MIRA INFORM REPORT

 

 

Report Date :

28.01.2013

 

IDENTIFICATION DETAILS

 

Name :

SUHEUNG CAPSULE CO., LTD.

 

 

Registered Office :

317, Songnae 1-dong, Sosa-gu, Bucheon-si, Gyeonggi-do, Korea 422-814

 

 

Country :

South Korea

 

 

Financials (as on) :

30.06.2012

 

 

Date of Incorporation :

30.01.1973

 

 

Com. Reg. No.:

130-81-00576

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Medicinal Medicaments

 

 

No. of Employees :

662

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Good

Payment Behaviour :

Regular

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, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

South Korea - ECONOMIC OVERVIEW

 

South Korea over the past four decades has demonstrated incredible growth and global integration to become a high-tech industrialized economy. In the 1960s, GDP per capita was comparable with levels in the poorer countries of Africa and Asia. In 2004, South Korea joined the trillion dollar club of world economies, and currently is among the world's 20 largest economies. Initially, a system of close government and business ties, including directed credit and import restrictions, made this success possible. The government promoted the import of raw materials and technology at the expense of consumer goods, and encouraged savings and investment over consumption. The Asian financial crisis of 1997-98 exposed longstanding weaknesses in South Korea''s development model including high debt/equity ratios and massive short-term foreign borrowing. GDP plunged by 6.9% in 1998, and then recovered by 9% in 1999-2000. Korea adopted numerous economic reforms following the crisis, including greater openness to foreign investment and imports. Growth moderated to about 4% annually between 2003 and 2007. With the global economic downturn in late 2008, South Korean GDP growth slowed to 0.3% in 2009. In the third quarter of 2009, the economy began to recover, in large part due to export growth, low interest rates, and an expansionary fiscal policy, and growth was 3.6% in 2011. In 2011, the US-South Korea Free Trade Agreement was ratified by both governments and is projected to go into effect in early 2012. The South Korean economy''s long term challenges include a rapidly aging population, inflexible labor market, and heavy reliance on exports - which comprise half of GDP.

 

Source : CIA

 

 


Basic Information

 

Company Name

SUHEUNG CAPSULE CO., LTD.

Registered Address

317, Songnae 1-dong, Sosa-gu, Bucheon-si, Gyeonggi-do, Korea

Zip Code

422-814

Tel

+82-32-610-7100

Fax

+82-32-666-0189

E-mail

hsmoon@suheung.co.kr;inquiries@suheung.com

Website

www.suheung.co.kr

Trading Address

6th Fl., Jung-An Bldg., 435-5, Jangan 3-dong, Dongdaemun-gu, Seoul, Korea

Tel

+82-2-2210-8175

Fax

+82-2-2217-2356

Other Address- 2nd Factory

1731-4, Songjeong-dong, Gangseo-gu, Busan, Korea

Tel

+82-51-831-8803

Fax

+82-51-831-8806

Type

Export

Industry

Manufacture of Medicinal Medicaments

  Main Business

Empty Hard Capsules, Soft Capsule, Health Food, Encapsulation Machine

  Sub Business

 

Established (mm/dd/yyyy)

01/301/1973

The Subject owns the premises of the registered address/Factory(18,142m2) and 2nd Factory(13,386m2).

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Capsule tubes or caps(24141709)

Sell

Health & Nutrition Food

Sell

Hard Capsule

Sell

Soft Capsule

Sell

Automatic Capsule Filling Machine

Sell

Paint Ball

 

 

CEO’s

 

Name

Yang Joo-Hwan

Address

 

Date of Birth

03/13/1952

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

 

Profiles

 

Capital (KRW)

6,084,556,500

Employees

662

Formation

Listed Company (Korea Stock Exchange: 008490) as of 03/27/1990

A Company of SUHEUNG CAPSULE CO., LTD.

Bank Details

Citi Bank, Korea-HQ Branch

Kookmin Bank

Korea Development Bank

Hana Bank

Woori Bank

Corporate Registered No.

124311-0004252

Business Registered No.

130-81-00576

Permit & Licenses

01/03/1998 ISO 9001

Patent(26161) : EMBO CAPS

 

Int’l Trade No.: 814492

Shareholder Position

Name

Shares

%

YANG JOO-HWAN

3,793,020

31.17

YANG JOO-CHUL

895,830

7.36

SEI ASSET KOREA CO., LTD.(110111-0563208)

580,430

4.77

OTHERS

6,899,833

56.70

TOTAL

12,169,113

100.00

Company History

01/301/1973 Incorporated as SUHEUNG CHEMICAL INDUSTRIAL CO., LTD.

01/30/1980 Changed company name to the present name

06/01/1982 Acquired Jinhung Pharm. Co., Ltd.

03/27/1990 Listed at KSE Market

11/30/1992 Awarded US$5 Million Export Top Prize

11/30/1994 Awarded US$10 Million Export Top Prize

11/30/2003 Awarded US$20 Million Export Top Prize

11/30/2008 Awarded US$30 Million Export Top Prize

 

 

 

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

President & CEO

Mr.

Yang Joo-Hwan

Korean

1952.03.13

Yonsei University, Korea

Vice President

Mr.

Yoon Sung-Gerl

Korean

1952.02.10

Kyungbuk National University

Executive Director

Mr.

Kim Bae-Sung

Korean

1951.01.20

Dankuk University, Korea

Outside Director

Mr.

Lee Byung-Kil

Korean

1937.06.15

Myungji University, Korea

Auditor

Mr.

You Young-Keun

Korean

1954.02.11

Hankuk University of Foreign Studies, Korea

Auditor

Mr.

Kim Kwang-Yon

Korean

1939.04.08

Myungji University, Korea

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)06/2012

76,503,864,392

389,784,673,102

2,689,407,612

(*)2011

142,896,131,721

359,613,541,572

15,837,267,309

(*)2010

124,860,736,612

257,332,849,483

13,934,050,775

2009

107,816,084,492

174,448,247,930

12,341,777,483

2008

101,606,218,474

171,911,838,049

10,640,188,356

2007

82,180,764,151

165,845,450,904

11,452,762,741

2006

76,710,971,354

138,611,568,949

2,953,156,089

2005

79,038,672,652

134,356,104,317

10,190,368,933

2004

67,146,608,615

97,988,295,464

4,225,936,857

2003

61,617,857,772

88,006,173,647

5,053,581,380

(*)Figures are based on the K-IFRS Accounting System.

 

 

Financial Description

 

Authorized Capital(KRW)

20,000,000,000

Paid-Up Capital(KRW)

6,084,556,500

Total Issues Shares

12,169,113

 

 

Balance Sheet

 

Unit : Korean Won

01/01/2011~06/30/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

389,784,673,102

359,613,541,572

257,332,849,483

Current Assets

80,432,793,728

80,379,255,337

64,608,267,746

Cash & Cash Equivalents

2,404,177,244

1,483,515,273

4,058,465,256

Trade Receivables

39,112,498,322

32,209,614,170

33,244,085,385

Inventories

35,026,612,619

36,503,169,706

26,593,968,149

Other Receivables

1,922,349,502

9,862,109,022

620,722,298

Deferred Income Tax Assets

8,435,716

0

0

Other Current Assets

1,958,720,325

320,847,166

91,026,658

Non-Current Assets

309,351,879,374

279,234,286,235

192,724,581,737

Marketable Financial Instruments

179,535,000

179,535,000

581,611,000

Held-to-Maturity Financial Assets

400,000,000

400,000,000

400,000,000

Non-Current Financial Instruments

520,786,312

1,190,416,468

1,574,716,493

Investment_Related Companies

35,452,670,630

32,652,670,630

29,308,616,176

Investment_Real Estates

0

3,381,081,486

2,974,378,190

Tangibles

266,590,831,098

235,321,477,992

146,080,332,799

Intangibles

3,997,078,109

3,975,078,109

2,968,478,109

Other Receivables

1,161,414,950

1,151,414,950

7,808,855,770

Other Non-Current Assets

1,049,563,275

982,611,600

1,027,593,200

Total Liabilities

211,143,588,952

179,960,427,384

91,869,130,534

Current Liabilities

89,954,544,997

76,740,366,263

63,434,320,883

Trade Payables

4,757,804,457

6,570,706,196

5,611,219,571

Debentures

76,135,341,840

63,681,694,825

53,060,000,000

Other Payables

7,420,209,834

4,773,994,258

1,616,802,087

Deferred Income Tax Assets

533,603,725

311,713,022

2,575,147,142

Other Current Liabilities

1,107,585,141

1,402,257,962

571,152,083

Non-Current Liabilities

121,189,043,955

103,220,061,121

28,434,809,651

Long-Term Borrowings

107,097,411,205

89,951,058,220

16,234,750,000

Long-Term Finance Guarantee Debts

1,049,563,275

982,611,600

1,027,593,200

Confirmed Salaries

899,914,191

0

0

Deferred Income Tax Credit

12,010,821,954

11,957,057,971

9,554,466,451

Other Long-Term Payables

131,333,330

329,333,330

1,618,000,000

Capital Stock

6,084,556,500

6,084,556,500

6,084,556,500

Capital Surplus

38,377,468,436

38,377,468,436

38,377,468,436

Others

3,122,903,456

3,122,903,456

944,565,574

Profit Surplus

131,056,155,758

132,068,185,796

120,057,128,439

Total Equity

178,641,084,150

179,653,114,188

165,463,718,949

Liab. & Shareholder’s Equity

389,784,673,102

359,613,541,572

257,332,849,483

 

 

Income Statement

 

Unit : Korean Won

01/01/2011~06/30/2012

As of 12/31/2011

As of 12/31/2010

Sales

76,503,864,392

142,896,131,721

124,860,736,612

Cost of Sold Goods

64,194,738,077

110,002,851,937

92,666,900,932

Gross Profit

12,309,126,315

32,893,279,784

32,193,835,680

Selling & Admin. Expenses

6,769,779,987

12,024,907,747

11,338,685,822

R&D

1,021,387,992

0

0

Operating Income

4,517,958,336

20,868,372,037

20,855,149,858

Investment Profits on Related Companies

321,300,000

428,400,000

0

Investment Losses on Related Companies

0

0

4,892,315,099

Finance Income

697,584,226

2,614,924,634

1,789,039,791

Finance Expenses

4,750,807,347

4,009,204,005

5,815,179,153

Other  Income

2,749,956,757

1,175,274,922

8,129,318,965

Other Expenses

107,449,503

1,345,284,708

2,677,347,890

Income Before Taxes

3,428,542,469

19,732,482,880

17,388,666,472

Income Taxes Expenses

739,134,857

3,895,215,571

3,454,615,697

Net Income

2,689,407,612

15,837,267,309

13,934,050,775

 

Cash Flows

 

Unit : Korean Won

01/01/2011~06/30/2012

As of 12/31/2011

As of 12/31/2010

Operating Activities Cash Flows

2,321,636,237

6,009,305,969

10,142,092,565

Net Income

2,689,407,612

15,837,267,309

13,934,050,775

Adjustment

8,695,761,187

6,205,601,511

12,821,036,406

Interests Received

43,346,779

152,217,542

186,625,151

Dividends Received

0

200,000

500,000

Interests Paid

-3,688,162,235

-3,066,611,515

-2,315,421,492

Income Taxes

-313,404,631

-3,680,515,463

-4,816,472,208

Cash Flows from Investing

-27,828,678,563

-92,225,470,050

-36,088,440,433

Cash Flows from Financing

27,335,146,897

83,687,828,905

28,906,625,564

Increase/Decrease in Cash

1,825,160,508

-2,574,949,983

2,960,277,696

Cash at the Beginning of Year

1,483,515,273

4,058,465,256

1,098,187,560

Cash at the End of Year

3,308,675,781

1,483,515,273

4,058,465,256

 

 

Products, Technologies, Services Description

 

Main Products & Services

Empty Hard Capsules, Soft Capsule, Health Food, Encapsulation Machine, Paintball for Leisure

 

Brand Name: EMBO CAPS

 

 

Trade Partners & Competitors

 

Suppliers

GELITA SWEDEN AB

PB LEINER USA

GELTECH CO., LTD(180111-0262476)

 

BMW FINANCIAL SERVICES KOREA CO., LTD.(110111-2278756) provides vehicle leasing services to the Subject company.

Customers

Major Pharmaceutical companies and manufacturers

Competitors

HAN KOOK CAPSULE INDUSTRY CO., LTD.

13-164, SEONGSU 1-GA 2-DONG, SEONGDONG-GU, SEOUL, KOREA

TEL:+82-2-464-0621  FAX:+82-2-464-9503

 

(*) The Subject is ranked as the 1st player in domestic market shares(85%).

 

 

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

GELTECH CO., LTD(180111-0262476)

(42.84% held by the subject company)

 

SH PHARM. CO., LTD.(121111-0112531)

(100.00% held by the subject company)

 

SUHUNG PLAZMA CO., LTD.(110111-2003567)

(36.19% held by the subject company)

 

NUTROJIN CO., LTD.(110111-3388215)

(30.00% held by the subject company)

 

UNI-CAPS CO., LLC.

(50.00% held by SUHEUNG AMERICA)

 

J&S CAPSULE LLC.

(50.00% held by SUHEUNG AMERICA)

 

SH ASSET MANAGEMENT LLC.

(99.00% held by SUHEUNG AMERICA)

Overseas Office

SUHEUNG-VIETNAM CO., LTD

3RD FLOOR, ROOM 6, 268 TO HIEN THANH ST., WARD 15, DIST 10, HCMC. VIETNAM

TEL:+84-83-868-1363 FAX:+84-83-868-1366

 

SUHEUNG-EUROPE REPRESENTATIVE OFFICE

A. SENOE 3 VARAZDIN 42000 CROATIA

TEL:+38-599-509-8469 FAX:+38-542-71-2212

 

SUHEUNG-AMERICA CORPORATION

350 RANGER AVE. UNIT A BREA, CA, 92821

TEL:+1-714.996.7700 FAX:+1-714.996.7100

 

SUHEUNG-JAPAN CO., LTD.

POST CODE 101-0035 SUZUNO BLDG. 3F 11 BANCHI, KANDA-KONYACHO, CHIYODA-KU, TOKYO, JAPAN

TEL:+81-3-5256-7501  FAX:+81-3-5256-8008

Subsidiary

GELTECH CO., LTD(180111-0262476)

(42.84% held by the subject company)

 

SUHUNG PLAZMA CO., LTD.(110111-2003567)

(36.19% held by the subject company)

 

SUHEUNG-AMERICA CORPORATION

(100.0% held by the subject company)

 

SUHEUNG-VIETNAM CO., LTD

(100.00% held by the subject company)

 

SUHEUNG-JAPAN CO., LTD.

(100.00% held by the subject company)

 

SH PHARM. CO., LTD.(121111-0112531)

(100.00% held by the subject company)

 

SUHEUNG NEW ZEALAND CO., LTD.

(100.00% held by the subject company)

Cooperative Enterprise

-Insured Company

DONGBU INSURANCE CO., LTD.(110111-0095285)

LIG INSURANCE CO., LTD(110111-0017859)

KOREA LIFE INSURANCE CO., LTD.(110111-0003204)

 

 

Sales by Region

(Activity & Markets)

 

Sales/ Unit :Mil KRW

06/2012

2011

2010

Export

20,836

35,173

34,215

Domestic

55,668

107,723

90,646

Total

76,504

142,896

124,861

The Subject exports to France, Germany, Japan, Turkey and USA.

 

 

Court Action

 

No.

 

 

News Clipping

 

--

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.85

UK Pound

1

Rs.85.25

Euro

1

Rs.71.72

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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%)

 

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.