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Report Date : |
23.04.2013 |
IDENTIFICATION DETAILS
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Name : |
TOPGROW
TECHNOLOGIES LTD. |
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Registered Office : |
Unit 1606, 16/F., New Commerce Centre, 19 On Sum Street,
Siu Lek Yuen, Shatin, New Territories |
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Country : |
Hong Kong |
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Date of Incorporation : |
07.07.1999 |
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Com. Reg. No.: |
30309915 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of Electronic Materialsand Equipment, etc. |
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No. of Employees : |
5 |
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 – June 30th, 2012
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Country Name |
Previous Rating (31.03.2011) |
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.
Source
: CIA
TOPGROW
TECHNOLOGIES LTD.
ADDRESS: Unit 1606, 16/F., New Commerce Centre, 19 On Sum Street, Siu Lek Yuen, Shatin, New Territories, Hong Kong.
PHONE: 2418 9755
FAX: 2271 9082
E-MAIL: sales@topgrow.com.hk
Managing Director: Mr. Lui Chi Sun, Eddy
Incorporated on: 7th July, 1999.
Organization: Private Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$1,000.00
Business Category: Importer, Exporter and Wholesaler.
Group Turnover: GBP 15,605,000 (Year ended 30-11-2012)
Employees: 5.
Main Dealing Banker: The Bank of East Asia Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Unit 1606, 16/F., New Commerce Centre, 19 On Sum Street, Siu Lek Yuen, Shatin, New Territories, Hong Kong.
Holding Company:-
Holders Technology Plc., UK.
Associated
Companies:-
Holders Technology UK Ltd., UK.
Holders Technology GmbH, Germany.
JK Components Ltd., UK.
Holders Technology (India) Pvt. Ltd., India.
Dongguan Huizhan Electronic Ltd., China.
30309915
0681218
Managing Director: Mr. Lui Chi Sun, Eddy
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$1,000.00
(As per registry dated 07-07-2102)
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Name |
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No. of shares |
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LUI Chi Sun, Eddy |
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200 |
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LI Suk Yi |
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100 |
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Holders Technology Plc. Northway House, 1379 High Road, London N20 9LP. |
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700 |
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–––– |
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Total: |
1,000 ==== |
(As per registry dated 07-07-2012)
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Name (Nationality) |
Address |
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Paul Kevin Ian GERAGHTY |
Monkwood Cottage, Whitakers Way, Loughton LG101SQ, UK. |
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Victoria Margaret BLAISDELL |
3 Cornwood Close, London, N2 0HP, UK. |
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LUI Chi Sum, Eddy |
Flat C, 21/F., Block 3, Villa Athena, Ma On Shan, Shatin, New Territories, Hong Kong. |
(As per registry dated 07-07-2012)
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Name |
Address |
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LI Suk Yi |
Flat C, 21/F., Block 3, Villa Athena Ma On Shan, Shatin, New Territories, Hong Kong. |
The subject was incorporated on 7th July, 1999 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 electronic materials and equipment, etc.
Employees: 5.
Commodities Imported: Europe, Asian countries, US, etc.
Markets: India, China, other Asian countries, Europe, etc.
Group Turnover:
GBP 17,481,000 (Year ended 30-11-2008)
GBP 12,966,000 (Year ended 30-11-2009)
GBP 16,314,000 (Year ended 30-11-2010)
GBP 19,636,000 (Year ended 30-11-2011)
GBP 15,605,000 (Year ended 30-11-2012)
Terms/Sales: L/C or as per contracted.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$1,000.00
Mortgage or Charge: (See attachment)
Group profit/(loss) after tax: GBP 270,000 (Year ended 30-11-2008)
(GBP 399,000) (Year ended 30-11-2009)
GBP 431,000 (Year ended 30-11-2010)
GBP 240,000 (Year ended 30-11-2011)
(GBP 437,000) (Year ended 30-11-2012)
Profit or Loss: Group made a loss in 2009 & 2012.
Condition: Keeping in a satisfactory manner.
Facilities: Making rather active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Bankers:-
The Bank of East Asia Ltd., Hong Kong.
Fortis Bank NV/SA, Hong Kong Branch.
Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.
Standing: Normal.
Having issued 1,000 ordinary shares of HK$1.00 each, Topgrow Technologies Ltd. is jointly owned by Mr. Lui Chi Sun, Eddy, holding 20% interests; Ms. Li Suk Yi, holding 10%; Holders Technology Plc. [HT/Group], a UK-based firm holding 70%. It is also a listed firm in the United Kingdom.
The subject is an electronic product and equipment trader. It trades the same product as HT.
HT is an international distributor of materials, tools and services to the PCB industry and also a LED lighting solutions provider to the lighting industry.
HT supplies a wide range of products that are used in the manufacture of printed circuit boards (PCBs). In addition, it provides added value services and also, the expertise to enable customers to select the most appropriate products for their purpose.
For the year ended 30th November, 2012, HT recorded the following results:-
· Cash balances £700,000. No debt.;
· Group Loss after impairment costs £365,000;
· Group Loss before impairment costs £78,000;
· Impairment costs for China PCB operations £287,000;
· Margins 1.6% higher at 24.6%;
· Overheads reduced by £355,000;
· PCB revenue 30% lower; LED revenue 27% higher; &
· Revenue 21% lower at £15.6m.
The Group’s Far East operations comprise: the subject and Dongguan Hui Zhan Electronic Company (DHZ), based in Dongguan, Guangdong Province, Southern China.
DHZ provides LED lighting assembly services and PCB materials.
As a result of market conditions, the ongoing PCB business in China was re‑appraised. This resulted in a non cash impairment charge of £287,000. Further details are shown in the Financial Review. In 2013, the Group anticipates further growth on the LED side of the business and reduced business on the PCB side. Revenue from Far East operations increased in 2012 from £1.5m to £2.0m.
The Group India associate Holders Technology (India) Private Limited provides materials and services to the local PCB industry and is also now providing LED lighting assembly services to European customers. The company has continued to make satisfactory progress.
TH has 3,939,551 issued and fully paid ordinary shares of 10p each. In addition the company holds 220,000 ordinary shares of 10p each in treasury. The company’s shares are listed on AIM.
TH was originally listed on the London Stock Exchange main market on 28th May 1996. Then on 8thOctober 2001, the company transferred to AIM.
As the history of the subject is over 13 years in Hong Kong, on the whole, consider it good for normal business engagements.
Brief
personal profile of the directors:-
Paul Geraghty, aged 52, joined the Group in 2011 as Group Finance Director and Company
Secretary. He previously held senior
financial roles in engineering companies, including Elektron Components Limited
and Protec plc.
Eddy Lui, is Director of the subject. The
subject was founded in 1999 and merged into the Holders Group in 2003. He has been working in the PCB field over 20
years and previously held management roles in companies, including Tycom,
Vertex Tech. and Grandmake Tech. Ltd.
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Date |
Particulars |
Amount |
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13-10-2003 |
Instrument: Charge of Account Receivables Property: A) By way of first charge, all the accounts receivables payable by a customer or customers; B) By way of first floating charge, the account receivables payable by a customer or customers, if, and in so far as, the security created thereupon as referred to in sub-paragraph (a) above shall, for any reason, be declared to be invalid, unenforceable or ineffective as first fixed charges under any applicable law; and C) By way of first floating charge, all credit balance from time to time in the account maintained by the Borrower at the Bank or such other financial institutions as the Bank may from time to time specify, into which will be paid all the account receivables payable by a customer or customers Mortgagee: Fortis Bank Asia HK, Hong Kong Branch. [Name changed to Belgian Bank but the business was taken over by Industrial & Commercial Bank of China (Asia) Ltd.] |
Security for banking facilities granted to the company & interest thereon |
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31-01-2008 |
Instrument: Receivables Assignment & Charge Property: By way of first fixed charge the Deposit and the right to repayment and other rights and benefits accruing to or arising in connection with the deposit Mortgagee: Fortis Bank NV/SA, Hong Kong Branch. |
To secure for the payment and discharge of the secured liabilities |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.54.17 |
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|
1 |
Rs.82.45 |
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Euro |
1 |
Rs.70.70 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIT |
RATING EXPLANATIONS
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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 |
-- |
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.