MIRA INFORM REPORT

 

 

Report No. :

344821

Report Date :

14.10.2015

 

IDENTIFICATION DETAILS

 

Name :

DIC PAKISTAN LIMITED

 

 

Registered Office :

4th Floor, The Forum, Suite # 416 to 422, G-20, Khayaban-e-Jami, Block-9, Clifton, Karachi

 

 

Country :

Pakistan

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

1994

 

 

Com. Reg. No.:

0031824

 

 

Legal Form :

Non Listed Public Limited Company

 

 

Line of Business :

Manufacturing, Processing & Selling of Finished & Semi Finished Inks

 

 

No. of Employees :

228

 

 

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 :

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 – 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 exportshas 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 themid-2000’s, 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 sectorsin 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

 

DIC PAKISTAN LIMITED

 

 

Full Address       

 

Registered Address

 

4th Floor, The Forum, Suite # 416 to 422, G-20, Khayaban-e-Jami, Block-9, Clifton, Karachi, Pakistan

                       

Tel #

92 (21) 35822178, 35822179, 35822180

Fax #

92 (21) 35822176

Email

info@dic.com.pk

 

 

Short Description Of Business

 

a.

Nature of Business       

Manufacturing, Processing & Selling of Finished & Semi Finished Inks

b.

Year Established

1994

c.

Registration #

0031824

 

 

Branches

 

Address

Shahrah-Roomi, P.O. Amer Sidhu, Lahore-54760, Pakistan

Tel #

92 (42) 35822178, 35822180

Fax #

92 (42) 35822176

 

 

Factory Location

 

Plot # 06, Sector # 28, Korangi

Industrial Area, Karachi,

Pakistan

 

 

Auditors

           

A.F. Ferguson & Co.

(Chartered Accountants)

Legal Status

           

Subject Company was incorporated as a Non Listed Public Limited Company in 1994

 

Authorized Capital    

Rs. 75,000,000/- divided into 7,500,000 shares of 10/- each

Issued & Paid up Capital

Rs. 61,424,960/- divided into 6,142,496 shares of Rs. 10/- each

 

 

Details of Directors

 

Names

 

Designation

Ms. Humaira Shazia

 

Mr. Khurram Raza Bakhtayari

 

Mr. Masamichi Sota

 

Mr. Kazunari Sakai

 

Mr. Paul Koek

 

Mr. Syed Aslam Mehdi

 

Mrs. Syeda Henna Babar Ali

Chief Executive

 

Director

 

Director

 

Director

 

Director

 

Director

 

Director

 

 

Shareholders                 

 

Names

 

No. of Shares

Mr. Syed Aslam Mehdi

 

Mrs. Syeda Henna Babar Ali

 

Ms. Humaira Shazia

 

Mr. Khurram Raza Bakhtayari

 

Mr. Kazunari Sakai

 

Mr. Paul Koek

 

Mr. Masamichi Sota

 

Packages Limited, Pakistan

 

DIC Asia Pacific Pte Limited, Singapore

1,124

 

1,125

 

1,124

 

1,125

 

1,125

 

1,124

 

1,125

 

3,372,750

 

2,761,874

 

 

Holding Companies

 

(1) Packages Limited, Pakistan.

(2) DIC Asia Pacific Pte. Limited, Singapore.

 

 

Business Activities

 

Manufacturing, Processing & Selling of Finished & Semi Finished Inks

 

 

Number of Employees

 

228

 

 

Actual Capacity & Production

 

 The capacity and production of the company’s plant is indeterminable as it is multi-product and involves varying processes of manufacture.

 

 

Trade Suppliers (Foreign)

           

Subject mainly import from Companies belongs to European Countries, China, Korea, Japan, Singapore, Taiwan & U.K.

 

 

Annual Sales Volume

 

Year

In Pak Rupees

2014

3,187,554,000/-

 

 

Customers

 

Various local & international 

Bankers

           

(1) Bank Alfalah Limited, Pakistan

(2) Barclays Bank PLC, pakistan.

(3) Habib Bank Limited, Pakistan.

(4) Faysal Bank Limited, Pakistan.

(5) Citibank N.A., Pakistan.

(6) Askari Bank Limited, Pakistan.

 

 

Memberships

 

Karachi Chamber of Commerce & Industry.

Federation Pakistan Chamber of Commerce & Industry.

 

 

Foreign Exchange Rates

 

Currency

 

Unit

Pakistani Rupee

US Dollar

1

          Rs. 104.40

UK Pound

1

          Rs. 158.75

Euro

1

          Rs. 118.00

 

 

Comments

 

Subject Company enjoys good reputation in Pakistan. Directors of the Company are reported as qualified, experienced and resourceful businessmen. Payments are usually correct and as per commitments. Subject can be considered for normal business dealings at usual trade terms and conditions.

 

           

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.65.02

UK Pound

1

Rs.99.89

Euro

1

Rs.73.92

 

 

INFORMATION DETAILS

 

Analysis Done by :

KIN

 

 

Report Prepared by :

TPT

 

               

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.