MIRA INFORM REPORT

 

 

Report No. :

345487

Report Date :

23.10.2015

 

IDENTIFICATION DETAILS

 

Name :

EL EZZ FLAT STEEL COMPANY SAE

 

 

Registered Office :

10 Shehab Street, Mohandessin, Giza, Cairo

 

 

Country :

Egypt

 

 

Date of Incorporation :

25.07.1998

 

 

Com. Reg. No.:

33296

 

 

Legal Form :

Egyptian Joint Stock Company

 

 

Line of Business :

Subject is operates a flat steel and iron product plant

 

 

No. of Employee :

1,270

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

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)

Egypt

B2

B2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

 

 

 


SUMMARY

 

Company Name                                    : EL EZZ FLAT STEEL COMPANY SAE

Country of Origin                                   : Egypt

Legal Form                                           : Egyptian Joint Stock Company

Registration Date                                  : 25th July 1998

Commercial Registration Number           : 33296

Tax Card Number                                  : 205-045-502

Issued Capital                                       : US$ 600,000,000

Paid up Capital                                     : US$ 600,000,000

Total Workforce                         : 1,270

Activities                                               : Operators of a flat steel and iron product plant.

Financial Condition                                : Good

Payments                                             : Regular

Operating Trend                                    : Steady

Person Interviewed                                : Ahmed Saad, Assistant Investor Relation Manager

 

COMPANY NAME

 

EL EZZ FLAT STEEL COMPANY SAE

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : 10 Shehab Street

Area                 : Mohandessin, Giza

Town                : Cairo

Country : Egypt

 

Telephone         : (20-2) 37622144 / 37622100 / 37622166 / 37622177 / 33046060

Facsimile          : (20-2) 37622188

Mobile              : (20-100) 1005910

Email                : ir@ezzgroup.com

 

Premises

 

Subject operates from a large suite of offices that are rented and located in the Central Business Area of Cairo.

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Special Economic Free Zone                                                                        Owned factory premises

     Ein Sokhna

     Suez

     Tel: (20-62) 3250361 / 3250363

     Fax: (20-62) 3250362

 

·       8 Amr Street                                                                                     Rented sales office

     Mohandessin, Giza

     Cairo

     Tel: (20-2) 33029952 / 33030493 / 33367277

     Fax: (20-2) 33058872

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Paul Chekaiban                                                                                 Chairman

 

·       Alaa Abu El Kheir                                                                             Director

 

·       Mamdouh El Roby                                                                            Director

 

·       Baher Mehrez                                                                                   Director

 

·       Ahmed Nabil                                                                                                General Manager

 

·       Azza El Shenawy                                                                              Finance Manager

 

·       Ashraf Ibrahim                                                                                  Accounts Manager

 

·       Kamel Galal                                                                                      Investor Relation Manager

 

·       Ahmed Saad                                                                                    Assistant Investor Relation Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 25th July 1998

 

Legal Form                  : Egyptian Joint Stock Company

 

Commercial Reg. No.   : 33296

 

Tax Card No.                : 205-045-502

 

Issued Capital              : US$ 600,000,000

 

Paid up Capital            : US$ 600,000,000

 

Name of Shareholder (s)                                              Percentage

 

·       Al Ezz Dekheila Steel                                                     55.00%

Alexandria

 

·       Al Ezz Steel Rebars                                                       33.82%

 

·       Banque Misr                                                                    5.25%

 

·       National Bank of Egypt                                                    4.08%

 

·       National Investment Bank                                                 1.85%

 

 

AFFILIATED COMPANIES

 

Subject is a member of the El Ezz Group of companies, which has diversified operations covering such sectors as shipping, steel production and processing, building and construction materials. The group employs some 2,200 people and has a group turnover of approximately $ 470 million with total investment in plants, equipment and fixed assets exceeding US$ 600 million. The El Ezz Group of companies includes the following concerns:

 

·       Al Ezz Steel Rebars Co SAE

     15 Shehab Street

     Mohandessin, Giza

     Cairo

     Tel: (20-2) 37622144 / 37622166 / 37622177

     Fax: (20-2) 37622188

 

·       Al Ezz Porcelain Company Sae (Gemma)

8 El Sad El Aaly Street

Fini Square

Dokki, Giza

Cairo

Tel: (20-2) 33600150 / 33365325 / 33365791

Fax: (20-2) 33365337 / 33600155

 

·       El Ezz Shipping Lines Ltd

8 El Sad El Aaly Street

Dokki

Cairo

Tel: (20-2) 33600150

Fax: (20-2) 33300155

 

·       El Ezz Foreign Trade

8 El Sad El Aaly Street

Fini Square

Dokki, Giza

Cairo

Tel: (20-2) 33600150

Fax: (20-2) 33300155

 

·       El Ezz Reinforced Steel Industries

8 El Sad El Aaly Street

Dokki

Cairo

Tel: (20-2) 33600150

Fax: (20-2) 33300155

 

·       El Ezz Heavy Industries SAE (EHI)

8 El Sad El Aaly Street

Dokki, Giza

Cairo

Tel: (20-2) 33365346 / 33600150 / 33369232

Fax: (20-2) 33600155

 

 

OPERATIONS

 

Activities: Subject operates a flat steel and iron product plant.

 

The plant began commercial production in October 2002 and has an innovative design of one continuous process from steel melt to rolled flat sheets, ultimately yielding a capacity 1.2 million tonnes per annum.

 

The plant was built by Danieli & Co of Italy and includes a thin slab caster, allowing it to produce very thin gauges of steel sheets, going down to a minimum thickness of just 0.8 mm.

 

The company provides flat steel to Egypt’s growing automotive and consumer goods industries with a large portion, approximately 60%, being exported to international customers.

 

Production Capacity: 1,200,000 tonnes per annum of flat steel

 

Import Countries: Algeria, Libya, Ukraine, United Kingdom and the United States of America

 

Export Countries: Europe, India, China, Sri Lanka and Bangladesh

 

Operating Trend: Steady

 

Subject has a workforce of approximately 1,270 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United States Dollars (US$)

 

                                                Year Ending 31/12/13:              Year Ending 31/12/14:

 

Total Sales                                US$ 714,650,000                       US$ 717,200,000

 

Local sources consider subject’s financial condition to be Good.

 

The above financial figures are based on estimations by our local sources.

 

 

BANKERS

 

·       Banque Misr

151 Mohamed Farid Street

Cairo

Tel: (20-2) 33912711 / 33912106

Fax: (20-2) 33919779

 

·       National Bank of Egypt

24 Sherif Street

     Cairo

     Tel: (20-2) 33924175

     Fax: (20-2) 33924143

 

 

PAYMENT HISTORY

 

Regular

 

 

GENERAL COMMENTS

 

Local sources report that the subject’s operating history is clear with payment obligations met in a generally timely manner. The financial position is satisfactory and the company is deemed a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.15

UK Pound

1

Rs.100.54

Euro

1

Rs.73.97

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

ASH

 

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.