MIRA INFORM REPORT
|
Report No. : |
352470 |
|
Report Date : |
05.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
SHANDONG NEW SILK ROAD CO., LTD. |
|
|
|
|
Registered Office : |
Linyi High-Tech Industrial Development Zone, Linyi City, Shandong Province,
276017 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
26.03.2003 |
|
|
|
|
Com. Reg. No.: |
370000400004009 |
|
|
|
|
Legal Form : |
Shares Limited Co. |
|
|
|
|
Line of Business : |
Subject is engaged in high grade fabric weaving & dyeing, final
finishing processing; manufacturing and selling high grade knitting grey
cloth fabric, weaving & dyeing, raschel blanket, acrylic blanket, synthetic fiber blanket series products,
garments, bed clothes, decorative textiles (excluding national textile quota
management of goods) (With permit if needed, the period of validity will be
subject to license) |
|
|
|
|
No. of Employees : |
Not Available |
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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
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. 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
SHANDONG NEW SILK ROAD CO., LTD.
LINYI HIGH-TECH INDUSTRIAL DEVELOPMENT ZONE, LINYI CITY,
SHANDONG PROVINCE, 276017 PR CHINA
TEL: 86 (0) 539-3105018/3105100/3105228 FAX: 86 (0) 539-3105300
EXECUTIVE
SUMMARY
INCORPORATION DATE :
MARCH 26, 2003
REGISTRATION NO. :
370000400004009
REGISTERED LEGAL FORM : SHARES LIMITED CO.
CHIEF EXECUTIVE :
MR. QIAN CHUNSHENG (LEGAL
REPRESENTATIVE)
STAFF STRENGTH :
N/A
REGISTERED CAPITAL :
CNY 189,473,700
BUSINESS LINE :
MANUFACTURING & TRADING
TURNOVER :
CNY 852,900,000 (AS OF DEC. 31,
2014)
EQUITIES :
CNY 480,730,000 (AS OF DEC. 31, 2014)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.4013 = USD 1
Adopted
abbreviations:
ANS - amount not stated NS
- not stated SC - subject company (the
company inquired by you)
NA - not available CNY
- China Yuan Renminbi
SC was registered as a shares
limited co. at provincial Administration for Industry & Commerce
(AIC - The official body of issuing and renewing business license).
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into shares
of equal par value and the co. raises capital by issuing share certificates
by promotion or by public offer. Shareholders bear limited liability to the
extent of shareholding, and the co. is liable for its debts only to the
extent of its total assets. The co has independent property of legal person
and enjoys property rights of legal person. The characteristics of the
shares limited co. are as follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be
domiciled in China.. Natural person are allowed to serve as promoters. The minimum registered capital
of a co. is CNY 5M. while that of the co. with foreign investment is CNY
5M. The total capital of a co. which propose to apply for publicly listed must
be no less than CNY 30M. The board of directors must
consist of five to nineteen directors. If the co. raises capital by
public offer, the promoters must not subscribe less than 35% of the total
shares. the promoters’ shares are restricted to transfer- within one year
of the offer. A state-owned enterprise that is restructured into a
shares limited co. must comply with the conditions & requirements
specified under the law & administrative rule.
SC’s registered business scope includes high grade fabric weaving &
dyeing, final finishing processing; manufacturing and selling high grade
knitting grey cloth fabric, weaving & dyeing, raschel blanket, acrylic blanket, synthetic fiber blanket series
products, garments, bed clothes, decorative textiles (excluding national
textile quota management of goods) (With permit if needed, the period of
validity will be subject to license)
SC is mainly engaged in manufacturing and selling raschel blanket, acrylic
blanket, synthetic fiber blanket series products, bed clothes, garments and
other textile products.
Mr. Qian Chunsheng is legal representative and chairman of SC at
present.
SC declined to disclose the employee’s information.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in the development zone of Linyi. Our
checks reveal that SC owns the total premise, but SC’s accountant refused to
release the gross area.
http://www.sdnewsilkroad.com/ The design is
professional and the content is well organized. At present it is in Chinese
version.
Changes of its registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
|
2014-06-30 |
Registered capital |
USD 16,000,000 |
USD 28,000,000 |
|
2015-04-21 |
Shareholder and shareholdings |
Blanket Holdings Limited (Hong Kong) 100% |
Blanket Holdings Limited (Hong Kong) 99.9% Linyi Kangzheng Investment Co., Ltd. (Literal Translation) 0.1% |
|
Legal form |
Wholly foreign-owned enterprise |
Chinese-foreign equity joint venture enterprise |
|
|
2015-07-15 |
Shareholders name |
Blanket Holdings Limited (Hong Kong) |
New Silk Road Holdings Limited (Hong Kong) |
|
2015-08-17 |
Company name |
Linyi Grene Industry & Trading Co., Ltd. |
Present one |
|
Registered capital |
USD 28,000,000 |
CNY 180,000,000 |
|
|
Legal form |
Chinese-foreign equity joint venture enterprise |
Present one |
|
|
2015-09-17 |
Shareholder and shareholdings |
New Silk Road Holdings Limited (Hong Kong) 99.9% Linyi Kangzheng Investment Co., Ltd. (Literal Translation) 0.1% |
|
|
Registered capital |
CNY 180,000,000 |
Present amounts |
Organization Code: 751750013
See below for SC as executive party (defendant).
|
Executed Party |
SC |
|
Court |
Linyi City Luozhuang District People's Court |
|
Date of Case |
2008-12-23 |
|
Case Number |
(2009) 00112 |
|
Claim Amount |
CNY 4,650,000 |
|
Case Status |
-- |
|
Executed Party |
SC |
|
Court |
Linyi City Luozhuang District People's Court |
|
Date of Case |
2008-12-21 |
|
Case Number |
(2009) 00099 |
|
Claim Amount |
CNY 4,500,000 |
|
Case Status |
-- |
Remark: Due to the lack of
information, we are unable to provide the cause of action, judgment or other
information.
MAIN SHAREHOLDERS:
Name %
of Shareholding
New Silk Road Holdings Limited (Hong Kong) 94.91
Tongxiang Haolan Growth Equity Investment Funds Partnership 5.00
(Limited Partnership) (Literal
Translation)
Linyi Kangzheng Investment Co., Ltd. (Literal Translation) 0.09
New Silk Road Holdings Limited (Hong Kong)
=============================
Incorporation Date: 2007-6-13
Registration No.:1141110
Registered Legal Form: Private company limited by shares
Active Status: Live
Previous name: Blanket Holdings Limited (Hong Kong)
Tongxiang Haolan Growth Equity Investment Funds Partnership (Limited
Partnership) (Literal Translation)
=========================================
Incorporation Date: 2015-08-31
Registered No.: 330483000175981
Linyi Kangzheng Investment Co., Ltd. (Literal Translation)
========================================
Incorporation Date: 2010-07-29
Registered No.: 371330200001367
Legal Representative: Qian Chunsheng
Legal representative and Chairman:
Mr. Qian Chunsheng, about 51 years old. He is currently responsible for
the overall management of SC.
Working Experience(s):
At present Working
in SC as legal representative and chairman.
Also working in Linyi Kangzheng Investment Co., Ltd. (Literal
Translation), Shandong Xinguang Industry Group Co., Ltd., Shandong Xinguang
Stock Co., Ltd. and Linyi Xinguang Blanket Co., Ltd. as legal representative.
General manager and Director:
Chen Xibin is currently responsible for the daily management of SC.
Working Experience(s):
At present Working
in SC as general manager and director.
Also working in Linyi Xinguang Blanket Co., Ltd. as general manager and
director.
Directors:
Sun Qisheng
Li Fuqiang
Zhang Jingxin
Supervisors:
Tian Liduan
Liu Xiuhua
SC is mainly engaged in manufacturing and selling raschel blanket,
acrylic blanket, synthetic fiber blanket series products, bed clothes, garments
and other textile products.
SC’s products mainly include: raschel blanket, acrylic blanket,
synthetic fiber blanket series products, bed clothes, garments and other
textile products.
SC sources its materials 100% from domestic market. SC sells 20% of its
products in domestic market, and 80% to overseas market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Note: SC refused
to release its major suppliers and customers.
TRADEMARKS & PATENTS
Registration Date 2011-8-14
Trademark Design 
Registration No. 8254405
Registration Date 2011-5-7
Trademark Design 
Registration No. 9088359
Registration Date 2012-2-7
Trademark Design 
According to the website:
Shandong Grand New Material Technology Co., Ltd.
==========================
Incorporation Date: 2011-02-24
Registration No.: 371300200025735
Legal Representative: Zhu Changling
Website: http://www.sdgelande.cn/
Shandong Xinguang Industry Group Co., Ltd.
==========================
Incorporation Date: 1992-11-21
Registration No.: 371300018015462
Legal Representative: Qian Chunsheng
Website: http://www.xinguangjituan.com/
Shandong Xinguang Stock Co., Ltd.
==========================
Incorporation Date: 1993-08-30
Registration No.: 370000018045674
Legal Representative: Qian Chunsheng
Website: www.xinguanggufen.com
Subsidiary:
Linyi Xinguang Blanket Co., Ltd.
=================================
Incorporation Date: 1996-01-01
Registered No.: 371300400002447
Legal Representative: Qian Chunsheng
Website: http://www.xgblanket.com/
Overall payment appraisal:
( ) Excellent (
) Good (X) Average ( )
Fair ( ) Poor
( ) Not yet 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.
SC declined to release its bank details.
Balance
Sheet
Unit: CNY’000
|
|
as of Dec. 31,
2014 |
|
Cash & bank |
71,720 |
|
Inventory |
96,820 |
|
Accounts receivable |
109,080 |
|
Advances to suppliers |
26,940 |
|
Other receivables |
6,090 |
|
Export rebates |
7,350 |
|
Notes receivable |
200 |
|
Other current assets |
0 |
|
|
------------------ |
|
Current assets |
318,200 |
|
Fixed assets net value |
462,540 |
|
Projects under construction |
25,210 |
|
Long term equity investment |
84,160 |
|
Intangible assets & other assets |
25,320 |
|
|
------------------ |
|
Total assets |
915,430 |
|
|
============= |
|
Short loans |
288,800 |
|
Accounts payable |
60,920 |
|
Accounts from customers |
12,550 |
|
Taxes payable |
340 |
|
Other accounts payable |
6,350 |
|
Accrued wages |
16,030 |
|
Notes payable |
0 |
|
|
------------------ |
|
Current liabilities |
384,990 |
|
Long term accounts payable |
14,080 |
|
Special accounts payable |
9,920 |
|
Long term loans |
25,710 |
|
|
------------------ |
|
Total liabilities |
434,700 |
|
Equities |
480,730 |
|
|
------------------ |
|
Total liabilities & equities |
915,430 |
|
|
============= |
Income
Statement
Unit: CNY’000
|
|
as of Dec. 31,
2014 |
|
Turnover |
852,900 |
|
Cost of goods sold |
648,690 |
|
Taxes and additional of main operation |
4,070 |
|
Sales expense |
27,510 |
|
Management expense |
56,300 |
|
Finance expense |
22,740 |
|
Assets impairment loss |
0 |
|
Other operating profit |
0 |
|
Investment income |
100,000 |
|
Non-operation income |
2,190 |
|
Non-operating expenses |
1,320 |
|
Profit before tax |
194,460 |
|
Less: profit tax |
14,680 |
|
Profits |
179,780 |
Important
Ratios
=============
|
|
as of Dec. 31,
2014 |
|
*Current ratio |
0.83 |
|
*Quick ratio |
0.58 |
|
*Liabilities to assets |
0.47 |
|
*Net profit margin (%) |
21.08 |
|
*Return on total assets (%) |
19.64 |
|
*Inventory /Turnover ×365 |
42 days |
|
*Accounts receivable/Turnover ×365 |
47 days |
|
*Turnover/Total assets |
0.93 |
|
* Cost of goods sold/Turnover |
0.76 |
PROFITABILITY:
GOOD
The turnover of SC appears fairly good in its line.
SC’s net profit margin is good.
SC’s return on total assets is good.
SC’s cost of goods sold is average, comparing with its turnover.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a fair level.
SC’s inventory appears average.
SC’s accounts receivable appears average.
SC’s short-term loan is fairly large in 2014.
SC’s turnover is in a fair level, comparing with the size of its total
assets.
LEVERAGE: FAIRLY
GOOD
The debt ratio of SC is low.
The risk for SC to go bankrupt is average.
Overall financial condition
of the SC: Fairly stable.
SC is considered with fairly stable financial conditions. The fairly
large amount of short-term loan could be a threat to SC’s financial condition.
After our research and based on the information obtained.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.84 |
|
|
1 |
Rs.101.04 |
|
Euro |
1 |
Rs.73.05 |
|
CNY |
1 |
Rs.10.41 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
HEE |
|
|
|
|
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.