MIRA INFORM REPORT

 

 

Report Date :

06.06.2014

 

IDENTIFICATION DETAILS

 

Name :

EL HESN TEXTILES SAE

 

 

Registered Office :

Plot B2, Industrial Area, Sharkeya, 10th of Ramadan City

 

 

Country :

Egypt

 

 

Year of Establishment :

1981

 

 

Com. Reg. No.:

2393, 10th of Ramadan City

 

 

Legal Form :

Egyptian Joint Stock Company

 

 

Line of Business :

Engaged in the production and processing of fabrics and yarns

 

 

No of Employees :

1,200 (Approximately)

 

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)

Egypt

B1

B1

 

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

 

 

Egypt ECONOMIC OVERVIEW

 

Occupying the northeast corner of the African continent, Egypt is bisected by the highly fertile Nile valley, where most economic activity takes place. Egypt's economy was highly centralized during the rule of former President Gamal Abdel NASSER but opened up considerably under former Presidents Anwar EL-SADAT and Mohamed Hosni MUBARAK. Cairo from 2004 to 2008 aggressively pursued economic reforms to attract foreign investment and facilitate growth. Poor living conditions combined with limited job opportunities for the average Egyptian contribute to public discontent. After unrest erupted in January 2011, the Egyptian Government backtracked on economic reforms, drastically increasing social spending to address public dissatisfaction, but political uncertainty at the same time caused economic growth to slow significantly, reducing the government's revenues. Tourism, manufacturing, and construction were among the hardest hit sectors of the Egyptian economy, pushing up unemployment levels, and economic growth remains slow amid political uncertainty, government transitions, unrest, and cycles of violence. Cairo since 2011 has drawn down foreign exchange reserves and depended on foreign assistance, particularly from Gulf countries, to finance imports and energy products and prevent further devaluation of the Egyptian pound, fearing higher inflation from a weaker currency.

 

Source : CIA

 


SUMMARY

 

Company Name                                    : EL HESN TEXTILES SAE

Country of Origin                                   : Egypt

Legal Form                                           : Egyptian Joint Stock Company

Start Date                                             : 1981

Registration Date                                  : 2000

Commercial Registration Number           : 2393, 10th of Ramadan City

Issued Capital                                       : £E 100,000,000

Paid up Capital                                     : £E 100,000,000

Total Workforce                         : 1,200

Activities                                               : Production and processing of fabrics and yarns.

Financial Condition                                : Undetermined

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                : Dr Ayman Yousef, Finance Manager

 


COMPANY NAME

 

EL HESN TEXTILES SAE

 

 

company ADDRESS

 

Registered & Physical Address

Location           : Plot B2

Area                 : Industrial Area, Sharkeya

Town                : 10th of Ramadan City

Country : Egypt

Telephone         : (20-15) 360451

Facsimile          : (20-15) 360457

Email                : info@hesnitextiles.com / info@hesny.com.eg

 

Premises

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of 10th of Ramadan City.

 

Branch Offices

 

Location                                                                                          Description

 

·       89 El Azhar Street                                                                             Office premises

PO Box: 52

Cairo

Tel: (20-2) 25104960

Fax: (20-2) 25100093

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

·       Shareef Robert Hesny                                                                       Chairman

·       Marian Robert Hesny                                                                        Director

·       Robert Hesny                                                                                   Director

·       Dr Ayman Yousef                                                                             Finance Manager

·       Mohamed El Tarabani                                                                       Production Manager

·       Nadim El Gharaya                                                                             Export Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1981, however subject was registered in 2000

 

Legal Form                  : Egyptian Joint Stock Company

 

Commercial Reg. No.   : 2393, 10th of Ramadan City

 

Issued Capital              : £E 100,000,000

 

Paid up Capital            : £E 100,000,000

 

Name of Shareholder (s)

·       Shareef Robert Hesny

·       Marian Robert Hesny

·       Robert Hesny

 

 

OPERATIONS

 

Activities: Engaged in the production and processing of fabrics and yarns.

 

Subject produces over 45 million meters of woven fabrics annually, about 25% of which is exported by its customers to Europe and the USA in the form of garments. It also processes over 8,000 tons of knitted fabrics and 1,300 tons of yarn annually, 60% of which is also exported to Europe and the USA. The company specializes in the pre-treatment, dyeing, printing and finishing of both woven and knitted fabrics.

 

Export Countries: Europe and the United States of America.

 

Subject has a workforce of approximately 1,200 employees.

 

 

FINANCIAL DATA

 

Companies registered in Egypt are not legally required to make their accounts public and no financial information was released by the company or submitted by outside sources.

 

 

BANKERS

 

·       Misr International Bank (MIBANK)

Main Branch

10th of Ramadan City

Tel: (20-15) 378435

Fax: (20-15) 378327

 

 

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.59.30

UK Pound

1

Rs.99.34

Euro

1

Rs.80.70

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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.