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Report No. : |
340283 |
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Report Date : |
11.09.2015 |
IDENTIFICATION DETAILS
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Name : |
AREEJ VEGETABLE OILS AND DERIVATIVES SAOG |
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Registered Office : |
Old Nizwa Road, Rusayl
Industrial Area, PO Box: 22 Rusayl 124 |
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Country : |
Oman |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
27.08.1980 |
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Com. Reg. No.: |
1/10231/1 |
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Legal Form : |
Omani Joint Stock Company |
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Line of Business : |
Subject is engaged in the manufacture, bottling and packaging of
vegetable oils and related products. |
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No. of Employee : |
620 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
No complaints |
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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) |
|
Oman |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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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 |
OMAN - ECONOMIC OVERVIEW
Oman is heavily dependent on dwindling oil resources, which
generates 77% of government revenue. It is using enhanced oil recovery
techniques to boost production. Muscat has actively pursued a development plan
that focuses on diversification, industrialization, and privatization, with the
objective of reducing the oil sector's contribution to GDP from 46% to 9% by
2020. Muscat also is focused on creating more jobs to employ the rising numbers
of Omanis entering the workforce. Tourism and gas-based industries are key
components of the government's diversification strategy. However, increases in
social welfare benefits, particularly since the Arab Spring, have challenged
the government's ability to effectively balance its budget as oil prices
decline. Despite government acknowledgement that Oman’s expansive social
welfare benefits are unsustainable, Oman authorities are comfortable with
short-term budget deficits and have approved an expansionary 2015 budget.
Concurrently, Oman has expanded efforts to support the development of small and
medium-size enterprises and entrepreneurship. Government agencies and large
oligarchic group companies have announced new initiatives to spin off
non-essential functions to entrepreneurs, incubate new businesses, train and
mentor up and coming business people, and provide financing for start-ups.
|
Source
: CIA |
Company Name :
AREEJ VEGETABLE OILS AND DERIVATIVES SAOG
Country of Origin :
Oman
Legal Form :
Omani Joint Stock Company
Registration Date :
27th August 1980
Commercial Registration Number :
1/10231/1
Issued Capital :
RO 4,600,000
Paid up Capital :
RO 4,600,000
Total Workforce :
620
Activities :
Manufacture, bottling and packaging of vegetable oils and related products.
Financial Condition : Good
Payments :
Nothing detrimental uncovered
Operating Trend :
Steady
AREEJ VEGETABLE OILS AND DERIVATIVES SAOG
Registered &
Physical Address
Street : Old Nizwa
Road
Location : Rusayl
Industrial Area
PO Box : 22
Town : Rusayl 124
Country : Sultanate of
Oman
Telephone : (968) 24448000
/ 24446270 / 24446458 / 24446459 / 24446460
Facsimile : (968) 24448099
/ 24446207 / 24446457
Email : mail@avod.com.om
Premises
Subject operates from a large suite of offices and a factory that are
owned and located in the Industrial Area of Rusayl.
Name Position
Nasser Bin Muhammed Bin Nasser Al Hadhramy Chairman
Nasser Bin Khalifa Al Kilbani Vice
Chairman
Salem bin Nasser Sultan Al Bortmany Director
H P Kothary Director
Gamal Mohammed Ahmad Director
Prem Maker Director
E M Ashraf Director
Mohammed Bin Suleiman Al Ismaily General
Manager
Date of Establishment : 27th
August 1980
Legal Form : Omani Joint Stock
Company
Commercial Reg. No. : 1/10231/1
Issued Capital : RO 4,600,000
Paid up Capital : RO 4,600,000
Name of
Shareholder (s) Percentage
Mohsin Haider Darwish LLC 30.50%
Dr Omar Bin Abdul Muniem Al Zawawi 24.98%
Omani businessmen and private investors 44.52%
Name %
Holding
Areej Vegetable Oils & Derivatives SAOG LLC 100%
(Previously known as Premium Trading LLC)
United Arab Emirates
Advertising International Company LLC 15%
Oman
Activities: Engaged in the manufacture, bottling and packaging of vegetable oils
and related products.
Import Countries : Europe and the Far East.
Operating Trend: Steady
Subject has a workforce of approximately 620 employees.
Financial highlights provided by local sources are given below:
Currency: Riyal Omani (RO)
Balance Sheet 31/12/2014 31/12/2013
Assets
Non-current assets
Property, plant and equipment 25,189,396 19,691,313
Investment in a subsidiary 31,500 31,500
25,220,896 19,722,813
Current assets
Stock 12,902,813 14,457,797
Debtors and prepayments 10,452,794 11,792,531
Cash 12,759 10,679
23,368,366 26,261,007
Total Assets 48,589,262 45,983,820
Equity And Liabilities
Equity
Share Capital 4,600,000 4,600,000
Share premium 76,841 76,841
Legal Reserve 1,533,333 1,533,333
Distributable reserve 575,976 575,976
Retained earnings 5,705,702 4,479,419
12,491,852 11,265,569
Liabilities
Non-current liabilities
Long Term loans 8,543,828 4,414,402
Deferred taxation 396,970 410,513
Employees' end of service benefits 1,613,111 1,456,265
10,553,909 6,281,180
Current liabilities
Bank overdrafts 27,889 35,406
Short term loans 7,202,500 9,704,000
Current portion of long term loans 1,647,073 1,258,699
Trade and other payables 16,269,685 17,095,625
Due to a subsidiary 31,500 31,500
Taxation 364,854 311,841
25,543,501 28,437,071
Total liabilities 36,097,410 34,718,251
Total Equity & Liabilities 48,589,262 45,983,820
Statement of
Comprehensive Income 31/12/2014 31/12/2013
Sales
92,461,287 92,100,407
Cost of goods sold (83,411,620) (83,095,225)
Gross profit 9,049,667 9,005,182
Distribution expenses (2,787,765) (3,104,733)
Sales and administration expenses (3,085,907) (2,820,313)
Other operating income 76,123 37,243
Operating profit 3,252,118 3,117,379
Interest expense (264,274) (319,405)
Remuneration to Chairman & Directors'
sitting fees (30,250) (30,000)
Profit for the Year before Taxation 2,957,594 2,767,974
Taxation (351,311) (328,557)
Net Profit 2,606,283 2,439,417
Local sources consider subject’s financial condition to be Good.
Bank Dhofar Al Omani Al Fransi
Muttrah Business District
PO Box: 1507, Ruwi 112
Muscat
Tel: (968) 24790466
Fax: (968) 24797246
Oman International Bank SAOG
Al Khuwair
PO Box: 1727, Seeb 111
Muscat
Tel: (968) 24682500
Fax: (968) 24682800
National Bank of Oman
Muttrah Business District
PO Box: 751, Ruwi 112
Muscat
Tel: (968) 24708894 / 24708630 / 24708684
Fax: (968) 24707781 / 24703972
No complaints regarding subject’s payments have been reported.
During the course of this investigation nothing detrimental was uncovered
regarding subject’s operating history or the manner in which payments are
fulfilled. As such the company is considered to be a fair trade risk.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.29 |
|
|
1 |
Rs.101.89 |
|
Euro |
1 |
Rs.73.98 |
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
SDA |
RATING EXPLANATIONS
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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.