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Report Date : |
11.01.2013 |
IDENTIFICATION DETAILS
|
Name : |
Perry Gems (HONG KONG) Ltd. |
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Registered Office : |
Room 404A, 4/F., Fu Hang Industrial Building, 1 Hok Yuen
Street East, Hunghom, Kowloon |
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Country : |
Hongkong |
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Date of Incorporation : |
17.06.2005 |
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Com. Reg. No.: |
35752741 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Importer, Exporter and Wholesaler of All kinds of Diamonds and Jewellery
Products etc. |
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No. of Employees : |
6 (including associates) |
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 |
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Status : |
Satisfactory |
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|
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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
|
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 |
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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 |
PERRY
GEMS (HONG KONG)
LTD.
ADDRESS: Room 404A, 4/F., Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
PHONE: 2739 5657, 3160 4237, 3160 4238
FAX: 2739 5658
E-MAIL: perryhk@perrygems.com
perrygems2000@hotmail.com
Managing Director: Mr. Dhaval Kumar Vinod Chandra Patel
Incorporated on: 17th June, 2005.
Organization: Private Limited Company.
Capital: Nominal: HK$4,000,000.00
Issued: HK$4,000,000.00
Business Category: Importer, Exporter and Wholesaler.
Employees: 6. (Including associates)
Annual Turnover: US$25-30 million.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Room 404A, 4/F., Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
Perry Impex Pvt Ltd., India.
PM Jewels Ltd., Hong Kong. (Same address)
R.D. Gem Ltd., Hong Kong. (Same address)
35752741
0977829
Managing Director: Mr. Dhaval Kumar Vinod Chandra Patel
Contact Person: Ms. Siu Lok Kwan, Christine
Nominal Share Capital: HK$4,000,000.00 (Divided into 4,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$4,000,000.00
(As per registry dated 17-06-2012)
|
Name |
|
No.
of shares |
|
Dhaval Kumar Vinod Chandra
PATEL |
|
4,000,000 ======= |
(As per registry dated 17-06-2012)
|
Name (Nationality) |
Address |
|
Dhaval Kumar Vinod Chandra PATEL |
Flat A, 3/F., Tower 8, 8
Laguna Verde Avenue, Laguna Verde, Costa Del Sol, Hunghom, Kowloon, Hong
Kong. |
(As per registry dated 17-06-2012)
|
Name |
Address |
Co.
No. |
|
Lodestar Secretaries Ltd. |
13/F., Wah Kit Commercial Centre, 302 Des Voeux Road
Central, Hong Kong. |
0113023 |
The subject was incorporated on 17th June, 2005 as a private limited liability company under the Hong Kong Companies Ordinance.
Formerly the subject was located at Room 404A, 4/F., Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong, moved to Office A, 4/F., Cheerful Commercial Building, 116-118 Ma Tau Wai Road, Hunghom, Kowloon, Hong Kong in October 2008; and further moved back to Room 404A, 4/F., Fu Hang Industrial Building in May 2009.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds and jewellery products, etc.
Employees: 6. (Including associates)
Commodities Imported: India, Belgium, US, etc.
Markets: Hong Kong, China, other Asian countries, Europe, US, etc.
Annual Turnover: US$25-30 million.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Hong Kong Jewelry Manufacturers’ Association, Hong Kong.
The Indian Chamber of Commerce Hong Kong, Hong Kong.
Nominal Share Capital: HK$4,000,000.00 (Divided into 4,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$4,000,000.00
Alternation of Capital:-
|
Initially |
paid up |
HK$2,500,000.00 |
|
21-08-2009 |
paid up |
HK$1,500,000.00 |
|
|
|
––––––––––––––– |
|
Total: |
paid up |
HK$4,000,000.00 ============== |
Increase of Nominal Capital:-
|
From |
HK$2,500,000.00 |
to |
HK$4,000,000.00 |
on |
21-08-2009 |
Indebtedness: HK$3,034,565.00 (Total amount outstanding on all mortgages and charges as per last Annual Return dated 17-06-2012)
Mortgage or Charge: (See attachment)
Profit or Loss: Making a small profit every year.
Condition: Business is satisfactory.
Facilities: Making rather active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Bank of China (Hong Kong) Ltd., Hong Kong.
Standing: Normal.
Having issued 2.5 million ordinary shares of HK$1.00 each, Perry Gems (Hong Kong) Ltd. was wholly owned by Mr. Dhaval Kumar Vinod Chandra Patel who is an Indian. In August 2009, the subject increased its ordinary shares to 4 million. The newly issued 1.5 million ordinary shares were all allotted to Patel. Mr. Patel is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently. He is also the only director of the subject.
The subject is a diamond importer, exporter and wholesaler. Diamonds are imported India, Belgium, the United States, etc. Currently, the subject is manufacturing the following commodities and offering clients with the following services:-
|
Product/Service |
Product/Service Remarks |
|
Fine Jewellery |
|
|
Diamond |
Include from India, Belgium and USA (Importer) Include from India, Belgium and USA (Exporter) Include from India, Belgium and USA (Wholesaler) |
|
Precious
and Semi-Precious Jewellery |
|
|
Jewellery
– Gemset |
|
|
Jewellery
– Diamond |
Include from India, Belgium and USA (Importer) Include from India, Belgium and USA (Exporter) Include from India, Belgium and USA (Wholesaler) |
Main diamond jewellery includes bracelets, brooches, earrings, necklaces, rings, pendants, etc. Its polished diamonds include princess cut, round brilliant, tapered, etc. It is specialized in those diamonds in -2, Star, Melee, +11 up to 0.50 pts. Colours are white, next to white, off white, TTLB, dark brown [DB], and black. Most of the diamonds are brilliant cut. Finished products are marketed in Hong Kong, exported to China, Taiwan, other Asian countries, Southeast Asia, Western Europe and the United State, etc. Business normal.
The subject has got an affiliated company Perry Impex Pvt Ltd. [Perry Impex] in Mumbai, India. Perry Impex is also a diamond product manufacturer, exported and wholesaler. The manufacturing unit of Perry Impex is in Surat, Gujarat, India. The factory has been equipped with the state-of-the-art technology and the latest equipment.
The subject’s business is chiefly handled by Mr. Patel himself. The contact person Ms. Christine Siu Lok Kwan is a Hongkongnese. She is the Sales Executive of the subject.
Besides operating the subject, Mr. Patel is also a shareholder and director of another diamond and jewellery firm PM Jewels Ltd., also a Hong Kong-based and registered firm located at the subject’s operating address. PM Jewels Ltd. was also incorporated on 17th June, 2005.
Another firm R.D. Gem Ltd. shares the same operating address with the subject. Incorporated on 21st November, 2007 and wholly-owned by Mr. Bharat Babubhai Mangukiya, R.D. Gem Ltd. is also a diamond and gem trader.
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 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 its own premises in Hong Kong. The premises have been mortgaged to The Hongkong & Shanghai Banking Corp. Ltd. for securing general banking facilities.
The annual sales turnover of the subject ranges from US$25 to 30 million. Making a small profit every year. Business is active.
The history of the subject in Hong Kong is over seven years.
On the whole, consider it good for normal business engagements.
Property information of the company:-
Property Location: Office A on 4/F., Cheerful Commercial Building, 116-118 Ma Tau Wai Road, Kowloon, Hong Kong.
Owner: Perry Gems (Hong Kong) Ltd.
Date of Purchase: N.A.
Purchased Price: N.A.
INCUMBRANCES:-
|
Date of Mortgage |
Amount Consideration |
Mortgagee |
Nature |
|
25-03-2011 |
- |
The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong. |
Mortgage to secure
general banking facilities |
|
Date |
Particulars |
Amount |
|
30-11-2010 |
Instrument: Mortgage Property: 16/18,850th parts or shares of and in Section C of Kowloon Inland Lot No. 10750 (Flat G on 6/F. of Block 1 of Willow Mansions, 120 Baker Street, Whampoa Garden, Site 3, Kowloon, Hong Kong. Mortgagee: The Hongkong & Shanghai Banking Corp. Ltd.,
Hong Kong. |
To secure all moneys in respect of general banking
facilities |
|
25-03-2011 |
Instrument: Mortgage Property: 1/54th part or share of and in Kowloon Inland Lot No. 8485 & 8465 (Office A on 4/F. of Cheerful Commercial Building, 116‑118 Ma Tau Wai Road, Kowloon, Hong Kong.) Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
To secure all sums |
|
14-11-2012 |
Instrument: Mortgage Property: All that one equal undivided 54 part or share of and in All Those pieces or parcels of ground registered in the Land Registry as Kowloon Inland Lot No. 8485 and Kowloon Inland Lot No. 8465 and of and in the messuage erections and buildings thereon now knows as “CHEERFUL COMMERCIAL BUILDING” together with the sole and exclusive right and privilege to hold use occupy and enjoy All that office A on the Fourth Floor of the Building Mortgagee: Industrial & Commercial Bank of
China (Asia) Ltd., Hong Kong. |
To secure all existing and future general banking
facilities to the extent of unlimited amount and interest thereon |
DIAMOND INDUSTRY –
INDIA
-
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.
-
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
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.63 |
|
|
1 |
Rs.87.50 |
|
Euro |
1 |
Rs.71.32 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIT |
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.