MIRA INFORM REPORT

 

 

Report No. :

346071

Report Date :

24.10.2015

 

IDENTIFICATION DETAILS

 

Name :

VIKUDHA OVERSEAS CORPORATION LTD.

 

 

Registered Office :

Room 1201-1202A, 12/F., The Centrium, 60 Wyndham Street, Central

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

12.03.1999

 

 

Com. Reg. No.:

0669390

 

 

Legal Form :

Private Limited Company.

 

 

Line of Business :

Importer, Exporter and Wholesaler of Chemicals, plastic products, minerals, edible oil

 

 

No. of Employees :

8

 

 

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

 

VIKUDHA  OVERSEAS  CORPORATION  LTD.

 

 

ADDRESS:       Room 1201-1202A, 12/F., The Centrium, 60 Wyndham Street, Central, Hong Kong.

 

PHONE:            852-2523 4554

 

FAX:                 852-2521 3261

 

E-MAIL:            office@vikudha.com

 

MANAGEMENT:

 

Managing Director:  Mr. Deap Kumar Adukia

 

 

SUMMARY

 

Founded in:                  1973.

 

Incorporated on:            12th March, 1999.

 

Organization:                 Private Limited Company.

 

Issued Share Capital:     HK$80,000,000.00

 

Business Category:       Importer, Exporter and Wholesaler.

 

Employees:                  8.

 

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

 

Banking Relation:          Good.

 

 

ADDRESS

 

Registered Head Office:-

Room 1201-1202A, 12/F., The Centrium, 60 Wyndham Street, Central, Hong Kong.

 

Mailing Address:

G.P.O. Box 2842, Hong Kong.

 

Associated/Affiliated Companies:-

C.I. Vikudha Andina S.A.S., Colombia.

Consumer Marketing (India) Pvt. Ltd., India.

Nova Petroleum Specialties Co. LLC, USA.

Sinoasia Minerals Sdn. Bhd., Malaysia.

Vikudha (Malaysia) Sdn Bhd, Malaysia.

Vikudha (Thailand) Co. Ltd., Thailand.

Vikudha (Tianjin) Corporation Ltd., China.

Vikudha Brasil, Brasil.

Vikudha Centroamérica & Caribe S.A., Guatemala.

Vikudha Ltd., Hong Kong.

Vikudha Singapore Pte. Ltd., Singapore.

Vikudha Sur América S.A.C., Peru.

Vikudha Türkiye İrtibat Bürosu, Turkey.

VOC Central America S.A., Costa Rica.

Sino Trade Co., Hong Kong.

 

 

BUSINESS REGISTRATION NUMBER

 

22332005

 

 

COMPANY FILE NUMBER

 

 0669390

 

 

MANAGEMENT

 

Managing Director:        Mr. Deap Kumar Adukia

Contact Persons:          Ms. Choi Ching Yin, Anita

Ms. Joey Lau

 

 

ISSUED SHARE CAPITAL

 

HK$80,000,000.00

 

 

SHAREHOLDERS

 

(As per registry dated 12-03-2015)

Name

 

No. of shares

Vikash ADUKIA

 

40,000,000

Deap Kumar ADUKIA

 

40,000,000

 

 

–––––––––

 

Total:

80,000,000

========

 

 

DIRECTORS  

 

(As per registry dated 12-03-2015)

Name

(Nationality)

 

Address

Deap Kumar ADUKIA

Flat C, 24/F., Caine Mansion, 80-88 Caine Road, Hong Kong.

 

Vikash ADUKIA

Flat C, 24/F., Caine Mansion, 80-88 Caine Road, Hong Kong.

 

 

SECRETARY

 

(As per registry dated 12-03-2015)

Name

Address

Co. No.

Hashmi Secretarial Services Ltd.

Unit B, 3/F., Chun Wah Commercial Building, 30 Minden Avenue, Tsimshatsui, Kowloon, Hong Kong.

0770656

 

 

HISTORY

 

The subject was originally founded in 1973 bearing the name of Vikudha Overseas Corporation.  Re-organised and incorporated on 12th March, 1999 as a private limited liability company under the Hong Kong Companies Ordinance.

Initially the subject was located at Room 3006, 30/F., The Centrium, 60 Wyndham Street, Central, Hong Kong, moved to Room 1201-1202A, 12/F. of the same building in June 2011.

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

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           Chemicals, plastic products, minerals, edible oil

 

Employees:                  8.

 

Commodities Imported: China, Taiwan, other Asian countries, Europe

 

Markets:                        Other Asian countries, Australia, North America, Western Europe, Central & South America

 

Terms/Sales:                 L/C or as per contracted.

Terms/Buying:               L/C, T/T, O/A

 

 

MEMBERSHIP

 

The Indian Chamber of Commerce Hong Kong, Hong Kong.

 

 

FINANCIAL INFORMATION

 

Issued Share     Capital: HK$80,000,000.00

 

Mortgage or Charge (since April 2013):  (See attachment)

 

Profit or Loss:   Making a small profit every year.

 

Condition:  Keeping in a satisfactory manner.

 

Facilities:  Making active use of general banking facilities.

 

Payment:  Met as contracted.

 

Commercial Morality:  Satisfactory.

 

Bankers:-

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

Bank of India, Hong Kong Branch.

Union Bank of India, Hong Kong Branch.

Dah Sing Bank Ltd., Hong Kong.

DBS Bank (Hong Kong) Ltd., Hong Kong.

ICICI Bank Ltd., Hong Kong.

Indian Overseas Bank, Hong Kong Branch.

Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.

UCO Bank, Hong Kong Branch.

 

            Standing:  Very good.

 

 

GENERAL

 

Having issued 80 million (increased from 40 million) ordinary shares of HK$1.00 each, Vikudha Overseas Corporation Ltd. is equally owned by Mr. Vikash Adukia and Mr. Deap Kumar Adukia.  Being Indian merchants, they are also directors of the subject.

The subject is a member of the Vikudha Group which has been in business since 1973.

Currently, the subject is trading in the following commodities and offering clients with the following services:-

 

Chemicals

- All kinds of organic and inorganic chemicals

Polymer

- Plastic Materials (including Resins, Sheet)

Minerals

Edible Oils

 

Its minerals and edible oils are the following items:

Minerals: Anthracite Coal, Chrome, Coking Coal, Copper, Iron, Lead, Manganese, Met Coke, Steam / Thermal Coal, Zinc.

Edible Oils: Blended Edible Oil, Canola Oil, Olive Oil, Rapeseed Oil, Sunflower Oil.

It offer clients with the following scope of business:

Product Sourcing

Marketing and Markets Development

Supply Chain Supporting

Logistic Services

The subject is a privately owned group with head office in Hong Kong and branch offices in China, India, Singapore, Turkey, Peru, Guatemala, Vietnam, Malaysia, Thailand, Colombia and Brazil.  The presence of offices in these countries has acted as a springboard in the growth of the group which now has trade activities in China, India, Turkey, Latin America, Western and Central Europe, the Middle East, Asia Pacific and Africa.  It has mining activities in Malaysia and Chemical distribution activities in various countries.  According to the subject, it has had thirteen offices in different locations of the world.

The subject trades in petrochemicals, industrial chemicals, minerals, edible oil and plastic raw materials.  Commodities are sourced from worldwide countries and re-exported to China, other Asian countries, Europe, Latin America.

The subject set up its China office in 2001.

In 2009, the subject set up offices in Ho Chi Minh City of Vietnam, Guatemala City of Guatemala, Lima of Peru.  In 2010, it opened an office in Bangkok of Thailand.

In 2011, the subject set up an office in South Korea and in 2012, set up an office in Brazil and in Spain respectively.

The subject’s associated company in India is known as Consumer Marketing (India) Pvt. Ltd. which is in Mumbai, India.

The subject is chiefly controlled by the Adukia family.  Annual sales turnover is significant as regular suppliers and overseas customers have been maintained.

The subject claims that the annual sales turnover of the group is over US$250 million.

The subject has had deposits amount to US$ 1 million with Union Bank of India, Hong Kong Branch, for securing banking facilities.

The history of the subject in Hong Kong is over sixteen years and seven months.

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

 

 

REMARKS

 

Property information of the company:-

Property Location:         Flat A on 24/F., Caine Mansion, 80-88 Caine Road, Hong Kong.

Owner:  Vikudha Overseas Corporation Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

 

Date of Mortgage

Amount Consideration

Mortgagee

Nature

20-05-2008

-

Indian Overseas Bank, Hong Kong Branch.

Mortgage to secure general banking facilities

 

 

MORTGAGE OR CHARGE

 

(Since April 2013)

 

Date

Description of Instrument

Mortgagee

05-06-2013

Charge On Deposit

Union Bank of India, Hong Kong Branch.

18-10-2013

Letter of Set-Off & Appropriation

Bank of India, Hong Kong Branch.

26-03-2014

Charge Over Cash Deposit

ICICI Bank Ltd., Hong Kong Branch.

26-03-2014

Assignment of Sales Contracts and Letters of Credit

ICICI Bank Ltd., Hong Kong Branch.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.88

UK Pound

1

Rs.99.89

Euro

1

Rs.72.06

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

TRU

 

               

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.