MIRA INFORM REPORT
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Report No. : |
352912 |
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Report Date : |
03.12.2015 |
IDENTIFICATION DETAILS
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Name : |
CHINA SUNERGY (NANJING) CO., LTD. |
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Formerly Known As : |
Nanjing China
Sunergy Technology Co., Ltd. |
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Registered Office : |
No. 123, Focheng West Road, Jiangning Economic & Technical
Development Zone, Nanjing, Jiangsu Province 211100 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
02.08.2004 |
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Com. Reg. No.: |
320100400026231 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
· Engaged in R&D, manufacturing the Silicon Material, Silicon Rod, Silicon Ingot, Silicon Pellet, Solar Energy Photovoltaic Cell, Photovoltaic Module and Related Products; Selling its Products; R&D Of Solar Photovoltaic Power Generation System and its supporting system, supplying installing and related technology service; wholesaling, import and export, commission agency about the related products (excluding auction, excluding domestic trade management goods, in accordance with the special permit) and technology import and export business. · engaged in manufacturing solar cells and solar panel. ·
Subject product
ranges includes P type solar cells, module, Multi-crystalline silicon
solar cells & Mono-crystalline silicon solar cells |
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No of Employees : |
987 |
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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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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 |
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. 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 for the first time in modern history. Still, China's per capita income is below the world average.
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 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 2014 more than 274 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 also implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
|
Source
: CIA |
Company
name & address
CHINA SUNERGY (NANJING) CO., LTD.
NO. 123, FOCHENG WEST ROAD, JIANGNING ECONOMIC & TECHNICAL
DEVELOPMENT ZONE, NANJING, JIANGSU PROVINCE 211100 PR CHINA
TEL: 86 (0) 25-52766887/52766684/52766666-6532
FAX: 86 (0) 25-52766767
EXECUTIVE
SUMMARY
Date of Registration : AUGUST 2, 2004
REGISTRATION NO. : 320100400026231
LEGAL FORM : WHOLLY FOREIGN-OWNED ENTERPRISE
CHIEF EXECUTIVE : LU TINGXIU (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : USD 163,400,000
staff : 987
BUSINESS CATEGORY : MANUFACTURING
Revenue :
CNY 1,393,543,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 810,501,000 (AS OF DEC. 31, 2013)
WEBSITE : www.chinasunergy.com
E-MAIL :
info@chinasunergy.com & sales@chinasunergy.com
PAYMENT :
Slow but Correct
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fair
OPERATIONAL TREND : FAIRLY
STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.26 = 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
LEGAL STATUS & HISTORY
SC was established as a Chinese-foreign equity joint venture enterprise of PRC on August
2, 2004. However, SC changed to present legal form, and was registered as
wholly foreign-owned enterprise of PRC with State Administration of Industry
& Commerce (SAIC) under registration No.: 320100400026231 on May 10, 2006.
SC’s Organization Code Certificate No.:
76213669-2
%20CO.,%20LTD.%20%20-%20352912%2003-Dec-2015_files/image006.jpg)
SC’s Tax No.: 320121762136692
SC’s registered capital: USD 163,400,000
SC’s paid-in capital: USD 163,400,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registered No. |
007228 |
320100400026231 |
|
2005-11-11 |
Company Name |
Nanjing China Sunergy Technology Co., Ltd. |
China Sunergy (Nanjing) Co., Ltd. |
|
2006-5-10 |
Legal Form |
Chinese-foreign Equity Joint Venture
Enterprise |
Wholly Foreign-owned Enterprise |
|
2006-5-25 |
Registered Capital |
USD 10,800,000 |
USD 60,800,000 |
|
2006-11-7 |
Registered Capital |
USD 60,800,000 |
USD 68,800,000 |
|
2007-7-23 |
Registered Capital |
USD 68,800,000 |
USD 88,800,000 |
|
2008-8-1 |
Registered Capital |
USD 88,800,000 |
USD 118,600,000 |
|
-- |
Registered Capital |
USD 118,600,000 |
USD 163,400,000 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
China Sunergy (HongKong) Co., Limited |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and
Chairman |
Lu Tingxiu |
|
Director |
Zhao Jianhua |
|
Guo Shiliang |
|
|
Supervisor |
Wang Xi’an |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name
%
of Shareholding
China Sunergy (HongKong) Co.,
Limited） 100
============================
CR No.: 1193225
Legal Form: Private
Status: Live
MANAGEMENT
Lu Tingxiu, Legal
Representative and Chairman
--------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 54
Ø Qualification:
University
Ø Working experience
(s):
From 2004 to present, working in SC as legal representative and chairman
Also working as legal representative in CEEG (Shanghai) Solar Science & Technology Co., Ltd., CEEG Nanjing Renewable Energy Co., Ltd., China Electric Equipment Group Co., Ltd., etc
Director
-----------
Zhao Jianhua
Guo Shiliang
Supervisor
--------------
Wang Xi’an
BUSINESS OPERATION
SC’s registered business scope includes R&D,
manufacturing the silicon material, silicon rod, silicon ingot, silicon pellet,
solar energy photovoltaic cell, photovoltaic module and related products;
selling its products; R&D of solar photovoltaic power generation system and
its supporting system, supplying installing and related technology service;
wholesaling, import and export, commission agency about the related products
(excluding auction, excluding domestic trade management goods, in accordance
with the special permit) and technology import and export business.
SC
is mainly engaged in manufacturing solar cells and solar panel.
SC’s
products mainly include: P type solar cells, module, Multi-crystalline
silicon solar cells & Mono-crystalline silicon solar cells
SC sources its
materials 80% from domestic market, and 20% from overseas markets. SC sells 20%
of its products in domestic market, and 80% to overseas market, mainly Europe
and U.S.A., 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.
*Major Customer*
---------------------
Opsun Technologies
Inc.
Staff & Office:
--------------------------
SC is
known to have approx. 987
staff at present.
SC owns an area as
its operating office and factory, but the detailed information is unknown.
RELATED COMPANY
· CEEG (Nanjing) Renewable Energy Co., Ltd.
· CEEG (Shanghai) Solar Science & Technology Co., Ltd.
· China Sunergy USA Office
· China Sunergy Europe GmbH
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Slow but Correct ( ) 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:
China
Merchants Bank Jiangning Sub-branch
AC#:
078002380175610001
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2012 |
|
1,217,272 |
|
|
Notes receivable |
20,000 |
|
Accounts
receivable |
442,742 |
|
Advances to
suppliers |
377,703 |
|
Other receivable |
58,288 |
|
Inventory |
198,569 |
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Non-current
assets within one year |
0 |
|
Other current
assets |
0 |
|
|
------------------ |
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Current assets |
2,314,574 |
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Long-term
investment |
1,113,892 |
|
Fixed assets |
488,190 |
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Construction in
progress |
353,340 |
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Intangible
assets |
33,383 |
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Deferred income
tax assets |
81,773 |
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Other
non-current assets |
9,223 |
|
|
------------------ |
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Total assets |
4,394,375 |
|
|
============= |
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Short-term loans |
730,836 |
|
Notes payable |
567,389 |
|
Accounts payable |
429,037 |
|
Wages payable |
13,628 |
|
Taxes payable |
-64,131 |
|
Dividends
payable |
3,780 |
|
Advances from
clients |
1,046,366 |
|
Other payable |
126,218 |
|
Other current
liabilities |
0 |
|
|
------------------ |
|
Current
liabilities |
2,853,123 |
|
Non-current
liabilities |
633,276 |
|
|
------------------ |
|
Total
liabilities |
3,486,399 |
|
Equities |
907,976 |
|
|
------------------ |
|
Total
liabilities & equities |
4,394,375 |
|
|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
|
Revenue |
1,103,903 |
|
Cost of sales |
1,059,547 |
|
Sales expense |
50,418 |
|
Management expense |
160,963 |
|
Finance expense |
90,737 |
|
Asset
impairment loss |
-10,675 |
|
Non-operating
income |
4,592 |
|
Non-operating
expense |
496 |
|
Profit before
tax |
-243,052 |
|
Less: profit tax |
0 |
|
-243,052 |
Financial Summary
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
|
Total assets |
3,673,543 |
|
|
------------- |
|
Total
liabilities |
2,863,042 |
|
Equities |
810,501 |
|
|
------------- |
|
Revenue |
1,393,543 |
|
Profit before
tax |
-120,121 |
|
Less: profit tax |
-19,810 |
|
Profits |
-100,311 |
Important Ratios
=============
|
|
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
*Current ratio |
0.81 |
-- |
|
*Quick ratio |
0.79 |
-- |
|
*Liabilities
to assets |
0.79 |
0.78 |
|
*Net profit
margin (%) |
-22.02 |
-7.20 |
|
*Return on
total assets (%) |
-5.53 |
-2.73 |
|
*Inventory /
Revenue ×365 |
66 days |
-- |
|
*Accounts
receivable/ Revenue ×365 |
146 days |
-- |
|
*Revenue/Total
assets |
0.25 |
0.38 |
|
*Cost of sales
/ Revenue |
0.96 |
-- |
FINANCIAL COMMENTS
PROFITABILITY:
FAIR
l The revenue of SC appears fairly good in its line.
l SC’s net profit
margin is poor.
l SC’s return on
total assets is fair.
l
SC’s cost of sales is high, comparing with its revenue.
LIQUIDITY:
FAIR
l
The current ratio of SC is maintained in a fair
level.
l
SC’s quick ratio is maintained in a fair level.
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC appears large.
l
The short-term loans of SC appear large.
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: Fair.
CONCLUSIONS
SC is considered medium-sized in its line with fair financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.62 |
|
|
1 |
Rs.100.34 |
|
Euro |
1 |
Rs.70.67 |
|
CNY |
1 |
Rs.10.42 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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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 |
|
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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 |
|
|
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.