MIRA
INFORM REPORT
|
Report Date : |
24.07.2012 |
IDENTIFICATION DETAILS
|
Name : |
CHANGZHOU JINLONG CHEMICAL FACTORY CO., LTD |
|
|
|
|
Registered Office : |
No.18, |
|
|
|
|
Country : |
|
|
|
|
|
Date of Incorporation : |
28.05.1988 |
|
|
|
|
Com. Reg. No.: |
320483000127642 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
Manufacture and sales of vat
dyestuff and dyestuff intermediates. |
|
|
|
|
No. of Employees : |
600 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
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
|
Changzhou Jinlong Chemical
Factory Co., Ltd |
Currency
in this report is Chinese Yuan unless otherwise stated.
Exchange
Rate: 1 USD=6.37 Chinese Yuan
"--"in
this report indicates "unavailable" due to insufficient information
or "no comments"
ORDER
INFORMATION
|
name |
Changzhou Jinlong Chemical
Factory Co Ltd. |
|
address |
No.51, Hubin Rd
(N)-LuJiaXiang, Changzhou-Jiangsu Province 213 168 Niutang-Wujin |
Notes:
1.
Due to recent intervention of government in the AIC systems, reports of
companies in some regions could be impacted for a certain period. For companies
registered in Jiangsu, financial information couldn’t be obtained.
EXECUTIVE
SUMMARY
|
DATE
OF establishment |
May 28th,
1988 |
|
Aic
Registration No. |
320483000127642 |
|
REGISTERED
LEGAL FORM |
limited liabilities company |
|
REGISTERED
CAPITAL |
10,000,000.00 |
|
main
BUSINESS |
Manufacture
and sales of vat dyestuff and dyestuff intermediates. |
|
tax
no. |
-- |
|
TURNOVER |
-- |
|
net
profit |
-- |
|
total
assets |
-- |
|
net
worth |
-- |
|
employees |
600 |
|
import
and export permits |
yes |
|
EXCHANGE
RATE |
1
Usd=6.37CNY (jul. 23rd, 2012) |
|
Registered
Address |
No.18, Gaojia Village, Niutang
Town, Wujin Dist, Changzhou City, Jiangsu Province |
|
Zip
Code |
213168 |
|
|
|
|
Business
Address |
No.51, Hubin North Rd,
Lujiaxiang, Niutang Town, Wujin Dist, Changzhou City, Jiangsu Province. |
|
Zip
Code |
213168 |
|
Telephone |
86 519 86351046 |
|
Fax |
86 519 86354321 |
|
|
|
|
SIC Code (China) |
2644 Manufacture of dyestuff. |
REGISTRATION
|
Name (English) |
Changzhou Jinlong
Chemical Factory Co., Ltd |
|
Date of Establishment |
May 28th, 1988 |
|
Registry |
Administration
Bureau of Industry and Commerce. |
|
Legal Representative |
Yang Zhenhua |
|
AIC Registration Number |
320483000127642 |
|
Registered Legal Form |
limited liabilities company |
|
Registered Capital |
10,000,000.00 |
|
Operating Duration |
May 28th, 1988 to July 24th, 2026 |
|
Business Scope |
Manufacture of unsaturated polyester resin; Manufacture of vat blue RS, vat blue GCDN, vat dark blue RA, vat deep
blue BO, vat deep blue VB, vat brilliant green FFB, vat olive green B, vat
olive T, vat grey M, vat grey 3 B, vat brown, BR, vat brown GS, vat brown
GGS, vat scarlet red, vat yellow 3 RT, vat golden orange 3 G, vat brilliant
orange GR, vat brown R, vat yellow 2 GF, vat yellow F3GC, vat rubine R, vat
red paste 2 R, vat purple FFBN, plastic play ribbon, etc; Import and export of goods and technologies. (excluding those forbidden by government.) |
Limited
liabilities co.
This
form of business in PR China is defined as a legal person. Its registered
capital is contributed jointly by at least two shareholders and no more than
fifty. Shareholders bear limited liability to the extent of shareholding, and
the co. is liable for its debts only to extent of its total assets. The
characteristics of this form of co. are as follows:
Upon
the establishment of the co., an investment certificate is issued to the each
of shareholders.
The board
of directors is comprised of three to thirteen members.
The
minimum registered capital for a co. is listed as follows:
-manufacturing
co. : RMB 500,000.00
-trading
&wholesaling co. :
RMB 500,000.00
-retailing
co. :
RMB 300,000.00
-consultancy
& service co. : RMB 100,000.00
Shareholders
may take their capital contributions in cash or by means of tangible assets or
intangible assets such as industrial property and non-patented technology.
Cash
contributed by all shareholders must account for at least 50% of the registered
capital while contribution by intangible assets must not exceed 20% of the
registered capital.
Existing
shareholders have pre-exemption right to purchase shares of the co. offered for
sale by the other shareholders and to subscribe for the newly increased
registered capital of the co.
REGISTRATION
INFO: AVAILABLE
FINANCIAL
REPORTS: AVAILABLE
FIELD
INVESTIGATION
1. SC’s business income comes mainly from sales
of chemical products including vat dyestuff, dyestuff intermediates, etc. Its
products are sold both domestically and internationally. SC’s domestic sales
business is developed directly to its end customers and its international sales
business is developed indirectly to its end customers. SC’s clients are mainly
sold to domestic and international textile enterprises, textile printing
enterprises, etc. The industry of dyestuff products is an industry with fierce
competition. There are a lot of similar enterprises in the local place as SC’s
competitors. However, with long history, it has accumulated certain amount of
customers and enjoys certain popularity in domestic and international market.
2. Changzhou City, SC’s location, is located in
the South of Jiangsu Province with convenient traffic condition. In 2011, the
total industry production value of Changzhou City was 830.25 billion CNY,
increasing 26.8% year/year; the total production value of light industry was
153.22 billion CNY, increasing 18.2% year/year; the total production value of
heavy industry was 677.03 billion CNY, increasing 29% year/year. As a domestic
owned enterprise dealing with manufacture and sales of dyestuff and dyestuff
intermediates, SC shares no favorable policies provided by the local
government.
SHAREHOLDERS
AND SHARES
As indicated in the following table:
|
Shareholder |
Capital Subscribed |
Percentage |
|
Jinlong Chemical Group Co. Ltd |
5,500,000.00 |
55% |
|
Yang Zhen-hua |
3,000,000.00 |
30% |
|
Zhuang Ya-ping |
1,500,000.00 |
15% |
|
Total |
10,000,000.00 |
100% |
|
Shareholder |
Way of Investment |
Paid-up Percentage |
|
Jinlong Chemical Group Co. Ltd |
Capital |
100% |
|
Yang Zhen-hua |
Capital |
100% |
|
Zhuang Ya-ping |
Capital |
100% |
Background of major shareholder
|
Name |
Jinlong Chemical Group Co. Ltd |
|
Registered Address |
Gaojia Village,
Niutang Town, Wujin Dist, Changzhou City |
|
Main business |
Manufacture of vat
dyestuff, unsaturated polyester resin, chemical raw materials, Chinese patent
drug, medicine intermediates, plant extracts, etc. |
|
|
|
|
Name |
Yang Zhen-hua |
|
Gender |
Male |
|
Title |
Executive director
and General manager. |
|
Date of birth |
Oct 15th,
1952 |
|
|
|
|
Name |
Zhuang Ya-ping |
|
Gender |
Female |
|
Title |
Supervisor. |
|
Date of birth |
Dec 26th,
1953 |
AFFILIATE(S)
No affiliates of subject company is found after checking.
MANAGEMENT
|
Name |
Yang Zhen-hua |
|
Gender |
Male |
|
Title |
Executive director
and general manager. |
|
Date of birth |
Oct 15th,
1952 |
|
Education |
-- |
|
Working
experience |
Over 15
years’ working experience and over 10 years’ management experience. |
|
|
|
|
Name |
Zhuang Ya-ping |
|
Gender |
Female |
|
Title |
Supervisor |
|
Date of birth |
Dec 26th,
1953 |
NUMBER OF EMPLOYEES
Employees: 600
Management Staff: 50
Recent recruitment: No
BANKERS INFORMATION
|
Bank name |
Industrial
and Commercial Bank of China – Niutang (Changzhou) Sub-branch |
|
Account No.
(CNY) |
-- |
|
Tel. |
86 519
86392184 |
|
Comment |
The bank
staff confirmed SC opened an account in the bank, but refused to disclose its
account information due to bank secrecy. |
OFFICE FACILITIES
|
Geographic Location |
No. 51, Hubin North
Rd, Lujiaxiang, Niutang Town, Wujin Dist, Changzhou City, Jiangsu Province. |
|
Area |
200,000 square
meters |
|
Environment |
Industrial Zone. |
|
Traffic condition |
Convenient (Closed
to Hubin Rd, Gaojia Rd, Yanzheng West Avenue, Changhong Rd, etc. |
|
Purpose |
Office/Warehousing/Factory. |
|
Property Ownership |
Self-owned. |
|
Other address |
-- |
WEBSITE
|
Website |
http://www.jlhggroup.com/ |
|
e-mail |
-- |
|
Operation status |
Operational |
|
Copyright |
Copyright Reserved
by Jinlong Technology Group. |
|
Language |
Chinese and English. |
TRADEMARKS/PATENTS
After checking with the Trademark Office of Chinese Administration
Bureau of Industry and Commerce and the State Intellectual Office, no
trademarks or patents of SC were found.
MAIN
PRODUCTS & SERVICES
|
Main business |
Manufacture and sales of vat
dyestuff and dyestuff intermediates. |
|
Products and services |
SC mainly deals with
manufacture and sales of vat dyestuff and dyestuff intermediates. It has over
30 kinds of vat intermediates including vat brilliant violet 2R, vat blue
RSN, vat blue GCDN, vat dark blue RA, vat deep blue BO, vat deep blue VB, vat
brilliant green FFB, vat olive green B, vat olive T, vat golden orange 3 G,
vat red FBB, vat brown BR, vat rubine R, vat brown GGS, vat scarlet red GG,
vat yellow 3 RT, etc. SC’s products are mainly used in industries of cotton,
cotton-polyester blended fabric printing and dyeing, etc. |
|
Picture of specific products |
|
|
Annual production capacity |
Over |
|
Plants and equipments |
-- |
|
Awards & Honors |
-- |
|
Certificates / licenses |
ISO9001 Quality Management System Certification. |
SALES
INFORMATION
|
Domestic sales |
60% |
|
Regions |
All over China |
|
Major domestic clients |
Changzhou
New District Shihlin Dyestuff Co. Ltd, etc. |
|
Competitors |
Xuzhou Jinhaiyang Dyes Chemical Co. Ltd; Jiangsu Yabang
Dyestuff Co. Ltd; ZHEJIANG LONGSHENG GROUP CO., LTD.; HEBEI JIANXIN CHEMICAL
CO.,LTD, etc. |
|
Payment terms |
Prompt payment; on credit |
|
Export |
40% |
|
Regions |
USA, India, Pakistan, Asia, Middle
East, etc. |
|
Major overseas clients |
International traders, etc. |
|
Payment terms |
L/C, T/T |
|
SC’s products are sold both domestically and
internationally. Its products are used in industries of printing &
dyeing, textiles, etc. With long history, SC has fixed clients. |
|
|
The above information was confirmed by SC’s employee on
Jul.23rd, 2012. |
|
PURCHASE
INFORMATION
|
Main Commodities Purchased |
Chemical raw materials, pumps, production equipments, office
supplies, etc. |
|
Number of Major Suppliers |
About 5 |
|
Region |
Domestic: 100 % Import: 0% |
|
Major suppliers |
SHANGHAI LONGYA PUMP VALVE
MANUFACTURE CO. LTD, etc. |
|
Main Terms of Payment |
Local: Prompt payment; on credit |
|
SC’s raw materials and production equipments are mainly
purchased domestically. Its suppliers are mainly from local place and the
neighbouring cities. With long history, SC has stable purchase and sales
channels. It has stable suppliers. |
|
|
The above information was confirmed by SC’s employee on Jul.23rd,
2012. |
|
CREDIT
|
Name of supplier |
SHANGHAI LONGYA PUMP VALVE
MANUFACTURE CO. LTD |
|
Main commodities and service supplied |
Chemical pumps, etc. |
|
Interviewee |
Ms Fan of Sales Department. |
|
Telephone of Interviewee |
86 21 33510117 |
|
Payment comment |
The investigated person confirmed SC is one of their clients and
SC’s credit status is good. |
LITIGATION
RECORDS
After
checking with China Court organization, the local court website and other major
searching websites, no litigation record related to SC in the latest three
years is found.
OTHER
ADVERSE MEDIA INFORMATION
N/A
FINANCE
SC’s financial information can’t be obtained after searching
through all available channels. According to SC’s staff Mr. Yang, it’s a
large-sized enterprise. Its turnover of 2011 was between 0.3 and 0.4 billion
CNY.
Important Ratios:
|
2010 Industry Financial Indices |
Indices of The Best Enterprises |
Industry Average Indices |
Indices of The Worst Enterprises |
|
|
Return on net assets (%) |
15.20 |
3.50 |
-10.00 |
|
|
Return on total assets (%) |
8.80 |
2.90 |
-4.10 |
|
|
Gross profit margin (%) |
25.30 |
12.20 |
0.10 |
|
|
Turnover of total assets |
1.40 |
0.6 |
0.10 |
|
|
Turnover of current assets |
3.50 |
2.00 |
0.7 |
|
|
Turnover days of account receivable |
16.90 |
31.03 |
200.00 |
|
|
Asset liability ratio (%) |
35.90 |
61.0 |
86.00 |
|
|
Current ratio |
2.45 |
1.34 |
0.81 |
|
|
Quick ratio |
1.53 |
0.84 |
0.51 |
|
|
2010 Industry Financial Indices |
Indices of The Best Enterprises |
Industry Average Indices |
Indices of The Worst Enterprises |
|
Return on net assets (%) |
12.20 |
3.50 |
-10.00 |
|
Return on total assets (%) |
8.80 |
2.90 |
-4.10 |
|
Gross profit margin (%) |
24.90 |
12.00 |
0.10 |
|
Turnover of total assets |
1.40 |
0.60 |
0.10 |
|
Turnover of current assets |
3.50 |
2.00 |
0.70 |
|
Turnover days of account receivable |
16.59 |
30.00 |
163.64 |
|
Asset liability ratio (%) |
34.90 |
60.00 |
85.00 |
|
Current ratio |
2.46 |
1.36 |
0.83 |
|
Quick ratio |
1.54 |
0.85 |
0.52 |
Analysis of financial indicator
SC mainly deals with manufacture and
sales of vat dyestuff and dyestuff intermediates and belongs to dyestuff
manufacture enterprise. The industry of dyestuff manufacture is an industry
with fierce competition. Enterprises in this industry have high operation
pressure. With long history, SC has accumulated abundant industry and product
manufacture experience. Its industry competitiveness is high. SC’s location
Changzhou City, is with long history and high industry development level. SC’s
overall development environment is satisfactory. With long history, SC has
certain financing capacity and debt paying capacity.
INDUSTRY
PROFILE
Industry
SIC Code (China): 2644 Manufacture of dyestuff.
Description:
Manufacture of plant pigment, animal pigment and organic pigment.
Status Quo & Trend
As energy conservation and emission reduction policy is
tightening, the external demand is weakening, the product cost is increasing,
etc, China’s dyestuff industry is entering a new adjustment phase. As the
market competition is getting more and more serious, China’s dyestuff industry
is facing more operation pressure.
Dyestuff industry is China’s traditional fine chemical industry.
China has become the largest manufacturer, exporter and consumer of dyestuff in
the world. Its export value occupies about 40% of the total production value.
From January to November in 2011, there were totally 362 large-sized
enterprises in dyestuff industry with total turnover of 68,089,160,000.00 CNY
(increasing 21.6% year/year) and total profit of 4,805,050,000.00 CNY,
increasing 11.2% year/year.
Industry Associations
|
Name of association |
Membership of subject (Yes/No) |
|
China Dyestuff Industry Association |
Not Known |
|
Shanghai Coatings and Dyestuff Industry Association |
No |
|
Tianjin Dyestuff Industry Association |
No |
|
China Dyestuff Industry Association |
No |
GENERAL
COMMENTS
Established in May, 1988, SC mainly deals with manufacture and sales of
vat dyestuff and dyestuff intermediates. Its products are mainly sold to
domestic and international printing enterprises, textile enterprises, etc. With
long history, SC has stable purchase and sales channels. It has accumulated
abundant industry and foreign trade sales experience. SC has certain amount of
clients. With complete production equipments and experienced staff, SC’s
product output value and quality are stable. With long history and large
business scale, SC enjoys certain popularity in the local industry.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.76 |
|
|
1 |
Rs.86.79 |
|
Euro |
1 |
Rs.67.43 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.