MIRA INFORM REPORT

 

 

Report No. :

345371

Report Date :

19.10.2015

 

IDENTIFICATION DETAILS

 

Name :

Sulzer Pumps Suzhou Ltd.

 

 

Registered Office :

No. 433, Jianlin Road, High-Tech Zone, Suzhou, Jiangsu Province, 215151 Pr

 

 

Country :

China

 

 

Date of Incorporation :

10.02.2009

 

 

Com. Reg. No.:

320500400036360

 

 

Legal Form :

Wholly Foreign-Owned Enterprise

 

 

Line of Business :

Subject is engaged in manufacturing and trading of pump equipment

 

 

No. of Employee :

358

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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. 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 for the first time in modern history. Still, China's per capita income is below the world average.

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 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 2014 more than 274 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 also implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.

 

Source : CIA

 

 

 

Company name and address

 

Sulzer Pumps Suzhou Ltd.

 

NO. 433, JIANLIN ROAD, HIGH-TECH ZONE, SUZHOU, JIANGSU PROVINCE, 215151 PR CHINA

 

TEL: 86 (0) 512-81873914 FAX: 512-81873915

 

 

EXECUTIVE SUMMARY

 

INCORPORATION DATE            : FEB. 10, 2009

REGISTRATION NO.                  : 320500400036360

REGISTERED LEGAL FORM     : WHOLLY FOREIGN-OWNED ENTERPRISE

CHIEF EXECUTIVE                    : MR. ASHWIN TRIMBAK BONDAL (LEGAL REPRESENTATIVE)

STAFF STRENGTH                    : 358

REGISTERED CAPITAL             : USD 12,010,000

BUSINESS LINE                        : MANUFACTURING AND TRADING

TURNOVER                              : N/A

EQUITIES                                 : N/A

PAYMENT                                : NO COMPLAINTS

MARKET CONDITION                : AVERAGE

FINANCIAL CONDITION             : N/A

OPERATIONAL TREND              : STEADY

GENERAL REPUTATION           : AVERAGE

EXCHANGE RATE                     : CNY 6.3440

 

 

Adopted abbreviations:

ANS - amount not stated            NS - not stated  SC - subject company (the company inquired by you)

NA - not available           CNY - China Yuan Renminbi

 

 

HISTORY

 

SC was registered as a wholly foreign-owned enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Feb. 10, 2009.

 

Company Status: Wholly foreign-owned enterprise

This form of business in PR China is defined as a legal person. It is a limited co. established within the territories of PR China with capital provided totally by the foreign investors. More than one foreign investor may jointly invest in a wholly foreign-owned enterprise. The investing party/parties solely exercise management, reap profit and bear risks and liabilities by themselves. This form of companies usually have a limited duration is extendible upon approval of Examination and Approval Authorities.

 

SC’s registered business scope includes research and development, design and production of nuclear power equipment for large centrifugal pump, sales self-produced products, and provide the related technology and after-sales service; wholesale, import and export, commission agency (excluding auction) of the above products and parts. (With permit if needed)

SC is mainly engaged in manufacturing and trading of pump equipment.

 

Mr. Ashwin Trimbak Bondal is the legal representative and chairman of SC at present.

 

SC is known to have approx. 358 employees at present.

 

SC is currently operating at the above stated address, and this address houses its operating office and factory in the high-tech zone of Suzhou. SC’s employee refused to release the gross area of the premise.

 

WEB SITE

 

www.sulzer.com It belongs to Sulzer Ltd. The design is professional and the content is well organized. At present it is in Chinese, English and other versions.

 

E-mail: Li.Yang@sulzer.com

 

 

LITIGATION

 

For the past two years there is no record of litigation.

 

 

KEY EVENTS/RECENT DEVELOPMENT

 

Changes of its registered information:

Date of change

Item

Before the change

After the change

2015-3-26

Shareholders

Sulzer Pumpen AG 100%

Present one

 

Organization Code: 68493353X

 

 

OWNERSHIP/MANAGEMENT

 

MAIN SHAREHOLDERS:

 
Name                                                              % of Shareholding

 

Sulzer Ltd. (Switzerland)                                     100

---------------------------------------

Sulzer is one of the world's leading pump manufacturers. Their manufacturing footprint encompasses more than 20 sites. Their network of service centers and sales offices spans around the globe. They are well known for state-of-the-art products, performance reliability, and energy-efficient solutions.

 

Phone+41 52 262 11 22

Fax+41 52 262 01 01

Website: www.sulzer.com

 

 

MANAGEMENT

 

l         Legal representative and Chairman:

 

Mr. Ashwin Trimbak Bondal, Indian, 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 Sulzer (Dalian) Pumps & Compressors Ltd. as legal representative and chairman and Sulzer Pumps Suzhou Ltd. Shanghai Branch as principal, etc.

 

l         General Manager:

 

Lee Lu is currently responsible for the daily management of SC.

 

Working Experience(s):

 

At present                     Working in SC as general manager.

 

l         Directors:

 

Chen Tao

Qian Yumin

Tania Micki

 

l         Supervisor:

 

Tseng King Piao

 

BUSINESS OPERATIONS

 

SC is mainly engaged in manufacturing and trading of pump equipment.

SC’s products mainly include:

Agitators, Mixers, and Dispensers

Compressors and Aerators

Electro-Mechanical Services

General Mechanical Services

Process Technology

Pumps and Systems

Pumps Services

Separation Technology

 

SC sources its materials 90% from domestic market, and 10% 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’s management declined to release its major clients and suppliers.

 

 

RELATED COMPANIES

 

Sulzer (Dalian) Pumps & Compressors Ltd.

--------------------------------------------

Reg. no.: 210200400025554

Legal representative: Mr. Ashwin Trimbak Bondal

Incorporation date: 1999-10-20

Tel: +86 411 8758 1738

Fax: +86 411 8758 1877-8738

 

According to the website www.sulzer.com:

 

Sulzer Pumps Finland Oy

Address: Pajatie 75PO Box 6648601 Kotka Finland

Phone: +358 10 234 3333+358 10 234 3189

Mobile: +358 50 5263 486

Fax: +358 10 234 6923

 

Sulzer Pompes France SASU

Address1: rue de l’innovation Mantes Innovaparc78200 Buchelay France

Phone: +33 1 34 77 72 00

Fax: +33 1 34 77 72 16

 

Sulzer Pumpen (Deutschland) GmbH

Address: Ernst-Blickle-Str 2976646 Bruchsal Germany

Phone: +49 7251 76-0

Fax: +49 7251 76-401

 

Sulzer Pumps (UK) Ltd.

Address: Manor Mill LaneLS11 8BR Leeds United Kingdom

Phone: +44 113 270 1244

Fax: +44 113 272 4404

 

Sulzer Pumps (US) Inc.

Address: 800 Koomey Road77423 BrookshireTexas USA

Phone: +1 281 934 6014+1 281 934 6014

Fax: +1 281 934 6064

 

Branches:

Sulzer Pumps Suzhou Ltd. Shanghai Branch

-----------------------------------------------------

Reg. no.: 310115500096253

Principal: Mr. Ashwin Trimbak Bondal

Incorporation date: 2010-9-15

 

Sulzer Pumps Suzhou Ltd. Beijing Branch

-----------------------------------------------------

Reg. no.: 110000450132997

Principal: Liu Hongyi

Incorporation date: 2010-4-19

 

Sulzer Pumps Suzhou Ltd. Chengdu Branch

-----------------------------------------------------

Reg. no.: 510100500046606

Principal: Zuo Guangfeng

Incorporation date: 2012-10-31

 

 

PAYMENT

 

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.

 

 

BANKING

 

SC’s management declined to release its bank details.

 

 

FINANCIAL HIGHLIGHTS

 

SC’s management declined to release its financial information.

 

 

REMARKS

 

SC is considered medium-sized in its line with 6 years development history. Due to lack of financial statements, we are unable to determine the maximum credit limit for SC. Taking into consideration of SC’s background and operation size, credit up to moderate amount appears acceptable at present.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.97

UK Pound

1

Rs.100.55

Euro

1

Rs.73.99

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

ASH

 

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.