MIRA INFORM
REPORT
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Report Date : |
06.01.2011 |
IDENTIFICATION DETAILS
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Name : |
HANGZHOU COBEN PHARMACEUTICAL CO., LTD. |
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Registered Office : |
Nanyang Economic Development Zone, Xiaoshan District, |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
29.11.2001 |
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Com. Reg. No.: |
330181400003533 |
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Legal Form : |
Chinese Foreign Equity Joint Venture |
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Line of Business : |
manufacturing and Selling Pharmaceutical Products |
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 : |
usd 350,000 |
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Status : |
Satisfactory |
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Payment
Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2010
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Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
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a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
HANGZHOU COBEN
PHARMACEUTICAL CO., LTD.
NANYANG ECONOMIC DEVELOPMENT ZONE, XIAOSHAN
DISTRICT,
TEL: 86 (0) 571-28021577/28021581 FAX: 86 (0) 571-28021579
EXECUTIVE SUMMARY
INCORPORATION DATE : NOV. 29, 2001
REGISTRATION NO. : 330181400003533
REGISTERED LEGAL FORM : CHINESE FOREIGN EQUITY
JOINT VENTURE
STAFF STRENGTH :
125
REGISTERED CAPITAL : USD 650,000
BUSINESS LINE :
MANUFACTURING
TURNOVER : CNY 149,870,000 (AS OF DEC. 31, 2009)
EQUITIES :
CNY 45,390,000 (AS OF DEC. 31, 2009)
PAYMENT :
average
RECOMM.
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.60= USD 1
Adopted abbreviations
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
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. 29, 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 investing parties
are free to agree on method of profit distribution and liabilities bearing
according to the proportion of capital investment. Each investing parties
contributes funds, tangible assets, technology & etc. The board of
directors excises the high authority. 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 that have good competition
position in international market may extend beyond the 50 years limit.
SC’s registered business scope includes manufacturing pharmaceutical intermediates,
raw material drug; technology developing, service, consulting and achievements transferring.
SC is mainly
engaged in manufacturing and selling pharmaceutical products.
Mr. Jiang Shanhui
has been chairman of SC since 2001.
SC is known to
have approx. 125 employees 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 Hangzhou. Our checks
reveal that SC owns the total premise about 4,824 square meters.
SC
has another office in B-17/F of
http://www.cobenpharm.com . The
design is professional and the content is well organized. At present it is in
both Chinese and English versions.
E-Mail: coben@coben.sina.net
SC’s management declined to make any comments.
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Jiang Shanhui ID#: 330225196511293194 89.23
Liu JiayouPassport No.: 037135175
(Chinese-American) 7.69
Ma DingkangID#: 330225560801731 3.08
l
Chairman and General Manager:
Mr. Jiang Shanhui, in his
Working Experience(s):
From 2001 to present Working
in SC as chairman and general manager.
SC is mainly
engaged in manufacturing and selling pharmaceutical products.
SC’s products
mainly include:
· Anti-Infection Drug
· Cardiovascular Drug
· Anti-Cancer Drug
· Antipyrotic& Antalgic
SC sources its
materials 100% from domestic market. SC sells 40% of its products in domestic
market, and 60% to the overseas market, mainly
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
According
to SC’s website:
· Hangzhou Coben Pharmaceutical R & D Co., Ltd.
· Jiangsu Coben Pharmaceutical Co., Ltd.
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 records 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
AC#：77508100008830
Relationship:
Evergrowing Bank
AC#: N/A
Relationship:
Note: SC’s financial
manager Mr. Zhou declined to release its account number of Evergrowing Bank
Hangzhou Branch.
Balance Sheet
Unit: CNY’000
|
|
As of Dec. 31, 2008 |
As of Dec. 31, 2009 |
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Cash & bank |
7,880 |
36,960 |
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Inventory |
26,250 |
30,760 |
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Accounts
receivable |
24,110 |
37,900 |
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Advances to
suppliers |
2,090 |
1,500 |
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Other
receivables |
7,390 |
5,910 |
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Other current
assets |
0 |
0 |
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---------------- |
--------------- |
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Current assets |
67,720 |
113,030 |
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Fixed assets net
value |
12,360 |
11,820 |
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Projects under
construction |
800 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
22,430 |
22,930 |
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----------------- |
--------------- |
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Total assets |
103,310 |
147,780 |
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============ |
============ |
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Short loans |
17,000 |
20,960 |
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Accounts payable |
25,550 |
23,510 |
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|
16,000 |
53,000 |
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Advances from
clients |
230 |
160 |
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Taxes payable |
130 |
160 |
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Salaries payable |
0 |
0 |
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Other payable |
2,130 |
4,600 |
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Other current liabilities |
0 |
0 |
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----------------- |
------------------- |
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Current
liabilities |
61,040 |
102,390 |
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Long term
liabilities |
1,470 |
0 |
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----------------- |
------------------- |
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Total
liabilities |
62,510 |
102,390 |
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Equities |
40,800 |
45,390 |
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------------------ |
------------------- |
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Total
liabilities & equities |
103,310 |
147,780 |
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============ |
=========== |
Income Statement
Unit: CNY’000
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As
of Dec. 31, 2009 |
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Turnover |
149,870 |
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Cost of goods
sold |
139,810 |
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Sales expense |
2,300 |
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Management expense |
6,090 |
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Finance expense |
2,550 |
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Profit before
tax |
1,520 |
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Less: profit tax |
170 |
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Profits |
1,350 |
Important Ratios
=============
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|
2008 |
2009 |
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*Current ratio |
1.11 |
1.10 |
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*Quick ratio |
0.68 |
0.80 |
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*Liabilities
to assets |
0.61 |
0.69 |
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*Net profit
margin (%) |
/ |
0.90 |
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*Return on
total assets (%) |
/ |
0.91 |
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*Inventory
/Turnover ×365 |
/ |
75days |
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*Accounts receivable/Turnover
×365 |
/ |
92days |
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*Turnover/Total
assets |
/ |
1.01 |
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* Cost of
goods sold/Turnover |
/ |
0.93 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good in 2009.
l
SC’s net profit margin is average in 2009.
l
SC’s return on total assets is average in 2009.
l
SC’s cost of goods sold is fairly high in 2009,
comparing with its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a normal
level in both years.
l
SC’s quick ratio is maintained in a fair level in
both years.
l
The inventory of SC is average in both years.
l
The accounts receivable of SC is fairly large in
both years.
l
The short loans are average in both years.
l
SC’s turnover is in an average level in 2009,
comparing with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average in both years.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
SC is considered medium-sized in its line with favorable market
conditions. A credit line up to USD 350,000 would appear to be within SC’s
capacities.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.45.20 |
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|
1 |
Rs.70.27 |
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Euro |
1 |
Rs.59.99 |
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 |
Capability to overcome financial difficulties seems comparatively
below average. |
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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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.