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HSI +55pts (+0.2%) 24,740 HSCEI +15pts (+0.2%) 8,810 T/O HK$108.61bn (-20.9% DoD)
HK/CHINA Connect Flows
Northbound Rmb 39,858m Sell 20,362m vs 19,496m Buy
Southbound HK$ 10,804m Sell 5,418m vs 5,386m Buy
Northbound Rmb 49,488m Sell 23,725m vs 25,763m Buy
Southbound HK$ 14,136m Sell 6,396m vs 7,740m Buy
Markets opened slightly +VE and trading sideways. Additional covid restrictions a concern to the market. Tech +VE but Telcos -VE
Remy Cointreau strong in early trade after it beat first-half profit expectations and raised its full-year outlook.
Spectris weak on Morgan Stanley downgrade
Eurozone ECB Monetary Policy Meeting Accounts
GfK Consumer Confidence Dec -1.6 vs 1 Nov revised (F/cast was -0.2)
GDP Growth Rate Q3 1.7% QoQ vs 2% Q2 revised (F/cast was 1.8%)
GDP Growth Rate Q3 2.5% YoY vs 10% Q2 revised (F/cast was 2.5%)
Unemployment Benefit Claims,
UK CBI Distributive Trades
US Markets closed
CHINA CSI 300 closed -20pts (-0.4%) @ 4,896
CSI 300 opened flat but sold down to 4,890 level before a small bounce into lunch. PM saw an initially rally to 4,908 but then sold off to close around the day lows. Property +VE on news of more relaxing of policy in Chengdu. Hopes of more stimulus spending as Premier Li urged local authorities to issue more special bond for construction projects. Solar -VE as US stopping products entering US hits companies. Metaverse -VE as Govt warns ahead of regulation coupled with fan groups etc to be clsoely regulated.
Shanghai Comp -9pts (-0.2%) @ 3,584 T/O US$63,849m (-6.5% DoD)
Shenzhen Comp -60pts (-0.4%) @ 14,828 T/O US$103,410m (-7.7% DoD)
ChiNext Comp -9pt (-0.2%) @ 3,773
Pre market opened @ 24,700 +14pts vs -58pts ADR’s Macau names +VE as CS upgrades and AIA leading. Market sold down to 24,532 but then trended back to slightly +VE at lunch. PM traded sideways around the 24,730 level.
Tencent +VE despite having to halt new Apps, Alibaba +VE on structuring of Ant and Baidu +VE on autonomous taxi approval and Meituan slight -VE ahead of earnings Friday. Property and Energy laggards but Kaisa +13% (off the initial +21%) on resumption of trading. Education names +VE on re-orientation of business to professional vs school children. BYD -VE despite new bus orders.
Leaders Healthcare, Info Tech and Industrials
Laggards Financials, Consumer Discretionary, Energy.
Results at Lunchtime
VITASOY INT'L (00345.HK) announced the interim result ended September 2021. The revenue declined 18.3% year on year to HK$3.604 billion. The net profit amounted to HK$32.804 million, down 95.1% year on year. EPS was HK3.1 cents. No dividend was declared, against a dividend of HK3.8 cents per share for the corresponding period of the previous fiscal year.
HONG KONG DATA
Balance of Trade Oct HK$-30.5b vs -42.4b Sept (F/cast was -48.2b)
Exports Oct 21.4% YoY vs 16.5% Sept
Imports Oct 17.7% YoY vs 23.5% Sept
SHORT SELLING HSI Thursday 19.8% vs 22% Wednesday
Top shorts Bud APAC (1876) 65%, Country Garden (2007) 57%, Hang Seng Bank (11) 55%, PingAn (2318) 50%, Henderson Land (12) 49%, Hengan (1044) 48%, HSBC (5) 43%, Link REIT (823) 39%, Wharf REIC (1997) 38%, HKEX (388) 37%, AAC Tech (2018) 36%, SHKP (16) 34%, Ali Health (241) 33%, CK Asset (1113) 32%, Shenzhou (2313) 32%, China Overseas (688) 32%, Sunny Optical (2382) 31%, Techtronic (669) 30%, NWD (17) 29%, MTRC (66) 29%, Meituan (3690) 29% (reports Friday), China Res Land (1109) 28%, CKH (1) 27%, Citic (267) 27%, Geely (175) 27%, Power Assets (6) 26%, CM Bank (3968) 26%, Galaxy Ent (27) 25%.
AFTER MARKET NEWS
New Oriental Education & Technology Group, Inc. (EDU.US) has begun to build up Chinese language courses in the U.S. as BlingABC (a subsidiary of the Company) explores its transformation, Sina Tech citing sources. These are online courses mainly covering the Chinese language. BlingABC rolled out Blingo in August 2021, aiming to boost the Chinese listening, speaking, reading, writing and translation skills of overseas Chinese kids and teenagers by offering them Chinese language and culture courses, according to public information.
TENCENT (00700.HK)'s Tencent Cloud database has reportedly leaked, sparking the exodus of some SOE business units on WeChat. Equally, the Cyberspace Administration of China is reportedly making phone calls to a list of key Tencent Cloud clients to verify the rumors. In response, TENCENT said on the "Goose Factory Blackboard News" Wechat official account that such reports were rumors.
JD-SW (09618.HK) is currently in talks with about five top-tier banks in relation to a USD2 billion syndicated loan, with a financing maturity period of five years, reported Bloomberg News, citing sources.
DICKSON CONCEPT (00113.HK) announced the interim result ended September 2021. The net profit amounted to HK$135 million, up 1.4% yearly. EPS was HK34.3 cents. An interim dividend of HK8 cents was declared, flattish yearly.
VITASOY INT'L (00345.HK)'s China sales were significantly undermined during the peak summer vacation season, given the lack of full product commercialization and advertising inputs in most of the July-September period, said Group CEO Roberto Guidetti at the result teleconference. However, the group put the goods back on shelves in September, leading to a certain degree of sales revival channel-wise following Mid-Autumn Festival, National Day holiday and school opening. Such momentum seemed to run on in October and November, Guidetti added. VITASOY INT'L announced the interim result ended September 2021. The net profit amounted to HK$32.804 million, down 95.1% year on year.
Lorenzo Bertelli, the eldest son and heir designate to PRADA (01913.HK) CEO Patrizio Bertelli, pledged to maintain the group under family control after assuming office. The 33-year old Lorenzo Bertelli is a now Prada's marketing chief, helping propel the group's digital business. Patrizio Bertelli depicted Lorenzo, who will take over Prada in three to four years, as the key element in the group's turnaround to profit.
Bloomberg reports Shuozhou issuing coal coupons to ensure families have access to coal stocks. Each coupon good for two tons of subsidised coal.
Centa Valuation Index (Major Banks) (CVI) last stood at 29.89, down 5.82 pts WoW from last week's 35.71, remarked the research department of Centaline Property. Banks continued to lower valuation in self-defense in the second week after bond-buying taper in the U.S.. CVI busted below 30, foretelling that the home price slackening from peak has yet to come to an end. However, there is no asserting the signal for property price downturn.
Market opened tested higher in early trades but then sold down to 7,370 level through the morning before rebounding to 7,410 at midday. PM has traded in a tight range and closed +8pts (+0.1%) @ 7,407 Financials, Consumer Staples, Energy and Gold weak but Tech seeing interest.
AGM’s from Evolution Mining, financial services company IOOF Holdings Limited and struggling ecommerce companu Kogan .com Ltd
Data out in the morning.
Building Capital Expenditure Q3 -0.2% QoQ vs +4.2% Q2 Revised
Plant Machinery Capital Expenditure Q3 -4.1% QoQ vs +2.7% Q2 revised
Private Capital Expenditure Q3 -2.2% QoQ vs +3.4% Q2 revised (F/cast was -1.5%)
Much lighter volumes and Yen trading at 115’s
Nikkei opened higher and trading sideways around 29,500 level through the morning. PM opened higher and traded sideways around 29,520 level but dipped at the end to close +197pts (+0.7%) @ 29,499
Topix opened higher, rallied to 2,031 but then sold down into lunch. PM traded sideways to close +7pts (+0.3%) @ 2,026
Leaders Brokers, Miners, Rail, Utilities
Laggards Airlines, Pulp/Paper, Food, Rubber.
Value and Growth names +VE
PPI Services Oct 1% vs 0.9% Sept (F/cast was 0.9%)
Coincident Index Sept 88.7 vs 91.3 Aug (F/cast was 87.5)
Leading Economic Index Sept 100.9 vs 101.3 Aug (F/cast was 99.7)
Nationwide Department Sales Oct 2.9% vs -4.3% Sept
Tokyo Department Store Sales Oct 4.9% vs 0.7% Sept
Machine Tool Orders Oct 81.5% vs 81.5% Sept
CPI data tomorrow pre market.
BoK raised rates as expected; banks mixed. Foreigners & Local Institutions selling Semiconductors. Kospi 200 December additions +VE along with Metaverse and Game names. Apparel weak
Kospi opened higher but sold down as the BoK raised rates as widely expected. Morning low was 2,973 before a small bounce then traded sideways -14pts (-0.5%) @ 2,980
Kosdaq opened higher but sold down after 45 mins and found support 1,016 level bounce to flat but then sold down to traded around 1,018 but sold down to close -5pts (-0.4%) @ 1,016
Taiex opened higher and tested to 17,425 but then sold down to 17,610 level before rebounding to trade just above flat for the rest of the session before closing +12pts (+0.1%) @ 17,654
Chip makers under pressure as US puts more Chinese companies on the entities list. Metaverse names +VE. Delta +VE on outlook for energy storeage business. Nuvoton launches 3rd Generation auto use BMS IC +VE
T/O was US$10.82bn vs US$10.5bn Wednesday
CECC reported 10 new covid cases all imported
BABA (09988.HK) +3.600 (+2.731%) Short selling $634.43M; Ratio 19.861% closed at $135.4, up 2.7%
TENCENT (00700.HK) +5.600 (+1.186%) Short selling $940.34M; Ratio 11.626% closed at $477.8, up 1.2%
HKEX (00388.HK) +1.800 (+0.397%) Short selling $303.89M; Ratio 36.616% closed at $454.8, up 0.4%
MEITUAN (03690.HK) +0.800 (+0.293%) Short selling $1.00B; Ratio 28.844% closed at $274.2, up 0.3%
PING AN (02318.HK) +0.150 (+0.262%) Short selling $440.20M; Ratio 49.830% closed at $57.3, up 0.3%
AIA (01299.HK) -0.100 (-0.114%) Short selling $167.76M; Ratio 13.644% closed at $87.5, down 0.1%
HSI & HSCEI Constituents on Move:
EVERG SERVICES (06666.HK) +0.210 (+5.000%) Short selling $5.98M; Ratio 4.635% closed at $4.41, up 5%
BIDU-SW (09888.HK) +6.500 (+4.455%) Short selling $166.68M; Ratio 27.095% closed at $152.4, up 4.5%
ENN ENERGY (02688.HK) -5.500 (-3.537%) Short selling $82.57M; Ratio 17.899% closed at $150, down 3.5%
NTES (09999.HK) +5.800 (+3.277%) Short selling $316.78M; Ratio 38.244% closed at $182.8, up 3.3%
HAIDILAO (06862.HK) +0.560 (+3.024%) Short selling $19.08M; Ratio 9.642% closed at $19.08, up 3%
HSMI & HSSI Constituents on Move:
E-HOUSE ENT (02048.HK) +0.600 (+47.244%) Short selling $4.67M; Ratio 1.739% closed at $1.87, up 47.2%
SCHOLAR EDU (01769.HK) +0.400 (+17.391%) Short selling $5.90M; Ratio 2.215% closed at $2.7, up 17.4%
TIANLI EDU (01773.HK) +0.290 (+15.847%) Short selling $4.88M; Ratio 6.576% closed at $2.12, up 15.8%
KAISA GROUP (01638.HK) +0.140 (+13.861%) Short selling $14.13M; Ratio 5.332% closed at $1.15, up 13.9%
WISDOM EDU INTL (06068.HK) +0.160 (+11.940%) Short selling $3.53M; Ratio 4.947% closed at $1.5, up 11.9%
YEAHKA (09923.HK) +3.050 (+11.663%) Short selling $8.71M; Ratio 7.072% closed at $29.2, up 11.7%
FUFENG GROUP (00546.HK) +0.280 (+10.687%) Short selling $294.79K; Ratio 1.395% closed at $2.9, up 10.7%
HBM HOLDINGS-B (02142.HK) +0.930 (+10.054%) Short selling $2.91M; Ratio 5.681% closed at $10.18, up 10.1%
The U.S. Department of Commerce (DOC) announced yesterday (24th) to add 12 Chinese companies to the Entity List for national security or foreign policy interest concerns. The U.S. DOC's new sanction list did not align with the consensus between Chinese and American leaders, commented Chinese Commerce Ministry spokesperson Shu Jueteng. It was adverse to both China and the U.S., as well as global supply chain safety and world economic revival. Washington generalized the "national security" concept with arbitrary sanction measures, absence of factual basis and an opaque procedure. China strongly opposed to the sanctions and will lodge solemn representations with the U.S. side.
Moore Threads Intelligent Technology Beijing Co. Ltd. has recently underwent business changes, introducing Guangxi Tencent Venture Capital and other investors, showed Tianyancha. The firm's registered capital burgeoned to around RMB22.6258 million. Moore Threads mainly strives to research and develop GPU chip-related intellectual properties on its own, providing data centers and edge computing servers with GPU computing technology and services.
S&P Global Ratings affirmed the "BBB-" rating for XIAOMI-W (01810.HK), with a Positive outlook, contending that the company will likely be able to maintain its solid market position if it can make through the semiconductor shortage. The 3Q21 performance of XIAOMI-W's smartphone business has been impeded by the chip shortage, and such impact may persist throughout the coming two to three quarters, the report suggested. However, the rating agency viewed the issue of chip shortage as temporary and universal for the entire industry. Under such tight supply conditions, XIAOMI-W has demonstrated the ability to prioritize the production of premium and high-profit models, which enabled the company to continue to enhance its presence in the premium smartphone segment, the report analyzed. S&P Global Ratings kept 2021-22E revenue growth of XIAOMI-W at 28-31% and 10-13%, respectively, while remarking that the increase of premium users in the Chinese market and the growth of marketing revenue in overseas markets should be able to drive the business growth next year.
CATHAY PAC AIR (00293.HK) is slashing both long- and short-haul passenger flights to Hong Kong for December to cope with staffing shortage over Christmas and New Year holidays, South China Morning Post citing an insider. Roughly a third of all December inbound flights to Hong Kong will be converted to mainly handle cargo, the Post reported. Outbound flights are expected to keep operating as normal, with around 620 flights scheduled for next month. Operational and travel curbs that remain in place are still limiting CATHAY PAC AIR's flight operation ability, an airline spokeswoman was quoted as saying.
URA's Hung Fook Street / Ngan Hon Street Development Project was closed for tender by this noon (25th). According to on-site witness, the URA has received at least eight tenders, including CK ASSET (01113.HK), Chinachem, SINO LAND (00083.HK), along with K. WAH INT'L (00173.HK) and HENDERSON LAND (00012.HK) on sole basis.
The Government announced that Chief Executive, Carrie Lam, will visit Wuhan in Hubei Province from November 28 (this Sunday) to December 1 (next Wednesday). Lam will lead a delegation of the Hong Kong Special Administrative Region Government and depart for Wuhan via Shenzhen on November 28 to attend the High-Level Meeting cum First Plenary of the Hong Kong-Hubei Co-operation Conference the following day. The Chief Secretary for Administration, John Lee; the Secretary for Innovation and Technology, Alfred Sit; the Secretary for Home Affairs, Caspar Tsui; and the Under Secretary for Constitutional and Mainland Affairs, Clement Woo, will join the visit.
In wake of tensions between China and the U.S. in recent years, the U.S. has been ramping up her scrutiny on Chinese firms listed in the country, causing the latter to pick Hong Kong in snub to the U.S. for flotation, said the SFC CEO Ashley Alder at a forum, who therefore deemed Hong Kong's role as the middleman of Chinese and global funds could be reinforced. Shen Bing from CSRC, attending the same occasion, yet disagreed with Alder. While Hong Kong becomes more critical in financial market, Chinese companies should have the freedom to choose which market to list. He opined that the delisting of Chinese firms from the U.S. is unfavorable, no matter to the companies or international investors. In his closing remarks, Alder acknowledged CSRC's efforts in making deals with other markets regarding auditing issues of Chinese firms. Yet, he stated outright that China sometimes hijacked professional matters with political issues. Regardless, he agreed with Shen that Chinese companies' overseas listings entailed certain advantages.
In light of the recently arisen risks associated with the default of the Chinese property developers, Tim Lui, chairman of the Securities and Futures Commission (SFC), expressed that the SFC has been monitoring the situation from an early stage. Lui remarked that relevant consultation works and pressure tests have been completed, which led to the conclusion that the crisis of the Chinese property sector will not constitute systematic risks for the industry in Hong Kong
Fengyi Technology (Shenzhen) has introduced Guangxi Tencent Venture Capital as a new shareholder, with its registered capital being increased from RMB30 million to approximately RMB37.14 million, reported Chinese media. Fengyi Technology (Shenzhen) was founded in 2018, with its operation covering the R&D, sales, leasing and maintenance of unmanned aerial vehicles.
Overnight HIBOR last posted at 0.05911%, logging a 1-month high, according to HKAB. Meanwhile, the 1-Month HIBOR related to mortgage rate last stood at 0.09482%.
TENCENT (00700.HK)'s Tencent Cloud announced that the company's first data center located in Sao Paulo, Brazil, has been officially completed and launched. The new data center will enable Tencent Cloud to cover 27 geographical regions and 68 availability zones around the globe, while also marking Tencent Cloud's official venture into the Latin America market.
Beijing has officially opened the first domestic pilot area for self-driving service commercialization, symbolizing a new phase of its shift from self-driving testing and demonstration to commercialization trial and exploration, reported Chinese media. BIDU-SW (09888.HK) and Pony.ai are among the first batch of companies with commercialization trial approval, set to operate no more than 100 autonomous vehicles within 60 square kilometers of the economic and technological development zone at this stage.
China Securities Regulatory Commission (CSRC) is, at the moment, actively striving to resolve the auditing issues of the China concept stocks with U.S. authorities, remarked Shen Bing, director general of the CSRC's department of international affairs. Shen added that, while the CSRC will endeavor to prevent such situation from happening, the China concept stocks may face the risk of being delisted. Shen further expressed that the CSRC will support Hong Kong as the prime listing location for Chinese firms. However, the commission will keep an open mind towards the companies' choices on the listing location, he added.
JD Cloud and Huawei announced to jointly launch an innovative solution on infrastructure of data centers, which will utilize technologies including an indirect evaporative cooling system referred as Environment Handling Unit (EHU) and an integrated power supply system referred as SST, to enhance the energy efficiency of data centers.
Indonesian courier startup J&T Express has recently completed the latest pre-listing funding, involving USD2.5 billion, with existing and new investors including TENCENT (00700.HK), SIG China, Sequoia Capital China, Boyu Capital and Hillhouse Capital Group, reported foreign media. The company is expected to launch its Hong Kong IPO by 1Q22 at the earliest, the report added.BYD COMPANY (01211.HK) announced that the company had entered into an order for 70 electric buses with Nobina on 24 November, marking another cooperation with the North European public transport operator after delivering the largest e-bus fleet to Finland this summer. This also marked BYD's second batch of e-bus order in Finland. The order covers e-buses in two models, 42 of them being 13-meter variants and 28 being 15-meter buses. They are scheduled for operation on city routes in the greater Helsinki area of Finland in summer 2022.
The consortium comprised of Avi Gabbay and Shlomo Rodav tabled to acquire 27.1% stake in Partner (PTNR.US) from CKH HOLDS (00001.HK) at approximately US$300 million, foreign media wired. The related deal involving the Israeli telecom Partner has reached an agreement, which may be signed off as soon as today (25th), sources said.
A shareholder of EVERGRANDE (03333.HK) proposed to place around 300 million existing shares, representing around 2.26% of the issued share capital of the company, Ming Pao citing market sources. The placing price is $2.23 each, implying a discount of about 19.78% to the company's closing price of $2.78 yesterday (24th). The shareholder is expected to cash in roughly $669 million. Kingston, helping EVERG VEHICLE (00708.HK) with two recent placements before, is said to be the placing broker of EVERGRANDE this time. The placing shareholder remains unknown so far.
Sources suggested that Li Ka Shing has acquired a manuscript on the theory of general relativity belonged to the genius physicist Albert Einstein at Christie's Paris auction on Tuesday (23rd), for EUR11.6 million (approximately HKD101 million), about 3x higher than the pre-auction estimated price of EUR2-3 million, reported foreign media.
Fitch Ratings further downgraded CHINA AOYUAN (03883.HK)'s Long-Term Foreign-Currency Issuer Default Rating (IDR) from 'B-' to 'CCC-'. The senior unsecured rating and the ratings on the
outstanding. USD senior unsecured notes were downgraded from 'B-' to 'CCC-'. The firm has a Recovery Rating of 'RR4', being removed from Rating Watch Negative. The downgrade indicated doubts on CHINA AOYUAN's ability to refinance the USD688-million senior notes due January 2022, alongside limited financial flexibility and absence of funding access. The Chinese developer was expected to face RMB8.8-billion debt maturities by end-2022.
The U.S. Federal Communications Commission (FCC) urged the federal appeals court to reject the request filed by CHINA TELECOM (00728.HK) to overturn the FCC's decision to revoke its authorization to operate in the U.S.. The U.S. branch of the Chinese telecommunication company has been required by the FCC to cease providing services in the U.S. from January next year, due to national security reasons.
FE CONSORT INTL (00035.HK) announced that River Riches Limited, a joint venture company held as to 50% by the company and 50% by NEW WORLD DEV (00017.HK), will acquire all of the sale shares of Rich Fast International from KAISA GROUP (01638.HK) and Chen Zhuang Rong and subsequently the property held by Rich Fast International in Kai Tak, for a consideration of $7.948 billion.
The property is located at a prime location in Kai Tak which is a new development area of Hong Kong. The property will serve as a replenishment of the group’s land bank in Hong Kong. The group intends to develop the property into a residential development through the joint venture, the announcement added.
The U.S. Department of Commerce blacklisted a dozen of Chinese companies for national security and foreign policy reasons, viewing these companies helped grow the Chinese military's quantum computing efforts. The DoC said Hangzhou Zhongke Microelectronics, Hunan Goke Microelectronics, New H3C, Xi'an Aerospace Huaxun Technology and Yunchip Microelectronics were put on the blacklist for their support of the military modernization of the People's Liberation Army.
KAISA GROUP (01638.HK) announced that, in relation to the US$400 million 6.5% senior notes due 2021 issued by the company, which are listed on the Singapore Exchange Securities Trading Limited, the outstanding principal amount are US$400 million under the Existing Notes. On the date of this announcement, the company commenced the offer to exchange for at least US$380 million, or 95%, of the outstanding principal amount of the Existing Notes (the Minimum Acceptance Amount). In conjunction with the Exchange Offer, the company is also soliciting from the Holders consents to the Proposed Waivers and Amendments. The New Notes will mature on June 6, 2023. The New Notes will bear interest at 6.5% per annum payable entirely in cash or, if the company elect to pay such interest entirely in paid-in-kind interest on any interest payment date other than the maturity date, at 7.5% per annum, payable semiannually in arrears, the announcement added.
HSBC HOLDINGS (00005.HK) announced that it repurchased 1.5528 million shares of the company in the London market yesterday (24th) at a price ranging between GBP4.4215-4.4735 per share. The volume weighted average price per share was GBP4.4469. The amount involved a total of GBP6.9051 million (approximately HK$71.8 million).
China Mobile Communications Group entered into a strategic cooperation framework agreement with China Energy Engineering Corporation (CEEC) in Beijing, reported Securities Times. Pursuant to which, both sides will begin their reciprocal partnership in digital transformation, communications infrastructure building, basic communications services, sci-tech innovation, international business, capital collaboration and other fields.
EVERGRANDE (03333.HK)’s Guangzhou Evergrande Football Stadium land parcel has been resumed with preparations for re-auction, reported the Sports section of People's Daily. Any new corporation taking over Guangzhou Football Club will have to bid for either the land parcel, or the land use rights guaranteed by Guangzhou City Construction Investment Group (GZCI). EVERGRANDE originally planned to complete the stadium construction by the end of 2022.
Presiding over the 22nd meeting of the Central Comprehensively Deepening Reforms Commission, Chinese President Xi Jinping vowed to expedite science and technology system reforms and build a unified electricity market system nationwide, reported Xinhua News Agency. Kicking off these reforms, China aims to systematically boost its sci-tech innovation and emergency response capability while accentuating its goal-oriented and problem-oriented nature. By being to the point and shoring up weaknesses, China shall accelerate the construction of a system ensuring high-level sci-tech self-reliance and independence, Xi added.
A task force was established by China's National Development and Reform Commission in late October, according to NDRC's official WeChat message. Based on the Measures for the Administration of Behavior of Price Indexes for Important Commodities and Services (for Trial Implementation), the task force assessed and ran compliance review of the price index behavior of 12 coal price index entities. Non-compliance issues were uncovered among some index providers, who had misled the market and seen price hike deviating from supply-demand fundamentals to some extent.
In the next step, NDRC will verify the issues further and take disciplinary measures like summoning non-compliant entities for talks, publicizing their names, and setting deadlines for rectification. Equally, the watchdog will take legal actions on illegal players according to the law.
China's Ministry of Industry and Information Technology has initiated special rectification of apps' infringement of user rights and interests year-to-date, CCTV News learnt from the watchdog. Nine of TENCENT (00700.HK)'s products have been caught defying relevant 2021 requirements for rectifying the information and communications industry trends. MIIT has taken transitional administrative guidance measures on TENCENT, asking the giant to submit upcoming new apps and updates for technical inspections before launch. TENCENT mentioned yesterday (24th) the continuous measure upgrade to protect app users' rights and interests, while conducting normal compliance tests to align with regulators' requirements.
KAISA GROUP (01638.HK) announced that wealth products issued for certain members of the Group and its associates in the principal amount of approximately RMB1.493 billion have become due in October and November. So far, repayment measures have been implemented for the principal amount of RMB1.097 billion of the wealth products. These consist of redemption of 10% of the principal amount and interest commencing on the 20th day of the month that the relevant principal amount becomes due and further redemption of 10% of the principal amount and interest every three months from the due date; and a deferred interest of 4.35% based on the outstanding principal amount will be paid to the holders. As to the remainder principal amount of approximately RMB397 million, the issuers of the products are in the process of negotiating the repayment measures with the holders. Application has been made for the resumption of trading in the shares of the Company with effect from 25 November.
CHINA EDU GROUP (00839.HK) announced the annual results of the Group for the year ended 31 August 2021. Net profit increased by 128% year-on-year to RMB1.444 billion. EPS was RMB65.02 cents. A final dividend of HK20.2 cents per share was declared, against HK13.9 cents in the same period last year.
NEW ORIENTAL-S (09901.HK) announced that the company further repurchased the 2.125% Bonds due 2025, and the total repurchased principal amount is in the aggregate of US$91.5 million, representing approximately 30.5% of the initial principal amount of the Bonds.
ALI HEALTH (00241.HK) announced the interim result for the six months ended 30 September 2021. The revenue rose 30.7% YoY to RMB9.358 billion. The interim loss was RMB232 million, compared to a net profit of RMB283 million in the corresponding period of the previous year. LPS was RMB1.72 fen. No interim dividend was declared.