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MIRA INFORM REPORT
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Report No. : |
496218 |
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Report Date : |
13.03.2018 |
IDENTIFICATION DETAILS
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Name : |
ELDON DEVELOPMENT LIMITED |
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Registered Office : |
42/F., Office Tower Convention Plaza, 1 Harbour Road, Wan Chai |
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Country : |
Hongkong |
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Date of Incorporation : |
25.04.1989 |
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Com. Reg. No.: |
13267047 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Trader of all kinds of iron & steel products and materials. |
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No. of Employees : |
10 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
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Credit Rating |
Explanation |
Rating Comments |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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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
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Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Hongkong |
A1 |
A1 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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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.
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Source
: CIA |
Company
name and address
ELDON DEVELOPMENT
LIMITED
ADDRESS: 42/F.,
Office Tower Convention Plaza, 1 Harbour Road, Wan Chai, Hong Kong.
PHONE: 852-2877
8558
FAX: 852-2602
8623
E-MAIL: eldondl@hotmail.com
MANAGEMENT
Managing Director:
Mr. Xing Lei
SUMMARY
Incorporated on: 25th April, 1989.
Organization: Private
Limited Company.
Issued Share Capital: HK$30,000,000.00
Business Category: Iron
& Steel Trader.
Group Operating Revenue:
RMB50,142.9 million Yuan
(Year ended 31-12-2016)
Employees: 10.
Main Dealing Banker: Agricultural
Bank of China Ltd., Hong Kong Branch.
Banking Relation: Good.
ADDRESS
Registered Head
Office:-
42/F., Office Tower Convention Plaza, 1 Harbour Road, Wan
Chai, Hong Kong.
Holding Company:-
Shandong Laiwu Steel International Trading Co. Ltd.,
China.
Intermediate Holding
Company:-
Shandong Iron & Steel Group International Trade Co.
Ltd., China.
Ultimate Holding
Company:-
Shandong Iron & Steel Group Co. Ltd., China.
Related/Affiliated
Companies:-
Jigang Group Co. Ltd., China.
Jigang Hong Kong Holding Co. Ltd., Hong Kong.
Laigang Group Mine Construction Co. Ltd., China.
Laigang Group Wanhe Metallurgical Building Materials Co.
Ltd., China.
Laiwu Iron & Steel Group Co. Ltd., China.
Laiwu Steel Corporation, China.
Laiwu Steel Group Machinery Mfg. Co. Ltd., China.
Laiwu Steel Group Xintai Copper Industry Co. Ltd., China.
Luyin Investment Group Co. Ltd., China.
Luyin Shandong International Economic & Trade Co.
Ltd., China.
Qilu Securities Co. Ltd., China.
Qingdao Yuefeng Logistics Co. Ltd., China.
Shandong Iron & Steel Co. Ltd., China.
[Formerly known as Jinan Iron & Steel Co. Ltd.
Shandong Iron & Steel Group Financial Co. Ltd.,
China.
Shandong Laigang Construction Co. Ltd., China.
Shandong Laigang Iron Ore Charge Co. Ltd., China.
Jigang Singapore Pte. Ltd., Singapore.
Jinan Steel International Trade Co. Ltd., China.
Shandong Iron & Steel Group International Trade Co.
Ltd., China.
BUSINESS
REGISTRATION NUMBER
13267047
COMPANY
FILE NUMBER
0249979
MANAGEMENT
Managing Director:
Mr. Xing Lei
Contact Person: Mr. Hou Zhao-Qiang
ISSUED
SHARE CAPITAL
HK$30,000,000.00
SHAREHOLDERS
(As per registry dated 25-04-2017)
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Name |
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No. of shares |
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Shandong Laiwu Steel International Trading Co. Ltd. 39 Donghai Road, Shinan District, Shandong Province,
China. |
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30,000,000 ======== |
DIRECTORS
(As per registry dated 23-02-2018)
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Name (Nationality) |
Address |
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TAI Jun Li |
Room 1504, Unit 1, Building 3, 148 Jingsong Third Road,
Qingdao City, Shandong Province, China. |
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XING Lei |
Room C, 20/F., Ching Wah Street, North Point,
Hong Kong. |
SECRETARY
(As per registry dated 25-04-2017)
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Name |
Address |
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CHEN Wantao |
42/F., Convention Plaza Office Tower, 1 Harbour Road,
Wanchai, Hong Kong. |
HISTORY
The subject was
incorporated on 25th April, 1989 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: Iron
& Steel Trader.
Lines: All
kinds of iron & steel products and materials.
Employees: 10.
Commodities Imported: China,
Australia, South America, etc.
Markets: China, other Asian
countries, etc.
Group Operating Revenue:-
RMB53,451.4
million (Year ended 31-12-2014)
RMB40,178.2
million (Year ended 31-12-2015)
RMB50,142.9
million (Year ended 31-12-2016)
RMB36,158.0
million (9 months ended 30-09-2016)
RMB43,908.4
million (9 months ended 30-09-2017)
Terms/Sales: As per contracted.
Terms/Buying: Various terms.
FINANCIAL
INFORMATION
Issued Share Capital: HK$30,000,000.00
Indebtedness: UK$1,240
million (Total amount outstanding on all mortgages and charges as per last Annual Return dated 25-04-2017)
Mortgage or Charge:
(See attachment)
Profit or Loss: Group
made losses in 2014 & 2016 but made a profit in 2017.
Group Profit / (Loss) Attributable to Shareholders:
(RMB1,389.5
million) (Year ended 31-12-2014)
RMB 86.8 million (Year ended 31-12-2015)
(RMB 599.9 million) (Year ended 31-12-2016)
RMB
26.0 million (9 months ended
30-09-2016)
RMB1,072.7 million (9 months ended 30-09-2017)
Condition: Business is normal.
Facilities: Adequate
for current running.
Payment: Met as required.
Commercial Morality:
Satisfactory.
Bankers:-
China Merchants Bank
Co., Ltd., Hong Kong.
Agricultural Bank of
China Ltd., Hong Kong Branch.
ING Bank N.V., Hong
Kong Branch.
ABN AMRO Bank N.V.,
Hong Kong Branch.
The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong.
Industrial Bank Co.
Ltd., Hong Kong Branch.
Standing: Satisfactory.
GENERAL
Having issued 30 million
ordinary shares of HK$1.00 each, Eldon Development Limited is a wholly-owned
subsidiary of Shandong Laiwu Steel International Trading Co. Ltd. [SLSIT] which
is a China-based company.
The registered
capital of SLSIT was over RMB60 million Yuan and its total asset amounted to
RMB375 million Yuan.
The managing director
of the subject Mr. Xing Lei is a China merchant. He is a Hong Kong ID holder and has got the
right to reside in Hong Kong.
The ultimate holding
company Shandong Iron & Steel Group Co. Ltd. is also a China-based company.
Shandong Iron &
Steel Co. Ltd. [Group] is a listed company in Shanghai, China.
The subject is
trading in the following products:
Fuel, hot-rolled carbon structural plate, A & B-class ship plate, durable
high-strength sea-water corrosion 09MnNb marine board, AH32, AH36 high strength
ship plate, 09CuPTiRE weather resistance steel plate, H type steel, boiler
plate, pressure vessel plates, pattern plate, hot rolled ribbed reinforced
concrete with steel bar, round bar, etc.
Products are marketed
in China and exported to Southeast Asia, etc.
In 2016, the
operating revenue of the Group amounted to RMB50.1 billion Yuan (2014: RMB40.2
billion Yuan); Group loss attributable to shareholders amounted to RMB599.9
million as compared with a profit of RMB86.8 million Yuan in 2015.
The business of the
Group improved substantially in 2017. In
the first nine months of 2017, the operating revenue of the Group amounted to
RMB43.9 billion Yuan (same period of 2016: RMB36.2 billion Yuan); Group profit
attributable to shareholders amounted to RMB1,072.7 million as compared with a
profit of RMB26.0 million Yuan in the same period of 2016.
The subject’s
business is chiefly handled by Mr. Xing Lei.
History in Hong Kong is over 28 years and ten months.
On the whole, in view
of the background of the subject, consider it good for normal credit
requirements.
MORTGAGE
OR CHARGE
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Date |
Description
of Instrument |
Mortgagee |
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21-11-2012 |
Security Agreemnt Over Bank
Account |
Standard Chartered Bank (Hong Kong) Ltd.,
Hong Kong. |
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29-11-2012 |
Trade Finance Security
Assignment |
China Merchants Bank Co. Ltd., Hong Kong. |
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18-07-2014 |
Trade Finance Security
Assignment |
Agricultural Bank of China Ltd., Hong Kong Branch. |
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21-08-2014 |
Deed of Charge and
Assignment of Receivables |
ING Bank N.V., Hong Kong Branch. |
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18-12-2015 |
Security Memorandum (First
Party) |
ABN AMRO Bank N.V., Hong Kong Branch. |
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02-06-2017 |
Charge Over Deposit |
Agricultural Bank of China Ltd., Hong Kong Branch. |
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16-11-2017 |
Charge on Deposit |
Industrial Bank Co. Ltd., Hong Kong Branch. |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 65.02 |
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1 |
INR 90.12 |
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Euro |
1 |
INR 80.09 |
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HKD |
1 |
INR 8.28 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
NIT |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with moderate
risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on secured
terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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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
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Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.