MIRA INFORM REPORT

 

 

Report Date :

10.05.2013

 

IDENTIFICATION DETAILS

 

Name :

ILDONG PHARMACEUTICAL CO., LTD.

 

 

Registered Office :

60, Yangjae 1-dong, Seocho-gu, Seoul, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

14.03.1941

 

 

Com. Reg. No.:

229-81-14690

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Finished Medicaments

 

 

No. of Employees :

1,341

 

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 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

ILDONG PHARMACEUTICAL CO., LTD.

Registered Address

60, Yangjae 1-dong, Seocho-gu, Seoul, Korea

Zip Code

137-889

Tel

+82-2-526-3114

Fax

+82-2-526-3030

E-mail

webmater@@ildong.com;bhlee@ildong.com;taeho0730@ildong.com

Website

www.ildong.com

Trading Address

60, Yangjae 1-dong, Seocho-gu, Seoul, Korea

Tel

+82-2-526-3114

Fax

+82-2-526-3030

Other Address-Anseong Factory

60-1, Singeonji-dong, Anseong-si, Gyeonggi-do, Korea

Tel

+82-31-673-1701

Fax

+82-31-673-4860

Other Address-Cheongju Factory

70-38, Songjeong-dong, Heungdeok-gu, Cheongju-si, Chungcheongbuk-do, Korea

Tel

+82-43-267-7631

Fax

+82-43-263-1420

Other Address-Dongtan Lab

#23-9, Soekwoo-dong, Hwasung-si, Gyeonggi-do, Korea

Tel

+82-31-371-2800

Fax

+82-31-371-2900

Type

Export/Import

Industry

Manufacture of Finished Medicaments

  Main Business

Ulcer of The Stomach Cure, Vitamins, Antibiotics

Established (mm/dd/yyyy)

03/14/1941

The Subject owns the premises of registered HQ address, Anseong Factory, Cheongju Factory and Dongtan Lab.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Antifungal drugs(51101800)

Sell

Non narcotic analgesics and antipyretics(51142000)

Sell

Dietary supplements and nutritional therapy products(51191900)

Sell

Hand or body lotions(53131607)

Sell

Mouthwash(53131501)

Sell

Formulas and products for nutritional support(42231800)

Sell

Antiulcer and related gastrointestinal GI drugs(51171900)

Sell

Cardiovascular drugs(51120000)

Sell

Antineoplastic agents(51110000)

Sell

Formulas and products for nutritional support(42231800)

Buy

Amino acid supplements(51191902)

Buy

Caps or tops(24122004)

Buy

Plastic bottles(24122002)

Buy

Dosing spoons(41123402)

Buy

Organic derivatives and substituted compounds(12352100)

Buy

Identification tags(55121503)

Buy

Alcohols or its substitutes(12352104)

Buy

Packaging pouches or bags(24121502)

Buy

Packaging boxes(24121503)

Buy

Antibiotics(51101500)

Buy

Antihypertensive drugs(51121700)

Buy

Inorganic metal salts(12352302)

 

 

CEO’s

 

Name

Lee Kum-Ki

Date of Birth

12/13/1933

Title

Chairman & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

25,068,065,000

Employees

1,341

Formation

Listed Company (Korea Stock Exchange : 000230) as of 06/23/1975

A Company of ILDONG PHARMACEUTICAL

Bank Details

Hana Bank

Korea Development Bank

Woori Bank

Corporate Registered No.

110111-0012776

Business Registered No.

229-81-14690

Permit & Licenses

Int’l Trade No.: 814124

Shareholder Position

Name

Shares

%

GREEN CROSS CORPORATION(110111-0109854)

3,846,880

15.35

YOON WON-YOUNG

1,608,285

6.42

LIM KYUNG-JA

669,525

2.67

YOON WOONG-SEOB

407,440

1.63

LEE KUM-KI

1,371,195

5.47

LEE JUNG-CHI

291,940

1.16

ILDONG FOOD'S CO., LTD.(134511-0001567)

774,500

3.09

SONGPA FOUNDATION(110222-0001148)

762,580

3.04

OTHERS

15,335,720

61.18

TOTAL

25,068,065

100.00

Company History

01/2009 Patents for Peptide defrmylase (PDF) inhibito compund and its producing method registered.

09/2008 Patent for manufacturing method of Calcitriol by utiliziing strain ID 9302 registered.

06/2008 Ildong Foodis Co., LTD. set up a high-tech facility, and R&D center in Choon-chun city

06/2008 Central R&D center moved to a newly built-up facillity in Dong-tan city

01/2008 Established the Joint Venture Partnerships company, NxGen Pharmaceuticals Pty. Ltd. in Australia

01/2007 Established a leading distribution company, ILDONG Household & Health Care Co., Ltd.

03/2006 Developed Lecarpine, a hypertension treatment

12/2005 Launched Flomox, an oral cephalosporine antibiotic

09/2005 Launched NatraCare, a natural sanitary pads

04/2003 Began water electrolytic reducer business through strategic partnering with OSG

12/2002 Strategic partnering with Pan Genomix, a venture company for natural drug products Launched Fastic, a fast acting postprandial hypoglycemic agent

12/2002 Announced a New Company Strategy

03/2002 Exclusive distribution agreement with Shionogi of Japan for Flomoxef, the 4th generation of oral Cephalosporin antibiotics.

02/2002 Cheongju plant BGMP approved.

01/2002 Braille description on Aronamin Gold package first in Korea

08/2001 Exclusive distribution agreement with Biopol, a venture bio-tech company, for Medifoam, a moist foam dressing for wound treatment.

05/2001 60th anniversary of the company foundation.

01/2001 Export contract for Lactobacillus preparations with Snowden Co. of Japan.

09/2000 First development of “EPO producing strains”,  by genetic engineering and patented in Korea.

07/2000 A new cephalosporin antibiotic, code: IDC7181 developed and patent registered in the United States.

03/2000 Il Dong Diet business project launched.

Company History

04/1997 Completion of Yongin Central Research Laboratory.

02/1997 Sensetime, a new conceptional mouth wash product, introduced.

02/1997 Exclusive Licence agreement with Ajinomoto Co. of Japan for a new diabetic therapeutic agent.

07/1996 Namyang Ind. Co., a food company, was acquired and renamed as Il Dong Foodis Co. Ltd.

06/1992 Levofloxacin, a Quinolone antimicrobial agent was produced first in Korea.

06/1992 Pharmaceutical Manufacturers Association.

12/1988 Headquarter moved to the head-office building newly constructed at #60 Yangjae-dong, Seocho-Ku Seoul Korea.

10/1987 Ahnsung plant was KGMP approved.

09/1987 Ahnsung GMP plant construction completed

05/1986 3 year protection for an exclusive production of Ranitidine(anti-peptic ulcer agent)granted with bulk

10/1982 Curan, an anti-peptic ulcer drug, (Ranitidine) produced.

06/1982 Shiomarin, an oxacephem antibiotic, produced.

12/1981 Il Dong Central Research Laboratory established

01/1980 Business tie-up with Shionogi of Japan.

12/1976 Adriamycin, an antineoplastic agent.

03/1976 Business tie-up with Carlo-Elba

05/1974 Fine chemical plant constructed in Chungjoo.

12/1973 Exclusive distribution agreement with American Whitehall Co.

08/1973 Maxon Electronic Inc., a sister company, founded.

08/1973 Company reshaped to a major ethical drug producer by introducing many therapeutical drugs including Amphojel M, Ativan,Ovral 0.25 and Oxaine M,

09/1971 Amphojel M, an anti-peptic ulcer drug,

04/1970 Technical licence agreement with Wyeth-Ayerst Int. Inc. of US

07/1963 Aronamin Gold, an active form of vitamin B complex, produced.

08/1959 Aronamin, an active and long-acting vitamin, produced.

08/1959 Biovita, a lactobacillus nutrient preparation, released to the market first time in Korea.

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

Chairman

Mr.

Yoon Won-Young

Korean

1938.12.17

Chungang University, Korea

Chairman & CEO/Management

Mr.

Lee Jung-Chi

Korean

1942.08.15

Korea University, Korea

President & CEO

Mr.

Jung Yeon-Jin

Korean

1948.08.20

Seoul National University, Korea

Vice President & CEO

Mr.

Yoon Woong-Seob

Korean

1967.07.07

Yonsei University, Korea

Outside Director

Mr.

Kim Ki-Young

Korean

1969.07.05

Seoul National University, Korea

Outside Director

Mr.

Choi Young-Kil

Korean

1934.09.11

Seoul National University, Korea

Auditor

Mr.

Lee Jong-Sik

Korean

1941.11.15

Korea University, Korea

Auditor

Mr.

Shin Myung-Soo

Korean

1967.09.25

Korea University, Korea

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

346,029,750,765

522,808,624,225

18,058,073,424

2011

338,460,671,376

488,661,360,549

24,813,188,588

2010

252,081,043,827

482,186,482,195

25,271,328,551

 

 

Financial Description

 

Authorized Capital(KRW)

50,000,000,000

Paid-Up Capital(KRW)

25,068,065,000

Total Issues Shares

25,068,065

 

Balance Sheet

Unit : Korean Won

As of 03/31/2012

As of 03/31/2011

As of 03/31/2010

Total Assets

522,808,624,225

488,661,360,549

482,186,482,195

Current Assets

210,338,198,651

211,584,573,766

224,333,289,344

Cash & Cash Equivalents

14,433,006,203

25,526,189,039

28,553,229,572

Trade Receivables & Other Receivables

139,038,973,635

137,781,261,938

154,610,333,510

Other Financial Assets

2,050,057,000

1,338,402,000

1,338,402,000

Inventories

53,719,273,949

45,312,840,857

38,126,541,863

Other Current Assets

1,096,887,864

1,625,879,932

1,704,782,399

Non-Current Assets

312,470,425,574

277,076,786,783

257,853,192,851

Long-Term Trade Receivables & Other Receivables

5,997,054,421

6,120,010,777

2,966,328,233

Non-Current Financial Instruments

9,232,784,500

9,988,562,700

8,960,163,340

Tangibles

264,580,423,451

233,499,952,016

225,086,003,695

Intangibles

18,497,511,149

13,305,609,237

6,196,327,783

Investment_Related Companies

14,162,652,053

14,162,652,053

14,644,369,800

Total Liabilities

203,939,948,389

184,444,819,381

195,098,472,362

Current Liabilities

127,133,868,656

114,751,089,585

123,465,224,109

Trade Payables & Other Payables

49,701,135,128

37,866,884,471

37,754,563,571

Other Current Financial Debts

68,099,395,820

66,130,075,000

73,695,584,732

Accrued Income Tax

1,190,311,317

850,121,770

2,837,682,958

Other Current Liabilities

8,143,026,391

9,904,008,344

9,177,392,848

Non-Current Liabilities

76,806,079,733

69,693,729,796

71,633,248,253

Other Non-Current Financial Debts

20,800,000,000

13,045,000,000

24,072,000,000

Provisions

8,454,996,574

7,758,888,307

7,358,938,560

Provision for Severance & Retirement

32,755,668,201

31,832,872,818

24,286,681,565

Deferred Income Tax Credit

14,795,414,958

17,056,968,671

15,915,628,128

Capital Stock

25,068,065,000

25,068,065,000

25,068,065,000

Capital Surplus

3,601,481,662

3,601,481,662

3,601,481,662

Others

42,574,309,833

41,463,357,645

41,572,150,372

Profit Surplus

247,624,819,341

234,083,636,861

216,846,312,799

Total Equity

318,868,675,836

304,216,541,168

287,088,009,833

Liab. & Shareholder’s Equity

522,808,624,225

488,661,360,549

482,186,482,195

 

Income Statement

Unit : Korean Won

As of 03/31/2012

As of 03/31/2011

As of 03/31/2010

Sales

346,029,750,765

338,460,671,376

252,081,043,827

Cost of Sold Goods

159,895,734,920

141,233,977,196

97,486,623,384

Gross Profit

186,134,015,845

197,226,694,180

154,594,420,443

Selling & Admin. Expenses

151,163,206,817

142,452,277,991

110,697,704,148

R&D

22,077,733,211

17,470,706,607

8,234,578,182

Operating Income

12,893,075,817

37,303,709,582

35,662,138,113

Non-Operating Income

6,819,505,291

1,785,444,808

2,533,126,781

Non-Operating Expenses

1,067,008,781

3,536,827,386

477,419,935

Finance Income

3,188,482,932

623,673,948

190,422,649

Finance Expenses

4,821,723,540

4,955,825,347

4,090,678,195

Income Before Taxes

17,012,331,719

31,220,175,605

33,817,589,413

Income Taxes Expenses

-1,045,741,705

6,406,987,017

8,546,260,862

Net Income

18,058,073,424

24,813,188,588

25,271,328,551

 

Cash Flows

Unit : Korean Won

As of 03/31/2012

As of 03/31/2011

As of 03/31/2010

Operating Activities Cash Flows

23,334,230,692

50,896,563,633

50,649,451,032

Cash Flows from Operating

26,851,085,986

61,283,119,123

59,519,006,333

Net Income

18,058,073,424

24,813,188,588

25,271,328,551

Adjustment

17,857,211,700

30,752,182,549

22,984,989,028

Changes in Asset/ & Liability

-9,064,199,138

5,717,747,986

11,262,688,754

Interests Received

101,059,800

11,918,618

91,793,626

Interests Paid

-5,116,945,026

-4,724,833,084

-3,484,515,284

Dividends Received

2,667,849,650

160,200,125

 

Income Taxes

-1,168,819,718

-5,833,841,149

-5,476,833,643

Cash Flows from Investing

-39,764,294,987

-31,947,812,160

-16,036,733,643

Cash Flows from Financing

5,374,431,800

-21,970,818,332

-25,001,497,028

Increase/Decrease in Cash

-11,055,632,495

-3,022,066,859

9,611,220,361

Cash at the Beginning of Year

25,526,189,039

28,553,229,572

18,902,932,901

Cash at the End of Year

14,433,006,203

25,526,189,039

28,553,229,572

 

 

Products, Technologies, Services Description

 

Main Products & Services

Ulcer of The Stomach Cure, Vitamins, Antibiotics

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

SHIONOGI(JAPAN)

PFIZER(ITALY)

AJINOMOTO(JAPAN)

RAMBAXI(INDIA)

BASF(GERMANY)

Customers

 

Competitors

DONGA PHARMACEUTICAL CO.,LTD.(110111-0017990)

YUHAN CORPORATION(110111-0014409)

CHONGKUNDANG CO.,LTD.(110111-0028955)

DAEWOONG PHARMA CO.,LTD.(134811-0075342)

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

ILDONG FOOD'S CO., LTD.(134511-0001567)

(33.33% held by the subject company)

 

UNI COMMUNICATIONS INC(110111-0902216)

(100.0% held by the subject company)

 

ILDONG LIVING HEALTH CO., LTD.(110111-3588295)

(100.0% held by the subject company)

Subsidiary

UNI COMMUNICATIONS INC(110111-0902216)

(100.0% held by the subject company)

 

ILDONG LIVING HEALTH CO., LTD.(110111-3588295)

(100.0% held by the subject company)

Cooperative Enterprise

-Technical Support to

ZUNAN COMMERCE & INDUSTRIAL CO., LTD.

CHINA PHARMACEUTICAL GROUP CO., LTD. (NBP)

 

-Insured Company

HYUNDAI MARINE & FIRE INSURANCE CO., LTD.(110111-0035893)

SAMSUNG FIRE & MARINE INSURANCE CO.,LTD.(110111-0005078)

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

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

2012

2011

2010

Export

10,548

6,578

4,648

Domestic

335,482

331,883

247,433

Total

346,030

338,461

252,081

The Subject exports to South-East Asia including Vietnam and Japan. It imports from Japan, Italy, India and Germany.

 

 

News Clipping

 

Not Available


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.24

UK Pound

1

Rs.84.29

Euro

1

Rs.71.36

 

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.