MIRA INFORM REPORT

 

 

Report Date :

23.08.2014

 

IDENTIFICATION DETAILS

 

Name :

WOGEN PACIFIC LTD.

 

 

Registered Office :

Room 2808, 28/F., China Resources Building, 26 Harbour Road, Wanchai

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

21.06.1996

 

 

Com. Reg. No.:

19978478

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Importer, Exporter and Wholesaler of Ferrous metal, non-ferrous metal

 

 

No. of Employees :

6

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Hong Kong

A1

A1

 

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 & address

           

WOGEN PACIFIC LTD.

 

ADDRESS:       Room 2808, 28/F., China Resources Building, 26 Harbour Road, Wanchai, Hong Kong.

 

PHONE:            852-2827 1712

 

FAX:                 852-2827 0422

 

E-MAIL:            traders@wogen.com

 

 

MANAGEMENT

 

Managing Director:  Mr. Marshall Henry Byres

 

 

SUMMARY

 

Incorporated on:             21st June, 1996.

 

Organization:                 Limited Company

 

Capital: Nominal:           HK$500,000.00

 

Issued:                          HK$500,000.00

 

Business Category:        Importer, Exporter and Wholesaler.

 

Employees:                   6.

 

Main Dealing Banker:     BNP Paribas S. A., Hong Kong.

 

Banking Relation:           Good.


Company name

 

WOGEN  PACIFIC  LTD.

 

 

ADDRESS

 

Registered Head Office:-

Room 2808, 28/F., China Resources Building, 26 Harbour Road, Wanchai, Hong Kong.

 

Holding Company:-

Wogen Group Ltd., UK.

 

Ultimate Holding Company:-

Sanctuary Partners Ltd., UK.

 

Associated Companies:-

Wogen do Brasil Participacoes e Representacoes Ltda., Brazil.

Wogen Metal Commercial (Shanghai) Ltd., China.

Wogen Metals LLC, Russia.

Wogen Mining Industry & Trade Ltd., Turkey.

Wogen Resources Ltd., UK.

Wogen Resources South Africa (Pty.) Ltd., South Africa.

Wogen Titanium Ltd., UK.

 

 

BUSINESS REGISTRATION NUMBER 

 

19978478

 

 

COMPANY FILE NUMBER

 

0553748

 

 

MANAGEMENT

 

Managing Director:         Mr. Marshall Henry Byres

Contact Person:             Ms. Li Sau Mui

 


CAPITAL

 

Nominal Share Capital: HK$500,000.00

 

(Divided into 5,000 shares of HK$100.00 each)

 

Issued Share Capital: HK$500,000.00

 

 

SHAREHOLDER  

 

(As per registry dated 21-06-2013)

Name

 

No. of shares

Wogen Group Ltd.

4 The Sanctuary, Westminster, London SW1P 3JS, UK.

 

5,000

====

 

 

DIRECTORS

 

(As per registry dated 21-06-2013)

Name

(Nationality)

 

Address

Marshall Henry BYRES

Flat A, 2/F., Hatton House, 15 Kotewall Road, Mid Levels, Hong Kong.

 

Neil POULTER

11 Knox Close, Church Crookham, Fleet, Hampshire, GU52 6TR, UK.

 

Damian Alexander BROUSSE

Bridgefoot, Stedham, Midhurst, West Sussex GU29 OPT, UK.

 

LI Sau Mui

Flat B, 12/F., Hing On Mansion, On Shing Terrace, Taikoo Shing, Hong Kong.

 

Ross Jay SABBERTON

Flat B, 3/F., Block 5, Pacific View, 38 Tai Tam Road, Hong Kong.

 

Alexander Ackerl WILLIAMS

22/F., Wing Way Court, 31 Kennedy Road, Hong Kong.

 

 

SECRETARY

 

(As per registry dated 21-06-2013)

Name

Address

Co. No.

KT First Secretary Ltd.

Room 2702-2703, 27/F., Bank of East Asia Harbour View Centre, 56 Gloucester Road, Wan Chai, Hong Kong.

0681483

 

 

HISTORY

 

The subject was incorporated on 21st June, 1996 as a private limited liability company under the Hong Kong Companies Ordinance.

Originally the subject was registered under the name of Veritas Resources Ltd., name changed to the present style on 1st October, 1996.

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

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           Ferrous metal, non-ferrous metal

 

Employees:                   6.

 

Commodities Imported:   Russia, India, South America, China

 

Markets:                       UK, other European countries.

 

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

 

Terms/Buying:               L/C, T/T, D/P

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$500,000.00

 

(Divided into 5,000 shares of HK$100.00 each)

 

Issued Share Capital:     HK$500,000.00

 

Mortgage or Charge:       (See attachment)

 

Profit or Loss:                Making a small profit every year.

 

Condition:                      Keeping in a normal manner.

 

Facilities:                      Making rather active use of general banking facilities.

 

Payment:                      Met trade commitments as required.

 

Commercial Morality:     Satisfactory.

 

Bankers:-

BNP Paribas S.A., Hong Kong Branch.

BNP Paribas S.A., France.

 

Standing:                      Normal.

 

 

GENERAL

 

Wogen Pacific Ltd. is a wholly-owned subsidiary of Wogen Group Ltd. [Wogen/Wogen Group] which is a UK-based company.  The ultimate holding company Sanctuary Partners Ltd. [Sanctuary Partners] is also a UK-based firm.

The subject is trading in all kinds of ferrous and non-ferrous metals.

The subject has been one of the key members of the Wogen Group.

Since the early 1970’s Wogen has conducted its business through Wogen Resources Ltd. (based in London) and the subject.  In the mid 2000’s Wogen set up a Chinese wholly-owned subsidiary (called Wogen Metal Commercial Shanghai) which carries out domestic trade inside China in RMB.  In 2009, Wogen Resources South Africa Ltd. was incorporated as a trading company in order to purchase raw materials from the region.  In December 2011, Wogen’s Russian domestic trading company “Wogen Metals LLC” was incorporated, advantageously equipped to buy and sell in local currency.

During the commodities boom of the 2000’s Wogen listed on the AIM market in London in 2005.  Due to the difficult market conditions and illiquidity in the trading in the company’s shares, 4 years later the management team (under the title Sanctuary Partners) completed a buy-out which now sees the company once again wholly owned by its employees.  The buy-out was completed in 2009.

Damian Brousse has taken over the helm as Managing Director of Sanctuary Partners and Wogen Resources Ltd.  Ross Sabberton has relocated to Hong Kong as Managing Director of the Group’s Asian businesses and has now been joined by Alex Williams.  Since 2010, the Group has opened offices in the Ukraine, Turkey and Vietnam.

Whilst Wogen Resources and the subject are the flagship trading companies, the ultimate holding company and supervisory board is Sanctuary Partners with Tony Shearer as non-exec Director and its Founder Colin Williams, non‑Exec-Chairman.

The Wogen Group employs more than 60 people worldwide; at its head office in London and in several other cities, namely Beijing, Shanghai, Guangzhou, Hong Kong, Moscow, Zaporozhye, Rio De Janeiro, Madrid, Düsseldorf and Johannesburg.

The subject is trading in the same products as the Group.  Wogen has grown into one of the most diversified suppliers of high-value raw materials to the non-ferrous industry worldwide; be it for steel applications, aerospace, electronics, foundries, pigments or the alloying industry.

It is supplying Cobalt, Chrome, Titanium, Tantalum, Molybdenum and Niobium to the aerospace and super alloy industry.  It also supplies Ferro Chrome, Ferro Molybdenum, Ferro Titanium, Ferro Tungsten, and Ferro Vanadium to many of the world’s largest steel companies.

In recent years Wogen has been developing its focus on sourcing Chrome Ores and Concentrates, Manganese Ores and other bulk materials for the metallurgical industry of China.

The subject’s business is chiefly handled by Ms. Li Sau Mui who is one of the directors of the subject.

As the history of the subject is over 17 years in Hong Kong, on the whole, consider it good for normal business engagements.

 

 

MORTGAGE OR CHARGE

 

Date

Particulars

Amount

07-12-2011

Instrument:        Account Pledge Agreement

Property:

Pledged Accounts

Each of the accounts in Schedule 1 of the Agreement, being accounts No. 34348U & 34353K with the account bank BNP Paribas.

Pledged Assets

The credit balance, of the pledge accounts on the date on which it exercised its rights under Clause 6 of the Agreement after taking account of debits and credit previously initiated by not yet completed. Each amount credited to the pledged accounts shall automatically form part of the Pledged Assets

Mortgagee:        BNP Paribas S.A.
16 rue de Hanovre, 75002 Paris, France.

The liabilities of the Obligors to the Finance Parties under a facility agreement relating to a secured uncommitted borrowing base facility of $100,000,000 with an accordion feature to increase the facility to up to $150,000,000 dated 7th December 2011 and made among, inter alia, (1)Wogen group Ltd., Wogen Pacific Ltd., Wogen Resources Ltd. and Wogen Resources South Africa (Proprietary) Ltd. as original borrowers. (2) Sanctuary Partners Ltd. as original guarantor. (3) BNP Paribas S.A., DBS Bank Ltd., London Branch, ING Belgium, Brussels, Geneva branch and Standard Chartered Bank as original lenders and (4) The Security Agent

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.43

UK Pound

1

Rs.100.23

Euro

1

Rs.80.35

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIS

 

 

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.