MIRA INFORM REPORT

 

 

Report No. :

324313

Report Date :

28.05.2015

           

IDENTIFICATION DETAILS

 

Name :

EXAX INC.

 

 

Registered Office :

556, Nongong-ro, Nongong-eup, Dalseong-gun, Daegu 711-855

 

 

Country :

South Korea

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

22.12.1999

 

 

Com. Reg. No.:

114-81-93374

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of All Other Chemical Products n.e.c.

 

 

No of Employees :

164

 

 

 

 

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 :

Slow But Correct

 

 

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)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

B2

Moderate High Risk

 

C1

High Risk

C2

Very High Risk

D

 


 

SOUTH KOREA ECONOMIC OVERVIEW

 

South Korea over the past four decades has demonstrated incredible economic growth and global integration to become a high-tech industrialized economy. In the 1960s, GDP per capita was comparable with levels in the poorer countries of Africa and Asia. In 2004, South Korea joined the trillion-dollar club of world economies, and is currently the world's 12th largest economy. A system of close government and business ties, including directed credit and import restrictions, initially made this success possible. The government promoted the import of raw materials and technology at the expense of consumer goods, and encouraged savings and investment over consumption. The Asian financial crisis of 1997-98 exposed longstanding weaknesses in South Korea's development model, including high debt/equity ratios and massive short-term foreign borrowing. GDP plunged by 7% in 1998, and then recovered by 9% in 1999-2000. South Korea adopted numerous economic reforms following the crisis, including greater openness to foreign investment and imports. Growth moderated to about 4% annually between 2003 and 2007. South Korea's export focused economy was hit hard by the 2008 global economic downturn, but quickly rebounded in subsequent years, reaching over 6% growth in 2010. The US-Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Between 2012 and 2014, the economy experienced sluggish growth because of external market slowdowns. The administration in 2015 is likely to face the challenge of balancing heavy reliance on exports with developing domestic-oriented sectors, such as services. The South Korean economy's long-term challenges include a rapidly aging population, inflexible labor market, dominance of large conglomerates (chaebols), and the heavy reliance on exports, which comprise about half of GDP.

 

Source : CIA

 


Basic Information

 

Basic

 

Company Name

EXAX INC.

(Korean Company Name : “()이그잭스”)

Registered Address

556, Nongong-ro, Nongong-eup, Dalseong-gun, Daegu, Korea

(Old Address System : 29-106, Bonri-ri, Nongong-eup, Dalseong-gun, Daegu, Korea)

Building

 

Zip Code

711-855

Tel

+82-54-465-7395

Fax

+82-54-461-7392

E-mail

parkjun@exax.co.kr;chokh@exax.co.kr

Website

www.exax.co.kr

Trading Address

Rm.1801, Ace Hiend Tower 3 Cha, 145, Gasan digital 1-ro, Geumcheon-gu, Seoul, Korea

(Old Address System : Rm.1801, Ace Hiend Tower 3 Cha, 371-50, Gasan-dong, Geumcheon-gu, Seoul, Korea)

Tel

+82-70-8680-0987  +82-2-6959-2176

Fax

+82-2-3283-5580

Other Address-Cheonan Factory

50, 2gongdan 7-gil, Seobuk-gu, Cheonan-si, Chungcheongnam-do, Korea

(Old Address System : 9-2, Chaam-dong, Seobuk-gu, Cheonan-si, Chungcheongnam-do, Korea)

Tel

+82-41-410-7777

Fax

+82-41-410-7899

Other Address-Factory

55, 2gongdan 7-gil, Seobuk-gu, Cheonan-si, Chungcheongnam-do, Korea

(Old Address System : 624-5, Eopseong-dong, Seobuk-gu, Cheonan-si, Chungcheongnam-do, Korea)

Tel

+82-41-412-7777

Fax

+82-41-412-7799

Type

Export/Import

Industry

Manufacture of All Other Chemical Products n.e.c.

  Main Business

Fine Chemical, NFC Antenna, Cleaning Detergent, Soda, RFID(Radio frequency identification) Tag, BOE(Buffered Oxide Etchant), OCR(Optical Clear Resin), ACF, Column Spacer, UV Resin, Electronics Materials

  Sub Business

 

Established (mm/dd/yyyy)

12/22/1999

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Resins(13111000)

Sell

Chemistry reagents or solutions(41116105)

Sell

Polyurethane resins(13111061)

 

 

 

CEO’s

 

Name

Cho Keun-Ho

Address

 

Date of Birth

07/1947

Title

President & CEO

Sex

Male

Nationality

Korean

 

Profiles

 

Capital (KRW)

4,596,295,500

Employees

164

Formation

Listed Company (KOSDAQ : 060230) as of 06/25/2002

Venture Business

Bank Details

Shinhan Bank

Industrial Bank of Korea

Kookmin Bank

Daegu Bank

Hana Bank

Korea Development Bank

Corporate Registered No.

110111-1833486

Business Registered No.

114-81-93374

Permit & Licenses

Int’l Trade No.: 13023605

Shareholder Position

Name

Shares

%

CHO KEUN-HO

1,088,326

12.52

ILDONG CHEMICAL CO., LTD.(174111-0008240)

849,095

9.77

KIM IN-SOOK

127,477

1.47

CHO JOON-YOUNG

203,971

2.35

CHO JOON-HYUCK

246,022

2.83

CHO JOON-BOK

131,525

1.51

TREASURY STOCK

315,091

3.63

SC UNITED CO., LTD.(131111-0045590)

979,000

11.27

OTHERS

5,252,084

54.65

TOTAL

9,192,591

100.00

Company History

12/22/1999 Incorporated as ILDONG CHEMICAL CO., LTD.

04/20/2000 Designated as a Venture Business

11/26/2007 Designated as an INNO-BIZ Company

01/01//2007 Changed company y name to the present name.

10/30/2010 Acquired SC THINK GREEN CO., LTD.

11/06/2013 Acquired GlobRF Co., Ltd.(110111-4120525)

02/09/2015 Moved to the present HQ address from 310, Gongdan 2-dong, Gumi-si, Gyeongsangbuk-do, Korea

04/06/2015 Designated as a Venture Business again

 

 


Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

President & CEO

Mr.

Cho Keun-Ho

Korean

1947.07

Kyungbuk National University, Korea

President

Mr.

Kim Jae-Hyun

Korean

1955.02

KAIST, Korea

Outside Director

Mr.

Moon Doo-Kyung

Korean

1960.05

Tokyo Technical College, Japan

Auditor

Mr.

Kim Hong-Ki

Korean

1948.06

Inha University, Korea

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

03/2015

13,533,719,568

65,299,787,893

-1,068,475,277

2014

77,415,043,145

67,677,562,770

-11,912,839,528

2013

72,119,355,992

86,200,929,232

4,113,465,032

2012

55,336,591,534

54,063,020,906

3,657,863,504

2011

45,700,350,407

67,154,301,655

-17,881,460,448

2010

38,268,074,969

86,044,268,279

-17,117,135,150

 

Financial Description

 

Authorized Capital(KRW)

50,000,000,000

Paid-Up Capital(KRW)

4,596,295,500

Total Issued Shares

9,192,591

 

 

Balance Sheet

Unit : Korean Won

01/01/2015~03/31/2015

As of 12/31/2014

As of 12/31/2013

Total Assets

65,299,787,893

67,677,562,770

86,200,929,232

Current Assets

17,957,614,133

20,112,341,995

26,193,363,788

Cash & Cash Equivalents

440,953,687

312,790,976

66,881,798

Trade Receivables & Other Receivables

11,933,948,307

13,958,515,933

15,420,342,125

Other Financial Assets

912,000,000

901,000,000

3,032,598,133

Inventories

4,577,842,414

4,855,051,228

6,680,869,995

Deferred Income Tax Assets

6,050,990

6,023,290

35,154,250

Other Current Assets

86,818,735

78,960,568

957,517,487

Non-Current Assets

47,342,173,760

47,565,220,775

60,007,565,444

Long-Term Trade Receivables & Other Long-Term Receivables

1,047,625,636

1,117,735,636

838,502,000

Other Financial Assets

784,012,720

587,067,948

307,076,488

Investment_Related Companies

206,983,561

206,983,561

1,744,734,916

Tangibles

36,104,868,720

36,543,401,812

47,549,878,870

Intangibles

6,606,178,849

6,517,527,544

6,769,987,115

Deferred Income Tax Assets

2,592,504,274

2,592,504,274

2,797,386,055

Total Liabilities

56,102,344,817

58,887,091,716

69,689,436,645

Current Liabilities

35,310,165,043

38,228,654,814

54,353,529,554

Trade Payables & Other Payables

12,037,556,651

14,880,572,941

12,838,453,116

Short-Term Borrowings

22,462,686,579

22,978,401,974

40,782,897,466

Other Current Liabilities

809,921,813

369,679,899

732,178,972

Non-Current Liabilities

20,792,179,774

20,658,436,902

15,335,907,091

Long-Term Borrowings

19,490,083,649

19,396,055,397

14,392,115,747

Long-Term Trade Payables & Other Long-Term Payables

 

60,000,000

90,000,000

Confirmed Salaries

1,296,084,140

1,196,369,520

847,779,359

Other Non-Current Liabilities

6,011,985

6,011,985

6,011,985

Capital Stock

4,596,295,500

4,344,849,500

3,801,520,500

Capital Surplus

24,559,828,761

23,413,077,639

20,414,932,711

Others

-14,442,130,025

-14,519,380,202

-15,411,429,660

Profit Surplus

-5,516,551,160

-4,448,075,883

7,706,469,036

Total Equity

9,197,443,076

8,790,471,054

16,511,492,587

Liab. & Shareholder’s Equity

65,299,787,893

67,677,562,770

86,200,929,232

 

 

Income Statement

Unit : Korean Won

01/01/2015~03/31/2015

As of 12/31/2014

As of 12/31/2013

Sales

13,533,719,568

77,415,043,145

72,119,355,992

Cost of Sold Goods

10,875,070,752

62,436,539,327

59,702,126,205

Gross Profit

2,658,648,816

14,978,503,818

12,417,229,787

Selling & Admin. Expenses

3,182,098,381

15,563,457,507

8,369,699,060

Operating Income

-523,449,565

-584,953,689

4,047,530,727

Other Income

158,606,178

1,282,387,295

2,039,961,982

Other Expenses

139,984,284

9,273,738,356

3,576,001,534

Finance Income

27,860,846

108,928,586

725,263,543

Finance Expenses

591,508,452

3,473,770,151

2,889,561,715

Income Before Taxes

-1,068,475,277

-11,941,146,315

347,193,003

Income Taxes Expenses

 

-28,306,787

-3,766,272,029

Net Income

-1,068,475,277

-11,912,839,528

4,113,465,032

 

 

 

Cash Flows

Unit : Korean Won

01/01/2015~03/31/2015

As of 12/31/2014

As of 12/31/2013

Cash Flows from Operating

86,810,531

4,539,125,034

649,946,987

-Net Income

604,554,815

6,858,442,739

1,869,753,442

-Exp. without Cash Outflow

1,280,531

43,840,202

41,431,474

-Revenue without Cash Inflows

-519,024,815

-2,392,288,867

-1,265,888,552

-Changes in Asset/ & Liability

 

29,130,960

4,650,623

Cash Flows from Investing

-915,578,081

2,035,848,618

-21,839,441,421

-Cash Inflow from Investing

72,110,000

17,009,732,622

1,291,842,822

-Cash Outflows for Investing

-987,688,081

-14,973,884,004

-23,131,284,243

Cash Flows from Financing

860,035,727

-6,056,670,041

21,096,305,250

-Cash Inflows from Financing

2,825,451,146

36,979,900,607

45,143,061,654

-Cash Outflows from Financing

-1,965,415,419

-43,036,570,648

-24,046,756,404

Increase/Decrease in Cash

31,268,177

518,303,611

-93,123,390

Cash at the Beginning of Year

585,185,409

66,881,798

160,005,188

Cash at the End of Year

616,453,586

585,185,409

66,881,798

 

 

Products, Technologies, Services Description

 

Main Products & Services

Fine Chemical, NFC Antenna, Cleaning Detergent, Soda, RFID(Radio frequency identification) Tag, BOE(Buffered Oxide Etchant), OCR(Optical Clear Resin), ACF, Column Spacer, UV Resin, Electronics Materials

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

KSTECHNOLOGY CO., LTD.(134711-0015928)

PAIKKWANG INDUSTRIAL CO., LTD.(110111-0003709)

Customers

SAMSUNG ELECTRONICS CO., LTD.(130111-0006246)

Competitors

KUMHO P&B CHEMICALS, INC.

319, HWACHI-DONG, YEOSU-SI, JEOLLANAM-DO, KOREA

TEL:+82-61-688-3500  FAX:+82-61-688-3505

 

HEXION SPECIALTY CHEMICALS KOREA CO., LTD.

580-3, HWASAN-RI, ONSAN-EUP, ULJU-GUN, ULSAN, KOREA

TEL:+82-52-231-5046  FAX:+82-52-231-5028

 

DOW CHEMICAL KOREA LTD.

20TH FL., CITY AIR TOWER, 159-9, SAMSEONG 1-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-3490-0700  FAX:+82-2-3490-4305

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

ILDONG CHEMICAL CO., LTD.(174111-0008240)

 

EXAX TELECOM CO., LTD.(176011-0049616)

(15.2% held by the subject company)

Overseas Office

CHINA OFFICE

TAIRAN INDUSTRY&TRADING PLACE, FUTIAN AREA SHENZHEN, CHINA

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

DAEDUCK ENVIRONMENT INDUSTRY CO., LTD.(190111-0070025)

(100.0% held by the subject company)

 

EXAX VINA CO., LTD.

(100.0% held by the subject company)

YEN PHONG INDUSTRIAL ZONE, LONG CHAU COMMUNE, YEN PHONG DISTRICT, BAC NINH PROVINCE, VIETNAM

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

 

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

03/2015

2014

2013

Export

8,341

48,730

35,019

Domestic

6,471

28,363

37,100

Total

14,812

77,093

72,119

The Subject exports to North America, Europe, China and India.

 

 

 

Court Action

 

Case No.

Court

Plaintiff(s)/ Creditor(s)/ Applicant(s)

Defendant(s)/ Debtor(s)/ Respondent(s)

Cause

Amount (Million KRW)

Status

 

 

 

 

 

 

 

 

 

 

 

 

 

 

No.

 

 

News Clipping

 

--

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 63.94

UK Pound

1

Rs. 98.63

Euro

1

Rs. 69.85

 

INFORMATION DETAILS

 

Analysis Done by :

KRN

 

 

Report Prepared by :

DPT

 

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%)

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