MIRA
INFORM REPORT
|
Report Date : |
16.12.2008 |
IDENTIFICATION
DETAILS
|
Name : |
YEE LEE
INDUSTRIAL CHEMICAL LTD. |
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Registered Office : |
Room 1706, 17/F., Yardley Commercial Building, 1-6 Connaught Road West |
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Country : |
Hong Kong |
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Year of Establishment : |
1936. |
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Com. Reg. No.: |
507450 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter, Wholesaler of Industrial and Fine Chemicals, Dyestuffs, Pigment and Ancillary Products. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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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Status : |
Good |
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Payment Behaviour : |
Regular |
name of the company
YEE LEE INDUSTRIAL
CHEMICAL LTD.
ADDRESS
Room 1706, 17/F.,
Yardley Commercial Building, 1-6 Connaught Road West, Hong Kong.
PHONE: 2545 2611
FAX: 2544 2498
E-MAIL: info@yeelee.com
MANAGEMENT
Executive
Director: Mr. Lau Kam Hung, Alexander
SUMMARY
Establishment: 1936.
Incorporated on: 2nd January, 1953.
Organization: Private Limited Company.
Capital: Nominal: HK$5,000,000.00
Issued: HK$5,000,000.00
Business Category:
Trading of chemical and
industrial raw materials.
Group Turnover:- (Year ended 31-12-2007)
HK$2,575,790,000 (Whole Group)
HK$ 264,764,000 (Trading Division)
Group Employees:
543. (As at 31-12-2007)
Main Dealing Bankers: The Hongkong & Shanghai Banking Corp. Ltd.,
Hong Kong.
Hang Seng Bank Ltd.,
Hong Kong.
Banking Relation: Good.
ADDRESS
Registered Head Office:-
Room 1706, 17/F., Yardley
Commercial Building, 1-6 Connaught Road West, Hong Kong.
Warehouse:-
LZ 2075 King Lam Street, Mui Kong Tsun, New Territories, Hong Kong.
[Tel: 2428 3220]
China Office:- [Operated by Dongguan Yee Lee Trading Co. Ltd.]
No. 7, G/F., Block B, Xing Ye Hua Yuan, Chong Tou, Changan, Dongguan, Guangdong Province, China.
[Tel: (86-769) 8531 2330; Fax: (86-769) 8553 7330]
China Factory:- [Operated by Mutual Fountain Materials Factory]
Changan, Dongguan, Guangdong Province, China.
Immediate Holding
Company:-
Yee Lee Technology Co. Ltd., British Virgin Islands/Hong Kong.
Ultimate Holding
Company:-
Jinhui Holdings Co. Ltd., Hong Kong.
Affiliated
Companies:-
Jinhui Group of
Companies
Advance Rich Ltd., British Virgin Islands.
Carpa Ltd., Hong Kong.
Dongguan Yee Lee Trading Co. Ltd., China.
Exalten Ltd., Hong Kong.
Fair Fait International Ltd., Hong Kong.
Fair Group International Ltd., Hong Kong.
First King International Ltd., Hong Kong.
First Lion International Ltd., Hong Kong.
Galsworthy Ltd., Liberia.
Goldbeam International Ltd., Hong Kong.
Goldbeam Shipping Inc., Liberia.
Huafeng Shipping Inc., Panama.
Jin Hui Shipping Inc., British Virgin Islands.
Jinan Marine Inc., Panama.
Jincheng Marine Inc., Panama.
Jinfeng Marine Inc., Panama.
Jinhai Marine Inc., Panama.
Jinhe Marine Inc., Panama.
Jinhui Investments (China) Ltd., Hong Kong & China.
Jinhui Investments Ltd., British Virgin Islands.
Jinhui Marine Inc., Panama.
Jinhui MetCoke Ltd., Bermuda.
Jinhui Shipping & Transportation Ltd., Bermuda.
Jinhui Shipping (USA) Inc., U.S.A.
Jinkang Marine Inc., Panama.
Jinli Marine Inc., Panama.
Jinman Marine Inc., Panama.
Jinping Marine Inc., Panama.
Jinpu Marine Inc., Panama.
Jinquan Marine Inc., Panama.
Jinrong Marine Inc., Panama.
Jinsheng Marine Inc., Panama.
Jintai Marine Inc., Panama.
Jinxing Marine Inc., Panama.
Jinyao Marine Inc., Panama.
Jinyi Marine Inc., Panama.
Jinying Marine Inc., Panama.
Jinyuan Marine Inc., Panama.
Jinzhou Marine Inc., Panama.
Keenfair Investment Ltd., Hong Kong.
Linkford International Ltd., Hong Kong.
Monocosmic Ltd., Hong Kong.
Mutual Fountain Industrial Chemical Co. Ltd., Hong Kong.
Mutual Fountain Materials Factory, China.
Pantow Profits Ltd., British Virgin Islands.
Paxton Enterprises Ltd., Liberia.
Sompol Trading Ltd., Liberia.
Wonder Enterprises Ltd., Liberia.
Yee Lee China Co. Ltd., Hong Kong.
etc.
BUSINESS REGISTRATION NUMBER
507450
COMPANY FILE NUMBER
3674
MANAGEMENT
Executive
Director: Mr. Lau Kam Hung, Alexander
Director &
General Manager: Mr. Wong Hing Wai, Harry
CAPITAL
Nominal Share
Capital: HK$5,000,000.00 (Divided into 50,000 shares of HK$100.00 each)
Issued Share
Capital: HK$5,000,000.00
SHAREHOLDERS
(As per registry dated 02-01-2008)
|
Name |
|
No. of shares |
|
Yee Lee Technology Co. Ltd. P.O. Box 71,
Craigmuir Chambers, Road Town, Tortola, British Virgin Islands. |
|
49,999 |
|
Asiawide Profits Ltd. P.O. Box 71, Craigmuir Chambers, Road Town, Tortola,
British Virgin Islands. |
|
1 |
|
|
|
–––––– |
|
|
Total: |
50,000 ===== |
DIRECTORS
(As per registry dated 02-01-2008)
|
Name (Nationality) |
Address |
|
LAU Kam Hung |
Flat
A, 9/F., Shing Loong Court, 13 Dragon Terrace, Hong Kong. |
|
WONG Hing Wai |
Flat
1, 22/F., Block 47, Heng Fa Chuen, Chai Wan, Hong Kong. |
SECRETARY
LAU Kam Hung (As per registry dated 02-01-2008)
HISTORY
The subject was
incorporated on 2nd January, 1953 as a private limited liability company under
the Hong Kong Companies Ordinance to take over the activities of Yee Lee
Industrial Chemical Company which was established in 1936.
Re-organized to be
a member of the Jinhui Group in 1997.
Apart from these,
neither material change nor amendment has been ever traced and noted.
OPERATIONS
Activities: Importer, Exporter, Wholesaler,
Godown Operator, Insurance Broker and Investment.
Lines: Industrial and fine
chemicals, dyestuffs, pigment and ancillary products.
Import/Agent for:-
|
Brand |
Products |
Country of
Origin |
|
BASF |
Plastic
raw materials |
Korea |
|
CCP |
Copper
clad laminates, hydrogen peroxide |
Taiwan,
Japan |
|
CHANGCHUN |
Printed
circuit boards, adhesives |
Taiwan |
|
DENKA |
Plastic
raw materials |
Singapore |
|
EBCHEM |
Adhesives |
China |
|
HKPC |
Plastic
raw materials |
Hong
Kong |
|
IMC |
Copper
anodes, nickel sulphamate |
U.S.A.,
Japan |
|
INCO |
Nickel
anodes |
Canada |
|
LIH
JEOU |
Surface
finishing machines |
Korea |
|
MGC |
Chemical
micro-etching solution |
Japan |
|
MITSUBISHI |
Plastic
raw materials |
Japan |
|
NS |
Copper
clad laminates |
Korea |
|
OMG |
Nickel
sulphamate, nickel anodes |
Finland |
|
TALCO |
Copper
anodes |
U.S.A. |
|
TOAQCSEI |
Trichloroethylene |
Japan |
|
UCAR |
Adhesives |
Indonesia |
|
UJIDEN |
Surface
finishing media |
Japan |
|
VIBRO
TECH |
Surface
finishing machines |
Taiwan |
|
- |
Alpaste
(aluminium paste) |
South
Africa |
|
- |
Solvents |
Europe,
Japan, Netherlands, U.K. |
Office Floor
Space: 3,673 sq.m. in Hong Kong.
Group
Employees:- (As at 31-12-2007)
Full-time staff 103
Crew 440
Total 543
Commodities
Imported: Imported from
Japan, Taiwan, Korea, China, Singapore, Indonesia, Europe, South Africa, etc.
Markets: Hong Kong and
China.
Group Turnover:-
|
Period |
Whole Group |
Trading
Division |
|
Year ended 31-12-2003 |
HK$1,048,515,000 |
HK$239,470,000 |
|
Year ended 31-12-2004 |
HK$1,974,661,000 |
HK$286,664,000 |
|
Year ended 31-12-2005 |
HK$1,985,235,000 |
HK$312,443,000 |
|
Year ended 31-12-2006 |
HK$1,550,763,000 |
HK$332,762,000 |
|
Year ended 31-12-2007 |
HK$2,575,790,000 |
HK$264,764,000 |
Terms/Sales: COD or 30-120 days credit.
Terms/Buying: L/C, D/P, etc.
MAIN JAPANESE SUPPLIERS
Mitsubishi Gas
Chemical Co., Japan.
Mitsui Toatsu
Chemical Inc., Japan.
Nisso Shoji Co.
Ltd., Tokyo, Japan.
Ohara & Co.
Ltd., Tokyo, Japan.
Ryoko Chemical Co.
Ltd., Tokyo, Japan.
Toryo Corporation
Ltd., Japan.
Ujiden Chemical
Industry Co. Ltd., Japan.
GOVERNMENT
CONTRACTS AWARDED SINCE 1990:
|
Date |
GN No. |
Particulars |
Amount |
|
01-06-1990 |
GN1993 |
Tender for Supply of Two (2) Items of Chemicals for
the Kowloon Park Swimming Pool |
HK$346,422 (Jointly) |
|
29-10-1993 |
GN3992 |
Supply of Refrigerant Gas |
HK$1,045,244 (Estimated) |
MEMBERSHIP
The Hong Kong General Chamber of Commerce, Hong
Kong.
[Membership No. HKY0016]
The Industrial
Chemical Merchants’ Association Ltd., Hong Kong.
Hong Kong Printed
Circuit Association, Hong Kong.
FINANCIAL INFORMATION
Nominal Share Capital:
HK$5,000,000.00 (Divided into 50,000 shares of HK$100.00 each)
Issued Share
Capital: HK$5,000,000.00
Alternation of
Capital:-
|
19-02-1953 |
paid up |
HK$ 960,000.00 |
|
10-03-1953 |
paid up |
HK$ 302,000.00 |
|
17-08-1953 |
paid up |
HK$ 725,200.00 |
|
16-09-1953 |
paid up |
HK$ 180,000.00 |
|
29-11-1953 |
paid up |
HK$ 199,800.00 |
|
12-04-1954 |
paid up |
HK$ 50,000.00 |
|
07-09-1954 |
paid up |
HK$ 183,000.00 |
|
29-02-1956 |
paid up |
HK$ 40,000.00 |
|
19-07-1965 |
paid up |
HK$ 800,000.00 |
|
08-10-1976 |
paid up |
HK$ 1,560,000.00 |
|
|
|
––––––––––––––– |
|
Total: |
paid up |
HK$ 5,000,000.00 ============== |
Increases of
Nominal Capital:-
|
From |
HK$3,000,000.00 |
to |
HK$3,500,000.00 |
on |
25-07-1963 |
|
From |
HK$3,500,000.00 |
to |
HK$5,000,000.00 |
on |
08-10-1976 |
Group Profit from
Operations (Trading Division):-
HK$ 4,032,000 (Year ended 31-12-2003)
HK$11,755,000 (Year ended 31-12-2004)
HK$13,181,000 (Year ended 31-12-2005)
HK$16,241,000 (Year ended 31-12-2006)
HK$ 4,708,000 (Year ended 31-12-2007)
Group Net Profit: HK$ 82,013,000 (Year ended 31-12-2003)
HK$391,507,000 (Year ended 31-12-2004)
HK$840,956,000 (Year ended 31-12-2005)
HK$418,296,000 (Year ended 31-12-2006)
HK$671,692,000 (Year ended 31-12-2007)
Group Net Worth: HK$ 492,697,000 (As at 31-12-2003)
HK$ 720,223,000 (As at 31-12-2004)
HK$1,111,652,000 (As at 31-12-2005)
HK$1,301,117,000 (As at 31-12-2006)
HK$1,601,482,000 (As at 31-12-2007)
Profit & Loss: Group has been making profits since 2003.
Condition: Business is actively and normally conducted.
Facilities: Is making active use of general banking facilities.
Payment: Regularly met.
Commercial Morality: Good.
Bankers:-
The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Hang Seng Bank Ltd., Hong Kong.
Bank of China (Hong Kong) Ltd., Hong Kong.
Bank of America N.A., Hong Kong Branch.
Deutsche Bank AG,
Hong Kong Branch.
Banking:-
One source reports
they have maintained an active and well conducted current account in their
books since 1953. They finance their
import bills under Letter of Credit and on a collection basis to their entire
satisfaction.
Another source
informs it maintains a well conducted current account on their books since
1967. They have financed a considerable
volume of their imports with entirely satisfactory results.
Standing: Good.
GENERAL
Yee Lee Industrial
Chemical Ltd. [YLIC], incorporated in January 1953, is a wholly-owned
subsidiary of Yee Lee Technology Co. Ltd. [Yee Lee] which is a BVI-registered
firm.
YLIC was first
founded in Hong Kong in 1936 by the late Chiu Kung Po. After his death in September 1956, YLIC
changed hands and owned by his widow and son.
Trading in chemicals, YLIC is one of the leaders in the line of business
and enjoying good reputation. Since its
establishment, YLIC has been specialised in supplying end users with quality
chemicals and industrial raw materials.
In 1997, YLIC was reorganised and shifted under the control of Yee Lee,
a British Virgin Islands-registered firm with business operating in Hong
Kong. Yee Lee is engaged in the trading
business in chemical and industrial raw materials. Now, Yee Lee is 75% owned by Jinhui Holdings Co. Ltd. [Jinhui
Holdings], a public listed company in Hong Kong.
Under the support
of the ultimate holding company Jinhui Holdings, YLIC has been expanding and
trading in a wider range of products which are applied in different
industries. Products carried include
printed circuit boards, electronics, chemicals for electroplating, surface
finishing, bleaching and dyeing, coating, paper packaging, plastics producing,
food processing, etc. Main products are
copper clad laminates, copper anodes, trichloroethylene, nickel sulphamate,
hydrogen peroxide, nickel anodes, etc.
YLIC is also
carrying the following textile chemicals: glacial acetic acid, hydrogen
peroxide, perchloroethylene, potassium hydroxide, sodium hydroxide, softening
agents, etc.
YLIC maintains a
logistic supporting system with a lorry fleet and well-facilitated warehouses
for stocking general and dangerous goods in Hong Kong. An office has been set up in Changan Town,
Dongguan City, Guangdong Province, China to service the customers in Southern
China. The Dongguan Office also can
provide clients in China with supporting services including the latest products
and technology information.
YLIC is also
engaged in developing new products. It
also has established its first manufacturing plant, Mutual Fountain Materials
Factory, in Changan Town, Dongguan City, Guangdong Province, China. The factory commenced business on
27th July, 2001.
Jinhui Holdings
was incorporated on 23rd April, 1991 as a holding company of the Jinhui
Group. It has been listed on The Stock
Exchange of Hong Kong Ltd., bearing the stock code 137, since
6th December, 1991.
Jinhui Group is
principally engaged in ship chartering, ship owning, trading, transportation
and warehousing. It is also trading in
dry bulk commodities, metallurgical coke products. All these businesses serve as a complement to its ship chartering
business. It acquired the Yee Lee Group
which is trading in chemical products in 1997.
Jinhui Group’s
trading activities have been carried out by Yee Lee and its subsidiaries. Jinhui Group’s turnover in trading usually
represents the turnover of Yee Lee.
For the year ended
31st December, 2007, the turnover for Jinhui Group’s trading business was
HK$264.8 million, representing a decrease of 20.4% as compared with HK$332.8
million of 2006. The Group’s trading
business recorded an operating profit of HK$4.7 million, representing a
decrease of 71.0% as compared with HK$16.2 million in previous year. The overall decrease in both turnover and
operating profit was mainly due to severe price competition among China local
suppliers in industrial raw materials market and slowing down of the sales
orders in the second half of the year when the subprime mortgage financial
crisis surfaced.
During the FY
2007, the Jinhui Group’s consolidated turnover amounted to HK$2,575.8 million,
representing an increase of 66.1% as compared with HK$1,550.8 million of
2006. The Group’s net profit for the
year amounted to HK$671.7 million, representing an increase of 60.6% over the
net profit of HK$418.3 million for 2006.
As at 31st
December, 2007, Jinhui Group had 103 full-time employees and 440 crew,
totalling 543 persons.
The management of
the Group predicts that the Group’s trading business is expected to contribute steady
returns to the Group in future.
On the whole, in
view of YLIC’s parentage and background, consider it good for normal business
engagements.
REMARKS
Brief information
of the principal director:-
Mr. LAU Kam Hung
Alexander, aged 48, is the Head of Yee Lee.
He joined the Group in 1994 as a director of Yee Lee. Mr. Lau has extensive working experience in
finance and management. He graduated in
Accountancy from The Hong Kong Polytechnic University and is an associate
member of the Hong Kong Institute of Certified Public Accountants.
Court case:-
|
Action Date |
Case No. |
Plaintiff |
Defendant |
Cause |
Amount |
|
Sept. 1989 |
- |
Yee Lee Industrial Chemical Ltd. |
Dumaran Ltd. |
Goods Sold and Delivered |
HK$710,601 |
|
Mar. 1995 |
- |
Yee Lee Industrial Chemical Ltd. |
Golden Fund Printing & Dyeing Factory Ltd. |
Amount Due |
HK$451,657 |
|
Sept. 2002 |
40241 |
Yee Lee Industrial Chemical Ltd. |
Top Good Manufacturing Co. Ltd. |
Goods Sold and Delivered |
Not stated |
|
Oct. 2002 |
28178 |
Yee Lee Industrial Chemical Ltd. |
Wing Tai Industrial (Hong Kong) Ltd. |
Goods Sold and Delivered |
Not stated |
|
Oct. 2002 |
54372 |
Yee Lee Industrial Chemical Ltd. |
Wing Shing Electroplating Factory, Li Wai Wa and Yuen
Wu Ping |
Goods Sold and Delivered |
Not stated |
|
Dec. 2003 |
H4589 |
Yee Lee Industrial Chemical Ltd. |
Adac Medical Systems Ltd. [Formerly known as Yee Lee
Enterprises Ltd.] |
Money Due/Owing |
US$845,500 |
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.47.82 |
|
UK Pound |
1 |
Rs.73.08 |
|
Euro |
1 |
Rs.65.56 |
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 |
Unfavourable & favourable factors carry similar weight in credit
consideration. 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 |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|
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%)