MIRA INFORM REPORT

 

 

Report No. :

340904

Report Date :

15.09.2015

           

IDENTIFICATION DETAILS

 

Name :

ITEMA  (ASIA)  LTD.

 

 

Registered Office :

Room 808, 8/F., Tower 1, Enterprise Square, 9 Sheung Yuet Road, Kowloon Bay, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

28.06.1994

 

 

Com. Reg. No.:

18344757

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Subject is importer and exporter of all kinds of textile machinery and equipment.

 

 

No. of Employee :

7

 

 

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

 

ITEMA  (ASIA)  LTD.

 

 

Address

 

Room 808, 8/F., Tower 1, Enterprise Square, 9 Sheung Yuet Road, Kowloon Bay, Kowloon, Hong Kong.

 

PHONE:                  852-2317 1212,  2317 1420

 

FAX:                       852-2317 1612

 

E-MAIL:                  info@itemaasia.com

eva@itemaasia.com

 

 

MANAGEMENT

 

Managing Director:  Ms. Lee Wing Yan, Eva

 

 

SUMMARY

 

Incorporated on:                        28th June, 1994.

 

Organization:                             Private Limited Company.

 

Issued Share Capital:                  HK$10,000.00

 

Business Category:                    Importer and Exporter.

 

Annual Turnover:                       HK180~250 million.

 

Employees:                              7.

 

Main Dealing

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

 

Banking Relation:                      Satisfactory.

 

Registered Head Office:-

Room 808, 8/F., Tower 1, Enterprise Square, 9 Sheung Yuet Road, Kowloon Bay, Kowloon, Hong Kong.

 

Holding Company:-

ITEMA S.p.A., Italy.  [Formerly Promatech S.p.A.]

 

Ultimate Holding Company:-

ITEMA Holding S.p.A., Italy.

 

Associated/Affiliated Companies:-

ITEMA Group of Companies

ITEMA (Shanghai) Textile Machinery Co. Ltd., China.

ITEMA (Switzerland) Ltd., Switzerland.

ITEMA America Inc., US.

ITEMA International B.V., the Netherlands.

ITEMA Spinning India Ltd., India.

ITEMA Weaving (India) Private Ltd., India.

ITEMA Weaving (Japan) Ltd., Japan.

ITEMA Weaving Machinery (China) Co. Ltd., China.

Shandong Istma Textile Machinery Co. Ltd., China.

 

 

BUSINESS REGISTRATION NUMBER

 

18344757

 

 

COMPANY FILE NUMBER

 

0483728

 

 

MANAGEMENT

 

Managing Director:  Ms. Lee Wing Yan, Eva

 

 

ISSUED SHARE CAPITAL

 

HK$10,000.00

 

 

SHAREHOLDER  

 

(As per registry dated 28-06-2015)

Name

 

No. of shares

ITEMA S.p.A.

Via Cav. Gianni Radici, 4  24020 Colzate (Bergamo), Italy.

 

10,000

=====

 

 

DIRECTORS

 

(As per registry dated 28-06-2015)

Name

(Nationality)

 

Address

LEE Wing Yan

Flat H, 5/F., Glamour Garden, 1-5 Chik Fai Street, Shatin, New Territories, Hong Kong.

 

Giacomo SALA

c/o 2, Stock Hoschgasse 68, 8008 Zurich, Switzerland.

 

Danilo Enrico ARIZZI

Via M. Merisi 32/A, Albino (BG), Italy.

 

Forward Business Management Ltd.

Room 1117, 11/F., Hollowood Plaza, 610 Nathan Road, Mongkok, Kowloon, Hong Kong.

 

 

SECRETARY

 

(As per registry dated 28-06-2015)

Name

Address

Co. No.

Forward Secretarial Services Ltd.

Room 1117, 11/F., Hollywood Plaza, 610 Nathan Road, Mongkok, Kowloon, Hong Kong.

0575813

 

 

HISTORY

The subject was incorporated on 28th June, 1994 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Originally the subject was registered under the name of Somet (Asia) Ltd., name changed to the present style on 29th January, 2001.

 

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

 

OPERATIONS

 

Activities:                Importer and Exporter.

 

Lines:                     All kinds of textile machinery and equipment.

 

Brand Names:         Sultex”, “Somet”, and “Vamatex”.

 

Employees:            7.

 

Commodities

Imported:                Europe, China and other foreign advanced countries.

 

Markets:                  China, Taiwan, other Asian countries, Europe, etc.

 

Annual Turnover:     HK180~250 million.

 

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

 

Terms/Buying:         As per contracted.

 

 

FINANCIAL INFORMATION

 

Issued Share Capital:     HK$10,000.00

 

Mortgage or Charge:     (See attachment)

 

Profit or Loss:               Making a small profit every year.

 

Condition:                     Business is normal.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      No Complaints

 

Commercial Morality:     Satisfactory.

 

Bankers:-

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

Intesa Sanpaolo S.p.A., Hong Kong Branch.

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

 

Standing:  Very Good.

 

 

GENERAL

 

ITEMA (Asia) Ltd. is a wholly-owned subsidiary of ITEMA S.p.A. (formerly known as Promatech S.p.A.), an Italy-based firm which in turn is a subsidiary of ITEMA Holding S.p.A. [ITEMA].  ITEMA is also an Italy-based company.  The subject is a member of the ITEMA Group and has got the ISO9001 certification.

ITEMA Group was created by Radici Group in 2001.

 

ITEMA Group is an international textile machinery and equipment provider.  Its predecessor and history have more than 150 years in Europe.  It is a leading global textile machinery group that was established in December 2001 following the merger of some important firms working in the various sectors on this market.

The subject is trading in the Group’s products.

 

ITEMA Group is providing the following textile machinery and equipment in 4 different business areas:-

·         ITEMA Weaving — Fabric forming solutions including weaving machines, weaving accessories, spare parts and services.  Leading brands carried are “Sulzer Textil”, “Somet”, “Vamatex” and “Fimtextile”;

·         ITEMA Spinning — Thread forming solutions including spinning, winding and twisting machines, accessories, spare parts and services.  Leading brand carried is “Savio”;

·         ITEMA Electronics — Electronic technology solutions including joint development and manufacturing of components.  Leading brands carried are “Eutron”, “Loepfe”, “BMS Vision” and “Sedo”; &

·         ITEMA Knitting — Fabric forming solutions including knitting machines, accessories, spare parts and services.  Leading brand carried is “Steiger”.

 

The subject is trading in the following main products and brand names:-

Brand Name

Brand Product/Service

Brand Remarks

Somet (Brand Owner)

Machine – Weaving

Rapier and air jet

Vamatex (Brand Owner)

Machine – Weaving

Rapier and air jet

 

The subject’s products are marketed in China, exported to Japan, Taiwan, India, Southeast Asia, other Asian countries, etc.  It belongs to the division of “ITEMA Weaving”.

The subject has had a wholly-owned subsidiary in China known as ITEMA Weaving Machinery (China) Co. Ltd. [ITEMA Shanghai] which is in Shanghai.  This firm is engaged in manufacturing rapier weaving machines.  Currently, it has about 100 employees.

 

ITEMA Weaving (textile machines and accessories) with the 4 product brands “Itema Shanghai”, “Somet”, “Sulzer Textil”, “Vamatex”, finally “First” and “Fimtextile” for the accessories.

ITEMA Group’s companies working on the foreign markets are ITEMA Shanghai, Shandong ISTMA Textile Machinery Co. Ltd., ITEMA Spinning India Ltd., ITEMA America Inc., etc.  Constantly committed to research and implementing important new products, ITEMA Group has an approach to the market that sees the customer as its benchmark.

 

In 2009, the Group’s associate Sultex Ltd. changed name to ITEMA (Switzerland) Ltd. a manufacturer of weaving machinery and member of the Italy-based ITEMA Group and has moved its headquarters from Ruti to Wetzikon.  The changes were part of structural moves at ITEMA to merge Promatech, Sultex, Itema Weaving Machinery (China) and First S.p.A. into one streamlined company with a single headquarters location sharing management, marketing, sales and service functions with an integrated data system and supply chain.  The consolidation was previously announced during ITMA Asia + CITME 2008 in Shanghai, China.

In 2011, the Group’s Promatech S.p.A. changed name to ITEMA S.p.A. which is currently the parent company of the subject.

 

The important event for the company was the opening of ITEMA India Ltd. on 24th September, 2005, in Coimbatore, India.  ITEMA India, which is located in a 1,600-sq.m. building, provides sales and marketing functions including a showroom, after-sales and spare-parts service and an electronic circuit board repair centre and training centre for end-user technicians for the Somet, and Vamatex companies.

 

From the ITEMA India headquarters in Coimbatore, offices in Mumbai, Gunthur and Delhi which operate in the relevant areas with support of seven representative agencies are coordinated.  ITEMA India employs a total of about 90 people, 65 of whom are dedicated to customer service.  These customer service agents can cover other the Middle East and Asia Pacific regions from Turkey to Iran and Indonesia.

 

ITEMA’s operations in the Indian Subcontinent delivered the biggest comeback with a turnaround year and +100% YOY growth in volumes just from India alone, where ITEMA has developed over the years a comprehensive sales and after-sales service organization operating from own offices in Mumbai, as well as Coimbatore, New Delhi and Kohlapur.  At the helm of the Company’s operations in India is the new Managing Director, Mr. Updeep Singh, who joined ITEMA in March 2014 bringing with him an impressive career in the textile market as a senior executive in well-known international groups like Welspun.  In the last year, ITEMA India registered a period of unprecedented growth, reaching remarkable results in terms of number of machines installed.

 

One of the directors of the subject Mr. Danilo Enrico Arizzi is an Italian.  The new CEO of the ITEMA Group Mr. Carlo Rogora was appointed in 2011.  Both are members of the Board of Directors of the Group.

Another director of the subject Giacomo SALA is also Managing Director of Switzerland ITEMA.

 

In 2013, the ITEMA implemented a wide range of restructuring and process improvement measures, such as continuing on the path of Lean Manufacturing across the production facilities at both Colzate and Shanghai plants, increasing the ability of the ITEMA to quickly respond to growing market demands for its products.  ITEMA has also introduced important automations of its production processes and far-reaching energy-saving initiatives at the Colzate plant.

 

Now, the Group has over 800 employees worldwide while about 400 are in Colzate, ITEMA.

In 2014, the turnover of the ITEMA amounted to about EUR 400 million.

The annual sales turnover of the subject ranges from HK$180 to 250 million.  Business is rather active.  Making a small profit every year.

 

The history of the subject in Hong Kong is over twenty-one years and two months.  Business is chiefly handled by Ms. Eva Lee who is a Hong Kong businesswoman.

 

On the whole, in view of the background, history and parentage of the subject, consider it good for normal business engagements.

 

 

MORTGAGE OR CHARGE

 

Date

Particulars

Amount

28-08-2002

Instrument:      Trade Finance Security Deed

Property:

By the Deed, all the Company’s right, title, interest and benefit to and in all and any moneys now or at any time due or owing to the Company

Mortgagee:      IntesaBci S.p.A., Hong Kong Branch.  [Renamed to Banca Intesa S.p.A. and further to Intesa Sanpaolo S.p.A.]

All the Company’s obligations and liabilities

21-04-2010

Instrument:      Security Over Deposits

Property:

A deposit with chargee in the amount of HK$500,000.00 or its equivalent in other foreign currencies under Deposit A/C No. 508-188885, whatever currency it may subsequently be denominated in, any renewal of such deposit and the interest thereon together with any further monies in any deposit account with the chargee at any of its offices

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

Amount secured – (i) all monies in any currency owing by the Company to the chargee at any time, actually or contingently, in any capacity, alone or jointly with any other person; (ii) interest on such monies, to the date on which the chargee receives payment, at the rates payable by the Company or which would have been payable but for any circumstance which restricts payment and (iii) all expenses of the chargee in perfecting or enforcing the charge

31-07-2012

Instrument:      Security Agreement over Bank Account

Property:

By way of a first fixed charge all of the Chargor’s rights in respect of any amount standing to the credit of the Account from time to time & the debt represented by it

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

To secure the payment & satisfaction of all present & future obligation & liabilities

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.37

UK Pound

1

Rs.102.54

Euro

1

Rs.75.32

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

ASH

 

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.