MIRA INFORM REPORT

 

 

Report Date :

02.05.2014

 

IDENTIFICATION DETAILS

 

Name :

GOLDEN  DRAGON  HOLDING  (HONG  KONG)  INTERNATIONAL  LTD.

 

 

Registered Office :

Room 710, 7/F., New East Ocean Centre, 9 Science Museum Road, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

05.11.2007

 

 

Com. Reg. No.:

38594095

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

trader of all kinds of copper tubes

 

 

No. of Employees

06.  (Including associate)

 

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

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately 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 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

 

GOLDEN  DRAGON  HOLDING  (HONG  KONG)  INTERNATIONAL  LTD.

 

 

Company ADDRESS

 

Room 710, 7/F., New East Ocean Centre, 9 Science Museum Road, Tsimshatsui, Kowloon, Hong Kong.

 

 

MANAGEMENT

 

Managing Director:  Mr. Li Chang Jie

 

 

SUMMARY

 

Incorporated on:            5th November, 2007.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$311,844,000.00

Issued:             HK$311,844,000.00

 

Business Category:       Brass Tube Trader.

 

Group Turnover:            RMB31.8 billion Yuan  (Year ended 31-12-2012)

 

Employees:                  6.  (Including associate)

 

Main Dealing Banker:     Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.

 

Banking Relation:          Satisfactory.


Company ADDRESS

 

Registered Head Office:-

Room 710, 7/F., New East Ocean Centre, 9 Science Museum Road, Tsimshatsui, Kowloon, Hong Kong.

 

Holding Company:-

Golden Dragon Precise Copper Tube Group Inc.

191 Renmin West Road, Xinxiang City, Henan Province, China.

[Tel: 373-2682 641, 2682 665     Fax: 373-2682 182

 E-mail: jinlongrenliziyuan@163.com]

 

Associated Companies:-

GD Affiliates S. De R.L. de C.V., Mexico.

GD Affiliates Servicios S. De R.L. de C.V., Mexico.

GD Copper (USA) Inc., USA.

Hong Kong GD Trading Co. Ltd., Hong Kong.

Jiangsu Longtai Precise Copper Tube Co. Ltd., China.

Precise Copper Tube Research Center of China Science Academy, China.

Shanghai Longyang Precise Compound Copper Tube Co. Ltd., China.
[joint venture with a Japanese company]

Wuxi Golden Dragon Kawamura Precise Tub Co. Ltd., China.

Xinlong Copper Tube Factory, China.  [Located in Longkou, Shandong]

Xinxiang JInxiang Precise Copper Tubing Co. Ltd., China.
[joint venture with a Japanese company]

Xinxiang Science Instruments Research & Manufacturing Center of China Science Center, China.

Zhongke Golden Dragon Metal Materials Development Co. Ltd., China.

Zhuhai Longfeng Precise Copper Tube Co. Ltd., China.

etc.

 

 

BUSINESS REGISTRATION NUMBER

 

38594095

 

COMPANY FILE NUMBER

 

1181590

 

 

MANAGEMENT

 

Managing Director:  Mr. Li Chang Jie

 

CAPITAL

 

Nominal Share Capital: HK$311,844,000.00 (Divided into 311,844,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$311,844,000.00

 

 

SHAREHOLDER

(As per registry dated 05-11-2013)

 

Name

 

No. of shares

Golden Dragon Precise Copper Tube Group Inc

No. 191 West Renmin Road, Xinxiang City, Henan, China.

 

311,844,000

=========

 

 

DIRECTORS

(As per registry dated 05-11-2013)

 

Name

(Nationality)

 

Address

LI Jian Ping

937 Dongfang Road, Pudong New Area, Shanghai, China.

 

LI Chang Jie

No. 5, Unit 1, 252 Jiefang Road, Weibin District, Xinxiang City, Henan, China.

 

 

SECRETARY 

(As per registry dated 05-11-2013)

 

Name

Address

Co. No.

Chairisma Professionals Ltd.

13/F., Neich Tower, 128 Gloucester Road, Wanchai, Hong Kong.

0810212

 

 

HISTORY

 

The subject was incorporated on 5th November, 2007 as a private limited liability company under the Hong Kong Companies Ordinance.

 

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

 

OPERATIONS

 

Activities:                      Brass Tube Trader.

 

Lines:                           All kinds of copper tubes.

 

Employees:                  6.  (Including associate)

 

Commodities Imported: China, etc.

 

Markets:                        China, Japan, other Asian countries, Europe, etc.

 

Group Turnover:            RMB15,274,6 million Yuan  (Year ended 31-12-2009)

RMB23,256,8 million Yuan  (Year ended 31-12-2010)

RMB35,052.0 million Yuan  (Year ended 31-12-2011)

RMB31,800.0 million Yuan  (Year ended 31-12-2012)

 

Terms/Sales:                 As per contracted.

 

Terms/Buying:               Various terms.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital: HK$311,844,000.00 (Divided into 311,844,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$311,844,000.00

 

Company Net Profit:-

RMB  4.2 million Yuan  (Year ended 31-12-2011)

RMB30.0 million Yuan  (Year ended 31-12-2012) - [Estimated]

 

Group Profit Attributable to Shareholders:-

RMB123.3 million Yuan  (Year ended 31-12-2009)

RMB178.6 million Yuan  (Year ended 31-12-2010)

RMB130.8 million Yuan  (Year ended 31-12-2011)

RMB110.0 million Yuan  (Year ended 31-12-2012) - [Estimated]

 

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:                         Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.

 

Standing:                      Normal.

 

 

GENERAL

Golden Dragon Holding (Hong Kong) International Ltd. is a wholly-owned subsidiary of Golden Dragon Precise Copper Tube Group Inc. [GDGroup/Group] which is a China-based firm.

The subject is trading in all kinds of copper tubes.

The Group, an international leading enterprise in the field of precise copper tube, is a high-tech shareholding company.  Based on its technological innovation, GD Group establishes copper tube production bases in cities such as Xinxiang, Shanghai, Zhuhai, Chongqing; in countries as Mexico and the United States, with almost 30% of the global production of ACR tube, makes it the world biggest precise copper tube manufacturer and the most powerful base for technological development and innovation.

The headquarters of Golden Dragon Group, located in Xinxiang, Henan, China, covers an area of 1.06 million square meters and has set up 10 subsidiaries in Shanghai, Shandong, Wuxi, Zhuhai SEZ, etc., as well as sales companies in the United States, Japan, Europe and Hong Kong.  GD Group is equipped institutions such as Precise Copper Tube Engineering & Research Center of China Science Academy, a postdoctoral Science & Research Center, an Engineering & Research Center for New Energy Material and a Technology Center.

Currently GD Group has a yearly production capacity of 220,000 tons, including 150,000 tons grooved tubes.

As the largest precise copper tube manufacture in the world, the leading products of GD Group are smooth cooper tube with high precision, high efficient inner-grooved tube, high efficient fin tube, copper tube covered with plastic, copper alloy tube, capillary tube, tube fittings etc., covers various areas such as air conditioning and refrigeration, water supply for building, seawater desalination, oceanic industry, ship building, medical facilities, solar energy utilization, computer radiating, mobile communication, electronic instrument and electromagnetic microwave technology.

The products of the Group are exported to worldwide countries.  Business is active.

The Group intended to apply as a listed firm in Shanghai Stock Exchange in 2012.  But the application failed.  The reasons were unknown.

In 2012, the sales of the Group reached RMB32 billion Yuan, decreased by 8.5% as compared with RMB35 billion Yuan 2011.

The net profit of the subject in FY2011 was just RMB4.2 million Yuan.  However, for the year ended 31st December, 2012, the net profit of the subject amounted to RMB30.0 million Yuan.

At present, the Group has 11,000 employees.  In early 2014, the Group is still recruiting staff in its headquarters.

The subject is fully supported by the Group.

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

 

REMARKS:

 

Brief personal profile of the principal director:-

Mr. Li Chang Jie who was born in 1946, the Han nationality, is the president of Golden Dragon Precise Copper Tube Group Inc (hereafter as “GD Group”).  He is a senior engineer with as MBA degree and also is a Party member of the CPC.  Mr. Li, once had been the plant manager and secretary of the Party Committee of Xinxiang Oxygen-Free Copper Product Plant, now is the current board chairman and secretary of the Party Committee of GD Group.  Besides, he has been elected to be the representative of 10th and 11th National People’s Congress.  Owing to his special contribution to the technology of inner-grooved coiled copper tube, he was awarded “the prominent contributor to new products development and promoting”.  In 2001, with Mr. Li’s participating in framing the industrial standard of YS/T44-2001 inner-grooved tubes, GD Group won the 1st prize of S&T Progress Award of Henan Province.  In 2006, he won the Special Award of Industrial Innovation of Henan Province.  In 2009, with his participation, the program “Key Technological Research on Precise Copper Tube Four-Roller Rolling and Quadruple Cascade Drawing” won the 1st prize of S&T Progress Award of Xinxiang City.

 


MORTGAGE OR CHARGE

 

Date

Particulars

Amount

16-05-2013

Instrument:      Trade Finance Security Assignment

Property:

(a)  Assigns to the Bank to the following assets:-

(i)     the Export Credits;

(ii)    the Export Collection Bills;

(iii)   the Sales Contracts;

(iv)   the Export Invoice Receivables;

(v)    the Insurances;

(vi)   the Trade Documents; and

(vii)  all Claims, remedies and proceeds in connection with any of the foregoing.

(b)  Charge to the Bank to the following assets:-

(i)     the Goods together with their proceeds;

(ii)    the Pledged Goods,

(iii)   the Deposit; and

(iv)   to the extent and Security Assets

(c)  Pledges to the Bank the Pledged Goods and the Trade Documents

Mortgagee:      Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.

All obligations and liabilities of whatever nature of the Borrower owed to the Bank at any time

16-05-2013

Instrument:      Security over Deposit in respect of Obligations of the Depositor

Property:

By way of first fixed charge to the Chargee the account No. 861-504-112-073 and all deposits

Mortgagee:      Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.

All monies and liabilities

 


 

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

 

Report Prepared by :

NNA

 

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.