MIRA INFORM REPORT

 

 

Report No. :

333381

Report Date :

30.07.2015

 

IDENTIFICATION DETAILS

 

Name :

D B FINE CHEMICALS (PTY) LTD

 

 

Registered Office :

Unit 12 Woodview Office Park, 1 Humber Street, Woodmead, Sandton, Gauteng

 

 

Country :

South Africa

 

 

Date of Incorporation :

16.05.1995

 

 

Com. Reg. No.:

1995/004258/07

 

 

Legal Form :

Private Company

 

 

Line of Business :

Importer and Distributors of Fine Chemicals Raw Materials and Capsules.

 

 

No. of Employees :

10

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 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

 

 

 

 


Company Name and address

 

COMPANY NAME:                      D B FINE CHEMICALS (PTY) LTD

 

PHYSICAL ADDRESS:               Unit 12 Woodview Office Park

1 Humber Street

WOODMEAD

Sandton

Gauteng

 

POSTAL ADDRESS:                  P O Box 786

RIVONIA

2128

 

TELEPHONE NUMBER:              +27 11 807 2991

 

FAX NUMBER:                           +27 11 807 0953

 

 

SHAREHOLDERS

 

100%                           D BAUMANN

 

 

ASSOCIATE COMPANIES

 

EIFEL PROPERTY (PTY) LTD

(Registration Certificate Number:  1999/008408/07)

MAKARIOS PROPERTY (PTY) LTD (property owning company)

(Registration Certificate Number:  2003/024640/07)

 

 

DIRECTORS

 

D BAUMANN (Sole director)                                                       ID No.   6209215240004

 

 

BANKERS

 

NEDBANK, Rivonia Branch, Account Number: 1969086599.  It was stated that the subject does not require overdraft facilities as credit balances are maintained at the bank. 

 

 

DATE REGISTERED

 

16 May 1995

Registration Certificate Number: 1995/004258/07

 

D B FINE CHEMICALS (PTY) LTD was established in May 1995.

 

It was stated that prior to commencing the subject D BAUMANN was the Managing Director of E I ROGOFF CHEMICALS (PTY) LTD for 6 years, however, it was stated that he was involved in the latter group for approximately 15 years.

 

 

VAT NUMBER:                          4680153923

 

TAX NUMBER:                          9023056873

 

BBBEE STATUS:                      Level 6 contributor

 

 

MAJOR OPERATION

 

Importers and distributors of fine chemicals raw materials and capsules.

 

 

MAJOR SUPPLIERS

 

The subject imports 95% of its supplies.

 

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

 

Pharmaceutical industry

 

 

AREA OF DISTRIBUTION AND SELLING   

 

South Africa

 

 

EXPORTS

 

Occasionally to Namibia and Zimbabwe

 

 

TOTAL EMPLOYEES

 

10

 

 

OTHER PREMISES

 

None

 

 

OWNED OR LEASED

 

The heading premises are reported to be owned by EIFEL PROPERTIES (PTY) LTD (reported to be owned by D BAUMANN), free of bond.

 

 

FINANCIALS

 

The following estimated financial situation was submitted as at 24 July 2015:

 

STOCK fluctuates                                                                                          R  1 500 000

DEBTORS                                                                                                    R  3 000 000

FIXED ASSETS                                                                                             R  1 500 000

CREDITORS                                                                                                 R  1 500 000

TURNOVER per annum                                                                                  R80 000 000

 

 

AUDITORS

 

DE VOS RICHARDS, Johannesburg. +27 11 675 1866

 

 

YEAR END

 

FEBRUARY

 

 

INSURANCE BROKERS

 

THE BROKERAGE INSURANCE BROKERS

 

 

TRADE REFERENCES – SEPTEMBER 2006

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2003             R400 000       R250 000        30 days    30 days        Good

                                               c/l

 

2.    Aug 2003      R  25 000       sporadic          30 days    30 days        Good

                                               c/l

 

3.    2000             R  50 000       R  25 000 -      30 days    30 days        Very Good

                                               R  50 000

 

 

TRADE REFERENCES – JANUARY 2007

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2003             R400 000       R250 000 -      30 days    30 days        Very good

                                               R315 000

 

2.    Do not give trade references

 

3.    2001             R25 000         R  15 000 -      30 days    30 days        Very good

                                               R  20 000

 

4.    2003             R25 000         declined          30 days    30 days        Good

 

 

TRADE REFERENCES - DECEMBER 2007

 

        ACCOUNT  HIGHEST    AVERAGE    TERMS   PAYMENT   EXPERIENCE

        OPENED     CREDIT       CREDIT                      PATTERN

 

1.     4 years       R400 000     R350 000      30 days   30 days       Very good

 

2.     Do not give trade references

 

3.     2001           R  25 000    R    5 000 -   30 days   30 days       Excellent

                                            R  25 000

 

 

TRADE REFERENCES – MARCH 2009

 

        ACCOUNT  HIGHEST    AVERAGE    TERMS   PAYMENT   EXPERIENCE

        OPENED     CREDIT       CREDIT                      PATTERN

 

1.     2003           R1 100 000 R600 000       30 days   30/45 days Good

 

2.     2001           R     25 000 R    8 000-    30 days   40 days       Good

                          c/l               R  76 000     

 

3.     2008           R     25 000 R    3 000-    30 days   30 days       Excellent

                          c/l               R  20 000

 

 

TRADE REFERENCES – APRIL 2009

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    6 years         R1 100 000    R300 000        30 days    30 days        Very good

                          c/l                

 

2.    2001             R     25 000    R  10 000-       30 days    30+ days      Good

 

3.    2 years         declined         figures             30 days    30 days        Excellent

 

 

TRADE REFERENCES – APRIL 2010

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2003             R     25 000    R  75 000+      30 days    30 days        Excellent

                          c/l

 

2.    2 years         R1 100 000    R480 000        30 days    30 days        Good

                          c/l

 

3.    9+ years       R     40 000    R  10 000        30 days    30 days        Excellent

 

 


TRADE REFERENCES – MAY 2011

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    5 years         R1 000 000    R500 000-       30 days    30 days        Excellent

                          c/l                 R800 000

 

2.    Last purchased August 2010

 

3.    10 years       R100 000       R  25 000-       30 days    30 days        Very Good

                                               R100 000

 

4.    10+ years     R100 000       R50 000          30 days    30 days        Good

                          c/l

 

 

TRADE REFERENCES – APRIL 2012

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    11 Years       R150 000       R     80 000     30 days    30 days        Problematic

      Outstanding discrepancy of R25 000 since December 2011

 

2.    5 Years +     R1 000 000    R1 000 000      30 days    30 days        Excellent

 

3.    12˝ Years    R100 000       R       3 000-    30 days    30-45 days    Good

                                               R     80 000

 

4.    Last purchases in 2009

 

 

TRADE REFERENCES – APRIL 2013

 

       ACCOUNT   HIGHEST       AVERAGE      TERMS     PAYMENT    EXPERIENCE

       OPENED      CREDIT          CREDIT                          PATTERN

 

1.         Unable to obtain trade reference

 

2.         Dec 2012     R2 000 000     R   750 000-    30 days     30 days        Very Good

                                               R1 000 000

 

 


TRADE REFERENCES - MARCH 2014

 

       ACCOUNT   HIGHEST       AVERAGE      TERMS     PAYMENT    EXPERIENCE

       OPENED      CREDIT          CREDIT                          PATTERN

 

1.     Sept 2012    R2 000 000     R  500 000-     30 days     30 days        Very Good

                                               R  700 000

 

2.     C.O.D. The subject purchases in bulk once a year

 

 

CURRENT TRADE REFERENCES

 

      ACCOUNT    HIGHEST       AVERAGE       TERMS     PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                           PATTERN

 

1.    2010             R2 000 000    R900 000        30 days     30 days        Very Good

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

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

 

1.    Shipper

 

 

COMMENTS

 

This is an established business which imports most of its supplies. The subject is meeting local commitment timeously. The subject is spoken of highly by its supplier. 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.89

UK Pound

1

Rs.99.71

Euro

1

Rs.70.63

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

NIT

 

 

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.