MIRA INFORM REPORT

Report No. :	506211
Report Date :	26.04.2018

IDENTIFICATION DETAILS

Name :	BLUE DIAM COMPANY LIMITED
Registered Office :	Unit 7, 15/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon
Country :	Hongkong
Date of Incorporation :	02.07.1991
Com. Reg. No.:	16085448
Legal Form :	Private Limited Company.
Line of Business :	Importer, Exporter and Wholesaler of All Kinds of Diamond and Jewellery Products.
No. of Employees :	5

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Hongkong	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	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 reexports, 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 continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.

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 aided a more rapid initial recovery 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 9.4% of total system deposits in Hong Kong by the end of 2015. 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. Mainland visitors to Hong Kong declined 3% in 2015 to approximately 45.7 million, reflecting an overall drop of 2.5% in total visitors to Hong Kong. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2015, mainland Chinese companies constituted about 51% of the firms listed on the Hong Kong Stock Exchange and accounted for about 62.1% 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. 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 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.

Credit expansion and a tight housing supply have caused Hong Kong property prices to rise rapidly; consumer prices increased 4.4% in 2014, but slowed to 2.9% in 2015. Lower- and middle-income segments of the population are increasingly unable to afford adequate housing.

Hong Kong’s economic integration with the mainland continues to be most evident in the banking and finance sector. Initiatives like the Hong Kong-Shanghai Stock Connect, the Mutual Recognition of Funds, and The Hong Kong Shanghai Gold Connect are all important steps towards opening up the Mainland’s capital markets and has reinforced Hong Kong’s leading role as China’s offshore RMB market. Additional connect schemes from bonds to commodities and other investment products are also under exploration by Hong Kong authorities.

Source : CIA

Company name and address

BLUE DIAM COMPANY LIMITED

ADDRESS: Unit 7, 15/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon, Hong Kong.

PHONE: 852-2369 3197, 2366 0727

FAX: 852-2369 3221

E-MAIL: bluediam@netvigator.com

bluediam.hk@gmail.com

MANAGEMENT

Managing Director: Mr. Naitik Mukesh Shah

SUMMARY

Incorporated on: 2nd July, 1991.

Organization: Private Limited Company.

Issued Share Capital: HK$45,507,954.00

Business Category: Diamond Trader.

Annual Sales Turnover: US$10-20 million.

Employees: 5.

Main Dealing Banker: Bank of India, Hong Kong Branch.

Banking Relation: Satisfactory.

ADDRESS

Registered Head Office:-

Unit 1507, 15/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon, Hong Kong.

Mailing Address:-

P.O. Box 96526, Tsim Sha Tsui Post Office, Kowloon, Hong Kong.

Subsidiary:-

Blue Diam Co., Hong Kong. (Same address)

BUSINESS REGISTRATION NUMBER

16085448

COMPANY FILE NUMBER

0316294

MANAGEMENT

Managing Director: Mr. Naitik Mukesh Shah

(Hong Kong mobile phone number: 852-6473 2661)

Contact Person: Ms. Woo

ISSUED SHARE CAPITAL

HK$45,507,954.00

SHAREHOLDERS

(As per registry dated 02-07-2017)

Name		No. of shares
Naitik Mukesh SHAH		43,881,198
Rashi Naitik SHAH		1,626,756
		–––––––––
	Total:	45,507,954 ========

DIRECTORS

(As per registry dated 02-07-2017)

Name (Nationality)	Address
Rashi Naitik SHAH	Flat C, 1/F., Block 5, Royal Peninsula, 8 Hung Lai Road, Hunghom, Kowloon, Hong Kong.
Naitik Mukesh SHAH	Flat C, 1/F., Block 5, Royal Peninsula, 8 Hung Lai Road, Hunghom, Kowloon, Hong Kong.

SECRETARY

(As per registry dated 02-07-2017)

Name	Address	Co. No.
Akin Professionals Ltd.	20/F., Champion Building, 287-291 Des Voeux Road Central, Sheung Wan, Hong Kong.	1273165

HISTORY

The subject was incorporated on 2nd July, 1991 as a private limited liability company under the Hong Kong Companies Ordinance.

Originally the subject was registered under the name of Worldata Investment Ltd., name changed to the present style on 17th January, 2013.

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

OPERATIONS

Activities: Importer, Exporter and Wholesaler.

Lines: All kinds of diamond and jewellery products.

Employees: 5.

Commodities Imported: India, other Asian countries, Belgium, other European countries, etc.

Markets: Japan, other Asian countries, the Middle East, Central and South America, etc.

Annual Sales Turnover: US$10-20 million.

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

Terms/Buying: L/C, T/T, D/P, etc.

FINANCIAL INFORMATION

Issued Share Capital: HK$45,507,954.00

Mortgage or charges: (See attachment)

Profit or Loss: Making a small profit every year.

Condition: Keeping in an active condition.

Facilities: Making active use of general banking facilities.

Payment: No Complaints.

Commercial Morality: Satisfactory.

Bankers:-

Bank of India, Hong Kong Branch.

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

Antwerpse Diamantbank NV, Belgium.

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

Standing: Good.

GENERAL

Blue Diam Company Limited is jointly owned by Mr. Naitik Mukesh Shah, holding 96.4%, and Mr. Rashi Naitik Shah, holding 3.6%. Both are India merchants.

Being Hong Kong ID holders, they have got the right to reside in Hong Kong. They are also the directors of the subject.

We can reach Mr. Naitik Mukesh Shah at your give Hong Kong mobile phone number 852-6473 2661.

The subject has had a subsidiary company located at the same address known as Blue Diam Co. [BDC]. The subject and BDC are engaged in the same lines of business.

The subject is a diamond importer, exporter and wholesaler. It is engaged in manufacturing loose diamonds, loose diamond collection, and round diamonds like marquise, pears, tappers, buggets and rose cut diamonds. Other products include diamond gold jewellery and diamond platinum jewellery. However, the subject is famous for its loose diamonds.

The subject’s diamonds carried bear the following specifications:-

Clarity — VVS2, VS1, SI1;

Colour — F, G, H; &

Size — 1 ct.~0.5 ct, 0.5 ct~0.2 ct.

Rough, cut or polished diamonds are imported from India, other Asian countries, Belgium or other European countries. Products are exported to Japan, other Asian countries, the Middle East, Central and South America, etc. Overall business is satisfactory. Regular suppliers and customers have been maintained.

The subject is owned by the Shah family and has had close business ties with those jewellery traders in the United Arab Emirates.

In order to penetrate the international market further, BDC has taken part in fairs and exhibitions held in Hong Kong and other foreign large cities.

For instance, it took part in “HKTDC Hong Kong International Diamond, Gem & Pearl Show 2017” which had been held in Hong Kong AsiaWorld-Expo, Lantau, Hong Kong during the period of 28th February to 4th March, 2017. Its booth No. was AWE 5-E08.

The annual sales turnover of the subject (including parent) and BDC ranges from US$10 to 20 million. Making a small profit every year.

The contact person is Ms. Woo who is a Hong Kong employee.

As the history of the subject in Hong Kong is over 26 years and five months, on the whole, consider it good for normal business engagements.

MORTGAGE OR CHARGE

Date	Description of Instrument	Mortgagee
12-04-2017	Mortgage	Bank of China (Hong Kong) Ltd., Hong Kong.
12-04-2017	Debenture	Bank of China (Hong Kong) Ltd., Hong Kong.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 66.70
UK Pound	1	INR 93.14
Euro	1	INR 81.43
HKD	1	INR 8.51

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	PRA
Report Prepared by :	NIT

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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.