MIRA INFORM REPORT

 

 

Report Date :

11.06.2014

 

IDENTIFICATION DETAILS

 

Name :

ASIA VETERINARY SDN. BHD.

 

 

Registered Office :

2255, Mukim 14, Jalan Persekutuan, Bukit Minyak, 14000 Bukit Mertajam, Pulau Pinang

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

07.04.1981

 

 

Com. Reg. No.:

69319-H

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

·         Engaged in trading veterinary products for livestock industry & pet animals. 

·         Subject offers a wide range of products including chemical & pharmaceutical products, animal feed additives and raw materials, antibiotic, supplements & health products as well as premix

·         Subject also trades vitamins, minerals, flavours and feed additives.

 

 

No of Employees :

30 [2014]

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow But Correct 

 

 

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)

Malaysia

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

 


 

malaysia ECONOMIC OVERVIEW

 

Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. NAJIB's Economic Transformation Program (ETP) is a series of projects and policy measures intended to accelerate the country's economic growth. The government has also taken steps to liberalize some services sub-sectors. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy's dependence on exports. Nevertheless, exports - particularly of electronics, oil and gas, palm oil and rubber - remain a significant driver of the economy. As an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies about 35% of government revenue in 2011. Bank Negera Malaysia (central bank) maintains healthy foreign exchange reserves, and a well-developed regulatory regime has limited Malaysia's exposure to riskier financial instruments and the global financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

 

Source : CIA

 

 


 

 

* Adopted abbreviations :

SC - Subject Company (the company enquired by you)

 

N/A - Not Applicable

 

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

69319-H

COMPANY NAME

:

ASIA VETERINARY SDN. BHD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

07/04/1981

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

2255, MUKIM 14, JALAN PERSEKUTUAN, BUKIT MINYAK, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

BUSINESS ADDRESS

:

2255, MUKIM 14, JALAN PERSEKUTUAN, BUKIT MINYAK, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

TEL.NO.

:

04-5028888

FAX.NO.

:

04-5021111

CONTACT PERSON

:

ONG HENG LEE ( MANAGING DIRECTOR )

INDUSTRY CODE

:

47738

PRINCIPAL ACTIVITY

:

·         Engaged in trading veterinary products for livestock industry & pet animals. 

·         Subject offers a wide range of products including chemical & pharmaceutical products, animal feed additives and raw materials, antibiotic, supplements & health products as well as premix

·         Subject also trades vitamins, minerals, flavours and feed additives.

AUTHORISED CAPITAL

:

MYR 25,000,000.00 DIVIDED INTO 
ORDINARY SHARE 25,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 18,655,200.00 DIVIDED INTO 
ORDINARY SHARES 16,269,200 CASH AND 2,386,000 OTHERWISE OF MYR 1.00 EACH.

SALES

:

MYR 128,168,417 [2012]

NET WORTH

:

MYR 43,472,908 [2012]

STAFF STRENGTH

:

30 [2014]

BANKER (S)

:

AMBANK (M) BHD
OCBC BANK (MALAYSIA) BHD
RHB BANK BHD
STANDARD CHARTERED BANK MALAYSIA BHD
UNITED OVERSEAS BANK (MALAYSIA) BHD
THE CHARTERED BANK
HONG LEONG BANK BHD
HSBC BANK MALAYSIA BHD
UNITED MALAYAN BANKING CORPORATION BHD
STANDARD CHARTERED BANK

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

POOR

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act, 1965 and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

 

The Subject is principally engaged in the (as a / as an) trading in veterinary products for livestock industry & pet animals.

 

The Subject is not listed on Bursa Malaysia (Malaysia Stock Exchange).

 

 

Share Capital History

Date

Authorised Shared Capital

Issue & Paid Up Capital

30/06/2013

MYR 25,000,000.00

MYR 18,655,200.00

30/06/2003

MYR 10,000,000.00

MYR 9,600,000.00

12/06/2003

MYR 10,000,000.00

MYR 7,200,000.00

14/12/2001

MYR 10,000,000.00

MYR 5,200,000.00

31/12/1998

MYR 5,000,000.00

MYR 4,200,000.00

31/12/1991

MYR 1,000,000.00

MYR 700,000.00

31/01/1989

MYR 500,000.00

MYR 500,000.00

10/12/1987

MYR 500,000.00

MYR 200,000.00

 

The major shareholder(s) of the Subject are shown as follows :


Name

Address

IC/PP/Loc No

Shareholding

(%)

MR. ONG HENG LEE +

2657, JALAN MEGAT HARUN, TAMAN KEENWAY, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

540809-07-5339 4669329

6,638,904.00

35.59

MR. ONG CHIN KOOI @ ONG CHIN SIONG +

18, JALAN PERSIARAN INDAH, TAMAN BUKIT INDAH, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

360218-07-5187 0309046

4,238,904.00

22.72

MS. ONG SOO HOON +

29G, LORONG KANTAN SATU, TAMAN JAYA, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

641111-07-5532 7477803

3,450,936.00

18.50

MR. ONG JING HAUR

2657, JALAN MEGAT HARUN, TAMAN KEENWAYS, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

810419-07-5373

1,875,000.00

10.05

MR. ONG WEE LAM

29-G, LORONG KANTAN SATU, TAMAN JAYA, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

660318-07-5787 A1255476

787,968.00

4.22

EST. OF ONG EWE SAN

4043, JALAN SEKOLAH, KAMPUNG JURU, SIMPANG AMPAT, PULAU PINANG, 14150, MALAYSIA.

5229066

787,968.00

4.22

EST. OF ONG SIEW KIM (DECEASED)

348 JURU VILLAGE, BUKIT MERTAJAM, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

3790617

437,760.00

2.35

MR. ONG AH TOO

249, JURU VILLAGE, BUKIT MERTAJAM, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

470303-07-5015 3790592

437,760.00

2.35

---------------

------

18,655,200.00

100.00

============

=====

+ Also Director

 

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :



Local No

Country

Company

(%)

As At

423369H

MALAYSIA

ASAS WANGSA SDN. BHD.

100.00

29/03/2013

224440X

MALAYSIA

TOTAL MERGE DEVELOPMENT SDN. BHD.

51.46

29/03/2013

 

 

DIRECTORS



DIRECTOR 1

Name Of Subject

:

MS. ONG SOO HOON

Address

:

29G, LORONG KANTAN SATU, TAMAN JAYA, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

IC / PP No

:

7477803

New IC No

:

641111-07-5532

Date of Birth

:

11/11/1964

Nationality

:

MALAYSIAN

Date of Appointment

:

28/05/2003

 


DIRECTOR 2

Name Of Subject

:

MR. ONG CHIN KOOI @ ONG CHIN SIONG

Address

:

18, JALAN PERSIARAN INDAH, TAMAN BUKIT INDAH, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

IC / PP No

:

0309046

New IC No

:

360218-07-5187

Date of Birth

:

18/02/1936

Nationality

:

MALAYSIAN

Date of Appointment

:

07/04/1981

 

DIRECTOR 3

Name Of Subject

:

MR. ONG HENG LEE

Address

:

2657, JALAN MEGAT HARUN, TAMAN KEENWAY, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

IC / PP No

:

4669329

New IC No

:

540809-07-5339

Date of Birth

:

09/08/1954

Nationality

:

MALAYSIAN

Date of Appointment

:

07/04/1981



MANAGEMENT

 

 

 

1)

Name of Subject

:

ONG HENG LEE

Position

:

MANAGING DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

CHI-LLTC

Auditor' Address

:

29B, LORONG P.S.1, BANDAR PERDA, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

FOO SIEW EAN

IC / PP No

:

3772807

New IC No

:

500220-08-6346

Address

:

16, TINGKAT BUKIT KECIL 2, TAMAN SRI NIBONG, 11900 BAYAN LEPAS, PULAU PINANG, MALAYSIA.

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

AMBANK (M) BHD

 

2)

Name

:

OCBC BANK (MALAYSIA) BHD

 

3)

Name

:

RHB BANK BHD

 

4)

Name

:

STANDARD CHARTERED BANK MALAYSIA BHD

 

5)

Name

:

UNITED OVERSEAS BANK (MALAYSIA) BHD

 

6)

Name

:

THE CHARTERED BANK

 

7)

Name

:

HONG LEONG BANK BHD

 

8)

Name

:

HSBC BANK MALAYSIA BHD

 

9)

Name

:

UNITED MALAYAN BANKING CORPORATION BHD

 

10)

Name

:

STANDARD CHARTERED BANK

 

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

01/07/1983

N/A

THE CHARTERED BANK

MYR 250,000.00

Satisfied

3

01/07/1983

N/A

STANDARD CHARTERED BANK

MYR 300,000.00

Satisfied

5U1

01/07/1983

N/A

STANDARD CHARTERED BANK

MYR 200,000.00

Satisfied

2

17/02/1984

N/A

UNITED MALAYAN BANKING CORP

MYR 140,000.00

Satisfied

4

19/12/1985

N/A

UNITED MALAYAN BANKING CORP

MYR 140,000.00

Satisfied

5

01/07/1986

N/A

STANDARD CHARTERED BANK

MYR 50,000.00

Satisfied

6

27/01/1989

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,295,000.00

Satisfied

7

05/10/1990

N/A

UNITED MALAYAN ABNKING CORPBHD

MYR 300,000.00

Satisfied

8

05/10/1990

N/A

UNITED MALAYAN BANKING CORPBHD

MYR 300,000.00

Satisfied

9

05/10/1990

N/A

UNITED MALAYAN BANKING CORPBHD

MYR 950,000.00

Satisfied

10

05/10/1990

N/A

UNITED MALAYAN BANKING CORPBHD

MYR 950,000.00

Satisfied

11

26/02/1991

N/A

UNITED MALAYAN BANKING CORPORATION BHD

MYR 370,000.00

Satisfied

12

26/02/1991

N/A

UNITED MALAYAN BANKING CORPORATION BHD

MYR 370,000.00

Satisfied

13

30/07/1991

N/A

UNITED MALAYAN BANKING CORPORATION BHD

MYR 515,000.00

Satisfied

14

30/07/1991

N/A

UNITED MALAYAN BANKING CORPORATION BHD

MYR 515,000.00

Satisfied

15

30/07/1991

N/A

UNITED MALAYAN BANKING CORPORATION BHD

MYR 515,000.00

Satisfied

17

12/03/1992

N/A

UMBC BHD

MYR 515,000.00

Satisfied

18

12/03/1992

N/A

UMBC BHD

MYR 950,000.00

Satisfied

19

12/03/1992

N/A

UMBC

MYR 300,000.00

Satisfied

20

12/03/1992

N/A

UMBC BHD

MYR 370,000.00

Satisfied

16

16/03/1992

N/A

UNITED MALAYAN BANKING CORPBHD

MYR 300,000.00

Satisfied

21

26/09/1994

N/A

HONG LEONG BANK BHD

MYR 320,000.00

Satisfied

22

26/09/1994

N/A

HONG LEONG BANK BHD

MYR 8,430,000.00

Satisfied

23

26/09/1994

N/A

HONG LEONG BANK BHD

MYR 8,750,000.00

Satisfied

24

26/09/1994

N/A

HOND LEONG BANK BHD

MYR 8,750,000.00

Satisfied

25

12/08/1995

N/A

HONG LEONG BANK BHD

MYR 1,800,000.00

Satisfied

26

12/08/1995

N/A

HONG LEONG BANK BHD

MYR 1,800,000.00

Satisfied

27

25/08/1997

N/A

HONG LEONG BANK BHD

MYR 1,500,000.00

Satisfied

28

25/08/1997

N/A

HONG LEONG BANK BHD

MYR 1,500,000.00

Satisfied

29

25/08/1997

N/A

HONG LEONG BANK BHD

MYR 1,500,000.00

Satisfied

30

25/08/1997

N/A

HONG LEONG BANK BHD

MYR 1,500,000.00

Satisfied

31

01/08/2000

N/A

HONG LEONG BANK BERHAD

MYR 2,000,000.00

Satisfied

32

01/08/2000

N/A

HONG LEONG BANK BERHAD

MYR 2,000,000.00

Satisfied

33

01/08/2000

N/A

HONG LEONG BANK BERHAD

MYR 2,000,000.00

Satisfied

34

01/08/2000

N/A

HONG LEONG BANK BERHAD

MYR 2,000,000.00

Satisfied

35

01/08/2000

N/A

HONG LEONG BANK BERHAD

MYR 2,000,000.00

Satisfied

36

01/08/2000

N/A

HONG LEONG BANK BERHAD

MYR 2,000,000.00

Satisfied

37

11/03/2002

N/A

HONG LEONG BANK BERHAD

MYR 16,900,000.00

Satisfied

38

11/03/2002

N/A

HONG LEONG BANK BERHAD

MYR 10,200,000.00

Satisfied

39

11/03/2002

N/A

HONG LEONG BANK BERHAD

MYR 8,500,000.00

Satisfied

40

05/05/2005

N/A

UNITED OVERSEAS BANK MALAYSIA BHD

-

Satisfied

41

05/07/2005

OPEN CHARGE

STANDARD CHARTERED BANK MALAYSIA BERHAD

-

Unsatisfied

42

05/07/2005

OPEN CHARGE

STANDARD CHARTERED BANK MALAYSIA BERHAD

-

Unsatisfied

43

05/07/2005

OPEN CHARGE

STANDARD CHARTERED BANK MALAYSIA BERHAD

-

Unsatisfied

44

12/08/2005

OPEN CHARGE

AMBANK (M) BERHAD

MYR 19,000,000.00

Unsatisfied

45

26/01/2007

FACILITIES AGREEMENT

RHB BANK BERHAD

-

Unsatisfied

46

26/01/2007

FACILITIES AGREEMENT & FIRST PARTY OPEN ALL MONIES CHARGE

RHB BANK BERHAD

-

Unsatisfied

47

26/01/2007

FACILITIES AGREEMENT & FIRST PARTY OPEN ALL MONIES CHARGE

RHB BANK BERHAD

-

Unsatisfied

48

26/01/2007

FACILITIES AGREEMENT & FIRST PARTY OPEN ALL MONIES CHARGE

RHB BANK BERHAD

-

Unsatisfied

49

28/07/2008

MEMORANDUM OF LEGAL CHARGE

UNITED OVERSEAS BANK (MALAYSIA) BERHAD

-

Unsatisfied

52

21/08/2008

MEMORANDUM OF CHARGE

UNITED OVERSEAS BANK (MALAYSIA) BERHAD

-

Unsatisfied

50

11/11/2008

LEGAL CHARGE

OCBC BANK (MALAYSIA) BERHAD

-

Unsatisfied

51

11/11/2008

LEGAL CHARGE

OCBC BANK (MALAYSIA) BERHAD

-

Unsatisfied

53

28/12/2012

NEGATIVE PLEDGE

HSBC BANK MALAYSIA BERHAD

-

Unsatisfied

57

26/02/2013

FIRST PARTY FIRST LEGAL CHARGE UNDER THE NATIONAL LAND CODE

AMBANK (M) BERHAD

MYR 5,000,000.00

Unsatisfied

54

08/03/2013

SECURITY AGREEMENT OVER BANK ACCOUNT

STANDARD CHARTERED BANK MALAYSIA BERHAD

-

Unsatisfied

58

30/07/2013

FIRST PARTY SECOND LEGAL CHARGE

AMBANK (M) BERHAD

MYR 1,500,000,000.00

Unsatisfied

 

 

LEGAL CHECK AGAINST SUBJECT


* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No legal action was found in our databank. 

No winding up petition was found in our databank. 

DEFAULTER CHECK AGAINST SUBJECT


* We have checked through the Subject in our defaulters' database which comprised of debtors that have been blacklisted by our customers and debtors that have been placed or assigned to us for collection since 1990. Information was provided by third party where the debt amount can be disputed. Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed. 

No blacklisted record & debt collection case was found in our defaulters' databank. 

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

YES

Overseas

:

YES

Import Countries

:

CHINA,JAPAN,UNITED STATES,GERMANY,BELGIUM,ITALY


The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

 

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

]

Average 61-90 Days

[

X

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

YES

Percentage

:

90%

Domestic Markets

:

MALAYSIA

Overseas

:

YES

Percentage

:

10%

Export Market

:

INDONESIA

PHILIPPINES

THAILAND

VIETNAM

Credit Term

:

30 - 120 DAYS

Payment Mode

:

CASH
CHEQUES
TELEGRAPHIC TRANSFER (TT)

Type of Customer

:

POULTRY FARMS,VETERINARY CLINIC

 

OPERATIONS

 

Goods Traded

:

ANIMAL PRODUCTS AND FOODS

Competitor(s)

:

DREAM-MAKERS SDN BHD
IPOH INTERNATIONAL ANIMAL FEED (M) SDN BHD
PERTANIAN KUALA LUMPUR SDN BHD
PREMIER GRAIN SDN BHD
QL FEED SDN BHD

Member(s) / Affiliate(s)

:

CHEMICAL INDUSTRIES COUNCIL OF MALAYSIA (CICM)

Ownership of premises

:

OWNED

 

Total Number of Employees:

 

YEAR

2014

2013

2012

2011

2010


GROUP

N/A

N/A

N/A

N/A

N/A

COMPANY

30

30

30

30

30

 

Branch

:

NO

 

Other Information:

The Subject is principally engaged in the (as a / as an) trading in veterinary products for livestock industry & pet animals. 

The Subject offers a wide range of products including chemical & pharmaceutical products, animal feed additives and raw materials, antibiotic, supplements & health products, premix and others.

The Subject normally provides its animal raw materials, nutritional and medication for distribution to local and overseas livestock industry.

Some of the Subject's products namely:-

* DL-Methionine.
* L-Lysine.
* Choline Chloride 60%.
* Chlorte tracycline 15% / FG (Calcium Complex).
* Bylorte tracycline.
* Eva-Sol-Plus.
* Avazin-Plus.

Besides that the Subject also trades vitamins, minerals, flavours and feed additives.

We were informed that the Subject imports its products on weekly basis about 30 to 40 containers per month.

Besides that the Subject repacks its products into bags, cottons, drums and as per customer's requirements. 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

045028888

Current Telephone Number

:

04-5028888

Match

:

YES

Address Provided by Client

:

2722, MK 15, Jalan Persekutuan, Bukit Menayak,  14000 Bukit Penang, Malaysia

Current Address

:

2255, MUKIM 14, JALAN PERSEKUTUAN, BUKIT MINYAK, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

Match

:

NO

Latest Financial Accounts

:

YES

 

Other Investigations

we contacted one of the staff from the Subject and she provided some information.

 

The address provided is the former address of the subject.

 

The Subject had shifted from the address provided.

 

FINANCIAL ANALYSIS

 

 

Profitability

Turnover

:

Decreased

[

3.31%

]

Profit/(Loss) Before Tax

:

Decreased

[

53.63%

]

Return on Shareholder Funds

:

Unfavourable

[

0.27%

]

Return on Net Assets

:

Unfavourable

[

6.42%

]

The lower turnover could be due to the unfavourable market conditions.The Subject's profit fell sharply because of the high operating costs incurred. The unfavourable return on shareholders' funds could indicate that the Subject was inefficient in utilising its assets to generate returns.

Working Capital Control

Stock Ratio

:

Unfavourable

[

65 Days

]

Debtor Ratio

:

Favourable

[

54 Days

]

Creditors Ratio

:

Favourable

[

32 Days

]

The Subject could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

Liquidity

Liquid Ratio

:

Unfavourable

[

0.58 Times

]

Current Ratio

:

Unfavourable

[

0.96 Times

]

A low liquid ratio means that the Subject may be facing working capital deficiency. If the Subject cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.

Solvency

Interest Cover

:

Unfavourable

[

1.29 Times

]

Gearing Ratio

:

Unfavourable

[

1.21 Times

]

The Subject's interest cover was low. If its profits fall or when interest rate rises, it  may not be able to meet all its interest payment. The Subject was highly geared, thus it had a high financial risk. The Subject was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the Subject will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the Subject has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the Subject's turnover and the interest it needs to pay.

Overall Assessment :

The Subject's performance deteriorated over the years with lower turnover and profit. Due to its weak liquidity position, the Subject will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the Subject. If there is a fall in the Subject's profit or any increase in interest rate, the Subject may not be able to generate sufficient cash-flow to service its interest. The Subject's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.

Overall financial condition of the Subject : POOR

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2009

2010

2011

2012*

2013**

Population ( Million)

28.13

28.35

28.70

29.30

29.80

Gross Domestic Products ( % )

(0.5)

7.2

5.1

5.6

5.3

Domestic Demand ( % )

2.9

6.3

8.2

9.4

5.6

Private Expenditure ( % )

(2.7)

8.1

8.2

8.0

7.4

Consumption ( % )

0.7

6.7

7.1

1.0

5.7

Investment ( % )

(17.2)

17.7

12.2

11.7

13.3

Public Expenditure ( % )

5.2

3.8

8.4

13.3

1.2

Consumption ( % )

3.1

0.2

16.1

11.3

(1.2)

Investment ( % )

8.0

2.8

(0.3)

15.9

4.2

Balance of Trade ( MYR Million )

89,650

118,356

116,058

106,300

110,700

Government Finance ( MYR Million )

(28,450)

(40,482)

(45,511)

(42,297)

(39,993)

Government Finance to GDP / Fiscal Deficit ( % )

(4.8)

(5.6)

(5.4)

(4.5)

(4.0)

Inflation ( % Change in Composite CPI)

(5.2)

5.1

3.1

1.6

2.5

Unemployment Rate

4.5

3.9

3.3

3.2

3.0

Net International Reserves ( MYR Billion )

331

329

415

427

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

2.87

2.20

3.50

2.20

-

Average 3 Months of Non-performing Loans ( % )

11.08

15.30

14.80

14.70

-

Average Base Lending Rate ( % )

5.53

6.30

6.60

6.53

-

Business Loans Disbursed( % )

10.5

14.7

15.3

32.2

-

Foreign Investment ( MYR Million )

22,156.8

22,517.9

23,546.1

26,230.4

-

Consumer Loans ( % )

-

-

-

-

-

Registration of New Companies ( No. )

41,578

44,148

45,455

45,441

-

Registration of New Companies ( % )

(0.1)

6.2

3.0

(0.0)

-

Liquidation of Companies ( No. )

39,075

25,585

132,476

-

-

Liquidation of Companies ( % )

39.6

(34.5)

417.8

-

-

Registration of New Business ( No. )

312,581

271,414

284,598

324,761

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

19,345

19,738

20,121

-

-

Business Dissolved ( % )

2.4

2.0

1.9

-

-

Sales of New Passenger Cars (' 000 Unit )

486.3

543.6

535.1

552.2

-

Cellular Phone Subscribers ( Million )

30.1

32.8

35.3

38.5

-

Tourist Arrival ( Million Persons )

23.6

24.6

24.7

25.0

-

Hotel Occupancy Rate ( % )

58.0

63.0

60.6

62.4

-

Credit Cards Spending ( % )

12.8

14.1

15.6

12.6

-

Bad Cheque Offenders (No.)

36,667

33,568

32,627

26,982

-

Individual Bankruptcy ( No.)

16,228

18,119

19,167

19,575

-

Individual Bankruptcy ( % )

16.7

11.7

5.8

2.1

-

INDUSTRIES ( % of Growth ):

2009

2010

2011

2012*

2013**

Agriculture

0.4

2.1

5.9

0.6

2.4

Palm Oil

(1.1)

(3.4)

10.8

(2.8)

-

Rubber

(19.8)

9.9

6.1

(0.6)

-

Forestry & Logging

(5.9)

(3.3)

(7.6)

(2.2)

-

Fishing

5.5

5.6

2.1

(0.7)

-

Other Agriculture

9.0

7.9

7.1

6.4

-

Industry Non-Performing Loans ( MYR Million )

413.7

508.4

634.1

-

-

% of Industry Non-Performing Loans

1.3

2.1

3.2

-

-

Mining

(3.8)

0.2

(5.7)

1.5

2.7

Oil & Gas

2.1

0.5

(1.7)

-

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

44.2

49.7

46.5

-

-

% of Industry Non-performing Loans

0.1

0.1

0.1

-

-

Manufacturing #

(9.4)

11.4

4.7

4.2

4.9

Exported-oriented Industries

(19.0)

12.1

2.8

4.1

-

Electrical & Electronics

(30.3)

28.4

(4.9)

1.6

-

Rubber Products

(10.1)

25.3

15.4

3.6

-

Wood Products

(24.1)

20.1

(4.9)

4.6

-

Textiles & Apparel

(19.5)

(0.4)

14.8

(7.1)

-

Domestic-oriented Industries

(9.8)

16.3

6.5

8.6

-

Food, Beverages & Tobacco

0.2

3.0

4.2

-

-

Chemical & Chemical Products

(7.7)

16.2

5.5

9.9

-

Plastic Products

(9.1)

2.4

3.8

-

-

Iron & Steel

(32.7)

29.3

2.4

-

-

Fabricated Metal Products

(2.5)

14.9

25.2

-

-

Non-metallic Mineral

(15.5)

20.2

27.1

6.6

-

Transport Equipment

(13.5)

36.5

(10.4)

13.7

-

Paper & Paper Products

(5.0)

18.7

14.8

(7.8)

-

Crude Oil Refineries

0.2

(11.4)

9.3

-

-

Industry Non-Performing Loans ( MYR Million )

6,007.3

6,217.5

6,537.2

-

-

% of Industry Non-Performing Loans

18.3

23.8

25.7

-

-

Construction

5.8

5.1

4.4

15.5

11.2

Industry Non-Performing Loans ( MYR Million )

3,241.8

4,038.5

3,856.9

-

-

% of Industry Non-Performing Loans

9.9

10.7

10.2

-

-

Services

2.6

6.5

6.4

5.5

5.6

Electric, Gas & Water

0.4

8.5

5.6

4.8

-

Transport, Storage & Communication

1.6

7.7

6.5

7.3

-

Wholesale, Retail, Hotel & Restaurant

2.8

4.7

5.2

6.9

-

Finance, Insurance & Real Estate

3.8

6.1

6.3

6.5

-

Government Services

2.0

6.7

7.6

5.6

-

Other Services

4.4

4.2

5.4

5.7

-

Industry Non-Performing Loans ( MYR Million )

6,631.3

7,384.6

6,825.2

-

-

% of Industry Non-Performing Loans

20.2

25.7

23.4

-

-

* Estimate / Preliminary

** Forecast

# Based On Manufacturing Production Index 
(Source : Department of Statistics / Economic Report / Bank Negara Report)

 

INDUSTRY ANALYSIS

 

MSIC CODE

47738 : Retail sale of aquarium fishes, pet animals and pet food

INDUSTRY :

TRADING

According to the Retail Group Malaysia (RGM), the wholesale and retail trade sector forecast to grow to 6% in year 2013. During the first quarter of year 2013, RGM is estimating the retail industry to grow 6.9%. Many retailers have been enjoying better sales since the government handed out cash from mid-January of 2013 under the second round of Bantuan Rakyat 1Malaysia to more than 12 million Malaysians. Bookstores and related retail stores have also started enjoying rising sales since the RM250 1Malaysia Book Voucher was distributed to 1.3 million private and public university students. Besides, since early February 2013, handphone traders and retailers selling smartphone accessories have started to benefit from the RM200 rebate on smartphones for 1.5 million young adults aged between 21 and 30 years with a monthly income of not more than RM3,000.

The wholesale and retail trade sector grew 6.1% in the first half of the year 2012 driven by strong domestic consumption and the increasing number of large format stores operating in Malaysia, including 180 foreign hypermarkets, superstores and departmental stores as at end of August 2012. In addition, other indicators such as imports of consumption goods were higher by 15.2%.

In 2012, the wholesale and retail trade sector growth to 5.5% driven by higher consumption which benefited from Government initiatives under the 2012 Budget such as BR1M, Baucar Buku 1Malaysia (BB1M) and the RM100 assistance for all primary and secondary school students. The performance of the sector will also be supported by ongoing efforts to modernise the retail segment under the ETP. In 2012, 500 retail shops and 50 workshops are targeted to be modernised under the Retail Shop Transformation (TUKAR) and Automotive Workshop Modernisation (ATOM) programmes, respectively. As at end of July 2012, 95 workshops have been modernised, surpassing the yearly target, while 393 retail shops have been modernised.

Growth of the sector is anticipated to remain encouraging with ongoing efforts by the Government to increase its contribution to the economy. Major initiatives include increasing the number of large format stores such as hypermarkets, superstores and departmental stores are carried out to boost the economy.

Over 60% of Gross Domestic Product (GDP) is contributed by domestic consumption, therefore the wholesale and retail sector plays a crucial role in driving Malaysia's growth over the next decade despite the ongoing global economic slowdown. By 2020, Malaysia's wholesale and retail sector is expected to boost the country's total Gross National Income (GNI) by RM156 billion, creating 454,190 new jobs.

OVERALL INDUSTRY OUTLOOK : Average Growth

 


CREDIT RISK EVALUATION & RECOMMENDATION

 

 

Incorporated in 1981, the Subject is a Private Limited company, focusing on trading in veterinary products for livestock industry and pet animals. The Subject has been in business for over 3 decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term. The Subject is expected to enjoy a stable market shares. The Subject is a large entity with strong capital position. We are confident with the Subject's business and its future growth prospect. 

Apart from supplying its products to the local market, the Subject also exports to overseas countries. Its ability to penetrate into the global market has benefited the Subject in terms of higher profitability and well diversified its business risk. Hence, better growth prospect can be expected. The Subject's business operation is supported by 30 employees. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject. 

The Subject's business performance showed a reverse trend as both its turnover and pre-tax profit have decreased compared to the previous year. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. The high gearing ratio clearly implied that the Subject was supported by more debt than equity. Nevertheless, given a positive net worth standing at MYR 43,472,908, the Subject should be able to maintain its business in the near terms. 

The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources. 

Overall, the Subject's payment habit is average. 

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry. 

 

 

PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL REPORTING STANDARDS(FRS)

ASIA VETERINARY SDN. BHD.

 

Financial Year End

2012-12-31

2011-12-31

2010-12-31

2009-12-31

2008-12-31

Months

12

12

12

12

12

Consolidated Account

GROUP

GROUP

Company

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

SUMMARY

Currency

MYR

MYR

MYR

MYR

MYR

TURNOVER

128,168,417

132,554,362

119,353,275

105,949,398

106,318,923

----------------

----------------

----------------

----------------

----------------

Total Turnover

128,168,417

132,554,362

119,353,275

105,949,398

106,318,923

Costs of Goods Sold

-

-

(111,010,727)

(97,870,396)

-

----------------

----------------

----------------

----------------

----------------

Gross Profit

-

-

8,342,548

8,079,002

-

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) FROM OPERATIONS

754,938

1,628,248

2,042,030

1,334,554

2,660,994

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

754,938

1,628,248

2,042,030

1,334,554

2,660,994

Taxation

(646,057)

(629,791)

(1,036,857)

(562,841)

(958,824)

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

108,881

998,457

1,005,173

771,713

1,702,170

Minority interests

8,639

15,540

-

-

-

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

117,520

1,013,997

1,005,173

771,713

1,702,170

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

117,520

1,013,997

1,005,173

771,713

1,702,170

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

7,154,275

6,016,424

5,011,251

4,239,538

2,537,368

----------------

----------------

----------------

----------------

----------------

As restated

7,154,275

6,016,424

5,011,251

4,239,538

2,537,368

----------------

----------------

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

7,271,795

7,030,421

6,016,424

5,011,251

4,239,538

TRANSFER TO RESERVES - General

-

123,854

-

-

-

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

7,271,795

7,154,275

6,016,424

5,011,251

4,239,538

=============

=============

=============

=============

=============

INTEREST EXPENSE (as per notes to P&L)

Bank overdraft

84,638

58,979

45,093

24,233

-

Bankers' acceptance

1,857,711

1,900,130

1,493,043

1,326,873

-

Term loan / Borrowing

504,411

604,001

635,573

635,720

-

Trust receipts

131,391

110,866

87,841

102,117

-

Others

548

4,961

-

-

-

----------------

----------------

----------------

----------------

----------------

2,578,699

2,678,937

2,261,550

2,088,943

-

=============

=============

=============

=============

 

 

 

BALANCE SHEET

 

 

ASIA VETERINARY SDN. BHD.

 

ASSETS EMPLOYED:

FIXED ASSETS

46,149,798

42,219,294

42,460,258

32,318,653

33,023,464

Investments

10,879

102,340

102,340

102,340

-

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

10,879

102,340

102,340

102,340

81,350

Goodwill on consolidation

8,345,097

4,294,084

-

-

-

----------------

----------------

----------------

----------------

----------------

TOTAL INTANGIBLE ASSETS

8,345,097

4,294,084

-

-

-

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

54,505,774

46,615,718

42,562,598

32,420,993

33,104,814

Stocks

22,873,505

21,503,284

17,483,707

18,503,568

-

Trade debtors

18,803,325

20,551,652

16,027,065

17,476,336

-

Other debtors, deposits & prepayments

1,703,788

2,753,054

485,321

3,194,979

-

Short term deposits

4,062,376

3,945,130

3,432,728

2,549,718

-

Trading account securities

-

-

397,022

397,022

-

Amount due from related companies

5,232

3,002,909

7,320,239

3,069,135

-

Amount due from director

4,435,186

4,651,576

33,537

941,601

-

Cash & bank balances

6,352,090

8,974,777

2,153,822

1,060,044

-

Others

-

-

-

101,222

-

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT ASSETS

58,235,502

65,382,382

47,333,441

47,293,625

38,837,055

----------------

----------------

----------------

----------------

----------------

TOTAL ASSET

112,741,276

111,998,100

89,896,039

79,714,618

71,941,869

=============

=============

=============

=============

=============

CURRENT LIABILITIES

Trade creditors

11,162,060

10,525,708

4,476,053

3,040,208

-

Other creditors & accruals

1,052,777

1,319,923

704,093

4,390,641

-

Bank overdraft

179,070

233,845

-

26,996

-

Short term borrowings/Term loans

1,359,035

1,475,005

1,645,406

1,596,735

-

Other borrowings

8,189,941

2,534,386

5,142,092

4,158,213

-

Bill & acceptances payable

38,172,000

46,368,125

39,276,000

39,020,000

-

Amounts owing to director

481,623

210,072

-

-

-

Provision for taxation

257,362

288,635

329,335

-

-

Other liabilities

-

-

-

1,968,020

-

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

60,853,868

62,955,699

51,572,979

54,200,813

48,715,609

----------------

----------------

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

(2,618,366)

2,426,683

(4,239,538)

(6,907,188)

(9,878,554)

----------------

----------------

----------------

----------------

----------------

TOTAL NET ASSETS

51,887,408

49,042,401

38,323,060

25,513,805

23,226,260

=============

=============

=============

=============

=============

SHARE CAPITAL

Ordinary share capital

18,655,200

18,655,200

11,155,200

11,155,200

11,155,200

----------------

----------------

----------------

----------------

----------------

TOTAL SHARE CAPITAL

18,655,200

18,655,200

11,155,200

11,155,200

11,155,200

Revaluation reserve

13,864,176

10,841,729

10,965,583

3,924

3,924

Retained profit/(loss) carried forward

7,271,795

7,154,275

6,016,424

5,011,251

4,239,538

----------------

----------------

----------------

----------------

----------------

TOTAL RESERVES

21,135,971

17,996,004

16,982,007

5,015,175

4,243,462

MINORITY INTEREST

3,681,737

3,690,376

-

-

-

----------------

----------------

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

43,472,908

40,341,580

28,137,207

16,170,375

15,394,738

Long term loans

4,731,668

6,030,432

7,415,579

9,012,830

-

Deferred taxation

3,682,832

2,670,389

2,770,274

330,600

-

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

8,414,500

8,700,821

10,185,853

9,343,430

7,827,598

----------------

----------------

----------------

----------------

----------------

51,887,408

49,042,401

38,323,060

25,513,805

23,226,260

=============

=============

=============

=============

=============

 

 

 

FINANCIAL RATIO

 

 

ASIA VETERINARY SDN. BHD.

 

TYPES OF FUNDS

Cash

10,414,466

12,919,907

5,586,550

3,609,762

-

Net Liquid Funds

(27,936,604)

(33,682,063)

(33,689,450)

(35,437,234)

-

Net Liquid Assets

(25,491,871)

(19,076,601)

(21,723,245)

(25,410,756)

(9,878,554)

Net Current Assets/(Liabilities)

(2,618,366)

2,426,683

(4,239,538)

(6,907,188)

(9,878,554)

Net Tangible Assets

43,542,311

44,748,317

38,323,060

25,513,805

23,226,260

Net Monetary Assets

(33,906,371)

(27,777,422)

(31,909,098)

(34,754,186)

(17,706,152)

BALANCE SHEET ITEMS

Total Borrowings

52,631,714

56,641,793

53,479,077

53,814,774

-

Total Liabilities

69,268,368

71,656,520

61,758,832

63,544,243

56,543,207

Total Assets

112,741,276

111,998,100

89,896,039

79,714,618

71,941,869

Net Assets

51,887,408

49,042,401

38,323,060

25,513,805

23,226,260

Net Assets Backing

43,472,908

40,341,580

28,137,207

16,170,375

15,398,662

Shareholders' Funds

43,472,908

40,341,580

28,137,207

16,170,375

15,398,662

Total Share Capital

18,655,200

18,655,200

11,155,200

11,155,200

11,155,200

Total Reserves

21,135,971

17,996,004

16,982,007

5,015,175

4,243,462

LIQUIDITY (Times)

Cash Ratio

0.17

0.21

0.11

0.07

-

Liquid Ratio

0.58

0.70

0.58

0.53

-

Current Ratio

0.96

1.04

0.92

0.87

0.80

WORKING CAPITAL CONTROL (Days)

Stock Ratio

65

59

53

64

-

Debtors Ratio

54

57

49

60

-

Creditors Ratio

32

29

15

11

-

SOLVENCY RATIOS (Times)

Gearing Ratio

1.21

1.40

1.90

3.33

-

Liabilities Ratio

1.59

1.78

2.19

3.93

3.67

Times Interest Earned Ratio

1.29

1.61

1.90

1.64

-

Assets Backing Ratio

2.33

2.40

3.44

2.29

2.08

PERFORMANCE RATIO (%)

Operating Profit Margin

0.59

1.23

1.71

1.26

2.50

Net Profit Margin

0.09

0.76

0.84

0.73

1.60

Return On Net Assets

6.42

8.78

11.23

13.42

11.46

Return On Capital Employed

5.20

7.52

11.23

13.40

11.46

Return On Shareholders' Funds/Equity

0.27

2.51

3.57

4.77

11.06

Dividend Pay Out Ratio (Times)

0.00

0.00

0.00

0.00

-

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

0

0

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.26

UK Pound

1

Rs.99.63

Euro

1

Rs.80.59

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.