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MIRA
INFORM REPORT
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Report No. : |
505456 |
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Report Date : |
26.04.2018 |
IDENTIFICATION DETAILS
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Name : |
INTERMAC GENERAL TRADING LLC |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
10.03.2009 |
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Legal Form : |
Limited Liability Company – LLC |
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Line of Business : |
Subject is engaged in the import and distribution of pharmaceutical
products and medical disposables. |
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No. of Employees : |
8 |
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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Maximum Credit Limit : |
US$ 150,000 |
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Status : |
Satisfactory |
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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
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Country Name |
Previous
Rating (30.09.2017) |
Current Rating (31.12.2017) |
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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 |
UNITED ARAB EMIRATES - ECONOMIC OVERVIEW
The UAE has an open economy with a high per capita income and a sizable
annual trade surplus. Successful efforts at economic diversification have
reduced the portion of GDP from the oil and gas sector to 30%.
Since the discovery of oil in the UAE nearly 60 years ago, the country
has undergone a profound transformation from an impoverished region of small
desert principalities to a modern state with a high standard of living. The
government has increased spending on job creation and infrastructure expansion
and is opening up utilities to greater private sector involvement. The
country's free trade zones - offering 100% foreign ownership and zero taxes -
are helping to attract foreign investors.
The global financial crisis of 2008-09, tight international credit, and
deflated asset prices constricted the economy in 2009. UAE authorities tried to
blunt the crisis by increasing spending and boosting liquidity in the banking
sector. The crisis hit
The UAE’s dependence on oil is a significant long-term challenge,
although the UAE is one of the most diversified countries in the Gulf
Cooperation Council. Low oil prices have prompted the UAE to cut expenditures,
including on some social programs, but the UAE has sufficient assets in its
sovereign investment funds to cover its deficits. The government reduced fuel
subsidies in August 2015, and has announced plans to introduce excise and
value-added taxes by January 1, 2018. The UAE's strategic plan for the next few
years focuses on economic diversification, promoting the UAE as a global trade
and tourism hub, developing industry, and creating more job opportunities for
nationals through improved education and increased private sector employment.
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Source
: CIA |
SUMMARY
Company Name :
INTERMAC GENERAL TRADING LLC
Country of Origin :
Legal Form :
Limited Liability Company - LLC
Registration Date :
10th March 2009
Trade Licence Number :
622897
Chamber Membership Number :
171729
Issued Capital :
UAE Dh 300,000
Paid up Capital :
UAE Dh 300,000
Total Workforce :
8
Activities :
Distributors of pharmaceutical products and medical disposables
Financial Condition :
Fair
Payments :
No Complaints
Operating Trend :
Steady
Recommended Credit Limit :
US$ 150,000
Person Interviewed :
Samir Ashar, Managing Director
COMPANY NAME
NTERMAC GENERAL TRADING LLC
ADDRESS
Registered &
Physical Address
Location :
Area : Al Ras
PO Box : 71059 &
40423
Town :
Country :
Telephone : (971-4) 5640548
Facsimile : (971-4)
2561817
Email : inquiry@intermac.ae
/ intermac.asil.massaro@gmail.com
Premises
Subject operates from a small suite of offices that are rented and
located in the Central Business Area of Dubai.
KEY PRINCIPALS
Name Nationality Position
Samir Ashar Indian Managing
Director
Darwish Mohamed Emirati Director
Amarjeet Singh - Financial
Controller
LEGAL FORM & OWNERS
Date of Establishment : 10th
March 2009
Legal Form : Limited Liability
Company - LLC
Trade Licence No. : 622897 (Expires 09/03/2019)
Chamber Member No. : 171729
Issued Capital : UAE Dh 300,000
Paid up Capital : UAE Dh 300,000
Name of
Shareholder (s) Nationality Percentage Holding
Darwish Mohamed Emirati 51%
Samir Ashar Indian 49%
Notes to the legal
Form The LLC requires a
minimum of two and a maximum of 50 members. The minimum share capital required
is UAE Dh 300,000. Shareholders are only liable up to the extent of the value
of their shares. This type of company may engage in any form of legitimate
business, with the exception of insurance, banking and investment of funds. The
company is not obliged to publish its accounts. The participation of non-Emirati
in a trade or business in the United Arab Emirates is governed by the Foreign
Business Investment Law, which sets capital requirements and requires 51
percent Emirati participation in capital and profits. It is common for the 51
percent to be held by the UAE national on paper only with the foreign
partner(s) providing all the capital requirements for the company and paying an
annual fee to the local partner.
OPERATIONS
Activities: Engaged in the import and distribution of pharmaceutical products and
medical disposables.
Import Countries: Europe and the Far East
Operating Trend: Steady
Subject has a workforce of 8 employees.
FINANCIAL DATA
Financial
highlights provided by local sources are given below:
Currency:
Year Sales
Year Ending 31/12/15: UAE
Dh 14,285,000
Year Ending 31/12/16: UAE
Dh 14,500,000
Year Ending 31/12/17: UAE
Dh 15,400,000
Local sources consider subject’s financial condition to be Fair.
Note: According to local Commercial Law, only
publicly listed companies are required to publish their financial information.
Financial information on other legal forms can only be obtained from the
companies / businesses directly
BANKERS
Standard Chartered Bank
PO Box: 999
Tel: (971-4) 2520455
PAYMENT HISTORY
No complaints regarding subject’s payments have been reported.
CREDIT Recommendation
Recommended credit limit: US$
150,000
GENERAL COMMENTS
During the course of this investigation the following sources were
consulted:
- Internal database
- Journals, directories, media
& web searches
- Local Registry office
- Interview with Samir Ashar, Managing Director
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.
COUNTRY OUTLOOK
The economy continues to experience a
slowdown in economic growth as a result of low oil prices. Real GDP achieved
sustained growth of over 6 % per year in recent decades, with oil surpluses invested
into the non-oil economy. In particular, the country has managed to develop the
Dubai financial and real-estate centres, international airline hubs in Dubai
and Abu Dhabi, and sports-tourism in a number of Emirates as well as light
manufacturing and transport and retail trade services. However, since June
2014, it has been affected by the plummeting of global oil prices which has
resulted in a drop-in hydrocarbon exports and revenues. While it managed to
sustain growth rates of 4.6% in 2014, growth in 2015 is estimated to have
declined to 3.4%.
Fiscal and external balances are
deteriorating and macro-financial risks are increasing. A drop-in hydrocarbon
revenues coupled with expansionary fiscal policy has pushed the fiscal balance
down from a surplus of 10.4% of GDP in 2013 to a 5% surplus in 2014 and to an
estimated deficit of -4.3% of GDP by end-2015. The fiscal deficit of 2015 is
the first since the financial crisis of 2009 when the real estate bubble in
Dubai burst. The current account surplus fell from 18.4% of GDP in 2013 to
13.7% of GDP in 2014 and to a mere 0.2% of GDP by end-2015.
Monetary policy is tightening, as is
liquidity in the banking system. The Central Bank raised the interest rate on its
certificates of deposit by 25 basis points in December 2015 in response to the
United States’ Federal Reserve rate increase. It is expected to continue
mirroring the Fed’s interest rate hikes. At the same time, reduced government
deposits are resulting in reduced liquidity in the banking sector.
The growth outlook is one of slow recovery,
averaging 2.5 % between 2016 and 2018. Oil production will increase as a result
of investment in oilfield development. Non-hydrocarbon growth will rise as
megaproject implementation ramps up ahead of Dubai’s hosting of Expo 2020, and
as the lifting of sanctions on Iran translates into increased commerce, trade,
and investment between Iran and the UAE (particularly Dubai). These
developments will jointly help to narrow the current account deficit from an
estimated deficit of –1.7% of GDP in 2016 to a forecasted deficit of -0.2% of
GDP in 2018.
Fiscal policy will continue to tighten, but
ensuring fiscal sustainability will require additional policy measures to cut
spending, develop new revenue streams, and manage fiscal risks. The UAE
government has reported that it will
be implementing a value-added tax (VAT) at
the latest by 2018, along with other GCC countries. It is also considering the
introduction of a corporate tax. This will help improve the fiscal balance.
Other consolidation measures are needed, including a reduction in electricity
and water subsidies and a gradual slowdown in the implementation of GRE’s
(Government Related Entities) megaprojects.
Key Economic Indicators
2014 2015 2016* 2017*
Real GDP Growth (%) 4.6
3.4 2.0 2.4
Inflation Rate (%) 2.3
4.1 3.1 3.4
Fiscal Balance (% of GDP) 5.0 -4.3 -5.2 -2.1
Current Account Balance (% of GDP) 13.7 0.2 -1.7 -0.4
* Forecast
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 66.70 |
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1 |
INR 93.14 |
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Euro |
1 |
INR 81.43 |
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UAE Dh |
1 |
INR 18.19 |
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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VIV |
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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
·
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.