MIRA INFORM REPORT
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Report No. : |
318116 |
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Report Date : |
22.04.2015 |
IDENTIFICATION DETAILS
|
Name : |
ZHEJIANG HAISEN
PHARMACEUTICAL CO., LTD. |
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Registered Office : |
Liushi Street, Dongyang City, Zhejiang Province 322104 Pr |
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Country : |
China |
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Financials (as on) : |
30.06.2014 |
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Date of Incorporation : |
07.12.1998 |
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Com. Reg. No.: |
330783000011022 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing of
Bulk Drugs, Powder, and Chemical Synthesis of Pharmaceutical Intermediates;
and International Trade. |
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No. of Employees : |
550 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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. In 2014 the People’s Bank of China (PBOC) doubled 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 2014 stood as the largest economy in the world, surpassing the US that year 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; 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. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including legislation allowing local governments to issue bonds, further opening several state-owned enterprises to private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
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. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including legislation allowing local governments to issue bonds, further opening several state-owned enterprises to private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
|
Source
: CIA |
Company
Name and address
ZHEJIANG HAISEN PHARMACEUTICAL CO., LTD.
Liushi STREET,
Dongyang City, Zhejiang PROVINCE 322104 PR CHINA
TEL: 86 (0)
579-86773108/86847688/86768658
FAX: 86 (0)
579-86850033/86773083
EXECUTIVE
SUMMARY
Date of Registration : DECEMBER 7, 1998
REGISTRATION NO. : 330783000011022
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : CNY
25,000,000
staff :
550
BUSINESS CATEGORY :
manufacturing & TRADING
REVENUE :
CNY 87,230,000 (FROM JAN. 1, 2014 TO JUN. 30, 2014)
EQUITIES :
CNY 105,690,000 (AS OF JUN. 30, 2014)
WEBSITE : www.dongyangpharm.com
E-MAIL :
sale@haisen.cn
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND :
fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.20 = 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.: 330783000011022 on December 7, 1998.
SC’s Organization Code Certificate No.:
70458128-8
SC’s Tax No. 330783704581288
SC’s registered capital: CNY 25,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2005-02-03 |
Company Name |
Dongyang Chemical
Pharmaceutical Co., Ltd. |
Zhejiang Haisen
Pharmaceutical Co., Ld. |
|
Registered Capital |
CNY 3,000,000 |
CNY 11,000,000 |
|
|
Shareholder (s)
(% of Shareholding) |
Wang Dongyan
6.66% Guo Haiyan
10.67% Ai Linyi 22.67% Wang Shiyue 60% |
Wang Dongyan
1.82% Ai Lin 6.18% Wang Yuxiao
9.09% Guo Haiyan
12.00% Wang Shiyue
70.91% |
|
|
2008-02-19 |
Registration No. |
3307832000328 |
330783000011022 |
|
2014-07-22 |
Registered
Capital |
CNY 11,000,000 |
CNY 25,000,000 |
|
Shareholder (s)
(% of Shareholding) |
Wang Dongyan 1.82% Ai Lin 6.18% Wang Yuxiao 9.09% Guo Haiyan 12.00% Wang Shiyue 70.91% |
Wang Dongyan 1.82% Ai Lin 6.18% Wang Yuxiao 4% Guo Haiyan 5.28% Wang Shiyue 31.2% Dongyang Haisen
Holding Co., Ltd. 51.52% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Wang Dongyan |
1.82 |
|
Ai Lin |
6.18 |
|
Wang Yuxiao |
4 |
|
Guo Haiyan |
5.28 |
|
Wang Shiyue |
31.2 |
|
Dongyang Haisen
Holding Co., Ltd. |
51.52 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal
Representative, Chairman and General Manager |
Wang Shiyue |
|
Supervisor |
Wang Dongyan |
RECENT
DEVELOPMENT
SC has obtained ISO9001, ISO14001 and GMP certificates, and the application
for FDA and CEP certificates are just in the process.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Wang Dongyan 1.82
ID# 330724641221142
Ai Lin 6.18
ID# 510102196110288410
Wang Yuxiao 4
ID# 330724198608260022
Guo Haiyan 5.28
ID# 330724620504002
Wang Shiyue 31.2
ID# 330724600104001
Dongyang Haisen Holding Co., Ltd. 51.52
Dongyang Haisen Holding Co., Ltd.
------------------------------------------
Registration No.: 330783000098541
Date of Registration: May 15, 2013
Legal Form: Limited Liabilities Company
Legal Representative: Wang Shiyue
MANAGEMENT
Wang Shiyue, Legal
Representative, Chairman and General Manager
-----------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 55
Ø
ID# 330724196001040016
Ø Qualification:
University
Ø Working experience
(s):
From 1992 to 1998, worked in Hengdian Group
Pharmaceutical Chemical Factory as principal
From 1998 to present, working in SC as legal
representative, chairman and general manager
Also working in Dongyang Haisen
Holding Co., Ltd. as legal representative
Wang Dongyan, Supervisor
-----------------------------------------------
Ø
Gender: F
Ø Age: 51
Ø ID#
330724196412211422
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing
bulk drugs, powder, and chemical synthesis of pharmaceutical intermediates; and
international trade.
SC is mainly engaged
in manufacturing and selling bulk drugs and powder.
Brand: ANNAIJIN
SC’s products
mainly include:
Paroxetine
HCL
Analgin;Dipyrone
Metamizole
sodium
Aminopyrine
Antipyrine;Phenazone
Propyphenazone
L-Glutamine
Granisetron
Hydrochloride
Sucralfate
(-)trans-4R-(4-fluorophenyl)-3S-hydroxymethyl-1-methyl
piperidine
2-hydroxy-4-amino
butylic acid (HABA)
1-(4-fluorophenyl)-1,
3-dihydro-isobenzofuran-5-carbonitrile
Escitalopram
oxalate
Etc.
SC sources its materials 100% from domestic
market, mainly Zhejiang. SC sells 45% of its products in domestic market, and
55% to overseas market, mainly Southeast Asian countries.
The buying terms
of SC include T/T and Credit of 30-60 days. The payment terms of SC include
T/T, L/C and Credit of 30-60 days.
*Major Supplier:
============
Sichuan Industrial
Institute of Antibiotics
Staff & Office:
--------------------------
SC is known
to have approx. 550 staff at
present.
SC owns an area as
its operating office & factory of approx. 150,000 sq. meters at the heading
address.
RELATED
COMPANY
SC is known to have 3
subsidiaries at present,
u
Zhejiang Changshan Wantong Real Estate Development Co., Ltd.
----------------------------------------
Date of Registration: June 4, 2008
Registration No.: 330822000005034
Legal Form: Limited Liabilities
Company
Registered Capital: CNY 50,000,000
u
Dongyang Guofeng Microfinance Co., Ltd.
---------------------------------------
Date of Registration: December 19, 2008
Registration No.: 330783000027387
Legal Form: Limited Liabilities
Company
Registered Capital: CNY 400,000,000
u
Dongyang Haisen Trading Co., Ltd.
---------------------------------
Date of Registration: July 25, 2005
Registration No.: 330783000046871
Legal Form: Limited Liabilities
Company
Registered Capital: CNY 1,000,000
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’s suppliers
declined to make any comments.
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 Dongyang Sub-branch
AC#: 367558336191
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As of Jun. 30, 2014 |
|
Total assets |
324,310 |
|
|
------------- |
|
Total liabilities |
218,620 |
|
Equities |
105,690 |
|
|
------------- |
|
|
From Jan. 1, 2014 to Jun. 30, 2014 |
|
Revenue |
87,230 |
|
Profits |
6,250 |
Important Ratios
=============
|
|
As of Jun. 30, 2014 |
|
*Liabilities to assets |
0.67 |
|
*Net profit margin (%) |
7.16 |
|
*Return on total assets (%) |
1.93 |
|
*Revenue / Total assets |
0.27 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l The revenue of SC
appears average in its line.
l SC’s net profit
margin is fairly good.
l SC’s return on
total assets is average.
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 average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.92 |
|
|
1 |
Rs.93.57 |
|
Euro |
1 |
Rs.67.34 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUB |
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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 |
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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.