MIRA INFORM REPORT

 

 

Report Date :

11.06.2013

 

IDENTIFICATION DETAILS

 

Name :

ON  HING  HO  CO.  LTD.

 

 

Registered Office :

G/F., Wing Tuck Commercial Centre, 179-181 Wing Lok Street, Sheung Wan

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

23.10.1945

 

 

Com. Reg. No.:

16447349

 

 

Legal Form :

Private Limited Company.

 

 

Line of Business :

Importer and Wholesaler of Dried abalone, dried biche-de-mer, dried conpoy, mushroom, dried squid, dried shrimp, peanut, dried chilli, dried red dates, dried black dates, red beans, fruit nuts/walnuts/peanuts, canned food, prepared and preserved meat, prepared fish, prepared crustaceans/molluscs, dried food and choice seafood, edible seeds.

 

 

No. of Employees :

20

 

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


Company name and address

 

ON  HING  HO  CO.  LTD.

 

 

ADDRESS:       G/F., Wing Tuck Commercial Centre, 179-181 Wing Lok Street, Sheung Wan, Hong Kong.

 

PHONE:            852-2541 8508

 

FAX:                 852-2541 2554

 

E-MAIL:            onhingho@mail.hongkong.com

 

 

MANAGEMENT

 

Managing Director:  Mr. Sit Kin Ming

 

 

SUMMARY

 

Establishment:              23rd October, 1945.

 

Incorporated on:            15th December, 1992.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$10,000,000.00

Issued:             HK$10,000,000.00

 

Business Category:       Dried Marine Product Wholesaler, Importer and Exporter

 

Annual Turnover:           HK$150-200 million.

 

Employees:                  20.

 

Main Dealing Banker:     Hang Seng Bank Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


ADDRESS

 

Registered Head Office & Shop:-

G/F., Wing Tuck Commercial Centre, 179-181 Wing Lok Street, Sheung Wan, Hong Kong.

 

Associated Company:-

Teck Sang (Pte) Ltd., Singapore.

 

 

BUSINESS REGISTRATION NUMBER 

 

16447349

 

 

COMPANY FILE NUMBER 

 

0394252

 

 

MANAGEMENT

 

Managing Director:  Mr. Sit Kin Ming

Contact Person:  Mr. Seit Kin Fun

 

 

CAPITAL

 

Nominal Share Capital: HK$10,000,000.00 (Divided into 100,000 shares of HK$100.00 each)

 

Issued Share Capital: HK$10,000,000.00

 

 

SHAREHOLDERS

(As per registry dated 15-12-2012)

 

Name

 

No. of share

SIT Kin Ming

 

21,000

SIT Kin On

 

18,000

SIT Wing Fai

 

17,000

SEIT Kin Fun

 

11,000

SEIT Kin Cheung

 

9,000

SEIT Wing Yun

 

4,000

SIT Oi Wan, Ivy

 

4,000

SEIT Kin Sun, Arthur

 

4,000

SEIT Kim Hong

 

3,000

[to be continued]

 

[continued]

XUE Ai Yang, Cheryl

 

3,000

XUE Jian Yi

 

3,000

Sit Oi Sheung

 

3,000

 

 

–––––––

 

Total:

100,000

======

 

 

DIRECTORS

(As per registry dated 15-12-2012)

 

Name

(Nationality)

 

Address

SEIT Wing Yun

Flat A, 3/F., Block 4, Yar Chee Villas, 1A Chi Fu Road, Hong Kong.

 

SIT Kin Ming

10/F., Block A, Ventris Villa, 25-27 Ventris Road, Happy Valley, Hong Kong.

 

SIT Kin On

Flat 5, 8/F., Block C, Ventris Villa, 19-23 Ventris Road, Happy Valley, Hong Kong.

 

SIT Wing Fai

Flat A, 17/F., 18 Babington Path, Hong Kong.

 

SEIT Kin Fun

Flat A2, 4/F., Block A, Botanic Terrace, 3 Conduit Road, Mid-Levels, Hong Kong.

 

 

SECRETARY

(As per registry dated 15-12-2012)

 

Name

Address

Co. No.

Kenpark Secretarial Ltd.

Unit 1802, 18/F., Cameron Commercial Centre, 458‑468 Hennessy Road, Causeway Bay, Hong Hong.

0165149

 

 

HISTORY

 

The company was originally established on 23rd October, 1945 as a sole proprietorship concern of the late Shit Ping Yuen under the name of On Hing Ho.  Converted into a partnership concern in August, 1967.

Re-organization into a private limited company under the Hong Kong Companies Ordinance on 15th December, 1992.

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

 

OPERATIONS

 

Activities:                      Importer and Wholesaler.

 

Lines:                           Dried abalone, dried biche-de-mer, dried conpoy, mushroom, dried squid, dried shrimp, peanut, dried chilli, dried red dates, dried black dates, red beans, fruit nuts/walnuts/peanuts, canned food, prepared and preserved meat, prepared fish, prepared crustaceans/molluscs, dried food and choice seafood, edible seeds.

 

Employees:                  20.

 

Commodities Imported: Mainly bought from Japan, Korea, Southeast Asia, China, South America, etc.

 

Markets:                        Hong Kong (main), Singapore, Korea, etc.

 

Annual Turnover:           HK$150-200 million.

 

Terms/Sales:                  COD or 30-60 days credit.

 

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

 

 

MEMBERSHIP    

 

The Chinese General Chamber of Commerce, Hong Kong.

Hong Kong Dried Seafood and Grocery Merchants Association Ltd., Hong Kong.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:  HK$10,000,000.00 (Divided into 100,000 shares of HK$100.00 each)

 

Issued Share Capital:     HK$10,000,000.00

 

Mortgage or Charge:     (See attachment)

 

Profit or Loss:               Business is profitable.

 

Condition:                     Keeping in an active manner.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      So far so good.

 

Commercial Morality:     Good.

Bankers:-

Hang Seng Bank Ltd., Hong Kong.

Wing Lung Bank Ltd., Hong Kong.

The Bank of Tokyo-Mitsubishi Ltd., Hong Kong Branch.

Nanyang Commercial Bank Ltd., Hong Kong.

Banque Nationale de Paris, Hong Kong Branch.

Bank of China (Hong Kong) Ltd., Hong Kong.

etc.

 

Standing:                       Very Good.

 

 

GENERAL

 

On Hing Ho Co. Ltd. was incorporated on 15th December, 1992 in order to take over the business of On Hing Ho [OHH].  OHH was a well-established dried marine product wholesaler with long history in Hong Kong.  OHH was founded in 1945 by Mr. Shit Ping Yuen who passed away in October, 1969.  Now, the subject is operated by his sons and daughters.  Business has enjoyed steady turnover annually as it is one of the significant dried seafood suppliers in Hong Kong.

The subject has twelve shareholders while three of them are in Canada, the United States and Guangzhou, China respectively.

Commodities are mainly for local sales and re-exported to Singapore and South Korea.

The subject is trading in the following commodities:-

  • Nut - Dried;
  • Seafood - Dried
    (Fishmaws, Sharkfins, Sea Cucumber, Abalone, Scallops, Oyster);
  • Fruit & Vegetable - Dried (Dates); &
  • Peanut & Bean - Roasted/Preserved (Bean),
  • All kinds of canned food.

Products are imported from Africa, Central & South America, the Middle East, North America, Other Asian Countries, Southeast Asia, etc.

In 1973, the subject set up an associated company known as Teck Sang (Pte) Ltd. [Teck Sang] in Singapore.  Teck Sang is engaged in wholesaling and retailing dried aquatic products.  Products carried include Shark’s fin, dried cuttle fish, Squid, octopus, abalone, beche-de-mer, mussels, oysters, scallops, shrimps, lobsters.  According to the subject, Teck Sang’s product have found ready market in Singapore.

The followings are the main products carried by Teck Sang:-

  • Canned Sardines/Limpets/Pacific Clams/Abalone, etc.
  • Chinese Dried Foodstuffs;
  • Dried Hibiscus Flower; &
  • Dried Red Chili, Garlic, Coriander, fennel, Cloves, Cassia, Dried Ginger, Star Aniseed, Cumin, Black and White Pepper, Nutmegs, Groundnut Kernels, Blanched Groundnut Kernels, Almonds, Pistachios, Cashew Kernels, Sunflower Seeds, Pumpkin Seeds, Sesame Seeds, Beans and Pulse, etc.

Teck Sang has about 25 employees in Singapore.

The annual sales turnover of the subject ranges from HK$150 to 200 million.  Making a profit every year.

The business of the subject is active and good.  Regular suppliers and customers have been maintained.

As the history of the subject is over twenty years and five months in Hong Kong, on the whole, consider it good for normal business engagements.

 


REMARKS

 

            Property information of directors:-

Property Location

Owner

Date of Purchase

Purchased
Price

10/F., Block A and Car Park No. 26 on 3rd Tier Ventris Terrace, 25-27 Ventris Road, Hong Kong.

Seit Wing Hon & Foong Wai Khee

02-08-1977

HK$      410,000

195 Des Voeux Road West, Hong Kong.

Seit Wing Hon 1/3, Seit Wing Yun 1/3 & Sit Wing Fai 1/3

14-04-1970

HK$      164,000

Flat A, 17/F., Elegant Garden, 18 Babington Path, Hong Kong.

Sit Wing Fai & Poon Kam Yee, Regina

22-02-1986

HK$      1,200,000

Flat A, 3/F., Block 14, Yar Chee Villas, 1A Chi Fu Road, Chi Fu Fa Yuen, Hong Kong.

Seit Wing Yun & Lam Ho Ching

02-12-1980

HK$      900,000

Flat A, 12/F., Block 2, Victoria Centre, 15 Watson Road, Hong Kong.

Seit Wing Lit & Tang Shi Mei

30-07-1982

HK$      960,000

 

 

MORTGAGE OR CHARGE

 

Date

Particulars

Amount

26-08-1993

Instrument:        Charge on Deposit(s)

Property:

Fixed Deposit of HK$500,000
Deposit No. 043-473-5-828260-6 dated 24‑08-1993

Mortgagee:        Nanyang Commercial Bank Ltd., Hong Kong.

To secure the payment of all moneys, obligations and liabilities

04-10-1993

Instrument:        Charge on Cash Deposit(s)

Property:

a)         A cash deposit of HK$629,615 presently evidenced by deposit receipt No. FD00327

b)         All moneys now or hereafter standing to the Company’s credit with the Bank on any account

Mortgagee:        The Mitsubishi Bank Ltd., Hong Kong Branch.  [Now known as The Bank of Tokyo-Mitsubishi Ltd.]

To secure obligations of the Company in respect of credit facilities or other financial accommodation

10-11-1993

Instrument:        Deed of Charge on Deposits and Set-off

Property:

Deposit No. 01468658450511 for US$38,797

Mortgagee:        The Yien Yieh Commercial Bank Ltd., Hong Kong Branch.

Banking facilities

09-03-1994

Instrument:        Security Over Deposit

Property:

As beneficial owner, charges, by way of security, and releases to the Bank all the right, title and interest of the Depositor in and to the Deposit Amount US$51,282 No. 99-6-0148682

Mortgagee:        Overseas Trust Bank Ltd., Hong Kong.

To secure such facilities as the Bank may make or continue to make available to the Depositor

11-03-1996

Instrument:        Charge on Cash Deposit(s)

Property:

a)         Deposit for HK$703,456 presently evidenced by deposit receipt No. FD00327

b)         All moneys now or hereafter standing to the Company’s credit with the Bank on any account

Mortgagee:        The Mitsubishi Bank Ltd., Hong Kong Branch.  [Now known as The Bank of Tokyo-Mitsubishi Ltd.]

To secure obligations of the Company in respect of credit facilities or other financial accommodation

19-10-2012

Instrument:        Trade Finance Security Assignment

Property:

The Borrower as a 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, interests and benefits of the Borrower in and to the following assets: (i) the Export Credits; (ii) the Export Collection Bills; (iii) the Sales Contracts; (iv) the Export Invoice Receivables; (v) the Insurances; (vi) the Trade Documents; and (vii) 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, interests and benefits of the Borrower in and to the following assets: (i) the Goods together with their proceeds; (ii) the Pledged Goods; (iii) the Deposit; and (iv) to the extent and Security Assets is not effectively assigned and

(c) pledges and agrees to pledge to the Bank the Pledged Goods and the Trade Documents

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

All obligations and liabilities

19-10-2012

Instrument:        Letter of Charge and Set-Off

Property:

The Company as beneficial owner hereby charges in favour of the Bank by way of first fixed charge all the Company’s rights, title and interest both present or future in and to the Deposits and Other Deposits.

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

To secure banking facilities granted to On Hing Ho Co. Ltd.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.57.78

UK Pound

1

Rs.89.71

Euro

1

Rs.76.23

 

 

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.