MIRA
INFORM REPORT
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Report Date : |
20.02.2013 |
IDENTIFICATION DETAILS
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Name : |
JIANGSU TOHOPE PHARMACEUTICAL CO., LTD. |
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Registered Office : |
No. 188 Wuyishan Road, Southeast Economic Development Zone
Changshu, Jiangsu Province 215533 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
31.05. 2002 |
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Com. Reg. No.: |
320581400007806 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
Manufacturing and selling drugs, health food tablets. |
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No. of Employees : |
81 |
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
|
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
JIANGSU TOHOPE PHARMACEUTICAL CO., LTD.
NO. 188 WUYISHAN ROAD, SOUTHEAST ECONOMIC DEVELOPMENT ZONE
CHANGSHU, JIANGSU PROVINCE 215533 PR CHINA
TEL: 86 (0) 512-52300000/52300533
FAX: 86 (0) 512-52300579
EXECUTIVE SUMMARY
Date of Registration : may 31, 2002
REGISTRATION NO. : 320581400007806
LEGAL FORM : Chinese-foreign equity joint venture
enterprise
REGISTERED CAPITAL : usd 1,764,000
staff :
81
BUSINESS CATEGORY : MANUFACTURING
Revenue :
CNY 65,803,000 (AS OF DEC. 31, 2011)
EQUITIES :
CNY 91,828,000 (AS OF DEC. 31, 2011)
WEBSITE : www.wxchem.com
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.23 = USD 1
Adopted abbreviations (as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established
as a Chinese-foreign equity joint venture enterprise of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.: 320581400007806 on May 31, 2002.
SC’s Organization Code Certificate No.:
73784306-1
SC’s Tax No.: 320581737843061
SC’s Customs Registration No.: 3214930749
SC’s registered capital: usd 1,764,000
SC’s paid-in capital: usd 1,764,000
Registration Change Record:-
No significant changes of SC have been noted
in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Jiangsu Wanxing Venture Capital Co., Ltd. |
74.45 |
|
Hong Kong Man Han Trading Investment
Limited |
25.55 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Zou Zhenrong |
|
Vice Chairman |
Hsu Benjamin |
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Director |
Yu Yongliang |
|
Qian Zhenqing |
|
|
Shi Dongming |
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|
Supervisor |
Tan Zhongbao |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Jiangsu Wanxing Venture Capital Co., Ltd. 74.45
Hong Kong Man Han Trading Investment Limited 25.55
Hong Kong Man Han Trading Investment Limited
-----------------------------------------
Date of Registration: July 27, 2011
Registration No.: 1644052
Legal Form: Private
MANAGEMENT
Zou Zhenrong , Legal Representative, Chairman and General
Manager
-------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 53
Ø
ID# 32052019600408151X
Ø
Qualification:
University
Ø
Working
experience (s):
From 2002 to present, working in SC as legal
representative, chairman and general manager, also working in Jiangsu Wanxing
Venture Capital Co., Ltd. as legal representative
Hsu Benjamin , Vice Chairman
---------------------------------------------------
Ø
Gender: M
Ø
Nationality: U.S.A.
Ø
Passport No.: 096409490
Ø
Working
experience (s):
From 2002 to present, working in SC as vice chairman
Director
-----------
Yu Yongliang ID#
320520195811111530
Qian Zhenqing ID#
320520197010151515
Shi Dongming ID#
32052019781210151X
Supervisor
--------------
Tan Zhongbao ID#
320520196309021518
BUSINESS OPERATION
SC’s registered business scope includes manufacturing drugs,
health food tablets, manufacturing and processing soy lecithin granules,
protein powder, collagen, soluble dietary fiber, selling its owned products.
SC is mainly
engaged in manufacturing and selling drugs, health food tablets.
Brand: TOHOPE
SC’s products
mainly include:
10-Methoxyiminostilben
A -L.Ipoic Acid
Iminostilbene
Bezafibrate
Iminodibenzyl
Iminostilbene-5-Carbonyl
Chloride
Etc.
SC sources its materials 100% from domestic market, mainly Jiangsu. SC sells 16% of its products in domestic market, and 84% to overseas market, mainly USA, Europe, Mid East, Southeast Asia, etc.
The
import & export status of SC in 2011 is as follows,
|
Country |
Amount of
Exports (USD) |
Amount of Imports (USD) |
|
USA |
3,643,400 |
-- |
|
Italy |
1,461,800 |
-- |
|
India |
1,276,400 |
-- |
|
Hong Kong |
841,800 |
-- |
|
Spain |
657,400 |
-- |
The buying terms
of SC include Check, T/T and Credit of 30-60 days. The payment terms of SC
include T/T, L/C and Credit of 30-60 days.
*Major Customers:
==============
Nutrichem
Resources Co.
Anmar
International Ltd.
Fortune Bridge
Co., Inc.
Staff & Office:
--------------------------
SC is known
to have approx. 81 staff at
present.
SC rents an area
as its operating office & factory of approx. 18,000 sq. meters at the heading
address.
RELATED COMPANY
SC is known to
have 3 subsidiaries at present,
n
Hunan Dongting Pharmaceutical Co., Ltd.
n
Suzhou Shenlian Pharmaceutical Technology Co., Ltd.
n
Jiangsu Shengtang Technology Investment Co., Ltd.
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
The bank
information of SC is not filed in SAIC.
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
|
Long term investment |
34,028 |
|
Total assets |
139,407 |
|
|
------------- |
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Long term liabilities |
0 |
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Total
liabilities |
47,579 |
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Equities |
91,828 |
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|
------------- |
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Revenue |
65,803 |
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Profit before
tax |
36,827 |
|
Less: profit tax |
4,603 |
|
Profits |
32,224 |
Note: The detailed financials for Y2011 are not available in SAIC.
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
|
*Liabilities
to assets |
0.34 |
|
*Net profit
margin (%) |
48.97 |
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*Return on
total assets (%) |
23.12 |
|
*
Revenue/Total assets |
0.47 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
l
The revenue of SC appears average in its line.
l
SC’s net profit margin is good.
l
SC’s return on total assets is good.
LIQUIDITY: FAIR
l
SC’s revenue is in a fair level, comparing with the
size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered small-sized in its line with fairly good financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.29 |
|
|
1 |
Rs.84.09 |
|
Euro |
1 |
Rs.72.44 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
|
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 |
|
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.