MIRA INFORM REPORT

 

 

Report No. :

346919

Report Date :

29.10.2015

 

IDENTIFICATION DETAILS

 

Name :

BESTI JGUPI SHPS

 

 

Registered Office :

Village Gldani, Surrounding of White Lake Gldani-Nadzaladevi District Tbilisi 0153  

 

 

Country :

Georgia

 

 

Date of Incorporation :

01.11.2012

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

·         Building contractors.

·         Providers of engineering services.

·         Trading as importers and distributors of industrial flooring.

 

 

No. of Employee :

70

 

 

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 50,000

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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

 

BESTI JGUPI SHPS (CORRECT)

BEST GROUP LTD (REQUESTED)

 

 

ADDRESS

 

Street               : Village Gldani, Surrounding of White Lake

            

Area                 : Gldani-Nadzaladevi District    

 

Town                : Tbilisi 0153  

Country             : Georgia

 

Telephone         : (995 32) 242 4411 / Mobile (995 559) 518 0909 (Malkhaz

                        Kokhreidze)          

Fax                   : (995 32) 242 1444     

E-Mail               : info@bestgroup.ge

Website            : www.bestgroup.ge

 

Trading Style     : Best Group

                 

Extended Name  : Besti Jgupi Shazguduli Pasukhismbgeblobis Sazagadoeba

 

English Translation : Besti Group Ltd  

 

 

SENIOR COMPANY PERSONNEL

 

Name                                       Position

 

Malkhaz Kokhreidze                   Managing Director

 

Total Employees           : 70

 

 

PAYMENTS

 

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

 

We consider it is acceptable to deal with subject for SMALL amounts, although it is normal accepted practice for international suppliers to deal on secured terms with Georgian importers.

 

Opinion on maximum credit       : LARI 50,000

 

Trade risk assessment               : Normal

 

 

PRINCIPAL BANKER

 

NAME               : PROCREDIT BANK JSC

 

Branch              : Agmashenebeli Avenue 154  

Town                : Tbilisi 0112

 

Telephone         : (995 32) 220 2222

Fax                   : (995 32) 225 0580

 

 

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 2,500,000 - 2014 - exact

                                    : LARI 2,500,000 - 2015 – exact *

                                    : LARI 3,000,000 - 2015 - projected

 

Net Profit                      : but stated to be 5-7% of the sales turnover

 

* 9 months results (January - September).

 

Financial year ends 31 December.

 

 

LEGAL STATUS AND HISTORY

 

Date Started     : 1 November 2012

 

History              : The subject company was established in Georgia on 1 November 2012.

 

ID Code            : 404962634

 

Capital              : not given

 

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

 

Director

 

Malkhaz Kokhreidze        

(Georgian national / Personal No. 61003002356)

 

 

   Shareholders                                                                    Percentage

 

1. Zuri Kiladze                                                                       33.40%

  (Georgian national / Personal No. 61001007950)

 

2. Malkhaz Kokhreidze                                                           33.30%   

  (Georgian national / Personal No. 61003002356)

 

3. Mindia Kokhreidze                                                              33.30%

  (Georgian national / Personal No. 61003000967)

 

 

ACTIVITIES

 

The Company is involved in the following activities :

 

Building contractors.

 

Providers of engineering services.

 

Trading as importers and distributors of industrial flooring.

 

NACE Code: 4299 

 

Imports from Poland.

 

Subject does not export, all sales are domestic.

 

 

FACILITIES

 

The Company has the following facilities :

 

Owned premises comprising administrative offices and storage facilities located at the heading address.

 

 


REGISTERED OFFICE

 

Village Gldani, Surrounding of White Lake

Gldani-Nadzaladevi District    

Tbilisi 0153  

 

Until 2015, subject’s registered address was located at :

 

Nustubidze Plateau 29/9,

Tbilisi 0183

 

 

GENERAL INFORMATION

 

According to our there is a company in Georgia with similar name, namely:

 

Best Group Ltd

Khevsurete Street 6

Gldani-Nadzaladevi District

Tbilisi

Managing Director: Davit Maisuradze

Est.: 21 October 2014

ID Code: 400129464

Sole Shareholder: Davit Maisuradze

 

Please note that the above company has no affiliation to the subject company.  

 

 

SPECIAL NOTE

 

You enquired on: BEST GROUP LTD. Please note that the correct name is as per heading.  

 

The address provided by you: UL NUSTUBIDZE PLATEAU 29/9, 0183 VAKE applies to subject's former address. Please note that subject's current administrative office address is as per heading.

 

Interviewed: Malkhaz Kokhreidze (Managing Director).

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.04

UK Pound

1

Rs.99.58

Euro

1

Rs.71.75

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

ANK

 


 

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.