MIRA INFORM REPORT

 

 

Report Date :

03.01.2015

 

IDENTIFICATION DETAILS

 

Name :

SOUTH ASIA TEXTILE INDUSTRIES LANKA (PVT) LTD

 

 

Registered Office :

# 70, Felix Dias Bandaranayake Mawatha, Pugoda

 

 

Country :

Sri Lanka

 

 

Date of Incorporation :

13.02.2004

 

 

Com. Reg. No.:

PV 3574

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Design, Manufacture and Exporter of Knitted Fabrics.

 

 

No. of Employees :

Approximately 500

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

Without Financials

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Unknown

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Sri Lanka

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SRI LANKA - ECONOMIC OVERVIEW

 

Sri Lanka continues to experience strong economic growth following the end of the 26-year conflict with the Liberation Tigers of Tamil Eelam. The government has been pursuing large-scale reconstruction and development projects in its efforts to spur growth in war-torn and disadvantaged areas, develop small and medium enterprises and increase agricultural productivity. The government's high debt payments and bloated civil service have contributed to historically high budget deficits, but fiscal consolidation efforts and strong GDP growth in recent years have helped bring down the government's fiscal deficit. However, low tax revenues are a major concern. The 2008-09 global financial crisis and recession exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of payments crisis. Agriculture slowed due to a drought and weak global demand affected exports and trade. In early 2012, Sri Lanka floated the rupee, resulting in a sharp depreciation, and took steps to curb imports. A large trade deficit remains a concern, but strong remittances from Sri Lankan workers abroad help offset the trade deficit. Government debt of about 80% of GDP remains among the highest in emerging markets.

 

Source : CIA

 

 

INFORMATION DECLINED BY

 

Name :

Mr. Hari

Designation :

Chief Financial Officer

Contact No.:

00 94 11 5223244

Date :

10.10.2014

 

 

GENERAL

- Basic information at a glance

       

a.

Name of Subject of Inquiry

:

SOUTH ASIA TEXTILE INDUSTRIES LANKA (PVT) LTD

b.

Legal Form  & Status

:

Private Limited Liability Company (in operation

c.

Managing Director

 :

P. Sivaji Dorai

d.

Primary Line of Business

:

Design, manufacture and exporter of knitted fabric

e.

Place of Business & Factory

:

 

# 70, Felix Dias Bandaranayake Mawatha,

Pugoda,

Sri Lanka.

 

Tel. No: (00 94 11) 522 3200

Fax No: (00 94 11) 522 3223

 

E-mail: samantha@satextile.net

 

f.

No. of  Employees

:

Approximately 500

 

 

COMPANY DETAILS 

- Registration and Shareholder Details

 

a.

Registration No

:

N (PVS) 36622

Date of Registration

:

13th February 2004

b.

Re-registration No

:

PV 3574

Date of Re-registration

:

5th May 2008

c.

Registered Office

:

# 70, Felix Dias Bandaranayake Mawatha, Pugoda

d.

Board of Directors

As At

11th July 2012

:

P. Sivaji Dorai 

Managing Director

K. Uei Yang

Director

K. Uei Chang

Director

G. Scott Newsom

Director

S. Sitendra Senaratne

Director

Eric Bird Wickramanayake

Director

e.

Issued Share Capital

:

Rs.   7,431,486,100.00             

f.

Nominal Value of Share

:

Rs.                     10.00                         

g.

Share Holders

As At

11th July 2012

 

 

                       Share Holders

No. of Shares

P. Sivaji Dorai – Sri lankan

5,000,000

K. Uei Yang – Singaporean

5,000,000

South Asia Textile Industries (Pvt) Ltd

20,000,000

Environmental Resources Investments PLC

60,087,950

Ceylon Leather Products PLC

383,060,660

h.

Auditors

:

Ernst and Young

i.

Company Secretaries

:

Managers and secretaries (Pvt) Ltd

j.

Bankers

:

HSBC

 

 

FINANCIAL DETAILS

- Most recent available Financial Information

 

THE COMPANY HAS DECLINED TO PROVIDE INFORMATION ON ITS FINANCES

                                                                                   

(Note: Based on the corporate laws of Sri Lanka, legal entities which are Private Company with   Limited Liability is not required to make public disclosure of their annual financials. Therefore no financials are available for this entity)

 

CURRENT INVESTIGATION

 

·         History.

                  The Subject Company SOUTH ASIA TEXTILE INDUSTRIES LANKA (PVT) LTD is a Private    Limited   liability Company incorporated on 13th February 2004 under registration number N (PVS) 36622 and then the company was re-registered on 05th May 2008 under registration number PV 3574.

 

 

·   Location.

The Subject Company is located at the client # 70, Felix Dias Bandaranayake Mawatha, Pugoda.

 

 

·   Operations Details.

 

General

The subject company primary line of business is Design, manufacture and exporter of knitted fabric

 

Products

Knitted Fabric

 

Export Countries

Singapore, Malaysia, China, India, Jordan, Vietnam & Philippine.

 

Employees

                  Approximately 500

 

 

·         Directors Details

Name

P. Sivaji Dorai

ID Number

 623280195 V

Nationality

Sri Lankan

Gender

Male

Date of birth

23rd November 1962

Age

50 Years

 

 

Name

K. Uei Yang

PP Number

57113960 C

Nationality

Singapore

 

 

Name

K. Uei Chang

PP Number

S 7340316B

Nationality

Singapore

 

 

 

Name

G. Scott Newsom

PP Number

NO 461764019

Nationality

American

 

 

Name

S. Sitendra Senaratne

ID Number

540922101 V

Nationality

Sri Lankan

Gender

Male

Date of birth

01st April 1954

Age

58 Years

 

 

Name

E. B. Wickramanayake

PP Number

N 2416573

Nationality

Sri Lankan

 

 

·         Trade references

 

Board of Investment of Sri Lanka (BOI)

 

 

·         Credit Recommendations

 

                  Since no financial information has been forthcoming from the company, it is not possible to comment on the merits or otherwise of the company.

 

No computerised data bases exist to make checks whether the partners or the company has any  legal action or lawsuit initiated against any of them but informal (but not in-depth) checks do not indicate any such cases in the public knowledge.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.29

UK Pound

1

Rs.98.39

Euro

1

Rs.76.31

 

INFORMATION DETAILS

               

Information Gathered by :

SVA

 

 

Analysis Done by :

RAS

 

 

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.