MIRA
INFORM REPORT
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Report Date : |
17.09.2014 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.07.2014 |
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Date of Incorporation : |
20.10.2004 |
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Com. Reg. No.: |
411700000017692 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Manufacturing and selling of pharmaceutical intermediates and
pharmaceutical chemical products; related technology development and
consultation; international trade. |
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No of Employees : |
90 |
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 : |
Slow but correct |
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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
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Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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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.
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Source
: CIA |
Company Name and Address
HENAN TOPFOND SCIENCE AND TECHNOLOGY CO., LTD.
NO. 2 GUANGMING ROAD,
ZHUMADIAN CITY
HENAN PROVINCE 463000
PR CHINA
TEL: 86 (0)
396-2823888/3823605
FAX: 86 (0)
396-3823609
EXECUTIVE SUMMARY
Date of Registration : OCTOBER 20, 2004
REGISTRATION NO. : 411700000017692
LEGAL FORM : Limited Liability Company
REGISTERED CAPITAL : CNY 20,000,000
staff :
90
BUSINESS CATEGORY : MANUFACTURING
& TRADING
REVENUE :
CNY 16,478,000 (JAN. 1, 2014 TO JUL. 31, 2014)
EQUITIES :
CNY 16,803,000 (AS OF JUL. 31, 2014)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : Ordinary
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.14 = 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.: 411700000017692 on October 20,
2004.
SC’s Organization Code Certificate No.:
76781855-3
SC’s registered capital: CNY 20,000,000
SC’s paid-in capital: CNY 20,000,000
Registration Change Record:-
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Date |
Change of Contents |
Before the change |
After the change |
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-- |
Registered No. |
4128001002424 |
411700000017692 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
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Name of Shareholder (s) |
% of Shareholding |
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Henan
Topfond Pharmaceutical Co., Ltd. |
80 |
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Hangzhou
Aumay Biopharmaceutical Co., Ltd. |
20 |
SC’s Chief Executives:-
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Position |
Name |
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Legal
Representative and Chairman |
Li Fuzhi |
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General Manager |
Han Yijun |
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Director |
Wu Jianwei |
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Lv Heping |
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Supervisor |
Zhang Cheng |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Henan Topfond Pharmaceutical Co., Ltd. 80
Hangzhou Aumay Biopharmaceutical Co., Ltd 20
Henan Topfond Pharmaceutical Co., Ltd.
=================================
Date of Registration: May 4, 1999
Registration No.: 410000400013475
Registered Capital: CNY 420,000,000
Hangzhou Aumay Biopharmaceutical Co., Ltd.
=====================================
Date of Registration: February 9, 2004
Registration No.: 330108000021821
Registered Capital: CNY 500,000
MANAGEMENT
Li Fuzh, Legal Representative and Chairman
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Ø
Gender: M
Ø
Age: 51
Ø
Qualification:
University
Ø
Working
experience (s):
From 2004 to present, working in SC as legal representative
and chairman
Also working in Henan Topfond Pharmaceutical Co., Ltd. as
general manager and director
Han Yijun, General
Manager
-------------------------------------------------
Ø
Gender: M
Ø
Age: 48
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as general manager
Also working in Hangzhou Aumay Biopharmaceutical Co., Ltd.
as legal representative
Director
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Wu Jianwei
Lv Heping
Supervisor
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Zhang Cheng
BUSINESS OPERATION
SC’s registered business scope includes manufacturing
and selling pharmaceutical intermediates and pharmaceutical chemical products;
related technology development & consultation; international trade.
SC
is mainly engaged in manufacturing and selling pharmaceutical raw material.
SC’s products
mainly include: pharmaceutical intermediates, pharmaceutical raw material, and
etc.
SC sources its
materials 100% from domestic market. SC sells 50% of its products in domestic
market, and 50% to overseas market, mainly
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, L/C, T/T, and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is known
to have approx. 90 staff at
present.
SC owns an area as
its operating office & factory of approx. 20,000 sq. meters at the heading
address.
RELATED COMPANY
Henan Pharmacy Co., Ltd.
Shanghai Pukang Pharmaceutical Co., Ltd.
Henan Topfond Pharmaceutical Traditional Chinese Medicine Co., Ltd.
Henan Topfond Pharmchem Co., Ltd.
Etc.
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
Basic Bank:
Bank
of China
AC#: N/A
FINANCIALS
Financial Summary
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Unit: CNY’000 |
As
of Jul. 31, 2014 |
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Total assets |
62,749 |
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Total
liabilities |
45,946 |
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Equities |
16,803 |
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Unit: CNY’000 |
Jan. 1, 2014 to Jul. 31, 2014 |
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Revenue |
16,478 |
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Profits |
-714 |
Important Ratios
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As of Jul. 31, 2014 |
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*Liabilities to assets |
0.73 |
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*Net profit margin (%) |
-4.33 |
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*Return on total assets (%) |
-1.14 |
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* Revenue/Total assets |
0.26 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIR
l
The revenue of SC appears average in its line.
l
SC’s net profit margin is fair.
l
SC’s return on total assets is fair.
LIQUIDITY: FAIR
l
SC’s revenue 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 above average.
Overall financial
condition of the SC: Fair.
CONCLUSIONS
SC is considered small-sized in its line with fair financial conditions.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.60.99 |
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UK Pound |
1 |
Rs.99.10 |
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Euro |
1 |
Rs.79.03 |
INFORMATION DETAILS
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Analysis Done by
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KAR |
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Report Prepared
by : |
NIT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.