MIRA INFORM REPORT

 

 

Report Date :

19.04.2014

 

IDENTIFICATION DETAILS

 

Name :

WARDEH SALEHIYA FOR TRADING LTD

 

 

Registered Office :

Makkah Road, Al Mutamarat District, P O Box 9847, Riyadh 11423

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

09.11.1976

 

 

Com. Reg. No.:

1010010483, Riyadh

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Subject’s activities are performed through the following divisions:

 

Wardeh Salehiya Factory for Furniture & Curtains

engaged in the production of wooden furniture and related accessories including bedroom units and wooden blinds as well as household curtains.

 

Trading Division

Engaged in the distribution and retail of soft furnishings, bed linen, carpets, curtains and draperies, moquettes, decorative materials, furniture and Arabic style seats.

 

Contracting Division

This division offers interior decoration design and contracting services.

 

 

No of Employees :

450 (Approximately)

 

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 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Saudi Arabia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

C2

Very High Risk

 

D

 


Saudi Arabia ECONOMIC OVERVIEW

 

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Diversification efforts are focusing on power generation, telecommunications, natural gas exploration, and petrochemical sectors. Over 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors, while Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs. Riyadh has substantially boosted spending on job training and education, most recently with the opening of the King Abdallah University of Science and Technology - Saudi Arabia's first co-educational university. As part of its effort to attract foreign investment, Saudi Arabia acceded to the WTO in 2005. The government has begun establishing six "economic cities" in different regions of the country to promote foreign investment and plans to spend $373 billion between 2010 and 2014 on social development and infrastructure projects to advance Saudi Arabia's economic development.

 

Source : CIA

 


SUMMARY

 

Company Name                                    : WARDEH SALEHIYA FOR TRADING LTD

Country of Origin                                   : Saudi Arabia

Legal Form                                           : Limited Liability Partnership

Registration Date                                  : 9th November 1976

Commercial Registration Number           : 1010010483, Riyadh

Chamber Membership Number               : 4526

Issued Capital                                       : SR 12,240,000

Paid up Capital                                     : SR 12,240,000

Total Workforce                                     : 450

Activities                                               : Subject operates several divisions (see below for details).

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Naghi Abu Rashid, Sales Manager

 

 

 


COMPANY NAME

 

WARDEH SALEHIYA FOR TRADING LTD

 

 

company ADDRESS

 

Registered & Physical Address

Street               : Makkah Road

Area                 : Al Mutamarat District

PO Box            : 9847

Town                : Riyadh 11423

Country             : Saudi Arabia

Telephone         : (966-1) 4627784 / 4053040

Facsimile          : (966-1) 4657744 / 4030877

Email                : wardeh@prime.net.sa / wardeh@wardeh.com.sa

 

Premises

Subject operates from a large suite of offices and a showroom that are owned and located in the Suburban Business Area of Riyadh.

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Al Haeyer Industrial Area                                                                   Factory premises

Riyadh

Tel: (966-1) 4900160

Fax: (966-1) 4900232

 

·       Corniche Street                                                                                 Showroom premises

PO Box: 2274

Al Khobar 31952

Tel: (966-3) 8943348

Fax: (966-3) 8950768

 

·       Taif                                                                                                  Showroom premises

Tel: (966-2) 7382965

 

·       Prince Mohamed Bin Abdul Aziz Street                                              Showroom premises

Olaya District

Riyadh 11423

Tel: (966-1) 4623242

Fax: (966-1) 4620401

 

·       Dhahran                                                                                           Showroom premises

Tel: (966-3) 8649879

 

·       King Road                                                                                        Showroom premises

Khalediya District

PO Box: 1263

Jeddah 21431

Tel: (966-2) 6066359

Fax: (966-2) 6065246

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Abdulaziz Bin Mohamed Bin Saleh Al Sultan                                      Managing Partner

 

·       Mansour Bin Mohamed Bin Saleh Al Sultan                                        Partner

 

·       Sulaiman Nacouzi                                                                             Finance Manager

 

·       Saleh Al Dawood                                                                              Human Resources Manager

 

·       Mohamed Al Ajaji                                                                             Sales & Purchasing Manager

 

·       Agbana Rizziqullah                                                                           Chief Financial Officer

 

·       Al Dawa Rizziqullah                                                                           Assistant Human Resources Manager

 

·       Naghi Abu Rashid                                                                             Sales Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 16/11/1396 Hijri (corresponding to 9th November 1976)

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.   : 1010010483, Riyadh

 

Chamber Member No.  : 4526

 

Issued Capital              : SR 12,240,000

 

Paid up Capital            : SR 12,240,000

 

Name of Partner (s)

·       Abdulaziz Bin Mohamed Bin Saleh Al Sultan

·       Mansour Bin Mohamed Bin Saleh Al Sultan

·       Heirs of the late Khalid Bin Mohamed Bin Saleh Al Sultan

 

 

OPERATIONS

 

Activities: Subject’s activities are performed through the following divisions:

 

·       Wardeh Salehiya Factory for Furniture & Curtains

 

This division is engaged in the production of wooden furniture and related accessories including bedroom units and wooden blinds as well as household curtains.

 

·       Trading Division

 

Engaged in the distribution and retail of soft furnishings, bed linen, carpets, curtains and draperies, moquettes, decorative materials, furniture and Arabic style seats.

 

·       Contracting Division

 

This division offers interior decoration design and contracting services.

 

Import Countries: United Kingdom, France, Germany, Switzerland, Russia and Turkey.

 

International Suppliers:

 

·       Pierre Frey                           France

·       Declercq Passementiers       France

·       Canovas                              France

·       Sandersons                          United Kingdom

·       Morris & Co                          United Kingdom

·       Tisca                                    Switzerland

·       Norddeutsche                       Germany

 

Subject has a workforce of approximately 450 employees.

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

                                                Year Ending 31/12/12:               Year Ending 31/12/13:

 

Total Revenue                           SR 78,000,000                           SR 80,300,000

 

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

The above figures were provided by Mr Naghi Abu Rashid, Sales Manager

BANKERS

 

·       Al Bank Al Saudi Al Hollandi

Al Rashi Centre

Al Dhabab Street

PO Box: 1467

Riyadh 11431

Tel: (966-1) 4067888

 

·       National Commercial Bank

Airport Road

PO Box: 2800

Riyadh 11461

Tel: (966-1) 4772281

Fax: (966-1) 4730322

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                               December 2006                         December 2008

Amount overdue                                    0                                              0

Payment terms                                      90 days                                                90 days

Payment Method                                   Letters of Credit                                    Letters of Credit

Paying record                                       No Complaints                          No Complaints

Currency                                               Pounds Sterling                                    Euros

 

 

GENERAL COMMENTS

 

Wardeh Salehiya for Trading Ltd has operations dating back to 1976 and has become a leading concern in its field. Its clients include many of the Royal family members as well as some of the top hotels in Jeddah, Riyadh and Taif.

 

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.60.38

UK Pound

1

Rs.101.63

Euro

1

Rs.83.57

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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.