|
|
|
MIRA INFORM REPORT
|
Report No. : |
507644 |
|
Report Date : |
08.05.2018 |
IDENTIFICATION DETAILS
|
Name : |
INTERNATIONAL PHARMACEUTICAL & CHEMICAL MANUFACTURING CO LTD |
|
|
|
|
Registered Office : |
Abu Al Haj Complex, Queen Rania Street, Jubaiha Area, PO Box : 334, Amman 11941 |
|
|
|
|
Country : |
Jordan |
|
|
|
|
Financials (as on) : |
31.12.2017 |
|
|
|
|
Date of Incorporation : |
1992 |
|
|
|
|
Com. Reg. No.: |
3400, Amman |
|
|
|
|
Legal Form : |
Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacture and marketing of pharmaceuticals, including antibiotics, cephalosporin and
noncephalosporin, antifungals, cardiovascular, nervous system, iron preparations
and dermatological preparations under license from Schein Pharmaceuticals of
the USA. |
|
|
|
|
No. of Employees : |
800 |
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 |
|
Maximum Credit Limit : |
US$ 1,750,000 |
|
|
|
|
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 (30.09.2017) |
Current Rating (31.12.2017) |
|
Jordan |
B1 |
B1 |
|
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 |
JORDAN - ECONOMIC OVERVIEW
Jordan's economy is among the smallest in the Middle East, with insufficient supplies of water, oil, and other natural resources, underlying the government's heavy reliance on foreign assistance. Other economic challenges for the government include chronic high rates of poverty, unemployment and underemployment, budget and current account deficits, and government debt.
King ABDALLAH, during the first decade of the 2000s, implemented significant economic reforms, such as expanding foreign trade and privatizing state-owned companies that attracted foreign investment and contributed to average annual economic growth of 8% for 2004 through 2008. The global economic slowdown and regional turmoil contributed to slower growth from 2010 to 2017 - with growth averaging 2.6% per year - and hurt export-oriented sectors, construction, and tourism. Since the onset of the civil war in Syria and resulting refugee crisis, one of Jordan’s most pressing socioeconomic challenges has been managing the influx of 650,000 UN-registered refugees, more than 80% of whom live in Jordan’s urban areas. Jordan’s own official census estimated the refugee number at 1.3 million as of early 2016.
Jordan is nearly completely dependent on imported energy—mostly natural gas—and energy consistently makes up 25-30 percent of Jordan’s imports. To diversify its energy mix, Jordan has secured several contracts for liquefied natural gas and is currently exploring nuclear power generation, exploitation of abundant oil shale reserves and renewable technologies, as well as the import of Israeli offshore gas. In August 2016, Jordan and the IMF agreed to a $723 million Extended Fund Facility that aims to build on the three-year, $2.1 billion IMF program that ended in August 2015 with the goal of helping Jordan correct budgetary and balance of payments imbalances.
|
Source : CIA |
SUMMARY
Company Name : INTERNATIONAL PHARMACEUTICAL &
CHEMICAL MANUFACTURING CO LTD
Also Known As : PHARMA INTERNATIONAL CO
Country of Origin : Jordan
Legal Form : Limited Liability Company
Registration Date : 1992
Commercial Registration Number : 3400, Amman
Chamber Membership Number : 8882
National ID Number : 200009818
Issued Capital : JD 28,816,000
Paid up Capital : JD 28,816,000
Total Workforce : 800
Activities : Manufacturers of pharmaceuticals, chemicals and medicine products
Financial Condition : Good
Payments : Regular
Operating Trend : Steady
Person Interviewed : Ahmed Omran, Financial Controller
Recommended Credit Limit : US$ 1,750,000
COMPANY
NAME
INTERNATIONAL PHARMACEUTICAL & CHEMICAL MANUFACTURING CO LTD
ALSO KNOWN AS: PHARMA INTERNATIONAL
CO
ADDRESS
Registered & Physical
Address
Building : Abu Al Haj
Complex
Street : Queen Rania
Street
Area : Jubaiha Area
PO Box : 334
Town : Amman 11941
Country : Jordan
Telephone : (962-6) 4711596
/ 5150580 / 5157893 / 5158890 / 4711802
Facsimile : (962-6)
4711584 / 5150583 / 5154783
Email : gmoffice@pic-jo.com
/ pharma@pic-jo.com
Premises
Subject operates from a large suite of offices that are owned and
located in the Central Business Area of Amman.
Branch Office (s)
Location Description
·
Al Qastal Area Factory
premises
Amman
Tel: (962-6)
4711585 / 4711586 / 4792222
Fax: (962-6)
4711584
KEY
PRINCIPALS
Name Position
·
Osama Ali Mohamed Hussain Abu Al Haj Managing
Director
·
Ali Mohamed Hussain Abu Al Haj Director
·
Raed Ali Mohamed Hussain Abu Al Haj Director
·
Ghazi Abdulrahi, Mohamed
Al Rawi Director
·
Abdel Malil Bin Abdullah Bin
Hamd Al Hokail Director
· Abdullah Bin Ahmed Bin Sultan Al Kenani Director
·
Zayed Bin Mohamed Makki
Bin Saleh Al Tonsi Director
·
Mohamed Abu Hassan Chief
Financial Officer
·
Ahmed Omran Financial
Controller
·
Omar Hurr Production
Manager
LEGAL
FORM & OWNERS
Date of
Establishment : 1992, full
production began in 1995
Legal Form : Limited Liability
Company
Commercial Reg.
No. : 3400, Amman
Chamber Member No. : 8882
National ID No. : 200009818
Issued Capital : JD 28,816,000
Paid up Capital : JD 28,816,000
Name of Shareholder (s) Percentage
·
Akzantia Cayman Holding Ltd 51%
Dubai
United Arab
Emirates
·
Osama Ali Mohamed Hussain Abu Al Haj 49%
Note to the Legal Form
The limited liability company may be composed of two or more
shareholders whether legal or natural persons, each responsible only for the
liabilities of the company to the extent of their share participation in the
capital of the company. The limited liability company may not offer its shares
for public subscription or increase its capital or borrow by subscription. The minimum capital for
foreign investments is fifty thousand Jordanian dinars (JOD 50,000) for
each non-Jordanian Shareholder.
AFFILIATED
COMPANIES
·
Madinet Al Dawaa
Jeddah
Saudi Arabia
OPERATIONS
Activities: Manufacture and marketing of pharmaceuticals, including antibiotics, cephalosporin and
noncephalosporin, antifungals, cardiovascular, nervous system, iron
preparations and dermatological preparations under license from Schein
Pharmaceuticals of the USA.
Subject is ISO 9001 accredited.
Subject has developed more than 150 products divided in several
therapeutic categories including:
|
Anti-histamines |
|
Anti-Inflammatory |
|
Gastrointestinal tract |
|
Respiratory |
|
Anti-Infective |
|
Cardiovascular |
|
Topical |
|
Alimentary |
|
Central Nervous System |
|
Erectile dysfunction |
|
Vitamins and Minerals |
|
Anaesthetics |
|
Anti-obesity |
On 6th May 2015 the subject entered into an exclusive license
and distribution agreement with Orbit Lifescience Pvt. Ltd. (Orbit), under
which Orbit grants PIC the exclusive license to market and sell Orbit’s
Evarise® in the MENA region.
Import Countries: Europe and the Far East
Operating Trend: Steady
Subject has a workforce of approximately 800 employees.
FINANCIAL
DATA
Financial highlights provided by local sources are given below:
Currency: Jordanian Dinar (JD)
Year Sales
Year Ending 31/12/15: JD
67,735,000
Year Ending 31/12/16: JD
75,000,000
Year Ending 31/12/17: JD
82,000,000
Local sources consider subject’s financial condition to be Good.
Note:
According to Jordanian Commercial Law, only Public Shareholding
Companies (Listed on the Amman Stock Market) are required to publish their financial information.
Financial information on other legal forms can only be obtained from the
companies / businesses directly
BANKERS
·
Arab Bank Plc
Abdali Branch
PO Box: 926607
Amman 11110
Tel: (962-6)
5607231 / 5607115
Fax: (962-6) 5606793
/ 5606830
·
Jordan Kuwait Bank
Jubaiha
Branch
PO Box:
473
Amman
PAYMENT
HISTORY
Regular
GENERAL
COMMENTS
During the course of this investigation the following sources were
consulted:
- Internal database
- Journals, directories, media
& web searches
- Local Registry office
During the course of this investigation nothing detrimental was
uncovered regarding subject’s operating history or the manner in which payments
are fulfilled. As such the company is considered to be a fair trade risk.
COUNTRY
OUTLOOK
GDP growth
moderated during 2015 to an estimated 2.4 %, the slowest pace in four years,
magnifying already-high unemployment. Security spill
overs from regional conflict worsened, negatively impacting tourism,
construction, investment and trade. However, growth in a number of sectors held
up well through the third quarter of 2015, including in finance and insurance
services, transport, storage and communications, electricity and water, and
mining and quarrying. Unemployment rose to 13.0 % in 2015, an increase of 1.1 %
age points relative to 2014. There was a mild deflation for most of 2015 due to
further falls in global oil prices, a weakened Euro, a negative output gap, and
easing of supply side pressures experienced in previous years (notably on
housing prices, due to the large influx of refugees in 2012-13). Monetary
policy remained expansionary with the central bank reducing the key policy
lending rate by 125 basis points during the course of 2015. International
reserves slightly rose to $ 14.2 billion (7.5 months of imports) by end-2015.
The fiscal deficit
was narrower in 2015 thanks to lower expenditures and lower transfers to the
National Electric Power Company (NEPCO), which
outweighed the fall in domestic revenues and grants. NEPCO resorted to
borrowing from commercial banks instead of the government in 2015 providing a
7.0 % of GDP relief to the fiscal balance, without which the fiscal deficit
would have widened. NEPCO’s debt continues to be government guaranteed and
combined with the fiscal deficit and slowing GDP growth contributed to pushing
the gross debt to GDP ratio to an estimated 93 % at end-2015.
The current account
deficit is expected to have widened in 2015, mainly due to lower public
transfers and a 7.1 % fall in tourism receipts, and despite a narrowing trade
deficit. The merchandise trade balance narrowed by 14 % on
account of a 40.4 % fall in energy imports. These outweighed a 7.1 %
contraction of direct exports (themselves buttressed by 10.9 % growth in
phosphate exports) affected by land trade route closures with Syria and Iraq,
traditionally Jordan’s largest export partner. Remittances are slowing, growing
by only 1.5 % during 2015.
Growth is expected
to improve to 3.0 % in 2016, assuming no further worsening in the regional
security situation and associated spill overs. This is driven
by an expansion in mining and quarrying sector and positive base effect of
tourism and construction sectors. Jordan is working towards an Extended Fund
Facility (EFF) with the IMF. The EFF is anticipated to support further fiscal
consolidation efforts in parallel with growth-enhancing and job-creating
structural reforms. The baseline growth forecasts assume agreement on an EFF
leading to a fiscal adjustment and a lower debt-to-GDP level. The balance of
risks is on the downside. Managing repercussions from the regional security and
political situation is a key risk in addition to the challenges of hosting a
substantial number of Syrian refugees. Additionally, persistently low oil prices
are a risk this year and in the medium term, given their potential impact on
remittances, exports, FDI and grants from the GCC. Fiscal adjustment measures
are likely to be difficult. Furthermore, the willingness and speed of reform
implementation particularly to improve the business climate will be crucial to
meet the country’s investment aspirations.
Key Economic Indicators 2014 2015 2016* 2017*
Real GDP Growth (%)
3.1 2.4 3.0 3.3
Inflation Rate (%)
2.9 -0.9 1.3 2.7
Fiscal Balance (% of GDP) -9.1 -3.4 -2.1 -1.3
Current Account Balance (% of GDP) -1.0 -9.1 -6.6 -6.0
* forecast
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 67.11 |
|
|
1 |
INR 90.85 |
|
Euro |
1 |
INR 80.12 |
|
JOD |
1 |
INR 94.58 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
NIS |
|
|
|
|
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)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.