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Report No. : |
306631 |
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Report Date : |
06.02.2015 |
IDENTIFICATION DETAILS
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Name : |
SUNDIAM (HK) LTD. |
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Registered Office : |
Room 608, 6/F., Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon |
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Country : |
Hong Kong |
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Date of Incorporation : |
06.12.2005 |
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Com. Reg. No.: |
36268767 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter and Wholesaler of All kinds of diamonds and jewellery products, emerald, precious stones |
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No of Employees : |
3. (Including associates) |
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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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 |
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 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 |
SUNDIAM
(HK) LTD.
ADDRESS: Room 608, 6/F., Hart Avenue Plaza,
5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2367 3858, 2369 3266
FAX: 852-2369 3556, 2375 7406
Managing
Director: Mr. Parinkumar Dipak Shah
Incorporated
on: 6th
December, 2005.
Organization: Private
Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$10,000.00
Business
Category: Diamond
Trader.
Employees: 3. (Including associates)
Main Dealing
Banker: The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
SUNDIAM (HK)
LTD.
Registered Head Office:-
Room 608, 6/F.,
Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.
Affiliated/Associated
Companies:-
GTI Jewellery Pvt. Ltd., India.
Kirtilal M Shah, India.
Star Light, Hong Kong. [Business
Ceased]
Sundiam DMCC, UAE.
Sundiam Inc., USA.
Sundiam, Hong Kong. (Same
address)
Sunraj Gems b.v.b.a., Belgium.
36268767
1012052
Managing Director: Mr. Parinkumar
Dipak Shah
Contact Person: Mr. Keyurkumar
Dhirajlal Patva
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$10,000.00
(As per registry dated 06-12-2013)
|
Name |
|
No. of shares |
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Parinkumar
Dipak SHAH |
|
9,500 |
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Keyurkumar Dhirajlal PATVA |
|
500 |
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|
–––––– |
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Total: |
10,000 ===== |
(As per registry
dated 06-12-2013)
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Name (Nationality) |
Address |
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Parinkumar Dipak
SHAH |
402, A1 Bushra Building, Opp. Silver Sands
3, Near Ramada Hotel, Bur Dubai, UAE. |
(As per registry
dated 01-04-2014)
|
Name |
Address |
Co. No. |
|
Vigor
Corporate Services Ltd. |
Unit 1505, 15/F., 9 Wing Hong Street, Lai Chi Kok, Kowloon, Hong Kong. |
1413726 |
The subject was incorporated on 6th December, 2005 as a private limited
liability company under the Hong Kong Companies Ordinance.
Initially the subject was located at Flat F, 4/F., South Sea Apartments,
81 Chatham Road, Tsimshatsui, Kowloon, Hong Kong, moved to Room 701, 7/F.,
Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong in
January 2009 and further to Room 608, 6/F. of the same building with effect
from 15th February, 2013.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All
kinds of diamonds and jewellery products, emerald, precious stones, etc.
Employees: 3. (Including associates)
Commodities Imported: India,
Belgium, other European countries, etc.
Markets: Asian
countries, Europe, Middle East, etc.
Terms/Sales: L/C,
T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$10,000.00
(Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$10,000.00
Profit or Loss: Operation
is conducted on a profitable basis.
Condition: Business remains
active.
Facilities: Is making use of
general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Banker: The Hongkong & Shanghai
Banking Corp. Ltd., Hong Kong.
Standing: Normal.
Having issued 10,000 ordinary shares of HK$1.00 each, Sundiam (HK) Ltd.
formerly was jointly owned by three Indian, namely, Mr. Jayantilal Manilal
Shah, holding 63% interests; Mr. Parinkumar Dipak Shah, holding 32%; and
Mr. Keyurkumar Dhirajlal Patva, 5%. On 30th January, 2009, Jayantilal
Manilal Shah transferred all his shares to Parinkumar Dipak Shah, since then,
Parinkumar Dipak Shah has been holding 95% of the subject’s interests while
Keyurkumar Dhirajlal Patva, still holding 5%.
P D Shah is a Hong Kong ID holder and has got the right to reside in
Hong Kong permanently. He is also
the only director of the subject.
The subject is a diamond importer, exporter and wholesaler. It is trading in the following products: loose
diamonds, carat-size diamonds, fancy diamonds, etc.
The subject has had associated companies in India, the United Arab
Emirates, Belgium, the United States, etc.
Collectively, these firms and the subject are known as the Sundiam
Group.
Parinkumar Dipak Shah is administering the Group’s associated company in
Dubai, the United Arab Emirates.
Besides, the subject has got an affiliated company located at the same
operating address known as Sundiam, also a Hong Kong-registered firm.
Sundiam Group belongs to the KM Shah Group which is also a diamond
trader. KM Shah Group was founded in
1960.
The KM Shah Group has set up offices in most of the major trading and
consumer markets such as New York, Antwerp, Chicago, Mumbai and diamond
manufacturing centres at Surat and Navsari of India. KM Shah Group set up its international
headquarters in Antwerp, Belgium in 1973.
The KM Shah Group is trading in rough diamonds, loose diamonds, cut and
polish diamonds.
The KM Shah Group is operated and chiefly owned by the Shah family of
India.
Besides, the subject has had another associated company in India. Kirtilal M Shah is a comprehensive
diamond-dealing firm from Mumbai, India serving a diverse customer profile
globally. It offers a spectrum of
assorted diamond sparklers featured as uncut, loose or well-cut stones. Its procurement of bona fide rough diamonds
is dedicated specially to Rounds of 0.30 carats to 3.00 carats, D-K colour,
with IF-l1 clarity. Its manufacturing
operations are conducted in Surat and Navsari in Gujarat, India. Kirtilal M Shah also belongs to KM Shah
Group.
The subject’s business is chiefly handled by Mr. P D Shah.
The subject is fully supported by the KM Group which is supplying the
subject and Star Light with loose diamonds.
The history of the subject in Hong Kong is about nine years. Business is normal.
On the whole, consider it good for normal business engagements.
DIAMOND INDUSTRY – INDIA
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From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
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The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian workforce
and the untiring and unflagging efforts of the Indian diamantaires, supported
by progressive Government policies.
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The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations which
operate in the diamond industry since many generations.
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Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
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Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees. They
mostly diverted borrowed money for diamond business into real estate and
capital markets.
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Excerpts from Times of India dated 30th
October 2010 is as under –
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Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
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The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing and
market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.87 |
|
|
1 |
Rs.94.07 |
|
Euro |
1 |
Rs.70.19 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
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 |
-- |
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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.