|
Report Date : |
12.04.2013 |
IDENTIFICATION DETAILS
|
Name : |
LG INTERNATIONAL (HK) LTD. |
|
|
|
|
Registered Office : |
26/F., 633 King’s Road, North Point |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
23.12.1977 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer, Exporter, Re-exporter and Transhipment Agent; Investment
Holding Company. |
|
|
|
|
No. of Employees : |
32. (Including 6 Korean staff) |
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 : |
Regular |
|
Litigation : |
-- |
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 (31.03.2011) |
Current Rating (30.06.2012) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
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.
Source
: CIA
LG INTERNATIONAL
(HK) LTD.
ADDRESS: 26/F., 633
King’s Road, North Point, Hong Kong.
PHONE: 2820
7800, 2820 7840
FAX: 2868
1460
E-MAIL: kwlee@lgi.co.kr
Managing Director: Mr. Jaeho Heo
Incorporated on: 23rd
December, 1977.
Organization: Private
Limited Company.
Capital: Nominal: HK$78,000,000.00
Issued: HK$78,000,000.00
Business Category: General Merchant; Investment Holding Company.
Company Turnover: KRW
2,711,542 million (Year ended
31-12-2011)
Group Turnover: KRW
13,986,834 million (Year ended
31-12-2011)
Employees:
32. (Including 6 Korean staff)
Main Dealing Bankers: BNP Paribas, Hong Kong Branch.
The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Good.
Registered Head Office:-
26/F., 633 King’s Road, North Point, Hong Kong.
Overseas Branch:-
Taipei, Taiwan.
[Tel: 886-2-2758 7227 Fax:
886-2-2757 6994~5
E-mail: hshana@lgi.co.kr]
Holding Company:-
LG International Corporation
LG Twin Towers, 20 Yoido-dong, Youngdungpo-gu, Seoul 150-606, South
Korea.
[Tel: 82-2-3773-1114; Fax:
82-2-3773-5446]
Subsidiaries:-
GZFTZ LG International Ltd., China. [100%-owned]
Han Young Resources Co. Ltd., Hong Kong. [Winding
- Up]
Associated Companies:-
LG International Group of Companies
Colmineral S.A.DE.C., Maxico.
De Zwarte Ponk BV, Netherlands.
EPC Munai LLP, Kazakhstan.
Guangzhou Steel Flower Electric Machinary Co. Ltd., China.
Hebei Youneng Trading Ltd., China.
Korea Carbon International Inc., Hong Kong.
Kumah Steel Co. Ltd., Korea.
LG (Timer Sea 06-102) Ltd., Marshal Islands.
LG International (America) Inc., USA.
LG International (Australia) Pty. Ltd., Australia.
LG International (China), China.
LG International (Deutschland) GmbH, Germany.
LG International (Japan) Ltd., Japan.
LG International (Singapore) Pte. Ltd., Singapore.
LG International (UK) Ltd., UK.
LG International do Brasil Ltda., Brazi.
LG International Investment (Canada) Ltd., Canada.
LG International Yakutsk Ltd., Russia.
Mongolia Resources Investment Ltd., Hong Kong.
Najing LG International VMI Co. Ltd., China.
P.T. Tutui Batubara Utama, Indonesia.
Philco Resources Ltd., Malaysia.
Pixdix Co. Ltd., Korea.
PT. Batubara Global Energy, Indonesia.
PT. Green Global Lestari, Indonesia.
PT. Indonesia Renewable Resources, Indonesia.
PT. Mega Global Energy, Indonesia.
PT. Megaprima Persada, Indonesia.
PT. Parna Agromas, Indonesia.
Resource Investment (Marree) Pty. Ltd., Australia.
Tianjin Steel Flower Eletric Machinary Co. Ltd., China.
Twinwine Co. Ltd., Korea.
Yantai VMI Hub LG International Co. Ltd., China.
etc.
05426893
0057497
Managing Director: Mr. Jaeho Heo
Contact Person: Mr. Jeong Key
Hong
Nominal Share Capital: HK$78,000,000.00 (Divided into 78,000 shares of
HK$1,000.00 each)
Issued Share Capital: HK$78,000,000.00
(As per registry dated 23-12-2012)
|
Name |
|
No. of shares |
|
LG International Corporation LG Twin Towers, 20 Yoido-dong, Youngdungpo-gu, Seoul 150-606, Korea. |
|
78,000 ===== |
(As per registry dated 23-12-2012)
|
Name (Nationality) |
Address |
|
Jaeho HEO |
23/F., 633 King’s Road, Hong Kong. |
|
Jeong Key HONG |
Flat A, 22/F., Tower 3, Grand Promenade, 38 Tai Hong Street, Hong
Kong. |
(As per registry dated 23-12-2012)
|
Name |
Address |
|
KANG Suh Woong |
Flat D, 15/F., Tower 1, Les Saisons, 28 Tai On Street, Hong Kong. |
The subject was incorporated on 23rd December, 1977 as a private limited
liability company under the Hong Kong Companies Ordinance.
It was originally registered under the name of Bando Sangsa (Hong Kong)
Ltd., name changed to Lucky-Goldstar International (HK) Ltd. on
22nd December, 1983, and further changed to the present style on
1st March, 1995.
Formerly the subject was located at Room 1501, 15/F., Bank of America
Tower, 12 Harcourt Road, Hong Kong, moved to the present address in June
2008.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer,
Exporter, Re-exporter and Transhipment Agent; Investment Holding Company.
Lines: Electronics
and telecommunications, cable and wire, elevator, metal waste, iron and steel,
ingot, chemicals and plastics, machinery and plants, ferrous and non-ferrous
metals, energy and resources, gold bars, textiles and garments (woven shirt,
knitted T-shirts, pyjamas and pants), planning and execution of plants and
foodstuffs, and general merchandise.
Trade Marks: “LG”
or “LUCKY GOLDSTAR” brands.
Employees: 32. (Including 6 Korean staff)
Commodities Imported:-
“ALCOMPO” and “BYDESIGN” Polo
shirts — Bangladesh.
“AUCHAN” and “BYDESIGN” Shirts
— Bangladesh.
“HANES” T-shirts — Bangladesh.
Aluminium ingot — Russia and China.
Coal — China and Taiwan.
Computer peripherals and accessories —
Korea.
Copper cathode — China.
Crude-oil — UAE, Indonesia and Ecuador.
Electronics — Korea.
Floor covering — Korea.
Industrial chemicals — Korea and China.
Oil products (gasoline etc.) — Singapore.
Plastic resins — Korea.
Steel — Korea.
Markets: Korea,
Hong Kong, China, Singapore, USA, Japan, Taiwan, Middle East, Southeast Asia,
Europe and elsewhere.
Company Turnover: KRW 2,711,542
million (Year ended 31-12-2011)
Group Turnover: KRW 14,386,136 million
(Year ended 31-12-2010)
KRW 13,986,834 million (Year
ended 31-12-2011)
Terms/Sales:
L/C, D/P, D/A or
O/A, etc.
Terms/Buying: L/C
or as per contracted.
The Korean Chamber of Commerce in Hong Kong,
Hong Kong.
Nominal Share Capital: HK$78,000,000.00
(Divided into 78,000 shares of HK$1,000.00 each)
Issued Share Capital: HK$78,000,000.00
Alternation of Capital:-
|
23-12-1977 |
paid up |
HK$
2,000.00 |
|
13-04-1978 |
paid up |
HK$
228,000.00 |
|
28-10-1987 |
paid up |
HK$
4,000.00 |
|
29-10-1987 |
paid up |
HK$
2,106,000.00 |
|
24-11-2004 |
paid up |
HK$75,660,000.00 |
|
|
|
–––––––––––––––– |
|
Total: |
paid up |
HK$78,000,000.00 =============== |
Increases of Nominal Capital:-
|
From |
HK$
500,000.00 |
to |
HK$
2,340,000.00 |
on |
29-10-1987 |
|
From |
HK$2,340,000.00 |
to |
HK$78,000,000.00 |
on |
24-11-2004 |
Company Profit: KRW
5,906 million (Year ended 31-12-2011)
Group Net Profit: KRW 324,224 million
(Year ended 31-12-2010)
KRW 261,782 million (Year ended
31-12-2011)
Profit or Loss: Business is profitable.
Condition: Keeping in an active condition.
Facilities:
Making active
use of general banking facilities.
Payment:
Met trade
commitments on time.
Commercial Morality: Good.
Bankers:-
BNP Paribas, Hong Kong Branch.
The Hongkong & Shanghai Banking Corp.
Ltd., Hong Kong.
Korea Exchange Bank, Hong Kong Branch.
Citibank N.A., Hong Kong Branch.
Mizuho Corporate Bank Ltd., Hong Kong
Branch.
Shinhan Finance Ltd., Hong Kong.
The Bank of Tokyo-Mitsubishi UFJ Ltd.,
Hong Kong Branch.
Bank of America N.A., Hong Kong Branch.
Fortis Bank, Hong Kong Branch.
Standard Chartered Bank (Hong Kong) Ltd.,
Hong Kong.
Bank of China (Hong Kong) Ltd.,
Hong Kong.
The Industrial Bank of Korea, Hong Kong
Branch.
etc.
Standing:
Very Good.
LG International (HK) Ltd. [LGHK] is a wholly-owned subsidiary of LG
International Corporation [LGIC] (formerly known as Lucky-Goldstar
International Corporation) which was incorporated in November 1953 and its
shares have been quoted on Korean Stock Exchange since January 1976. On 12th November 1976, LGIC was designated as
a general trading company by the South Korean government.
LGHK is a branch of LGIC which can directly purchase or sales any
trading items. It has been in the
non-ferrous field for more than twenty years.
LGHK is chiefly trading in metal waste, iron and steel, non-ferrous
metal products, ingot, etc. Prime market
are South Korea and other Eastern Asian countries. Annual sales turnover ranges from US$50 to 80
million.
LGHK has had an affiliated company LG Chem HK Ltd. [LG Chem] located at
its operating address. LG Chem is also a
member of the LG International Group.
LGIC is part of LG Group, one of the chaebol (industrial
conglomerates) that have long dominated South Korea’s business landscape. LG imports products essential for Korea’s
industrial growth, and exports the products of Korea’s major industries. It acquires and supplies resources and
material parts to its three business groups: Energy and Raw Materials (oil/gas,
coal, and metal), Industrial Materials (machinery, electronic components, and
chemicals), and Import/Distribution (auto, aviation, and digital retail). It also sells IVECO’s European-made
commercial vehicles after retrofitting them to meet domestic requirements. It is comprised of six subsidiaries and has
46 overseas operations.
LGIC is headquartered in Seoul, South Korea. Its China representative offices are in
Beijing, Chengdu, Shanghai, Dalian, Qingdao, Tianjin, Shenyang, Nanjing, Wuhan,
Guangzhou and Shenzhen. LGIC established
its regional head office LGHK in Hong Kong in late 1977.
Concerning nonferrous metal business, LGIC imports industrial nonferrous
metals, including aluminium, copper, and tin, from suppliers around the world
and supply them to domestic exporters of industrial and processed materials. This enables LGIC to meet the domestic
industrial demand or to re-export nonferrous products. LGIC recently has expanded into a third‑to‑third
country trade business.
LGIC is also involved in investment projects for the Rapu Rapu mine in
the Philippines and the Coro Coro mine in Bolivia. Notably, LGIC is the largest stakeholder and
the main operator in the Rapu Rapu mine project, which is the first foray into
overseas mines for a South Korean company.
It is producing and selling copper and zinc concentrates.
LGIC now has 30 directly owned overseas subsidiaries, 23 liaison offices
and 21 overseas branches offices as of 31st December, 2011.
For the year ended 31st December, 2011, the consolidated sales of the LG
International Group amounted to KRW 13,986,834 million, decreased by 2.8% as
compared with KRW 14,386,136 million in FY 2010; profit of the Group was KRW
261,782 million, decreased by 19.3% as compared with KRW 324,224 million FY
2010.
LGHK serves as a trading arm of the LG International Group. It is engaged in exporting machinery,
chemicals, petrochemicals, steel, IT products, electronics and textiles to
China and importing agricultural products, machinery tools and silk from
China. Products are re-exported to South
Korea and the other foreign markets.
Now, fully supported by the LG International Group, LGHK has become the
control centre for the entire Asia Pacific region.
For the year ended 31st December, 2011, the revenue of LGHK amounted to
KRW 2,711,542 million while its profit was KRW 5,906 million in the year.
On the whole, in view of the background and parentage of LGHK, consider
it good for normal business engagements.
Court case:-
|
Action Date |
Case No. |
Plaintiff |
Defendant |
Cause |
Amount |
|
June 1987 |
- |
Cheer Sails Co. Ltd. |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Breach of Contract |
HK$145,080 |
|
June 1987 |
- |
See Kong Enterprises Co. |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Breach of Contract |
HK$546,000 |
|
Nov. 1987 |
- |
Guilar Co. Ltd. |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Breach of Contract |
Not stated |
|
Jan. 1989 |
- |
Ching Tai Trading Co. Ltd. |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Breach of Contract |
US$603,000 |
|
Mar. 1991 |
- |
Comce Trading Ltd. |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Damages |
Not stated |
|
July 1991 |
- |
Korea Exchange Bank |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Amount Due |
HK$9,372,000 |
|
Feb. 1993 |
- |
ICD Group (HK) Ltd. |
Lucky-Goldstar International (HK) Ltd. [Now known as LG International
(HK) Ltd.] |
Damages |
Not stated |
|
05-05-1997 |
D9114 |
Eastern Bright Shipping Ltd. and Eastern Bright Shipping Agency Ltd. |
LG International (HK) Ltd. and other |
Service Rendered |
HK$69,535 |
|
14-04-1999 |
H5898 |
Wong Miu Yee, Sally |
LG International (HK) Ltd. |
Owing |
HK$47,000 |
|
16-05-2000 |
S8311 |
South China House of Technology Consultants Ltd. |
LG International (HK) Ltd. |
Refund |
Not stated |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.53 |
|
|
1 |
Rs.83.59 |
|
Euro |
1 |
Rs.71.33 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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.