MIRA INFORM REPORT

 

 

Report Date :

01.07.2014

 

IDENTIFICATION DETAILS

 

Name :

OMAN ALUMINIUM PROCESSING INDUSTRIES LLC (OAPIL)

 

 

Registered Office :

Sohar Industrial Estate, Phase No. 6, P O Box 324, Sohar 322

 

 

Country :

Oman

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

23.02.2008

 

 

Com. Reg. No.:

1/03932/1

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

manufacturer of aluminium rods.

 

 

No. of Employees

125

 

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 – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Oman

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

oman ECONOMIC OVERVIEW

 

Oman is a middle-income economy that is heavily dependent on dwindling oil resources. Because of declining reserves and a rapidly growing labor force, Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP to 9% by 2020 and creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. However, increases in social welfare benefits, particularly since the Arab Spring, will challenge the government's ability to effectively balance its budget if oil revenues decline. By using enhanced oil recovery techniques, Oman succeeded in increasing oil production, giving the country more time to diversify, and the increase in global oil prices through 2011 provided the government greater financial resources to invest in non-oil sectors. In 2012, continued surpluses resulting from sustained high oil prices and increased enhanced oil recovery allowed the government to maintain growth in social subsidies and public sector job creation. However, the Sultan made widely reported statements indicating this would not be sustainable, and called for expanded efforts to support SME development and entrepreneurship. Government agencies and large oligarchic group companies heeded his call, announcing new initiatives to spin off non-essential functions to entrepreneurs, incubate new businesses, train and mentor up and coming business people, and provide financing for start-ups. In response to fast growth in household indebtedness, the Central Bank reduced the ceiling on personal interest loans from 8 to 7%, lowered mortgage rates, capped the percentage of consumer loans at 50% of borrower's salaries for personal loans and 60% for housing loans, and limited maximum repayment terms to 10 and 25 years respectively.

 

Source : CIA

SUMMARY

 

Company Name                                     : OMAN ALUMINIUM PROCESSING INDUSTRIES LLC (OAPIL)

Country of Origin                                    : Oman

Legal Form                                            : Limited Liability Company – LLC

Registration Date                                   : 23rd February 2008

Commercial Registration Number            : 1/03932/1

Chamber Membership Number                : 276

Issued Capital                                        : RO 4,366,000

Paid up Capital                                      : RO 4,366,000

Total Workforce                                     : 125

Activities                                               : Manufacture of aluminium rods

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Person Interviewed                                 : Surjit Singh, Export Manager

 

 

 


COMPANY NAME

 

OMAN ALUMINIUM PROCESSING INDUSTRIES LLC (OAPIL)

 

 

company ADDRESS

 

Registered & Physical Address

Location            : Sohar Industrial Estate, Phase No. 6

PO Box             : 324

Town                 : Sohar 322

Country             : Oman

Telephone         : (968) 26827317 / 26827310 / 26827345

Facsimile          : (968) 24494986 / 26701577

Mobile               : (968) 99275232 / 96408575 / 99211692

Email                : coo@oapil.com / surojit@oapil.com / yousuf.alrahbi@oapil.com

 

Premises

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of Sohar.

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

·       Fredrick Royer                                                                                  Chief Executive Officer

·       Robert Neymer                                                                                  Finance Manager

·       Sanjeev Gupta                                                                                  Production Manager

·       Saif Balarab Saif Al Mawali                                                                Quality Control Manager

·       Yousef Al Rahbi                                                                                Human Resources Manager

·       France Zafranc                                                                                  Health & Safety Manager

·       Surjit Singh                                                                                       Export Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 23rd February 2008. Full production began on 1st July 2010

 

Legal Form                  : Limited Liability Company – LLC

 

Commercial Reg. No.  : 1/03932/1

 

Chamber Member No. : 276

 

Issued Capital              : RO 4,366,000

Paid up Capital            : RO 4,366,000

 

Name of Shareholder (s)                                  Percentage

·       Oman Cables Industry SAOG                              51%

·       Takamul Investment Company SAOG                  49%

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of aluminium rods.

 

Import Countries: Europe and GCC countries.

 

Operating Trend: Steady

 

Subject has a workforce of 125 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Riyal Omani (RO)

 

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

 

Total Sales                                RO 12,300,000                          RO 12,920,000

 

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

 

The above figures were provided by Mr. Surjit Singh, Export Manager

 

 

BANKERS

 

·       Commercial Bank of Oman SAOG

Muttrah Business District

PO Box: 1696, Ruwi 112

Muscat

Tel: (968) 24793225 / 24793226 / 24793228

Fax: (968) 24793229

 

 


PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.09

UK Pound

1

Rs.102.33

Euro

1

Rs.82.01

 

 

INFORMATION DETAILS

 

Report Prepared by :

NNA

               

 

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%)

 

 

COOPER CORPORATION PRIVATE LIMITED