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Report Date : |
23.09.2014 |
IDENTIFICATION DETAILS
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Name : |
MUSCAT GASES COMPANY SAOG |
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|
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Registered Office : |
Industrial
Estate, Road |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
01.08.1989 |
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Com. Reg. No.: |
1/16498/8 |
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Legal Form : |
Omani Public Joint Stock Company |
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Line of Business : |
Subject is engaged in the manufacture and bottling of industrial gases |
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No. of Employees : |
130 |
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 |
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Payment Behaviour : |
No complaints |
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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) |
|
Oman |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
OMAN - ECONOMIC OVERVIEW
Oman is a middle-income economy
that is heavily dependent on dwindling oil resources. Because of declining
reserves and a rapidly growing labor force, Muscat has actively pursued a
development plan that focuses on diversification, industrialization, and
privatization, with the objective of reducing the oil sector's contribution to
GDP to 9% by 2020 and creating more jobs to employ the rising numbers of Omanis
entering the workforce. Tourism and gas-based industries are key components of
the government's diversification strategy. However, increases in social welfare
benefits, particularly since the Arab Spring, will challenge the government's
ability to effectively balance its budget if oil revenues decline. By using
enhanced oil recovery techniques, Oman succeeded in increasing oil production,
giving the country more time to diversify, and the increase in global oil
prices through 2011 provided the government greater financial resources to
invest in non-oil sectors. In 2012, continued surpluses resulting from
sustained high oil prices and increased enhanced oil recovery allowed the
government to maintain growth in social subsidies and public sector job
creation. However, the Sultan made widely reported statements indicating this
would not be sustainable, and called for expanded efforts to support SME
development and entrepreneurship. Government agencies and large oligarchic
group companies heeded his call, announcing new initiatives to spin off
non-essential functions to entrepreneurs, incubate new businesses, train and
mentor up and coming business people, and provide financing for start-ups. In
response to fast growth in household indebtedness, the Central Bank reduced the
ceiling on personal interest loans from 8 to 7%, lowered mortgage rates, capped
the percentage of consumer loans at 50% of borrower's salaries for personal
loans and 60% for housing loans, and limited maximum repayment terms to 10 and
25 years respectively.
|
Source
: CIA |
Company Name : MUSCAT GASES COMPANY SAOG
Country of Origin :
Legal Form : Omani Public Joint Stock Company
Registration Date : 1st August 1989
Commercial Registration Number : 1/16498/8
Membership Number : 438
Issued Capital : RO 3,000,000
Paid up Capital : RO 3,000,000
Total Workforce : 130
Activities : Manufacture and bottling of industrial gases
Financial Condition : Good
Payments : Nothing detrimental uncovered
Operating Trend : Steady
MUSCAT GASES COMPANY SAOG
Location : Industrial
Estate, Road No. 2
PO Box : 11 & 2918
Town : Rusayl 124
Country : Sultanate of
Oman
Telephone : (968) 24446030
/ 24446031
Facsimile : (968) 24446032
Mobile : (968)
99430145
Email : musingas@omantel.net.om
/ info@mctgases.com
Subject operates from a medium sized suite of offices and a factory that
are owned and located in the Industrial Area of Rusayl.
Name Position
·
Omar Ahmed Salim Qatan Chairman
·
Khalid Khamis Ali Al Jashmi Vice
Chairman
·
Nabeel Salim Said Al Ruwaidhi Director
·
Mohamed Ismail Al Rajabi Director
·
Abdul Azeez Khaleefa Al Saadi Director
·
Anil Kumar Vishnoi Director
·
Kumail Abdulamir Said Director
·
Khalid Bin Mohammed Al Hamoodah Director
·
Nazeer Mohammed Al Rae Company
Secretary
Date of
Establishment : 1st
August 1989
Legal Form : Omani Public Joint
Stock Company
Commercial Reg.
No. : 1/16498/8
Membership No. : 438
Issued Capital : RO 3,000,000
Paid up Capital : RO 3,000,000
· Global Financial
Investments SAOG 23.733%
· Al Tamman Trading
Establishment LLC 10.808%
· Omani businessmen
& private investors 65.459%
Name Percentage Held
· Sohar Gases Co LLC 10%
Activities: Engaged in the manufacture and bottling of industrial gases.
Import Countries: India
Brand Names: SOLKANE
Operating Trend: Steady
Subject has a workforce of 130 employees.
Financial highlights provided by local sources are given below:
Currency: Riyal Omani (RO)
Balance Sheet 31/12/13
31/12/12
|
ASSETS |
|
|
|
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Non-current assets |
|
|
|
|
Property, plant and
equipment |
|
5,219,684 |
4,882,111 |
|
Available-for-sale investments |
|
165,000 |
546,045 |
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|
|
|
|
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Total non-current assets |
|
5,384,684 |
5,428,156 |
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Current assets |
|
|
|
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Inventories |
|
1,038,232 |
994,051 |
|
Trade and other
receivables |
|
2,123,274 |
1,643,759 |
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Cash and bank balances |
|
379,228 |
1,222,484 |
|
|
|
|
|
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Total current assets |
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3,540,734 |
3,860,294 |
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|
|
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Total assets |
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8,925,418 |
9,288,450 |
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EQUITY AND LIABILITIES |
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|
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Capital and reserves |
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|
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Share capital |
|
3,000,000 |
3,000,000 |
|
Statutory reserve |
|
1,000,000 |
1,000,000 |
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General reserve |
|
198,672 |
210,550 |
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Special reserve |
|
1,457,067 |
1,457,067 |
|
Revaluation reserve
on available-for-sale investments |
|
- |
37,220 |
|
Retained earnings |
|
1,443,804 |
1,788,122 |
|
|
|
|
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Total equity |
|
7,099,543 |
7,492,959 |
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Non-current liabilities |
|
|
|
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End of service
benefits |
|
157,748 |
134,758 |
|
Deferred tax liability |
|
83,409 |
56,488 |
|
|
|
|
|
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Total non-current
liabilities |
|
241,157 |
191,246 |
|
|
|
|
|
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Current liabilities |
|
|
|
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Trade and other
payables |
|
1,421,929 |
1,407,513 |
|
Provision for income tax |
|
162,789 |
196,732 |
|
|
|
|
|
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Total current liabilities |
|
1,584,718 |
1,604,245 |
|
|
|
|
|
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Total liabilities |
|
1,825,875 |
1,795,491 |
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|
|
|
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Total equity and liabilities
|
|
8,925,418 |
9,288,450 |
Income Statement
|
Sales |
|
9,813,458 |
10,782,115 |
|
Cost of sales |
|
(7,832,735) |
(8,823,609) |
|
|
|
|
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Gross profit
|
|
1,980,723 |
1,958,506 |
|
General and administrative expenses
|
|
(511,493) |
(499,776) |
Investment and other income
|
|
164,284 |
117,803 |
|
|
|
|
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Profit before tax |
|
1,633,514 |
1,576,533 |
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Income tax |
|
(189,710) |
(182,839) |
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|
|
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Profit
for the year |
|
1,443,804 |
1,393,694 |
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Other
comprehensive income: |
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|
|
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Items that may be reclassified subsequently to
profit or loss: |
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|
|
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Unrealized gain on available-for-sale investments |
|
- |
26,512 |
|
Gain realized on disposal of available-for-sale investments |
|
(37,220) |
- |
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|
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Total comprehensive income for the year |
|
1,406,584 |
1,420,206 |
Local sources consider subject’s financial condition to be Good.
·
Bank Muscat SAOG
Ruwi Main Branch
PO Box:
6326
Muscat
Tel:
(968) 24561399 / 24708543
Fax:
(968) 24561036
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.60.78 |
|
|
1 |
Rs.99.27 |
|
Euro |
1 |
Rs.78.16 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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|
Report Prepared
by : |
NIS |
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 |
|
|
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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.