MIRA INFORM REPORT

 

 

Report No. :

322490

Report Date :

25.05.2015

 

IDENTIFICATION DETAILS

 

Name :

EVROTEKNIKS GEORGIA SHPS

 

 

Registered Office :

Orbeliani Street 35, Dzveli Tbilisi District Tbilisi 0105 

 

 

Country :

Georgia

 

 

Date of Incorporation :

13.10.2008

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Trading as importers, wholesalers and distributors of household appliances, IT products, computers and mobile phones.

 

 

No. of Employees :

170

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

LARI 1,650,000

 

 

Status :

Moderate

 

 

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)

Georgia

C1

C1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

GEORGIA - ECONOMIC OVERVIEW

 

Georgia's main economic activities include cultivation of agricultural products such as grapes, citrus fruits, and hazelnuts; mining of manganese, copper, and gold; and producing alcoholic and nonalcoholic beverages, metals, machinery, and chemicals in small-scale industries. The country imports nearly all of its needed supplies of natural gas and oil products. It has sizeable hydropower capacity that now provides most of its energy needs. Georgia has overcome the chronic energy shortages and gas supply interruptions of the past by renovating hydropower plants and by increasingly relying on natural gas imports from Azerbaijan instead of from Russia. Construction of the Baku-T'bilisi-Ceyhan oil pipeline, the South Caucasus gas pipeline, and the Kars-Akhalkalaki Railroad are part of a strategy to capitalize on Georgia's strategic location between Europe and Asia and develop its role as a transit point for gas, oil, and other goods. The expansion of the South Caucasus pipeline, as part of the Shah Deniz II Southern Gas Corridor project, will result in a $2 billion foreign investment in Georgia, the largest ever in the country. Gas from Shah Deniz II is expected to begin flowing in 2019. Georgia's economy sustained GDP growth of more than 10% in 2006-07, based on strong inflows of foreign investment and robust government spending. However, GDP growth slowed following the August 2008 conflict with Russia, and sunk to negative 4% in 2009 as foreign direct investment and workers' remittances declined in the wake of the global financial crisis. The economy rebounded in 2010-13, but FDI inflows, the engine of Georgian economic growth prior to the 2008 conflict, have not recovered fully. Unemployment has also remained high. Georgia has historically suffered from a chronic failure to collect tax revenues; however, since 2004 the government has simplified the tax code, improved tax administration, increased tax enforcement, and cracked down on petty corruption, leading to higher revenues. The country is pinning its hopes for renewed growth on a determined effort to continue to liberalize the economy by reducing regulation, taxes, and corruption in order to attract foreign investment, with a focus on hydropower, agriculture, tourism, and textiles production. The government has received high marks from the World Bank for its anti-corruption efforts. Since 2012, the Georgian Dream-led government has continued the previous administration's low-regulation, low-tax, free market policies, while modestly increasing social spending, strengthening anti-trust policy, and amending the labor code to comply with International Labor Standards. The government published its 2020 Economic Development Strategy in early 2014 and former Prime Minister Bidzina IVANISHVILI launched the Georgian Co-Investment Fund, a $6 billion private equity fund that will invest in tourism, agriculture, logistics, energy, infrastructure, and manufacturing. In mid-2014, Georgia signed an association agreement with the European Union, paving the way to free trade and visa-free travel.

 

 

Source : CIA

 

 

 

Company name

 

EVROTEKNIKS GEORGIA SHPS (CORRECT)

 

LLC EUROTECHNICS GEORGIA (REQUESTED)

 

 

ADDRESS

 

Street     :         Agmashenebeli Street 61

 

Area       :         Didube-Chugureti District

 

Town       :        Tbilisi 0102

Country    :        Georgia

 

Telephone  :      (995 32) 215 9159 ext. 102 (Accounts Dept.) / 230 6161 / 230 6262 / Mobile (995 577) 108 448

Fax        :          (995 32) 215 9159 (ask for fax)

E-Mail     :         m.tsulukiani@okshop.ge / m.tsulukiani@ok.ge / marketing@okshop.ge

Website    :       www.ok-shop.ge

 

Trading Style:    OK Shop / Technics House OK

 

Extended Name  : Evrotekniks Georgia Shazguduli Pasukhismbgeblobis Sazagadoeba

 

English Translation : Eurotechnics Georgia LLC

 

 

SENIOR COMPANY PERSONNEL

 

   Name                                Position

 

1. Baadur Koplatadze          Chairman

 

2. Shota Gvenetadze           General Director

 

3. Merab Tsulukiani           Executive Director

 

Total Employees : 170

 

 

PAYMENTS

 

No complaints have been heard regarding payments from local suppliers or banks.

 

We consider it is acceptable to deal with subject for LARGE amounts,

although it is normal accepted practice for international suppliers to deal on secured terms with Georgian importers.

 

Opinion on maximum credit : LARI 1,650,000

 

Trade risk assessment: Normal

 

 

PRINCIPAL BANKERS

 

NAME     : BAZISBANK

 

Branch   : Rezo Tabukashvili Street 37

Town     : Tbilisi 0177

 

Telephone: (995 32) 298 4736 / 298 9597 / 298 6548

Fax      : (995 32) 298 6548

 

The company also has an account with the following banks:

 

1. TBC-Bank (Tbilisi Business Centre Bank)

   Chavchavadze Avenue 11

   Tbilisi  380079

   Telephone: (995 32) 291 693

   Fax      : (995 32) 291 693

 

2. Bank Republic
   Gr. Abashidze Street 2

   Tbilisi 0179

   Tel: (995 32) 290 9090
   Fax: (995 32) 292 5544

 

3. Procredit Bank

   D. Agmashenebeli Avenue 154

   Tbilisi 0112

   Telephone: (995 32) 220 2222

   Fax      : (995 32) 224 3753

 

4. Bank of Georgia JSC 

   Gagarin Street 29a 

   Tbilisi 0105

   Telephone: (995 32) 244 4256

   Fax      : (995 32) 244 4289

 

Subject formerly had an account with :

 

Tao Private Bank

Tsereteli Avenue 114

Tbilisi 0179

Tel: (995 32) 255 5555  
Fax: (995 32) 235 5080 

 

 

FINANCIAL INFORMATION

 

Private companies in Georgia are not required to publish or disclose balance sheets. However, the subject interviewed offered the following information :

 

Sales turnover      : LARI  24,000,000 – 2012 – exact 

                    : LARI  40,000,000 - 2013 – exact * 

                    : LARI  84,000,000 – 2014 – exact

                    : LARI 120,000,000 – 2015 – projected

 

Net profit          : not given but stated to be profitable

 

* A significant increase in sales turnover in 2013 was attributed to favourable market conditions and expansion of the business.

 

Financial year ends 31 December.

 

 

LEGAL STATUS AND HISTORY

 

Date Started : 13 October 2008

 

History : Subject was established in Georgia on 13 October 2008 with the following shareholders:

1. David Chikovani                                              18.5%

  (Personal No.: 01008001159)

 

2. Baadur Koplatadze                                          17.5%

  (Personal No.: 01002008460)

 

3. David Ramishvili                                             16.0%

  (Personal No.: 01002001142)

 

4. Temur Miminoshvili                                         16.0%

  (Personal No.: 62001009934)

 

5. Kakha Beradze                                              10.0%

  (Personal No.: 01011042052)

 

6. Merab Tsulukiani                                             7.0%

  (Personal No.: 62004004343)

 

7. Leri Ramishvili                                               5.0%

  (Personal No.: 01001014086)

 

8. David Gogorishvili                                         5.0%

  (Personal No.: 01007011349)

 

9. Irakli Web                                                      5.0%

  (Personal No.: 01010010651)

 

Later on, subject’s shareholding structure changed to the present. 

 

ID Code : 204560901

 

Capital  : not given

 

Shazguduli Pasukhismbgeblobis Sazagadoeba (limited liability company) ShPS) with the following shareholders :

 

                                                Percentage

 

1. Baadur Koplatadze                                   22%

  (Georgian national / Personal No.: 01002008460)

 

2. David Chikovani                                   18.5%

  (Georgian national / Personal No.: 01008001159)

 

3. Temur Miminoshvili                                  18%

  (Georgian national / Personal No.: 62001009934)

 

4. David Ramishvili                                    17%

  (Georgian national / Personal No.: 01002001142)

 

5. Kakha Beradze                                      7.5%

  (Georgian national / Personal No.: 01011042052)

 

6. Merab Tsulukiani                                     7%

  (Georgian national / Personal No.: 62004004343)

 

7. Leri Ramishvili                                      5%

  (Georgian national / Personal No.: 01001014086)

 

8. Irakli Zambakhidze                                   5%

  (Georgian national / Personal No.: 01010010651)

 

Affiliated companies of the subject company :

 

Associates

 

1. Kvoliti Tekniks ShPS

   Kekelidzi Street 6 

   Dzveli Tbilisi District

   Tbilisi

   Managing Director: Merab Tsulukiani

   Est.: 5 March 2007

   ID Code: 204525040

   Shareholders:

             - Davit Chikovani    25%

             - Davit Ramishvili   25%

             - Baaduri Koplatadze 25%

             - Temur Miminoshvili 25%

 

2. General Media LLC   

   Budapeshti Street 2, Flat 11 

   Vake-Saburtalo District

   Tbilisi

   Managing Director: Zurab Iashvili

   Est.: 12 February 2010

   ID Code: 404854154

   Sole shaholder: Merab Tsulukiani

 

3. Multitesti ShPS

   Sop.Dighomi, Didgori Street 3 

   Vake-Saburtalo District

   Tbilisi

   Managing Director: Levan Kalandadze

   Est.: 5 April 2004

   C.R. No. : 5/4-3877

   ID Code: 205025676

   Shareholders:

           - Khili da Bostneuli ShPS   60%

             ID Code: 204978890

           - Davit Chikovani        30.17%

           - Liana Tskitishvili      9.83%

 

4. Autotest Georgia ShPS

   Sop.Dighomi, Chalipirebi  

   Vake-saburtalo District

   Tbilisi

   Managing Director: Davit Chikovani

   Est.: 30 April 2014

   ID Code: 405041119

   Shareholders:

           - Davit Chikovani           50%

           - Tanamonatsileobi ShPS     50%

             Germany

             C.R.No.: HRB6708

 

5. Autokomi ShPS

   Kekelidzi Street 6 

   Dzveli Tbilisi District

   Tbilisi

   Managing Director: Koba Patiashvili

   Est.: 2 May 2007

   ID Code: 204528537   

   Sole shareholder: Davit Chikovani          

 

ACTIVITIES

 

The Company is involved in the following activities :

 

Trading as importers, wholesalers and distributors of household appliances, IT products, computers and mobile phones.

 

NACE Code: 4754 / 4741

 

Imports from Italy, Poland, South Korea, Czech Republic, China, Slovakia, Hungary, Germany, Malaysia, Ukraine and Turkey.

 

Subject does not export, all sales are domestic.

 

Subject's principal suppliers include : Zanussi, AEG, Electrolux, Baumatic, Samsung and Candy.

 

 

FACILITIES

 

The Company has the following facilities :

 

Rented premises comprising administrative offices located at the heading address as well as 10 retail outlets located elsewhere in Georgia (see Branch Offices section below).

 

Subject has warehousing facilities located at Kavtaradze Street 27

Vake-Saburtalo District, Tbilisi 0180.

 

Until February 2014, subject was located at:

 

Kavtaradze Street 27

Vake-Saburtalo District

Tbilisi 0180

 

Until 2011, subject was located at:

 

Mosashvili Street 12

Vake District

Tbilisi 0160

Telephone  : (995 32) 729 027 / 306 161 / 306 262 /

Fax        : (995 32) 729 027

 

Subject formerly operated from the following address :

 

Kekelidze Street 6

Tbilisi 0178

 

 


REGISTERED OFFICE

 

Orbeliani Street 35

Dzveli Tbilisi District

Tbilisi 0105 

 

 

BRANCH OFFICES

 

1. Technique House OK

   Railway Square 2

   Didube-Chugureti District

   Tbilisi 0112

   Telephone: (995 32) 215 9159

 

2. Technique House OK

   Sheshelidze Street 4

   Gldani-Nadzaladevi District

   Tbilisi 0153

   Telephone: (995 32) 215 9159

 

3. Technique House OK

   P. Kavtaradze Street 1

   Vake-Saburtalo District

   Tbilisi 0186

   Telephone: (995 32) 215 9159

 

4. Technique House OK

   Javakheti Street 16

   Isani-Samgori District

   Tbilisi 0182

 

5. Mall “Gldani”

   Tbilisi

 

6. Pardaveja Street 1

   Tbilisi

 

7. Technique House OK

   Pushkin Street 77

   Batumi 6000

 

8. Technique House OK

   Kostava Street 3

   Zugdidi 2100

   Telephone: (995 593) 288 400

 

9. Technique House OK

   Meskhishvili Street 16

   Rustavi 3700

   Telephone: (995 34) 122 0062

 

10.Technique House OK

   Gori-Tskhinvali Highway 8

   Gori 1400

   Telephone: (995 599) 684 006

 

 

SPECIAL NOTE

 

You enquired on: LLC EUROTECHNICS GEORGIA. Please note that the correct registered name is as per heading.  

 

The address which you provided: G.ORBELIANI STREET 35, Tbilisi applies to subject's registered office address. Please note that subject's administrative office address is as per heading.

 

Interviewed: Merab Tsulukiani (Executive Director).

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.99.67

Euro

1

Rs.70.83

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

VNT

 

               

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.