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Report Date : |
03.04.2014 |
IDENTIFICATION DETAILS
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Name : |
THE NATIONAL DETERGENT COMPANY SAOG (NDC) |
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Registered Office : |
Way No. 3605 Al Ghubra PO Box 3104, Ruwi 112 Muscat Sultanate of Oman |
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Country : |
Oman |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
29.06.1981 |
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Com. Reg. No.: |
1/11414/0, Muscat |
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Legal Form : |
Omani Public Joint Stock Company |
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Line of Business : |
Manufacturing and marketing of
detergent powder, dishwashing liquid, toilet
soaps and household cleaners |
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No. of Employees : |
240 |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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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 – September 30, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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Oman |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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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
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Source
: CIA |
Company Name : THE NATIONAL DETERGENT COMPANY SAOG (NDC)
Country of Origin : Oman
Legal Form : Omani Public Joint Stock Company
Registration Date : 29th June 1981
Commercial Registration Number : 1/11414/0, Muscat
Issued Capital : RO 1,701,250
Paid up Capital : RO 1,701,250
Total Workforce : 240
Activities :
Manufacturing and marketing of detergent powder,
dishwashing liquid, toilet soaps and
household cleaners
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
THE NATIONAL DETERGENT COMPANY SAOG (NDC)
Street : Way No. 3605
Area : Al Ghubra
PO Box: 3104, Ruwi 112
Town : Muscat
Country : Sultanate of
Oman
Telephone : (968) 24493824
Facsimile : (968) 24492145
Email : ndcoman@omantel.net.om
Subject operates from a large suite of offices and a factory that are
owned and located in the Industrial Area of Muscat.
Name Position
· Abdul Hussain Bin
Bhacker Al Lawati Chairman
· Redha Baqir Al
Lawati Vice
Chairman
· Anwar Ali Sultan Director
· Mohammed Abdul
Hussain Bhacker Director
· Rajiv Dhar Director
· Mahdi Abdul Baqi Director
· V Venkataraman Director
· V
Sundaresan Director
& General Manager
· Deepak
Jain Finance
Manager
· N
Krishnan Sales
& Marketing Manager
· Ali
Mohamed Ali Human
Resources Manager
· Hussain
Abdul Khaliq Business
Development Manager
Date of
Establishment : 29th
June 1981
Legal Form : Societe Anonyme
Omani General - SAOG (Omani Public Joint Stock Company)
Commercial Reg.
No. : 1/11414/0, Muscat
Issued Capital : RO 1,701,250
Paid up Capital : RO 1,701,250
· Oman International
Development & Investment Co SAOG 20.9%
· Dr Omar Bin Abdul
Muniem Al Zawawi 19.9%
· Bhacker Sulaiman
Jaffer Co 13.7%
· Abdul Hussain Bin
Bhacker Al Lawati 10.0%
· Omani businessmen
& private investors 35.5%
Name Stake
Held
· Bausher Chemicals
SAOG 19.50%
Oman
· Keemya Oman SAOG 17.11%
Oman
· Middle East
Detergent Manufacture & Trading WLL 40.00%
Bahrain
Activities: Engaged in the manufacturing and marketing of
detergent powder, dishwashing liquid, toilet soaps and household cleaners. Subject began commercial
production in 1984.
The Sulphonation Division
is engaged in the manufacture of Sulphonic Acid, a surface active agent used in
the detergent and
home care products. Part of the production is for captive consumption and the
balance
volume is sold mainly
to other manufacturers in the region and nearby export markets.
Subject
has ISO 9001 certification.
Import Countries: United Kingdom, Austria, Spain, Italy,
Netherlands, Japan and India
International Suppliers:
· Imperial Chemicals
Industries (ICI) United Kingdom
· Neupack GmbH Austria
· G. Mazzoni SpA Italy
· Maschmeijer Netherlands
· Crimidessa Spain
· Nissho Iwai Corp Japan
· Grassim Industries
Ltd India
Operating Trend: Steady
Subject has a workforce of approximately 240 employees.
Financial highlights provided by local sources are given below:
Currency: Riyal Omani (RO)
Assets
Non-current asset
Property, plant and equipment 13,501,133 13,796,858
Current assets
Inventories
2,595,391 3,992,452
Trade and other receivables 5,664,847 5,005,080
Cash and bank balances 746,300 1,278,495
9,006,538 10,276,027
Total assets 22,507,671
24,072,885
Equity
Share capital 1,701,250 1,701,250
Share premium 364,263 364,263
Legal reserve 567,083 567,083
Revaluation reserve 7,228,682 7,228,682
Proposed dividend 595,438 680,500
Retained earnings 2,212,528 2,588,527
Total equity 12,669,244
13,130,305
Liabilities
Non-current liabilities
Long term loans 2,223,613 2,340,281
Deferred tax 1,051,150 1,061,033
End of service benefits 503,036 577,021
3,777,799 3,978,335
Current liabilities
Current maturities of term loans 583,332 583,332
Short term loans and overdrafts 1,656,796 1,500,000
Trade and other payables 3,754,290 4,750,818
Taxation 66,210 130,095
6,060,628 6,964,245
Total liabilities 9,838,427
10,942,580
Total equity and liabilities 22,507,671 24,072,885
Income Statement
Sales
21,014,583
21,703,585
Cost of sales (16,398,664) (16,182,558)
GROSS PROFIT 4,615,919
5,521,027
Selling and distribution expenses (2,821,484) (3,172,806)
Administrative and general expenses (859,226) (976,082)
Other operating income 48,836 36,531
PROFIT FROM OPERATIONS 984,045 1,408,670
Finance costs (200,597) (182,193)
Finance income 2,938 -
Finance costs - net (197,659) (182,193)
Directors’ remuneration (18,500) (30,000)
Profit before tax 767,886
1,196,477
Taxation (88,679) (139,978)
PROFIT AND TOTAL COMPREHENSIVE INCOME FOR
THE YEAR 679,207
1,056,499
Local sources consider subject’s financial condition to be Fair.
·
National Bank of Oman Limited (SAOG)
Mutrah Business District
PO Box: 751, Ruwi 112
Muscat
Tel: (968) 24708894 / 24708630 / 24708684
Fax: (968) 24707781 / 24703972
·
Bank of Oman, Bahrain & Kuwait
BOBK
House
Al Burj
Street
PO Box:
4708, Ruwi 112
Muscat
Tel:
(968) 24701528 / 24701532 / 24701788
Fax:
(968) 24705607 / 24793536
·
Oman Arab Bank
Head
Office
Muttrah
Business District
PO Box:
2010, Ruwi 112
Muscat
Tel: (968)
24700161 / 24706265 / 24706267
Fax:
(968) 24797736
No complaints regarding subject’s payments have been reported.
The National Detergent Company SAOG (NDC) was established in 1981 and is
engaged in the manufacturing and marketing of
detergent powder, dishwashing liquid, toilet soaps and household cleaners.
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
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Indian Rupees |
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US Dollar |
1 |
Rs.59.65 |
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|
1 |
Rs.99.21 |
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Euro |
1 |
Rs.82.39 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
NIS |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
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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.