MIRA INFORM REPORT

 

 

Report Date :

30.07.2013

 

IDENTIFICATION DETAILS

 

Name :

ZENITH CHEMICAL CORPORATION

 

 

Registered Office :

9F, No.10, Heng Yang Ard., Taipei 100

 

 

Country :

Taiwan

 

 

Date of Incorporation :

25.03.1987

 

 

Com. Reg. No.:

22430118

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and sale of chemical products

 

 

No. of Employees :

About 30 Employees

 

 

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)

Taiwan

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

TAIWAN - ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.8%, due primarily to a 13.1% year-on-year decline in exports. In 2010 GDP grew 10.7%, as exports returned to the level of previous years, and in 2011, grew 4.0%. In 2012, however, growth fell to 1.3%, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but except for the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, so far Taiwan has been excluded from this greater economic integration in part because of its diplomatic status. Negotiations continue on such follow-on components of ECFA regarding trade in goods and services. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other key trade partners, which Taiwan subsequently launched with Singapore and New Zealand. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large trade surplus largely because of its surplus with China, and its foreign reserves are the world's fifth largest, behind China, Japan, Saudi Arabia, and Russia. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA


Contact Points

 

Company Name:

Zenith Chemical Corporation

Supplied Name:

ZENITH CHEMICAL CORPORATION

Trading Address:

9F, No.10, Heng Yang Ard., Taipei 100, Taiwan, R.O.C.

Supplied Address:

9 FL., No. 10, Heng Yang Road Taipei

Telephone Number:

+886-2-2383-0515

Fax Number:

+886-2-2383-0287

Notes: The exact name and address are as above.

 

Credit Summary

 

Credit Opinion:

Business connections are permissible.

 

Company Identification Details

 

Registered Name:

Zenith Chemical Corporation

Registered Address:

9F, No.10, Heng Yang Ard., Taipei 100, Taiwan, R.O.C.

Date of Foundation:

1987-3-25

Registration Number:

22430118

Registry:

Taipei City Government

Registered Capital:

NTD 150,000,000 (USD 5,100,000)

(As of 2013.07, 1 NTD = 0.0340 USD)

Paid-up Capital:

NTD 115,000,000 (USD 3,910,000)

Legal Representatives:

Jiaxiang Fang

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sale of chemical products, etc

Staff:

About 30 Employees

Listed at Stock Exchange:

No

Date of Last Annual Return:

2011-7-28

History

Subject was incorporated on 1987-3-25 with registered number 22430118 as Joint Stock Company in Taiwan.

 

Shareholders

 

Name

Subscription Shares

Jiaxiang Fang

115,750

Fu Du Enterprise Co., Ltd. (Literal Translation)

2,350,000

Gang Cao

212,670

En Su

387,750

Xiangcheng Chen

15,000

Qiti Shao

76,500

Shupin Huang

10,000

The information above is that of subject’s major shareholders.

 

Subsidiaries & Branches

 

Factory

Name:

Taichung Factory

Address:

No.9, Youliu Road, Youshi Industrial Park, Dajia District, Taichung City, Taiwan, R.O.C.

 

Related Companies

Name

Fu Du Enterprise Co., Ltd. (Literal Translation)

Registered Address:

7th Floor, No.6, Xiangyang Road, Zhongzheng District, Taipei City, Taiwan, R.O.C.

Date of Foundation:

1973-6-27

Registration Number:

04215783

Registry:

Taipei City Government

Registered Capital:

NTD 18,000,000 (USD 612,000)

(As of 2013.07, 1 NTD = 0.0340 USD)

Paid-up Capital:

NTD 18,000,000 (USD 612,000)

Legal Representatives:

Honglin Fang

Legal Form:

Joint Stock Company

Listed at Stock Exchange:

No

Date of Last Annual Return:

2011-8-2

 

Personnel Information

Core Management

Directors

1

Name

Jiaxiang Fang

Position

Board Chairman

2

Name

Honglin Fang

Position

Director

3

Name

Gang Cao

Position

Director

4

Name

En Su

Position

Director

5

Name

Xiangcheng Chen

Position

Director

6

Name

Qiti Shao

Position

Supervisor

7

Name

Shupin Huang

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 30 Employees

 

Operation Information

Offices & Factories

 

 

Headquarters

Add

9F, No.10, Heng Yang Ard., Taipei 100, Taiwan, R.O.C.

 

Production Information

 

l  Subject is engaged in manufacturing of chemical products, etc.

l  Subject has a factory (about 20,000 square meters) in Taichung City for production.

l  We found subject’s annual production capacity as follows for reference.

Product

Annual Production Capacity

Nickel Sulphate

4,000 MT

Nickel Chloride

1,000 MT

Nickel Aminosulfonate

750 MT

 

l  Subject obtained the certifications of ISO 9001, ISO 14001 and OHSAS18001.

 

Purchase Information

 

l  The registered activities of subject:

Business Code

Details

--

Manufacturing and sale of metal salt, silicic acid and its related products

--

Import and export of above items

--

Agent, price quoting, bidding service and marketing of above mentioned items (except future goods)

F401010

International trade business

G801010

Warehouse business

ZZ99999

Besides licensed business, all other business items those are not banned or restricted.

 

l  The raw materials for production are mostly purchased in domestic market.

l  It is introduced that subject imports nickel sulphate production technology from the company “Inco” in Canada.

Sales Information

 

l  Subject is engaged in sale of chemical products, etc.

l  The major products sold by subject include nickel sulphate, nickel chloride, and nickel sulfamate, etc.

l  The products sold by subject are applied to electroplating, electroless plating, hard disk, PCB, bumper, lithium ion battery, etc.

l  Subject’s sales regions include Taiwan, Mainland China, Southeast Asia, etc.

 

Import and export right:

Import right

Yes

Export right

Yes

 

Settlements

 

Purchase

 

Domestic Purchase

Product

Terms

Proportion

Raw materials

Cash, T/T, etc

100%

 


Foreign Purchase

Subject has little import.

 

Sales

 

Domestic Markets

Product

Terms

Proportion

Chemical products

Cash, T/T, etc

100%

 

Export

Product

Terms

Proportion

Chemical products

L/C, T/T, etc

100%

 

Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject’s relevant staff Ms. Lin declined to disclose its financials citing the grounds of company’s confidentiality; from other source we can not obtain the relevant information, either.

 

Bankers

 

Subject declined to disclose its bank details; from other source we cannot obtain the relevant information, either.

 

Public Record

 

Mortgage

 

No chattel mortgage record of subject has been found within the recent 3 months.

 

Lawsuit

 

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

Interview Details

 

Name

Ms. Lin

Department

Sales Department


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.29

UK Pound

1

Rs.91.18

Euro

1

Rs.78.71

 

 

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%)

 

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.