MIRA INFORM REPORT

 

 

Report No. :

306510

Report Date :

11.02.2015

 

IDENTIFICATION DETAILS

 

Name :

SULB COMPANY BSC CLOSED

 

 

Registered Office :

Hidd Industrial Area, Building 277, Road 17, PO Box 50177, Hidd

 

 

Country :

Bahrain

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

12.02.2009

 

 

Com. Reg. No.:

71012-1

 

 

Legal Form :

Bahraini Shareholding Company BSC

 

 

Line of Business :

Engaged in the manufacture of steel and steel products, including H beams, angles, sections for high rise buildings, bridges and other structural steel uses.

 

 

No. of Employees :

150

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Good

Payment Behaviour :

Regular

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)

Bahrain

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

BAHRAIN - ECONOMIC OVERVIEW

 

Bahrain has made great efforts to diversify its economy; its highly developed communication and transport facilities make Bahrain home to numerous multinational firms with business in the Gulf. As part of its diversification plans, Bahrain implemented a Free Trade Agreement (FTA) with the US in August 2006, the first FTA between the US and a Gulf state. Bahrain's economy, however, continues to depend heavily on oil. In 2012, petroleum production and refining accounted for 77% of Bahrain's export receipts, 87% of government revenues, and 19% of GDP. Other major economic activities are production of aluminum - Bahrain's second biggest export after oil - finance, and construction. Bahrain competes with Malaysia as a worldwide center for Islamic banking and continues to seek new natural gas supplies as feedstock to support its expanding petrochemical and aluminum industries. In 2011 Bahrain experienced economic setbacks as a result of domestic unrest, however, the economy recovered in 2012-13, partly as a result of improved tourism. Some economic policies aimed at restoring confidence in Bahrain's economy, such as the suspension of an expatriate labor tax and frequent bailouts of Gulf Air, will make Bahrain's long-term economic challenges - youth unemployment and the growth of government debt - more difficult to address.

 

Source : CIA

SUMMARY

 

Company Name                                    : SULB COMPANY BSC CLOSED

Country of Origin                                   : Bahrain

Legal Form                                           : Bahraini Shareholding Company BSC

Registration Date                                  : 12th February 2009

Commercial Registration Number           : 71012-1, Manama

Issued Capital                                       : US$ 705,000,000

Paid up Capital                                     : US$ 705,000,000

Total Workforce                                     : 150

Activities                                               : Manufacturers of steel and steel products

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                : Abisheikh Bhandari, Financial Controller

 

 

 

COMPANY NAME

 

SULB COMPANY BSC CLOSED

 

 

ADDRESS

 

Registered & Physical Address

 

Location           : Hidd Industrial Area, Building 277, Road 17

PO Box            : 50177

Town                : Hidd

Country             : Bahrain

Telephone         : (973-17) 359331 / 359359 / 464380 / 464307 / 464222 / 464138 / 352402

Facsimile          : (973-17) 359331 / 673364

Mobile              : (973-39) 992556 / 074859

Email                : delip.geoege@foulath.com.bh / info@sulb.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of Hidd.

 

 

KEY PRINCIPALS

 

Name                                                                                       Position

 

Khalid Abdulla Al Sulaiman Al Bassam                                       Chairman

 

Khalid Ahmed Mohamed Al Qadiri                                              Managing Director

 

Hiroyuki Inoue                                                                           Director

 

Yousef Abdulla A Q Al Emadi                                                    Director

 

Nasser Al Muktash                                                                     General Manager

 

Vani Marlerati                                                                            Project Manager

 

Mohamed Siddiqi                                                                      Production Manager

 

Roddy Clayton                                                                          Marketing Manager

 

Delip George                                                                            Finance Manager

 

Abisheikh Bhandari                                                                    Financial Controller

 

Katsumasa Kohata                                                                    Chief Technical Officer

 

Nasri Al Muktash                                                                       Deputy Chief Technical Officer

 

Ian David Evans                                                                        Operations Manager

 

Gabe Kobayashi                                                                       Sales Manager

 

Gottfried Fuerthner                                                                    Logistics Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 12th February 2009 (Production began on 1st August 2013)

 

History : Subject was originally established in 2009 under the name of “United Steel Company BSC (SULB)”. However, on 9th May 2013 the company re-registered under the current style of “Sulb Company BSC Closed”

 

Legal Form      : Bahraini Shareholding Company BSC

 

Commercial Reg. No.   : 71012-1, Manama

 

Issued Capital              : US$ 705,000,000

 

Paid up Capital            : US$ 705,000,000

 

Name of Shareholder (s)                                                                              Percentage

 

Foulath Holding Bsc Closed                                                                              51%

Bahrain

 

Yamato Kogyo Ltd                                                                                            49%

Japan

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of steel and steel products, including H beams, angles, sections for high rise buildings, bridges and other structural steel uses. Full production was reached during 2012.

 

In May 2012, United Steel Company (Sulb) signed a US $ 373 million loan agreement with BNP Paribas and Societe Generale (SGCIB). The loan will help Sulb complete its facilities including a direct reduction iron plant with a nameplate capacity of 1.5 million tonnes per year (tpy), a melt shop with a capacity of 1 million tpy and two rolling mills with a total capacity of 1.2 million tpy and capability to manufacture light, medium and heavy sections and beams.

 

Import Countries: Europe and the Far East.

 

Subject has a workforce of 150 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United States Dollars (US$)

 

                                                            Year Ending 31/12/14:

 

Total Sales                                            US$ 650,000,000

 

Local sources consider subject’s financial condition to be Good.

 

The above figure was provided by Mr Abisheikh Bhandari, Financial Controller

 

 

BANKERS

 

BNP Paribas

Government Avenue

PO Box: 5241

Manama

Tel: (973-17) 253119

Fax: (973-17) 242077

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

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.61.96

UK Pound

1

Rs.94.41

Euro

1

Rs.70.20

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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

 

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.