MIRA INFORM REPORT

 

 

Report Date :

06.12.2014

 

IDENTIFICATION DETAILS

 

Name :

OFION TRADING LLC

 

 

Registered Office :

Buhailba Building, Office No. 203, 2nd Floor, Muraqqabat Street, Deira, P O Box: 63851, Dubai

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

21.04.2002

 

 

Com. Reg. No.:

59060, Dubai

 

 

Legal Form :

Limited Liability Company - LLC

 

 

Line of Business :

Import and Distribution of Packaging Materials and Tobacco.

 

 

No. of Employees :

8

 

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

United Arab Emirates

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

UNITED ARAB EMIRATES - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

 

Source : CIA

 

 

 

 

SUMMARY

 

Company Name                                     : OFION TRADING LLC

Country of Origin                                    : Dubai, United Arab Emirates

Legal Form                                            : Limited Liability Company - LLC

Registration Date                                   : 21st April 2002

Commercial Registration Number            : 59060, Dubai

Trade Licence Number                            : 533321

Chamber Membership Number                : 68391

Issued Capital                                        : UAE Dh 300,000

Paid up Capital                                      : UAE Dh 300,000

Total Workforce                                     : 8

Activities                                               : Distributors of packaging materials and tobacco.

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Person Interviewed                                 : Amir Ali, Financial Controller

 


COMPANY NAME

 

OFION TRADING LLC

 

 

ADDRESS

 

Registered & Physical Address

 

Building             : Buhailba Building, Office No. 203, 2nd Floor

Street               : Muraqqabat Street

Area                 : Deira

 

PO Box             : 63851

 

Town                 : Dubai

Country             : United Arab Emirates

 

Telephone         : (971-4) 2688821 / 2722237

Facsimile          : (971-4) 2629800 / 2727233

Email                : info@ofion.com

 

Premises

 

Subject operates from a small suite of offices that are rented and located in the Central Business Area of Dubai.

 

Branch Offices

 

     Location                                                                                                       Description

 

·       DIP 1, Office No. 5                                                                                                    Office and warehouse premises

Green Community

Dubai

Tel: (971-4) 8856377

Fax: (971-4) 8856707

 

 

KEY PRINCIPALS

 

     Name                                                          Nationality                               Position

 

·       Zafar Ghaffar Adam Gee                                             Canadian                                   Managing Director

 

·       Abdul Ghaffar Adam Gee                               Canadian                                   Director

 

·       Salim Ghaffar Adam Gee                               Canadian                                   Director

 

·       Asim Ahmad Mahmood Alali                          Emirati                                      Director

 

·       Amir Ali                                                              -                                         Financial Controller

 

·       Salman Sayed                                                    -                                         Sales Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 21st April 2002

 

Legal Form                  : Limited Liability Company - LLC

 

Commercial Reg. No.  : 59060, Dubai

 

Trade Licence No.       : 533321 (Expires 14/04/2015)

 

Chamber Member No. : 68391

 

Issued Capital              : UAE Dh 300,000

 

Paid up Capital            : UAE Dh 300,000

 

Name of Shareholder (s)                                                     Percentage

 

·       Asim Ahmad Mahmood Alali                                                  51%

 

·       Zafar Ghaffar Adam Gee                                                                     25%

 

·       Abdul Ghaffar Adam Gee                                                       12%

 

·       Salim Ghaffar Adam Gee                                                       12%

 

 

AFFILIATED COMPANIES

 

·       Ofion Home Textile Trading LLC

Textile City

Dubai

Tel: (971-4) 2765502

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of packaging materials and tobacco. Subject’s products include

     shrink films, self adhesive labels, tape and cut rag tobacco from Zimbabwe.

 

Import Countries: Europe, Pakistan, Zimbabwe and China.

 

International Suppliers:

 

·       Packages Ltd                       Pakistan

·       Benkert Group                      Germany

·       Benkert Minfeng Ltd              China

 

Operating Trend: Steady

 

Subject has a workforce of 8 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

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

 

Total Sales                                UAE Dh 52,650,000                   UAE Dh 55,000,000

 

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

 

The above figures were provided by Mr Amir Ali, Financial Controller

 

 

BANKERS

 

·       Standard Chartered Bank

Khalid Bin Waleed Street

PO Box: 999

Dubai

Tel: (971-4) 2520455

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Local sources report that the subject’s operating history is clear with payment obligations met in a generally timely manner. The financial position is satisfactory and the company is deemed a fair trade risk.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.85

UK Pound

1

Rs.96.73

Euro

1

Rs.76.53

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

NIT

 

               

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.