MIRA INFORM REPORT

 

 

Report Date :

08.07.2014

 

IDENTIFICATION DETAILS

 

Name :

EMERGEN LIFE SCIENCES (PVT) LTD

 

 

Registered Office :

# 60, Maligawatte Road, Colombo - 10

 

 

Country :

Sri Lanka

 

 

Date of Incorporation :

03.08.2012

 

 

Com. Reg. No.:

PV 88021

 

 

Legal Form :

Private Limited Liability Company (In Operation)

 

 

Line of Business :

Manufacturer, Importer and Distributor of Pharmaceuticals

 

 

No. of Employees :

15

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 1100

Status :

Moderate

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)

Sri Lanka

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

SRI LANKA - ECONOMIC OVERVIEW

 

Sri Lanka continues to experience strong economic growth following the end of the 26-year conflict with the Liberation Tigers of Tamil Eelam. The government has been pursuing large-scale reconstruction and development projects in its efforts to spur growth in war-torn and disadvantaged areas, develop small and medium enterprises and increase agricultural productivity. The government's high debt payments and bloated civil service have contributed to historically high budget deficits, but fiscal consolidation efforts and strong GDP growth in recent years have helped bring down the government's fiscal deficit. However, low tax revenues are a major concern. The 2008-09 global financial crisis and recession exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of payments crisis. Agriculture slowed due to a drought and weak global demand affected exports and trade. In early 2012, Sri Lanka floated the rupee, resulting in a sharp depreciation, and took steps to curb imports. A large trade deficit remains a concern, but strong remittances from Sri Lankan workers abroad help offset the trade deficit. Government debt of about 80% of GDP remains among the highest in emerging markets.

Source : CIA

 

 

 

 


GENERAL

 

Basic information at a glance

      

a.

Name of Subject of Inquiry

:

EMERGEN LIFE SCIENCES (PVT) LTD

 

b.

Legal Form  & Status

:

Private Limited Liability Company (In Operation)

c.

Managing Director

:

Jaward Azam Mohamed

d.

Primary Line of Business

:

Manufacturer, Importer and Distributor of Pharmaceuticals

e.

Head office

&

Place of Business

 

:

 # 60, Maligawatte Road,

Colombo 10,

Sri Lanka.

                   

Tel. No: (00 94 11) 268 6493/ 269 4864 - 5 / 267 5005-6

Fax No: (00 94 11) 267 1877

 

Email: nimjay@sltnet.lk

             mshnbcl@sltnet.lk

 

 

f.

No. of Employees

:

15

 

                       

 

COMPANY DETAILS 

 

Registration and Shareholder Details

 

a.

Registration No

:

PV 88021

 

Date of Registration

:

03rd August 2012

 

c.

Registered Office

:

# 60, Maligawatte Road, Colombo - 10

 

d.

Board of Directors

As At

10th February 2014

 

Jaward Azam Mohamed

Managing Director

 

M. Sanjeewa Hettiarachchi

Director

 

Janaka Arjuna Weeratunge

Director

 

M. Chayani Dias Jayasinghe (Ms)

Director

 

K.K. Nalin Priyadarshana

Director

 

Prathaban Mylvaganam

Director

 

e.

Issued Share Capital

:

Rs.    3,000,000.00

 

Number of Shares

:

300,000

 

f.

Nominal Value of Share

:

Not applicable vide Companies Act #7 of 2007

 

g.

 

Share Holders

As At

10th February 2014

:

Share Holders

No. of

Shares

Emerchemie NB (Ceylon) Limited

300,000

h.

Auditors

:

K P M G Ford Rhodes Thornton & Company

i.

Company Secretaries

:

Corporate Services (Pvt) Ltd

k.

Bankers

:

HSBC Bank, Colombo

 

 

 

FINANCIAL DETAILS

 

Most recent available Financial Information                                                                      

Based on the corporate laws of Sri Lanka, legal entities which are Private Company with Limited Liability is not required to make public disclosure of their annual financials. Therefore no detailed financials are available for this entity

 

 

CURRENT INVESTIGATION      

                       

History.

 

The Subject Company EMERGEN LIFE SCIENCES (PVT) LTD is Private Limited Liability Company incorporated on 03rd August 2012 under registration number PV 88021.

The subject company is a Associate Company of Emerchemie NB (Ceylon) Limited

Location.

 

The Subject Company is located at the client. # 60, Maligawatte Road, Colombo 10, Sri Lanka.

 

Factory : No. 667, Biyagama Road, Kelaniya Colombo, Sri Lanka  

 

Operational Details.

 

General

The subject company primary line of business is an Importer and distributor of Pharmaceutical Products.

 

Products

Pharmaceutical products

 

Import Countries

The Netherlands, UK, India, Pakistan, Indonesia, Bangladesh, Korea, Australia

 

No of Employees

15

 

Trading Terms

Purchasing Terms : Cash / Advanced Payment

Sales Terms : Cash

 

Customers

Retailers

 

Holding Company

Emerchemie NB (Ceylon) Limited

 

 

FINANCIAL DATA

 

Based on the corporate laws of Sri Lanka, legal entities which are Private Company with Limited Liability is not required to make public disclosure of their annual financials.  

Therefore No detailed financials are available for this entity.

 

Activity started from 2013

 

Sales Turnover       

 

2013-14 : Rs.25.000 Million (Sri Lanka Rs.)

     

Trade references

 

Cosmetic, Devices & Drugs Regulatory Authority 

 


Credit Recommendations

 

Since no detailed financial information has been forthcoming from the company, it is not possible to comment on the merits or otherwise of the company.

 

No computerised data bases exist to make checks whether the partners or the company has any legal action or lawsuit initiated against any of them but informal (but not in-depth) checks do not indicate any such cases in the public knowledge.

 

Maximum Credit Limit : USD 1100

 

 

ANALYSIS

 

Appraisal of Subject Company

 

 Rating:

a) Business Scale        

NA

b) Business Trend

Average

c) Management Capability

Average

d) Commercial Morality

Average

e) Reputation

Average

f) Market Situation

Competitive

 

 

INFORMATION PARTED BY

 

Name :              Mr. Nalin K. K.

Designation :     Director

Contact No.:      (00 94 11) 268 6493


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.95

UK Pound

1

Rs.102.78

Euro

1

Rs.81.39

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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%)

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