Ariostea M.H.S.

Company Presentation

Funded in 2012, Ariostea M.H.S. is a manufacturer of handling and storage systems The company, managed by Arturo Moreschi, has 19 employees and is based in Brescia (Italy). The Company was established as a spin off of Ariostea created in 1950.

The company’s main activity are:

• engineering, design, fabrication, delivery, installation of material hendling and storage systems for bulk materials in Plastic and Chemical industries.

The company works with B2B customers all over the world, about 70% of turnover is coming from international customers.

The company has been working with 24 historical clients.

The company is partly owned by Zzen Real Estate Italy S.R.L., Italian branch of Zzen Group Of Companies Limited owned by the Canadian tycoon Vic De Zen.

Key Numbers

Find out all the details of the financial indices used in the project credit analysis.

https://help.lendix.com/tutorials-in-english/understand-and-analyze-projects/understanding-key-financial-figures

Project Presentation

Ariostea MHS wishes to borrow 750 000 € over 48 months to finance the purchase of a new machinery for silos manufacturing and related tools.

At least 40% of the risk of this loan is covered by a guarantee from the Republic of Italy via the “Fondo di Garanzia PMI”. Learn more here

Like all projects presented to private lenders on Lendix, this one is co-financed with institutional investors, qualified investors, and the management of Lendix, subscribers of the Lendix Fund.

Analyst Opinion

With a turnover of 4 569 000 € in 2016 and an experienced team, the company has an excellent track record combined with a two-digit operating margin. Over the past years, increase of turnover is related to the recovery of investment in plastic production industry while expanding its activities entering in new markets like Japan.

The forecast has been based on the level of activity in 2017 considering orders already acquired for the 2018.

The borrower has a good repayment capacity with a forecasted FCCR (Fixed Charge Cover Ratio *) at 1,11 and a strong financial structure, with a forecasted net debt / ebitda ratio of 1,00 and a net debt/shareholder equity of 108,0%. The analysis of the project leads to a credit rating of B with a strong financial strength and a 5,80% annual interest rate.

Strong Points of the Opportunity:

• Historical company with strong know how and experience in the market;
• Support of a solid international shareholder;
• Good repayment capacity with forecasted FCCR of 1,11.

Point of Vigilance:

• Customer concentration.

*The multiple of FCCR at 1,11 means that the company has a safety margin of 11% relative to its ability to repay its credit maturities.

The expert opinion is given as an indication on the basis of the elements provided by the project holder and information from our databases (ModeFinance, Crif, Cerved). This opinion is only an element of reflection in the decision making of a lender to participate in the financing of a project.