MIRA INFORM
REPORT
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Report Date : |
09.07.2011 |
IDENTIFICATION DETAILS
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Name : |
SAPPI
PAPER HONG KONG
LTD. |
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Registered Office : |
41/F., AIA Tower, 183 Electric Road, North Point |
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Country : |
Hong Kong |
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Date of Incorporation : |
25.05.2005 |
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Com. Reg. No.: |
35683752 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer and Exporter of Wood pulp, paper and related products |
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 – March 31st, 2011
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Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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Hong Kong |
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 |
Bottom of Form
Company name
SAPPI PAPER HONG
KONG LTD.
Company ADDRESS
41/F., AIA Tower, 183 Electric Road, North Point, Hong Kong.
PHONE: 2219 1060, 2219 1061
FAX: 2877 4962
E-MAIL: kirsten.kuo@sappi.com
MANAGEMENT
Managing Director: Ms. Chan Fung Yi, Loretta
SUMMARY
Incorporated on: 25th May, 2005.
Organization: Private Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$10,000.00
Business Category: Paper and Pulp Trader.
Group Turnover: US$6,572 million (Year ended 30-09-2010)
Group Employees: 15,586. (As at 30-09-2010)
Main Dealing Banker: Union Bank of Switzerland, Hong Kong Branch.
Banking Relation: Good.
Company ADDRESS
Registered Head Office:-
41/F., AIA Tower, 183 Electric Road, North Point, Hong Kong.
Immediate Holding
Company:-
Sappi Deutschland GmbH, Germany.
Ultimate Holding
Company:-
Sappi Ltd., South Africa.
Sister/Affiliated
Companies:-
Sappi Group of Companies
· Jiangxi Chenming Paper Co. Ltd., China.
· Lereko Property Co. (Pty) Ltd., South Africa.
· PE Paper Escrow GmbH, Austria.
· S.D. Warren Co., USA.
· Sappi Alfeld GmbH, Germany.
· Sappi Austria Produktions-GmbH & Co. KG, Austria.
· Sappi Cloquet LLC, USA.
· Sappi Ehingen GmbH, Germany.
· Sappi Esus Beteiligungsverwaltungs GmbH, Austria.
· Sappi Europe S.A., Belgium.
· Sappi Fine Paper plc, South Africa.
· Sappi Finland I Oy, Finland.
· Sappi Gratkorn GmbH, Austria.
· Sappi Holding GmbH, Austria.
· Sappi International S.A., Belgium.
· Sappi Lanaken NV, Belgium.
· Sappi Lanaken Press Paper NV, Belgium.
· Sappi Maastricht B.V., the Netherlands.
· Sappi Management Services (Pty) Ltd., South Africa.
· Sappi Nijmegen B.V., the Netherlands.
· Sappi Papier Holding GmbH, Austria.
· Sappi Schweiz AG, Switzerland.
· Sappi Share Faciliation Co. (Pty) Ltd., South Africa.
· Sappi Southern Africa (Pty) Ltd., South Africa.
· Sappi Stockstadt GmbH, Germany.
· Sappi Trading Africa (Pty) Ltd., South Africa.
· Sappi Trading Australia Pty. Ltd., Australia.
· Sappi Trading de Mexico SA de CV, Mexico.
· Sappi Trading do Brasil Ltda., Brazil.
· Sappi Trading Hong Kong Ltd., Hong Kong.
· Sappi Trading Pulp AG, Switzerland.
· Sappi UK Ltd., UK.
· Sappisure Försäkrings AB, Sweden.
· Sweet Mind Ltd., Hong Kong.
· US Paper Corporation, USA.
· Usutu Pulp Co. Ltd., South Africa.
etc.
BUSINESS REGISTRATION NUMBER
35683752
COMPANY FILE NUMBER
0972780
MANAGEMENT
Managing Director: Ms. Chan Fung Yi, Loretta
Sales Contact: Mr. Kirsten Kuo
CAPITAL
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$10,000.00
SHAREHOLDER
(As per registry
dated 25-05-2011)
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Name |
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No. of shares |
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Sappi Deutschland GmbH Berliner Allee 14, D-30175 Hannover, Germany. |
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10,000 ===== |
DIRECTORS
(As per registry
dated 25-05-2011)
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Name (Nationality) |
Address |
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CHAN Fung Yi, Loretta |
Flat C, 21/F., Block 8, Laguna City, Kowloon, Hong Kong. |
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LEUNG Pik Hung |
Flat A, 48/F., Block 7, Oscar By The Sea, Tseung Kwan O, Kowloon, Hong Kong. |
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Peter Thomas GOER |
Volgelsangstr 23, 30952 Ronnenberg/Benthe, Germany. |
SECRETARY
(As per registry
dated 25-05-2011)
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Name |
Address |
Co.
No. |
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Sappi Trading Hong Kong Ltd. |
41/F., AIA Tower, 183 Electric Road, North Point, Hong Kong. |
0175198 |
HISTORY
The subject was incorporated on 25th May, 2005 as a private limited liability company under the Hong Kong Companies Ordinance.
Apart from these, neither material change nor amendment has been ever traced and noted.
OPERATIONS
Activities: Importer and Exporter.
Lines: Wood pulp, paper and related products.
Group Employees: 15,586. (As at 30-09-2010)
Commodities Imported: Taiwan, Southeast Asia, North America, etc.
Markets: Europe, North America, etc.
Group Turnover: US$4,941 million (Year ended 30-09-2006)
· US$5,304 million (Year ended 30-09-2007)
· US$5,863 million (Year ended 30-09-2008)
· US$5,369 million (Year ended 30-09-2009)
· US$6,572 million (Year ended 30-09-2010)
Terms/Sales: L/C, T/T, etc
Terms/Buying: L/C, D/P, O/A, etc.
FINANCIAL INFORMATION
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$10,000.00
Group Net Profit/(Loss): (US$ 4 million)(Year ended 30-09-2006)
US$202 million (Year ended 30-09-2007)
US$102 million (Year ended 30-09-2008)
(US$177 million)(Year ended 30-09-2009)
US$ 66 million (Year ended 30-09-2010)
Profit or Loss: Making a small profit every year.
Condition: Keeping in a satisfactory manner.
Facilities: Making active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Bankers:-
· Union Bank of Switzerland, Hong Kong Branch.
· Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.
Standing: Good.
GENERAL
Sappi Paper Hong Kong Ltd. is a wholly-owned subsidiary of Sappi Deutschland GmbH which is a Germany-based firm. Its ultimate holding company Sappi Ltd. [Sappi] is a South Africa-based firm. In fact, the subject is a member of the Sappi Group in the Asia Pacific region.
The subject has had an associated company Sappi Trading Hong Kong Ltd. located at its operating office.
Sappi is a global paper and pulp group. It is a leading producer of coated woodfree and coated mechanical paper widely used in books, brochures, magazines, catalogues and many other print applications. It believes it is also the world’s largest producer of chemical cellulose, used primarily in the manufacture of viscose fibre, acetated tow, and consumer and pharmaceutical products. In addition, it produces newsprint, uncoated graphic and business papers, premium quality packaging papers, a range of coated speciality papers and a range of paper grade pulp.
Sappi is a public company incorporated in the Republic of South Africa. Its principal executive offices are located at 48 Ameshoff Street, Braamfontein, Johannesburg, 2001, Republic of South Africa, its telephone number is 27‑11‑407-8111. It currently has its primary listing on the JSE Ltd. [JSE], formerly the Johannesburg Stock Exchange, and has a secondary listing on the New York Stock Exchange.
Sappi was founded and incorporated in 1936 in South Africa and is a corporation organized under the Companies Act 61 of 1973 of the Republic of South Africa. Until 1990, Sappi primarily expanded its operations within southern Africa. Since 1990, it has grown through acquisitions outside of southern Africa. In the mid 1990’s, it acquired S.D. Warren Company, a market leader in the United States in coated woodfree paper and a major producer of other speciality paper products. It now conducts business as Sappi Fine Paper North America. In the late 1990’s, it acquired KNP Leykam, a leading European producer of coated woodfree paper. KNP Leykam now conducts business as Sappi Fine Paper Europe. In 2002, it acquired Potlatch Corporation’s coated woodfree paper business and have integrated it in Sappi Fine Paper North America. During August 2009, it permanently ceased operations at Muskegon mill in the United States. Customers were being served from its other North American operations. On 2nd November, 2009, it delisted from the London Stock Exchange. The London share register was closed on 23rd November, 2009 with all remaining shareholders on the United Kingdom share register being transferred to the South African share register.
On 31st January, 2010, Sappi closed its production facilities at the Usutu mill in Swaziland due to market conditions and forest fire damage. However, the re-habilitation of the forestry operations at Usutu will continue. With this closure, it has exited the unbleached kraft pulp market. During January 2010, Sappi permanently ceased operations at the Kangas mill in Finland. Products produced at the Kangas mill were moved to and supplied from the Lanaken mill in Belgium and its Kirkniemi mill in Finland. On 24th March, 2010, Sappi announced a BEE transaction involving the issuance of 24.3 million Sappi shares (approximately 4.5% of Sappi). The transaction empowers its South African employees, its strategic empowerment partner, Lereko Investments, and the South African communities in which we operate. The transaction was approved by its shareholders on 29th April, 2010. It recorded a charge of US$23.4 million to the income statement in respect of this transaction. On 19th April, 2010, Sappi announced the acquisition of 14,500 ha of forestry land in Mpumalanga, South Africa. The plantation will supply an additional 150,000 tons of fibre to its Ngodwana mill. During 2010, Sappi restructured its southern African Paper and Paper Packaging business to become more efficient and to improve its focus and service delivery to its end customers.
Sappi’s trading network, Sappi Trading, coordinates the international marketing and distribution of its woodfree and mechanical paper products outside its core regions. Sappi Trading operates in Hong Kong (China) which is the subject, Sydney (Australia), Sao Paulo (Brazil), Shanghai (China), Konstanz (Germany), Nairobi (Kenya), Mexico City (Mexico), Singapore, Johannesburg and Durban (South Africa), Zurich (Switzerland), Taipei (Taiwan) and New York (United States). It manages a network of agents around the world, handling exports to over 70 countries. Sappi Trading also manages the export logistics of the southern African operations. In total, Sappi Trading had 148 employees in 2010.
The sales of the Sappi Group for the year ended 30th September, 2010 amounted to US$6,572 million, grew by 22.4% as compared with US$5,369 million in FY 2009. In FY 2010, the Group’s profit after tax was US$66 million as compared with a net loss of US$177 million in FY 2009.
The subject is fully supported by the Sappi Group.
On the whole, in view of the background of the subject, consider it good for normal business engagements.
COURT CASES: None per our.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.44.33 |
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UK Pound |
1 |
Rs.70.74 |
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Euro |
1 |
Rs.63.65 |
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.