MIRA INFORM REPORT

 

 

Report Date :

14.08.2014

 

IDENTIFICATION DETAILS

 

Name :

MERCANTILE BANK LTD.

 

 

Registered Office :

61, Dilkusha Commercial Area, Dhaka-1000

 

 

Country :

Bangladesh

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

20.05.1999

 

 

Legal Form :

Public Listed Company

 

 

Line of Business :

Providing Banking Services.

 

 

No of Employees :

1814

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Good

Payment Behaviour :

Regular

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 – June 01, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Bangladesh

B1

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

 

 

BANGLADESH - ECONOMIC OVERVIEW

 

Bangladesh's economy has grown roughly 6% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, slow implementation of economic reforms, and the 2008-09 global financial crisis and recession. Although more than half of GDP is generated through the service sector, almost half of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Garment exports, the backbone of Bangladesh’s industrial sector and 80% of total exports, surpassed $21 billion last year, 18% of GDP. The sector has remained resilient in recent years amidst a series of factory accidents that have killed over 1,000 workers and crippling strikes that shut down virtually all economic activity. Steady garment export growth combined with remittances from overseas Bangladeshis, which totaled almost $15 billion and 13% of GDP IN 2013, are the largest contributors to Bangladesh’s current account surplus and record foreign exchange holdings.

 

Source : CIA

 

 

 

IDENTIFICATION DETAILS

 

Correct company Name

:

MERCANTILE BANK LTD.

Head Office

:

61, Dilkusha Commercial Area, Dhaka-1000, Bangladesh.

Tel No

:

88-02-9559333, 9553892

Fax No

:

88-02-9561213

E-mail

:

mbl@bol-online.com

Website

:

www.mblbd.com

Date/ Year of Incorporation

:

20.05.1999

Incorporation No.

:

C-37775

Legal Form (General)

:

 Public Listed Co        Public (but not listed)   Private Co   State-owned Co

 Sole Proprietorships  Partnership                     Not Registered

 others (please specify) ________________

Legal form (Specific)

:

LTD   CORP    INC  CO    

 others (please specify) ________________

Issuing Authority

:

Registrar of Joint Stock Companies & Firms      City Corporation

 Municipal Administration                                   Union Council

 Cantonment Board                                              Chief Controller of  Import & Export (CCIE)

 

FINANCIALS- SUMMARY

 

      Year

Turnover/ Sales

 Assets

     Income

31st December’2013

Tk. 13,344,900,827

Tk. 144,841,869,200

Tk. 7,294,953,705

31st December’2012

Tk. 12,545,337,913

Tk. 152,658,474,354

Tk. 6,110,758,679

Exchange Rate

USD1-Tk. 77.8200

EUR 1- Tk. 100.2711

GBP 1- Tk.118.5354

AUD 1 - Tk.82.8563

JPY 1 - Tk.0.9286

CAD 1 - Tk.80.1887

SEK 1 - Tk.12.2870

SGD 1 - Tk.65.3045

CNH 1 - Tk.12.8399

 

 

FULLCHECK REPORT DETAILS

 

Information Parted By

Name

:

Mr. S. Q. Bazlur Rashid.

Designation

:

Company Secretary.

Contract No

:

-

 

 

Locations Details

 

Operating Address

:

61, Dilkusha Commercial Area, Dhaka-1000, Bangladesh.

Tel No

:

88-02-9559333, 9553892

Fax No

:

88-02-9561213

E-mail

:

mbl@bol-online.com

Website

:

www.mblbd.com

 

Location :

: Owned

Ö

 

Rented

 

 

Leased

 

Area

40000

Sq. ft.

 

 

Type of Office :

  :       Commercial Office Bldg.

Ö

 

Semi-commercial office Bldg.

 

     

Retail shop

 

 

Industrial Park

 

     

 

Business Center

 

 

Home Office

 

     

 

Residential Bldg.

 

 

 

 

 

 

 

Branches:

 

 

 

 

 

No. of Branch.

:

91 Nos.

 

Branch:

 

 

 

 

 

Address

:

99, Kazi Nazrul Islam Avenue, Kawran Bazar C/A, Dhaka- 1215, Bangladesh.

Tel

:

88-02-8112440, 8153414, 01711-535942

Fax

:

88-02-8141910

 

 

Employee:

 

 

 

No. of Employees 

 

In Office

:

1814

In Factory

:

-

In Branch:

:

-

Total

:

1814

Details:

 

                     

 

 

 

OWNERSHIP/SHAREHOLDERS

 

         Names of Shareholders

                      No. of Share     

Sponsor/Directors

261,490,541

Financial Institutions

50,713,132

General Public

347,757,668

 

 

DIRECTORS

 

Name

Designation

M. Amanullah

Chairman

Md. Shahabuddin Alam

                        Vice Chairman

Md. Tabibul Huq

Vice Chairman

Mr. M. Ehsanul Haque

Managing Director

Mr. Md. Anwarul Haque

Director

Mr. Mohd. Selim

Director

Mr. M. S. Ahsan

Director

Mr. A. S. M. Feroz Alam

Director

Mr. Alhaj Akram Hossain (Humayun)

Director

Mr. Md. Abdul Hannan

Director

Mr. Morshed Alam, M.P

Director

Mr. Alhaj Mosharref Hossain

Director

Dr. Mahmood Osman Imam, MBA, FCMA,

Independent Director

Md. Abdul Momin Khan Lohani, FCA,

Independent Director

 

 

MANAGEMENT

 

Name

:

Mr. S. Q. Bazlur Rashid

Job Description

:

Company Secretary.

Nationality

:

Bangladeshi.

Email address

:

N/A

Other details

:

N/A

 

 

 

Name

:

Mr. Monindra Kumar Nath

Job Description

:

Chief Financial Officer.

Nationality

:

Bangladeshi

Email address

:

N/A

Other details

:

N/A

 

 

BUSINESS OPERATIONS

 

Nature of Activity       :

Banking Corporation.

Ö

Trader

 

Dealer

 

Distributor

 

 

 

 

Exporter

 

Importer

 

Services

 

Others

 

 

Item Dealings In:

 

Products

:

Banking Service.

Production Capacity

:

N/A

Last Year Production

:

N/A

 

 

DETAILED DATA

 

 

Trade Reference & Related Parties

:

 

Overseas Clients

:

N/A

Local Clients

:

N/A

 

Overseas Suppliers

:

N/A

Local Suppliers

:

N/A

 

Trade Markets

 

:

 

Exports

:

N/A

 

Imports

:

N/A

 

 

 

Brand Name

:

N/A

Certified

:

N/A

Auditors

:

Khan Wahab Shafique Rahman & Co.

Chartered Accountants

K. M. Hasan & Co., Chartered Accountants

Operation Status

:

Active.

Member

:

N/A

 

 

CAPITAL STRUCTURE

 

 

Authorized Capital

:

Tk. 12, 000,000,000

 

Paid-up Capital

:

Tk. 6,599,613,410

    No. of Shares

:

659,961,341

Share Value

:

Tk.10.0Each

Main Assets

:

Tk. 144,841,869,200

 

 

 

FINANCIAL STATEMENT- DETAILED

 

 

Balance Sheet :

 

Currency

: Tk.

 

Denomination

: 1

 

Financial Year Ending

: 31st December’2013

 

Income Statement :

 

Currency

: Tk.

 

Denomination

: 1

 

Financial Year Ending

: 31st December’2013

 

 

 

 

 

 

ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES

 

Sister Concerns

:

N/A

Subsidiary

:

N/A

Name of  The Group

:

N/A

 

BANKING

 

 

Bank Name  

:

Standard Chartered Bank.

Sonali Bank Ltd.

Uttara Bank Ltd.

City Bank.

Agrani Bank Ltd.

Bank Asia.

Dhaka Bank.

 

 

ADVERSE DATA MONITORING

 

Dishonored Checks           

 

:     

No Record Found         

Debt

 

:

No Record Found

Litigation  

                   

:

Clear         

Performance Defaults

 

:

No Record Found         

Adverse Local Media Coverage/ Adverse Filling History

:

No Record Found

 

 

SITE VISIT COMMENTARY

 

Our Representative Visited the subject company Head office which is situated at 61, Dilkusha Commercial Area, Dhaka-1000, Bangladesh. The subject company Secretary Mr. S. Q. Bazlur Rashid given us all information. Is situated at commercial area which is a well decorated modern office.

 

 

GENERAL COMMENTS

 

The subject company is a well-known reputed Bank in Bangladesh.  Their services are popular to the local people.   So day by day the subject companies increase their goodwill.

As well as its financial condition, we recommend that Credit can proceed with favorable terms Large amount.

 

                                               


 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.18

UK Pound

1

Rs.102.55

Euro

1

Rs.81.77

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

TPT

 

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.