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Report Date : |
04.09.2014 |
IDENTIFICATION DETAILS
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Name : |
KGK JEWELLERY MANUFACTURING LTD. |
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Registered Office : |
18/F., |
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Country : |
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Date of Incorporation : |
22.09.2000 |
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Com. Reg. No.: |
31272329 |
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Legal Form : |
Private Limited Company |
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LINE OF BUSINESS : |
MANUFACTURER
AND EXPORTER AND ALL KINDS OF GOLD AND PLATINUM JEWELLERY, GOLD AND SILVER
JEWELLERY, DIAMOND GOLD JEWELLERY, COLOURED GEMSTONES, GEMSET GOLD JEWELLERY,
GEMSET PLATINUM JEWELLERY (INCLUDING BRACELET, BROOCH, EARRING, NECKLACE,
PENDANT, RING, AND OTHERS). |
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No of Employees : |
30 (Including associates in Hong Kong) |
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 – June 01, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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Hong Kong |
A1 |
A1 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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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.
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Source
: CIA |
KGK JEWELLERY MANUFACTURING LTD.
ADDRESS: 18/F., Peninsula Square, 18
Sung On Street, Hunghom, Kowloon, Hong Kong.
PHONE: 852-2723 9828, 2733
0700, 2733 2222
FAX: 852-2739 7584,
2723 8055
E-MAIL: kgk.hk@kgkmail.com
kgkhk@kgkgroup.com
edhk@kgkgroup.com
Managing Director: Mr. Sanjay
Navrattan Kothari
Incorporated on: 22nd September, 2000.
Organization: Private Limited Company.
Paid Up Capital: HK$117,000,000.00
Business Category: Jewellery
Manufacturer and Trader.
Employees: 30. (Including associates in Hong Kong)
Main Dealing Banker: The Royal
Bank of Scotland N.V., Hong Kong Branch.
Banking Relation: Satisfactory.
KGK JEWELLERY
MANUFACTURING LTD.
Registered Head Office & Workshop:-
18/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon,
Hong Kong.
China Factory:-
KGK Jewellery Manufacturing Ltd.
Panyu, Guangdong Province, China.
[Tel: (86-20) 3480 6744, 3999
0700
Fax: (86-20) 3480 6749, 3480
6759
E-mail: jewchina@kgkgroup.com
entice@kgkmail.com]
Holding Company:-
United Pacific Excel Ltd., British Virgin Islands.
Associated/Affiliated Companies:-
KGK Group of Companies
DDK LLC, Russia.
Far East Gems Inc., Japan.
K Jewels (Pty) Ltd., South Africa.
K.G.K. Diamonds B.V.B.A., Belgium.
KGK China Holdings (HK) Ltd., Hong Kong.
KGK Creation Guangzhou Ltd., China.
KGK Creations (India) Pvt. Ltd., India.
KGK Creations Pvt. Ltd., India.
KGK Diamond Israel Ltd., Israel.
KGK Diamonds & Jewellery DMCC, UAE.
KGK Diamonds & Jewellery LLC, UAE.
KGK Diamonds (Far East) Inc., Japan.
KGK Diamonds (India) Pvt. Ltd., India.
KGK Diamonds (Shanghai) Ltd., China.
KGK Diamonds (SZ) Co. Ltd., China.
KGK Diamonds (Taiwan) Ltd., Taiwan.
KGK Diamonds Co. Ltd., Thailand.
KGK Diamonds LLC, USA.
KGK Diamonds (HK) Ltd., Hong Kong.
KGK Enterprises, India.
KGK Entice Jewellery (Shenzhen) Ltd., China.
KGK Gems (Far East) Ltd., Hong Kong.
KGK Gems (HK) Ltd., Hong Kong.
KGK Gems Ltd., Thailand.
KGK Gems, India.
KGK Investment USA (HK) Ltd., Hong Kong.
KGK Jewellery (China) Ltd., Hong Kong.
KGK Jewellery (HK) Ltd., Hong Kong.
KGK Jewellery Inc., Japan.
KGK Jewellery Inc., USA.
KGK Jewellery LLC, USA.
KGK Jewelry Inc., China.
KGK Jewelry Manufacturing Ltd., Japan.
KGK Jewelry Pvt. Ltd., India.
KGK Jewels (Pty) Ltd., South Africa.
KGK Mining (HK) Ltd., Hong Kong.
KGK Precious (HK) Ltd., Hong Kong.
KGK Properties (HK) Ltd., Hong Kong.
KGK Real Estate (HK) Ltd., Hong Kong.
KGK Resources (HK) Ltd., Hong Kong.
KGK Retail Holdings (HK) Ltd., Hong Kong.
M.B.K. Diamonds GmbH, Germany.
Precious Trade Inc., USA.
S. D. Diamond LLC, Russia.
Star Rough Diamonds (Pty) Ltd., South Africa.
etc.
31272329
0732323
Managing Director: Mr. Sanjay
Navrattan Kothari
HK$117,000,000.00
(As per registry dated 18-03-2014)
|
Name |
|
No. of shares |
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United Pacific Excel Ltd. 263 Main Street, P.O. Box 2196, Road Town, Tortola, British Virgin
Islands. |
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115,720,000 |
|
Sanjay Navrattan KOTHARI |
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652,800 |
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Manju KOTHARI |
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627,200 |
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–––––––––– |
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Total: |
117,000,000 ========= |
(As per registry dated 22-09-2013)
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Name (Nationality) |
Address |
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Sanjay Navrattan KOTHARI |
House A, 8623 Tai Po Road, Shatin, New Territories, Hong Kong. |
(As per registry dated 22-09-2013)
|
Name |
Address |
Co. No. |
|
Louis Lai & Luk Company Secretarial Services Ltd. |
9/F., Surson Commercial Building, 140-142 Austin Road, Tsimshatsui,
Kowloon, Hong Kong. |
0686503 |
The subject was incorporated on 22nd September, 2000 as a private limited
liability company under the Hong Kong Companies Ordinance.
Formerly the subject was located at 14/F., Chevalier House, 45-51
Chatham Road South, Tsimshatsui, Kowloon, Hong Kong, moved to the present
address in March 2014.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Manufacturer
and Exporter.
Lines: All kinds of gold and
platinum jewellery, gold and silver jewellery, diamond gold jewellery, coloured
gemstones, gemset gold jewellery, gemset platinum jewellery (including
bracelet, brooch, earring, necklace, pendant, ring, and others).
Employees: 30. (Including associates in Hong Kong)
Commodities Imported: Sourced
from India, Belgium, UK, etc.
Markets: Japan,
USA, UAE, Korea, Australia, Middle East, South Africa, Russia, India, etc.
Terms/Sales: L/C or as per contracted.
Terms/Buying: L/C, T/T, D/P, etc.
The Indian Chamber of Commerce Hong Kong, Hong Kong.
The Italian Chamber of Commerce in Hong Kong and Macao, Hong Kong.
The Hong Kong General Chamber of Commerce, Hong Kong.
[Membership No. HKK0449]
Paid Up Capital: HK$117,000,000.00
Mortgage or Charge: (See attachment)
Profit or Loss: Making
a small profit every year.
Condition: Keeping in an active and
satisfactory manner.
Facilities: Making active use of general
banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
The Royal Bank of Scotland N.V., Hong Kong Branch.
ICICI Bank Ltd., Hong Kong Branch.
Antwerpse DiamantBank NV (also known as Antwerp Diamond Bank NV),
Hong Kong Branch.
Standing: Good.
KGK Jewellery Manufacturing Ltd. is a subsidiary of United Pacific Excel
Ltd. which is a BVI-registered firm.
In January 2010, the subject increased its issued share capital from
HK$40,280,000.00 to HK$59,780,000.00.
Now, its issued share capital has been increased further to
HK$117,000,000.00. United Pacific Excel
Ltd. is holding 98.9% of the subject’s interests.
The subject is in fact a member of the KGK Group. The KGK Group is a global corporation based
in India with fully integrated operations in diamonds, coloured gemstones and
jewellery. From procurement to
manufacturing and from marketing to retailing, KGK is present across the full
value chain of the industry with offices throughout the world.
The KGK Group was founded in 1905, when Mr. Shri Keshrimalji Kothari
started trading in coloured gemstones simultaneously from India and Burma. Assisted by his son Mr. Shri Ghisilalji
Kothari, the business of the Group has expanded from Jaipur to Chennai, and
then to Hong Kong. By the 1970’s, the
Group had been under new leadership and the business diversified into diamonds
and to new global locations such as the United States, Thailand and Japan. Now, it has set up offices in ten countries
of the world.
Apart from trading, the Group has expanded its interests to
manufacturing and has set up manufacturing units in India, China, Hong Kong,
South Africa and Russia. In 1997, the
Group became a DTC Sight holder for India.
It continued its expansion in global markets as offices were opened in
the United Arab Emirates, Germany, Spain, and London. Besides, the foray into retail marketing were
also initiated. It also has got the ISO
9001 certification.
KGK Group is headed by Mr. Navrattan Kothari who is the Group
Chairman. Each division of the Group is
headed by senior members of the Kothari family who have had wide range of
experiences in the industry.
The subject was set up in Hong Kong as one of its manufacturing
arms. It is responsible for the
manufacturing and export of gemset jewellery and diamond jewellery and aiming
at the markets of Japan, the Middle East and North America.
In Hong Kong, KGK makes high-end jewellery in round and various fancy
shapes set in gold and platinum. It also
operates a China factory located at Panyu, Guangdong Province, China
specialised in manufacturing diamond jewellery, magnetics and reversibles.
KGK brand “Entice” has been successfully established under KGK Jewellery
(HK) Ltd.
KGK’s Jewellery marketing efforts is through participation of
international exhibitions like Basel, JCK, Dubai as well as local Hong Kong
Exhibitions in March and September in the Grand Hall of the Hong Kong
Convention and Exhibition Centre.
The subject’s business is active.
Annual sales turnover is rather significant. History in Hong Kong is about fourteen years.
On the whole, consider the subject good for normal business engagements.
Court Cases: None as per our.
Property information of director and affiliate:-
1. Property Location: 8/F., Robinson Garden Apartments, 3B
Robinson Road, Hong Kong.
Owner: Sanjay Navrattan Kothari
Date of Purchase: 25-05-1988
Purchased Price: HK$1,700,000 pt.
Incumbrances:-
|
Date of Mortgage |
Amount Consideration |
Mortgagee |
Nature |
|
23-01-1996 |
- |
Belgian Bank, Hong Kong Branch.
[Business was taken over by Industrial & Commercial Bank of China (Asia)
Ltd.] |
Legal charge to secure banking facilities |
|
16-09-2003 |
- |
Fortis Bank Asia HK, Hong Kong Branch. [Name changed to Belgian Bank but the
business was taken over by Industrial & Commercial Bank of China (Asia)
Ltd.] |
Deed of variation of M/N 6509498 and legal further charge |
2. Property Location: Flat 8 on 14/F. and Flat I on 18/F.,
Star Mansion, 3 Minden Row, Kowloon, Hong Kong.
Owner: KGK Diamonds (HK) Ltd.
Date of Purchase: n.a.
Purchased Price: n.a.
Incumbrances:-
|
Date of Mortgage |
Amount Consideration |
Mortgagee |
Nature |
|
23-05-2008 |
- |
ABN AMRO Bank N.V., Hong Kong Branch. [Now known as The Royal Bank of Scotland
N.V.] |
Mortgage to secure general banking facilities granted to KGK Diamonds
(HK) Ltd. and KGK Jewellery Manufacturing Ltd. |
|
Date |
Particulars |
Amount |
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06-11-2007 |
Instrument: Debenture Property: (A) the property, assets,
rights and other things charged, assigned or otherwise secured in favour of the
Bank pursuant to the Deed (B) by way of a floating
charge all shares, stock, bonds, debentures, certificates of deposit,
promissory notes, warrants, futures, options, funds, units, notes and other
securities (C) by way of floating
charge all book debts and other debts now and in the future owing to the
Customer and the proceeds of payment or realisation of each of them until the
payment of such proceeds into the account(s) of the Customer maintained from
time to time with the Bank (D) By way of floating
charge all negotiable instruments at any time drawn (E) By way of floating
charge all funds standing to the credit of the Customer from time to time on
any account (F) By way of floating
charge all choses in action and claims now and in the future belonging to the
Customer Mortgagee: ICICI Bank
Ltd., Hong Kong Branch. |
All monies |
|
22-05-2008 |
Instrument: Debenture Property: All the Company’s undertaking and property and assets whatsoever and wheresoever
both present and future including all book and other debts revenues and
claims both present and future due or owing or which may become due or owing
to the Company, all its uncalled capital, goodwill and all patents, patent
applications, trade marks, trade names, registered designs and copyrights and
all licences and ancillary and connected rights relating to the intangible
property both present and future of the Company Mortgagee: ABN AMRO Bank
N.V., Hong Kong Branch. |
General banking facilities |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.60.54 |
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UK Pound |
1 |
Rs.99.73 |
|
Euro |
1 |
Rs.79.54 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
SMN |
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 |
-- |
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.