MIRA INFORM REPORT

 

 

Report No. :

324323

Report Date :

01.06.2015

                       

IDENTIFICATION DETAILS

 

Name :

SALEH ABDULAZIZ BABAKER AND SONS COMPANY

 

 

Formerly Known As :

SALEH ABDULAZIZ BABAKER SONS TRADING & AGENCIES COMPANY

 

 

Registered Office :

Najran Street Al Shifa Al District 20561 Riyadh 11465

 

 

Country :

Saudi Arabia

 

 

Date of Incorporation :

23.11.1959

 

 

Com. Reg. No.:

1010001622, Riyadh

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Engaged in the import and distribution of rice.

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Saudi Arabia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SAUDI ARABIA ECONOMIC OVERVIEW

 

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Diversification efforts are focusing on power generation, telecommuncations, natural gas exploration, and petrochemical sectors. Over 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors, while Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs. In 2014 the Kingdom ran its first budget deficit since 2009, and faces budget deficits for the foreseeable future because it requires an oil price greater than $100 per barrel to balance its budget. Although the Kingdom can finance high deficits for several years by drawing down its considerable foreign assets or borrowing, it probably will begin to reduce capital spending if oil prices stay low through the next year.

 

Source : CIA

 

SUMMARY

 

Company Name                                    : SALEH ABDULAZIZ BABAKER AND SONS COMPANY

Also Known As                                     : SALEH ABDULAZIZ BABAKER SONS TRADING & AGENCIES COMPANY

Country of Origin                                   : Saudi Arabia

Legal Form                                           : Limited Liability Partnership

Registration Date                                  : 23rd November 1959

Commercial Registration Number           : 1010001622, Riyadh

Chamber Membership Number               : 2214

Issued Capital                                       : SR 1,000,000

Paid up Capital                                     : SR 1,000,000

Total Workforce                                     : 100

Activities                                               : Distributors of rice.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Saleh Omar Saleh Abdulaziz Babaker, Finance Manager

 

 

 

 

COMPANY NAME

 

SALEH ABDULAZIZ BABAKER AND SONS COMPANY

 

 

ALSO KNOWN AS

 

SALEH ABDULAZIZ BABAKER SONS TRADING & AGENCIES COMPANY

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Najran Street

Area                 : Al Shifa Al District

 

PO Box            : 20561

 

Town                : Riyadh 11465

Country             : Saudi Arabia

 

Telephone         : (966-11) 4228472 / 4229770

Facsimile          : (966-11) 4228498

Mobile              : (966-50) 4131388 / (966-55) 8393939

Email                : babakersons@babaker.com

 

Premises

 

Subject operates from a medium sized suite of offices that are rented and located in the Central Business Area of Riyadh.

 

Branch Offices

 

Subject has branch offices located in Jeddah, Dammam, Khamis Mushait and Al Qassim.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Omar Saleh Abdulaziz Babaker                                                          Managing Partner

 

·       Saeed Saleh Abdulaziz Babaker                                                        Partner

 

·       Saleh Omar Saleh Abdulaziz Babaker                                                 Finance Manager

 

·       Khalid Ahmed                                                                                   Financial Controller

 

·       Abdul Qader Mohamed                                                                     Commercial Manager

 

·       Ibrahim Ali                                                                                        Administration Manager

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 22/05/1379 Hijri (corresponding to 23rd November 1959)

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.   : 1010001622, Riyadh

 

Chamber Member No.  : 2214

 

Issued Capital              : SR 1,000,000

 

Paid up Capital            : SR 1,000,000

 

Name of Partner (s)

 

·       Omar Saleh Abdulaziz Babaker

 

·       Saeed Saleh Abdulaziz Babaker

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of rice.

 

Import Countries: Europe and the Far East.

 

International Suppliers:

 

·       Koohinoor Rice        India

·       Best Food                India

 

Operating Trend: Steady

 

Subject has a workforce of 100 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

                                                Year Ending 31/12/13:               Year Ending 31/12/14:

 

Total Sales                                SR 74,250,000                           SR 78,000,000

 

Local sources consider subject’s financial condition to be Fair.

 

The above figures were provided by Mr Saleh Omar Saleh Abdulaziz Babaker, Finance Manager

 

 

BANKERS

 

·       Arab National Bank (ANB)

King Faisal Street

PO Box: 56921

Riyadh 11564

Tel: (966-11) 4029000

Fax: (966-11) 4027747

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.76

UK Pound

1

Rs.97.80

Euro

1

Rs.69.91

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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%)

 

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.