IPO: Prudential PLC delayed a planned $20.7 billion rights issue as Britain’s Financial Services Authority worries over its capital position after the AIA deal. The unexpected move may cause the company to delay its listing in Hong Kong on May 11. (Sing Tao Daily B1)
(0753) AIR CHINA LIMITED 550M YUAN TO BE SAVED ANNUALLY IF BUSINESS TAX EXEMPTED It is said that since 1 January 2010, entities or individuals within the PRC providing international transport services shall be exempt from business tax. Air China said it learned about this from the website of the Ministry of Finance but had not received any formal notice. The company said it would benefit from a reduction of business tax and additional expenses of approximately 549 million yuan for 2009 under such policy. (Hong Kong Economic Times A10)
Asia Financial Holdings (662 HK) said its wholly-owned Picc Life Insurance Company recorded profit last year and the network of distribution has increased to 2,200 units. CEO said its market share will keep growing. The company will not sell shares even if it goes for listing. (Sing Tao Daily B2)
China Daye Non-Ferrous Metals Mining Limited (661 HK) said it has entered into an agreement with its major shareholder Daye Non-Ferrous Metals Company to launch the international non-ferrous metal trading business. The company will trade raw metal materials with Daye Non-Ferrous through a subsidiary from 2011 to 2013. (Sing Tao Daily B2)
China Eastern Airlines (670 HK) received positive news of continuous profit growth. Nomura raised the target price for the company from HK$3.8 to HK$5 and raised 2010 profit forecast by 25 per cent, with a rating at “buy”. (Hong Kong Economic Times A10)
China Strategic Holdings (235 HK) has received $700 million loan from banks for the acquisition of Taiwan-based Nan Shan Life and the capital will be immediately available once the government approves the deal, foreign media reported, citing unnamed sources. (Sing Tao Daily B2)
Hebei iron ore operator Tian Yuan Mining (1028 HK) will issue 600 million new shares to raise up to HK$3.54 billion at a price ranging HK$4.1 to HK$5.9. The company is set to list on 25 May. It had recorded losses for the past three years from 2007 to 2009. (Hong Kong Economic Journal P.2)
Dynamic Energy (578 HK) share price slumped 12.3 per cent yesterday on negative news including recent resignation of 3 non-executive directors. The directors include Ng Wing Hang Patrick, Choi Man Chau Michael and Chan Kin Sang. Trading in shares of the company was resumed yesterday. (Hong Kong Economic Journal P.8)
FIRST 4-MONTH CONTRACT SALES UP 1.2X Evergrande Real Estate Group (3333 HK) said contracted sales in the first four months rose 1.2 times to 12.13 billion yuan and the total sold area during this period amounted to 1.893 million square metres, up 60 per cent year on year. The company’s cash balance during this period is as much as 21 billion yuan. CEO said the company has no plan of issuance activities currently.
Fantasia Holdings (1777 HK) intends to issue $120 million 14% senior notes due 2015. $92.6 million of the net proceeds will be used to fund existing and new property projects. (Hong Kong Economic Times A10)
Hybrid Kinetic Group (1188 HK) said it will place up to 460 million new shares at a price of HK$0.375 per placing share, representing a 9.64 per cent discount of its closed price before suspension. The raised capital amounts to over HK$160 million, which will be used for acquiring PRC power battery company and general operating capital. (Sing Tao Daily B2)
Less than a year time, Little Sheep (968 HK)chairman Zhang Gang has decreased holdings of shares again. 21 shareholders including Zhang place 45 million shares for around HK$190 million at a price of HK$4.21 per share. Zhang’s shareholding will be dropped from 3.06 per cent to 2.42 per cent immediately after completion of the placing. (Hong Kong Economic Times A10)
PCCW’s (8 HK) HK $16 billion self-arranged senior three-tranche term loan for its subsidiary Hong Kong Telecommunications (HKT) is 1.5 times oversubscribed. 21 banks involved in and the amount of subscription reached HK$25 billion yuan. The company said it has no plan to lift the loan amount. (Sing Tao Daily B2)
Sa Sa International Holdings (178 HK) announced that sales increased over 15 per cent during May holiday. The number of deal and the average dealing price have both recorded grow year on year. (Sing Tao Daily B2)
Xtep International (1368 HK) will hold winter orders fair this Friday (7 May). Chairman Ding Shui Po said the number of orders would grow and the amount involved would grow no less than the average number in the first three quarters. Orders value from orders fairs for the first three quarters grew 22 per cent, 20 per cent and 23 per cent year-on-year respectively. (Hong Kong Economic Times A10)
Sources: Sing Tao Finance, Hong Kong Economic Journal, Hong Kong Economic Times, The Standard
