MIRA INFORM REPORT

 

 

Report No. :

329297

Report Date :

30.06.2015

 

IDENTIFICATION DETAILS

 

Name :

AARTEX GENERAL TRADING LLC

 

 

Registered Office :

M29 Warba Centre, Abu Baker Al Siddiq Street, Al Muraqabat Road, Deira, PO Box 19090 & 55497, Dubai

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

18.02.1996

 

 

Com. Reg. No.:

35830

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Subject operates with a general trade licence and specialises in the import and export of readymade garments, textiles, leather garments and general foodstuffs, including biscuits.

 

 

No. of Employees :

8

 

 

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)

United Arab Emirates

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

UNITED ARAB EMIRATES - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. The country's free trade zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency and ultimately a $20 billion bailout from the UAE Central Bank and Abu Dhabi-emirate government that was refinanced in March 2014. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

 

Source : CIA

SUMMARY

 

Company Name                                    : AARTEX GENERAL TRADING LLC

Country of Origin                                   : Dubai, United Arab Emirates

Legal Form                                           : Limited Liability Company - LLC

Registration Date                                  : 18th February 1996

Commercial Registration Number           : 35830, Dubai

Trade Licence Number                           : 240818

Chamber Membership Number               : 37384

Issued Capital                                       : UAE Dh 300,000

Paid up Capital                                     : UAE Dh 300,000

Total Workforce                                     : 8

Activities                                               : Import and export of readymade garments, textiles, leather garments

 and general foodstuffs.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Sandeep Sagar, Managing Director

 

 

 

COMPANY NAME

 

AARTEX GENERAL TRADING LLC

 

 

ADDRESS

 

Registered & Physical Address

 

Building            : M29 Warba Centre

Street               : Abu Baker Al Siddiq Street, Al Muraqabat Road

Area                 : Deira

PO Box            : 19090 & 55497

Town                : Dubai

Country             : United Arab Emirates

Telephone         : (971-4) 2662527

Facsimile          : (971-4) 2662525

Mobile              : (971-50) 6352905 / (971-52) 9242628

Email                : sa_sa1978@yahoo.co.in

 

Please note that subject’s previous address was, Zainalabedin Abdur Rahman Alkhaja Building, 2nd Floor, Suite No. 209, Salah Al Din Street, Al Mateena, Dubai.

 

Premises

 

Subject operates from a small suite of offices and a showroom that are rented and located in the Central Business Area of Dubai.

 

 

KEY PRINCIPALS

 

Name                                                               Nationality                                Position

 

Sandeep Sagar                                                  Indian                                     Managing Director

           

Deliwala Hitesh Pravinchandra                            Indian                                       Director

 

Obaid Sayed Rashid                                        Emirati                                      Director

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 18th February 1996

 

Legal Form                  : Limited Liability Company - LLC

 

Commercial Reg. No.   : 35830, Dubai

 

Trade Licence No.        : 240818 (Expires 17/02/2016)

 

Chamber Member No.  : 37384

 

Issued Capital              : UAE Dh 300,000

 

Paid up Capital            : UAE Dh 300,000

 

Name of Shareholder (s)                                   Percentage

 

Obaid Sayed Rashid                                              51%

 

Sandeep Sagar                                                      25%

 

Deliwala Hitesh Pravinchandra                                 24%

 

 

OPERATIONS

 

Activities: Subject operates with a general trade licence and specialises in the import and export of readymade garments, textiles, leather garments and general foodstuffs, including biscuits.

 

Import Countries: Europe and India

 

International Suppliers:

 

Fresco Pvt Ltd                                      India

Jessica Jewels & Garments                   India

 

Operating Trend: Steady

 

Subject has a workforce of 8 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

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

 

Total Sales                                UAE Dh 35,000,000                   UAE Dh 36,925,000

 

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

 

The above figures were provided by Mr Sandeep Sagar, Managing Director

 

 

BANKERS

 

Noor Islamic Bank

Burj Square

PO Box: 8822

Dubai

Tel: (971-4) 4268888

Acc No. AE060520002510474910016

 

Mashreq Bank

Deira Branch

PO Box: 1250

Dubai

Tel: (971-4) 2229131 / 2221134

Acc No. AE490330000019100028907

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                                March 2007

Credit amount                                       150,000

Amount overdue                                    0

Payment terms                                      60 days

Payment Method                                   Letters of Credit

Paying record                                       No Complaints

Currency                                               US Dollars

 

 

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.63.92

UK Pound

1

Rs.100.40

Euro

1

Rs.70.41

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

TPT

 

               

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.