MIRA
INFORM REPORT
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Report Date : |
09.10.2012 |
IDENTIFICATION DETAILS
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Name : |
HEBEI YANUO CHEMICAL INDUSTRY CO., LTD. |
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Registered Office : |
No. 19 Alishan Street, Shijiazhuang, Hebei Province, 052165 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
03.04.1997 |
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Com. Reg. No.: |
130000000007959 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing and selling fine chemical products |
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No. of Employees : |
250 |
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 – June 30th, 2012
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Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
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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 |
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
HEBEI YANUO Chemical Industry Co., Ltd.
NO. 19 ALISHAN
STREET, SHIJIAZHUANG, HEBEI PROVINCE, 052165 PR CHINA
TEL: 86 (0)
311-83099830/83099855 FAX: 86 (0)
311-83099966
EXECUTIVE SUMMARY
INCORPORATION DATE : APRIL 3, 1997
REGISTRATION NO. : 130000000007959
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
250
REGISTERED CAPITAL : CNY 35,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 189,260,000 (AS OF DEC. 31, 2011)
EQUITIES :
CNY 67,970,000 (AS OF DEC. 31, 2011)
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.29 = 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 limited liabilities
company at provincial Administration for Industry & Commerce (AIC - The
official body of issuing and renewing business license) on April 3, 1997.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders contribute its registered
capital jointly. 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 CNY 30,000. 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 30% 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.
SC’s registered
business scope includes manufacturing methanesulfonyl chloride, methanesulfonic
acid, 4-aminopyridine, 3-hydroxypyridine and levulinic acid; researching and
developing fine chemical products; importing and exporting commodities and
technology (excluding the items prohibited by the state); manufacturing
fireproof insulation board.
SC is mainly
engaged in manufacturing and selling fine chemical products.
Mr. Luo Qike is legal representative and chairman of SC at
present.
SC is known to have approx. 250 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in Shijiazhuang. Our checks reveal that SC owns
the total premise, but SC’s accountant refused to release the gross area.
http://www.yanuo.com/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
According to SC’s website, SC’s quality system meets the international
standard of ISO9001.
Changes of its
registered information:
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Date of change |
Item |
Before the change |
After the change |
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Unknown |
Registration No. |
1300001000539 |
130000000007959 |
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2010 |
Registered capital |
CNY 10,000,000 |
CNY 24,047,760 |
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2011 |
Registered capital |
CNY 24,047,760 |
Present amount |
MAIN SHAREHOLDERS:
Name % of
Shareholding
Hebei Technology Venture Capital Co., Ltd. 11.22
Pei Yong 3.37
ID# 11010219590621001X
Luo Qike 29.11
ID # 13010419450506181X
Liu Xiaomin 27.45
ID # 130104196210041810
Li Zhen 26.61
ID # 130105610614182
Yang Xinmei 1.12
ID # 440103196409061567
Chen Zhihui 1.12
ID # 440105196904034534
* Hebei Technology Venture Capital Co., Ltd.
=======================================================
Registration No.: 130000000001517
Legal representative: Hu Man
Registered capital: CNY 340,200,000
Add: No. 55 Kunlun Street, (East Part), High
& New District, Shijiazhuang
Tel: 0311-85961611
Fax: 0311-85961613
Email: hebvc@hebvc.com
l
Legal representative and chairman:
Mr. Luo Qike , ID # 13010419450506181X, born in 1945. He is currently
responsible for the overall management of SC.
Working Experience(s):
At present Working in SC as chairman and legal
representative.
l General manager:
Mr. Liu Xiaomin , ID # 130104196210041810,
born in 1962. He is currently responsible for the daily management of SC.
Working Experience(s):
At present Working in SC as general manager.
Directors:
…………
Dong Wenjie
Li Zhen
Pei Yong
Liu Xiaomin
Supervisors:
…………….
Li Qiaoju
Liu Xudong
SC is mainly
engaged in manufacturing and selling fine chemical products.
Main Products:
Thiochemicals
Dimethyl disulfide Methanesulfonic acid
Stannous methanesulfonate Methanesulfonyl chloride
Methanesulfonyl anhydride
Pyridine Derivatives
2-Amino-3-benzyloxypyridine 6-Chloronicotinic acid
3-Amino-2-chloropyridine 2-Chloronicotinoyl chloride
4-Amino-3,5-dichloropyridine 2-Chloro-3-nitropyridine
2-Amino-3-hydroxypyridine 3-Chloropyridine
2-Amino-5-methylpyridine 4-Chloropyridine
hydrochloride
3-Aminopyridine 3,5-Dichloro-4-hydroxypyridine
4-Aminopyridine 3,5-Dichloro-4-pyridone-N-acetic
acid
5-Bromo-2-hydroxynicotinic acid 2,3-Dihydroxypyridine
2-Bromo-3-hydroxypyridine 2-(2-Hydroxyethyl)pyridine
2-Bromopyridine 2-Hydroxynicotinic
acid
3-Bromopyridine 3-Hydroxy-2-nitropyridine
4-Bromopyridine hydrochloride 2-Hydroxypyridine
2-Chloro-4-aminopyridine 3-Hydroxypyridine
2-Chloro-3-cyanopyridine 4-Iodopyridine
2-Chloro-4-cyanopyridine 4-Methoxypyridine
2-Chloro-3-hydroxypyridine 4-Methoxypyridine N-oxide
2-Chloro-4-hydroxypyridine Nicotinic acid
2-Chloro-3-iodopyridine Pyridine methanesulfonate
2-Chloro-4-iodopyridine 2-Pyridylethylamine
2-Chloroisonicotinic acid Pyridine-N-Oxidee
2-Chloronicotinic acid 2-[(Tribromomethyl)sulfonyl]-pyridine
2,5-Dichloronicotinic acid
Miscellaneous
Diphenolic acid Levulinic acid
Ethyl levulinate Phloroglucinol
Ethyl-N-methyl malonamide Silica gel (blue)
SC sources its materials 100% from domestic
market. SC sells 20% of its products in domestic market, and 80% to overseas
market, mainly European, American and 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.
Note:
SC’s management declined to release its major clients and suppliers.
SC is known to invest in the following company:
Wuhai
Lanya 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.
Bank of Communications Hebei Province Branch
AC#：N/A
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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Current assets |
91,740 |
104,390 |
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Current liabilities |
49,440 |
82,230 |
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Total Liabilities |
109,120 |
147,380 |
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Shareholders equities |
63,070 |
67,970 |
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Total Assets |
172,190 |
215,350 |
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Turnover |
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189,260 |
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Cost of goods
sold |
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161,880 |
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Profit before
tax |
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5,470 |
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Less: profit tax |
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790 |
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Net profit |
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4,680 |
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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*Current ratio |
1.86 |
1.27 |
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*Liabilities
to assets |
0.63 |
0.68 |
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*Net profit
margin (%) |
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2.47 |
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*Return on
total assets (%) |
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2.17 |
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*Turnover/Total
assets |
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0.88 |
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* Cost of
goods sold/Turnover |
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0.86 |
PROFITABILITY:
AVERAGE
l The turnover of SC
appears fairly good in its line in 2011.
l SC’s net profit
margin is average in 2011.
l SC’s return on
total assets is average in 2011.
l SC’s cost of goods
sold is average, comparing with its turnover in 2011.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level in both years.
l
SC’s turnover is in a fair level, comparing with
the size of its total assets in 2011.
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.
SC is considered medium-sized in its line with fairly stable 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.52.21 |
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1 |
Rs.84.00 |
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Euro |
1 |
Rs.67.75 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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.