MIRA INFORM REPORT

 

 

Report No. :

320990

Report Date :

13.05.2015

 

IDENTIFICATION DETAILS

 

Name :

CJP CHEMICALS (PTY) LTD

 

 

Formerly Known As :

BUSINESS VENTURE INVESTMENTS NO. 1758 (PTY) LTD

 

 

Registered Office :

32 Tiger Moth Avenue Aeroton Johannesburg Gauteng, P O Box 1353 Cresta 2118

 

 

Country :

South Africa

 

 

Date of Incorporation :

26.07.2013

 

 

Com. Reg. No.:

2013/126989/07

 

 

Legal Form :

Private company

 

 

Line of Business :

Importers, Exporters, Stockists and Distributors of Chemicals, Raw Materials and Ingredients.

 

 

No. of Employee :

180 (April 2014)

 

 

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)

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. The global financial crisis reduced commodity prices and world demand, and GDP fell nearly 2% in 2009 but has recovered since then, albeit slowly, with 2014 growth less than 2%. 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, has built two new power stations and installed 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 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 those plants come on line. 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. The current government faces growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth.

 

Source : CIA

 

COMPANY NAME

 

CJP CHEMICALS (PTY) LTD

 

Formerly: BUSINESS VENTURE INVESTMENTS NO. 1758 (PTY) LTD, the name having been changed on 27 March 2014

 

 

TRADING DIVISIONS

 

SHARON BOREL

 

 

Address

 

PHYSICAL ADDRESS

 

32 Tiger Moth Avenue

AEROTON

Johannesburg

Gauteng

 

POSTAL ADDRESS

 

P O Box 1353

CRESTA

2118

 

 

TELEPHONE NUMBER

 

+27 11 494 6700

 

 

FAX NUMBER

 

+27 11 494 6701

 

 

CELLULAR NUMBER

 

+27 83 276 1673

 

 

SHAREHOLDERS

 

100%    CJP HOLDINGS (PTY) LTD in which INVESTEC LTD has a 49% shareholding:

 

The shareholding changed and was previously:

 

51%      Management of the subject

 

49%      INVESTEC LTD

 

 

ASSOCIATE COMPANIES

 

None

 

 

DIRECTORS

 

S G LOXTON                                                                         ID No. 6806055215084

J NOBLE                                                                               ID No. 5001095031186

G HERSCHOWITZ                                                                 ID No. 7708175069088

K C RADEBE                                                                        ID No. 8803215673087

E A WHYTE                                                                          ID No. 7412015206089

 

 

BANKERS

 

STANDARD BANK, Johannesburg Branch, Branch Code: 00205, Account Number: 001405969. It was stated that the subject has overdraft facilities available; however, further details were not forthcoming.

 

 

DATE REGISTERED

 

26 July 2013

Registration Certificate Number: 2013/126989/07

 

CJP Chemicals (Pty) Ltd was established in 2013 when the assets and operations of CJP Dormant (Pty) Ltd (registration number 2006/029528/07) were incorporated into a dormant company styled Business Venture Investments No 1758 (PTY) LTD. In March 2014 the name changed to the current name.  

 

 

VAT NUMBER

 

4950264061

 

 

TAX NUMBER

 

2013/12698/07

 

 

BBBEE STATUS

 

 Level 5 contributor

 

 

MAJOR OPERATION

 

Importers, exporters, stockists and distributors of chemicals, raw materials and ingredients.  Brand names being INDUSTRIAL CHEM, SEAT CHEM

 

 

MAJOR SUPPLIERS

 

The subject imports chemicals from the East and Europe and deals locally with suppliers.

 

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

 

The subject supplies a comprehensive range of specialized chemical raw materials for the pharmaceutical, neutraceutical, food, bakery, dairy, confectionery, personal care, cosmetic, wine, agricultural, feed, paint and industrial markets.

 

 

AREA OF DISTRIBUTION AND SELLING

 

South Africa

 

 

EXPORTS

 

SADC countries

 

 

TOTAL EMPLOYEES

 

198 having increased from 180 reported in April 2014

 

 

OTHER PREMISES   

 

 

The subject is reported to have branches in Durban, Cape Town, Johannesburg and Port Elizabeth.  The division SHARON BOREL has an office situated in Germiston.

 

 

OWNED OR LEASED

 

The premises are reported to be leased

 

 

AUTHORISED SHARE CAPITAL

 

R1 000 divided into 1 000 ordinary shares of R1 each

 

 

ISSUED SHARE CAPITAL

 

R100

 

FINANCIALS:

 

The following estimated financial situation was submitted as at 22 January 2015:

 

STOCK                                                                                                   R   240 000 000

DEBTORS                                                                                              R   210 000 000

FIXED ASSETS                                                                                     R       7 000 000

CREDITORS                                                                                           R   180 000 000

TURNOVER per annum                                                                            R1 400 000 000

 

 

AUDITORS

 

KPMG INCORPORATED Johannesburg

 

 

YEAR END

 

JUNE having changed from DECEMBER

 

 

INSURANCE BROKERS

 

COMRISK INSURANCE BROKERS

 

 

TRADE REFERENCES – SEPTEMBER 2006

 

      ACCOUNT    HIGHEST     AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT        CREDIT                          PATTERN

 

1.    11 years       R   200 000    R   200 000     30 days    30 days        Good

 

2.    1999             R2 500 000    R1 000 000-     45 days    45 days        Good

                                               R2 000 000

 

3.    Do not give trade references

 

4.    Do not give trade references

 

 

TRADE REFERENCES – AUGUST 2007

 

      ACCOUNT    HIGHEST     AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT        CREDIT                          PATTERN

 

1.    15 years       declined        R     400 000   30 days    35-40 days   Average

 

2.     Do not give trade references

 

3.     Declined       R20 000 000   R  5 000 000-   75 days    75 days        Very Good

                                               R20 000 000

 

4.    1999             R 3 000 000   R  2 000 000    45 days    45 days        Fair

 

 

TRADE REFERENCES – SEPTEMBER 2008

 

      ACCOUNT    HIGHEST     AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT        CREDIT                          PATTERN

 

1.    15 years       R1 000 000    R800 000        30 days    30 days        Excellent

 

2.    Old Acc        R   200 000    R  10 000-       45 days    45 days        Very Good

                                               R140 000

 

3.    Do not give trade references

 

 

TRADE REFERENCES – FEBRUARY 2009

 

      ACCOUNT    HIGHEST     AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT        CREDIT                          PATTERN

 

1.    Do not give trade references.

 

2.    Do not give trade references.

 

3.    8 years         R10 000 000   R3 000 000-     30 days    30 days        Very Good

                          c/l                 R5 000 000

 

4.    11 years       R  1 500 000  R   500 000-    30 days    30 days        Very Good

                          c/l                 R1 000 000

 

 

TRADE REFERENCES – MAY 2009

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    15 years       ±R1 000 000   ±R   500 000    30 days    30 days        Excellent

 

2.    Feb 2006        R1 200 000  ±R1 200 000    30 days    30 days        Good

                            c/l

 

3.    2 years           R1 300 000  ±R1 200 000    14 days    14 days        Good

                            c/l

 

 

TRADE REFERENCES – JUNE 2009

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    ±15 years     undisclosed   ±R   800 000    30 days    30 days        Excellent

 

2.    Feb 2006      R1 200 000      R1 500 000    30 days    30 days        Good

                          c/l

 

3.    ±2 years       R1 200 000    ±R1 300 000    14 days    14 days        Good

                          c/l                                       (from weekly statement)

 

 

TRADE REFERENCES – FEBRUARY 2010

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    +2 years       R1 200 000    R   409 000-    30 days    30 days        Very Good

                          c/l                 R1 100 000     

 

2.    +7 years       R2 500 000    R   800 000     7 days      7 days          Excellent

                          c/l                 R1 700 000 per week

 

3.    15 years       R300 000       R   300 000     30 days    30 days        Very Good

 

4.    Do not give trade references

 

 

TRADE REFERENCES – MAY 2010

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    +5 years       R1 200 000    +R1 000 000    30 days    30 days        Very Good

                          c/l

 

2.    +6 years       R2 500 000    +R1 000 000    7 days      7 days          Excellent

                          c/l

 

3.    +10 years     declined        ±R   250 000    30 days    30 days        Very Good

 

 

TRADE REFERENCES – SEPTEMBER 2010

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    5 years         ±R1 500 000                         30 days    30 days        Very Good

 

2.    20 years         R1 500 000 per week          7 days      7 days          Excellent

 

3.    Old              declined        ±R200 000       30 days    30 days        Very Good

 

4.    Do not give trade references

 

 

TRADE REFERENCES – JULY 2011

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    6 years         R1 200 000    R   700 000     30 days    30 days        Very Good

 

2.    +5 years-      R2 500 000    R1 000 000      14 days    14 days        Very Good

                          c/l

 

3.    Awaiting a faxed trade reference

 

 

TRADE REFERENCES – MARCH 2012

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    15 years       declined        R100 000        30 days    30 days        Good

      Last purchased in 2011

 

2.    Mar 2009      R5 570 000    R900 000        30 days    30 days        Excellent

                          c/l

 

4.     Do not give trade references

 

 

TRADE REFERENCES – AUGUST 2012

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS    PAYMENT    EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    5 years         R1 200 000    R100 000-       30 days    30 days        Very Good

                                               R1 000 000

 

2.    +4 years       R3 100 000    R3 100 000      14 days    14 days        Good

 

3.    ±15 years     Declined        ±R600 000       30 days    32 days        Excellent

 

4.    Do not give trade references

 

 

TRADE REFERENCES – FEBRUARY 2013

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS       PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                             PATTERN

 

1.    ±15 years     R500 000       Declined         30 days       30 days       Very Good

 

2.    5 years         R1 200 000    R800 000-       30 days       30 days       Excellent

                                               R900 000

 

3.    Do not give trade references

 

4.    Do not give trade references

 

 

TRADE REFERENCES – APRIL 2014

 

       ACCOUNT    HIGHEST      AVERAGE      TERMS       PAYMENT   EXPERIENCE

       OPENED      CREDIT         CREDIT                             PATTERN

 

1.    +20 years     Declined          R100 000      30 days       +30-40 days   Good

 

2.    2009             R400 000       ±R200 000       30 days       30 days         Very Good

 

3.    Do not give trade references

 

4.    2009             R5 750 000    ±R1 000 000    30 days       30 days         Very Good

 

 

THE ABOVE TRADE REFERENCES WERE ON CJP CHEMICALS (PTY) LTD (REGISTRATION CERTIFICATE NUMBER: 2006/029528/07).

 

 

TRADE REFERENCES – JULY 2014

 

       ACCOUNT    HIGHEST      AVERAGE      TERMS       PAYMENT   EXPERIENCE

       OPENED      CREDIT         CREDIT                             PATTERN

 

1.    Do not give trade references

 

2.    2009             R 400 000      R 260 000       30 days       30 days       Good

 

3.    Do not give trade references

 

4.    Unable to obtain trade reference

 

5.    March 2009   R5 750 000    R1 500 000-     30 days       30 days       Very Good

                          c/l                 R2 000 000

 

NATURE OF GOODS OR SERVICES SUPPLIED:

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

 

2.    Chemicals

 

5.    Whey powder

 

 

TRADE REFERENCES JANUARY 2015

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS     PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2009             R  400 000     R250 000        30 days     30 days       Very Good                       

2.    2009             R5 750 000    R  30 000        30 days     30 days       Very Good

                                               (sporadic purchases)

 

3.    Do not give trade reference                     

 

4.    2008             R2 200 000    R850 000        14 days     14 days       Very Good

 

 

NATURE OF GOODS OR SERVICES SUPPLIED:

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

 

1.    Chemicals   

                         

2.    Whey powder                   

 

4.    Sugar

 

 

CURRENT TRADE REFERENCES

 

      ACCOUNT    HIGHEST      AVERAGE      TERMS     PAYMENT   EXPERIENCE

      OPENED      CREDIT         CREDIT                          PATTERN

 

1.    2009             R  400 000     R     200 000   30 days     30 days       Very Good           

                                                                                                           

2.    2009             R5 750 000    R  2 000 000    30 days     30 days       Very Good

                                               (sporadic purchases)

 

3.    Do not give trade reference                     

 

4.    2008             R2 200 000    R900 000        14 days     14 days       Very Good

 

 

NATURE OF GOODS OR SERVICES SUPPLIED:

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

 

1.    Chemicals   

                         

2.    Whey powder

 

5.     Chemicals

 

 

COMMENTS

 

This is a newly registered company that took over the assets and operations of an established business in which the two directors were also shareholders. The subject is considered equal to its normal business engagements.


 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.64.20

UK Pound

1

Rs.100.03

Euro

1

Rs.71.91

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

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%)

 

 

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.