MIRA INFORM REPORT

 

 

Report No. :

310921

Report Date :

26.03.2015

           

IDENTIFICATION DETAILS

 

Name :

LANKA PLASTIC INDUSTRIES (PVT) LTD

 

 

Registered Office :

111, Etampolawatte Road, Mabole, Wattala

 

 

Country :

Sri Lanka

 

 

Date of Incorporation :

21.06.1993

 

 

Com. Reg. No.:

PV 5827

 

 

Legal Form :

Private Limited Liability Company  (In Operation)

 

 

Line of Business :

Manufacturing, exporting and selling polyp lane bags, polythene bags and other plastic bags

 

 

No. of Employee :

Approximately 250

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Unknown

 

 

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)

Sri Lanka

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

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 TRADEhttps://cdncache-a.akamaihd.net/items/it/img/arrow-10x10.png. 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.

 

Source : CIA

 

GENERAL

 

- Basic information at a glance

   

a.

Name of Subject of Inquiry

:

LANKA PLASTIC INDUSTRIES (PVT) LTD

b.

Legal Form  & Status

:

Private Limited Liability Company  (In Operation)

c.

Chairman

:

Abid Akbarally

d.

Primary Line of Business

:

Manufacturing, exporting and selling polyp lane bags, polythene bags and other plastic bags

e.

Head Office

&

Factory

:

 

# 111, Attampolawatta Road,

Mabola,

Wattala,

Sri Lanka

 

Tel. No: (00 94 11) 293 1417/ 293 3537 / 242 3775

Fax No: (00 94 11) 293 4108

 

E-Mail: info@lankaplastic.com

 

f.

No. of Employees

:

Approximately 250

 

 

COMPANY DETAILS 

 

- Registration and Shareholder Details

 

a.

Registration No

:

N (PVS) 11209

Date of Registration

:

21st June 1993

b.

Registration No

:

PV 5827

Date of Registration

:

29th July 2008

c.

Registered Office

:

111, Etampolawatte Road, Mabole, Wattala, Sri Lanka.

d.

Board of Directors

As At

25th October 2011

( Updated details of other directors not available due to relevant file not found at the ROC)

:

Abid Akbarally

Chairman

Suraiya Akbarally

Director

Mustapha Akbarally

Director

Tajammul Abidally

Director

Murtaza Akbarally

Director

e.

Issued Share Capital

:

Rs.         10,000,000.00           

f.

Nominal Value of Share

:

Rs.                       10.00

g.

 

Share Holders

As At

25th October 2011

:

Share Holders

No. of Shares

Abid Akbarally

10,000

Tajammul Abidally

10,000

Suraiya Akbarally

10,000

Murtaza Akbarally

10,000

Mustapha Akbarally

10,000

Abidally Sons

460,000

Singapore Holdings

490,000

i.

Auditors

:

BDO Partners

j.

Company Secretaries

:

Nexia Corporate Consultants (Pvt) Ltd

k.

Bankers

:

Commercial Bank PLC

 

 

FINANCIAL DETAILS

 

- Most recent available Financial Information

 

THE COMPANY HAS DECLINED TO PROVIDE INFORMATION ON ITS FINANCES

 

Based on the corporate laws of Sri Lanka, legal entities which are Private Company with Limited Liability are not required to make public disclosure of their annual financials. Therefore no financials are available for this entity

 

 

CURRENT INVESTIGATION                      

 

  • History.

 

The Subject Company LANKA PLASTIC INDUSTRIES (PVT) LTD is a Private    Limited   liability Company incorporated on 21st June 1993 under registration number N (PVS) 11209 and then the company was re-registered on 29th July 2008 under registration number PV 5827.

 

 (Note: Updated details of other directors not available due to relevant file not found at the ROC)

 

  • Location.

The Subject Company’s head office, place of business and Factory are located at # 111, Attampolawatta Road, Mabola, Wattala, Sri Lanka,

 

  • Operational Details.

 

General

The subject company’s primary line of business is Manufacturing, Exporting and selling LDPE, HDPE, PP polyp lane bags, polythene bags and other plastic bags.

 

Products

- Laminated bags/pouches for packaging of food, tea, coffee spare parts etc

-   Laminates of BOPP/PE, PET/PE, Metallised PET/PE etc

 

Soft loop handled Carrier bags

Peel n Seal Bulk Mail Bags

Printed bags for BBQ Woods, Coals etc

Printed bags with headers, Euro Hang holes

Printed bags for food, garments, gloves, hats, spare parts etc

Shirt bags (envelope type with tucked in lip)

Bags with Gussets

Shirt bags with bottom gussets and re-sealable self adhesive tape

High clarity CPP printed bags and rolls

Mailing bags for magazines books etc.

Heavy Duty gusseted bags

 

Export Countries

India, Russia, Syria, Saudi Arabia, Egypt, UAE and Germany

 

No of Employees

Approximately 250

 

 

  • Trade references

The subject company did not provide any trade reference referrals

 

 

 

  • Credit Recommendations

Since no financial informat

ion has been forthcoming from the company, it is not possible to comment on the merits or otherwise of the company.

 

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.

 

 

Information denied by

 

Name :

Mr. Parmanada

Designation :

Not Divulged

Contact No.:

(009411)2931417

Date :

26.03.2015

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.62.34

UK Pound

1

Rs.92.64

Euro

1

Rs.68.12

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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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