|
|
|
MIRA INFORM REPORT
|
Report No. : |
488370 |
|
Report Date : |
31.01.2018 |
IDENTIFICATION DETAILS
|
Name : |
SHASHA DENIMS LTD. |
|
|
|
|
Registered Office : |
House # 23, Road # 129, Gulshan-1, Dhaka-1212 |
|
|
|
|
Country : |
Bangladesh |
|
|
|
|
Financials (as on) : |
30.09.2017 (Consolidated) |
|
|
|
|
Date of Incorporation : |
28.10.1996 |
|
|
|
|
Com. Reg. No.: |
C-31649 |
|
|
|
|
Legal Form : |
Public Listed Company |
|
|
|
|
Line of Business : |
Manufacturer, Exporter and Importer of Denim Fabrics. |
|
|
|
|
No. of Employees : |
918 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A+ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A+ |
Low Risk |
Business dealings permissible with low
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 (30.06.2017) |
Current Rating (30.09.2017) |
|
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 surpassed $25 billion in 2016. The sector continues to grow, despite a series of high-profile factory accidents that have killed more than 1,000 workers and crippling strikes, including a nationwide transportation blockade orchestrated by the political opposition during the first several months of 2015. Steady export growth in the garment sector combined with remittances from overseas Bangladeshis - which totaled about $15 billion and 8% of GDP in 2015 - are key contributors to Bangladesh's sustained economic growth and rising foreign exchange reserves.
|
Source
: CIA |
COMPANY NAME AND ADDRESS
SHASHA DENIMS LTD
EXECUTIVE SUMMARY
|
IDENTIFICATION DETAILS |
||
|
Correct company Name |
: |
Shasha Denims Ltd. |
|
Head Office |
: |
House # 23, Road # 129, Gulshan-1, Dhaka-1212, Bangladesh |
|
Tel No |
: |
88-02-9850548, 9854679, 9855263, 9856328, 9856327 |
|
Fax No |
: |
88-02-9851698 |
|
E-mail |
: |
|
|
Website |
: |
www.shashadenim.com |
|
Date/ Year of Incorporation |
: |
28.10.1996 |
|
Incorporation No. |
: |
C-31649 |
|
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
|
Trade License |
: |
01-00514 |
Date of Registration |
: |
June 30, 2015 |
||||||
|
Issuing Authority |
: |
Dhaka North City Corporation, |
|
||||||||
|
|
|
||||||||||
|
Value Added Tax(VAT) No |
: |
17141001227 |
Date of Registration |
: |
|
||||||
|
Issuing Authority |
: |
National Board of Revenue |
|
||||||||
|
|
|
||||||||||
|
|
|
||||||||||
|
Organization
Name |
: |
Bangladesh Textile Mills Association |
|
||||||||
|
Membership No |
: |
002-0056-0352 |
|
||||||||
FINANCIALS- SUMMARY
|
Year |
Turnover/
Sales |
Assets |
Income/
(Loss) |
|
30 June 2017 |
BDT 1,304,667,628 (July~Sep,16) |
BDT 10,879,396,537 |
BDT 124,476,299 (July~Sep,16) |
|
30 Sep 2017 |
BDT 1,546,372,797 (July~Sep,17) |
BDT 10,733,727,995 |
BDT 136,785,701 (July~Sep,17) |
FULLCHECK REPORT DETAILS
|
Information Parted By |
||
|
Name |
: |
Mr. Aslam Ahmed Khan FCA |
|
Designation |
: |
Company Secretary |
|
Contract No |
: |
N/A |
|
Locations Details |
||
|
Operating Address |
: |
House # 23, Road # 129, Gulshan-1, Dhaka-1212, Bangladesh |
|
Tel No |
: |
88-02-9850548, 9854679, 9855263, 9856328, 9856327 |
|
Fax No |
: |
88-02-9851698 |
|
E-mail |
: |
|
|
Website |
: |
www.shashadenim.com |
|
Location : |
: Owned |
|
Rented |
Ö |
|
Leased |
|
Area |
2200 |
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 |
: |
Plot # 184-193 & 277, DEPZ (Ext.),
Ganak Bari, Savar, Bangladesh. |
|
Tel No |
: |
88-02-7789188, 7789302-05 |
|
Fax No |
: |
88-02-7789307 |
|
Registered Office: |
||
|
|
|
|
|
Address |
: |
House # 7, Road # 117, Gulshan, Dhaka-1212,
Bangladesh |
|
Tel No |
: |
88- 02-9881862 |
|
Fax No |
: |
88-02-8823842 |
|
Corporate Office: |
||
|
|
|
|
|
Address |
: |
House # 23, Road # 129, Gulshan-1,
Dhaka-1212, Bangladesh |
|
Tel No |
: |
88-02-9850548, 9855263, 9854679, 9856328 |
|
Fax No |
: |
88-02-9851698 |
|
Employee: |
|
|||||||
|
|
|
|||||||
|
No. of Employees |
In Office |
: |
217 |
In Factory |
: |
701 |
||
|
In Branch: |
: |
Nil |
Total |
: |
918 |
|||
|
Details: |
|
|
|
|||||
OWNERSHIP/SHAREHOLDERS
|
Names of Shareholders |
No. of Share |
Country |
|
Ms. Parveen Mahmud FCA |
7714420 |
Bangladesh. |
|
Mr. Shams Mahmud |
12019340 |
|
|
Shasha Garments Ltd. |
2370840 |
|
|
Mr. Aftabur Rahman Jafree |
6210 |
|
|
Ms. Zareen Mahmud FCA |
3024270 |
|
|
Mr. Anisul Islam Mahmud |
27324000 |
|
|
Mr. Sayed Mayeenul Huq |
6210 |
|
|
Mr. Mohammad Anamul Hasan |
50000 |
|
|
Mr. Mohammad Jamal Abdun Naser |
690000 |
|
|
Mr. Md. Ahasanul Haque |
500000 |
|
|
Mr. Rafiqul Alam |
120800 |
|
|
Mr.Syed Mohammad Hassan |
90000 |
|
|
Mr. Mazharul Islam Bhuiyan |
111100 |
|
|
Institutions |
17771344 |
Bangladesh. |
|
Foreign |
4849463 |
Bangladesh. |
|
General Public |
36139633 |
Bangladesh. |
DIRECTORS
|
1.
|
|
|
|
|
||
|
Name |
: |
Ms. Parveen
Mahmud FCA |
|
Designation |
: |
Chairman |
|
Nationality |
: |
Bangladeshi. |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
|
||
|
2.
|
|
|
|
|
||
|
Name |
: |
Mr. Shams Mahmud |
|
Designation |
: |
Managing Director |
|
Nationality |
: |
Bangladeshi. |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
|
||
|
3.
|
|
|
|
|
||
|
Name |
: |
Ms. Zareen Mahmud
CPA, ACA |
|
Designation |
: |
Director |
|
Nationality |
: |
Bangladeshi. |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
4. |
|
|
|
|
||
|
Name |
: |
Mr. Aftabur
Rahman Jafree(Nominated by Shasha Garments Ltd.) |
|
Designation |
: |
Director |
|
Nationality |
: |
Bangladeshi. |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
5. |
|
|
|
|
||
|
Name |
: |
Mr. Syed Mayeenul
Huq |
|
Designation |
: |
Independent
Director |
|
Nationality |
: |
Bangladeshi. |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
MANAGEMENT
|
Name |
: |
Mr. Shams Mahmud |
|
Job Description |
: |
Managing Director |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
Name |
: |
Mr. Mohammad Jamal Abdun Naser |
|
Job Description |
: |
Director (Operation) |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
Name |
: |
Mr. Md. Ahasanul
Haque |
|
Job Description |
: |
Director (Finance) |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
Name |
: |
Mr.Rafiqul Alam |
|
Job Description |
: |
DGM (Dyeing & Sizing) |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
|
|
|
|
Name |
: |
Mr. Sarwar Hosen, ACA |
|
Job Description |
: |
Chief Financial Officer |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
Name |
: |
Mr. Syed Mohammad Hasan |
|
Job Description |
: |
AGM (Production) |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
|
Name |
: |
Mr. Mazharul Islam Bhuiyan |
|
Job Description |
: |
AGM (Weaving) |
|
Nationality |
: |
Bangladeshi |
|
Email address |
: |
N/A |
|
Other details |
: |
N/A |
BUSINESS OPERATIONS
|
Nature of Activity : |
Manufacturer |
Ö |
Trader |
|
Dealer |
|
Distributor |
|
|
|
|
|||||||
|
|
Exporter |
Ö |
Importer |
Ö |
Services |
|
Others |
|
|
Range of
Products: |
||
|
|
||
|
Products |
: |
Denim Fabrics |
|
Production Capacity |
: |
21.60 Million Yards Per Year |
|
Last Year
Production |
: |
Nil |
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 |
: |
Target Kappa Mascot H & M Wal-Mart |
|||
|
Local Clients |
: |
N/A |
|||||
|
Overseas Suppliers |
: |
Clariant-Singapore. Chemical Spain BASF -Singapore Emsland –Germany Avebe-Netherland Arabian Alkali-Saudi Arabia. Hangzhou-China Adinath-India. MKS Debo-Turkey Oxford- Austrilia Lucky Spinning- Thailand Sapphire Textile-Pakistan Quetta Textiles -Pakistan Loyal And Trusty International- Hong Kong. |
|||||
|
Local Suppliers |
: |
Square Textiles Ltd. Salek Spinning Sinha Spinning Purbani
Rotor Badsha Textiles |
|||||
|
Trade Markets |
: |
Exports |
: |
USA, Europe Pakistan |
|||
|
Imports |
: |
China, India, Hong Kong, Pakistan, Thailand, etc. |
|||||
|
Brand Name |
: |
N/A |
|
||||
|
Certified |
: |
N/A |
|
||||
|
Auditors |
: |
Pinaki & Company Chartered Accountants |
|
||||
|
Operation Status |
: |
Active |
|
||||
|
Member |
: |
Bangladesh Textile Mills Association |
|
||||
CAPITAL STRUCTURE
|
Authorized Capital |
: |
BDT 2000 Million |
|
|
||
|
Paid-up Capital |
: |
BDT 1127876300 |
|
|
||
|
No. of Shares |
: |
112787630 |
|
|
||
|
Share Value |
: |
BDT10.00Each |
|
|
||
|
Main Assets |
: |
BDT 10,733,727,995 |
FINANCIAL STATEMENT- DETAILED
|
Consolidated Statement of Financial Position: |
|||
|
|
|||
|
|
Currency |
BDT |
|
|
|
Denomination |
: 1 |
|
|
|
Financial Year Ending |
: 30 Sep 2017 |
|
|
|
|||
|
Financial Highlights |
30 Sep 2017 |
30th
June 2017 |
|
|
Assets |
|
|
|
|
Non-Current
Assets |
5,038,088,271 |
4,708,191,058 |
|
|
Property, Plant & Equipment |
3,698,654,487 |
3,737,865,630 |
|
|
Intangible Assets |
3,399,307 |
3,486,468 |
|
|
Capital Work In Progress |
7,287,674,288 |
978,478,777 |
|
|
Investment in Associates |
48,420,L89 |
48,420,t89 |
|
|
CURRENT ASSETS |
5,695,639,724 |
6,171,205,479 |
|
|
Inventories |
1,507,278,793 |
1,816,859,869 |
|
|
Materials In Transit |
87,474,350 |
72,7 48,479 |
|
|
Accounts Receivable |
2,786,359,670 |
2,544,304,233 |
|
|
Interest Receivable |
322,240 |
t,622,774 |
|
|
Deposit for Share |
374,368,646 |
37 4,248,746 |
|
|
Advance, Deposit & Prepayments |
659,773,077 |
607,765,836 |
|
|
Cash and Cash Equivalent |
280,722,946 |
753,656,260 |
|
|
TOTAL |
10,733,727 |
10,879,396,537 |
|
|
|
|
|
|
|
EQUITY &
LIABILITIES: |
|
|
|
|
|
|
|
|
|
CAPITAL &
RESERVE |
5,475,93r,962 |
5,339,373,522 |
|
|
Share Capital |
7,127,876,300 |
1,127,876,300 |
|
|
Share Premium Account |
1,250,000,000 |
1,250,000,000 |
|
|
Retained Earnings |
2,224,162,540 |
2,087,604,100 |
|
|
Revaluation reserve |
873,893,122 |
873,893,122 |
|
|
Non-Controlling Interest |
L99,797,188 |
199,569,928 |
|
|
|
|
|
|
|
NON CURRENT
LIABILITIES |
912,232,049 |
957,069,353 |
|
|
Long Term Loan |
395,779,533 |
451,599,095 |
|
|
Financial Liability |
447,600,000 |
436,400,000 |
|
|
Deferred Tax Liability |
68,852,516 |
69,070,258 |
|
|
|
|
|
|
|
CURRENT
LIABILITIES |
4,745,766,796 |
4,383,383,734 |
|
|
Accounts Payable |
79,854,663 |
686,526,86L |
|
|
Liability for Expenses |
93,497,222 |
89,773,777 |
|
|
Provision for Tax |
255,056,246 |
232,658,415 |
|
|
IPO Fund Received |
3,436,928 |
3,436,928 |
|
|
Short Term Loan |
3,773,927,737 |
3,370,987,753 |
|
|
TOTAL |
1o,733,727,995 |
10,879,396,537 |
|
|
Consolidated statement Profit or Loss and other comprehensive Income: |
|||
|
|
|||
|
|
Currency |
:BDT |
|
|
|
Denomination |
: 1 |
|
|
|
Financial
Year Ending |
: 30 Sep 2017 |
|
|
|
|||
|
Financial Highlights |
July~ Sep 2017 |
July~Sep 2016 |
|
|
|
|
|
|
|
Revenue |
1,546,372,797 |
1,304,667,628 |
|
|
Less: Cost of Goods Sold |
7,257,214,989 |
7,053,536,227 |
|
|
Gross Profit |
295,L57,808 |
251,125,401 |
|
|
Less: Administrative Expenses |
47,554,832 |
47,998,308 |
|
|
Less: Selling & Distribution Expenses |
7,290,333 |
7,090,798 |
|
|
Operating Profit |
240,3L2,643 |
202,036,995 |
|
|
Add: Financial Income |
4,003,889 |
13,500,130 |
|
|
Less: Financial Expenses |
83,792,260 |
73,077,407 |
|
|
Net
Financial Expenses |
79,L88,371 |
59,571,277 |
|
|
Profit before
Non-Operating income |
16L,124,272 |
142,465,619 |
|
|
Add: Non-Operation Income |
(2,779,529) |
4,721,154 |
|
|
Profit/(Loss) before
WPPF |
159,004,744 |
L47,L86,772 |
|
|
Less: Central Fund (SGL-.03%o) |
38,954 |
- |
|
|
Profit/(Loss)
before Tax |
158,965,790 |
147,18,6,772 |
|
|
|
|
|
|
|
Less: income Tax |
|
|
|
|
Current Tax |
22,397,837 |
22,797,866 |
|
|
Deferred Tax |
(277,742) |
(87,393) |
|
|
Net Profit/
(loss) for the year after Corporate Tax |
136,785,701 |
124,476,299 |
|
|
Basic Earnings
Per Share |
1.21 |
1.10 |
|
ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES
|
Name of The Group |
: |
Shasha Group |
|
|
||
|
Name of Mother Company |
: |
Nil |
|
Subsidiary |
: |
Shasha Textiles Limited Shasha Garments Limited Energis Power Corporation Ltd. |
|
Sister Concerns |
: |
Shasha Telecom Ltd. Shasha Apparels Ltd. Shasha Spinnings Ltd. Superior Footwear Ltd. |
BANKING
|
Bank Name
|
: |
Premier Bank Ltd. |
|
Bank Address |
: |
Uttara Branch Ground floor, House # 39, Road # 7, Sector
# 4, Uttara, Dhaka-1230, Bangladesh Tel: 88-02-8956430, 8953945 |
|
Bank Name
|
: |
Bank Asia Ltd. |
|
Bank Address |
: |
Corporate Branch Noor Tower (1st Floor), 73,
Sonargaon Road, (1/F Free School Street), Dhaka-1205,
Bangladesh |
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 House # 23, Road # 129, Gulshan-1, Dhaka-1212, Bangladesh. |
GENERAL COMMENTS
|
SC’s is maintains acceptable business volume. Based on the financial
statements, SC’s financial performance appears to be Above Average. Having
been in operation for several years, Subject enjoys some recognition and
impact in the line. |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 63.75 |
|
|
1 |
INR 89.39 |
|
Euro |
1 |
INR 78.75 |
|
BDT |
1 |
INR 0.76 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
NIT |
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)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.