MIRA INFORM REPORT

 

 

Report Date :

09.07.2013

 

IDENTIFICATION DETAILS

 

Name :

VATECH CO., LTD.

 

 

Registered Office :

23-4, Seoku-dong, Hwaseong-si, Gyeonggi-do, Korea 445-170

 

 

Country :

South Korea

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

04.04.1992

 

 

Com. Reg. No.:

123-81-28203

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Radiation Apparatuses

 

 

No. of Employees :

201

 

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 :

Satisfactory

Payment Behaviour :

No Complaints

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)

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 is currently the world's 12th largest economy. 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. Korea's export focused economy was hit hard by the 2008 global economic downturn, but quickly rebounded in subsequent years, reaching 6.3% growth in 2010. The US-South Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Throughout 2012 the economy experienced sluggish growth because of market slowdowns in the United States, China, and the Eurozone. The incoming administration in 2013, following the December 2012 presidential election, is likely to face the challenges of balancing heavy reliance on exports with developing domestic-oriented sectors, such as services. 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

VATECH CO., LTD.

(English Company Name : VALUE ADDED TECHNOLOGY CO., LTD.)

(Korean Company Name : “()바텍”)

Registered Address

23-4, Seoku-dong, Hwaseong-si, Gyeonggi-do, Korea

Building

 

Zip Code

445-170

Tel

+82-31-377-9104

Fax

+82-31-377-9198

E-mail

hans112@vatech.co.kr

Website

www.vatech.co.kr

Trading Address

473-4, Bora-dong, Giheung-gu, Yongin-si, Gyeonggi-do, Korea

Tel

+82-31-679-2000

Fax

+82-31-8005-8321

Type

Export

Industry

Manufacture of Radiation Apparatuses

  Main Business

Industrial & Dental Digital X-Ray Package System, TFT-LCD Test System, Dental CAD/CAM

  Sub Business

Manufacture of Other Electronic Valves, Tubes and Electronic Components n.e.c.

Established (mm/dd/yyyy)

04/04/1992

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Semiconductor process systems(23211101)

Sell

Gauges or inspection fixtures(23171902)

Sell

Cameras(45121500)

Sell

Dental clinical furniture(42151700)

Sell

Medical diagnostic x ray products(42201800)

Sell

Electronic and communication measuring and testing instruments(41113700)

 

 

CEO’s

 

Name

Noh Chang-Joon

Address

 

Date of Birth

09/13/1958

Title

President & CEO

Sex

Male

Nationality

Korean

 

Profiles

 

Capital (KRW)

7,427,128,000

Employees

201

Formation

Listed Company (KOSDAQ : 043150) as of 09/29/2006

A Company of VATECH CO., LTD.

Bank Details

Industrial Bank of Korea

Shinhan Bank-Pyungchon Corporate Finance Branch

Corporate Registered No.

134111-0036348

Business Registered No.

123-81-28203

Permit & Licenses

12/2001 ISO 9001

 

Int’l Trade No.: 21013966

Shareholder Position

Name

Shares

%

VATECH EWOO HOLDINGS CO., LTD.(134511-0087814)

7,266,008

48.92

NOH CHANG-JOON

937,282

6.31

JUNG SUNG-HEE

92,800

0.62

OTHERS

6,558,166

44.15

TOTAL

14,854,256

100.00

Company History

04/04/1992 Incorporated as VATECH SYSTEM CO., LTD.

07/1998 Designated as a Venture Business

03/2002 Changed company name to the present name

11/09/2006 Designated as a Venture Business again

11/2009 Awarded US$ 30 Million Export Top Prize

11/2010 Awarded US$ 50 Million Export Top Prize

04/08/2011 Spin off into the subject company, and newly established company, VATECH GLOBAL CO., LTD.(110111-4578328)

05/03/2011 Spin off into the subject company, and newly established company, RAYENCE CO., LTD.(134811-0216516)

03/29/2013 Decided to acquire Generator Business from RAYENCE CO., LTD.(134811-0216516)

 

 

 

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Educationj

President & CEO

Mr.

Noh Chang-Joon

Korean

1958.09.13

Seoul National University, Korea

Director

Mr.

Kim Sung-Ho

Korean

1967.09.29

Seoul National University, Korea

Outside Director/Auditor

Mr.

Lee Byung-Nam

-

1957.08.11

Seoul National University, Korea

Outside Director/Auditor

Mr.

Park Song-Ha

Korean

1946.03.08

Korea University, Korea

Outside Director/Auditor

Mr.

Seo Jung-Wook

Korean

1970.11.30

Seoul National University, Korea

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)03/2013

19,532,725,736

168,780,344,577

1,804,606,802

(*)2012

92,394,852,705

159,632,008,295

1,387,437,397

(*)2011

98,689,539,524

155,108,668,263

5,955,286,610

2010

126,628,747,015

153,818,094,124

9,273,604,520

2009

94,681,105,501

108,360,518,417

7,252,538,550

2008

80,225,253,952

95,817,541,037

5,362,255,600

2007

64,979,251,735

70,639,687,536

7,024,159,597

2006

54,072,761,532

56,644,899,186

5,229,091,747

2005

39,689,328,136

39,806,834,128

5,192,363,676

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

 

 

Financial Description

 

Authorized Capital(KRW)

25,000,000,000

Paid-Up Capital(KRW)

7,427,128,000

Total Issues Shares

14,854,256

 

 

Balance Sheet

 

Unit : Korean Won

01/01/2013~03/31/2013

As of 12/31/2012

As of 12/31/2011

Total Assets

168,780,344,577

159,632,008,295

155,108,668,263

Current Assets

92,089,756,288

88,631,067,736

93,082,253,881

Cash & Cash Equivalents

5,469,611,849

4,547,494,140

9,734,025,299

Current Financial Instruments

11,000,000,000

11,000,000,000

11,000,000,000

Trade Receivables

62,897,400,254

59,951,765,461

63,038,718,804

Other Receivables

503,817,370

598,526,348

486,719,292

Other Current Assets

1,112,350,020

1,215,053,104

1,360,570,425

Derivatives

135,259,248

675,213,151

102,451,696

Inventories

10,543,273,061

10,214,971,046

7,359,768,365

Deferred Income Tax Assets

428,044,486

428,044,486

 

Non-Current Assets

76,690,588,289

71,000,940,559

62,026,414,382

Non-Current Financial Instruments

297,900,000

297,900,000

297,900,000

Other Receivables

1,409,088,500

1,387,360,600

1,205,455,000

Marketable Financial Instruments

1,050,000,000

1,050,615,000

1,050,615,000

Investment_Subsidiaries

20,595,593,290

20,595,593,290

12,989,290,073

Tangibles

22,149,623,899

17,590,794,756

16,406,011,103

Intangibles

7,024,459,342

6,282,419,071

6,527,989,678

Investment_Real Estates

20,933,532,226

21,035,512,186

20,751,416,970

Deferred Income Tax Assets

3,230,391,032

2,760,745,656

2,797,736,558

Total Liabilities

88,081,757,445

79,257,796,365

75,097,231,073

Current Liabilities

70,033,258,944

64,562,749,230

58,984,470,095

Trade Payables

24,975,738,556

23,330,757,706

25,390,546,224

Other Payables

7,162,200,908

5,102,380,625

4,321,449,577

Short-Term Borrowings

35,669,687,605

35,596,301,463

26,960,819,317

Deferred Income Tax Credit

805,934,490

14,068,840

69,235,628

Derivatives

995,753,221

 

1,278,287,194

Finance Guarantee

205,915,788

307,502,357

276,357,933

Other Current Liabilities

218,028,376

211,738,239

687,774,222

Non-Current Liabilities

18,048,498,501

14,695,047,135

16,112,760,978

Long-Term Borrowings

13,603,360,000

10,374,040,000

12,236,000,000

Confirmed Salaries

3,906,393,665

3,500,414,344

3,215,583,912

Provisions

538,744,836

820,592,791

649,177,066

Other Payables

0

 

12,000,000

Capital Stock

7,427,128,000

7,427,128,000

7,427,128,000

Capital Surplus

23,255,666,690

23,270,472,690

23,329,696,690

Profit Surplus

48,012,874,621

47,673,693,419

47,251,694,679

Others

2,002,917,821

2,002,917,821

2,002,917,821

Total Equity

80,698,587,132

80,374,211,930

80,011,437,190

Liab. & Shareholder’s Equity

168,780,344,577

159,632,008,295

155,108,668,263

 

 

Income Statement

 

Unit : Korean Won

01/01/2013~03/31/2013

As of 12/31/2012

As of 12/31/2011

Sales

19,532,725,736

92,394,852,705

98,689,539,524

Cost of Sold Goods

15,093,134,458

74,236,235,575

73,103,437,138

Gross Profit

4,439,591,278

18,158,617,130

25,586,102,386

Selling & Admin. Expenses

2,509,102,123

12,897,337,360

18,664,379,870

Operating Income

1,930,489,155

5,261,279,770

6,921,722,516

Other Operating Income

2,171,541,196

4,948,171,151

12,037,109,794

Other Operating Expenses

1,604,759,360

7,140,490,018

11,271,431,813

Finance Income

235,279,378

742,343,939

2,089,790,169

Finance Expenses

594,872,373

2,351,602,329

2,108,321,336

Income Before Taxes

2,137,677,996

1,459,702,513

7,668,869,330

Income Taxes Expenses

333,071,194

72,265,116

1,406,620,180

Income from Continuous Business

1,804,606,802

1,387,437,397

6,262,249,150

Income from Stopped Business

 

 

-306,962,540

Net Income

1,804,606,802

1,387,437,397

5,955,286,610

 

 

Cash Flows

 

Unit : Korean Won

01/01/2013~03/31/2013

As of 12/31/2012

As of 12/31/2011

Operating Activities Cash Flows

4,965,188,641

983,809,541

5,856,227,704

Cash Flows from Operating

5,291,503,268

3,331,903,585

11,724,770,586

Interests Received

189,944,813

454,947,344

466,464,784

Interests Paid

-490,602,520

-2,181,209,054

-1,940,643,803

Income Taxes

-25,656,920

-621,832,334

-4,394,363,863

Cash Flows from Investing

-5,845,770,203

-12,020,321,314

-4,707,442,468

Cash Inflow from Investing

540,691,597

1,601,392,304

13,522,855,862

Cash Outflows for Investing

-6,386,461,800

-13,621,713,618

-18,230,298,330

Cash Flows from Financing

1,805,731,534

5,860,576,288

4,426,052,352

Cash Inflows from Financing

75,100,000,000

272,795,953,126

281,682,846,504

Cash Outflows from Financing

-73,294,268,466

-266,935,376,838

-277,256,794,152

Increase/Decrease in Cash

925,149,972

-5,175,935,485

5,574,837,588

Cash at the Beginning of Year

4,547,494,140

9,734,025,299

3,934,865,556

Cash at the End of Year

5,469,611,849

4,547,494,140

9,734,025,299

 

 

Products, Technologies, Services Description

 

Main Products & Services

Industrial & Dental Digital X-Ray Package System, TFT-LCD Test System, Dental CAD/CAM

 

 

Trade Partners & Competitors

 

Suppliers

VATECH EWOO HOLDINGS CO., LTD.(134511-0087814)

RAYENCE CO., LTD.(134811-0216516)

VATECHENG CO., LTD(134811-0191792)

Customers

SUNI MEDICAL IMAGING INC.(USA)

Competitors

DRGEM CORPORATION

7TH FL., DONG-IL TECHNO TOWN 1-CHA, 826, GURO 3-DONG, GURO-GU, SEOUL, KOREA

TEL:+82-2-869-8566  FAX:+82-2-869-8567

 

DAE DONG HIGHTECH CORP.

DAEDONG BLDG., 533-7, DEUNGCHON 2-DONG, GANGSEO-GU, SEOUL, KOREA

TEL:+82-2-2655-0123  FAX:+82-2-2655-0530

 

HAN YOUNG TRADING CO., LTD.

HAN YOUNG BLDG., 1194, GAEPO 4-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-571-1122  FAX:+82-2-571-1121

 

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates-Domestic

VATECH KOREA CO., LTD.(KOREA)

(100.0% held by the subject company)

 

VATECH EWOO HOLDINGS CO., LTD.(134511-0087814)

(9.07% held by the subject company)

 

VATECH HUMANRAY CO., LTD.(134811-0191875)

VATECHENG CO., LTD(134811-0191792)

 

VATECH GLOBAL CO., LTD.(110111-4578328)

(100.00% held by the subject company)

 

RAYENCE CO., LTD.(134811-0216516)

(50.27% held by the subject company)

Affiliates-Overseas

VATECH MEDICAL CO.,LTD.TAIWAN

(100.00% held by the subject company)

 

VATECH CENTRAL EUROPE, S.R.O

(60.0% held by the subject company)

 

E-WOO TECHNOLOGY CO., LTD.TAIWAN

(100.0% held by the subject company)

 

VATECH ITALIA S.R.L

960.0% held by the subject company)

 

VATECH EUROPE HQ GMBH

(100.0% held by the subject company)

 

VATECH JAPAN CO., LTD.

(100.0% held by the subject company)

 

E-WOO SHANGHAI CO., LTD.

BEIJING E-WOO CO., LTD.

E-WOO SINGAPORE PTE LTD.

E-WOO TECHNOLOGY HONGKONG CO., LTD.

E-WOO TECHNOLOGY U.S.A. INC.

E-WOO TECHNOLOGY UK LIMITED

E-WOO SPAIN S.L.

E-WOO TECHNOLOGY FRANCE SARL

 

VATECH MEDICAL PTY LTD.(AUSTRALIA)

(100.00% held by the subject company)

 

VATECH GLOBAL MEXICO S DE RL DE CV

(100.00% held by the subject company)

 

RAYENCE INC.

(100.00% held by the subject company)

Cooperative Enterprise

-Strategic Alliance with

SHINHUNG CO., LTD.(110111-0047864)

 

 

Sales by Region

(Activity & Markets)

 

Sales/ Unit :Thousand KRW

2010

2009

2008

Export

77,974,379

49,758,435

32,117,345

Domestic

48,654,368

44,922,670

48,107,909

Total

126,628,747

94,681,105

80,225,254

The Subject exports to North America, Europe and China.

 

 

Court Action

 

Case No.

Court

Plaintiff(s)/ Creditor(s)/ Applicant(s)

Defendant(s)/ Debtor(s)/ Respondent(s)

Cause

Amount (KRW)

Status

 

Suwon District Court

The Subject Company

Duzon C&T Co., Ltd.(131111-0121762)

Refund

  135,641,000

1st round is proceeding

 

Court in USA

Oy Ajat, Ltd.(Finland)

The Subject Company

Infringement of Patent Rights

-

Proceeding

 

 

News Clipping

 

--


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.04

UK Pound

1

Rs.90.89

Euro

1

Rs.78.27

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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.