Zhao Lijun of China Life
Leading today’s news, China’s largest insurer has some big plans for overseas acquisitions, while one of the country’s biggest developers is still working on not becoming an acquisition. Also in the headlines, Kaisa is back from the dead zone and Beijing stays in crackdown mode. Read on for all these stories and more.
After $8.6B in Cross-Border Deals, China Life Shops for More
China Life Insurance, the largest insurer in China, is looking to further diversify its foreign investments within the confines of regulatory controls on such moves.
Speaking at a press conference on its 2016 financial results in Hong Kong on Friday (March 24), Zhao Lijun, vice president of China Life, said the company had made significant progress in overseas investments last year, with total offshore assets currently standing at approximately US$8.6 billion, up from $7.6 billion as at June 30, 2016. Read more>>
China Vanke Delays Board Election to Thwart Baoneng
China Vanke Co., the country’s second-largest developer and target of a hostile takeover last year, said it will refrain from appointing a fresh board of directors even as their tenure ends, dealing a fresh blow to the acquirer Baoneng Group’s effort to seize control.
The tenure of Vanke’s 11-member board expired on Monday, but the Shenzhen-based developer said they can continue to perform their duties, showing no imminent plan to call for a fresh election. Read more>>
Resurrected Developer Kaisa Hopes for RMB100B in Sales in 2019
Kaisa Group Holdings Ltd, whose shares resumed trading in Hong Kong for the first time in two years, said it’s confident of a business turnaround in 2017, after the developer reported its long-overdue financial results.
The Shenzhen-based developer’s 2016 loss narrowed to 612 million yuan, from a 2015 loss of 1.1 billion yuan (US$160 million), and a loss of 1.3 billion yuan in 2014, Kaisa said. Read more>>
Beijing Blocks Individuals From Buying Commercial Real Estate
China’s regulators have introduced rules to curb the purchase of new commercial property in Beijing by individuals in the latest step by authorities to cool the market.
New commercial plots can now only be sold to enterprises, public entities and social organizations, said a statement issued by Beijing’s banking, industry and commerce, housing and urban planning authorities. Read more>>
Sunac Whines That Home Purchase Restrictions are Strictest Ever
Sunac China Holdings, with its first profit decline since 2010, said the country’s home developers face unprecedented challenges from a government push to cap prices, underscoring its push to diversify its business with its January investment in LeEco.
“This round of policy control has a particularly far-reaching effect on the market,” Sunac’s chairman Sun Hongbin said during a press conference in Hong Kong. “Home sales will be largely impacted in the second half, and I am very negative on the market as a whole in longer term.” Read more>>
Shanghai Home Sales Rose 10% Last Week
Rebound in sentiment among home buyers continued to extend in Shanghai last week but overall momentum in the market still remained lackluster, latest industry data showed.
The area of new residential properties sold, excluding government-funded affordable housing, rose 10.3 percent to 180,000 square meters during the seven-day period ended Sunday, Shanghai Centaline Property Consultants Co said in a report released today. Read more>>
Tune in again tomorrow for more news, and be sure to follow @Mingtiandi on Twitter for headlines as they happen.
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