%20LTD%20%20-%20153438%2009-Sep-2011_files/image003.jpg){kind=small}
MIRA INFORM REPORT
|
Report Date : |
09.09.2011 |
IDENTIFICATION DETAILS
|
Name : |
ADITYA BIRLA GRASUN CHEMICALS (FANGCHENGGANG)
LTD. |
|
|
|
|
Registered Office : |
Taohuawan (Shibantian), Gangkou District, Fangchenggang, Guangxi
Province 538001 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
28.05.2007 |
|
|
|
|
Com. Reg. No.: |
450600400000672 |
|
|
|
|
Legal Form : |
Chinese-Foreign Equity Joint
Venture Enterprise |
|
|
|
|
Line of Business : |
Phosphoric Acid |
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 300,000 |
|
Status : |
Good |
|
Payment
Behaviour : |
Regular |
|
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 – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
China |
a2 |
a2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Company name & address
ADITYA BIRLA GRASUN CHEMICALS (FANGCHENGGANG)
LTD.
TAOHUAWAN
(shibantian), GANGKOU DISTRICT, FANGCHENGGANG
GUANGXI PROVINCE
538001 PR CHINA
TEL: 86 (0)
770-2863132
FAX: 86 (0)
770-2863132
EXECUTIVE SUMMARY
Date of Registration : MAY 28, 2007
REGISTRATION NO. : 450600400000672
LEGAL FORM :
CHINESE-FOREIGN EQUITY JOINT VENTURE ENTERPRISE
REGISTERED CAPITAL : CNY 40,000,000
staff : 77
BUSINESS CATEGORY : manufacturing
Revenue :
CNY 152,137,000 (AS OF DEC. 31,
2010)
EQUITIES :
CNY 41,785,000 (AS OF DEC. 31, 2010)
PAYMENT : AVERAGE
Recommended Credit Limit: UP TO USD
300,000 (PERIODICAL REVIEW)
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.39 = USD 1
Adopted abbreviations
(as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established as a Chinese-foreign
equity joint venture enterprise of PRC with State Administration of Industry
& Commerce (SAIC) under registration No.: 450600400000672 on May 28, 2007.
SC’s Organization Code Certificate
No.: 78524020-6
%20LTD%20%20-%20153438%2009-Sep-2011_files/image005.jpg)
SC’s registered capital: CNY
40,000,000
SC’s paid-in capital: CNY
40,000,000
Registration Change Record:
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
000322 |
450600400000672 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Aditya Birla Chemicals (Thailand) Limited |
75 |
|
Fanchenggang Grasun Chemical Co., Ltd. |
25 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and
Chairman |
K.K.Maheshwari |
|
Vice Chairman |
Luo Peng |
|
General Manager |
PREM TIWARI |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name % of Shareholding
Aditya Birla Chemicals (Thailand) Limited 75
Fanchenggang Grasun Chemical Co., Ltd. 25
%20LTD%20%20-%20153438%2009-Sep-2011_files/image001.gif){kind=small}
Aditya Birla Chemicals (Thailand) Limited
===================================
Aditya Birla Chemicals (Thailand) Limited
forms part of the Aditya Birla Group’s chemicals business, which spans over
nine units – five in Thailand and four in India. The company is engaged in the
production of five major chemical groups, namely, chlor-alkali products,
epichlorohydrin, epoxy resins, phosphates and sulphites. Four separate chemical
companies namely Thai Organic Chemicals Company (TOCC), Thai Epoxy and Allied
Products Company (TEC), Thai Polyphosphate & Chemicals Company (TPC) and
Thai Sulphites & Chemicals Company (TSC) were merged together to form
Aditya Birla Chemicals (Thailand) Ltd. in 2006.
3, Soi G-2, Prakornsongkrorad Road, Tambol
Huey Pong
Anphur Muangrayong
Rayong 21150
Thailand
Tel: +66 38 687356/9
Fax: +66 38 685074
Website: www.adityabirlachemicals.com
Email: chlor-alkalimanu@adityabirla.com
Fanchenggang Grasun Chemical Co., Ltd.
==================================
Date of Registration: October 4, 1996
Registration No.: 450600000001038
Legal Form: Limited Liabilities Company
Registered Capital: CNY 2,000,000
Address: Shibantian, Gangkou District,
Fangchenggang
Tel: 86 (0) 770-2862885
MANAGEMENT
K.K.Maheshwari , Legal Representative and Chairman
----------------------------------------------------------------------------------------------
Ø
%20LTD%20%20-%20153438%2009-Sep-2011_files/image007.jpg)
Gender: M
Ø
Nationality: Thailand
Ø
Age:
Ø
Qualification:
University
Ø
Working
experience (s):
From 2007 to present, working in SC as chairman and legal representative
Also
working in Aditya Birla Nuvo Limited, Aditya Birla Chemicals
(India) Limited, and Tanfac
Industries Limited as director
Luo Peng, Vice Chairman
-------------------------------------------
Ø
Gender: M
Ø
Age:
Ø
Qualification:
University
Ø
Working
experience (s):
From 2007 to present, working in SC as vice chairman
Also working in Fanchenggang Grasun Chemical Co., Ltd. as legal representative
PREM TIWARI, General Manager
---------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
From 2007 to present, working in SC as general manager
Liang Pingyun, Sales
Manager
---------------------------------------------------
Ø
Gender: M
Ø
Mobile: 86 (0) 13481716851
BUSINESS OPERATION
SC’s
registered business scope includes manufacturing and selling phosphoric acid
and related products, and providing related services.
SC’s products mainly include phosphoric acid.
SC sources its materials 100%
from domestic market, mainly Guangxi. SC sells 20% of its products in domestic
market, and 80% to overseas market, mainly Iran, Japan, Malaysia, Thailand,
Pakistan, etc.
The
import & export status of SC in 2010 is as follows,
|
Country |
Amount
of Exports (USD) |
Amount of Imports (USD) |
|
Bahrain |
27,200 |
-- |
|
Bangladesh |
133,000 |
-- |
|
Indonesia |
848,800 |
-- |
|
Iran |
104,200 |
-- |
|
Japan |
94,300 |
-- |
|
Malaysia |
147,000 |
-- |
|
Nepal |
118,000 |
-- |
|
Pakistan |
923,200 |
-- |
|
United Arab Emirates |
52,200 |
-- |
|
Thailand |
23,312,900 |
-- |
|
|
------------------- |
------------------- |
|
Total Amount |
25,760,800 |
0 |
The buying terms of SC include Check, T/T and Credit of
30-60 days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60
days.
*Major Supplier:
=============
Guangxi Construction Engineering Group No. 1 Installation
Co., Ltd.
*Major Customer:
==============
Tricon Energy Ltd.
Staff & Office:
-------------------
SC is
known to have approx. 77 staff at present.
SC rents an area
as its operating office & factory of approx. 40,080 sq. meters at the
heading address.
%20LTD%20%20-%20153438%2009-Sep-2011_files/image009.jpg)
RELATED COMPANY
According
to www.adityabirlachemicals.com
Aditya Birla Nuvo Limited
Aditya Birla Chemicals (India) Limited
Tanfac Industries Limited
Grasim
Industries Limited
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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’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.
BANKING
Basic Bank:
China
Construction Bank Fangchenggang Bagongli Avenue Office
AC# 45001659587059888999
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
944 |
1,997 |
|
|
Accounts
receivable |
11,056 |
7,641 |
|
Advances to
suppliers |
6,819 |
1,697 |
|
Other receivable |
1,020 |
163 |
|
Inventory |
6,441 |
8,766 |
|
Non-current
assets within one year |
0 |
0 |
|
Other current
assets |
0 |
18 |
|
|
------------------ |
------------------ |
|
Current assets |
26,280 |
20,282 |
|
Fixed assets |
35,268 |
35,632 |
|
Construction in
progress |
362 |
0 |
|
Intangible
assets |
4,643 |
4,559 |
|
Long-term
prepaid expenses |
0 |
0 |
|
Deferred income
tax assets |
0 |
0 |
|
Other
non-current assets |
627 |
302 |
|
|
------------------ |
------------------ |
|
Total assets |
67,180 |
60,775 |
|
|
============= |
============= |
|
Short-term loans |
20,000 |
15,921 |
|
Notes payable |
0 |
0 |
|
Accounts payable |
3,359 |
1,320 |
|
Wages payable |
249 |
342 |
|
Advances from
clients |
136 |
644 |
|
Other payable |
8 |
24 |
|
Other undue
payments |
12 |
14 |
|
Accrued expense |
766 |
367 |
|
Other current
liabilities |
499 |
358 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
25,029 |
18,990 |
|
Non-current
liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
25,029 |
18,990 |
|
Equities |
42,151 |
41,785 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
67,180 |
60,775 |
|
|
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2009 |
As of Dec. 31,
2010 |
|
Revenue |
96,730 |
152,137 |
|
Cost of sales |
92,198 |
136,101 |
|
Sales expense |
2,593 |
9,337 |
|
Management expense |
-79 |
4,955 |
|
Finance expense |
1,143 |
1,831 |
|
Non-operating income |
578 |
161 |
|
Non-operating expense |
95 |
420 |
|
Profit before
tax |
1,324 |
-366 |
|
Less: profit tax |
0 |
0 |
|
1,324 |
-366 |
Important Ratios
=============
|
|
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
*Current ratio |
1.05 |
1.07 |
|
*Quick ratio |
0.79 |
0.61 |
|
*Liabilities
to assets |
0.37 |
0.31 |
|
*Net profit
margin (%) |
1.37 |
-0.24 |
|
*Return on
total assets (%) |
1.97 |
-0.60 |
|
*Inventory /
Revenue ×365 |
25 days |
22 days |
|
*Accounts
receivable/ Revenue ×365 |
42 days |
19 days |
|
*
Revenue/Total assets |
1.44 |
2.50 |
|
* Cost of
sales / Revenue |
0.95 |
0.89 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIR
l
The revenue of SC appears average, and it was
rising in 2010.
l
SC’s net profit margin is average in 2009 and fair
in 2010.
l
SC’s return on total assets is average in 2009 and
fair in 2010.
l
SC’s cost of goods sold is average, comparing with
its revenue.
LIQUIDITY:
AVERAGE
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 maintained in an average
level.
l
The accounts receivable of SC is maintained in an
average level.
l
The short-term loan of SC appears slightly large.
l
SC’s revenue is in an
average level, 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.
CONCLUSIONS
SC is considered medium-sized in its line with
fairly stable financial conditions. A credit line up to USD 300,000 is
recommended upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.18 |
|
UK Pound |
1 |
Rs.73.65 |
|
Euro |
1 |
Rs.64.95 |
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.