Securities and M&A
Suning finishes buying 27.36% stake in Laox
Hopu buys 4.9% of PT Lippo Karawaci from China Resources
2009-10-21
Hopu Investment Management Co., a Beijing-based private equity group, has acquired a 4.9% stake in PT Lippo Karawaci, an Indonesian real estate developer, for US$45 million. In the past two years, Hopu has acquired a minority stake in China Mengniu Dairy Co. Ltd., Bank of China Ltd., and China Construction Bank.
Click here to read the full article.
Lotte's acquisition of Time Ltd. to be closed
2009-10-21
South Korea's Lotte Group is to conclude a deal to buy a 72.3 percent stake in Jiangsu-based retailer Times Ltd., a senior executive of Lotte Mart, the China branch of the group, told Caijing on Oct. 19. It is said that Times has submitted relevant documents to the Hong Kong Stock Exchange for approval. The Lotte Mart executive said that he is still unclear about the value of the deal.
Click here to read the full article.
World Bank to buy 15% stake in Deyang City Commercial Bank
2009-10-20
The International Finance Corp, the private-sector lending arm of the World Bank, announced on Oct 17, 2009 that it has signed a share subscription agreement with Deyang City Commercial Bank, a small lender based in Deyang in Southwest China's Sichuan Province. According to the agreement, IFC will invest RMB 211 million in Deyang City Commercial Bank for a 15% stake in the lender. In addition, IFC will provide technical support to the bank in areas such as corporate governance, credit management, internal control and risk management. The deal is still subject to approval from the bank's shareholders and Chinese regulators.
Click here to read the full article.
VODone acquires 70% stake of Dragon Joyce
2009-10-16
Hong Kong-listed online media service provider VODone Ltd has reached an agreement to spend HK$168 million acquiring a 70% stake in mobile game developer Dragon Joyce. VODone will pay HK$40 million and issue more than 100 million shares to complete the deal. After the transaction, Executive Chairman Zhang Lijun's shareholding in VODone would be reduced to 15.52% from 16.21%.
Click here to read the full article.
VisionChina Media to acquire Digital Media Group for US$160 million
2009-10-15
VisionChina Media Inc., one of China's largest out-of-home digital television advertising networks on mass transportation systems, announced an agreement to acquire Digital Media Group ("DMG"), a leader in China's subway mobile television advertising market. The total consideration for the transaction is US$160 million in cash and shares payable by the Company to eligible shareholders of DMG in three installments over two years. The transaction has been approved by both companies' boards of directors and is expected to close, subject to the completion of customary due diligence and closing conditions in the first quarter of 2010. The transaction will create the largest and most comprehensive mobile television advertising network in China.
Click here to read the full article.
China to allow foreign investment in its stock market through a partnership corporation
2009-10-14
In order to promote the development of the Chinese capital market, the Chinese securities regulatory institution announced on Tuesday that it is considering allowing partnership corporations to invest in the Chinese stock market. According to “Measures for the Administration of Securities Registration and Clearing (Draft for Comments)”published on the website of the China Securities Regulatory Commission, foreign venture capital companies can invest in the Chinese stock market through a partnership corporation. Currently, only Chinese people, Chinese legal persons, and Qualified Foreign Institutional Investors (QFII) are allowed to invest in the Chinese stock market.
Click here to read the full article.
China's XAC to acquire 91.25% of Austria's FACC
2009-10-10
Xi'an Aircraft Industry (Group) Co Ltd, one of the largest aviation firms in China, has signed an agreement to acquire a 91.25% stake in FACC AG, a leading aviation supplier in Austria. The deal is expected to be closed by the end of the fourth quarter. After the completion of the deal, FACC will raise shareholders' equity to no less than EUR 80 million from the current EUR 40 million via a share capital increase.
Click here to read the full article.
Sinopec International acquires 100% of Addax Petroleum Corporation shares
2009-10-06
Sinopec International Petroleum Exploration and Production Corporation announced that effective October 2, 2009, its indirect wholly-owned subsidiary, Mirror Lake Oil and Gas Company Limited ("Mirror Lake"), acquired all of the common shares of Addax Petroleum Corporation ("Addax Petroleum") not taken up and paid for under the offer for all of the issued and outstanding common shares of Addax Petroleum dated July 9, 2009, as extended, made by Mirror Lake (the "Offer"). Mirror Lake acquired such additional common shares pursuant to a compulsory acquisition under section 206 of the Canada Business Corporations Act. Mirror Lake is the owner of the 100% issued and outstanding common shares of Addax Petroleum.
Click here to read the full article.
CICC and Citic become global IPO leaders
2009-10-01
For the first three quarters in 2009, China International Capital Corp. (CICC) and Citic Securities are ranked 1st and 2nd on the list of global IPO book runners. Goldman Sachs Group and J.P. Morgan Chase are now sitting at Nos. 3, 4 and 5, respectively, according to Dealogic. There have been 75 Chinese companies that have gone public in 2009, three times as many as the IPOs from U.S. companies. The dollar volume of China's IPOs has accounted for more than half of the global total for the year.
Click here to read the full article.
Chinese Government to help SMEs access funding
2009-09-24
The PRC State Council hinted that it may ease credit policy for SMEs, saying it will treat their loans differently in credit policies. It will encourage local authorities to subsidize institutions that lend more to small companies. The State Council said it also will make it easier for SMEs to raise funds on the capital market by accelerating the establishment of China’s Nasdaq-style stock market -- the Growth Enterprise Market (GEM). China will continue its export-tax rebate policy and extend through the end of next year, a policy that allows companies in distress to postpone social-security payments. Also, rules are to be formulated to support small enterprises in government-procurement deals.
Click here to read the full article.
CIC bets big on resources
2009-09-24
China Investment Corporation (CIC), China's $300 billion sovereign-wealth fund, is investing $1.9 billion to purchase 'debt-like' instruments issued by Indonesia's largest thermal-coal producer, PT Bumi Resources. The Indonesian deal, announced by Bumi on Wednesday, comes a day after CIC agreed to buy a 15% stake in Hong Kong-based commodities trader Noble Group Ltd. for $850 million. CIC's resource plays serve a twofold purpose. First, they dovetail with China's long-term strategic interest in securing access to natural resources. Second, they fit broadly into the fund's efforts to capture the potential upside from a global economic rebound.
Click here to read the full article.
China to launch its own Nasdaq-style stock market
2009-09-15
China’s securities regulator poised to announce the first batch of companies approved for listings on the Growth Enterprise Market (GEM) as soon as Thursday. The GEM is planned to be on the Shenzhen Stock Exchange and is aimed at funding technology- and innovation-driven start-ups, would open for business as early as mid-October, analysts said. The China Securities Regulatory Commission (CSRC) has said the GEM would mainly serve companies in businesses such as renewable energy, biomedicine, electronic information and environmental protection.
Click here to read the full article.
BAIC to buy minority stake in Koenigsegg Group
2009-09-11
Beijing Automotive Industry Holdings Co Ltd, China's fifth-largest automaker by sales, will acquire a minority stake in Koenigsegg Group AB, a consortium led by Swedish supercar manufacturer Koenigsegg. The deal is projected to be concluded this year. Details of the memorandum of understanding signed by the two companies are not disclosed.
Click here to read the full article.
2009-06-24
Jiangsu province-based Suning Appliance Co. Ltd. has completed its acquisition of a 27.36% stake in Laox Co. Ltd. for US$8.38 million. Suning Appliance is one of China’s top home appliance and electronics retailers. Laox is a Japanese consumer electronics retailer. The deal was announced in June.
Click here to read the full article.