|
Report No. : |
326834 |
|
Report Date : |
12.06.2015 |
IDENTIFICATION DETAILS
|
Name : |
LI HANG STAINLESS STEEL LTD. |
|
|
|
|
Registered Office : |
Room 712, 7/F., Tower A, Hunghom Commercial Centre, 39 Ma Tau Wai Road, Hunghom, Kowloon |
|
|
|
|
Country : |
Hongkong |
|
|
|
|
Date of Incorporation : |
19.10.1995 |
|
|
|
|
Com. Reg. No.: |
19429005 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer and Exporter of all kinds of Iron and Steel Materials. |
|
|
|
|
No. of Employees : |
14 |
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Hongkong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
HONGKONG - 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 |
LI HANG
STAINLESS STEEL LTD.
ADDRESS: Room 712, 7/F., Tower A,
Hunghom Commercial Centre, 39 Ma Tau Wai Road,
Hunghom, Kowloon, Hong Kong.
PHONE: 852-2764
6495
FAX: 852-2764
6468
E-MAIL: info@lhss.com.hk
Managing Director:
Mr. Lam Ngai Wah
Incorporated on: 19th October, 1995.
Organization: Private Limited Company.
Issued Share Capital: HK$500,000.00
Business Category: Stainless
Steel Trader.
Annual Turnover: US$80~100 million.
Employees: 14.
Main Dealing Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Room 712, 7/F., Tower A, Hunghom Commercial Centre, 39 Ma
Tau Wai Road, Hunghom, Kowloon, Hong Kong.
Associated
Companise:-
Bright Glory Stainless Steel Ltd., China.
Foshan Li Hang Stainless Steel Ltd., China.
19429005
0528540
Managing Director:
Mr. Lam Ngai Wah
Contact Person:
Mr. Wu Wing Sum
HK$500,000.00
(As per registry
dated 19-10-2014)
|
Name |
|
No. of shares |
|
WU Wing Sum |
|
250,000 |
|
LAM Ngai Wah |
|
249,999 |
|
WU Hoi Shan |
|
1 |
|
|
|
––––––– |
|
|
Total: |
500,000 ====== |
(As per registry
dated 19-10-2014)
|
Name (Nationality) |
Address |
|
LAM Ngai Wah |
Flat A on Penthouse of Tower 18, Laguna Grande, Laguna
Verde, 8 Laguna Verde Avenue, Kowloon, Hong Kong. |
|
WU Wing Sum |
Flat A on Penthouse of Tower 18, Laguna Grande, Laguna
Verde, 8 Laguna Verde Avenue, Kowloon, Hong Kong. |
LAM Ngai Wah (As per registry dated 19-10-2014)
The subject was
incorporated on 19th October, 1995 as a private limited liability company under
the Hong Kong Companies Ordinance.
Formerly the subject
was located at Room 903A, 9/F., Mirror Tower, 61 Mody Road, Tsimshatsui
East, Kowloon, Hong Kong, moved to the present address in July 2013.
Apart from these,
neither material change nor amendment has been ever traced and noted.
Activities: Importer
and Exporter.
Lines: All
kinds of iron and steel materials.
Employees: 14.
Commodities Imported: China,
Taiwan, etc.
Markets: North America, South
America, Eastern Europe, Southeast Asia, Africa, Oceania, Middle East, Eastern Asia, Western Europe,
etc.
Annual Turnover: US$80~100
million.
Terms/Sales: As per contracted.
Terms/Buying: Various terms.
Issued Share Capital: HK$500,000.00
Mortgage or Charge:-
Date of Assignment of
Documentary Credits Proceeds: 02-08-2007
Amount: As a continuing security for the due
and punctual payment of the Secured Indebtedness and due perfomance and
observance of all Liabilities
Property: (a) all monies in any currency
representing proceeds payable or to be paid to the Company under the Documentary
Credits, (b) all the Company’s right, title, benefit and interest in the
Documentary Credits and (c) the benefit of all powers and remedies for
enfourcing the Documentary Credits
Mortgagee: Nanyang Commercial Bank Ltd.,
Hong Kong.
Profit or Loss: Business
is profitable.
Condition: Keeping in an active
condition.
Facilities: Making very active use of
general banking facilities.
Payment: Met trade commitments as
contracted.
Commercial Morality:
Satisfactory.
Bankers:-
The Hongkong & Shanghai
Banking Corp. Ltd., Hong Kong.
Nanyang Commercial
Bank Ltd., Hong Kong.
Standing: Very Good.
Li Hang Stainless
Steel Ltd. is almost equally owned by Mr. Wu Wing Sum and Mr. Lam Ngai
Wah. Wu and Lam are also directors of
the subject.
The subject is
trading in iron and steel materials. It
is the appointed agent of Yieh United Steel Corporation [YUSCO] located in
Taiwan and Lianzhong Stainless Steel Corporation [LISCO] located in Guangzhou for
domestic sale and the sole agent for exporting wide stainless steel coils. Furthermore, it has got strong direct
connections with many stainless steel mills in Southeast Asia.
The subject is a
major stock holder of various kinds of stainless steel products including 200,
300, 400 series mainly in hot rolled and cold rolled stainless steel coils, a
new invention for the sizes of HR can be as thin as 1.5 mm and up X (300-1500
mm X Coil) and for CR is from (0.3-3.0 mm) X (300-1500 mm) X Coil with the surface
finish in No. 1, 2B, 2D, BA. Beside, the
subject also supplies the markets with stainless steel plates, steel pipes,
steel sheets, precision coils, billets, slabs, wire rods, pipes/tubes, bright
bars, channel bars, flat bars, angle bars, etc.
The followings are the subject’s main products:-
·
Flat Products
·
Stainless Steel Sheet in Coil;
·
Stainless Steel Strips;
·
Stainless Precision Coil; &
·
Stainless Steel Plates.
·
Long Products
·
Stainless Slab & Billet;
·
Stainless & Carbon Steel Wire Rod; &
·
Difference Type of Bars.
·
Others
·
Scrap & Raw Materials; &
·
Machinery.
The subject now has a
wide supply channel from Taiwan, mainland China, Japan, South Korea, and India;
while its customer-base includes companies from around the world ranging from
China with main markets in Eastern and Southern regions, to different countries
in North America, South America, Africa, Southeast Asia, the Middle East,
Eastern & Western Europe and Australia.
According to the subject, about 80 to 90% of the products are exported
to foreign markets. Its business is
rather active.
The subject also has
a sister company, Bright Glory Stainless Steel Ltd. which is located in Foshan
City, Guangdong Province, China. The
subject’s mills in China have an annual production capacity of 1,000,000 metric
tons. It keeps stocks of stainless steel
in 200, 300 and 400 series, including coils, strips, sheets, plates in cold
rolled and hot rolled.
The subject also has
had an associated company in Foshan City, Guangdong Province, China known as
Foshan Li Hang Stainless Steel Ltd. The
contact person is Ms. Erin Ho who is the representative.
The annual sales
turnover of the subject ranges from US$80 to 100 million. Making a small profit every year.
As the history of the
subject in Hong Kong is about nineteen years, on the whole, consider it good
for normal business engagements.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.89 |
|
|
1 |
Rs.98.90 |
|
Euro |
1 |
Rs.72.31 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NIT |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.