MIRA
INFORM REPORT
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Report Date : |
6th March, 2007 |
IDENTIFICATION
DETAILS
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Name : |
SHANGHAI SPORTS.CN
INFORMATION TECHNOLOGY CO., LTD. |
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Registered Office : |
17/F Jing’an New Century Plaza. No. 881 West Nanjing Road, Shanghai, 200041
Pr China |
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Country : |
China |
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Financials (as on): |
31.12.2005 |
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Date of Incorporation : |
08.03.2001 |
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Com. Reg. No.: |
313869 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
-- |
RATING &
COMMENTS
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MIRA’s Rating : |
C |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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Status : |
Poor |
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Payment Behaviour : |
Fair |
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Litigation : |
Clear |
Company Name & Address
SHANGHAI SPORTS.CN INFORMATION TECHNOLOGY CO.,
LTD.
17/F JING’AN NEW CENTURY PLAZA. NO. 881 WEST NANJING ROAD, SHANGHAI,
200041 PR CHINA
TEL :
86 (0) 21-62724040
FAX :
86 (0) 21-62728080
EXECUTIVE SUMMARY
INCORPORATION DATE : MAR. 8, 2001
REGISTRATION NO. : 313869
REGISTERED LEGAL FORM : CHINESE-FOREIGN EQUITY
JOINT VENTURE ENTERPRISE
STAFF STRENGTH :
60
REGISTERED CAPITAL : USD 10,000,000
BUSINESS LINE :
INFORMATION AND TECHNOLOGY SERVICE
TURNOVER :
cny 1,930,000 (AS OF DEC. 31, 2005)
EQUITIES :
cny -59,930,000 (AS OF DEC. 31, 2005)
PAYMENT :
FAIR
RECOMM. CREDIT RANGE : cod
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : poor
OPERATIONAL TREND : downward
GENERAL REPUTATION : FAIR
EXCHANGE RATE :
CNY 7.77 = US$1 AS OF 2007-2-26
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 Mar. 8, 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 has 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.
C’s registered business scope includes developing and designing network
system of sports information; developing, designing and manufacturing software;
and sports information consulting.
SC is mainly
engaged in operating the website of www.sportscn.com.
Mr. Antonie
Andries Roux has been chairman of SC since 2001.
SC owns about 60
staff at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Shanghai. Our checks reveal that SC
rents the total premise about 800 square meters.
www.sportscn.com The design is
professional and the content is well organized. At present it is in Chinese
version.
Note: SC refused to release any information about the court
judgments against the Italian companies EUROPEE and ASIATICHE.
MAIN SHAREHOLDERS:
Name %
of Shareholding
M-Web China (Mauritius) Limited. 90
Shanghai Information Investment Inc. 5
Lining Sports (Shanghai) Co., Ltd. 5
=============================
Shanghai Information Investment Inc.
Add.: No. 1318 West Beijing Road, Shanghai
Tel :
021-62077004
Fax :
021-62077024
Lining Sports (Shanghai) Co., Ltd.
Add: Room 01-07 32/F No. 161 East Lujiazui
Pudong New Area, Shanghai
Tel :
021-58797298
Fax :
021-58799009
l
Chairman and General Manager:
Mr. Antonie Andries Roux, in his 40’s 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.
SC is mainly
engaged in operating the website of www.sportscn.com.
SC’s service
mainly includes:
To publish the
BANNER, LOGO, Button and word advertisements in the website;
Website channel
play;
Investigation in
the internet and electronics magazine;
To publish the
internet advertisement as an agent for http://www.sportsweekly.com.cn;
http://www.gooooal.com and http://live.sportscn.com
*Major Clients:
============
IG-Mweb China BVI (loanREC)
MIH China Ltd. HK
IG-Myraid International Holding
SC is
not known to have any subsidiary at present.
Overall payment appraisal :
( ) Excellent (
) Good ( ) Average (X) 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 records
and our debt collection record concerning SC.
Trade payment experience : SC refused to release any information of its
suppliers and the trade reference was not available.
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 China West Nanjing Road Sub-branch
AC#: 044337-8900-11253808093001
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2004 |
As
of Dec. 31, 2005 |
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Cash & bank |
9,030 |
15,380 |
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Accounts
receivable |
2,460 |
130 |
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Accounts payable
advance |
0 |
0 |
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Other
receivables |
28,760 |
72,160 |
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Inventory |
1,300 |
1,020 |
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Prepaid expenses |
170 |
90 |
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Other current
assets |
0 |
2,520 |
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------------------ |
------------------ |
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Current assets |
41,720 |
91,300 |
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Fixed assets net
value |
6,670 |
15,330 |
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Projects under
construction |
0 |
1,400 |
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Long term
investment |
0 |
0 |
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Other assets |
4,660 |
5,070 |
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Total assets |
53,050 |
113,100 |
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Short loans |
24,920 |
39,240 |
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Accounts payable |
5,980 |
10,610 |
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Accounts
receivable advance |
1,350 |
0 |
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Taxes payable |
60 |
-60 |
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Salaries payable |
370 |
2,610 |
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Other payable |
33,220 |
120,590 |
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Other current
liabilities |
140 |
40 |
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------------------ |
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Current
liabilities |
66,040 |
173,030 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total liabilities |
66,040 |
173,030 |
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Equities |
-12,990 |
-59,930 |
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Total
liabilities & equities |
53,050 |
113,100 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2004 |
As of Dec. 31, 2005 |
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Turnover |
13,310 |
1,930 |
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Cost of goods
sold |
3,180 |
27,220 |
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Sales expense |
3,220 |
6,060 |
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Management expense |
20,790 |
30,750 |
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Finance expense |
130 |
80 |
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Profit before
tax |
-14,650 |
-62,550 |
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Less: profit tax |
0 |
0 |
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Profits |
-14,650 |
-62,550 |
Important Ratios
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as
of Dec. 31, 2004 |
as
of Dec. 31, 2005 |
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*Current ratio |
0.63 |
0.53 |
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*Quick ratio |
0.61 |
0.52 |
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*Liabilities to
assets |
1.24 |
1.53 |
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*Net profit
margin (%) |
-110.07 |
-3240.93 |
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*Return on
total assets (%) |
-27.62 |
-55.31 |
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*Fixed
assets/Total assets |
0.13 |
0.14 |
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*Inventory
/Turnover ×365 |
36days |
193days |
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*Accounts
receivable/Turnover ×365 |
67days |
25days |
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*Turnover/Total
assets |
0.25 |
0.02 |
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* Cost of
goods sold/Turnover |
0.24 |
14.10 |
PROFITABILITY:
POOR
l
The turnover of SC appears poor in its line.
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SC’s net profit margin is poor.
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SC’s return on total assets is poor.
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SC’s cost of goods sold is HIGH, comparing with its turnover.
LIQUIDITY: POOR
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The current ratio of SC is maintained in a fair level.
l
SC’s quick ratio is maintained in a fair level.
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The inventory of SC is maintained in a normal level.
l
The accounts receivable of SC is maintained in a normal level.
l
The short loans of SC appear TOO LARGE.
l
SC’s turnover is in a POOR level, comparing with the size of its total
assets.
LEVERAGE: POOR
l
The debt ratio of SC is extremely HIGH.
l
The risk for SC to go bankrupt is HIGH.
Overall financial
condition of the SC: Poor.
SC is considered small-sized in its line with poor financial conditions.
Great caution is requested in providing credit to SC & COD is recommended.
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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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 and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)