MIRA INFORM REPORT

 

 

Report Date :

21.08.2014              

 

IDENTIFICATION DETAILS

 

Name :

MFY HOLDING CO. LTD.

 

 

Registered Office :

C/o Youth International Travel Agency Co., Ltd., Room 37, 2/F., Tak Wun Shopping Arcade, 12-16 Pak Kung Street, Hunghom, Kowloon

 

 

Country :

Hongkong

 

 

Date of Incorporation :

10.09.2007

 

 

Com. Reg. No.:

38377190

 

 

Legal Form :

Private Limited Liability

 

 

Line of Business :

Subject is trading in Welded Pipes, Water Tubes, Decoration Pipes, Drinking Water Pipes, Stainless Products.

 

 

No. of Employees :

No Employees in Hongkong

 

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.

 

 

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 Hongkong

 

 

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 – June 01, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Hongkong

A1

A1

 

Risk Category

ECGC

Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

HONGKONG - 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 has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: 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, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. 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 12% of total system deposits in Hong Kong by the end of 2013. 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 total trade 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. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. 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. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.

 

Source : CIA

 

Company Name

 

MFY HOLDING CO. LTD.

 

 

Company ADDRESS

 

Registered Office:-

c/o Youth International Travel Agency Co., Ltd.

Room 37, 2/F., Tak Wun Shopping Arcade, 12-16 Pak Kung Street, Hunghom, Kowloon, Hong Kong.

 

Associated Companies:-

Excellent International Investment Holdings Ltd., Hong Kong.

Foshan Hui-huang Stainless Steel Co. Ltd., China.

Foshan Jinhai-huihuang Stainless Steel Co. Ltd., China.

 

 

BUSINESS REGISTRATION NUMBER

 

38377190

 

 

COMPANY FILE NUMBER

 

1165726

 

 

DATE OF INCORPORATION

 

10th September, 2007.

 

 

CAPITAL

 

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

 

Issued Share Capital: HK$10,000.00

 

 

SHAREHOLDER

(As per registry dated 10-09-2013)

 

Name

 

No. of shares

LAI Ming Zhen

 

10,000

=====

 

 

DIRECTOR

(As per registry dated 10-09-2013)

 

Name

(Nationality)

 

Address

LAI Ming Zhen

Chancheng Zone, Foshan City, Guangdong Province, China.

 

 

SECRETARY 

(As per registry dated 10-09-2013)

 

Name

Address

Co. No.

C&R Business Consulting Ltd.

11/F., Front Block, Hang Lok Building, 130 Wing Lok Street, Sheung Wan, Hong Kong.

1029102

 

 

HISTORY

 

The subject was incorporated on 10th September, 2007 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Originally the subject was registered under the name of Wow Long Industry Co. Ltd., name changed to Foshan Golden Stainless Steel Co. Ltd. on 5th November, 2007, changed to Wow Long Industry Co. Ltd. again on 27th February, 2008 and further to the present style on 21st March, 2014.

 

Formerly the subject’s registered address was located at 11/F., Front Block, Hang Lok Building, 130 Wing Lok Street, Sheung Wan, Hong Kong where was the operating address of a commercial service provider C&R Business Consulting Ltd.  The subject moved to the present address in early 2014.

 

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

 

 

GENERAL

 

Having issued 10,000 ordinary shares of HK$1.00 each, MFY Holding Co. Ltd. is wholly owned by Mr. Lai Ming Zhen who is a China merchant.  He is a China ID holder and does not have the right to reside in Hong Kong permanently.  He is also the only director of the subject.

 

The subject does not have its own operating office.  Its registered office is in a travel agency located at “Room 37, 2/F., Tak Wun Shopping Arcade, 12‑16 Pak Kung Street, 40 Bonham Strand, Hunghom, Kowloon, Hong Kong” known as “Youth International Travel Agency Co., Ltd.” which is handling its correspondences and documents.

The subject has no employees in Hong Kong.

 

The subject is trading in the following commodities:

Welded pipes, Water Tubes, Decoration Pipes, Drinking Water Pipes, Stainless Products.

 

It has had an associated company known as Foshan Hui-Huang Stainless Steel Co. Ltd. [Hui-Huang] which is in Foshan City, Guangdong Province, China.

 

Hui-Huang is one of the earliest companies which has got ISO9001 (2000) certification.  It is engaged in manufacturing all kinds of stainless steel products.  Its products have won the title of “China Well-known Quality Product” and have been approved for engineering construction by China Building Decoration Association Building Hardware Commission under the Ministry of Construction, the PRC.  All the products conform to the standard requirements of CJ/T 151-2001 “Thin wall stainless steel water pipe”, GB12771 “Stainless steel welded pipe for liquid conveying” and GB/T 18705-2002 “Stainless steel welded pipe for decoration”.  Hui-Huang has 9 patents for invention.  It is a director of China Pipes ＆ Pipe Specialist Commission under the Ministry of Construction and also a director of Pipe Specialist Commission under China Science ＆Technology Centre of the PRC.

 

All the equipment and tools of Hui-Huang are imported from the United States, Taiwan and other countries and regions, which enjoy the most advanced level from extrusion to package. By importing stainless steel as raw material, it is made in a scientific way and the products have been performed with chemical analysis, mechanical and technological performance testing, corrosion and water pressure test as well as eddy flaw detection and other tests.  The main products include stainless steel plate, strip and decoration pipe, thin wall stainless steel direct drinking water pipe, thin wall stainless steel water supply pipe and stainless steel liquid conveying pipe, which are characterized by high corrosion resistance, impact-proof capacity, novel structure, bright appearance, safety and reliability and durability.  As the products are energy saving and environment friendly, they have been sold to more than 20 provinces, municipalities and autonomous regions of China and even to the United States and southeast Asia.

 

The business of the subject is fully supported by Hui-Huang.  History in Hong Kong is about seven years.

The subject’s business in Hong Kong is not 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.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.60.67

UK Pound

1

Rs.100.81

Euro

1

Rs.80.73

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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%)

 

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