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Report No. : |
335298 |
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Report Date : |
05.08.2015 |
IDENTIFICATION DETAILS
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Name : |
POSCO ASIA CO. LTD. |
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Registered Office : |
Room 5508, 55/F., Central Plaza, 18 Harbour Road, Wanchai |
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Country : |
Hong Kong
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Date of Incorporation : |
29.10.1985 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer and Exporter of All Kinds of Steel and Steel Materials,
Industrial Materials and Natural Resources. |
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No. of Employees : |
15 [Company Employee] 34,713 [Group Employee As at 31.12.2013] |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Hong Kong |
A1 |
A1 |
|
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 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 40.7 million
in 2013, 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 48.5% of
the firms listed on the Hong Kong Stock Exchange and accounted for about 56.9%
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. As of year-end 2014, the Democracy protests that
began in late September probably will have some adverse effects on economic
growth, particularly retail sales.
|
Source
: CIA |
POSCO ASIA CO. LTD.
ADDRESS: Room 5508, 55/F.,
Central Plaza, 18 Harbour Road, Wanchai, Hong Kong.
PHONE: 852-2827
8787, 2827 3500
FAX: 852-2827
5005, 2827 6006
MANAGEMENT:
Managing Director: Mr. Kim Woo
Poong
Incorporated on: 29th October, 1985.
Organization: Private Limited Company.
Issued Share Capital: HK$9,861,333.00
Business Category: Importers and Exporters; Transhipment Agent.
Group Revenue: KRW 61,864,650 million (Year ended 31-12-2013)
Company Employees: 15.
Group Employees: 34,713.
(As at 31-12-2013)
Main dealing bankers: Citibank
N.A., Hong Kong Branch.
Bank of America, Hong Kong Branch.
Banking Relation: Good.
POSCO ASIA CO.
LTD.
Registered Head
Office:-
Room 5508, Central Plaza, 18 Harbour Road, Wanchai, Hong Kong.
Holding Company:-
POSCO, Korea.
Associated
Companies:-
Daewoo (China) Co. Ltd., China.
Daewoo Cement (Shandong) Co. Ltd., China.
Daewoo International Corporation, Korea.
Dalian POSCO Steel Co. Ltd., China.
Dalian POSCON Dongbang Automatic Co. Ltd., China.
Deawoo Paper Manufacturing Co. Ltd., China.
Guangdong Pohang Coated Steel Co. Ltd., China.
Hong Kong POSCO E&C (China) Investment Co. Ltd., Hong Kong.
POSCO (Chongqing) Automotive Processing Center Co. Ltd., China.
POSCO (Liaoning) Automotive Processing Center Co. Ltd., China.
POSCO (Suzhou) Automotive Processing Center Co. Ltd., China.
POSCO (Wuhu) Automotive Processing Center Co. Ltd., China.
POSCO America Corporation, US.
POSCO Canada Ltd., Canada.
POSCO China Dalian Plate Processing Center Co. Ltd., China.
POSCO E&C (China) Co. Ltd., China.
POSCO E&C Co. Ltd., Korea.
POSCO Energy Co. Ltd., Korea.
POSCO Engineering Co., Korea.
POSCO ICT Co. Ltd., Korea.
POSCO ICT-China, China.
POSCO Investment Co. Ltd., Hong Kong.
POSCO Specialty Steel Co. Ltd., Korea.
POSCO-China Holding Corp., China.
POSCO-CTPC Co. Ltd., China.
POSCO-Foshan Steel Processing Center Co. Ltd., China.
POSCO-JKPC Co. Ltd., Japan.
POSCO-Mexico Co. Ltd., Mexico.
POSCO-South Asia Co. Ltd., Thailand.
POSCO-Vietnam Co. Ltd., Vietnam.
POS-Qingdao Coil Center Co. Ltd., China.
Qingdao Pohang Stainless Steel Co. Ltd., China.
Sanpu Trading Co. Ltd., China.
Suzhou POS-CORE Technology Co. Ltd., China.
Zhangjiagang BLZ Pohang International Trading Co. Ltd., China.
Zhangjiagang Pohang Stainless Steel Co. Ltd., China.
160790
Managing Director: Mr. Kim Woo
Poong
HK$9,861,333.00
(As per registry dated 29-10-2014)
|
Name |
|
No. of shares |
|
POSCO 1 Goedong-dong, Pohang-City 790-785, Gyongsangbuk-do, Korea. |
|
9,360,000 ======== |
DIRECTORS: (As per registry
dated 29-10-2014)
|
Name (Nationality) |
Address |
|
KIM Woo Poong |
Flat C, 35/F., Tower 3, The Harbourside, 1 Austin Road West, Kowloon,
Hong Kong. |
|
JEA Euncheol |
(Gwangjangdong, Hyundai Apt.) 803-1909, 508 Achasan‑ro,
Gwangjin-gu, Seoul, Korea. |
|
KWON Suk Chul |
Unit 525-603, Daxiyangxincheng Apt. Nanhunan Road, No. 10 Chaoyang
District, Beijing 100102, China. |
|
SON Kwang Joo |
1 Mullae Hillstate 107-1402, 82 Mullae-ro Yeongdeungpo-gu, Seoul,
Korea. |
SECRETARY
(As per registry dated 29-10-2014)
|
Name |
Address |
Co. No. |
|
Secreco Ltd. |
8/F., Gloucester Tower, The Landmark, 15 Queen’s Road Central,
Hong Kong. |
0139490 |
The subject was incorporated on 29th October, 1985 as a private limited
liability company under the Hongkong Companies Ordinance.
It was originally registered under the name of Puya Co. Ltd., name
changed to the present style on 14th May, 1991.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importers and Exporters; Transhipment Agent.
Lines: All kinds of steel and
steel materials, industrial materials and natural resources.
Company Employees: 15.
Group Employees: 34,713. (As at 31-12-2013)
Commodities Imported: Mainly
imported from South Korea and China.
Markets: China, South
Korea, other Asian countries, Europe, etc.
Group Revenue: KRW
47,887,255 million (Year ended
31-12-2010)
KRW 68,938,725 million (Year
ended 31-12-2011)
KRW 63,604,151 million (Year
ended 31-12-2012)
KRW 61,864,650 million (Year
ended 31-12-2013)
Terms/Sales: Various terms.
Terms/Buying: As per contracted.
MEMBERSHIP: The Hong Kong General
Chamber of Commerce, Hong Kong.
Issued Share Capital: HK$9,861,333.00
Group Profit: KRW 4,185,651
million (Year ended 31-12-2010)
KRW 3,714,286 million (Year ended
31-12-2011)
KRW 2,385,607 million (Year ended
31-12-2012)
KRW 1,355,180 million (Year ended
31-12-2013)
Profit or Loss: Business is
profitable.
Condition: Keeping in an
active and good manner.
Facilities: Making active use
of general banking facilities.
Payment: So far so good.
Commercial Morality: Very Good.
Bankers:-
Citibank N.A., Hong Kong Branch.
Bank of America, Hong Kong Branch.
Standing: Very Good.
POSCO Asia Co. Ltd. was formerly a joint venture between Pohang Iron
& Steel Co. Ltd. [PIS], a South Korea-based company holding 60% stake, and
High & Mighty Co. Ltd., a Hong Kong-registered company holding 40%. Now, the subject is a wholly-owned subsidiary
of POSCO. The full name of POSCO is
Chusik Hoesa POSCO.
Main line of business of the subject is to act as Asia regional
management and marketing arm of PIS which is the largest iron and steel mill in
South Korea. It has firmly established
their position in heavy industry in the country.
POSCO, a public-listed company in South Korea, is the world’s
second-largest steel mill. The subject
is also an iron & steel trader.
POSCO manufactures and sells a broad line of steel products, including
the following:
cold rolled products;
hot rolled products;
plates;
silicon steel sheets; &
stainless steel products;
wire rods.
The principal trading market for POSCO’s common stock is the KRX KOSPI
Market. Its common stock, which is in
registered form and has a par value of KRW 5,000 per share, has been listed on the
first section of the KRX KOSPI Market since June 1988 under the identifying
code 005490. Its common stock is also
listed on the New York Stock Exchange, the London Stock Exchange and the Tokyo
Stock Exchange in the form of ADSs.
POSCO is the largest fully integrated steel producer in Korea, and one
of the largest steel producers in the world, based on annual crude steel
production. It produced approximately
38.3 million tons of crude steel in 2013 and approximately 39.7 million tons in
2012, a substantial portion of which was produced at Pohang Works and Gwangyang
Works. As of December 31, 2013, Pohang
Works had 17.3 million tons of annual crude steel and stainless steel
production capacity, and Gwangyang Works had an annual crude steel production
capacity of 20.8 million tons. POSCO
believes Pohang Works and Gwangyang Works are two of the most technologically
advanced integrated steel facilities in the world. It manufactures and sells a diversified line
of steel products, including cold rolled and hot rolled products, stainless
steel products, plates, wire rods and silicon steel sheets, and it is able to
meet a broad range of customer needs from manufacturing industries that consume
steel, including automotive, shipbuilding, home appliance, engineering and
machinery industries.
POSCO sells primarily to the Korean market. Domestic sales accounted for 48.8% of its
total revenue from steel products produced and sold by it in 2013 and 52.0% in
2012. On a nonconsolidated basis, it
believes that it had an overall market share of approximately 43% of the total
sales volume of steel products sold in Korea in 2013 and approximately 42% in
2012. Its export sales and overseas
sales to customers abroad accounted for 51.2% of its total revenue from steel
products produced and sold by it in 2013 and 48.0% in 2012. Its major export market is Asia, with China
accounting for 30.2%, Asia other than China and Japan accounting for 27.7%, and
Japan accounting for 12.5% of its total steel export revenue from steel products
produced and exported by it in 2013 and Asia other than China and Japan
accounting for 26.7%, China 28.9% and Japan 14.1% of its total steel export
revenue from steel products produced and exported by it in 2012.
POSCO is also engaged in businesses that complement its steel
manufacturing operations as well as carefully seek out promising investment
opportunities to diversify its businesses, in part to prepare for the eventual
maturation of the Korean steel market.
POSCO E&C, its consolidated subsidiary in which it holds an 89.5%
interest, is one of the leading engineering and construction companies in Korea
that primarily engaged in the planning, design and construction of industrial
plants and architectural works and civil engineering. Daewoo International, its
consolidated subsidiary in which it holds a 60.3% interest, is a global trading
company that primarily engaged in trading of steel and raw materials as well as
investing in energy and mineral development projects throughout the world. POSCO Energy Corporation, its wholly-owned
consolidated subsidiary in which it holds an 89.0% interest, is the largest
private power generation company in Korea.
For the year ended 31st December, 2013, the revenue of POSCO amounted to
KRW 61,864,650 million (2012: KRW 63,604,151 million); profit for the year was
1,355,180 KRW million (2011: KRW 2,385,607 million).
As at late 2013, POSCO had 34,713 employees.
The subject is fully supported by POSCO.
History in Hong Kong is over 29 years.
Business is active.
On the whole, in view of the parentage and lines of business of the
subject, consider it good for normal business engagements.
Property information of the company:-
|
Property
Location |
Owner |
Date of Purchase |
Purchased |
|
Block 7 (No. 28 Belleview Drive) on 8/F. and Car Port Space
No. 182, Repulse Bay Garden, 18‑40 Belleview Drive,
Hong Kong. |
Puya Co. Ltd. [Now known
as Posco Asia Co. Ltd.] |
25-09-89 |
HK$ 3,600,000 |
|
Flat E2 on 14/F. of Block E and Car Parking Space No. 24 on the Car
Park Level 2, Beverly Hill, No. 6 Broadwood Road, Hong Kong. |
Puya Co. Ltd. [Now known
as Posco Asia Co. Ltd.] |
18-01-91 |
HK$ 3,230,000 |
(No mortgage record registered against the property)
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.93 |
|
|
1 |
Rs.99.82 |
|
Euro |
1 |
Rs.70.05 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
TPT |
RATING EXPLANATIONS
|
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 |
|
|
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 |
|
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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.