MIRA INFORM REPORT

 

 

Report Date :

18.09.2013

 

IDENTIFICATION DETAILS

 

Name :

B AND O MACHINING (PTY) LTD 

 

 

Formerly Known As :

SMART CHOICE INVESTMENTS NO. 1 (PTY) LTD

 

 

Registered Office :

2 London Road, Apex Industrial, Apex, Benoni, Gauteng

 

 

Country :

South Africa

 

 

Date of Incorporation :

26.01.2001

 

 

Com. Reg. No.:

2001/001723/07

 

 

Legal Form :

Private Company

 

 

Line of Business :

Processing, forging and machining of steel as well as technical services

 

 

No. of Employees :

42

 

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)

South Africa

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

South Africa ECONOMIC OVERVIEW

 

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors and a stock exchange that is the 15th largest in the world. Even though the country possesses modern infrastructure that support a relatively efficient distribution of goods to major urban centers throughout the region, some components retard growth. The economy began to slow in the second half of 2007 due to an electricity crisis. State power supplier Eskom encountered problems with aging plants and meeting electricity demand necessitating "load-shedding" cuts in 2007 and 2008 to residents and businesses in the major cities. Subsequently, the global financial crisis reduced commodity prices and world demand. GDP fell nearly 2% in 2009 but has recovered since then. Unemployment, poverty, and inequality remain a challenge, with official unemployment at nearly 25% of the work force. State power supplier Eskom has built two new power stations and installed new power demand management programs to improve power grid reliability. South Africa's economic policy has focused on controlling inflation, however, the country has had significant budget deficits that restrict its ability to deal with pressing economic problems. The current government faces growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth.

 

Source : CIA

 

 

 


ATTENTION

(The information contained in this report, other than statutory data and comment by outside authorities, has been voluntarily supplied by Officials of the subject):

 

 

COMPANY NAME

 

B AND O MACHINING (PTY) LTD

 

Formerly: SMART CHOICE INVESTMENTS NO. 1 (PTY) LTD, the name having been changed on 19 February 2001.

 

 

PHYSICAL ADDRESS

 

2 London Road

Apex Industrial

APEX

Benoni

Gauteng

 

 

POSTAL ADDRESS

 

P O Box 1563

BRAKPAN

1540

 

TELEPHONE NUMBER: +27 11 845 3031

FAX NUMBER: +27 11 845 3047

 

 

SHAREHOLDERS

 

QUANTUM TRUST

P J BADENHORST

 

ASSOCIATE COMPANIES

 

None


DIRECTORS

 

J F O COETZER ID No. 6912095233086

 

 

BANKERS

 

STANDARD BANK, Brakpan Branch, Account Number: 020916795. The subject does not require overdraft facilities as credit balances are maintained at the bank.

 

 

DATE REGISTERED

 

26 January 2001

Registration Certificate Number: 2001/001723/07

The subject commenced trading in 2001

 

 

VAT NUMBER

 

4890192612

 

 

TAX NUMBER

 

9354129141

 

 

MAJOR OPERATION

 

Processing, forging and machining of steel as well as technical services

 

 

MAJOR SUPPLIERS

 

MACSTEEL (DUNSWART)

PILOT TOOLS

CARBIDE INDUSTRIAL PRODUCTS

PH HEAT TREATMENT

RAND YORK


MAJOR CUSTOMERS OR BUSINESS SECTORS

 

Mining Industry

 

 

AREA OF DISTRIBUTION AND SELLING

 

South Africa

 

 

EXPORTS

 

African countries, Mexico, Peru and Bolivia

 

TOTAL EMPLOYEES

 

42

 

 

OTHER PREMISES

 

None

 

 

OWNED OR LEASED

 

The premises are reported to be owned by the subject valued in the region of R5 500 000 free of bond.

 

 

AUTHORISED SHARE CAPITAL

 

R4 000 divided into 4 000 ordinary shares of R1 each

 

 

ISSUED SHARE CAPITAL

 

R100

 


FINANCIALS

 

The following estimated financial situation was submitted as at September 2013:

STOCK R10 500 000

DEBTORS R10 200 000

FIXED ASSETS R16 000 000

PROPERTY R 5 500 000

CREDITORS R 2 300 000

TURNOVER per annum R34 500 000

 

 

AUDITORS

 

DANIE NEUHOFF AUDITORS

 

 

FINANCIAL YEAR END

 

FEBRUARY

 

 

INSURANCE BROKERS

 

MARSH INSURANCE BROKERS

 

 

CURRENT TRADE REFERENCES

           

ACCOUNT        HIGHEST          AVERAGE         TERMS             PAYMENT         EXPERIENCE

OPENED           CREDIT            CREDIT                                   PATTERN

 

1. 2005             R2 500 000        R600 000-         30 days             30 days             Very good

R700 000

 

2. 2005             R 300 000         R100 000          30 days             30 days             Excellent

 

3. 6 years          R 150 000         R 70 000-          30 days             30 days             Excellent

R120 000

 

4. +5 years        Open Acc          Declined            30 days             30 days             Very good

 


COMMENTS

 

This is an established business meeting its commitments timeously. The subject is considered equal to its normal business engagements and to a maximum figure of EURO 70 000 over 30 days.


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.38

UK Pound

1

Rs.100.86

Euro

1

Rs.84.59

 

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%)

 

 

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.