This 75-year-old steel factory in Africa could make a nice addition to R&F’s Chinese housing empire
Leading today’s roundup, one of China’s biggest home builders may be moving way up the risk curve, with a proposed deal for a decrepit steel factory in post-Mugabe Zimbabwe. Also in the news, flailing Chinese energy firm CEFC may get a new backer after an asset-buying binge, and Allianz Real Estate is hunting for logistics opportunities in Asia. And Boggle fans in China can breathe easy, as Toys “R” Us is reportedly still a player in the mainland despite imploding in the US. Read on for all these plot twists in Asia’s real estate scene.
R&F Said in Talks for $1B Zimbabwe Steel Deal
Chinese billionaire investor Zhang Li is back in Zimbabwe to pursue the deal to acquire government-run iron processor, Ziscosteel. Zhang Li co-chairs real estate developer Guangzhou R&F with Hong Kong-based billionaire Li Sze Lim, with whom he founded the company in 1994.
An authoritative Chinese Embassy official told the Daily News yesterday: “Discussions are on-going with the Zimbabwe government. R&F plans to make investments totalling $1 billion.” Once one of Africa’s largest steel factories, and a strategic national asset that contributed significantly to Zimbaba’s fiscus, the 75-year-old plant has been moribund for years. Read more>>
CITIC in Talks to Buy Stake in Troubled CEFC
Citic, China’s state-owned finance-to-infrastructure conglomerate, is in talks to take a stake in energy group CEFC following the detention of its chairman Ye Jianming, according to people familiar with the discussions.
The talks were still preliminary, they said, and complicated by CEFC’s existing plan to buy 14 per cent of Rosneft, the Russian oil company, from commodity trader Glencore and the Qatar Investment Authority for $9bn. Read more>>
Allianz Real Estate Eyes Logistics Deals in Asia
According to Rushabh Desai, chief executive officer of Allianz Real Estate’s Asia Pacific operations, 50 to 60 percent of the company’s investments in the region this year will be “focused in fast growing markets like China, India and Southeast Asia”.
“Currently, the region accounts for around 5 percent of our global real estate exposure. This allocation is likely to continue to grow,” Mr. Rushabh said. “In 2018, our top three priorities are to expand our logistics footprint across Asia, build a portfolio of quality income-producing assets in (major) cities, and explore alternative asset classes like student accommodation, senior living and data centres, among others.” Read more>>
Toys “R” Us Still in the Game in China
Toys “R” Us is still accelerating its market expansion in China despite the iconic toy giant filing for bankruptcy in North America, said Li Zhuoming, chairman of the Guangdong province toys association, in a press conference on the sidelines of the Guangzhou international toys & models exhibition yesterday.
Toys “R” Us Asia opened 10 stores in some major Chinese cities including Chongqing, Guangzhou and Shenzhen last October. They all operate normally and there is no negative news such as store closures, staff layoffs, or suppliers rejecting orders, Li said. Read more>>
Work Starts on 133-Storey Twin Towers in Phnom Penh
Initial construction work of the Thai Boon Roong Twin Commercial Centre in Phnom Penh started yesterday, according to an official who helped design the project.
Composed of 133-storey twin skyscrapers, the project will cover a five-hectare block of land opposite NagaWorld. It is a joint venture of Thai Boon Roong Co. Ltd, IP Group, Shang Hai Company and China State Construction Engineering Corp. Read more>>
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