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3decades

 

MIRA INFORM REPORT

 

 

Report No. :

494774

Report Date :

05.03.2018

 

 

 

IDENTIFICATION DETAILS

 

Name :

P.T. INDIRATEX SPINDO

 

 

Registered Office :

Desa Randu Agung Km. 75, RT.06, RW.01, Randu Agung, Singosari 65153, Malang, East Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

30.05.1995

 

 

Com. Reg. No.:

AHU-AH.01.03-0182473

 

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

 

Line of Business :

Spinning Mills Industry

 

 

No. of Employees :

450

 

 

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

Acceptable Risk

Business dealings permissible with moderate risk of default

 

Status :

Satisfactory

 

 

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

(30.09.2017)

Current Rating

(31.12.2017)

Indonesia

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

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, the largest economy in Southeast Asia, has seen a slowdown in growth since 2012, mostly due to the end of the commodities export boom. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth. Indonesia’s annual budget deficit is capped at 3% of GDP, and the Government of Indonesia lowered its debt-to-GDP ratio from a peak of 100% shortly after the Asian financial crisis in 1999 to 33% today. While Fitch and Moody's Investors upgraded Indonesia's credit rating to investment grade in December 2011, Standard & Poor’s has yet to raise Indonesia’s rating to this status amid several constraints to foreign direct investment in the country, such as a high level of protectionism.

Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among its regions. President Joko WIDODO - elected in July 2014 – seeks to develop Indonesia’s maritime resources and pursue other infrastructure development, including significantly increasing its electrical power generation capacity. Fuel subsidies were significantly reduced in early 2015, a move which has helped the government redirect its spending to development priorities. Indonesia, with the nine other ASEAN members, will continue to move towards participation in the ASEAN Economic Community, though full implementation of economic integration has not yet materialized.

 

Source : CIA

 

Name of Company

 

P.T. INDIRATEX SPINDO

 

 

Address

 

Head Office & Factory

Desa Randu Agung Km. 75, RT.06, RW.01,

Randu Agung, Singosari 65153

Malang, East Java

Indonesia

Phones - (62-341) 450 888 (hunting)

Fax.                  - (62-341) 452 489

Building Area    - 50,000 sq. meters

Office Space    - 38,200 sq. meters

Region              - Industrial Zone

Status               - Owned

 

 

COMPANY SUMMARY

 

Date of Incorporation :

30 May 1995

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Justice and Human Rights

a. No. C-11890.HT.01.01.TH.99

    Dated 29 June 1999

b. No. AHU-88224.AH.01.02.Tahun 2008

    Dated 29 July 2008

c. No. AHU-AH.01.03-0182473

    Dated 19 October 2017

 

Company Status  :

Domestic Investment Company (PMDN)

 

Permits by the Government Department :

a. The Department of Finance

    NPWP No. 01.711.867.0-628.000

 

b. The Capital Investment Coordinating Board

    No. 692/I/PMDN/1995

    Dated 13 December 1995

 

Related/Affiliated Company :

P.T. NEW MINATEX (Textile Industry)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital         - Rp.  20,000,000,000.-

Issued Capital               - Rp.  20,000,000,000.-

Paid up Capital             - Rp.  20,000,000,000.-

 

Shareholders/Owners :

a. Mr. Mintarjo Prajogo                          - Rp. 4,500,000,000 (22.5%)

    Jl. Lawu No. 20

    Malang, East Java

    Indonesia

b. Mr. Eddy Onggowarsito                     - Rp. 3,800,000,000 (19.0%)

    Jl. Dr. Wahidin No. 11-A, Lawang

    Malang, East Java

    Indonesia

c. Mr. Harry Onggowarsito                     - Rp. 2,800,000,000 (14.0%)

    Jl. Pandowo No. 17, Lawang

    Malang, East Java

    Indonesia

d. Mr. Ongkowijoyo Onggowarsito         - Rp. 2,800,000,000 (14.0%)

    Jl. Dr. Wahidin No. 11, Lawang

    Malang, East Java

    Indonesia

e. Mr. Jerry Onggowarsito                      - Rp. 2,800,000,000 (14.0%)

    Jl. Wilis No. 2 Kav. A2,

    Malang, East Java

    Indonesia

f. Mr. Widjanarko Onggowarsito             - Rp. 2,800,000,000 (14.0%)

    Jl. Dr. Wahidin No. 71, Lawang

    Malang, East Java

    Indonesia

g. Mrs. Juliana Onggowarsito                 - Rp.    500,000,000 (  2.5%)

    Jl. Dr. Wahidin No. 41, Lawang

    Malang, East Java

    Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Spinning Mills Industry

 

Production Capacity :

Spun Yarn         - 14,500 bales per annum

 

Product Range:
- 100% cotton : Ne 7’s, 10’s, 12’s, 14’s, 16’s, 20’s
- Blended polyester/cotton : Ne 10’s, 12’s, 14’s 16’s, 20’s, 23’s

- 100% spun polyester : Ne 7’s, 10’s 12’s, 16’s, 20’s

 

Total Investment :

a. Equity Capital            - Rp. 20.0 billion

b. Loan Capital              - Rp. 60.0 billion

c. Total Investment        - Rp. 80.0 billion

 

Started Operation :

June 1997

 

Number of Employee :

450 persons

 

Marketing Area :

Domestic (Local)    - 100%

 

Main Customers :

a. P.T. New Minatex

b. Textile Industries in East Java, Central Java and West Java

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. Dawai Indah Adi

b. P.T. DjoniTextindo

c. P.T. Golden Tatex Indonesia

d. P.T. Gunawan Texindo

e. P.T. Indopanca Centratex

f.  P.T. Maligi Spinning Mills

 

Business Trend :

Fluctuating

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a. P.T. Bank CENTRAL ASIA Tbk

    Jl. Jend. Basuki Rachmat No.70-74

    Malang, East Java

    Indonesia

b. P.T. Bank  MANDIRI Tbk

    Jl. Jend. Gatot Subroto No. 9-A

    Malang, East Java

    Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2014 – Rp. 178.0 billion

2015 – Rp. 202.0 billion

2016 – Rp. 228.0 billion

2017 – Rp. 260.0 billion

 

Net Profit (Loss) :

2014 – Rp. 11.0 billion

2015 – Rp. 12.5 billion

2016 – Rp. 14.3 billion

2017 – Rp. 16.5 billion

 

Payment Manner :

No complaints

 

Financial Comments :

Fairly

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                           - Mr. Ongkowijoyo Onggowarsito

Director                                          - Mr. Harry Onggowarsito

 

Board of Commissioner :

President Commissioner                  - Mr. Jerry Onggowarsito

Commissioners                               - a. Mr. Mintarjo Prajogo

                                                        b. Mr. Eddy Onggowarsito

 

Signatories :

President Directors (Mr. Ongkowijoyo Onggowarsito) or Director (Mr. Harry Onggowarsito) which must be approved by Board of Commissioners (Mr. Jerry Onggowarsito, Mr. Mintarjo Prajogo and Mr. Eddy Onggowarsito)

 

 

CAPABILITIES

 

Management Capability :

G o o d

 

Business Morality :

G o o d

 

 

OVERALL PERFORMANCE

 

P.T. INDIRATEX SPINDO was established in 1995 in Malang, East Java, with an authorized capital of Rp 20,000,000,000.-, issued and paid up capital of Rp 4,000,000,000.- The founding shareholders are Mr. Encang Ongkowarsito and his children Mr. Eddy Onggowarsito, Mr. Widjanarko Onggowarsito, Mr. Jerry Onggowarsito, Mr. Harry Onggowarsito, Mr. Ongko Wijoyo Onggowarsito and his two sons-in-law Mr. Harianto Efendi and Mr. Mintajo Prayogo. They are Chinese-Indonesian business family. The articles of association of the company have frequently been revised. In April 1999 the issued capital was raised to Rp 7,000,000,000.- entirely paid up. The most recently by notary deed of Dr. Diah Aju Wisnuwardhani, SH., No. 11 dated October 13, 2017, the issued capital was  raised again to Rp. 20,000,000,000.- entirely was issued and paid up. The capital structures and shareholder composition of the Company in details are as shown on page-3 of this report.  The amendment to deed has been approved by the Minister of Law and Human Rights of the Republic of Indonesia through its Decree No. AHU-AH.01.03-0057535 dated October 19, 2017. Since then, no changes have been effected in term of its shareholding composition and capital structure to date.

 

P.T. INDIRATEX SPINDO (P.T. IS) was established within the framework of Domestic Investment (PMDN), which has received permit from the Capital Investment Coordinating Board (BKPM) to engage in the field of woven yarn pinning Industry by managing a plant located on Desa Randu Agung Km. 75, Singosari, Malang, East Java, on a land of some 5 hectares. The plant has been in operation since 1997 and the plant produces 100% cotton: Ne 7’s, 10’s, 12’s, 14’s, 16’s, 20’s, Blended polyester/cotton : Ne 10’s, 12’s, 14’s 16’s, 20’s, 23’s' and100% spun polyester : Ne 7’s, 10’s 12’s, 16’s, 20’s.   Some 80% of woven yarn produced by P.T. IS are absorbed by its sister company P.T. NEW MINATEX and the rest (20%) is marketed to other textile weaving industries, such as, P.T. BRATATEX, P.T. APAC INTI CORPORA, P.T. BADJATEX, etc., in Bandung, West Java. We observed that P.T. INDIRATEX SPINDO is classified as a medium sized company of its kind in the country of which the operation has been growing in the last three years.

 

Generally, the demand for textile and textile products tended to be fluctuating within the last five years in line with the fluctuating of Indonesian textile industry in general.  According to the Central Bureau of Statistics (BPS) the Indonesia garment export in 2010 amounted to 445.2 thousand tons (US$.6,598.0 million) increased to 450.9 thousand tons (US$.7,801.5 million) in 2011 to 450.2 thousand tons (US$.7,304.8 million) in 2012 to 470.2 thousand tons (US$.7,501.0 million) in 2013 declined to 463.9 thousand (U$.7,450.0 million) in 2014 and declined again to 378.6 thousand tons (US$.6,410.9 million) in 2015 and rose again to 425.9 thousand tons (US$.7,212.6 million) in 2016. The export volume and value of the national garment and textile products in 2002 to 2016 are pictured on the following table.

 

Year

Garment

Textile Product

(Thousand Ton)

(US$ Million)

(Thousand Ton)

(US$ Million)

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

333.1

339.9

327.3

369.5

399.6

399.8

417.6

393.4

445.2

450.9

450.2

470.2

463.9

378.6

425.9

3,887.2

4,037.9

4,351.9

4,967.0

5,608.1

5,712.9

6,092.2

5,735.6

6,598.0

7,801.5

7,304.8

7,501.0

7,450.9

6,410.9

7,212.6

1,425.9

1,307.5

1,300.4

1,427.3

1,477.8

1,473.6

1,312.2

1,369.6

1,525.9

1,493.3

1,508.5

1,633.1

1,815.6

1,481.7

1,563.9

3,075.9

3,064.6

3,354.6

3,704.0

3,908.6

4,178.0

4,127.9

3,602.8

4,721.8

5,563.3

5,278.1

5,293.6

5,379.9

4,415.0

4,660.0

 

Until this time P.T.  IS has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. Therefore, the company has no obligation to publish financial statement publicly. We have checked to Department of Trade and Industry and found that no financial statement has been reported. P.T. IS’s management is very reclusive to outsider and rejecting to disclose its financial condition but we estimated the total sales turnover of the company in 2015 amounted to Rp. 202.0 billion increased to Rp. 228.0 billion in 2016 and rose again to Rp. 260.0 billion in 2017.   The operation in 2017 yielded a net profit at least Rp. 16.5 billion and the company has a total net worth of Rp. 80.0 billion.  It is projected that total sales turnover of the company will increase at least 8% in 2018.    So far we did not hear that P.T. IS has been black listed by Bank Indonesia (Central Bank) or having detrimental cases being settled in local district court.

 

The Company's management is headed by Mr. Ongkowijoyo Onggowarsito (53) as President Director and CEO of the Company.  He is a businessman with more than 25 years experience in spinning mills and textile industry.  In daily activities, he is assisted by his brother namely Mr.Harry Onggowarsito (57) as director.  The management’s reputation in said business is sufficiently fairly good. The company has had wide relation in the realm of the private businessmen within and outside the country. So far, we did not hear that the company’s management involved in the business malpractices or detrimental cases that settled in the country. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

P.T. INDIRATEX SPINDO is appraised to be good for business transaction.  However, in view of the economic condition in the country is still unstable, we recommend to treat prudently in extending any new loan to the company.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

INR 65.23

UK Pound

1

INR 89.71

Euro

1

INR 79.50

IDR

1

INR 0.0047 

 

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

 

 

INFORMATION DETAILS

 

Analysis Done by :

NIY

 

 

Report Prepared by :

SYL

                                                


 

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.