|
Report Date : |
29.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
DOUBLE ARTS
JEWELLERY MANUFACTURER LTD. |
|
|
|
|
Registered Office : |
Unit 7-8, 14/F., |
|
|
|
|
Country : |
|
|
|
|
|
Date of Incorporation : |
25.10.1990 |
|
|
|
|
Com. Reg. No.: |
14049058 |
|
|
|
|
Legal Form : |
Private Limited Company. |
|
|
|
|
Line of Business : |
Importer, Exporter and Wholesaler of All kinds of diamonds
and jewellery products |
|
|
|
|
No. of Employees : |
22. |
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 |
|
Status : |
Good |
|
Payment Behaviour : |
No complaints |
|
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 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
DOUBLE ARTS
JEWELLERY MANUFACTURER LTD.
Unit 7-8, 14/F.,
Peninsula Square East Wing, 18 Sung On Street,
Hunghom, Kowloon, Hong Kong.
PHONE: 2730
3073
FAX: 2730
6309
E-MAIL: jewellery@doublearts.com
Managing
Director: Mr. Wong Yue Pung, William
Incorporated on: 25th October, 1990.
Organization: Private Limited Company.
Capital: Nominal: HK$2,000,000.00
Issued: HK$2,000,000.00
Business Category: Jewellery Trader.
Annual Turnover: HK$80~100 million.
Employees: 22. (Hong Kong)
Main Dealing Banker: Bank of China (Hong Kong) Ltd., Hong Kong.
Banking Relation: Satisfactory.
DOUBLE
ARTS JEWELLERY MANUFACTURER
LTD.
Registered
Head Office:-
Unit 7-8, 14/F.,
Peninsula Square East Wing, 18 Sung On Street,
Hunghom, Kowloon, Hong Kong.
Affiliated
Factory: Guangdong Province, China.
14049058
0290234
Managing
Director: Mr. Wong Yue Pung, William
Contact
Person: Mr. Ken Woo
Nominal Share
Capital: HK$2,000,000.00 (Divided into 200,000 shares of HK$10.00 each)
Issued Share
Capital: HK$2,000,000.00
(As per registry dated 25-10-2011)
|
Name |
|
No.
of shares |
|
WU
Hok Fai |
|
100,000 |
|
WONG Yue Pung |
|
100,000 |
|
|
|
––––––– |
|
|
Total: |
200,000 ====== |
(As per registry dated 25-10-2011)
|
Name (Nationality) |
Address |
|
WU Hok Fai |
Flat H, 23/F., Wisteria Mansion, Taikoo Wan
Road, Taikoo Shing, Hong Kong. |
|
WONG Yue Pung |
Flat H, 42/F., Tower 2, Monterey Cove,
Caribbean Coast, Tung Chung, Lantau Islands, Hong Kong. |
WU Hok Fai (As per registry dated 25-10-2011)
The
subject was incorporated on 25th October, 1990 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.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds and jewellery products.
Employees: 22. (Hong Kong)
130. (China)
Commodities Imported: India, Belgium, other European countries, etc.
Markets: Hong Kong, Japan, Southeast Asia, Europe, Middle East, Scandinavia, etc.
Annual Turnover: HK$80~100 million.
Terms/Sales: L/C or as per contracted.
Terms/Buying: L/C, T/T, D/P, etc.
Hong Kong
Jewellery & Jade Manufacturers Association, Hong Kong.
Hong Kong Jewelry
Manufacturers’ Association, Hong Kong.
Nominal Share Capital: HK$2,000,000.00 (Divided into 200,000 shares of HK$10.00 each)
Issued Share Capital: HK$2,000,000.00
Profit & Loss: Making a small profit every year.
Condition: Keeping in a satisfactory condition.
Facilities: Making active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
Bank of China (Hong Kong) Ltd., Hong Kong.
Nanyang Commercial Bank Ltd., Hong Kong.
Standing: Good.
Having
issued 200,000 ordinary shares of HK$10.00 each, Double Arts Jewellery
Manufacturer Ltd. is equally owned by Mr. Wu Hok Fai and Mr. Wong Yue Pung,
both of whom are Hong Kong merchants.
They are also directors of the subject.
According
to the subject, its predecessor commenced business in 1987.
The
subject is a diamond and jewellery trader.
It has got an affiliated factory in Guangdong Province, China employing
about 130 persons.
The
subject is a diamond importer, exporter and wholesaler. Raw materials are imported from India,
Belgium and other European countries, etc.
It
is engaged in making stylish 14K and 18K fine gold gemset jewellery in diamonds
and good lustre colour stones of rubies, emeralds and sapphires.
Its main
products are the followings:-
Diamond
Rings, 18K Gold Diamond Rings, Colour Gemstone Earrings, White Gold Bracelets,
Diamond Pendants, Diamond Bangles, Diamond Bracelets and Colour Gemstone
Necklaces, etc.
Prime
markets are Japan, Singapore, China, the United States, the Middle East, the
United Kingdom, France, and other Western European countries. The unit price of its product usually ranges
from US$30 to 5,000. All prices are
ex-factory Hong Kong basis. The subject
sends the goods to its customers by using Malca-Amit, Federal Express,
etc. 80% of the products are exported to
foreign countries while 20% are marketed in Hong Kong.
The
subject’s operating office is also a factory which covers an area of 2,800
sq.ft. Monthly production capacity is
over 3,000 units of jewellery products.
In
order to penetrate the international market further, the subject has taken part
in fairs and exhibitions held in Hong Kong and other foreign countries such as
the United States, the United Kingdom, Italy, the United Arab Emirates,
Germany, Switzerland, Bahrain, etc.
The
annual sales turnover of the subject ranges from HK$80 to 100 million. Making a small profit every year.
The
subject accepts order value US$500.00 or over.
The
contact person is Mr. Ken Woo.
In
order to penetrate the international market further, the subject has taken part
in fairs and exhibitions held in Hong Kong.
For instance, it is going to take part in “HKTDC Hong Kong International
Jewellery Show 2013” which will be held in Hong Kong Convention and Exhibition
Centre, Wanchai, Hong Kong during the period of 5th to 9th March, 2013.
On
the whole, since the history of the subject in Hong Kong is over twenty‑one
years and eight months, consider it good for normal business engagements.
-
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.
-
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.
-
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.
-
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.
-
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.
-
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.
-
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.
-
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.56.91 |
|
|
1 |
Rs.88.90 |
|
Euro |
1 |
Rs.56.91 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.