Campbell’s China Buy: Soup On The Way?

Campbell’s soups: coming to China?

Campbell (NYSE: CPB) maybe a household name in the west, but its famous soup cans are unknown in China where homemade broths are the norm and instant soups are a foreign concept. But that could change soon, with word that Campbell has purchased a Danish cookie company with a strong presence in China. Normally I’d say this purchase alone doesn’t mean that Campbell will necessarily use Denmark’s Kelsen as a platform to roll out its soups in China. But in this case Campbell seems to be making extra effort to highlight the China angle in its announcement of the deal, which makes such a move seem more likely. Continue reading →

Xiaomi Eyes Internet TV

Xiaomi preparing Internet TV?

Media are all abuzz that trendy smartphone maker Xiaomi may be preparing to launch an Internet TV, after a photo was leaked showing boxes of the packaging for such a product in a warehouse. Of course it’s always possible the photos are doctored and were created by someone trying to stir up gossip about this up-and-coming company co-founded by the marketing savvy Lei Jun. But I’ve had a look at the photo, which features stacks of boxes with the words “Xioami TV – L47M1-AA 47-inch” printed on them, and have to say the pictures look authentic, meaning the rumors may be true.  (English article; Chinese article) Continue reading →

News Digest: June 18, 2013

The following press releases and media reports about Chinese companies were carried on June 18. To view a full article or story, click on the link next to the headline.
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  • eBay (Nasdaq: EBAY) To Become First Foreign Financial Payments Licensee (Chinese article)
  • China Solar Stocks Rally On Aid Hopes (English article)
  • Central Huijin Boosts Stake in Bank Of China (HKEx: 1398) (HKEx announcement)
  • Campbell (NYSE: CPB) Buys Cookie Maker Kelsen, Eyes Growth in China (Businesswire)
  • Ambrx, Zhejiang Medicine Co To Commercialize Ambrx Breast Cancer Drug (PRNewswire)

Bristol-Myers, J&J Find Opportunity, Risk In China Drugs

Bristol-Myers, Simcere expand China tie-up

A few interesting news bits on the medical front are spotlighting both the opportunities and risks that drug and medical equipment makers face in developing the China market. On the opportunity side, Bristol-Myers Squibb (NYSE: BMY) has announced an expansion of its relationship with Simcere Pharmaceutical (NYSE: SCR) to introduce its drugs into China. Meantime, homegrown medical equipment maker Mindray Medical (NYSE: MR) is also banking on the market’s potential with its newly announced acquisition of a US ultrasound equipment maker. But US drug giant Johnson & Johnson (NYSE: JNJ) is also finding the market contains some risks, as it comes under fire for double standards related to its product recall policies in China. Continue reading →

Murdoch Divorce: Done With China?

Murdoch divorce spotlights News Corp’s China reversal

It’s been relatively quiet in China these last few days due to the Dragon Boat holiday, so I thought I’d start the new week with a look at Rupert Murdoch’s ongoing divorce with Wendi Deng and what it might mean for his flagship New Corp (Nasdaq: NWSA) in China. Many believe that Deng, a China native, was one of the main forces behind Murdoch’s previous bullishness on China, leading News Corp aggressively try to develop the market in the decade from 2000 to 2010. But the company has sharply reversed its China approach over the last 3 years, perhaps reflecting the deteriorating marriage between Murdoch and Deng. Continue reading →

China Microlender To Make US Listing

China Commercial Credit files for US IPO

It’s a relatively slow day for financial news, so I thought I’d take a look at a very low-key IPO getting ready to launch in New York by a small Chinese microlender named China Commercial Credit. This particular offering is so small, set to raise about $18 million, that it normally wouldn’t be worth mentioning. But what’s interesting is that this is the first US listing of this size that I’ve seen by a Chinese lender, and could perhaps auger a wave of similar listings by a new generation of private Chinese banking firms. Continue reading →

News Digest: June 15-17, 2013

The following press releases and media reports about Chinese companies were carried on June 15-17. To view a full article or story, click on the link next to the headline.
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  • EU Free-Trade States Urge Quick Resolution Of Chinese Solar Dispute (English article)
  • Beijing Warns Johnson & Johnson (NYSE: JNJ) Over Recall Double Standards (English article)
  • Bristol-Myers, Simcere (NYSE: SCR) To Co-Develop Orencia In China (PRNewswire)
  • Ming Yang (NYSE: MY) Announces Change Of CFO (PRNewswire)
  • Smithfield (NYSE: SFD) Profit Plunges After China Blocks Imports (English article)

Focus On Huawei, Steel In EU-China Trade Wars

EU lodges complaint against China steel tariffs

China was on holiday much of this week for the annual Dragon Boat Festival, but there was no respite for the building trade hostilities between Beijing and the EU that are quickly souring bilateral relations. Last week Beijing launched a probe into unfair state support against EU wines and hinted at another similar probe into luxury cars, targeting 2 product areas where European names have successfully tapped the China market. (previous post) Now this week Europe is firing back with a complaint against punitive steel tariffs launched by Beijing, while Britain is making its own worrisome noises about the safety of telecoms equipment from Huawei Technologies. Continue reading →

Spreadtrum Soars On 4G, Camelot Clunks

China 4G boosts Spreadtrum

The latest earnings and outlook are breathing new life into low-cost smarphone chip maker Spreadtrum (Nasdaq: SPRD), but also showing why the market remains difficult for homegrown IT services firms like Camelot Information Systems (NYSE: CIS). Spreadtrum’s newly announced upside surprise could bode well for the broader field of companies that specialize in low-cost smartphones and their components, as China prepares to launch 4G mobile services later this year. Meantime, Camelot’s weak earnings are likely to continue for the foreseeable future, though at least it won’t have to publicly discuss those embarrassing numbers if its current bid to privatize succeeds. Continue reading →

News Digest: June 14, 2013

The following press releases and media reports about Chinese companies were carried on June 14. To view a full article or story, click on the link next to the headline.
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  • EU Files WTO Complaint Over Chinese Stainless Steel Duty (English article)
  • Mindray (NYSE: MR) To Acquire Zonare Medical Systems (PRNewswire)
  • China Mobile (HKEx: 941) Recruits TD-LTE Trial Customers (English article)
  • Renault (Paris: RENA) May Make Electric Cars in China (English article)
  • Dangdang (NYSE: DANG) Chairman: No Prediction On Return To Profit (Chinese article)