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Report Date : |
22.08.2012 |
IDENTIFICATION DETAILS
|
Name : |
B.
B. DIAM (HK)
LTD. |
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|
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Registered Office : |
Room 903, 9/F., Working Port Commercial Building, 3 Hau Fook Street, Tsimshatsui, Kowloon |
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Country : |
Hong Kong |
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Date of Incorporation : |
09.07.2009 |
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Com. Reg. No.: |
50879653 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, etc. |
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No. of Employees : |
03 employees |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
B. B. DIAM (HK) LTD.
Room 903, 9/F., Working Port Commercial Building, 3 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 2116 9566
FAX: 3585 6617
E-MAIL: bbdiamhkltd@gmail.com
Managing Director: Mr. Damjibhai Bhagwanbhai Vaghani
Incorporated on: 9th July, 2009.
Organization: Private Limited Company.
Capital: Nominal: HK$6,000,000.00
Issued: HK$6,000,000.00
Business Category: Diamond Trader.
Employees: 3.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Room 903, 9/F., Working Port Commercial Building, 3 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong.
Holding Company:-
Vaghani Bros., India.
Ultimate Holding
Company:-
B.B. Diam Ltd., India.
Associated
Companies:-
B. B. Creation Co., India
B. B. Diam Co. Ltd., Thailand.
B.B. Diam, Hong Kong.
50879653
1351902
Managing Director: Mr. Damjibhai Bhagwanbhai Vaghani
Nominal Share Capital: HK$6,000,000.00 (Divided into 6,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$6,000,000.00
(As per registry
dated 09-07-2012)
|
Name |
|
No. of shares |
|
Vaghani Bros. 8 Arogyadham, Near Asha Parekh Hospital, S.V. Road, Santacruz (W), Mumbai 400054, India. |
|
2,400,000 |
|
B. B. Diam Co. Ltd. 322/33 Bangkok Gems & Jewelry Tower, 16/F., Suite-F, Surawongse Road, Siphraya, Bangrak, Bangkok 10500, Thailand. |
|
2,400,000 |
|
Arvind Bhagvanbhai VAGHANI |
|
1,200,000 |
|
|
|
–––––––– |
|
|
Total: |
6,000,000 ======= |
(As per registry
dated 13-08-2012)
|
Name (Nationality) |
Address |
|
Manjibhai Bhagwanbhai VAGHANI |
Room 903, 9/F., Working Port Commerical Building, 3 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong. |
|
Arvind Bhagvanbhai VAGHANI |
Room 903, 9/F., Working Port Commerical Building, 3 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong. |
(As per registry
dated 09-07-2012)
|
Name |
Address |
Co.
No. |
|
Champion Corporate Ltd. |
Room 2002, 20/F., Emperor Group Centre, 288 Hennessy Road, Wanchai, Hong Kong. |
0657221 |
The subject was incorporated on 9th July, 2009 as a private limited liability company under the Hong Kong Companies Ordinance.
Formerly located at Room 904, 9/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong, the subject moved to the present address with effect from 13th May, 2010
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds and jewellery products, etc.
Brand Name: BB.
Employees: 3.
Commodities Imported: India, Europe, etc.
Markets: Hong Kong, other Asian countries, Europe, Middle East, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$6,000,000.00 (Divided into 6,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$6,000,000.00
Profit or Loss: Making a small profit in 2011.
Condition: Business is improving.
Facilities: Making rather active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Small.
Having issued 6 million ordinary shares of HK$1.00 each, B. B. Diam (HK) Ltd. is jointly owned by Vaghani Bros., holding 60% interests; Thailand B. B. Diam Co. Ltd., holding 30%; and Arvind Bhagvanbhai Vaghani, 10%.
The subject’s ultimate holding company is B.B. Diam Ltd. [India B.B. Diam] which is an India-based firm. India B.B. Diam is a diamond product manufacturer and trader.
India B.B. Diam was set up by Mr. Babubhai B. Vaghani in 1972 in Surat, India. In 1981, he started a factory employing about 100 persons. The factory is known as B. B. Creation Co.
In 1990, India B.B. Diam set up a sales office in Surat which has become the head office.
India B.B. Diam set up a sales office in Mumbai named Vaghani Bros. with Mr. Damjibhai Bhagwanbhai Vaghani joined in as a partner.
India B.B. Diam started importing rough diamonds from Belgium and Israel in 1994.
In 2007, India B.B. Diam set up a marketing office in Bangkok, Thailand which is the 30% interests holder of the subject.
Now, India B.B. Diam has had about 550 workers in India.
The subject is a marketing office of India B.B. Diam which is trading in diamond silver, 14 or 18 karat, jewellery, bracelet, brooch, earring, necklace, pendant, ring, and others. It is also trading in the following polished and cut diamonds: asscher cut, baguette, emerald cut, heart shape, marquise, oblong, oval shape, pear shape, princess cut, round brilliant, taper, tapered baguette, trilliant, etc. Most of the products bear the brand name “BB”.
According to the subject, it trades in “fancy illusion diamonds and jewellery”. It also trades in broken diamonds and scrap diamonds.
Major markets are Asian countries, Europe, the Middle East and the United States.
Vaghani Bros. is an importer in Mumbai, India. It is also trading in chemicals, cosmetics, waxes, etc. besides marketing diamonds.
The subject is fully supported by its holding company in India and Thailand.
The subject and India B.B. Diam are chiefly owned by Vaghani family. Its history in Hong Kong is over three years.
On the whole, consider it good for normal business engagements.
DIAMOND INDUSTRY –
INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of diamonds
but history says that in the remote past, diamonds were mined only in India.
Diamond production in India can be traced back to almost 8th Century
B.C. India, in fact, remained undisputed leader till 18th Century
when Brazilian fields were discovered in 1725 followed by emergence of S.
Africa, Russia and Australia.
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The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
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The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
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Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
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The diamond jewellery industry in India today may be more
than Rs 60000 mil and is rated amongst the fastest growing in the world.
Indi ranks third in the world in domestic diamond consumption.
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Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
DIAMOND SAGA – DIRTY DOZEN STUCK
WITH 2K CR DEBT
This
could be the biggest credibility crisis the Indian diamond industry has ever
faced. Fifteen banks run the risk of losing Rs 2000 crore lent to a dozen
diamond firms in Surat. Until about two months ago, they had not repaid
these dues. Bankers believe many diamantaires borrowed money during the
economic downturn two years ago and diverted funds to businesses like real estate
and capital markets. Many of themselves made money from these businesses but
their diamond companies have gone sick and declared insolvency.
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Most of the money borrowed from the banks in the name
of their diamond business has been diverted in real estate and the share
market. The banks are not in a position to seize their properties because in
many cases, these were purchased in the name of their relatives and friends.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.54 |
|
UK Pound |
1 |
Rs.87.39 |
|
Euro |
1 |
Rs.68.72 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.