MIRA INFORM REPORT

 

 

Report Date :

12.07.2014   

 

IDENTIFICATION DETAILS

 

Name :

LULU HYPERMARKET LLC

 

 

Registered Office :

Al Muroor Street PO Box 4048 Abu Dhabi

 

 

Country :

United Arab Emirates

 

 

Date of Incorporation :

17.01.2006

 

 

Legal Form :

Limited Liability Company – LLC

 

 

Line of Business :

Engaged as operators of a chain of hypermarkets.

 

 

No. of Employees

5,000

 

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 :

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)

United Arab Emirates

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

 

UAE ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment

 

Source : CIA

SUMMARY

 

Company Name                                     : LULU HYPERMARKET LLC

Country of Origin                                    : Abu Dhabi, United Arab Emirates

Legal Form                                            : Limited Liability Company – LLC

Registration Date                                   : 17th January 2006

Trade Licence Number                            : 1080307

Chamber Membership Number                : 121812

Issued Capital                                        : UAE Dh 1,000,000

Paid up Capital                                      : UAE Dh 1,000,000

Total Workforce                                     : 5,000

Activities                                               : Operators of a chain of hypermarkets.

Financial Condition                                 : Undetermined

Payments                                             : Nothing detrimental uncovered

 

 

 

 

COMPANY NAME

 

 LULU HYPERMARKET LLC

 

 

ADDRESS

 

Registered & Physical Address

 

Location            : Al Muroor Street

PO Box             : 4048

Town                 : Abu Dhabi

Country             : United Arab Emirates

 

Telephone         : (971-2) 6420303 / 6421888 / 6421800 / 6427800 / 5506094 / 6422519

Facsimile          : (971-2) 6410555

Email                : headoffice@ae.lulumea.com

 

Premises

 

Subject operates from a large suite of offices and a hypermarket that are rented and located in the Central Business Area of Abu Dhabi.

 

Branch Office (s)

 

     Location                                                                                           Description

 

·       Al Wahada Mall                                                                                Hypermarket

Defence Road

Abu Dhabi

 

·       Al Khaldiyah Area                                                                             Hypermarket

Abu Dhabi

 

·       Beniyas Mall                                                                                     Hypermarket

Abu Dhabi

 

·       Mussafah                                                                                         Hypermarket     

Abu Dhabi

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Yousef Ali Mosialam                                                                          Managing Director

 

·       V I Saleem                                                                                       Chief Operating Officer

 

·       E Namputhiri                                                                                     Finance Manager

 

·       Mohamed Ghassan                                                                           Public Relations Manager

 

·       T Abu Baker                                                                                     Regional Manager

 

·       Haneef Mohamed Haneef                                                                   Assistant Finance Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 17th January 2006

 

Legal Form                  : Limited Liability Company – LLC

 

Trade Licence No.       : 1080307 (Expires 29/10/2014)

 

Chamber Mem. No.      : 121812

 

Issued Capital              : UAE Dh 1,000,000

 

Paid up Capital            : UAE Dh 1,000,000

 

Name of Shareholder (s)                                                        Percentage

 

·       EMKE Group                                                                        100%

PO Box: 60188

Dubai

 

 

AFFILIATED COMPANIES

 

Subject is a member of the well known EMKE Group which has operations dating back to 1966. It has diversified activities covering the department store/supermarket and hypermarket business, as well as the import and distribution of food stuff and consumer staple goods, garment manufacturing and also information technology training.

 

Based in the United Arab Emirates, the EMKE Group’s activities span the globe with operational bases in India, Hong Kong, Thailand, Indonesia, Kenya, Tanzania, Spain and other Middle East countries such as Oman, Qatar and Kuwait.

 

The EMKE Group consists of the following concerns:

 

·       EMKE General Trading

Al Qusais

PO Box: 60188

Dubai

Tel: (971-4) 2670077

Fax: (971-4) 2670088

 

·       Al Tayeb Meat Est

Mina Free Zone

     PO Box: 4048

     Abu Dhabi

     Tel: (971-2) 6732141

     Fax: (971-2) 6732144

 

·       Al Tayeb Cold Stores LLC

Mina Free Port

     PO Box: 4048

     Abu Dhabi

     Tel: (971-2) 6731831 / 6730393

     Fax: (971-2) 6731124

     Email: altcs@emirates.net.ae

 

·       Gulf Star Est

PO Box: 27608

Abu Dhabi

Tel: (971-2) 4481200

Fax: (971-2) 4481718

 

·       Huda Shipping International

     Mina Zayed

     PO Box: 4048

     Abu Dhabi

     Tel: (971-2) 6224226

     Fax: (971-2) 6224244

 

·       Syscoms Information Technology

     Liwa Street

     PO Box: 4048

     Abu Dhabi

     Tel: (971-2) 6224226

     Fax: (971-2) 6224244

 

·       Asif Jewellery

       Hamdan Street
PO Box: 4048
Abu Dhabi
Tel: (971-2) 6331366 
Fax: (971-2) 6334466

 

·       EMKE Stores

Mina

     PO Box: 4048

     Abu Dhabi

     Tel: (971-2) 6732131

     Fax: (971-2) 6732151

 

·       Emke Commodities (Kenya) Ltd

PO Box: 1556

Mombasa

Kenya

Tel: (254-11) 434463

Fax: (254-11) 432390

 

·       EMKE Tanzania Ltd

PO Box: 40652

Dar Ed Salaam

Tanzania

 

·       EMKE Garments (Kenya) Ltd

PO Box: 1556

Mombasa

Kenya

Tel: (254-11) 432585

Fax: (254-11) 432390

 

·       Fair Exports (India) Pvt. Ltd

     501 Madhava Bandra Kurla Complex

     Bandra (East)

     Mumbai 400051

     India

 

·       E K Prima Exports Thailand Ltd

     64/16 Sukhumvil Soi-20

     Bangkok 10110

     Thailand

 

·       E K Prima Exports HongKong Ltd

     Yu Cheong Ind Centre, Room 5K

     1 Wong Chuk Yeung Street

     Fotan

     Hong Kong

 

·       P.T.E.K. Prima Ekspor Indonesia

     J1, Mangga Dua Raya

     Block C 12

     Jakarta 14430

     Indonesia

     Tel: (62-21) 6128791/ 6128792

     Fax: (62-21) 6019438

 

·       Y Tex Fashions

     San Joaquin, 99-101 

     Bajos 1, 08922

     Santa Coloma Degramnet

     Barcelona

     Spain

 

 

OPERATIONS

 

Activities: Engaged as operators of a chain of hypermarkets.

 

Import Countries: Worldwide

 

Subject has a workforce of approximately 5,000 employees.

 

 

FINANCIAL DATA

 

Companies registered in Abu Dhabi, United Arab Emirates are not legally required to make their accounts public and no financial information was released by the company or submitted by outside sources.

 

 

BANKERS

 

·       Commercial Bank of Dubai

Sheikh Khalifa Street

PO Box: 2466

Abu Dhabi

Tel: (971-2) 6324324

 

·       Abu Dhabi Commercial Bank

Abu Dhabi Commercial Bank Building

Al Salam Street

PO Box: 939

Abu Dhabi

Tel: (971-2) 6962222 / 6962222

Fax: (971-2) 6776499 / 6776499

 

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.60.19

UK Pound

1

Rs.103.15

Euro

1

Rs.81.87

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

NIS

 

               

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.