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Report No. : |
347493 |
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Report Date : |
29.10.2015 |
IDENTIFICATION DETAILS
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Name : |
DIAMOND CUTTERS LTD |
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Registered Office : |
# 20-24, Moderawila Industrial
Estate, Panadura |
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Country : |
Sri Lanka
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Date of Incorporation : |
21.01.1993 |
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Com. Reg. No.: |
N (PBS) 163 |
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Legal Form : |
Private Limited Liability Company [In Operations] |
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LINE OF BUSINESS : |
MANUFACTURER
AND EXPORTER OF CUTTING AND POLISHED DIAMONDS. |
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No. of Employees : |
Approx.1000 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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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
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Sri Lanka |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
|
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 |
SRI LANKA - ECONOMIC OVERVIEW
Sri Lanka continues to experience strong economic growth following the end of the government's 26-year conflict with the Liberation Tigers of Tamil Eelam. The government has been pursuing large-scale reconstruction and development projects in its efforts to spur growth in war-torn and disadvantaged areas, develop small and medium enterprises and increase agricultural productivity. The government's high debt payments and bloated civil service have contributed to historically high budget deficits, but fiscal consolidation efforts and strong GDP growth in recent years have helped bring down the government's fiscal deficit, but low tax revenues remain a concern. The 2008-09 global financial crisis and recession exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of payments crisis. Agriculture slowed due to a drought and weak global demand affected exports and trade. In early 2012, Sri Lanka floated the rupee, resulting in a sharp depreciation, and took steps to curb imports. A large trade deficit remains a concern, but strong remittances from Sri Lankan workers abroad help offset the trade deficit. Government debt of about 80% of GDP remains among the highest in emerging markets.
|
Source
: CIA |
|
a. |
Name of Subject of Inquiry |
: |
DIAMOND CUTTERS LTD |
|
b. |
Legal Form
& Status |
: |
Private Limited Liability Company (In operation) |
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c. |
Chairman/Managing Director |
: |
Sanjay Baid
(Indian) |
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d. |
Primary Line of Business |
: |
Manufacturer and Exporter of Cutting and Polished Diamonds. |
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e. |
Office, Place of Business & Factory Factory |
: |
# 20-24, Moderawila
Industrial Estate, Panadura. Sri Lanka Tel No: (00 94 38)
429 1300 Fax No: (00 94 38)
429 1301 Email: info@diamond.lk
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|||
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f. |
No. of Employees |
: |
Approx.1000 |
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g. |
Imports |
: |
Products: Rough Diamonds Country: Israel, India
and USA |
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h. |
Exports |
: |
Products:
Polished
Diamonds Country: Israel, India,
Belgium, South Africa, Japan, Germany and UK |
|
i. |
Trading Terms |
: |
Purchasing
Terms: Advance Payment, Cheque and Credit Selling
Terms: Advance Payment, Cheque and Credit |
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a. |
Registration No |
: |
N (PBS) 163 |
||||
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Date of Registration |
: |
21st January 1993 |
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b. |
Re-Registration No |
: |
PB 856 |
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Date of Re-Registration |
: |
13th January, 2009 |
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c. |
Registered Address |
: |
# 20-24, Moderawila
Industrial Estate, Panadura. |
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d. |
Board Of Directors As At 31st December, 2014 |
: |
Sanjay Baid (Indian) |
Chairman/MD |
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Ranjeet Barmecha (Indian) |
Director |
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Shanti Barmecha (Indian) |
Director |
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Rajeendra Dharmapriya Samaranayake |
Director |
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Riyaz Sangani |
Director |
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Mohamed Nilamdeen Alawdeen |
Director |
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f. |
Issued Share Capital |
: |
Rs. 83,600,000.00 |
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Total Issued Shares |
: |
8,360,000 ( Ord. 8,030,000 + Pref. 330,000) |
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g. |
Nominal Value of Share |
: |
Not stated vide Companies Act #7 of 2007 |
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h. |
Share Holders As At 31st December, 2014 |
: |
Share Holders |
Shares |
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Preference |
Ordinary |
||||||
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Sanjay Baid (Indian) |
330,000 |
- |
|||||
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New Century Marketing LTD, Hong Kong |
- |
8,030,000 |
|||||
i.
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Secretaries
|
:
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Natasha Prasadini Arawwala, #18A, Joseph
Frazer Road, Col.05 |
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j. |
Auditors |
: |
Ernst and Young, #201, De Saram Place, Col.10 |
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k. |
Bankers |
: |
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l. |
Sister Concern |
: |
Nirulanka Exports |
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Subject declined to provide details without
knowing the identity of the client.
Note:
Based on the corporate laws of Sri Lanka, legal entities which are Private
Company with Limited Liability is not
required to make public disclosure of their annual financials. Therefore no
detailed financials are available for this entity
·
History.
The Subject Company DIAMOND CUTTERS LTD is a Private Limited
liability Company incorporated on 21st January 1993 under the registration number N (PBS) 163 and Re-registered on 13th
January, 2009 under No. PB 856, in terms of Companies Act #7 of 2007.
·
Location.
The Subject Company is
located at the client # 20-24, Moderawila Industrial
Estate, Panadura, an area approx. 30 kilo meters south of Colombo city.
·
Operations
Details.
General
The
subject company primary line of business is Cutting and polishing of diamonds of Export
Subject states that they utilize the Israeli method for
scaife preparation utilizing sand Blasting, Latheing and Grinding and specially
designed for preparation to ensure perfect smoothness for faceting.
Precision cut unit utilizes monitors for precise
control of angels and straightness of lines for the baguettes done for the
Swiss market. In addition, microscope checking is utilized for 100% smoothness
and accuracy of facets. Rico American tangs are used by the unit for the best
precision when doing Rounds for the Swiss market.
Service
·
Sawing of diamonds
·
Polishing of Baguette diamonds
·
Polishing of princess cut diamonds
·
Polishing of round brilliant cut diamonds
·
Polishing of precision cut baguettes,
tapered baguettes and fancy shapes for the Swiss watch industry
·
Girding & assorting
·
Wholesale of polished diamonds
Associate
Company
Niru
Lanka (PVT) Ltd
Niru
Lanka Exports Ltd
Country
Europe
Countries, USA
Employees
Approx.100
·
Trade references
Export Development
Board
Gem &
Jewellery Authority of Sri Lanka
Board of
Investment (BOI) Sri Lanka
·
Credit Recommendations
Since no financial
information has been forthcoming from the company, it is not possible to
comment on the merits or otherwise of the company.
No computerized
data bases exist to make checks whether the partners or the company has any
legal action or lawsuit initiated against any of them but informal (but not in-depth)
checks do not indicate any such cases in the public knowledge.
|
Name : |
Mr. Rajeendra Dharmapriya Samaranayake |
|
Designation : |
Director |
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Contact No.: |
009438-4291300 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.04 |
|
|
1 |
Rs.99.58 |
|
Euro |
1 |
Rs.71.75 |
INFORMATION DETAILS
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Information
Gathered by : |
SVA |
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Analysis Done by
: |
RAS |
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Report Prepared
by : |
ANK |
RATING EXPLANATIONS
|
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.