MIRA INFORM REPORT
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Report Date : |
12.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
SINOCHEM INTERNATIONAL CORPORATION |
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Registered Office : |
18-19/F Jinmao Tower, No. 88
Century Avenue, Pudong New Area, Shanghai, 200121 PR |
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|
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Country : |
China |
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|
Financials (as on) : |
30.06.2010 |
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Date of Incorporation : |
14.12.1998 |
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Com. Reg. No.: |
310000000066961 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
international trade,
investing and managing its subsidiaries. |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
usd 20,000,000 |
|
Status : |
Good |
|
Payment
Behaviour : |
No Complaints |
|
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 – December 31, 2010
|
Country Name |
Previous Rating (30.09.2010) |
Current Rating (31.12.2010) |
|
China |
a2 |
a2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
Company name &
address
SINOCHEM INTERNATIONAL CORPORATION
18-19/F JINMAO TOWER, NO. 88 CENTURY AVENUE,
PUDONG NEW AREA, SHANGHAI, 200121 PR CHINA.
TEL: 86 (0) 21-50498899 /50475048 /61048469 FAX:
86 (0) 21-50498228 /50490909
EXECUTIVE SUMMARY
INCORPORATION DATE : DEC. 14, 1998
REGISTRATION NO. : 310000000066961
REGISTERED LEGAL FORM : shares limited company
STAFF STRENGTH :
10,027
REGISTERED CAPITAL : CNY 1,437,589,571
BUSINESS LINE :
INTERNATIONAL TRADE AND INVESTMENT & MANAGEMENT
TURNOVER :
CNY 17,944,594,000 (CONSOLIDATED, JAN. 1, 2010- JUNE 30, 2010)
EQUITIES :
CNY 7,987,547,000 (CONSOLIDATED,
AS OF JUNE 30, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : up to usd 20,000,000
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly
good
OPERATIONAL TREND : UPWARD
GENERAL REPUTATION : WELL KNOWN
EXCHANGE RATE : CNY 6.50= USD 1
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 shares limited company at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Dec. 14, 1998.
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The co has independent
property of legal person and enjoys property rights of legal person. The characteristics of the shares limited co. are as
follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be
domiciled in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co. raises capital by public
offer, the promoters must not subscribe less than 35% of the total shares.
the promoters’ shares are restricted to transfer- within one year of the
offer. A
state-owned enterprise that is restructured into a shares limited co. must
comply with the conditions & requirements specified under the law &
administrative rule.
SC’s registered
business scope includes importing & exporting commodities and technology,
excluding commodity
exported under state-unified operation and commodities operated to
import by state-designated companies; processing with imported materials,
processing with imported samples, assembling with imported parts, and
compensation trade in agreement, counter trade, transit trade; selling feed,
cotton, hemp, domestic animal products, textiles, garments, daily-use articles,
paper pulp, paper products, hardware, household appliances, chemical materials,
mineral products, rock oil products (excluding oil products), grease, coal,
building materials, ferrous metal materials, machinery, electronic devices,
automobiles (excluding cars), motorcycles and spare parts; planting rubber
crops; storage services; program investment; wholesale of the cereals, oils and
products; trade of agriculture products
such as fertilizer, agricultural film, pesticide, and relative consultation
services, technical exchanges and technical development.
SC is mainly
engaged in international trade, investing and managing its subsidiaries.
Mr. Pan Zhengyi
has been chairman of SC since 2009.
SC is known
to have approx. 10,027 employees at present, including 308 technicians,
8,221 workers, 366 sales representatives, etc.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Shanghai. The detailed information
of the premise is unspecified.
http://www.sinochemintl.com
The design is professional and the content is well organized. At present the
web is in both Chinese and English versions.
E-mail: intl@sinochem.com weilongchemical@chemnet.com
SC is a listed company in Shanghai Stock Exchange. (Code: 600500)
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2004-11 |
Company name |
Sinochem International Trading Co., Ltd. |
The present one |
|
|
Legal representative |
Luo Dongjiang |
The present one |
MAIN
SHAREHOLDERS: (As of June 30, 2010)
Name %
of Shareholding
Sinochem Corporation 55.17
Merchant Pioneer Security Investment Fund 1.89
China Life Insurance Company Ltd. – Bonus – Individual bonus
–
中国人寿保险股份有限公司－分红－个人分红－
China Pacific Life Insurance Co., Ltd. – Bonus - Individual bonus 0.93
Merchant High Quality Growth Stock Security Investment Fund 0.92
Huaxia Turnover Stock Security Investment Fund 0.67
Huaxia Bonus Fixed Opened Security Investment Fund 0.65
China Life Insurance Company Ltd. – Traditional –
Common Insurance Products - 005LCT001hu 0.61
PetroChina Refined Oil Products Marketing Company Limited 0.54
Sinochem Jinqiao International Trading Company 0.46
Other shareholders 36.71
Sinochem Corporation
===================
Registration no.: 100000000042135
Legal representative: Liu Deshu
Tel: 010-59568888
Fax: 010-59568890
Sinochem Jinqiao International Trading
Company
====================================
Registration no.: 110000005017015
Legal representative: Wang Taosha
Tel: 010-88079816
l
Chairman:
Mr. Pan Zhengyi , born in 1954, with MBA
Degree. He is currently responsible for the overall management of SC.
Working Experience(s):
From Oct. 2009 to present Working in SC as chairman
l
General Manager:
Mr. Zhang Zenggen , born in 1965, with
Master Degree Candidate. He is currently responsible for the daily management
of SC.
Working Experience(s):
Acted as general manager of Sinochem Xingzhong Petroleum Transfer & Transportation (Zhoushan) Co., Ltd.; vice general manager of Sinochem International Oil Corp.; general manager of SinoChem Group Corp Risk Department.
From 2007 to present Working in SC as general manager
SC is mainly
engaged in international trade, investing and managing its subsidiaries.
SC’s products
mainly include: Chemicals products, Rubber products, Metallurgy and Energy
products.
SC sources its
materials 80% from domestic market, and 20% from international market, mainly
Japan, USA, Europe and Hong Kong. SC sells 40% of its products in domestic
market and 60% to USA, Japan, European countries and Southeast Asia countries,
etc.
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, Check, L/C and Credit of 30-60 days.
*Major Supplier:
=============
Shanxi Yaxin Coal Coke Co., Ltd.
Sinochem Japan Co., Ltd.
SC is known to invest in
the following companies:
Company name SC’s
shareholding (%)
Hainan Sinochem Shipping Co., Ltd. 100
Sinochem International Storage &
Transportation Co., Ltd 100
Manzhouli Sinochem International Trading Co.,
Ltd. 100
Sinochem Xingzhong Petroleum Transfer &
Transportation
(Zhoushan) Co., Ltd. 44.8
Sinochem Xingyuan Petroleum Storage (Zhoushan)
Co., Ltd. 44.8
Shanxi Sinochem Huanda Industry Co., Ltd. 80.06
Sinochem International (Overseas) Pte Ltd. 100
Sinochem International Yuhang Macromolecule
Material R & D Co., Ltd. 99.5
Sinochem International Taicang Xingguo
Industry Co., Ltd. 100
Sinochem International Taicang Xingnuo
Industry Co., Ltd. 100
Sinochem International Taicang Xingkai
Industry Co., Ltd. 100
Sinochem International (Suzhou Industrial Park)
New
Material R & D Co., Ltd. 100
Sinochem International FZE 100
Shanghai Sierbo Chemical Logistics Co., Ltd. 100
Sinochem Sanlian Plastic (Inner Mongolia) Co., Ltd. 50.5
Xishuangbanna Sinochem Rubber Co., Ltd. 96.67
Hainan Sinochem Rubber Co., Ltd. 95.5
Tianjin Port Sinochem International Logistics Co., Ltd. 60
Sinochem International PU Limited Company 60
Etc.
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.
Bank of China
AC#: N/A
China
Construction Bank Shanghai Jinmao Building Sub-branch
AC#:
31001611812050001407
Relationship:
Normal
Consolidated
Balance Sheet
Unit: CNY’000
|
|
as of Dec. 31,
2009 |
as
of June 30, 2010 |
|
Cash & bank |
4,657,105 |
5,635,811 |
|
Inventory |
2,297,172 |
3,266,231 |
|
Accounts
receivable |
1,799,672 |
1,689,296 |
|
Notes receivable |
128,800 |
270,816 |
|
Advances to
supplies |
331,170 |
818,828 |
|
Trading
financial assets |
25,920 |
30,974 |
|
Dividends
payable |
79,219 |
5,246 |
|
Other
receivables |
209,218 |
367,496 |
|
Other current
assets |
667,400 |
1,154,401 |
|
|
------------------ |
------------------ |
|
Current assets |
10,195,676 |
13,239,099 |
|
Fixed assets net
value |
4,961,626 |
5,242,497 |
|
Projects under
construction |
798,462 |
778,311 |
|
Project
materials |
8,512 |
7,191 |
|
Long-term
investments |
1,215,669 |
1,310,305 |
|
Productive biological
assets |
497,427 |
386,994 |
|
Financial assets
available for sale |
721,639 |
770,773 |
|
Intangible
assets |
1,042,014 |
1,032,415 |
|
Creditworthiness |
565,790 |
565,790 |
|
Other assets |
6542 |
6793 |
|
|
------------------ |
------------------ |
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Total assets |
20,013,357 |
23,340,168 |
|
|
============= |
============= |
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Short loans |
3,537,879 |
6,137,981 |
|
Accounts payable |
2,086,722 |
2,727,427 |
|
Other Accounts
payable |
550,980 |
417,941 |
|
Notes payable |
297,715 |
382,175 |
|
Trading
financial liabilities |
46,082 |
6,445 |
|
Advances from
clients |
623,677 |
930,891 |
|
Taxes payable |
1,569 |
76,268 |
|
Interest payable |
12,901 |
47,998 |
|
Accrued payroll |
95,680 |
50,301 |
|
Dividends
payable |
17,934 |
44,457 |
|
Long-term liabilities
due with in one year |
259,828 |
267,301 |
|
Other current
liabilities |
0 |
0 |
|
|
----------------- |
----------------- |
|
Current
liabilities |
7,530,967 |
11,089,185 |
|
Long term
liabilities |
4,395,049 |
4,263,436 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
11,926,016 |
15,352,621 |
|
Shareholders
equities |
8,087,341 |
7,987,547 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
20,013,357 |
23,340,168 |
|
|
============= |
============= |
Consolidated
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2009 |
Jan.
1, 2010- June 30, 2010 |
|
Turnover |
22,750,483 |
17,944,594 |
|
Cost of goods
sold |
20,937,634 |
16,627,345 |
|
Taxes and additional
of main operation |
45,196 |
175,493 |
|
Sales expense |
474,386 |
250,221 |
|
Management expense |
455,402 |
199,578 |
|
Finance expense |
106,866 |
91,602 |
|
Investment
income |
343,765 |
194,814 |
|
Operation Profit |
936,744 |
796,828 |
|
Less: profit tax |
186,447 |
149,571 |
|
Net profit |
750,297 |
647,257 |
Important Ratios
=============
|
|
as of Dec. 31,
2009 |
as
of June 30, 2010 |
|
*Current ratio |
1.35 |
1.19 |
|
*Quick ratio |
1.05 |
0.90 |
|
*Liabilities to
assets |
0.60 |
0.66 |
|
*Net profit
margin (%) |
3.30 |
3.61 |
|
*Return on
total assets (%) |
3.75 |
2.77 |
|
*Inventory
/Turnover ×365 |
37 days |
66 days |
|
*Accounts
receivable/Turnover ×365 |
29 days |
34 days |
|
*Turnover/Total
assets |
1.14 |
0.77 |
|
* Cost of
goods sold/Turnover |
0.92 |
0.93 |
PROFITABILITY: AVERAGE
·
The
turnover of SC appears good in its line.
· SC’s net profit margin is average.
·
SC’s return
on total assets is average.
·
SC’s cost of
goods sold is average, comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a normal level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears average.
l
SC’s short-term loan appears fairly large.
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 low.
Overall financial
condition of the SC: Fairly good.
SC is well-known in its industry with fairly good financial conditions.
Over the past 13 years, SC has made a stable growth with satisfactory profit.
The large amount of short loans could be a threat to SC’s financial condition.
A credit line up to USD 20,000,000 appears to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.69 |
|
UK Pound |
1 |
Rs.73.12 |
|
Euro |
1 |
Rs.64.39 |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
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 |
|
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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
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 |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
---- |
NB |
New Business |
---- |
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.