MIRA INFORM REPORT

Report Date :

18.12.2014

IDENTIFICATION DETAILS

Name :	CAREGEN CO., LTD.

Registered Office :	46-38, LS-ro 91beon-gil, Dongan-gu, Anyang-si, Gyeonggi-do, , Zip Code 431-848

Country :	South Korea

Financials (as on) :	31.12.2013

Date of Incorporation :	17.08.2001

Com. Reg. No.:	214-86-88555

Legal Form :	Co., Ltd by Shares

Line of Business :	· Engaged in research and marketing of Biomimetic Peptides and Growth Factors such as CG-EG F, CG-IGF1, CG-aFGF, CG-VEG F, CG-TRX and CG-IL10 · Engaged in Manufacturing Perfumes, Cosmetics Functional Cosmetics, Human Papillomavirus DNA Typing Kit, Protein Chip, Natural Extract & Peptides

No of Employees :	85

RATING & COMMENTS

MIRA’s Rating :

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 :	Exists

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 – September 30, 2014

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

South Korea

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 is currently the world's 12th largest economy. 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. South 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. South Korea's export focused economy was hit hard by the 2008 global economic downturn, but quickly rebounded in subsequent years, reaching 6.3% growth in 2010. The US-Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Throughout 2012 and 2013 the economy experienced sluggish growth because of market slowdowns in the United States, China, and the Eurozone. The administration in 2014 is likely to face the challenge of balancing heavy reliance on exports with developing domestic-oriented sectors, such as services. The South Korean economy's long term challenges include a rapidly aging population, inflexible labor market, dominance of large conglomerates (chaebols), and heavy reliance on exports, which comprise about half of GDP.

Source : CIA

Basic

Company Name	CAREGEN CO., LTD. (Korean Company Name : “(주)케어젠”)
Registered Address	46-38, LS-ro 91beon-gil, Dongan-gu, Anyang-si, Gyeonggi-do, Korea
Zip Code	431-848
Tel	+82-31-420-9200
Fax	+82-31-452-3869
E-mail	sales@caregen.co.kr;9753yong@caregen.co.kr
Website	www.caregen.co.kr
Trading Address	46-38, LS-ro 91beon-gil, Dongan-gu, Anyang-si, Gyeonggi-do, Korea (Old Address System : 1027-22, Hogye 1-dong, Dongan-gu, Anyang-si, Gyeonggi-do, Korea)
Tel	+82-31-420-9200
Fax	+82-31-452-3869
Other Address	690-3, Geumjeong-dong, Gunpo-si, Gyeonggi-do, Korea
Tel	+82-31-420-9300
Type	Export/Import
Main Business	· Engaged in research and marketing of Biomimetic Peptides and Growth Factors such as CG-EG F, CG-IGF1, CG-aFGF, CG-VEG F, CG-TRX and CG-IL10 · Engaged in Manufacturing Perfumes, Cosmetics Functional Cosmetics, Human Papillomavirus DNA Typing Kit, Protein Chip, Natural Extract & Peptides
Established (mm/dd/yyyy)	08/17/2001

Detailed Products

Activity	Detailed Products (UNSPSC)
Sell	Cosmetics(53131619)

CEO’s

Name	Chung Yong-Ji
Address	Suite 101-1202, 86, Seongbok 2-ro, Suji-gu, Yongin-si, Gyeonggi-do, Korea
Date of Birth	02/25/1970
Title	President & CEO
Sex	Male
Nationality	Korean

Profiles

Capital (KRW)

1,515,000,000

Employees

Formation

Co., Ltd by Shares

Venture Business

Bank Details

Kookmin Bank

Shinhan Bank-Hogye Dong Branch

Corporate Registered No.

110111-2310946

Business Registered No.

214-86-88555

Permit & Licenses

10/2008 ISO 9001/14001

03/2009 KS Mark

Int’l Trade No.: 45198319

Shareholder Position

Name	Shares	%
CHUNG YONG-JI	1,342,520	44.75
CHUNG YONG-WOO	357,000	11.90
SIYANLI INDUSTRIAL COMPANY LTD.	300,000	10.00
CHUNG SOOK-HEE	200,000	6.67
KIM HONG-SUB	109,000	3.63
KDBC K2 BIOSTAR INVESTMENT ASSOCIATION	80,000	2.67
OTHERS	611,480	20.38
TOTAL	3,000,000	100.00

(*)The list is based as of 12/31/2013.

Company History

08/17/2001 Incorporated as the present name

07/18/2003 Designated as a Venture Business

01/20/2012 Moved to the present registered HQ address from 690-3, Geumjeong-dong, Gunpo-si, Gyeonggi-do, Korea

08/14/2013 Designated as a Venture Business again

06/13/2014 Increased the authorized shares to 40,000,000 shares from 4,000,000 shares

10/24/2014 Increased capital to 1,515,000,000 KRW from 1,500,000,000 KRW

Management

Job Description	Title	Name	Sex	Nationality	Inauguration Date
President & CEO	Mr.	Chung Yong-Ji	Male	Korean	03/28/2007
Director	Mr.	Chung Ann Gay	Male	Chinese	02/19/2013
Outside Director	Mr.	Kim Dae-Ok	Male	Korean	06/13/2014
Auditor	Mr.	Chung Hern-Joo	Male	Korean	06/13/2014

Financials

Year / Unit : KRW	Sales	Assets	Net Income
2013	21,223,998,529	45,033,994,572	8,333,755,057
2012	18,281,747,585	50,094,478,944	8,352,295,645
2011	14,598,023,093	25,694,518,032	5,800,664,796
2010	10,753,053,850	19,446,639,035	3,943,631,878
2009	8,008,595,364	14,338,149,188	3,765,128,333

Financial Description

Authorized Capital(KRW)	20,000,000,000
Paid-Up Capital(KRW)	1,515,000,000
Total Issued Shares	3,030,000

Balance Sheet
Unit : Korean Won	As of 12/31/2013	As of 12/31/2012
Total Assets	45,033,994,572	50,094,478,944
Current Assets	17,236,854,269	11,714,437,752
Cash & Cash Equivalents	6,153,118,167	2,591,629,937
Current Financial Instruments	3,250,000,000	3,973,826,000
Held-to-Maturity Financial Assets	700,000,000	-
Trade Receivables	5,018,380,333	2,002,294,204
Inventories	1,326,246,004	2,052,685,160
Other Receivables	316,343,216	273,921,378
Other Current Assets	472,766,549	820,081,073
Non-Current Assets	27,797,140,303	38,380,041,192
Marketable Financial Instruments	10,618,499,100	22,220,293,200
Tangibles	16,011,346,305	15,573,721,144
Intangibles	1,161,726,058	491,291,148
Other Non-Current Assets	5,568,840	94,735,700
Total Liabilities	6,214,938,793	8,880,978,480
Current Liabilities	3,953,514,061	3,651,604,680
Trade Payables	1,277,452,330	720,321,280
Short-Term Borrowings	38,826,598	-
Deferred Income Tax Credit	1,011,170,666	1,463,334,628
Other Payables	258,449,314	1,022,968,308
Other Current Liabilities	984,860,914	311,025,485
Provisions for Refund	382,754,239	133,954,979
Non-Current Liabilities	2,261,424,732	5,229,373,800
Other Payables	28,396,800	63,470,859
Provision for Severance & Retirement	2,115,534,061	1,828,217,394
Deferred Income Tax Credit	117,493,871	3,337,685,547
Capital Stock	1,500,000,000	1,500,000,000
Others	2,481,411,104	13,209,610,846
Profit Surplus	34,837,644,675	26,503,889,618
Total Equity	38,819,055,779	41,213,500,464
Liab. & Shareholder’s Equity	45,033,994,572	50,094,478,944

Income Statement
Unit : Korean Won	As of 12/31/2013	As of 12/31/2012
Sales	21,223,998,529	18,281,747,585
Cost of Sold Goods	6,099,858,278	3,724,960,225
Gross Profit	15,124,140,251	14,556,787,360
Selling & Admin. Expenses	6,389,864,187	6,655,138,428
Operating Income	8,734,276,064	7,901,648,932
Other Income	1,134,316,931	2,834,571,446
Other Expenses	500,781,937	700,849,370
Finance Income	304,194,057	163,269,834
Finance Expenses	32,714	35,420,188
Income Before Taxes	9,671,972,401	10,163,220,654
Income Taxes Expenses	1,338,217,344	1,810,925,009
Net Income	8,333,755,057	8,352,295,645

Cash Flows
Unit : Korean Won	As of 12/31/2013	As of 12/31/2012
Operating Activities Cash Flows	6,978,185,582	9,065,494,273
Cash Flows from Operating	8,686,852,209	10,475,011,625
Interests Received	135,173,137	82,908,029
Interests Paid	-32,714	-35,420,188
Dividends Received	140,863,440	114,512,795
Income Taxes	-1,984,670,490	-1,571,517,988
Cash Flows from Investing	-3,458,346,448	-7,838,374,414
Cash Flows from Financing	38,826,598	-
Increase/Decrease in Cash	3,561,488,230	1,200,530,764
Cash at the Beginning of Year	2,591,629,937	1,391,099,173
Cash at the End of Year	6,153,118,167	2,591,629,937

Products, Technologies, Services Description

Main Products & Services

Perfumes, Cosmetics Functional Cosmetics, Human Papillomavirus DNA Typing Kit, Protein Chip, Natural Extract & Peptides

Trade Partners & Competitors

Suppliers

BECTON DICKINSON KOREA LTD.(110111-0271322)

HEALTH SCIENCE GROUP( USA)

Customers

ATIT(PRIT: TAIWAN)

Competitors

YUNGJIN PHARM IND. CO., LTD.

451-20 CHEONHO 3-DONG KANGDONG-GU, SEOUL, 134-020 KOREA

TEL:+82-2-20418200 FAX:+82-2-4639544

HANALL PHARMACEUTICAL CO., LTD.

400-1 SANGSEO-DONG, DAEDEOK-GU, DAEJEON, 306-120 KOREA

TEL:+82-42-9325997 FAX:+82-42-9326427

CKD BIO CORPORATION

368, CHUNGJEONGRO 3-GA SEODAEMOON-GU, SEOUL, 120-756 KOREA

TEL:+82-2-21940555 FAX:+82-2-21940556

Sales by Region

(Activity & Markets)

The Subject exports to China, Russia, Japan, Hong Kong, Indonesia, UAE, USA and Canada.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.58
UK Pound	1	Rs.99.98
Euro	1	Rs.79.39

INFORMATION DETAILS

Analysis Done by :	DIV

Report Prepared by :	MNL

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.