MIRA INFORM REPORT
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Report No. : |
310526 |
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Report Date : |
14.03.2015 |
IDENTIFICATION DETAILS
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Correct Name : |
DIPPED PRODUCTS PLC |
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Registered Office : |
Hayleys Building, # 400, Deans Road, Colombo 10 |
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Country : |
Sri Lanka |
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Financials (as on) : |
31.03.2014 (Group) 31.03.2014 (Company) |
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Date of Incorporation : |
25.02.1976 |
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Com. Reg. No.: |
PQ 60 |
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Legal Form : |
Public Limited Liability Company listed in the Colombo Stock Exchange |
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Line of Business : |
· Engaged manufacturing and marketing of industrial and general purpose gloves as well as management of tea and rubber plantations. · Engaged as manufacturer and distributors of protective gloves ·
Engaged as supplier of natural and synthetic latex-based domestic,
industrial and medical gloves. Subject product ranges includes Natural Rubber, Natural Rubber Synthetic Blended & Synthetic Rubber |
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No of Employees : |
Approximately 1,400 |
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 – December 31, 2014
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Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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Sri Lanka |
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 |
Sri Lanka ECONOMIC OVERVIEW
Sri Lanka continues to
experience strong economic growth following the end of the 26-year conflict with
the Liberation Tigers of Tamil Eelam. The government has been pursuing
large-scale reconstruction and development projects in its efforts to spur
growth in war-torn and disadvantaged areas, develop small and medium
enterprises and increase agricultural productivity. The government's high debt
payments and bloated civil service have contributed to historically high budget
deficits, but fiscal consolidation efforts and strong GDP growth in recent
years have helped bring down the government's fiscal deficit. However, low tax
revenues are a major concern. The 2008-09 global financial crisis and recession
exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of
payments crisis. Agriculture slowed due to a drought and weak global demand affected
exports and trade. In early 2012, Sri Lanka floated the rupee, resulting in a
sharp depreciation, and took steps to curb imports. A large trade deficit
remains a concern, but strong remittances from Sri Lankan workers abroad help
offset the trade deficit. Government debt of about 80% of GDP remains among the
highest in emerging markets.
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Source : CIA |
GENERAL
Basic information at a glance
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Name of Subject of Inquiry |
: |
DIPPED PRODUCTS
PLC |
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Legal Form & Status |
: |
Public Limited Liability Company listed in the
Colombo Stock Exchange (In Operation) |
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Chairman |
: |
A. M. Pandithage |
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Primary Line of Business |
: |
·
Engaged
manufacturing and marketing of industrial and general purpose gloves as well as
management of tea and rubber plantations. ·
Engaged
as manufacturer and distributors of protective gloves ·
Engaged as supplier of natural and synthetic
latex-based domestic, industrial and medical gloves. ·
Subject
product ranges includes Natural Rubber,
Natural Rubber Synthetic Blended
& Synthetic Rubber |
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Head office & Place of
Business |
: |
Hayleys
Building # 400,
Deans Road, Colombo 10, Sri Lanka. Tel.
No: (00 94 11) 268 3964 Fax
No: (00 94 11) 269 9018 E-Mail: postmast@dplgroup.com |
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No. of Employees |
: |
Approximately
1,400 |
COMPANY
DETAILS
Registration and Shareholder Details
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Registration No |
: |
PBS 924 |
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Year of Registration |
: |
25th February 1976 |
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Re-registration No |
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PQ 60 |
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Date of Re-registration |
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02nd August 2007 |
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Registered Office |
: |
Hayleys
Building, # 400, Deans Road, Colombo 10 |
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Board of Directors As at 18th July 2014 |
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A. M. Pandithage |
Chairman |
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Dr. K. I. M.
Ranasoma |
Managing Director |
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F. Mohideen |
Director |
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K. A. L. S.
Fernando |
Director |
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S. C. Ganegoda |
Director |
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K. D. D. Perera |
Director |
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M. Bottlno |
Director |
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Sujeewa Rajapakse |
Director |
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Rohana Kirti Witanachchi |
Director |
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N.A. R. Ramesh Silva Nanayakkara |
Director |
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Sujeewa Prasanga Peiris |
Director |
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Issued Share Capital |
: |
Rs. 598,615,120.00 |
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Number of Shares |
: |
59,861,512 |
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Nominal Value of Share |
: |
Not applicable/declared vide Companies Act #7 of
2007 |
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Major Share Holders As at 31st March 2014 (Total Number of Share Holders 2,234) |
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Major Share Holders |
No. of Shares |
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Hayleys PLC |
24,910,938 |
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Employees’ Provident Fund |
7,820,256 |
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Volanka (Pvt) Ltd |
4,873,640 |
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Haycarb PLC |
4,068,746 |
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Promar Overseas SA |
4,080,516 |
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National Savings Bank |
953,900 |
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Auditors |
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Ernst & Young |
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Company Secretaries |
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Hayleys Group Services (Pvt) Ltd |
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Bankers |
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Bank of Ceylon, Citibank N A, Deutsche Bank,
Hatton National Bank PLC Hong Kong & Shanghai Banking Corporation, NDB
Bank People’s Bank, Sampath Bank, Seylan Bank PLC Standard Chartered Bank |
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FINANCIAL
DETAILS
Most recent available Financial Information
CURRENT
INVESTIGATION
Company Logo
·
History.
The Subject Company DIPPED PRODUCTS PLC is
a Public Limited Liability Company
(listed in the Colombo Stock Exchange) incorporated on 25th February
1976 under registration number PBS 924 and the company has been
re-registered on 02nd August
2007 under registration number PQ 60, in terms of Companies Act #7 of
2007.
Dipped
Products PLC, the rubber glove manufacturer of Hayleys
Group.
Subsidiaries of Dipped
Products Limited
·
Hand Protection Plantations
o
Palma Limited
o
Grossart (Private) Limited
o
Venigros (Private) Limited
o
Neoprex (Private) Limited
o
Texnil (Private) Limited
o
Feltex (Private) Limited
o
Dipped Products (Thailand) Limited
o
ICOGUANTI SpA
o
Hanwella Rubber Products Limited
o
Feltex (Pvt) Ltd
·
Plantations
o
DPL Plantations (Private) Limited
o
Kelani Valley Plantations PLC
o
Hayleys Plantation Services
(Pvt) Ltd
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Location.
The Subject
Company is located at the client Hayleys
Building, # 400, Deans Road, Colombo 10.
The factory is located in the EPZ, Biyagama.
·
Operational
Details.
General
The subject company
primary line of business is Manufacture
and marketing of industrial and general purpose gloves as well as Management of
tea and rubber plantations.
·
Engaged
as manufacturer and distributors of protective gloves
·
Engaged as supplier of natural
and synthetic latex-based domestic, industrial and medical gloves.
DPL owns and operates
seven manufacturing subsidiaries in Sri Lanka, a medical glove manufacturing
company in Thailand and a marketing company based in Italy.
The subject company has earned certified by ISO 9001:2008, ISO 14001:2004
Products
Natural Rubber,
Natural Rubber
Synthetic Blended & Synthetic Rubber
Country
Worldwide
(Asia/Africa, Australia/New Zealand, Europe, North America, South America
No of Employees
Approximately
1400
·
Trade references
The Ceylon
Chamber of Commerce
Board of
Investment (BOI)
·
Credit
Recommendations
No computerised data bases exist to make
checks whether the partners or the company has any legal action or lawsuit
initiated against any of them but informal (but not in-depth) checks do not
indicate any such cases in the public knowledge.
ANALYSIS
& RATING
Appraisal and Rating of Subject Company
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Rating: |
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a) Business Scale |
Large |
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b) Business Trend |
Growing |
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c) Market Situation |
Very Competitive |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.62.67 |
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UK Pound |
1 |
Rs.93.16 |
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Euro |
1 |
Rs.66.42 |
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
MNL |
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 |
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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.