MIRA
INFORM REPORT
|
Report Date : |
11.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
ningxia qiyuan
pharmaceutical co., ltd. |
|
|
|
|
Registered Office : |
No.1 |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
21.01.2001 |
|
|
|
|
Com. Reg. No.: |
640000000000414 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
Subject is engaged in manufacturing and selling chemical raw
materials, chemical raw materials intermediate (Erythromycin Thiocyanate), chemical
medicine preparation; Chinese medicine development, production, marketing,
the export business of technology; processing and selling medlar, Qizhenxibao
capsule, Qizhenshenbao capsule, Qiyuan Qisheng capsule, Fuyanning plug;
manufacturing and selling pesticides (Avermectin TC), feed, feed additives,
food additives, fertilizer; corn acquisition & processing and its
subsidiary product processing, marketing; engaging in import business of its
own products, the necessary raw and auxiliary materials, machinery and
equipment, instruments, spare parts and related technology; processing with
imported materials, processing with imported samples, assembling with
imported parts, and compensation trade in agreement; processing system box, barrel, gland;
packaging and decorating printed matters; heating. |
|
|
|
|
No of Employees : |
1700 |
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 – december 01, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
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 & ADDRESS
ningxia qiyuan pharmaceutical co., ltd.
no.1 qiyuan street, wangyuan industrial area,
yinchuan,
Ningxia Hui Autonomous Region, 750101 PR CHINa
TEL: 86 (0)
951-4066592/4066938/4066000-8030 FAX:
86 (0) 951-4066968/4066866
EXECUTIVE SUMMARY
INCORPORATION DATE : january 21, 2001
REGISTRATION NO. : 640000000000414
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
1,700
REGISTERED CAPITAL : CNY 292,910,000
BUSINESS LINE :
manufacturing
TURNOVER :
CNY 795,350,000 (unaudited, AS OF DEC. 31, 2013)
EQUITIES :
CNY 989,220,000 (unaudited, AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : Fairly Stable
OPERATIONAL TREND : steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.0606 = 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
HISTORY
SC was registered as a limited liabilities company at
Ningxia Hui Autonomous Region Administration for Industry & Commerce (AIC -
The official body of issuing and renewing business license) on January 21,
2001.
|
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 and selling chemical raw materials, chemical raw materials
intermediate (Erythromycin Thiocyanate), chemical medicine preparation; Chinese
medicine development, production, marketing, the export business of technology;
processing and selling medlar, Qizhenxibao capsule, Qizhenshenbao capsule,
Qiyuan Qisheng capsule, Fuyanning plug; manufacturing and selling pesticides
(Avermectin TC), feed, feed additives, food additives, fertilizer; corn
acquisition & processing and its subsidiary product processing, marketing;
engaging in import business of its own products, the necessary raw and
auxiliary materials, machinery and equipment, instruments, spare parts and
related technology; processing with imported materials,
processing with imported samples, assembling with imported parts, and
compensation trade in agreement; processing system box, barrel, gland;
packaging and decorating printed matters; heating.
SC is mainly engaged in manufacturing and
selling troche, capsule, granule, and bulk drug.
Mr. Hu Jidong has
been the legal representative, chairman and general manager of SC since 2001.
SC is known to
have approx. 1,700 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Yinchuan. Our checks
reveal that SC owns the total premise about 170,000 square meters.
WEB
SITE
http://www.china-qiyuan.com
The design is professional and the content is well organized. At present the
web site is in both Chinese and English versions.
E-mail: ie@china-qiyuan.com
KEY
EVENTS/RECENT DEVELOPMENT
SC has got the United States FDA certification and Europe COS
certification.
Honor:
National Enterprise Technology Center
National key high-tech enterprises
Total View of the 100 key export enterprises
Subject passed the annual inspection of 2012 with
Administration for Industry & Commerce.
Organization Code: 715070619
Changes
of its registered information:
|
Date of change |
Item |
Before the
change |
After the change |
|
2008-8 |
Registration No. |
6400001200229 |
Present one |
|
Registered capital |
CNY 129,700,000 |
Present amount |
|
|
Shareholders |
State-owned Assets Supervision and Administration Commission of
Ningxia Hui Autonomous Region
Government 3.14%; Employee Shareholders Association
96.86% |
Present ones |
LITIGATION
See below for SC as executive party (defendant).
|
Executed Party |
Ningxia Qiyuan Pharmaceutical Co., Ltd. |
|
Court |
Yinchuan Jinfeng District People's Court |
|
Date
of Case |
Jan. 11, 2011 |
|
Case Number |
(2011) 00173 |
|
Claim
Amount |
RMB 20,000 |
|
Case
Status |
Completed |
|
Executed Party |
Ningxia Qiyuan Pharmaceutical Co., Ltd. |
|
Court |
Yinchuan Yongning County People's Court |
|
Date
of Case |
Aug. 16, 2010 |
|
Case Number |
(2010) 01028 |
|
Claim
Amount |
RMB 100 |
|
Case
Status |
Completed |
|
Executed Party |
Ningxia Qiyuan Pharmaceutical Co., Ltd. |
|
Court |
Yinchuan Jinfeng District People's Court |
|
Date
of Case |
Aug. 13, 2010 |
|
Case Number |
(2010) 01295 |
|
Claim
Amount |
RMB 30,000 |
|
Case
Status |
Completed |
Etc.
Remark: Due to the lack of information, we are unable to provide the cause of
action, judgment or other information.
OWNERSHIP/MANAGEMENT
MAIN SHAREHOLDERS:
Name %
of Shareholding
Ningxia Funing Investment Group Co., Ltd.
(In Chinese Pinyin) 1.39
Employee Shareholders Association (including 47 individuals) 98.61
Ningxia Funing Investment Group Co., Ltd.
================================
Tel: 0951-7888870
Fax: 0951-6719806
Address: 14F Touzi Mansion, Hubin West Street, Yinchuan City, Ningxia
MANAGEMENT
l
Legal representative, Chairman and General Manager:
Mr. Hu Jidong, about 62 years old with
university education, he is currently responsible for the overall management of
SC.
Working Experience(s):
Before 2001 Worked in Ningxia Pharmaceutical Factory
as factory director;
From 2001 to present Working
in SC as legal representative, chairman and general manager
l
Vice General Manager:
Ms. Ju Lihong, about 47 years old with university education, she is
currently responsible for the daily management of SC.
Working Experience(s):
From 2001 to present
Working in SC as vice general
manager.
Also working in Ningxia Qiyuan Chinese Medicine Co., Ltd. as
general manager.
BUSINESS OPERATIONS
SC is mainly
engaged in manufacturing and selling troche, capsule, granule, and bulk drug.
SC’s products mainly include: tetracycline
hydrochloride, tetracycline, carbenoxolone sodium, 18-β-glycyrrhetinic
acid, erythromycin thiocyanate, tetracycline hydrochloride capsules, marine,
etc.
SC sources its materials 100% from domestic
market, mainly Ningxia. SC sells 70% of its products in domestic market, and
30% to overseas market, mainly Southeast Asian market.
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.
*Major Customer:
==============
Ningxia Qiyuan Chinese Medicine Co., Ltd.
Note: SC’s management declined to release its main suppliers.
RELATED COMPANIES
SC
is known to have 2 subsidiaries at present:
Ningxia Qiyuan Chinese Medicine Co., Ltd.
Registration no.: 640000000002657
Ningxia
Qiyuan Dayaofang Pharmaceutical Co., Ltd. (In translation)
Trading
Department: (according to SC’s website)
====================
Tel:
0086-951-5070288 ext 8418
Fax:
0086-951-5070185
E-mail:
fmpharm@china-qiyuan.com
Address:
No. 85 Ningan Street, Jinfeng District, Yinchuan, Ningxia
PAYMENT
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.
BANKING
Industrial
and Commercial Bank of China Yinchuan Branch
AC#：2902009209021003861
Relationship:
Normal.
FINANCIAL HIGHLIGHTS
Financial Summary
===============
Unit: CNY’000
|
|
As of Dec. 31, 2013 |
|
Total assets |
2,014,860 |
|
|
========= |
|
Total liabilities |
1,025,640 |
|
Equities |
989,220 |
|
|
-------------- |
|
Total liabilities & equities |
2,014,860 |
|
|
========= |
|
Turnover |
795,350 |
|
Profits |
450 |
Note:
SC’s management refused to release its detailed financial reports, and the above Financial Report hasn’t been audited.
Important Ratios
=============
|
|
as
of Dec. 31, 2013 |
|
*Liabilities
to assets |
0.51 |
|
*Net profit
margin (%) |
0.06 |
|
*Return on
total assets (%) |
0.02 |
|
*Turnover/Total
assets |
0.39 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
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 turnover is in a fair 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 low.
Overall financial condition
of the SC: Fairly Stable.
REMARKS
SC is considered large-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 62.19 |
|
|
1 |
Rs. 102.13 |
|
Euro |
1 |
Rs. 84.74 |
INFORMATION DETAILS
|
Report Prepared
by : |
DPT |
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.