MIRA
INFORM REPORT
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Report Date : |
14.06.2012 |
IDENTIFICATION DETAILS
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Name : |
ZHEJIANG RUIHUA CHEMICAL CO., LTD. |
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Formerly Known As : |
Shangyu
Ruihua Chemical Co., Ltd. |
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Registered Office : |
Inner Chemical Area, |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
29.08.2006 |
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Com. Reg. No.: |
330600400021267 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture |
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Line of Business : |
manufacturing and selling reactive dyes. |
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No. of Employees : |
600 |
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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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 – March 31st, 2012
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Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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China |
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
zhejiang ruihua chemical co., ltd.
INNER CHEMICAL
AREA, daoxu town, shangyu,
zhejiang PROVINCE, 312368
PR CHINA
TEL: 86 (0)
575-82049865/82518160 FAX: 86 (0)
575-82041281
EXECUTIVE SUMMARY
INCORPORATION DATE : august 29, 2006
REGISTRATION NO. : 330600400021267
REGISTERED LEGAL
FORM : Chinese-foreign equity joint venture enterprise
STAFF STRENGTH : 600
REGISTERED CAPITAL :
usd 26,000,000
BUSINESS LINE :
manufacturing
TURNOVER :
CNY 470,850,000 (AS OF DEC. 31, 2011)
EQUITIES :
CNY 320,740,000 (AS OF DEC. 31, 2011)
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.37 = 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 Renminbi
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 August 29, 2006.
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 reactive dyes, selling its owned
products.
SC is mainly
engaged in manufacturing and selling reactive dyes.
Mr. Ruan Jiachun
has been the legal representative and chairman of SC since 2006.
SC is known to
have approx. 600 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 Shangyu. Our checks
reveal that SC rents the total premise about 20,000 square meters.
SC is not known to host website of its own at present.
Changes of its
registered information:
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Date of change |
Item |
Before the
change |
After the change |
|
2007-02 |
Company’s name |
Shangyu
Ruihua Chemical Co., Ltd. |
Present
one |
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2011 |
Registered capital |
USD
6,000,000 |
Present
amount |
|
Unknown |
Registration No. |
003767 |
Present
one |
MAIN
SHAREHOLDERS:
Name % of
Shareholding
Zhejiang Runtu Co., Ltd. 75
(Hong
Kong) G-Max Chem Group Limited 25
Zhejiang Runtu Co., Ltd.:
==================
Zhejiang Runtu Co .Ltd. is a large-scaled enterprise.
It is specialized in manufacturing and selling disperse dyes, cationic dyes,
reactive dyes, vat dyes, sulphur dyes, acid dyes, chemical intermediates,
printing & dyeing auxiliary agents for textile, sodium hydrosulfite and
sulfuric acid. At present, it is one of "five- one- batch
enterprises" supported by Zhejiang government, the executive director unit
of China dyes industry association, one of top-100 companies of Zhejiang
province and AAA taxpayer of Zhejiang province.
Zhejiang Runtu Co., Ltd. is a listed company
in Shenzhen Stock Exchange Market with the code of 002440.
INCORPORATION DATE : MAY 14, 1998
REGISTRATION NO. : 330000000043601
REGISTERED LEGAL FORM : SHARES LIMITED COMPANY
REGISTERED CAPITAL : CNY 383,500,000
Add: Daoxu town, Shangyu, Zhejiang, China.
Office: +86-575-82041282
Tel: +86-575-82042874
Sell: +86-575-82042753
Website: http://www.runtuchem.com
(Hong Kong) G-Max Chem Group Limited:
==============================
Incorporation Date : July
13, 2006
Registration No. : 1059071
Registered Legal Form : Private
Active Status : Live
Legal
representative and chairman:
Mr. Ruan Jiachun, ID# 330622196307084830, born in 1963 with MBA degree,
senior economist. He is currently responsible for the overall management of SC.
Working
Experience(s):
From 2006 to present Working in SC as chairman and legal representative;
Also working in Zhejiang Runtu Co., Ltd. as vice chairman and general
manager, working in Jiangsu Mingsheng Chemical Co., Ltd. as legal
representative and chairman
General manager:
Mr. Yang Guoqi, ID# 321283660501123, born in 1966 with university education. He is currently responsible for the daily management of SC.
Working
Experience(s):
From 2006 to present
Working in SC as general
manager
Directors:
………….
Zhang Aijuan
Meng Huaming
Supervisor:
……………
Han Mingjuan
SC is mainly
engaged in manufacturing and selling reactive dyes.
SC’s products
mainly include: reactive dyes.
SC sources its materials 100% from domestic
market, mainly Zhejiang. SC sells 70% of its products in domestic market, and
30% to overseas market, mainly Southeast Asian market.
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 Customer:
=============
Zhejiang Runtu Co., Ltd.
Note: SC’s
management declined to release its major suppliers.
Jiangsu Mingsheng Chemical 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 did not
provide any name of trade/service suppliers and we have no other sources to
conduct the enquiry at present.
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.
China Construction Bank Shangyu Sub-Branch
AC#33001656435053002946
Relationship:
Normal.
Financial Summary
Unit: CNY’000
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as of Dec. 31,
2010 |
as of Dec. 31,
2011 |
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Total Liabilities |
73,520 |
49,900 |
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Shareholders equities |
296,850 |
320,740 |
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Total Assets |
370,370 |
370,640 |
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Turnover |
509,000 |
470,850 |
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Net profit |
59,950 |
28,630 |
Note:
we did not find SC’s detailed financial reports for Yr2010 & 2011.
Important
Ratios
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as of Dec. 31,
2010 |
as of Dec. 31,
2011 |
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*Liabilities
to assets |
0.20 |
0.13 |
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*Net profit margin
(%) |
11.78 |
6.08 |
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*Return on
total assets (%) |
16.19 |
7.72 |
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*Turnover/Total
assets |
1.37 |
1.27 |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears fairly good in its line
in both years.
l
SC’s net profit margin is fairly good in both
years.
l
SC’s return on total assets is fairly good in both
years.
l
SC’s turnover is in an average level in both years,
comparing with the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The debt ratio of SC is low in both years.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly good.
SC is considered medium-sized in its line with fairly good financial
conditions.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.55.85 |
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UK Pound |
1 |
Rs.86.88 |
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Euro |
1 |
Rs.69.88 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.