Credit evaluation for ECO world development group Berhad
with refrences
Section 3: Credit Evaluation Conduct your credit assessment. For this purpose, you are required to conduct 7'Cs assessment and credit scoring exercise. You are required to apply relevant knowledge that you already learnt, example: for "capacity" evaluation you may utilize your knowledge of the Companies Act 2016 FINANCING PROPOSAL You are the Head of Business Financing (Team ) o.Bank Berhad (please refer to the "Instruction" at page 2. Your team has been assigned to evaluate the viability and propose a suitable financing structure for new tourism area development, namely, Eco Paradise at Lumut and Pangkor Island, Perak. The projet is owned by Eco World Development Group Berhad. Eco Worldis well known on their Greenish Initiatives which had received many awards Note: We use Eco World exercise only. This case of area development is an example only and not the real case of project undertaken by Eco World Development Group Berhad). ment Group Berhad as an example for the evaluation The whole development involves 65 acres of land which located located at two places ie. 35 acres ofmainland (Lumut) and 3oacresof the Pangkor Island (refer to the map below) The project is estimated to be completed within 3 years, from February 2019. Currently the are at Pangkor Island is a small jungle. Site clearance needs to bedone and the process is expected to be completed in 2 months. The total cost of the site clearance is RM900, ooo.oo. After the site is cleared, then only the propased development which consists of the devel be proceeded. At the same time, thereareseveral commercial and residential projects will be developed at Pangkor Island. The whole development is as follows (referto Table 1 and Figure 1: of four-star hotel, jetty and access road from the jetty to the resort can Table I: List of projects under Eco Paradise No Types ofDevelopment Project CostDevelopment 1. Resort (4 star) which consist 200,000,000 24 months Pangkor Island of 230 rooms, exclusive dining restaurant, spa, gym, swimming pool. (a) Construction cost (60% | 97,000,000 of the construction materials will be imported from China and Indonesia Interior and furniture (70% of the materials will be imported from Korea and China Japan, (b) 55,000,000 Construction of New Modern 2,400,00 12 months Pangkor Island 44,000,000 18 months Mainland-Lumut . Residential area30-unit double storey Semi D houses Facing the beach 7. Residential area 2 blocks of 170,000,000 36 months Mainland-Lumut 15-storey condominium next to the Semi D area 1 10,000,000 24 months Lumut storey building which consist of 20-unit shop/ office lot 9. Commercial area SMEHalal 30,000,000 24 months Mainland Lumut Hub, which is divided into 2 sections Note: This project is awardedbthe Ministry of Agriculure and Agro-Based Industry Ma lay sia with a contraet value of RM35 milion i) Sea Collection, Processing and Packaging Center 20 ots (Pusat Pengumpulan, pembungkusan hasil laut (ii) Sales Centre mainly to market products from i) above 2osh 10 Beautification of Pangkor 20,000,00012 months Mainland Lumut Island Beach for tourism Note: This projeet is anorded by the State qovermment witha eantract value of RM25 million Total 2,075.200
