|
Report Date : |
24.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
NOMIN HOLDING LLC
|
|
|
|
|
Formerly Known as : |
Nomin
Trade Co Ltd. |
|
|
|
|
Registered Office : |
State Department
Store, 7 Floor, Peace Avenue 23 (frmly Peace Avenue 44), Ulaanbaatar |
|
|
|
|
Country : |
Mongolia |
|
|
|
|
Date of Incorporation : |
11.07.1992 |
|
|
|
|
Com. Reg. No.: |
2708892 |
|
|
|
|
Legal Form : |
Limited Liability Company
|
|
|
|
|
Line of Business : |
·
Subject is a Holding and management
company Subject involves only
in key decision making for each subsidiary such as major capital expenditure
or partnership selection and provides various group-level services including
finance, human resource, legal, insurance, global marketing & media
communications to its subsidiaries, while each subsidiaries' day-to-day
operation is managed by a management team experienced in its own business
independently from the MCS Holding's management. |
|
|
|
|
No of Employees : |
350 Plus (Subject) 5,000 (Group) |
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Mongolia |
C1 |
C1 |
|
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 |
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.
|
Source
: CIA |
Nomin Holding LLC (Correct)
NOMINHOLDING CO LTD (Requested)
Building : Nomin
United Building
Street : Chinggis
Avenue
Area : Khan
Uul District
P.O. Box No.: 2316
Town : Ulaanbaatar
17042
Country : Mongolia
210136
Telephone : (976
75) 778 888 / Mobiles (976 99) 112 205
(Bayarsaikhan
Shagdarsuren) / (976 99) 112 111 / 113
872
(A. Delgermunkh) / (976 99) 114 981 (Ms Khosbayar
Sengdorj)
/ (976 99) 099 932 (B. Khorolsuren)
Fax : (976
75) 779 999
E-Mail : khosbayar.s@nomin.net
Website : www.nomin.mn
Also Known As : Nomin Holding Co LTD
Formerly Known As : Nomin 5 Pvt Ltd / Nomin Trade Co Ltd
Name Position
1. Bayarsaikhan
Shagdarsuren President / Executive Director of
Trading Business
2. Enkhbayar
Shagdarsuren Vice President / Chief Executive
Officer
/ Director of Financing
Business
3. Sh. Ulambayar Director
of Manufacturing Business
4. A. Shagdasuren Legal Advisor
5. R. Sodnom Human Resources Advisor
6. Ms Khosbayar
Sengdorj Director of Business Development
Department
7. Ms A. Delgermunkh Director
of Human Resources /
Administration
Department
8. A. Norsmaa Director of Internal Audit
Department
9. B. Nomin-Erdene Director of Marketing Department
10.Ms B. Khorolsuren Director
of Finance / Accounting
Department
11.P. Davaadorj Director of Legal Department
12.S. Sainbat Director of IT Department /
Director of Business
Cooperation
Division
13.Ms Arzjargaal Group Logistics Manager
Total Employees : 350
plus (subject)
5,000 (group)
No complaints have been
heard regarding payments from local suppliers
or banks.
Subject is a flagship of
the Nomin Group Companies - one of the
largest private sector
entities in terms of number of employees in
Mongolia with about 5,000
employees. The Group has more than 15
subsidiaries covering
diversified business activities including:
general manufacturing &
services, information & communications,
property development, and
food and beverages. The Group had annual
sales turnover US DLRS 200
million in 2011.
We consider it is
acceptable to deal with subject for LARGE amounts,
although it is normal
accepted practice for international suppliers
to deal on secured terms
with Mongolian importers.
Trade risk assessment :
Normal
NAME : TRADE AND DEVELOPMENT BANK OF MONGOLIA
Branch : Khudaldaany Gudamj 7
Town : Ulaanbaatar-11
Telephone: (976 11) 321 171
Fax : (976 11) 325 449
Acc. No. : 21220558 (US
$)
The company also has an account with the following
banks :
1. Golomt Bank of Mongolia
Sukhbatar Square 3
Ulaanbaatar
Telephone: (976 11) 329 057
Fax
: (976 11) 312 307
Acc. No. : 2122489 (US $)
2. Khan Bank
Seoul Street 25
Sukhbaatar District
Ulaanbaatar
Telephone: (976 11) 332 333
Fax
: (976 70) 117 023
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
Private companies in Mongolia are not required to publish or disclose
balance sheets. However, the subject interviewed offered the following
information :
Sales Turnover : US
DLRS 3,600,000 - 2013 – exact
: US DLRS
4,700,000 - 2014 - projected
Net Profit : not
given but stated to be profitable
Financial year ends 31
December.
The following information which applies to the group :
Sales Turnover : US DLRS
35,000,000 - 2003 – approx.
: US DLRS 48,000,000 - 2004 - exact
: US DLRS 60,000,000 - 2005 - exact
: US DLRS 65,000,000 - 2006 - exact
: US DLRS 80,000,000 - 2007 - exact
: US DLRS
150,000,000 - 2008 - exact
: US DLRS
153,000,000 - 2009 - exact
: US DLRS
170,000,000 - 2010 - exact
: US DLRS 200,000,000
- 2011 – exact
: US DLRS
250,000,000 - 2012 - exact
: US DLRS
295,000,000 - 2013 - exact
: US DLRS
413,000,000 - 2014 - projected *
Net Profit : not given but stated to be 10-14%
of the sales
* Projected increase in sales turnover in 2014 is due to favorable
market conditions.
Financial year ends 31
December.
Date Started : 11 July 1992
History : The company was
incorporated in Mongolia on 11 July 1992
under the name of Nomin 5
Pvt Ltd. In 1996, it changed its name to Nomin Trade Co Ltd.
On 29 May 2002, subject
acquired the present style.
C.R. No. : 2708892
Authorised Capital : US
DLRS 60,000,000 (increased from US DLRS
50,000,000 in December 2011)
Paid up Capital : US DLRS
60,000,000 (increased from US DLRS
50,000,000 in December 2011)
Limited Liability Company with the following sole
shareholder :
Bayarsaikhan
Shagdarsuren 100%
(Mongolian national)
Affiliated companies of Nomin Holding LLC :
Subsidiaries
1. Nomin Trading (100%)
State Department Store
Peace Avenue 23
Ulaanbaatar 688
Telephone:
(976 11) 313 232
Fax
: (976 11) 314 242
(importers, wholesalers and
retailers; operators of supermarket)
2. Nomin Union (100%)
Peace Avenue 23
Ulaanbaatar 688
Telephone: (976 11) 313 232
Fax
: (976 11) 314 242
(Managing Director : B. Ariunjargal)
(finance company)
3. Nomin Cards (100%)
Peace Avenue 23
P.O. Box 688
Ulaanbaatar
Telephone: (976 11) 313 232
Fax
: (976 11) 314 242
4. Nomin Insurance (100%)
Peace Avenue 23
P.O. Box 688
Ulaanbaatar
Telephone: (976 11) 313 232
Fax
: (976 11) 314 242
(Managing Director : S. Ganchimeg)
(finance company)
5. Nomin Construction (100%)
Peace Avenue 44
P.O. Box 688
Ulaanbaatar
Telephone: (976 11) 313 232
Fax
: (976 11) 314 242
(Managing Director : D. Enkhtuvshin)
(construction company)
6. Nomin Motors
Songinokhairkhan District, Khoroo 20
Ulaanbaatar
Telephone : (976 11) 631 222 / (976 99) 095 415 / 102 309
Fax
: (976 70) 142 484
E-Mail
: zorigtbayar.p@nomin.net
(Managing Director : Ya. Uugansukh)
7. Monel Electronic
Factory (80%)
(manufacturers, exporters and
wholesalers of audio visual, household
appliances, office equipment)
8. Erdenet Carpet LLC (80%)
Erdenet City 61000
Orkhon province
Telephone : (976 70) 351 517 / Mobile (976
99) 080 620
Fax
: (976 70) 359 617
Email
: baigal@erdcarpet.com
Website : www.carpet.mn
Managing Director : U. Myanganbayar
9. Ulsyn Ikh Delguur
HK (75%)
State Department Store, 7 Floor
Peace Avenue 23
(former state department store)
10.15 Nomin Singapore (73%)
Singapore
11.Khupsugul Water
Road (68%)
12.Nomin Fashion Co Ltd
5th Floor, State Department Store, Peace
Avenue 23
Ulaanbaatar 210644
Managing Director : B. Bayarjargal
Est.: 1 August 2003
13.Nomin Cosmetics LLC
State of Department store
Ulaanbaatar
Telephone : (976 99) 109 886
Managing Director : B. Nomin-Erdene
Est.: October 2009
14.Nomin Foods Co Ltd
5th Floor, State Department Store, Peace
Avenue 23
Ulaanbaatar 210644
Managing Director : D. Bayasgalan
(Distributors of foodstuff.)
15.Nomin Standard LLC
Police Street, khoroo 10
Sukhbaatar District
Ulaanbaatar
Telephone: (976 70) 116 077
Fax : (976 70) 116 077
Managing Director : D. Tugs
16.Nomin Home Style Co Ltd
5th Floor, State Department Store, Peace
Avenue 23
Ulaanbaatar 210644
Est.: 2005
Managing Director : O. Ganchimeg
(Trading as retailers of household goods,
accessories and
souvenirs)
17.Nomin Realtor
18.Ulaanbaatar Impex Co
Ltd
Songinokhairkhan District, Khoroo 20
Ulaanbaatar
Telephone : (976 11) 631 222
Fax
: (976 11) 631 645
E-mail
: contact@ubimpex.mn
The Company is involved in the following
activities :
Holding and management
company.
Subject involves only in key
decision making for each subsidiary such
as major capital
expenditure or partnership selection and provides
various group-level
services including finance, human resource,
legal, insurance, global
marketing & media communications to its
subsidiaries, while each
subsidiaries' day-to-day operation is
managed by a management
team experienced in its own business independently from the MCS Holding's
management.
Subject's subsidiaries covering diversified business
activities Including :
- retail & wholesale;
- construction;
- manufacture;
- property development;
- electronics, fashion,
food, beverage & alcohol.
NACE Code : 6420
Subject's subsidiaries
imports from Singapore, South Korea, Russia, Malaysia, France, Hungary,
Germany, Turkey, Japan, USA, The Netherlands and Italy.
Subject's subsidiaries
exports to China, Australia, Germany, Russia and Japan.
The Company has the following facilities :
Group's owned
administrative offices and storage facilities located at the heading address.
Until January
2014, subject was located at :
State Department Store, 7
Floor
Peace Avenue 23 (frmly
Peace Avenue 44)
P.O. Box 688
Ulaanbaatar 210644
Subject previously used the
following telephone and fax numbers :
Telephone : (976 11) 313 232
Fax : (976 11) 314 242
REGISTERED OFFICE
State Department Store, 7
Floor
Peace Avenue 23 (frmly
Peace Avenue 44)
Ulaanbaatar
You enquired on : NOMINHOLDING CO LTD.Please note that subject's correct registered name is as per heading.
The address
given by you : Chingel Tei District,
Peace Avenue - 25, UId Bldg, 6th Floor applies to the subject’s previous
address. Please note that the current address is as per heading.
The PO Box
and postal code numbers given by you : 688 and 15172 applies to the subject’s
previous PO Box and postal code numbers. Please note that subject’s current PO
Box and postal code numbers are as per heading.
The mobile number which you provided : (976 94) 090 733 is
incorrect. Please note that subject's correct administrative office telephone
numbers are as per heading.
The given name for president by you : Ms. Gantsetseg.G is incorrect. Please note that subject’s president name is Bayarsaikhan Shagdarsuren.
Interviewed
: Ms Khosbayar Sengdorj (Director of Business Development Department).
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.58.48 |
|
UK Pound |
1 |
Rs.98.67 |
|
Euro |
1 |
Rs.79.81 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUM |
|
|
|
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.