MIRA INFORM REPORT

 

 

Report Date :

09.12.2014

 

IDENTIFICATION DETAILS

 

Name :

ZENITH CHEMICAL INDUSTRIES (PVT) LIMITED

 

 

Registered Office :

16 K.M., Off Ferozepur Road, Behind Wapda Grid Station, 1 K.M. On Chundrai Road, Lahore

 

 

Country :

Pakistan

 

 

Date of Incorporation :

2003

 

 

Com. Reg. No.:

0071351

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Engaged in Manufacture & Marketing of Pharmaceutical Products

 

 

No of Employees :

102

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Pakistan

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

PAKISTAN - ECONOMIC OVERVIEW

 

Decades of internal political disputes and low levels of foreign investment have led to slow growth and underdevelopment in Pakistan. Agriculture accounts for more than one-fifth of output and two-fifths of employment. Textiles account for most of Pakistan's export earnings, and Pakistan's failure to expand a viable export base for other manufactures has left the country vulnerable to shifts in world demand. Official unemployment was 6.6% in 2013, but this fails to capture the true picture, because much of the economy is informal and underemployment remains high. Over the past few years, low growth and high inflation, led by a spurt in food prices, have increased the amount of poverty. As a result of political and economic instability, the Pakistani rupee has depreciated more than 40% since 2007. The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis. Although the economy has stabilized since the crisis, it has failed to recover. Foreign investment has not returned, due to investor concerns related to governance, energy, security, and a slow-down in the global economy. Remittances from overseas workers, averaging about $1 billion a month since March 2011, remain a bright spot for Pakistan. However, after a small current account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's current account turned to deficit in the following two years, spurred by higher prices for imported oil and lower prices for exported cotton. Pakistan remains stuck in a low-income, low-growth trap, with growth averaging about 3.5% per year from 2008 to 2013. Pakistan must address long standing issues related to government revenues and energy production in order to spur the amount of economic growth that will be necessary to employ its growing and rapidly urbanizing population, more than half of which is under 22. Other long term challenges include expanding investment in education and healthcare, adapting to the effects of climate change and natural disasters, and reducing dependence on foreign donors.

 

Source : CIA

Business Name

 

ZENITH CHEMICAL INDUSTRIES (PVT) LIMITED

 

 

Full Address       

 

Registered Address

16 K.M., Off Ferozepur Road,  Behind Wapda Grid Station, 1 K.M. On Chundrai Road, Lahore, Pakistan

                       

Tel #

92 (42) 35801920, 35801927, +923008441091

Fax #

92 (42) 35801927

 

 

Short Description Of Business

 

a.

Nature of Business        

Engaged in Manufacture & Marketing of Pharmaceutical Products

b.

Year Established

2003

c.

Registration #

0071351

 

 

Branches

           

In Lahore at present

 

Auditors

 

M. Almas & Co.

(Chartered Accountants)

207, 2nd Floor, Sadiq Plaza, The Mall, Lahore, Pakistan

 

 

Legal Status

 

Subject Company was established as a Private Limited Company in 2003

 

Authorized Capital 

Rs. 100,000,000/- divided into 1,000,000 shares of Rs. 100/- each

Issued & Paid up Capital

Rs. 81,695,000/- divided into 816,950 shares of Rs. 100/- each

Details of Chief Executive/ Directors

           

Names

Designation

Mr. Ehtisham-Ul-Haq

 

Mr. Mir Irfan Sallah-Ud-Din

 

Mr. Muhammad Asif Hafeez

 

Mr. Muhammad Tauseef Asif

 

Mr. Muhammad Temoor Asif

Chief Executive

 

Director

 

Director

 

Director

 

Director

 

 

Shareholders                

 

Names

No. of Shares

Mr. Ehtisham-Ul-Haq

 

Mr. Mir Irfan Sallah-Ud-Din

 

Mr. Muhammad Asif Hafeez

 

Mr. Muhammad Tauseef Asif

 

Mr. Muhammad Temoor Asif

496,905

 

275,013

 

45,010

 

11

 

11

 

 

Associates                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     

 

A.         Subsidiary

 

            None                                             

           

Associated Companies

 

Paramount Trading Company, Pakistan.

 

 

Business Activities

 

Engaged in manufacture & marketing of Pharmaceutical Products

 

Number of Employees

           

102

 

 

Trade Suppliers (Foreign)

 

Subject mainly import from Companies belongs to India & China

 

 

Annual Production Volume

 

The capacity and production of the Company’s plant is indeterminable as it is   multi-product and involves varying processes of manufacture

 

 

Annual Sales Volume

 

Year

In Pak Rupees

2012

120,000,000/- (Estimated)

 

 

Authorized Distributors

 

Mainly exist at major cities of Pakistan

 

 

Bankers

                       

(1) Habib Bank Limited, Pakistan.

(2) MCB Bank Limited, Pakistan.

(3) Bank Alfalah Limited, Pakistan.

(4) United Bank Limited, Pakistan.

 

 

Memberships

 

Lahore Chamber of Commerce & Industry. (LCCI)

 

Foreign Exchange Rates

 

Currency

 

Unit

Pakistani Rupee

US Dollar

1

          Rs. 101.40

UK Pound

1

          Rs. 157.50

Euro

1

          Rs. 124.25

 

 

Comments

 

Subject Company was established in 2003 and is engaged in manufacture & marketing of Pharmaceutical Products. Trade relations are reported as fair. Subject can be considered for normal business dealings at usual trade terms & conditions.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.93

UK Pound

1

Rs.96.37

Euro

1

Rs.76.10

 

 

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%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.