MIRA INFORM REPORT

 

 

Report Date :

14.01.2014

 

IDENTIFICATION DETAILS

 

Name :

KUKDA INDUSTRIES (KI)

 

 

Registered Office :

2nd Floor,Kukda Centre MR 4/17,Ali Akber Street Near Acchi Qabar, Jodia Bazar Karachi

 

 

Country :

Pakistan

 

 

Year of Establishments:

1984

 

 

Legal Form :

Proprietorship  

 

 

Line of Business :

·         Importer & Trader of Dyes Chemicals.

Subject usually import chemical for the dye industry

 

 

No. of Employees :

05

 

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, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Pakistan

B2

B2

 

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 is under 6%, 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 - the UN Human Development Report estimated poverty in 2011 at almost 50% of the population. Inflation has worsened the situation, climbing from 7.7% in 2007 to almost 12% for 2011, before declining to 10% in 2012. 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 fiscal year 2012, 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% per year from 2008 to 2012. Pakistan must address long standing issues related to government sales 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

 

 


GENERAL INFORMATION

 

Business Name

Kukda Industries (KI)

Address

Registered Address:

2nd Floor,Kukda Centre MR 4/17,Ali Akber Street Near Acchi Qabar, Jodia Bazar Karachi

Telephone

(+92) (21) 32423391, 32423390, 32437711, 0300-9206279

Fax

(+92) (21) 32438365

Email

kukdaindus@yahoo.com   

Website

None

Business activities

Trader of Dyes Chemicals

 

 

Registry Details

 

KI is a proprietorship concern, registration with any regulatory body is not mandatory.

CRO Registration Number

N/A

Date of Registration

 

Other registry & certification details:

Current Legal Form

Proprietorship 

National Tax Registration Number

Undetermined

 

Date of Registration

Undetermined

GST Registration Number

Undetermined

Date of Registration

Undetermined

Chamber of Commerce & Industry

Karachi Chamber of Commerce & Industries

ISO Certification

None

Other certifications

None

 

 

Capital

 

Type

No. of Shares

Par Value

Total Value

Authorized

N/A

Issued, Subscribed & Paid-Up

 

 

History

 

Who started

Liaquat Dawood Kukda

When started

1984

Change in management

No change

Year of change

N/A

Change in legal status

No change

Year of change

N/A

Change in business name

No change

Year of change

N/A

 

 

PRINCIPALS

(SPONSORS)

 

Name

Nationality

Mr. Liaquat Dawood Kukda

Pakistani

 

 

KEY MANAGEMENT

 

Name

 

Position in organization

Qualification

Years in employment

Mr. Liaquat Dawood Kukda

Proprietor

Undetermined

Undetermined

Mr. Nadeem 

Manager

Graduate

10 years

 

Statutory offices

Name of service provider

Statutory Auditors

Not Appointed

Legal Advisory Services

Not Appointed

 

 

BANKERS

 

Bank name

Approved financing limits

Meezan Bank Ltd  

Depository relation

 

 

DETAILS OF BUSINESS ACTIVITIES

 

The core business focus of KI is Import & Trade of Dyes Chemicals. KI usually import chemical for the dye industry. Majority of the customers of the concern are corporate sectors companies in Sindh and Punjab.

 

Purchases (Incl. Imports)

Imports from

India 

Importing terms

Contract Basis

Local (%)

None

Local buying terms

N/A

 

Sales (Incl. Exports)

Exports to

None

Exporting terms

N/A

Local (%)

100 (Sindh-Punjab)

Local selling terms

Cash and Credit of 30 Days

 

 

NUMBER OF EMPLOYEES

 

Nature of employment

Current Year

Previous Year

All Staff

05

05

Total

05

05

 

 

BUSINESS FACILITIES

 

Head office Address

 

Owned / Rented

Area (approx)

2nd Floor, Kukda Centre MR 4/17Ali Akber Street Near Acchi Qabar, Jodia Bazar Karachi.

Rented

500 sq.feet

 

 

MARKET REPUTATION

 

The contact person refuse to provide the details of KI’s major suppliers and customers due to which we were unable to take the feedback from them, however we contacted various competitors and neighbors of the customer who confirmed business existence and further told us that KI has been active in the market and had been doing well. No trade related issues were reported during inquiry.

 

 

DETAILS OF RELATED BUSINESSES

 

Business Name

City

Line of Business

Percentile of Shareholding

None

 

 

BUSINESS PERFORMANCE

 

The contact person decline to share financial information.

 

INTERVIEW & REPORTER COMMENTS

 

Contact person

Mr. Nadeem

Position

Manager

Contact Person Comments

Mr. Nadeem confirmed business operations and business information however; he refused to share financial information.    

Analyst’s Observations/ comments

i)                     The office was comprised of one air-conditioned rooms, with one computer and well decorated furniture.

ii)                   One to two employees were present in the office.

iii)                  Samples of Chemical were observed at site.

iv)                  Office is located in main commercial area.

v)                    KI is situated in an area more known for the tea dealers, KI is the only concern with this line of business in the area.

vi)                  Mr. Nadeem refused to provide us customer details.

vii)                 During the visit at office Liaquat Dawood Kukda was not available in office he was out of city for business meetings.  

viii)               No Signboard was placed in the office.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.52

UK Pound

1

Rs.101.48

Euro

1

Rs.84.11

 

INFORMATION DETAILS

 

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.