MIRA INFORM REPORT
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Report Date : |
22.10.2013 |
IDENTIFICATION DETAILS
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Name : |
ANQIU LU'AN PHARMACEUTICAL CO., LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
07.12.1998 |
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Com. Reg. No.: |
370784228000989 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
manufacturing and selling of Poly (vinyl acetate) and natrium aceticum;
selling paper; importing and exporting commodities and technology. |
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No. of Employees : |
1,051 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
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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 |
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 & address
ANQIU LU'AN
PHARMACEUTICAL CO., LTD.
NO. 35 WEIXU NORTH ROAD, ANQIU
SHANDONG PROVINCE 262100 PR CHINA
TEL: 86 (0) 536-4386559/4390070/4382798
FAX: 86 (0) 536-4390696
EXECUTIVE SUMMARY
Date of Registration : december 7, 1998
REGISTRATION NO. : 370784228000989
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE : wang jun (LEGAL
REPRESENTATIVE)
REGISTERED CAPITAL :
CNY 50,000,109.5
staff : 1,051
BUSINESS CATEGORY :
manufacturing & trading
Revenue : CNY 1,114,780,000 (AS OF DEC. 31, 2012)
EQUITIES : CNY 466,010,000 (AS OF DEC. 31, 2012)
WEBSITE : www.luanpharm.com
E-MAIL :
luan@luanpharm.com
PAYMENT : AVERAGE
MARKET CONDITION : competitive
FINANCIAL CONDITION : FAIRly good
OPERATIONAL TREND :
FAIRLY 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
LEGAL
STATUS & HISTORY
SC was
established as a limited liabilities company of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 370784228000989 on December 7,
1998.
SC’s Organization Code Certificate
No.: 16564730-4
SC’s Tax No.: 370784165647304
SC’s registered capital: CNY 50,000,109.5
SC’s paid-in capital: CNY 50,000,109.5
Registration Change Record:-
|
Date |
Change
of Contents |
Before
the change |
After
the change |
|
-- |
Registration
No. |
3707842800098 |
370784228000989 |
|
Registered
Capital |
CNY 30,000,109 |
CNY 50,000,109.5 |
Current
Co search indicates SC’s shareholders & chief executives are as follows:-
|
Name
of Shareholder (s) |
% of
Shareholding |
|
Zhao
Fenggang |
1.37 |
|
Yue
Junjian |
0.28 |
|
Chen
Jianqiang |
0.13 |
|
Liang
Ping |
0.16 |
|
Li
Rixin |
0.17 |
|
Xing Zhixin |
0.45 |
|
Zhao Shutao |
2.61 |
|
Labor Union of Anqiu Lu'an
Pharmaceutical Co., Ltd. |
64.5 |
|
Wang Jun |
20.88 |
|
Yu Jingqing |
1.82 |
|
Zhou Shangxin |
0.14 |
|
Wang Bocheng |
0.11 |
|
Liu Xiyao |
0.21 |
|
Li Fukui |
0.32 |
|
Liu Xishan |
0.49 |
|
Zhao Yong |
0.44 |
|
Liu Yongdong |
0.11 |
|
Zhang Jianbo |
0.36 |
|
Niu Huimin |
0.28 |
|
Wang Huaiwen |
0.26 |
|
Li Yujun |
0.18 |
|
Du Jun |
0.18 |
|
Zheng Qunbao |
0.18 |
|
Sun Xijun |
0.28 |
|
Li Qingwen |
0.44 |
|
Gao Wencong |
0.16 |
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Bai Xicai |
0.49 |
|
Ma Bingxue |
0.15 |
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Zhang Qizong |
0.36 |
|
Wang Binggong |
0.13 |
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Zang Baolian |
1.82 |
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Liu Guoqiang |
0.13 |
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Wang Xueshun |
0.17 |
|
Zhai Jie |
0.14 |
|
Tian Deli |
0.10 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman
and General Manager |
Wang Jun |
|
Deputy General Manager |
Zheng Qunbao |
RECENT DEVELOPMENT
SC (Former: Weifang No.4 Pharmaceutical Factory) is one of
the leading bulk pharmaceutical enterprises specializing in manufacturing and
exporting Paracetamol (Acetaminophen).
SHAREHOLDER
CHART & BACKGROUND
Name
%
of Shareholding
Zhao Fenggang 1.37
Yue Junjian 0.28
Chen Jianqiang 0.13
Liang Ping 0.16
Li Rixin 0.17
Xing Zhixin 0.45
Zhao Shutao 2.61
Labor Union of Anqiu Lu'an Pharmaceutical
Co., Ltd. 64.5
Wang Jun 20.88
Yu Jingqing 1.82
Zhou Shangxin 0.14
Wang Bocheng 0.11
Liu Xiyao 0.21
Li Fukui 0.32
Liu Xishan 0.49
Zhao Yong 0.44
Liu Yongdong 0.11
Zhang Jianbo 0.36
Niu Huimin 0.28
Wang Huaiwen 0.26
Li Yujun 0.18
Du Jun 0.18
Zheng Qunbao 0.18
Sun Xijun 0.28
Li Qingwen 0.44
Gao Wencong 0.16
Bai Xicai 0.49
Ma Bingxue 0.15
Zhang Qizong 0.36
Wang Binggong 0.13
Zang Baolian 1.82
Liu Guoqiang 0.13
Wang Xueshun 0.17
Zhai Jie 0.14
Tian Deli 0.10
MANAGEMENT
Wang Jun, Legal
Representative, Chairman and General Manager
----------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
ID# 370722600614001
Ø
Age: 53
Ø Working experience
(s):
At present, working in SC as legal
representative, chairman and general manager
Zheng Qunbao, Deputy
General Manager
-----------------------------------------------------------------
Ø
Gender: M
Ø
ID# 370303650114177
Ø
Age: 48
Ø Working experience
(s):
At present, working
in SC as deputy general manager
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and
selling Poly (vinyl acetate) and natrium aceticum; selling paper; importing and
exporting commodities and technology.
SC is mainly
engaged in manufacturing and selling pharmaceutical raw material.
SC’s
products mainly include:
|
Product & Output |
Package |
Specification |
|
Paracetamol (Acetaminophen) 40,000mt/year |
|
EP BP USP CP |
|
Paracetamol DC |
25kg/fibre drum |
DC90, DC96, DC88 DC85, DC83, DC77 |
|
Paracetamol Tablet/Caplet |
30 kg/fiber drum |
BP |
|
Capsule |
As per customer’s request |
Hard Capsule Soft Capsule |
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IV Solution 400 million bottles or bags/year |
500 ml, 250 ml, 150ml, 100ml, 50ml / glass bottle, plastic bottle,
soft bag |
CP |
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P-Aminophenol 10000 mt/year |
|
In-House Standard |
|
Sodium Acetate |
25 kg/woven bag |
In-House Standard |
|
White Emulsion 360 mt/year |
1 kg/plastic bottle |
In-House Standard |
SC’s
brand: “Luan”.
SC sources its materials 100% from domestic
market. SC sells 70% of its products in domestic market, and 30% to overseas
market, mainly Southeast Asia, etc.
The
buying terms of SC include Check, T/T and Credit of 30-60 days. The payment
terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is
known to have approx. 1,051 staff
at present.
SC owns an area as
its operating office and factory, but the detailed information is unknown.
RELATED
COMPANY
SC is known to have a
subsidiary at present,
Weifang
Luan Import And Export Co., Ltd.
Address:
No. 35, Weixu North Road, Anqiu, Shandong Province
Tel:
86 (0) 536-4390070/4386559
Fax:
86 (0) 536-4390696
Date of Registration: March 19, 2008
Registration No.: 370784200000830
Legal Form: One-Person Limited
Liabilities Company
Registered Capital: CNY 1,000,000
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 local SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2012 |
|
278,860 |
|
|
Notes receivable |
0 |
|
Accounts
receivable |
79,860 |
|
Advances to
suppliers |
32,800 |
|
Other receivable |
1,000 |
|
Inventory |
146,080 |
|
Non-current
assets within one year |
0 |
|
Other current
assets |
18,950 |
|
|
------------------ |
|
Current assets |
557,550 |
|
Fixed assets |
601,810 |
|
Construction in
progress |
153,790 |
|
Intangible
assets |
0 |
|
Long-term
investment |
22,240 |
|
Deferred income tax
assets |
0 |
|
Other
non-current assets |
67,700 |
|
|
------------------ |
|
Total assets |
1,403,090 |
|
|
============= |
|
Short-term loans |
188,000 |
|
Notes payable |
230,000 |
|
Accounts payable |
22,470 |
|
Welfares payable |
0 |
|
Taxes payable |
-43,400 |
|
Advances from
clients |
0 |
|
Other payable |
20 |
|
Other current
liabilities |
0 |
|
|
------------------ |
|
Current
liabilities |
397,090 |
|
Non-current
liabilities |
539,990 |
|
|
------------------ |
|
Total
liabilities |
937,080 |
|
Equities |
466,010 |
|
|
------------------ |
|
Total
liabilities & equities |
1,403,090 |
|
|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
|
Revenue |
1,114,780 |
|
Cost of sales |
970,130 |
|
Sales expense |
5,450 |
|
Management expense |
31,240 |
|
Finance expense |
46,620 |
|
Profit before
tax |
68,110 |
|
Less: profit tax |
10,220 |
|
57,890 |
Important Ratios
=============
|
|
As of Dec. 31, 2012 |
|
*Current ratio |
1.40 |
|
*Quick ratio |
1.04 |
|
*Liabilities
to assets |
0.67 |
|
*Net profit
margin (%) |
5.19 |
|
*Return on
total assets (%) |
4.13 |
|
*Inventory /
Revenue ×365 |
48 days |
|
*Accounts
receivable / Revenue ×365 |
27 days |
|
*Revenue /
Total assets |
0.79 |
|
*Cost of sales
/ Revenue |
0.87 |
FINANCIAL
COMMENTS
PROFITABILITY:
FAIRLY GOOD
l The revenue of SC appears fairly good in its line.
l SC’s net profit
margin is fairly good.
l SC’s return on
total assets is fairly good.
l
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears average.
l
The short-term loans of SC appear average.
l
SC’s revenue is in an
average level, comparing with the size of its total assets.
LEVERAGE:
AVERAGE
l
The debt ratio of SC is average.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered large-sized in its line with fairly good
financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.49 |
|
UK Pound |
1 |
Rs.99.41 |
|
Euro |
1 |
Rs.84.12 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIS |
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.