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Report Date : |
23.05.2014 |
IDENTIFICATION DETAILS
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Name : |
MOBICOM CORPORATION LLC |
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Registered Office : |
Sambuu Street 47, 38 Chingeltei District P.O. Box 15171, Ulaanbaatar |
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Country : |
Mongolia |
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Date of Incorporation : |
October 1995 |
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Com. Reg. No.: |
90190051111 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Subject Operators of a mobile telecommunication network based on GSM 900/1800 and CDMA 800 |
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No of Employees : |
1,300 plus |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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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 – September 30, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
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Mongolia |
C1 |
C1 |
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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 |
MONGOLIA - ECONOMIC OVERVIEW
Mongolia's extensive mineral deposits and attendant growth in mining-sector activities have transformed Mongolia's economy, which traditionally has been dependent on herding and agriculture. Mongolia's copper, gold, coal, molybdenum, fluorspar, uranium, tin, and tungsten deposits, among others, have attracted foreign direct investment. Soviet assistance, at its height one-third of GDP, disappeared almost overnight in 1990 and 1991 at the time of the dismantlement of the USSR. The following decade saw Mongolia endure both deep recession, because of political inaction and natural disasters, as well as economic growth, because of reform-embracing, free-market economics and extensive privatization of the formerly state-run economy. The country opened a fledgling stock exchange in 1991. Mongolia joined the World Trade Organization in 1997 and seeks to expand its participation in regional economic and trade regimes. Growth averaged nearly 9% per year in 2004-08 largely because of high copper prices globally and new gold production. By late 2008, Mongolia was hit hard by the global financial crisis. Slower global economic growth hurt the country's exports, notably copper, and slashed government revenues. As a result, Mongolia's real economy contracted 1.3% in 2009. In early 2009, the International Monetary Fund reached a $236 million Stand-by Arrangement with Mongolia and the country has largely emerged from the crisis with better regulations and closer supervision. The banking sector strengthened but weaknesses remain. In October 2009, Mongolia passed long-awaited legislation on an investment agreement to develop the Oyu Tolgoi mine, considered to be among the world's largest untapped copper-gold deposits. Mongolia's ongoing dispute with a foreign investor over Oyu Tolgoi, however, has called into question the attractiveness of Mongolia as a destination for foreign direct investment. Negotiations to develop the massive Tavan Tolgoi coal field also have stalled. The economy has grown more than 10% per year since 2010, largely on the strength of commodity exports to nearby countries and high government spending domestically. Mongolia's economy, however, faces near-term economic risks from the government's loose fiscal and monetary policies, which are contributing to high inflation, and from uncertainties in foreign demand for Mongolian exports. Trade with China represents more than half of Mongolia's total external trade - China receives more than 90% of Mongolia's exports and is Mongolia's largest supplier. Mongolia has relied on Russia for energy supplies, leaving it vulnerable to price increases; in the first 11 months of 2013, Mongolia purchased 76% of its gasoline and diesel fuel and a substantial amount of electric power from Russia. A drop in foreign direct investment and a decrease in Chinese demand for Mongolia's mineral exports are putting pressure on Mongolia's balance of payments. Remittances from Mongolians working abroad, particularly in South Korea, are significant.
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Source
: CIA |
Mobicom Corporation LLC
Street : Sambuu Street 47
Area : 38 Chingeltei District
P.O. Box : 15171
Town : Ulaanbaatar
Country : Mongolia
Telephone: (976
95) 070 202 ext. 481 (Khash Erdene Tsogdorj) / (976
11) 318 115 / Mobiles (976 99) 111
059 (Ms. Battsetseg
Galindev) / (976 99) 111 003 (Tseren
Baljir) / (976 99)
099 459 (Khash Erdene Tsogdorj) /
(976 99) 111 010
(Baterdene) / (976 99) 115 196 (Ms.
Sergelen Tsedeneamba)
/ (976 99) 008 371 (Ms. Dulguu)
Fax : (976 11) 310 411 / 450 848
E-Mail : battsetseg@mobicom.mn /
tserenbaljir@mobicom.mn
Website :
www.mobicom.mn
Also Known As : Mobicom Corporation Co Ltd /
Mobicom Corporation XXK
Name Position
1. David Holliday Chief Executive Officer
2. Ms. Sergelen Tsedeneamba Chief
Financial Officer
3. Mukhbold Udval Director of Research & Development Center of
Mobicom
4. Ms. Battsetseg Galindev Director
of Reporting & Accounting Department
5. Ms. Dulguu Assistant to CEO
6. Bob Johnson VP Consumer Product and Marketing Sector
7. Ms Baterdene Procurement Manager
8. Tseren Baljir Technical Officer
Total Employees : 1,300
plus
No complaints have been heard regarding payments from
local suppliers
or banks.
Subject is a joint venture between KDDI Overseas
Holding BV, The Netherlands (30%), Summit Telecom Global Management BV, The
Netherlands (34%) and a local company Newcom LLC (36%). Subject is the largest
mobile telecommunication services
provider in Mongolia.
We consider it is acceptable to deal with subject for LARGE
amounts, however
in view of the lack of financial information we recommend international
suppliers exercise a degree of caution. Although it is normal accepted practice
for international suppliers to deal on secured terms with Mongolian importers.
Opinion on maximum credit : TUGRIK 4,100,000,000 (higher amounts may be considered with full
fiscal disclosure)
Trade risk assessment : Normal
NAME : TRADE AND DEVELOPMENT BANK OF
MONGOLIA
Branch : Juulnchny Gudamj 7
Town :
Ulaanbaatar 210646
Telephone :
(976 11) 312 362 / 331 133
Fax : (976 11) 325 449
The Company also has an account with the following
banks :
1. Golomt Bank of Mongolia
Main Branch
Bodi Tower,
Sukhbaatar Square
Ulaanbaatar
Telephone : (976 11) 311 530
Fax :
(976 11) 312 307
2. Khan Bank of Mongolia
Peace Avenue
P.O Box-185
Ulaanbaatar
Telephone : (976 11) 457 880
Fax :
(976 11) 457 880
3. Khas Bank
Xac Bank
Building, Ulaanbaatar-14200
Post Branch
20 A
PO Box 72
Ulaanbaatar
14200
Telephone : (976 11) 318 185
Fax :
(976 11) 328 701
4. Capitron Bank
Usny 4 Street
Sukhbaatar
district
Ulaanbaatar
14253
Telephone : (976 11) 328 373
Fax :
(976 11) 328 372
5. National Investment Bank
National
Investment Bank Building
Khoroo 3,
Usnii Street 1, Sukhbaatar district
Telephone : (976 11) 321 995 / (976 75)757 070
Fax :
(976 11) 323 999
Private companies in Saudi Arabia
are not required to publish or disclose balance sheets. Balance sheets are not
available from other sources, and the subject interviewed declined to give any
financial information, which the company regards as strictly confidential.
The following financial
information is the latest available on the Subject :
Sales Turnover
: TUGRIK 99,529,200,000 - 2006 - exact
: TUGRIK
145,390,000,000 - 2007 - exact
:
TUGRIK 184,500,000,000 - 2008 - exact
:
not given 2009 / 2010
: TUGRIK
205,596,240,000 - 2011 - exact
Net Profit
: TUGRIK 41,000,000,000 - 2006 - exact
: TUGRIK 62,500,000,000 - 2007 - exact
: TUGRIK 87,200,000,000 - 2008 - exact
:
not given 2009 / 2010
: TUGRIK 74,570,600,000 - 2011 - exact
Total Invested Capital : US DLRS 9,000,000
Financial year ends 31 December.
The following financial information applies to the Newcom
Group (latest available) :
Sales Turnover : US DLRS 200,000,000 - 2011 - exact
Net Profit : not given
Financial year ends 31 December.
Date Started :
October 1995
History :
The company was incorporated in Mongolia in October 1995 and commenced
operations on 18 March 1996. Subject's shareholders were KDDI Corporation
(44.4%), Sumitomo Corporation (44.4%) and Newcom Co Ltd (11.2%).
In August 2006, subject's shareholding structure
changed to the present.
C.R. No. :
90190051111
Tax No. :
2072572
Authorized Capital :
TUGRIK 6,134,200,000
Paid up Capital :
TUGRIK 6,134,200,000
Limited Liability Company with the following
shareholders :
Shareholders Percentage
1. Newcom LLC 36%
Naiman
Zovkhis Building, 8th Floor
Seoul Street
21
Sukhbaatar
District
Ulaanbaatar
14251
Chairman : Tserenpuntsag Boldbaatar
Est.: 23 April 1993
Tax No.: 2095963
Capital : US DLRS 100,00
2. Summit Telecom Global Management BV 34%
Strawinskylaan 917
The
Netherlands
C.R. No.:
34295787
(subsidiary
of Sumitomo Croporation, Japan)
3. KDDI Overseas Holding BV 30%
The
Netherlands
C.R. No.:
34383065
Affiliated companies of Mobicom Corporation LLC :
Associates
1. Newtel LLC
Tedy Center
Sambu Street 18
Chingelteli
District
Ulaanbaatar 38
Telephone : (976 11) 315 252
Fax :
(976 11) 315 434
2. Mongol Content LLC
Exe Plaza, 4th
Floor
Tumurchin Street
7/1
Chingelteli
District
Ulaanbaatar
Telephone : (976 11) 316 486 / 326 590
Fax
: (976 11) 326 591
3. Ulusnet LLC
8 Zovkhis
Building, 10th Floor
Seoul Street
21, 1st Khoroo
Sukhbaatar
District
Ulaanbaatar
Telephone : (976 11) 316 486
Fax :
(976 11) 322 686
E-Mail :
lkhagvadorj@ulusnet.mn
Employs : 50
Est. : 18 March 2005
C.R. No. : 9011048104
Tax No. : 2878941
4. Eznis Airways
4F, 8 Zovkhis
Building
Seoul street
21
Ulaanbaatar
14251
Telephone : (976 11) 313 183 / 311 967
Fax :
(976 11) 318 521 / 311 969
Eznis Airways was founded in January 2006 to provide
domestic and regional airline scheduled passenger, charter and freight
services. The initial focus is on the establishment of safe, reliable,
convenient, innovative and value for money domestic air transport services with
later expansion into broader aviation services both domestically and
regionally.
4. Newcom Property LLC
4F, 8 Zovkhis
Building
Seoul street
21
Ulaanbaatar
14251
Telephone : (976 11) 313 183 / 311 967
Fax :
(976 11) 318 521 / 311 969
The Newcom
Property LLC was established in March 2005 to provide comprehensive real estate
management services to private, commercial or industrial property owners,
investors and occupiers.
5. Tsegts LLC (frmly Newsec LLC)
4F, 8 Zovkhis
Building
Seoul street
21
Ulaanbaatar
14251
Telephone : (976 11) 313 183 / 311 967
Fax :
(976 11) 318 521 / 311 969
Newsec LLC
was established in May 2004 to provide comprehensive private and property security
services. The company is operated by carefully selected and thoroughly trained
people with experience in security many of who have military or police
backgrounds.
6. Newfund Non-bank Financial Institution LLC
4F, 8 Zovkhis
Building
Seoul street
21
Ulaanbaatar
14251
Telephone : (976 11) 313 183 / 311 967
Fax :
(976 11) 318 521 / 311 969
Newcom and
Mobicom jointly established Newfund Non-bank Financial Institution LLC in
January 2005. Newfund is now providing a range of financial services to Group
employees. Newfund provides long term, low interest loans housing and other
loans to Newcom Group staff as part of a comprehensive welfare program to
assist motivation and staff retention.
7. The Clean Energy Company
4F, 8 Zovkhis
Building
Seoul street
21
Ulaanbaatar
14251
Telephone : (976 11) 313 183 / 311 967
Fax : (976 11) 318 521 / 311 969
The Clean
Energy Company was established in December 2004 to initially assist in the
collection of data from wind measurement stations established on Salkhit
Mountain some 70 kilometers southeast of Ulaanbaatar to assess the site's
suitability for the construction of a Wind Power generation park.
8. GrapeCity LLC
Sambuu Street
47, Tedy Center,
Chingeltei District,
Ulaanbaatar
97611
Telephone : (976 11) 328 720 / 328 760
Fax :
(976 11) 328 707
GrapeCity
Mongolia is Mongolia s leading banking and payment solution provider which
embraces the most advanced technologies and the best global banking and
financial practices in the development of its wide variety of solutions. With
more than 10 years of practical experience, GrapeCity Mongolia is the leader in
Mongolia s Banking IT solution market. 10 of 14 Mongolian banks are using our
products, 8 of which have selected our core banking solution.
9. Mongol Content LLC
Exe Plaza,
4th Floor
Tumurchin
Street 7/1
Chingelteli
District
Ulaanbaatar
Telephone : (976 11) 316 486 / 326 590
Fax :
(976 11) 326 591
10.MOST PSP LLC
Ulaanbaatar
11.Mobifinance LLC
Ulaanbaatar
12.MobiNet Company
Sambuu Street
46
Tedy Center,
2nd Floor
Chingeltei
District
Ulaanbaatar
Telephone : (976 11) 326 401
Fax :
(976 11) 326 827
C.R. No. : 9011214001
Tax No. : 5334977
MobiNet
company has been providing broadband internet services based on VPN, VSDL,
Dial-Up and IP Wireless systems. There are over 11 types of services currently
been offered by Mobinet Company to consumers and corporate customers all over
Mongolia. The services range from Leased Line, VPN, Home Internet,
MobinetPhone, IP-PBX, Web and Mail server hosting and International Calling
Service under the brand name, GLOBUS CARD.
13.Newcom Mining Services LLC
301, Park
View Residence,
Chinggis
Avenue
Sukhbaatar
District
Ulaanbaatar
14240
Tel : (976 70) 077 009
Fax : (976 70) 077 368
E-Mail : john_karlsen@newcom.mn
Est. : 2011
The Company is involved in the following activities :
Operators of a mobile telecommunication network based
on GSM 900/1800 and CDMA 800 in Mongolia.
Subject also provides internet services including
dial-up and broadband.
Subject currently has 1,300,000 subscribers.
NACE Codes :
6120 / 6190
Subject is distributor for : Samsung C&T
Corporation (South Korea).
MobiCom provides cellular phone service to 3 cities,
21 provincial capitals, and settlements with up to 389 network points that
cover 90 percent of the Mongolian territory. We have 1,200,000 prepaid and
postpaid subscribers receiving our services through our 51 branch offices,
local service branches, and our over 10,000 sales points in Ulaanbaatar and
rural areas.
Imports equipment from China, South Korea, Germany,
Belgium, Sweden and France.
Subject does not export, all
sales are domestic.
The Company has the following facilities :
Rented premises comprising administrative offices
located at the heading address as well as 51 branches throughout Mongolia (see
‘Branch Offices’ below).
Until 2009 subject was located at
:
Mobicom Building
Peace Avenue 3/1
Chingeltei District, 1st Khoroo
P.O. Box : 20A
Ulaanbaatar 210620
Telephone :
(976 11) 318 118
Fax : (976 11) 324 017
1. Tedy 1
Sambuu Street
Chingeltei District
Telephone : (976 11) 312 222
E-Mail :
feedback@ntc.mn
2. Tedy 2
Tsambagarav, 1st
Khoroolol, Songino Khairkhan district
Telephone : (976 11) 687 978 / (976 75) 753 333
E-mail :
feedback@ntc.mn
3. Tedy3
Onon Center by its
former name, Bayangol district
Telephone : (976 75) 753 333
Fax :
(976 11) 367 413
E-mail :
feedback@ntc.mn
4. VIP Ulaanbaatar
West end of the
Ulaanbaatar hotel, Sukhbaatar District
Telephone : (976 75) 753 333
Fax :
(976 11) 320 840
E-mail :
feedback@ntc.mn
5. Khan Uul
22nd Settlement
Center Of Golomt Bank,2nd Floor
next to Jetro supermarket,
KHAN-UUL DISTRICT
Telephone : (976 11) 341 439
E-mail : feedback@ntc.mn
6. Technical Office
Mobicom
Building
Peace Avenue
3/1
Chingeltei
District, 1st Khoroo
P.O. Box 20A
Ulaanbaatar
210620
Telephone : (976 11) 318 118
Fax :
(976 11) 324 017
7. Naiman Zovkhis
Across the
road from the 1st School
Telephone : (976 75) 753 333
E-mail :
feedback@ntc.mn
8. Anduud
Left of TBD Anduud, Bayangol District
Telephone : (976 75) 753 333
E-mail :
feedback@ntc.mn
9. Nisekh
At the Mongol
Post LLC
on the left
end of the Domestic Passenger Hall of the “Chinggis
Khaan”
airport
Telephone : (976 70) 049 752 / (976 75) 753 333
E-mail : feedback@ntc.mn
10.And
Khadgalamj bank, 1st
Floor
11th Khoroolol,
Sukhbaatar District
Telephone : (976 75) 753 333
E-mail : feedback@ntc.mn
11.Royal Castle
Seoul
Business Center, 3rd Floor
In The North
Of The Chinggis Hotel, BAYANZURKHI DISTRICT
Telephone : (976 11) 318 115
Fax :
(976 11) 450 848
E-mail :
feedback@ntc.mn
The contact person which you provided : Dorjnamjil Bolorrn applies
to subject's former employee.
Interviewed :
Ms. Dulguu (Assistant to CEO).
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 58.57 |
|
|
1 |
Rs. 98.87 |
|
Euro |
1 |
Rs. 80.05 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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Report Prepared
by : |
DPT |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.