MIRA
INFORM REPORT
|
Report Date : |
26.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
SINOPHARM
WEIQIDA PHARMACEUTICAL CO., LTD. |
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|
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Registered Office : |
First Medical
Zone, Economic And Technological Development Zone, |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
30.09.2002 |
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Com. Reg. No.: |
140200400001754 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
·
Manufacturing and selling powder-injection within
state limits. ·
Subject is engaged in manufacturing and selling
active pharmaceutical ingredient. |
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|
No of Employees : |
3,200 |
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 |
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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 & address
SINOPHARM WEIQIDA PHARMACEUTICAL CO., LTD.
FIRST MEDICAL
ZONE, ECONOMIC AND TECHNOLOGICAL DEVELOPMENT ZONE, DATONG, SHANXI PROVINCE,
037300 PR CHINA
TEL: 86 (0)
352-5378888/7698888
FAX: 86 (0)
352-5328556-8812/7695555
***Note: SC’s
headquarters address should be the heading one, while SC’s
EXECUTIVE SUMMARY
Date of Registration : SEPtember 30, 2002
REGISTRATION NO. : 140200400001754
LEGAL FORM : CHINESE-FOREIGN EQUITY JOINT VENTURE
ENTERPRISE
CHIEF EXECUTIVE :
guo yimin (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 593,939,394
staff :
3,200
BUSINESS CATEGORY :
MANUFACTURING & TRADING
Revenue :
CNY 1,864,560,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 1,184,530,000 (AS OF DEC. 31, 2013)
WEBSITE : www.weiqida.com
E-MAIL :
marketing@weiqida.com
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND :
fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.13 = 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 Chinese-foreign equity joint venture enterprise
of PRC with State Administration of Industry & Commerce (SAIC) under
registration No.: 140200400001754 on September
30, 2002.
SC’s Organization Code Certificate No.:
73402633-0
SC’s Tax No.: 140216734026330
SC’s Customs
Registration No.: 1402940020
SC’s registered capital: CNY 593,939,394
SC’s paid-in capital: CNY 593,939,394
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2011 |
Company Name |
Shanxi Weiqida Pharmaceutical Co., Ltd. |
Sinopharm Weiqida Pharmaceutical Co., Ltd. |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
China National Pharmaceutical Industry Corporation Limited |
67 |
|
Allwin Biotrade Inc. (B.V.I.) |
33 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Guo Yimin |
|
General Manager |
Han Yanlin |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Allwin Biotrade Inc. (B.V.I.) 33
China National Pharmaceutical Industry Corporation Limited
-------------------------------------------------------------------------------
China National Pharmaceutical Industry Corporation Limited (abbreviated as
CNPIC), a subsidiary of China National Pharmaceutical Group Corporation
(abbreviated as SINOPHARM), is an economic entity of R & D, production,
trade and investment.
Date of Registration: December 18, 1986
Registration No.: 100000000005489
Legal Form: Limited Liabilities
Company
Chief Executive: Guo Yimin郭毅民
Registered Capital: CNY 955,610,000
MANAGEMENT
Guo Yimin, Legal Representative and Chairman
---------------------------------------------------------------------------
Gender: M
Age: 51
ID# 23010219630703161X
Qualification: University
Working experience (s):
At present, working in SC as legal representative and chairman
Also working in China National Pharmaceutical Industry Corporation
Limited as legal representative
Han Yanlin,
General Manager
---------------------------------------------------
Gender: M
Age: 51
ID # 140202196303293034
Qualification: University
Working experience (s):
At present, working in SC as general manager
Also working in Sinopharm Datong Weiqida Zhongkang Pharmaceutical Co.,
Ltd. as legal representative, and as principal in Sinopharm Weiqida
Pharmaceutical Co., Ltd. Beijing Branch
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and selling
powder-injection within state limits.
SC is mainly engaged in manufacturing and selling active pharmaceutical
ingredient.
SC’s products mainly include: mezlocillin Sodium, Cefadroxil, Cefotaxime
Sodium (sterile), etc.
SC sources its materials 90% from domestic market, and 10% from overseas market., mainly Hong Kong SC sells 75% of its products in domestic market, and 25% to overseas market, mainly India, etc.
The buying terms of SC include Check, T/T, L/C 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. 3,200
staff at present.
SC owns an area as its operating office and factory, but the detailed
information is unknown.
RELATED
COMPANY
SC is known to
have a subsidiary and a branch at present,
Sinopharm Datong Weiqida Zhongkang Pharmaceutical Co., Ltd.
----------------------------------------------------
Date of Registration: September 20, 2001
Registration No.: 140200400001682
Legal Form: Chinese-Foreign
Equity Joint Venture Enterprise
Legal Representative: Han Yanlin
Sinopharm Weiqida Pharmaceutical Co., Ltd. Beijing Branch
------------------------------------------------------
Date of Registration: June 29, 2012
Registration No.: 110000450209553
Legal Form: Branch
Principal: Han Yanlin
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:
Rural Credit Cooperative Union of Datong, Nanjiao District
AC#: 1100850073986012
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
|
169,820 |
120,610 |
|
|
Notes receivable |
20,570 |
63,740 |
|
Accounts receivable |
169,360 |
201,170 |
|
Advances to suppliers |
520 |
21,810 |
|
Other receivable |
42,170 |
544,000 |
|
Inventory |
154,400 |
179,550 |
|
Non-current assets within one year |
0 |
0 |
|
Other current assets |
0 |
4,080 |
|
|
------------------ |
------------------ |
|
Current assets |
556,840 |
1,134,960 |
|
Long term investment |
19,400 |
206,220 |
|
Fixed assets |
126,570 |
637,700 |
|
Construction in progress |
1,116,530 |
1,067,140 |
|
Project materials |
118,230 |
87,580 |
|
Intangible assets |
105,300 |
28,190 |
|
Other non-current assets |
193,720 |
25,060 |
|
|
------------------ |
------------------ |
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Total assets |
2,236,590 |
3,186,850 |
|
|
============= |
============= |
|
Short-term loans |
280,000 |
428,000 |
|
Notes payable |
146,630 |
204,110 |
|
Accounts payable |
214,180 |
252,030 |
|
Wages payable |
5,810 |
15,420 |
|
Taxes payable |
2,200 |
-7,580 |
|
Advances from clients |
33,790 |
25,940 |
|
Other payable |
92,960 |
74,400 |
|
Other current liabilities |
0 |
669,610 |
|
|
------------------ |
------------------ |
|
Current liabilities |
775,570 |
1,661,930 |
|
Non-current liabilities |
462,930 |
392,190 |
|
|
------------------ |
------------------ |
|
Total liabilities |
1,238,500 |
2,054,120 |
|
Equities |
998,090 |
1,132,730 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
2,236,590 |
3,186,850 |
|
|
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
|
Revenue |
1,208,040 |
1,431,820 |
|
Cost of sales |
922,520 |
1,160,720 |
|
Sales expense |
30,400 |
46,820 |
|
Management expense |
66,120 |
91,850 |
|
Finance expense |
31,300 |
55,100 |
|
Asset impairment loss |
4,500 |
3,700 |
|
Profit before tax |
152,740 |
159,830 |
|
Less: profit tax |
38,050 |
23,980 |
|
114,690 |
135,850 |
Financial Summary
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
|
Long term investment |
186,936 |
-- |
|
Total assets |
4,582,024 |
4,662,690 |
|
|
------------- |
------------- |
|
Long term liabilities |
810,132 |
-- |
|
Total liabilities |
3,420,965 |
3,478,160 |
|
Equities |
1,161,059 |
1,184,530 |
|
|
------------- |
------------- |
|
Revenue |
1,490,540 |
1,864,560 |
|
Profit before tax |
36,760 |
-- |
|
Less: profit tax |
8,333 |
-- |
|
Profits |
28,427 |
23,500 |
Important Ratios
=============
|
|
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31, 2012 |
As of Dec. 31,
2013 |
|
*Current ratio |
0.72 |
0.68 |
-- |
-- |
|
*Quick ratio |
0.52 |
0.57 |
-- |
-- |
|
*Liabilities to assets |
0.55 |
0.64 |
0.75 |
0.75 |
|
*Net profit margin (%) |
9.49 |
9.49 |
1.91 |
1.26 |
|
*Return on total assets (%) |
5.13 |
4.26 |
0.62 |
0.50 |
|
*Inventory / Revenue ×365 |
47 days |
46 days |
-- |
-- |
|
*Accounts receivable/ Revenue ×365 |
51 days |
51 days |
-- |
-- |
|
* Revenue/Total assets |
0.54 |
0.45 |
0.33 |
0.40 |
|
* Cost of sales / Revenue |
0.76 |
0.81 |
-- |
-- |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears good in its line, and it increased year by
year.
SC’s net profit margin is average in 2012 and 2013.
SC’s return on total assets is average in 2012 and 2013.
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a fair level.
The inventory of SC is maintained in an average level.
The accounts receivable of SC is maintained in an average level.
SC’s short-term loans are in an average level.
SC’s revenue is in a fair level, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average.
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered large-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.02 |
|
|
1 |
Rs.99.43 |
|
Euro |
1 |
Rs.77.84 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUB |
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|
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.