MIRA
INFORM REPORT
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Report Date : |
11.01.2007 |
IDENTIFICATION
DETAILS
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Name : |
CHANGZHOU
YABANG CHEMICAL CO., LTD. |
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Registered Office : |
Riverside
Industry Garden, Weicun Town, Xinbei District, Changzhou Jiangsu Province
213127 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
16.11.2001 |
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Com. Reg. No.: |
002855 |
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Legal Form : |
Chinese-Foreign
Equity Joint Venture Enterprise |
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Line of Business : |
Manufacturing maleic anhydride and fumaric acid. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
Up To
USD 1,000,000 |
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Status : |
Satisfactory
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name
CHANGZHOU
YABANG CHEMICAL CO., LTD.
address
RIVERSIDE
INDUSTRY GARDEN, WEICUN TOWN, XINBEI DISTRICT, CHANGZHOU
JIANGSU
PROVINCE 213127 PR CHINA
TEL: 86
(0) 519-5032002
FAX: 86
(0) 519-5032032
EXECUTIVE SUMMARY
INCORPORATION
DATE : NOV. 16, 2001
REGISTRATION
NO. : 002855
REGISTERED
LEGAL FORM : CHINESE-FOREIGN EQUITY
JOINT VENTURE ENTERPRISE
CHIEF
EXECUTIVE : MR. ZHANG
WENJUN (CHAIRMAN)
STAFF
STRENGTH : 200
REGISTERED
CAPITAL : USD 20,377,500
BUSINESS
LINE :
MANUFACTURING
TURNOVER : CNY 303,470,000
(AS OF DEC. 31, 2005)
EQUITIES : CNY
170,650,000 (AS OF DEC. 31, 2005)
PAYMENT : AVERAGE
RECOMM.
CREDIT RANGE : UP TO USD 1,000,000
MARKET
CONDITION : COMPETITIVE
FINANCIAL
CONDITION : STABLE
OPERATIONAL
TREND : STEADY
GENERAL
REPUTATION : AVERAGE
EXCHANGE
RATE : CNY 7.81 = US$1
AS OF 2007-01-09
Adopted abbreviations:
ANS -
amount not stated
NS - not
stated
SC -
subject company (the company inquired by you)
NA - not
available
CNY -
China Yuan Ren Min Bi
SC was
registered as a Chinese-foreign equity joint venture enterprise at local
Administration for Industry & Commerce (AIC-The official body of issuing
and renewing business license) on Nov. 16, 2001
Company Status: Chinese-foreign equity joint
venture enterprise This form of
business in PR China is defined as a legal person. It is a limited co.
jointly invested by one or more foreign companies and one or more PR China
controlled companies within the territories of PR China according to a
certain proportion of capital investment. The investing parties exercise
business management, share profits and bear all risks and liabilities of
the co. together. The equity joint venture law requires that foreign party
contribute not less than 25% of the registered capital, with no maximum.
The joint venture usually have a limited duration of 10 to 50 years.
Enterprise with large investment, long construction periods, low investment
returns, introducing of advanced technology & advanced technology
products, which have good competition position in international market, may
extend beyond the 50 years limit.
SC’s
registered business scope includes manufacturing maleic anhydride, fumaric
acid, and steam; and selling self-made products.
SC is mainly engaged in manufacturing maleic anhydride and fumaric acid.
Mr.
Zhang Wenjun has been chairman of SC since 2001.
SC owns
about 200 staff at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Changzhou. Our checks
reveal that SC owns the total premise about 100,000 square meters.
http://www.yabanghx.com The design is
professional and the content is well organized. At present, the web is both in
English and Chinese versions.
E-mail: eyou800@hotmail.com
Till
December 31, 2005, SC’s paid-up capital reached CNY 102,180,000.
MAIN
SHAREHOLDERS:
Name Investment
(’000) % of Shareholding
Qualipoly
Chemical Corp. (Taiwan) 988.3 4.85
Wu Guowei (Taiwan)
397.4 1.95
Xinyang Co., Ltd. (Macao) 16,789 82.39
Yabang Chemical Industry Group Co., Ltd. 1,296 6.36
Peaktop International Co., Ltd. (Britain) 906.8 4.45
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Qualipoly Chemical Corp. (Taiwan)
Add: No.2, Yeong Gong 5th Road, Yeong An Hsiang, Kaohsiung Hsien,
828, Taiwan, R.O.C
TEL: 886-7-6236199
FAX: 886-7-6241972/6244228
Yabang Chemical Industry Group Co., Ltd. is
trans-regional, inter- trade, the private large-scale enterprise group of share
cooperation incorporating science, industry and trade into an organic whole. In 2004, it has
chosen as one of 50 tops of China's petrochemical industry trade.
Add: Niutang Town, Nanmenwai, Changzhou
Tel: 0519-6398971
Chairman and General Manager:
Mr.
Zhang Wenjun, 38 years old with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
From
2001 to present
Working in SC as chairman and general manager.
Vice-Chairman:
Mr. Xi
Huike, 47 years old with university education. He is currently responsible for
the daily management of SC.
Working Experience(s):
From
2001 to present Working in SC as vice-chairman.
SC is
mainly engaged in manufacturing maleic anhydride
and fumaric acid.
SC's annual output of maleic anhydride is approx. 35,000 tons.
SC
sources its materials 100% from domestic market, mainly Jiangsu province and
Shanghai; SC sells its products 30% to overseas market, mainly Southeast Asia
countries, and 70% in domestic market, mainly Jiangsu province.
The
buying terms of SC include T/T and Credit of 30-60 days. The payment terms of
SC include T/T, L/C and Credit of 30-60 days.
*Major
Supplier:
==============
Beijing
Rui-Heng-Chang Trade Co., Ltd.
Address:
7/F, District 3, Fangxing Garden, Fangzhuang, Haidian District, Beijing
Tel:
010-67383866
*Major
Customer:
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Changzhou
Huari New Material Co., Ltd.
Address:
No.3, Taishan Road, Changzhou
Tel:
0519-5210253
Fax:
0519-5212144
SC is
known to have 3 subsidiaries at present, as follows:
Zhangzhou
Yabang Chemical Co., Ltd.
Address: Beidou Industrial Park, Jinfeng Industry Zone, Zhangzhou
Tel: 0596-2600600
Fax: 0596-2600119
Tianjing Yabang Chemical Co., Ltd.
Address: Bridge 5, Jintang Road, Dongli District, Tianjin
Tel: 022-24997717
Jiangsu Yabang Paint Co., Ltd.
Address: Niutang Town, Wujin District, Changzhou
Tel: 0519-6391038
Fax: 0519-6392102
Overall
payment appraisal :
( ) Excellent ( ) Good (X) Average ( ) Fair (
) Poor ( ) Not yet
determined
The
appraisal serves as a reference to reveal SC's payments habits and ability to
pay. It is based on the 3 weighed
factors: Trade payment experience
(through current enquiry with SC's suppliers), our delinquent payment and our
debt collection record concerning SC.
Trade
payment experience : SC did not provide any name of trade/service suppliers and
we have no other sources to conduct the enquiry at present.
Delinquent
payment record :None in our database.
Debt
collection record : No overdue amount owed by SC was placed to us for
collection within the last 6 years.
Bank of
Constructions
AC#：3200162673905017
Relationship:
Normal.
Balance
Sheet (as of Dec. 31, 2005)
Unit:
CNY’000
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Cash
& bank |
32,920 |
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Inventory |
23,250 |
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Accounts
receivable |
37,550 |
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Other
Accounts receivable |
39,100 |
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Accounts
payable in advance |
33,160 |
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To be
apportioned expense |
8,370 |
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Other
current assets |
6,330 |
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Current
assets |
180,680 |
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Fixed
assets |
82,320 |
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Fixed
assets net value |
58,800 |
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Projects
under construction |
23,520 |
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Long
term investment |
92,710 |
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Other
assets |
13,720 |
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Total
assets |
369,430 |
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Short
loans |
88,000 |
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Accounts
payable |
41,580 |
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Accounts
receivable in advance |
5,410 |
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Other
Accounts payable |
16,560 |
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Salaries
payable |
320 |
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Welfares
payable |
0 |
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Taxes
payable |
-610 |
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Withdraw
the expenses in advance |
1,530 |
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Other
current liabilities |
45,990 |
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Current
liabilities |
198,780 |
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Long
term liabilities |
0 |
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Other
liabilities |
0 |
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Total
liabilities |
198,780 |
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Equities |
170,650 |
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Total
liabilities & equities |
369,430 |
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Income
Statement (as of Dec. 31, 2005)
Unit:
CNY’000
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Turnover |
303,470 |
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Cost
of goods sold |
254,140 |
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Sales expense |
1,540 |
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Management expense |
2,540 |
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Finance expense |
4,610 |
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Non-operating
income |
7,200 |
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Profit
before tax |
47,840 |
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Less:
profit tax |
0 |
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Profits |
47,840 |
Important
Ratios (as of Dec. 31, 2005)
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*Current
ratio 0.91
*Quick
ratio 0.79
*Liabilities
to assets 0.54
*Net
profit margin (%) 15.76
*Return
on total assets (%) 12.95
*Inventory
/Turnover ×365 28
days
*Accounts
receivable/Turnover ×365 45
days
*Turnover/Total
assets 0.82
*Cost of
goods sold/Turnover 0.84
PROFITABILITY: FAIRLY GOOD
The turnover of SC appears average in its line.
SC’s net profit margin is fairly good.
SC’s return on total assets is fairly good.
SC’s cost of goods sold is average, comparing with its turnover.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a normal level.
SC’s quick ratio is maintained in a fair level.
The inventory of SC is maintained in a normal level.
The
accounts receivable of SC is maintained in a normal
level.
The
short-term loan of SC appears LARGE.
SC’s turnover is in an average level, comparing with the size of
its total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average.
The risk for SC to go bankrupt is low.
Overall financial condition of the SC: Stable.
SC is
considered small-sized in its line with stable financial conditions. A credit
line up to USD 1,000,000 appears to be within SC’s capacities.
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
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56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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