MIRA
INFORM REPORT
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Report Date : |
11.05.2013 |
IDENTIFICATION DETAILS
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Name : |
HANGZHOU COWIN PHARMA CO., LTD. |
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Registered Office : |
Rm. 1206, 12/F, East Tower Of International Garden, No. 158 Tianmushan Road, Xihu District, Hangzhou, Zhejiang Province, 310007 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
28.10.2005 |
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Com. Reg. No.: |
330106000159784 |
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Legal Form : |
One-person Limited Liability Company |
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Line of Business : |
Selling API and intermediates |
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No. of Employees : |
10 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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
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Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
china ECONOMIC OVERVIEW
Since the late 1970s
China has moved from a closed, centrally planned system to a more
market-oriented one that plays a major global role - in 2010 China became the
world's largest exporter. Reforms began with the phasing out of collectivized
agriculture, and expanded to include the gradual liberalization of prices,
fiscal decentralization, increased autonomy for state enterprises, creation of
a diversified banking system, development of stock markets, rapid growth of the
private sector, and opening to foreign trade and investment. China has
implemented reforms in a gradualist fashion. In recent years, China has renewed
its support for state-owned enterprises in sectors it considers important to
"economic security," explicitly looking to foster globally competitive
national champions. After keeping its currency tightly linked to the US dollar
for years, in July 2005 China revalued its currency by 2.1% against the US
dollar and moved to an exchange rate system that references a basket of
currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi
against the US dollar was more than 20%, but the exchange rate remained
virtually pegged to the dollar from the onset of the global financial crisis
until June 2010, when Beijing allowed resumption of a gradual appreciation. The
restructuring of the economy and resulting efficiency gains have contributed to
a more than tenfold increase in GDP since 1978. Measured on a purchasing power
parity (PPP) basis that adjusts for price differences, China in 2012 stood as
the second-largest economy in the world after the US, having surpassed Japan in
2001. The dollar values of China's agricultural and industrial output each
exceed those of the US; China is second to the US in the value of services it
produces. Still, per capita income is below the world average. The Chinese
government faces numerous economic challenges, including: (a) reducing its high
domestic savings rate and correspondingly low domestic demand; (b) sustaining
adequate job growth for tens of millions of migrants and new entrants to the
work force; (c) reducing corruption and other economic crimes; and (d)
containing environmental damage and social strife related to the economy's
rapid transformation. Economic development has progressed further in coastal
provinces than in the interior, and by 2011 more than 250 million migrant
workers and their dependents had relocated to urban areas to find work. One
consequence of population control policy is that China is now one of the most
rapidly aging countries in the world. Deterioration in the environment -
notably air pollution, soil erosion, and the steady fall of the water table,
especially in the North - is another long-term problem. China continues to lose
arable land because of erosion and economic development. The Chinese government
is seeking to add energy production capacity from sources other than coal and
oil, focusing on nuclear and alternative energy development. In 2010-11, China
faced high inflation resulting largely from its credit-fueled stimulus program.
Some tightening measures appear to have controlled inflation, but GDP growth
consequently slowed to under 8% for 2012. An economic slowdown in Europe
contributed to China's, and is expected to further drag Chinese growth in 2013.
Debt overhang from the stimulus program, particularly among local governments,
and a property price bubble challenge policy makers currently. The government's
12th Five-Year Plan, adopted in March 2011, emphasizes continued economic
reforms and the need to increase domestic consumption in order to make the
economy less dependent on exports in the future. However, China has made only
marginal progress toward these rebalancing goals.
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Source : CIA |
Company name and address
HANGZHOU COWIN PHARMA CO., LTD.
rm. 1206, 12/f, east
tower OF international garden,
no. 158 tianmushan
road, xihu district,
hangzhou, zhejiang
PROVINCE, 310007 PR CHINA
TEL: 86 (0)
571-88212056 FAX: 86 (0)
571-88212052
EXECUTIVE SUMMARY
INCORPORATION DATE : october 28, 2005
REGISTRATION NO. : 330106000159784
REGISTERED LEGAL FORM : One-person Limited
Liability Company
STAFF STRENGTH :
10
REGISTERED CAPITAL : CNY 1,000,000
BUSINESS LINE :
trading
TURNOVER :
CNY 27,720,000 (AS OF DEC. 31, 2011)
EQUITIES :
CNY 500,000 (AS OF DEC. 31, 2011)
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairLY STABLE
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.24 = USD 1
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
SC was registered as a limited liabilities
company at local Administration for Industry & Commerce (AIC - The official
body of issuing and renewing business license) on October 28, 2005 and has been
under present legal form since 2010.
Company Status: One-person
Limited Liability Company Single person LLC refers to a limited
liability company set up by only one natural person or legal person as the
single shareholder of it. The minimum registered capital
of Single person LLC is CNY100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only
invest in and set up one limited liability company, which is not permitted
to invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered
business scope includes wholesale and retail, importing and exporting goods and
technology.
SC is mainly
engaged in selling API and intermediates.
Mr. Bao Jianhua has
been legal representative and chairman of SC since 2005.
SC is known to
have approx. 10 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Hangzhou. Our checks reveal that SC
rents the total premise about 107 square meters.
http://www.cowinpharma.com
The design is professional and the content is well organized. At present the
web site is only in English version.
E-mail: infor@cowinpharma.com
Changes of its registered information are as follows:
|
Date of change |
Item |
Before the
change |
After the change |
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|
Legal form |
Limited liabilities company |
One-person
limited liability company |
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jingdezhen Fuxiang Pharmaceutical Co., Ltd. 100
Jingdezhen Fuxiang Pharmaceutical Co., Ltd.
is specialized in the R & D, manufacture and sales of APIs and
pharmaceutical intermediates.
Tel: 86-798-2193328
Fax: 86-798-2193330
Web: http://www.fuxiangpharm.com
E-mail: infor@fuxiangpharm.com
l Chairman and Legal
representative:
Mr.
Bao Jianhua, in his
Working Experience(s):
From 2005 to present Working in SC as chairman and legal representative
l General Manager:
Mr. Chen Jian , about 35 years old, with university
education. He is currently responsible for the daily management of SC.
Working Experience(s):
At present Working in SC as general manager.
SC is mainly
engaged in selling API and intermediates.
SC’s products
mainly include: β-lactam enzyme inhibitor API and intermediate.
SC sources its materials 100% from domestic
market, mainly Zhejiang. SC sells 5% of its products in domestic market, and
95% to overseas market, mainly India and Egypt.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
Note: SC declined to release its major suppliers and clients.
SC
is not known to have any subsidiary at present.
Overall payment appraisal :
( ) Excellent (
) Good (X) Average (
) Fair ( ) Poor
( ) Not yet determined
The appraisal serves as a reference to reveal SC's payments habits and
ability to pay. It is based on the 3
weighed factors: Trade payment
experience (through current enquiry with SC's suppliers), our delinquent
payment and our debt collection record concerning SC.
Trade payment experience : SC did not
provide any name of trade/service suppliers and we have no other sources to
conduct the enquiry at present.
Delinquent
payment record : None in our database.
Debt collection record : No overdue amount owed by SC was placed to
us for collection within the last 6 years.
Bank of China Hangzhou Hi-tech Development Zone Sub-branch
AC#：370158327213
Standard
Chartered Bank China Hangzhou Branch
AC#：N/A
Relationship:
Normal
Balance Sheet
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Unit: CNY’000 |
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Cash & bank |
340 |
510 |
|
550 |
0 |
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Accounts receivable |
5,590 |
1,260 |
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Other Accounts
receivable |
700 |
100 |
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Other current
assets |
520 |
40 |
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------------------ |
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7,700 |
1,910 |
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Fixed assets net
value |
160 |
150 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
10 |
0 |
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------------------ |
------------------ |
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Total assets |
7,870 |
2,060 |
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============= |
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Short loans |
0 |
0 |
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Accounts payable |
7,180 |
1,340 |
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Other Accounts
payable |
10 |
220 |
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Other current
liabilities |
10 |
0 |
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------------------ |
------------------ |
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7,200 |
1,560 |
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Long term
liabilities |
0 |
0 |
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Other
liabilities |
-90 |
0 |
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------------------ |
------------------ |
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7,110 |
1,560 |
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Equities |
760 |
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------------------ |
------------------ |
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7,870 |
2,060 |
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============= |
============= |
Income Statement
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Unit: CNY’000 |
as of Dec. 31,
2010 |
as of Dec. 31,
2011 |
|
10,680 |
||
|
10,070 |
26,510 |
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Sales
expense |
220 |
590 |
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Management expense |
350 |
410 |
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Finance expense |
80 |
540 |
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Profit before tax |
-60 |
-260 |
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Less: profit tax |
0 |
0 |
|
-60 |
-260 |
Important
Ratios
=============
|
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As
of Dec. 31, 2010 |
as
of Dec. 31, 2011 |
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*Current ratio |
1.07 |
1.22 |
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*Quick ratio |
0.99 |
1.22 |
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*Liabilities
to assets |
0.90 |
0.76 |
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*Net profit
margin (%) |
-0.56 |
-0.94 |
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*Return on
total assets (%) |
-0.76 |
-12.62 |
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*Inventory
/Turnover ×365 |
19 days |
/ |
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*Accounts receivable/Turnover
×365 |
192 days |
17 days |
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*Turnover/Total
assets |
1.36 |
13.46 |
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* Cost of
goods sold/Turnover |
0.94 |
0.96 |
PROFITABILITY:
FAIR
l The turnover of SC
appears average in its line, and it increased in 2011.
l SC’s net profit
margin is fair.
l SC’s return on
total assets is fair.
l
SC’s cost of goods sold is high, comparing with its
turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a normal level.
l
SC has no inventory in 2011.
l
The accounts receivable of SC appears large.
l
SC has no short-term loan in both years.
l
SC’s turnover is in a good level in 2011, comparing
with the size of its total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is high in 2010, and fairly
high in 2011.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
SC is considered small-sized in its line with fairly stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.54 |
|
UK Pound |
1 |
Rs.84.19 |
|
Euro |
1 |
Rs.71.11 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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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 |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.