|
Report No. : |
350364 |
|
Report Date : |
23.11.2015 |
IDENTIFICATION DETAILS
|
Name : |
DIAMOND INTERNATIONAL CORPORATION LIMITED |
|
|
|
|
Registered Office : |
702, Uni Tower, I.I. Chundrigar Road, Karachi |
|
|
|
|
Country : |
Pakistan |
|
|
|
|
Financials (as on) : |
30.06.2013 |
|
|
|
|
Year of Establishment : |
1978 |
|
|
|
|
Com. Reg. No.: |
0006347 |
|
|
|
|
Legal Form : |
Non-Listed Public Limited Company |
|
|
|
|
Line of Business : |
The principal business of the Company is manufacture and
sale of yarn |
|
|
|
|
No. of Employees : |
1,939 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
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
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Pakistan |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
PAKISTAN - ECONOMIC
OVERVIEW
Decades of internal political disputes and low levels of
foreign investment have led to slow growth and underdevelopment in Pakistan.
Agriculture accounts for more than one-fourth of output and two-fifths of
employment. Textiles account for most of Pakistan's export earnings, and
Pakistan's failure to diversify its exports has left the country vulnerable to
shifts in world demand. Official unemployment was 6.9% in 2014, but this fails
to capture the true picture, because much of the economy is informal and underemployment
remains high. Pakistan's human development continues to lag behind most of the
region.. As a result of political and macroeconomic instability, the Pakistani
rupee has depreciated more than 40% since 2007. The government agreed to an
International Monetary Fund Standby Arrangement in November 2008 to preventa
balance of payments crisis, but the IMF ended the Arrangement early because of
Pakistan's failure to implement required reforms. The economy has stabilized,
it continues to underperform and foreign investment has not returned to levels
seen during the mid-2000s, due to investor concerns related to governance,
electricity shortages, , and a slow-down in the global economy. Remittances
from overseas workers, averaging more than$1 billion a month, remain a bright
spot for Pakistan. After a small current account surplus in fiscal year 2011
(July 2010/June 2011), Pakistan's current account turned to a deficit where it
remained through 2014, spurred by higher prices for imported oil and lower prices
for exported cotton. In September 2013, after facing balance of payments
concerns, Pakistan entered into a three-year, $6.7 billion IMF Extended Fund
Facility. The Sharif government has since made modest progress implementing
fiscal and energy reforms, and in December 2014 the IMF described Pakistan's
progress as "broadly on track." Pakistan remains stuck in a
low-income, low-growth trap, with growth averaging about 3.5% per year from
2008 to 2014. Pakistan must address long standing issues related to government
revenues and the electricity and natural gas sectors in order to spur the
amount of economic growth that will be necessary to employ its growing and
rapidly urbanizing population, more than half of which is under 22. Other long
term challenges include expanding investment in education and healthcare,
adapting to the effects of climate change and natural disasters, and reducing
dependence on foreign donors.
|
Source
: CIA |
|
Business Name |
DIAMOND INTERNATIONAL CORPORATION LIMITED |
|
Registered
Address |
|
702, Uni Tower, I.I. Chundrigar Road,
Karachi, Pakistan |
|
Tel # |
92 (21) 32410663, 32410664,
32417975 |
|
Fax # |
92 (21) 32416645 |
|
Email |
|
a. |
Nature of Business |
The principal business of the
Company is manufacture and sale of yarn |
|
b. |
Year Established |
1978 |
|
c. |
Registration No. |
0006347 |
B-238, Hub Industrial Trading
Estate, Hub Chowki, Lasbella,
Baluchistan,
Pakistan
|
M. Yousuf Adil Saleem & Co. (Chartered
Accountants) |
|
Subject Company was established as a Non-Listed Public Limited Company
in 1978 |
|
Authorized Capital |
Rs. 250,000,000/-
divided into 25,000,000 shares of Rs. 10/- each |
|
Issued & Paid up Capital |
Rs. 100,000,000/- divided
into 10,000,000 shares of Rs. 10/- each |
|
Names |
Designation |
|
Mr. Asif Inam Mrs. Summayya Rehman Mr. Inamur Rehman Mr. Khurram Inam |
Chief Executive Director Director Director |
|
Names |
No. of Shares |
|
Mr. Inamur Rehman Mrs. Summayya Rehman Mr. Asif Inam Mr. Khurram Inam Mrs. Sarwat Asif Mr. Muhammad Delawar Ali Mr. Fakhar Mohiuddin Faruqi Master Muhammad Ibrahim Baby Ayana |
2,497,182 1,000 2,700,000 2,400,000 1,090,909 909 909 872,727 436,364 |
A. Subsidiary
None
B. Associated Companies
|
(1) Water Proof Industries,
Pakistan. (2) N.P. Spinning Mills Limited,
Pakistan. (3) N.P. Cotton Mills (Pvt) Limited,
Pakistan. |
The principal business of the Company is manufacture and
sale of yarn.
Its mainly import Textile Raw Materials, Textile Machineries through L/C,
D/P basis.
It sells its product through L/C, D/P basis to its foreign
customers.
Its exporting countries are European Countries.
Its importing countries are China, Thailand, Singapore, European Countries,
Japan, Korea & Taiwan.
Its major customers are Buying Agencies, Private Companies,
International Buyers etc.
Subject operates from caption leased office & factory premises
situated at commercial & industrial centers of Karachi & Baluchistan.
Subject employs about 1,939 persons in its set up.
|
Year |
In Pak Rupees |
|
2013 |
4,345,914,724/- |
The present capacity of the mill is 14,400 spindles with 7
sets of combers. The mill is producing cotton yarn of various qualities and
counts ranging from 20/1 to 40/1 for export. Annual
production volume is indeterminable as it mainly depends upon the Requirement /
demand from their domestic as well as international market
|
(1) Habib
Metropolitan Bank Limited, Pakistan. (2) Faysal Bank
Limited, Pakistan. (3) Habib Bank
Limited, Pakistan. (4) Allied Bank
Limited, Pakistan. (5) United Bank
Limited, Pakistan. (6) Soneri Bank
Limited, Pakistan. (7) Meezan Bank
Limited, Pakistan. |
Efficient planning in the procurement of raw
material, optimum use of manpower, material and machinery, aggressive marketing
and encashing opportunities are the principles of management to secure
continued future growth.
·
All Pakistan Textile Mills Association.(APTMA)
·
Karachi Chamber of Commerce & Industry.(KCCI)
|
Currency |
Unit |
Pakistani Rupee |
|
US Dollar |
1 |
Rs. 105.90 |
|
UK Pound |
1 |
Rs. 161.50 |
|
Euro |
1 |
Rs. 113.50 |
Subject Company was established in 1978. The principal business of the Company is manufacture and sale of yarn. Overall reputation is satisfactory. Trade relations are reported as fair. Subject can be considered for normal business dealings at usual trade terms & conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.09 |
|
|
1 |
Rs.101.04 |
|
Euro |
1 |
Rs.70.86 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
NIT |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.