MIRA INFORM REPORT

 

 

Report No. :

327109

Report Date :

15.06.2015

 

IDENTIFICATION DETAILS

 

Name :

APOTEX INC.

 

 

Registered Office :

150 Signet Drive, Toronto, Ontario M9L 1T9

 

 

Country :

Canada

 

 

Date of Incorporation :

24.05.1974

 

 

Legal Form :

Corporation – Profit  

 

 

Line of Business :

Subject is a pharmaceutical company, engages in the research and development, manufacture, and distribution of generic pharmaceuticals in Canada and internationally. It offers products in various dosage forms, such as liquids, ophthalmics, nasal sprays, and injectables.

 

 

No. of Employees :

2,800 (in Canada)

 

 

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 :

Exist

 

 

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)

Canada

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

CANADA - ECONOMIC OVERVIEW

 

As a high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US, its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian merchandise exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its abundant natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the early intervention by the Bank of Canada and the financial sector's tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-14 and plans to balance the budget by 2015. In addition, the country's petroleum sector is rapidly expanding, because Alberta's oil sands significantly boosted Canada's proven oil reserves. Canada now ranks third in the world in proved oil reserves behind Saudi Arabia and Venezuela.

 

Source : CIA

 

Company Name and address

 

Company name:            APOTEX INC.

 

Address:                       150 Signet Drive, Toronto, Ontario M9L 1T9 - Canada

 

Telephone:                    +1 416-749-9300

 

Fax:                              +1 416-401-3849

 

Website:                       www.apotex.com

 

Corporate ID#:              001612278

 

State:                           Ontario

 

Judicial form:                Corporation – Profit  

 

Date incorporated:        April 1 2004

 

Date founded:              May 24, 1974

 

Stock:                           -

 

Value:                           -

 

Name of manager:         Jeremy B. DESAI

 

 

ACTIVITIES & OPERATIONS

 

IST

 

Business:

 

Apotex Inc., a pharmaceutical company, engages in the research and development, manufacture, and distribution of generic pharmaceuticals in Canada and internationally. It offers products in various dosage forms, such as liquids, ophthalmics, nasal sprays, and injectables.

 

The company serves customers through pharmacies and healthcare facilities.

 

It also exports its generic pharmaceuticals internationally.

 

The company was founded in 1974 and is based in Toronto, Canada with additional offices in Saudi Arabia.

 

It also has facilities in Montreal, Richmond Hill, Etobicoke, Mississauga, Brantford, Windsor, Winnipeg, London, Calgary, and Vancouver, Canada; and subsidiary locations, joint ventures, or licensing agreements primarily in Australia, Belgium, Czech Republic, Italy, Mexico, the Netherlands, New Zealand, Poland, and Turkey.

 

Apotex markets its drugs throughout Canada and the US, as well as in about 115 other countries in the Asia/Pacific region, Africa, Europe, Latin America, and the Middle East.

Apotex Inc. operates as a subsidiary of Apotex Pharmaceutical Holdings Inc.

 

 

Last news :

 

March 30, 2015

Apotex Inc. has announced realignment in its structure and operating model. The objective of the realignment is to better serve customers through the establishment of defined lines of business by aligning internal process streams in support of company strategies. Under the new structure, Apotex will now operate along 3 core Lines of Business: Global Generics; Global Specialty

Pharma; and Global Active Pharmaceutical Ingredients. Global Generics is responsible for the delivery of the generics portfolio arising out of the Apotex group of companies and third parties to all global markets. Global Specialty Pharma is responsible for the development, manufacturing and global commercialisation of Biosimilars and other specialty products made by Apotex or supplied by third parties.

 

March 16, 2015

Apotex Inc. announced a significant realignment in its structure and operating model. The objective of the realignment is to better serve customers through the establishment of defined lines of business by aligning internal process streams in support of company strategies.

Under the new structure, Apotex will now operate along 3 core Lines of Business:

- Global Generics: Responsible for the delivery of the generics portfolio arising out of the Apotex group of companies and third parties to all global markets.

- Global Specialty Pharma: Responsible for the development, manufacturing and global commercialisation of Biosimilars and other specialty products made by Apotex or supplied by third parties.

- Global Active Pharmaceutical Ingredients (API): Responsible for delivering API to the Apotex Group and sales of select API's to other global customers. The company announced the following appointments to lead the 3 Lines of Business, reporting to Dr. Desai.

Effective April 1, 2015: Jeff Watson, currently President of US & Canada Commercial, will take on the role of President Global Generics;

Steve Lydeamore, currently Chief Business Officer and Managing Director International, will take on the role of President Global Specialty Pharma; and Dr. Keshava Murthy will continue in his role of President Global API.

 

 

Suppliers include:

 

SARACA LABORATORIES LTD.

Plot No.320, Swamy Housing Society Ltd, Madhapur Hyderabad 500 081 India

 

DIVIS LABORATORIES LIMITED
Divi Towers, Dharam Karan Road, Ameerpet Hyderabad 500 016 India

 

 

Staff:    2,800 (in Canada)

 

 

Operations & branches:

 

At the headquarters, we find a large factory, warehouse and office.

 

The Company maintains branches located:

 

465 Garyray Drive
Toronto, Ontario M9L 1P7

 

200 Barmac Drive
Toronto, Ontario M9L 2Z7

 

607-755 Boul. St-Jean
Pointe-Claire, Quebec H9R 5M9

 

 

SHAREHOLDERS & MANAGERS

 

Shareholders:

 

APOTEX PHARMACEUTICAL HOLDINGS INC.

150 Signet Drive

Toronto, Ontario M9L 1T9 - Canada

Federal Corporation

Incorporated on 03-18-1996

ID# 3239748

 

 

Management:

 

Dr. Jeremy B. DESAI is the President and CEO since August 2014.

He replaced Jack KAY.

He served as the Chief Operating Officer of Apotex Inc. since January 2011 and served as its Executive Vice President of Research & Development and Global Head of R&D since April 2006. He has 30 years of experience working for both branded and generic pharmaceutical companies. Dr. Desai served as Senior Vice President of Research and Development at Apotex since joining it in January 2003 and Vice President of Research & Development for IVAX Pharmaceuticals U.K. since June 2001.

His background provides an in-depth understanding of pharmaceutical products as well as knowledge of international markets. He has been a Non-Independent Director of Cangene Corp. since December 6, 2006.

Dr. Desai holds a Degree in Pharmacy in 1981, a Ph.D. in Pharmacy in 1985 and an M.B.A. in 1993 from the Open University Business School.

 

Bernard Charles SHERMAN is the Founder, Chairman and Director

Dr. Bernard Charles Sherman founded Apotex Holdings Inc. in 1974 and serves as its President. Dr. Sherman founded Apotex Inc. in 1974 and serves as its Chairman and served as its Chief Executive Officer. He serves as the Chairman of Shermco Inc. He served as Chairman of Cangene Corp., until December 2006. He served as a Director of Citadel Gold Mines Inc. from February 4, 1988 to January 31, 2007. He serves on the Board of Governors for Mount Sinai Hospital and the Baycrest Centre for Geriatric Care in Toronto. He is also a member of the board of directors of Barr (FN1).

 

 

He served as Director of Cangene Corp., from November 1995 to December 2006.

Dr. Sherman graduated with a Ph.D. from Massachusetts Institute of Technology in 1967.

 

 

As far as we know, they are involved in other corporations, including:

 

APOTEX HOLDINGS, INC.

150 Signet Drive, Toronto, Ontario M9L 1T9 – Canada

Federal Corporation

Incorporated on 01-07-2000

ID# 3782565

 

APOTEX PHARMACEUTICAL HOLDINGS INC.

150 Signet Drive, Toronto, Ontario M9L 1T9 - Canada

Federal Corporation

Incorporated on 03-18-1996

ID# 3239748

and others.

 

 

FINANCIALS

 

In Canada, privately held corporations are not required to publish any financials.

 

On a direct call, a financial assistant controlled the present report but deferred any financials.

 

Outside sources (bank) gave estimate sales for year 2014 in the range of

CAD 450,000,000= verse CAD 400,000,000=

 

The business is profitable.

 

Banks:  Royal Bank of Canada

            Bank of Canada

 

 

LEGAL FILINGS

 

Legal filings & complaints:

As of today date, there are several legal filing pending with various Courts, involving the Company as plaintiff or defendant.

 

Secured debts summary:  

Several

 

 

COMPANY CREDIT HISTORY

 

Trade references:

 

Date reported:               May 2015

High credit:                   CAD 50,000+

Now owing:                   0

Past due:                      0

Last purchase:              April 2015

Line of business:           July 2014

Paying status:               2 days beyond terms

 

Date reported:               May 2015

High credit:                   CAD 5,000,000+

Now owing:                   0

Past due:                      0

Last purchase:              April 2015

Line of business:           Payroll

Paying status:               As agreed

 

Date reported:               May 2015

High credit:                   CAD 1,200

Now owing:                   0

Past due:                      0

Last purchase:              April 2015

Line of business:           Telecommunications

Paying status:               On beyond terms

 

 

Domestic credit history:

 

National Credit Bureaus gave a correct credit rating.

 

According to our credit analysts, during the last 6 months, domestic payments were made with an average of 0 to 2 days beyond terms.

 

 

International credit history:

Payments of imports are currently made with an average of 2 to 5 days beyond terms.

 

 

Other comments:

The Company is developing a strong business.

The bank confirmed a regular account.

The Company is in good standing.

This means that all local and federal taxes were paid on due date.

The risk is low.

 

Our opinion:

A business connection may be conducted.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.03

UK Pound

1

Rs.99.27

Euro

1

Rs.71.90

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

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

 

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.