MIRA INFORM REPORT

Report No. :	490978
Report Date :	13.02.2018

IDENTIFICATION DETAILS

Name :	S B GEMS (FAR EAST) LIMITED
Registered Office :	C/o Pressonic Management Ltd., Room 904-905, 9/F., Seaview Commercial Building, 23 Connaught Road West
Country :	Hongkong
Date of Incorporation :	18.09.2012
Com. Reg. No.:	60378061
Legal Form :	Private Limited Company.
Line of Business :	Importer, Exporter and Wholesaler of all kinds of Diamonds.
No. of Employees :	1

RATING & COMMENTS

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

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

Status :	Satisfactory
Payment Behaviour :	Slow but Correct
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 (30.06.2017)	Current Rating (30.09.2017)
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

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 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, which took effect in 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 2.6% in 2016, but slowed to 2.0% in 2017. 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. In 2017, Chief Executive Lam announced plans to increase government spending on research and development, education, and technological innovation with the aim of spurring continued economic growth through greater sector diversification.

Source : CIA

NOTE

The subject is not located at the given address “13/F., Hang Shun Commercial Building, 12 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.” As this address is occupied by Twinklediam Hong Kong Ltd.

Its phone number and fax number are 852-2739 1001 and 852‑2739 1011 respectively. However, the subject may be using this address as its corresponding address.

Company name and address

S B GEMS (FAR EAST) LIMITED

ADDRESS: C/o Pressonic Management Ltd.

Room 904-905, 9/F., Seaview Commercial Building, 23 Connaught Road West, Hong Kong.

PHONE: 852-2301 1701

FAX: 852-2301 1711

E-MAIL: sbgems@netvigator.com

MANAGEMENT

Managing Director: Mr. Bhartendu Sharda

SUMMARY

Incorporated on: 18th September, 2012.

Organization: Private Limited Company.

Issued Share Capital: HK$1.00

Business Category: Importer, Exporter and Wholesaler.

Employees: 1.

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

Banking Relation: Satisfactory.

ADDRESS

Registered Head Office:-

C/o Pressonic Management Ltd.

Room 904-905, 9/F., Seaview Commercial Building, 23 Connaught Road West, Hong Kong.

BUSINESS REGISTRATION NUMBER

60378061

COMPANY FILE NUMBER

1802004

MANAGEMENT

Managing Director: Mr. Bhartendu Sharda

Contact Person: Ms. Michelle

ISSUED SHARE CAPITAL

HK$1.00

SHAREHOLDER

(As per registry dated 18-09-2017)

Name	No. of share
Bhartendu SHARDA	1 =

DIRECTOR

(As per registry dated 18-09-2017)

Name (Nationality)	Address
Bhartendu SHARDA	Room 904, 9/F., Seaview Commercial Building, 23 Connaught Road West, Hong Kong.

SECRETARY

(As per registry dated 18-09-2017)

Name	Address	Co. No.
Pressonic Management Ltd.	Room 904-905, 9/F., Seaview Commercial Building, 23 Connaught Road West, Hong Kong.	0350445

HISTORY

The subject was incorporated on 18th September, 2012 as a private limited liability company under the Hong Kong Companies Ordinance.

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

OPERATIONS

Activities: Importer, Exporter and Wholesaler.

Lines: All kinds of diamonds.

Employees: 1.

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

Markets: Hong Kong, Southeast Asia, Europe, Middle East, etc.

Terms/Sales: L/C, T/T, etc.

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

FINANCIAL INFORMATION

Issued Share Capital: HK$1.00

Profit or Loss: Made a small profit in 2015.

Condition: Keeping in a normal manner.

Facilities: Adequate for current running.

Payment: Met trade commitments on time.

Commercial Morality: Satisfactory.

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

Standing: Normal.

GENERAL

Having issued just one ordinary share of HK$1.00, S B Gems (Far East) Limited is wholly owned by Mr. Bhartendu Sharda who is an India merchant. He is an India passport holder and does not have the right to reside in Hong Kong permanently. He is also the only director of the subject.

The subject’s registered office is in a commercial service firm located at ‘Room 904-905, 9/F., Seaview Commercial Building, 23 Connaught Road West, Hong Kong’ known as ‘Pressonic Management Ltd.’ [PML] which is handling its correspondences and documents. PML is also the corporate secretary of the subject.

PML has assigned an employee Ms. Michelle to handle the subject’s business.

The subject is trading in natural fancy colour diamonds (pink, yellow, golden, orange, green), brown and black diamond, diamond drops, beads, briolette, colour-stone (emerald, ruby, sapphire), other semi-precious stones, etc. Its prime markets are Hong Kong, China, the United States and India. The subject is also trading in the following commodities:-

· Diamond — Polished White Diamond, Polished Colour Diamond

· Precious Gemstones — Polished Emerald, Polished Ruby, Polished Sapphire

· Polished Semi-Precious Gemstones — Opal, Spinel, Topaz, Aquamarine, Aquamarine, etc.

The subject is a leading manufacturer of fine jewellery and natural fancy colour diamonds with offices in Taipei and a manufacturing facility in Mumbai, India. Its products are chiefly supplied by its India facility. The subject is also very active in selling loose diamonds, precious and semi‑precious stones.

The subject’s history in Hong Kong is over five years and four months.

On the whole, consider it good for normal business engagements in small credit amounts.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 64.28
UK Pound	1	INR 89.02
Euro	1	INR 78.93
HKD	1	INR 8.21

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

INFORMATION DETAILS

Analysis Done by :	NIS
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.