MIRA INFORM REPORT

 

 

Report Date :

30.08.2013

 

IDENTIFICATION DETAILS

 

Name :

ARSEN  INTERNATIONAL  (HK)  LTD.

 

 

Registered Office :

C/o World Trade Enterprises Consultancy Ltd.

Room 2105, 21/F., JHZ011, Trend Centre, 29-31 Cheung Lee Street, Chai Wan,

 

 

Country :

Hong Kong.

 

 

Date of Incorporation :

26.03.2004

 

 

Com. Reg. No.:

34461319

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Trader of all kinds of iron and steel products

 

 

No. of Employees :

No Employee in Hong Kong

 

(It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.)

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

No Operating Office in Hong Kong

Payment Behaviour :

Unknown

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, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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 levies excise duties on only four commodities, namely: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. 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 9.1% of total system deposits in Hong Kong by the end of 2012, an increase of 59% from the previous 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 34.9 million in 2012, 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 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% 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, and less than 2% in 2012. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly and inflation to rise 4.1% in 2012. 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


Company name and address

 

ARSEN  INTERNATIONAL  (HK)  LTD.

 

 

Address:           c/o World Trade Enterprises Consultancy Ltd.

                        Room 2105, 21/F., JHZ011, Trend Centre,

                        29-31 Cheung Lee Street,

                        Chai Wan, Hong Kong.

 

 

Note:    Your enquiry “Room 907 JHZ011 Wing Tuck Comercial, Hong Kong” is the other office of World Trade Enterprises Consultancy Ltd.

 

PHONE:            852-2115 3188

 

FAX:                 852-2115 9613

 

 

MANAGEMENT

 

Managing Director:  Ms. Shen Lixia

 

 

SUMMARY

 

Incorporated on:              26th March, 2004.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$500,000.00

Issued:              HK$500,000.00

 

Business Category:        Iron & Steel Trader.

 

Employees:                   Nil.

 

Main Dealing Banker:     DBS Bank Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


ADDRESS

 

Registered Office:-

c/o World Trade Enterprises Consultancy Ltd.

Room 2105, 21/F., JHZ011, Trend Centre, 29-31 Cheung Lee Street, Chai Wan, Hong Kong.

 

Holding Company:-

Zhejiang Materials Industry International Co. Ltd., China.

 

Associated Companies:-

Guangdong Ruihong Trading Co. Ltd., China.

Henan Jingang Development Steel Trading Co. Ltd., China.

Liaoning Xinda Development Steel Trading Co. Ltd., China.

Ningbo Zhenhai Hongyi Trading Co. Ltd., China.

Shanghai Maco Materials Industry Trading Co. Ltd., China.

Taizhou Ruihongda Trading Co. Ltd., China.

Tangshan Ruihongjin Steel Trading Co. Ltd., China.

Tianjin Ruihongjin Steel Trading Co. Ltd., China.

Zhejiang Daxie Fuel Oil Transportation & Sales Co. Ltd., China.

Zhejiang Materials Development Co. Ltd., China.

Zhejiang Materials Industry Property Management Co. Ltd., China.

Zhejiang Ruifeng Materials Industry Co. Ltd., China.

etc.

 

 

BUSINESS REGISTRATION NUMBER 

 

34461319

 

 

COMPANY FILE NUMBER 

 

0892020

 

 

MANAGEMENT

 

Managing Director:  Ms. Shen Lixia

 

 

CAPITAL

 

Nominal Share Capital: HK$500,000.00 (Divided into 500,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$500,000.00

 

SHAREHOLDER

(As per registry dated 26-03-2013)

 

Name

 

No. of shares

Zhejiang Materials Industry International Co. Ltd.,

No. 455 Kaixuan Road, Hangzhou, Zhejiang Province, China.

 

500,000

======

 

 

DIRECTORS

(As per registry dated 26-03-2013)

 

Name

(Nationality)

 

Address

SHEN Lixia

Room 2105, 21/F., JHX011, Trend Centre, 29-31 Cheung Lee Street, Chaiwan, Hong Kong.

 

ZHONG Guodong

Room 2105, 21/F., JHX011, Trend Centre, 29-31 Cheung Lee Street, Chaiwan, Hong Kong.

 

CHENG Liyan

Room 2105, 21/F., JHX011, Trend Centre, 29-31 Cheung Lee Street, Chaiwan, Hong Kong.

 

 

SECRETARY

(As per registry dated 26-03-2013)

 

Name

Address

Co. No.

World Trade Enterprises Consultancy Ltd.

Room 1302, 13/F., Railway Plaza, 39 Chatham Road South, Tsimshatsui, Kowloon, Hong Kong.

1156560

 

 

HISTORY

 

The subject was incorporated on 26th March, 2004 as a private limited liability company under the Hong Kong Companies Ordinance.

Originally the subject was registered under the name of Hongkong ZMI International Co. Ltd., name changed to the present style on 29th March, 2005.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 


OPERATIONS

 

Activities:                      Iron & Steel Trader.

 

Lines:                           All kinds of iron and steel products.

 

Employees:                   Nil.

 

Commodities Imported:   China, other Asian countries, etc.

 

Markets:                       China, Japan, other Asian countries, Europe, etc.

 

Terms/Sales:                  L/C or as per contracted.

 

Terms/Buying:               L/C or as per contracted.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$500,000.00 (Divided into 500,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$500,000.00

 

Profit or Loss:                Keeping a balance account in Hong Kong.

 

Condition:                      Business is not active in Hong Kong.

 

Facilities:                      Making fairly active use of general banking facilities.

 

Payment:                      Met trade commitments as required.

 

Commercial Morality:     Satisfactory.

 

Bankers:-

DBS Bank Ltd., Hong Kong.

Industrial and Commercial Bank of China (Asia) Ltd., Hong Kong.

United Overseas Bank Ltd., Hong Kong Branch.

 

Standing:                      Small.

 

 

GENERAL

 

Having issued 500,000 ordinary shares of HK$1.00 each, Arsen International (HK) Ltd. is wholly owned by Zhejiang Materials Industry International Co., Ltd. [ZMI] which is a China-based company.

The directors of the subject are Ms. Shen Lixia, Mr. Zhong Guodong and Ms. Cheng Liyan.  All are China ID holders and do not have the right to reside in Hong Kong permanently.

The subject does not have its own operating office.  Its registered office is in a commercial service firm located at “Room 2105, 21/F., Trend Centre, 29‑31 Cheung Lee Street, Chaiwan, Hong Kong” known as “World Trade Enterprises Consultancy Ltd.” [WTEC] which is handling its correspondences and documents.  WTEC is also the corporate secretary of the subject.  WTEC has had two offices in Hong Kong.

The subject has no employees in Hong Kong.

The subject is trading in all kinds of iron and steel.  Commodities are chiefly sourced from the suppliers in China and the other Asian countries.

ZMI was founded in 1999 with a registered capital of RMB483 million Yuan.  It is specialized in steel, iron, ore, automobiles and involve in many business areas including engineering project distribution, electromechanical equipment, automotive parts and components, energy and oil products, etc.

ZMI is trading in the following commodities:-

Iron & Steel Products, Electromechanical Equipment, Automobile parts, Minerals, Coke, Petroleum, Vessel Equipment and Accessories, Vessels, Building Materials, Automobiles, etc.

ZMI, as a well-known automobile marketing and service company, is the approved regional dealer of many famous brands such as Volvo, Peugeot, Mazda, Buick, Cadillac, Spark, Sail, Land Rover, Jaguar, Rolls-Royce, Skyper, etc.  It has set up several 4S centers.  As an important automobile importer of China, ZMI has a wide automobile marketing network, covering many cities of Zhejiang Province.  The market share of ZMI is increasing annually.  In the years ahead, ZMI will be dedicated to expanding brands sales and exploring the automobile maintenance and repairing business, spare part supplying as well as the second-hand automobile trading business.

The subject also trades in the above-mentioned commodities.

The controlling shareholder of the company, Zhejiang Materials Industry Group [ZMIG], is one of the Global 500 Enterprises.  Since the founding of the ZMI, it has received great support from its controlling shareholder.

In 2011, ZMI achieved a sales volume of RMB51.2 billion Yuan, and the total volume of import and export reached US$1.74 billion, keeping a leading position in the provincial-level import and export companies in Zhejiang for years.

Now, ZMI has become a significant company in the industry.  It is involved in global purchase and sales, and advancing toward a competitive Global Integrated Service Provider in the Steel and Metallurgical Supply Chain.

The principal shareholders of ZMI are the following firms:-

1.       Zhejiang Materials Industry Group: ZMI’s controlling shareholder, which has become the first enterprise in Zhejiang Province that was one of the Fortune Global 500 firms in 2011, ranking the 484th.  And it ranked the 426th on the list in 2012.  As one of the 20 key enterprises in materials supplying supported by the Chinese government, ZMIG ranked the 65th among the Top 500 Chinese Enterprises and ranked the 29th in service in top 500 in 2010.

2.       CCB International: A subsidiary investment bank flagship of the China Construction Bank Co., Ltd.  In Hong Kong, it was conferred the title of “the Best Investment Bank in China”, “the Best China Investment Bank in Hong Kong ”, “the Best Private Equity Investment Bank in China” by international authorities.

3.       COFCO Group: As a leading diversified product and service supplier of agricultural products and food in China, COFCO Group has been listed as one of the World’s Top-500 Enterprises in FORTUNE and has been ranking the 1st in Top-100 Enterprises of China food industry.

Ms. Shen Lixia is also the Assistant of the General Manager of ZMI.

The subject’s business in Hong Kong is not active.  History in Hong Kong is over nine years.

 

Since the subject does not have its own operating office and has no employees in Hong Kong, consider it good for business engagements on L/C basis.

 


MORTGAGE OR CHARGE

 

Date

Particulars

Amount

14-10-2011

Instrument:        Charge Over Account and Set-Off

Property:

All the Company’s rights, title and interest in and to the Account

Mortgagee:        United Overseas Bank Ltd., Hong Kong Branch.

To secure general banking facilities

14-10-2011

Instrument:        General Memorandum of Pledge of Goods

Property:

All the Company’s rights, title and interest in and to the Merchandise

Mortgagee:        United Overseas Bank Ltd., Hong Kong Branch.

To secure general banking facilities granted to the company

14-10-2011

Instrument:        Assignment of Letters of Credit

Property:

All the Company’s rights, title, interest and benefit in and to all and any moneys now or at any time due or owing to the Company

Mortgagee:        United Overseas Bank Ltd., Hong Kong Branch.

To secure general banking facilities granted to the company

17-11-2011

Instrument:        Charge on Cash Deposit to secure Liabilities of the Depositor

Property:

1)         By way of first fixed charge and agreement to charge: the Deposit and all right, title and interest of the Company

2)         By way of set-off: any sum standing to the credit of any one or more of the accounts of the Company with the Bank

Mortgagee:        DBS Bank (Hong Kong) Ltd., Hong Kong.

All sums of money and liabilities

08-02-2012

Instrument:        Security Memorandum

Property:

The Company hereby assigns and agrees to assign absolutely and unconditionally to the Bank all its right, title and interest in and to each receivable as continuing security for the payment or discharge of the secured liabilities

Mortgagee:        ABN AMRO Bank N.V.,
10 Collyer Quay, #07-01 Ocean Financial Centre, Singapore 049315

All indebtedness, obligations and liabilities

29-09-2012

Instrument:        Trade Finance Security Assignment

Property:

(a)        Assigns to the Bank to the following assets:-

(1)        The Export Credits;

(2)        The Export Collection Bills;

(3)        The Sales Contracts;

(4)        The Export Invoice Receivables;

(5)        The Insurances;

(6)        The Trade Documents, and

(7)        All Claims, remedies and proceeds in connection with any of the foregoing

(b)        Charges to the Bank to the following assets:-

(1)        The Goods together with their proceeds;

(2)        The Pledged Goods;

(3)        The Deposit and

(4)        To the extent any Security Assets is not effectively assigned under sub-clause, such Security Asset; and

(c)        Pledges and agrees to pledge to the Bank the Pledged Goods and the Trade Documents which are now or may in the future be in the possession of the Bank

Mortgagee:        United Overseas Bank Ltd.,
80 Raffles Place, UOB Plaza, Singapore 048624

All obligations and liabilities of whatever nature of the Borrower owed to the Bank

04-05-2013

Instrument:        Trade Finance Security Assignment

Property:

(a)        Assigns and agrees to assign absolutely to the Bank all the present and future right, title, interest and benefits of the Borrower in and to the following assets:-

(1)        The Export Credits;

(2)        The Export Collection Bills;

(3)        The Sales Contracts;

(4)        The Export Invoice Receivables;

(5)        The Insurances;

(6)        The Trade Documents, and

(7)        All Claims, remedies and proceeds in connection with any of the foregoing

(b)        Charges to the Bank to the following assets:-

(1)        The Goods together with their proceeds;

(2)        The Pledged Goods;

(3)        The Deposit and

(4)        To the extent any Security Assets is not effectively assigned under sub-clause, such Security Asset; and

(c)        Pledges and agrees to pledge to the Bank the Pledged Goods and the Trade Documents which are now or may in the future be in the possession of the Bank

Mortgagee:        Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.

All obligations and liabilities of whatever nature of the Borrower owed to the Bank

 


NOTE :

It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.67.70

UK Pound

1

Rs.105.14

Euro

1

Rs.90.03

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.