MIRA INFORM REPORT

 

 

Report No. :

339802

Report Date :

11.09.2015

 

IDENTIFICATION DETAILS

 

Name :

SQUARE FASHIONS LTD

 

 

Registered Office :

Square Centre, 48, Mohakhali C/A, Dhaka-1212

 

 

Country :

Bangladesh

 

 

Date of Incorporation :

16.11.2000

 

 

Com. Reg. No.:

C-41834

 

 

Legal Form :

Private Company  

 

 

Line of Business :

Manufacturer and Exporter of Fabrics, T Shirts, Polo Shirts.     

 

 

No. of Employees :

13,300

 

 

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)

Bangladesh

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

BANGLADESH - ECONOMIC OVERVIEW

 

Bangladesh's economy has grown roughly 6% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, slow implementation of economic reforms, and the 2008-09 global financial crisis and recession. Although more than half of GDP is generated through the service sector, almost half of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Garment exports, the backbone of Bangladesh’s industrial sector, accounted for more than 80% of total exports and surpassed $18 billion in 2014. The sector has remained resilient in recent years amidst a series of factory accidents that have killed over 1,000 workers and crippling strikes that shut down virtually all economic activity. Steady garment export growth combined with remittances from overseas Bangladeshis - which totaled $14 billion and 8% of GDP in 2014 - are the largest contributors to Bangladesh’s current account surplus and rising foreign exchange holdings.

 

Source : CIA

 

 

 

EXECUTIVE SUMMARY

 

                                                IDENTIFICATION DETAILS

Correct company Name

:

Square Fashions Ltd

Head Office

:

Square Centre, 48, Mohakhali C/A, Dhaka-1212, Bangladesh.

Tel No

:

88-02-8833047-56, 9859007

Fax No

:

88-02-8834941, 8828768

E-mail

:

info@squaregroup.com

Website

:

www.squarepharma.com.bd

Date/ Year of Incorporation

:

16.11.2000

Incorporation No.

:

C-41834

Legal Form (General)

:

 Public Listed Co        Public (but not listed)   Private Co   State-owned Co

 Sole Proprietorships  Partnership                     Not Registered

 others (please specify) ________________

Legal form (Specific)

:

LTD   CORP    INC  CO    

 others (please specify) ________________

Issuing Authority

:

Registrar of Joint Stock Companies & Firms      City Corporation

 Municipal Administration                                   Union Council

 Cantonment Board                                              Chief Controller of  Import & Export (CCIE)

 

 

FINANCIALS- SUMMARY

      Year

Turnover/ Sales

 Assets

Income/ (Loss)

31-12-2013

BDT 9,003,048,443

BDT 2,110,718,813

BDT 366,472,879

31-12-2014

BDT 9,228,592,832

BDT 2,968,033,524

BDT 782,165,034

Exchange Rate

USD1-Tk. 77.8200

EUR 1- Tk. 100.2711

GBP 1- Tk.118.5354

AUD 1 - Tk.82.8563

JPY 1 - Tk.0.9286

CAD 1 - Tk.80.1887

SEK 1 - Tk.12.2870

SGD 1 - Tk.65.3045

CNH 1 - Tk.12.8399

 

 

 

 

 

 

FULLCHECK REPORT DETAILS

 

                                                             Information Parted By

 

 

 

Name

:

Mr. Shahriar Shah

Designation

:

Senior Officer (Commercial)

Contract No

:

Nil

 

                                                               Locations Details

 

Operating Address

:

Square Centre, 48, Mohakhali C/A, Dhaka-1212, Bangladesh.

Tel No

:

88-02-8833047-56, 9859007

Fax No

:

88-02-8834941, 8828768

E-mail

:

info@squaregroup.com

Website

:

www.squarepharma.com.bd

 

Location :

: Owned

Ö

 

Rented

 

 

Leased

 

Area

3500

Sq. ft.

 

 

Type of Office :

  :       Commercial Office Bldg.

Ö

 

Semi-commercial office Bldg.

 

     

Retail shop

 

 

Industrial Park

 

     

Business Center

 

 

Home Office

 

     

Residential Bldg.

 

 

 

 

 

 

 

Factory-(Unit-1):

Address

:

Rokeyapur, Jamirdia, Habirbari, Valuka, Mymensing, Bangladesh.

Tel No

:

Nil

Fax No

:

Nil

 

Location :

   Owned

Ö

 

Rented

 

 

Leased

 

Area

2,10,000

Sq. ft.

 

 

Factory-(Unit-2):

Address

:

Chandana, Basan Union, Gazipur, Bangladesh

Tel No

:

88-01730728217

Fax No

:

Nil

 

Location :

   Owned

Ö

 

Rented

 

 

Leased

 

Area

35,000

Sq. ft.

 

 

Factory-(Unit-3):

Address

:

Vogra, Gazipur, Bangladesh

Tel No

:

88-01730337850

Fax No

:

Nil

 

Location :

   Owned

Ö

 

Rented

 

 

Leased

 

Area

40,000

Sq. ft.

 

 

Corporate Office:

Address

:

Mascot Plaza (11-12th Floor) Plot # 107/A, Sector-7, Uttara, Dhaka-1230, Bangladesh.

Tel No

:

88-02-8963227, 8951101

Fax No

:

88-02-8952652

 

 

Employee:

 

 

 

No. of Employees 

 

In Office

:

150

In Factory

:

13,150

In Branch:

:

-

Total

:

13,300

Details:

 

                    

 

 

 

OWNERSHIP/SHAREHOLDERS

 

         Names of Shareholders

                      No. of Share     

Mr. Samuel S Chowdhury

                                  92833

Mr. Tapan Chowdhury

                                  97000

Mr. Anjan Chowdhury

                                122000

Mrs. Ratna Patra

                                 122000

Ms. Sanchia Chowdhury

                                   29167

Ms. Anika Chowdhury

                                   25000

Square Pharmaceuticals Ltd.

                                 462000

 

 

DIRECTORS

 

Name

Designation

Mr. Samuel S Chowdhury

Chairman

Mr. Tapan Chowdhury

Managing Director

Mr. Anjan Chowdhury

Director

Mrs. Ratna Patra

Director

Ms. Sanchia Chowdhury

Director

 

 

MANAGEMENT

 

Name

:

Mr. Shahriar Shah

Job Description

:

Senior Officer (Commercial)

Nationality

:

Bangladeshi

Email address

:

N/A

Other details

:

N/A

 

 

BUSINESS OPERATIONS

 

Nature of Activity       :

Manufacturer

Ö

Trader

 

Dealer

 

Distributor

 

 

 

 

Exporter

Ö

Importer

 

Services

 

Others

 

 

Range of Products:

 

Products

:

Fabrics, T Shirts, Polo Shirts.     

Production Capacity

:

592 M. Ton.

Last Year Production

:

Do.

 

 

Trading Terms:

 

Purchasing Terms:

L/C

Ö

Cash

 

Others

 

 

 

Credit :

 

30 days

 

60 days

Ö

90 days

 

 

days

 

Selling Terms      :

L/C

 

Cash

Ö

Others

 

 

 

Credit :

 

30 days

 

60 days

Ö

90 days

 

 

days

 

 

DETAILED DATA

 

Trade Reference & Related Parties

:

 

Overseas Clients

:

H&M,

Celio,

Okaidi,

Kappa,

Target.

Local Clients

:

N/A

 

Overseas Suppliers

:

N/A

Local Suppliers

:

N/A

 

Trade Markets

 

:

 

Exports

:

Europe, USA

 

Imports

:

India, China

 

Brand Name

:

N/A

Certified

:

N/A

Auditors

:

Nil

Operation Status

:

Active.

Member

:

Bangladesh Knitwear Manufacturers & Exports Association.

 

 

CAPITAL STRUCTURE

 

Authorized Capital

:

BDT 500 Million

 

Paid-up Capital

:

BDT 95000000

    No. of Shares : 950000

Share Value : BDT 100.00Each

Main Assets

:

BDT 2,968,033,524

 

 

 

FINANCIAL STATEMENT- DETAILED

 

Given

 

 

ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES

 

Sister Concerns

:

Sheltech.

Mediacom Ltd.

Unitred Lmited

 Square  Yarns Ltd     

Square Air Limited

Aegis Services Ltd.      

Square Denims Ltd

Square Biotech Ltd.                       

Square Textiles Ltd.

Square Spinning Ltd.

Square Hospitals Ltd.

Mithapur Textiles Ltd.

Square Informatix Ltd.

Mutual Trust Bank Ltd.

Square Formulations Ltd.

Square Toiletries Limited.     

Maasranga Productions Ltd.

Square Health Products Ltd.

Square Pharmaceuticals Ltd.    

Square Knit Fabrics Limited.   

Square Food & Beverage Ltd 

Square Cephalosparins Limited 

Square Consumer Products Ltd.

Pioneer Insurance Company Ltd.  

Pharma Package (Private) Limited

Square Herbal & Nutraceuticals Ltd.

Suare Agro Development& Processing Ltd. 

National Housing Finance And Investment Ltd.         

Subsidiary

:

N/A

Name of  The Group

:

Square Group.

 

 

BANKING

 

Bank Name  

:

State Bank of India

Bank Address

:

Dilkusha Branch,

24-25 Dilkusha C/A, Dhaka-1000,

Bangladesh

 

Bank Name  

:

Hong Kong Shanghai Banking Corporation

Bank Address

:

Anchor Tower, 108,

Bir Uttam C R Dutta Road,

Dhaka, Bangladesh

Tel: 88-02-9660536-43

Fax: 88-02-9660554, 9669457

 

Bank Name  

:

Citi Bank

Bank Address

:

Gulshan Branch,

United House, 10, Gulshan Avenue,

Gulshan 1, Dhaka, Bangladesh

Tel: 88-02-8825206

Fax: 88-02-8855363, 8853741

 

 

 

ADVERSE DATA MONITORING

 

Dishonored Checks           

 

:     

No Record Found         

Debt

 

:

No Record Found

Litigation  

                   

:

Clear         

Performance Defaults

 

:

No Record Found         

Adverse Local Media Coverage/ Adverse Filling History

:

No Record Found

 

 

SITE VISIT COMMENTARY

 

Our representative visited the subject company Head Office which is situated at Square Centre, 48, Mohakhali, Commercial Area, Dhaka-1212, Bangladesh. It is situated at commercial area which is a well decorated modern office.

 

 

GENERAL COMMENTS

 

The subject company is engaged in manufacturer & Exporter of Readymade garments. It is reputed company in this line of business.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.66.58

UK Pound

1

Rs.102.29

Euro

1

Rs.74.71

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NIT

 

               

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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