MIRA INFORM REPORT

Report No. :	496488
Report Date :	13.03.2018

IDENTIFICATION DETAILS

Name :	FARM BRANDS LIMITED
Registered Office :	24th Floor, BDO Tower 120 Albert Street Auckland 1010
Country :	New Zealand
Date of Incorporation :	23.12.2008
Com. Reg. No.:	2199505
Legal Form :	Private Limited Liability Company
Line of Business :	The Subject is engaged in the distribution of animal meal and tallow products.
No. of Employees :	30 - Estimated

RATING & COMMENTS

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

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

Status :	Moderate
Payment Behaviour :	Slow but Correct
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)
New Zealand	A1	A1

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

NEW ZEALAND - ECONOMIC OVERVIEW

Over the past 40 years, the government has transformed New Zealand from an agrarian economy, dependent on concessionary British market access, to a more industrialized, free market economy that can compete globally. This dynamic growth has boosted real incomes, but left behind some at the bottom of the ladder and broadened and deepened the technological capabilities of the industrial sector.

Per capita income rose for 10 consecutive years until 2007 in purchasing power parity terms, but fell in 2008-09. Debt-driven consumer spending drove robust growth in the first half of the decade, fueling a large balance of payments deficit that posed a challenge for policymakers. Inflationary pressures caused the central bank to raise its key rate steadily from January 2004 until it was among the highest in the OECD in 2007 and 2008. The higher rate attracted international capital inflows, which strengthened the currency and housing market while aggravating the current account deficit. Rising house prices, especially in Auckland, have become a political issue in recent years, as well as a policy challenge in 2016 and 2017, as the ability to afford housing has declined for many.

Expanding New Zealand’s network of free trade agreements remains a top foreign policy priority. New Zealand was an early promoter of the Trans-Pacific Partnership (TPP) and was the second country to ratify the agreement in May 2017. Following the United States’ withdrawal from the TPP in January 2017, on 10 November 2017 the remaining 11 countries agreed on the core elements of a modified agreement, which they renamed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). In November 2016, New Zealand opened negotiations to upgrade its FTA with China; China is one of New Zealand’s most important trading partners.

Source : CIA

IDENTIFICATION

Verified
Subject name:	FARM BRANDS LIMITED
Address:	24th Floor, BDO Tower 120 Albert Street		Postal address:	PO Box 5354
Town:	Auckland		Town:	Auckland
Zip/postal code:	1010		Zip/postal code:	1141
Country:	New Zealand
Telephone:	+64 (9) 3796641
Fax:	+64 (9) 3799583
EXECUTIVE SUMMARY
Date registered:	23-12-2008
Legal form:	Private Limited Liability Company
Main activities:	Distributor of animal meal and tallow products.
Employees:	30 - Estimated
REGISTRY DATA
Key Facts
Date registered:	23-12-2008
Legal form:	Private Limited Liability Company
Registration no:	2199505
Registry auth.:	Registrar of Companies
Other reg.:	NZBN: 9429032436754
Registry status:	Live/Active
LEGAL FILINGS
Bankruptcy filings:	None
Court judgements:	None
Tax liens:	None
Other:	None
MANAGEMENT & STAFF
Key Managers
Name:	Andrea Muratori
Job title:	Director
Name:	Hughbert Oliver Spence
Job title:	Director
Name:	Matthew John Spence
Job title:	Director
Name:	Piero Rinaldi
Job title:	Director
Staff
No of employees	30 - Estimated
BOARD OF DIRECTORS / OTHER APPOINTMENTS
Appointments
Name:	Andrea Muratori
Board function:	Director
Date appointed:	01-12-2009
Address:	Via Casette Zanasi N. 13 Int 4. Modena Italy
Name:	Hughbert Oliver Spence
Board function:	Director
Date appointed:	04-02-2009
Address:	6 Poto Street Remuera Auckland, 1050 New Zealand
Name:	Matthew John Spence
Board function:	Director
Date appointed:	31-07-2015
Address:	113 Coates Avenue Orakei Auckland, 1071 New Zealand
Name:	Piero Rinaldi
Board function:	Director
Date appointed:	25-02-2009
Address:	Viale Virginia Reiter 8/10 Modena Italy
SHARE CAPITAL
Composition
Number/type:	2,000 shares
Shareholders/Owners
How Listed	Full List
Composition
Name:	MODENA INVESTMENTS (NEW ZEALAND) LIMITED
% of shares:	100%
Address:	24th Floor, BDO Tower 120 Albert Street Auckland 1010 New Zealand
CORPORATE AFFILIATIONS
Structure
Name:	MODENA INVESTMENTS (NEW ZEALAND) LIMITED
Affiliation type:	Parent Company
Address:	24th Floor, BDO Tower 120 Albert Street Auckland 1010 New Zealand
Name:	WALLACE GROUP LIMITED PARTNERSHIP
Affiliation type:	Associate
Address:	266 Wood Road, Rd 1 Waitoa, 3380 New Zealand
Comment:	Joint venture between MODENA INVESTMENTS (NEW ZEALAND) LIMITED (the Subject's Parent Company) and WALLACE CORPORATION LIMITED
BANKING & FINANCING
Charges & Mortgages	Time of Registration: 09-Sep-2011 10:08 Debtor Name: FARM BRANDS LIMITED Financing Statement Registration No: FV1HD83462220B3B/C0002 Incorporation No: 2199505 City/Town: AUCKLAND Collateral Type: Goods - Other Time of Registration: 10-Aug-2017 14:25 Debtor Name: FARM BRANDS LIMITED Financing Statement Registration No: F80965VT7895RR14 Incorporation No: 2199505 City/Town: AUCKLAND Collateral Type: Goods - Other
FINANCIAL ACCOUNTS
Description
Required to file:	No
Source:	N/A
Comments	The Subject's financial statements were not available in the course of our investigation.
OPERATIONS & HISTORY
Activities
Full description:	The Subject is engaged in the distribution of animal meal and tallow products.
Sales
Export:	USA, Asia
Key Events	In 2017, the parent company of Farm Brands, MODENA INVESTMENTS (NEW ZEALAND) LIMITED, has merged with WALLACE CORPORATION LIMITED to create WALLACE GROUP LIMITED PARTNERSHIP. The newly-formed joint venture, WALLACE GROUP LIMITED PARTNERSHIP has been established to merge their rendering and tanning businesses and to acquire the business and assets of KEEP IT CLEAN LIMITED, which operates a rendering business in Abbotsford, Dunedin. “Farm Brands” and WALLACE CORPORATION LIMITED currently have rendering and tanning businesses throughout New Zealand, and WALLACE CORPORATION LIMITED operates a casualty stock collection service in the North Island. The partners in the WALLACE GROUP LIMITED PARTNERSHIP intend to grow the combined businesses following the investment, including by increasing processing capacity at Farm Brands’ rendering plant at Washdyke and Timaru and establishing a collection service to collect casualty cattle from farms in the South Island, similar to the service currently operated in the North Island.
PROPERTY & ASSETS
Premises	The Subject principally operates from premises located at the heading address, consisting of administrative offices.
PAYMENTS
Purchase Terms
Local:	Cash Credits 14-30 days
Imports:	Credits 30 days net
Sales Terms
Local:	Cash Credits 14-30 days
Exports:	Credits 30 days net
Debt Collections / Judgements	No negative information was found.
Payment Experience
Payment behaviour:	Slow but Correct
INVESTIGATIVE NOTES
Sources:		Interviews and material provided by the Subject Other official and local business sources

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 65.02
UK Pound	1	INR 90.12
Euro	1	INR 80.09
NZD	1	INR 47.55

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

INFORMATION DETAILS

Analysis Done by :	PRI
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)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.