News
10/31//2007

London, Tokyo Plan Asian Exchange__Wall Street Journal
Tokyo Stock Exchange and London Stock Exchange agreed to establish a market for Japanese and Asian start-up firms, underscoring Tokyo's efforts to be a regional financial center.

Shhh, NYSE Aims to Bring Back Blocks__Wall Street Journal
The NYSE and a dozen wall street firms plan to form a venture for investors who want to discreetly trade large blocks.

China Banks Report Double-Digit Growth __Wall Street Journal
Two of China's biggest banks reported double-digit earnings growth for the third quarter on higher net-interest and fee income, but one took an allowance for exposure to U.S. subprime mortgages.

Furore over bank’s child shareholders__Financial Times
Bank of Beijing has revealed that 84 of the people who owned shares before its IPO were under the age of 18, sparking speculation over the beneficiaries of the listing boom

China Netcom to open London headquarters__Financial Times
The move by China’s second largest fixed-line telephone company to expand overseas is aimed at serving the telecoms needs of Chinese companies with operations in Europe


10/30//2007

China Wades Into Private-Equity Investing__Wall Street Journal
China's nascent private-equity industry is advancing in its ambition to compete with global players as the first of a new breed of homegrown funds seals its first deal.

New Rules to Cut Hassle, Expense Of Trades in EU__Wall Street Journal
Investing in Europe is about to become a lot easier -- and cheaper.
Beginning Thursday, new rules will eliminate many of the barriers within the European Union that have made trading in stocks an expensive hassle, introducing individuals and companies to a world of investing that their U.S. counterparts have long taken for granted.

GM plans China ‘green’ research plant__Financial Times
Automotive giant to build a research centre for alternative energy vehicles – the latest sign China is seen as a vital battleground for a new generation of cars

US private equity groups in China talks__Financial Times
Three of the biggest US private equity firms have each held preliminary talks about selling a minority stake to China’s giant Social Security Fund, people familiar with the negotiations say

Pressure builds over renminbi__Financial Times
China is facing increasing pressure to allow its currency to appreciate faster because of falling US interest rates and the rising cost of money at home 



10/29//2007

How Trade Talks Could Tame Sovereign-Wealth Funds__Wall Street Journal
The rise of sovereign-wealth funds in Asian nations is prompting a new effort to make sure governments don't wield the funds as financial weapons.

Made in China: the Latest Market Craze__Wall Street Journal
U.S. investors can't seem to get enough of Chinese companies that choose to list on American exchanges this year, and the stocks have the resulting price inflation to prove it.

As China's Bubble Fears Grow,Choosy Investors Favor Large Caps__Wall Street Journal
As fears of a bubble grow in China, investors are pouring cash into the big companies that dominate the broad indexes. The result? China's market is going still higher.

Alibaba.com Prices at Top__Wall Street Journal
Alibaba.com Ltd. raised US$1.5 billion in the biggest ever initial public offering by a Chinese Internet company, a person familiar with the situation said.

US private equity groups in China talks__Financial Times
Three of the biggest US private equity firms have each held preliminary talks about selling a minority stake to China’s giant Social Security Fund, people familiar with the negotiations say.

Chinese consumers prefer own products__Financial Times
Survey showing satisfaction with local products is a warning for multinational companies about nationalist sentiment in China’s booming market.


10/26//2007

China Makes Splash, Again__Wall Street Journal
ICBC is buying a 20% stake in South Africa's Standard Bank for $5.5 billion, the largest overseas investment by a Chinese entity.

China's Economy Sizzles, But Flaws Limit Global Role__Wall Street Journal
China's economy grew 11.5% from a year earlier in the third quarter, slower than the previous period's 11.9% growth.

Chrysler’s China plan hits snag__Financial Times
Chrysler’s plans to use China as a low-cost car export base have hit a snag due to quality concerns at its joint venture with Chery Automobile.

Cox Cites Concern Over Sovereign Funds__Wall Street Journal
The top securities regulator said the increase in government-controlled investment funds is challenging U.S. authorities and the nation's market-based system, the latest concern to manifest about such funds.
Darfur rebels attack Chinese-backed oil field__Financial Times
Hopes to resolve the conflict through peace talks were dealt a further blow after the Justice and Equality Movement said it had struck an oil field in Kordofan province


10/25//2007

TPG Places a Growth Bet On China's Drug Industry__Wall Street Journal
Private-equity firm TPG is investing in the holding firm of Shanghai ChemPartner, a drug-research outsourcing firm.

Morgan Stanley Buys 35% Stake In Chinese Firm__Wall Street Journal
Morgan Stanley agreed to buy a 35% stake in China's Jutian Fund Management Co., giving the Wall Street bank access to the country's rapidly growing fund-management sector.

Chinese Videogame Maker Seeks U.S. Investors__Wall Street Journal
Another Chinese online-game maker is targeting a U.S. listing. Giant Interactive, which makes massively multiplayer online role-playing games, hopes to make the biggest such offering yet.

Zhong An Joins Hong Kong Wave__Wall Street Journal
Zhong An Real Estate set a price range for its Hong Kong IPO of shares that could raise up to $500 million.

ICBC to pay $5.5bn for stake in Standard Bank__Financial Times
Industrial and Commercial Bank of China is to acquire a 20% stake in Africa’s largest bank by assets, a clear sign of China’s growing investment ambitions in the continent



10/24//2007

Asia Keeps Pressuring Oil Prices__Wall Street Journal
Asia's fast-growing economies have made some progress in addressing their seemingly insatiable demand for oil, but they continue to fall far short of the cuts needed to significantly reduce pressure on global supplies.

Hong Kong Reins In Dollar __Wall Street Journal
Moving to halt the Hong Kong dollar's strongest rise in more than two years, the city's monetary authority intervened by purchasing about $100 million.

Paulson Says China Must Let Its Currency Appreciate Faster__Wall Street Journal
China needs to allow its currency to appreciate more rapidly, Paulson said, while arguing that structural reforms will also be necessary to ensure growth.

China's Hand for Bear __Wall Street Journal
Bear Stearns and Citic Securities plan to combine their Asian businesses outside of China. They also agreed to buy minority stakes in one another.

GE deal for Chinese bank stake collapses__Financial Times
China’s soaring equity markets have dashed GE’s hopes of acquiring a 7 per cent stake in Shenzhen Development Bank as the bank’s board has formally terminated a share sale agreement signed two years ago

Integration of Chinese bourses complicated__Financial Times
Bringing exchanges from the Chinese mainland alongside Hong Kong is a challenge of many colours, writes Tom Mitchell



10/1９//2007

Investors Expect Beijing　To Mind Stock-Price Gap__Wall Street Journal
Stocks in Shanghai and Shenzhen fell sharply Thursday while Hong Kong shares rose, as investors bet that Beijing officials would take steps that close the large gap between prices of Chinese companies listed in the different markets.

China's Listed Toll-Road Firms　May Get a Shot at Choice Assets__Wall Street Journal
The rising construction costs and mounting debt that have plagued China's government-run expressway operators stand to benefit publicly traded toll-road companies listed in Hong Kong and the mainland that are poised to acquire some of the best-performing government-owned highway assets.

PetroChina could soon be world’s top company__Financial Times
The Chinese group has just become the second-biggest company by market capitalisation and could even surpass ExxonMobile when it lists on the Shanghai exchange next month.

Beijing backs media listings__Financial Times
China has fully opened the way for local newspapers, publishing groups and even government and Communist party news websites to issue shares on domestic and overseas exchanges .

China keeps 3G schedule on hold__Financial Times
China has no timetable for issuing third-generation mobile telephone licences, a senior regulator announced, saying 3G services still lacked a clear business model.



10/17//2007

Communists Move to Adapt Their Rule to a Richer China__Wall Street Journal
The secretive group that runs China, the Communist Party's Politburo, is taking steps to make its rule more accountable to the public. But the fine-tuning is designed to secure the position of Hu and his successors as unchallenged rulers.

More China-Wall Street Links?__Wall Street Journal
A Chinese official confirmed that Citic Bank has explored an investment in Bear Stearns, the latest sign of China's desire to make strategic investments in the U.S. financial industry.

China's Luxury Sector Stands Out As Inflation Squeezes Retailers__Wall Street Journal
Investors looking to play the fast-growing Chinese consumer sector should avoid consumer-goods makers that serve the mass market and look instead to more distinctive brands and companies in the luxury space.

China ‘will be most active M&A player’__Financial Times
Chinese companies are set to be Asia’s most acquisitive in the US or Europe next year, according to a survey of the region’s dealmakers

Yahoo accused over Chinese dissident__Financial Times
US lawmakers accused Yahoo of giving false information to Congress and asked that CEO Jerry Yang appear before a committee



10/16//2007

China's Stock Surge Raises　Fundamental Questions__Wall Street Journal
China's benchmark Shanghai Composite Index surpassed 6000 for the first time, stirring concerns of a possible crash.

China Puts Growth Atop Agenda__Wall Street Journal
Chinese leader Hu Jintao said economic growth must remain the Communist Party's main task. He also made clear that the party monopoly on power must be maintained.

PetroChina Clears IPO Hurdle and Shares Rise__Wall Street Journal
PetroChina Co. said it has completed all procedures for its Shanghai initial public offering and will likely list in November.

Citic Resources Is a Hot Ticket,　But It May Not Be a Smooth Ride__Wall Street Journal
Investors are betting that Citic Resources will transform from a metals-and-commodities-trading company into a major oil producer to rival China's big three. But the transformation still has a long way to go.

New China fund chief pledges transparency__Financial Times
China Investment Corp, a $200bn sovereign wealth fund, will not be a destabilising force in global markets, the fund’s head said.

Citic eyeing stake in Bear Stearns__Financial Times
China’s Citic Bank is seeking to buy into the Wall Street investment bank, a senior Chinese official said.

Alibaba aims for $1.3bn in listing__Financial Times
Alibaba.com, the online business listing arm of Alibaba Group is seeking to raise up to $1.33bn in an initial public offering in Hong Kong, the largest by a Chinese technology company .


10/15//2007

Buffett's PetroChina Sale__Wall Street Journal
Warren Buffett is selling off his most high-profile investment in China, leading investors to speculate that some Chinese stocks are overvalued and social activists to claim a small victory.
 
China's Surging Trade Surplus Could Raise Hackles in Europe__Wall Street Journal
China had a larger-than-expected trade surplus of $23.91 billion and an acceleration of money-supply growth for September.
 
China Lifts Bank Reserve Requirement__Wall Street Journal
China's central bank for the eighth time this year increased the amount of money banks must hold in reserve, continuing its efforts to restrain a surge in bank lending that it views as excessive.
 
Cnooc Won't Close Taps On Myanmar Gas Supplies__Wall Street Journal
Cnooc won't pull out of Myanmar and may increase its footprint in the gas-rich country, a top executive said, despite criticism that China's thirst for energy is undermining efforts to isolate Myanmar's military government.
 
China factor helps drive freight derivativeshvc__Financial Times
Bankers and hedge fund managers are increasingly turning to the nascent world of freight derivatives, as new figures show the market is on course to hit a record $150bn in value – up 200 per cent in the last year

Excellence plans HK listing__Financial Times
A Shenzhen-based real estate group is to become the next Chinese property developer to list in Hong Kong after hiring investment banks to assist with an initial public offering expected to raise $1.5bn

Calls to block proposed 3Com takeover__Financial Times
The proposed takeover of 3Com by Bain, the private equity firm, and Huawei, the Chinese telecommunications equipment maker, came under further pressure in Washington

 

10/12//2007

Hong Kong's Stock Train__Wall Street Journal
China has a new export: raucous stock markets. A plan to allow individuals in mainland China to invest directly in Hong Kong-listed shares has set Hong Kong's market off on a wild ride -- and the plan hasn't been implemented yet.

Priced for a Pop in China__Wall Street Journal
Triple-digit first-day gains have become so routine for China's IPOs that Shenhua's 87% rise left the company's chairman "not totally satisfied." The sentiment highlights the inefficiency of the world's biggest market for IPOs.

Hedge Funds From Europe Take a Crack at Self-Policing__Wall Street Journal
Attempting to head off calls for greater regulation, a group of Europe's largest hedge-fund managers yesterday proposed ways to make the secretive industry more transparent.

Shanghai Official Quits Amid Corruption Probe__Wall Street Journal
An ex-official quit Shanghai's local congress amid corruption allegations, while a U.S.-based think tank said corruption costs China more every year than it spends on education.

China targets new central bank chief__Financial Times
Zhou,an unusually activist central bank governor, is expected to be replaced in the wake of this month’s Communist party congress – with his chances of a promotion fading.



10/11//2007

How China Turned Around A Dismal Air-Safety Record__Wall Street Journal
The transformation of China's air-safety record from worst to first reflects how the Chinese government has proved able, with significant foreign help, to overhaul a sprawling industry whose safety record was tarnishing the country's image.

China Re Moves Closer To an IPO by Restructuring__Wall Street Journal
China Reinsurance (Group) Corp., the country's largest reinsurer, said it has completed its restructuring into a corporation, bringing it a step closer to an initial public offering.

China Banking Chief Seen Moving On...and Up?__Wall Street Journal
China's central bank head, Zhou Xiaochuan, is expected to be replaced in a reshuffling next week, raising questions about the bank's future policies.

Offering by Peking-Duck Chain May Lead a Wave of China IPOs __Wall Street Journal
The owner of China's oldest Peking-duck restaurant brand, Quanjude, is set to be the first in a wave of Chinese food-services chains that plan to go public.

Goldman cedes control in China__Financial Times
US bank to cede control of the consortium that owns China’s largest meat processor just weeks after it secured final approval for the takeover

10/10//2007

Beijing Scolds U.S.On Quality Control__Wall Street Journal
China is taking aim at some big U.S. companies over products sent to China, after scrambling to counter criticism over the safety of its own exports.

In China, a Plan to Turn Rice Into Carbon Credits__Wall Street Journal
The race is on to feed a $30 billion market for carbon credits as companies look for ways to cut emissions. One entrepreneur's plan: a genetically engineered rice seed that he says needs less fertilizer to grow.

China Allows EU to Track Textiles__Wall Street Journal
China agreed to let the European Union closely track its textile exports, a politically expedient move designed to keep European textile makers from being overrun once trade limits on the Asian export giant expire at the end of the year.

Yahoo to Boost China Ties__Wall Street Journal
Yahoo Inc., which owns a 39% stake in Alibaba Group, will buy stock valued at about US$100 million in an initial public offering by the Chinese Internet company's business-to-business subsidiary, according to a person familiar with the situation and a term sheet for the deal.

China resists European pressure on currency__Financial Times
The EU and China have locked horns over exchange rates after the Chinese authorities deflected a European call for a rise in the level of the renminbi.

Developers in China ‘facing lack of capital’__Financial Times
Chinese property companies have little access to bank financing beyond very short-term loans for working capital, the chief executive of a newly listed developer said.

10/9/2007

China's Profit-Driver RoleGives Big Firms a Big Stake__Wall Street Journal
China is a growing source of profit for many multinational firms in addition to an increasing source of revenue, in a change that has come faster than many foreign executives expected. This year China will contribute more to global economic growth than any other country, the IMF forecasts.
 
China Shenhua Is Poised For Strong Shanghai IPO__Wall Street Journal
Coal producer China Shenhua Energy Co. is set to make a strong trading debut here today on expectations of asset injections from its parent and continued strong demand for coal as China forges ahead with its rapid industrialization and urbanization.
 
Minsheng to Invest in U.S. Bank__Wall Street Journal
China Minsheng Banking said it will buy a 9.9% stake in UCBH for as much as $317 million, marking the first strategic investment in a U.S. bank by a Chinese lender.
 
China to Begin Trading Forward Rate Agreements__Wall Street Journal
The People's Bank of China will introduce trading of forward rate agreements Nov. 1, a new sign that Beijing wants to overhaul its inefficient interest-rate market and further develop a fledgling financial-derivatives sector.

Developers in China ‘facing lack of capital’__Financial Times
Chinese property companies have little access to bank financing beyond very short-term loans for working capital, the chief executive of a newly listed developer said

China steel groups hit at claims of subsidies__Financial Times
The country’s leading producers have attacked a report from the US steel industry complaining about $52bn of government aid allegedly handed to the Chinese steel business