3decades

MIRA INFORM REPORT

Report No. :	498280
Report Date :	20.03.2018

IDENTIFICATION DETAILS

Name :	PET PACKAGING (PVT) LTD

Registered Office :	# 555/5 D, Gonahena Road, Ranmuthugala Estate, Gonahena Road, Kadawatha

Country :	Sri Lanka

Date of Incorporation :	29.09.1994

Com. Reg. No.:	PV 14143

Legal Form :	Private, Limited Liability Company (In Operation)

Line of Business :	Manufacturers, Exporters and Suppliers of Carbonated and Non-Carbonated Products.

No. of Employees :	200+ Approximately

RATING & COMMENTS

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

MIRA’s Rating :

Credit Rating

Explanation

Rating Comments

Medium Risk

Business dealings permissible on a regular monitoring basis

Status :	Moderate

Payment Behaviour :	Unknown

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)

Sri Lanka

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

SRI LANKA - ECONOMIC OVERVIEW

Sri Lanka is attempting to sustain economic growth while maintaining macroeconomic stability under its IMF program that it began in 2016. The government's high debt payments and bloated civil service cadre, which have contributed to historically high budget deficits and low tax revenues, remain a concern. Government debt is about 75% of GDP and remains among the highest of the emerging markets. Sri Lanka will need to balance its elevated debt repayment schedule with its requirement to maintain adequate foreign exchange reserve levels in the coming years.

In May 2016, Sri Lanka regained its preferential trade preferences under the European Union’s Generalized System of Preferences Plus (GSP+), enabling many of its firms to export products, including it top export garments, tax free to the EU. Also in 2016, the government reformed elements of the country’s tax regime to increase some tax rates and broaden the tax net in response to recommendations made under its IMF program.

Tourism has experienced strong growth during recent years following the resolution of the government's 26-year conflict with the Liberation Tigers of Tamil Eelam. The government has been pursuing large-scale reconstruction and development projects in its efforts to spur growth.

Source : CIA

Company Profile

BASIC INFORMATION

a.	Name of Subject of Inquiry	PET PACKAGING (PVT) LTD
b.	Legal Form & Status	Private, Limited Liability Company (In Operation)
c.	Chairman	Mr Mahalingam Ramachandra Sarma
d.	Primary Line of Business	Manufacturers, Exporters and Suppliers of Carbonated and Non-Carbonated Products
e.	Principal Place of Business	# 555-5D, GONAAHENA ROAD, RANMUTHUGALA ESTATE, KADAWATHA Sri Lanka Phone : (00 94 11) 297 2695 / 297 1722 Fax : (00 94 11) 297 1057 E-Mail: sarma@mycola.lk Web Site: http://www.mycola.lk/
f.	Employees	200+ Approximately

Company Details

a.	Registration No	N(PVS) 13741
	Date of Registration	29^th September 1994
b.	Re-registration No	PV 14143
	Date of Re-registration	17^th June 2009
c.	Registered Office	# 555/5 D, Gonahena Road, Ranmuthugala Estate, Gonahena Road, Kadawatha, Sri Lanka.
d.	Director Board / Ownership As At 24^th November 2017	Mahalingam Ramachandra Sarma	Chairman
		Latzka Ernst	Director
e.	Stated Share Capital	LKR 50,009,500.00
f.	No. of Shares	5,000,950
g.	Preferential Shares	NA
h.	Nominal Value of Share	LKR 10.00
i.	Auditors	T & D Chartered # 34/7, Barnes Place, Colombo 07, Sri Lanka.
j.	Company Secretaries	Varners International (Pvt) Ltd Level 14, West Tower, World Trade Center, Echelon Square, Colombo 01, Sri Lanka.
k.	Main Bank/s	NA

Shareholders - NA

NO.

NAME

NUMBER OF SHARES

Mahalingam Ramachandra Sarma

Sigma Overseas Company (Pvt) Ltd

5,000,949

FINANCIAL DETAILS

- Most recent available Financial Information

CURRENT INVESTIGATION

Company Logo

· HISTORY.

The subject company was initially formed on 24^th June 1999 under N (PVS) 32935 under the Companies Act of Sri Lanka. The subject company was subsequently Re-registered on 19^thDecember 2008 under PV 10347 under the Companies Act No 7, of 2007 as per the mandatory regulations of Sri Lanka.

Caption

My Cola was never an easy child to bear, but a precious child to sustain. Pet Packaging the mother of My Cola Beverages started its operation in 1994 as a bottled water manufacturer when hygienic bottled drinking water was merely a concept in Sri Lanka. Pet Packaging introduced CRISTAL bottled water and later in 2004, My Cola as a BOI approved project. Powered by an imagination that has now conquered borders, the will to succeed, and a continuous learning approach has seen fertilized as an idea and rinsed through trials and tribulations like a phoenix. My Cola revolutionized the hitherto two-way concept of the carbonated soft drinks.

Carbonated soft drinks manufacturers for many years used the returnable glass bottles while My Cola introduced the one-way pack pet bottles with a handy handle to carry. Through innovative concepts and dedication, My Cola has won the trust & love of Sri Lankan consumers. My Cola operates with a marketing fleet exceeding 80 dedicated marketing personnel and has an island wide coverage over 50 distributors and many super markets having proudly obtained a market share of over 5%.The company today markets two brands of water and My Cola products with a portfolio of flavours not second to any of the multi national products.The beverage brand My Cola extends flavours such as my Cola, my Orange, my Lemon, my Soda, my Cream Soda, my MGB AND my Power Energy drink . The My Cola range is well presented as modernised environmental friendly convenient PET plastic bottles which will thrill your moment and tempt you to grab one from the bottle cooler or from the shelf of a corner shop near you home.

My Cola not only has flavors to inspire you, but a variety of sizes such, as 330 ml, 500 ml, 1000 ml, 1500 ml and 2000 ml that's just right for your need at the given moment. Quality is at the heart of all brands at My Cola, Well trained factory and quality staff adheres to stringent quality measures and continuously upgrades its best practices to provide the most trusted water and beverage brand in Sri Lanka with SLSI and Ministry of Health certifications. "We propel the art of innovation with simple dreams

· OPERATIONAL DETAILS

General

The subject company can be considered a new entrant to a already dominated market segment by 2 main parties namely "Coco Cola - Pure Beverages" and CCSL - Elephant Brand Soft drinks both being under Group of companies which are among the top companies of Sri Lanka. The company as a new entrant is doing fair in its business but it's a tough market to hang on to at present. The company also markets drinking bottled water and all its products are available in most parts of the Island but mainly in Colombo.

Products & Services

Carbonated Beverages - My Cola, My Power, My Cream, My Orange, My Lemon etc.. Non- Carbonated - My Life, Crystal Bottled water

Employees

200+ Approximately

Export Countries

Maldives

Import Countries

Associate / Subsidiary Companies

My Beverages Marketing (Pvt) Ltd

Factory / Warehouse and Sales Outlets

Under BOI

Personal Details of Key Persons

Director 1
ITEM	DETAIL
Name	Mahalingam Ramachandra Sarma
ID Number	622501210V
Nationality	Sri Lankan
Gender	Male
Date of Birth	06.09.1962
Age	55
Address	# 19/02, Papiliyana Mawatha, Kohuwela, Nugegoda, Sri Lanka.

Director 2
ITEM	DETAIL
Name	Latzka Ernst
ID Number	J 04186394
Nationality	Australian
Gender	Male
Date of Birth	NA
Age	NA
Address	Wilbrandtgasse 1180 Wien Australia.

Information Declined

MANAGEMENT NON CO-OPERATIVE

Contact No.: 009411-2972695/ 2971722

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 65.04
UK Pound	1	INR 90.56
Euro	1	INR 79.78
LKR	1	INR 0.42

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

INFORMATION DETAILS

Information Gathered by :	SVT

Analysis Done by :	PRI

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)

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.