MIRA INFORM REPORT

 

 

Report Date :

03.09.2014              

 

IDENTIFICATION DETAILS

 

Name :

MERCURIA ENERGY TRADING PTE. LTD.

 

 

Registered Office :

12, Marina View, 26-01, Asia Square Tower 2, 018961

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

03.06.2004

 

 

Com. Reg. No.:

200406884-M

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Trading of Commodity Products

 

 

No. of Employees :

40

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

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 01, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Singapore

A1

A1

 

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

 

 

SINGAPORE - ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but rebounded 15.1% in 2010, on the strength of renewed exports, before slowing to in 2011-13, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub

Source : CIA

 

 

 


EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

200406884-M

COMPANY NAME

:

MERCURIA ENERGY TRADING PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

03/06/2004

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

12, MARINA VIEW, 26-01, ASIA SQUARE TOWER 2, 018961, SINGAPORE.

BUSINESS ADDRESS

:

12 MARINA VIEW, #26-01 ASIA SQUARE TOWER 2,, 018961, SINGAPORE.

TEL.NO.

:

65-64162080

FAX.NO.

:

65-68830560

CONTACT PERSON

:

HO WEI CHANG ( MANAGING DIRECTOR )

 

 

 

 

 

 

PRINCIPAL ACTIVITY

:

TRADING OF COMMODITY PRODUCTS

 

 

 

ISSUED AND PAID UP CAPITAL

:

18,000,000.00 ORDINARY SHARE, OF A VALUE OF USD 18,000,000.00

 

 

 

SALES

:

USD 40,921,749,000 [2013]

NET WORTH

:

USD 55,553,000 [2013]

 

 

 

STAFF STRENGTH

:

40 [2014]

BANKER (S)

:

ABN AMRO BANK N.V.
AUSTRALIA AND NEW ZEALAND BANKING GROUP LTD
BNP PARIBAS
DBS BANK LTD
FIRST GULF BANK PJSC
HSH NORDBANK AG
ING BANK N. V.
JP MORGAN CHASE BANK N.A.
NATIXIS
SOCIETE GENERALE
STANDARD CHARTERED BANK
THE BANK OF TOKYO LTD
THE ROYAL BANK OF SCOTLAND BHD
UNITED OVERSEAS BANK LTD
FORTIS BANK S.A./N.V.
COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.
SUMITOMO MITSUI BANKING CORPORATION SINGAPORE BRANCH
THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED
UNITED OVERSEAS BANK LIMITED
ING BANK N.V.

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

LIMITED

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) trading of commodity products.

The immediate holding company of the Subject is MERCURIA ASIA GROUP HOLDINGS (PTE.) LTD., a company incorporated in SINGAPORE.

The ultimate holding company of the Subject is MERCURIA ENERGY GROUP LIMITED, a company incorporated in CYPRUS.

Share Capital History

Date

Issue & Paid Up Capital

04/08/2014

USD 18,000,000.00

 

The major shareholder(s) of the Subject are shown as follows :

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

MERCURIA ASIA GROUP HOLDINGS (PTE.) LTD.

12, MARINA VIEW, 26-01, ASIA SQUARE TOWER 2, 018961, SINGAPORE.

201207804

18,000,000.00

100.00

 

 

 

---------------

------

 

 

 

18,000,000.00

100.00

 

 

 

============

=====

+ Also Director

 

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

 

Local No

Country

Company

(%)

As At

 

UNITED ARAB EMIRATES (DUBAI)

MERQUR TRADING, DMCC

100.00

31/12/2012

 

 

 

 

 

201001188D

SINGAPORE

MERCURIA PTE. LTD.

100.00

31/12/2012

 

 

 

 

 

 

UNITED ARAB EMIRATES (DUBAI)

MERCURIA ENERGY TRADING MIDDLE EAST DMCC

100.00

31/12/2012

 

 

 

 

 

 

CHINA

MERCURIA INVESTMENT CONSULTING (BEIJING) CO. LTD

100.00

31/12/2012

 

 

 

 

 

 

CHINA

MERCURIA ENERGY TRADING (BEIJING) CO. LTD

100.00

31/12/2012

 

 

 

 

 

 

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

HONG ZHU

Address

:

2, CHEMIN DES VOIRONS, 1224, CHENE‑BOUGERIES, GENEVA, SWITZERLAND.

IC / PP No

:

761242997

 

 

 

 

 

 

 

 

 

Nationality

:

BRITISH

Date of Appointment

:

23/06/2009

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

HAN JIN

Address

:

CH. GRANGE-FALQUET 46, 1224, CHENE-BOUGERIES, 048619, SWITZERLAND.

IC / PP No

:

F2102500M

 

 

 

 

 

 

 

 

 

Nationality

:

BRITISH

Date of Appointment

:

27/09/2007

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

HO WEI CHANG

Address

:

16, LEEDON PARK, 267892, SINGAPORE.

IC / PP No

:

S1655617C

 

 

 

 

 

 

 

 

 

Nationality

:

SINGAPOREAN

Date of Appointment

:

13/07/2004

 

DIRECTOR 4

 

Name Of Subject

:

SIMON JOHN GOSLAR

Address

:

14, CHEMIN MALOMBRE, GENEVE, 1206, SWITZERLAND.

IC / PP No

:

M5041137

 

 

 

 

 

 

 

 

 

Nationality

:

AUSTRALIAN

Date of Appointment

:

26/06/2013

 

 

 

 

DIRECTOR 5

 

Name Of Subject

:

ESTELLA SHI JINBO

Address

:

973, BUKIT TIMAH ROAD, 04-27, FLORIDIAN, 589648, SINGAPORE.

IC / PP No

:

S2682707H

 

 

 

 

 

 

 

 

 

Nationality

:

SINGAPOREAN

Date of Appointment

:

01/08/2012

 

 

 

 

DIRECTOR 6

 

Name Of Subject

:

EVELYN TAY EE MEI

Address

:

38, FARRER ROAD, 07-04, THE, LEVEL Z, 268836, SINGAPORE.

IC / PP No

:

S7213406J

 

 

 

 

 

 

 

 

 

Nationality

:

SINGAPOREAN

Date of Appointment

:

01/08/2012

 

 

 

 

DIRECTOR 7

 

Name Of Subject

:

MICHAEL JOHN LIVINGSTONE

Address

:

95, GRANGE ROAD, 12-11, GRANGE RESIDENCES, 249616, SINGAPORE.

IC / PP No

:

S7585921Z

 

 

 

 

 

 

 

 

 

Nationality

:

SINGAPOREAN

Date of Appointment

:

01/08/2012

 

 

MANAGEMENT

 

 

 

1)

Name of Subject

:

HO WEI CHANG

 

Position

:

MANAGING DIRECTOR

 

 

AUDITOR

 

Auditor

:

PRICEWATERHOUSECOOPERS LLP

Auditor' Address

:

N/A

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

LOH LEE ENG

 

IC / PP No

:

S1289585B

 

 

 

 

 

Address

:

13D, NIM ROAD, ESTE VILLA, 804983, SINGAPORE.

 

 

 

 

 

 

 

 

 

 

 

 

 

2)

Company Secretary

:

ABDUL JABBAR BIN KARAM DIN

 

IC / PP No

:

S6936625B

 

 

 

 

 

Address

:

21, SIGLAP HILL, FARNKEL ESTATE, 456076, SINGAPORE.

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

ABN AMRO BANK N.V.

 

 

 

 

 

 

 

 

 

2)

Name

:

AUSTRALIA AND NEW ZEALAND BANKING GROUP LTD

 

 

 

 

 

 

 

 

 

3)

Name

:

BNP PARIBAS

 

 

 

 

 

 

 

 

 

4)

Name

:

DBS BANK LTD

 

 

 

 

 

 

 

 

 

5)

Name

:

FIRST GULF BANK PJSC

 

 

 

 

 

 

 

 

 

6)

Name

:

HSH NORDBANK AG

 

 

 

 

 

 

 

 

 

7)

Name

:

ING BANK N. V.

 

 

 

 

 

 

 

 

 

8)

Name

:

JP MORGAN CHASE BANK N.A.

 

 

 

 

 

 

 

 

 

9)

Name

:

NATIXIS

 

 

 

 

 

 

 

 

 

10)

Name

:

SOCIETE GENERALE

 

 

 

 

 

 

 

 

 

11)

Name

:

STANDARD CHARTERED BANK

 

 

 

 

 

 

 

 

 

12)

Name

:

THE BANK OF TOKYO LTD

 

 

 

 

 

 

 

 

 

13)

Name

:

THE ROYAL BANK OF SCOTLAND BHD

 

 

 

 

 

 

 

 

 

14)

Name

:

UNITED OVERSEAS BANK LTD

 

 

 

 

 

 

 

 

 

15)

Name

:

FORTIS BANK S.A./N.V.

 

 

 

 

 

 

 

 

 

16)

Name

:

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

 

 

 

 

 

 

 

 

 

17)

Name

:

SUMITOMO MITSUI BANKING CORPORATION SINGAPORE BRANCH

 

 

 

 

 

 

 

 

 

18)

Name

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

 

 

 

 

 

 

 

 

 

19)

Name

:

UNITED OVERSEAS BANK LIMITED

 

 

 

 

 

 

 

 

 

20)

Name

:

ING BANK N.V.

 

 

 

 

 

 

 


ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

C200600632

25/01/2006

N/A

BNP PARIBAS

-

Unsatisfied

C200601758

17/03/2006

N/A

FORTIS BANK S.A./N.V.

-

Unsatisfied

C200601759

17/03/2006

N/A

FORTIS BANK S.A/N.V

-

Unsatisfied

C200601983

27/03/2006

N/A

ING BANK N.V.

-

Unsatisfied

C200605257

10/08/2006

N/A

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

-

Unsatisfied

C200605836

30/08/2006

N/A

UNITED OVERSEAS BANK LIMITED

-

Unsatisfied

C200605837

30/08/2006

N/A

UNITED OVERSEAS BANK LIMITED

-

Unsatisfied

C200608086

29/11/2006

N/A

HSH NORDBANK AG

-

Unsatisfied

C200700051

04/01/2007

N/A

SUMITOMO MITSUI BANKING CORPORATION SINGAPORE BRANCH

-

Unsatisfied

C200700052

04/01/2007

N/A

SUMITOMO MITSUI BANKING CORPORATION SINGAPORE BRANCH

-

Unsatisfied

C200702274

26/03/2007

N/A

CREDIT AGRICOLE CORPORATE AND INVESTMENT BANK

-

Unsatisfied

C200707902

21/09/2007

N/A

SOCIETE GENERALE

-

Unsatisfied

C200707962

24/09/2007

N/A

SOCIETE GENERALE

-

Unsatisfied

C200710458

28/11/2007

N/A

COOPERATIEVE CENTRALE RAIFFEISEN BOERENLEENBANK B.A.

-

Unsatisfied

C200900873

04/02/2009

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C200900876

04/02/2009

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201002491

24/03/2010

N/A

NATIXIS

-

Unsatisfied

C201006096

16/07/2010

N/A

THE BANK OF TOKYO MITSUBISHI UFJ, LTD.

-

Unsatisfied

C201006097

16/07/2010

N/A

THE BANK OF TOKYO MITSUBISHI UFJ, LTD.

-

Unsatisfied

C201006480

28/07/2010

N/A

INDUSTRIAL AND COMMERCIAL BANK OF CHINA LIMITED

-

Unsatisfied

C201007342

20/08/2010

N/A

RAIFFEISEN-ZENTRALBANK OESTERREICH AKTIENGESELLSCHAFT

-

Unsatisfied

C201010343

02/11/2010

N/A

CHINATRUST COMMERCIAL BANK CO., LTD.

-

Unsatisfied

C201010383

02/11/2010

N/A

CHINATRUST COMMERCIAL BANK CO., LTD.

-

Unsatisfied

C201011370

25/11/2010

N/A

UNION DE BANQUES ARABES ET FRANCAISES-UBAF

-

Unsatisfied

C201100706

14/01/2011

N/A

SOCIETE GENERALE

-

Unsatisfied

C201103736

25/03/2011

N/A

DBS BANK LTD.

-

Unsatisfied

C201105451

04/05/2011

N/A

OVERSEAS-CHINESE BANKING CORPORATION LIMITED

-

Unsatisfied

C201110724

26/08/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201110731

26/08/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201110866

31/08/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201110877

31/08/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201111040

08/09/2011

N/A

THE ROYAL BANK OF SCOTLAND N.V

-

Unsatisfied

C201111729

20/09/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201113024

17/10/2011

N/A

THE ROYAL BANK OF SCOTLAND N.V.

-

Unsatisfied

C201113389

24/10/2011

N/A

SOCIETE GENERALE

-

Unsatisfied

C201113554

27/10/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201114633

21/11/2011

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201115756

16/12/2011

N/A

ABN AMRO BANK N.V.

-

Unsatisfied

C201202476

06/03/2012

N/A

ING BANK N. V.

-

Unsatisfied

C201204923

04/05/2012

N/A

FIRST GULF BANK PJSC

-

Unsatisfied

C201205628

23/05/2012

N/A

AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED

-

Unsatisfied

C201205769

23/05/2012

N/A

AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED

-

Unsatisfied

C201208806

03/08/2012

N/A

HSBC FRANCE

-

Unsatisfied

C201208808

03/08/2012

N/A

HSBC FRANCE

-

Unsatisfied

C201214650

12/12/2012

N/A

JPMORGAN CHASE BANK, N.A.

-

Unsatisfied

C201307580

05/06/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201307826

10/06/2013

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C201307827

10/06/2013

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C201307934

12/06/2013

N/A

FIRST GULF BANK PJSC

-

Unsatisfied

C201311912

30/08/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201312874

19/09/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201314336

23/10/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201315251

12/11/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201315256

13/11/2013

N/A

DBS BANK LTD.

-

Unsatisfied

C201315718

23/11/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201316083

03/12/2013

N/A

ABN AMRO BANK N.V AMSTERDAM BRANCH

-

Unsatisfied

C201400035

02/01/2014

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201402975

21/03/2014

N/A

SOCIETE GENERALE

-

Unsatisfied

C201406312

25/06/2014

N/A

COOPERATIEVE CENTRALE RAIFFEISENBOERENLEENBANK B.A

-

Unsatisfied

C201406342

26/06/2014

N/A

UNICREDIT BANK AG

-

Unsatisfied

 

LEGAL CHECK AGAINST SUBJECT


* A check has been conducted in our databank againt the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

YES

Overseas

:

YES

 

 

 


The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

 

]

 

Good 31-60 Days

[

X

]

 

Average 61-90 Days

[

 

]

 

Fair 91-120 Days

[

 

]

 

Poor >120 Days

[

 

]

 

 

 

 

 

 

 

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

SINGAPORE

Overseas

:

YES

 

 

 

Export Market

:

WORLDWIDE

Credit Term

:

N/A

 

 

 

 

 

 

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

 

OPERATIONS

 

Goods Traded

:

COMMODITY PRODUCTS

 

 

 

 

 

Total Number of Employees:

 

YEAR

2014

2013

2012

 

 

 

 

 

 

 

GROUP

N/A

N/A

N/A

 

 

 

 

 

 

COMPANY

40

40

40

 

 

 

 

 

 

 

Branch

:

NO

 

Other Information:


The Subject is principally engaged in the (as a / as an) trading of commodity products.

Mercuria is a privately-owned international group of companies active over a wide spectrum of global energy markets including crude oil and refined petroleum products, natural gas (including LNG), power, coal, biodiesel, vegetable oils and carbon emissions.

Mercuria's trading activities span a wide range of energy products:

- Crude oil
- Fuel oil
- Middle distillate (VGO, Diesel, Heating oil, Jet and Kerosene)
- Gasoline and naphta
- Power
- Natural gas, including LNG
- Biofuels
- Vegetable oils
- Coal
- Carbon emissions certificates

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

65-6416-2080

Current Telephone Number

:

65-64162080

Match

:

YES

 

 

 

Address Provided by Client

:

12 MARINA VIEW #26-01, ASIA SQUARE TOWER 2, SINGAPORE 018961

Current Address

:

12 MARINA VIEW, #26-01 ASIA SQUARE TOWER 2,, 018961, SINGAPORE.

Match

:

YES

 

 

 

 

Other Investigations


On 28th August 2014 we contacted one of the staff from the Subject and she provided some information.

FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Increased

[

2009 - 2013

]

 

Profit/(Loss) Before Tax

:

Increased

[

2009 - 2013

]

 

Return on Shareholder Funds

:

Favourable

[

34.35%

]

 

Return on Net Assets

:

Unfavourable

[

(202.08%)

]

 

 

 

 

 

 

 

 

The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The higher profit could be attributed to the increase in turnover. Generally the Subject was profitable. The favourable return on shareholders' funds and return on net assets indicate that the Subject's management was efficient in utilising the assets to generate returns.

 

 

 

 

 

 

 

Working Capital Control

 

 

 

 

 

 

Stock Ratio

:

Favourable

[

18 Days

]

 

Debtor Ratio

:

Favourable

[

25 Days

]

 

Creditors Ratio

:

Favourable

[

26 Days

]

 

 

 

 

 

 

 

 

The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Liquid Ratio

:

Unfavourable

[

0.63 Times

]

 

Current Ratio

:

Unfavourable

[

0.99 Times

]

 

 

 

 

 

 

 

 

A low liquid ratio means that the Subject may be facing working capital deficiency. If the Subject cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.

 

 

 

 

 

 

 

Solvency

 

 

 

 

 

 

Interest Cover

:

Unfavourable

[

0.84 Times

]

 

Gearing Ratio

:

Unfavourable

[

26.18 Times

]

 

 

 

 

 

 

 

 

The Subject's interest cover was low. If its profits fall or when interest rate rises, it  may not be able to meet all its interest payment. The Subject was highly geared, thus it had a high financial risk. The Subject was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the Subject will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the Subject has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the Subject's turnover and the interest it needs to pay.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overall Assessment :

 

 

 

 

 

 

Generally, the Subject's performance has improved with higher turnover and profit. Due to its weak liquidity position, the Subject will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the Subject. If there is a fall in the Subject's profit or any increase in interest rate, the Subject may not be able to generate sufficient cash-flow to service its interest. The Subject's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.

 

 

 

 

 

 

 

Overall financial condition of the Subject : LIMITED

 

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

 

Major Economic Indicators :

2009

2010

2011

2012

2013

 

 

 

 

 

 

Population (Million)

4.98

5.08

5.18

5.31

5.40

Gross Domestic Products ( % )

(0.8)

14.5

4.9

1.3

3.7

Consumer Price Index

0.6

2.8

5.2

4.6

2.4

Total Imports (Million)

356,299.3

423,221.8

459,655.1

474,554.0

466,762.0

Total Exports (Million)

391,118.1

478,840.7

514,741.2

510,329.0

513,391.0

 

 

 

 

 

 

Unemployment Rate (%)

3.2

2.2

2.1

2.0

1.9

Tourist Arrival (Million)

9.68

11.64

13.17

14.49

15.46

Hotel Occupancy Rate (%)

75.8

85.6

86.5

86.4

86.3

Cellular Phone Subscriber (Million)

1.37

1.43

1.50

1.52

1.97

 

 

 

 

 

 

Registration of New Companies (No.)

26,414

29,798

32,317

31,892

37,288

Registration of New Companies (%)

4.3

12.8

8.5

(1.3)

9.8

Liquidation of Companies (No.)

22,393

15,126

19,005

17,218

17,369

Liquidation of Companies (%)

113.4

(32.5)

25.6

9.4

(5.3)

 

 

 

 

 

 

Registration of New Businesses (No.)

26,876

23,978

23,494

24,788

22,893

Registration of New Businesses (%)

8.15

(10.78)

2.02

5.51

1.70

Liquidation of Businesses (No.)

23,552

24,211

23,005

22,489

22,598

Liquidation of Businesses (%)

11.4

2.8

(5)

(2.2)

0.5

 

 

 

 

 

 

Bankruptcy Orders (No.)

2,058

1,537

1,527

1,748

1,992

Bankruptcy Orders (%)

(11.5)

(25.3)

(0.7)

14.5

14.0

Bankruptcy Discharges (No.)

3,056

2,252

1,391

1,881

2,584

Bankruptcy Discharges (%)

103.7

(26.3)

(38.2)

35.2

37.4

 

 

 

 

 

 

INDUSTRIES ( % of Growth ) :

 

 

 

 

 

Agriculture

 

 

 

 

 

Production of Principal Crops

3.25

(0.48)

4.25

3.64

-

Fish Supply & Wholesale

(1.93)

(10.5)

12.10

(0.5)

-

 

 

 

 

 

 

Manufacturing *

71.5

92.8

100.0

100.3

102.0

Food, Beverages & Tobacco

90.4

96.4

100.0

103.5

103.5

Textiles

145.9

122.1

100.0

104.0

87.1

Wearing Apparel

211.0

123.3

100.0

92.1

77.8

Leather Products & Footwear

79.5

81.8

100.0

98.6

109.8

Wood & Wood Products

101.4

104.0

100.0

95.5

107.4

Paper & Paper Products

95.4

106.1

100.0

97.4

103.2

Printing & Media

100.9

103.5

100.0

93.0

86.1

Crude Oil Refineries

96.4

95.6

100.0

99.4

93.5

Chemical & Chemical Products

80.3

97.6

100.0

100.5

104.1

Pharmaceutical Products

49.1

75.3

100.0

109.7

107.2

Rubber & Plastic Products

101.2

112.3

100.0

96.5

92.9

Non-metallic Mineral

91.9

92.5

100.0

98.2

97.6

Basic Metals

92.6

102.2

100.0

90.6

76.5

Fabricated Metal Products

90.8

103.6

100.0

104.3

105.1

Machinery & Equipment

57.3

78.5

100.0

112.9

114.5

Electrical Machinery

86.8

124.1

100.0

99.3

108.5

Electronic Components

85.2

113.6

100.0

90.6

94.3

Transport Equipment

96.0

94.0

100.0

106.3

107.5

 

 

 

 

 

 

Construction

(36.9)

14.20

20.50

28.70

-

Real Estate

1.4

21.3

25.4

31.9

-

 

 

 

 

 

 

Services

 

 

 

 

 

Electricity, Gas & Water

1.70

4.00

7.00

6.30

-

Transport, Storage & Communication

3.90

12.80

7.40

5.30

-

Finance & Insurance

(16.4)

(0.4)

8.90

0.50

-

Government Services

4.50

9.70

6.90

6.00

-

Education Services

0.10

(0.9)

(1.4)

0.30

-

 

 

 

 

 

 

* Based on Index of Industrial Production (2011 = 100)

 

 

 

 

 

(Source : Department of Statistics)

 

 

 

 

 

 

INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

 

 

 

The wholesale and retail trade sector contracted by 1.5% in the fourth quarter of 2012, extending the 0.2% decline in the preceding quarter. For the whole of 2012, the sector declined by 0.7%, reversing the 1.6% growth in 2011. The sector was weighed down primarily by the wholesale trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a reversal from the 1.4% growth in 2011. Growth of the retail trade segment also moderated to 2.0%, from 3.2% in the year 2011.

 

The domestic wholesale trade index grew by 1.2% in the fourth quarter of 2012, an improvement from the 5.4% decline in the third quarter. This was partly due to an increase in the sales of chemicals & chemical products and ship chandlers & bunkering. For the full year of 2012, the domestic wholesale trade index contracted by 2.2%, extending the 1.7% decline in 2011. The foreign wholesale trade index grew by 8.6% in the fourth quarter, an increase from the 6.6% growth in the third quarter. The expansion was partly due to resilient sales of petroleum & petroleum products. For the whole of 2012, the foreign wholesale trade index expanded by 9.1%, faster than the 4.3% increase in 2011.

 

In the fourth quarter of 2012, retail sales volume declined by 2.0%, extending the 0.3% decline in the third quarter. Excluding motor vehicles, retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain in the third quarter of 2012. The sales volume of motor vehicles fell by 11% in the fourth quarter of 2012, after contracting by 6.1% in the third quarter. The sales of several discretionary items also declined in the fourth quarter. Besides, the sales of optical goods & books in 2012 fell by 3.6%, while the sales of telecommunications apparatus & computers declined by 1.4%.

 

For 2012 as a whole, retail sales volume grew by 1.3%, compared to the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012. Medical goods & toiletries registered the largest increase (9.3%) in sales, followed by telecommunications apparatus & computers (6.9%). By contrast, the sales of watches & jewellery (-2.2%) and optical goods & books (-3.6%) declined.

 

 

 

OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

 

CREDIT RISK EVALUATION & RECOMMENDATION

 

 


Incorporated in 2004, the Subject is a Private Limited company, focusing on trading of commodity products. Having been in the industry for over a decade, the Subject has achieved a certain market share and has built up a satisfactory reputation in the market. It should have received supports from its regular customers. Having strong support from its holding company has enabled the Subject to remain competitive despite the challenging business environment.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. The Subject is operating on a medium scale and it has approximately 40 employees in its business operations. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Based on the higher profitability, the Subject has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. The high gearing ratio clearly implied that the Subject was supported by more debt than equity. Thus, the Subject is exposed to high financial risk. Given a positive net worth standing at USD 55,553,000, the Subject should be able to maintain its business in the near terms.

The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources.

Overall, the Subject's payment habit is good as the Subject has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject normally.

 

 

PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

MERCURIA ENERGY TRADING PTE. LTD.

 

Financial Year End

2013-12-31

2012-12-31

2011-12-31

2010-12-31

2009-12-31

Months

12

12

12

12

12

Consolidated Account

Company

Company

Company

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

FULL

Currency

USD

USD

USD

USD

USD

 

 

 

 

 

 

TURNOVER

40,921,749,000

21,821,290,000

16,121,893,000

11,480,276,000

5,886,688,000

 

----------------

----------------

----------------

----------------

----------------

Total Turnover

40,921,749,000

21,821,290,000

16,121,893,000

11,480,276,000

5,886,688,000

Costs of Goods Sold

(40,675,225,000)

(21,691,239,000)

(16,040,904,000)

-

-

 

----------------

----------------

----------------

----------------

----------------

Gross Profit

246,524,000

130,051,000

80,989,000

-

-

 

----------------

----------------

----------------

----------------

----------------

 

 

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

21,201,000

9,218,000

6,402,000

3,242,000

2,241,000

 

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

21,201,000

9,218,000

6,402,000

3,242,000

2,241,000

Taxation

(2,116,000)

(503,000)

(683,000)

(737,000)

(414,000)

 

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

19,085,000

8,715,000

5,719,000

2,505,000

1,827,000

 

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

 

 

As previously reported

18,767,000

10,052,000

4,333,000

1,828,000

1,678,000

 

----------------

----------------

----------------

----------------

----------------

As restated

18,767,000

10,052,000

4,333,000

1,828,000

1,678,000

 

----------------

----------------

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

37,852,000

18,767,000

10,052,000

4,333,000

3,505,000

DIVIDENDS - Ordinary (paid & proposed)

-

-

-

-

(1,677,000)

 

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

37,852,000

18,767,000

10,052,000

4,333,000

1,828,000

 

=============

=============

=============

=============

=============

 

 

 

 

 

 

INTEREST EXPENSE (as per notes to P&L)

 

 

 

 

 

Term loan / Borrowing

(95,399,000)

22,762,000

23,420,000

8,941,000

-

Others

(38,061,000)

18,568,000

17,601,000

19,716,000

8,503,000

 

----------------

----------------

----------------

----------------

----------------

 

(133,460,000)

41,330,000

41,021,000

28,657,000

8,503,000

 

=============

=============

=============

=============

=============

 

 

 

BALANCE SHEET

 

 

MERCURIA ENERGY TRADING PTE. LTD.

 

ASSETS EMPLOYED:

 

 

 

 

 

FIXED ASSETS

424,000

905,000

920,000

819,000

795,000

 

 

 

 

 

 

LONG TERM INVESTMENTS/OTHER ASSETS

 

 

 

 

 

Subsidiary companies

109,000

8,709,000

8,707,000

8,652,000

3,600,000

Investments

2,000,000

-

-

-

-

Loans & advances - non-current

110,048,000

101,931,000

68,374,000

64,439,000

-

Others

-

-

2,592,000

287,000

-

 

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

112,157,000

110,640,000

79,673,000

73,378,000

3,600,000

 

 

 

 

 

 

 

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

112,581,000

111,545,000

80,593,000

74,197,000

4,395,000

 

 

 

 

 

 

Stocks

2,043,555,000

753,022,000

226,134,000

181,719,000

304,052,000

Trade debtors

2,754,573,000

1,636,868,000

1,429,255,000

1,347,530,000

619,448,000

Other debtors, deposits & prepayments

100,730,000

10,459,000

18,956,000

152,850,000

41,103,000

Short term deposits

172,587,000

37,164,000

26,649,000

30,883,000

2,330,000

Loans & advances - current portion

101,237,000

78,074,000

-

-

-

Amount due from related companies

28,113,000

317,145,000

448,615,000

416,256,000

23,365,000

Cash & bank balances

249,376,000

48,484,000

12,947,000

4,639,000

11,709,000

Others

230,603,000

76,503,000

76,000,000

-

-

 

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT ASSETS

5,680,774,000

2,957,719,000

2,238,556,000

2,133,877,000

1,002,007,000

 

----------------

----------------

----------------

----------------

----------------

TOTAL ASSET

5,793,355,000

3,069,264,000

2,319,149,000

2,208,074,000

1,006,402,000

 

=============

=============

=============

=============

=============

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

Trade creditors

2,896,000,000

1,238,059,000

1,221,244,000

1,384,583,000

650,837,000

Other creditors & accruals

11,460,000

12,487,000

8,597,000

146,782,000

4,792,000

Short term borrowings/Term loans

1,454,139,000

733,171,000

295,996,000

476,046,000

-

Other liabilities & accruals

-

-

-

-

59,497,000

Amounts owing to holding company

840,815,000

-

-

-

-

Amounts owing to related companies

320,225,000

570,336,000

484,569,000

67,042,000

68,985,000

Provision for taxation

1,104,000

343,000

742,000

187,000

438,000

Other liabilities

214,059,000

78,400,000

60,248,000

-

210,324,000

 

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

5,737,802,000

2,632,796,000

2,071,396,000

2,074,640,000

994,873,000

 

----------------

----------------

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

(57,028,000)

324,923,000

167,160,000

59,237,000

7,134,000

 

----------------

----------------

----------------

----------------

----------------

TOTAL NET ASSETS

55,553,000

436,468,000

247,753,000

133,434,000

11,529,000

 

=============

=============

=============

=============

=============

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

 

Ordinary share capital

18,000,000

18,000,000

18,000,000

18,000,000

10,000,000

 

----------------

----------------

----------------

----------------

----------------

TOTAL SHARE CAPITAL

18,000,000

18,000,000

18,000,000

18,000,000

10,000,000

 

 

 

 

 

 

Capital reserve

(299,000)

(299,000)

(299,000)

(299,000)

(299,000)

Retained profit/(loss) carried forward

37,852,000

18,767,000

10,052,000

4,333,000

1,828,000

 

----------------

----------------

----------------

----------------

----------------

TOTAL RESERVES

37,553,000

18,468,000

9,753,000

4,034,000

1,529,000

 

 

 

 

 

 

 

----------------

----------------

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

55,553,000

36,468,000

27,753,000

22,034,000

11,529,000

 

 

 

 

 

 

Long term loans

-

400,000,000

220,000,000

111,400,000

-

 

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

-

400,000,000

220,000,000

111,400,000

-

 

----------------

----------------

----------------

----------------

----------------

 

55,553,000

436,468,000

247,753,000

133,434,000

11,529,000

 

=============

=============

=============

=============

=============

 

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

MERCURIA ENERGY TRADING PTE. LTD.

 

TYPES OF FUNDS

 

 

 

 

 

Cash

421,963,000

85,648,000

39,596,000

35,522,000

14,039,000

Net Liquid Funds

421,963,000

85,648,000

39,596,000

35,522,000

14,039,000

Net Liquid Assets

(2,100,583,000)

(428,099,000)

(58,974,000)

(122,482,000)

(296,918,000)

Net Current Assets/(Liabilities)

(57,028,000)

324,923,000

167,160,000

59,237,000

7,134,000

Net Tangible Assets

55,553,000

436,468,000

247,753,000

133,434,000

11,529,000

Net Monetary Assets

(2,100,583,000)

(828,099,000)

(278,974,000)

(233,882,000)

(296,918,000)

BALANCE SHEET ITEMS

 

 

 

 

 

Total Borrowings

1,454,139,000

1,133,171,000

515,996,000

587,446,000

0

Total Liabilities

5,737,802,000

3,032,796,000

2,291,396,000

2,186,040,000

994,873,000

Total Assets

5,793,355,000

3,069,264,000

2,319,149,000

2,208,074,000

1,006,402,000

Net Assets

55,553,000

436,468,000

247,753,000

133,434,000

11,529,000

Net Assets Backing

55,553,000

36,468,000

27,753,000

22,034,000

11,529,000

Shareholders' Funds

55,553,000

36,468,000

27,753,000

22,034,000

11,529,000

Total Share Capital

18,000,000

18,000,000

18,000,000

18,000,000

10,000,000

Total Reserves

37,553,000

18,468,000

9,753,000

4,034,000

1,529,000

LIQUIDITY (Times)

 

 

 

 

 

Cash Ratio

0.07

0.03

0.02

0.02

0.01

Liquid Ratio

0.63

0.84

0.97

0.94

0.70

Current Ratio

0.99

1.12

1.08

1.03

1.01

WORKING CAPITAL CONTROL (Days)

 

 

 

 

 

Stock Ratio

18

13

5

6

19

Debtors Ratio

25

27

32

43

38

Creditors Ratio

26

21

28

44

40

SOLVENCY RATIOS (Times)

 

 

 

 

 

Gearing Ratio

26.18

31.07

18.59

26.66

0.00

Liabilities Ratio

103.29

83.16

82.56

99.21

86.29

Times Interest Earned Ratio

0.84

1.22

1.16

1.11

1.26

Assets Backing Ratio

3.09

24.25

13.76

7.41

1.15

PERFORMANCE RATIO (%)

 

 

 

 

 

Operating Profit Margin

0.05

0.04

0.04

0.03

0.04

Net Profit Margin

0.05

0.04

0.04

0.02

0.03

Return On Net Assets

(202.08)

11.58

19.14

23.91

93.19

Return On Capital Employed

(202.08)

11.58

19.14

23.91

93.19

Return On Shareholders' Funds/Equity

34.35

23.90

20.61

11.37

15.85

Dividend Pay Out Ratio (Times)

0.00

0.00

0.00

0.00

0.92

NOTES TO ACCOUNTS

 

 

 

 

 

Contingent Liabilities

0

0

0

0

0


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.61

UK Pound

1

Rs.100.48

Euro

1

Rs.79.56

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

PDT

 

               

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

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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.