|
Report Date : |
22.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
APP CHINA TRADING LTD. |
|
|
|
|
Registered Office : |
C/o Focus Corporate Services Ltd. Room 1203, 12/F., Inter-Continental Plaza, 94 Granville Road, Tsimshatsui East, Kowloon |
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|
|
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Country : |
Hong Kong |
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|
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Date of Incorporation : |
10.08.1995 |
|
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Com. Reg. No.: |
19424649 |
|
|
|
|
Legal Form : |
Private Limited Company |
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|
|
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of paper products especially toilet tissue, facial tissue, kitchen tissue and wet tissue. |
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|
|
|
No. of Employees : |
15. (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 |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No Complaints |
|
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
APP CHINA
TRADING LTD.
Address: Room 501-504A,
5/F., Empire Centre,
68 Mody
Road, Tsimshatsui East,
Kowloon,
Hong Kong.
(Head Office)
and
c/o Focus Corporate Services Ltd.
Room 1203, 12/F., Inter-Continental Plaza,
94 Granville Road, Tsimshatsui East,
Kowloon, Hong Kong.
(Registered Office)
PHONE: 852-2733 0488; 2733 0074
FAX: 852-2732 2202
E-MAIL: sales@goldeastpaper.com.hk
Managing Director: Mr. Lai Rong
Ren
Incorporated on: 10th
August, 1995.
Organization: Private
Limited Company.
Capital: Nominal: HK$77,800,000.00
Issued: HK$77,800,000.00
Business Category: Paper Trader.
Employees: 15.
(Including associates)
Main Dealing Banker: Wing Lung Bank Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Office:-
c/o Focus Corporate Services Ltd.
Room 1203, 12/F., Inter-Continental Plaza, 94 Granville Road,
Tsimshatsui East, Kowloon, Hong Kong.
Head Office:-
Room 501-504A, 5/F., Empire Centre, 68 Mody Road, Tsimshatsui East,
Kowloon, Hong Kong.
Holding Company:-
Pyro Success Ltd., British Virgin Islands.
Associated/Affiliated Companies:-
Sinar Mas Group of
Companies
APP (Hong Kong) Ltd., Hong Kong.
APP International Trading (China) Ltd., British Virgin Islands.
APP Printing Pte. Ltd., Singapore.
Asia Paper (Shanghai) Co. Ltd., China.
Asia Pulp & Paper Co. Ltd., Indonesia.
China Union International Trading Ltd., Hong Kong.
Gold Daio (Suzhou Industrial Park) Hygiene Products Co. Ltd., China.
Gold East Paper (Jiangsu) Co. Ltd., China.
Gold East Trading (Hong Kong) Co. Ltd., Hong Kong. (Same address)
Gold Hai Paper Products (Kun Shan) Co. Ltd., China.
Gold Hong Ye Paper (Suzhou Industrial Park) Co. Ltd., China.
Gold Huasheng Paper (Suzhou Industrial Park) Co. Ltd., China.
Guangxi Jingui Pulp & Paper Co. Ltd., China.
Hainan Jinhai Pulp & Paper Co. Ltd., China.
Jin Feng Yuan Paper Industry (Shanghai) Co. Ltd., China.
Jinxin (Qingyuan) Paper Industry Pte. Ltd., China.
Jinyu (Qingyuan) Tissue Paper Co. Ltd., China.
Lucky Ever Ltd., Hong Kong.
[Compulsory winding up]
Ningbo Asia Paper Converting Co. Ltd., China.
Ningbo Asia Paper Tube & Carton Box Co. Ltd., China.
Ningbo Asia Pulp & Paper Co. Ltd., China.
Ningbo Asia Unpolluted Paper Products Co. Ltd., China.
Ningbo Zhonghua Paper Co. Ltd., China.
P.T. Smart Tbk., Indonesia.
Sinar Mas Paper (China) Investment Co. Ltd., China.
Sinar Mas Pulp & Paper (India) Ltd., India.
Top Harvest Asia Ltd., Hong Kong.
Xinyang Golden Sun Woodwork Co. Ltd., China.
Yalong Paper Products (Kun Shan) Co. Ltd., China.
Zhenjiang Dadong Pulp & Paper Co. Ltd., China.
19424649
0522702
Managing Director: Mr. Lai Rong
Ren
Nominal Share Capital: HK$77,800,000.00 (Divided into 77,800,000 shares
of HK$1.00 each)
Issued Share Capital: HK$77,800,000.00
(As per registry dated 10-08-2012)
|
Name |
|
No. of shares |
|
Pyro Success Ltd. Vanterpool Plaza, Wickhams Cay I, 2nd FL, Road Town, Tortola, British,
Virgin Islands. |
|
77,799,999 |
|
Risewell Holdings Ltd. P.O. Box 957, Offshore Incorporations Centre, Road Town, Tortola,
British Virgin Islands. |
|
1 |
|
|
|
––––––––– |
|
|
Total: |
77,800,000 ======== |
(As per registry dated 02-04-2013)
|
Name (Nationality) |
Address |
|
LAI Rong Ren |
Room 1203, 12/F., Inter-Continental Plaza, 94 Granville Road,
Tsimshatsui, Kowloon, Hong Kong. |
|
TEI Ah Lek |
Room 1203, 12/F., Inter-Continental Plaza, 94 Granville Road,
Tsimshatsui, Kowloon, Hong Kong. |
(As per registry dated 10-08-2012)
|
Name |
Address |
Co. No. |
|
Focus Corporate Services Ltd. |
Room 1203, 12/F., Inter-Continental Plaza, 94 Granville Road,
Tsimshatsui, Kowloon, Hong Kong. |
0867959 |
The subject was incorporated on 10th August, 1995 as a private limited
liability company under the Hong Kong Companies Ordinance.
Originally the subject was registered under the name of Bright Century
Engineering Ltd., name changed to APP International Trading (Hong Kong) Ltd. on
15th February, 1999; and further to the present style on 25th February,
2000.
Formerly the subject’s registered office was located at Room 508B, 5/F.,
Empire Centre, 68 Mody Road, Tsimshatsui East, Kowloon, Hong Kong where was the
operating office of Focus Corporate Services Ltd. As Focus Corporate Services Ltd. moved to the
present address with effect from 17th February, 2010, so did the
subject. Now, the subject shares its
office with its associate Gold East Trading (Hong Kong) Co. Ltd. which is also
a Hong Kong-registered firm.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All
kinds of paper products especially toilet tissue, facial tissue, kitchen tissue
and wet tissue,.
Employees: 15. (Including associates)
Commodities Imported: Provided by inter-group companies in China and Southeast Asia.
Markets: Hong
Kong, Macau, other Asian countries, etc.
Terms/Sales:
COD or as per
contracted.
Terms/Buying: Various
terms.
Nominal Share Capital: HK$77,800,000.00 (Divided into 77,800,000
shares of HK$1.00 each)
Issued Share Capital: HK$77,800,000.00
Mortgage or Charge: (See
attachment)
Profit or Loss: Group made a small profits every year.
Condition: Keeping
in an active state.
Facilities: Making
active use of general banking facilities.
Payment:
Met trade
commitments on time.
Commercial Morality: Satisfactory.
Bankers:
Wing Lung Bank Ltd., Hong Kong.
CITIC Bank International Ltd., Hong Kong.
Standing:
Normal.
Having
issued 77.8 million ordinary shares of HK$1.00 each, APP China Trading Ltd.
formerly was wholly-owned by P.T. Purinusa Ekapersada [PTPE] which is an
Indonesia-based firm. Now, it is almost
wholly-owned by Pyro Success Ltd. which is a BVI-registered firm.
In
Hong Kong, the subject shares the office with its associated company Gold East
Trading (Hong Kong) Co. Ltd.
The
subject in fact is a member of Sinar Mas Group – a famous Indonesian consortium
which was founded in 1962 by Mr. Eka Tjipta Wijaya (also known as Oei Ek
Tjhong), a prominent Chinese entrepreneur from Asia. The Sinar Mas Group started making
investments in China in 1992.
The
core businesses of the Group are pulp and paper, finance, real estate and
agriculture and food processing. Sinar
Mas Group now has about 150,000 employees, with a total asset of over US$20
billion. As a famous Indonesian
consortium, it has invested broadly across Asia, Europe and America.
The
Group’s paper industry is led by Asia Pulp & Paper Co. Ltd. [APP],
Indonesia.
Incorporated
in August 1995, the subject is trading in the Group’s products. Currently, the Group operates 2 manufacturing
facilities in West and Central Java. It
commenced commercial production in November 1995, converting containerboard
into corrugated shipping containers.
APP
is a vertically integrated group of seven pulp and paper companies (some of
which having more than one mill location) inside Indonesia:-
P.T.
Ekamas Fortuna
P.T.
Indah Kiat Pulp & Paper Tbk.
P.T.
Lontar Papyrus Pulp & Paper Industry
P.T.
Pabrik Kertas Tjiwi Kimia Tbk.
P.T.
Pindo Deli Pulp & Paper Mills
P.T.
Purinusa Ekapersada [PTPE]
P.T.
The Univenus
Among
them, P.T. Indah Kiat Pulp & Paper Tbk. and P.T. Lontar Papyrus Pulp &
Paper Industry produce pulp from mixed tropical hardwood [MTH] obtained from
clear cutting of natural forests that include HCVFs in Riau Province and Jambi
Province, both on the island of Sumatra, Indonesia. Most of the pulp is consumed by the APP
Group’s own paper mills.
APP
produces small quantities of no-MTH paper (based on plantation wood, certified
virgin pulp or recycled pulp).
APP
also has set up a subsidiary company in Hong Kong known as APP (Hong Kong) Ltd.
[APPHK] besides the subject.
The
other main associates of APP are the following firms:-
1. APP
International Trading (China) Ltd., British Virgin Islands
2. Lucky
Ever Ltd., Hong Kong
APP
also has had associated company in China which is managed by Mr. Lai Rong Ren
who is the Managing Director of the subject.
APP
claims having an annual output of more than 9 million tons of pulp and paper
and 750,000 hectares fast-growing forests.
With a total asset of more than US$10 billion, APP has been among Top 10
paper producers in the world. Ever since
it entered China market in 1992, APP has successively set up 18 pulp and paper
enterprises and over 20 plantation farms in Yangtze River Delta and Pearl River
Delta. Nowadays, APP China can produce
more than 5 million ton paper and paperboards every year.
APP
is one of the world’s leading pulp and paper companies and is ranked one of the
largest vertically integrated pulp and paper producer in Asia, excluding Japan.
Its
combined pulp, paper and packaging capacities in Indonesia amount to about 7.5
million tonnes, using fibre from plantations and wood residues of plantation
development. APP currently has its
principal operations located in Indonesia, and markets its products to more
than 65 countries on six continents.
The
subject was set up in Hong Kong as one of APP’s marketing arms. It has a full range of paper products
including printing paper, packaging board, converted packaging products, office
supply, tissue, and hygiene products.
The subject is responsible for the sale of various kinds of paper
products especially toilet tissue, facial tissue, kitchen tissue and wet
tissue. Products are mainly sourced from
its inter group factories in China and Southeast Asia countries.
The
subject’s affiliate, Top Harvest Asia Ltd. [THAL] is also engaged in the same
line of business. THAL is also the
registered trade mark holder of “VIR JOY APP”, “Sara
Sara Silk”, “Breeze” tissues and toilet paper, napkins and
related items.
The
subject and APPHK are trading in the following commodities:-
|
Product/Service |
Product/Service
Remarks |
|
Tableware –
Disposable |
Paper
napkin from China and Indonesia |
|
Napkin – Paper
(Serviettes) |
From
China and Indonesia (Importer) From
China and Indonesia (Exporter) |
|
Paper and Paper
Products |
Kraft/white
top liner, medium/duplex/tripel and ivory board (Exporter) Kraft/white
top liner, medium/duplex/triple and ivory board (Importer) |
|
Writing Pad and
Memo Pad |
Writing
pads from China, Indonesia, Malaysia and India (Exporter) Writing
pads from China, Indonesia, Malaysia and India (Importer) |
|
Paper, Others |
Include
woodfree print/inkjet/laser/photocopy/fancy paper and board (Exporter) Include
woodfree print/inkjet/laser/photocopy/fancy paper and board (Importer) |
|
Paper Roll (For
Printer Use) |
Computer
paper from China, Indonesia, Malaysia and India (Exporter) Computer
paper from China, Indonesia, Malaysia and India (Importer) |
|
Exercise Book |
Exercise/spiral/loose
leaf/hard cover books (Exporter) Exercise/spiral/loose
leaf/hard cover books (Importer) |
|
Toilet Paper and
Facial Tissue |
Pocket
tissue, jumbo/tissue roll, facial box and tissue hand towels (Exporter) Pocket
tissue, jumbo/tissue roll, facial box and tissue hand towels (Importer) |
|
Diary / Address
Book / Organiser |
Diary
(Exporter) Diary
(Importer) |
|
Envelope and
Stationery |
|
|
Bag – Paper,
Printed |
Shopping
bag from China and Asia (Exporter) Shopping
bag from China and Asia (Importer) |
|
Paper – Wrapping |
Gift
wrapping paper from China and Asia (Exporter) Gift
wrapping paper from China and Asia (Importer) |
The
business of the subject is normally operated.
Annual sales turnover is significant.
No derogatory data have been heard.
The
subject is fully supported by APP and ultimately by Sinar Mas Group. History in Hong Kong is over seventeen years
and eleven months.
On
the whole, in view of the background and parentage of the subject, consider it
good for normal business engagements.
|
Date |
Particulars |
Amount |
|
07-03-2011 |
Instrument: Trade
Finance Security Assignment Property: The Borriwer as
beneficial owner: A) Assigns and agrees to assign absolutely to
the Bank all the present and future right, title, interests and benefits f
the Borrower in and in the following assets:- 1) Export Credits, 2) Export Collection Bills; 3) Sales Contracts; 4) Invoice Receivables; 5) Trade Documents; and 6) All claims, remedies and
proceeds in connection with any of the foregoing, and 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 Borrower in and to the following assets:- 1) The Goods together in and to
the following assets:- 2) The Deposit, 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 Bank’s possession Mortgagee: CITIC
Bank International Ltd., Hong Kong. |
As security for the payment of all Secured liabilities |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.79 |
|
|
1 |
Rs.91.03 |
|
Euro |
1 |
Rs.78.52 |
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.