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Report No. : |
342915 |
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Report Date : |
29.09.2015 |
IDENTIFICATION DETAILS
|
Name : |
CHANGHONG (HONGKONG) TRADING LTD. |
|
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Registered Office : |
Room 1412, 14/F., West Tower, Shun Tak Centre, 168-200 Connaught Road Central, Sheung Wan |
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Country : |
Hongkong |
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Date of Incorporation : |
24.05.2005 |
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Com. Reg. No.: |
35656159 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Importer and
Exporter of Air-Conditioners, Electronic
Products, Other Electric
Appliances. |
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No. of Employees : |
13. (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 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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) |
|
Hongkong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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 12.5% 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 |
CHANGHONG
(HONGKONG) TRADING LTD.
ADDRESS: Room 1412, 14/F., West Tower,
Shun Tak Centre, 168-200 Connaught Road Central, Sheung Wan, Hong Kong.
PHONE: 852-3690
2366
FAX: 852-3690
2108
E-MAIL: eileen.yang@changhong.com
Managing Director:
Ms. HU Jia
Incorporated on: 24th May, 2005.
Organization: Private Limited Company.
Issued Share Capital: HK$200,000,000.00
Business Category: Electric
Product Trader.
Group Turnover: RMB59,503,900,569.63
Yuan (Year ended 31-12-2014)
Company Employees:
13. (Including associates)
Group Employees : 61,660
(As at 13-12-2014)
Main Dealing Banker: Bank
of China (Hong Kong) Ltd., Hong Kong.
Banking Relation: Good.
Registered Head
Office:-
Room 1412, 14/F., West Tower, Shun Tak Centre, 168-200
Connaught Road Central, Sheung Wan, Hong Kong.
Holding Company:-
Sichuan Changhong Electric Co. Ltd. [Changhong], China.
Ultimate Holding
Company:-
Sichuan Changhong Electronic Holdings Co. Ltd., China.
Affiliated/Associated
Companies:-
Changhong Group of Companies
Apex Digital Inc., British Virgin Islands.
Apex Honour Resources Ltd., British Virgin Islands.
BVCH Optronics (Sichuan) Co. Ltd., China.
Changchun Changhong Electric Technologies Co. Ltd.,
China.
Changhong (Hong Kong) Enterprises Ltd., Hong Kong.
Changhong Deutschland Ltd., Germany.
Changhong Electric (Australia) Pty. Ltd., Australia.
Changhong Electric India Pvt. Ltd., India.
Changhong Electric Middle East FZE, UAE.
Changhong Europe Electric s.r.o., Czech Republic.
Changhong IT (Hong Kong) Information Products Co. Ltd.,
Hong Kong.
Changhong IT Information Products Co. Ltd., China.
Changhong Jiahua Holdings Ltd., Hong Kong.
Changhong Overseas Development Ltd., Hong Kong. (Same address)
Changhong Ruba Trading Co. (Pvt) Ltd., Pakistan.
Changhong Russia Electric Co. Ltd., Russia.
Electra Investments B.V., the Netherlands.
Fit Generation Holding Ltd., British Virgin Islands.
Guangdong Changhong Digital Technology Co. Ltd., China.
Guangdong Changhong Electronics Co. Ltd., China.
Guohong Communications Digital Group Co. Ltd., China.
Hefei Changhong Industry Co. Ltd., China.
Hefei Meiling Co. Ltd., China.
Huayi Compressor Co. Ltd., China.
Jiangsu Changhong TV Co. Ltd., China.
Mianyang Guohong Communication Digital Group Co. Ltd.,
China.
Orion OLED Co. Ltd., South Korea.
Orion PDP Co. Ltd., South Korea.
P.T. Changhong Electric Indonesia, Indonesia.
Sichuan CCO Display Technology Co. Ltd., China.
Sichuan Changhong Electric Power Co. Ltd., China.
Sichuan Changhong Network Technologies Co. Ltd., China.
Sichuan Changhong New Energy Technology Co. Ltd., China.
Sichuan Changhong Precision Electronics Technology Co.
Ltd., China.
Sichuan Changhong-Sinew Technologies Co. Ltd., China.
Sichuan TECO Changhong Precision Co. Ltd., China.
Sterope Investments B.V., the Netherlands.
Sufficient Value Group Ltd., British Virgin Islands.
etc.
35656159
0972481
Managing Director:
Ms. Hu Jia
Marketing Manager:
Ms. Yang Lu, Eileen
Representative: Mr. Wu Xiangtao
HK$200,000,000.00
(As per registry dated 24-05-2015)
|
Name |
|
No. of shares |
|
Sichuan Changhong Electric Co. Ltd. 35 East Mian Xing Road, High-Tech Park, Mian Yang,
Sichuan, China. |
|
200,000,000 ========= |
(As per registry dated 24-05-2015)
|
Name (Nationality) |
Address |
|
HU Jia |
No. 321, Block 76, No. 5 Yue Jin Lu, Fu Cheng Qu, Mian
Yang Shi, Si Chuan Sheng, China. |
|
WU Xiangtao |
No. 161, Block 13, 5 Sheng Huo Qu, No. 5 Yue Jin Lu, Fu
Cheng Qu, Mian Yang Shi, Si Chuan Sheng, China. |
|
CHEN Hua |
Purchase Department, 35# East Mian Xing Road, Hi-Tech
Park, Mian Yang, Sichuan, China. |
|
SHI Qiang |
No. 111, 71 Chuang, No. 5 Yue Jin Road, Fu Cheng
District, Mian Yang City, Sichuan Province, China. |
|
YAO Bing |
No. 5 Yue Jin Road, Fu Cheng District, Mian Yang City,
Sichuan Province, China. |
(As per registry dated 24-05-2015)
|
Name |
Address |
Co. No. |
|
SBC Corporate Services Ltd. |
Room B, 10/F., Tower A, Billion Centre, 1 Wang Kwong Road,
Kowloon Bay, Kowloon, Hong Kong. |
0618863 |
The subject was
incorporated on 24th May, 2005 as a private limited liability company under the
Hong Kong Companies Ordinance.
The subject was
formerly located at Room 3701, 37/F., West Tower, Shun Tak Centre, 168-200
Connaught Road Central, Sheung Wan, Hong Kong, moved to the present address in
29th May, 2012.
Apart from these,
neither material change nor amendment has been ever traced and noted.
Activities: Importer
and Exporter.
Lines: Air-conditioners,
electronic products, other electric appliances.
Employees: 13. (Including associates)
Group Employees : 61,660
(As at 13-12-2014)
Materials/Commodities: Imports
raw materials from European countries, some Asian countries and finished products from China.
Markets: Europe,
Australia, North America, etc.
Group Turnover:-
RMB41,711,808,864.18
Yuan (Year ended 31-12-2010)
RMB52,003,328,326.13
Yuan (Year ended 31-12-2011)
RMB52,334,149,134.26
Yuan (Year ended 31-12-2012)
RMB58,875,274,661.52
Yuan (Year ended 31-12-2013)
RMB59,503,900,569.63
Yuan (Year ended 31-12-2014)
RMB27,308,196,600.54
Yuan (6 months ended 30-06-2014)
RMB29,853,897,906.45
Yuan (6 months ended 30-06-2015)
Company Turnover: RMB2,531,766.47 Yuan (Year ended 31-12-2014)
RMB1,264,281.20
Yuan (6 months ended 30-06-2015)
Terms/Sales: L/C or as per contracted.
Terms/Buying: Various terms.
Issued Share Capital: HK$200,000,000.00
Mortgage or Charge:
(See attachment)
Total Assets of Company:
RMB1,414,062.13
Yuan (Year ended 31-12-2014)
RMB1,529,771.24
Yuan (6 months ended 30-06-2015)
Net Assets of Company:
RMB137,962.79
Yuan (Year ended 31-12-2014)
RMB140,050.80
Yuan (6 months ended 30-06-2015)
Group Net Profit Attributable to Shareholders:-
RMB292,253,972.55
Yuan (Year ended 31-12-2010)
RMB396,198,844.63
Yuan (Year ended 31-12-2011)
RMB325,328,360.29
Yuan (Year ended 31-12-2012)
RMB512,481,605.58
Yuan (Year ended 31-12-2013)
RMB 58,857,812.40 Yuan (Year ended 31-12-2014)
(RMB181,133,760.16)
Yuan (6 months ended 30-06-2014)
(RMB190,888,073.32)
Yuan (6 months ended 30-06-2015)
Company Net Profit:
RMB20,391.74
Yuan (Year ended 31-12-2014)
(RMB 4,013.73 Yuan) (6 months ended 30-06-2015)
Profit or Loss: Group
& Company made a loss in the fist half of 2015.
Condition: Keeping in an active and good
condition.
Facilities: Making active use of general
banking facilities.
Payment: Met trade commitments as
contracted.
Commercial Morality:
Good.
Bankers:-
Bank of China
(Hong Kong) Ltd., Hong Kong.
RB International
Finance (Hong Kong) Ltd., Hong Kong.
Industrial &
Commercial Bank of China (Asia) Ltd., Hong Kong.
Deutsche Bank AG,
Hong Kong Branch.
Société Générale,
Hong Kong Branch.
Standing: Very Good.
Changhong (Hongkong)
Trading Ltd. is a wholly-owned subsidiary of Sichuan Changhong Electric Co.
Ltd. [Changhong] which is a China-based and listed firm. The subject is responsible for overseas
marketing and re‑exporting the products of Changhong.
The subject is also
known as Changhong Hongkong in abbreviation.
It has increased its share capital to HK$200 million in March 2012.
The subject has had
another associated firm known as Changhong Jiahua Holdings Ltd.
[Jiahua/formerly China Data Broadcasting Holdings Ltd.]. Jiahua is a listed firm in Hong Kong bearing
the stock code 8016.
At present, Changhong
and its subsidiaries are holding 52.53% of Jiahua’s interests.
Since Changhong is
the largest shareholder of Jiahua, it has had the right to control the Jiahua
Group. Now, Jiahua has become an arm for
overseas development of Changhong.
Established in 1958, Changhong
is a listed firm in China. It became a
public traded company with shares listed on the Shanghai Stock Exchange bearing
stock code 600839 in March 1994.
Changhong is located at Mianyang City, Sichuan Province, China. Changhong is now one of the largest Chinese
consumer electronics providers specialized in R&D, manufacturing and
marketing consumer electronics products.
Today, Changhong has
set up branches and joint ventures with 61,942 employees worldwide. It has established overseas branches and
representative offices in the United States, Europe, Australia, Russia, Turkey,
Thailand, India, Southeast Asia and the Middle East and is continuing setting
up branches and offices in the other markets.
With a world-class manufacturing facility, claimed by Changhong, it has
got the ISO 9001 and ISO 14001 certifications.
Its products are in conformity with international standards such as 3C,
UL, FCC, FDA, CE, SASO, GS, CB, etc.
Changhong has more than 20,000 Sales and Service outlets throughout the
world. Its products have found ready
markets in over 100 countries and regions.
Changhong for 15
consecutive years has been ranked the first in the domestic market as one out
of every four TVs in China is manufactured by it. It has established many joint laboratories
with Toshiba, Sanyo, GE, Microsoft, TI, Samsung, LG, Philips, etc. It also has established R&D centres in
Shanghai and Shenzhen Special Economic Zone in China, American Silicon Valley,
and Japan. Changhong’s goal is to actively participate in the development of a
global digital industry.
With advantages of
four R&D and manufacturing bases located in Mianyang, Zhongshan, Nantong,
and Changchun in China, Changhong has become an industry leader and the largest
supplier of consumer electronics in Asia.
In 2014, Changhong’s
turnover amounted to RMB59,503.9 million Yuan, grew by 1.1% as compared with
RMB58,875.3 million Yuan in 2013; net profit attributable to shareholders for
the year was RMB88.9 million Yuan, decreased by 88.5% as compared with RMB512.5
million Yuan in 2013.
For the year ended
31st December, 2014, the turnover of the subject amounted to RMB2.5 million
Yuan. Its net profit was just over
RMB20,000 Yuan. For the six months ended
30th June, 2015, the subject’s turnover was RMB1.3 million Yuan. It made a loss of over RMB4,000 Yuan in the
period.
As at 31st December
2014, Changhong Group had about 61,660 employees as at end of 2014. The subject is fully supported by Changhong.
The history of the
subject in Hong Kong is over ten years and three months.
On the whole,
consider it good for normal business engagements.
Brief personal profile of the principal directors:-
Mr. WU
Xiangtao, aged 41,
joined the subject as Executive Director and Deputy Managing Director in May 2008. Mr. Wu has ceased to hold the senior
management position but remains as a Director.
Mr. Wu is responsible for the strategies of the Group’s trading business
of consumer electronic products. He
holds a Master Degree in Business Administration from Southwestern University
of Finance and Economics and a Bachelor Degree in International Trade and
Economics from Shandong University in the PRC and recently obtained a Master
Degree in Business Administration from University of Glasgow, United Kingdom.
He has more than 18 years of experience in the consumer
electronics industry.
|
Date |
Description
of Instrument |
Mortgagee |
|
21-07-2008 |
Third Party Charge Over Cash Deposit |
RZB Austria Finance (Hong Kong) Ltd. [Now known as RB International Finance
(Hong Kong) Ltd.] |
|
20-05-2011 |
Trade Finance Security Assignment |
Industrial & Commercial Bank of China (Asia) Ltd.,
Hong Kong. |
|
23-08-2011 |
An Agreement of Cash Pledge |
Deutsche Bank (China) Co. Ltd., Guangzhou Branch on
behalf of Deutsche Bank AG, Hong Kong Branch. |
|
23-08-2011 |
Security Agreement |
Deutsche Bank AG, Hong Kong Branch. |
|
05-03-2012 |
Security Agreement |
Deutsche Bank AG, Singapore Branch. |
|
05-03-2012 |
An Agreement of Cash Pledge |
Deutsche Bank (China) Co. Ltd., Guangzhou Branch. |
|
29-08-2013 |
HK Account Charge dated 29th August 2013 executed by
the Chargor, the chargee and Societe Generale, Hong Kong Branch as Account
Bank |
Societe Generale |
|
03-04-2014 |
Charge Over Securities and Deposits with the Bank |
The Hongkong & Shanghai Banking Corp. Ltd.,
Hong Kong. |
|
03-04-2014 |
Charge Over Securities and Deposits with the Bank
(Unlimited Amount) |
The Hongkong & Shanghai Banking Corp. Ltd.,
Hong Kong. |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.08 |
|
|
1 |
Rs.100.32 |
|
Euro |
1 |
Rs.73.81 |
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.