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Report Date : |
09.05.2014 |
IDENTIFICATION DETAILS
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Name : |
OR-SUN LTD. |
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Registered Office : |
29 Haavoda Street, Old Industrial Zone, Rosh Ha'ayin 4801752 |
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Country : |
Israel |
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Date of Incorporation : |
10.03.1996 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importers and marketers of home textile goods, e.g. towels, blankets
and beddings, curtains, blinds |
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No. of Employees : |
60 |
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Israel |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
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.
|
Source
: CIA |
OR-SUN LTD.
(Also known as HOME STYLE)
Telephone 972 3 910 22 70
Fax 972 3 910 22 71
29 Haavoda Street Old Industrial Zone
ROSH HA'AYIN 4801752 ISRAEL
A private limited company, incorporated as per file No. 51-229611-2 on
the 10.03.1996.
Authorized share capital NIS 29,400.00, divided into -
29,400 ordinary shares of NIS 1.00 each,
of which 2,640 shares amounting to NIS 2,640.00 were issued.
EYA TRADE & INVESTMENTS S.H. LTD., 50%, owned by Yaron Assa (60%)
and Eyal Assa (40%),
MAYA PROGRESS - INVESTMENTS LTD.*, 50%, controlled by Ganezi family,
headed by brothers Ofer Ganezi and Moshe Ganezi.
*Note: According to the Registrar of Companies, the legal
status of the private limited company MAYA PROGRESS - INVESTMENTS LTD. is
"under voluntarily liquidation". So far we have been unable to clear
this point with subject's officials, as in our current interview we were told
that there has been no change in ownership (we are still trying to speak with
the officials and update you in case we get clarifications).
Eyal Assa.
Importers and marketers of home textile goods, e.g. towels, blankets and
beddings, curtains, blinds, under brand name "Home Style".
Also designs and manufactures, through subcontractors in China, the said
products, which they sell for local and export markets including for private
label.
Also markets home textile goods under the international brands
"Keds" (local concession holder is SAKAL INTERNATIONAL), and
"Nici", "Angry Birds", "Adam & Eve",
"Bratz".
In addition, operates 7 retail stores for the said imported goods.
Sales are to HOME STYLE Group retail stores and other retailers.
Among clients are large retail and marketing chains, e.g. HOME CENTER,
ACE (both DIY chains), HAMASHBIR DEPARTMENT STORE (local largest department
store chain), SHUFERSAL (local largest supermarket chain), ELECTRA CONSUMERS
PRODUCTS (leading retailer of consumer goods), and others.
Over 80% of purchasing is from import, mostly from China and India.
Operating from rented premises (offices, store, logistic center and
warehouse), on an area of 1,800 sq. meters (rented from a company owned by the
Ganezi family), in 29 Haavoda Street (street number changed from 2 to 29),
Industrial Zone, Rosh Ha'ayin, and from a warehouse, on an area of 500 sq.
meters (rented), in 29 Haavoda Street, Industrial Zone, Rosh Ha'ayin.
Also operating from 7 retail stores.
Having 60 employees (had 36 employees in mid 2012, had 35 employees in
end of 2010).
Stock is valued at NIS 8,000,000 (similar to mid 2012 and to the end of
2010).
Other financial data not forthcoming.
There are 9 charges for unlimited amounts registered on the company's
assets (financial assets, fixed assets and vehicles), in favor of First
International Bank of Israel Ltd. and leasing companies (last charge placed
July 2012 on financial assets, prior charge to that was placed December 2009,
also on financial assets).
2006 sales claimed to be NIS 16,000,000.
2007 sales claimed to be NIS 22,000,000.
2008 sales claimed to be NIS 26,000,000.
2009 sales claimed to be NIS 26,000,000.
2010 sales claimed to be NIS 32,000,000.
2011 sales claimed to be NIS 38,000,000.
2012 sales claimed to be NIS 40,000,000.
Projected 2013 sales are NIS 41,000,000.
Among Ganezi family holdings:
BRILL SHOES INDUSTRIES LTD., some 20% held by Ganezi brothers, designers, manufacturers, importers, marketers and exporters of
footwear, apparel and fashion accessories, operating retail chains with total
of some 120 stores. Publicly traded on the Tel Aviv Stock Exchange,
current market value US$ 39.9 million. Its main subsidiaries:
SUPER BRANDS LTD., 100%
S.B.N CLOTHING LTD., 50%, holding NAUTICA brand rights, operates 18
stores.
KOL NAAL CENTER LTD., 75%., operating a retail chain store under the
name "Kol Naal Center" with 6 stores.
BRILL FASHION LTD. (known as Lee Cooper Israel), 100%, designers, manufacturers (via sub-contractors), importers and marketers of
fashion wear. Also operating retail store chain of "Lee Cooper" (37
shops).
Also controlled by Ganezi Brothers & Family:
HOLIS METAL INDUSTRIES LTD., designers, manufacturers and marketers of
window coverings (e.g. blinds, shades and curtain track systems).
ORGON INDUSTRIES (1972) LTD., marketers and retailers, offering full
range of shading solutions.
POLYLAC PAINTS AND LACQUERS INDUSTRIES LTD.,
manufacturers and marketers of industrial paints, lacquers and coating for
packaging and more.
EXPOSE FASHION LTD., 41% held by Ofer and Moshe Ganezi, importers and marketers of
ladies and kids swimwear and undergarments.
GALI CHAINS (1998) LTD., 50% owned by Ofer Ganezi, holds the "Gali" trade-marks (inactive otherwise).
Ganezi family has holdings in other companies and properties.
Among Assa family holdings:
HOME STYLE N.E. LTD. (Yaron Assa being main shareholder).
The First International Bank of Israel Ltd., Herzliya Pituach Branch
(No. 051), Herzliya, account No. 257745.
A check with the Central Banks’ database did not reveal anything
detrimental on subject’s a/m account.
Nothing unfavorable learned.
Ofer Ganezi and Moshe Ganezi are well-known local businessmen.
Subject's brand name "Home Style" is a locally recognized
name. It was founded by Yaron Assa in 1990 (under HOME STYLE N.E. LTD.),
initially operated as manufacturers and marketers of household textile goods.
Later they ceased manufacturing, due to competing cheaper products from
overseas.
At some stage, the brand "Home Style" was also assumed by
subject.
In April 2005 the Tel Aviv District Court accepted the request of HOME
STYLE N.E. LTD. and its owner Yaron Assa, to forbid HOMETEX R.A.S.N. LTD. from
marketing their products using the combination of the awards "home"
and "style". HOME STYLE claimed they have been marketing their
products in the local market under their brand name for 15 years in all main
retail chains.
The background for the business conflict begun when HOMETEX R.A.S.N.
LTD. was established in 2002 by Yaron Assa jointly with the other shareholders,
in order to manufacture and market home textile under the brand name "Home
Style".
Later, due to a business conflict between the sides, they decided to
dismantle their partnership and in January 2004 they signed an agreement
according to which Yaron Assa transferred all his shares to his partners, and
that HOMETEX R.A.S.N. could market products under the brand name "Home
Style" until the end of 2004 (paying royalties to Mr. Assa), however from
then on they are forbidden from using this style. According to the plaintiffs,
HOMETEX R.A.S.N. continued to violate the agreement, using the style "Home
Style" on their goods and in advertisings.
The Court ruled that defendants indeed violated the agreement and
instructed them not to use the said style anymore.
In the end of 2007 we visited subject's premises in Rosh Ha'ayin.
Subject is operating from a large commercial facility of two floors, the 1st
one used as a warehouse and logistics center. We noticed a very large amount of
stocks. On the second floor there are offices and storing facilities.
In March 2007, it was reported that subject received the license from
MARVEL of the U.S.A., to produce and market home textile products with the logo
of "Spiderman" in Israel.
In August 2008, it was reported that subject received the exclusive
concession for manufacturing and marketing home textile items with the brand
name “Keds. Subject will invest NIS 2.5 million in advertizing campaign.
Also in August 2008, it was reported that subject will invest some NIS 1
million in renovations in a new premises it leased in the Rosh Ha'ayin
Industrial Zone for their new logistics center and showroom.
According to CBS, import of consumer goods in 2012 marked a
1.9% increase continuing the rise of 9.8% in 2011. Most of the rise was in
durable goods (by 9.6%), which comprising some 40% of the import volume, while
import in durable goods decrease by 7.3% from 2011.
According to CBS, import of Household Utensils in 2012 rose
by 1.7% from 2011, summing up to NIS 2,484 million (although in $ terms import
fell by 5.8%), after in 2011 import rose by around 3% from 2010.
Import of Household Utensils the first 10 months
of 2013 remained similar compared to the parallel period in 2012 (7% rise in $
terms).
The local household products market is considered highly competitive
after reaching market saturation. It includes household textile, tableware and
kitchenware and utensils, bath accessories and ornaments &decorative items,
ceramic and glass ware. According to estimations, the local household products
market volume reaches NIS 2.5 – 3 billons annually (of which circa NIS 1
billion for “home textile”), and includes retail, wholesale, institutional
markets (Retail chains capture 30% of the market share, specialization stores
20%, while the institutional and workers unions sector has 50% share).
Good for trade engagements.
Note: Since the beginning of February 2013 Israel Post has started using a
new area code method of 7 digits (the old method of 5 digits is no longer
valid).
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.59.99 |
|
|
1 |
Rs.101.75 |
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Euro |
1 |
Rs.83.48 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIS |
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.