MIRA INFORM REPORT

Report No. :	493134
Report Date :	22.02.2018

IDENTIFICATION DETAILS

Name :	SAIHAM TEXTILE MILLS LIMITED
Registered Office :	Asset Rosedale (4^th Floor), House# 2, Road# 55, North Gulshan Avenue, Dhaka-1212
Country :	Bangladesh
Financials (as on) :	30.09.2017
Date of Incorporation :	27.03.1981
Com. Reg. No.:	C-8864
Legal Form :	Public Listed Co
Line of Business :	Manufacturer, Distributor, Exporter and Importer of Yarns , Polyester Fabric, TC Fabric, Synthetic And Georgette Sarees
No. of Employees :	550

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Bangladesh	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

BANGLADESH - ECONOMIC OVERVIEW

Bangladesh's economy has grown roughly 6% per year since 1996 despite prolonged periods of political instability, poor infrastructure, endemic corruption, insufficient power supplies, and slow implementation of economic reforms. Although more than half of GDP is generated through the services 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 were on track to again surpass $25 billion in 2017. The sector continues to grow, despite the need for improvements in factory working conditions to avert further high-profile accidents that have killed more than 1,000 workers in recent years. Steady export growth in the garment sector combined with remittances from overseas Bangladeshis - which totaled about $13 billion and 6% of GDP in 2016 - are key contributors to Bangladesh's sustained economic growth and rising foreign exchange reserves.

The recent influx of hundreds of millions of additional refugees from Burma will place pressure on the Bangladeshi government’s budget and the country’s rice supplies, which declined in 2017 in part because of adverse weather.

Source : CIA

IDENTIFICATION DETAILS
Correct company Name	:	SAIHAM TEXTILE MILLS LIMITED
Head Office	:	Asset Rosedale (4^th Floor), House# 2, Road# 55, North Gulshan Avenue, Dhaka-1212, Bangladesh.
Tel No	:	88-02-9862284, 9863323, 9887441
Fax No	:	88-02-9894607, 8826254
E-mail	:	info@saiham.com, saihamtextile@gmail.com, scmlbd@yahoo.com
Website	:	www.saiham.com
Date/ Year of Incorporation	:	27.03.1981
Incorporation No.	:	C-8864
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)

Other Registry & Certification Details
Organization Name	:	Bangladesh Textile Mills Association
Membership No	:	N/A

FINANCIALS- SUMMARY
Year	Turnover/ Sales	Assets	Income/ (Loss)
30^th June,2016	BDT 397026338 (July’2016 To Sep’2016)	BDT 4348236740	BDT 18171414 (July’2016 To Sep’2016)
30^th Sept,2017	BDT 468110965 (July’2017 To Sep’2017)	BDT 3987706892	BDT 23585773 (July’2017 To Sep’2017)

FULLCHECK REPORT DETAILS
Information Parted By
Name	:	Mr. Md. Neyamat Ullah
Designation	:	Company Secretary
Contract No	:	N/A

Locations Details
Operating Address	:	Asset Rosedale (4^th Floor), House # 2, Road # 55, North Gulshan Avenue, Dhaka-1212, Bangladesh.
Tel No	:	88-02-9862284, 9863323, 9887441
Fax No	:	88-02-9894607, 8826254
E-mail	:	info@saiham.com, saihamtextile@gmail.com, scmlbd@yahoo.com
Website	:	www.saiham.com

Location :

: Owned

Rented

Ö

Leased

Area

3600

Sq. ft.

Type of Office :	: Commercial Office Bldg.		Semi-commercial office Bldg.
Retail shop		Industrial Park
Business Center		Home Office
Residential Bldg.	Ö

Factory :
Address	:	Noyapara, Saiham Nagar, Madhabpur, Habiganj, Bangladesh.
Tel No	:	Nil
Fax No	:	Nil

Location :

Owned

Ö

Rented

Leased

Area

3

Acores

Branches:
Address	:	House # 34, Road # 136, Gulshan, Dhaka-1212, Bangladesh.
Tel No	:	Nil
Fax No	:	Nil

Employee:
No. of Employees	In Office	:	55	In Factory	:	495
	In Branch:	:	N/A	Total	:	550
Details:

OWNERSHIP/SHAREHOLDERS
Names of Shareholders	No. of Share	County
Mr. S. F. A. M. Shahjahan	1821513	Bangladesh.
Mr. S. M. Faisal	3082747	Bangladesh.
Engr. Syed lshtiaq Ahmed	7843920	Bangladesh.
Mr. Syed Shafqat Ahmed MBA	7493503	Bangladesh.
Mrs. Rio Aziza Salim	7615219	Bangladesh.
Mrs. Yasmin Faisal	1827000	Bangladesh.
General Public	60878598	Bangladesh.

DIRECTORS
1.
Name	:	Mr. S. F. A. M. Shahjahan
Designation	:	Chairman
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A
2.
Name	:	Mr. S. M. Faisal
Designation	:	Managing Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A
3.
Name	:	Engr. Syed lshtiaq Ahmed
Designation	:	Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A
4.
Name	:	Mr. Syed Shafqat Ahmed MBA
Designation	:	Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A
5.
Name	:	Mrs. Yasmin Faisal
Designation	:	Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

6.
Name	:	Mrs. Rio Aziza Salim
Designation	:	Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

7.
Name	:	Mr. Mostafa Moin
Designation	:	Independent Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

8.
Name	:	Mr. Syed Nasir Uddin Haider
Designation	:	Independent Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

MANAGEMENT
Name	:	Mr. S. M. Faisal
Job Description	:	Managing Director
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

Name	:	Mr. Abu Bakar Siddique
Job Description	:	Chief Financial Officer
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

Name	:	Mr. Md. Neyamat Ullah
Job Description	:	Company Secretary
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	N/A

BUSINESS OPERATIONS
Nature of Activity :	Manufacturer	Ö	Trader		Dealer	Distributor	Ö
	Exporter	Ö	Importer	Ö	Services	Others

Range of Products:
Products	:	Yarns , Polyester Fabric, TC Fabric, Synthetic And Georgette Sarees
Spindles	:	56,976
Production Capacity	:	8.20 Million Kgs Per Year
Export Capacity	:	4.00 Million Kgs Per Year
Raw Material Requirement	:	8000 Bales Per Year
Raw Material Consumption	:	8000 Bales (Last Year)
Last Year Production	:	6.47 Million Kgs

Trading Terms:

Purchasing Terms:	L/C	Ö	Cash	Others
	Credit :		30 days	60 days	Ö	90 days	days

Selling Terms :	L/C	Ö	Cash	Others
	Credit :		30 days	60 days	Ö	90 days	days

DETAILED DATA
Trade Reference & Related Parties	:	Overseas Clients			:	N/A
		Local Clients			:	N/A
		Overseas Suppliers			:	N/A
		Local Suppliers			:	N/A
Trade Markets	:	Exports(Country)			:	N/A
		Imports(Country)			:	N/A
Brand Name			:	N/A
Certified			:	N/A
Name of Auditors			:	Rahman Mostafa Alam & Co. Chartered Accountants Box Culvert Road, 65/2/1, Purana Paltan, Dhaka-1000, Bangladesh
Operation Status			:	Active

CAPITAL STRUCTURE
Authorized Capital	:	BDT 1500
Paid-up Capital	:	BDT 905625000
No. of Shares	:	90562500
Share Value	:	BDT 10.00 Each
Main Assets	:	BDT 3987706892

FINANCIAL STATEMENT- DETAILED
Balance Sheet :
		Currency	: BDT
		Denomination	: 1
		Financial Year Ending	: 30^th Sept, 2017
Financial Highlights		30^th Sep’2017	30^th June’2017
Assets
Non-Current Assets		1862507490	1879452117
Property, Plant & Equipment-Sinning		708931493	715840388
Property, Plant & Equipment-Melange		1153575997	1163611729
Current Assets:		2125199402	2468784623
Inventories		1069739421	1292180696
Trade Debtors		685648868	561697052
Sundry Receivable		4510998	31127784
Advance, Deposit & Prepayments		71614688	62751776
Fixed Deposit Receipt		245586609	495586609
Cash And Cash Equivalents		48098818	25440706
Total Assets		3987706892	4348236740
Equtiy And Liabilities
Share Holders” Equity:		2463930184	2439477927
Share Capital		905625000	905625000
Share Premium		727500000	727500000
General Reserve		2764589	2764589
Revaluation Reserve		395179298	400089371
Retained Earnings		432861297	403498967
Non- Current Liabilities		175529966	165982619
Deferred Tax Liability		175529966	165982619
Current Liabilities		1348246744	1742776194
Short Term Loan		431431803	699642973
Current Portion Of Long Term Loan		80071104	125606126
Right Share Money Refundable		15000	15000
Liabilities For Goods		782754686	874055585
Liabilities For Expenses & Others		30245797	26324656
Provision For Tax		23728354	17131854
Total Liabilities		1523776709	1908758813
Total Equity & Liabilities		3987706892	4348236740
Net Assets Value (Nav) Per Share		27.21	26.94
Income Statement :
	Currency			: BDT
	Denomination			: 1
	Financial Year Ending			: 30^th Sept, 2017
Financial Highlights	July’2017 To Sep’2017			July’2016 To Sep’2016
Turnover	468110965			397026338
Less: Cost Of Goods Sold	404926835			332983337
Gross Profit	63184130			64043001
Less: Operating Expenses	25629064			33868787
Administrative & Marketing Expenses	16623043			15229260
Financial Expenses	9006021			18639527
Operating Profit	37555066			30174214
Non Operative Income	5070843			9934845
Operating Profit Before Contribution To W.P.P.F	42625909			40109059
Less: Provision For W.P.P.F	2029805			1909955
Profit Before Tax	40596104			38199104
Less: Income Tax Expenses	17010331			20027690
Current Tax	6596500			6723350
Deferred Tax- Expenses	10413831			13304340
Net Profit After Tax	23585773			18171414
Earnings Per Share (EPS) (Basic)	0.26			0.20

ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES
Sister Concerns	:	Saiham Agro Saiham Limited Hamida Bastra Shilpa Saiham Jute Mills Ltd. Saiham Cotton Mills Ltd Safko Spinning Mills Ltd Faisal Spinning Mills Ltd Saiham Knit Composite Ltd. Sintech Transcription Solution Saiham Cement Industries Ltd
Subsidiary	:	Nil
Name of The Group	:	Saiham Group

BANKING
Bank Name	:	HSBC Limited Dhaka Bank Limited Eastern Bank Limited Standard Chartred Bank Limited
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 Asset Rosedale (4^th Floor), House # 2, Road # 55, North Gulshan Avenue, Dhaka-1212, Bangladesh. It is situated at Residential area.

GENERAL COMMENTS

The subject company is engaged in Manufacturer, Importer & Distributors. It is reputed company in this line of business. We recommended that Credit can proceed promptly in Fairly large amount.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 64.82
UK Pound	1	INR 90.65
Euro	1	INR 79.94
BDT	1	INR 0.78

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	NIS
Report Prepared by :	TPT

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
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)

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.