Monday, June 20, 2011

Hong Kong Stock Market Wrap June 17th, 2011

Cathay Pacific (293 HK) announced that the company’s passenger volume rose 1 percent year-on-year in May but cargo throughput fell 12.9 percent year-on-year on weak demand. (Hong Kong Economic Times A11)

Huabao International (336 HK) announced that for the year ended 31 March 2011, the company recorded a net profit of HK$1.6 billion, or up almost 20 percent. A final dividend of HK7.98 cents per share was proposed. (Sing Tao Daily B3)

Huiyin Household Appliances (1280 HK) announced that the company has seen the same store sales growth of nearly 10 percent for the first half of 2011. The company is expected to sustain its 18 percent gross profit margin as last year. The company is considering acquisitions of some shops and expansion of e-commerce for offsetting pressure brought by rising rents. (Hong Kong Economic Times A11)

Industrial and Commercial Bank of China (ICBC) (1398 HK) agreed to buy 80 percent of equity interests, worth between US$700 million and US$800 million, in the Argentina business of Standard Bank, Africa's largest lender by assets. (Hong Kong Economic Times A11)

Vitasoy International (345 HK) has decided to lift the basic salary for staff by 5 percent from 1 July 2011.This increase is well capable of competitiveness in the market and the company will communicate with staff concerning this matter. (Hong Kong Economic Journal P5)

BYD Company (1211 HK) announces that it will issue 79,000,000 A shares at a final offer price of RMB18 per share. (Hong Kong Economic Journal 21)

Comba Telecom Systems (2343 HK) has received a writ issued by the Beijing No. 2 Intermediate People’s Court from Andrew LLC for a civil litigation with respect to an alleged patent infringement by Comba Telecom Systems. Andrew has initiated legal proceedings against Comba Telecom Systems in relation to the alleged patent infringement for its RET Antenna and sought for an injunction and indemnification of economic loss of RMB12 million and other expenses relevant to the litigation. Andrew has also claimed that it has initiated legal proceedings in Brazil in relation to the alleged patent infringement. Comba Telecom Systems considers that the allegation against it for patent infringement in China and Brazil shall not be valid. (SingTao Daily B16)

Ko Yo Ecological Agrotech (Group) (827 HK) has entered into a subscription agreement with IFC to place to the latter up to 355m new shares. The net proceeds from the subscription will be around HK$54.6 million. (Hong Kong Economic Times A10)

Longrun Tea Group Company (2898 HK) announces that the group’s business turnaround resulted in profit attributable to its owners for the year ended 31 March 2011 amounting to HK$59,477,000. (Hong Kong Economic Journal 21)

Shui On Construction (983 HK) and Materials disposes 49% of the issued share capital of and the assignment of a shareholder loan made to Gracious Spring Limited to LaSalle Asia Opportunity III at an aggregate consideration of roughly RMB440 million subject to adjustment based on the final completion statement. (Hong Kong Economic Times A10)

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