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Report Date : |
05.03.2014 |
IDENTIFICATION DETAILS
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Name : |
OFFIS TEXTILE LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
30.09.2009 |
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Date of Incorporation : |
18.02.1973 |
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Com. Reg. No.: |
52-003467-9 |
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Legal Form : |
Public Limited Company |
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Line of Business : |
Textile dyers,
printers and bleachers of textile woven fabrics, mainly for bed linen |
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No. of Employees |
Having 240 employees (had 235 employees in mid 2013,
similar to the beginning of 2012, had 220 employees in the beginning of
2010). |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 – december 01, 2013
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Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
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Israel |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
israEl ECONOMIC OVERVIEW
Israel has a
technologically advanced market economy. Its major imports include crude oil,
grains, raw materials, and military equipment. Cut diamonds, high-technology
equipment, and pharmaceuticals are among the leading exports. Israel usually
posts sizable trade deficits, which are covered by tourism and other service
exports, as well as significant foreign investment inflows. The global
financial crisis of 2008-09 spurred a brief recession in Israel, but the
country entered the crisis with solid fundamentals - following years of prudent
fiscal policy and a resilient banking sector. The economy has recovered better
than most advanced, comparably sized economies. In 2010, Israel formally
acceded to the OECD. Israel's economy also has weathered the Arab Spring
because strong trade ties outside the Middle East have insulated the economy
from spillover effects. Natural gasfields discovered off Israel's coast during
the past two years have brightened Israel''s energy security outlook. The
Leviathan field was one of the world''s largest offshore natural gas finds this
past decade, and production from the Tama field is expected to meet all of
Israel''s natural gas demand beginning mid-2013. In mid-2011, public protests
arose around income inequality and rising housing and commodity prices. The
government formed committees to address some of the grievances but has
maintained that it will not engage in deficit spending to satisfy populist
demands.
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Source : CIA |
OFFIS TEXTILE LTD.
Telephone 972 77 555 44 44
Fax 972 77 555
46 46
47 Moshe Sharet
Street
Industrial Zone
AZOR 5800273 ISRAEL
Originally
incorporated as a private limited company and registered as such as per file No.
51-063832-3 on the 18.02.1973.
Converted into a
public limited company and registered as such as per file No. 52-003467-9 on
the 10.02.1983. In parallel published a prospectus offering shares to the
public on the Tel Aviv Stock Exchange.
On 23.12.2009
following a successful tender offer for the shares held by the public, subject
was de-listed from trade (after being on the preservation list since July 2008)
and re-converted into a private limited company.
Authorized share
capital NIS 20,000,000.00, divided into -
20,000,000,000
ordinary shares of NIS 1.00 each,
of which
14,300,000 shares amounting to NIS 14,300,000.00 were issued.
Subject is owned by Eliezer Fishman, via owned
Israeli private companies (MAAVAR LTD., EDEN-RON INVESTMENT CO. LTD., E.T.
FISHMAN PROPERTIES (1998) LTD.) and via trustee POALIM TRUST SERVICES LTD.,
part of Eliezer Fishman Group.
1. Ramzi Gabbay, Chairman,
2. Eliezer Fishman,
3. Mrs. Ronit Fishman-Ophir, Mr. Fishman’s
daughter
4. Mrs. Ronit Even,
5. Eyal Fishman, Mr. Fishman’s son,
Sason Tzalisher
Textile dyers,
printers and bleachers of textile woven fabrics, mainly for bed linen.
Also operating retail
factory stores chain for selling finished textile products.
Some 50% of sales are for export, to factories, textile wholesalers and
retail chains in the USA, Canada, Europe, Russia, Egypt, Mexico, Taiwan, and
more.
Subject has some
130 clients.
Among local
clients: WARDINON TEXTILE, GOLF & CO., ARLIKTEX/ DARLAN, FOX, HOME CENTER,
FATTAL HOTELS, ISROTEL, IRONI TEXTILE – INDUSTRIES.
Among local suppliers: AVCO CHEMICALS, A.H. HADEEL, DYCOL, ALBA-TEX.
Fabrics are imported mainly from the Far East.
Operating from
rented premises (offices, plant), owned by Fishman family, on an area of 32,000
sq. meters, in 47 Moshe Sharet Street, Industrial Zone, Azor.
Having 240
employees (had 235 employees in mid 2013, similar to the beginning of 2012, had
220 employees in the beginning of 2010).
Current stock is
valued at NIS 60,000,000 similar to mid 2013).
In December 2009
subject's shares were purchased from the public according to a company value of
NIS 75 million.
Subject is an “Approved
Enterprise” and as such enjoys State financial assistance. Subject received
several approvals for their expansion plans of their plant from the Israeli
Investment Centre.
There are no
charges registered on the company's assets.
Balance Sheet showed (last obtainable):
NIS
(thousands)
31.12.2008 30.09.2009
ASSETS
Current assets
Cash and cash equivalents 2,008 4,468
Customers 44,931 47,257
Other
receivables 2,878 1,595
Inventory 64,270 56,386
114,087 109,706
Non-current assets
Investment
in subsidiary 469 425
Fixed
assets 16,434 14,044
16,903 14,469
130,990 124,175
======= =======
LIABILITIES
Current liabilities 65,985 57,812
Non-current liabilities 3,853 3,334
Equity 61,152 63,029
130,990 124,175
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Statement
of Income
NIS
(thousands)
Year
ended 31.12
2006 2007 2008
Sales 209,237 190,585 189,191
Gross profit 31,185 25,823 23,131
Operating income 17,583 12,022 7,957
Pre-Taxes Income 30,323 8,797 4,616
Net income 20,562 6,683 3,286
====== ====== ======
Consolidated first 3 quarters of 2009 sales NIS
152,689,000 (8% increase comparing to the parallel period in 2008), making a
gross profit of NIS 20,612,000, an operating profit of NIS 10,644,000, making a net profit of NIS
6,877,000 (compared to a net profit in parallel period 2008 of NIS 421,000).
Above data was taken from subject's
financial statements (while shares were traded on the Tel Aviv Stock Exchange).
2009 sales
reported to be some NIS 200,000,000.
According to a report
from May 2011, subject's 2010 sales were
NIS 250,000,000,
making a net profit of NIS 10,000,000.
2011 sales
reported to be NIS 273,000,000.
We are informed by
subject's CFO that 2012 and 2013 (projected) sales are between 250,000,000 -
NIS 300,000,000.
2012 sales claimed
to be NIS 270,000,000, 50% for export.
2013 sales claimed
to be NIS 280,000,000, 50% for export.
Note: 'reported to be'
means we obtained data from media reports; 'claimed to be' means we received
data from subject's officials.
AYALON BIO - GAS
LTD., 49%, utilizing natural gas produced by Hiriya dump site (see more in
CHARACTER).
FISHMAN GROUP, controlled by Eliezer Fishman, also fully or partially
holds a long list of companies in a large array of industrial and commercial
sectors in the local market, as well as broad operations abroad.
In the Retail
businesses, the Group holds FISHMAN CHAINS LTD., a roof company for the FISHMAN
Group’s retail businesses, managed by Mr. Fishman’s son Eyal Fishman and
includes:
HOME CENTER (DIY)
LTD., 90%, local largest DIY and household goods, indoor and outdoor furniture,
electrical and building materials and appliances, etc (45 branches nationwide,
as well as branches via subsidiaries in Cyprus. Annual consolidated sales were around
NIS 1 billion.
FISHMAN CELLULAR DIVISION GENERAL PARTNERSHIP, importers and distributors
of cellular phones.
HYPERTOY LTD., importers and marketers of toys (including
children and youth bicycles), games (including multimedia) and accessories,
operating 2 retail chains: Toys’R’Us", a franchisee of Toys’R’Us
International - 20 branches and The Red Pirate" – 20 branches.
E.F. DESIGNS -
LIMITED PARTNERSHIP, 49%, furniture and household goods, 23 store chain under
the names ”Betili”, “IDdesign”, "Rich & Taylor" and "My Home
Page", annual sales of NIS 200 million.
ZER. 4. U (2000)
LTD., a retail flower chain, operating some 30 stores nationwide (mostly by
concessionaires).
CELIO CLOTHING AND FOOTWEAR LTD., men’s fashion wear chain (some 20
branches).
TELEPHARMA THE
FIRST DIRECT PHARMACY (1999) LTD., Israel’s first direct marketing pharmacy
TEN - PETROLEUM
COMPANY LTD., operates 35 petrol stations.
GLOBRANDS AGENCIES
2007 LTD., 40%, importers and marketers of tobacco products of BRITISH AMERICAN
TOBACCO (BAT), of the U.K.
As well as the ACCESSORIZE franchise for fashion
accessories.
Eliezer Fishman and his family own, control and manage companies in major
important sectors in Israel (finance, industry, energy, hi-tech, media), real
estate assets as well as numerous foreign companies. Main publicly
traded companies controlled by FISHMAN Group are real estate holdings
companies JERUSALEM ECONOMY LTD. (JEC), one of the largest in Israel, and its subsidiary INDUSTRIAL BUILDINGS CORPORATION LTD., both publicly
traded on the Tel Aviv Stock Exchange (TASE), as well as DARBAN INVESTMENTS LTD. and MIRLAND DEVELOPMENT CORPORATION PLC.
·
The First
International Bank of Israel Ltd., Holon Business Branch (No. 078), Holon.
Mizrahi
Tefahot Bank Ltd., Tel Aviv Main Business Branch (No. 461), Tel Aviv.
Nothing
unfavorable learned.
FISHMAN Group is controlled by Mr. Eliezer Fishman, a leading local
businessman and entrepreneur, enjoying very good reputation. Fishman's influence on the local market is mainly from his real estate
holdings (as above OTHER COMPANIES) and in the local media/press field, via
local leading daily 'Yediot Ahronot' (33%, jointly with a partner) and in
'Globes' economic daily (full control, jointly with a partner).
Subject is one of
the leading companies in its field in Israel, and estimates its local market
share in sales of woven fabrics at 50%.
Ramzi Gabbay,
subject's Chairman (until February 2010 subject's General Manager for 23 years)
serves for many years as the Chairman of the Textile Manufactures Union and
presently serves as the Chairman of The Israel Export & International
Cooperation Institute (Government supported export promotion body).
In May 2011
subject's Chairman reported that it closed 2 sawing facilities in the Galilee
and transferred it production to Egypt.
Subject holds 49%
of AYALON BIO - GAS LTD., which utilizes the natural gas which is produced in
Hiriya, one of Israel's largest dump sites, thus significantly reducing energy
costs (According to a report from December 2012 several hundred thousand NIS
per month), as well as generating sales from sale of pollution rights.
According to a
report from December 2012, subject is contemplating to move its activities to
KITAN TEXTILE INDUSTRIES's shut down plant in Dimona.
Sales by local Textile, Clothing and Fashion Industries
have been experiencing decrease in sales over the last years. Some 60% of the textile
industry production is sold in the local market and the rest for export. Most exports are
the North American market, and the industries suffered from the global economic
crisis, mainly in the USA, as well as the slow-down in local market.
Sales for export
by the Textiles, Wearing Apparel & Leather industries has been in a
decreasing trend over the last years: export fell by 6.6%, 6.7% and 5.2% in the
years 2011, 2012 and 2013, respectively (from the previous year), reaching US$
763 million in 2013.
Besides the
weakness of global markets, the local
industry has been in state of crisis in face of amounting import from foreign
competitors with cheaper production costs, forcing streamlining process, plants
closure, and mostly resulting in the shift of textile manufacturing to low
labor cost countries. There are around 14,000 employed in the textile sector in
some 130 plants. In order to deal with the situation, the local textile
industry diverted mainly to advanced technologies production, niches and design
aspects.
Good for trade
engagements.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.61.90 |
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UK Pound |
1 |
Rs.103.26 |
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Euro |
1 |
Rs.85.14 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.