MIRA INFORM REPORT

 

 

Report Date :

23.12.2014

 

IDENTIFICATION DETAILS

 

Name :

SIKA SCHWEIZ AG

 

 

Registered Office :

Tüffenwies 16-22, 8064 Zürich/ZH

 

 

Country :

Switzerland

 

 

Financials (as on) :

31.12.2013 (Consolidated)

 

 

Year of Establishment :

1910

 

 

Com. Reg. No.:

020.3.923.935-5 / 177456

 

 

Legal Form :

Company limited by shares

 

 

Line of Business :

·         Manufacture of Other Chemical Products n.e.c.

·         Manufacture of Glues

 

 

No. of Employees :

800-999

 

 

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 :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Exist

 

 

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)

Switzerland

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SWITZERLAND - ECONOMIC OVERVIEW

 

Switzerland is a peaceful, prosperous, and modern market economy with low unemployment, a highly skilled labor force, and a per capita GDP among the highest in the world. Switzerland's economy benefits from a highly developed service sector, led by financial services, and a manufacturing industry that specializes in high-technology, knowledge-based production. Its economic and political stability, transparent legal system, exceptional infrastructure, efficient capital markets, and low corporate tax rates also make Switzerland one of the world's most competitive economies. The Swiss have brought their economic practices largely into conformity with the EU's to enhance their international competitiveness, but some trade protectionism remains, particularly for its small agricultural sector. The fate of the Swiss economy is tightly linked to that of its neighbors in the euro zone, which purchases half of all Swiss exports. The global financial crisis of 2008 and resulting economic downturn in 2009 stalled export demand and put Switzerland in a recession. The Swiss National Bank (SNB) during this period effectively implemented a zero-interest rate policy to boost the economy as well as prevent appreciation of the franc, and Switzerland's economy began to recover in 2010. The sovereign debt crises currently unfolding in neighboring euro-zone countries pose a significant risk to Switzerland's financial stability and are driving up demand for the Swiss franc by investors seeking a safe-haven currency. The independent SNB has upheld its zero-interest rate policy and conducted major market interventions to prevent further appreciation of the Swiss franc, but parliamentarians have urged it to do more to weaken the currency. The franc's strength has made Swiss exports less competitive and weakened the country's growth outlook; GDP growth fell below 2% per year during 2011-13. Switzerland has also come under increasing pressure from individual neighboring countries, the EU, the US, and international institutions to reform its banking secrecy laws. Consequently, the government agreed to conform to OECD regulations on administrative assistance in tax matters, including tax evasion. The government has renegotiated its double taxation agreements with numerous countries, including the US, to incorporate the OECD standard, and is considering the possibility of imposing taxes on bank deposits held by foreigners. These steps will have a lasting impact on Switzerland's long history of bank secrecy.

 

Source : CIA

Company Name

 

Sika Schweiz AG

 

 

Operating address

 

Tüffenwies 16-22                                                          Branch:

8064 Zürich/ZH                                                             Allmend 2

Switzerland/CH                                                             8967 Widen/AG

                                                                                   Switzerland/CH

 

Telephone:                   058 4364040                             056 6485050

Fax:                             058 4364570

 

Web site:                      http://www.sika.ch

E-mail:                         sika@sika.ch

 

WIN Worldbox No.:       CH0000045548

VAT-No.:                      CHE105969305

 

 

Profile

 

Established:                 1910

History:                        1910:      Established from Kaspar Winkler

Line of Business:          Chemicals

Industry Division:          Manufacturing

Industry-code (NACE):  2059       Manufacture of other chemical products n.e.c.

                                    2052       Manufacture of glues

Import/Export:              Export

Export sales:                70,0%

Quality certification:      ISO 9001:2000 (since 2005)

                                    ISO 14001:2004 (since 2005)

                                    ISO/TS 16949:2002 (since 2004)

Banks:                          UBS Ltd

                                    CSFB Credit Suisse First Boston

                                    ZKB Zürcher Kantonalbank

                                    ZKB Zuger Kantonalbank

 

 

Operational Figures

 

Coverage:                    Group

Employees:                  800-999

Sales:                          CHF 200-400 Mio

 

 

Activity

 

The company supplying specialty chemicals markets. It is a leader in processing materials used in sealing, bonding, damping, reinforcing and protecting load-bearing structures in construction and industry. The Group is represented in more than 70 countries worldwide.

 

The range includes: concrete admixtures, specialty mortars, sealants and adhesives, damping and reinforcing materials, structural strengthening systems, industrial flooring and waterproofing membranes.

 

 

Real Estate

 

Real Estate:                  The company owns extensive property.

 

 

Company Register

 

Company No:               020.3.923.935-5 / 177456

Legal form:                   Company limited by shares

Registration:                 06.07.1971

Legal status:                 active

Responsible Register:   Handelsregister des Kantons Zürich

History:                        Date of Statutes: 20.12.1990

                                    Date of Statutes: 01.03.2013

                                    Date of Statutes: 10.12.2003

                                    Date of Statutes: 16.04.2002

                                    Date of Statutes: 13.12.1999

                                    Date of Statutes: 17.06.1994

 

Entry          Deleted      Name

24.04.2002                    Sika Schweiz AG

24.04.2002                    Sika Suisse SA (Name translated)

24.04.2002                    Sika Switzerland Ltd (Name translated)

24.04.2002                    Sika Svizzera SA (Name translated)

                  24.04.2002  Sika AG, vorm. Kaspar Winkler & Co

                  24.04.2002  Sika SA, ci-devant Kaspar Winkler & Co (Name translated)

                  24.04.2002  Sika SA, già Kaspar Winkler & Co (Name translated)

 

Entry          Deleted      Legal domicile

active                           Zürich, Switzerland

 

Entry          Deleted      Address

active                           Tüffenwies 16-22, 8064 Zürich/ZH, Switzerland/CH

08.03.2004                    Postfach, 8064 Zürich/ZH, Switzerland/CH (Postal address)

 

Entry          Deleted      Capital

28.05.2013                    Share Capital CHF 1,000,000, paidup CHF 1,000,000

08.04.2004  28.05.2013  Share Capital CHF 52,000,000, paidup CHF 52,000,000

 

Entry          Deleted      Capital Structure

28.05.2013                    1,000 Registered shares of CHF 1,000.--

08.04.2004  28.05.2013  52,000 Registered shares of CHF 1,000.--

 

Entry          Deleted      Remarks

12.02.2007                    Business place (-s): Allmend 2, 8967 Widen.

12.02.2007                    Business place (-s): Bellikonerstrasse 218, 8967 Widen.

12.02.2007                    Business place (-s): Eistäpfestrasse 2, 5242 Birr.

12.06.2003                    Business place (-s): Hegmattenstrasse 15, 8404 Winterthur.

12.06.2003                    Business place (-s): Route de la Chocolatière 27, 1026 Echandens.

12.06.2003                    Business place (-s): Industrie Neuhof 9, 3422 Kirchberg.

12.06.2003                    Business place (-s): Via San Gottardo.

 

Entry          Deleted      Branches

22.05.2014                    Industriestrasse 26, 6060 Sarnen/OW, Switzerland/CH

                  removed     , Kriens/LU, Switzerland/CH

                  removed     Rehetobelstrasse 60, 9006 St. Gallen/SG, Switzerland/CH

                  removed     , Chur/GR, Switzerland/CH

                  removed     , Satigny/GE, Switzerland/CH

                  removed     , Cadenazzo/TI, Switzerland/CH

                  removed     , Steg/VS, Switzerland/CH

                  removed     Rohrerstrasse 102, 5000 Aarau/AG, Switzerland/CH

                  removed     Bellikonerstrasse 218, 8967 Widen/AG, Switzerland/CH

                  removed     Muttenz/BL, Switzerland/CH

                  removed     , Bern/BE, Switzerland/CH

                  removed     , Lausanne/VD, Switzerland/CH

                  removed     , Echandens/VD, Switzerland/CH

                  removed     , Glarus/GL, Switzerland/CH

                  removed     Geerenweg 9, 8048 Zürich/ZH, Switzerland/CH

 

 

Official Administration

 

Title                                           Name

President                                    Paul Schuler

                                                  Citizen: Alpthal, Switzerland

                                                  Residential address: Einsiedeln, Switzerland

                                                  joint signature of two

                                                  Registered since: 16.01.2013

Director                                      Walter Schuchter

                                                  Citizen: Austria

                                                  Residential address: Röns, Austria

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 16.01.2013

 

 

Management

 

Title                                           Name

Member with signing authority      Michael Albrecht

                                                  Citizen: Sursee, Switzerland

                                                  Residential address: Winterthur, Switzerland

                                                  Born: 1979

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 13.07.2012

Member with signing authority      Roland Konrad Bischoff

                                                  Citizen: Zürich, Switzerland

                                                  Residential address: Bonstetten, Switzerland

                                                  Born: 1958

                                                  joint signature of two

                                                  Registered since: 24.05.2013

Member with signing authority      Willy Eugster

                                                  Citizen: Oberegg, Switzerland

                                                  Residential address: Zürich, Switzerland

                                                  joint signature of two

                                                  Registered since: 07.02.2012

Member with signing authority      Urs Hüssy

                                                  Citizen: Safenwil, Switzerland

                                                  Residential address: 5242 Lupfig/AG, Switzerland

                                                  Born: 1952

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 17.01.2007

Member with signing authority      Jan Jenisch

                                                  Citizen: Luzern, Udligenswil, Switzerland

                                                  Residential address: Zug, Switzerland

                                                  Born: 02.09.1966

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 03.01.2012

Member with signing authority      Marc Kühl

                                                  Citizen: Germany

                                                  Residential address: Dietikon, Switzerland

                                                  joint signature of two

                                                  Registered since: 28.11.2013

Member with signing authority      Daniel Lang

                                                  Citizen: Aristau, Switzerland

                                                  Residential address: Jonen, Switzerland

                                                  Born: 1971

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 13.07.2012

Member with signing authority      Esther Martinez Olmos

                                                  Citizen: Othmarsingen, Switzerland

                                                  Residential address: Zürich, Switzerland

                                                  Born: 1967

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 16.01.2013

Member with signing authority      Jürg Mettler

                                                  Citizen: Zürich, Switzerland

                                                  Residential address: 5454 Bellikon/AG, Switzerland

                                                  Born: 1955

                                                  joint signature of two

Member with signing authority      Stefan Mösli

                                                  Citizen: Gais, Switzerland

                                                  Residential address: Zug/ZG, Switzerland

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 16.02.1998

Member with signing authority      Silvio Ponti

                                                  Citizen: St. Gallenkappel, Switzerland

                                                  Residential address: Zürich/ZH, Switzerland

                                                  joint signature of two, Limited to the headquarters

Member with signing authority      Alfred Rechsteiner

                                                  Citizen: Rehetobel, Switzerland

                                                  Residential address: Wiesendangen, Switzerland

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 24.04.2002

Member with signing authority      Melanie Schmid

                                                  Citizen: Reiden, Switzerland

                                                  Residential address: Steinmaur, Switzerland

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 06.02.2009

Member with signing authority      Ernst Schümperli

                                                  Citizen: Wäldi, Switzerland

                                                  Residential address: Küsnacht/ZH, Switzerland

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 06.02.1995

Member with signing authority      Roland Schweizer

                                                  Citizen: Hemberg, Switzerland

                                                  Residential address: Nürensdorf, Switzerland

                                                  Born: 1968

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 02.05.2001

Member with signing authority      Jules Vogt

                                                  Citizen: Wangen SZ, Switzerland

                                                  Residential address: 8855 Wangen /SZ, Switzerland

                                                  Born: 1952

                                                  joint signature of two, Limited to the headquarters

                                                  Registered since: 09.10.2009

 

 

External Positions

 

Title                                           Name

Auditor                                       Ernst & Young AG

                                                  Residential address: Zürich, Switzerland

                                                  Id: CH-020.9.001.069-0

 

 

Executive board

 

Title                                           Name

Chief Executive Officer               Alfred Rechsteiner

Chief Financial Officer                 Roland Schweizer

Chief Export Officer                    Urs Hüssy

Chief Business Segment Officer  Jürg Mettler

 

 

Ultimate Parent Company

 

Name:                          Sika AG

City/Country:                Baar/ZG, Switzerland/CH

 

 

Financial Data Sika Switzerland

 

Consolidation:              consolidated (Segment)

Industry:                       Trade/Industry

 

Fiscal year end:                                     31.12.2013        31.12.2012        31.12.2011        31.12.2010        31.12.2009

Number of months:                                      12                    12                    12                    12                    12

Currency:                                                 th. CHF             th. CHF            th. CHF             th. CHF            th. CHF

 

Operating revenue                                     306,300.0          302,000.0         329,800.0          314,300.0         298,100.0

Capital                                                         1,000.0           52,000.0           52,000.0           52,000.0           52,000.0

Sales per Employee                                        152.0                140.0                143.0                164.0                157.0

 

Employees  at year end                                   2,012                2,164                2,312                1,912                1,900

Employees inland                                            2,012                2,164                2,312                1,912                1,900

Employees abroad                                                0                      0                      0                      0                      0

 

 

Financial Data Sika Group

 

Consolidation:              consolidated

Industry:                       Trade/Industry

 

Fiscal year end:                                     31.12.2013        31.12.2012        31.12.2011        31.12.2010        31.12.2009

Number of months:                                      12                    12                    12                    12                    12

Currency:                                                 th. CHF             th. CHF            th. CHF             th. CHF            th. CHF

Statement norm:                                          IAS                   IAS                  IAS                   IAS                  IAS

 

 

Balance Sheet

 

Intangible fixed assets                            1,066,000.0          742,300.0         770,400.0          630,900.0         562,000.0

Land and buildings                                    110,300.0          106,000.0         107,400.0          105,400.0         106,000.0

Other tangible fixed assets                        809,900.0          767,300.0         753,200.0          711,100.0         755,700.0

Tangible fixed assets                                920,200.0          873,300.0         860,600.0          816,500.0         861,700.0

Financial fixed assets                                 13,900.0           15,300.0           21,100.0           23,400.0           33,500.0

other fixed assets                                     144,000.0          151,600.0         125,900.0          109,900.0           79,100.0

Fixed assets                                          2,144,100.0       1,782,500.0       1,778,000.0       1,580,700.0       1,536,300.0

 

Stocks                                                      539,000.0          521,600.0         530,600.0          499,700.0         451,400.0

Trade accounts receivable                         909,700.0          871,500.0         875,700.0          780,600.0         739,400.0

Liquid assets                                         1,028,300.0          994,200.0         536,000.0          938,400.0         801,600.0

Securities                                                     4,900.0             2,200.0                   0.0                   0.0             9,400.0

other trade accounts                                   14,000.0           24,300.0           34,300.0           49,700.0           30,400.0

Accruals                                                     92,000.0           83,900.0           75,800.0           82,600.0           60,900.0

Other current assets                               1,139,200.0       1,104,600.0         646,100.0       1,070,700.0         902,300.0

Current assets                                       2,587,900.0       2,497,700.0       2,052,400.0       2,351,000.0       2,093,100.0

 

Total assets                                           4,732,000.0       4,280,200.0       3,830,400.0       3,931,700.0       3,629,400.0

 

Capital                                                         1,500.0             1,500.0             1,500.0           22,900.0           22,900.0

Other shareholders funds                        2,118,600.0       1,893,400.0       1,824,600.0       1,725,600.0       1,565,400.0

Total shareholders equity                      2,120,100.0       1,894,900.0       1,826,100.0       1,748,500.0       1,588,300.0

 

Minority interests                                        16,100.0           14,900.0           13,000.0             3,700.0             4,700.0

long term debt (financial debts)                 946,900.0          847,100.0         796,000.0          794,400.0       1,067,500.0

Provisions                                                  93,000.0           81,900.0           90,600.0           92,000.0         103,100.0

Other non current liabilities                         366,800.0          397,900.0         283,900.0          236,400.0         199,500.0

Non current liabilities                              1,406,700.0       1,326,900.0       1,170,500.0       1,122,800.0       1,370,100.0

short term debt (financial debts)                329,600.0          280,900.0           73,000.0          274,600.0             1,900.0

Trade accounts payable                            560,000.0          492,100.0         501,000.0          478,200.0         355,200.0

Provisions                                                  22,000.0           15,500.0           11,300.0           16,800.0           43,500.0

Accruals                                                   204,900.0          197,600.0         191,400.0          192,300.0         211,800.0

other accounts payable                               72,600.0           57,400.0           44,100.0           94,800.0           53,900.0

other current liabilities                                299,500.0          270,500.0         246,800.0          303,900.0         309,200.0

Current liabilities                                  1,189,100.0       1,043,500.0         820,800.0       1,056,700.0         666,300.0

 

Total liabilities                                      4,732,000.0       4,280,200.0       3,830,400.0       3,931,700.0       3,629,400.0

 

 

Profit and loss account

 

Net sales                                               5,142,200.0       4,828,900.0       4,556,400.0       4,416,000.0       4,154,900.0

Other operating revenue                                                                               7,300.0             5,800.0            -8,800.0

Operating revenue                                 5,142,200.0       4,828,900.0       4,563,700.0       4,421,800.0       4,146,100.0

 

Cost of goods sold                                2,446,600.0       2,309,600.0       2,259,100.0       2,036,900.0       1,850,800.0

Gross profit                                           2,695,600.0       2,519,300.0       2,304,600.0       2,384,900.0       2,295,300.0

Other operating expenses                       2,172,100.0       2,086,300.0       1,957,500.0       1,945,400.0       1,951,300.0

Operating result                                       523,500.0          433,000.0         347,100.0          439,500.0         344,000.0

 

Interest revenues                                          3,000.0             6,900.0             5,000.0             4,000.0             3,100.0

other financial revenues                                6,900.0             4,200.0           14,800.0             8,400.0             6,200.0

Financial income                                           9,900.0           11,100.0           19,800.0           12,400.0             9,300.0

Interest expenses                                        33,900.0           38,000.0           33,400.0           34,000.0           27,400.0

other financial expenses                              22,800.0           16,300.0           18,000.0           14,200.0           10,300.0

Financial expenses                                     56,700.0           54,300.0           51,400.0           48,200.0           37,700.0

Financial result                                           -46,800.0          -43,200.0          -31,600.0          -35,800.0          -28,400.0

Result before extraordinary items            476,700.0          389,800.0         315,500.0          403,700.0         315,600.0

 

Result before taxes                                  476,700.0          389,800.0         315,500.0          403,700.0         315,600.0

 

Taxes                                                       132,000.0          111,300.0         100,700.0           92,800.0           89,900.0

Result before minority interests                  344,700.0          278,500.0         214,800.0          310,900.0         225,700.0

minority interests                                          2,500.0             1,600.0             1,500.0                100.0               -200.0

Result for the financial year                     342,200.0          276,900.0         213,300.0          310,800.0         225,900.0

 

 

Cash flow

 

Depreciation                                             152,400.0          140,100.0         130,300.0          137,500.0         159,400.0

Cash flow                                                 497,100.0          418,600.0         345,100.0          448,400.0         385,100.0

Cash flow from operating activities            574,000.0          427,300.0         299,300.0          424,800.0         526,300.0

Investments in tangible fixed assets           143,600.0          125,500.0         104,600.0           91,300.0         134,700.0

Cash flow from investing activities            -555,000.0         -139,000.0        -263,900.0         -180,900.0        -213,800.0

Cash flow from financing activities              23,900.0          173,900.0        -430,300.0          -96,700.0         172,000.0

Others                                                         -8,800.0            -4,000.0            -7,500.0          -10,400.0            -1,200.0

Change in liquidity                                      34,100.0          458,200.0        -402,400.0          136,800.0         483,300.0

Liquidity at beginning of the year               994,200.0          536,000.0         938,400.0          801,600.0         318,300.0

Liquidity at end ot the year                      1,028,300.0          994,200.0         536,000.0          938,400.0         801,600.0

 

 

Notes

 

Material costs                                        2,446,600.0       2,309,600.0       2,259,100.0       2,048,600.0       1,850,800.0

Cost of employees                                 1,031,100.0       1,037,200.0         959,900.0          953,400.0         954,300.0

Added value                                          1,694,100.0       1,605,100.0       1,439,100.0       1,528,600.0       1,456,700.0

Working Capital                                         888,700.0          901,000.0         905,300.0          802,100.0         835,600.0

Sales per Employee                                        315.6                317.0                298.7                327.5                335.9

Market capitalisation                               8,055,000.0       5,360,000.0       4,496,000.0       5,210,000.0       4,102,000.0

Gross cost land and buildings                   111,200.0          106,800.0         108,100.0          106,100.0         106,700.0

Gross cost other tangible fixed assets    2,079,800.0       2,000,200.0       1,933,700.0       1,837,500.0       1,902,100.0

Gross cost total                                     2,191,000.0       2,107,000.0       2,041,800.0       1,943,600.0       2,008,800.0

Insurance value land and buildings                                                            991,000.0       1,005,000.0         957,000.0

Insurance value other tang. fixed assets                                                  1,327,000.0       1,463,000.0       1,452,000.0

Insurance value total                                                                              2,318,000.0       2,468,000.0       2,409,000.0

 

Employees  at year end                                 16,293              15,233              15,254              13,482              12,369

Employees  average                                      15,763              15,244              14,368              12,926              12,635

Employees inland                                            2,012                2,164                2,312                1,912                1,900

Employees abroad                                        14,281              13,069              12,942              11,570              10,469

 

 

Owner/-s

 

No. of Owner/-s:           1

Owner:                         The company is domestic owned.

 

Class:                          100%

Type:                           indirect, Group-Level 1

Name:                          Sika AG

City/Country:                Baar/ZG, Switzerland/CH

Interest:                        100,00% voting right, 100,00% capital interest (since 1968)

 

 

Investments

 

It is believed that the company has no investments.

 

 

Legal Actions

 

Control date       Year                       No.             Amount CHF     Status

25.06.2014          2014                           0

25.06.2014          2013                           0

25.06.2014          2012                           0

25.06.2014          2011                           0

25.06.2014          2010                           0

25.06.2014          2009                           1                   50,244.--      Legal actions

21.09.2009          2008                           0

21.09.2009          2007                           0

21.09.2009          2006                           1             10,000,000.--      Opposition filed

21.09.2009          2005                           1                   25,000.--      Legal actions

 

An updated legal action check is only available against proof of interest. e.g. a copy of an enquiry letter, and order or invoice relating to the subject company.

 

 

Remarks

 

Debt collection case:

FEB 2007: CHF 471.--, payment open

FEB 2007: CHF 494.--, paid

 

 

News

 

SIKA DOES NOT SUPPORT CHANGE OF CONTROL TO SAINT-GOBAIN

 

The Board of Directors and the Group Management of Sika were informed Friday evening, December 5, 2014, that the French Group Saint-Gobain intends to indirectly acquire all shares held by the Burkard family, Sika's current majority shareholder. If the transaction were to be closed, Saint-Gobain would control 52.4% of all voting rights and 16.1% of Sika's share capital. The Board and Group Management are informed that Saint-Gobain will not make an offer to public shareholders of Sika AG and that the transaction is subject to approval by the anti-trust authorities.

 

The Board and Group Management of Sika AG have neither been involved nor consulted in connection with the proposed transaction. The Board and Group Management do not support the change of control of Sika to Saint-Gobain. The Board neither sees the industrial logic in the transaction, nor significant synergies for Sika. Furthermore, the Board and the Group Management believe that shareholder value would be impaired as Sika in the planned set-up would not be able to continue its successful growth strategy.

 

Sika's ownership structure is unique. For historic reasons the Burkard family was able to control Sika with only 16% share in the capital. 84% is owned by public shareholders, which will not receive an offer for their shares. The trust of these shareholders has relied on the repeated public commitment of the family to act as Sika's anchor shareholder and accompany the Group in the best interest of all shareholders.

 

The intended transaction would bring a fundamental change. Unlike the family, Saint-Gobain is an industrial investor and numerous conflicts to the detriment of the public shareholders could arise. The non-conflicted Board members and the Group Management each independently have come to the conclusion that if the transaction materializes they are no longer in a position to serve in the best interest of the company and all its stakeholders. They have therefore decided to resign following closing of the transaction. The closing will occur once the anti-trust approval has been obtained.

 

 

Credit Information

 

Financial Situation:        The financial situation is very good.

 

Payment experiences:   Payment habits are considered good.

 

Business development: The business trend is considered positive.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.18

UK Pound

1

Rs.98.85

Euro

1

Rs.77.42

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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%)

 

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