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Report Date : |
01.10.2014 |
IDENTIFICATION DETAILS
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Name : |
ARAB FERTILIZERS
AND CHEMICAL INDUSTRIES LTD (KEMAPCO) |
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Registered Office : |
Insurance Building, 5th Floor, Al Sharq Street, Jabal Amman, P O Box: 927783, Amman 11190 |
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Country : |
Jordan |
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Financials (as on) : |
31.12.2013 |
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Year of Establishment : |
1990 |
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Com. Reg. No.: |
35 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Manufacturer of industrial
chemicals including potassium nitrate and dicalcium phosphate. |
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No. of Employees : |
250 |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Good |
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Payment Behaviour : |
Regular |
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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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
Jordan |
B1 |
B1 |
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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 |
JORDAN - ECONOMIC OVERVIEW
Jordan's economy is among the
smallest in the Middle East, with insufficient supplies of water, oil, and other
natural resources underlying the government's heavy reliance on foreign
assistance. Other economic challenges for the government include chronic high
rates of poverty, unemployment, inflation, and a large budget deficit. Since
assuming the throne in 1999, King ABDALLAH has implemented significant economic
reforms, such as opening the trade regime, privatizing state-owned companies,
and eliminating some fuel subsidies, which in the last decade spurred economic
growth by attracting foreign investment and creating some jobs. The global
economic slowdown and regional turmoil, however, have depressed Jordan's GDP
growth, impacting export-oriented sectors, construction, and tourism. In 2011
and 2012, the government approved two economic relief packages and a budgetary
supplement, meant to improve the living conditions for the middle and poor
classes. Jordan's finances have also been strained by a series of natural gas
pipeline attacks in Egypt, causing Jordan to substitute more expensive diesel
imports, primarily from Saudi Arabia, to generate electricity. Jordan is
currently exploring nuclear power generation in addition to the exploitation of
abundant oil shale reserves and renewable technologies to forestall energy
shortfalls. In 2012, to correct budgetary and balance of payments imbalances,
Jordan entered into a $2.1 billion, multiple year International Monetary Fund
Stand-By Arrangement. Jordan's financial sector has been relatively isolated
from the international financial crisis because of its limited exposure to
overseas capital markets. In 2013, Jordan depended heavily on foreign
assistance to finance the budget deficit, as the influx of about 600,000 Syrian
refugees put additional pressure on expenditures.
|
Source
: CIA |
Company Name : ARAB
FERTILIZERS AND CHEMICAL INDUSTRIES LTD (KEMAPCO)
Country of Origin : Jordan
Legal Form :
Limited Liability Company
Date Started : 1990
Registration Date : 28th
February 2004
Commercial
Registration Number : 35
Issued Capital : JD
29,000,000
Paid up Capital : JD
29,000,000
Total Workforce : 250
Activities :
Manufacture of industrial chemicals
Financial Condition : Good
Payments :
Nothing detrimental uncovered
Operating Trend : Steady
Person Interviewed : Wael Al Badour, Finance Manager
ARAB FERTILIZERS
AND CHEMICAL INDUSTRIES LTD (KEMAPCO)
Building : Insurance Building, 5th Floor
Street : Al Sharq Street
Area : Jabal Amman
PO Box : 927783
Town : Amman 11190
Country : Jordan
Telephone : (962-6) 4601993 / 4601994
/ 5684247
Facsimile : (962-6) 4601195 / 5691169
Email : kemapco@kemapco.com.jo
Subject operates
from a large suite of offices that are rented and located in the Central
Business Area of Amman.
Branch Office
(s)
Location Description
·
Derra
Industrial Zone Owned
factory premises covering
PO Box: 2564 an
area of 126,000 sq metres
Aqaba 77110
Tel: (962-3) 2017174
Fax: (962-3) 2017181
Name Position
·
HE
Jamal A Al Sarayrah Chairman
·
Bassam
Al Zoumot Managing
Director
·
Thamer Obiydat Director
·
Nabih Laham Director
·
Mayson Bahoos Commercial
Manager
·
Amjad Karaja Production
Manager
·
Anas Al Majali Human
Resources Manager
·
Wael Al Badour Finance
Manager
·
Khaled Al Saggar Operations
Manager
Date of Establishment : Subject’s
operations date back to 1990, however it was registered on 28th
February 2004
History : Subject was formed as a joint venture
between Kemira Agro Oy and the Arab Potash
Company Ltd. On 1st February
2007, Kemira Agro Oy divested its 50% shareholding in the
subject. Kemapco is now fully
owned by the Arab Potash Company Ltd. Following the
divestment process the company
name was changed on 1st August 2007 to “Arab Fertilizers
and Chemical Industries Ltd”.
The name Kemapco has been maintained as a trade mark
and a short form name.
Legal Form :
Limited Liability Company
Commercial Reg. No. : 35
Issued Capital : JD 29,000,000
Paid up Capital : JD 29,000,000
·
Arab
Potash Company Ltd 100%
APC Building
6 Al Jahidh Street
Shmeisani
PO Box: 1470
Amman 11118
Jordan
Tel: (962-6) 5666165 / 5666166
/ 5666167
Fax: (962-6) 5692855 / 5674416
/ 5687289
Subject is a member of the APC Group Of Companies, which consists of the
following concerns:
Name Stake
Held
·
Jordan Dead
Sea Industries 99.7%
PO Box: 212307
Tel: (962-6) 4618571
Fax: (962-6) 4619125
·
Jordan
Magnesia Company Ltd (JORMAG) 55.3%
PO Box: 941701
Tel: (962-6) 5691201 / 5691202 / 5691203
Fax: (962-6) 5691156
Email: info@jormag.com
·
Numeira
Mixed Salts & Mud Company Ltd 52.7%
PO Box: 941681
Tel: (962-6) 5683892 / 5683637
Fax: (962-6) 5672346
Email: info@numeira.com.jo
·
Jordan
Bromine Company 50.0%
·
Jordan
Investment and South Development Company 42.0%
·
South
Development Company for Industrial 22.0%
Equipment & Workshops
·
Nippon
Jordan Fertiliser Company Ltd 20.0%
·
Jordan
International Chartering Company 20.0%
Activities: Engaged in the manufacture of industrial
chemicals including potassium nitrate and dicalcium phosphate.
Production Capacity: 150,000
tonnes per annum of Potassium
Nitrate
75,000 tonnes per annum of Dicalcium
Phosphate
Import
Countries: India, China and
Europe
International
Suppliers:
·
K S Kali GmbH Germany
· Herous Germany
· SIKA Italy
Operating Trend: Steady
Subject has a
workforce of approximately 250 employees.
Financial
highlights provided by local sources are given below:
Currency: Jordanian
Dinars (JD)
Year
Ending 31/12/12: Year Ending
31/12/13:
Total Revenue JD 76,120,000 JD 78,835,000
Local sources
consider subject’s financial condition to be Good.
The above financial
figures are based on estimations by our local sources.
·
Arab
Banking Corp
PO Box: 927783
Amman 11190
Tel: (962-6) 4601993/4
Fax: (962-6) 4601995
No complaints regarding
subject’s payments have been reported.
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.61.61 |
|
|
1 |
Rs.100.28 |
|
Euro |
1 |
Rs.78.21 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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|
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|
Report Prepared
by : |
NIT |
RATING EXPLANATIONS
|
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 |
|
|
<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.