Tuesday, May 17, 2011

Hong Kong Stock Market Wrap May 16th, 2011

AV Concept (595 HK) plans to acquire the whole equity interest in P&S Semiconductor at a consideration of not more than 6.8 billion won (around HK$48 million). (Sing Tao Daily B4)

Capital VC (2324 HK) and Radford Capital announce that they have entered into an exclusivity and escrow agreement with the provisional liquidators of 3D-GOLD, planning a subscription of new shares of and resumption proposal for 3D-GOLD. (Hong Kong Economic Journal P22)

China Mandarin Holdings (9 HK announces that Jin Lei, an executive director, has been appointed as the chairman of the board with effect from 16 May. (Hong Kong Economic Journal P8)

Chinese Estates (127 HK) bought 49 percent equity interest in Grandday Group Ltd., an Evergrande’s wholly-owned unit whose sole asset is a plot of land in Jiangsu Province, China, at a consideration of almost HK$3.9 billion. (Sing Tao Daily B2)

CITIC Resources Holdings (1205 HK) will sell an 8% interest in the Codrilla Project to CMJV for an aggregate consideration of A$51.2 million. (Hong Kong Economic Journal P9)

Due to less satisfying results from its customers’ shipping companies, COSCO Pacific (1199 HK) decided to postpone its price increase pace. The company hopes to improve its handling rate by a double-digit increase this year. (Sing Tao Daily B5)

CST Mining Group (985 H) announced that the company’s Australian project, Lady Annie operations, has experienced growth in revenue to US$45.35 million (HK$354 million) for the first quarter this year. (Sing Tao Daily B3)

EPI (Holdings) proposes (689 HK) to implement a share consolidation involving the consolidation of every ten existing shares into one new share. The board lot for trading in its shares will be changed from 20,000 existing shares to 5,000 new shares per board lot. (Hong Kong Economic Journal P22)

Evergrande Real Estate (3333 HK) will sell 49 shares in Grandday, representing 49% of the issued share capital of Grandday, to Loyal Pride for a consideration of US$500 million. (Hong Kong Economic Journal P22)

Lee & Man Holding (746 HK) proposes to spin off Lee & Man Handbags Holding on the main board by way of introduction. The spin-off group will focus on the manufacture and sale of handbags. (Hong Kong Economic Times A12)

Minmetals Resources (1208 HK) withdrew the offer to acquire Equinox. The company announced that they will continue to look for not less than US$1.5 billion M&A projects in the future. (Sing Tao Daily B3)

BEA Trustees, subsidiary of BEA (23 HK), will lower management fees for three MPF constituent funds starting from 1 June. The management fees for two MPF Conservative Funds under the BEA (MPF) Master Trust Scheme and Industry Scheme will be reduced from 1.20% to 0.79% per annum, while the management fee for the BEA (MPF) Global Bond Fund under BEA (MPF) Master Trust Scheme will be reduced from 1.45% to 0.99% per annum. This translates into a management fee reduction of up to 34% for the MPF Conservative Funds and 32% for the Global Bond Fund. (Hong Kong Economic Times A10)

The Hong Kong and Shanghai Hotels (45 HK) announced that the company’s profit will suffer a loss due to the influence brought by Japan’s tsunami and earthquakes this year. The company’s Peninsula Tokyo has cut its daily operating spending, including unpaid leave for some staff and the close of some floors in hotels. (Sing Tao Daily B4)

Xinyi Glass (868 HK) announced that the company has decided to spin off its solar energy business for a separate listing. The company has submitted A1 application form and now wait for the specific listing time. This separate listing will help the company to improve its balance situation. (Sing Tao Daily B4)

Z-Obee (948 HK) expects that the company’s net profit will see a markedly increase in 2011 as compared with last year. This increase is mainly due to an exceptional profit resulting from the recognition of a one-off gain on fair value of the financial assets of the company. (Sing Tao Daily B4)

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