MIRA
INFORM REPORT
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Report Date : |
11.01.2013 |
IDENTIFICATION DETAILS
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Name : |
Sepco Electric Power CONSTRUCTION |
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Registered Office : |
No. 10567, Jingshi Road, Ji’nan City, Shandong Province, 250014 |
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Country : |
China |
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Date of Incorporation : |
25.08.1992 |
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Com. Reg. No.: |
370000018011265 |
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Legal Form : |
State-Owned Enterprise |
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Line of Business : |
Engineering |
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No. of Employees : |
16,900 |
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
SEPCO ELECTRIC POWER
CONSTRUCTION CORPORATION
NO. 10567, JINGSHI ROAD, JI’NAN CITY, SHANDONG PROVINCE, 250014 PR CHINA
TEL: 86 (0)
531-55697710/55697751 FAX:
86 (0) 531-55697777
EXECUTIVE SUMMARY
INCORPORATION DATE :
AUGUST 25, 1992
REGISTRATION NO. :
370000018011265
REGISTERED LEGAL FORM : STATE-OWNED
ENTERPRISE
CHIEF EXECUTIVE :
MR. WANG LINGFANG (GENERAL MANAGER)
STAFF STRENGTH :
16,900 (INTERNET SOURCES)
REGISTERED CAPITAL :
CNY 643,256,000
BUSINESS LINE : ENGINEERING
TURNOVER :
N/A
EQUITIES :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
N/A
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
WELL-KNOWN
EXCHANGE RATE :
CNY 6.231 = USD 1 AS OF 2013-1-10
Adopted
abbreviations:
ANS - Amount not
stated
NS - Not stated
SC - Subject Company (the company inquired by
you)
NA -
Not available
CNY - China Yuan Renminbi
Note: the “150, Jinger Road, Jinan Shandong 250001 China” was SC’s former address.
SC was registered as a
state-owned enterprise at local Administration for
Industry & Commerce (AIC - The official body of issuing and renewing
business license) on August 25, 1992.
Company
Status: State-owned enterprise This form of business in PR China is defined as a
commodity production or operational units of a socialist character which in
accordance with the law, has autonomy in management, takes full
responsibility for its profits and losses and practices independent
business accounting. It is a legal person established directly by central /
local government or enterprise owned by central or local government. In
theory, the liabilities of this form of enterprise are ultimately borne by
the government, since the adoption of company law in mid-1994, the Chinese
government has planned to separate the ownership from management and
liabilities bearing.
SC’s registered business scope
includes the construction and commissioning of power plants and projects for
power transmission lines and distribution; processing and manufacturing of
non-standard auxiliary equipment and structural parts needed for construction;
sales of construction machinery, electrical machinery equipment, rolled steel,
timbering, cement, heat insulating products and chemical products (excluding
hazardous chemicals); development and service of power technology; economic and
technology foreign cooperation.
SC is mainly engaged in the construction and
commissioning of power plants and projects for power transmission lines and
distribution.
Mr. Wang Lingfang is legal representative and general
manager of SC at present.
Internet sources indicate that SC is known to have
approx. 16,900 employees at present.
SC is currently operating at
the above stated address, and this address houses its operating office in
Jinan. The detailed information of the area is
unspecified.
http://www.sepcc.net The website belongs to SC
and Shandong Nuclear Power Construction Group Corp. The design is professional
and the content is well-organized. At present it is both in Chinese and English
versions.
Email:
business@sepco.net.cn
Changes of SC’s registration information are as
follows:
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Date of change |
Item |
Before the change |
After the change |
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1997-07-30 |
Legal Representative |
Wang Shiyu |
Tian Peiting |
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1998-06-22 |
Legal Representative |
Tian Peiting |
Zhang Zongfu |
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1999-05-14 |
Registered capital |
CNY 7,660,000 |
CNY 584,750,000 |
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2001-04-26 |
Legal Representative |
Zhang Zongfu |
Su Li |
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2003-03-13 |
Legal Representative |
Su Li |
Ma Bingwei |
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2006-04-13 |
Legal Representative |
Ma Bingwei |
Zhang Ning |
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2006-04-13 |
Shareholder |
Shandong
Power Bureau 100% |
Shandong Electric Power Corp. 100% |
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2006-09-27 |
Legal Representative |
Zhang Ning |
Kong Qingjun |
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2007-05-14 |
Registered Capital |
CNY 584,750,000 |
CNY 687,050,000 |
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2007-05-14 |
Shareholder |
Shandong Electric Power Corp. 100% |
Shandong Nuclear Power Construction Group Corp. 100% |
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2009-06-29 |
Legal Representative |
Kong Qingjun |
Liu Yunhou |
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Unknown |
Liu Yunhou |
Present one |
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Registered Capital |
CNY 687,050,000 |
Present amount |
Qualifications:
SEPCO has ISO9000 Certificate of Quality Management
System, ISO14000 Certificate of Environmental Management System, and OHSMS18000
Certificate of Occupation Health & Safety Management System.
Reputation
owned:
In 2006, SEPCO was appraised as the most
dynamic Contractor of China in international market development.
Since the year 2006, SEPCO has been selected
jointly by Construction Times, China and Engineering News Record (ENR), USA as
one of the top 60 Chinese Contractors for 4 successive years.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Shandong Nuclear Power
Construction Group Corp. 100
======================================================
Registration
no.: 370000018003431
Legal
rep.: Wang Lingfang
Note:
At present, the information on SC’s shareholder is not available at local AIC,
so we cannot confirm whether the above shareholder information is the latest
one.
l
Legal
representative and
general manager:
Mr. Wang Lingfang is currently responsible for the overall management of
SC.
Working Experience(s):
At present Working in SC as legal representative
and general manager;
Also working in Shandong Nuclear Power Construction Group Corp.
and Shandong Electric Power Construction No. 2 Company as legal representative, Shenzhen Shandong Nuclear
Power Construction Co., Ltd. as director.
SC is mainly
engaged in the construction and commissioning of power plants and projects for
power transmission lines and distribution.
SC’s business mainly include: nuclear power
projects, thermal power projects, overseas projects, new energy sources power
projects and fossil fired power projects.
According to SC’s website: Since the year
2000, SEPCO has actively implemented the strategy of internationalization. It
has undertaken 32 projects with a total contract amount of 19.46 billion US
dollars in more than ten countries and regions of Asia, Africa and South America.
SC sources its materials 90% from domestic
market, and 10% from overseas market. SC’s business and projects are located in
both domestic and overseas now.
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 refused to release its major clients and suppliers.
Shenzhen Shandong Nuclear Power Construction Co., Ltd.
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Incorporation date: Nov. 18, 1991
Registration no.: 440301102746210
Registered capital: CNY 51,970,000
Legal form: Limited Liabilities Co.
Legal rep.: Zhu Xiaoming
Director: Wang Lingfang
Subsidiaries:
Shandong Electric Power Construction No. 1 Company
========================================
Registration no.: 370000018015164
Tel: 86-531-88609318/88609343
Fax: 86-531-88609333
Shandong Electric Power Construction No. 2 Company
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Legal
rep.: Wang Lingfang
Tel: 86-531-89812222
Fax: 86-531-88961747
Shandong Electric Power Transmission & Substation Construction
Company
======================================================
Registration no.: 370000018081201
Shandong Electric Power Pipeline Engineering Company
=========================================
Registration no.: 370000018056134
Tel: 86-538-7332869
Fax: 86-538-7332869/7372244
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.
SC’s management declined to release any financial information.
SC is considered large-sized in its line with a development history of
21 years.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.54.63 |
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1 |
Rs.87.50 |
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Euro |
1 |
Rs.71.32 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIT |
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.