About YUK WING GP Company

According to the Frost & Sullivan report, we are a leading manufacturer and supplier of downhole drilling tools in Hong Kong, China, with a market share of 59.2% in terms of revenue in 2015. Additionally, we sell piling rigs, drilling rigs, and rock drilling equipment purchased from external suppliers. We provide rock drilling technology solutions for all types of customers with rock drilling needs. We design, manufacture, and sell downhole rock drilling tools for building foundations, site piling, mining and quarrying, drilling wells, utility pipelines, micro tunnels, and cover drilling at various depths under different geological structures. Most of the equipment and instruments we supply to our customers are self-designed and manufactured downhole drilling tools, and the rest are purchased from third parties according to the customer's rock drilling needs. Our factory in Shunde, China manufactures self-designed downhole drilling tools. We mainly procure the main raw materials (mainly alloy steel and tungsten carbide) for self-designed and manufactured downhole drilling tools from five suppliers in China. We also procure piling rigs, drilling rigs and rock drilling equipment produced by third parties from external suppliers and manufacturers in Japan, China, Italy, Korea and Australia, and provide them to customers as rock drilling technology solutions. During the business record period, most of our revenue came from direct sales of our products to customers in Hong Kong and Macau, China, but the revenue from exporting downhole drilling tools through overseas distributors is growing increasingly strong. We began selling our products overseas in 2013, and entered into formal exclusive distribution arrangements with three distributors in Finland, Japan and India in 2014, 2015 and 2016, respectively. International demand for down-the-hole drilling tools in new markets in India and Canada is increasing. To meet these market needs, we have begun sales and marketing activities in these regions and plan to develop partnerships with local distributors. During the business record period, our top five customers were mainly foundation engineering companies and contractors in Hong Kong, China.