MIRA INFORM REPORT

 

 

Report Date :

02.10.2014

 

IDENTIFICATION DETAILS

 

Name :

SEA HARVEST CORPORATION (PTY) LTD

 

 

Formerly Known As :

BUSINESS VENTURE INVESTMENTS No 1322 (PTY) LTD.

 

 

Registered Office :

1st Floor Block C, Boulevard Office Park, Searle Street, Woodstock, Western Cape

 

 

Country :

South Africa

 

 

Date of Incorporation :

15.10.2008

 

 

Legal Form :

Private Company

 

 

Line of Business :

Subject is engaged in deep sea trawling and the marketing of frozen and chilled sea foods and distribution nationally and internationally

 

 

No of Employees :

2 108

 

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

South Africa

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SOUTH AFRICA - ECONOMIC OVERVIEW

 

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors and a stock exchange that is the 16th largest in the world. Even though the country's modern infrastructure supports a relatively efficient distribution of goods to major urban centers throughout the region, unstable electricity supplies retard growth. The global financial crisis reduced commodity prices and world demand. GDP fell nearly 2% in 2009 but has recovered since then, albeit slowly with 2014 growth projected at about 2%. Unemployment, poverty, and inequality - among the highest in the world - remain a challenge. Official unemployment is at nearly 25% of the work force, and runs significantly higher among black youth. Eskom, the state-run power company, has built two new power stations and installed new power demand management programs to improve power grid reliability. Construction delays at two additional plants, however, mean South Africa is operating on a razor thin margin; economists judge that growth cannot exceed 3% until those plants come on line. South Africa's economic policy has focused on controlling inflation, however, the country has had significant budget deficits that restrict its ability to deal with pressing economic problems. The current government faces growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth.

 

Source : CIA

COMPANY NAME & address

 

SEA HARVEST CORPORATION (PTY) LTD

 

Formerly:         BUSINESS VENTURE INVESTMENTS No 1322 (PTY) LTD, the name having been changed on 8 June 2009.

 

 

PHYSICAL ADDRESS

 

1st Floor Block C, Boulevard Office Park, Searle Street, Woodstock, Western Cape

 

 

POSTAL ADDRESS       

 

P O Box 761

CAPE TOWN

8000

 

 

TELEPHONE NUMBER

 

+27 21 468 7900

 

 

FAX NUMBER

 

+27 21 468 7900

 

With reference to your special request, it was established that OLD SEA HARVEST CORPORATION LIMITED is a deregistered company which underwent a restructure in 2008 when the assets and operations of the latter company were sold to SEA HARVEST CORPORATION (PTY) LTD.

 

SHAREHOLDERS

 

100%    SEA HARVEST HOLDINGS (PTY) LTD

 

The shareholding changed and was previously 25.88% KAGISO (PTY) LTD,

56.94% BRIMCO (PTY) LTD, 15% MANAGEMENT INVESTMENT TRUST,

0.17% Staff and management of the subject and 2% THE CHRIS NISSEN TRUST.

 

 

ASSOCIATE COMPANIES

 

None

 

 

SUBSIDIARY COMPANIES

 

SEAVUNA FISH COMPANY (PTY) LTD, (Formerly MARIETTE FISHING COMPANY (PTY) LTD, the name having been changed.) (50%)

VUNA FISHING COMPANY (PTY) LTD (holding company of SEAVUNA FISH COMPANY (PTY) LTD  (Registration Certificate Number: 1955/003403/07)

 

 

DIRECTORS

 

F J ROBERTSON (Chairman)                              ID No.   5407075162083

I R ESAU                                                          ID No.   6908175220084

M C NORRIS                                                     ID No.   4709135097089

L J PENZHORN                                                 ID No. 4601175063008

L Z BROZIN                                                       ID No.   5601045010089

B J HINSON                                                      ID No.   7306205329083

T S SETSCHEDI                                                ID No.   8102285372088

K GELDENHUYS                                               ID No.   6911275255083

J P M A DE FREITAS                                        ID No.   7002245226088

F RATHEB                                                        ID No.   7303015156087

 

 

BANKERS

 

STANDARD BANK, Thibault Square Branch, Cape Town. It was stated by the respondent that they do not require overdraft facilities as credit balances are maintained at the bank.

 

 

DATE REGISTERED

 

15 October 2008

Registration Certificate Number: 2008/024147/07

 

The subject was registered to take over the assets and operations of a company named SEA HARVEST CORPORATION LTD, (Registration Certificate Number:  1964/001745/06) which was owned 73% by TIGER BRANDS LTD

VAT NUMBER

 

4720252610

 

 

TAX NUMBER

 

9569355168

 

 

BEE STATUS

 

Level 2 contributor

 

 

MAJOR OPERATION

 

Deep sea trawling and the marketing of frozen and chilled sea foods and distribution nationally and internationally

 

 

MAJOR SUPPLIERS

 

The subject deals with local fishing companies and also undertakes their own fishing. The subject imports fish, parts for vessels, plant and equipment from Europe, USA and Scandinavian countries and deals locally with suppliers.

 

Previously, we have divulged the names of the major suppliers in our reports.  We have discontinued this practice to protect our valuable sources of trade information.  This has become necessary because we now give a description of the goods or services to which the trade references relate.  This gives our client the ability to assess whether  the purchases are vital to the subject’s operation and whether we have only been given their essential suppliers that must be paid promptly for the subject to maintain its operation.

 

 

MAJOR CUSTOMERS OR BUSINESS SECTORS

 

Retailers and wholesalers such as PICK ‘N PAY, CHECKERS, the SPAR Group

 

AREA OF DISTRIBUTION AND SELLING

 

South Africa

EXPORTS

 

Worldwide

 

 

TOTAL EMPLOYEES

 

2 108 permanent and flexi staff

 

 

OTHER PREMISES

 

The subject has manufacturing depots in Mossel Bay and Saldanha Bay and a delivery site in Montague Gardens.

 

 

OWNED OR LEASED

 

The head office premises are reported to be leased. It was stated that the land on which the manufacturing depots are situated are leased, while the subject owns the buildings. The market value of the buildings is stated to be in the region of R100 000 000.

 

 

AUTHORISED SHARE CAPITAL

 

R1 000 divided into 1000 ordinary shares of R1 each

 

 

ISSUED SHARE CAPITAL

 

R100

 

 

FINANCIALS

 

The following estimated financial situation was submitted as at 30 July 2014:

 

TRADING STOCK                      R     99 000 000

STOCK consumables, spares     R     26 000 000

DEBTORS                                 R   159 000 000

FIXED ASSETS (net)                  R   235 000 000

CREDITORS                              R   208 000 000

SHAREHOLDERS LOANS         Nil

TURNOVER per annum              R1 280 000 000

 

AUDITORS

 

DELOITTE AND TOUCHE Cape Town    +27 21 670 1500

 

 

YEAR END

 

DECEMBER

 

 

INSURANCE BROKERS

 

MARSH INSURANCE  BROKERS

 

TRADE REFERENCES – SEPTEMBER 2009:

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

1.         +20 years          Undisclosed                  60 days 60 days Good

 

2.         2003     R2 500 000        R300 000-         60 days 60 days Good

                        c/l         R900 000          1.5%     1.5%

 

Have not bought since 2007

 

Do not give trade references.

 

The above trade references refer to the previous company SEA HARVEST CORPORATION LTD. (Registration Certificate Number: 1964/001745/06)

 

TRADE REFERENCES – JANUARY 2010

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

1.         Dec 1998          R2 300 000          R  10 000-       90 days 90 days Very Good

                        c/l           R  30 000

 

2.         6 years R2 500 000        ±R250 000         60 days 60 days Good

                        c/l                                 -1.5%

 

3.         3 years R3 000 000        undisclosed       60 days 60 days Very Good

                        c/l

 

TRADE REFERENCES – JULY 2010

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

1.         5 years+           R4 000 000          R2 000 000      30 days 30 days Average

                        c/l

 

2.         3 years R   500 000         R   200 000-    60 days 60 days Very Good

                        c/l           R   300 000

 

3.         7 years R2 500 000        ±R   190 000      60 days 60 days Good

                        c/l

 

4.         Do not give trade references

 

TRADE REFERENCES – SEPTEMBER 2011:

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

1.         ±10 years          R2 500 000        R150 000          65 days 65 days Excellent

                        c/l

 

2.         3/4 years           R1 000 000        R   250 000-      60 days 60 days Good

                                    R   600 000

 

Do not give trade references

 

No longer trades with the subject

 

TRADE REFERENCES -  MARCH 2012:

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

1.         +10 years          R2 500 000        R   70 000         60 days 65-67 days        Good

 

2.         3 years R500 000          R  300 000-       60 days 60 days Good

                                    R  500 000

 

3.         2008     R1 000 000        R1 000 000        30 days 30 days Very Good

 

TRADE REFERENCES – JULY 2013:

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

Closed for 2 years

 

+10 years          R  2 500 000      R   120 000       60 days 60 days Good

 

6 years R10 000 000      R1 500 000        60 days 60 days Excellent

 

Do not give trade references

 

Do not give trade references

 

 

CURRENT TRADE REFERENCES

 

            ACCOUNT        HIGHEST          AVERAGE         TERMS PAYMENT         EXPERIENCE

            OPENED           CREDIT            CREDIT                        PATTERN

 

1.         Do not give trade references

 

2.         Do not give trade references

 

3.         6-7 years           R8 000 000        R2 000 000-       60 days 60 days Very Good

                                    R3 000 000

 

4.         Old acc Open    R1 500 000        30 days 30 days Very Good

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

 

(These descriptions relate respectively by number to the above current trade transactions):

 

1.         Printing and packaging

           

2.         Freight Forwarder

 

 

COMMENTS

 

This is an established and well-connected business meeting its commitments timeously.  The subject is spoken of highly by its suppliers and is considered equal to its normal business engagements and to a maximum figure of €1 000 000 over 30 days.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.75

UK Pound

1

Rs.100.07

Euro

1

Rs.77.95

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

TPT

 


 

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.