MIRA INFORM REPORT

 

 

Report Date :

04.10.2014

 

IDENTIFICATION DETAILS

 

Name :

DOLPHIN BAY CHEMICALS (PTY) LTD

 

 

Registered Office :

The Voorbaai Crescent, Bayview Industrial, P O Box 57, Mossel Bay 6500, Western Cape

 

 

Country :

South Africa

 

 

Date of Incorporation :

09.12.2003

 

 

Com. Reg. No.:

2003/031169/07

 

 

Legal Form :

Private Company

 

 

Line of Business :

Manufacturers and marketers of wood preservatives, chemicals (water and oil borne products) as well as solvent based products used for sawn timber and poles.

 

 

No. of Employees :

25

 

 

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

 

DOLPHIN BAY CHEMICALS (PTY) LTD

 

TRADING NAME

 

DOLPHIN PETROCHEMICALS

 

 

PHYSICAL ADDRESS

 

The Voorbaai Crescent

Bayview Industrial

MOSSEL BAY

Western Cape

 

 

POSTAL ADDRESS

P O Box 57

MOSSEL BAY

6500

 

TELEPHONE NUMBER:             +27 44 695 1575

 

FAX NUMBER:                          +27 44 695 0777

 

 

SHAREHOLDERS

 

100%    B COETZEE

 

The shareholding changed and was previously:

 

100%    P L COETZEE

 

 

ASSOCIATE COMPANIES

 

DOLPHIN BAY CHEMICALS CC

(Registration Certificate Number:  1995/036100/23)

DOLPHIN BAY TRADING (PTY) LTD

(Registration Certificate Number: 2005/013234/07)

DOLPHIN BAY PRODUCTION (PTY) LTD

(Registration Certificate Number: 2007/019208/07)

 

 

DIRECTORS

 

P L COETZEE                                                   ID No.   3907085037086

B COETZEE                                                      ID No.   8411080266084

 

 

BANKERS

 

NEDBANK, Mossel Bay Branch, Account Number: 1626023913.  It was stated that the subject enjoys overdraft facilities to an extent of R2 500 000 secured by the personal guarantee of the Shareholder.  Utilisation of the overdraft is stated to be partial.

 

The subject previously banked with ABSA BANK, Mossel Bay Branch, Account Number: 01007890962, where no overdraft facilities were utilised, as credit balances were maintained at the bank, however, it was stated that this account is no longer utilised.

 

 

DATE REGISTERED

 

9 December 2003

Registration Certificate Number:  2003/031169/07

 

The subject was registered to incorporate the assets and operations of an established close corporation named DOLPHIN BAY PETROCHEMICALS CC (Registration Certificate Number: 1995/036100/23) which commenced active operations in 1998.   

 

It was stated that P L COETZEE previously worked as a marketing manager for 20 years for SASOL CHEM and for 5 years for MOSSGAS.  P L COETZEE is reported to have a diploma in chemistry.

 

 

VAT NUMBER

 

4410160115

 

 

TAX NUMBER

 

9000592106

 

 

BEE STATUS

 

Level 8 contributor

 

 

MAJOR OPERATION

 

Manufacturers and marketers of wood preservatives, chemicals (water and oil borne products) as well as solvent based products used for sawn timber and poles.

 

 

MAJOR SUPPLIERS

 

The subject imports 100% of its supplies from the Far East 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

 

Forestry and saw milling industry

 

 

AREA OF DISTRIBUTION AND SELLING

 

Mpumalanga, Gauteng, Eastern and Western Cape

 

 

EXPORTS

 

Tanzania

 

 

TOTAL EMPLOYEES

 

25, having increased from 15 reported in August 2014

 

OTHER PREMISES

 

It was stated that the subject has a factory in Sabie (22 Plein Street, Klein Sabie, +27 13 764 3110, which has 5 employees.

 

 

OWNED OR LEASED

 

The premises are reported to be owned by the subject.

 

 

AUTHORISED SHARE CAPITAL

 

R1 000 divided into 1 000 ordinary shares of R1 each

 

 

ISSUED SHARE CAPITAL

 

R100

 

 

FINANCIALS

 

Full financial information was not forthcoming from respondents at the subject and outside authorities were unable to assist in this regard.

 

 

CHARTERED ACCOUNTANTS

 

SAAYMAN EN KIE Oudtshoorn                                 +27 44 272 8310

 

 

AUDITORS

 

PRICEWATERHOUSECOOPERS

 

 

YEAR END

JUNE

 

 

INSURANCE BROKERS

 

INDWE INSURANCE BROKERS

 

 

TRADE REFERENCES – JULY 2001

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2 years         R80 000         R50 000          30 days    30 days        Very Good

                          c/l

 

 

TRADE REFERENCES – JUNE 2007

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    Feb 2003      R   700 000    R290 000        30 days    30 days        Excellent

                          c/l

 

 

TRADE REFERENCES – JANUARY 2009

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2003             R   700 000    R145 000        30 days    30/35 days    Average

                          c/l

 

2.    2000             R2 000 000    R400 000-       30 days    30/37 days    Very Good

                          c/l                 R600 000

 

 

TRADE REFERENCES – OCTOBER 2009

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2003             R   560 000    R   211 000±    30 days    40 days        Slow

                          c/l

 

2.    2000             R5 000 000    R1 200 000±    60 days    65 days        Good

 

 

TRADE REFERENCES – JUNE 2011

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    Unable to trace the account

 

2.    Jan 2006       R1 000 000    R    400 000-   60 days    60 days        Very Good

                          c/l                 R    500 000

 

3.       Awaiting a fax trade reference

 

4.       Awaiting a fax trade reference

 

 

TRADE REFERENCES – JANUARY 2014

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    Jan 2006       R1 000 000    R1 000 000      30 days    30 days        Very Good

 

2.    Do not give trade references

 

3.    Awaiting fax trade reference

 

 

CURRENT TRADE REFERENCES

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    Jan 2006       R1 500 000    R1 000 000-     60 days    60 days        Very Good

                                               R1 500 000

 

2.    Do not give trade references

 

3.    Do not give trade references

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

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

 

1.    Freight Forwarder

 

 

COMMENTS

 

This is an established business that imports substantially from overseas, however, is meeting its one local obtainable commitment timeously as per arranged terms.  The subject is spoken of highly by its freight forwarders.  The subject is considered equal to its normal business engagements.

 


 

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 :

SUB

 

 

Report Prepared by :

NIT

 

               

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.