MIRA INFORM REPORT
|
Report No. : |
322262 |
|
Report Date : |
14.05.2015 |
IDENTIFICATION DETAILS
|
Name : |
SHANDONG DONGJIA GROUP Co., Ltd. |
|
|
|
|
Registered Office : |
No.
55, Henglihe, Qiugu, Boshan District, Zibo, Shandong Province, 255200 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
19.12.2002 |
|
|
|
|
Com. Reg. No.: |
370300228041166 |
|
|
|
|
Legal Form : |
Shares Limited Company |
|
|
|
|
Line of Business : |
Manufacturing and Selling of Sulphuric Acid and Titanium Pigment;
Investing and Managing Subsidiaries. |
|
|
|
|
No. of Employees : |
1,500 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
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) |
|
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 and address
SHANDONG DONGJIA GROUP Co., Ltd.
NO. 55, HENGLIHE,
QIUGU, BOSHAN DISTRICT, ZIBO,
SHANDONG PROVINCE,
255200 PR CHINA
TEL: 86 (0)
533-4161746/4167709 FAX: 86 (0)
533-4167746
EXECUTIVE
SUMMARY
INCORPORATION DATE : DECEMBER
19, 2002
REGISTRATION NO. : 370300228041166
REGISTERED LEGAL
FORM : SHARES LIMITED CO.
STAFF STRENGTH :
1,500
REGISTERED CAPITAL : CNY
100,000,000
BUSINESS LINE : MANUFACTURING, investing & managing
TURNOVER : CNY
1,244,700,000 (AS OF DEC. 31, 2013)
EQUITIES : CNY 714,800,000
(AS OF DEC. 31, 2013)
PAYMENT : AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND :
FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.15 =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
Ren Min Bi
Note: SC is also known as Shandong Doguide Group
Co., Ltd.
SC was registered as a limited liabilities co. at local
Administration for Industry & Commerce (AIC-The official body of issuing
and renewing business license) on December 19, 2002 and has been under present
ownership since 2007.
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 The minimum registered capital
of a co. is CNY 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 manufacturing and selling
sulphuric acid, manufacturing and selling titanium pigment, ferrous sulfate,
ammonium sulfate and polyferric sulphate; selling titanium ore and high
titanium slag and scandia; scandium oxide production project investment,
construction, development, management (valid as of May 31, 2015); processing
and installation mechanical equipment
(except the passenger car less than nine seats); plastic welding and
maintenance; building maintenance; anticorrosive processing of mechanical
equipment (except the passenger car less than nine seats) and pipeline,
property management; import and export of goods (with permit if needed)
SC is mainly engaged in manufacturing and selling sulphuric acid and titanium pigment; investing and managing subsidiaries.
Mr. Sun Jiacai is legal representative and chairman of SC at present.
SC is known to have approx. 1,500 employees at present.
SC is currently operating at the above stated address, and this address houses its operating office and factory in Zibo. Our checks reveal that SC owns the total premise, but SC’s accountant refused to release the gross area.
http://www.doguide.net/ The design is
professional and the content is well organized. At present it is in both
Chinese and English versions.
Email: market@doguide.net
Honors:
======
SC’s services and products have been recognized
with various certifications, including “Hi-tech enterprise certificate”, “The
national excellent chemical enterprise”, “ISO14001:
Changes of its registered information:
|
Date of change |
Item |
Before the
change |
After the change |
|
2004-3 |
Registered Capital |
CNY 10,000,000 |
CNY 36,860,000 |
|
Company Name |
Zibo Dongjia Chemicals Co., Ltd. (In
Chinese pinyin) |
Shandong Dongjia Group Co., Ltd. |
|
|
Registered Capital |
CNY 36,860,000 |
CNY 67,180,000 |
|
|
2007-3 |
Chinese Name |
|
Present one |
|
Registered Legal Form |
Limited Liabilities Co. |
Present one |
|
|
2007-6 |
Registered Capital |
CNY 67,180,000 |
CNY 87,180,000 |
|
2007-9 |
Registered Capital |
CNY 87,180,000 |
Present amount |
|
Unknown |
Registered No. |
3703002804116 |
Present one |
|
Shareholders & shareholdings |
Sun Jiacai 44.1% Yan Liyuan 7.2% Zhao
Wanzhang 3.86% Sun Yusheng 2.4% Li Jinliang 2.3% Nie
Yongsheng 1.56% Xiong Jiaxiang
1.5% Huang Baofeng 1.8% Other
individuals 35.28% |
Present ones |
Note: SC changed its
Chinese name in 2007, while its English name remains the same.
Subject passed the annual inspection of 2012
with Administration for Industry & Commerce.
Organization Code: 745692582
For the past two years there is no record of
litigation.
MAIN SHAREHOLDERS:
Name % of
shareholdings
Sun Jiacai 44.1
Yan Liyuan 12.44
Sun Peng 5.28
Zhao Ligui 4.91
Chen Hong 4.82
Sun Yusheng 1.9
Li Jinliang 1.8
Other individuals 24.75
l Legal
Representative and Chairman:
Mr. Sun Jiacai, born in 1949, with
university education, senior economist. 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 Shandong
Jinhong Titanium Dioxide Chemicals Co., Ltd. as legal representative.
l General Manager:
Mr. Sun Peng, born in 1976, he is
currently responsible for the daily management of SC.
Working Experience(s):
At present Working in SC as general
manager.
Also working in Shandong
Suntiox Industrial Co., Ltd as legal representative.
*Officials:
=======
Name Title
Li Jinliang Director
Zhu Qingbin Director
Sun Yusheng Director
Guo Lijun Director
Zhou Zuying Director
Li Tongsen Supervisor
Cui Hongyou Supervisor
Du Yingyao Supervisor
SC is mainly engaged in manufacturing and selling sulphuric acid and
titanium pigment; investing and managing subsidiaries.
SC’s products mainly include titanium
dioxide, cobalt salt, sulphuric acid, ammonium bisulfite, sulphuric, copper
sponge, etc.
SC sources its
materials 50% from domestic market, and 50% from overseas market. SC sells 50%
of its products in domestic market, and 50% to overseas market.
The buying terms of SC include Check, T/T,
L/C 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 main customers and
suppliers
SC is known to have the following
subsidiaries:
Shandong Suntiox Industrial
Co., Ltd
======================
Registration No.:
370300400003362
Incorporation
Date:
Legal
Representative: Sun Peng
Shandong Jinhong Titanium
Dioxide Chemicals Co., Ltd.
======================
Registration No.:
370300228118112
Incorporation
Date:
Legal
Representative: Sun Jiacai
Etc.
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.
Bank of China Zibo Boshan Sub-branch
AC#: 239005421440
Relationship: Normal.
Financial Summary
Unit: CNY’000
|
|
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
Equity |
772,650 |
714,800 |
|
Total
liabilities |
751,310 |
833,880 |
|
|
------------ |
------------ |
|
Total assets |
1,523,960 |
1,548,680 |
|
Long term
investment |
131,480 |
130,200 |
|
|
========= |
========= |
|
Turnover |
1,473,750 |
1,244,700 |
|
Profit before
tax |
93,470 |
-64,760 |
|
Profits |
71,850 |
-49,160 |
Note:
SC’s management refused to release its detailed financial reports for Yr 2012
& 2013.
Important Ratios
=============
|
|
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
*Liabilities to assets |
0.49 |
0.54 |
|
*Net profit margin (%) |
4.88 |
-3.95 |
|
*Return on total assets (%) |
4.71 |
-3.17 |
|
*Turnover/Total assets |
0.97 |
0.80 |
PROFITABILITY: FAIR
l The turnover of SC
appears fairly good in both years, but appears a declining trend.
l SC’s net profit
margin appears average in 2012 but fair in 2013.
l SC’s return on
total assets appears average in 2012 but fair in 2013.
l SC’s turnover is
in a fair level in both years, comparing with the size of its total assets.
LEVERAGE: AVERAGE
l The debt ratio of
SC is average.
l The risk for SC to
go bankrupt is average.
Overall
financial condition of the SC: Fairly
stable
SC is considered large-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.19 |
|
|
1 |
Rs.100.57 |
|
Euro |
1 |
Rs.72.07 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
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.