MIRA INFORM REPORT

 

 

Report Date :

24.12.2013

 

IDENTIFICATION DETAILS

 

Name :

ECOSYNTHETIX CORPORATION

 

 

Registered Office :

3365 Mainway, Burlington, Ontario L7M 1A6

 

 

Country :

Canada

 

 

Date of Incorporation :

26.10.2001

 

 

Legal Form :

Corporation – Profit

 

 

Line of Business :

Subject is engages in the development and commercialization of bio-based products that are used as inputs in industrial manufacturing for a range of consumer and industrial products worldwide.

 

 

No. of Employees :

45 (for the group)

 

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 :

Slow but Correct  

 

 

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 – September 30th, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Canada

A1

A1

 

Risk Category

ECGC Classification

 

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Canada ECONOMIC OVERVIEW

 

As an affluent, high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and affluent living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its great natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector''s tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-12 and plans to balance the budget by 2015. In addition, the country''s petroleum sector is rapidly becoming an even larger economic driver with Alberta''s oil sands significantly boosting Canada''s proven oil reserves, ranking the country third in the world behind Saudi Arabia and Venezuela.

 

Source : CIA

 

Company name & address

 

Company name:            ECOSYNTHETIX CORPORATION

Address:                       3365 Mainway, Burlington, Ontario L7M 1A6 - Canada

Telephone:                    +1 289-878-0286

Fax:                              +1 289-288-5011

Website:                       www.ecosynthetix.com

 

 

Company summary

 

Corporate ID#:               ON-001499605

State:                           Ontario

Judicial form:                 Corporation – Profit

Date incorporated:          10-26-2001

Stock:                           -

Value:                           -

Name of manager:          John VAN LEEUWEN

 

 

ACTIVITIES & OPERATIONS

 

IST

 

Business:

EcoSynthetix engages in the development and commercialization of bio-based products that are used as inputs in Industrial manufacturing for a range of consumer and industrial products worldwide.

 

Its lead product, ECOSPHERE BIOLATEX binders, is used commercially by manufacturers in the coated paper and paperboard industry as replacement for petroleum based emulsion polymers, such as styrene butadiene latex.

 

The company also provides EcoMer, a family of sugar-based macromers that help polymer manufacturers in creating new waterborne sugar-acrylic polymers and resins; and EcoStix products, which are uses in the development of waterborne pressure sensitive adhesives for a range of label, film, and specialty applications, such as recyclable packaging, fruit labeling, re-pulpable tapes, paper labels and postage stamps, and high temperature resistant labels for automotive applications.

 

Suppliers include:

CHEMIGATE OY
SIMPSIONTIE 682 LAPUA 62100 FINLAND

 

 

Staff:     45 (for the group)

 

Operations & branches:

At the headquarters, we find a laboratory and office, on lease.

 

 


SHAREHOLDERS & MANAGERS

 

Shareholders:

ECOSYNTHETIX INC.

3365 Mainway, Burlington, Ontario L7M 1A6 - Canada

Public Company incorporated in Ontario on 05-20-2011 under ID# ON-02285780

 

 

Management:

John VAN LEEUWEN is the President and CEO.

He served as the CEO of Tech Inspirations from 1996 to 2004. From 1990 to 1996, he was responsible for the start up of the North American operations of the software company Baan Company N.V. and as part of that group's senior management team led it to a successful initial public offering on the NASDAQ in May 1995. In addition, he has significant management, technology & product marketing and chemical research & development experience acquired during his time with Strohn CIM Systems, Inc., Monsanto Chemical Company and Shell Chemicals. Mr. van Leeuwen has been the Chairman at Ecosynthetix Inc, since 2004. He has been a Director of Ecosynthetix Inc. since 1996.

In May 2011, he received the Canadian Innovator of the Year award on behalf of Ecosynthetix from PricewaterhouseCoopers.

Mr. van Leeuwen holds a BASc. in Chemistry with honours from the University of Waterloo.

 

Robert Martin HAIRE is the CFO.

 

As far as we know, they are involved in other corporations, including:

 

ECOSYNTHETIX ADHESIVES INC.

ECOSYNTHETIX CANADA CORPORATION

ECOSYNTHETIX INC.

ECOSYNTHETIX TECHNOLOGIES INC.

 

 

FINANCIALS

 

In Canada, privately held corporations are not required to publish any financials.

 

On a direct call, a financial assistant controlled the present report and confirmed that all financials are consolidated into the parent company which reported the following:

 

Currency in
Millions of US Dollars

 

Dec 31
2009

Dec 31
2010

Dec 31
2011

Dec 31
2012

TOTAL REVENUES

2.4

15.9

20.8

19.6

NET INCOME

-14.0

-49.2

-252.7

-11.4

 

Banks:  Scotia Bank

 

 

LEGAL FILINGS

 

Legal filings & complaints:

As of today date, there is no legal filing pending with the Courts.

Secured debts summary:   Several

 

 

COMPANY CREDIT HISTORY

 

Trade references:

 

Date reported:                November 2013

High credit:                    USD 15,000

Now owing:                    0

Past due:                      0

Last purchase:               October 2013

Line of business:            Office supply

Paying status:               3+ days beyond terms

 

Date reported:                November 2013

High credit:                    USD 50,000

Now owing:                    0

Past due:                      0

Last purchase:               October 2013

Line of business:            Payroll

Paying status:               As agreed

 

Date reported:                November 2013

High credit:                    USD 600

Now owing:                    0

Past due:                      0

Last purchase:               October 2013

Line of business:            Telecommunications

Paying status:               5 days terms

 

Domestic credit history:

National Credit Bureaus gave a medium credit rating.

 

According to our credit analysts, during the last 6 months, domestic payments were made with an average of 5 to 10 days beyond terms.

 

Other comments:

The bank confirmed a low cash flow.

The Company is in good standing.

This means that all local and federal taxes were paid on due date.

The risk is medium/high.

 

Our opinion:

We suggest you to be careful.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.99

UK Pound

1

Rs.101.37

Euro

1

Rs.84.82

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.