Friday, September 4, 2009

Hong Kong Stock Market Wrap Sept 3rd, 2009

IPO: China All Access (633HK), an integrated information communication application solution provider and application service provider, kicks off its IPO today. The company offers 250 million new shares, of which 90 per cent are for placing and 10 per cent are for retail subscription at a price of HK$1.38 to HK$1.78. Entry fee is HK$3,595.92. The company will list on the Hong Kong bourse on September 16. Sinopharm starts its road show today for its listing on the Hong Kong bourse to raise as much as HK$ 8.73 billion. The share price is set at HK$ 12.25 to HK$16.00, which is 18 to 24 times of its estimated P/E ratio in 2010.

Telecom: China Chengtong Development announced yesterday that it will sell the stake in Goodwill Overseas for HK$214.5 million, expecting an revenue of HK$96 million in the deal.

Properties: Chinese Estates Holdings announced yesterday that it sold 10 derivatives and properties to its chairman and chief executive Mr. Joseph Lau, Luen-hung for more than HK$2 billion. The company said the sales revenue is used for its operating expenditure and delivering special dividend to shareholders. Chairman of Hang Lung Properties (101 HK), Mr Ronnie Chan Chichung, said yesterday that Hung Lung Properties may sell its newly built residential building in Tai Kok Tsui “The Long Beach” again at the end of this year. Due to a real domestic demand for property, the land developer believes that the property price will rise especially for the small and medium-sized properties. Cash-rich commercial property developer SOHO China (410 HK) won a bid for a plot in Beijing for 4 billion yuan in an auction. The site in Beijing ’s Chaoyang district can provide a gross floor area of 500,000 square metres and will be developed into commercial properties. Shanghai Zendai Property (755 HK) recorded a double-digit growth in its first-half net profit to HK$ 963 million. No interim dividend was declared.

Resouces: Consumer sector-focused China Resources Enterprise (CRE) posted a net profit of HK$1.158 billion for the first half, which is a 22.2 per cent fall from a year earlier. Earnings per share were HK$0.48. An interim dividend of HK$0.14 per share was declared. The company expects to see growth in store sales in its supermarket operations in the second half.

Singamas (716 HK) Container Holdings Limited recorded a net loss of US$27.37 million for the first half on decreasing cargo demand, reversing from a net profit of US$13.57 million a year ago. Loss per share was US$0.021. No interim dividend was declared.

Sing Tao News Corporation (1105 HK) recorded a net loss of HK$ 22.2 million for the first six months ended June 30, dragged down by the decrease in the advertising income. Losses per shares were 2.63 HK cents. An interim dividend of 1 HK cent per share was declared. The company is cautiously optimistic about its operations in the second half.

SCUD Group (1399 HK) recorded a net profit of 16.43 million yuan for the first half of the year, diving 81.23 per cent compared with a year ago. Earnings per share were 0.016 yuan. No interim dividend was declared. Chairman Fang Jin said sales had been recovering but growth in business was unlikely.

Consumer: Vitasoy International (345 HK) announced that its sales recorded a single-digit growth in Hong Kong market from April to August this year while it recorded a double-digit growth in Australian and mainland markets.Yet, the company cannot predict whether its sales growth can be sustained owing to the market fluctuation this year.

Sunevision Holdings (8008 HK) said its first-half net profit plunged 30 per cent to HK$ 182.9 million, compared to a year ago. Excluding the revenue from property investment, the company recorded a revenue of HK$176.8 million from its core business. An interim dividend of 6 HK cents was declared.

Sources: Sing Tao Finance, Hong Kong Economic Journal, Hong Kong Economic Times, The Standard