FUNDS

CITIC PE-Backed 3SBio Seeks $712M Hong Kong IPO

CITIC PE-Backed 3SBio Seeks $712M Hong Kong IPO

Shenyang, Liaoning province-based Chinese bio-pharmaceutical firm 3SBio Inc., backed by CITIC Private Equity Funds Management Co. (CITIC PE), is seeking to raise as much as US$712 million in a Hong Kong initial public offering, according to a securities filing. The company is offering 606.1 million shares at HK$8.30 to HK$9.10 apiece, with a valuation of […]

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Accel Partners, DJI Jointly Launch $10M Investment Fund

Accel Partners, DJI Jointly Launch $10M Investment Fund

Shenzhen-based Chinese consumer drone maker SZ DJI Technology Co. has jointly launched a US$10 million investment fund with venture capital firm Accel Partners to back start-ups in the unmanned aerial vehicle (UAV) industry, according to an article posted on DJI's Twitter account. The 50-50 joint investment vehicle, named the SkyFund, will raise additional capital in […]

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Cathay Capital Invests In Chinese Food Ingredient Maker Cabio

Cathay Capital Invests In Chinese Food Ingredient Maker Cabio

Cathay Capital Private Equity has invested in Cabio Bioengineering (Wuhan) Co., Ltd., a Chinese company that focuses on natural food ingredients production, according to a company announcement. Cathay Capital, investing through its Sino French (Midcap) Fund, is to hold a 25% minority stake in the company after the completion of the transaction. Financial details were […]

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Weibo To Invest $142M In Taxi-Hailing App Didi Kuaidi

Weibo To Invest $142M In Taxi-Hailing App Didi Kuaidi

NASDAQ-listed Weibo Corporation has agreed to invest US$142 million in a company that combines two leading Chinese taxi-hailing app makers, Didi Dache and Kuaidi Dache, according to a securities filing. The investment is part of the merged company Didi Kuaidi's latest round of equity financing. Weibo is to invest through its Cayman Islands holding company, […]

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eBaoyang Completes $20M Series B Round Led By Beijing Kunlun

eBaoyang Completes $20M Series B Round Led By Beijing Kunlun

Beijing-based O2O (online-to-offline) automobile maintenance service provider eBaoyang has received US$20 million series B financing led by Shenzhen-listed online gaming firm Beijing Kunlun Technology Co., Ltd., according to Chinese media reports. Beijing Kunlun invested US$11 million, while existing investor Source Code Capital also participated. Founded in January 2014, eBaoyang launched its services in May 2014. […]

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Priceline Makes $250M Follow-On Investment In Ctrip

Priceline Makes $250M Follow-On Investment In Ctrip

Connecticut-based online travel booking website Priceline Group Inc. has agreed to invest an additional US$250 million in Chinese travel service group Ctrip.com International Ltd., according to a joint announcement. The investment will be made via a convertible bond. In addition, NASDAQ-listed Ctrip has granted permission to Priceline to acquire Ctrip's American Depositary Shares (ADS) in […]

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Tiger Global, SRS Invest $150M In Venture-Backed eHi

Tiger Global, SRS Invest $150M In Venture-Backed eHi

U.S. investment firms Tiger Global Management LLC and SRS Investment Management LLC have agreed to invest US$150 million in New York Stock Exchange-listed Chinese rental car company, eHi Car Services Ltd., to help expand its fleet, according to a company announcement. Through a private placement deal, the two funds will subscribe to eHi's newly issued […]

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JD.Com Leads $70M Series C Round In Fruitday

JD.Com Leads $70M Series C Round In Fruitday

Shanghai-based fresh produce e-commerce platform Fruitday has completed US$70 million series C round of financing led by JD.com Inc., according to an announcement posted on the company's Weibo account. Existing investors SIG Asia Investments and ClearVue Partners also participated. As part of the financing round, JD.com and Fruitday also plan to establish a strategic partnership, […]

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Fosun, Hopu Among Investors Acquiring Biotech Firm Ambrx

Fosun, Hopu Among Investors Acquiring Biotech Firm Ambrx

A Chinese investor consortium has agreed to acquire San Diego, California-based biotechnology firm Ambrx Inc., according to a company announcement. The investors include entities affiliated with Shanghai Fosun Pharmaceutical Group, Chinese private equity firm Hopu Investments, a healthcare investment fund under China Everbright Limited, and WuXi PharmaTech, a Chinese research and development service provider for […]

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ECONOMY

China's HSBC Flash PMI Improves To 49.1 In May

China's HSBC flash manufacturing purchasing managers index (PMI) improved to 49.1 in May, up from a final reading of 48.9 in April but slightly below market expectations of 49.3. "While we still need to wait for hard activity data to get a firmer view of activity growth, the still soft PMI reading highlights the difficulties […]

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China's New Loans Miss Forecasts At RMB708B In April

China's new RMB loans was recorded at RMB708 billion in April, less than market consensus of RMB903 billion and compares to RMB775 billion a year ago, according to data released by the People’s Bank of China. Total social financing aggregate came in at RMB1.05 trillion in April, lower than market consensus of RMB1.2 trillion and […]

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China's CPI Increases 1.5% In April

China's consumer price index (CPI) increased 1.5% year-on-year in April, roughly inline with market expectations, according to data released by China's National Bureau of Statistics. On a monthly basis, the CPI fell by 0.2%. Producer price index (PPI) continues to fall, declining by 4.6% year-on-year in April. "Both CPI and PPI inflation came in below […]

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China's Exports Fall 6.4%, Imports Drop 16.2% In April

China's exports fell 6.4% year-on-year in April, falling short of the market's expectation of a 2.4% rise, and following a 15% contraction in March. Imports dropped 16.2% year-on-year for the month, also worse than the 12% expected drop, and after falling 12.7% in March. As a result, trade surplus widened to RMB210.2 billion (US$34 billion), […]

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China's Official PMI Remains Unchanged At 50.1 In April

China's official manufacturing purchasing managers index (PMI) remains unchanged at 50.1 in April, according to data released by China’s National Bureau of Statistics. "The continued expansion of the official PMI suggests that the growth momentum is picking up, though modestly, thanks to the rise of newly started projects and monetary policy easing," writes a report […]

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China's HSBC Flash PMI Slips To 49.2 In April

China's HSBC flash manufacturing purchasing managers index (PMI) slips to 49.2 in April, from a final reading of 49.6 and a flash reading of 49.6 in March, reaching a 12-month low for the index. "Operating conditions in China’s manufacturing sector deteriorated slightly for the second month running in April…Production increased only marginally, while total new […]

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China's New Loans Stay Elevated At RMB1.18T In March

China's new RMB loans remained elevated in March, reaching RMB1.18 trillion, up from the RMB1.02 trillion recorded in February, according to data released by the People’s Bank of China. The aggregate financing continued to remain lukewarm at RMB1.18trn in March, compared with RMB2.1trn during the same period of last year. The M2 growth moderated to […]

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China's Exports Fell Sharply In March, Down 15%

China's exports contracted 15% year-on-year in March, after a surge of 48.3% in February, against market consensus expectations of a 12% increase, according to data released by China's General Administration of Customs. Imports shrank 12.7% year-on-year, an improvement from last month's decline of 20.5%, but was still below market expectations' of a 10% contraction.

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China's CPI Remains Steady In March, Up 1.4%

China's consumer price index (CPI) remained steady in March, increasing 1.4% year-on-year, according to data released by China's National Bureau of Statistics. On a monthly basis, the CPI fell by 0.5%, from 1.2% previously, as food prices declined after the Chinese New Year. Producer price index (PPI) continues to fall, declining by 4.6% year-on-year in […]

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BUSINESS

China Seeks Private Capital For $318B Public-Private Partnership Projects

China Seeks Private Capital For $318B Public-Private Partnership Projects

China's National Development and Reform Commission (NDRC) released a list of 1,043 proposed public-private partnerships (PPP) projects totaling RMB1.97 trillion (US$317.75 billion), and is inviting private capital to participate, according to a statement posted on the planning agency's website. The proposed projects are in the transport, water conservancy, natural resources, and public services sectors. China […]

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China-Focused Hedge Funds Up The Most In April

China-Focused Hedge Funds Up The Most In April

Asia ex-Japan hedge funds were the best performers in April, with gains of 8.26% for the month. In the region, Chinese managers posted the best returns, with the Eurekahedge Greater China Hedge Fund Index up 15.55%, according to a research report by Eurekehedge, a hedge fund data and research firm. Investor optimism remained high following […]

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Asia To Take Over Half Of World's Mobile Games Revenue By 2018

Asia To Take Over Half Of World's Mobile Games Revenue By 2018

Global mobile games revenue will grow from US$29 billion in 2015 to US$45 billion by 2018, and Asia is likely to take over 50% of the industry's revenue worldwide in three years, says a research report by investment advisory firm Digi-Capital. The industry's 15% annual growth means great opportunity for mobile game leaders, but will […]

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China-Focused Hedge Funds Outperform In March, Up 4.85%

China-Focused Hedge Funds Outperform In March, Up 4.85%

Hedge funds investing in Asia ex-Japan have delivered the best returns globally and were up 2.08% in March, led by Greater China-focused funds that gained 4.85% for the month, according to data released by Eurekahedge. Greater China equities were a major winning theme, with the CSI 300 Index soared 13.74% amid speculation that the government […]

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Alibaba Transfers E-Pharmacy Business To Alibaba Health

Alibaba Transfers E-Pharmacy Business To Alibaba Health

Hangzhou-based Chinese e-commerce giant Alibaba Group Holdings has agreed to transfer its online pharmacy business to Hong Kong-listed Alibaba Health Information Technology, formerly named CITIC 21CN, in exchange for majority ownership of the digital healthcare company in a US$2.5 billion deal, according to a company announcement. Alibaba Group will inject the e-pharmacy operations of its […]

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Venture Capital Investments Up 50% To $27B During Q1

Venture Capital Investments Up 50% To $27B During Q1

Global venture capital investments set another record during the first quarter, up 50% year-on-year to reach US$27.4 billion from US$18.1 billion during the same period last year, according to data released by industry research firm Preqin. There has been a slight drop in the number of companies receiving venture capital investment globally, which decreased 6% […]

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Baring Asset Management Appoints Edmund Chong In Senior Role

Baring Asset Management Appoints Edmund Chong In Senior Role

Baring Asset Management has appointed Edmund Chong as head of sales, client service and business development – distribution, Asia ex Japan. He is based in Hong Kong and reports to Gerry Ng, chief executive officer, Asia ex Japan, according to a company announcement. Chong joins Barings from HSBC Global Asset Management, where he was the […]

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Asia Pacific Hedge Funds' Total Assets Up 30% To Reach $145B

Asia Pacific Hedge Funds' Total Assets Up 30% To Reach $145B

The Asia Pacific hedge fund industry has reached US$145 billion in aggregate assets-under-management at the end of 2014, up 30% from US$112 billion a year ago. Hedge funds based in the region have also outperformed global peers, returning 11.91% on an annualized basis over the past three years, compared to 8.88% for global hedge funds, […]

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ANZ Expands RMB Cross-Border Financing Teams

ANZ Expands RMB Cross-Border Financing Teams

The Australia and New Zealand Banking Group Limited (ANZ) has made a number of senior appointments in its RMB banking and trading teams, in an effort to support growing volumes of RMB denominated cross-border financing activities, according to a company announcement. Lucy Chen has been recruited as global head of RMB transaction banking, a new […]

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OPINION

Alibaba's Challenges Pressure Stock's Near-Term Performance

Alibaba's Challenges Pressure Stock's Near-Term Performance

The author is founder and CEO of T.H. Capital Tian X. Hou Alibaba Group Holdings will report its fiscal fourth quarter, 2015 results on Thursday, May 7th. We believe that we most likely won’t see any positive surprises in its earnings as it is facing pressure from both short term negatives and fundamental changes. One […]

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China's $353B E-Commerce Money Market Funds Faces Hidden Risks

China's $353B E-Commerce Money Market Funds Faces Hidden Risks

The authors are Alastair Sewell and Li Huang at Fitch Ratings Since the launch of Alibaba’s online investment fund Yu-E Bao in the third quarter of 2013, Yu-E Bao accounts for 80% of Chinese e-commerce money market funds (MMFs), which are funds linked to e-commerce platforms and has become the largest Chinese MMF, representing more […]

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China's April Data Stabilizes, But More Support Needed

China's April Data Stabilizes, But More Support Needed

China's economic data may show signs of a tentative stabilization as a result of continued policy support, but the government will continue to speed up infrastructure investment and cut benchmark interest rate in the next couple of months, says a research report by UBS AG. The pace of decline in coal consumption improved going into […]

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How To Invest While China's A- And H-Share Market Converge?

How To Invest While China's A- And H-Share Market Converge?

China's A-share and H-share market are at an exciting juncture in their path toward eventual convergence in both price and liquidity, writes Helen Zhu, head of China equities at BlackRock. The China A-share market, which has nearly doubled in the last 12 months, recorded daily turnover of US$290 billion, while the Hong Kong market rose […]

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China's P2P Lending Sector Faces High Default Risk

China's P2P Lending Sector Faces High Default Risk

China's P2P (peer to peer) lending sector is largely unregulated and has experienced explosive growth, which plants the seed of serious moral hazard issue and high default risk, says a report by BofA Merrill Lynch Global Research. Perhaps to foster private competition in banking, the Chinese government has so far largely allowed the P2P lending […]

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ANZ: Debunking China's Debt Conundrum

ANZ: Debunking China's Debt Conundrum

Despite China's growing debt level and concerns of a credit bubble burst, the world's second largest economy has good odds to avoid a painful and unsuccessful de-leveraging process, says a research report by the Australia and New Zealand Banking Group Limited (ANZ). China’s high and still growing debt level is commonly seen as a major […]

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China's FTZ Scheme To Spearhead Financial Liberalization

China's FTZ Scheme To Spearhead Financial Liberalization

China's recent moves to expand its Free Trade Zone (FTZ) scheme will spearhead interest rate and capital account liberalization, as well as full convertibility of the RMB, according to a research report by ANZ. China’s State Council formally announced to launch three more Free Trade Zones (FTZs) in Tianjin, Fujian, and Guangdong province, as well […]

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New Fiscal Reforms Benefit China's Sovereign Credit Rating

New Fiscal Reforms Benefit China's Sovereign Credit Rating

China's most fundamental revamp of public finances since the early 1990s is likely to benefit Chinese sovereign creditworthiness over time, says a report by credit rating firm, Standard & Poor's Ratings Services. "The ability of provincial governments to issue domestic bonds could reduce the risk of contingent liabilities to the central government from the banking […]

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What Is China's Real Intention Behind The RRR Cut?

What Is China's Real Intention Behind The RRR Cut?

China's central bank announced a 100 basis points cut in the bank reserve requirement ratio (RRR) yesterday, which means some monetary easing, but does not necessarily amount to stimulative measures, says a research report by UBS AG. The RRR cut will certain increase liquidity provision, but it serves largely to offset the drop in forex […]

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