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MIRA
INFORM REPORT
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Report No. : |
506501 |
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Report Date : |
08.05.2018 |
IDENTIFICATION DETAILS
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Name : |
NESAF STEEL FACTORY |
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Registered Office : |
Khalid Ibn Al Waleed Street, Qurtuba District, PO Box: 10297, Riyadh
11685 |
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Country : |
Saudi Arabia |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
16.03.2012 |
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Com. Reg. No.: |
1010175459, Riyadh |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Subject is engaged in the manufacture of construction steel |
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No. of Employees : |
100 |
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 : |
No Complaints |
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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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Saudi Arabia |
A2 |
A2 |
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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 |
SAUDI ARABIA - ECONOMIC OVERVIEW
Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 87% of budget revenues, 42% of GDP, and 90% of export earnings.
Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Approximately 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors; at the same time, however, Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population.
In 2017, the Kingdom incurred a budget deficit estimated at 8.3% of GDP, which was financed by bond sales and drawing down reserves. Although the Kingdom can finance high deficits for several years by drawing down its considerable foreign assets or by borrowing, it has cut capital spending and reduced subsidies on electricity, water, and petroleum products and recently introduced a value-added tax of 5%. In January 2016, Crown Prince and Deputy Prime Minister MUHAMMAD BIN SALMAN announced that Saudi Arabia intends to list shares of its state-owned petroleum company, ARAMCO - another move to increase revenue and outside investment. The government has also looked at privatization and diversification of the economy more closely in the wake of a diminished oil market. Historically, Saudi Arabia has focused diversification efforts on power generation, telecommunications, natural gas exploration, and petrochemical sectors. More recently, the government has approached investors about expanding the role of the private sector in the health care, education and tourism industries. While Saudi Arabia has emphasized their goals of diversification for some time, current low oil prices may force the government to make more drastic changes ahead of their long-run timeline.
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Source : CIA |
SUMMARY
Company Name : NESAF STEEL FACTORY
Country of Origin : Saudi Arabia
Legal Form : Limited Liability Company
Registration Date : 16th March 2012
Commercial Registration Number : 1010175459, Riyadh
Issued Capital : SR 5,000,000
Paid up Capital : SR 5,000,000
Total Workforce : 100
Activities : Manufacturers of construction steel
Financial Condition : Fair
Payments : No complaints
Person Interviewed : Aziz Ayad Ali, Factory Manager
COMPANY NAME
NESAF STEEL FACTORY
ADDRESS
Registered & Physical Address
Street :
Khalid Ibn Al Waleed Street
Area :
Qurtuba District
PO Box :
10297
Town : Riyadh 11685
Country : Saudi Arabia
Telephone : (966-11)
2408129 / 2253115
Facsimile : (966-11)
2457631
Mobile :
(966-54) 7039562 / 1855869 / (966-50) 0022229
Email :
info@metalscorners.com
Please note that subject’s previous address was, Izdihar Area, Riyadh.
Premises
Subject operates from a medium sized suite of offices and a factory that
are rented and located in the Industrial Area of Riyadh.
Branch Offices
Location Description
· 2nd Industrial Area Office
premises
Al Kharj Area
Riyadh
KEY PRINCIPALS
Name Position
· Naser Ali Sulaiman Al Aqeel Chairman
· Ayman Sulaiman Ali Al Aqeel General
Manager
·
Ahmed Sulaiman Ali Al
Aqeel Assistant
General Manager
·
Aziz Ayad Ali Factory
Manager
LEGAL FORM & OWNERS
Date of
Establishment : 23/01/1433 Hijri
(corresponding to 16th March 2012)
Legal Form : Limited Liability
Company
Commercial Reg.
No. : 1010175459, Riyadh
Issued Capital : SR 5,000,000
Paid up Capital : SR 5,000,000
Name of Partner (s) Percentage
·
Metal Corner Holding Co 90%
Riyadh
CR No. 1010267953
· Naser Ali Sulaiman Al Aqeel 10%
OPERATIONS
Activities: Engaged in the manufacture of construction steel.
Subject has a workforce of 100 employees.
FINANCIAL DATA
Financial highlights provided by local sources are given below:
Currency: Saudi Riyals (SR)
Year
Ending 31/12/17:
Total Sales SR
18,000,000
Local sources consider subject’s financial condition to be Fair.
The above figures were provided by Aziz Ayad Ali, Factory Manager
BANKERS
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Saudi American Bank
PO Box: 833
Riyadh 11471
Tel: (966-11)
4774770
PAYMENT HISTORY
No complaints regarding subject’s payments have been reported.
GENERAL COMMENTS
The subject and its shareholders/owners have been searched in the
following databases; Office of Foreign Assets Control (OFAC), United Nations
Security Council Sanctions, Australian Sanctions List, US Consolidated
Sanctions List, EU Financial Sanctions List and UK Financial Sanctions List and
nothing adverse could be found on the exact names listed within the report.
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.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 67.11 |
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1 |
INR 90.85 |
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Euro |
1 |
INR 80.12 |
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SAR |
1 |
INR 17.87 |
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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NIS |
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Report Prepared
by : |
SYL |
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
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Company
background and operations size
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Promoters
/ Management background
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Payment
record
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Litigation
against the subject
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Industry
scenario / competitor analysis
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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.