MIRA INFORM
REPORT
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Report Date : |
12.01.2011 |
IDENTIFICATION DETAILS
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Name : |
YINGDE GREATCHEM CHEMICALS CO., LTD. |
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Registered Office : |
Hongfeng District, |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
17.10.2003 |
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Com. Reg. No.: |
441800400007383 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture |
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Line of Business : |
manufacturing and selling
pesticide chemical materials, pesticide intermediates and pesticide |
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 500,000 |
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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
Yingde Greatchem Chemicals Co., Ltd.
hongfeng district,
TEL: 86 (0)
763-2551401/2551044 FAX: 86 (0)
763-2551846
EXECUTIVE SUMMARY
INCORPORATION DATE : october 17, 2003
REGISTRATION NO. : 441800400007383
REGISTERED LEGAL
FORM : Chinese-foreign equity joint venture
STAFF STRENGTH :
150
REGISTERED CAPITAL : CNY 40,000,000
BUSINESS LINE :
manufacturing & trading
TURNOVER :
CNY 137,450,000 (AS OF DEC. 31, 2009)
EQUITIES :
CNY 54,230,000 (AS OF DEC. 31, 2009)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : competitive
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.6225 = 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 October 17, 2003.
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 and selling pesticide chemical materials,
pesticide intermediates and pesticide, research and development of new
pesticide.
SC is mainly
engaged in manufacturing and selling pesticide chemical materials, pesticide intermediates
and pesticide.
Mr. Cai Danqun has
been legal representative, chairman and general manager of SC since 2003.
SC is known to
have approx. 150 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 Yingde. Our checks reveal that SC owns the total premise, but SC’s
accountant refused to release the gross area.
http://www.greatchem.com.cn
The design is professional and the content is well organized. At present the
web site is both in Chinese and English versions.
E-mail: greatchem@greatchem.com.cn
Changes
of its registered information:
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Date of change |
Item |
Before the change |
After the change |
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Unknown |
Registration No. |
001599 |
441800400007383 |
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Shareholders (% of
shareholding) |
Cai Shaoxin 39.2% Du Ruifeng25.0% Cai Danqun 10.8% Li Jianru ( |
Present ones |
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Cai Shaoxin 39.2
Cai Danqun 35.8
Cai Keren (
l
Legal Representative, Chairman and General Manager:
Mr. Cai Danqun, in his
Working Experience(s):
From 2003 to present Working
in SC as legal representative, chairman and general manager
SC is mainly
engaged in manufacturing and selling pesticide chemical materials, pesticide
intermediates and pesticide.
SC’s products mainly
include: pharmaceutical intermediates, fungicides, technical grade products,
herbicides, agrochemical intermediates, and formulations.
SC sources its materials 98% from domestic
market, mainly
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include T/T and Credit of 30-60 days.
*Major Supplier:
==============
Youth Chemical Co., Ltd.
Offices:
======
·
Yingde
Greatchem Chemicals Co., Ltd.
·
Yingde
Greatchem Chemicals Co., Ltd.
·
Yingde
Greatchem Chemicals 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 and our debt collection record concerning SC.
Trade payment experience: SC’s suppliers
declined to make any comments.
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.
Yingde Rural Credit Cooperative
AC#：N/A
Relationship:
Balance Sheet
Unit: CNY’000
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as
of Dec. 31, 2009 |
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Cash
& bank |
17,390 |
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Bills
receivable |
2,760 |
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Accounts
receivable |
3,130 |
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Other
receivables |
10,850 |
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Advances to
suppliers |
0 |
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Inventory |
20,400 |
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Prepaid expenses |
3,810 |
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Other
current assets |
0 |
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------------------ |
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Current
assets |
58,340 |
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Fixed
assets net value |
20,890 |
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Projects
under construction |
3,730 |
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Deferred assets |
180 |
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Long
term investment |
0 |
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Intangible
& other assets |
32,680 |
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------------------ |
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Total
assets |
115,820 |
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============= |
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Short
loans |
26,290 |
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Bills
payable |
19,800 |
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Accounts
payable |
8,460 |
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Welfare
payable |
0 |
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Advances from
clients |
0 |
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Accrued
payroll |
410 |
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Tax
payable |
-260 |
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Other
payable |
6,890 |
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Other
current liabilities |
0 |
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------------------ |
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Current
liabilities |
61,590 |
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Non-Current
liabilities |
0 |
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------------------ |
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Total
liabilities |
61,590 |
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Equities |
54,230 |
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------------------ |
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Total
liabilities & equities |
115,820 |
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============= |
Income Statement
Unit: CNY’000
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as of Dec. 31,
2009 |
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Turnover |
137,450 |
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Cost of goods sold |
118,740 |
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Sales expense |
7,530 |
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Management expense |
8,770 |
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Finance expense |
1,470 |
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Income from
other operations |
30 |
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Non-operating
income |
10,270 |
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Non-operating expense |
200 |
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Profit before
tax |
11,040 |
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Less: profit tax |
0 |
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Profits |
11,040 |
Important Ratios
=============
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as
of Dec. 31, 2009 |
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*Current ratio |
0.95 |
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*Quick ratio |
0.62 |
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*Liabilities
to assets |
0.53 |
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*Net profit
margin (%) |
8.03 |
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*Return on
total assets (%) |
9.53 |
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*Inventory
/Turnover ×365 |
54 days |
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*Accounts
receivable/Turnover ×365 |
8 days |
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*Turnover/Total
assets |
1.19 |
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* Cost of
goods sold/Turnover |
0.86 |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears fairly good in its line.
l
SC’s net profit margin is fairly good.
l
SC’s return on total assets is fairly good.
l
SC’s cost of goods sold is average, comparing with
its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level.
l
SC’s quick ratio is maintained in a fair level.
l
The inventory of SC appears average.
l
The accounts receivable of SC is maintained in an
average level.
l
SC’s short-term loan appears average.
l
SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average.
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 fairly stable financial
conditions. We consider a credit line at the above
amount appears to be within SC’s capacities.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.45.32 |
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|
1 |
Rs.70.54 |
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Euro |
1 |
Rs.58.70 |
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.