MIRA
INFORM REPORT
|
Report Date : |
24.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
Cabot ( |
|
|
|
|
Registered Office : |
No.
558, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
10.12.2003 |
|
|
|
|
Com. Reg. No.: |
310000400365190 |
|
|
|
|
Legal Form : |
Wholly Foreign-Owned |
|
|
|
|
Line of Business : |
Subject is
mainly engaged in management business and investment in China, providing
shared services to affiliated companies including customer service, technical
service, financial and other services. |
|
|
|
|
No. of Employees : |
214 |
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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
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, 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 and Address
Cabot (China) Limited
No. 558, Shuangbai
Road, Minhang District, Shanghai 201108 PR China
TEL: 86 (0)
21-51758800
FAX: 86 (0)
21-64345532
EXECUTIVE SUMMARY
Date of Registration : DECEMBER 10, 2003
REGISTRATION NO. : 310000400365190
LEGAL FORM : WHOLLY
FOREIGN-OWNED ENTERPRISE
REGISTERED CAPITAL : usd 134,146,000
staff :
214
BUSINESS CATEGORY : INVESTMENT, management and services
Revenue :
CNY 3,267,251,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 1,981,835,000 (AS OF DEC. 31, 2013)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : STEADY
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 wholly foreign-owned enterprise of PRC with State Administration of
Industry & Commerce (SAIC) under registration No.: 310000400365190 on December
10, 2003.
SC’s Organization Code Certificate No.:
71785020-5
%20LIMITED%20-%20287145%2024-Sep-2014_files/image002.jpg)
SC’s Tax No.: 310112717850205
SC’s registered capital: usd 134,146,000
SC’s paid-in capital: usd 134,146,000
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 |
|
CMHC, Inc. (Mauritius) |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal
Representative and Chairman |
David Miller |
|
General
Manager |
Zhu Ji |
|
Director |
Aled Wyn Rees |
|
Sean Keohane |
|
|
Supervisor |
Ren Jianrong |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
CMHC, Inc. (Mauritius) 100
MANAGEMENT
David Miller, Legal Representative and Chairman
----------------------------------------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø
Qualification:
MBA
Ø
Working
experience (s):
At
present, working in SC as legal representative and chairman
Also
working in Cabot Corporation as executive vice president, general manager of
the Reinforcement Materials Segment and the Americas region
Zhu Ji, General
Manager
---------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø
Working
experience (s):
At present, working in SC as general manager
Director
-----------
Aled Wyn Rees
Sean Keohane
Supervisor
--------------
Ren Jianrong
BUSINESS OPERATION
SC’s registered
business scope includes 1. investment in the field that the state encourages
and allows foreign tradesman investment; 2. written authorization by its
investment enterprises (unanimously adopted by the board), to its invested
enterprises provide the following services: (details see approval certificate);
3. set up research and development centers in China or department engaged in
new products and high-tech research and development, transfer or license its
research and development results, and to provide technical services; (four and
five points see the approval certificate); 6. investment company's products to
its domestic dealers, agents and investment company, its parent company or its
affiliated companies have signed technology transfer agreements domestic
companies and enterprises to provide relevant technical training; 7. provide
machinery and office equipment operating leases services to its investment
enterprises or legally established company operating lease; 8. participation
overseas project contracting that has the right to operate foreign contracted
projects of Chinese enterprises; 9. Ministry of Commerce approved, engaged in
the operation of leasing and financial leasing business; 10. undertake domestic
and foreign enterprises service outsourcing business; 11. according to relevant
regulations, engaged in logistics and distribution services; 12. Ministry of
Commerce approved, engaged in overseas engineering contracting business and
foreign investment, the establishment of financial leasing companies and
provide related services; 13. entrust other domestic production / processing
products in domestic and international sales, the commission engaged in all
export processing trade; 14. approved by the China Banking Regulatory
Commission, the establishment of financial companies, the investment company
and its invested enterprises to provide related financial services; 15.
wholesaling, importing, exporting commission agency (excluding auction) of
chemical products (excluding dangerous chemicals), minerals (excluding iron
ore), plastics and plastic products, rubber and its products, ceramic products,
glass and glassware, base metals and products, machinery, mechanical equipment,
electronic equipment and the above product components, importing and exporting
technology and related ancillary services (if the trade of the goods is
governed by the quota or special rule, relevant regulations shall be followed).
(with permit if needed)
SC is mainly
engaged in management business and investment in China, providing shared
services to affiliated companies including customer service, technical service,
financial and other services.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is known
to have approx. 214 staff at
present.
SC rents an area
as its operating office, but the detailed information is unknown.
RELATED COMPANY
Shanghai Cabot Chemical Co., Ltd.
Cabot Chemical (Tianjin) Co., Ltd.
Cabot Performance Products (Tianjin) Co.,
Ltd.
Cabot
Bluestar Chemical (Jiangxi) Company Limited
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 SAIC.
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As of Dec. 31, 2013 |
|
Current assets |
1,304,188 |
|
Long term investment |
1,599,688 |
|
Fixed assets |
29,365 |
|
Intangible assets |
0 |
|
Other assets |
10,159 |
|
|
------------- |
|
Total assets |
2,943,400 |
|
|
------------- |
|
Current liabilities |
961,565 |
|
Long term liabilities |
0 |
|
|
------------- |
|
Total liabilities |
961,565 |
|
Equities |
1,981,835 |
|
|
------------- |
|
Revenue |
3,267,251 |
|
Cost of sales |
3,123,893 |
|
Profit before tax |
91,904 |
|
Less: profit tax |
0 |
|
Profits |
91,904 |
Important Ratios
=============
|
|
As of Dec. 31, 2013 |
|
*Current ratio |
1.36 |
|
*Liabilities to assets |
0.33 |
|
*Net profit margin (%) |
2.81 |
|
*Return on total assets (%) |
3.12 |
|
* Revenue/Total assets |
1.11 |
|
* Cost of sales / Revenue |
0.96 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue 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 sales is fairly high, comparing with
its revenue.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s revenue is in an average level, comparing with
the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Stable
CONCLUSIONS
SC is considered medium-sized in its line with stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.87 |
|
|
1 |
Rs.99.63 |
|
Euro |
1 |
Rs.78.23 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NIT |
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.