MIRA INFORM REPORT
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Report No. : |
341599 |
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Report Date : |
21.09.2015 |
IDENTIFICATION DETAILS
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Name : |
SUN HONG OPTRONICS LTD. |
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Registered Office : |
No. 10 Shengrong Road, No. 34 Area, Zhongkai Hi-Tech Zone, Huizhou City,
Guangdong Province, 516006 Pr |
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Country : |
China |
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Date of Incorporation : |
19.05.2005 |
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Com. Reg. No.: |
441300400014931 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
Subject is engaged in designing, developing, manufacturing, processing
and trading of films and sheets. |
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No. of Employee : |
450 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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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 – March 31, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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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 |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
CHINA ECONOMIC OVERVIEW
Since the late
1970s China has moved from a closed, centrally planned system to a moreMARKET
-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.
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Source
: CIA |
Company
name and address
SUN
HONG OPTRONICS ltd.
NO. 10 SHENGRONG ROAD, NO. 34 AREA, ZHONGKAI
HI-TECH ZONE,
HUIZHOU CITY, GUANGDONG PROVINCE, 516006 PR
CHINA
TEL: 86 (0) 752-5855988/2776868-77807 FAX: 86 (0) 752-2776867
EXECUTIVE
SUMMARY
INCORPORATION DATE :
MAY 19, 2005
REGISTRATION NO. : 441300400014931
REGISTERED LEGAL FORM : WHOLLY FOREIGN-OWNED ENTERPRISE
CHIEF EXECUTIVE : ZHANG YUREN (GENERAL MANAGER)
STAFF STRENGTH : 450
REGISTERED CAPITAL : USD 13,700,000
BUSINESS LINE :
DESIGNING, DEVELOPING, MANUFACTURING, PROCESSING AND TRADING
TURNOVER : N/A
EQUITIES : N/A
PAYMENT : UNKNOWN
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION :
N/A
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.3675 = 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 Renminbi
Note: SC is also known as Sun Hong Optronics (Huizhou) Limited.
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 May 19, 2005.
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 manufacturing and selling BMC
compounds & molding materials (unsaturated polyester composite materials)
and products, LCD optical films (diffusion films (sheets), reflection sheets,
polarizer films (sheets)), assembling and designing LCD modules; manufacturing
and sale of cooling materials, conductive materials, heat dissipation module
and electric conduction module. Designing, developing, processing and servicing
of light panels modules & back light modules. Designing, developing,
manufacturing and processing BMC granular module materials, engineering
plastics, UV cured coating, epoxy resin, compound materials and products of
glass fiber & carbon fiber woven clothes or presoak cloth related composite
materials and its FRP products, LCD & touch panel optical films &
sheets & related materials, LED materials, solar products and auxiliary
products. Products are sold both in domestic market and to overseas market.
Wholesale, importing and exporting of similar products and machinery equipment
(no shops, excluding state controlled trade; with permit if needed)
Zhang Yuren has been legal representative and chairman of SC since 2014.
SC is known to have approx. 450 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in the Hi-Tech zone of Huizhou.
Detailed premise information is not available at present.
www.wahhong.com.tw The web belongs to Wah Hong Industrial Corp. in
Taiwan. The design is professional and the content is well organized. At present
it is in Chinese and English versions.
Email: jingfangyang@sh.wahhong.com
For the past two years there is no record of litigation.
Changes
of its registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
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Unknown |
Registered capital |
USD 11,200,000 |
Present amount |
|
2014-3-31 |
Legal representative |
Lin Zhiming |
Present one |
Organization code: 774048032
MAIN SHAREHOLDERS:
Name %
of Shareholding
Wah Hong International Limited 100
Legal Representative and chairman:
Zhang Yuren is currently responsible for the daily management of SC.
Working
Experience(s):
From 2014 to present Working in
SC as legal representative and chairman.
Also working in Xiamen Guang Hong Optronics Co., Ltd., Qingdao Chang
Hong Optoelectronics Ltd. and Huizhou Xinyao Trading Co., Ltd. as legal
representative
Directors:
Lin Zhiming
Zheng Xiangwei
Supervisor:
Wu Zhicheng
SC is mainly engaged in designing, developing, manufacturing, processing
and trading of films and sheets.
SC’s products mainly include:
Optical film,
sheet for LCD uses
Diffusion film for LCD Back Light modules
Reflection film for LCD Back Light modules
Light guide for LCD Back Light modules
Polarizer film for LCD
Bulk Molding
Compounds (BMC)
Optical grade BMC
Electric grade BMC
High performance
“dry mix” thermosetting molding compounds
Engineering
plastic
Conductive Engineering Plastic
Special Application Engineering Plastic
LCD module
Optical film for
touch panel use
CON Film
Optical Clear Adhesive (OCA)
ITO Film
SC sources its materials 10% from domestic market and 90% from overseas
market. SC sells 50% of its products in domestic market, 50% to overseas
market, mainly to Taiwan, Hong Kong, etc.
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.
Trademark & Patents
N/A
Note: SC’s
management declined to release its major clients and suppliers.
Wah Hong Industrial Corp. (Taiwan)
=======================
Add.:
Tel: 886 (0)7-9717777
Fax: 886 (0)7-9717787
Web: www.wahhong.com.tw
Xiamen Guang Hong Optronics Co., Ltd.
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Registration No.: 350200400002828
Legal representative: Zhang Yuren
Incorporation date: May 15, 2007
Registered capital: USD 8,500,000
Huizhou Xinyao Trading Co., Ltd. (literal translation)
===================================
Registration No.: 441300000101638
Legal representative: Zhang Yuren
Incorporation date: Feb. 4, 2010
Qingdao Chang Hong Optoelectronics Ltd.
===================================
Registration No.: 370281410001375
Legal representative: Zhang Yuren
Incorporation date: Dec. 20, 2010
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.
SC declined to release its banking details.
SC refused to release the financial
information.
SC is considered medium-sized in its line with a development history of
10 years. Due to lack of financial statements, we are unable to determine the
maximum credit limit for SC. Taking into consideration of SC’s operation size,
credit up to moderate amount appears acceptable at present.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.65.92 |
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1 |
Rs.102.75 |
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Euro |
1 |
Rs.75.13 |
INFORMATION DETAILS
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Analysis Done by
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KAR |
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Report Prepared by
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ANK |
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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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 |
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NB |
New Business |
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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.