Thursday, February 18, 2010

Hong Kong Stock Market Wrap Feb. 17th, 2010

Rumour has it that Bank Comm (3328 HK) plans to raise through a A+H rights issue for HK$40 billion. The lender hopes to discuss the plan in March. (Hong Kong Economic Times A8)

China Mobile (941 HK) said it plans to expand the scale of a telecom company in Pakistan it acquired three years ago. The giant is also seeking M&A opportunity overseas. (Hong Kong Economic Journal P. 4)

China Environmental Resources Group (1130 HK) has signed a non-legally binding LOI with Dangshan County in Anhui Province that the company will invest 30 million yuan to establish an organic fertilizer production centre and related facilities with production capacity of 100,000 tons. (Sing Tao Finance B2)

China Public Procurement (1094 HK) has agreed to issue ELDI in the principle amount of HK$40 million to Standard Bank Plc. The conversion price will be reset each day. Based on the conversion price as at the date of the subscription agreement of HK$0.9, about 1.36 per cent of the issued share capital will be enlarged by those conversion shares. (Sing Tao Finance B2)

New Generations Telecommunications, a conglomerate led by China Unicom (762 HK), has agreed to acquire 75 per cent stake in a Nigeria telecommunication company and its mobile phone unit M-TEL for US$2.5 billion (HK$19.5 billion). (Sing Tao Finance B3)

VOLUME SURGES 20% COSCO Pacific (1199 HK) said throughput for January has surged 19.7 per cent year-on-year to 38 million TEU, boosted by increasing volume Zhujiang Delta and Eastern south costal areas. (Hong Kong Economic Times A8)

CSI Properties (497 HK) head Mico Chung Cho-yee and investment banker Francis Leung Pak-to will together subscribe for new shares of Imagi International (0585) worth at least HK$131.6 million as Imagi will raise HK$100.8 million through a rights issue and negotiate with creditors on loans of HK$241 million. (Hong Kong Economic Times A8)

Industrial Bank of Hang Seng Bank (11 HK) eyes to refinance in the first quarter and has just announced its HK$18 billion rights issue plan. (Hong Kong Economic Times A8)

HSBC (5 HK) plans to launch a HIBOR-linked mortgage plan and will announce the details today at the earliest. The current lowest plan in the market is HIBOR plus 0.7 percentage point. (Hong Kong Economic Journal P. 6)

i-Cable Communications (1097 HK) has applied to launch free-to-air channels, regulatory said it will take at least nine months to issue a license. i-Cable expects to get the license in November at the earliest. (Sing Tao Finance B2)

Imagi (585 HK) said investment banker Francis Leung Pak-to is set to become the controlling shareholder through a revamp aimed at strengthening the firm’s financial situation. Imagi will raise HK$100.8 million through a rights issue and negotiate with creditors on loans of HK$241 million. (Sing Tao Finance B2)

Meike International (953 HK) plans to place 37.5 million over-allotment shares at a price of 1.43 apiece for HK$53.62 million. (Sing Tao Finance B2)

Ming Kei Holdings (8239 HK) announced that it has issued 3-year convertible bonds at a price of HK$1.67 apiece, a 7.7 per cent discount on the last trading price for HK$20 million. The proceeds will be used for general working capital. (Sing Tao Finance B2)

A joint venture of 200 million yuan registration fee, formed by SPG Land (337 HK) and a mainland company, has won a bid of land plot in Wuxi for 350 million yuan. (Hong Kong Economic Times A8)

According to sources, Sun Hung Kai Properties (16 HK) plans to boost its 5-year loan to as much as HK$16 billion for refinancing. The loan will pay about 88 basis points more than HIBOR. There are 20 lenders intending to join its refinancing in which HSBC (0005) will provide HK$2 billion loans. (Hong Kong Economic Journal P7)

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