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Report No. : |
306115 |
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Report Date : |
07.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
ARCHROMA
PAKISTAN LIMITED |
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|
|
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Registered Office : |
1-A/1, Sector-20, Korangi
Industrial Area, |
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|
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Country : |
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Date of Incorporation : |
1996 |
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Com. Reg. No.: |
0037175 |
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|
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Legal Form : |
Limited Liability Company |
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|
|
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Line of Business : |
Manufacture &
Sells Chemicals, Dyestuff, Emulsions and Master Batches |
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No. of Employees : |
216 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Pakistan |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
PAKISTAN - ECONOMIC OVERVIEW
Decades of internal political
disputes and low levels of foreign investment have led to slow growth and
underdevelopment in Pakistan. Agriculture accounts for more than one-fifth of
output and two-fifths of employment. Textiles account for most of Pakistan's
export earnings, and Pakistan's failure to expand a viable export base for
other manufactures has left the country vulnerable to shifts in world demand.
Official unemployment was 6.6% in 2013, but this fails to capture the true
picture, because much of the economy is informal and underemployment remains
high. Over the past few years, low growth and high inflation, led by a spurt in
food prices, have increased the amount of poverty. As a result of political and
economic instability, the Pakistani rupee has depreciated more than 40% since
2007. The government agreed to an International Monetary Fund Standby
Arrangement in November 2008 in response to a balance of payments crisis.
Although the economy has stabilized since the crisis, it has failed to recover.
Foreign investment has not returned, due to investor concerns related to
governance, energy, security, and a slow-down in the global economy.
Remittances from overseas workers, averaging about $1 billion a month since
March 2011, remain a bright spot for Pakistan. However, after a small current
account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's current
account turned to deficit in the following two years, spurred by higher prices
for imported oil and lower prices for exported cotton. Pakistan remains stuck
in a low-income, low-growth trap, with growth averaging about 3.5% per year
from 2008 to 2013. Pakistan must address long standing issues related to
government revenues and energy production in order to spur the amount of
economic growth that will be necessary to employ its growing and rapidly
urbanizing population, more than half of which is under 22. Other long term
challenges include expanding investment in education and healthcare, adapting
to the effects of climate change and natural disasters, and reducing dependence
on foreign donors.
|
Source
: CIA |
ARCHROMA PAKISTAN LIMITED
|
Registered
Address |
|
1-A/1, Sector-20, Korangi
Industrial Area, Karachi, Pakistan |
|
Tel # |
92 (21) 35046710,
35046711 |
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Fax # |
92 (21) 35046712 |
|
Website |
|
a. |
Nature of Business |
Manufacture &
Sells Chemicals, Dyestuff, Emulsions and Masterbatches |
|
b. |
Year Established |
1996 |
|
c. |
Registration # |
0037175 |
Korangi Industrial Area, Karachi.
Petaro Road, Jamshoro.
Katarband Road, Thokar Niaz Baig, Lahore.
|
In Faisalabad & Lahore |
|
KPMG Taseer Hadi
& Co. (Chartered Accountants) |
|
The Company is a limited liability company
and is incorporated and domicified in Pakistan. The Company is listed at
stock exchanges of Pakistan |
|
Names |
Designation |
|
Mr. Mujtaba Rahim Mr. Hans Lourens Dr. S. Mubarik Ali Mr. M. Veqar Arif Mr. Roland Waibel Mr. Thomas Winkler Mr. Rahat Kaunain Hassan |
Chairman / CEO Director Director Director Director Director Director |
|
Categories |
Percentage (%) |
|
Directors, Chief Executive Officer &
their spouse and minor children Associated Companies, Undertakings and
related parties NIT & ICP Banks, Development Financial Institutions,
Non Banking Financial Institutions Insurance Companies Modarbas and mutual funds General Public Others |
--- 75.00 0.00 1.42 4.32 5.97 11.54 1.75 |
|
The Company is a subsidiary of Archroma
Textiles S.A.R.L. |
|
Clariant is the global leader in the field of
Specialty Chemicals with presence in five continents and 90 countries with
more than 100 operating group companies, employing about 25,000 people and
headquartered in Muttenz near Basle, Switzerland. Clariant’s businesses are
organized in five divisions: Textile, Leather & Paper Chemicals,
Masterbatches, Pigments & Additives, Functional Chemicals and Life
Sciences Chemicals. |
216
Production during the year was 25,624 tonnes (31
December 2013: 37,976 tonnes). The capacity is indeterminable because of
multi-product plants involving varying process of manufacture
|
Year |
In Pak Rupees |
|
2014 |
7,622,868,000/- |
Mainly exist at major cities of Pakistan
|
(1) Citibank, N.A., Pakistan. (2) Faysal Bank Limited, Pakistan. (3) Habib Bank Limited, Pakistan. (4) HSBC Bank Middle East Limited, Pakistan. (5) Meezan Bank Limited, Pakistan. (6) National Bank of Pakistan. (7) United Bank Limited, Pakistan. (8) Standard Chartered Bank, Pakistan. |
Going forward,
there are considerable challenges in the months ahead. However the Company on
its part has systems and procedures in place to meet surrounding risk and
challenges.
Very Sound
KCCI
FPCCI
KATI
|
Currency |
Unit |
Pakistani Rupee |
|
US Dollar |
1 |
Rs. 101.70 |
|
UK Pound |
1 |
Rs. 152.75 |
|
Euro |
1 |
Rs. 115.00 |
Subject Company enjoys excellent credibility internationally as well as
in Pakistan. Chairman & directors of the Company are reported as resourceful
and experienced businessmen. Payments are reported as correct. Company can be
considered good for normal business dealings at usual trade terms and
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.74 |
|
|
1 |
Rs.94.65 |
|
Euro |
1 |
Rs.70.79 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
TPT |
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 |
|
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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 |
|
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.