MIRA INFORM REPORT

 

 

Report No. :

304673

Report Date :

28.01.2015

 

IDENTIFICATION DETAILS

 

Name :

SAB PRODUCTS INDUSTRIA DE BISCOITOS E DOCES LIMITADA

 

 

Registered Office :

Parcela 3380/25, EN-4 Witbank, Matola, Maputo

 

 

Country :

Mozambique

 

 

Date of Incorporation :

16.05.2008

 

 

Legal Form :

Limited Corporation

 

 

Line of Business :

Subject operate manufacture and supply of food products such as biscuits, confectionaries, sweet flavours such as chocolate, lemon, strawberry, vanilla, orange and banana.

 

 

No. of Employee :

100

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Mozambique

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

MOZAMBIQUE - ECONOMIC OVERVIEW

 

At independence in 1975, Mozambique was one of the world's poorest countries. Socialist mismanagement and a brutal civil war from 1977-92 exacerbated the situation. In 1987, the government embarked on a series of macroeconomic reforms designed to stabilize the economy. These steps, combined with donor assistance and with political stability since the multi-party elections in 1994, have led to dramatic improvements in the country's growth rate. Fiscal reforms, including the introduction of a value-added tax and reform of the customs service, have improved the government's revenue collection abilities. In spite of these gains, Mozambique remained dependent upon foreign assistance for 40% of its 2012 annual budget and over half the population remained below the poverty line. Subsistence agriculture continues to employ the vast majority of the country's work force and smallholder agricultural productivity and productivity growth is weak. A substantial trade imbalance persists although aluminum production from the Mozal smelter has significantly boosted export earnings in recent years. In 2012, The Mozambican government took over Portugal's last remaining share in the Cahora Bassa Hydroelectricity Company (HCB), a signficant contributor to the Southern African Power Pool. The government has plans to expand the Cahora Bassa Dam and build additional dams to increase its electricity exports and fulfill the needs of its burgeoning domestic industries. Mozambique's once substantial foreign debt has been reduced through forgiveness and rescheduling under the IMF's Heavily Indebted Poor Countries (HIPC) and Enhanced HIPC initiatives, and is now at a manageable level. In July 2007, the US government's Millennium Challenge Corporation (MCC) signed a $506.9 million Compact with Mozambique. Compact projects will end in September 2013 and are focusing on improving sanitation, roads, agriculture, and the business regulation environment in an effort to spur economic growth in the four northern provinces of the country. Citizens rioted in September 2010, after fuel, water, electricity, and bread price increases were announced. In an attempt to lessen the negative impact on people, the government implemented subsidies, decreased taxes and tariffs, and instituted other fiscal measures. Mozambique grew at an average annual rate of 6%-8% in the decade up to 2013, one of Africa's strongest performances. Mozambique's ability to attract large investment projects in natural resources is expected to fuel continued high growth in coming years. Revenues from these vast resources, including natural gas, coal, titanium and hydroelectric capacity, could overtake donor assistance within five years.

 

Source : CIA

 

 

 

 


 

Company name

 

 

Registered Name:

SAB PRODUCTS INDUSTRIA DE BISCOITOS E DOCES LIMITADA

Requested Name:

SAB PRODUCTS LDA

Trade Names:

SAB PRODUCTS LDA

 

ADDRESS AND TELECOMMUNICATION

 

Physical Address:

Parcela 3380/25, EN-4 Witbank

 

Matola, Maputo

Country:

Mozambique

Phone:

258-21-328518/900980

Fax:

258-21-900980

Email:

info@sabproducts.org/ info@cogefgroup.com

Website:

www.cogefgroup.com/www.sabproducts.org

 

CREDIT OPINION

 

 

Financial Index as of December 2014 shows subject firm with a medium risk of credit. However, bank and credit information obtained reveal a history of prompt payments. We recommend Credit of USD 100,000 on 90 days.

 

LEGAL

 

 

Legal Form:

Limited Corporation 

Date Incorporated:

16-May-2008

Reg. Number:

Mozambique

Nominal Capital

MZN. 240,000

Subscribed Capital

MZN. 240,000

Subscribed Capital is Subscribed in the following form:

 

Position

Shares

Mr. Rizwan Adatia

Group Chairman

 

Mrs. Salma Resnoz Adatia

Director

 

Mr. Nikunj Dilipbhai Dave

Director

 

Mr. Pierre Saad

Director

 

Mr. Hassan Sabra

Director

 

Mr. Mahmoud Ahmad Sabra

Director

 

Mr. Hassan Rabih Sabra

Director

 

COGEF GROUP

Holding Co.

100%

 

RELATED COMPANIES

 

COGEF GROUP

Parent company.

None

Subsidiary company.

Listed Below

Affiliated companies.

None

Shareholder of subject firm.

None

Branches of the firm

 

OPERATIONS

 

Registered to operate manufacture and supply of food products such as biscuits, confectionaries, sweet flavours such as chocolate, lemon, strawberry, vanilla, orange and banana.

Imports:

Asia, South Africa

Exports:

None

Trademarks:

None

Terms of sale:

Cash (30%) and 25-90 days (70%), invoices.

 

 

Main Customers:

Distributors, Local agencies, stores, outlets etc

Employees:

100 employees.

Vehicles:

Several motor vehicles.

Territory of sales:

Mozambique

Location:

Leased premises, 120,000 square feet,

 

AUDITORS AND INSURANCE

 

Auditors:

Information not available.

Insurance Brokers:

Information not available.

 

 

FINANCE

 

 

Currency Reported:

Mozambique Meticais (MZN.)

Approx. Ex. Rate:

1 US Dollar = 34.46 Mozambique Meticais

Fiscal Year End:

December 31, 2014

Inflation:

According to information given by independent sources, the inflation at December 31st, 2014 was of 13%.

 

Financial Information not Submitted

 

 

 

 

 

Profit and Loss (expressed in MZN.)

 

 

2014

Sales

 

350,000,000

 

BANK

 

 

Bank Name:

Banco Comercial de Investimentos (BCI)

Branch:

Mozambique

Comments:

None

 

 

TRADE REFERENCES

 

Experiences:

Good

 

 

NOTARIAL BONDS

 

None

 

COMMENTS / ADDITIONAL INFORMATION

 

This information was obtained from outside sources other than the subject company itself and confirmed the above subject.

 

AFFILIATED COMPANIES

 

RECHEIO CASH AND CARRY LDA

COGEF TRADING LDA

ALI COMMERCIAL

JUMBO CITY CASH & CARRY

PRIM INDUSTRIES

ROYALLE STEEL INDUSTRIES LDA

AZEEMA INDUSTRIES

A-ONE DISTRIBUTORS

COGEF MULTI NEGOCIOS

COGEF MULTI TRADERS PVT LTD

SOCIETE COGEF MADAGASCAR

SOFIA S.P.R.L

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.46

UK Pound

1

Rs.92.77

Euro

1

Rs.69.03

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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.