Agile Property (3383 HK) plans to sell US$400 million worth of seven-year U.S. dollar-denominated bonds to raise funds for existing and new projects, according to sources. Roadshows for the offering began in Asia on Wednesday and will go to Europe and the US. Bank of America Merrill Lynch and HSBC are the joint lead managers and bookrunners of the deal.
Avichina Industry & Technology Company (2357 HK) has agreed to sell 54 per cent stake in Dongan Motor for 2.367 billion yuan to its substantial shareholder Aviation Industry Corporation of China (AVIC). In return, Avichina will be able to purchase 43 per cent stake in Jonhon Optronic for 1.774 billion yuan. The difference between the disposal and purchase will be settled by AVIC in cash. Avichina expects to earn 600 million yuan from this transaction.
Beijing Enterprises Water Group (371 HK) has agreed to acquire a 20-year operating concession period for 500 million yuan from the Shenzhen Municipal Water Affair Bureau and to provide sewage treatment services at a fee of 0.964 yuan per cubic meter of treated water.
Minsheng Banking Corp (1988 HK) has selected four companies and three Hong Kong tycoons to be its cornerstone investors, raising its H shares worth US$700 million (HK$5.46 billion). The purchases account for about 20 per cent of the total number of Minsheng’s shares.
Several newspapers had reported earlier that chairman of China Overseas Land & Investment (COLI) (688 HK), Mr.Kong Qingping, had stated that there is currently no intention to raise the acquisition price of Shell Electric. The board of directors of the company clarifies that the statement was not intended to be a “no increase statement” in relation to the COLI offer for the purposes of Rule 18.3 of the takeovers code.
Sinopec (386 HK), the country’s second largest oil company, signed its first purchase deal for liquefied natural gas (LNG) with US oil major ExxonMobil yesterday. The two companies have entered into a preliminary agreement for the long-term supply of 2 million tons per annum of LNG from ExxonMobil. This is the first exports agreement Sinopec made for LNG.
China Tontine Wines (389 HK), a grape-wine producer based in the mainland, is seeking HK$ 580 million through offering 413.9 million shares (including 331 million new shares) at a price of HK$1.05 to HK$1.4 per share. Board lot size is 2,000 shares while IPO entry fee is HK$2,828.25.
CITIC 1616 (1883 HK), a wholly-owned subsidiary of CITIC Pacific, has agreed to purchase Broadway Centre in Kwai Chung for HK$150 million from CITIC Pacific Limited (0267). The property costs HK$194 million. Upon the transaction, the company will pay a monthly fee on management, water and air-conditioning to CITIC Pacific for HK$6.8 million for two years.
CNOOC (883 HK), the country’s leading offshore oil company, announced that Luda (LD) 27-2, a new independent field in Bohai Bay, has come on stream ahead of schedule.
The field is producing at a volume of 11000 barrels of oil per day from 11 wells currently. LD 27-2 is located in the Eastern Bohai Bay in about 25 meters of water. It is about 104 kilometers northwest of Qinhuangdao City of HeBei Province.
The international placing portion of CPMC’s (906 HK) IPO is seen 20 times oversubscribed. CPMC is selling 200 million shares to raise up to HK$1.08 billion.
Digital China (861 HK) and its non-wholly-owned subsidiary, Digital China Software, will invest up to 6 billion yen (HK$511.63 million) in Japanese computer systems developer SJI for 20 per cent of its stake.
Rumour has it that Industrial and Commercial Bank of China Ltd (1398 HK) will get the bank permit from Malaysia regulatory as it seeks to boost foreign direct investment. Malaysia’s government and central bank are in the process of completing the approval, according to sources. ICBC would become the first foreign lender to receive a banking permit in Malaysia in nine years.
I.T (999 HK) has recorded a net profit of HK$44.77 million for the six months ended August 30, surging nearly 200 per cent from a year earlier due to effective cost control. Earnings per share were 3.9 HK cents. No interim dividend was declared.
Lai Sun Development (488 HK) has agreed to purchase a piece of land in Tai Hang Road in a private tender for HK$358 million. The land lot provides a floor area of 13,800 square meters and the company plans to develop it into a residential property for sale.
Semiconductor Manufacturing International Corp (SMIC) (981 HK) has lost a lawsuit of stealing and using trade secrets from its rival Taiwan Semiconductor Manufacturing Corp (TSMC) by a California jury on Tuesday. TSMC is asking the court panel for a compensation of more than US$1 billion, it also urge the judge to permanently bar SMIC from selling the contested products in the United States. Spokesperson of SMIC said the company would appeal to a higher court in the near term. Trading of SMIC was suspended yesterday.
Sources: Sing Tao Finance, Hong Kong Economic Journal, Hong Kong Economic Times, The Standard
