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Report Date : |
12.05.2012 |
IDENTIFICATION DETAILS
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Name : |
DONOVANS
LTD. |
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Registered Office : |
c/o MJM Management
Services Ltd., Flat C, G/F., Kaiser Estate 1, |
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Country : |
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Date of Incorporation : |
15.10.2002 |
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Com. Reg. No.: |
33217438 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of jewellery and diamond products. |
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No. of Employees : |
16 |
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, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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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 |
DONOVANS LTD.
Unit 103B, 1/F., Harbour Centre, Tower 1, 1 Hok Cheung Street, Hunghom, Kowloon, Hong Kong.
PHONE: 2363 2812
FAX: 2363 6013
E-MAIL: info@donovans.com.hk
Managing Director: Mr. Yeh Yuan Chi, Franky
Incorporated on: 15th October, 2002.
Organization: Private Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$10,000.00
Business Category: Importer, Exporter and Wholesaler.
Employees: 16.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Office:-
c/o MJM Management Services Ltd.
Flat C, G/F., Kaiser Estate 1, 41 Man Yue Street, Hunghom, Kowloon, Hong Kong.
Head Office:-
Unit 103B, 1/F., Harbour Centre, Tower 1, 1 Hok Cheung Street, Hunghom, Kowloon, Hong Kong
Holding Company:-
Copartner International Ltd., British Virgin Islands.
Associated Company:-
Pure Concepts Ltd., Hong Kong.
33217438
0817769
Managing Director: Mr. Yeh Yuan Chi, Franky
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$10,000.00
(As per registry
dated 15-10-2011)
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Name |
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No. of shares |
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Copartner International Ltd. P.O. Box 957, Offshore Incorporations Centre, Road Town, Tortola, British Virgin Islands. |
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10,000 ===== |
(As per registry
dated 15-10-2011)
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Name (Nationality) |
Address |
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SIN Nga Yan, Benedict |
Flat C, G/F., Kaiser Estate 1, 41 Man Yue Street, Hunghom, Kowloon, Hong Kong. |
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SIN Wai Kin, David |
26 Black’s Link, Deep Water Bay, Hong Kong. |
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WONG Foot Keong |
Unit B, 22/F., Tower 19, Phase 4, Laguna Verde, Hunghom, Kowloon, Hong Kong. |
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YEH Yuan Chi |
Unit B, 22/F., Tower 19, Phase 4, Laguna Verde, Hunghom, Kowloon, Hong Kong. |
(As per registry
dated 15-10-2011)
|
Name |
Address |
Co.
No. |
|
MJM Management Services Ltd. |
Flat C, G/F., Kaiser Estate 1, 41 Man Yue Street, Hunghom, Kowloon, Hong Kong. |
0372580 |
The subject was incorporated on 15th October, 2002 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 jewellery and diamond products.
Employees: 16.
Commodities Imported: India, other Asian countries, Europe, US, etc.
Markets: Hong Kong, Australasia, Central & South America, North America, Western Europe, UK,
etc.
Terms/Sales: L/C or as per contracted.
Terms/Buying: L/C, T/T, D/P, etc.
Hong Kong Jewelry Manufacturers’ Association, Hong Kong.
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$10,000.00
Profit or 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.
Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Normal.
Having issued 10,000 ordinary shares of HK$1.00 each, Donovans Ltd. is wholly owned by Copartner International Ltd. which is a BVI-registered firm.
The subject is a jewellery manufacturer and trader.
The subject is a manufacturer of fine jewellery. It provides an extensive range of 9K, 10K, 14K and 18K gold jewellery accented with diamonds and gemstones available in bracelets, bangles, earrings, necklaces, pendants and rings.
Catering for medium to high-end market, the subject annually launches 1,800 designs of jewellery with a China factory and in-house design team. The annual production capacity of the China factory is not less than 500,000 pieces of jewellery products. Its traditional, elegant, classic and contemporary pieces are sold to retailers and wholesalers in most countries of the world. Its prime markets are Hong Kong, Australasia, Central & South America, North America, Western Europe, etc. The United Kingdom is one of its prime markets.
In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong and other foreign large cities.
For instance, it took part in “HKTDC Hong Kong International Jewellery Show 2012” which had been held in Hong Kong Convention and Exhibition Centre, Wanchai, Hong Kong during the period of 16th to 20th February, 2012. 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.
The subject has had an associated company Pure Concepts Ltd. [PCL] which is also a diamond trader.
Having issued 10,000 ordinary shares of HK$1.00 each, PCL is jointly owned by QI Asset Management Ltd., a Cayman Islands-registered firm holding 25% interests; and Wonking (Hong Kong) Ltd., a Hong Kong-registered firm holding 75%.
The directors of the subject are Mr. Yeh Yuan Chi, Mr. Magandran S. Rajadurai and Mr. Ronald Lawrench D’Souza. The second is a Malaysia passport holder and currently residing in Malaysia.
The subject’s business is chiefly handled by Mr. Franky Yeh Yuan Chi. History in Hong Kong is over nine years and six months.
On the whole, consider the subject good for normal business engagements.
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
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Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.53.64 |
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UK Pound |
1 |
Rs.86.42 |
|
Euro |
1 |
Rs.69.29 |
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.