MIRA INFORM REPORT

 

 

Report No. :

348038

Report Date :

07.10.2015

 

IDENTIFICATION DETAILS

 

Name :

ASSA ABLOY HONG KONG LTD.

 

 

Registered Office :

Suite 1901, 19/F., Tower 3, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

10.11.1997

 

 

Com. Reg. No.:

21442871

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importer, Exporter and Wholesaler of All kinds of locks.

 

 

No. of Employee :

148.  (Including associates)

 

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, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Hong Kong

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

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 12.5% of total system deposits in Hong Kong by the end of 2014. 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 47.3 million in 2014, 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 2014 mainland Chinese companies constituted about 50% of the firms listed on the Hong Kong Stock Exchange and accounted for about 60.1% 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 4.4% in 2014. 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 2014, Hong Kong and China signed a new agreement on achieving basic liberalization of trade in services in Guangdong Province under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from March 2015, cover a negative list and a most-favored treatment provision, and will improve access to the mainland's service sector for Hong Kong-based companies.

Source : CIA

 

Company name and address

 

ASSA ABLOY HONG KONG LTD.

 

ADDRESS       

 

Suite 1901, 19/F., Tower 3, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong.

 

PHONE:            852-2741 3225, 2260 0888

 

FAX:                 852-2834 5507, 2686 8682

 

E-MAIL:            sales@assaabloy.com.hk

 

 

MANAGEMENT

 

General Manager:          Ms. Yip Chiu Yan, Irene

 

 

SUMMARY

 

Incorporated on:            10th November, 1997.

 

Organization:                 Private Limited Company.

 

Issued Share Capital:     HK$500,000.00

 

Business Category:       Importer, Exporter and Wholesaler.

 

Group Turnover:            SEK 56,843 million  (Year ended 31-12-2014)

 

Employees:                  148.  (Including associates)

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:          Good.


Company name and address

 

ASSA ABLOY HONG KONG LTD.

 

ADDRESS:

 

Registered Head Office:-

Suite 1901, 19/F., Tower 3, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong.

 

Holding Company:-

ASSA ABLOY Asia Pacific Ltd., Hong Kong.  (Same address)

 

Ultimate Holding Company:-

ASSA ABLOY AB, Sweden.

 

Associated Companies:-

AAC Acquisition Inc., Canada.

ABLOY Canada Inc., Canada.

Activledntity Europe S.A., France.

Agta Record AG, Switzerland.

ASSA ABLOY Asia Holding AB, Sweden.

ASSA ABLOY Australia Pacific Pty Ltd., Australia.

ASSA ABLOY Danmark A/S, Denmark.

ASSA ABLOY Deutschland GmbH, Germany.

ASSA ABLOY Entrance Systems AB, Sweden.

ASSA ABLOY Forsakrings AB, Sweden.

ASSA ABLOY France SAS, France.

ASSA ABLOY Holding GmbH, Australia.

ASSA ABLOY Holding Italia S.p.A., Italy.

ASSA ABLOY Holdings (SA) Ltd., South Africa.

ASSA ABLOY Identification Technology Group AB, Sweden.

ASSA ABLOY Inc, US.

ASSA ABLOY Kredit AB, Sweden.

ASSA ABLOY Ltd., UK.

ASSA ABLOY Mobile Servies AB, Sweden.

ASSA ABLOY Nederland Holding B.V., The Netherlands.

ASSA ABLOY Norge A/S, Norway.

ASSA ABLOY Oy, Finland.

ASSA ABLOY Portugal Unipessoal Ltda., Portugal.

ASSA ABLOY Svensk Fastighets AB, Sweden.

ASSA Sverige AB, Sweden.

Cardo AB, Sweden.

Cerraduras de Colombia S.A., Colombia.

Dynaco US Inc., US.

Fleming Door Products Ltd., Canada.

Goal Co. Ltd., Japan.

Grupo Industrial Phillips S.A de C.V., Mexico.

HID Global Ireland Teoranta, Ireland.

HID Global Switzerland S.A., Switzerland.

HID SA, Argentina.

Interlock Holding AG, Switzerland.

Mul-T-Lock Ltd., Israel.

Pan Pan Door Co. Ltd., China.

SARA Loading Bay Ltd., UK.

Saudi Crawford Doors Ltd., Saudi Arabia.

Talleres Agui S.A., Spain.

Timelox AB, Sweden.

WHAIG Ltd., Bermuda.

etc.

 

 

BUSINESS REGISTRATION NUMBER

 

21442871

 

 

COMPANY FILE NUMBER

 

0629401

 

 

MANAGEMENT

 

Managing Director:  Mr. CHUNG Jan Yiu, Tony

General Manager:  Ms. Irene Yip Chiu Yan

 

 

ISSUED SHARE CAPITAL

 

HK$500,000.00

 

 

SHAREHOLDER  

 

(As per registry dated 10-11-2014)

Name

 

No. of shares

ASSA ABLOY Asia Pacific Ltd., Hong Kong.

 

50,000

=====

 

 

 

DIRECTORS

 

(As per registry dated 10-11-2014)

Name

(Nationality)

 

Address

CHUNG Jan Yiu, Tony

No. 37, 25/F., Celestial Heights, Phase 1, 80 Sheung Shing Street, Ho Man Tin, Kowloon, Hong Kong.

 

YIP Chiu Yan

G/F., 78K Clear Water Bay Road, Pak Shek Wo Village, Sai Kung, New Territories, Hong Kong.

 

Lennart Magnus KAGEVIK

Nordvastgatan 17, 603 85 Norrkoping, Sweden.

 

 

SECRETARY

 

(As per registry dated 10-11-2014)

Name

Address

Co. No.

Edtoma Secretarial Services Ltd.

Suite 1201, 12/F., Tower 2, The Gateway, 25 Canton Road, Tsimshatsui, Kowloon, Hong Kong.

0534483

 

 

HISTORY

 

The subject was incorporated on 10th November, 1997 as a private limited liability company under the Hong Kong Companies Ordinance.

Originally the subject was registered under the name of Tackton Ltd., name changed to Assa Abloy Ltd. on 15th December, 1997, changed to Assa Abloy China Ltd. on 26th May, 2000, and further to the present style on 17th January, 2001.

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

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           All kinds of locks.

 

Employees:                  148.  (Including associates)

44,269.  (Group)

 

Commodities Imported: China, Europe, North America, etc.

 

Markets:                        Worldwide countries.

 

Group Turnover:            SEK 36,823 million  (Year ended 31-12-2010)

SEK 41,786 million  (Year ended 31-12-2011)

SEK 46,619 million  (Year ended 31-12-2012)

SEK 48,481 million  (Year ended 31-12-2013)

SEK 56,843 million  (Year ended 31-12-2014)

 

Terms/Sales:                 As per contracted.

 

Terms/Buying:               Various terms.

 

 

FINANCIAL INFORMATION

 

Issued Share                 Capital: HK$500,000.00

 

Group Net Income:        SEK 4,080 million  (Year ended 31-12-2010)

SEK 3,869 million  (Year ended 31-12-2011)

SEK 5,172 million  (Year ended 31-12-2012)

SEK 4,775 million  (Year ended 31-12-2013)

SEK 6,436 million  (Year ended 31-12-2014)

 

Profit or Loss:               Making a small profit every year.

 

Condition:                     Keeping in a satisfactory manner.

 

Facilities:                      Making rather active use of general banking facilities.

 

Payment:                      Met trade commitments as required.

 

Commercial Morality:     Satisfactory.

 

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

 

Standing:                      Very Good.

 

 

GENERAL

 

ASSA ABLOY Hong Kong Ltd. is a wholly-owned subsidiary of ASSA ABLOY Asia Pacific Ltd., a Hong Kong-registered company located at the same address.  The ultimate holding company ASSA ABLOY AB, is a Sweden‑based and listed company.

The subject is one of the key members of ASSA ABLOY Group [ASSA ABLOY / Group] which is trading in all kinds of locks.

The Group is a Swedish lock manufacturer, and is the world’s largest lock manufacturer by sales volume.

ASSA ABLOY was formed in 1994 when ASSA AB was detached from Swedish security firm Securitas AB.  Shortly thereafter, the Finnish high‑security lock manufacturer Abloy Oy (a subsidiary of the Finnish company Wärtsilä) was acquired.  The company was introduced to the Stockholm stock exchange later the same year.

Its two largest shareholders are Latour and Melker Schörling AB.

ASSA ABLOY is organized into five divisions. EMEA (Europe, Middle East and Africa) division, Americas (North and South America) division and Asia Pacific (Asia, Australia and New Zealand) division manufacture and sell mechanical and electromechanical locks, security doors and hardware in their respective geographical markets.  The Group’s two global divisions:

Global Technologies division operates worldwide in the product areas of access control systems, secure card issuance, identification technology and hotel locks.

Entrance Systems division is a global supplier of entrance automation products and service.

The ASSA ABLOY master brand is complemented by global brands, which are all leaders in their respective market segments: HID in access control, secure card issuance and identification technology, Yale in the residential market, Mul-T-Lock for locksmiths, and ABLOY in high-security locks.  The Group also has non-endorsed product brands, such as Entrematic, Flexiforce and Helton.

Today global market leadership involves company operations in more than 70 countries and worldwide sales.  Emerging markets are strategic priorities for future growth.  Sales on these markets are growing rapidly and account for 25 percent of total Group sales, a fourfold increase in eight years.  China accounts for around 10 percent of total sales, more than a tenfold increase since 2006.

Since 2006, ASSA ABLOY has acquired 120 companies, fulfilling its ambition of 5 percent acquired growth per year.  In 2013, ASSA ABLOY made 12 acquisitions, which added SEK 4,200 million in annual sales, a 9 percent increase.  The Group has a focused acquisition strategy in three areas:

Adding new technologies in key areas;

Complementing the product range; &

Increasing geographical market presence.

2014 was a record year for the Group.  Sales increased 17% to SEK 56,843 million with 3% percent organic growth (2013: SEK 48,481 million).  Operating income increased by 17 percent to SEK 9,257 million (2013: SEK 7,923 million).  Net income amounted to SEK 6,436 million (2013: SEK 4,775 million).

The Group could look back on its first 20 years, with sales growth of 1,500% and an increase in operating income of 5,800%, an exceptional achievement in modern Swedish industrial history. With successful strategies for increased market presence, product leadership and cost-efficiency, the Group is well positioned for continued long-term profitable growth driven by the major economic trends of its times: urbanization, rapid technological development and increased security requirements.

According to the Group, 70% of Group sales are co-branded with the master brand and local brands.  The ASSA ABLOY master brand is complemented by global brands, which are all leaders in their respective market segments: HID in access control, secure card issuance and identification technology, Yale in the residential market, Mul-T-Lock for locksmiths, and ABLOY in high-security locks.  These brands account for around 18% of Group sales.

The Group also has non-endorsed product brands, such as Entrematic, FlexiForce and JPM.  These brands represent leading expertise in specialty products and service, with a unique market positioning that is important to exploit.

In order to compete effectively on a global market, the sales force operates as an integrated organization and represents the ASSA ABLOY master brand.  They create solutions for the customer using various products manufactured under established local brands.  Consequently, customers can be offered total door opening solutions, while recognizing well-known local brands.

The subject is fully supported by ASSA ABLOY.  History in Hong Kong is about 18 years.

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


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.79

UK Pound

1

Rs.99.95

Euro

1

Rs.71.55

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

SDA

 

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.