MIRA INFORM REPORT
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Report No. : |
309194 |
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Report Date : |
28.02.2015 |
IDENTIFICATION DETAILS
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Name : |
ZHEJIANG EAST-ASIA PHARMACEUTICAL CO., LTD. |
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Registered Office : |
Economic Development Zone Of Sanmen County, Taizhou, Zhejiang Province
317100 Pr |
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Country : |
China |
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Financials (as on) : |
30.06.2014 |
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Date of Incorporation : |
06.02.1998 |
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Com. Reg. No.: |
331022000001126 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing active pharmaceutical ingredient (APIs), including
erdosteine, ofloxacin, ketoconazole, loratadine, tiopronin, levofloxacin
hydrochloride, levofloxacin lactate, terbinafine, trimebutine, levofloxacin;
freight; manufacturing ketoconazole, ofloxacin, and trimebutine maleate;
freight: ordinary freight; and selling chemical equipment, hardware, and
steel materials. |
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No. of Employees : |
360 |
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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Maximum Credit Limit : |
USD 2,000,000 |
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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
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Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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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. 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
ZHEJIANG EAST-ASIA PHARMACEUTICAL
CO., LTD.
ECONOMIC DEVELOPMENT ZONE OF SANMEN county, TAIZHOU
ZHEJIANG PROVINCE 317100 PR CHINA
TEL: 86 (0) 576-84273552/83310959/83366222
FAX: 86 (0) 576-84285399
EXECUTIVE
SUMMARY
DATE OF REGISTRATION :
FEBRUARY 6, 1998
REGISTRATION NO. : 331022000001126
LEGAL FORM : LIMITED
LIABILITIES COMPANY
CHIEF EXECUTIVE :
CHI
ZHENGMING (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 25,000,000
staff :
360
BUSINESS CATEGORY :
MANUFACTURING & TRADING
REVENUE :
CNY 91,480,000 (FROM JAN. 1, 2014 TO JUN. 30, 2014)
EQUITIES :
CNY 201,450,000 (AS OF JUN. 30, 2014)
WEBSITE : www.eapharm.net
E-MAIL :
wwang@eapharm.net
PAYMENT :
AVERAGE
Recommended Credit Limit : UP TO USD 2,000,000
MARKET CONDITION : competitive
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND :
fairly 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
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.:
331022000001126 on February 6, 1998.
SC’s Organization Code Certificate No.:
14811831-2
SC’s Tax No.: 331022148118312
SC’s registered capital: CNY 25,000,000
SC’s paid-in capital: CNY 25,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2005-11-01 |
Shareholder (s) |
Chi Zhengming 90% Liang Lingfei 10% |
Liang Lingfei 10% Zhejiang East-Asia Pharmaceutical Chemical
Co., Ltd. 90% |
|
2006-01-04 |
Shareholder (s) |
Liang Lingfei 10% Zhejiang East-Asia Pharmaceutical Chemical
Co., Ltd. 90% |
Chi Zhengming 90% Liang Lingfei 10% |
|
2007-07-30 |
Registered Capital |
CNY 5,000,000 |
CNY 25,000,000 |
|
Shareholder (s) (% of Shareholding) |
Chi Zhengming 90% Liang Lingfei 10% |
Liang Lingfei 2% Chi Zhengming 18% Chi Cheng 36% Zhejiang East-Asia Pharmaceutical Chemical Co., Ltd. 44% |
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Registration No. |
3310221000101 |
331022000001126 |
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|
2007-08-13 |
Company Name |
Zhejiang Sanmen Zhengming Chemical Co., Ltd. |
Zhejiang East-Asia Pharmaceutical Co., Ltd. |
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-- |
Shareholder (s) (% of Shareholding) |
Liang Lingfei 2% Chi Zhengming 18% Chi Cheng 36% Zhejiang East-Asia Pharmaceutical Chemical Co., Ltd. 44% |
Wang Xiaomin 0.35% Zhang Jianghui 0.24% Zhang Yunhua 0.35% He Xiaopeng 0.35% Chen Lingzhi 0.35% Chi Ying 0.35% Zhang Ji 1.18% Wang Wei 1.18% Xia Daomin 1.76% Taizhou Ruikang Investment Partnership Enterprise
(Limited Partnership) 4.00% Chi Cheng 6.70% Chi Zhengming 76.60% Liang Lingfei 5.76% He Jianpeng 0.24% Wang Haiping 0.35% Zhang Zuhong 0.24% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Wang Xiaomin |
0.35 |
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Zhang Jianghui |
0.24 |
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Zhang Yunhua |
0.35 |
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He Xiaopeng |
0.35 |
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Chen Lingzhi |
0.35 |
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Chi Ying |
0.35 |
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Zhang Ji |
1.18 |
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Wang Wei |
1.18 |
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Xia Daomin |
1.76 |
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Taizhou Ruikang Investment Partnership Enterprise (Limited
Partnership) |
4.00 |
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Chi Cheng |
6.70 |
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Chi Zhengming |
76.60 |
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Liang Lingfei |
5.76 |
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He Jianpeng |
0.24 |
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Wang Haiping |
0.35 |
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Zhang Zuhong |
0.24 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Chi Zhengming |
|
Supervisor |
Liang Lingfei |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Wang Xiaomin 0.35
Zhang Jianghui 0.24
Zhang Yunhua 0.35
He Xiaopeng 0.35
Chen Lingzhi 0.35
Chi Ying 0.35
Zhang Ji 1.18
Wang Wei 1.18
Xia Daomin 1.76
Taizhou Ruikang Investment Partnership
Enterprise (Limited Partnership) 4.00
Chi Cheng 6.70
Chi Zhengming 76.60
Liang Lingfei 5.76
He Jianpeng 0.24
Wang Haiping 0.35
Zhang Zuhong 0.24
MANAGEMENT
Chi Zhengming, Legal Representative, Chairman and General
Manager
---------------------------------------------------------------------------------------------------------
Gender: M
Age: 58
ID# 332603570910003
Qualification: University
Working experience (s):
At present, working in SC as legal representative, chairman and general
manager
Supervisor
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Liang Lingfei ID# 332603195905190025
BUSINESS OPERATION
SC’s registered business scope includes manufacturing active
pharmaceutical ingredient (APIs), including erdosteine, ofloxacin,
ketoconazole, loratadine, tiopronin, levofloxacin hydrochloride, levofloxacin
lactate, terbinafine, trimebutine, levofloxacin; freight; manufacturing
ketoconazole, ofloxacin, and trimebutine maleate; freight: ordinary freight;
and selling chemical equipment, hardware, and steel materials.
SC is mainly engaged in manufacturing and selling active pharmaceutical
ingredient (APIs).
SC’s products mainly include:
Ropinirole
Levocetirizine
Escitalopram
Citalopram
Ofloxacin
Ofloxacin hydrochloride
Levofloxacin hydrochloride
Trimebutine
Etc.
SC sources its materials 100% from domestic market. SC sells 70% of its
products in domestic market and 30% 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. 360
staff at present.
SC owns an area as its operating office and factory, but the detailed
information is unknown.
RELATED COMPANY
Zhejiang Dongbang Pharmaceutical Co., Ltd.
Zhejiang
East-Asia Pharm-Chemical Imp. & Exp. Co., Ltd.
Zhejiang Jinming Pharmaceutical Co., Ltd.
Shanghai Pukang Pharmaceutical Co., Ltd.
Shanghai Youshou Pharmaceutical Technology Development Co., Ltd.
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:
Industrial and Commercial Bank of China Sanmen Sub-branch
AC#: 1207071109045008285
FINANCIALS
Financial Summary
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Unit: CNY’000 |
As of Jun. 30,
2014 |
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Total assets |
422,610 |
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Total liabilities |
221,160 |
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Equities |
201,450 |
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From Jan. 1,
2014 to Jun. 30, 2014 |
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Revenue |
91,480 |
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Profits |
3,120 |
Important Ratios
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As of Jun. 30,
2014 |
|
*Liabilities to assets |
0.52 |
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*Net profit margin (%) |
3.41 |
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*Return on total assets (%) |
0.74 |
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*Revenue/Total assets |
0.22 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears fairly good in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
LIQUIDITY: FAIR
SC’s revenue is in a fair level, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average.
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. Taking into consideration of SC’s general performance, reputation
as well as market conditions, a credit line up to USD 2,000,000 would appear to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.79 |
|
|
1 |
Rs.95.42 |
|
Euro |
1 |
Rs.69.29 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>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 |
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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 |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<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.