MIRA INFORM REPORT

 

 

Report Date :

02.05.2014

 

IDENTIFICATION DETAILS

 

Name :

BAF  CHINA  LTD.

 

 

Formerly Known as :

China World Technology Development Ltd.

 

 

Registered Office :

Unit F, 30/F., 8 Hart Avenue, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

04.04.2001

 

 

Com. Reg. No.:

31721849

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

·         subject is a plastic raw material trader. 

·         Subject is also engaged in plastic materials recycling

 

 

No of Employees :

06

 

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 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Hong Kong

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

 


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 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

 

BAF  CHINA  LTD.

 

 

Company ADDRESS

 

Unit F, 30/F., 8 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.

PHONE:            852-2724 8881,  2724 3138

FAX:                 852-2724 3938

E-MAIL:            hongkong@baf.com.hk

 

 

MANAGEMENT

 

Managing Director:  Mr. To Shuji

 

 

SUMMARY

 

Incorporated on:            4th April, 2001.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$338,000.00

Issued:             HK$338,000.00

 

Business Category:       Importer, Exporter and Wholesaler.

 

Employees:                  6.

 

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

           

Banking Relation:          Satisfactory.


Company ADDRESS

 

Registered Head Office:-

Unit F, 30/F., 8 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.

 

Associated Companies:-

BAF Plastics (Guangzhou) Co. Ltd.,

B-102, Fukang Xi Anvnue, Yu Shu Ind. Park, GETDD, Guangzhou, 510663 Guangdong Province, China.

[Tel: 86-20-8208-6338 (main Line)

Fax: 86-20-8208-6438     ]

BAF Trading (Guangzhou) Co. Ltd.,

13-A, Gaosheng Building, 109 Tiyu Xi Road., Tianhe District, Guangzhou, 510620 Guangdong Province, China

[Tel: 86(0)20-3878-5478 (main Line)

Fax: 86(0)20-3878-5498  ]

The BAF Inc., Japan.

 

 

BUSINESS REGISTRATION NUMBER

 

31721849

 

 

COMPANY FILE NUMBER

 

0752777

 

 

MANAGEMENT

 

Managing Director:  Mr. To Shuji

 

 

CAPITAL

 

Nominal Share Capital: HK$338,000.00 (Divided into 338,000 shares of HK$1.00 each)

Issued Share Capital:     HK$338,000.00

 

 

SHAREHOLDERS

(As per registry dated 04-04-2013)

 

Name

 

No. of shares

Shuji TO

 

196,000

Reiki TO

 

126,000

Hosoda Akiyo

 

8,000

Fukumitsu Chikako

 

8,000

 

 

–––––––

 

Total:

338,000

======

 

 

DIRECTORS

(As per registry dated 04-04-2013)

 

Name

(Nationality)

 

Address

Shuji TO

Flat B, 29/F., Tower 16, Laguna Grande, Laguan Verde, 8 Laguan Verde Avenue, Kowloon, Hong Kong.

 

Reiki TO

Flat B, 29/F., Tower 16, Laguna Grande, Laguan Verde, 8 Laguan Verde Avenue, Kowloon, Hong Kong.

 

 

SECRETARY 

(As per registry dated 04-04-2013)

 

Name

Address

Co. No.

Top-one Corporate Services Ltd.

Room 2306, 23/F., Prosper Commercial Building, 9 Yin Chong Street, Mongkok, Kowloon, Hong Kong.

0893035

 

 

HISTORY

 

The subject was incorporated on 4th April, 2001 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Originally the subject was registered under the name of China World Technology Development Ltd., name changed to the present style on 25th April, 2001.

 

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

 


OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           Plastic raw materials

 

Employees:                  6.

 

Commodities Imported: Japan, US, Europe, Asian countries, etc.

 

Markets:                        China, Asian countries, etc.

 

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

 

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

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital: HK$338,000.00 (Divided into 338,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$338,000.00

 

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:                         Hang Seng Bank Ltd., Hong Kong.

 

Standing:                      Normal.

 

 

GENERAL

 

Having issued 338,000 ordinary shares of HK$1.00 each, BAF China Ltd. is jointly owned by Shuji To, holding 58.0% interests; Mr. Reiki To, holding 37.3%; Mr. Hosoda Akiyo, 2.4%; Mrs. Fukumitsu Chikako, also 2.4%.  All the shareholders are Japanese.  The former two are also directors of the subject.  They are Hong Kong ID Card holders and have got the right to reside in Hong Kong permanently.  Currently they are residing in Hong Kong.

The subject is a plastic raw material trader.  It is also engaged in plastic materials recycling.

The subject’s Japan company is The BAF Inc. [BAF].  It also has a factory in Guangzhou known as BAF Plastics (Guangzhou) Co. Ltd. which is a China‑based company.

The subject was founded in 2001.  While working with its long-term business partners, it tackles the making of EPS, PET, PC and PMMA recycling systems in China.

According to the subject, its associate BAF has been exporting mainly recycled plastic (PET, PP and various engineering plastics but mostly PS) as raw materials to Hong Kong and Taiwan.  Large proportion of the materials is steadily supplying to its re-processors and specifications are clearly identified.  These all are of A class quality of which almost 100% recycling is possible.

BAF has invested US$1 million in 2006 at Guangzhou Foreign Economic Trade Development Zone [GETDD] and established BAF Plastics (Guangzhou) Co., Ltd.

The Guangzhou company is committed to the R&D of special engineering plastics.  It is also engaged in plastics production and marketing.  Its main products are PPS, LCP; their performance is competitive to similar foreign products and have been used by Haier, LG, Samsung, TCL and other customers.

BAF has Japan’s know-how as basis and precise-technical cooperation with several research institutions in Mainland China.  The annual production capacity of the Guangzhou company is 4,000 metric tons.  It also has got ISO9001 certification.

The subject’s products are marketed in China, exported to the other Asian countries, Europe, etc.  Overall business is active.  History in Hong Kong is over thirteen years.

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

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.34

UK Pound

1

Rs.101.45

Euro

1

Rs.83.31

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

MNL

 

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.