MIRA INFORM REPORT
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Report No. : |
323176 |
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Report Date : |
19.05.2015 |
IDENTIFICATION DETAILS
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Name : |
HEBEI JIHENG (GROUP) PHARMACEUTICAL CO., LTD. |
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Registered Office : |
No. 368 Jianshe Street, Hengshui, Hebei Province 053000 Pr |
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Country : |
China |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
06.04.1999 |
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Com. Reg. No.: |
131100000008139 |
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Legal Form : |
One-Person Limited Liabilities Company |
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Line of Business : |
Subject is engaged in engaged in manufacturing granule, tablet, pilulae, hard capsule, and bulk drugs. |
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No of Employees : |
1,500 |
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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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 Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
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. In 2014 the People’s Bank of China (PBOC) doubled 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 2014 stood as the largest economy in the world, surpassing the US that year... 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. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including legislation allowing local governments to issue bonds, further opening several state-owned enterprises to private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
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Source
: CIA |
Company
name & address
HEBEI JIHENG (GROUP)
PHARMACEUTICAL CO., LTD.
NO. 368 JIANSHE
STREET, HENGSHUI, HEBEI PROVINCE 053000 PR CHINA
TEL: 86 (0)
318-2120491/2133598
FAX: 86 (0)
318-2167985/2182958
EXECUTIVE
SUMMARY
Date of Registration : apRil 6, 1999
REGISTRATION NO. : 131100000008139
LEGAL FORM : ONE-PERSON LIMITED LIABILITIES COMPANY
REGISTERED CAPITAL : CNY 38,000,000
staff :
1,500
BUSINESS CATEGORY : manufacturing
& trading
REVENUE :
CNY 210,110,000 (JAN. 1, 2014 TO MAR. 31, 2014)
EQUITIES :
CNY 311,500,000 (AS OF MAR. 31, 2014)
WEBSITE : www.jihengpharmaceutical.com
E-MAIL :
sales@jihengpharmaceutical.com
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY 6.20 = 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 one-person limited liability company
of PRC with State Administration of Industry & Commerce (SAIC) under
registration No.: 131100000008139.
SC’s Organization Code Certificate No.:
23627089-1
%20PHARMACEUTICAL%20CO.,%20LTD.%20-%20323176%2019-May-2015_files/image012.jpg)
SC’s registered capital: CNY 38,000,000
SC’s paid-in capital: CNY 38,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2000-03-30 |
Company Name |
Hengshui Jiheng Drug Co., Ltd. |
Hengshui Jiheng Pharmacy Co., Ltd. |
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2001-04-26 |
Registered Capital |
CNY 1,580,000 |
CNY 8,000,000 |
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2001-09-30 |
Registered Capital |
CNY 8,000,000 |
CNY 20,329,700 |
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Legal Form |
One-Person Limited Liability Company |
Limited
Liability Company |
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Legal Representative |
Xiao Qiusheng |
Han Borui |
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2002-07-22 |
Registered Capital |
CNY 20,329,700 |
CNY 32,000,000 |
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2003-06-25 |
Registered Capital |
CNY 32,000,000 |
CNY 38,000,000 |
|
2004-03-29 |
Legal Representative |
Han Borui |
Wang Pingsheng |
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Company Name |
Hengshui Jiheng Pharmacy Co., Ltd. |
Hebei Jiheng
(Group) Pharmacy Co., Ltd. |
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2008-03-14 |
Legal Form |
Limited Liability Company |
One-Person
Limited Liability Company |
|
-- |
Registered No. |
1311001000585 |
131100000008139 |
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2013 |
Legal Representative |
Wang Pingsheng |
Xiao Hui |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Hebei Jiheng Group Co., Ltd. |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Xiao Hui |
|
General Manager |
Li Guosheng |
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Director |
Hou Wendong |
|
Wei Dong |
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|
Zhang Junya |
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Supervisor |
Xiao Qiusheng |
|
Ma Zhaohua |
RECENT
DEVELOPMENT
Honors:
----------
SC was awarded “Excellent Enterprise of Hebei Province”.
SC was awarded “2002 Annual Advanced Enterprise”.
SC was awarded “2002 Annual enterprise credit ratings AAA”.
SC was awarded “Foreign Economic Relations & Trade Advanced Unit of
Hebei Province.”
SC obtained Kosher Certificate, ISO Certificate, GMP Certificate
Etc.
%20PHARMACEUTICAL%20CO.,%20LTD.%20-%20323176%2019-May-2015_files/image013.jpg)
SHAREHOLDER
CHART & BACKGROUND
Name % of
Shareholding
Hebei Jiheng Group Co., Ltd. 100
-----------------------------
Hebei Jiheng Group Co., Ltd. is a large enterprise with the headquarters
at Lubei Industrial Park in Hengshan City, which is also a top 100 enterprise
in Hebei Province. Hebei Jiheng Group Co., Ltd., as its core enterprise, owns many branches
and subsidiaries, such as Jiheng Electro-Chemical Co., Ltd., Jiheng Chemical
Co., Ltd., Jiheng Pharmacy Co., Ltd., Huawei Pharmaceutical Co., Ltd., etc.,
which mainly specialize in producing more than 30 kinds of chemical products,
including ammonium persulphate, sodium persulfate, potassium persulphate,
dichloro, trichloro, cyanuric acid, ammonium bicarbonate, phos rock fertilizer
in bulk, aniline, vitriol, compound fertilizer, dimethylaniline, etc., and more
than ten kinds of chemical raw materials, including benzalagen, aminopyrine,
antipyrin, paracetamol, etc. More than twenty of these products and raw
materials, such as ammonium persulphate, sodium persulfate, potassium
persulphate, dichloro, trichloro, cyanuric acid, benzalagen, paracetamol, etc.,
are exported far to more than 40 countries covering Europe, America, Middle
East, South East Asia, Hong Kong, Macau, Taiwan, etc. and have always enjoyed
great popularity among all customers at home and abroad.
Date of Registration: September 8, 1998
Registration No.: 131100000013908
Legal Form: Limited
Liabilities Company
Registered Capital: CNY 133,600,000
Address: 58 Zhonghua Street, Hengshui City,
Hebei Province
Tel: 86-318-2150911/2141504
Fax: 86-318-2147805
Web: www.jihenggroup.com
E-mail: persulphate@jihenggroup.com
MANAGEMENT
Xiao Hui, Legal
Representative and Chairman
---------------------------------------------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø
Age: 42
Ø Qualification:
University
Ø Working experience
(s):
From 2013 to present, working in SC as legal
representative and chairman
Also
working in Hebei Jiheng Baikang Chemical Industry Co., Ltd. as legal
representative
Li Guosheng,
General Manager
----------------------------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø
Age: 47
Ø Qualification:
University
Ø Working experience
(s):
From 1999 to present, working in SC as
general manager
Director
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Hou Wendong
Wei Dong
Zhang Junya
Supervisor
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Xiao Qiusheng
Ma Zhaohua
BUSINESS
OPERATION
SC’s registered
business scope includes manufacturing granule, tablet, pilulae, hard capsule,
pulvis, liquor, tincture, bulk drugs (validity period as of Dec. 31, 2010),
manufacturing food additives; importing and exporting self-made products and
technologies; importing mechanical equipments, components, raw materials, accessories,
and relative technology needed by SC, excluding commodities and technologies
prohibited by state.
SC is mainly
engaged in manufacturing granule, tablet, pilulae, hard capsule, and bulk
drugs.
Brand: %20PHARMACEUTICAL%20CO.,%20LTD.%20-%20323176%2019-May-2015_files/image014.jpg){kind=small}
SC’s products
mainly include: analgin, paracetamol, folic acid, antipyrine, AICA, bambuterol
hydrochloride, aminopyrine, etc.
%20PHARMACEUTICAL%20CO.,%20LTD.%20-%20323176%2019-May-2015_files/image015.jpg)
SC sources its materials 90% from domestic
market, mainly Hebei Province, and 10% from overseas market. SC sells 70% of
its products in domestic market, and 30% to overseas market, mainly Korea,
Japan, Indonesia, Saudi Arabia and European countries.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customers*
-----------------------
Genethics
Pharmaceuticals Ltd.
Provimi S.A.
Provimi Holding BV
Merquimia Colombia
SA
Quimica Ariston
Ecuador Ltd.
Qualitest
Pharmaceuticals
Staff & Office:
-------------------------
SC is known
to have approx. 1,500 staff
at present.
SC rents an area
as its operating office & factory of approx. 150,000 sq. meters at the
heading address.
RELATED
COMPANY
Hebei
Jiheng Baikang Chemical Industry Co., Ltd.
Hebei
Jiheng (Group) Qingxian Chemical Co., Ltd.
Hebei
Jiheng (Group) Pharmaceutical Shenzhou Co., Ltd.
Jiheng
(Group) Bluesky Co., Ltd.
Etc.
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 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
Basic Bank:
Agricultural Bank of China Hengshui Branch
AC#: 401001040000195
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Mar. 31,
2014 |
|
Total assets |
646,390 |
710,450 |
733,370 |
|
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------------- |
------------- |
------------- |
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Total
liabilities |
382,280 |
403,440 |
421,870 |
|
Equities |
264,110 |
307,010 |
311,500 |
|
|
------------- |
------------- |
------------- |
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
Jan.
1, 2014 to Mar. 31, 2014 |
|
Revenue |
731,880 |
804,870 |
210,110 |
|
Profits |
43,020 |
41,650 |
15,810 |
Important Ratios
=============
|
|
As of Dec. 31, 2012 |
As of Dec. 31, 2013 |
As of Mar. 31, 2014 |
|
*Liabilities
to assets |
0.59 |
0.57 |
0.58 |
|
*Net profit
margin (%) |
5.88 |
5.17 |
7.52 |
|
*Return on
total assets (%) |
6.66 |
5.86 |
2.16 |
|
*
Revenue/Total assets |
1.13 |
1.13 |
0.29 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l The revenue of SC
appears fairly good in its line.
l SC’s net profit margin
is average.
l SC’s return on
total assets is average.
LIQUIDITY: AVERAGE
l
SC’s revenue is in an average 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: Fairly Stable.
CONCLUSIONS
SC is considered large-sized in its line with fairly stable financial
conditions. Taking into consideration of SC’s general performance, reputation
as well as market conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 63.55 |
|
|
1 |
Rs. 99.86 |
|
Euro |
1 |
Rs. 72.67 |
INFORMATION DETAILS
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Analysis Done by
: |
KRN |
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Report Prepared
by : |
DPT |
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 |
|
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 |
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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 |
|
-- |
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.