MIRA INFORM REPORT

 

 

Report Date :

12.11.2013

 

IDENTIFICATION DETAILS

 

Name :

LIDL HONG KONG LTD.

 

 

Registered Office :

25/F., Miramar Tower, 132 Nathan Road, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

28.02.2006

 

 

Com. Reg. No.:

36488288

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importer, Exporter and Wholesaler of Garments, textile products, electric products, mobile phones, baby products, other general merchandise

 

 

No. of Employees :

40.

 

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 :

Good

 

 

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

 

LIDL HONG KONG LTD.

 

 

ADDRESS

 

25/F., Miramar Tower, 132 Nathan Road, Tsimshatsui, Kowloon, Hong Kong.

 

(old address at:

Unit 2901-2913, 29/F., Millennium City 2, 378 Kwun Tong Road, Kowloon, Hong Kong.)

 

PHONE:            852-2581 9792,  2545 0821

 

FAX:                 852-2581 9775,  2851 3912

 

 

MANAGEMENT

 

Managing Director:  Mr. Volker Harald Herbert Glaeske

 

 

SUMMARY

 

Incorporated on:             28th February, 2006.

 

Organization:                 Private Limited Company.

 

Capital: Nominal:           HK$10,500,000.00

Issued:                          HK$10,500,000.00

 

Business Category:        Importer, Exporter and Wholesaler.

 

Employees:                   40.

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:            Satisfactory.


Company name

 

LIDL HONG KONG LTD.

 

 

ADDRESS

 

Registered Head Office:-

25/F., Miramar Tower, 132 Nathan Road, Tsimshatsui, Kowloon, Hong Kong.

 

Holding Company:-

ERF Beteiligungs GmbH, Germany.

 

Ultimate Holding Company:-

Lidl Stiftung & Co. KG, Germany.

 

Associated Companies:-

Lidl Group of Companies

Dieter Schwarz Stiftung Gemeinnutzige GmbH, Germany.

Kaufland Stiftung & Co. KG, Germany.

Lidl & Cie, Portugal.

Lidl Asia Pacific Sourcing Ltd., Hong Kong.  (Different address)

Lidl Austria GmbH, Austria.

Lidl Belgium GmbH & Co. KG, Belgium.

Lidl Cyprus GmbH, Cyrpus.

Lidl d.o.o. k.d., Slovenia.

Lidl Danmark K/S, Denmark.

Lidl Dienstleistung GmbH & Co. KG, Germany.

Lidl France, France.

Lidl Hrvatska doo k.d., Croatia.

Lidl Ireland GmbH, Ireland.

Lidl Italia S.r.l., Italy.

Lidl Magyarország Kereskedelmi Bt., Hungary.

Lidl Malta Ltd., Malta.

Lidl Nederland GmbH, the Netherlands.

Lidl North Ireland GmbH, Ireland.

Lidl Polska Sklepy Spozywcze Sp. z o.o. Sp. k., Poland.

Lidl Schweiz GmbH, Switzerland.

Lidl Slovenská republika v.o.s., Slovakia.

Lidl Suomi KY, Finland.

Lidl Supermercados S.A.U., Spain.

Lidl Sverige KB, Sweden.

Lidl UK Ltd., UK.

Schwarz Beeiligungs GmbH, Germany.

Schwarz Unternehmenstreuhand KG, Germany.

etc.

 

 

BUSINESS REGISTRATION NUMBER 

 

36488288

 

 

COMPANY FILE NUMBER

 

1027052

 

 

MANAGEMENT

 

Managing Director:  Mr. Volker Harald Herbert Glaeske

 

 

CAPITAL

 

Nominal Share Capital:   HK$10,500,000.00 (Divided into 10,500,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$10,500,000.00

 

 

SHAREHOLDEr  

 

(As per registry dated 28-02-2013)

Name

 

No. of shares

ERF Beteiligungs GmbH

Berliner Chaussee 13, D-16559 Liebenwalde-Kreuzbruch, Germany.

 

10,500,000

========

 

 

DIRECTORS  

 

(As per registry dated 13-05-2013)

Name

(Nationality)

 

Address

Volker Harald Herbert GLAESKE

Flat E, 19/F., Tower 6, Sorrento, 1 Austin Road, Kowloon West, Hong Kong.

 

Maarten-Jan KOSTER

G/F., 81 Seabee Lane, Headland Village, Discovery Bay, Lantau Island, Hong Kong.

 

Kurt Walter SCHILLI

Flat C, 25/F., Honor Villa, 75 Caine Road, Hong Kong.

 

 

SECRETARY

 

 (As per registry dated 03-09-2013)

Name

Address

Co. No.

Tricor Corporate Secretary Ltd.

Level 54, Hopewell Centre, 183 Queen’s Road East, Hong Kong.

0714799

 

 

HISTORY

 

The subject was incorporated on 28th February, 2006 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Formerly the subject was located at Unit 2901-2913, 29/F., Millennium City 2, 378 Kwun Tong Road, Kowloon, Hong Kong, moved to the present address in December 2012.

 

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

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           Garments, textile products, electric products, mobile phones, baby products, other general merchandise

 

Employees:                   40.

 

Commodities Imported:   China and other Asian countries, etc.

 

Markets:                       Germany and other European countries.

 

Terms/Sales:                 As per contracted.

 

Terms/Buying:                L/C, T/T, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$10,500,000.00 (Divided into 10,500,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$10,500,000.00

 

Profit or Loss:                Making a small profit in the past years.

 

Condition:                      Business is rather active.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      Met trade commitments as contracted.

 

Commercial Morality:     Satisfactory.

 

Banker:                         The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Standing:                      Good.

 

 

GENERAL

 

Incorporated in February 2006, Lidl Hong Kong Ltd. is a wholly-owned subsidiary of ERF Beteiligungs GmbH which is a Germany-based firm.

 

At the very beginning, the shares held by ERF Beteiligungs GmbH were held by Fortra Overseas Services Inc. which is a BVI-registered firm.  On 28th March, 2006, Fortra Overseas Services Inc. transferred all its shares to ERF Beteiligungs GmbH which is the current sole shareholder.

 

The current director of the subject Mr. Volker Harald Herbert Glaeske is a Hong Kong ID Card holder.  Being a German, he has been in Hong Kong for a very long time.  However, a new director was appointed in late 2012.

The subject has had an associated company Lidl Asia Pacific Sourcing Ltd. which is located at a different address in Hong Kong.

 

The subject is the buying office of the Lidl Group [Lidl] in Hong Kong.  Lidl is a chain of supermarkets which is a part of the Schwarz Group.

 

The subject is trading in the following products:-

Suits & Jackets - Men’s, Children’s Wear, Blouses, Coats, Denim Garments, Dresses & Skirts, Evening & Party Dresses, Shirts, Knitwear, Cardigan , Sweater & Pullover, Tee & Sweat Shirts, Underwear - Women’s, Nightwear & Pyjamas, Sportswear, Fashion Accessories, Footwear, Games & Toys - Electronic, Clock - Analogue, AC, Cameras & Photographic Equipment, Bathroom Mat, Babies’ Wear, Baby Bed/Cot, Office Equipment, Healthcare Product - Electrical, Audio-Visual Products, Computer & Peripherals, Electrical Appliances, Lighting Products, Lamps, Lamp - Ceiling, AC, Lamp - Desk, AC, Lamp - Wall, AC, Chandelier, Halogen Lamp, Tiffany Lamp, Outdoor Lamp, Lamp - Floor, Spotlight, Bulbs, Lamp Parts, Lamp Shade - Others, Ballast, Light Dimmer, Lighting Equipment - Commercial, Stage Light, Telecom Products, Mobile Phone & Mobile Phone Equipment (Mobile Devices & Accessories), Mobile Phone (smart phones), Security Products, Solar Lamp, Testing Instrument For Electrical/Electronic Product, Console Game, Electronic Gadgets, Electronic/Electrical Components & Accessories, Imitation/Costume Jewellery, Reading Glasses, Sunglasses, Quilt, Table Cloth & Napkin - Embroidered, Table Cloth & Napkin - Non-Embroidered, Placemat - Fabric, Coaster - Fabric, Tea Towel, Huck Towel, Toilet Seat Cover - Fabric, Towel - Kitchen, Curtain - Shower, Christmas Light, Quality Management Services, Lighting Design, Trade/Industrial Title Publishing, Quality/Laboratory Testing Services, Electronics Technology, Testing & Certification, Multimedia Products, Digital Products, Crystal Lights, Green Lighting, LED Lighting, Tablet PC, etc.

 

Employing about 40 employees, the subject currently is still looking for “competitive suppliers” from worldwide countries.

 

Lidl’s full name is Lidl Stiftung & Co. KG.  It belongs to the holding company Schwarz, which also owns the store chains Handelshof and Kaufland.Lidl is expanding strongly throughout Europe and beyond its borders.  Currently it has 10,000 stores in more than 25 countries in Europe.

 

Lidl is a German discount chain which is now one of the most successful discounters in Germany.  It has launched its international private label fair trade line, Fairglobe, in the Netherlands and Sweden.  The range consists of the six products: bananas, coffee, tea, juice, chocolate bars and cane sugar.

 

Lidl is present in the following countries: Germany, Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Finland, France, Greece, Hungary, Ireland, Italy, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romaina, Solvakia, Slovenia, Norway (withdrawal in 2008), Spain, Sweden, Switzerland, the United Kingdom, etc.

 

Lidl was founded in the 1930’s by a member of the Schwarz family, then called Schwarz Lebensmittel-Sortimentsgrosshandlung.  In the 1970’s, the first Lidl stores of today’s incarnation opened.

 

In 1930, Josef Schwarz became a partner in Südfrüchte Grosshandel Lidl & Co., a fruit wholesaler, and he developed the company into a general food wholesaler.  In 1977, under his son Dieter Schwarz, Lidl & Schwarz began to focus on discount markets, larger supermarkets, and cash and carry wholesale markets.  The first Lidl discount store was opened in 1973, copying the Aldi (Lidl’s main competitor) concept.  In 1977, the Lidl chain comprised 30 discount stores.  Dieter Schwarz’s problem was that he could not just start using the Lidl name.  As Schwarz Markt (Black Market) did not seem as a good idea, he bought the right to use the Lidl name from Ludwig for 1,000 marks.

 

Now, Lidl is in almost all European countries.  Its stores commonly carry about 800 different items mostly under Lidl’s own brand.

 

Having its headquarters in Neckarsulm, Germany, Lidl’s business is active.

 

The Schwarz Group ranks as the fifth largest retailer in the world after Walmart, Carrefour, Tesco and Metro AG.  The German-based retailer has experienced rapid growth across Europe for years but future expansion is likely to be more of a challenge.  For instance, sales growth in Germany was flat in 2009 despite the addition of 80 new stores.  The Schwarz Group, parent of hard discount format Lidl, Kaufland hypermarket and Handelshof supermarket, operates numerous stores throughout Europe.

 

The Schwarz Group has moved into Bulgaria in 2010 by acquiring Plus discount stores from Tengelmann.  Now, the German retailer has a presence in 24 countries.

The Schwarz Group is the largest retail group in Europe, and will hold this title for the next five years.  Its annual turnover is about EUR 68.7 billion and is predicted to be EUR 84.7 billion by 2018, the Top 50 Retailers Ranking shows.

 

The top executive is Mr. Klaus Gehrig.

 

Since establishing in the United Kingdom in 1994, Lidl has grown consistently and today has more than 580 stores throughout the United Kingdom.  While it is still a small player in the United Kingdom market with a grocery market share of less than 5%, its importance along with that of continental no-frills competitor Aldi is growing.

The Schwarz Group’s Lidl discount store division operated approximately 9,800 stores in 26 European markets, contributing sales of EUR 45.4 billion (£35.4 billion).

 

In Germany, Schwarz Group’s speed of expansion has slowed down remarkably – previously it focused on expanding and gaining market share.  The group is now focusing on qualitative improvements and generally higher demands in terms of footfall and profitability for new store sites.

 

Lidl, with its focus on virtually all Western and most central European markets, is investing in the roll-out of in-store bakeries in larger and more modern shops.  The initiative is seen as a means of attracting shoppers looking out for fresh products.

 

The subject’s another associate Schwarz Beteiligungs-GmbH operates food stores, supermarkets, hypermarkets, and discount stores.  The company operates supermarkets and hypermarkets under the brand names Kaufland, Handelshof, and Kaufmarkt; and discount stores under Lidl brand.  The company also operates wholesale market under the brand name Ruef.  The company is based in Neckarsulm, Germany.  Schwarz Beteiligungs-GmbH operates as a subsidiary of Dieter Schwarz Stiftung gemeinnützige GmbH.

 

The subject has got an associated company Lidl Asia Pacific Sourcing Ltd. which is a Hong Kong-registered company.

 

The subject is fully supported by Lidl.  Business is active in Hong Kong.  History is over seven years.

 

On the whole, consider it good for normal business engagements.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.30

UK Pound

1

Rs.101.36

Euro

1

Rs.84.60

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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.