MIRA INFORM REPORT

 

 

Report No. :

317868

Report Date :

25.04.2015

 

IDENTIFICATION DETAILS

 

Name :

SYLKO (PTY) LTD

 

 

Formerly Known As :

CLIDET NO 305 (PTY) LTD

 

 

Registered Office :

6 Prospecton Road Prospecton Durban Kwazulu Natal, P O Box 12221 Jacobs 4026

 

 

Country :

South Africa

 

 

Date of Incorporation :

21.12.1999

 

 

Com. Reg. No.:

1999/028291/07

 

 

Legal Form :

Private Company

 

 

Line of Business :

Suppliers of disposable and recyclable household foils, paper and plastic tableware, food wraps and baking accessories.

 

 

No. of Employee :

±167 permanent employees

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

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 Africa’s largest and among the top 20 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, and GDP fell nearly 2% in 2009 but has recovered since then, albeit slowly, with 2014 growth less than 2%. Unemployment, poverty, and inequality - among the highest in the world - remain a challenge. Official unemployment is roughly 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. Load shedding and resulting rolling blackouts gripped many parts of South Africa in late 2014 because of electricity supply constraints that resulted from technical problems at some generation units, unavoidable planned maintenance, and an accident at a power station in Mpumalanga province. The rolling black outs were the worst the country faced since 2008. Construction delays at two additional plants, however, mean South Africa will continue to operate 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 faces structural constraints that also limit economic growth, such as skills shortages, declining global competitiveness and frequent work stoppages. 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     

 

SYLKO (PTY) LTD

 

 

Formerly

 

CLIDET NO 305 (PTY) LTD, the name having been changed on 13 March 2001.

 

 

Address

 

PHYSICAL ADDRESS

 

6 Prospecton Road

PROSPECTON

Durban

Kwazulu Natal

 

POSTAL ADDRESS

 

P O Box 12221

JACOBS

4026

 

TELEPHONE NUMBER:            +27 31 913 9500

 

FAX NUMBER:                          +27 31 913 9501 / 031 467 0171

 

The address supplied by our client of 12-16 Dudley Street, Durban is an old address from which the subject relocated in approximately 2006.

 

It was previously stated that Block A Surrey Park, 6 Barham Road, Off Essex Terrance in Westville is reported to belong to the auditors.

 

 

SHAREHOLDERS

 

78.43% C R ATTWOOD 

 9.8 %   R PELCZARSKI

 9.8 %   EMPCO INVESTMENTS (PTY) LTD - BEE investor/employees

 1.97%  P MURUGAN

 

The shareholding changed and was previously:

 

80%      C R ATTWOOD 

10%      R PELCZARSKI

10%      EMPCO INVESTMENTS (PTY) LTD - BEE investor/employees

 

It was stated that C R ATTWOOD bought G F RECHNER’S shares in the subject in July 2004

 

 

ASSOCIATE COMPANIES

 

None

 

 

DIRECTORS

 

C R ATTWOOD                                                 ID No.   5205015082001

G C ATTWOOD (Son)                                        ID No.   8010095087087

M R ATTWOOD (Son)                                        ID No.   8503225180087

R PELCZARSKI                                                 ID No.   5612315129087

H M F DE N GONCALVES                                 ID No.   5508175055182

D M NAIDOO                                                    ID No.   6602025220085

P MURUGAN                                                    ID No.   7212015020088

 

 

BANKERS

 

STANDARD BANK, Jacobs branch, branch code: 04332607, account number. 051603217.  

 

It was stated that the subject enjoys overdraft facilities to an extent of

R15 000 000 secured by a cession of debtors.  Utilisation of the overdraft is stated to be partial.

 

 

DATE REGISTERED

 

21 December 1999

Registration Certificate Number 1999/028291/07 - confirmed at CIPC

 

SYLKO (PTY) LTD was established in March 2001 when a shelf company, styled CLIDENT NO 305 (PTY) LTD, was used to incorporate the assets and operations of SYLKO, a division of KOHLER PACKAGING LTD. The subject then underwent a name change and converted to a Private Company. 

 

KOHLER PACKAGING LTD had previously incorporated the assets and operations of SYLKO PAPER COMPANY LTD (Registration Certificate Number 1966/010228/06) which has since been deregistered.

 

 

VAT NUMBER:                          4710190820

 

TAX NUMBER:                          9569002141

 

BBBEE RATING:                       Level 4 contributor

 

 

MAJOR OPERATION

 

Suppliers of disposable and recyclable household foils, paper and plastic tableware, food wraps and baking accessories.

 

 

MAJOR SUPPLIERS

 

The subject imports about 5% of its raw materials from Europe and the East as well as purchasing supplies locally.

 

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

 

Chain stores and retailers such as PICK ‘N PAY, SHOPRITE and SPAR.

 

 

AREA OF DISTRIBUTION AND SELLING

 

Throughout South Africa

 

 

EXPORTS

 

African countries such as Namibia, Botswana and Zimbabwe as well as to Mauritius.

 

 

TOTAL EMPLOYEES

 

±167 permanent employees

           

 

OTHER PREMISES   

 

The subject has branches at Midrand (Gauteng) and Durbanville (Western Cape) as well as warehousing facilities in Port Elizabeth, Bloemfontein, Cape Town and Johannesburg.

 

It was stated that the heading premises comprise of administration offices, a manufacturing facility and a warehouse.

 

 

OWNED OR LEASED

 

All property is reported to be leased.

 

 

AUTHORISED SHARE CAPITAL

 

R1 000 divided into 1 000 ordinary R1 shares.

 

 

ISSUED SHARE CAPITAL

 

R100

 

 

FINANCIALS

 

The following estimated financial situation was submitted as at 23 April 2015:

 

STOCK                                     ±R  22 000 000

DEBTORS                                ±R  20 000 000

FIXED ASSETS - net book        R  22 000 000

CREDITORS                             ±R  17 000 000

TURNOVER - per month            R215 000 000

 

 

AUDITORS

 

R S M BETTY AND DICKSON, Durban

 

 

YEAR END

 

FEBRUARY

 

 

INSURANCE BROKERS

 

BAY UNION INSURANCE BROKERS

 

 

TRADE REFERENCES – DECEMBER 2005

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT        EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         10 years            declined            R1 000 000        30 days            30 days            Excellent

 

2.         July 2004          R   100 000       R   100 000       30 days            30 days            Very good

 

3.         15 years            R1 300 000        R   200 000       35 days            35 days            Very good

                                    c/l

 

 

TRADE REFERENCES – FEBRUARY 2007

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT        EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         Do not give trade references

 

2.         6 years do not disclose figures  30 days            30 days            Excellent

 

Do not give trade references

 

4.         Do not give trade references

 

5.         2002     R600 000          R400 000          30 days            30 days            Very good

                                                            2.5%

 

 

TRADE REFERENCES – 2 JULY 2009

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT        EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         5+ years           R500 000+        R500 000          30 days            30 days            Very good

 

2.         2002     R1 155 000        R500 000 -        30 days            30 days            Very good

                        c/l         R800 000

 

3.         Old       R200 000          R200 000          30 days            30 days            Good

 

4.         Do not give trade references.

 

 

TRADE REFERENCES – OCTOBER 2010

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT        EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         Awaiting a fax trade reference response

 

2.         10 years+          declined            declined            30 days            30 days            Excellent

 

3.         Awaiting a fax trade reference response

 

4.         5 years declined            declined            30 days            30 days            Good

 

 

TRADE REFERENCES – MAY 2011

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT        EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         5+ years           undisclosed      undisclosed      30 days            30 days            Excellent

 

2.         3+ years           undisclosed      undisclosed      30 days            30 days            Very Good

 

Do not give trade references

 

Do not give trade references

 

6 years R1 300 000        undisclosed      30 days            30 days            Very Good

            c/l

 

 

TRADE REFERENCES – JULY 2012

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT        EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         +10 Years         Declined           Declined           30 days            30 days            Very good

 

2.         +6 Years           Open                R600 000-                     30 days            30 days            Excellent

                                                            R800 000

3.         Do not give trade references

 

 

CURRENT TRADE REFERENCES

 

            ACCOUNT        HIGHEST          AVERAGE        TERMS PAYMENT   EXPERIENCE

            OPENED          CREDIT            CREDIT                        PATTERN

 

1.         +10 years          Declined           Declined           30 days            30 days            Very Good                   

2.         Old       R1 000 000        R600 000          30 days            30 days            Very Good

 

3.         Awaiting email trade reference.

 

Against company policy to divulge trade reference information.

 

Against company policy to divulge trade reference information.

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

 

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

 

1.         Transport and logistics 

                       

2.         Shipping          

 

 

COMMENTS

 

This is a well-established company meeting its commitments timeously.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.00

UK Pound

1

Rs.95.42

Euro

1

Rs.68.49

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ANK

 


 

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.