MIRA INFORM REPORT
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Report Date : |
03.12.2014 |
IDENTIFICATION DETAILS
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Name : |
JIANGSU YUXIANG CHEMICAL CO., LTD. |
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Registered Office : |
Ninghai Road, Chemical Industrial Zone, Economic Development District
Of Binhai, Yancheng City, Jiangsu Province, 224500 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
13.09.2005 |
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Com. Reg. No.: |
320922000003807 |
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Legal Form : |
Limited Liabilities Co. |
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Line of Business : |
Subject is
mainly engaged in manufacturing and selling chemical products. |
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No of Employees : |
350 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 : |
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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
China |
A2 |
A2 |
|
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, growth of the private sector,
development of stock markets and a modern banking system, 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 considered important to "economic security,"
explicitly looking to foster globally competitive industries. After keeping its
currency tightly linked to the US dollar for years, in July 2005 China 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 and expanded the daily trading
band within which the RMB is permitted to fluctuate. 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 2013 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 consumption; (b) facilitating higher-wage job
opportunities for the aspiring middle class, including rural migrants and
increasing numbers of college graduates; (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. Several factors are converging to slow China's growth, including
debt overhang from its credit-fueled stimulus program, industrial overcapacity,
inefficient allocation of capital by state-owned banks, and the slow recovery
of China's trading partners. The government's 12th Five-Year Plan, adopted in
March 2011 and reiterated at the Communist Party's "Third Plenum"
meeting in November 2013, emphasizes continued economic reforms and the need to
increase domestic consumption in order to make the economy less dependent in
the future on fixed investments, exports, and heavy industry. However, China
has made only marginal progress toward these rebalancing goals. The new
government of President XI Jinping has signaled a greater willingness to
undertake reforms that focus on China's long-term economic health, including
giving the market a more decisive role in allocating resources.
|
Source
: CIA |
COMPANY
NAME & ADDRESS
JIANGSU YUXIANG CHEMICAL CO., LTD.
NINGHAI ROAD, CHEMICAL INDUSTRIAL ZONE, ECONOMIC DEVELOPMENT
DISTRICT OF BINHAI, YANCHENG CITY, JIANGSU PROVINCE, 224500 PR CHINA
TEL: 86 (0) 515-84383803
FAX: 86 (0) 515-84382596
EXECUTIVE
SUMMARY
INCORPORATION DATE :
SEP. 13, 2005
REGISTRATION NO. :
320922000003807
REGISTERED LEGAL FORM : LIMITED LIABILITIES CO.
CHIEF EXECUTIVE :
MR. LI QINGLONG (CHAIRMAN)
STAFF STRENGTH :
350
REGISTERED CAPITAL : CNY 70,000,000
BUSINESS LINE :
MANUFACTURING AND TRADING
TURNOVER :
CNY 298,180,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 85,430,000 (AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.1419 = 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
Note: the given tel. no. and fax no. (86 576 89089055/
86 576 81818901) belong to SC’s parent company Rivocean Group Co., Ltd.
SC was registered as a One-person
Limited Liability Company at local Administration for Industry &
Commerce (AIC - The official body of issuing and renewing business license) on
Sep. 13, 2005 and has been under present ownership since 2009.
Company Status:
Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders
contribute its registered capital jointly. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to extent of its total assets. The characteristics of this form
of co. are as follows: Upon
the establishment of the co., an investment certificate is issued to the
each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is CNY 30,000. Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 30% of the registered capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co.
SC’s registered business scope includes manufacturing chemical products (thiampheniclo, bupafakun, BAH, 2-hydroxy-5- fluorobenzene butanone, DFDK, CHB, 3- p-Hydroxyacetophenone and hydrobromic acid), importing and exporting commodities and technologies. (with permit if needed)
SC is mainly engaged in manufacturing and selling chemical products.
Mr. Li Qinglong is legal representative and chairman of SC at present.
SC is known to have approx. 350 employees at
present.
SC is currently operating at the above stated address, and this address houses its operating office and factory in the economic development zone of Yancheng. Our checks reveal that SC owns the total premise about 22,000 square meters.
SC is not known to host website of its own at present.
Changes of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2009 |
Registered capital |
CNY 15,800,000 |
CNY 32,980,000 |
|
Registered legal form |
One-person Limited Liability Company |
Present one |
|
|
Shareholders (Shareholding) |
Taizhou Mingxiang Chemical Co., Ltd. 100% |
Rivocean Group Co., Ltd. 52.09% Taizhou Mingxiang Chemical Co., Ltd. 47.91% |
|
|
Unknown |
Legal rep. |
Xu Guan’gen |
Present one |
|
Registered capital |
CNY 32,980,000 |
Present amount |
|
|
Shareholders (Shareholding) |
Rivocean Group Co., Ltd. 52.09% Taizhou Mingxiang Chemical Co., Ltd. 47.91% |
Present ones |
Organization code:
779677903
See below for SC as executive party (defendant).
|
Executed Party |
SC |
|
Court |
Binhai County People's Court |
|
Date of Case |
|
|
Case Number |
(2014) 00624 |
|
Claim Amount |
RMB 229,631 |
|
Case Status |
Completed |
Remark: Due to the lack of information, we are unable to provide the cause of action,
judgment or other information.
MAIN SHAREHOLDERS:
Name Amount
(CNY) % of Shareholding
Rivocean Group Co., Ltd. 36,230,000 51.76
Taizhou Mingxiang Chemical Co., Ltd. 15,800,000 22.57
Xu Guan’gen 17,970,000 25.67
Rivocean Group Co., Ltd.
===================
Rivocean Group Co., Ltd. is a leading
hi-tech company in pharmaceutical and chemical field. Rivocean provides a broad
and integrated portfolio of R&D and manufacturing services, focusing on
advanced intermediates, active pharmaceutical ingredients (APIs), and can
provide R&D for innovative pharmaceutical products according to customers’
requirements. The predecessor of Rivocean was Taizhou No. 6 Chemical Company.
Since its foundation, the company has achieved rapid development. Rivocean
attaches great importance to independent research and development, and own
provincial-level high technology R&D center. The company is the
professional manufacturer of pharmaceutical intermediates and APIs for the
anti-infective drugs, anti-AIDS drugs, cardiovascular drugs and
gastrointestinal agents. Rivocean has been awarded as the "Science &
Technology Enterprise of Zhejiang Province" and the "High-Tech
Enterprise of Zhejiang Province" and listed into "National-Level
Torch Plan Industrialization Program".
Registration no.: 331002000025466
Legal rep.: Xu Guan’gen
Tel: +86-576-81818909/89089055
Fax: +86-576-81818901
E-mail: billior@rivocean.com
Taizhou Mingxiang Chemical Co., Ltd.
==========================
Incorporation date: Sep. 2, 1992
Registration no.: 331002000026434
Legal rep.: Xu Guan’gen
l
Legal representative and chairman:
Mr. Li Qinglong is currently responsible for the overall management of
SC.
Working Experience(s):
At present Working
in SC as chairman and legal representative.
l
General Manager:
Wang Jiaqing is currently responsible for the daily management of SC.
Working Experience(s):
At present Working
in SC as general manager.
l
Directors:
Xu Guan’gen
Xu Linbin
l
Supervisors:
Xiong Cailin
Ding Yangming
SC is mainly engaged
in manufacturing and selling chemical products.
SC’s products mainly include: thiampheniclo, BAH, 2-hydroxy-5-
fluorobenzene butanone, DFDK, CHB, 3- p-Hydroxyacetophenone and hydrobromic
acid.
SC sources its materials 95% from domestic market and 5% from the
overseas market. SC sells 50% of its products to overseas market and 50% in domestic market.
The buying terms of SC include Check, L/C, 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.
Trademark & Patents
No record
Note:
SC’s management refused to release its main clients and suppliers.
According
to the website: http://www.rivocean.com
Zhejiang Ruiqing Pharm. Co., Ltd.
========================
Incorporation date:
Registration no.: 331082000027826
Registered capital: CNY 40,983,700
Legal rep.: Chen Zhongbing
Legal form: Limited liabilities co.
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.
China
Construction Bank
AC#：32001737236059950272
Jiangsu Binhai
Rural Commercial Bank
AC#：N/A
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
|
|
as of Dec. 31, 2013 |
|
Cash & bank |
51,520 |
|
Notes receivable |
13,070 |
|
Inventory |
30,350 |
|
Accounts
receivable |
108,910 |
|
Advances to
suppliers |
0 |
|
Short-term
investments |
180 |
|
Other
receivables |
2,320 |
|
Other current
assets |
0 |
|
|
------------------ |
|
Current assets |
206,350 |
|
Long-term investments |
1,500 |
|
Fixed assets net
value |
65,400 |
|
Disposal of
fixed assets |
100 |
|
Projects under
construction |
13,740 |
|
Long-term
deferred expense |
1,540 |
|
Intangible
assets |
1,580 |
|
Other assets |
0 |
|
|
------------------ |
|
Total assets |
290,210 |
|
|
============= |
|
Short loans |
83,730 |
|
Notes payable |
82,200 |
|
Accounts payable |
41,650 |
|
Advances from
customers |
0 |
|
Employee pay
payable |
2,410 |
|
Taxes payable |
-6,020 |
|
Accrued expense |
110 |
|
Other accounts
payable |
700 |
|
Other current
liabilities |
0 |
|
|
----------------- |
|
Current
liabilities |
204,780 |
|
Long term
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
204,780 |
|
Shareholders equities |
85,430 |
|
|
------------------ |
|
Total
liabilities & equities |
290,210 |
|
|
============= |
Income Statement
Unit: CNY’000
|
|
as of Dec. 31, 2013 |
|
Turnover |
298,180 |
|
Cost of goods
sold |
249,880 |
|
Taxes and additional
of main operation |
840 |
|
Sales expense |
4,060 |
|
Management expense |
23,310 |
|
Finance expense |
9,750 |
|
Investment
income |
20 |
|
Non-operating
income |
780 |
|
Non-operating expense |
4,010 |
|
Profit before
tax |
7,130 |
|
Less: profit tax |
1,780 |
|
Net profit |
5,350 |
Important Ratios
=============
|
|
as
of Dec. 31, 2013 |
|
*Current ratio |
1.01 |
|
*Quick ratio |
0.86 |
|
*Liabilities
to assets |
0.71 |
|
*Net profit
margin (%) |
1.79 |
|
*Return on
total assets (%) |
1.84 |
|
*Inventory
/Turnover ×365 |
38 days |
|
*Accounts
receivable/Turnover ×365 |
134 days |
|
*Turnover/Total
assets |
1.03 |
|
* Cost of goods
sold/Turnover |
0.84 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of goods sold is average, 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
The inventory of SC appears average.
l
The accounts receivable of SC appears large.
l SC’s short-term
loan is large in 2013.
l
SC’s turnover 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 Stable.
SC is considered medium-sized in its line with fairly stable financial
conditions. The large amount of accounts receivable and short loans could be a
threat to SC’s financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.93 |
|
|
1 |
Rs.97.39 |
|
Euro |
1 |
Rs.77.21 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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|
Report Prepared
by : |
SMN |
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.