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MIRA INFORM REPORT
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Report No. : |
502032 |
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Report Date : |
11.04.2018 |
IDENTIFICATION DETAILS
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Name : |
HIGHNOON LABORATORIES LIMITED |
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Registered Office : |
17.5 Kilometer, Multan Road, Lahore |
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Country : |
Pakistan |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
1984 |
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Com. Reg. No.: |
0011364 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Subject is engaged in the manufacture, import,
sale and marketing of pharmaceuticals and allied consumer products |
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No. of Employees : |
1,413 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
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Credit Rating |
Explanation |
Rating Comments |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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Status : |
Good |
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Payment Behaviour : |
Slow & Delayed |
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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
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Country Name |
Previous
Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Pakistan |
B1 |
B1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
PAKISTAN - ECONOMIC OVERVIEW
Decades of internal political disputes and low levels of foreign
investment have led to underdevelopment in Pakistan. Pakistan has a large
English-speaking population. A challenging security environment, electricity
shortages, and a burdensome investment climate have deterred investors.
Agriculture accounts for one-fifth of output and two-fifths of employment.
Textiles and apparel account for more than half of Pakistan's export earnings;
Pakistan's failure to diversify its exports has left the country vulnerable to
shifts in world demand. Pakistan’s GDP growth has gradually increased since
2012. Official unemployment was 6% in 2017, but this fails to capture the true
picture, because much of the economy is informal and underemployment remains
high. Human development continues to lag behind most of the region.
In 2013, Pakistan embarked on a $6.3 billion IMF Extended Fund Facility,
which focused on reducing energy shortages, stabilizing public finances, increasing
revenue collection, and improving its balance of payments position. The program
concluded in September 2016. Although Pakistan missed several structural reform
criteria, it restored macroeconomic stability, improved its credit rating, and
boosted growth. The Pakistani rupee, after heavy depreciation in 2013, remained
relatively stable against the US dollar in 2015-17. Balance of payments
concerns have reemerged, however, as a result of increased imports and
declining remittances.
Pakistan must continue to address several longstanding issues, including
expanding investment in education and healthcare, adapting to the effects of
climate change and natural disasters, improving the country’s business
environment, reducing dependence on foreign donors, and widening the country’s
tax base. Given demographic challenges, Pakistan’s leadership will be pressed
to implement economic reforms, promote further development of the energy
sector, and attract foreign investment to support sufficient economic growth necessary
to employ its growing and rapidly urbanizing population, much of which is under
the age of 25.
In an effort to boost development, Pakistan and China are implementing
the “China-Pakistan Economic Corridor,” with $60 billion in investments
targeted towards energy and other infrastructure projects. Pakistan believes
CPEC investments will enable growth rates of over 6% of GDP by laying the
groundwork for increased exports. CPEC-related obligations, however, have
raised IMF concern that capital outflows that will begin to increase in 2020.
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Source
: CIA |
Business
Name
HIGHNOON LABORATORIES LIMITED
Full
Address
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Registered
Address & Factory |
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17.5 Kilometer, Multan Road, Lahore, Pakistan |
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Tel No. |
92 (42) 111-000-465 |
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Fax No. |
92 (42) 37510037 |
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Email |
Short
Description Of Business
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a. |
Nature of Business |
Engaged in the manufacture, import, sale and
marketing of pharmaceuticals and allied consumer products |
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b. |
Incorporated |
1984 |
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c. |
Registration No. |
0011364 |
Branches
(1) Office No. 202, Anam Empire, Block 7/8, KCHS,
Shahrah-e-Faisal, Karachi, Pakistan.
(2) 134, Hali Road, Westridge I, Peshawar Road,
Rawalpindi, Pakistan.
Auditors
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EY Ford Rhodes (Chartered Accountants) |
Legal
Status
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Subject Company was established as a Private Limited Company in 1984 |
Details
of Chief Executive / Directors
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Names |
Designation |
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Mr. Tausif Ahmad Khan Dr. Adeel Abbas Haideri Mr. Ghulam Hussain Khan Mr. Taufiq Ahmed Khan Mr. Romesh Elapata Mr. Shazib Masud Mrs. Zainub Abbas |
Chairman Chief Executive Officer Director Director Director Director Director |
Shareholders
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Categories |
Shareholding (%) |
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List of Shareholders are attached in
separate file in PDF format |
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Associates
A. Subsidiary
Curexa Health (Pvt) Limited, Pakistan.
B. Associated
Companies
Dynalog Services (Pvt) Limited, Pakistan.
Business
Activities & Its Products
Engaged in the manufacture, import, sale and
marketing of pharmaceuticals and allied consumer products
Number
of Employees
1,413
Annual
Production Volume
The capacity and production of the Company’s
plant is indeterminable as it is multi-products and involves various process of
manufacturing
Annual
Sales Volume
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Years |
In Pak Rupees |
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2015 2016 2017 |
4,403,995,318/- 5,070,755,394/- 5,971,228,748/- |
Trade
Suppliers (Foreign)
Subject import globally from Companies belongs to Japan, China,
Korea, Taiwan, Singapore, Canada & European Countries. Its global trade
suppliers are Companies related to Pharmaceutical Raw Materials
Exporting
Countries
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Mainly to Afghanistan, U.A.E., South East Asia, Africa & Central
Asian Republic Countries |
Clientele
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Major clientele are Private & Government Hospitals, Pharmacies,
Distribution Companies deal with cash term basis |
Bankers
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(1) Habib Bank Limited, Pakistan. (2) United Bank Limited, Pakistan. (3) Faysal Bank Limited, Pakistan. (4) J.S. Bank Limited, Pakistan. (5) Allied Bank Limited, Pakistan. (6) Standard Chartered Bank, Pakistan. |
Future
Outlook
The pharmaceutical market in Pakistan is growing faster then the markets
of many countries. Population growth and increasing access to healthcare will
increase demand for all healthcare services. Demand for pharmaceuticals will
also rise. Undoubtedly, the road to growth is not without challenges. In fact,
the pharmaceutical business in Pakistan has multiple challenges such as price
control of medicines and the devaluation of the Rupee. However, we are
confident of our capability to deliver even during the challenging times.
Memberships
Pakistan Pharmaceutical Manufacturers Association.(PPMA)
Lahore Chamber of Commerce & Industry.(LCCI)
Federation Pakistan Chamber of Commerce & Industry.(FPCCI)
Comments
Subject Company was established in 1984 and
is engaged in manufacture, import, sale
and marketing of pharmaceuticals and allied consumer products. Directors
are reported as qualified, resourceful and experienced businessmen. Trade
relations are reported as fair. In view of current disturbed economic and
political situation, we would advise to deal with all the business in Pakistan
with some caution.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 64.94 |
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1 |
INR 91.75 |
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Euro |
1 |
INR 79.90 |
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PKR |
1 |
INR 0.56 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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PRA |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with moderate
risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on secured
terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
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Promoters
/ Management background
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Payment
record
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Litigation
against the subject
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Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.