MIRA INFORM REPORT

 

 

Report Date :

02.11.2012

 

IDENTIFICATION DETAILS

 

Name :

SINOWAY INTERNATIONAL (JIANGSU) CO LTD

 

 

Registered Office :

No.17 Beijing West Road, Nanjing City, Jiangsu Province

 

 

Country :

China

 

 

Date of Incorporation :

09.02.2007

 

 

Com. Reg. No.:

320000000022269

 

 

Legal Form :

Limited Liabilities Company

 

 

Line of Business :

Sales Of Chemical Raw Materials And Farm Chemical Intermediates

 

 

No. of Employees :

40

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

China

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

CHINA - ECONOMIC OVERVIEW

 

Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, creation of a diversified banking system, development of stock markets, rapid growth of the private sector, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors it considers important to "economic security," explicitly looking to foster globally competitive national champions. After keeping its currency tightly linked to the US dollar for years, in July 2005 China revalued its currency by 2.1% against the US dollar and moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2010 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still, per capita income is below the world average. The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic demand; (b) sustaining adequate job growth for tens of millions of migrants and new entrants to the work force; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. In 2010-11, China faced high inflation resulting largely from its credit-fueled stimulus program. Some tightening measures appear to have controlled inflation, but GDP growth consequently slowed to near 9% for 2011. An economic slowdown in Europe is expected to further drag Chinese growth in 2012. Debt overhang from the stimulus program, particularly among local governments, and a property price bubble challenge policy makers currently. The government's 12th Five-Year Plan, adopted in March 2011, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent on exports in the future. However, China has made only marginal progress toward these rebalancing goals.

Source : CIA

 


Company name and address

   

Sinoway International (Jiangsu) Co Ltd

RM 205 & 304, No.17, Beijing West Rd, Nanjing City, Jiangsu Province

210024

Tel :

86-25-86639205

Fax:

86-25-83318076

E-mail:

Xjinsong@sinoway-pharma.com

Website:

http://www.sinoway-pharma.com/

Currency in this report is Chinese Yuan unless otherwise stated.

Exchange Rate: 1 USD=6.30 Chinese Yuan

"--"in this report indicates "unavailable" due to insufficient information or "no comments"

 

Notes

1. Due to the recent intervention of Chinese government in the information obtaining procedure of companies, all the credit reporting agencies and other agencies are not allowed to provide financial information of other companies to the clients. Therefore, in this report, only some basic official information can be provided for the client’s reference. No financial is available.

 

 

EXECUTIVE SUMMARY

 

DATE OF establishment

Feb.9th, 2007

Aic Registration No.

320000000022269

REGISTERED LEGAL FORM

limited liabilities company

REGISTERED CAPITAL

30,000,000.00

main BUSINESS

sales of chemical raw materials and farm chemical intermediates

SIC Code (China)

6369 wholesale of other chemical products

 

 

employees

40

import and export permits

yes

business scale

acceptable

operation trend

acceptable

 

 

EXCHANGE RATE

1 Usd=6.30CNY (apr.27th, 2012)

                 

              


REGISTRATION

 

Name

Sinoway International (Jiangsu) Co Ltd

AIC Registration Number

320000000022269

Registered address

No.17 Beijing West Road, Nanjing City, Jiangsu Province

Operation address

RM 205 & 304, No.17, Beijing West Rd, Nanjing City, Jiangsu Province

Date of Establishment

Feb.9th, 2007

Registry

Administration Bureau of Industry and Commerce – Jiangsu Province

Legal Representative

Tao Jinzhao

Registered Legal Form

limited liabilities company

Registered Capital

30,000,000 CNY

Operating Duration

From Feb.9th, 2007 to Feb.8th, 2022

Changes in Registration

N/A

                        

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

         

SHAREHOLDERS AND SHARES

 

Shareholder Name

Amount invested (CNY)

Percentage

Chen Zhongyu

3,300,000

11%

Dai Bolun

2,600,000

8.67%

Jiangsu Textile Group Co.,Ltd

14,700,000

49%

Lu Baoqin

2,700,000

9%

Lu Zhenxing

1,500,000

5%

Shen Ling

1,200,000

4%

Tao Jinzhao

4,000,000

13.33%

        

                      

AFFILIATE(S)

 

No affiliate of subject is found after checking.

           

       

MANAGEMENT

 

Name

Tao Jinzhao

Title

Chairman

 

 

Name

Gu Wenjin

Title

Director

 

 

Name

Chen Zhongyu

Title

General manager, director

 

 

Name

Dai Bolun

Title

Director

 

 

Name

Lu Baoqin

Title

Supervisor

 

 

Name

Zhao Weijian

Title

Director

 

 

Name

Lu Shenxing

Title

Director

 

 

Name

Wei Aichun

Title

Director

 

 

Name

Zheng Qiusheng

Title

Senior supervisor

       

       

BANKERS INFORMATION

 

Bank Name

Industrial and Commercial Bank of China – Shanxi Road Sub-branch(Nanjing)

Account No.

--

Telephone of the person investigated

86-25-83279920

Comment

The bank staff confirmed subject holds an account in the above bank, but refused to disclose its account information.

           

       

OFFICE FACILITIES

 

Geographic Location

RM 205 & 304, No.17, Beijing West Rd, Nanjing City, Jiangsu Province

Area

500

Environment and traffic

Acceptable

Property Ownership

Rented

           

           

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

Sales of chemical raw material and farm chemical intermediates

Products and services

Subject’s products include Vegetarian D-Glucosamine HCL, Vegetarian D-Glucosamine sulfate 2KCL, Vegetarian D-Glucosamine sulfate 2NaCL. It also covers sales of green tea extracts, grape seed extracts and other plant extracts etc.

           

           

SALES INFORMATION

 

Local sales

20%

Regions

Jiangsu Province and the surrounding area

Major domestic clients

Health product manufacturers

Payment terms

Prompt payment; on credit

Export

80%

Regions

USA, Japan, Asia, America, Europe etc.

Major overseas clients

International traders and chemical factories

Payment terms

L/C, T/T

Subject’s products are mainly exported. It cooperated with the health product manufacturers and chemical factories. With certain history, its sales channel is good.

The above information was confirmed by SC’s employee

           

           

PURCHASE INFORMATION

 

Main Commodities Purchased

Plant extracts, chemical intermediates, farm chemical intermediates etc.

Region

All over China

Number of Major Suppliers

More than 5

Major suppliers

ANHUI REDSTAR PHARMACEUTICAL. CO. LTD; JIANGSU HUIFENG AGROCHEMICAL CO.,LTD

Main Terms of Payment

Local: Prompt payment; on credit

Subject’s products are mainly purchased domestically. With certain history, it has developed fixed suppliers.

The above information was confirmed by SC’s employee

          

           

CREDIT 

 

Name of supplier

ANHUI REDSTAR PHARMACEUTICAL. CO. LTD

Main commodities and service supplied

Plant extracts

Title of interviewee

Sales staff

Telephone of Interviewee

86-563-5120836

Cooperation

confirmed

Payment comment

good

          

          

LITIGATION RECORDS 

           

After checking with China Court organization, the local court website and other major searching websites, no litigation record related to subject company in the latest three years is found.

            

           

FINANCE

 

N/A

      


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.78

UK Pound

1

Rs.86.77

Euro

1

Rs.69.71

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.