MIRA INFORM REPORT

 

 

Report Date :

20.12.2013

 

IDENTIFICATION DETAILS

 

Name :

YE-STEEL TRADING CO. LTD.

 

 

Registered Office :

c/o Hong Kong Daiyan Registrations Ltd.

Room 2101, 21/F., Prosper Commercial Building, 9 Yin Chong Street, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

04.09.2008

 

 

Com. Reg. No.:

39751935

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importer and Exporter of all kinds of iron and steel products

 

 

No. of Employees :

No Employees 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

 

YE-STEEL TRADING CO. LTD.

 

ADDRESS:       c/o Hong Kong Daiyan Registrations Ltd.

Room 2101, 21/F., Prosper Commercial Building, 9 Yin Chong Street, Kowloon, Hong Kong.

 

PHONE:            852-3645 8129

 

FAX:                 852-3645 8092

 

 

MANAGEMENT

 

Managing Director:  Mr. Wang Shuli

 

 

SUMMARY

 

Incorporated on:             4th September, 2008.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:HK$7,800,000.00

Issued:  HK$10,000.00

 

Business Category:        Iron and Steel Trader.

 

Employees:                   Nil.

 

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

 

Banking Relation:           Satisfactory.


 

ADDRESS

 

Registered Office:-

c/o Hong Kong Daiyan Registrations Ltd.

Room 2101, 21/F., Prosper Commercial Building, 9 Yin Chong Street, Kowloon, Hong Kong.

 

Holding Company:-

Beijing YE-Steel Trading Co. Ltd., China.

 

Associated/Affiliated Companies:-

Dalian Bread Talk Food & Beveerage Management Co. Ltd., China.

Everrich AG, Switzerland.

Everrich America LLC, USA.

Everrich Global Resource Co. Ltd., Hong Kong.

Everrich International Investment Ltd., Hong Kong.  [Dissolved]

Everrich Investment Holdings Co. Ltd., Hong Kong.

Everrich Shanghai Co. Ltd., China.

Jinan Easteel Co. Ltd., China.

Shanghai Easteel Industrial Co. Ltd., China.

Shanghai Shunye Iron & Steel Group Co. Ltd., China.

Steelvision International Trading Co. Ltd., China.

Tianjin Bengang-Longshine Steel Processing Co. Ltd., China.

Tianjin Hengshun Logistics Co. Ltd., China.

Zhejiang Fortune Import & Export Trading Co. Ltd., China.

 

 

BUSINESS REGISTRATION NUMBER 

 

39751935

 

 

COMPANY FILE NUMBER

 

 1270362

 

 

MANAGEMENT

 

Managing Director:  Mr. Wang Shuli

 

 

CAPITAL

 

Nominal Share Capital: HK$7,800,000.00 (Divided into 7,800,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$10,000.00

 

 

SHAREHOLDER:           (As per registry dated 04-09-2013)

Name

 

No. of shares

Beijing YE-Steel Trading Co. Ltd.

Room 1802, No. 55 Building, Dong Sanhuan Middle Road, Chaoyang District, Beijing, China.

 

10,000

=====

 

 

DIRECTORS:    (As per registry dated 04-09-2013)

Name

(Nationality)

 

Address

XIA Hongwei

Room 201, 29 Lane 4633, Dushi Road, Minhang District, Shanghai, China.

 

WANG Shuli

8 Shuichang Village, Malanzhuang Town, Qian’an City, Hebei Province, China.

 

ZHANG Hai

35 Liuguanying Village, Malanzhuang Town, Qian’an City, Hebei Province, China.

 

XI Jinsong

Room 702, 1 Lane 315, Wudong Road, Yangpu District, Shanghai, China.

 

CUI Qingyuan

201, Agricultural Bank Family Building, Qian’an Town, Qian’an City, Hebei Province, China.

 

DUAN Yingqi

Room 201, 16 Lane 308, Yushan Road, Pudong New District, Shanghai, China.

 

 

SECRETARY:    (As per registry dated 04-9-2013)

Name

Address

Co. No.

Hong Kong Daiyan Registrations Ltd.

Room 2101, 21/F., Prosper Commercial Building, 9 Yin Chong Street, Kowloon, Hong Kong.

952329

 

 

HISTORY

 

The subject was incorporated on 4th September, 2008 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Formerly the subject’s registered address was located at “Room 1613, 16/F., Tai Yau Building, 181 Johnston Road, Wanchai, Hong Kong” where was the operating address of an account firm known as T. N. Lui & Co.  The subject moved to the present address in March 2013 as it has changed its commercial service provider.

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


 

OPERATIONS

 

Activities:          Importer and Exporter.

 

Lines:               All kinds of iron and steel products.

 

Employees:       Nil.

 

Commodities Imported:   China, India, Russia, etc.

 

Markets:           China and the other foreign countries.

 

Terms/Sales:     As per contracted.

 

Terms/Buying:  On various terms.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$7,800,000.00 (Divided into 7,800,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$10,000.00

 

Mortgage or Charge:       (See attachment)

 

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 contracted.

 

Commercial Morality:     Satisfactory.

 

 

Bankers:-

DBS Bank (Hong Kong) Ltd., Hong Kong.

Standard Bank Plc, United Kingdom.

United Overseas Bank Ltd., Hong Kong Branch.

Standing:  Small.

 


 

GENERAL

 

YE-Steel Trading Co. Ltd. is a wholly-owned subsidiary of Beijing YE-Steel Trading Co. Ltd. [Beijing YE-Steel] which is a China-based firm.

 

The subject does not have its own operating office.  Its registered office is in a secretarial firm located at Room 2101, 21/F., Prosper Commercial Building, 9 Yin Chong Street, Kowloon, Hong Kong known as Hong Kong Daiyan Registrations Ltd. which is handling its correspondences and documents.  This company is also the corporate secretary of the subject.

 

The subject has no employees in Hong Kong.

 

All the directors of the subject are China ID Cards holders and currently residing in China.

Beijing YE-Steel is a member of Shanghai Shunye Iron & Steel Group Co. Ltd. which is a Shanghai-based firm.

The subject has had a significant steel company in Shanghai is known as Shanghai Easteel Industrial Co. Ltd.

Beijing YE-Steel is an importer of iron and steel from abroad and markets the products in China, so does the subject.  At present, Beijing YE-Steel has set up offices in Beijing and Guangzhou, besides the subject.

 

Beijing YE-Steel was established in September 2007 in Beijing.  As a joint venture company between Qianan Yangang (Yanshan Iron & Steel Co. Ltd.) and Everrich, it focuses on the domestic sales of Yangang’s products.  In 2008, it sold 320,000 metric tons of iron and steel in the first year.

 

Beijing YE-Steel is trading in HR strip, billet, slab, wire rod, debar, round bar, steel pipe, H beam, channel, iron ore, blind coal, etc.

Everrich is an affiliate of Shanghai Easteel Industrial Co. Ltd. [Shanghai Easteel] which focuses on the export of flat steel products.  It has successively built strategic partnership with Benxi Iron & Steel Co. Ltd. [Benxi Steel], Tangshan Iron & Steel Co. Ltd. [Tangang] and Baoshan Iron & Steel Co. Ltd. [Baogang].  In 2008, it exported 720,000 metric tons of iron and steel to worldwide countries.

 

The subject has had an affiliated company Everrich Global Resource Co. Ltd. in Hong Kong.

Shanghai Easteel is specialized in domestic and international trading business for China iron and steel products.  As a member of Shanghai Shunye Iron & Steel Group, Shanghai Easteel has already established business ties with two large scaled steel enterprises in China (Yangang and Yongyang Steel).  With stable purchase channel, Shanghai Easteel has become a major trading partner with over 20 steel enterprises and has expanded business ties with many end users all over the world.

 

Shanghai Easteel has traded almost 3,000,000 metric tons of steel trading in less than three years.  It also has set up several overseas and local wholly owned subsidiaries, joint ventures and offices.

 

In 2008, with good understanding of the Chinese steel industry and good ability for taking opportunity, Shanghai Easteel has established a joint venture of coil centres with Benxi Steel in Tianjin.

 

In the year 2009, Shanghai Easteel made investments in Dalian BreadTalk F&B Management Co., Ltd.

 

It is likely that Shanghai Easteel or Beijing YE-Steel deals with foreign parties under the name of the subject and let foreign firms correspond with the subject’s registered address in Hong Kong.  These two companies also export commodities to foreign markets under the name of the subject and its registered address in Hong Kong.

 

The business of Beijing Ye-Steel is chiefly handled by Ms. Xia Hongwei who is also a director of the subject while the business of Shanghai Easteel is handled by Mr. Duan Yingqi, etc.

The subject’s business in Hong Kong is not very active.

 

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.

 

 

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.

 

 


 

MORTGAGE OR CHARGE

 

Date

Particulars

Amount

09-07-2009

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

30-09-2010

Instrument:        Trade Finance Security Deed

Property:

The company as beneficial owner and as security for the payment of all secured liabilities

A)         Assigns and agrees to assign absolutely to the Bank all the present and future rights title, interest and benefits of the company in and to the following assets:-

1)         The Export Credit;

2)         The Export Collection Bills;

3)         The Contracts;

4)         The Invoice Receivables;

5)         The Trade Documents;

6)         The Insurances; and

7)         All claims, remedies and proceeds in connection with any of the foregoing;

B)         Charges and agrees to charge to the Bank by way of

first fixed charge all the present and future rights, title, interest and benefits of the company in and to the following assets:-

1)         The goods together with their proceeds; and

2)         The Charged account and all monies at any time standing to the credit of the charged account, including all interest from time to time accrued or accruing on such monies

C)         Pledges and agrees to pledge to the Bank the pledged goods and the trade documents which are at the date of the deed or may thereafter be in the Bank’s possession

Mortgagee:        Standard Bank Plc,

20 Gresham Strreet, London EC2V 7JE

All obligations and liabilities

02-11-2010

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.

80 Raffles Place, UOB Plaza, Singapore 048624

To secure general banking facilities granted to the company

02-11-2010

Instrument:        Addendum to charge over account and Set‑Off

Property:

The addendum, as an integral part of the charge undertaking, varies the charge undertaking in terms of the deposits in the account being differentiated and identified as being protected or not protected by or under the scheme and the guarantee and such variation shall come to effect from the date of the charge undertaking until the expiry date.  From the date immediately following the expiry date, the payment of compensation fro your deposits with respect to the protection limit pursuant to the protection level following the principles of the scheme shall remain applicable, as and wherever appropriate

Mortgagee:        United Overseas Bank Ltd.

80 Raffles Place, UOB Plaza, Singapore 048624

To secure general banking facilities granted to the company

02-11-2010

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.,

80 Raffles Place, UOB Plaza, Singapore 048624

To secure general banking facilities granted to the company

02-11-2010

Instrument:        Assignment of Letters of Credit

Property:

All the company’s right, title, interest and benefit in and to all and any moneys now or at any time due or owing to the company under or in connection with each of the export credits and all other rights and benefits whatsoever accruing now or at any time to the company thereunder or in connection therewith upon the terms set out in the assignment of letters of credit

Mortgagee:        United Overseas Bank Ltd.,

80 Raffles Place, UOB Plaza, Singapore 048624

To secure general banking facilities granted to the company

24-04-2012

Instrument:        Trade Finance Security assignment

Property:

The Borrower as beneficial owner and as security for the payment of all secured liabilities:-

A)         Assigns and agrees to assign absolutely to the bank all the present and future rights, title, interest and benefits of the borrower in and to the following assets:-

1)         The Export Credit;

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 and agrees to charge to the bank by way of first charge all the present and future rights, title, interest and benefits of the borrower in and to the following assets:

1)         The Goods together with their proceeds;

2)         The Pledged goods;

3)         The Deposit;

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 future be in the possession of the Bank

Mortgagee:        United Overseas Bank Ltd.,

80 Raffles Place, UOB Plaza, Singapore 048624

All obligations & liabilities of whatever nature of the borrower owed to the bank at any time


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.38

UK Pound

1

Rs.102.15

Euro

1

Rs.85.29

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIS

 

 

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.