Tuesday, November 10, 2009

Hong Kong Stock Market Wrap Nov. 9th, 2009

IPO: Longyuan Power, the mainland’s biggest wind power enterprise, plans to raise as much as HK$23.4 billion through its IPO, sources said. Roadshow will begin on November 23 and its IPO will kick off on November 27.

China Everbright (165 HK) has reached an agreement with Wuxi Guolian Financial Investment Group Co. Ltd to set up a 500 million yuan joint venture capital fund, the Everbright Guolian Fund, which mainly invests in new or hi-tech Chinese companies and enterprises seeking listing on the SME Board and GEM Board in China.

Excel Technology International (8048 HK) has recorded a net profit of HK$1.09 million for the third quarter ended September 30, plunging 33 per cent from a year ago. Revenue amounted to HK$1.37 million, surging 590 per cent compared with a year earlier.

Fantasia Holdings (1777 HK) plans to issue 1.45 billion shares at a price between HK$1.75 and HK$2.2 to raise HK$2.55 billion through its listing on the Hong Kong bourse, according to sources.

Far East Hotels & Entertainment (37 HK) expects to reverse a year-ago loss to a profit in the six months ended September 30.
The expected profit is mainly due to gains from financial assets and a disposal of an investment property.

Fubon Bank (Hong Kong) (636 HK) announced that it has appointed Mr. Thomas Pei-Hwa Liang as managing director and chief executive officer to replace Mr. Jin-Yi Lee with effect from 9 November 2009. Mr Liang joined the group in 2005, currently serves as head of consumer finance group of Fubon Financial Holding.

G-Resources Group (1051 HK) announced that its subsidiary company, PT Agincourt Resources, has signed a plant site bulk earthworks contract for the Indonesian Martabe Gold and Silver Project with PT Thiess contractors. The Martabe project is expected to commence production in the first quarter of 2011. It is expected to produce about 250,000 ounces of gold and 3 million ounces of silver each year in the early years of the mine life.

Guangzhou Investment (123 HK) announced that its contracted sales in October has reached 2.24 billion yuan with 178,900 square meters floor area sold. The accumulated contracted sales ended October amounted to 5.98 billion yuan with an accumulated floor area of 451,900 square meters, which have exceeded its annual sales target.
Kwong Hing International (1131 HK) announced that it has been negotiating with independent third parties for acquisitions of a coal mining business in Indonesia and a shipping business in Singapore. The negotiation is still ongoing and no agreement has been reached at this stage.

Lee & Man Paper (2314 HK) Manufacturing has recorded a net profit of HK$817 million, surging 22 per cent year-on-year for the six months ended September 30. Earnings per share were 71.8 HK cents. An interim dividend of 22 HK cents per share was declared. The paper manufacturer hopes to reduce its debts by HK$100 million each year in the future so that it can reduce the debt-to-equity ratio to 50 per cent. Its debt-to-equity ratio in September was 66 per cent.

It is said that 70 per cent of Mingfa Group (846 HK) shares have been subscribed. More, as international share placement is active, the group would transfer the rest of IPO shares for international share placing, sources said.

Real Gold Mining (246 HK) has posted a net profit of 347 million yuan for the first three quarters, soaring 720 per cent from a year ago. Revenue for the first three quarters amounted to 685 million yuan, surging 430 per cent year-on-year on increasing sales and prices.

Sands China (1928 HK), the Macau unit of Las Vegas Sands Corp, held investor presentation yesterday. According to market sources, it plans to offer 1.87 billion shares in which 10 per cent shares are for public offering while 90 per cent shares are for international offering. The indicative price range is between HK$10.38 and HK$13.88 per share. Each board lot contains 400 shares and the entry fee is HK$5608 per board lot.

USI Holdings (369 HK) is seeking HK$550 million with a one for three rights issue of 330 million shares at a price of HK$1.7, a 37 per cent discount of its closing price at HK$2.7. The proceeds will be used as working capital and for acquisition purpose.

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