MIRA INFORM REPORT

 

 

Report No. :

336680

Report Date :

19.08.2015

 

IDENTIFICATION DETAILS

 

Name :

RIYADH SEAFOOD CORPORATION (PTY) LTD

 

 

Formerly Known As :

PADDY’S PAD 2513 (PTY) LTD

 

 

Registered Office :

2 Tanel Road, Lansdowne, Cape Town, Western Cape, P O Box 44505, Claremont, 1735

 

 

Country :

South Africa

 

 

Date of Incorporation :

16.08.2001

 

 

Com. Reg. No.:

2001/019415/07

 

 

Legal Form :

Private Company

 

 

Line of Business :

Wholesalers of Seafood.

 

 

No. of Employees :

26-28

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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. Economic growth has decelerated in recent years, slowing to just 1.5% in 2014. 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, is building three new power stations and is installing 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 and early 2015 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 electrical supply problems are resolved.

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 due to strike action. The current government faces growing pressure from urban constituencies to improve the delivery of basic services to low-income areas and to increase job growth.

 

Source : CIA

 

COMPANY NAME

 

RIYADH SEAFOOD CORPORATION (PTY) LTD

 

Formerly: PADDY’S PAD 2513 (PTY) LTD, the name having been changed on 18 December 2001

 

 

COMPANY Address

 

PHYSICAL ADDRESS:                          2 Tanel Road

LANSDOWNE

Cape Town

Western Cape

 

POSTAL ADDRESS:                             P O Box 44505

CLAREMONT

1735

 

TELEPHONE NUMBER:                        +27 21 692 1111

 

FAX NUMBER:                                      +27 21 692 1104

 

 

SHAREHOLDERS

 

100%    M R EBRAHIM

 

 

ASSOCIATE COMPANIES

 

FIROZ PROPERTY INVESTMENTS (PTY) LTD

 

 

DIRECTORS

 

M R EBRAHIM                                                  ID No.   7606185295083

 

 

BANKERS

 

FIRST NATIONAL BANK, Adderley Street Branch, Cape Town.  Account Number: 62030678942.  The subject is reported to have an overdraft facility secured by the shareholder’s guarantee. Utilisation of the overdraft is stated to be nil as credit balances are maintained at the bank.

 

 

DATE REGISTERED

 

16 August 2001

Registration Certificate Number: 2001/019415/07

 

A shelf company was utilised for active operations to commence in 2004.

 

 

VAT NUMBER

 

4040197859

 

 

TAX NUMBER

 

9624131141

 

 

BBBEE STATUS

 

Level 2 contributor

 

 

MAJOR OPERATION

 

The subject operates as wholesalers of seafood.

 

 

MAJOR SUPPLIERS

 

The subject imports supplies and deals with suppliers in South Africa.

 

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

 

Retailers and wholesalers.

 

 

AREA OF DISTRIBUTION AND SELLING   

 

South Africa

 

 

EXPORTS

 

None

 

 

TOTAL EMPLOYEES

 

26-28

 

 

OTHER PREMISES

 

 None

 

 

OWNED OR LEASED

 

The premises are reported to be owned by the associate company.

 

 

FINANCIALS

 

Full financial information was not forthcoming from respondents at the subject and outside authorities were unable to assist in this regard, however, historical information dated 28 May 2014 reads as follows:

 

STOCK                                                                                                      R 16 000 000

DEBTORS                                                                          R  12 000 000 – R 15 000 000

FIXED ASSETS                                                                                         R   1 500 000

CREDITORS                                                                       R   3 000 000 – R   5 000 000

LOANS                                                                                                                      Nil

TURNOVER per annum                                                                               R 70 000 000

TURNOVER estimated from year end 2014                                                  R 85 000 000

 

 

AUDITORS

 

VERRYN & COMPANY INC

 

 

YEAR END

 

FEBRUARY

 

 

INSURANCE BROKERS

 

RBS SOLUTIONS INSURANCE BROKERS

 

 

TRADE REFERENCES – MARCH 2009

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    5 years+       R798 000       R   350 000 -   30 days    30 days        Good

                          c/l                 R   450 000

                          (insured – Lombard)

 

2.    5 years+       Confidential   Confidential    30 days    30 days        Very Good

 

3.    2 years         Undisclosed  ±R   150 000    30 days    30 days        Very Good

                          c/l (insured CGIC)

 

4.    2005             Confidential   Confidential    30 days    30 days        Very good

 

 

TRADE REFERENCES – AUGUST 2012

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS       PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                             PATTERN

 

1.    +10 years     R1 000 000    R   500 000     30 days       30 days       Very Good

 

2.    2004             R1 200 000    R   250 000     30 days       30 days       Very Good

                          Insured CGIC

 

3.    Jun 2007      R   500 000    R   100 000-    30 days       30 days       Very Good

                                               R   200 000

 

 

TRADE REFERENCES-MAY 2014

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS       PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                             PATTERN

 

1.    +2004           R  250 000     R   130 000     30 days       30 days       Good

                          c/l

 

2.    ±5 years       R  500 000     R   500 000     30 days       30 days       Very Good

                          Insured CGIC

 

3.    ±5 years       R3 000 000    R   500 000-    30 days       30 days       Very Good

                                               R1 000 000

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

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

 

1.    Fish products                   

                         

2.    Freight Forwarders            

 

3.    Fish products                   

 

 

CURRENT TRADE REFERENCES

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS       PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                             PATTERN

 

1.    5 years         R2 000 000    R150 000-       30 days       30 days       Good

                                               R250 000

 

2.    Awaiting emailed trade reference.

 

3.    ±10 years     R2 200 000    R1 000 000      30 days       30 days       Good

 

4.    8 years         R1 500 000    R1 500 000      30 days       30 days       Good

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

 

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

 

1.    Fish products                   

                         

3.    Fish products                   

 

4.    Freight forwarder              

 

 

COMMENTS

 

This is an established company meeting its commitments timeously. The subject is considered equal to its normal business engagements.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.65.22

UK Pound

1

Rs.102.23

Euro

1

Rs.72.39

 

 

 

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

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.