Omani Joint Stock
Company
Commercial Reg. No. : 2/11512/3
Issued Capital : RO 2,540,000
Paid up Capital : RO 2,540,000
Name of
Shareholder (s) Percentage
ANC Holdings LLC 60.01%
Flag Holdings LLC 39.99%
Freshly Frozen Foods LLC
Activities: Engaged in fishing, processing, canning and marketing of fish related
products.
The factory, which is situated in Raysut Industrial Area,
Dhofar Region, is one of the most modern factories worldwide facilitated with latest European
technology and standards "HACCP". The plant has an annual production capacity of 22 million tuna cans
per year on a single shift operation basis, 27 million sardine cans, 1800
metric ton of a whole tuna loins Fresh/ Frozen, 1800 metric ton of fish meal
and 250 metric ton of fish oil. The factory has storage capacity for 3000
metric tonnes, increasing the export volume of frozen fish for more than 14000
tonnes of Tuna and Sardine per year. To comply with this vast production
capacity, the company has obtained its own fishing vessels.
Import Countries: Spain
Brand Names: BLUE OCEAN
Subject has a workforce of 120 employees.
Financial highlights provided by local sources are given below:
Currency: Riyal Omani (RO)
Balance Sheet 31/12/12
31/12/11
|
ASSETS |
|
|
|
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Non-current assets |
|
|
|
|
Property, plant and equipment |
|
4,882,947 |
5,451,149 |
|
Investments available for sale |
|
8,910 |
7,275 |
|
Intangible assets |
|
3,061 |
4,079 |
|
|
|
------------------------------ |
------------------------------ |
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Total non-current assets |
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4,894,918 |
5,462,503 |
|
|
|
------------------------------ |
------------------------------ |
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Current assets |
|
|
|
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Inventories |
|
821,774 |
580,200 |
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Trade and other receivables |
|
1,553,440 |
736,797 |
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Bank balances and cash |
|
185,452 |
51,261 |
|
Amounts due from related party |
|
61,277 |
1,519 |
|
|
|
------------------------------ |
------------------------------ |
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Total current assets |
|
2,621,943 |
1,369,777 |
|
|
|
------------------------------ |
------------------------------ |
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Total assets |
|
7,516,861 |
6,832,280 |
|
|
|
============= |
============= |
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EQUITY AND LIABILITIES |
|
|
|
|
Equity |
|
|
|
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Share capital |
|
2,540,000 |
2,540,000 |
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Advance against share capital |
|
- |
2,249,280 |
|
Accumulated losses |
|
(1,217,155) |
(3,335,855) |
|
Fair value reserve |
|
5,519 |
3,884 |
|
|
|
------------------------------ |
------------------------------ |
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Net equity |
|
1,328,364 |
1,457,309 |
|
|
|
------------------------------ |
------------------------------ |
|
Liabilities |
|
|
|
|
Non-current liabilities |
|
|
|
|
Non-current portion of term loans |
|
3,521,590 |
478,125 |
|
Deferred government grant |
|
78,410 |
21,875 |
|
Employees’ end of service benefits |
|
53,279 |
46,886 |
|
Liabilities against assets subject to finance lease |
|
10,828 |
- |
|
|
|
------------------------------ |
------------------------------ |
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Total non-current liabilities |
|
3,664,107 |
546,886 |
|
|
|
------------------------------ |
------------------------------ |
|
Current liabilities |
|
|
|
|
Bank borrowings |
|
1,322,920 |
351,105 |
|
Current portion of term loans |
|
325,000 |
3,500,000 |
|
Amounts due to related party |
|
68,929 |
444,896 |
|
Trade and other payables |
|
800,791 |
532,084 |
|
Liabilities against assets subject to finance lease |
|
6,750 |
- |
|
|
|
------------------------------ |
------------------------------ |
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Total current liabilities |
|
2,524,390 |
4,828,085 |
|
|
|
------------------------------ |
------------------------------ |
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Total liabilities
|
|
6,188,497 |
5,374,971 |
|
|
|
------------------------------ |
------------------------------ |
|
Total equity and liabilities |
|
7,516,861 |
6,832,280 |
|
|
|
============= |
============= |
Statement of
Income
|
Sales |
|
7,574,094 |
3,727,977 |
|
Cost of sales – excluding depreciation |
|
(6,499,511) |
(3,685,154) |
|
|
|
------------------------------ |
------------------------------ |
|
|
|
1,074,583 |
42,823 |
|
Cost of sales – depreciation |
|
(581,210) |
(578,944) |
|
|
|
------------------------------ |
------------------------------ |
|
Gross profit/ (loss) |
|
493,373 |
(536,121) |
|
|
|
|
|
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Other income |
|
121,355 |
85,275 |
|
|
|
------------------------------ |
------------------------------ |
|
|
|
614,728 |
(450,846) |
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|
|
------------------------------ |
------------------------------ |
|
|
|
|
|
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General and administration expenses |
|
(312,848) |
(325,355) |
|
Selling and distribution expenses |
|
(165,855) |
(125,507) |
|
Finance costs |
|
(266,605) |
(178,197) |
|
|
|
------------------------------ |
------------------------------ |
|
|
|
(745,308) |
(629,059) |
|
|
|
------------------------------ |
------------------------------ |
|
NET LOSS FOR THE YEAR |
|
(130,580) |
(1,079,905) |
|
|
|
|
|
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Other comprehensive income |
|
|
|
|
Fair value changes in investments |
|
1,635 |
1,644 |
|
|
|
------------------------------ |
------------------------------ |
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Total comprehensive loss for the year |
|
(128,945) |
(1,078,261) |
Local sources consider subject’s financial condition to be Poor.
Bank Dhofar Al Omani Al Fransi
Muttrah Business District
PO Box: 1507
Muscat 112
Tel: (968) 24790466
Fax: (968) 24797246
Bank Muscat SAOG
PO Box 134
Ruwi 112
Tel: (968) 24703044
No complaints regarding subject’s payments have been reported.
Local sources report that payment obligations are met in a generally
timely manner and the operating history is clear. As such the company is deemed
a fair trade risk and the above credit figure is considered to be within
subject’s financial means.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.40 |
|
|
1 |
Rs.99.28 |
|
Euro |
1 |
Rs.83.68 |
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 |
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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 |
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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 |
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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.