MIRA INFORM REPORT
|
Report Date : |
11.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
JIANGSU ALPHA PHARMACEUTICAL
CO., LTD. |
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|
|
|
Registered Office : |
No. 9 Yanshan Road, Lakeside
New Town Development Zone, Suqian Jiangsu Province 223800 Pr |
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|
Country : |
China |
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|
Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
19.11.2007 |
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Com. Reg. No.: |
321300000022608 |
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Legal Form : |
Limited Liability Company |
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|
|
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Line of Business : |
Subject is engaged in manufacturing and selling pharmaceutical
intermediates. |
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|
|
No. of Employees : |
330 |
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) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
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.
|
Source
: CIA |
company name and address
JIANGSU ALPHA PHARMACEUTICAL CO.,
LTD.
NO. 9 YANSHAN ROAD, LAKESIDE NEW
TOWN DEVELOPMENT ZONE, SUQIAN JIANGSU PROVINCE 223800 PR CHINA
TEL: 86 (0) 527-84829016
FAX: 86 (0) 527-84829018
EXECUTIVE SUMMARY
Date of Registration : november 19, 2007
REGISTRATION NO. : 321300000022608
LEGAL FORM : Limited Liability Company
CHIEF EXECUTIVE :
shi zhenxiang (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 73,814,000
staff :
330
BUSINESS CATEGORY : MANUFACTURING
Revenue :
CNY 250,927,000 (AS OF DEC. 31,
2012)
EQUITIES :
CNY 202,828,000 (AS
OF DEC. 31, 2012)
WEBSITE : www.chinalpharm.com
E-MAIL :
szx@xinyuchemical.com
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.12 = USD 1
Adopted
abbreviations (as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established as a limited liabilities company of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 321300000022608 on November 19, 2007.
SC’s Organization Code Certificate No.:
66898779X
SC’s Tax No.: 32131166898779X
SC’s registered capital: CNY 73,814,000
SC’s paid-in capital: CNY 73,814,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2012 |
Registered Capital |
CNY 65,864,200 |
CNY 73,814,000 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Chen Benshun |
1.57 |
|
Jiangsu Gaotou Innovation Value Venture Investment Partnership
(Limited Partnership) |
10.65 |
|
Li Wangxin |
1.93 |
|
Shi Zhenxiang |
75.17 |
|
Suzhou Jinmao New Industry Venture Investment Enterprises (Limited
Partnership) |
1.93 |
|
Wan Xinqiang |
0.65 |
|
Wuxi Jinmao 2# New Industry Venture Investment Enterprises (Limited
Partnership) |
6.92 |
|
Yin Xiaolong |
1.18 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Shi Zhenxiang |
|
General Manager |
Shi Liping |
|
Director |
Ling Mingsheng |
|
Yin Xiaolong |
|
|
Gu Zhenyu |
|
|
Supervisor |
Chen Benshun |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Chen Benshun 1.57
Jiangsu Gaotou Innovation Value Venture Investment Partnership (Limited
Partnership) 10.65
Li Wangxin 1.93
Shi Zhenxiang 75.17
Suzhou Jinmao New Industry Venture Investment Enterprises (Limited
Partnership) 1.93
Wan Xinqiang 0.65
Wuxi Jinmao 2# New Industry Venture Investment Enterprises (Limited
Partnership) 6.92
Yin Xiaolong 1.18
MANAGEMENT
Shi Zhenxiang, Legal Representative and Chairman
------------------------------------------------------------------------------
Gender: M
Age: 58
ID# 320521195503086413
Qualification: University
Working experience (s):
From 2007 to present, working in SC as legal representative and chairman
Also working in Suqian Alpha Investment & Management Enterprise as
legal representative
Shi Liping,
General Manager
--------------------------------------------------
Gender: M
Age: 28
ID# 320582198502286436
Qualification: University
Working experience (s):
From 2007 to present, working in SC as general manager
Director
-----------
Ling Mingshen ID#
320102196608220037
Yin Xiaolong ID#
320222196412300810
Gu Zhenyu ID#
320582198204142610
Supervisor
-------------
Chen Benshun ID#
510215197409017156
BUSINESS OPERATION
SC’s registered business scope includes pharmaceutical
and chemical technology research and development, consulting, transfer, manufacturing
and selling atorvastatin calcium and intermediates, clopidogrel and
intermediates.
SC is mainly engaged in manufacturing and selling pharmaceutical
intermediates.
Brand: ALPHA
SC’s products mainly include:
Intermediates of Clopidogrel
Atorvastatin Calcium and Intermediates
Rosuvastatin Calcium (Superstatin) and Intermediates
Pitavastatin Intermediates
Intermediates of Aprepitant
Vitamin B15 Intermediates
SC sources its materials 100% from domestic market, mainly Jiangsu. SC sells 75% of its products in domestic market, and 25% to overseas market, mainly U.S.A., Europe, Mid East, Southeast Asia, etc.
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.
Staff &
Office:
--------------------------
SC is known to have approx. 330
staff at present.
SC owns an area as its operating office & factory of approx. 70,000
sq. meters at the heading address.
RELATED COMPANY
SC is not known to have any subsidiary at present.
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
The bank information of SC is not filed in SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
14,649 |
27,191 |
|
|
Notes receivable |
2,200 |
0 |
|
Accounts receivable |
46,984 |
75,272 |
|
Advances to suppliers |
22,891 |
12,553 |
|
Other receivable |
14,558 |
18,865 |
|
Inventory |
44,180 |
100,248 |
|
Non-current assets within one year |
0 |
0 |
|
Other current assets |
0 |
4,570 |
|
|
------------------ |
------------------ |
|
Current assets |
145,462 |
238,699 |
|
Long-term investment |
200 |
200 |
|
Fixed assets |
80,938 |
97,727 |
|
Construction in progress |
3,725 |
3,838 |
|
Intangible assets |
7,414 |
8,898 |
|
Long-term prepaid expenses |
492 |
392 |
|
Deferred income tax assets |
1,238 |
1,207 |
|
Other non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
239,469 |
350,961 |
|
|
============= |
============= |
|
Short-term loans |
36,000 |
71,200 |
|
Notes payable |
10,000 |
5,000 |
|
Accounts payable |
36,436 |
54,435 |
|
Wages payable |
1,508 |
2,019 |
|
Taxes payable |
7,163 |
-76 |
|
Advances from clients |
15,610 |
8,707 |
|
Other payable |
5,880 |
546 |
|
Other current liabilities |
146 |
6,302 |
|
|
------------------ |
------------------ |
|
Current liabilities |
112,743 |
148,133 |
|
Non-current liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total liabilities |
112,743 |
148,133 |
|
Equities |
126,726 |
202,828 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
239,469 |
350,961 |
|
|
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
|
Revenue |
250,927 |
|
Cost of sales |
193,106 |
|
Taxes and surcharges |
138 |
|
Sales expense |
3,578 |
|
Management expense |
24,357 |
|
Finance expense |
4,157 |
|
Income from investments |
-3,092 |
|
Non-business income |
1,166 |
|
Non-business expenditure |
1,570 |
|
Profit before tax |
31,540 |
|
Less: profit tax |
5,359 |
|
26,181 |
Important Ratios
=============
|
|
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
*Current ratio |
1.29 |
1.61 |
|
*Quick ratio |
0.90 |
0.93 |
|
*Liabilities to assets |
0.47 |
0.42 |
|
*Net profit margin (%) |
-- |
10.43 |
|
*Return on total assets (%) |
-- |
7.46 |
|
*Inventory / Revenue ×365 |
-- |
146 days |
|
*Accounts receivable/ Revenue ×365 |
-- |
110 days |
|
* Revenue/Total assets |
-- |
0.71 |
|
* Cost of sales / Revenue |
-- |
0.77 |
FINANCIAL COMMENTS
PROFITABILITY: FAIRLY
GOOD
The revenue of SC appears fairly good in its line.
SC’s net profit margin is fairly good.
SC’s return on total assets is fairly good.
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level.
SC’s quick ratio is maintained in a normal level.
The inventory of SC appears large.
The accounts receivable of SC appears fairly large.
SC’s short-term loans are in an average level.
SC’s revenue is in a fair level, comparing with the size of its total
assets.
LEVERAGE: FAIRLY
GOOD
The debt ratio of SC is low.
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered medium-sized in its line with fairly good financial
conditions. The large amount of inventory may be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.14 |
|
|
1 |
Rs.99.02 |
|
Euro |
1 |
Rs.83.87 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.