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Report No. : |
332117 |
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Report Date : |
27.07.2015 |
IDENTIFICATION DETAILS
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Name : |
INTERNATIONAL FERRO METALS (SA) (PTY) LTD |
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Formerly Known As : |
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Registered Office : |
Farm 465 Buffelsfontein Registration Division JQ MOOINOOI (Between
Brits and Rustenburg) North West Province |
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Country : |
South Africa |
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Financial as on: |
2014 |
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Date of Incorporation : |
22.05.2002 |
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Legal Form : |
Private Company |
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Line of Business : |
The subject is involved in mining, and production of chrome and
ferro-chrome in South Africa. |
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No. of Employee : |
500 as well as contract workers. |
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 – March 31, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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South Africa |
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 |
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
Africa’s largest and among the top 20 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. Economic growth has decelerated in recent years, slowing to just 1.5%
in 2014. Unemployment, poverty, and inequality - among the highest in the world
- remain a challenge. Official unemployment is roughly 25% of the work force,
and runs significantly higher among black youth. Eskom, the state-run power
company, is building three new power stations and is installing new power
demand management programs to improve power grid reliability. Load shedding and
resulting rolling blackouts gripped many parts of South Africa in late 2014 and
early 2015 because of electricity supply constraints that resulted from
technical problems at some generation units, unavoidable planned maintenance,
and an accident at a power station in Mpumalanga province. The rolling black
outs were the worst the country faced since 2008. Construction delays at two
additional plants, however, mean South Africa will continue to operate on a
razor thin margin; economists judge that growth cannot exceed 3% until
electrical supply problems are resolved. South Africa's economic policy has
focused on controlling inflation, however, the country faces structural
constraints that also limit economic growth, such as skills shortages,
declining global competitiveness and frequent work stoppages due to strike
action. The current government faces growing pressure from urban constituencies
to improve the delivery of basic services to low-income areas and to increase
job growth.
|
Source
: CIA |
(The information contained in this report, other than statutory data and
comment by outside authorities, has been voluntarily supplied by officials of
the subject):
COMPANY NAME: INTERNATIONAL FERRO METALS (SA) (PTY)
LTD
Formerly: TRANSVAAL FERRO-CHROME (SA)
(PTY) LTD the name having been changed on
20 July 200
Formerly: TRANSVAAL FERRO-CHROME
(PTY) LTD the name having been changed on 22 May 2003.
PHYSICAL ADDRESS:
Farm 465
Buffelsfontein
Registration Division JQ
MOOINOOI (Between Brits and Rustenburg)
North West Province
POSTAL ADDRESS:
Private Bag X223
MOOINOOI
0325
TELEPHONE NUMBER: +27 14 574 6300
FAX NUMBER: +27 14 574 6411
98.75% INTERNATIONAL
FERRO METALS LTD (Australia) Listed on the London Stock Exchange
0.625% INTERNATIONAL
FERRO SA HOLDINGS (PTY) LTD
Registration
Certificate Number 2007/034451/07
0.625% GLOBAL EAGLE, a BBBEE company,
however, specific details of this entity were unknown to the respondent.
SKY CHROME MINING (PTY) LTD
Registration Certificate Number 1999/003294/07
INTERNATIONAL FERRO CHROME (PTY) LTD – 100%
Registration Certificate Number 2007/034452/07
M S PHALATSE ID No. 4410105702085
C C JORDAAN ID No. 6901295046083
J F J MULLER ID No. 6909025337086
X YIN ID
No. 6303037606185
STANDARD BANK Brits branch. It
was stated that the subject does not require overdraft facilities as credit
balances are maintained at the bank.
The subject also banks with the BANK OF CHINA in Johannesburg. It was stated that the subject has a WORKING
CAPITAL FACILITY of R500 000 000.
22 May 2002
Registration Certificate Number: 2002/011936/07
INTERNATIONAL FERRO METALS (SA) (PTY) LTD was established in May
2002 with the registered name of
TRANSVAAL FERRO-CHROME (PTY) LTD. The
name of the company was changed twice, the last one to the current name in July
2004.
It was stated that the plant, buildings and operations were being built
and operations prepared for from May 2002 until production commenced in 2007.
4490205400
9066574147
The subject is awaiting
its certification subsequent to its first BBBEE audit.
The subject is involved in mining, and production of chrome and
ferro-chrome in South Africa.
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.
The export market.
Worldwide
Worldwide
500 as well as contract workers.
The subject has an office in Johannesburg.
The premises are reported to be owned by the subject and valued in the
region of R2 500 000 000.
Full financial information was not forthcoming from respondents at the subject,
however, please see attached financials for the Holding Company as at June
2014.
ERNST & YOUNG
JUNE
GENESIS INSURANCE BROKERS
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 5 Years + Declined Declined 30
days 30 days Very Good
2. 3 Years Open Depends
30 days 30 days Very
Good
on projects
3. 8 Years R100 000- Depends 30 days 30 days Very
Good
on projects
4. Do not give trade references
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 8
years Open R200
000 30 days 30 days Good
It was stated that the subject previously
purchased up to R3 500 000 per month and paid timeously.
2. 8
years Declined Declined 30
days 30 days Good
Insured – CGIC
All financial figures are declined however,
this is stated to be a medium sized account.
3. Old C.O.D R10
000 C.O.D C.O.D Good
Maximum
(These descriptions relate respectively by number
to the above current trade transactions):
1. Manufacturing and
engineering structures, tanks and related items.
2. Steel
3. Iron ore supplies
This is an established and well-connected business meeting its
commitments timeously and no adverse comments have been heard.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.63.89 |
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1 |
Rs.99.10 |
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Euro |
1 |
Rs.70.12 |
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
SDA |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation
is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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.