MIRA INFORM REPORT

 

 

Report Date :

08.05.2014

 

IDENTIFICATION DETAILS

 

Name :

CHEUNG NING CO. LTD.

 

 

Registered Office :

Room 504, 5/F., Wing On Plaza, 62 Mody Road, Tsimshatsui East, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

30.04.2003

 

 

Com. Reg. No.:

33604532-000

 

 

Legal Form :

Private Limited Company

 

 

LINE OF BUSINESS :

IMPORTER, EXPORTER AND WHOLESALER OF ALL KINDS JEWELLERY PRODUCTS

 

 

No. of Employees :

8

 

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 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 and address

 

CHEUNG NING CO. LTD.

 

 

ADDRESS:       Room 504, 5/F., Wing On Plaza, 62 Mody Road, Tsimshatsui East, Kowloon, Hong Kong.

 

PHONE:            852-3590 5998

 

FAX:                 852-3590 5997

 

 

MANAGEMENT

 

Managing Director:  Mr. Wang Ning

 

 

SUMMARY

 

Incorporated on:            30th April, 2003.

 

Organization:                 Private Limited Company.

 

Capital: Nominal:           HK$2,340,000.00

 

Issued:                         HK$2,340,000.00

 

Business Category:       Diamond Trader.

 

Employees:                  8.

 

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

 

Banking Relation:          Satisfactory.


Company name

 

CHEUNG  NING  CO.  LTD.

 

 

ADDRESS

 

Registered Head Office:-

Room 504, 5/F., Wing On Plaza, 62 Mody Road, Tsimshatsui East, Kowloon, Hong Kong.

 

Business Name:-  (BR No. 33604532-001)

Asia Diamond Exchange Centre, Hong Kong.

 

Associated Companies:-

Cheung Ning JB Co. Ltd., Hong Kong.  (Same address)

Cheung Ning Trading Co. Ltd., Hong Kong.  (Same address)

Shenzhen Cheung Ning Diamond Co. Ltd.

3/F., Cuijing Building, Tianbei 4th Road, Luohu District, Shenzhen

Special Economic Zone, China.

[Tel: 86-755-2582 7008;   Fax: 86-755-2582 7000]

Shenzhen Cheung Ning Jewellery Co. Ltd., China.

 

 

BUSINESS REGISTRATION NUMBER

 

33604532-000

 

 

COMPANY FILE NUMBER

 

0846305

 

 

MANAGEMENT

 

Managing Director:  Mr. Wang Ning

 

 

CAPITAL

 

Nominal Share Capital: HK$2,340,000.00

 

(Divided into 2,340,000 shares of HK$1.00 each)

Issued Share Capital: HK$2,340,000.00

 

 

SHAREHOLDER

 

(As per registry dated 30-04-2013)

Name

 

No. of shares

WANG Ning (Previous name: WANG Lanning)

 

2,340,000

=======

 

 

DIRECTOR

 

(As per registry dated 30-04-2013)

Name

(Nationality)

 

Address

WANG Ning
(Previous name: WANG Lanning)

27 E5, Ming Yue Wanshida Garden, Tai Ning Road, Luohu District 518020, Shenzhen, China.

 

 

SECRETARY

 

(As per registry dated 30-04-2013)

Name

Address

Co. No.

Uni-1 Corporate Services Ltd.

Room 1502, 15/F., The Chinese Building, 61-65 Des Voeux Road Central, Hong Kong.

0785985

 

 

HISTORY

 

The subject was incorporated on 30th April, 2003 as a private limited liability company under the Hong Kong Companies Ordinance.

Originally the subject was registered under the name of Cheung Fat Trading (China) Ltd., name changed to the present style on 17th October, 2003.

Formerly the subject was located at Room 607, 6/F., Yu To Sang Building, 37 Queen’s Road Central, Hong Kong, moved to Room 705, 7/F. of the same building with effect from 16th December, 2008.  It moved back to Room 607, 6/F. of the same building in October 2009.  The subject moved to the present address with effect from 8th October, 2011.

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

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

Lines:                           All kinds jewellery products.

 

Employees:                  8.

 

Commodities Imported: India, Belgium, other European countries

 

Markets:                        Japan, China, Southeast Asia, Europe, Middle East.

 

Terms/Sales:                 L/C, Advanced T/T

 

Terms/Buying:               Various terms.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital: HK$2,340,000.00 (Divided into 2,340,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$2,340,000.00

 

Mortgage or Charge      (since November 2013):  (See attachment)

 

Indebtedness:               HK$12,701,878.07  (Total amount outstanding on all mortgages and charges as per last Annual Return dated 30-04-2013)

 

Profit or Loss:               Making a small profit every year.

 

Condition:                      Keeping in an active manner.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      Met trade commitments as contracted.

 

Commercial Morality:     Satisfactory.

 

Bankers:-

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

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Bank of China (Hong Kong) Ltd., Hong Kong.

 

Standing:                      Good.

 

 

GENERAL

 

Having issued 2,340,000 ordinary shares of HK$1.00 each, Cheung Ning Co. Ltd. formerly was jointly owned by Mr. Frankie Chan Fat Kee, holding 51% interests; and Mr. Wang Ning, holding 49%.  Now, Chan has transferred all his shares to Wang.  At present, the subject is wholly-owned by Wang who is also the only director of the subject.  He is a China merchant who is also a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.

The subject’s business name is Asia Diamond Exchange Centre, Hong Kong.

The subject is a diamond and jewellery trader.  Most of its products bear the trademark “ADIAMOND”.

The subject has had an associated company Cheung Ning Trading Co. Ltd. [CNTCL] located at the same address.

The subject’s main associated company is Shenzhen Cheung Ning Diamond Co. Ltd. [Shenzhen Cheung Ning] which is a China-based firm.  At present, Shenzhen Cheung Ning has set up offices in India, Belgium, and large cities of China such as Tianjin, Dalian, Wuhan, besides the subject in Hong Kong.

CNTCL is wholly-owned by Shenzhen Cheung Ning.

Shenzhen Cheung Ning is the supplier, importer and exporter of a wide range of diamonds in a wide variety like rose cut diamonds, rose cut heart, princesses square cut, water drop cut, rose cut round, rose cut pears, rose cut oval, rose cut marquise, fancy cut and fancy colour diamonds, briollets beads, old mine cut diamonds round brilliant cut diamonds, marquise, pears, oval, heart, emeralad, etc.  Shenzhen Cheung Ning is using JGS system to sort its diamonds.  Worldwide customers can place their order online.

At present, Shenzhen Cheung Ning’s stocks worth over RMB500 million Yuan.

Shenzhen Cheung Ning has been cooperating with J. B. & Brothers of India to set up a joint venture known as Cheung Ning- J. B. & Brothers Group to develop diamond wholesaling and retailing business.  According to Shenzhen Cheung Ning, it has got a number of rough diamond suppliers in India and Europe.  Besides, the Group’s products are in conformity with the international standards of NGTC, GIA, IGI, etc.

J. B. & Brothers is specialized in 0.30 cts to 10.00 cts polish diamonds from IF to I2 clarity, D-N & all fancy colours, in all shapes like round (brilliant), marquise, princess, pears, oval, emerald, square emerald, radiant, square radiant, heart, triangle, trilliant, etc.

J. B. & Brothers have special makes like princess, square radiant, radiant, square brilliant, rectangle brilliant, etc.

J. B. & Brothers is in Bandra Kurla Complex, Bandra East, Mumbai, India.  The cooperation of the two companies are satisfactory in China.

Shenzhen Cheung Ning is a member of Shanghai Diamond Exchange [SDE].  Wang Ning is also the General Manager of Shenzhen Cheung Ning.

Shenzhen Cheung Ning has set up an office in Shanghai Diamond Exchange located at A905, 1701 Century Boulevard, Pudong New Area, Shanghai, China.

The subject also has set up an office in Beijing, China.  The Shanghai and Beijing companies are able to find ready markets in Northern and Eastern China.

In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong, China and the other foreign large cities.

J. B. & Brothers is one of the suppliers of the subject which is fully supported by Shenzhen Cheung Ning.

The subject owns premises in Hong Kong.

The business of the subject is active.  History in Hong Kong is over ten years.

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

 

 

REMARKS

 

Property information of the company:-

1.         Property Location:         Flat D on 30/F. of Tower M8, Yoho Midtown, 9 Yuen Long Street, Yuen Long, New Territories, Hong Kong.

Owner:  Cheung Ning Co. Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

26-04-2011

-

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Mortgage to secure general banking facilities

 

2.         Property Location:         Unit 4 on 5/F., Wing On Plaza, 62 Mody Road, Tsimshatsui East, Kowloon, Hong Kong.

Owner:  Cheung Ning Co. Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

01-06-2011

-

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Mortgage to secure general banking facilities

 

3.         Property Location:         Flat D, 30/F., Tower M8, Yoho Midtown, 9 Yuen Lung Street, Yuen Long, New Territories, Hong Kong.

Owner:  Cheung Ning Co. Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

26-11-2013

-

Bank of China (Hong Kong) Ltd., Hong Kong.

Mortgage to secure general banking facilities

 

4.         Property Location:         Unit No. 4, 5/F., Wing On Plaza, 62 Mody Road, Kowloon, Hong Kong.

Owner:  Cheung Ning Co. Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

26-11-2013

-

Bank of China (Hong Kong) Ltd., Hong Kong.

Mortgage to secure general banking facilities

 


MORTGAGE OR CHARGE

 

(Since November 2013)

 

Date

Particulars

Amount

26-11-2013

Instrument:        Mortgage

Property:

All Those 1,608/3,172,953 part or share of and in Yuen Long Town Lot No. 504 (Flat D, 30/F., Tower M8, Yoho Midtown, 9 Yuen Lung Street, Yuen Long, New Territories, Hong Kong.)

Mortgagee:        Bank of China (Hong Kong) Ltd., Hong Kong.

To secure all moneys in respect of general banking facilities

26-11-2013

Instrument:        Mortgage

Property:

All those 56/26,500 part or share of and in Kowloon Inland Lot No. 10586 (Unit No. 4, 5/F., Wing On Plaza, 62 Mody Road, Kowloon, Hong Kong.)

Mortgagee:        Bank of China (Hong Kong) Ltd., Hong Kong.

To secure all moneys in respect of general banking facilities

22-11-2013

Instrument:        Security Deed (Proceeds)

Property:

a)         all Proceeds, together with the right to receive, to sue for recovery and give effectual discharge for the Proceeds in the name of the Company and all claims in respect of any breach of the Contract; and

b)         all moneys from time to time standing to the credit of the Charged Account and the Company irrevocably authorises the Bank to withdraw and apply any credit balance in the Charged Account in reduction of the Secured Liabilities at any time

Mortgagee:        Bank of China (Hong Kong) Ltd., Hong Kong.

At any time all principal, interest, fees, charges, costs, expenses, damages and other moneys which are now or at any time in the future may become payable by the Company to the Bank

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.04

UK Pound

1

Rs.101.97

Euro

1

Rs.83.58

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

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.