MIRA INFORM REPORT

Report No. :	484262
Report Date :	04.01.2018

IDENTIFICATION DETAILS

Name :	FABTECH INTERNATIONAL LTD
Registered Office :	Sheikh Zayed Road, Plot No. MO 0306, Jebel Ali Free Zone PO Box 61015 Dubai
Country :	United Arab Emirates
Financials (as on) :	31.12.2017
Date of Incorporation :	09.03.1999
Legal Form :	Branch of a Foreign Registered Corporation
Line of Business :	Subject is engaged in the manufacture of cranes, oilfield terminal pressure vessels and piping, cement and stainless steel. Subject also repairs oil and gas equipment
No. of Employees :	900

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 :	Branch of a foreign registered corporation
Payment Behaviour :	No Complaints
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 (30.06.2017)	Current Rating (30.09.2017)
United Arab Emirates	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

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 Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency and ultimately a $20 billion bailout from the UAE Central Bank and Abu Dhabi Government that was refinanced in March 2014.

The UAE’s dependence on oil is a significant long-term challenge. 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.

Source : CIA

SUMMARY

Company Name : FABTECH INTERNATIONAL LTD

Country of Origin : British Virgin Islands

Legal Form : Branch of a Foreign Registered Corporation

Registration Date : 9^th March 1999

Trade Licence Number : 1121

Chamber Membership Number : 53710

Total Workforce : 900

Activities : Manufacture of cranes, oilfield terminal pressure vessels and piping, cement and stainless steel

Financial Condition : Good

Payments : Nothing detrimental uncovered

Operating Trend : Steady

COMPANY NAME

FABTECH INTERNATIONAL LTD

ADDRESS

Registered & Physical Address

Street : Sheikh Zayed Road, Plot No. MO 0306

Area : Jebel Ali Free Zone

PO Box : 61015

Town : Dubai

Country : United Arab Emirates

Telephone : (971-4) 8838833 / 8108200 / 8108205 / 8108223

Facsimile : (971-4) 8835126 / 8835116

Email : fabtech@emirates.net.ae / austin@fabtechint.com / shalender@fabtech.ae

Premises

Subject operates from a suite of offices and a factory covering an area of 80,000 square metres that are rented and located in the Jebel Ali Free Zone Area of Dubai.

KEY PRINCIPALS

Name Nationality Position

· Dr Harry Moraes Indian Chairman

· Freeda Moraes Indian Managing Director

· Don Moraes Indian Director

· Paradeep K Shukla Indian Operations Manager

· Mukesh D Babalani Indian Technical Manager

· Shalender Chattervidi - Finance Manager

· Hashim Mohamed - Administration Manager

· Austin Fatado - Financial Controller

· Shittal Sharma - Accountant

LEGAL FORM & OWNERS

Date of Establishment : 9^th March 1999

Legal Form : Subject is the United Arab Emirates registered branch of Fabtech International Ltd a Limited

Liability Company incorporated in the British Virgin Islands.

Fabtech International Ltd in the United Arab Emirates, operates as a Branch of a

Foreign Registered Corporation.

A Branch of a Foreign Registered Corporation is not a legal entity in its own right.

Responsibility for payments lays in the hands of the company where it is originally

registered, in this case the British Virgin Islands.

Trade Licence No. : 1121

Chamber Member No. : 53710

AFFILIATED COMPANIES

· Fabtech Abu Dhabi LLC

PO Box: 42287

Abu Dhabi

Tel: (971-2) 5500167

Fax: (971-2) 5500247

· Fabtech Trading

PO Box: 8575

Dubai

Tel: (971-4) 3332993

Fax: (971-4) 3332891

· Fabtech Technical Services

PO Box: 8085

Jebel Ali Free Zone

Dubai

Tel: (971-4) 8852215

Fax: (971-4) 8851917

· Fabtech Contracting LLC

PO Box: 8575

Dubai

United Arab Emirates

Tel: (971-4) 8852215

Fax: (971-4) 8851917

· Fabtech International Canada

10^th Floor, Bankers Hall

West Tower

Calgary T2P 5C5

Canada

Tel: (1-403) 4446885

Fax: (1-403) 4446804

· TEB Steel Solutions Ltd

PO Box: 127396

Dubai

United Arab Emirates

Tel: (971-50) 5534465

OPERATIONS

Activities: Engaged in the manufacture of cranes, oilfield terminal pressure vessels and piping, cement and stainless steel.

Subject also repairs oil and gas equipment.

Subject is ISO:9001 accredited.

Import Countries: Europe and the Far East

Operating Trend: Steady

Subject has a workforce of approximately 900 employees.

FINANCIAL DATA

Financial highlights provided by local sources are given below:

Currency: United Arab Emirates Dirham (UAE Dh)

Year Ending 31/12/16: Year Ending 31/12/17:

Total Sales UAE Dh 271,000,000 UAE Dh 275,000,000

Local sources consider subject’s financial condition to be Good.

The above financial figures are based on estimations by our local sources.

BANKERS

· Commercial Bank of Dubai

Baniyas Street

Deira

PO Box: 1709

Dubai

Tel: (971-4) 2227121 / 2253222

Fax: (971-4) 2220943 / 2254565

PAYMENT HISTORY

No complaints regarding subject’s payments have been reported.

GENERAL COMMENTS

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

Currency	Unit	Indian Rupees
US Dollar	1	INR 63.48
UK Pound	1	INR 86.41
Euro	1	INR 76.54
UAE DH	1	INR 17.27

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

INFORMATION DETAILS

Analysis Done by :	VIV
Report Prepared by :	TRU

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.