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MIRA INFORM REPORT
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Report No. : |
502757 |
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Report Date : |
18.04.2018 |
IDENTIFICATION DETAILS
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Name : |
AL AUJAN INDUSTRIES CO |
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Formerly Known As : |
ABDUL WAHAB AUJAN & BROTHERS CO |
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Registered Office : |
Dammam – Al Khobar Highway, Bridge Street Al Rakah, 2nd Industrial Area, PO Box 990 Dammam 31421 |
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Country : |
Saudi Arabia |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
27.12.1981 |
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Com. Reg. No.: |
2050002697 |
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Legal Form : |
Saudi Joint Stock Company |
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Line of Business : |
Subject’s operations are performed through the following divisions:
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No. of Employees : |
1,500 |
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+ |
Low Risk |
Business dealings permissible with low
risk of default |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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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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Saudi Arabia |
A2 |
A2 |
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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 |
SAUDI
ARABIA - ECONOMIC OVERVIEW
Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 87% of budget revenues, 42% of GDP, and 90% of export earnings.
Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Over 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors; at the same time, however, Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs.
In 2017, the Kingdom incurred a budget deficit estimated at 8.3% of GDP, which was financed by bond sales and drawing down reserves. Although the Kingdom can finance high deficits for several years by drawing down its considerable foreign assets or by borrowing, it has cut capital spending and reduced subsidies on electricity, water, and petroleum products and plans to introduce a value-added tax. In January 2016, Crown Prince and Deputy Prime Minister MUHAMMAD BIN SALMAN announced that Saudi Arabia intends to list shares of its state-owned petroleum company, ARAMCO - another move to increase revenue and outside investment. The government has also looked at privatization and diversification of the economy more closely in the wake of a diminished oil market. Historically, Saudi Arabia has focused diversification efforts on power generation, telecommunications, natural gas exploration, and petrochemical sectors. More recently, the government has approached investors about expanding the role of the private sector in the health care, education and tourism industries. While Saudi Arabia has emphasized their goals of diversification for some time, current low oil prices may force the government to make more drastic changes ahead of their long-run timeline.
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Source
: CIA |
SUMMARY
Company Name : AL AUJAN INDUSTRIES CO
Country of Origin : Saudi Arabia
Legal Form : Saudi Joint Stock Company
Registration Date : 27th December 1981
Commercial Registration Number : 2050002697, Dammam
Chamber Membership Number : 800
Issued Capital : SR 300,000,000
Paid up Capital : SR 300,000,000
Total Workforce : 1,500
Activities : Subject operates several divisions (see below for details)
Financial Condition : Good
Payments : Regular
Operating Trend : Steady
COMPANY
NAME
AL AUJAN INDUSTRIES CO
ADDRESS
Registered &
Physical Address
Street :
Dammam – Al Khobar Highway, Bridge Street
Area :
Al Rakah, 2nd Industrial Area
PO Box :
990
Town :
Dammam 31421
Country : Saudi
Arabia
Telephone :
(966-13) 8570777 / 8570666 / 8121079 / 8121515 / 8430900
Facsimile :
(966-13) 8577923 / 8573226 / 8122228 / 8432612
Email : aujan@aujan.com.sa
/ saleem.yahya@aujan.com.sa
Premises
Subject operates from a large suite of offices that are
owned and located in the Industrial Area of Dammam.
Branch Office (s)
Location Description
· PO
Box: 16458 Sales
Office & Distribution Centre
Riyadh
11464
Tel:
(966-11) 2436120 / 2436047
Fax:
(966-11) 2436051
· PO
Box: 6332 Sales
Office & Distribution Centre
Jeddah
21442
Tel:
(966-12) 2270088 / 2270065 / 2270049
Fax:
(966-12) 2271035
· PO
Box: 147 Sales
Office & Distribution Centre
Khamis Mushait
Tel: (966-17) 2330003 / 2330576
Fax: (966-17) 2330589
Subject also operates distribution centres in the following
cities; Al Khobar, Mecca, Madinah, Tabuk, Abhar, Jizan, Buraidah and Najan.
KEY
PRINCIPALS
Name Position
· Adel Abdul
Rahman Abdulatif Al Aujan Chairman
· Adnan
Abdul Rahman Abdulatif Al Aujan Vice
Chairman
· Telal
Adel Abdul Rahman Abdulatif Al Aujan Director
· Ms
Fareeda Abdul Rahman Abdulatif Al Aujan Director
· Misheal Al Kadeeb General
Manager
· Hussain Abdin Financial
Controller
· Hussain Ba Hussain Factory
Manager
LEGAL
FORM & OWNERS
Date
of Establishment :
30/02/1402 Hijri (corresponding to 27th December 1981)
History :
Subject’s operations date back to 1905, however it was registered in 1981 under
the name of “Abdul Wahab Aujan & Brothers Co”.
In January 2000 subject changed
its name to the current style of “Al Aujan Industries Co”
Legal
Form : Saudi
Joint Stock Company
Commercial
Reg. No. :
2050002697, Dammam
Chamber
Member No. : 800
Issued Capital : SR
300,000,000
Paid up Capital : SR
300,000,000
Name of Shareholder (s) Percentage
· Adel
Abdul Rahman Abdulatif Al Aujan 25%
· Adnan
Abdul Rahman Abdulatif Al Aujan 25%
· Telal
Adel Abdul Rahman Abdulatif Al Aujan 25%
· Fareeda
Abdul Rahman Abdulatif Al Aujan 25%
AFFILIATED
COMPANIES
· Aujan
Industries Co JSC
PO
Box: 116495
Dubai
United
Arab Emirates
Tel:
(971-4) 8853555
Fax:
(971-4) 8853377
· Al
Ansari & Aujan Company WLL
PO
Box: 5721
Doha
Qatar
Tel:
(974) 44601230
Fax:
(974) 44602026
· Saleh
& Aujan Trading Co Ltd
PO
Box: 912
Aden
Yemen
Tel:
(967-2) 356991
Fax:
(967-2) 356994
· Al
Aujan & Oasis
PO
Box: 25450
Dubai
United
Arab Emirates
Tel:
(971-4) 8853444
Fax:
(971-4) 8853300
· Aujan
Beverages Co WLL
PO
Box: 29
Safat 13001
Kuwait
Tel:
(965) 24334460
Fax:
(965) 24334470
· Aujan
Trading Co WLL
PO
Box: 59
Manama
Bahrain
Tel:
(973-17) 700940 / 700941
Fax:
(973-17) 700974
· Teejan
& Aujan Marketing Co LLC
Teejan
House
PO
Box: 1829, Ruwi 112
Muscat
Oman
Tel:
(968) 24594641
Fax:
(968) 24501752
· National
Fruit Juice Co Ltd
Street
No. 8
Sahab
Industrial City
PO
Box: 70
Amman
11512
Jordan
Tel:
(962-6) 4029950
Fax:
(962-6) 4029102
· Rani
Company for Imports
Al Sarag Mall, No. 2, 11th
Floor
Makram Obeid Street
Nasr City
Cairo
Egypt
Tel: (20-2) 26708692 / 22723004
Fax: (20-2) 35365710 / 22757952
· Rani
for Trading & Industry SAE
Al Sarag Mall, No. 2, 11th
Floor
Makram Obeid Street
Nasr City
Cairo
Egypt
Tel: (20-2) 26708692 / 22723004
Fax: (20-2) 35365710 / 22757952
OPERATIONS
Activities: Subject’s operations are performed
through the following divisions:
- Al Aujan Soft Drinks Industry Division
Location: 2nd Industrial City
PO
Box: 990
Dammam
31421
Tel:
(966-3) 8121079 / 8121515 / 8430900
Fax:
(966-3) 8122228 / 8432612
Activity: Production of soft drinks and fruit
juices, such as apple and mango under the brand name of “Rani”. Subject
currently has a production capacity of 250 million litres per annum. The
production facilities cover an area of 70,000 square metres.
The division also
operates a fleet of 300 vehicles that call on more than 27,000 outlets a week,
including 100% coverage of supermarkets and wholesalers and 70% coverage of all
retail outlets in GCC countries. Company-owned coolers are placed in 80% of all
outlets.
- General Trading Division
Engaged in
the import and distribution of the raw materials necessary for the production
of soft and fizzy
drinks, as well as distributing
bottled fizzy drinks.
Import Countries: United Kingdom and Switzerland
International Suppliers:
· Vimto United
Kingdom
· Britvic United
Kingdom
· Tetra
Pak Plastics Switzerland
· United
Arab Can Manufacturing Co Ltd (Uacan) Saudi
Arabia
Export Countries: Kuwait, Bahrain, Qatar, United
Arab Emirates and Oman
Brand Names: VIMTO, LIPTON ICE TEA, HANI, BARBICAN & RANI
Operating Trend: Steady
Subject has a workforce of approximately 1,500 employees.
FINANCIAL
DATA
Financial highlights provided by local sources are given
below:
Currency: Saudi Riyals (SR)
Year
Ending 31/12/16: Year Ending
31/12/17:
Total sales SR
3,820,000,000 SR
4,100,000,000
Local sources consider subject’s financial condition to be
Good.
The above financial figures are based on estimations by our
local sources.
BANKERS
·
Saudi British Bank
PO
Box: 1618
Dammam
31411
Tel:
(966-13) 8331553
·
Saudi American Bank
PO
Box: 3113
Dammam
31471
Tel:
(966-13) 8337171
·
National Commercial Bank
PO
Box: 13
Dammam
31411
Tel:
(966-13) 8331188
Fax:
(966-13) 8336058
·
Arab National Bank (ANB)
King
Street
PO
Box: 18
Dammam
31411
Tel:
(966-13) 8323440
Fax:
(966-13) 8337829
PAYMENT
HISTORY
Regular
GENERAL
COMMENTS
Please note that the correct name of the subject is “Al
Aujan Industries Co”. “Al Aujan Soft Drinks Industries” is the name of one of
the subject’s divisions.
Al Aujan Industries Co is an old and well-established
business, trading since 1905 with nothing detrimental heard regarding the
manner in which payment obligations are conducted.
Subject is the largest producer and distributor of soft
drinks and fruit juices in Saudi Arabia with a production capacity of 250
million litres per annum supplying more than 27,000 outlets.
The subject and its shareholders/owners have been searched
in the following databases; Office of Foreign Assets Control (OFAC), United
Nations Security Council Sanctions, Australian Sanctions List, US Consolidated
Sanctions List, EU Financial Sanctions List and UK Financial Sanctions List and
nothing adverse could be found on the exact names listed within the report.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 65.61 |
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1 |
INR 94.21 |
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Euro |
1 |
INR 81.32 |
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SAR |
1 |
INR 17.51 |
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 : |
TRU |
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
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
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.