MIRA INFORM REPORT
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Report Date : |
25.01.2014 |
IDENTIFICATION DETAILS
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Name : |
LICHENG MACHINERY ( |
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Registered Office : |
Room 1114-1115, 11/F., Star House, |
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Country : |
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Date of Incorporation : |
15.07.2002 |
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Com. Reg. No.: |
32850120-000-07 |
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Legal Form : |
Sole Proprietorship |
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Line of Business : |
Subject is a shoe manufacturing equipment trader |
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No. of Employees : |
2 (Including associates) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No complaints |
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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 – September 30, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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Hong Kong |
A2 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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.
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Source
: CIA |
LICHENG MACHINERY (HONG
KONG) TRADING COMPANY
ADDRESS: Room 1114-1115, 11/F., Star
House, 3 Salisbury Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-9069 2913
FAX: Not Available
Manager: Mr. Ye Xiaolin
Establishment: 15th July, 2002.
Organization: Sole Proprietorship.
Capital: Not Disclosed
Business Category: Machinery
Trader.
Employees: 2 (Including associates)
Main Dealing Banker: Chiyu
Banking Corporation Ltd., Hong Kong.
Banking Relation: Satisfactory.
LICHENG MACHINERY
(HONG KONG) TRADING COMPANY
Head Office:-
Room 1114-1115, 11/F., Star House, 3 Salisbury Road, Tsimshatsui,
Kowloon, Hong Kong.
Associated
Companies:-
Shenzhen Licheng Shoes-Making Machinery Co. Ltd., China.
Shenzhen Quan Licheng Machinery Manufacturing Co. Ltd.
142 Longsheng Road, Chishigang Village, Longdong Society District,
Longgang Jiedao, Longgang, 518116 Shenzhen, China.
[Tel: 86-755-2846 6733,
Fax: 86-755-2846 3462
E-mail: quanlicheng@shoes.cn
licheng@licheng.com.cn
32850120-000-07
Manager: Mr. Ye Xiaolin
Name: Mr. YE Xiaolin
Residential
Address: Room 408, 4/F., Chung Tai
House, Fu Tai Estate, Tuen Mun, New Territories, Hong Kong.
The subject was established on 15th July, 2002 as a sole proprietorship
concern owned by Mr. Ye Xiaolin under the Hong Kong Business Registration
Regulations.
At the very beginning, the subject was located at “Room 408, 4/F., Cheung
Tai House, Fu Tai Estate, Tuen Mun, New Territories, Hong Kong”, moved to “Room
1305-1306, 13/F., Ginza Plaza, 2 Sai Yeung Choi Street, Mong Kok, Kowloon, Hong
Kong” in December 2004, to ‘”lat 2205-2206, 22/F., Pioneer Centre, 750 Nathan
Road, Mong Kok, Kowloon, Hong Kong” in August 2008, and further to the present
address in April 2013.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Machinery
Trader.
Lines: All
kinds of machinery & equipment for shoes manufacturing.
Brand Name: Licheng.
Employees: 2 (Including associates)
Commodities Imported: China
Markets: China,
other Asian countries,
Terms/Sales: As per contracted.
Terms/Buying: L/C, T/T
Capital: Not
Disclosed
Profit or Loss: Making
a small profit every year.
Condition: Keeping in a satisfactory
manner.
Facilities: Making rather active use of
general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Banker: Chiyu Banking Corporation Ltd., Hong Kong.
Standing: Small.
Licheng Machinery (Hong Kong) Trading Company is a sole proprietorship
set up and owned by Mr. Ye Xiaolin who is a China merchant. He is also manager of the subject.
We can reach Mr. Ye Xiaolin at your given Hong Kong mobile phone number
852-9069 2913.
According to Ye, his Hong Kong office is using the office of his
friend’s company located at Star House, 3 Salisbury Road, Tsimshatsui, Kowloon,
Hong Kong.
The subject is a shoe manufacturing equipment trader. It has had the following two associated
companies in Shenzhen Special Economic Zone, China:
·
Shenzhen Licheng Shoes-Making Machinery Co. Ltd.
[Licheng];
·
Shenzhen Quan Licheng Machinery Manufacturing Co.
Ltd. [Quan Licheng]
Both of the companies are located at the same address in Shenzhen SEZ,
China. Set up in 1993, Licheng is
engaged in manufacturing all kinds of shoe manufacturing machinery and
equipment. Ye Xiaolin is also the owner
of Licheng. All the products of Licheng
have got the ISO 9000/2000 and CE certification. According to the subject, it is trading in
the following products:
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Activate shoes dryer series;
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Freezer series;
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Hot shaped-machine series;
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Shoes level off series;
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Shoes nailing series;
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Shoes quick shaper series; &
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Steaming series.
All the products bear the brand name Licheng. According to Ye, his China factory has 80
employees.
The subject is responsible for shipping the products to its foreign
customers while its customers make their payment on L/C terms. The subject has been banking with Chiyu
Banking Corporation Ltd., Hong Kong.
The China factories are operated by Ye and his family.
The history of the subject in Hong Kong is over eleven years.
On the whole, consider it good for normal business engagements in small
credit amounts.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.62.18 |
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1 |
Rs.103.38 |
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Euro |
1 |
Rs.85.09 |
INFORMATION DETAILS
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Report Prepared
by : |
NNA |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation
is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.