MIRA INFORM REPORT

 

 

Report No. :

329917

Report Date :

09.07.2015

 

IDENTIFICATION DETAILS

 

Name :

ROTEM SAFETY LTD.

 

 

Registered Office :

Rotem Industries Park, Mishor Yamin, P.O. Box 9046 Beer Sheva 8419001

 

 

Country :

Israel

 

 

Date of Incorporation :

01.01.2007

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Designers, manufacturers, importers, exporters and marketers of safety, health and environmental care products.

 

 

No. of Employee :

20

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Israel

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

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 2013, 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. Israel's economy also has weathered the Arab Spring because strong trade ties outside the Middle East have insulated the economy from spillover effects. Slowing demand domestically and internationally and reduced investment due to uncertainties caused by the Gaza conflict in summer 2014 have reduced GDP growth to about 2% during 2014. 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 expected to come online no sooner than 2017, but production from Tamar provided a one percentage point boost to Israel's GDP in 2013 and a 0.5% boost 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 and has started splitting up the oligopolies to address some of the grievances but has maintained that it will not engage in deficit spending to satisfy populist demands. 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

 

Company name and address

 

ROTEM SAFETY LTD.

 

(Using trade name ROTEM HEALTH AND SAFETY)

Telephone                           972 8 657 03 03

Fax                                     972 8 655 25 65

Email:                                 info@rotemsafety.co.il

 

Physical Address

Rotem Industries Park, Mishor Yamin

Mailing Address

P.O. Box 9046

BEER SHEVA 8419001 ISRAEL

 

 

HISTORY & LEGAL FORMATION

 

A private limited company, incorporated as per file No. 51-391217-0 on the 01.01.2007.

Subject was established in 1998 as a department within State-owned ROTEM INDUSTRIES LTD. (established in 1970), and incorporated in 2007 as a spin-off from ROTEM INDUSTRIES in the framework of a privatization move.

 

 

SHARE CAPITAL

 

Authorized share capital NIS 1,000,000.00, divided into -

1,000,000 ordinary shares of NIS 1.00 each,

of which 1,000 shares amounting to NIS 1,000.00 were issued.

 

 

SHAREHOLDERS

 

1.    ROTEM INDUSTRIES LTD., 35%, fully owned by the State of Israel, under the auspices of the Prime Minister's Office,

2.    SHALON CHEMICAL INDUSTRIES LTD., 35%, owned by BOBAR LTD., controlled by Ram Baharad and Arie Barel,

3.    A.B.S.G HOLDINGS LTD., 30%, owned by Avi Betesh and Ms. Sara Betesh.

 

 

DIRECTORS

 

1.    Dan Pe'er, General Manager of ROTEM INDUSTRIES,

2.    Amir Giora,

3.    Michael Barel.

 

 

GENERAL MANAGER

 

Avi Betesh.

 

 

BUSINESS

 

Designers, manufacturers, importers, exporters and marketers of safety, health and environmental care products.

Also performing lab quality and safety inspections and maintenance.

 

Sales are to international corporations, companies, military and national security forces, traders, etc.

Among clientele: Ministry of Defense, The Fire & Rescue Services, ISSRAEL RAILWAYS, TECHNOMETAL, and many more.

 

Sole local representatives of (among many):

SCOTT HEALTH AND SAFETY, NORTH SAFETY, SALISBURY, INDUSTRIAL SCIENTIFIC, ELVEX, JUSTRITE, all of USA,

PIERCAN, of France,

PAN TAIWAN, of Taiwan.

 

Among local suppliers: TSOOCK SECURITY TECHNOLOGIES.

 

Operating from offices, plant and storage facilities, on an area of 7,500 sq. meters (State owned), in Rotem Industries Park (formerly Temed Park), Mishor Yamin, near Dimaona, in the Negev region (Mobile Post Arava). Premises serve also parent company ROTEM INDUSTRIES.

 

Number of employees not forthcoming, known to be over 20 employees.

 

 

MEANS

 

Subject's financial data not forthcoming.

 

Last available consolidated B/S data of parent company ROTEM INDUSTRIES:

                                                    (NIS thousands)

                                    31.12.2009            31.12.2010

Total assets                        49,651                   48,712

Equity                                 30,744                   34,177

 

There are no charges registered on the company's assets.

 

 

REVENUES

 

2010 consolidated sales of ROTEM INDUSTRIES were NIS 83,527,000, making with a net profit of NIS 3,631,000.

 

 

OTHER COMPANIES

 

ROTEM INDUSTRIES LTD., operating in several lines of activities, including research, development, manufacturing, export and marketing of radiation control systems, as well as implementation and commercialization arm of the Nuclear Research Center in Dimona and management of Rotem Industries Park. Holds:

ROTEM MAGEN LTD., 50%, advanced safety solutions.

ROTEM INC., USA, 100%, marketing of enriched water in the USA.

ROTEM GMBH, Germany, 100%, marketing of enriched water in Europe.

ROTEM VENTURES [formerly A.T.C. (ADVANCED TECHNOLOGIES CENTRE) TEMED LTD.], 20%, a Technological Incubator for support in start-ups, providing the portfolio companies with financial backing and strategic connections.

ROTEM ASIA LTD., 50%, partner in XI'AN XNIF ROTEM INSTRUMENTS (XXRI) LTD., analytical instruments for the cement industry.

T.K. SIGNAL, 5.40%, R&D in cancer diagnostics.

MAGTECH TECHNOLOGIES LTD., 20%, development of magnesium design technology.

NEGEV SOFTWARE INDUSRIES LTD., 33%, software engineering and testing, data processing embedded systems.

Also has holding in several start ups.

 

SHALON CHEMICAL INDUSTRIES LTD., incorporated 1967, manufacturers, marketers and exporters of respirators systems and NBC (Nuclear-Biological-Chemical) protective systems, both for the military and the non-military fields

 

 

BANKERS

 

Bank data not forthcoming.

 

 

CHARACTER AND REPUTATION

 

Nothing unfavorable learned.

 

Despite our efforts, we were unable to speak with subject's officials including General Manager, as they were always unavailable. We left messages which so far remain unanswered.

 

In November 2011 it was reported that The State Comptroller is investigating if there have been irregularities in the framework of subject's privatization process, as there may be evident that there may be connections between subject's current shareholders and ex-senior officials in the governmental entity, the Nuclear Research Center (NRC, where ROTEM INDUSTRIES is NRC's commercialization arm). We found no further data on matter.

 

Subject is ISO 9001:2008 certified.

 

ROTEM INDUSTRIES is recognized worldwide for its technologies, and a leading company in its fields in Israel.

 

 

SUMMARY

 

Notwithstanding the refusal to disclose details, considered good for trade engagements.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.98.22

Euro

1

Rs.69.93

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ANK

 


 

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.