MIRA INFORM REPORT

 

 

Report No. :

300793

Report Date :

30.01.2015

 

IDENTIFICATION DETAILS

 

Name :

FIRST ELEMENT (PTY) LTD 

 

 

Registered Office :

Suite 104, the Atrium, Diamond Technology Park, Plot 6782 Block 8, Industrial, Gabarone, Botswana

 

 

Country :

South Africa

 

 

Date of Incorporation :

29.12.2009

 

 

Com. Reg. No.:

CO2009/10935

 

 

Legal Form :

Private Company

 

 

Line of Business :

subject is involved in services of clearing and marketing of diamonds

 

 

No of Employees :

01 (Managing Director)

 

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)

South Africa

a2

a2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

South Africa ECONOMIC OVERVIEW

 

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors and a stock exchange that is the 16th largest in the world. Even though the country's modern infrastructure supports a relatively efficient distribution of goods to major urban centers throughout the region, unstable electricity supplies retard growth. The global financial crisis reduced commodity prices and world demand. GDP fell nearly 2% in 2009 but has recovered since then, albeit slowly with 2014 growth projected at about 2%. Unemployment, poverty, and inequality - among the highest in the world - remain a challenge. Official unemployment is at nearly 25% of the work force, and runs significantly higher among black youth. Eskom, the state-run power company, has built two new power stations and installed new power demand management programs to improve power grid reliability. Construction delays at two additional plants, however, mean South Africa is operating on a razor thin margin; economists judge that growth cannot exceed 3% until those plants come on line. South Africa's economic policy has focused on controlling inflation, however, the country has had significant budget deficits that restrict its ability to deal with pressing economic problems. The current government faces growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth.

 

Source : CIA

 

COMPANY NAME

 

FIRST ELEMENT (PTY) LTD

 

 

PHYSICAL ADDRESS

 

Suite 104, the Atrium

Diamond Technology Park

Plot 6782 Block 8

Industrial

Gabarone

Botswana

 

 

POSTAL ADDRESS   

 

P O Box 21250

Bontleng

Gabarone

Botswana

 

CELLPHONE NUMBER:              +267 817 725 0666

 

 

ASSOCIATE COMPANIES

 

None

 

 

SHAREHOLDERS

 

·         95%            JOHANNES MATTHEUS PETRUS ERIKSON

5%                   EDWARD JAMES TIMOTHY WILKES

 

 

DIRECTORS

 

·         JMP ERIKSON(MD)                         ID No. 5611195052088

EJT WILKES(Director)                       ID No. 8701055764083

 

BANKERS

 

The subject banks with FNB in Botswana, account number 62262396817. The subject does not operate with an overdraft facility.

 

 

DATE REGISTERED

 

29 December 2009

Registration Certificate Number:  CO2009/10935

 

The subject was established in 2009 in Gabarone, Botswana. The subject opened an office in Antwerp, Belgium in 2011. In 2012, the subject opened offices in South Africa, Dubai and Zimbabwe which formed the First Element Group.

 

 

VAT NUMBER

 

C111557011122011411

 

 

TAX NUMBER

 

C11557-01-01-3

 

MAJOR OPERATION

 

The subject is involved in services of clearing and marketing of diamonds

 

 

MAJOR SUPPLIERS

 

Previously, we have divulged the names of the major suppliers in our reports.  We have discontinued this practice to protect our valuable sources of trade information. This has become necessary because we now give a description of the goods or services to which the trade references relate.  This gives our client the ability to assess whether  the purchases are vital to the subject’s operation and whether we have only been given their essential suppliers that must be paid promptly for the subject to maintain its operation.

 

 

MAJOR CUSTOMERS OR BUSINESS SECTORS

 

The diamond industry

 

AREA OF DISTRIBUTION AND SELLING

 

International

 

 

EXPORTS

 

The subject imports and exports rough diamonds on behalf of clients mainly to Belgium, India and Dubai

 

 

TOTAL EMPLOYEES

 

1 (Managing Director)

 

 

OTHER PREMISES

 

The subject has branches in Antwerp (Belgium) in Dubai, South Africa and Zimbabwe.

 

 

OWNED OR LEASED

 

The subject is currently at rented premises (offices and a factory). The lease expires in 2016.

 

 

AUTHORISED CAPITAL

 

R1000

 

 

ISSUED SHARE CAPITAL

 

R100.

 

FINANCIALS

 

The following estimated financial situation was submitted as at the 20th of January 2015 :

 

CASH                                                                                                              R200 000

PREVIOUS YEAR FINANCIAL TURNOVER                                                     R3 269 000

TURNOVER per annum (PROJECTED)                                                            R2 500 000

 

 

AUDITORS

 

GRANT THRONTON BUSINESS SERVICES, contact person Gemima. Telephone number +267 395 2313

 

 

FINANCIAL YEAR END

 

FEBRUARY

 

 

CURRENT TRADE REFERENCES

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                           PATTERN

 

1.    3 Years        Open             R100 000        30 days     Varied          Good                    

2.    Email sent. Awaiting reply

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

(These descriptions relate respectively by number to the above current trade transactions):

 

1.       The subject is supplied with machinery.                     

 

                         

COMMENTS

 

This is an established small business meetings its obtainable commitment timeously.

           

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.50

UK Pound

1

Rs.93.12

Euro

1

Rs.69.33

 

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%)

 

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.