Base Value for 20% Shares: US$ 728,647,296 Assessment Date: July Assessment Method: Net Assets Market Value Transferring Method: Farabourse Iran

Transcription

1 Sugarcane & Affiliated Industries Development Co. (private joint stock) Base Value for 20% Shares: US$ 728,647,296 Assessment Date: July 2015 (Exchange Rate: 29,563 IRR) Assessment Method: Net Assets Market Value Transferring Method: Farabourse Iran Part I: General Information Since long times ago, Khuzestan Province has been one of the important centers of production of sugarcane. In some cases production of 220 tons cane per hectare has been seen in this province. So cultivation of sugarcane in this province is considered a relative preference. Sugarcane Development Holding, one of the biggest producers of sugar in the country, located at Khuzestan Province and with the production capacity of 700,000 tons of white sugar, has allocated half of the production of sugar in the country to himself. Along with the main activity, this company produces industrial boards from megass (MDF), pulp and medical alcohol from molasses and also performs the projects to produce medical sugar, brown sugar, flavored sugar and powdery sugar. This company is operated in Number of the main company s staff in 2014 was 239 and number of the staff of subordinated companies was 8,342. Central office of the company is located at No. 88, the second 12 metri, near Niayesh Crossroad, Seoul St., Tehran. This holding includes Agro Industry of Imam Khomeini, Amir Kabir, Dabal Khazaee, Mirza Koochak Khan, Salman Farsi, Hakim Farabi, Shoaybie Livestock Feed Company, Sugarcane Development Mercantile Company, Aban Bespar Tosee, Rased Sanaat Toseea, Pulp and Alcohol, Dehkhoda Sugarcane Cultivation and Industry, Sugarcane Sadad Fam, Lohe Sabze Jonub, Sugarcane Development Research and Training Institute.

2 Part II: Main Information Parent Company: Ministry of Agricultural Jihad Shareholders: Bank Saderat Iran (40%), Bank Melli Iran (30%), Ministry of Agricultural Jihad (20%), Ayandeh Pouya Plan & Development Management Co. (10%) Capital: US$ 386,665,765 Chief Executive Officer: Mr. Sadeghi Establishment Date: 1990 Operation Date: 1990 Registration place: Tehran Asset (evaluated): US$ 4,562,155,397 (Machinery: US$ 1,832,425,667) Liabilities (evaluated): US$ 964,854,717 (Long-term Loans: US$ 410,749,924) Net profit (loss): US$ 17,217,468 Retained earnings (loss): US$ 138,720,698 Location: Seoul St., Tehran (subsidiary companies are located at Khoozestan Province) Field of Activity: Production of Sugar, Pulp, Livestock feed, Printing & Writing paper, Intensive Fiber, and Alcohol Number of Staff in 2014: The main company: 239, Group: 8,342

3 Part III: Financial Information 3-1-Main Items of Assets in US$ Assets Details (Exchange Rate: 29,563 IRR) Machinery (3-1-1) 119,203,058 1,832,425,667 Land (3-1-2) 378,784,291 1,587,186,686 Installations 169,840, ,007,205 Buildings 167,675, ,227,649 Other assets 449,751, ,308,189 assets 1,285,255,218 4,562,155, Machinery in US$ Name of the company Dehkhoda 15,390, ,969,827 Hakim Farabi 28,819, ,701,756 Mirza Koochak Khan 10,215, ,399,858 Dabal Khazaee 6,291, ,509,860 Amir Kabir 6,054, ,619,863 Salman Farsi 372, ,914,048 Imam Khomeini 4,532, ,681,798 South Green Loh 33,081, ,809,931 Alcohol 13,868,687 89,469,946 Others 575,043 3,348, ,203,058 1,832,425,667

4 3-1-2-Lands details in US$ Name of the company Dabal Khazaee 46,240, ,135,778 Hakim Farabi 50,705, ,452,999 Amir Kabir 69,005, ,732,131 Dehkhoda 81,317, ,861,178 Mirza Koochak Khan 7,712, ,590,840 Salman Farsi 69,140, ,768,494 Sugarcane Development Holding 1,657, ,039,374 Imam Khomeini 47,796, ,895,816 Others 2,570,781 16,710,077 Consolidation Adjustments Balance 376,145,858 1,587,186,686 2,638, ,784,291 1,587,186,686 *From 121,721 hectares lands of group companies, the title deeds of 47,144 hectares are not transferred to these companies yet. *The book value of land in Consolidated Financial Statements differs from detail accounts according to the financial statements, in amount of US$ 2,638,433 which is considered as Consolidation Adjustments.

5 3-2-Main Items of Liabilities & Capital in US$ Liabilities Details Independent Expert Portion of long-term loans (3-2-1) 410,749, ,749,924 Portion of short-term loans (3-2-1) 52,024, ,133,782 Current capital increase (3-2-2) 197,544, ,544,228 Other accounts & notes payable 71,981,869 86,594,730 Other liabilities 54,764,401 54,832,054 liabilities 787,064, ,854,717 Profit(loss) from 21 March 2015 to 22 July ,003,450 Retained earnings(loss) 92,717, ,720,698 Capital 386,665, ,665,765 Owner s equity 498,190,305 3,643,304, Loans in US$ Bank Saderat Iran Bank Melli Iran Bank Saderat Iran (Tehran,Jomhoori Branch) Fuel Subsidy Social Security Organization Deducting Portion of long-term Current portion Annual interest rate Group Main company 14% 266,244, ,814,193 14% 188,681,798 55,643,879 Independent Expert 618,036,059 14% 2,198,694 2,198,694 2,198,694 3% 2,401, ,401, ,247,302 3,247,302 3,247, ,774, ,904, ,883,706 - (410,749,924) (152,690,864) (410,749,924) 52,024,490 19,213, ,133,782 *Promissory note is the security of all loans.

6 3-2-2-Current capital increase: According to the ratification of Extraordinary General Assembly dated 29 May, 2013, based upon the capital increase on the amount of Rls. 16,000 Billion during 27 months, of the credit of claims or shareholders cash brought and on the basis of ratification of the company s board of directors, dated 26 January, 2014, the company s capital is increased during the fiscal year ended to 21, December, 2014, from US$ 92,378,987 to US$ 386,665,765, of the credit of increased claims of shareholders. The increase in capital is registered in Organization for Registration of Deeds and Properties on 10 June, Current capital increase balance for the sum of US$ 197,544,228 on 21 December, 2014 is for banks claims portion on the second step of capital increase, according to the above ratification that is not registered till now, because of disagreement of Iranian Privatization Organization (IPO) for registration of the mentioned capital increase. 3-3-Main Items of Income Statement in US$ Operating revenues (3-3-1) Cost of goods sold& services Gross profit(loss) Sales, administrative & general expenses Net other operating revenues & expenses Operating profit (loss) Financial expenses Net other non-operating revenues & expenses Tax Net profit (loss) Book Value (December 2013) 354,869, ,328,214 (225,078,646) (139,701,654) 129,790,617 79,626,560 (31,153,807) (20,498,596) (8,591,821) (14,376,078) 90,044,989 44,751,886 (73,098,129) (86,019,687) 811,826 3,416,433 (541,217) (541,217) 17,217,468 (38,392,585)

7 3-3-1-Operating revenues White sugar Alcohol All kinds of industrial boards & derivatives Pulp Concrete Products Livestock Feed Cube Sugar Revenues of Raw Sugar Refining Other Services December 2014 December 2013 Quantity (kg) Amount (US$) Quantity Amount (kg) (US$) 486,122, ,377, ,720, ,174,678 22,993,058 28,481,548 22,787,545 17,657,207-15,289,382-13,462,774 6,069,857 10,553,733 5,507,393 7,103,474-3,551,737-3,822,345 32,089,410 2,672,259 20,062,550 1,928, , ,181,916 1,792,782 57,230,602 2,469, , , ,869, ,328,214 Part IV: Other Information 4-1-Primary Predictions of the Project 1- Production of 7,000,000 tons of sugarcane with establishing 7 agro-industry units. 2- Production of 700,000 tons of sugar with establishing 7 (100,000 tons) factory. 3- Production of 350,000 tons of paper with establishing 4 (87,500 tons) paper mill. 4- Production of 700,000 tons of Livestock Feed. 5- Production of 100,000 tons of industrial boards from megass (MDF). 6- Production of 33,000,000 liters of alcohol. 7- Production of 10,000 tons of dry active pulp.