MIRA INFORM REPORT

 

 

Report Date :

29.06.2013

 

IDENTIFICATION DETAILS

 

Name :

FERMIC S.A. DE C.V.

 

 

Registered Office :

Reforma 873, Col. San Nicolás Tolentino, Delg. Iztapalapa 09850

 

 

Country :

México

 

 

Date of Incorporation :

12.05.1966

 

 

Legal Form :

Stock Company of Variable Capital

 

 

Line of Business :

Subject is engaged in manufacture and processing of raw material for antibiotics intended for the livestock sector and human use.

 

 

No. of Employees :

350

 

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)

Mexico

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 


 

MEXICO - ECONOMIC OVERVIEW

 

Mexico has a free market economy in the trillion dollar class. It contains a mixture of modern and outmoded industry and agriculture, increasingly dominated by the private sector. Recent administrations have expanded competition in seaports, railroads, telecommunications, electricity generation, natural gas distribution, and airports. Per capita income is roughly one-third that of the US; income distribution remains highly unequal. Since the implementation of the North American Free Trade Agreement (NAFTA) in 1994, Mexico's share of US imports has increased from 7% to 12%, and its share of Canadian imports has doubled to 5.5%. Mexico has free trade agreements with over 50 countries including Guatemala, Honduras, El Salvador, the European Free Trade Area, and Japan - putting more than 90% of trade under free trade agreements. In 2012 Mexico formally joined the Trans-Pacific Partnership negotiations and in July it formed the Pacific Alliance with Peru, Colombia and Chile. In 2007, during its first year in office, the Felipe CALDERON administration was able to garner support from the opposition to successfully pass pension and fiscal reforms. The administration passed an energy reform measure in 2008 and another fiscal reform in 2009. Mexico's GDP plunged 6.2% in 2009 as world demand for exports dropped, asset prices tumbled, and remittances and investment declined. GDP posted positive growth of 5.6% in 2010 with exports - particularly to the United States - leading the way. Growth slowed to 3.9% in 2011 and slightly recovered to 4% in 2012. In November 2012, Mexico's legislature passed a comprehensive labor reform which was signed into law by former President Felipe CALDERON. Mexico's new PRI government, led by President Enrique PENA NIETO, has said it will prioritize structural economic reforms and competitiveness. The new president signed the Pact for Mexico, an agreement that lists 95 priority commitments, along with the leaders of the country's three main political parties: the Institutional Revolutionary Party (PRI), the National Action Party (PAN) and the Party of the Democratic Revolution (PRD).

 

Source : CIA

 


IDENTIFICATION

 

CORRECT COMPANY NAME

FERMIC S.A. DE C.V.

TRADE NAME

FERMIC

TAXPAYER REGISTRATION

RFC FER660512JT7

MAIN ADDRESS

Reforma 873, Col. San Nicolás Tolentino, Delg. Iztapalapa

POSTAL CODE

09850

DEPT/PROV/REGION/STATE

México DF

COUNTRY

MEXICO

TELEPHONE

(5255) 50370000 - 50370001

CORPORATE E-MAIL

dfalzoni@fermic.com.mx

WEB

www.fermic.com.mx

COMMENTS

 

Other Other e-mails:

dfalzoni@fermic.com.mx

gsarra@fermic.com.mx

flara@fermic.com.mx

 

 

EXECUTIVE SUMMARY

 

Date of foundation

1966

permanent employees

350

Chief Executive

ALARCON BENET, FERNANDO

Disposition

Poor. Very few information was given. Politely.

Payments policy

Usually to terms/good

Credit (**)

MODERATE RISK. (Acceptable financial situation but limited).

Number of times that this company was required: 7

 

 

LEGAL STRUCTURE

 

LEGAL STATUS

Stock Company of Variable Capital

 

 

DATE OF INCORPORATION

12MAY1966

 

 

PLACE OF REGISTRY

Mexico DF

 

 

CURRENT EXCHANGE RATE (US$)

Ps$13.35 per 1 USD

 

 

MEMBERSHIP

Cámara Arabe Mexicana de Industria y Comercio

 

 

COMMENTS

 

FERMIC MEXICO is a member of

- Asociación Mexicana de Empresas de Biotecnología  A.C. ASEMBI

 (Mexican Association of Biotechnological Companies)

- Cámara Nacional de la Industria de la Transformación - CANACINTRA

 (National Chamber of the Manufacture Industry)

 

Subject has been granted Sanitary License 09 09 01 001 to operate in the following production lines: Mix of raw materials or medicines with additive or excipients, raw material or medicines, intermediate raw materials.

 

Reportedly, the majority shareholder is a company from Luxembourg.

 

DIRECTORS - EXECUTIVES – SHAREHOLDERS

 

FULL NAMES / COMPANY NAME

TITLE

%PART.

SINCE

FALZONI, BRUNO

President

 

 

FALZONI ARNAUD, ALESSANDRO

Vice President

 

 

LARA, FERNANDO

Plant Director

 

 

SARRA, GAETANO

Production Director

 

 

ALARCON BENET, FERNANDO

General Manager

 

 

TAPIA, MARIA ELENA VICTORIA

Sales Manager

 

 

CONTRERAS GALLEGOS, ROGELIO

General Accountant

 

 

FALZONI ARNAUD, DANIEL

Planning Manager

 

 

 

 

 

WHO IS WHO?

 

LARA, FERNANDO

TITLE

Plant Director

NATIONALITY

Mexican

PROFESSION

Engineer

 

 

 

 

SARRA, GAETANO

TITLE

Production Director

NATIONALITY

Mexican

PROFESSION

Engineer

 

 

 

 

ALARCON BENET, FERNANDO

TITLE

General Manager

NATIONALITY

Mexican

BACKGROUND INFORMATION

General Manager - Chevrolet Taxquena

Retail sector

August 2009 - September 2010 (1 year 2 months)

General Manager. Coordination of the sales, spares and administration areas

 

Commercial Manager  - Road Track S.A. de C.V.

Wholesale sector

March 2009 - August 2009 (6 months )

He was in charge of the sale of satellite location systems for automobiles through the distributors General Motors

 

General Manager- Auto Cam S.A. de C.V.

Retail Sector

August 2008 - January 2009 (6 months )

He was in charge of an automotive distributor in the areas of sales, administration, services and spares.

 

Post Sales Operations Manager - General Motors

Public company GM; Automotive Sector

November 1990 -  August 2008 (17 years 10 months )

Coordination of operations, services and spares in Chevrolet, Buick, GMC and Cadillac

 

Education:

Higher Education: Instituto Tecnológico y de Estudios Superiores de Monterrey

Bachelor in Industrial Engineering

MBA 1993 - 1995

 

Universidad del Valle de México

Industrial Engineer 1985 - 1989

Instituto Rudyard Kipling

 

 

 

 

CONTRERAS GALLEGOS, ROGELIO

TITLE

General Accountant

NATIONALITY

Mexican

PROFESSION

Chartered Accountant

 

 

 

 

FALZONI ARNAUD, DANIEL

TITLE

Planning Manager

NATIONALITY

Mexican

PROFESSION

Graduate

 

 

BUSINESS HISTORY

 

FERMIC S.A. DE C.V. is a company operating within the chemical-pharmaceuticals sector founded in 1966 by Bruno Falzoni Duca who died in February 2007. Before he passed away, he was President and General Director of the Company.

Currently, his two children are in charge of the Company.

 

The Company was related to AISE S.A. DE C.V. which was merged by FERMICAISE S.A. DE C.V

 

 

RELATED COMPANIES TO SUBJECT COMPANY OR TO MAJORITY SHAREHOLDER

 

COMPANY NAME

COUNTRY

RELATION %

FERMICAISE S.A. DE C.V.

MEXICO

 

Related

 

 

 

 

 

BUSINESS

 

SIC Classification
2 8 - CHEMICALS, PHARMACEUTICALS INDUSTRY AND ALLIED PRODUCTS. (Manuf.Pigments, Resins, Plastics, Serums, Perfums, Paints, Fertilizers, Explosives. Medicines.)

Main activity

Subject is engaged in manufacture and processing of raw material for antibiotics intended for the livestock sector and human use.

 

Trademark: FERMIC (own brand)

 

Products: Clarithromycin, clavulanate potassium, roxithromycin, clavulanic acid, erythromycin , gentamicin, oxytetracycline, tetracyclin, among others.

 

O P E R A T I O N S

Import

Yes

Country

Raw material from USA, Argentina, Germany, France, Spain, China, Finlandia, etc. direct credit at 30, 60, 90 days-terms

Export

Yes

COUNTRY

To over 50 countries such as India, China, Korea, Germany, USA, Italy and other countries by direct credit at 30 and 60 days-terms

% Ventas exterior (Paises)

100%

% DOMESTIC PURCHASES

30%

% FOREIGN PURCHASES

70%

SELLING TerritorY

International market

EMPLOYEES

350

LOCATION

PREMISES

Own Settled

AREA

2,000 m2

OTHER PREMISES

Facilities are located at San Francisco y Av. 11; semi-industrial area of the Mexico City.

Offices consist of 3 levels one part and the other other part has a single level.

No other branches were found.

Comments

 

Main Clients: Pharmaceutical and agriculture laboratories of the world, such as:

- Apotex (Canada)

- China Chemicals (Taiwan)

- Alkem (India)

 

 

 

FINANCIAL INFORMATION

 

Disposition

Poor. Very few information was given. Politely.

Interviewee(s)

Víctor Corona

Position(s)

Spare parts Purchasing

Information provided

Mr. Victor Corona, duly authorized, only provided some operating data.

 

 

SALES

US$ 0.00 ()

FINANCIAL SITUATION

FAIR

Subject is a company that started operating in 1968 and it is one of the major fermentation plants in Latin America. 

 

No adverse were found in the market.

Property of company comments

 

Subject's assets include:

-Fermentation facilities

-Distillation installations

-Refrigeration installations

-Laboratories

-Area for synthetic chemicals

-Office furniture and fixtures

-Computers

-Vehicles

 

 

 

 

 

INSURANCE

COMPANY

AGAINST

AXA SEGUROS S.A. DE C.V.

All risk

Insurance Comments

 

Broker: LAFON Y ASOCIADOS AGENTES DE SEGUROS Y DE FIANZAS S.A.

 

 

TRADE REFERENCES, CREDIT BUREAU, LAWSUITS, BANKS

 

(Confidential Information)

TRADE REFERENCES

 

Supplier: REPRESENTACIONES Y SUMINISTROS INDUSTRIALES A

Tel.: 24 55 31 72

Country: MEXICO

Goods/Services? : Tubes, valves and conecctions.

 

 

Highest credit? : DC 100,000.=

 

 

Client since? : 2002

Terms? : 30 days

Performance? : Prompt

Note : Other suppliers did not provide information or could not be consulted

Supplier

Country

MONFEL S.A. DE C.V.

MEXICO

VERENIUM CORPORATION

U.S.A.

FINNFEEDS OY

FINLAND

TERRA FARMA S.A. DE C.V.

MEXICO

VALVULANDIA, S.A. DE C.V.

MEXICO

HARBIN PHARMACEUTICAL GROUP CORPORATION

CHINA

ANTIBIÓTICOS S.A.

SPAIN

KIC

U.S.A.

TOURNAIRE S.A.

FRANCE

PROTECTIVE PACKING

U.S.A.

COGNIS OLEOCHEMICALS GMBH

GERMANY

ACIC FINE CHEMICALS INC.

U.S.A.

DIVERSA CORPORATION

U.S.A.

SIGMA ADRICH QUIMICA S.A. DE C.V.

MEXICO

ENVASES Y LAMINADOS S.A. DE S.V. - ELSA

MEXICO

GLOBE CHEMICALS GMBH

GERMANY

IRMEQ INTERNACIONAL S.A. DE C.V.

MEXICO

GRUPO GYSAPOL S.A. DE C.V.

MEXICO

SEINPRO S.A. DE C.V.

MEXICO

FERSINSA GB, S.A. DE C.V.

MEXICO


CREDIT BUREAU COMMENTS

No protested items, rejected checks, neither other financial restrictions were found against Subject. No delinquent balances, written-down portfolio, cancelled credits due to bad management, neither other similar situations were either found to Subject.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.70

UK Pound

1

Rs.91.14

Euro

1

Rs.77.97

 

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%)

 

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.