MIRA INFORM REPORT

 

 

Report Date :

16.03.2013

 

IDENTIFICATION DETAILS

 

Name :

LABORATORIOS BAGO S.A.

 

 

Registered Office :

Bernardo de Irigoyen 248, 6º piso (C1072AAF), Buenos Aires City

 

 

Country :

Argentina

 

 

Financials (as on) :

30.06.2011

 

 

Date of Incorporation :

01.01.1967

 

 

Com. Reg. No.:

25.007

 

 

Legal Form :

Public Limited Company

 

 

Line of Business :

Commercialization Production of Medicinal Specialities

 

 

No. of Employees :

1.209

 

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

 

Maximum Credit Limit:

USD 10613053

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Argentina

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

ARGENTINA - ECONOMIC OVERVIEW

 

Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. Although one of the world's wealthiest countries 100 years ago, Argentina suffered during most of the 20th century from recurring economic crises, persistent fiscal and current account deficits, high inflation, mounting external debt, and capital flight. A severe depression, growing public and external indebtedness, and a bank run culminated in 2001 in the most serious economic, social, and political crisis in the country's turbulent history. Interim President Adolfo RODRIGUEZ SAA declared a default - the largest in history - on the government's foreign debt in December of that year, and abruptly resigned only a few days after taking office. His successor, Eduardo DUHALDE, announced an end to the peso's decade-long 1-to-1 peg to the US dollar in early 2002. The economy bottomed out that year, with real GDP 18% smaller than in 1998 and almost 60% of Argentines under the poverty line. Real GDP rebounded to grow by an average 8.5% annually over the subsequent six years, taking advantage of previously idled industrial capacity and labor, an audacious debt restructuring and reduced debt burden, excellent international financial conditions, and expansionary monetary and fiscal policies. Inflation also increased, however, during the administration of President Nestor KIRCHNER, which responded with price restraints on businesses, as well as export taxes and restraints, and beginning in early 2007, with understating inflation data. Cristina FERNANDEZ DE KIRCHNER succeeded her husband as President in late 2007, and the rapid economic growth of previous years began to slow sharply the following year as government policies held back exports and the world economy fell into recession. The economy has rebounded strongly from the 2009 recession, but the government's continued reliance on expansionary fiscal and monetary policies risks exacerbating already high inflation.

Source : CIA


Registered Name   

 

LABORATORIOS BAGO S.A.

CUIT: 30-51602484-0

 

 

Summary      

 

BEGINNER OF ACTIVITIES. INCORPORATED IN 1968. BALANCE SHEET AS OF 30/06/2011 (LAST KNOWN): IDEAL ECONOMIC-FINANCIAL SITUATION WITH A VERY GOOD FINAL PROFITABILITY. FIT FOR OPERATIONS OF CURRENT IMPORTANCE WITH THE ADOPTION OF APPROPRIATE GUARANTEES..

 

 

Operations       

 

MEDICINAL SPECIALITIES
PRODUCTION
COMMERCIALIZATION

 

 

Legal Structure   

 

Business type:      Public Limited Company
Incorporated:        01/01/1967
Registered:          17/06/1968
Registered:          25.007
Duration:             Until 16/06/2067
End of fiscal year: June 30th

 

 

Contact       

 

Accountant: Omar Fuentes.

Legal address and Main Administration: Bernardo de Irigoyen 248, 6º piso (C1072AAF), Buenos Aires City, Argentine Republic.

Phone: (54-11) 4344-2000/2019
Fax: (54-11) 4334-5813
E-mail: afuentes@bago.com.ar
Website: www.bago.com.ar

La Plata Pharmaceutical Plant: Calle 44 No.1429 (1900), La Plata, Buenos Aires Province, Argentine Republic.

La Rioja Pharmaceutical Plant: La Rioja Province, Argentine Republic.

City Bell Pharmaceutical Plant: City Bell, Buenos Aires Province, Argentine Republic.

 

 

Partners     

 

President:            BAGO SEBASTIAN
Vice-president:    BAGO JUAN CARLOS

The first two mentioned ones, as Managers, are in charge of the management and administration of the company, with the use of the social signature.

 

 

Corporate Stock       

 

The company's corporate stock is established in $ 5.000.000, which has been totally subscribed and paid in. It is represented by the same quantity of common and registered shares, with restricted transferability, of par value $0,01 each and with five votes per share.

Although we have not been provided with detailed information, it has been mentioned that this capital has been contributed by the members of Bago's Family.

 

 

Personal Information   

 

BAGO JUAN CARLOS:
Argentinian, married, born on 04/11/1949, Pharmacist, LE. 4.366.310. He is registered in the following companies:

> QUIMICA MONTPELLIER S.A.                  President
> DISPROFARMA S.A.                           Director
> DATA S.A.                                  Director
> INSTITUTO SAN JORGE-BAGO S.A.              Director
> CIA.ARGENTINA DE SEGUROS VICTORIA S.A.     Director
> PROMOFARMA S.A.                            Director

BAGO SEBASTIAN:
Argentinian, married, Bachelor in Business Administration, born on 27/06/1944, LE. 4.445.158. He is registered in the following companies:

> DISPROFARMA S.A.                          President
> DATA S.A.                                 President
> INSTITUTO SAN JORGE-BAGO S.A.             President
> PROMOFARMA S.A.                           President
> QUIMICA MONTPELLIER S.A.                   Director
> CIA.ARGENTINA DE SEGUROS VICTORIA S.A.    President

 

History   

 

According to our registered information, these businesses were started by mid-1934 by Mr Sebastiàn Bagó.

He operated as a sole proprietorship until 1967, year in which together with this family, he created LABORATORIOS BAGO S.A. as follower of activities, operating nowadays in the previously exposed addresses.

Fits to highlight that for many years the company had a Centre of Medical Information in Avda.Belgrano 990 of Buenos Aires City.

During the course of 1945 it opened a Pharmaceutical Plant for the elaboration of antibiotics.

In 1948 it opened an Industrial Centre in City Bell, with the objective of producing synthesis drugs. In 1974 it intensified the export of medicinal specialities and basic drugs of its own production.

It is the leader of a business group, which is integrated by the following companies with its corresponding shareholding:

> LABORATORIOS GAUTIER BAGO S.A.             100,00 %
> LABORATORIOS BAGO DE BOLIVIA S.A.           89,00 %
> LABORATORIOS BAGO DE GUATEMALA S.A.         80,00 %
> BIOGENESIS BAGO S.A.                        76,56 %
> LABORATORIOS BAGO DE CHILE S.A.             49,00 %
> NUTRICIA BAGO S.A.                          49,00 %
> ARMSTRONG LABORATORIOS DE MEXICO S.A.       39,99 %
> LABORATORIOS BAGO LTDA.                     35,22 %
> DATA S.A.                                   33,48 %
> LABORATORIOS BAGO DE COLOMBIA S.A.          20,20 %
> GRAMON-BAGO DE URUGUAY S.A.                 12,00 %
> LABORAT.FARMACEUT.ECUATORIANOS BAGO S.A.     5,00 %
> LABORATORIOS BAGO DEL PARAGUAY S.A.          5,00 %
> LABORATORIOS BAGO DEL PERU S.A.              5,00 %
> LABORATORIOS BAGO DE PANAMA S.A.             5,00 %

 

 

Economic-Financial Position               

 

 

As an answer, he supplied a figures of the Balance Sheet as of 30/06/2011.

                              30/06/2010              30/06/2011
                                 
> DISP.INV.CRED.OTHERS        $ 188,422,540           248.498.144
> INVENTORIES                 $   107,244,171         160.678.417
> ASSETS CURRENT              $   295,666,711         409.176.561
> ASSETS NON CURRENT          $    45,987,075         39.249.939
> TOTAL ASSETS                $   341,653,786         448.426.500
> DEBTS                       $   141,544,308         211.076.796
> SALARIES-CHARGES SOCIAL     $     16,995,052        20.452.948
> LIABILITIES CURRENT         $     158,539,360       231.529.744
> LIABILITIES NON CURRENT     $     3,171,256         4.635.695
> TOTAL LIABILITIES           $   161,710,616         236.165.439
> NET WORTH                   $   179,943,170         212.261.061
> TOTAL GENERAL               $   241.653.786         448.426.500


STATEMENTS INCOME:
------------------
> NET SALES                   $   777,037,797         777.759.781
> COST OF SALES               $ - 257,046,888         -318.468.235
> GROS PROFIT LOSS            $   521,144,941         459.291.546  
> EXPENSES COMERCIALIZ.       $ - 260,040,000         -351.581.435
> EXPENSES ADMINISTRA.        $ -  50,822,757         -58.298.829
> SUB TOTAL                   $   210,282,184         48.411.282
> OTHERS INCOMES AND EXPENSES $ - 148,467,865        7.697.449
> FINAL RESULT                $    61.814.319         57.108.731

 

 

Assets     

 

REAL ESTATE:
------------
> Necochea s/n., La Rioja, La Rioja Province, building of a covered surface of 2.800 sqm., used for the elaboration and control of drugs.

The properties located in Calle 44 No.1429, La Plata and in Camino Gral.Belgrano Km.11,800, City Bell, Buenos Aires Province are leased by unknown amounts and terms.

VEHICLES:
---------
150 units.

No title deeds were shown as to verify if its assets are unencumbered.

 

 

 Parent/Related Companies                

 

LABORATORIOS GAUTIER  BAGO S.A.            100,00 %
LABORATORIOS BAGO DE BOLIVIA S.A.           89,00 %
LABORATORIOS BAGO DE GUATEMALA S.A.         80,00 %
BIOGENESIS BAGO S.A.                        76,56 %
LABORATORIOS BAGO DE CHILE S.A.             49,00 %
NUTRICIA BAGO S.A.                          49,00 %
FEBASA S.A.                                 49,00 %
ARMSTRONG LABORATORIOS DE MEXICO S.A.       39,99 %
LABORATORIOS BAGO LTDA.                     35,22 %
DATA S.A.                                   33,48 %
LABORATORIOS BAGO DE COLOMBIA S.A.          20,20 %
BF BIOSCIENCES                              20,00 %
GRAMON-BAGO DE URUGUAY S.A.                 12,00 %
LABORATORIOS BAGO DEL ECUADOR S.A.           5,00 %
LABORATORIOS BAGO DEL PARAGUAY S.A.          5,00 %
LABORATORIOS BAGO DEL PERU S.A.              5,00 %
LABORATORIOS BAGO DE PANAMA S.A.             5,00 %
BIOPROFARMA S.A.                             5,00 %

 

 

Evolution and Results             

 

The company is engaged in the elaboration of medicinal specialities for human use and pharmaceutical products, reason why it has an important infrastructure and modern organization, maintaining the level of the most important international companies.

In 2006/2007 it elaborated 26.202.413 units betwen its three pharmaceutical plants in the country.

LA PLATA PHARMACEUTICAL PLANT:
------------------------------
Its total production was of 22.577.491 units.

During the fiscal year in the Department of Solid Products it was completed the total automation of 3 dishes for recovering of compounds of 150 Kg. of capacity and a gauge mill of granules was incorporated, having 800 Kg/hour of capacity.

The Department of Liquid Products (injectable section) installed and validated an automatic autoclave for the final sterilization of products, or national origin of 0,75 cubic meters of capacity and a Distiller Equipment of Water of Multiple Effect of 100 lts/hours of capacity.

The Department of Fitting-out of Products acquired 2 stucco machines totally automated, of national origin for cases with hot-mel zipper (evidence of opening), building 2 grouping machines and balers for finished products.

LA RIOJA PHARMACEUTICAL PLANT:
------------------------------
The total production was of 6.786.783 units.

The Productive, Warehouses and Services Area started up a gauge equipment of temperature for maintenance and started the installation of electronic supressors for the protection of productive equipment (1° stage). It launched a new autoelevator Jungheinrich ETV10 in Warehouses and a particles counter in the Clean Area of Production.

Inside the Control Area of Quality, in the Physicochemical Control Section, it received and put in regime the Detector of Repar if diodes for HPLC for which the staff received intensive training from the support for the use of this new detector.

The Microbiology Section modified and enlarged the Infertile Area of sampling in Quality Control with the systed of air cascade. It carried out microbiological evaluations over all the products of the Planta in La Rioja for the stability study, collaborating with the Stability Department.

Finally, the Section of Control of Fitting-out Materials collaborated with Industrial Engineering in the evaluation of advances of improvements of suppliers. Besides, in all the mentioned sectors the plan of staff training was continued.

CITY BELL PHARMACEUTICAL PLANT:
-------------------------------
During the fiscal year this plant produced 30 tons of medicaments and 3 tons of infertile products for the supply of the other plants, as well as plants of other labds of the country and abroad.

It improved the performance of production through optimization of the management of synthesis and the best energetic use. Production capacities of the different units of the plant were enlarged due to new processes and appointemnt of each one of them of synthesis of specific chemical families.

At the beginning of the year the production at industrial level of biliary acids, obtaining a consolidation of the operation and qualitiy in the following months. These products supply all the needs of the company and started the commercialization to third parties.

Fits to highlight that it also intruded important changes in the Management of Quality Control and in the Protection to the Environment.

MAIN PRODUCTS:
--------------
> BAGO B1, B6, B12      > ESTREPTOCARBOCAFTIAZOL
> LEUCOTROFINA          > SECALBUM
> ULCOZOL               > INOTROPIN
> UROSEPTAL             > DIOXAFLEX
> PLENACOR´D            > DIOXAFLEX PLUA
> DIUREX                > BAGOVIT A PLUS
> BACTIURIL             > BAGOHEPAT
> BIL 13                > ENTEROBACTICEL
> KLOSIDOL              > PLENACOR
> GLIOTEN               > INCORIL
> PERMICAPS             > DIOXAFLEX B12
> GLIOTENZIDE           > DIUREX A
> SEPTILISIN            > BACTICEL
> LONGEVITAL            > TRIFAMOX
> BAGOVIT A             > PEN DI BEN
> ANAFLEX               > NUTRICIA/BAGO
> NUTRILON PEPTI-JUNIOR > OSTEOBON
> CARVEDIL D            > LIVIANE
> FOLINEMIC 1           > ANGIOMAX
> RESIBANT              > ANAFLEX MUJER PERLAS
> CEFALEX VL            > LUMILAC
> NORFEN                > CLIMALONA
> HYALART

It carries out imports from Germany, USA, Mexico, Belgium, Austria, France, Bolivia, India, China, Spain and Netherlands, carrying out exports to Mercosur's members, Korea and Russia.

MAIN SUPPLIERS:
---------------
NATIONAL:
---------
> GSP S.A.
> CARDINAL HEALTH ARGENTINA S.A.
> BERKES LADISLAO AGUSTIN
> FARMAGRAFICA S.A.
> IBARRA Y ASOCIADOS S.A.
> ADECCO ARGENTINA S.A.
> LIMPIOLUX S.A.
> PARAVISI S.A.
> QUIMICA MONTPELLIER S.A.

FOREIGN:
--------
INGERLUDE COMPANY (USA)
CHEM LATINA LTD. (England)
RHONE POULENC BIOCHEMIE (France)
CHEMO S.A. (Switzerland)
BASELUK (Switzerland)
HOSPIRA (USA)
IBSA (Switzerland)

FOREIGN TRADE:
--------------
In the last twelve months it has carried out imports for a total value os US$ 18.179.366 from the following countries:

USA .............................. US$  5.666.458
SWITZERLAND....................... US$  1.239.845
NETHERLANDS ...................... US$  2.560.396
OTHERS ........................... US$  8.712.667

* 1.209 EMPLOYEES

 

 

Branches     

 

> Delegación Córdoba Boulevard Illia 342 Planta Baja
(5000) Córdoba
Tel: (0351) 425-4075

> Delegación Rosario Urquiza 1549 - PB
(S2000ANQ) Rosario
Tels.: (0341) 449-1909/448-8122
Fax: (0341) 449-1906
Servipharma: (0341) 449-1909/448-8122

> Delegación Tucumán Av. Salta 681
(T4000ITO) San Miguel de Tucumán
Tel.: (0381) 4-300-300
Servipharma: (0381) 421-5806

> Delegación Paraná 9 de Julio 282
(E3100AEF) Paraná - Entre Ríos
Tels. / Fax: (0343) 431-9074/421-9682
Fax: (0343) 431-9074/421-9682
Servipharma: (0343) 423-3809

> Delegación Mendoza Suipacha 1385 - Barrio Arizu
(5501) Godoy Cruz, Mendoza
Servipharma: (0261) 424-9967

> Delegación Resistencia Avda. Wilde 186
(H3500BTO) Resistencia - Chaco
Tel. / Fax: (03722) 43-3007
Servipharma: (03722) 44-9846

> Delegación Bahía Blanca Belgrano 474
(B8000IJJ) Bahía Blanca
Tel. / Fax: (0291) 451-7214
Servipharma: (0291) 453-4234

> Delegación La Plata Calle 5 Nº 1063 e/ 54 y 55
(B1900CHS) La Plata
Tel.:
(0221) 421-0921
Fax: (0221) 423-7400
Servipharma: (0221) 423-7400

> Delegación Mar del Plata La Rioja 1159
(B7600DMC) Mar del Plata
Tel: (0223) 493-1144
Fax: (0223) 492-1232
Servipharma: (0223) 492-1232

 

 

Payment Record and Credit Risk      

 

BANKS:
------
> BCO. FRANCES
> BCO. DE VALORES
> BCO. CREDICOOP
> GALICIA
> HSBC
> STANDARD BANK

CREDIT RISK:
------------
DECEMBER 2012

NACION          12/12 1 28,000,000  
FRANCES         12/12 1 20,456,000
MACRO           12/12 1 14,573,200
CREDICOOP       12/12 1 13,701,600
VALORES         12/12 1 11,719,000
SANTANDER RIO   12/12 1 11,647,800
COMAFI          12/12 1 10,392,500
HSBC BANK       12/12 1  1,067,900  
AMEX            12/12 1    201,100
STANDARD BANK   12/12 1     52,700

(1) Normal Fulfillment.

INSURANCE:
----------
SEGUROS VICTORIA S.A.

 

 

Concept       

 

It is commercially related with local and foreign companies. Some of them give it their credit support, not making up to now objections about its payment record.

* FULFILLMENT: NOT OBJECTED

 

 

Final Opinion    

 

Bearing in mind what has been exposed hereby, we consider feasible the credit treatment with this company by amounts of current importance with the adoption of appropriate guarantees.

* FIT FOR OPERATIONS OF CURRENT IMPORTANCE.

 

CREDIT LIMIT

 

USD 10613053


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.16

UK Pound

1

Rs.81.74

Euro

1

Rs.70.50

 

 

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.