MIRA INFORM REPORT

 

 

Report No. :

307704

Report Date :

14.02.2015

 

IDENTIFICATION DETAILS

 

Name :

SQUARE DENIMS LTD.

 

 

Registered Office :

Square Centre, 48 Mohakhali C/A Dhaka 1212

 

 

Country :

Bangladesh

 

 

Date of Incorporation :

09.07.2012

 

 

Com. Reg. No.:

C-103285

 

 

Legal Form :

Private Company  

 

 

Line of Business :

Manufacturer, Exporter & Distributor of Denim Fabric     

 

 

No of Employees :

137 (22 in Office, 110 in Factory, 05 in Branch)

 

 

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)

Bangladesh

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Bangladesh ECONOMIC OVERVIEW

 

Bangladesh's economy has grown roughly 6% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, slow implementation of economic reforms, and the 2008-09 global financial crisis and recession. Although more than half of GDP is generated through the service sector, almost half of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Garment exports, the backbone of Bangladesh’s industrial sector and 80% of total exports, surpassed $21 billion last year, 18% of GDP. The sector has remained resilient in recent years amidst a series of factory accidents that have killed over 1,000 workers and crippling strikes that shut down virtually all economic activity. Steady garment export growth combined with remittances from overseas Bangladeshis, which totaled almost $15 billion and 13% of GDP IN 2013, are the largest contributors to Bangladesh’s current account surplus and record foreign exchange holdings.

 

Source : CIA

 

 

IDENTIFICATION DETAILS

Correct company Name

:

Square Denims Ltd.

Head Office

:

Square Centre, 48 Mohakhali C/A Dhaka 1212, Bangladesh.

Tel No

:

88-02-9859007, 8833047-56

Fax No

:

88-02-8834941, 8828768

E-mail

:

textiles@squregroup.com

Website

:

www.squregroup.com

Date of Incorporation

:

09.07.2012

Incorporation No.

:

C-103285

Legal Form (General)

:

 Public Listed Co      Public (but not listed)   Private Co   State-owned Co

 Sole Proprietorship  Partnership            Not Registered

 others (please specify) ________________

 

Legal form (Specific)

:

LTD   CORP    INC  CO    

 others (please specify) ________________

 

Issuing Authority

:

Registrar of Joint Stock Companies & Firms      City Corporation

 Municipal Administration                    Union Council

 Cantonment Board                       Chief Controller of  Import & Export (CCIE)

 

 

FINANCIALS- SUMMARY

 

      Year

Turnover/ Sales

 Assets

     Income

July’ 13~June’ 14

BDT 138 Million

BDT 465.50 Million

BDT 5.65 Million

Exchange Rate

USD1-Tk. 77.8200

EUR 1- Tk. 100.2711

GBP 1- Tk.118.5354

AUD 1 - Tk.82.8563

JPY 1 - Tk.0.9286

CAD 1 - Tk.80.1887

SEK 1 - Tk.12.2870

SGD 1 - Tk.65.3045

CNH 1 - Tk.12.8399

 

Information Parted By

 

 

 

Name

:

Mr.  Sazedur Rahman

Designation

:

Officer (Commercial)

 

 

Locations Details

Business Address

:

Square Centre, 48 Mohakhali C/A Dhaka 1212, Bangladesh.

Tel No

:

88-02-9859007, 8833047-56

E-mail

:

textiles@squregroup.com

Fax No

:

88-02-8834941, 8828768

Website

:

www.squregroup.com

 

Location :

: Owned

Ö

 

Rented

 

 

Leased

 

Area

4500

Sq. ft.

 

 

Type of Office :

  :       Commercial Office Bldg.

Ö

 

Semi-commercial office Bldg.

 

     

 

Retail shop

 

 

Industrial Park

 

     

 

Business Center

 

 

Home Office

 

     

 

Residential Bldg.

 

 

 

 

 

 

Factory:

 

 

Address

:

Olipur, Shayestagonj, Habiganj, Sylhet,  Bangladesh

Tel No

:

Nil

Fax No

:

Nil

 

Location :

   Owned

Ö

 

Rented

 

 

Leased

 

Area

2.5

Acores

 

Branches:

 

 

Address

:

Mascot Plaza (11-12floor), Plot#107/A,  Sector # 7, Uttara, Dhaka-1230, Bangladesh

Tel No

:

88-02-8951101-7

Fax No

:

88-02-8952652, 8931932

 

Location :

Owned

 

 

Rented

Ö

 

Leased

 

Area

1800

Sq. ft.

 

 

Employee:

 

 

 

No. of Employees 

 

In Office

:

22

In Factory

:

110

In Branch:

:

5

Total

:

137

 

 

OWNERSHIP/SHAREHOLDERS

 

Names of Shareholders

            No. of Share     

Square Fashion Ltd

           995000

Mrs. Anita Chowdhury

           1000

Mr.Anjan Choowdhury

         1000

Mr.Samuels Choowdhury

         1000

Mr.Tapan Choowdhury

         1000

Mrs.Ratna Patra

         1000

 

DIRECTORS

 

Name

Designation

Mr.Tapan Choowdhury

Managing Director

Mr.Samuels Choowdhury

Director

Mr.Anjan Choowdhury

Director

Mrs. Anita Chowdhury

Director

Mrs.Ratna Patra

Director

 

 

MANAGEMENT

 

Name

:

Mr. Sazedur Rahman

Job Description

:

Officer (Commercial)

Nationality

:

Bangladesh

 

 

BUSINESS OPERATIONS

 

Nature of Activity       :

Manufacturer

Ö

Trader

 

Dealer

 

Distributor

Ö

 

 

 

Exporter

Ö

Importer

 

Services

 

Others

 

 

Range of Products/Item Dealings In:

 

Products

:

Denim Fabric     

 

Trading Terms:

Purchasing Terms:

L/C

Ö

Cash

 

Others

 

 

 

Credit :

 

30 days

 

60 days

Ö

90 days

 

 

days

 

Selling Terms      :

L/C

Ö

Cash

 

Others

 

 

 

Credit :

 

30 days

 

60 days

Ö

90 days

 

 

days

 

DETAILED DATA

 

Trade Reference & Related Parties

:

 

Overseas Clients

:

N/A

Local Clients

:

N/A

Overseas Suppliers

:

N/A

Local Suppliers

:

N/A

 

Trade Markets

:

 

Exports

:

Europe

Imports

:

China, India

Brand Name

:

N/A

Certified

:

N/A

Auditors

:

N/A

Operation Status

:

Active

Member

:

Bangladesh Textile Mills Association

 

 

CAPITAL STRUCTURE

 

Authorized Capital

:

BDT 500 Million

Paid-up Capital

:

BDT 10000000

No. of Shares

:

100000

 Share Value

:

BDT 100.00Each

Main Assets

:

BDT 465.50 Million

 

 

FINANCIAL STATEMENT- DETAILED

 

The subject company don’t submit update financial figure to local registry office.

 

 

 

ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES

 

Sister Concerns

:

Square Yarns Ltd.

Unitrend Limited

Square Fashion Ltd.

Square Air Limited

Mediacom Limited

Square Textiles Ltd.

Square Hospitals Ltd.

Square Spinning Ltd.

Square InformatiX Ltd.

Square Knit fabrics Ltd.

Square Toiletries Limited

Square pharmaceuticals Ltd.

Square Consumer Products Ltd.

Square Herbal and Nutraceuticals Ltd.

Square Agro Development and Processing Ltd

Subsidiary

:

 

Name of  The Group

:

Square Group

 


BANKING

           

Bank Name  

:

Standard Chartered Bank,

Bank Address

:

Gulshan Head office Branch,

67 Gulshan Avenue, Dhaka, Bangladesh.

 

 

 

Bank Name  

:

Hong Kong Shanghai Banking Corporation

Bank Address

:

Dhaka Main Office

Anchor Tower, 108, Bir Uttam C R Dutta Road,

Dhaka - 1205
Telephone: 88-02-9660536-43

Facsimile: 8802- 9660554, 9669457

 

 

ADVERSE DATA MONITORING

                       

Dishonored Checks           

 

:     

No Record Found         

Debt

 

:

No Record Found

Litigation  

                   

:

Clear         

Performance Defaults

 

:

No Record Found         

Adverse Local Media Coverage/ Adverse Filling History

:

No Record Found

 

 

SITE VISIT COMMENTARY

 

Our representative visited the subject company Head office address which is situated at Square Centre, 48 Mohakhali C/A Dhaka 1212, Bangladesh

 

 

GENERAL COMMENTS

 

The subject company is engaged in Manufacturer, Exporter & Distributor. It is reputed company in this line of business. We recommended that Credit can proceed normally in Moderate amount.

 

Adopted Abbreviations:

NA- Not Available

 TK- Bangladeshi Taka

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.14

UK Pound

1

Rs.95.78

Euro

1

Rs.71.05

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

MNL

 

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.