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Report Date : |
08.12.2012 |
IDENTIFICATION DETAILS
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Name : |
KIL
INTERNATIONAL LTD. |
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Registered Office : |
c/o CBS Pacific
Ltd., Room A, 8/F., |
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Country : |
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Date of Incorporation : |
04.07.2011 |
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Com. Reg. No.: |
58601909 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Diamond & Gemstone Trader of all kinds of gemstones, jewellery products, etc. |
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No. of Employees : |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
No Operating Office in |
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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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
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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 |
Hong Kong - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.
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Source : CIA |
KIL INTERNATIONAL LTD.
c/o CBS Pacific Ltd.
Room A, 8/F., Chung Commercial Building, 19-21 Hennessy Road, Wanchai, Hong Kong.
PHONE: 2528 2930
FAX: 8148 9228
Managing Director: Mr. Alpesh Vinubhai Kanani
Incorporated on: 4th July, 2011.
Organization: Private Limited Company.
Capital: Nominal: HK$32,000,000.00
Issued: HK$32,000,000.00
Business Category: Diamond & Gemstone Trader.
Total income of holding company: INR 1,397.6 million
(Year ended 31-03-2012)
Employees: Nil.
Main Dealing Banker: Bank of India, Hong Kong Branch.
Banking Relation: Satisfactory.
Registered
Office:-
c/o CBS Pacific Ltd.
Room A, 8/F., Chung Commercial Building, 19-21 Hennessy Road, Wanchai, Hong Kong.
Holding Company:-
Kanani Industries Ltd., India.
58601909
1625216
Managing Director: Mr. Alpesh Vinubhai Kanani
Nominal Share Capital: HK$32,000,000.00 (Divided into 32,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$32,000,000.00
(As per registry
dated 04-07-2012)
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Name |
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No. of shares |
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Kanani Industries Ltd. G-6, Prasad Chambers, Tat Road No. 2, Opera House, Mumbai-400004, Maharashtra, India. |
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32,000,000 ======== |
(As per registry
dated 04-07-2012)
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Name (Nationality) |
Address |
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Alpesh Vinubhai KANANI |
704 Panch Ratna Tower, Lambe Hanuman Road, Varachha Surat, India. |
|
Harshil Premji KANANI |
Flat 104, 9/F., Navyug Nagar No. 1, Forjet Hill Opp. Bhatia Hosp Tardeo Mumbai-400036, M.S., India. |
(As per registry
dated 04-07-2012)
|
Name |
Address |
Co.
No. |
|
CBS Pacific Ltd. |
Room A, 8/F., Chung Commercial Building, 19‑21 Hennessy Road, Wanchai, Hong Kong. |
0582043 |
The subject was incorporated on 4th July, 2011 as a private limited liability company under the Hong Kong Companies Ordinance.
Formerly the registered address of the subject was located at “Room 515, 5/F., Tower A, New Mandarin Plaza, Science Museum Road, Tsimshatsui, Kowloon, Hong Kong” where was the operating office of Michael Chan & Co. This firm is an accountant firm. Your given phone and fax number 3114 7994 and 3114 7995 respectively belong to it. The registered office moved to the present address in May 2012. The subject changed its registered office because it has changed its commercial service provider since then.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Diamond & Gemstone Trader.
Lines: All kinds of gemstones, jewellery products, etc.
Employees: Nil.
Commodities Imported: India, etc.
Markets: Hong Kong, China, Middle East, Europe, North America, etc.
Total income of
holding company:-
INR 1,519.2 million (Year ended 31-03-2011)
INR 1,397.6 million (Year ended 31-03-2012)
Terms/Sales: As per contracted.
Terms/Buying: Various terms.
Nominal Share Capital: HK$32,000,000.00 (Divided into 32,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$32,000,000.00
Profit after Tax
of holding company:-
INR 161.8 million (Year ended 31-03-2011)
INR 2.0 million (Year ended 31-03-2012)
Profit or Loss: Business of parent is profitable.
Condition: Business is under development.
Facilities: Trying to make use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory
Banker: Bank of India, Hong Kong Branch.
Standing: Small.
Having issued 32 million ordinary shares of HK$1.00 each, KIL International Ltd. is wholly owned by Kanani Industries Ltd. [Kanani] which is an India-based and listed firm.
The subject does not have its own operating office. Its registered office is in a commercial service firm located at “Room A, 8/F., Chung Commercial Building, 19-21 Hennessy Road, Wanchai, Hong Kong” known as “CBS Pacific Ltd.” which is handling its correspondences and documents. This firm is also the corporate secretary of the subject.
The subject has no employees in Hong Kong.
Kanani is a diamond and jewellery trader, so does the subject.
Kanani was initially incorporated on 22nd March 1983 with the Registrar of Companies Maharashtra, Mumbai, as a public limited company under the name of “Shivlaxmi Mercantile Company Limited”.
Kanani was acquired by Mr. Premjibhai D. Kanani and Mr. Vinubhai L. Kanani on 9th April 2007 vide change in management and control in shareholding of the company under the name IMP Finance Limited, which was subsequently changed to “Kanani Industries Limited”, which is the present name, on October 19th, 2007 vide Certificate of Change of Name issued by the Registrar of Companies Maharashtra Mumbai.
Further the company had acquired its own land at SEZ, Sachin, Surat (Gujarat), and build up its own four story factory. Now Kanani is engaged in Diamonds Studded Jewellery Business.
For the year ended 31st March, 2012, the total income of Kanani amounted to INR 1,397.6 million (2011: INR 1,519.2 million), profit after tax of Kanani amounted to INR 2.0 million (2011: INR 161.8 million).
The subject is fully supported by Kanani. Business is still under development. History in Hong Kong is just over a year.
Since the subject does not have its own operating office and has no employees in Hong Kong, consider it good for business engagements on secured basis.
DIAMOND INDUSTRY –
INDIA
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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.
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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
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Indian Rupees |
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US Dollar |
1 |
Rs.54.20 |
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UK Pound |
1 |
Rs.86.99 |
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Euro |
1 |
Rs.70.22 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
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.