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Report No. : |
348583 |
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Report Date : |
16.11.2015 |
IDENTIFICATION DETAILS
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Name : |
POLYRAM RAM-ON INDUSTRIES LIMITED PARTNERSHIP |
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Registered Office : |
Mobile Post Gilboa Ram-On 1920500 |
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Country : |
Israel |
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Financials (as on) : |
30.06.2015 |
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Date of Incorporation : |
23.02.1986 |
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Legal Form : |
Limited partnership |
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Line of Business : |
Developers, manufacturers, marketers and exporters of engineering
thermoplastic compounds for the automotive (main client sector) irrigation,
electrical and electronic sectors, as well as for D.I.Y, infrastructure and
construction industries. |
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No. of Employees : |
160 employees in POLYRAM Group. |
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 – March 31, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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Israel |
B1 |
B1 |
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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 |
ISRAEL - ECONOMIC OVERVIEW
Israel has a technologically advanced market economy. Cut diamonds,
high-technology equipment, and pharmaceuticals are among the leading exports.
Its major imports include crude oil, grains, raw materials, and military
equipment. Israel usually posts sizable trade deficits, which are covered by
tourism and other service exports, as well as significant foreign investment
inflows. Between 2004 and 2013, growth averaged nearly 5% per year, led by
exports. The global financial crisis of 2008-09 spurred a brief recession in
Israel, but the country entered the crisis with solid fundamentals, following
years of prudent fiscal policy and a resilient banking sector. Israel's economy
also has weathered the Arab Spring because strong trade ties outside the Middle
East have insulated the economy from spillover effects. Slowing demand
domestically and internationally and reduced investment due to uncertainties
caused by the Gaza conflict in summer 2014 have reduced GDP growth to about 2%
during 2014. Natural gas fields discovered off Israel's coast since 2009 have
brightened Israel's energy security outlook. The Tamar and Leviathan fields
were some of the world's largest offshore natural gas finds this past decade.
The massive Leviathan field is expected to come online no sooner than 2017, but
production from Tamar provided a one percentage point boost to Israel's GDP in
2013 and a 0.5% boost in 2014. In mid-2011, public protests arose around income
inequality and rising housing and commodity prices. Israel's income inequality
and poverty rates are among the highest of OECD countries and there is a broad
perception among the public that a small number of "tycoons" have a
cartel-like grip over the major parts of the economy. The government formed
committees and has started splitting up the oligopolies to address some of the
grievances but has maintained that it will not engage in deficit spending to
satisfy populist demands. Over the long term, Israel faces structural issues,
including low labor participation rates for its fastest growing social segments
- the ultra-orthodox and Arab-Israeli communities. Also, Israel's progressive,
globally competitive, knowledge-based technology sector employs only 9% of the
workforce, with the rest employed in manufacturing and services - sectors which
face downward wage pressures from global competition.
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Source
: CIA |
POLYRAM RAM-ON INDUSTRIES LIMITED PARTNERSHIP
Telephone 972
4 649 99 00
Fax 972
4 649 97 63
E-mail: sales@polyram.co.il
Mobile Post Gilboa
RAM-ON 1920500 ISRAEL
A limited partnership, established on the 23.02.1986, registered as per
file
No. 55-000832-0.
1. RAM-ON INVESTMENTS AND HOLDINGS (1999) LTD. (formerly
POLYRAM (1999) LTD.), 99.9%, a public limited company whose shares are traded
on the Tel Aviv Stock Exchange, controlled by Moshav Ram-On (17.7%), a
cooperative agricultural cooperative settlement (known as "Moshav"),
and by several members of the Moshav,
2. RAM-ON PLASTIC INDUSTRIES LTD., 0.1%, being
the general partner.
1. Joseph Bitan, Chairman of RAM-ON
INVESTMENTS,
2. Amit Regev, General Manager,
also GM of RAM-ON INVESTMENTS.
A holding company, with no commercial activities.
Were developers, manufacturers, marketers and exporters of engineering
thermoplastic compounds for the automotive (main client sector) irrigation,
electrical and electronic sectors, as well as for D.I.Y, infrastructure and
construction industries.
On the 01.07.2015, as part of the entrance of FIMI Fund as an investor in
POLYRAM Group, all of subject's commercial and industrial activities
were transferred to newly established POLYRAM PLASTIC INDUSTRIES LTD., in
which subject holds 35%.
Note: subject may still have "leftovers" from previous commercial
activities, which will be completed in the near future.
Operating from premises, owned by Moshav Ram-On (offices, plant, logistics
center), on a total area of 37,209 sq. meters (of which 17,000 sq. meters are
built), in Ram-On Village (“Moshav Ram-On”, where “moshav” is a local typical village, in
particular a type of cooperative agricultural community of individual farms).
There are some 160 employees in POLYRAM Group.
In August 2004 parent
company listed its shares for trading on the Tel Aviv Stock Exchange, raising a
sum of NIS 29.6 million.
Parent RAM-ON INVESTMENTS current market value US$ 102.3 million.
Subject is an “Approved Enterprise” and as such receives State benefits.
In June 1998 the Israeli Investment Center (IIC) approved a US$ 600,000
expansion plan for subject’s plant. In June 1999, another US$ 2.6 million
investment plan was approved by IIC for further expansion of the plant.
Financial data is
included in the consolidated B/S of parent company, RAM-ON INVESTMENTS AND
HOLDINGS (1999) LTD., which shows:
NIS
(thousands)
31.12.2014 30.06.2015
ASSETS
Current assets
Cash and cash equivalents 12,522 30
Customers 103,104 -
Other accounts receivable and assets 18,747 75
Assets for sale - 323,682
Stock 134,661 -
269,034 323,787
Non-current assets
Fixed assets, net 48,513 11,757
Other non-current assets 3,004 -
51,517 11,757
320,551 335,544
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LIABILITIES
Current liabilities 136,805 172,178
Non-current
liabilities 33,607 4,462
Equity 150,139 158,904
320,551 335,544
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The significant change is due to the transfer of
subject's activities (which was RAM-ON INVESTMENTS chief holding) to its 35% subsidiary POLYRAM PLASTIC INDUSTRIES
Subject ended 2010
with a net profit of NIS 32,420,000.
Subject ended 2011
with a net profit of NIS 32,216,000.
Subject ended 2012
with a net profit of NIS 36,237,000.
Subject ended 2013
with a net profit of NIS 34,421,000.
Subject ended 2014 with similar profit as in 2013.
RAM-ON
INVESTMENTS AND HOLDINGS (1999) LTD.
Consolidated
Statement of Income
NIS
(thousands)
Year
ended 31.12
2012 2013 2014
Sales 368,882 379,186 415,895
Gross profit 63,098 70,759 85,060
Operating income 35,895 38,385 48,249
Profits before income
tax 35,743 38,053 48,145
Net income 32,012 28,170 41,005
======= ======= =======
RAM-ON INVESTMENTS AND HOLDINGS (1999) LTD. consolidated revenues for the
first 6 months of 2015 were NIS 298,000, making a gross loss of
NIS 298,000, an operating loss of NIS 767,000, and a net income of
NIS 23,634,000 (profit from ceased activities – subject's – were NIS
23,445,000).
RAM-ON INVESTMENTS AND HOLDINGS (1999) LTD., parent company, it
subsidiaries (fully owned unless otherwise stated):
POLYRAM PLASTIC INDUSTRIES LTD., 35% (via subject), assumed all of
subject's commercial and industrial activities.
POLYRAM FRANCE, 55%, France,
POLYRAM U.K. LTD., U.K.,
RAM-ON PLASTIC INDUSTRIES LTD.,
RAM ON BUILDINGS (LIMITED PARTNERSHIP),
RAM-ON INDUSTRIAL BUILDING (1983) LTD.,
RAM-ON BUILDINGS (2004) LTD. (78% are held by RAM-ON INVESTMENTS, the rest
held by Moshav Ram-On),
POLYRAM USA, 51%, USA,
POLYRAM TANJIN, China.
The First International Bank of Israel Ltd., Afula Branch (No. 111), Afula,
account No. 209619.
Bank Leumi
Le'Israel Ltd., Hadera Business Branch (No. 639), Hadera,
account No. 103000/07.
A check with the Central Banks’ database did not reveal negative
information on subject’s a/m accounts.
Bank Hapoalim Ltd., Afula Business Branch (No. 472), Afula.
Nothing unfavorable learned.
In April 2015, FIMI FUND acquired from RAM-ON INVESTMENTS 65% of subject's
activities (apart from RAM-ON INVESTMENTS's real estate assets) in consideration of NIS 347
million. The acquired activities were transferred to a new established
company (May 2015) POLYRAM PLASTIC INDUSTRIES, in which subject holds 35%, and
subject become a holding company with no commercial activities.
Founded in 1997, FIMI Fund (mainly via 5 funds) is a leading local private
equity investment fund (mezzanine and buy-out fund), headed by its founder and
CEO Ishay Davidi (other senior partners are Sam Vlodinger and Eldad Ben-Moshe).
Having a successful track record of 78 major transactions (48 cash exits) and
manages over US$ 2 billion in assets.
POLYRAM is ISO/TS 16949:2002 certified, as well as meeting other international
quality standards such as NSF Standard.
Moshav Ram-On, was
established in
In April 2008, subject's parent company
signed agreements with MEMOLEX of France, a veteran distributor of subject's
products in France, for the establishment of a joint company called POLYRAM
FRANCE (55% POLYRAM and 45% MEMOLEX), that will take over the distribution
operations, as well as other products, in France and other European countries.
POLYRAM will invest € 22 million in the share capital of the new company, plus
around € 1 million as owners' loan.
In August 2008, subject received the
permission to use the patent of American EASTMAN, large chemicals and polymers
manufacturer.
In August 2012 RAM-ON INVESTMENTS reported on the establishment of a joint venture to distribute Group's
products (POLYRAM USA), with MAROON INC., one of its US
distributors, in which POLYRAM will hold 51%.
Subject's products received the approval of
several auto companies, among them RENAULT, NISSAN, GENERAL MOTORS, OPEL, and
more.
POLYRAM PLASTIC
INDUSTRIES is among the global leading and innovating companies in the coupling agents with the "Bondyram" line.
In principle, subject is good for trade
engagements. However, having no commercial activities, dealings are recommended
with POLYRAM PLASTIC INDUSTRIES LTD. registration No. 51-525159-3.
Note: Since February 2013 Israel Post has
started using a new area code method of 7 digits (the old method of 5 digits is
no longer valid).
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.66.14 |
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UK Pound |
1 |
Rs.100.55 |
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Euro |
1 |
Rs.71.26 |
INFORMATION DETAILS
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Analysis Done by
: |
RAS |
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Report Prepared
by : |
TRU |
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.