MIRA INFORM REPORT

 

 

Report No. :

354697

Report Date :

18.12.2015

 

IDENTIFICATION DETAILS

 

Name :

EUROSTAR DIAMONDS INTERNATIONAL SA

 

 

Registered Office :

9B, Bld du Prince Henri 1724

 

 

Country :

Luxembourg

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

30.09.1984

 

 

Com. Reg. No.:

Luxembourg B 48.916

 

 

Legal Form :

Société Anonyme

 

 

Line of Business :

Sale of Diamonds and jewellery.

 

 

No. of Employee :

Not Available

 

 

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 :

Slow but correct

 

 

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)

Luxembourg

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

LUXEMBOURG ECONOMIC OVERVIEW

 

This small, stable, high-income economy has historically featured solid growth, low inflation, and low unemployment. The industrial sector, initially dominated by steel, has become increasingly diversified to include chemicals, machinery and equipment, rubber, automotive components, and other products. The financial sector, which accounts for about 36% of GDP, is the leading sector in the economy. The economy depends on foreign and cross-border workers for about 39% of its labor force. Luxembourg experienced uneven economic growth in the aftermath of the global economic crisis that began in late 2008. Luxembourg's GDP contracted 3.6% in 2009, rebounded in 2010-12, fell again in 2013, but recovered in 2014. Unemployment has remained below the EU average despite having increased from a historically-low rate of 4% in the 2000s to 7% in 2014. The country continues to enjoy an extraordinarily high standard of living - GDP per capita ranks among the highest in the world and is the highest in the euro zone. Luxembourg has one of the highest current account surpluses as a share of GDP in the euro zone, and it maintains a healthy budgetary position and the lowest public debt levels in the region. Luxembourg has lost some of its advantage as a favorable tax location because of OECD and EU pressure. In 2015 the government’s compliance with EU requirements to implement automatic exchange of tax information on savings accounts - thus ending banking secrecy - has depressed banking activity and dampened GDP growth. Likewise, changes to the way EU members collect taxes from e-Commerce has cut Luxembourg’s tax revenues, requiring the government to raise additional levies and to reduce some direct social benefits.

 

Source : CIA

 

Summary

 

Company name

EUROSTAR DIAMONDS INTERNATIONAL SA

Credit limit

EUR 500.000 or higher

Risk

Low risk

Status

Active

 

 

 

Contact information

 

Company name

Eurostar Diamonds International SA

Trading name

Eurostar Diamonds International

Operative address

9B, Bld du Prince Henri

1724 Luxembourg

Correspondence address

9B, Bld du Prince Henri

1724 Luxembourg

 

Telephone number

+352 26478915

Fax number

+352 26478916

Email address

info@eurostardiamonds.com

Website

www.eurostardiamonds.com

 

 

Registration

 

Registration number

Luxembourg B 48.916

Fiscla number

1994/2211/905

VAT-number

Unknown

Status

Active

Establishment date

30/09/1984

 

Legal form

Société Anonyme

Subscribed share capital

143.346.495,29 EUR

 

 

Activities

 

Holding. Sale of Diamonds and jewellery.

 

 

Relations

           

Shareholders

Unknown

Structure

Among subsidiaries are:

- Eurostar Overseas SA, Luxembourg

- Eurostar Diamond Traders NV, Belgien

- Sam Diamonds NV, Belgien

- Almazi International BVBA, Belgien

- Nippon Star NV, Belgien

- Eurostar Diamonds (Suisse) SA, Schweiz

- Conghua East Unicorn Diamonds Co Ltd, China

 

Branches

No branches on record

 

 

Management

 

Name / Address / Status

Participating since

Board of Administration

Alphonse Mangen, born 17.06.1958, Wirtschaftsprüfer, married

9088 Ettelbruck, 147, Rue de Warken

18.06.2013

Kunal Mehta, born 12.07.1981

Antwerpen, Belgium

11.10.2006

Karin Reuter, born Bonert, born 11.04.1962

3332 Fentange, 5, Rue des Champs

28.02.2006

Marleen Vermeulen, born 07.10.1959

Antwerpen, Belgium

28.02.2006

Kaushik Kirtilal Mehta, born 29.06.1949

Antwerpen, Belgium

Paresh Kirtilal Mehta, born 13.06.1951

Mumbai, India

Sachin Dinukumar Mehta, born 09.01.1964

Antwerpen, Belgium

 

 

 Employees

 

Year

2015

Company

0

Group

22.000

 

 

Bank 

 

A bank connection is not known.

 

 

Payments

 

With agreed terms.

 

 

Remarks

 

Commissioner: Dacas BVBA

 

 

Finances

 

BALANCE SHEET

 

 

Balance sheet category

small balance sheet

small balance sheet

Legal system

HGB

HGB

Reporting period

01.01.2013 - 31.12.2013

01.01.2012 - 31.12.2012

Assets

in EUR

in EUR

Balance sheet total

255.073.346,40

271.163.884,58

Shares in affiliated companies

199.024.096,01

204.343.800,17

Loans to companies in which a participaton is held

11.155.551,22

11.623.562,66

Other loans

57.179,67

59.578,54

Receivables from affiliates

8.880.296,00

Receivables from companies in which a participation is held

2.572.808,10

2.613.569,57

Other receivables

41.952.287,81

43.584.656,53

Cheque, cash in hand and in banks

311.423,59

58.421,11

Liabilities

in EUR

in EUR

Balance sheet total

255.073.346,40

271.163.884,58

Subscribed capital, credit balance, capital accounts

143.346.495,29

149.360.344,13

Legal reserves

2.228.255,00

1.942.987,50

Profit carried forward

28.134.717,60

22.221.780,96

Net profit

8.496.783,84

7.472.028,99

Accounts payable

27.075,52

47.160,19

Liabilities towards affiliates

65.879.298,36

83.092.755,91

Miscellaneous items

6.574.365,17

6.689.122,15

Tax-VAT-liabilities

1.818,99

Deferred items - liabilities -

386.355,62

335.885,76

 

 


 

DIAMOND INDUSTRY – INDIA

 

-            From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8th Century B.C.  India, in fact, remained undisputed leader till 18th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

-            The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

-            The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

-            Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

-            Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

-            Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

-            Excerpts from Times of India dated 30th October 2010 is as under –

-            Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

-            The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.65

UK Pound

1

Rs.99.61

Euro

1

Rs.72.33

EUR

1

Rs.72.15

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

KIN

 

 

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%)

 

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.