MIRA
INFORM REPORT
|
Report Date : |
02.02.2012 |
IDENTIFICATION DETAILS
|
Name : |
FOSHAN SHUNDE LANGMEI CARPET PRODUCTS CO., LTD. |
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Registered Office : |
No. 5-7 Xinxiang Road, Wusha, Daliang Street, Shunde
District Foshan, Guangdong Province 528000 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
05.02.2007 |
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Com. Reg. No.: |
440681400001655 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
Manufacturing and selling differential chemical fiber, high-grade nylon carpet, high-grade wool carpets, and high-grade carpet. |
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No. of Employees : |
190 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 100,000 |
|
Status : |
Moderate |
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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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name and address
FOSHAN SHUNDE LANGMEI CARPET PRODUCTS CO., LTD.
NO. 5-7 XINXIANG ROAD, WUSHA, DALIANG STREET, SHUNDE
DISTRICT
FOSHAN, GUANGDONG PROVINCE 528000 PR CHINA
TEL: 86 (0) 757-28083133/28083383
FAX: 86 (0) 757-28083133/28083383
EXECUTIVE SUMMARY
Date of Registration : february 5, 2007
REGISTRATION NO. : 440681400001655
LEGAL FORM : Chinese-foreign equity joint venture
enterprise
REGISTERED CAPITAL : usd 40,000,000
staff :
190
BUSINESS CATEGORY : manufacturing
Revenue :
CNY 825,000 (AS OF DEC. 31,
2011)
EQUITIES :
CNY 167,330,000 (AS OF DEC. 31, 2011)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
average
Recommended Credit Limit: UP TO USD 100,000
(PERIODICAL REVIEW)
MARKET CONDITION : fair
FINANCIAL CONDITION : fair
OPERATIONAL TREND : ORDINARY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.32 = 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
***Note: According to the given telephone/fax
numbers, we located SC.
SC’s name and address should be the above stated
ones, Guangdong TFC Hongkong Limited (the given name) is SC’s related company
registered in Hong Kong, and its address is 28 Ferry RM 1609-1610 Boss
Commercial Centre Yau Mea Tei, Kowloon, Hong Kong (the given one).
SC was established
as a Chinese-foreign equity joint venture enterprise of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
440681400001655 on February 5, 2007.
SC’s Organization Code Certificate No.:
79464922-2
SC’s registered capital: usd 40,000,000
SC’s paid-in capital: usd 25,622,812
Registration Change Record:
|
Date |
Change of Contents |
Before the change |
After the change |
|
2011 |
Registered capital |
USD 22,000,000 |
usd 40,000,000 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Foshan Shunde Zhenmei Investment &
Management Co., Ltd. |
10 |
|
Design Materials Inc. (USA) |
80 |
|
TFC International Limited (Hong Kong) |
10 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Liang Weiqing |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Foshan Shunde Zhenmei Investment &
Management Co., Ltd. 10
Design Materials, Inc. (USA) 80
TFC International Limited (Hong Kong) 10
Foshan Shunde
Zhenmei Investment & Management Co., Ltd.
==================================================
Registration No.: 440681000196416
Legal Form: Limited Liabilities
Company
Registered Capital: CNY 500,000
TFC International
Limited (Hong Kong)
==================================
Date of Registration: August 12, 1998
Registration No.: 0652205
Legal Form: Private
Status: Live
MANAGEMENT
Liang Weiqing ,
Legal Representative, Chairman and General Manager
-------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
From 2007
to present, working in SC as legal representative, chairman and general manager
Also
working in TFC Natural Fibre Products Co., Ltd. as legal representative and
chairman
BUSINESS OPERATION
***Note: SC will start its normal business at the
end of 2011.
SC’s registered business scope includes manufacturing and
selling differential chemical fiber, high-grade nylon carpet, high-grade wool
carpets, and high-grade carpet.
SC is mainly
engaged in manufacturing and selling differential chemical fiber and various
carpets.
SC’s products mainly include: differential
chemical fiber, wool carpets, high-grade carpet.
SC sources its materials 100% from domestic
market. SC sells 70% of its products in domestic market, and 30% to overseas
market, mainly Southeast Asian market.
The buying terms
of SC include T/T and Credit of 30-60 days. The payment terms of SC include
T/T, L/C and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is known
to have approx. 190 staff at present.
SC owns an area as
its operating office & factory of approx. 150,000 sq. meters at the heading
address.
RELATED COMPANY
n
TFC Natural Fibre Products Co., Ltd.
---------------------------------------------------
Date of Registration: January 15, 2002
Registration No.: 440681400007686
Legal Form: Chinese-Foreign
Equity Joint Venture Enterprise
Registered Capital: USD 10,638,653
Address:
Kejidong Rd., Lunjiao Industry Zone, Shunde, Foshan, Guangdong Province
Tel:
86 (0) 757-27728880
Fax:
86 0757-27727318
Web:
www.naturaltfc.com
E-mail:
sales@naturaltfc.com
n
Guangdong TFC (Hong Kong) Limited
-----------------------------------------------------
Date of Registration: July 25, 2007
Registration No.: 1152689
Legal Form: Private
Address:
Unit 1609 10 Boss Commercial Ctr 28 Ferry St Kowloon Hong Kong
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 and our debt collection record concerning
SC.
Trade payment experience: None in our
database.
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:
Shunde
Rural Commercial Bank
AC#: 02618800249171
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
|
4,430 |
2,930 |
738 |
|
|
Accounts
receivable |
0 |
0 |
6,880 |
|
Advances to
suppliers |
0 |
0 |
0 |
|
Other receivable |
58,970 |
46,070 |
39,620 |
|
Inventory |
0 |
890 |
11,548 |
|
Non-current
assets within one year |
0 |
0 |
0 |
|
Other current
assets |
0 |
1,150 |
18,604 |
|
|
------------------ |
------------------ |
------------------ |
|
Current assets |
63,400 |
51,040 |
77,390 |
|
Fixed assets |
10 |
4,750 |
131,400 |
|
Construction in
progress |
26,650 |
121,540 |
47,400 |
|
Intangible
assets |
0 |
30,480 |
28,040 |
|
Deferred income
tax assets |
0 |
0 |
0 |
|
Other
non-current assets |
32,200 |
9,170 |
90 |
|
|
------------------ |
------------------ |
------------------ |
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Total assets |
122,260 |
216,980 |
284,320 |
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|
============= |
============= |
============= |
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Short-term loans |
20,580 |
50,850 |
23,710 |
|
Notes payable |
0 |
0 |
0 |
|
Accounts payable |
0 |
1,060 |
650 |
|
Taxes payable |
0 |
-12,020 |
-14,230 |
|
Advances from
clients |
0 |
0 |
0 |
|
Other payable |
22,810 |
35,200 |
38,260 |
|
Other current
liabilities |
150 |
0 |
510 |
|
|
------------------ |
------------------ |
------------------ |
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Current
liabilities |
43,540 |
75,090 |
48,900 |
|
Non-current
liabilities |
0 |
0 |
68,090 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities |
43,540 |
75,090 |
116,990 |
|
Equities |
78,720 |
141,890 |
167,330 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities & equities |
122,260 |
216,980 |
284,320 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
|
Revenue |
0 |
825 |
|
Cost of sales |
0 |
809 |
|
Sales expense |
0 |
84,920 |
|
Management expense |
0 |
20,750 |
|
Finance expense |
0 |
230 |
|
Profit before
tax |
0 |
-20,980 |
|
Less: profit tax |
0 |
0 |
|
0 |
-20,980 |
Important Ratios
=============
|
|
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
|
*Current ratio |
1.46 |
0.68 |
1.58 |
|
*Quick ratio |
1.46 |
0.67 |
1.35 |
|
*Liabilities to
assets |
0.36 |
0.35 |
0.41 |
|
*Net profit
margin (%) |
-- |
-- |
-2,543.03 |
|
*Return on
total assets (%) |
-- |
-- |
-7.38 |
|
*Inventory /
Revenue ×365 |
-- |
-- |
5,110 days |
|
*Accounts
receivable/ Revenue ×365 |
-- |
-- |
3,044 days |
|
* Revenue/Total
assets |
-- |
-- |
0.003 |
|
* Cost of
sales / Revenue |
-- |
-- |
0.98 |
FINANCIAL COMMENTS
PROFITABILITY:
POOR
l
SC started its normal business at the end of 2011,
and the revenue appears poor.
l
SC’s net profit margin is poor in 2011.
l
SC’s return on total assets is poor in 2011.
l
SC’s cost of goods sold is fairly high, comparing
with its revenue.
LIQUIDITY: FAIR
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 appear average.
l
SC’s short-term loans appear average.
l
SC’s revenue is in a poor 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: Fair.
CONCLUSIONS
SC is considered medium-sized in its line with fair financial conditions
and short operating history. A credit line up to USD 100,000 is recommended
upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.53 |
|
|
1 |
Rs.77.95 |
|
Euro |
1 |
Rs.64.66 |
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.