MIRA INFORM REPORT

 

 

Report No. :

341600

Report Date :

22.09.2015

 

IDENTIFICATION DETAILS

 

Name :

CHESFER PRECISION PLASTICS (CHINA) LTD.

 

 

Registered Office :

Suite 901, 9/F., Seaview Centre, 139 Hoi Bun Road, Kwun Tong, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

29.03.1994

 

 

Com. Reg. No.:

19320180

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacturer and Exporter of All kinds of plastic precision parts and plastic casings for hi-fi equipment, electrical products and computers, automobiles, precision instruments, mobile phones, fax machines.

 

 

No. of Employee :

8.  (Hong Kong only)

 

 

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

 

CHESFER PRECISION PLASTICS (CHINA) LTD.

 

 

ADDRESS:                   Suite 901, 9/F., Seaview Centre, 139 Hoi Bun Road, Kwun Tong, Kowloon,

Hong Kong.

 

PHONE:                        852-2389 8103,  2172 7223

 

FAX:                             852-2389 9683

 

E-MAIL:                        chesfhk@chesfer.com  marketing@chesfer.com.cn

 

 

MANAGEMENT:

 

Managing Director:  Mr. Cheng Leung Kwai

 

 

SUMMARY

 

Incorporated on:            29th March, 1994.

 

Organization:                 Private Limited Company.

 

Capital:                         HK$28,287,501.00

 

Business Category:       Plastic Precision Part/Plastic Casing Manufacturer.

 

Employees:                  8.  (Hong Kong only)

 

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

 

Banking Relation:          Satisfactory.

 

 

ADDRESS

 

Registered Head Office:-

Suite 1501, 15/F., Seaview Centre, 139 Hoi Bun Road, Kwun Tong, Kowloon, Hong Kong.

 

China Factories:-

Chesfer Precision Plastics (Shanghai) Co. Ltd.
No. 165 Fu Te Nan Road, Waigaoqiao Free Trade Zone, Pudong, Shanghai 200131, China.

No. 2005, Yang Gao Bei Road, Waigaoqiao Free Trade Zone, Pudong, Shanghai 200131, China.

[Tel: 86-21-5048 1146;  Fax: 86-21-5048 1150]

Chi Foo Electronics Ltd.
Building 8, Jin Xiao Tang Industrial District, Zhu Tang Village, Fenggang Town, Dongguan City, Guangdong Province, China.

Chesfer Precision Plastics (Dongguan) Co. Ltd.
Building 9, Jin Xiao Tang Industrial District, Zhu Tang Village, Fenggang Town, Dongguan City, Guangdong Province, China.

[Tel: 86-769-8775 8421;  Fax: 86-769-8775 6420]

Chesfer Precision Plastics (Suzhou) Co. Ltd.
Suli, Shi Hu Xi Road, Wuzhong District, Suzhou City, Jiangsu Province, China.

 

Holding Company:-

Metchem Singapore Pte. Ltd.

5 Shenton Way #27-01, UIC Building, Singapore 068808.

 

Associated Companies:-

Chesfer Polyform Precision Sdn. Bhd., Malaysia.

Chesfer Precision Plastics (JB) Sdn. Bhd., Malaysia.

Chesfer Precision Plastics Pte. Ltd., Singapore.

Chesfer International Ltd., Hong Kong.  (Same address)

 

 

BUSINESS REGISTRATION NUMBER

 

19320180

 

 

COMPANY FILE NUMBER

 

0472254

 

 

MANAGEMENT

 

Managing Director:  Mr. Cheng Leung Kwai

 

 

ISSUED SHARE CAPITAL

 

HK$28,287,501.00

 

 

SHAREHOLDERS

 

(As per registry dated 29-03-2015)

Name

 

No. of shares

CHENG Leung Kwai

 

1

Metchem Singapore Pte. Ltd.

5 Shenton Way #27-01, UIC Building, Singapore 068808.

 

28,287,500

 

 

–––––––––

 

Total:

28,287,501

========

 

 

DIRECTORS

 

(As per registry dated 29-03-2015)

Name

(Nationality)

 

Address

Sachitt CHANDARIA

10 Place du Bourg de Four, Geneva 1024, Switzerland.

 

CHENG Leung Kwai

2/F., 211 Tin Sum Village, Tai Wai, Shatin, New Territories, Hong Kong.

 

CHAN Hok Yu

Room 2304, 23/F., Block M, Kam Tai Court, Ma On Shan, New Territories, Hong Kong.

 

 

SECRETARY

 

(As per registry dated 29-03-2015)

Name

Address

Co. No.

Best Corporate Services Consulting Co. Ltd.

Rooms 1002-1003, 10/F., Tai Yau Building, 181 Johnston Road, Wanchai, Hong Kong.

1312717

 

 

HISTORY

 

The subject was incorporated on 29th March, 1994 as a private limited liability company under the Hong Kong Companies Ordinance.

 

It was originally registered under the name of Winex Properties Ltd., name changed to the present style on 7th November, 1995.

 

The registered office formerly was located at Room 905, 9/F., Silvercord Tower 2, 30 Canton Road, Tsimshatsui, Kowloon, Hong Kong, moved to ‘Suite 1501, 15/F., Seaview Centre, 139 Hoi Bun Road, Kwun Tong, Kowloon, Hong Kong’ in March 2000, and further to Suite 901 of the same building in October 2007.

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

 

 

OPERATIONS

 

Activities:                      Manufacturer and Exporter.

 

Lines:                           All kinds of plastic precision parts and plastic casings for hi-fi equipment, electrical products and computers, automobiles, precision instruments, mobile phones, fax machines

 

Employees:                  8.  (Hong Kong only)

 

Raw Materials:               Mainly purchases plastic materials from Germany, Japan, South Korea, Taiwan through local suppliers.

 

Markets:                        Hong Kong, China, Europe, US, Japan, Singapore

 

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

 

Terms/Buying:               L/C, T/T

 

 

 

FINANCIAL INFORMATION

 

Issued Share Capital: HK$28,287,501.00

 

Mortgage or Charge:-

Date of Debenture:        24-03-1999

Amount:                        All amounts

Property:                      a)         By way of first fixed charge, all book and other debts, accounts receivable and securities for money

b)         By way of first fixed charge, all stocks, shares, bonds and securities, whether marketable or otherwise, and all other interests of the Company

c)         By way of first floating charge, the undertaking and all the property, assets and rights of the Company

 

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

 

Profit or Loss:               Operation is profitable.

 

Condition:                     Keeping in an active and satisfactory manner.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      Regularly met.

 

Commercial Morality:     Satisfactory.

 

Bankers:-

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

Bank of China (Hong Kong) Ltd., Hong Kong.

 

Standing:                        Normal.

 

 

GENERAL

 

Chesfer Precision Plastics (China) Ltd. was incorporated in 1994 as a private limited company.  Formerly it was a subsidiary of Chesfer Precision Plastics Pte. Ltd. which is a Singapore-based firm.  Since 27th November, 1998, the subject has become a wholly-owned subsidiary of Metchem Singapore Pte. Ltd., also a Singapore-based firm.

 

In July 2002, the subject’s issued share capital was increased from HK$16,275,000.00 to HK$21,700,000.00, and further to 28,287,501.00 in the following years.

 

The managing director of the subject is Mr. Cheng Leung Kwai who is a Hong Kong merchant.

 

Being one of the members of the Chesfer Group, the subject is engaged in manufacturing and exporting various types of plastic precision parts and plastic casings for hi-fi equipment, electrical products and computers, automobiles, precision instruments, mobile phones, fax machines

 

Besides the subject, Chesfer Group has set up three factories in China, namely, Chesfer Precision Plastics (Shanghai) Co. Ltd. [Chesfer Shanghai], Chi Foo Electronics Ltd., Chesfer Precision Plastics (Suzhou) Co. Ltd. [Chesfer Suzhou] and Chesfer Precision Plastics (Dongguan) Co. Ltd. [Chesfer Dongguan].

 

Of the three factories, Chesfer Shanghai is the most significant.  Founded in 1997, Chesfer Shanghai is specialized in injection moulding and provides related secondary processing and assembly services.  Its injection machine ranges from 30 tons to 360 tons.  Well equipped with advanced machine and robotic automation, Chesfer Shanghai has been ISO 9001 and QS 9000 approved.

Chesfer Dongguan is in Jin Xiao Tang Industrial District, Dongguan City, Guangdong Province, China.  This company has about 300 employees and is engaged in manufacturing speakers bearing the trademark Strata.  This kind of products are widely used in LCD TV, notebooks, computers, mobile phones and tablets, etc.  Its R&D department is in the United States.

 

Chesfer Suzhou was set up on 28th June, 2002.  This company is engaged in manufacturing precision plastic parts for different requirements for its customers.  The contact person of Chesfer Suzhou is also Mr. Cheng Leung Kwai.

 

Chesfer Group has other subsidiary companies in Malaysia.

 

The subject is responsible for supplying its associated factories in China with plastic raw materials which are mainly sourced from DOW, DU PONT, or MITSUBISHI through local suppliers or imported from other European suppliers.  Most of its products are conducted on OEM terms.  Some of the products are exported to Japan and Singapore, the other Asian countries, etc.  The subject is the major authorised manufacturer for “PHILIPS” hi-fi equipment.  Business is quite active.

 

The subject’s business is mainly handled by Mr. Cheng Leung Kwai.  History in Hong Kong is over 21 years and five months.

 

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

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.75

UK Pound

1

Rs.102.17

Euro

1

Rs.74.38

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

ANK

 


 

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.