MIRA INFORM REPORT

 

 

Report No. :

325089

Report Date :

03.06.2015

 

IDENTIFICATION DETAILS

 

Name :

LIH SHYANG INDUSTRIAL CO., LTD.

 

 

Registered Office :

No.73, Chang Mei Rd., Sec.3, Ho-Mei Chen Chang Hwa Hsien

 

 

Country :

Taiwan

 

 

Date of Incorporation :

03.02.1969

 

 

Com. Reg. No.:

58099212

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and Sale of Nylon Textured Yarn.

 

 

No. of Employees :

About 200

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Taiwan

A2

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

TAIWAN - ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, and following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand—Taipei’s first-ever with a country with which it does not maintain diplomatic relations—and in November inked a trade pact with Singapore. However, negotiations on follow-on components of ECFA, including an agreement on trade in services, deals on trade in goods, and dispute resolution—have stalled. In early 2014, the government bowed to public demand for a new law governing the oversight of cross-Strait agreements, before any additional deals with China are implemented; the legislature has yet to vote on such legislation, leaving the future of ECFA up in the air as President MA enters his final full year in office. MA has portrayed ECFA as Taiwan’s key to greater participation in East Asia’s free trade networks. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 expected to account for 20% of the island's total population by 2025. The island runs a trade surplus, largely because of its surplus with China, and its foreign reserves are the world's fourth largest, behind those of China, Japan, and Russia. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island, and has also secured greater market access for its investors in the mainland. In August 2012, the Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which has helped Taiwan develop into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also pose new challenges as the island becomes more economically dependent on China at a time when political differences remain unresolved. During 2014, the press paid increasing attention to domestic economic issues while pushing aside the debates over trade liberalization that were a hallmark of MA’s tenure. The media focused on the divide between Taiwan’s “haves” and “have nots,” providing extensive coverage of public frustration with stagnant wages, skyrocketing housing prices, and the difficulty of finding entry-level jobs.

 

Source : CIA

 


Contact Points

 

Company Name:

LIH SHYANG INDUSTRIAL CO., LTD.

Supplied Name:

LIH SHYANG INDUSTRIAL CO., LTD

Trading Address:

No.73, Chang Mei Rd., Sec.3, Ho-Mei Chen Chang Hwa Hsien Taiwan

Supplied Address:

NO 73 SEC CHANG-MEI ROAD HOMEI CHANDHWA TAIWAN

Telephone Number:

+886-4-755-2111

Fax Number:

+886-4-755-8048

E-mail:

lishyang@ms25.hinet.net

Website:

www.lishyang.com

 

Notes: The exact name and address are as above.

 

 

Company Identification Details

 

Registered Name:

Lih Shyang Industrial Co., Ltd.

Registered Address:

No.73, Chang Mei Rd., Sec.3, Ho-Mei Chen Chang Hwa Hsien Taiwan

Date of Foundation:

1969-2-3

Registration Number:

58099212

Registry:

MOEA Central Office

Registered Capital:

NTD 260,000,000 (USD 8,060,000)

(As of 2015.06, 1 NTD = 0.0310 USD)

Paid-up Capital:

NTD 260,000,000 (USD 8,060,000)

Legal Representatives:

Zhentong Chen

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sale of nylon textured yarn.

Staff:

About 200 Employees

Listed at Stock Exchange:

No

Date of Last Annual Return:

2014-4-16

 

 

History

 

Subject was incorporated on 1969-2-3 with registered number 58099212 as Joint Stock Company in Taiwan.


 

Corporate Structure

 

Factory

Address:

No.73, Chang Mei Rd., Sec.3, Ho-Mei Chen Chang Hwa Hsien Taiwan

Date of Foundation:

1969-1-1

Date of Registration:

1969-10-1

Factory Registration Number:

99646195

Factory Manager:

Zhentong Chen

Status:

In Production

Date of Last Annual Return:

2001-12-17

Major Products:

111 spinning

112 weaving

114 printing and dyeing

 

 

Shareholders

 

Major Shareholders

 

Name

Subscription Shares

Zhentong Chen

4,127,668         

Baiqing Chen

520,000

Dongliang Xu

337,614

Guiyun Chen

126,026

Xijia Xu

1,606,543

Fulong Xu

222,323

Mingju Lai

676,658

Mingcai Qiu

75,000

Qinghuo Qiu

1,106,477

Xihua Xu

1,195,838

Yuxiang Ke

301,771

A-Meng Ye

58,026

 

 

Management Information

 

Core Management

 

Directors

1

Name

Zhentong Chen

Position

Board Chairman & Manager

Appointment Date of Manager

1997-9-1

2

Name

Baiqing Chen

Position

Executive Director

3

Name

Dongliang Xu

Position

Executive Director

4

Name

Guiyun Chen

Position

Director

5

Name

Xijia Xu

Position

Director

6

Name

Fulong Xu

Position

Director

7

Name

Mingju Lai

Position

Director

8

Name

Mingcai Qiu

Position

Director

9

Name

Qinghuo Qiu

Position

Director

10

Name

Xihua Xu

Position

Supervisor

11

Name

Yuxiang Ke

Position

Supervisor

12

Name

A-Meng Ye

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 200 Employees

 

 

Operation Information

 

Offices & Factories

 

 

Headquarters

Add

No.73, Chang Mei Rd., Sec.3, Ho-Mei Chen Chang Hwa Hsien, Taiwan

 

Production Information

 

Subject is engaged in manufacturing of nylon textured yarn.

Subject has a factory in Chang Hwa Hsien, Taiwan for production.

Subject’s annual production capacity is about 25,000 tons.

Subject obtained the certification of ISO 9001:2000.

We obtained some of subject’s production facilities’ information as follows for reference.

 

Department

Facilities

Nylon Textured Yarn Raw White

Texturing Machines

Nylon Textured Yarn Dyed

Texturing Machines

Soft Winding Equipment

High Precision Winding Machines

Automatic Equipment of (Filling) Clipping, Dehydration and Doffing

Automatic Dehydration and Drying Equipment

 

Purchase Information

 

The registered activities of subject:

1

Manufacturing, processing and sale of chemical fiber

2

Manufacturing, processing and sale of all kinds of textile, knitwear and knitting

3

International trade business

 

The raw materials for production are mostly purchased in domestic market.

 

Sales Information

 

Subject is engaged in sale of nylon textured yarn.

The major products sold by subject include nylon textured yarn raw white, nylon textured yarn dyed, spandex covering yarn and long fiber yarn.

The products are applied to circular knitting, raschel knitting, spandex covering yarn, tricot fabric, fancy covering yarn, socks and weaving.

Subject’s sales regions include domestic market, Japan, Southeast Asia, Europe and America, etc.

Subject’s major customers are Multitubo, S.A and Intex Connections, Inc.

 

Import and export right:

Import right

Yes

Export right

Yes

 

 

Settlements

 

Purchase

 

Domestic Purchase

Product

Raw materials

Payment Terms

Cash, T/T

 

Foreign Purchase

 

Subject has little import.

 

Sales

 

Domestic Markets

Product

Yarn

Selling Terms

Cash, T/T

 

Export

Product

Yarn

Selling Terms

L/C, T/T

 

 

Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

 

Subject’s relevant staff Mr. Yang declined to disclose its financials citing the grounds of company’s confidentiality; from other sources, we learned that subject’s annual turnover is around USD 100 million.

 

 

Bankers

 

Subject declined to disclose its bank details; from other source we cannot obtain the relevant information, either.

 

 

Public Record

 

Mortgage

 

No chattel mortgage record of subject has been found within the recent 3 months.

 

Lawsuit

 

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

 

Interview Details

 

Name

Mr. Yang

Department

Sales Department


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.83

UK Pound

1

Rs.97.10

Euro

1

Rs.69.74

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.