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Report No. : |
304601 |
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Report Date : |
27.01.2015 |
IDENTIFICATION DETAILS
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Name : |
ADAMA MAKHTESHIM LTD. |
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Formerly Known as : |
MAKHTESHIM CHEMICAL WORKS LTD |
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Registered Office : |
P.O. Box 60, 1 Seadia Malal Street, Industrial Zone, Beer Sheva 8410001 |
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Country : |
Israel |
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Financials (as on) : |
30.09.2014 (Consolidated Financial Statements - Adama Agricultural Solutions Ltd) |
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Date of Incorporation : |
17.07.1952 |
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Com. Reg. No.: |
No. 52-002396-1 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Subject is a
part of ADAMA Group, Developers, Manufacturers, Exporters and Marketers of Crop
Protection Products - Pesticides, Insecticides, Herbicides, Polyester Resins
& Photo-Chemicals |
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No of Employees : |
4,564 employees
serving ADAMA Group as of end of 2013 (had 4,508 employees in end of 2012),
of which 1,340 employees in Israel. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
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Israel |
a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Israel ECONOMIC OVERVIEW
Israel has a technologically advanced market economy.
Cut diamonds, high-technology equipment, and pharmaceuticals are among the
leading exports. Its major imports include crude oil, grains, raw materials,
and military equipment. Israel usually posts sizable trade deficits, which are
covered by tourism and other service exports, as well as significant foreign
investment inflows. Between 2004 and 2011, growth averaged nearly 5% per year,
led by exports. The global financial crisis of 2008-09 spurred a brief
recession in Israel, but the country entered the crisis with solid
fundamentals, following years of prudent fiscal policy and a resilient banking
sector. In 2010, Israel formally acceded to the OECD. Israel's economy also has
weathered the Arab Spring because strong trade ties outside the Middle East
have insulated the economy from spillover effects. The economy has recovered
better than most advanced, comparably sized economies, but slowing demand
domestically and internationally, and a strong shekel, have reduced forecasts
for the next decade to the 3% level. Natural gas fields discovered off Israel's
coast since 2009 have brightened Israel's energy security outlook. The Tamar
and Leviathan fields were some of the world's largest offshore natural gas
finds this past decade. The massive Leviathan field is not due to come online
until 2018, but production from Tamar provided a one percentage point boost to
Israel's GDP in 2013 and is expected to contribute 0.5% growth in 2014. In
mid-2011, public protests arose around income inequality and rising housing and
commodity prices. Israel's income inequality and poverty rates are among the
highest of OECD countries and there is a broad perception among the public that
a small number of "tycoons" have a cartel-like grip over the major
parts of the economy. The government formed committees to address some of the
grievances but has maintained that it will not engage in deficit spending to
satisfy populist demands. In May 2013 the Israeli government, in a politically
difficult process, passed an austerity budget to reign in the deficit and
restore confidence in the government's fiscal position. Over the long term,
Israel faces structural issues, including low labor participation rates for its
fastest growing social segments - the ultra-orthodox and Arab-Israeli
communities. Also, Israel's progressive, globally competitive, knowledge-based
technology sector employs only 9% of the workforce, with the rest employed in
manufacturing and services - sectors which face downward wage pressures from
global competition.
|
Source : CIA |
ADAMA MAKHTESHIM LTD.
Telephone 972 8 629 66 11
Fax 972 8 629 69 91
P.O. Box 60
1 Seadia Malal Street
Industrial Zone
BEER SHEVA 8410001 ISRAEL
Originally incorporated as a public limited company, registered as such
as per file No. 52-002396-1 on the 17.07.1952.
In May 1992
published a prospectus offering shares to the public and started trading
through the Tel Aviv Stock Exchange.
In June 1998
amalgamated with Agan Chemical
Manufacturers LTD. (ADAMA AGAN), forming MAKHTESHIM AGAN Group (now
ADAMA Group).
As of May 1998, due to change of ownership, subject's shares were
de-listed from trade on the Tel Aviv Stock Exchange (TASE), following which
subject converted into a private limited company (registration number remains
the same).
Originally registered under the name MAKHTESHIM CHEMICAL WORKS LTD.,
which changed to the present one on the 02.07.2014.
Authorized share capital NIS 212,000,000.00, divided into -
212,000,000 ordinary shares
of NIS 1.00 each,
of which 114,238,074 shares amounting to NIS 114,238,074.00 were issued.
Company is fully
owned by ADAMA AGRICULTURAL SOLUTIONS LTD. (formerly MAKHTESHIM – AGAN
INDUSTRIES LTD.), hereinafter ADAMA, owned by:
1.
CNAC INTERNATIONAL PTE LTD., 60%, of Singapore,
fully owned by CHINA NATIONAL AGROCHEMICAL CORP. (“ChemChina”), a People's
Republic of China company,
2.
KOOR INDUSTRIES LTD., 40%, fully owned by DISCOUNT
INVESTMENT CO. LTD. (DIC), publicly traded on Tel Aviv Stock Exchange (TASE),
controlled (73.9%) by IDB DEVELOPMENT CORPORATION LTD., publicly traded on TASE
(heading IDB Concern).
On the 17.10.2011
a transaction was completed, according to which ChemChina acquired 52.3% of
ADAMA's shares held by the public for US$ 1,270 million plus 7% of the shares
held by KOOR for US$ 168 million, based on value of US$ 2.4 billion for ADAMA
(transaction carried on in a way of reverse tri-angle merger).
Following the deal
completion, ADAMA became a private limited company and shares were de-listed
from trade on TASE (on 17.10.11), although its bonds are still publicly traded.
1.
Aviram Lahav, CFO of ADAMA,
2. Elhanan Avramov, V.P. Global Resources of
ADAMA,
· Yang Xingqiang, of ChemChina, Chairman of ADAMA,
· Chen Lichtenstein, General Manager & President of ADAMA Group,
· David Ben-Simon, General Manager of subject.
Subject is a part
of ADAMA Group, developers, manufacturers, exporters and marketers of crop
protection products - pesticides, insecticides, herbicides, polyester resins
& photo-chemicals
ADAMA exports 96%
of its production to some 120 countries, through subsidiaries and distribution
branches worldwide.
Among local
clients: HAMASHBIR FOR AGRICULTURAL, CHEMADA FINE CHEMICALS CO.
Among local
suppliers: G.G. YAROM GETTER, MODCHEM, GOLD BAR, SANO INTERTRANS, ATEKA, PETRUS
TECHNICAL SUPPLIES, AVCO CHEMICALS, ALMOR FIBREGLASS, DORMEX TRADE, DEAL
ENGINEERS, YAMATON, TAGAD CHEMICLS, APPLIED CHEM, K.L. TEX & SONS, DIONYX,
RABDION, ARDAN TRANSFORMERS, ELECTRO CHLORINE CHEMICAL INDS., etc.
Sole pesticides
sub-contractor for BAYER - of Germany.
Raw materials purchase agreement with DOW CHEMICALS - of U.S.A.
Also manufacturing for a/m resins under the brand name DERKANE.
Also have cooperation agreements with CRAY VALLEY and MONSANTO.
Operating from ADAMA Group headquarters offices (rented, on an area of
6,000 sq. meters) in Golan Street, Arava House, AirPort City Park, near the Ben
Gurion International Airport.
Production is from main plant, owned, 407,000 sq. meters plot on which
37,000 sq. meters are built, in 1 Seadia Malal Street, Industrial Zone (a compound
which spreads also to Hebron Rd.), Beer Sheva, and Group's owned plant in Ramat
Hovav, on an area of 1,086,000 sq. meters (on which 170,000 sq. meters built).
ADAMA Group also operates from 2 plants in Brazil (subsidiary MILLENIA)
and facilities in USA, S. Korea, Mexico, Colombia, Spain, Italy, Greece and
India.
Distribution through 23 marketing companies and offices worldwide.
Having 4,564
employees serving ADAMA Group as of end of 2013 (had 4,508 employees in end of
2012), of which 1,340 employees in Israel.
In December 2006, March 2009, January 2012 and January 2013 ADAMA
completed a capital raise of NIS 2.35 billion, NIS 1.2 billion, NIS 1.08
billion and NIS 678 million, respectively, with bonds issue via TASE. In
February 2014 and January 2015 ADAMA raised US$ 500 million and NIS
689.6 million, respectively, in private placements of bonds issue.
Financial data is included in the consolidated financial statements of
ADAMA AGRICULTURAL SOLUTIONS LTD., which shows:
US$
(thousands)
30.09.2014 31.12.2013
ASSETS
Current assets
Cash
and short term investments 534,936 390,449
Customers 1,244,577 979,497
Other assets 179,646 152,458
Inventories 1,220,503 1,218,200
3,179,662 2,740,604
Long term investments, loans & debit 140,539 187,304
Fixed assets, net 759,774 723,194
Deferred tax 84,652 82,101
Intangible assets, net 703,545 723,698
1,688,510 1,716,297
4,868,172 4,456,901
======== ========
LIABILITIES
Current
liabilities 1,813,624 1,622,949
Long-term
liabilities
Loans from banks 226,929 248,187
Debentures 1,058,098 1,027,340
Other long-term liabilities 133,105 154,273
1,418,132 1,429,800
Equity 1,636,416 1,404,152
4,868,172 4,456,901
======== ========
The ChemChina
transaction includes, besides the sum paid for the shareholders, a non-recourse
loan of US$ 960 million for KOOR for 7 years from Import & Export Bank of
China (backed by HSBC Bank), in consideration of KOOR's shares, which will be
transferred to ChemChina in the end of the period if the parties would not
agree otherwise. In accordance to the agreement, ADAMA published a prospectus
in August 2014 in view of raising some US$ 400 million on the NYSE based on a
market value of US$ 4 billion, however demands were low (due to the unfavorable
market conditions), and with an average company value of mere US$ 2.35 billion
ADAMA's shareholders decided to cancel the issuance, and postpone it to a
better period, announcing it will consider the timing of the public issuance
based on market conditions.
Subject is an “Approved
Enterprise” and as such entitled for State incentives and tax relieves. In 1997
subject received approval from the Israeli Investment Centre (IIC) for an
expansion plan for its Ramat Hovav plant (some US$ 60 million). In 1998, 2000
and 2001 the IIC approved investments plans for the expansion of the Ramat
Hovav plant of US$ 4.2, US$ 25 and US$ 14.8 million respectively.
In August 2010 the IIC approved a NIS 20 million investment plan for
subject's plant in Ramat Hovav, of which up to 24% a grant.
There are 6 charges for unlimited amounts registered on the company's
assets, in favor of the State of Israel and a foreign company (last charge
placed 2010).
ADAMA AGRICULTURAL
SOLUTIONS LTD.
Consolidated
Statement of Income
US$
(million)
Year
ended 31.12
2011 2012 2013
Sales 2,691.4 2,834.5 3,076.3
Gross profit 841.5 899.6 968.1
Operating income 243.1 281.6 309.0
Profit before taxes on
income 126.8 161.7 171.6
Net income 120.7 122.6 127.1
====== ====== ======
94% of ADAMA’s sales are attributed to its
core activities of chemicals for the agricultural fields (incl. subject and
subsidiaries). Other fields (food additives, industrial chemicals, etc.)
captured the rest of sales.
ADAMA's consolidated sales for the first 9 months of 2014 were US$ 2,547.1
million (5% increase compared the parallel period in 2013), making a gross
profit US$ 840.7 million, an operating profit of US$ 300.6 million, and a net
profit of US$ 182.1 million.
Subject ended 2010 with a net loss of US$ 40,476,000 (consolidated).
Subject ended 2011 with a net profit of US$ 65,735,000 (consolidated).
Subject ended 2012 with a net profit of US$ 49,638,000 (consolidated).
Subject ended 2013 with a net profit of US$ 88,241,000 (consolidated).
MAKHTESHIM CHEMICAL
WORKS TRADE & MARKETING LTD., 100%,
TARGETGENE
BIOTECHNOLOGIES LTD., 50.1%,
ENERGIN.R
TECHNOLOGIES 2009 LTD., 15%.
Subject also has
direct holdings in ADAMA's subsidiaries below.
ADAMA AGRICULTURAL
SOLUTIONS LTD., parent company, also owns some 50 subsidiaries worldwide, among
them (all fully owned unless otherwise stated):
ADAMA AGAN LTD.,
which together with subject is responsible for the Group's main activities.
Manufacturers, exporters and marketers of chemicals for agricultural purposes,
i.e. plant growth regulators, plant protection chemicals, herbicides, etc.
CELSIUS PROPERTY
B.V., 100%, Holland, holds 100% in IRVITA PLANT PROTECTION N.V., MAKHTESHIM
AGAN INDUSTRY VIETNAM LTD CO. AND MAKHTESHIM AGAN AGROVITA SLOVAKIA S.R.O, 50%
in JK MAGAN INC.
FAHRENHEIT
HOLDINGS B.V., holds 50% in INNOVA AROMA S.A., Switzerland, and 100% in QUENA
PLANT PROTECTION N.V.
ADAMA (AGAN)
MARKETING CHEMICALS LTD.
AGAN AROMA &
FINE CHEMICALS LTD., developers, manufacturers, marketers and exporters of
aroma substances for detergents
INTERCONNECT AROMA
LTD.
NEGEV AROMA (RAMAT
HOVAV) LTD., 50%, manufacturing aroma products.
LYCORED LTD., holds 100% of LYCORED BIO LTD., jointly leading ADAMA Group's non-agro activities (e.g. natural food
additives, micro encapsulation of natural health materials), DALIDAR PHARMA
ISRAEL (1995) LTD., developers, manufacturers of photo pharmaceuticals (herbal
based remedies), and 100% in ALB HOLDINGS U.K.,
MILENIA
AGROCIENCIAS S.A., main Brazilian subsidiary,
MAKHTESHIM AGAN
NORTH AMERICA INC., main American subsidiary,
MAGAN HB B.V.
ARAGONESAS AGRO
S.A., Spain
MAGAN ARGENTINA
S.A., Argentina
MAKHTESHIM AGAN
HOLDING B.V.
MAKHTESHIM AGAN
PARTICIPACOES
C.F.M. B.V.,
Holland
MAKHTESHIM AGAN OF
NORTH AMERICA CANADA INC.
MAKHTESHIM AGAN
COSTA RICA SA; MAKHTESHIM AGAN ESPANA SA; MAKHTESHIM AGAN FRANCE SARL;
MAKHTESHIM AGAN ROMANIA SRL;
MAKHTESHIM AGAN
THILAND LTD.; MAKHTESHIM AGAN PORTUGAL LTD.;
MAKHTESHIM AGAN
ITALIA SRL; MAKHTESHIM AGAN INDIA PRIVATE LTD; MAKHTESHIM AGAN U.K. LTD.;
MAKHTESHIM AGAN POLAND SP.ZO.O; MAKHTESHIM AGAN SWITZERLAND LTD.; MAKHTESHIM
AGAN PERU SA, MAKHTESHIM ACAN HUNGARIA K.F.T.; MAKHTESHIM AGAN SERBIA LTD;
MAKHTESHIM AGAN GUATEMALA LTD; MAKHTESHIM AGAN UKRAINE LTD; MAKHTESHIM AGAN
SOUTH AFRICA PTY LTD., and in other countries.
PROFICOL S.A.,
holding PROFICOL ANDINA N.V. and PROFICOL VENEZUELA S.A.
MAGAN JAPAN CO.
LTD.
MAGAN ITALIA SRL
MAGAN HOLDING
GERMANY GmbH, holds 100% in FEINCHEMIE SCHWEBDA GmbH, and MAKHTESHIM AGAN
DEUTCHLAND GmbH
MAGAN KOREA CO.
LTD.
AGRONICA AUSTRALASIA
PTY LTD. and FARMOZ PTY LTD., Australia
MILENIA AGRO
CIENCIAS S.A.
MA U.S. HOLDING
INC., USA
FARM SAVER GROUP
CONTROL SOLUTIONS
INC., 67%
ALLIGARE LLC, 80%
AGROVITA Spel
(SRO) (Czech Republic), and several more subsidiaries.
KOOR INDUSTRIES LTD., holding company, has
other subsidiaries, owned by:
DISCOUNT INVESTMENT CO. LTD., also publicly
traded on TASE (current market value US$ 135 million), controlled by IDB
DEVELOPMENT CORP. LTD. (current market value US$ 103.3 million), controlled by Eduardo Elsztain (26.65%, via DOLPHIN NETHERLANDS), Motty
Ben-Moshe (26.65%) and 20.75% held by Trustees in favor
of IDB's bonds holders.
IDB DEVELOPMENT
CORP. has many other holdings.
Bank Leumi
Le’Israel Ltd., Beer Sheva Business Branch (No. 607), Beer Sheva.
Bank Hapoalim
Ltd., Beer Sheva Business Branch (No. 177), Beer Sheva
Above 2 are the
main branches, also working with local banks CITIBank N.V., HSBC Bank Plc,
Israel Discount Bank Ltd. and Mizrahi Tefahot Bank Ltd.
Nothing unfavorable
learned.
Subject is
certified with TI 18000, ISO 14001, ISO 9002 and other standard.
ADAMA is
considered as the world’s largest producer of generic products for plant
conservation and one of the leading companies in the agro-chemical sector, ranked
7th in world sales terms in 2013 (same as in 2012 and 2011), with
estimated global market share of 5%.
ADAMA expects to
benefit from the transaction with ChemChina, as leverage for entering the
Chinese market valued US$ 4 billion, as well as Asian other markets. A major
move in that direction is ADAMA's preparation to purchase 40% of Chinese
agro-chemical manufacturing and marketing company HUBEI SANONDA, for estimated
US$ 155 million. SANONDA is publicly traded on Shenzen Stock Exchange, and is controlled
by ChemChina.
ADAMA also
announced in August 2013 on negotiations with Chinese distribution company
NOPOSION, for cooperation in distribution in China.
In October 2014 it
was announced that ChemChina will sell ADAMA 4 Chinese companies in total value
of US$ 624 million.
As to IDB Concern, as a holding company it went through a major
shaking in 2013 due to liquidity problems, special court nominated managers
were appointed, which received bids for new controlling owners for IDB. In
December 2013 the Court approved a creditors' arrangement for IDB Group, in
which ELSZTAIN-EXTRA Group will take over control. ELSZTAIN-EXTRA Group is
comprised of businessmen Eduardo Elsztain of Argentine and Motty Ben-Moshe (who
owns EXTRA Group). In April 2014 the debt arrangement was finally completed,
and the new controlling shareholders fueled over NIS 1 billion, which allowed
IDB Concern to survive, where the bond holders will be able to receive money
and in addition – they received some 21% in IDB DEVELOPMENT. It should be
noted, that due to unfavorable market conditions, IDB still remains with a huge
debt, to be paid partly already in 2015, seen in the financial markets as
somewhat problematic, leading to pressure on Elsztain and Ben Moshe to solve
the situation (main option is to dissolve their partnership, as relations
between them are shaky, and only one of them to lead).
As part of
re-organization in IDB, KOOR merged into parent/sister company DISCOUNT
INVESTMENT CO., following which KOOR turned private and its shares were
de-listed from trade on Nasdaq and TASE.
In 2000 ADAMA
acquired Brazilian MILENIA PARTICPACOES S.A. for US$ 45 million, through which
ADAMA operates in Brazil, one of its strongest markets.
In June 2002,
ADAMA completed the acquisition of FEINCHIMI, of Germany, for a sum of US$ 21
million. Also in 2002, ADAMA acquired several products (including stock,
licenses, distribution rights, etc.) from BAYER, for a sum of over €200
million. In 2005, ADAMA signed a strategic deal to distribute BAYER
CropScience’s agricultural insecticides.
During 2004-2007,
ADAMA made several acquisitions:
* 3 Agro-chemical
American Companies of the FARM SAVER Group, for a total sum of US$ 60 million.
* 67% in CONTROL
SOLUTIONS INC. (CSI), an American pesticide company, for around US$ 15 million.
* FARMOZ,
Australia 4th larges Agrochemical Company for US$ 16 million.
* 50.1% of RICECO
of the USA, developers and manufacturers of herbicides for rice growing.
* 49% of Dutch
company MABENO in shares swap deal (and later in 2008 increased stakes to 55%).
* 70% of Hungarian
distribution company BIOMARK TRADING (and later in 2007 increased stakes to
100%).
* 30% of ALLIGARE,
non-agricultural pesticide manufacturer of the USA in 2006 (later increased to
80%)
* 60% of Italian
KOLLANT, non-agricultural pesticide manufacturer, for US$ 15 million in 2006
(in October 2008 increased stake to 100%).
* The activities
from FARMACHEM/ REISMAN in 2006 for US$ 15.7 million.
* In 2006 75% of
distribution of plant protection products company AGROVITA of Czech Republic
(in 2009 reached 100%). In December 2013 acquired also the parallel sister
company in Slovakia AROVITA SPOL.
* In January 2007
100% of marketing firm in Ecuador for US$ 6 million.
In 2009, ADAMA
completed the acquisition of 2 companies in Poland (ROKITA, established 1946,
plant protection products manufacturers, US$ 50 million annual turnover) and in
Serbia (MAGAN YU) for US$ 20 million.
In addition, ADAMA
acquired in 2009 the American company BOLD FORMULATORS LLC, dealing in
formulation of products for plant protection.
ADAMA announced in
September 2009 on a strategic cooperation agreement with CIBUS GLOBAL,
according to which ADAMA will invest up to US$ 37 million over five years in a
Joint Venture with CIBUS to develop proprietary crop traits in five major crops
with a European focus. Separately, in another agreement, ADAMA entered into a
Strategic Equity Alliance with CIBUS that allows ADAMA to gradually acquire up
to 50.1% of CIBUS equity.
In October 2010
ADAMA announced it signed a cooperation agreement with its global rival
MONSANTO, in which ADAMA will be sole supplier to some of MONSANTO's key
products.
In November 2010
ADAMA announced on 2 acquisitions, one is 100% of BRAVO Group of Mexico (US$ 30
million sales), and the other is 51% of JK INC. of Korea (US$ 10 million
sales).
In June 2011 ADAMA signed an exclusive license agreement with Italian ISAGRO,
for using the Italian company's developed active substance.
In sake of major saving in energy costs, ADAMA launched its initiative
for the erection of private power plants based on natural gas in subject and
AGAN's plants, with an investment of US$ 200 million (erected jointly with
EDELTEK and Turkish company ZORLO). In April 2011 subject started operating its
120mW power plant in Ramat Hovav site. In April 2012 the supply of gas stopped
after EMG annulled the gas supply (due to political motives; ADAMA considers
suing due to the breach of agreement). In April 2013 supply of natural gas was
renewed from the new local "Tamar" resource (7 years contract). ADAMA
investment in the natural gas systems amounts to NIS 70 million.
In March 2013 ADAMA and Australian STARPHRAMA announced a collaboration
program, where STARPHARMA’s Priostar dendrimer technology will be applied to
novel crop protection formulations across its product portfolio.
ADAMA has a
cooperation agreement with Swiss partner FIRMENICH for development,
manufacturing and marketing aroma products. The joint venture, called NEGEV
AROMA, established jointly in 2010 and is erecting a production facility in
ADAMA Group compound in Ramat Hovav, with investment of US$ 34 million.
In May 2013 ADAMA signed
an agreement to acquire control in ChileAgro of Chile, which provides the Group
access to the Latin American agro-chemical market.
In October 2013 ADAMA acquired the agricultural activities of AGRON,
which markets pesticides based on natural environmental friendly materials and
are not toxic for human, thus could be sprayed days prior to the fruit-picking.
In March 2014 ADAMA reached full ownership in Colombian PROFICOL S.A.,
paying US$ 30 million in acquiring the remaining 25% from its owner. ADAMA
first invested in PROFICOL in 1998, in view of expanding into the Latin
American market, and since then increased its stakes till reaching full
ownership.
Good for trade engagements.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.50 |
|
UK Pound |
1 |
Rs.92.16 |
|
Euro |
1 |
Rs.69.62 |
INFORMATION DETAILS
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.