|
Report Date : |
31.03.2012 |
IDENTIFICATION DETAILS
|
Name : |
eternal diamonds corporation ltd. |
|
|
|
|
Registered Office : |
Unit B, 16/F., World Trust Tower, 50 Stanley Street, Central |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
18.12.2002 |
|
|
|
|
Com. Reg. No.: |
33232303 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer, Exporter, Wholesaler and Retailer of all kinds of diamonds and jewellery, etc. |
|
|
|
|
No. of Employees : |
15. |
RATING & COMMENTS
|
MIRAs Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
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 September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
ETERNAL DIAMONDS
CORPORATION LTD.
ADDRESS: Unit B, 16/F., World Trust
Tower, 50 Stanley Street, Central, Hong Kong.
PHONE: 2333 5534, 2522 9350
FAX: 2356 2680, 2522
2945
E-MAIL: eternal.diamonds@yahoo.com.hk
Managing Director: Mr. Ashish
Bajranglal Bagaria
Incorporated on: 18th
December, 2002.
Organization: Private
Limited Company.
Capital: Nominal: US$2,000,000.00
Issued: US$2,000,000.00
Business Category: Diamond Trader.
Annual Turnover: US$400~410
million.
Employees: 15.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Good.
Registered Head Office:-
Unit B, 16/F., World Trust Tower, 50 Stanley Street, Central, Hong Kong.
Holding Company:-
Everstar Capital (Asia) Ltd., British Virgin Islands.
33232303
0826414
Managing Director: Mr. Ashish
Bajranglal Bagaria
Nominal Share Capital: US$2,000,000.00 (Divided into 2,000,000 shares of
US$1.00 each)
Issued Share Capital: US$2,000,000.00
(As per registry dated 16-01-2012)
|
Name |
|
No. of shares |
|
Everstar Capital (Asia) Ltd. 263 Main Street, P.O. Box 2196, Road Town, Tortola, British Virgin
Islands. |
|
2,000,000 ======= |
(As per registry dated 16-01-2012)
|
Name (Nationality) |
Address |
|
Ashish Bajranglal BAGARIA |
Unit B, 16/F., World Trust Tower, 50 Stanley Street, Central, Hong
Kong. |
(As per registry dated 18-12-2011)
|
Name |
Address |
Co. No. |
|
Louis Lai Co. Secretarial Services Ltd. |
9/F., Surson Commercial Building, 140‑142 Austin Road,
Tsimshatsui, Kowloon, Hong Kong. |
0686503 |
The subject was incorporated on 18th December, 2002 as a private limited
liability company under the Hong Kong Companies Ordinance.
Formerly the subjects registered office was in an accountant firm
located at 1/F., Xiu Ping Commercial Building, 104 Jervois Street, Sheung Wan,
Hong Kong known as Fung & Pang CPA Ltd. which had handled its
correspondences and documents. The
subject changed its registered address to Flat F2-27, 2/F., Phase 2, Hang Fung
Industrial Building, 2G Hok Yuen Street, Hunghom, Kowloon, Hong Kong with
effect from 10th June, 2010. This was
also the old operating address of the subject.
It has moved to the present address in January 2012.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer, Exporter, Wholesaler and
Retailer.
Lines: All kinds of diamonds
and jewellery, etc.
Employees: 15.
Commodities Imported: India, Belgium, UAE, etc.
Markets: Hong Kong, USA, UAE, India, other
Asian countries, etc.
Annual Turnover: US$400~410 million.
Terms/Sales:
30, 60-90 days.
Terms/Buying: Credit
of 90-120 days.
Nominal Share Capital: US$2,000,000.00
(Divided into 2,000,000 shares of US$1.00 each)
Issued Share Capital: US$2,000,000.00
Alternation of Capital:-
|
Initially |
paid up |
US$
10,000.00 |
|
16-01-2012 |
paid up |
US$1,990,000.00 |
|
|
|
|
|
Total: |
paid up |
US$2,000,000.00 ============= |
Increase of Nominal Capital:-
|
From |
US$100,000.00 |
to |
US$2,000,000.00 |
on |
16-01-2012 |
Profit or Loss: Business is
profitable.
Condition:
Keeping in an
active condition.
Facilities:
Making very
active use of general banking facilities.
Payment:
Met trade
commitments as required.
Commercial Morality: Good.
Bankers:-
The Hongkong & Shanghai Banking Corp.
Ltd., Hong Kong.
Industrial & Commercial Bank of China
(Asia) Ltd., Hong Kong.
Standing:
Good.
Having issued 2 million ordinary shares of US$1.00 each, Eternal
Diamonds Corporation Ltd. is a wholly-owned subsidiary of Everstar Capital
(Asia) Ltd. which is a BVI-registered firm.
The only director of the subject Mr. Ashish Bajranglal Bagaria is an
Indian merchant. Bagaria is a Hong Kong
ID Card holder and has got the right to reside in Hong Kong permanently.
The subject is trading in diamonds and diamond jewellery. Commodities are chiefly imported from India,
Belgium and the United Arab Emirates.
Products are marketed in Hong Kong, exported to the United State, the
United Arab Emirates, other Asian countries, etc. The subject is also a diamond wholesaler in
Hong Kong. The operators of the subject
are experienced.
According to the subject, its sales in 2009 was over US$180 million, in
2010 was over US$375 million. It is
predicted that its sales in 2011 will be over US$400 million. It is predicted that the subjects business
will improve further in the years ahead.
The subjects business is chiefly handled by Bagaria himself.
The history of the subject in Hong Kong is over nine years and three
months.
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.
-
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.51.15 |
|
|
1 |
Rs.81.80 |
|
Euro |
1 |
Rs.68.34 |
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 SCs 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.