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MIRA INFORM REPORT
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Report No. : |
497790 |
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Report Date : |
22.03.2018 |
IDENTIFICATION DETAILS
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Name : |
ISHTIAQ STEEL INDUSTRY |
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Registered Office : |
Kroll Ghatti, Mahmood Booti, Bund Road,
Lahore |
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Country : |
Pakistan |
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Financials (as on) : |
2016 [Summarized] |
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Date of Incorporation : |
1975 |
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Legal Form : |
Partnership |
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Line of Business : |
Subject is engaged in manufacture & marketing
of rolled steel products in Pakistan |
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No. of Employees : |
About 162 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
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Credit Rating |
Explanation |
Rating Comments |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow & Delayed |
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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
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Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Pakistan |
B1 |
B1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
PAKISTAN - ECONOMIC OVERVIEW
Decades of internal political disputes and low levels of foreign
investment have led to underdevelopment in Pakistan. Pakistan has a large
English-speaking population. A challenging security environment, electricity
shortages, and a burdensome investment climate have deterred investors.
Agriculture accounts for one-fifth of output and two-fifths of employment.
Textiles and apparel account for more than half of Pakistan's export earnings;
Pakistan's failure to diversify its exports has left the country vulnerable to
shifts in world demand. Pakistan’s GDP growth has gradually increased since
2012. Official unemployment was 6% in 2017, but this fails to capture the true
picture, because much of the economy is informal and underemployment remains
high. Human development continues to lag behind most of the region.
In 2013, Pakistan embarked on a $6.3 billion IMF Extended Fund Facility,
which focused on reducing energy shortages, stabilizing public finances,
increasing revenue collection, and improving its balance of payments position.
The program concluded in September 2016. Although Pakistan missed several
structural reform criteria, it restored macroeconomic stability, improved its
credit rating, and boosted growth. The Pakistani rupee, after heavy depreciation
in 2013, remained relatively stable against the US dollar in 2015-17. Balance
of payments concerns have reemerged, however, as a result of increased imports
and declining remittances.
Pakistan must continue to address several longstanding issues, including
expanding investment in education and healthcare, adapting to the effects of
climate change and natural disasters, improving the country’s business
environment, reducing dependence on foreign donors, and widening the country’s
tax base. Given demographic challenges, Pakistan’s leadership will be pressed
to implement economic reforms, promote further development of the energy
sector, and attract foreign investment to support sufficient economic growth
necessary to employ its growing and rapidly urbanizing population, much of
which is under the age of 25.
In an effort to boost development, Pakistan and China are implementing
the “China-Pakistan Economic Corridor,” with $60 billion in investments
targeted towards energy and other infrastructure projects. Pakistan believes
CPEC investments will enable growth rates of over 6% of GDP by laying the
groundwork for increased exports. CPEC-related obligations, however, have
raised IMF concern that capital outflows that will begin to increase in 2020.
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Source
: CIA |
Business
Name
ISHTIAQ STEEL INDUSTRY
Full
Address
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Registered
Address |
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Kroll Ghatti, Mahmood Booti, Bund Road,
Lahore, Pakistan |
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Tel No. |
92 (42) 36864260, 36864261, 36864262,
36885460, 36885465 |
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Fax No. |
92 (42) 36276426 |
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Email |
Short
Description Of Business
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a. |
Nature of Business |
Engaged in manufacture & marketing of
rolled steel products in Pakistan |
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b. |
Year Established |
1975 |
Sales
Office
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Address |
43-B, Peco Road, Badami Bagh, Lahore,
Pakistan |
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Tel No. |
92 (42) 37603432 |
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Fax No. |
92 (42) 36276426 |
Legal
Status
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Subject Company was established as a Partnership business in 1975 |
Details
of Management
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Names |
Nationality |
Address |
Occupation |
Designation |
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Mr. Iftikhar Hussain Mr. Arsalan Iftikhar Mr. Ahsan Iftikhar |
Pakistani Pakistani Pakistani |
Kroll Ghatti, Mahmood Booti, Bund Road,
Lahore Kroll Ghatti, Mahmood Booti, Bund Road,
Lahore Kroll Ghatti, Mahmood Booti, Bund Road,
Lahore |
Business Business Business |
CEO / Managing Partner Partner Partner |
Business
Activities
Subject Company is engaged in manufacture
& marketing of rolled steel products in Pakistan.
It purchases raw material against L/C, D/A, D/P basis.
It sells against cash / credit term basis to its domestic customers.
Its import globally from Companies belongs to European Countries, U.A.E., Korea, Taiwan, Japan, Singapore & China.
Its major customers are Heavy Industries, Engineering Corporations,
Cement Industries, Sugar Industries, Traders etc
Subject operates from caption leased factory premises situated at
industrial area of Lahore.
Subject employs about 162 persons in its set up.
Annual
Sales Volume
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Year |
In Pak Rupees |
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2016 |
360,000,000/- (Estimated) |
Annual
Production Volume
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Annual production
volume is indeterminable as it mainly depends upon the demand / requirements
from their domestic customers |
Trade
Suppliers (Foreign)
Subject import globally from Companies belongs to China, U.K., U.A.E.,
European Countries, India, Ukraine, Hong Kong & Korea
Bankers
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(1) Habib Bank Limited, Pakistan. (2) Faysal Bank Limited, Pakistan. (3) Standard Chartered Bank, Pakistan. (4) MCB Bank Limited, Pakistan. (5) United Bank Limited, Pakistan. |
Memberships
Pakistan Steel Melters Association.(PSMA)
Lahore Chamber of Commerce & Industry.(LCCI)
Comments
Subject Company was established in 1975 and is
engaged in manufacture & marketing
business. Overall reputation is satisfactory. Trade relations are reported as fair. In view of current disturbed
economic and political situation, we would advise to deal with all the business
in Pakistan with some caution.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 65.22 |
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1 |
INR 91.33 |
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Euro |
1 |
INR 79.96 |
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PKR |
1 |
INR 0.59 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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VIV |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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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.