MIRA INFORM REPORT
|
Report No. : |
306453 |
|
Report Date : |
06.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
CONNELL CHEMICAL INDUSTRY CO., LTD. |
|
|
|
|
Registered Office : |
No. 245 Kunlun Street, Economic & Technical Development Zone,
Jilin, Jilin Province 132101 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
30.06.2014 |
|
|
|
|
Date of Incorporation : |
23.11.2006 |
|
|
|
|
Com. Reg. No.: |
220200400000042 |
|
|
|
|
Legal Form : |
Shares Limited Company |
|
|
|
|
Line of Business : |
· Engaged in manufacturing aniline, nitrobenzene, hydrogen, oxygen (compression), and oxygen (liquefied) · Engaged in manufacturing nitrogen (compression), nitrogen (liquefied), compressed air, and liquid ammonia (anhydrous ammonia) · Engaged as wholesale of building materials, and steel. ·
Subject product
ranges includes liquid ammonia, nitric acid, nitrobenzene &
aniline |
|
|
|
|
No of Employees : |
3000 (Approximately) |
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 : |
Good |
|
Payment Behaviour : |
Regular |
|
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 |
|
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.
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
Connell
Chemical Industry Co., Ltd.
no. 245 kunlun street, economic &
technical development zone
jilin, jilin province 132101 PR CHINA
TEL: 86 (0) 432-63501588/68105970
FAX: 86 (0) 432-63501577
EXECUTIVE
SUMMARY
Date of Registration : november 23, 2006
REGISTRATION NO. : 220200400000042
LEGAL FORM : shares limited company
CHIEF EXECUTIVE :
song zhiping (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL :
cny 510,000,000
staff : 3,000 (Approximately)
BUSINESS CATEGORY :
manufacturing & trading
REVENUE :
CNY 1,395,456,000 (FROM JAN. 1, 2014 TO JUN. 30, 2014)
EQUITIES :
CNY 2,039,457,000 (AS OF JUN. 30, 2014)
WEBSITE : www.jilinconnell.com
E-MAIL :
n/a
PAYMENT : Regular
MARKET CONDITION : competitive
FINANCIAL CONDITION : stable
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION : average
EXCHANGE RATE : CNY 6.25 = 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 shares limited company of PRC with State Administration of
Industry & Commerce (SAIC) under registration No.: 220200400000042 on November
23, 2006.
SC’s Organization Code Certificate
No.: 79520849-6
SC’s registered capital: cny 510,000,000
SC’s paid-in capital: cny 510,000,000
Registration Change Record:-
No significant changes of SC have
been noted in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Jilin Yilai Trading Co., Ltd |
38.35 |
|
Winstep International Holdings
Limited (Hong Kong) |
21.09 |
|
Bohai Industrial Investment Fund
Management Co., Ltd. (On behalf of Bohai Industrial Investment Fund) |
13.90 |
|
Anrifu Investments Limited |
2.72 |
|
Other Shareholders |
23.94 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman
and General Manager |
Song Zhiping |
|
Director |
Deng Wei |
|
Li Xinzhong |
|
|
Wang Liping |
|
|
Li Guangye |
|
|
Zhang Xiu |
|
|
Yin Weijun |
|
|
Song Zhiguo |
|
|
Li Wanliang |
|
|
Zhang Bo |
|
|
Wang Xiaohua |
|
|
Li Xiaochen |
|
|
Supervisor |
Luo Wei |
|
Hu Yi |
|
|
Dong Wengang |
|
|
Zhang Shoujun |
|
|
Li Bo |
|
|
Huang Xinling |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name %
Jilin Yilai Trading Co., Ltd. 38.35
Winstep International Holdings Limited (Hong
Kong) 21.09
Bohai Industrial Investment Fund Management
Co., Ltd.
(On behalf of Bohai Industrial Investment
Fund) 13.90
Anrifu Investments Limited 2.72
Other Shareholders 23.94
Jilin Yilai Trading
Co., Ltd.
=======================
Registration No.: 220200000072109
Registered Capital: CNY 210,000,000
Winstep
International Holdings Limited (Hong Kong)
==========================================
Date of Registration: April 29, 2006
CR No.: 1041885
Legal Form: Private
MANAGEMENT
Song
Zhiping , Legal
Representative, Chairman and General Manager
-----------------------------------------------------------------------------------------------------
Ø
Gender: F
Ø
Nationality: China
Ø
Age: 59
Ø Qualification:
Masters Degree
Ø Working experience
(s):
At present, working in SC as legal representative, chairman and general manager, also working in Jilin Yilai Trading Co., Ltd. as legal representative
Director
-----------
Deng Wei
Li Xinzhong
Wang Liping
Li Guangye
Zhang Xiu
Yin Weijun
Song Zhiguo
Li Wanliang
Zhang Bo
Wang Xiaohua
Li Xiaochen
Supervisor
-------------
Luo Wei
Hu Yi
Dong Wengang
Zhang Shoujun
Li Bo
Huang Xinling
BUSINESS OPERATION
SC’s registered business scope includes manufacturing
aniline, nitrobenzene, hydrogen, oxygen (compression), and oxygen (liquefied);
manufacturing nitrogen (compression), nitrogen (liquefied), compressed air, and
liquid ammonia (anhydrous ammonia); wholesale of building materials, and steel.
SC is
mainly engaged in manufacturing and selling liquid ammonia, nitric acid, nitrobenzene
& aniline
SC’s
products mainly include: liquid ammonia, nitric acid, nitrobenzene &
aniline
SC sources its materials 100% from domestic
market. SC sells 60% of its products in domestic market, and 40% 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.
Staff & Office:
--------------------------
SC is
known to have approx. 3,000 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 at present.
Inner
Mongolia Connell Chemical Industry Co.Ltd.
------------------------------------------
Date of Registration: November 12, 2010
Registration No.: 152303000014706
Registered Capital: CNY 2,000,000,000
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Regular ( ) 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
The bank
information of SC is not filed in local SAIC.
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
As
of Jun. 30, 2014 |
|
Total assets |
4,900,000 |
5,011,869 |
|
|
------------- |
------------- |
|
Total
liabilities |
2,930,000 |
2,972,412 |
|
Equities |
1,970,000 |
2,039,457 |
|
|
------------- |
------------- |
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
From Jan. 1, 2014 to Jun. 30, 2014 |
|
Revenue |
2,750,000 |
1,395,456 |
|
Profits |
150,000 |
63,456 |
Important Ratios
=============
|
|
As
of Dec. 31, 2013 |
As
of Jun. 30, 2014 |
|
*Liabilities
to assets |
0.60 |
0.59 |
|
*Net profit
margin (%) |
5.45 |
4.55 |
|
*Return on
total assets (%) |
3.06 |
1.27 |
|
*Revenue /
Total assets |
0.56 |
0.28 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
l The revenue of SC appears fairly good 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:
FAIRLY GOOD
l
The debt ratio of SC is average.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Stable.
CONCLUSIONS
SC is considered large-sized in its line with stable
financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.87 |
|
UK Pound |
1 |
Rs.94.07 |
|
Euro |
1 |
Rs.70.19 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
MNL |
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.