MIRA INFORM REPORT

 

 

Report No. :

315530

Report Date :

02.04.2015

 

IDENTIFICATION DETAILS

 

Name :

TAINAN SPINNING CO LTD VIETNAM

 

 

Registered Office :

Bien Hoa Industrial Zone 2, 17A 9 Road, Bien Hoa, Dong Nai

 

 

Country :

Vietnam

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

23.05.2008

 

 

Legal Form :

Private Company with Limited Liability

 

 

Line of Business :

Manufacturer of Textiles and Raw Material.

 

 

No. of Employees :

4,400

 

 

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 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Vietnam

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

VIETNAM - ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to less than 20% in 2013, while industry's share increased from 36% to more than 42% in the same period. State-owned enterprises account for about 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2013 growing at 5%, the slowest rate of growth since 1999. In 2013, however, exports increased by more than 12%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value remained relatively stable in 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the government shifted from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress has been made. Vietnam's economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses.

 

Source : CIA

 

 

REGISTERED NAME & COMPANY SUMMARY

 

Organization Name

:

TAINAN SPINNING CO LTD VIETNAM (1)

Address

:

Bien Hoa Industrial Zone 2, 17A 9 Rd, Bien Hoa, Dong Nai

Country

:

Vietnam

Phone (S)

:

[+84] 61-3836671

Facsimile

:

[+84] 61-3836610

Email

:

tainan@kstcinetvn.com

Primary Business Activity

:

Manufacturer

Key Industry

:

Textiles & Raw Material

 

 

Registered Legal Address

:

Bien Hoa Industrial Zone 2, 17A 9 Rd, Bien Hoa, Dong Nai

Operational Address

:

Bien Hoa Industrial Zone 2, 17A 9 Rd, Bien Hoa, Dong Nai

Issuing Authority

:

Dept. of Planning & Investment - Bien Hoa

License Number

:

472043000478

License Status

:

License exists - Normal.

Legal Form - Category

:

Private Company with Limited Liability

Legal Form

:

Company Limited

Legal Form - Abbreviation

:

CO LTD

Operational Status of Business

:

Normal

Date of Registration

:

23 May, 2008

Employees

:

4,400

Capital

:

US$ 145,000,000

Note

:

(1)Legal status of the English corporate name
The English name of the Subject Business Entity (SBE) is a randomly selected translation / transliteration made by the owners of the SBE. It is not a registered English corporate name, but simply a translation / transliteration of the local language name.

DIRECTORS/MANAGEMENT

 

Key Person

Legal Title

:

Managing Director

Name

:

Mr. Tun-Cheng Wang

Nationality

:

Taiwanese

 

COMPANY MANAGEMENT

Management Listings

 

Name

Nationality

Job Description

Dept. / Division

1

Mr. Chi-chich Lin

Taiwanese

Chief Accountant

-

 

 

Management Details - 1

Personal Unique Identifier

:

MI03618488

Name

:

Mr. Chi-chich Lin

 

 

COMPANY DIRECTORS

1

 

 

Personal Unique Identifier

:

MI03618466

Name

:

Mr. Tun-Cheng Wang

 

 

NEGATIVE INFORMATION

 

REPUTATION

Reference checking for the purpose of establishing TAINAN SPINNING CO LTD VIETNAM's reputation within the respective industry failed to reveal any adverse information.

 

 

NEGA-SCAN - ADVERSE DATA MONITORING

 

DISHONORED CHECKS

 

No Record Found

 

 

DEBT

 

No Record Found

 

 

CIVIL LITIGATION

 

No Record Found

 

 

PERFORMANCE DEFAULTS

 

No Record Found

 

 

ADVERSE LOCAL MEDIA COVERAGE / ADVERSE FILING HISTORY

 

No Record Found

 

 

 

SHARE & SHARE CAPITAL INFORMATION

 

CAPITAL (Currency: USD - US Dollar)

Authorized Capital

:

$ 145,000,000

 

 

SHAREHOLDERS

 

Total number of shareholders

:

1

Total number of shares

:

n/a

 

 

Currency

:

USD - US Dollar

 

No.

Shareholders

Country

Shares

Number

Amount (USD)

%

1

TAINAN SPINNING CO LTD

Taiwan

n/a

n/a

100.00

Total

n/a

n/a

100.00

 

Based on corporate statutory laws / regulations in Vietnam, there is no requirement for public disclosure of Shareholders. In this case, the Shareholders information was supplied by the Subject Business Entity.
However in the absence of data normally obtained from local Statutory Authorities, it is not possible to verify the accuracy of data supplied and hence is provided as reference ONLY.

 

 

PAYMENT INFORMATION

 

DOMESTIC SALES & PURCHASES

Annual Sales Analysis

Percentage

Domestic Sales

60%

International Sales (Export)

40%

 

Annual Purchases Analysis

Percentage

Local Purchases

15%

Imports

85%

 

PAYMENT TERMS

Selling

Type

Terms

Local

Cash on delivery (COD)

Credit - Unsecured 30~60 days

Export

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Received at time of transaction

 

Purchasing

Type

Terms

Local

Cash on delivery (COD)

Credit - Unsecured 30~60 days

Import

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Executed at time of transaction

 

 

GROUP STRUCTURE & AFFILIATED COMPANIES

 

DIRECT / INDIRECT CORPORATE PARENT DETAILS

Direct Parent

:

TAINAN SPINNING CO LTD

Global Identifier

:

31528794

Legal Form Category

:

Public Listed Company

Country

:

Taiwan

Operational Address

:

511 Yu Nung Rd East Dist Tainan City 701

Primary Business Activity

:

Manufacturer

 

 

LOCAL BRANCHES & MANAGEMENT

Branch

:

TAINAN SPINNING CO LTD VIETNAM - NHON TRACH DIST, DONG NAI

Branch Address

:

Nhon Trach 2 Industrial Zone, Nhon Trach Dist, Dong Nai

 

 

STRATEGIC PARTNER/S & ALLIANCES

 

Group / Alliance name

:

TAINAN SPINNING GROUP

Recognition Status

:

The TAINAN SPINNING GROUP is not a formally registered business entity name in Vietnam. It is understood to be used by both the Subject Business Entity (SBE), as well as other overseas firms, to collectively identify the network of independently owned companies participating in the same industry sector and used primarily for collective marketing purposes.

Holding Company

:

PRESIDENT ENERGY DEVELPOMENT LTD

Country

:

Cayman Islands (British)

Flagship Company

:

TAINAN SPINNING CO LTD

Country

:

Taiwan

 

 

FINANCIAL INFORMATION

 

Financials - Summary  (Currency: USD - US Dollar)

Year

Sales

Assets

Net Income

2012 Annual  

271,922,087

163,393,304

6,258,830

2013 Annual  

279,244,398

187,591,527

26,982,482

 

 

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

-

-

-

-

-

-

-

-

-

http://www.asiancredit.com/Manage/image/up_arrow_04.gif

 

 

FINANCIAL STATEMENT - DETAILED

 

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

 

Financial Highlights

2012 Annual

2013 Annual

Current Assets(*)

2,043,000,000,000

1,802,102,000,000

Non Current Assets(*)

1,359,610,000,000

2,153,845,000,000

Non Current Liabilities(*)

14,000,000,000

14,000,000,000

Share Capital(*)

2,199,194,000,000

2,199,194,000,000

Other long term assets 

Total Assets(*)

3,402,610,000,000

3,955,947,000,000

Total Liabilities(*)

691,826,000,000

676,254,000,000

Current Liabilities(*)

677,826,000,000

662,254,000,000

Long term liabilities 

Shareholders Funds(*)

2,710,784,000,000

3,279,693,000,000

 

Assets 

Current assets & short term investments

2,043,000,000,000

1,802,102,000,000

Cash & cash equivalents

222,473,000,000

187,426,000,000

Cash

122,473,000,000

167,426,000,000

Cash equivalents

100,000,000,000

20,000,000,000

Accounts receivable

612,503,000,000

556,467,000,000

Accounts receivable trade

611,643,000,000

555,956,000,000

Others receivables

860,000,000

511,000,000

Inventories

1,188,577,000,000

1,046,924,000,000

I. Other short term asset

19,447,000,000

11,285,000,000

Prepaid expenses

643,000,000

1,340,000,000

VAT deductible

10,573,000,000

-

Other tax receivables

3,705,000,000

-

II. Other short term asset

4,526,000,000

9,945,000,000

Long term assets

1,359,610,000,000

2,153,845,000,000

Fixed assets

1,050,952,000,000

998,624,000,000

Tangible fixed assets

1,049,186,000,000

997,747,000,000

Cost

3,104,536,000,000

3,219,490,000,000

Accumulated depreciation

2,055,350,000,000

2,221,743,000,000

Construction in progress

1,766,000,000

877,000,000

Long term investments

208,077,000,000

1,147,246,000,000

Other long term investments

220,970,000,000

-

Invest to joint venture company

-

1,162,284,000,000

Provision for long term investments

(12,893,000,000)

(15,038,000,000)

Other long term assets

100,581,000,000

7,975,000,000

Long term prepayments

100,581,000,000

7,975,000,000

Total assets

3,402,610,000,000

3,955,947,000,000

Liabilities

691,826,000,000

676,254,000,000

Current liabilities

677,826,000,000

662,254,000,000

Short term borrowings

-

139,847,000,000

Accounts payables-trade

611,585,000,000

418,808,000,000

Advances from customers

10,574,000,000

29,189,000,000

Taxes and payable to state budget

390,000,000

10,046,000,000

Payable to employees

33,680,000,000

39,599,000,000

Accrued expenses payable

20,208,000,000

22,240,000,000

Other payables

1,389,000,000

2,525,000,000

Long term liabilities

14,000,000,000

14,000,000,000

Provision funds for unemployment

14,000,000,000

14,000,000,000

Owner's equity

2,710,784,000,000

3,279,693,000,000

Business capital

2,199,194,000,000

2,199,194,000,000

Revaluation differences

467,000,000

467,000,000

Retained earnings

511,123,000,000

1,080,032,000,000

Total resources

3,402,610,000,000

3,955,947,000,000

Note: (*)

Financial Highlights

 

 

Income Statement

 

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

Financial Highlights

2012 Annual

2013 Annual

Turnover(*)

5,662,685,000,000

5,888,731,000,000

Profit (Loss) Before Tax(*)

158,949,000,000

697,874,000,000

Profit After Tax attributable to Shareholders(*)

130,338,000,000

569,009,000,000

 

Gross sales

5,662,685,000,000

5,888,731,000,000

Less deductions

754,000,000

136,000,000

Net income

5,661,931,000,000

5,888,595,000,000

Cost of goods sold

5,289,135,000,000

4,988,587,000,000

Gross margin

372,796,000,000

900,008,000,000

Income from financial activities

6,114,000,000

5,208,000,000

Expenses from financial activities

20,348,000,000

19,586,000,000

In which: Interest expenses

-

1,408,000,000

Selling expenses

153,193,000,000

147,851,000,000

General & administration expenses

80,003,000,000

75,113,000,000

Net income from operating activities

125,366,000,000

662,666,000,000

Extraordinary income

33,583,000,000

36,791,000,000

Extraordinary expenses

-

1,583,000,000

Extraordinary gains

33,583,000,000

35,208,000,000

Net profit before tax

158,949,000,000

697,874,000,000

Income tax

28,611,000,000

28,284,000,000

Income tax delay

-

(100,581,000,000)

Net profit after tax

130,338,000,000

569,009,000,000

Note: (*)

Financial Highlights

 

 

Financial Ratios

Financial Highlights

2012 Annual

2013 Annual

Growth % 

Year-on-Year Growth

-

3.99

Profitability 

Profit Margin (%)

2.30

9.66

Return on Equity (%)

4.81

17.35

Return on Assets (%)

3.83

14.38

Leverage 

Total Debt Equity (Times)

0.26

0.21

Current Debt Equity (Times)

0.25

0.20

Long Term Debt to Equity

0.01

0.00

Total Asset To Total Equity

1.26

1.21

Asset Management 

Total Assets Turnover (Times)

1.66

1.49

Fixed Assets Turnover (Times)

4.16

2.73

Liquidity 

Current Ratio

3.01

2.72

 

Based on the corporate laws of Vietnam, legal entities which are Private Company with Limited Liability are not required to make public disclosure of their annual financials. Although basic financials were obtained for reference.

FOREIGN EXCHANGE RATES

 

N/a

 

 

ADDITIONAL INFORMATION

 

Country

:

Vietnam

Business Entity Name

:

TAINAN SPINNING CO LTD VIETNAM

Primary Business Activity

:

Manufacturer

Primary Industry

:

Textiles & Raw Material

Office Contact Details

Operating Address

:

Bien Hoa Industrial Zone 2, 17A 9 Rd, Bien Hoa, Dong Nai

Tel

:

[+84] 61-3836671

 

:

[+84] 61-3836672

 

:

[+84] 61-3836673

Fax

:

[+84] 61-3836610

Email

:

tainan@kstcinetvn.com

Tax / VAT Details

Tax Issuing Authority

:

Ministry of Finance

Local Name Used

:

Gia Trj Gia Tang (Value Added Tax)

Acronym

:

GTGT / VAT

GTGT / VAT Number

:

3600249837

 

 

SIC PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description

Code

Activity

Thread and handwork yarns

2284

Manufacturing, Exporting

 

 

HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description

Code

Activity

Yarn of jute & other textile bast fibers

5307

Manufacturing, Exporting

 

 

CORE BUSINESS DESCRIPTION

Core Business

The primary business focus of TAINAN SPINNING CO LTD VIETNAM is Manufacturing - Finished products.

Key product include :

Thread

An integral part of the core business includes:

Distribution

Supplementary Business

In addition to the core business, TAINAN SPINNING CO LTD VIETNAM also is engaged in the following areas of business:

Exporting

Exporting - Finished products

Importing

Importing - Raw materials

 

 

BANK DETAILS

 

Bank Name

:

ANZ BANK (VIETNAM) LTD

Global Identifier

:

P1310499

Branch

:

District 1,Ho Chi Minh

Branch Address

:

39 Le Duan St District 1 Ho Chi Minh (Head Office)

SWIFT Code

:

This bank does not have a SWIFT Code

 

Bank Name

:

CHINA TRUST COMMERCIAL BANK

Global Identifier

:

P0839418

Branch

:

District 1,Ho Chi Minh

Branch Address

:

Room 116, 37 Ton Duc Thang District 1 Ho Chi Minh (Head Office)

SWIFT Code

:

CTCBVNVX

 

Bank Name

:

FIRST COMMERCIAL BANK (FCB)

Global Identifier

:

P0062134

Branch

:

District 1,Ho Chi Minh

Branch Address

:

Suite A 9Fl Office Service Int'l Center (OSIC Bldg) 8 Nguyen Hue St District 1 Ho Chi Minh (Head Office)

SWIFT Code

:

FCBKVNVX

 

Bank Name

:

HSBC BANK (VIETNAM) LTD

Global Identifier

:

32403760

Branch

:

District 1,Ho Chi Minh

Branch Address

:

HSBC BANK (VIETNAM) LTD - HANOI

SWIFT Code

:

HSBCVNVX

 

Bank Name

:

TAIPEI FUBON COMMERCIAL BANK CO LTD (HANOI BRANCH)

Global Identifier

:

P2405422

Branch

:

Hanoi

Branch Address

:

Hanoi (Head Office)

SWIFT Code

:

This bank does not have a SWIFT Code

 

 

INTERNATIONAL TRADE - Activity & Markets

 

Country / Region

Estimated level of importance

Trading Activity

Africa

Medium

Importing

Asia / Pacific

Medium

Importing, Exporting

North America

Medium

Importing

Korea, South (Republic of Korea)

Medium

Exporting

Philippines

Medium

Exporting

Singapore

Medium

Exporting

Taiwan

Medium

Importing, Exporting

USA

Medium

Importing

 

 

OFFICE & FACILITIES

 

The following information relates to the Business Entity's office as listed above:

Name

:

TAINAN SPINNING CO LTD VIETNAM - BIEN HOA, DONG NAI

Primary Use

:

Office & Administration facilities

Land Size

:

30 Hectares

Address

:

Bien Hoa Industrial Zone 2, 17A 9 Rd, Bien Hoa, Dong Nai

Country

:

Vietnam

Status

:

Operational

 

PREVIOUS BUSINESS LICENSE/S

License Date

License No.

2 Mar, 1996

1491/GP

 

 

NOTES & COMMENTS

 

N/a

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.62.51

UK Pound

1

Rs.92.46

Euro

1

Rs.67.51

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

ASH

 

               

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.