%20-%20285288%2012-Sep-2014_files/image001.jpg){kind=small}
MIRA
INFORM REPORT
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Report Date : |
12.09.2014 |
IDENTIFICATION DETAILS
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Name : |
UNICHEM
COMPANY LTD. ( |
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Registered Office : |
Room 1302 The
Modern International Industrial Mansion, No. 801 Hongqiao Road, Liyuan
Development Zone, Wuxi, Jiangsu Province 214001 Pr |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
23.03.2001 |
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Com. Reg. No.: |
320211000047617 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Wholesaling dangerous chemicals; selling chemical materials &
products, textile materials & products, general machinery, leather products,
electrical equipment & apparatus, hardware, plastic & rubber
products, metal materials, and grocery; importing and exporting commodities
and technology. |
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No of Employees : |
24 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 01, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
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
UNICHEM COMPANY LTD. (CHINA)
ROOM 1302 THE MODERN
INTERNATIONAL INDUSTRIAL MANSION
NO. 801
HONGQIAO ROAD, LIYUAN DEVELOPMENT ZONE
WUXI, JIANGSU
PROVINCE 214001 PR CHINA
TEL: 86 (0)
510-82328710/82328705
FAX: 86 (0)
510-82328706
EXECUTIVE SUMMARY
Date of Registration : MARCH 23, 2001
REGISTRATION NO. : 320211000047617
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE :
PU WEIFENG (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : cny 1,000,000
staff :
24
BUSINESS CATEGORY : trading
Revenue :
CNY 81,120,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 1,100,000 (AS OF DEC. 31, 2013)
WEBSITE : www.unionchems.com
E-MAIL :
webmaster@unionchems.com
PAYMENT :
AVERAGE
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND :
ORDINARY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.15 = 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.:
320211000047617 on March 23, 2001.
SC’s Organization Code Certificate No.:
72723976-8
%20-%20285288%2012-Sep-2014_files/image003.jpg)
SC’s Tax No.: 320200727239768
SC’s registered capital: cny 1,000,000
SC’s paid-in capital: cny 1,000,000
Registration Change Record:-
No significant changes of SC have been noted
in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Pu Weifeng |
51 |
|
Ye Zhiqun |
39 |
|
Cai Ying |
10 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman and General Manager |
Pu Weifeng |
|
Supervisor |
Ye Zhiqun |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Pu Weifeng 51
Ye Zhiqun 39
Cai Ying 10
MANAGEMENT
Pu Weifeng, Legal Representative, Chairman and General
Manager
---------------------------------------------------------------------------------------------------
Gender: M
Working experience (s):
At present, working in SC as legal representative, chairman and general
manager
Ye Zhiqun, Supervisor
-----------------------------------------
Gender: M
BUSINESS OPERATION
SC’s registered business scope includes wholesaling
dangerous chemicals; selling chemical materials & products, textile
materials & products, general machinery, leather products, electrical
equipment & apparatus, hardware, plastic & rubber products, metal
materials, and grocery; importing and exporting commodities and technology.
SC is mainly engaged in selling chemical materials & products.
SC’s products mainly include:
4-Dimethylaminopyridine
4-tert-Butyl catechol
Dibromoneopentyl Glycol
Monomethyl Ether Hydroquinone
Toluhydroquinone
Tribromo Neopentyl Glycol
Triphenyl phosphine
Ultraviolet Absorber 41
SC sources its products 100% from domestic market. SC sells 40% of its products
in domestic market, and 60% to overseas 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.
Staff &
Office:
--------------------------
SC is known to have approx. 24
staff at present.
SC rents an area as its operating office, but the detailed information
is unknown.
RELATED COMPANY
Wuxi Pridechem Co., Ltd.
Registration No.: 320205000138614
Date of Registration: March 15, 2010
Legal Form: Limited Liabilities Company
Registered Capital: CNY 500,000
Legal Representative: Wang Weiqun
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,
2013 |
|
3,820 |
|
|
Notes receivable |
0 |
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Accounts receivable |
9,520 |
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Advances to suppliers |
0 |
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Other receivable |
5,720 |
|
Inventory |
9,730 |
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Non-current assets within one year |
0 |
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Other current assets |
-2,820 |
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------------------ |
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Current assets |
25,970 |
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Fixed assets |
40 |
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Construction in progress |
0 |
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Intangible assets |
0 |
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Long-term investment |
0 |
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Deferred income tax assets |
0 |
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Other non-current assets |
20 |
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|
------------------ |
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Total assets |
26,030 |
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|
============= |
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Short-term loans |
0 |
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Notes payable |
0 |
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Accounts payable |
5,620 |
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Welfares payable |
0 |
|
Taxes payable |
0 |
|
Advances from clients |
0 |
|
Other payable |
16,660 |
|
Other current liabilities |
2,640 |
|
|
------------------ |
|
Current liabilities |
24,920 |
|
Non-current liabilities |
0 |
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------------------ |
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Total liabilities |
24,920 |
|
Equities |
1,100 |
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|
------------------ |
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Total liabilities & equities |
26,030 |
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|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
|
Revenue |
81,120 |
|
Cost of sales |
75,770 |
|
Sales expense |
2,020 |
|
Management expense |
2,600 |
|
Finance expense |
460 |
|
Profit before tax |
90 |
|
Less: profit tax |
20 |
|
70 |
Important Ratios
=============
|
|
As of Dec. 31, 2013 |
|
*Current ratio |
1.04 |
|
*Quick ratio |
0.65 |
|
*Liabilities to assets |
0.96 |
|
*Net profit margin (%) |
0.09 |
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*Return on total assets (%) |
0.27 |
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*Inventory / Revenue ×365 |
44 days |
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*Accounts receivable / Revenue ×365 |
43 days |
|
*Revenue / Total assets |
3.12 |
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*Cost of sales / Revenue |
0.93 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears average in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of sales is fairly high, 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 fair level.
The inventory of SC appears average.
The accounts receivable of SC appears average.
SC has no short-term loans.
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: FAIR
The debt ratio of SC is high.
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.91 |
|
|
1 |
Rs.98.65 |
|
Euro |
1 |
Rs.78.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
TPT |
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.