MIRA INFORM REPORT

 

 

Report Date :

24.05.2014

 

IDENTIFICATION DETAILS

 

Name :

AL KABBANI COMPANY FOR DECORATION & CONTRACTING

 

 

Registered Office :

Al Suhaili Center, King Fahd Road, Al Sitteen Area 16375, Jeddah 21464

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

09.03.1982

 

 

Com. Reg. No.:

4030033696

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Subject are engaged as general decoration works contractors as well as and distributing decoration materials, ceramics, tiles, plaster, coating materials and thermal products.

 

 

No of Employees :

150

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – September 30, 2013

 

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

Saudi Arabia

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

 


 

SAUDI ARABIA - ECONOMIC OVERVIEW

 

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Diversification efforts are focusing on power generation, telecommunications, natural gas exploration, and petrochemical sectors. Over 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors, while Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs. Riyadh has substantially boosted spending on job training and education, most recently with the opening of the King Abdallah University of Science and Technology - Saudi Arabia's first co-educational university. As part of its effort to attract foreign investment, Saudi Arabia acceded to the WTO in 2005. The government has begun establishing six "economic cities" in different regions of the country to promote foreign investment and plans to spend $373 billion between 2010 and 2014 on social development and infrastructure projects to advance Saudi Arabia's economic development

 

Source : CIA

 

 


SUMMARY

 

Company Name                                     : AL KABBANI COMPANY FOR DECORATION & CONTRACTING

Country of Origin                                    : Saudi Arabia

Legal Form                                            : Limited Liability Partnership

Registration Date                                   : 9th March 1982

Commercial Registration Number            : 4030033696, Jeddah

Chamber Membership Number                : 11752

Issued Capital                                        : SR 4,000,000

Paid up Capital                                      : SR 4,000,000

Total Workforce                                     : 150

Activities                                               : General decoration works contractors as well as and distributing

  decoration materials, ceramics, tiles, plaster, coating materials and   

  thermal products

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Person Interviewed                                 : Adel Shrief, Finance Manager

 

 
COMPANY NAME

 

AL KABBANI COMPANY FOR DECORATION & CONTRACTING

 

 

company ADDRESS

 

Registered & Physical Address

 

Building             : Al Suhaili Center

Street               : King Fahd Road

Area                 : Al Sitteen Area

 

PO Box             : 16375

 

Town                 : Jeddah 21464

Country             : Saudi Arabia

 

Telephone         : (966-12) 6981028 / 6981043

Facsimile          : (966-12) 6726417 / 6474503 / 6728079

Mobile               : (966-50) 5759462

Email                : kabbani_decor@hotmail.com / info@ikk-decor.com

 

Premises

 

Subject operates from a medium sized suite of offices, a warehouse and a showroom that are rented and located in the Central Business Area of Jeddah.

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Main Street                                                                                       Office & warehouse premises

Al Qasabah Area

PO Box: 511

Abha

Tel: (966-7) 2248024 / 2247680

Fax: (966-7) 2244854

 

·       Tahlia Street                                                                                     Rented showroom premises

Jeddah

Tel: (966-2) 6733431

 

·       Khamis Mushait                                                                                Rented showroom premises

Tel: (966-7) 2200682

 

·       Najran                                                                                              Rented showroom premises

Tel: (966-7) 5220016

 

·       Al Manaq                                                                                          Rented showroom premises

Tel: (966-7) 2820807

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

 

·       Telal Al Dabbag                                                                                 General Manager

 

·       Mahmoud Bahsas                                                                             Assistant General Manager

 

·       Hassan Al Shalani                                                                             Administration Manager

 

·       Adel Shrief                                                                                        Finance Manager

 

·       Najeeb Mohamed                                                                              Administration Executive

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 14/05/1402 Hijri (corresponding to 9th March 1982)

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.  : 4030033696, Jeddah

 

Chamber Member No. : 11752

 

Issued Capital              : SR 4,000,000

 

Paid up Capital            : SR 4,000,000

 

Name of Partner (s)

 

·       Issam Kabbani Holding Co No. 3

Jeddah

 

·       Issam Kabbani Holding Co No. 4

Jeddah

 

AFFILIATED COMPANIES

 

·       Unitech Isam Kabbani & Partners Co Ltd (United Building Materials Co Ltd)

     Gulf Plaza, 6th Floor

     Madinah Road

     Electrical Market, Souq Gaurab

     PO Box: 5338

     Jeddah 21422

     Tel: (966-2) 6672000 / 6676494 / 6673180

     Fax: (966-2) 6658079 / 6614949

     Email: mail@alkabbani.com

 

·       National Marketing Est

Port Road

PO Box: 16375 / 17931

Jeddah 21464

Tel: (966-2) 6475010 / 6473381

Fax: (966-2) 6474503

 

Engaged as wholesalers of UPVC pipes and fittings and a wide range of items and products related to water, drainage and conduit installation projects. Subject is also engaged in the distribution and installation of decorative materials.

 

·       Issam Kabbani & Partners for Waterproofing Materials Co (BMC)

PO Box: 5338

Jeddah 21422

Tel: (966-2) 6673180

Fax: (966-2) 6658079

 

BMC is an engineering and contracting company specialising in waterproofing, damp-proofing, heat insulation and concrete repair.

 

·       Issam Kabbani & Partners for Supply & Trade Co Ltd

PO Box: 31567

Jeddah 21418

Tel: (966-2) 6474649

Fax: (966-2) 6486486

 

·       Issam Kabbani & Partners for Building & Construction Materials Co Ltd

PO Box: 5338

Jeddah 21422

Tel: (966-2) 6672000

Fax: (966-2) 6723781

 

·       Al Kabbani Co for Electric Trading

PO Box: 18033

Jeddah 21415

Tel: (966-2) 6481713

Fax: (966-2) 6478065

Distributors of electrical fittings, switchgear boards and cables.

 

·       Al Hayat Supermarket

PO Box: 16375

Jeddah 21464

 

·       Marketing Fittings Sanitary & Plumbing Co

PO Box: 16375

Jeddah

Retailers of sanitary fittings.

 

·       Issam Kabbani Co

PO Box: 16375

Jeddah 21464

Wholesalers of foodstuff.

 

·       Emam Distribution Co Ltd

PO Box: 1716

Jeddah 21441

Tel: (966-2) 6824294

Fax: (966-2) 6918227

 

·       Specialist International Marketing Group Co

PO Box: 6338

Jeddah 21422

Tel: (966-2) 6672000

Fax: (966-2) 6658079

 

·       Saudi Turkish Marine & Construction Contracting Co Ltd

PO Box: 7371

Jeddah 21462

Tel: (966-2) 6670457

Fax: (966-2) 6652473

 

·       Mahmoud Adada & Issam Kabbani & Partners Ltd

PO Box: 520

Makkah

Tel: (966-2) 5205555 / 5803056

 

Engaged in the production of wooden and metal furniture and kitchen units, as well as door, windows and decorative wood.

 

·       Al Hayat Building Materials Co Ltd

     Prince Majid Street

     PO Box: 18053

     Jeddah 21415

     Tel: (966-2) 6732322 / 6736327 / 6712380 / 6717095

     Fax: (966-2) 6712380

     Email: hayatbma@ogertel.com

 

 

OPERATIONS

 

Activities: Subject are engaged as general decoration works contractors as well as and distributing decoration

     materials, ceramics, tiles, plaster, coating materials and thermal products.

 

Import Countries: Germany, the United Kingdom, Italy and Spain.

 

International Suppliers:

 

·       Nevaluz                    Spain

·       Sonfi                        France

·       Forte                        Italy

 

Operating Trend: Steady

 

Subject has a workforce of 150 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

                                                Year Ending 31/12/12:              Year Ending 31/12/13:

 

Total Sales                                SR 36,721,465                           SR 38,106,769

 

Local sources consider subject’s financial condition to be Fair.

 

The above figures were provided by Mr. Adel Shrief, Finance Manager

 

 

BANKERS

 

·       National Commercial Bank

Al Balad Branch

King Abdulaziz Street

PO Box: 5066

Jeddah 21422

Tel: (966-12) 6434777

Fax: (966-12) 6441686

 

·       Al Bank Al Saudi Al Fransi

Al Sharafiya Branch

Madinah Road

PO Box: 7888

Jeddah 21472

Tel: (966-12) 6605863

 

·       Saudi American Bank

Madinah Road

PO Box: 490

Jeddah 21411

Tel: (966-12) 6603993

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Al Kabbani Company for Decoration & Contracting was established in 1982 and is engaged in the provision of decorating contracting services and the import and distribution of decoration materials, ceramics, tiles, plaster, coating materials and thermal products.

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 58.48

UK Pound

1

Rs. 98.67

Euro

1

Rs. 79.80

 

 

INFORMATION DETAILS

 

Analysis Done by :

KRN

 

 

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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