MIRA INFORM REPORT
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Report Date : |
30.04.2013 |
IDENTIFICATION DETAILS
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Name : |
ZHEJIANG STARRY PHARMACEUTICAL
CO., LTD. |
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Registered Office : |
No. 1 Starry Avenue, Modern Industrial Centralization Area,
Xianju County, Taizhou, Zhejiang Province, 317300 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
12.07.1997 |
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Com. Reg. No.: |
331000400001749 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Subject engaged in manufacturing and selling API (active
pharmaceutical ingredient) and its intermediates. |
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No. of Employees : |
800 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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With Financials |
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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, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
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.
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Source : CIA |
COMPANY NAME & ADDRESS
ZHEJIANG STARRY PHARMACEUTICAL CO., LTD.
NO. 1 STARRY AVENUE, MODERN INDUSTRIAL CENTRALIZATION AREA,
XIANJU COUNTY, TAIZHOU, ZHEJIANG PROVINCE, 317300 PR CHINA
TEL: 86 (0) 576-87718628/87718621 FAX: 86 (0) 576-87718668/87718678
EXECUTIVE SUMMARY
INCORPORATION DATE :
JULY 12, 1997
REGISTRATION NO. :
331000400001749
REGISTERED LEGAL FORM :
SHARES LIMITED
COMPANY
CHIEF EXECUTIVE :
MR. HU JINSHENG (CHAIRMAN)
STAFF STRENGTH :
800
REGISTERED CAPITAL :
CNY 90,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 366,980,000 (AS OF DEC. 31,
2010)
EQUITIES :
CNY 272,540,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.23 = 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 Shares limited co. at local Administration for
industry & commerce (AIC - the official body of issuing and renewing
business license).
Company Status: Shares limited co. This form of business in PR China
is defined as a legal person. Its registered capital is divided into shares
of equal par value and the co. raises capital by issuing share certificates
by promotion or by public offer. Shareholders bear limited liability to the
extent of shareholding, and the co. is liable for its debts only to the
extent of its total assets. The co has independent property of legal person
and enjoys property rights of legal person. The characteristics of
the shares limited co. are as follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be domiciled
in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co.
raises capital by public offer, the promoters must not subscribe less than
35% of the total shares. the promoters’ shares are restricted to transfer-
within one year of the offer. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered business scope includes manufacturing API (iohexol, Levofloxacin); manufacturing levofloxacin,
ioversol, iotrolanvist, iodixanol intermediates; exporting self-made
products and importing machinery and equipment, spare parts, raw and auxiliary
materials which used for self-production, excluding the goods and technology
prohibited or limited by the country.
SC is mainly
engaged in manufacturing and selling API (active pharmaceutical ingredient) and
its intermediates.
Mr. Hu
Jinsheng has been legal representative and chairman of SC since 2001.
SC is known to have approx. 800 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
Xianju County. SC’s
management declined to release the detailed information of the premise.
http://www.starrypharm.com/
The
design is professional and the content is well organized. At present it is both
in Chinese and English versions.
E-Mail: sales@starrypharm.com ; info@starrypharm.com
SC has been awarded as Zhejiang Province High New Technology Enterprise,
Pharmaceutical Chemical Industry Leading Enterprise, Etc.
Changes of its
registered information:
|
Date |
Item |
Before the change |
After the change |
|
|
Legal representative |
Zhang Aijiang |
Zheng Aiqin |
|
|
Company name |
Zhejiang Taizhou Xianyuan Medicament Health Product Co., Ltd.
(in Chinese Pinyin) |
Zhejiang Taizhou Starry Medicines & Chemical Co., Ltd. |
|
|
Legal representative |
Zheng Aiqin |
Present one |
|
|
Registered capital |
CNY 1,180,000 |
CNY 5,180,000 |
|
|
Company name |
Zhejiang Taizhou Starry Medicines & Chemical Co., Ltd. |
Present one |
|
|
Shareholders (Shareholding) |
Hu Aimin 3.5%; Ma
Yike 15%; Ye Jiexi 22%; Hu Jinsheng 59.5% |
Hu Aimin 18.5%; Ye Jiexi
22%; Hu Jinsheng 59.5% |
|
|
Shareholders (Shareholding) |
Hu Aimin 18.5%; Ye
Jiexi 22%; Hu Jinsheng 59.5% |
Hu Aimin 18.5%; Ye Jiexi
22%; Hu Jinsheng 40.19%;
Yangtze River Pharmaceutical Group Co., Ltd. 19.31% |
|
|
Shareholders |
Hu Aimin 18.5%; Ye
Jiexi 22%; Hu Jinsheng 40.19%; Yangtze
River Pharmaceutical Group Co., Ltd.
19.31% |
Hu Aimin 18.5%; Hu Jian 22%; Hu Jinsheng 40.19%; Yangtze
River Pharmaceutical Group Co., Ltd. 19.31% |
|
|
Shareholders (Shareholding) |
Hu Aimin 18.5%; Hu Jian 22%; Hu Jinsheng 40.19%; Yangtze
River Pharmaceutical Group Co., Ltd. 19.31% |
Hu Aimin 18.5%; Hu Jian 41.31%; Hu Jinsheng 40.19% |
|
|
Shareholders (Shareholding) |
Hu Aimin 18.5%; Hu
Jian 41.31%; Hu Jinsheng 40.19% |
Hu Aimin 18.5%; Hu
Jian 14.5%; Hu Jinsheng 40%; Liew Yew Thoong 27% |
|
Registered legal form |
Limited Liabilities Company |
Chinese-Foreign Equity Joint
Venture Enterprise |
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|
Registration No. |
3310241000102 |
001797 |
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|
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Registered capital |
CNY 5,180,000 |
CNY 21,460,000 |
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|
Registration No. |
001797 |
Present one |
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|
Registered capital |
CNY 21,460,000 |
CNY 38,000,000 |
|
|
Shareholding |
Hu Aimin 18.5%; Hu
Jian 14.5%; Hu Jinsheng 40%; Liew Yew Thoong 27% |
Hu Aimin 3%; Hu
Jian 30%; Hu Jinsheng 40%; Liew Yew Thoong 27% |
|
|
Registered capital |
CNY 38,000,000 |
CNY 76,880,000 |
|
|
Shareholders |
Hu Aimin 3%; Hu
Jian 30%; Hu Jinsheng 40%; Liew Yew Thoong 27% |
Present shareholders |
|
2011 |
Registered capital |
CNY 76,880,000 |
Present amount |
|
Legal form |
Chinese foreign equity joint venture enterprise |
Present one |
|
|
Chinese name |
|
Present one |
Note: in 2011 SC changed its Chinese name,
while its English name remains the same.
MAIN SHAREHOLDERS:
Name % of Shareholding
Shanghai Changliang Investment
Development Co., Ltd. (in Chinese Pinyin)
6.5
Taizhou Juhe Investment Co.,
Ltd. (in Chinese Pinyin) 5.0
Zhejiang Silicon Paradise
Hesheng Venture Capital Co., Ltd. (in Chinese Pinyin) 2.5
Zhejiang Silicon Paradise Hefeng
Venture Capital Co., Ltd. (in Chinese Pinyin) 2.5
Full Keen Limited 1.5
Lansen Investments (Hong Kong)
Limited
20.0
Hu Jinsheng ID#
332624195508153572 28.5
Hu Aimin ID#
332624196305083564
3.0
Hu Jian ID#
332624197911020015
25.0
Liew Yew Thoong (Malaysian) ID#
A10693723
5.5
Shanghai Changliang Investment
Development Co., Ltd. (in Chinese Pinyin)
=======================================================
Legal representative: Yi Chun
Incorporation date: Mar. 15, 2004
Add: No. 198 Zhenjing Road, Xujing Town,
Qingpu District, Shanghai
Tel: 021-68889690
Zhejiang Silicon Paradise
Hesheng Venture Capital Co., Ltd. (in Chinese Pinyin)
==========================================================
Legal representative: Liang
Zheng
Registration No.: 330000000043999
Incorporation date: Oct. 20, 2009
Zhejiang Silicon Paradise Hefeng
Venture Capital Co., Ltd. (in Chinese Pinyin)
=========================================================
Legal representative: Cai
Hangwei
Registration No.: 330000000043765
Incorporation date: Oct. 13, 2009
Lansen Investments (Hong Kong)
Limited
==============================
CR No.: 1528017
Incorporation date: Nov. 12,
2010
Status: Private
l
Legal representative,
chairman and general manager:
Mr. Hu Jinsheng, ID# 332624195508153572, born
in 1955. He is currently responsible for the overall management of SC.
Working Experience(s):
From 2001 to present
Working in SC as chairman, general manager and legal representative
Also working in Zhejiang Taizhou Qihutu
Chemical Co., Ltd. as legal rep. and chairman.
SC is mainly engaged
in manufacturing and selling API (active pharmaceutical ingredient) and its
intermediates.
SC’s products mainly include: X-CT non-ionic contrast agent, fluorine
quinoline derivatives and carbapenem three types of products.
SC sources its materials 90% from domestic market and 10% from overseas
market. SC sells 30% of its products to overseas market and 70% in domestic market.
The buying terms of SC include Check, T/T, L/C 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 main clients and
suppliers.
Zhejiang Taizhou Qihutu
Chemical Co., Ltd.
================================
Registration No.:
331024000014119
Incorporation Date:
Chairman: Hu Jinsheng
Registered Capital: CNY
4,680,000
Jiangxi Starry Technology
Co., Ltd.
=========================
Registration No.:
360982210010640
Incorporation Date:
Chairman: Hu Jian
Registered Capital: CNY
38,000,000
Etc.
SC is known to have an office in Hangzhou,
Tel: 86 0571-81061319
Fax: 86 0571-81061697
Add.: Room C902, Oumei
Center, No. 18 Jiaogong Road, Hangzhou
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.
SC’s management declined to release its bank details.
Balance Sheet
Unit: CNY’000
|
|
as
of Dec. 31, 2009 |
as
of Dec. 31, 2010 |
|
Cash & bank |
57,212 |
60,810 |
|
Inventory |
76,057 |
104,570 |
|
Accounts receivable |
31,047 |
67,460 |
|
Notes receivable |
7,885 |
4,460 |
|
Advances to
suppliers |
6,202 |
16,920 |
|
Other
receivables |
144,865 |
166,200 |
|
Other current
assets |
110 |
7,920 |
|
|
------------------ |
------------------ |
|
Current assets |
323,378 |
428,340 |
|
Fixed assets net
value |
174,320 |
197,540 |
|
Projects under
construction |
19,988 |
15,420 |
|
Long term
investment |
20,220 |
25,360 |
|
Intangible
assets |
8,925 |
14,120 |
|
Other assets |
2,660 |
7,730 |
|
|
------------------ |
------------------ |
|
Total assets |
549,491 |
688,510 |
|
|
============= |
============= |
|
Short loans |
193,349 |
174,060 |
|
Notes payable |
45,550 |
55,900 |
|
Accounts payable |
49,082 |
71,120 |
|
Advances from
customers |
0 |
5,980 |
|
Salaries and welfare
payable |
8,685 |
13,390 |
|
Taxes payable |
2,360 |
4,110 |
|
Other payable |
3,717 |
45,620 |
|
Other current
liabilities |
6,751 |
5,500 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
309,494 |
375,680 |
|
Long term
liabilities |
40,290 |
40,290 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
349,784 |
415,970 |
|
Equities |
199,707 |
272,540 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
549,491 |
688,510 |
|
|
============= |
============= |
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2009 |
as of Dec. 31,
2010 |
|
Turnover |
329,044 |
366,980 |
|
Cost of goods
sold |
210,103 |
274,150 |
|
Sales expense |
3,792 |
4,880 |
|
Management expense |
51,633 |
50,450 |
|
Finance expense |
13,824 |
12,560 |
|
Investment
income |
213 |
420 |
|
Profit before
tax |
57,974 |
69,850 |
|
Less: profit tax |
0 |
0 |
|
Profits |
57,974 |
69,850 |
Note: SC’s management refused to release the financial
information for Yr2011.
Important Ratios
=============
|
|
as of Dec. 31, 2009 |
as of Dec. 31, 2010 |
|
*Current ratio |
1.04 |
1.14 |
|
*Quick ratio |
0.80 |
0.86 |
|
*Liabilities
to assets |
0.64 |
0.60 |
|
*Net profit margin
(%) |
17.62 |
19.03 |
|
*Return on
total assets (%) |
10.55 |
10.15 |
|
*Inventory
/Turnover ×365 |
85 days |
104 days |
|
*Accounts
receivable/Turnover ×365 |
35 days |
67 days |
|
*Turnover/Total
assets |
0.60 |
0.53 |
|
* Cost of goods
sold/Turnover |
0.64 |
0.75 |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears fairly good in 2009, and
it increased in 2010.
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 cost of goods sold is low in both years,
comparing with its turnover.
LIQUIDITY: AVERAGE
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 in 2009 but
fairly large in 2010.
l
The accounts receivable of SC appears average in
both years.
l
The short-term loan of SC appears fairly large in
both years.
l
SC’s turnover is in a fair level in both years,
comparing with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average in both years.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Stable.
SC is considered medium-sized in its line with 16 years development
history
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian
Rupees |
|
US Dollar |
1 |
Rs.54.28 |
|
UK Pound |
1 |
Rs.84.23 |
|
Euro |
1 |
Rs.70.90 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIT |
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.