MIRA INFORM REPORT

 

 

Report Date :

22.10.2014

 

IDENTIFICATION DETAILS

 

Name :

AL SHAKHS TRADING COMPANY

 

 

Registered Office :

Abu Moosa Al Ansari Street (Cross Mecca Street), PO Box: 193 Sihat 31972

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

20.12.1988

 

 

Com. Reg. No.:

2062006385, Sihat

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Wholesale and retail of general foodstuffs.

 

 

No. of Employees :

160

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Good

Payment Behaviour :

Regular 

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)

Saudi Arabia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

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 SHAKHS TRADING COMPANY

Country of Origin                                   : Saudi Arabia

Legal Form                                           : Limited Liability Partnership

Registration Date                                  : 20th December 1988

Commercial Registration Number           : 2062006385, Sihat

Chamber Membership Number               : 24041

Issued Capital                                       : SR 2,000,000

Paid up Capital                                     : SR 2,000,000

Total Workforce                                    : 160

Activities                                               : Wholesale and retail of general foodstuffs.

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Thamer Hashim Abdul Reda Al Shakhs, Partner

 

 

COMPANY NAME

 

AL SHAKHS TRADING COMPANY

 

 

ADDRESS

 

Registered & Physical Address

 

Location           : Abu Moosa Al Ansari Street (Cross Mecca Street)

PO Box            : 193

Town                : Sihat 31972

Country : Saudi Arabia

 

Telephone         : (966-3) 8500168 / 8503125

Facsimile          : (966-3) 8561178

Mobile              : (966-50) 5865810

Email                : ashakhs_est@hotmail.com / info@alshakhstrading.com

 

Premises

 

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

 

Branch Office (s)

 

Location                                                                                               Description

 

King Faisal Street                                                                                  Rented showroom premises

Dammam

Tel: (966-3) 8260392

 

Jeddah                                                                                                 Rented showroom premises

Tel: (966-50) 0128629

 

Riyadh                                                                                                  Rented showroom premises

Tel: (966-50) 6925786

 

Tabuk                                                                                                   Rented showroom premises

 

Qassim                                                                                                 Rented showroom premises

 

Arar                                                                                                      Rented showroom premises

 

Al Ahsa                                                                                                 Rented showroom premises

 

 

KEY PRINCIPALS

 

Name                                                                                       Position

 

Hashim Abdul Reda Al Shakhs                                                   Managing Partner

 

Thamer Hashim Abdul Reda Al Shakhs                                       Partner

 

Yasser Hashim Abdul Reda Al Shakhs                                       Partner

 

Thamer Hashim Abdul Reda Al Shakhs                                       General Manager

 

Mohamed Mohamed Wafi                                                          Sales Manager

 

Shehata Al Shahat                                                                     Financial Controller

 

Raju Shashrout                                                                          Purchasing Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 11/05/1409 Hijri (corresponding to 20th December 1988)

 

History                         : Subject started in 1988 as a Sole Proprietorship, however in 2014 it re-registered as a

                                      Limited Liability Company.

 

Legal Form                  : Limited Liability Company

 

Commercial Reg. No.   : 2062006385, Sihat

 

Chamber Member No.  : 24041

 

Issued Capital              : SR 2,000,000

 

Paid up Capital            : SR 2,000,000

 

Name of Partners

 

Hashim Abdul Reda Al Shakhs

 

Thamer Hashim Abdul Reda Al Shakhs

 

Yasser Hashim Abdul Reda Al Shakhs

 

 

OPERATIONS

 

 

Activities:                     Engaged in the wholesale and retail of general foodstuffs, specialising in Thai parboiled rice, Indian basmati and non basmati rice, cashew nuts, sesame seeds, sugar, vegetable cooking oil, sugar, milk powder, oil and ghee.

 

Import Countries:         India and Sri Lanka

 

International Suppliers:

 

Shiva Shah Ltd                          India

Mahavir Rice                             India

D D International                       India

Ram Dave Rice Mill                   India

Aroma Rice                               India

 

Brand Names:              BUKHARY, ALMIZA, AL DEERA, CRIPTAL, GOLDSTAR, AHLAN and NOOR

 

Operating Trend:          Steady

 

Subject has a workforce of 160 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 208,750,000             SR 220,000,000

 

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

 

The above figures were provided by Mr Thamer Hashim Abdul Reda Al Shakhs, Partner

 

 

BANKERS

 

Arab National Bank (ANB)

King Street

PO Box: 18

Dammam 31411

Tel: (966-3) 8323440

Fax: (966-3) 8337829

 

Riyad Bank

Trade Finance Center

PO Box: 2090

Dammam 21431

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

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.61.30

UK Pound

1

Rs.99.16

Euro

1

Rs.78.59

 

INFORMATION DETAILS

 

Analysis Done by :

 KAR

 

 

Report Prepared by :

SDA

 

               

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%)

 

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