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MIRA INFORM REPORT
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Report No. : |
510632 |
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Report Date : |
30.05.2018 |
IDENTIFICATION DETAILS
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Name : |
EARTH PRODUCTS CHINA LIMITED |
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Registered Office : |
12/F., Asia Trade Centre, 79 Lei Muk Road, Kwai Chung,
New Territories |
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Country : |
Hongkong |
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Date of Incorporation : |
24.11.1987 |
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Com. Reg. No.: |
11537979 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Importer, Exporter, Wholesaler and Supplier of all kinds of
geotechnical and structural instruments and equipment such as acoustic emission
testers, hardness testers, data loggers, fluorescent pentrant, infrared
thermometers, ultrasonic flaw detectors, leak seekers, load cells, pressure
cells, thermo tracers, torsion and rotary bending testing machines, universal
testing machines. |
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No. of Employees : |
26 |
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 : |
Good |
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Payment Behaviour : |
Regular |
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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.
Excess liquidity, low interest rates and a tight housing supply have caused Hong Kong property prices to rise rapidly. The lower and middle-income segments of the population increasingly find housing unaffordable.
Hong Kong's open economy has left it exposed to the global economic situation. Its continued reliance on foreign trade and investment makes it vulnerable to renewed global financial market volatility or a slowdown in the global economy.
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 surged from 4.5 million in 2001 to 47.3 million in 2014, outnumbering visitors from all other countries combined. After peaking in 2014, overall tourist arrivals dropped 2.5% in 2015 and 4.5% in 2016. The tourism sector rebounded in 2017, with visitor arrivals rising 3.2% to 58.47 million. Travelers from Mainland China totaled 44.45 million, accounting for 76% of the total.
The Hong Kong Government is promoting the Special Administrative Region (SAR) as the preferred business hub for 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, RMB trade settlement is allowed, and investment schemes such as the Renminbi Qualified Foreign Institutional Investor (RQFII) Program was first launched in Hong Kong. Offshore RMB activities experienced a setback, however, after the People’s Bank of China changed the way it set the central parity rate in August 2015. RMB deposits in Hong Kong fell from 1.0 trillion RMB at the end of 2014 to 559 billion RMB at the end of 2017, while RMB trade settlement handled by banks in Hong Kong also shrank from 6.8 trillion RMB in 2015 to 3.9 trillion RMB in 2017.
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 50% of the firms listed on the Hong Kong Stock Exchange and accounted for about 66% 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 (CEPA), 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. On the basis of the Guangdong Agreement, the Agreement on Trade in Services signed in November 2015 further enhanced liberalization, including extending the implementation of the majority of Guangdong pilot liberalization measures to the whole Mainland, reducing the restrictive measures in the negative list, and adding measures in the positive lists for cross-border services as well as cultural and telecommunications services. In June 2017, the Investment Agreement and the Agreement on Economic and Technical Cooperation (Ecotech Agreement) were signed under the framework of CEPA.
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 Hong Kong- Shenzhen Stock Connect the Mutual Recognition of Funds, and the Bond Connect scheme are all important steps towards opening up the Mainland’s capital markets and have reinforced Hong Kong’s role as China’s leading offshore RMB market. Additional connect schemes such as ETF Connect (for exchange-traded fund products) are also under exploration by Hong Kong authorities. In 2017, Chief Executive Carrie 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
EARTH PRODUCTS CHINA
LIMITED
ADDRESS: 12/F., Asia Trade Centre, 79 Lei Muk
Road, Kwai Chung, New Territories,
Hong Kong.
PHONE: 852-2392 8698
FAX: 852-2395 5655
E-MAIL: marketing@epc.com.hk
MANAGEMENT
Managing Director:
Mr. Ko Fung, Frank
SUMMARY
Incorporated on: 24th November, 1987.
Organization: Private Limited Company.
Issued Share Capital: HK$10,000,000.00
Business Category: Supplier
of geotechnical and structural instruments and equipment.
Employees: 26.
Main Dealing Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
ADDRESS
Registered Head
Office:-
12/F., Asia Trade Centre, 79 Lei Muk Road, Kwai Chung,
New Territories, Hong Kong.
Associated
Companies:-
Beijing Earth Products Ltd., China.
Building Diagnostic Consultants Ltd., Hong Kong.
Chengdu Earth Products Ltd., China.
Daochong Technologies Ltd., China.
Dataker China Ltd., China.
Earth Products India Pvt. Ltd., India.
Earth Products Ltd., Hong Kong.
Earth Technologies Ltd., Hong Kong.
Guangzhou Earth Products Technologies Ltd., China.
Guangzhou Yantai Hi-Tech Engineering Consultants Ltd.,
China.
Jinan Earth Products Technologies Ltd., China.
Nanjing Earth Products Technologies Ltd., China.
Proceq China Ltd., Hong Kong.
Rubber Master China Ltd., Hong Kong.
Shanghai EP International Trading Ltd., China.
Wuhan Earth Products Technologies Ltd., China.
Xian Earth Products Technologies Ltd., China.
Yan Tai Technologies Ltd., China.
BUSINESS REGISTRATION NUMBER
11537979
COMPANY FILE NUMBER
0204317
MANAGEMENT
Managing Director:
Mr. Ko Fung, Frank
Contact Person: Mr. Danny Wong
ISSUED SHARE CAPITAL
HK$10,000,000.00
SHAREHOLDER
(As per registry dated 24-11-2017)
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Name |
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No. of shares |
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KO Fung |
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10,000,000 ======== |
DIRECTORS
(As per registry dated 24-11-2017)
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Name (Nationality) |
Address |
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KO Ying Chi |
Flat D, 15/F., Block 6, Mount Haven, 3 Liu To Road,
Tsing Yi, New Territories, Hong Kong. |
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KO Fung |
Flat B, 9/F., Tower 1, Mount Beacon, 20 Cornwall
Street, Kowloon, Hong Kong. |
SECRETARY
(As per registry dated 24-11-2017)
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Name |
Address |
Co. No. |
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Konson Management Consultants Ltd. |
25/F., 22 Yee Wo Street, Causeway Bay, Hong Kong. |
0402600 |
HISTORY
The subject was
incorporated on 24th November, 1987 as a private limited liability company
under the Hong Kong Companies Ordinance.
Long time ago, the
subject was located at ‘Room 1205-1206, 12/F., Seapower Centre, 73-77 Lei Muk
Road, Kwai Chung, New Territories, Hong Kong’. It moved to the present address in February
2008.
Apart from these,
neither material change nor amendment has been ever traced and noted.
OPERATIONS
Activities: Importer,
Exporter, Wholesaler and Supplier.
Lines: All kinds of
geotechnical and structural instruments and equipment such as acoustic emission
testers, hardness testers, data loggers, fluorescent pentrant, infrared
thermometers, ultrasonic flaw detectors, leak seekers, load cells, pressure
cells, thermo tracers, torsion and rotary bending testing machines, universal
testing machines.
Agents for:
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Brand |
Products |
Country
of Origin |
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BYCOTES |
Fluorescent pentrant |
Sweden |
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DECI |
Acoustic emission testers |
U.S.A. |
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HEGEWALD & PESCHKE |
Universal testing machines |
Germany |
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MESSPHYSIK |
Torsion and rotary bending testing machines |
Austria |
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MIKRN |
Infrared thermometers |
U.S.A. |
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NEC SAN-EI |
Thermo tracers |
Japan |
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PROCEQ |
Hardness testers |
Switzerland |
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ROCTEST |
Load cells, pressure cells |
Canada |
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TML |
Data loggers |
Japan |
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TRAMEX |
Leak seekers |
Ireland |
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VOTUM |
Ultrasonic flaw detectors |
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Employees: 26.
Commodities Imported: Imported
from US, UK, Japan, Canada, Sweden, Germany, Denmark, Finland, France,
Austria,
Switzerland, Ireland.
Markets: Hong Kong, Macau, China, and other
Asia Pacific regions.
Terms/Sales: Various terms.
Terms/Buying: L/C, T/T, O/A, D/P and D/A.
MAJOR SUPPLIERS
Texas Measurements Inc., U.S.A.
Construction Technology Laboratories Inc., U.S.A.
Carl Bro Pavement Consultants, Denmark.
MAJOR CUSTOMER
Roctest Ltd., Hong Kong.
FINANCIAL INFORMATION
Issued Share Capital: HK$10,000,000.00
Mortgage or Charge:
(See attachment)
Profit or Loss: Business is profitable.
Condition: Keeping in an active and
satisfactory manner.
Facilities: Making active use of general banking
facilities.
Payment: Met as required.
Commercial Morality:
Satisfactory.
Bankers:-
The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong.
Bank of China
(Hong Kong) Ltd., Hong Kong.
Standard Chartered
Bank (Hong Kong) Ltd., Hong Kong.
Industrial &
Commercial Bank of China (Asia) Ltd., Hong Kong.
Standing: Very Good.
GENERAL
Earth Products China
Limited [EPC], incorporated in November 1987, is wholly-owned by Mr. Ko Fung
who is a Hong Kong merchant.
EPC is providing
total solutions of advanced civil engineering testing instruments &
equipment in China, Hong Kong and Macau.
EPC in fact is the
flagship of the Earth Technologies Group.
Its headquarters are in Hong Kong with 11 branches all over China. The branches are located in Guangzhou,
Beijing, Shanghai, Nanjing, Chengdu, Xi’an, Shenyang, Wuhan, Shenzhen SEZ,
Fuzhou and Jinan.
There are also
warehouses and after-sales centres in each branch office.
The group’s
associated company in India is known as Earth Products India Pvt. Ltd., an
India-registered company.
EPC has emerged from
a civil engineering instrument supplier to become an advanced civil engineering
instrument total solution provider. EPC
is specialized in a wide range of testing and inspection application instruments
that are manufactured in overseas and are classified in to 13 divisions:-
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In-situ Testing Department;
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Engineering Geophysics Department;
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Geotechnical & Structural Monitoring
Department;
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Pile Testing Department;
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Laboratory Rock & Soil Testing
Department;
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Building Structure Non-Destructive Testing
Department;
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Electronic Strain Measurement Department;
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Highway Testing Department;
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Bridge Diagnostic and Health Monitoring
Department;
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Environmental Monitoring Department;
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Furniture Testing Products;
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Electronic Testing Products;
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Construction Material and Structural Testing.
The subject is
trading in the following products:-
Obsolete Solution,
Building demolition equipment, Waste Gas Treatment Equipment, Highway and
Bridge Inspection Instruments, Building Structure NDT Equipment, Highway
Construction Materials Testing Equipment, Laboratorial Rock and Soil Testing
Apparatuses, Geotechnical Engineering Structure Monitoring Instruments, In-situ
Testing Products, Pile Testing Products, Automotive and Aviation Testing
Equipment, Furniture Testing Instrument, Mobile Crusher Geophysical Exploration
Instrument, Sensor and Data logger Environmental Monitoring Equipment,
Industrial NDT Equipment, Energy Saving Equipment, etc.
Besides, EPC offers
clients with the following solutions:
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Roads and Bridges Detection;
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Geotechnical Engineering;
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Pile Testing;
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Engineering Geophysics;
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Constructive NDT;
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Industrial NDT;
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Laboratory Rock & Soil Testing;
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Pipe Leakage;
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Asphalt Recycling, etc.
EPC is the sole
authorized agent for more than 40 leading manufacturers from the United States,
the United Kingdom, Germany, Canada, Denmark, Finland, France, etc. For instance, it has got the following
partners:
Broadbent, Giatec,
Worldsensing, BDI, GDS, Fakopp, 3D-Radar, Data Taker, Robi, Testing, Radar
Team, etc.
In total, there are
over 180 employees in the Group.
The subject’s
associated companies in China have got a number of awards and achievements.
The business of EPC
is maintained in a satisfactory manner.
History in Hong Kong is over 30 years and six months. The Contact Person is Mr. Danny Wong who
is the Assistant Sales Manager.
On the whole, in view
of the history and background of EPC, consider it good for normal business
engagements.
MORTGAGE OR CHARGE
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Date |
Particulars |
Amount |
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23-08-2007 |
Instrument: Mortgage Property: 167/269,724th parts or shares of and in Tsing Yi Town
Lot No. 134 (Flat D, 15/F., Block 6, Mount Haven, 3 Liu To Road, Tsing
Yi, New Territories, Hong Kong.) Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
To secure all moneys in respect of general banking
facilities and interest |
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19-11-2010 |
Instrument: Security Over Deposits Property: Deposit and the interest thereon together with any
other moneys or deposits placed with the Bank from time to time at any
offices Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
(i) all monies in any currency; (ii) interest on such
monies and (iii) all expenses of the chargee in perfecting or enforcing the
charge |
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11-04-2011 |
Instrument: Security Over Deposits Property: A deposit with chargee in the amount of HK$2,000,000
under Deposit A/C No. 600-358196 Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
(i) all monies in any currency; (ii) interest on such
monies and (iii) all expenses of the chargee in perfecting or enforcing the
charge |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 67.82 |
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1 |
INR 90.17 |
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Euro |
1 |
INR 78.70 |
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HKD |
1 |
INR 8.64 |
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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NIS |
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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
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Promoters
/ Management background
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Payment
record
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Litigation
against the subject
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Industry
scenario / competitor analysis
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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.