Too much money isn’t always a good thing, as it often pressures companies to put that money to work even when good investment opportunities are limited. Baidu (Nasdaq: BIDU) demonstrated that reality earlier this week with its purchase of an online app store that had little relationship with its core online search business (previous post), and now Alibaba is also showing similar tendencies with its investment in an online travel services website. In Alibaba’s case, the new investment come as the e-commerce leader posted a record second-quarter profit, and as it prepares for a blockbuster IPO that increasingly looks like it will take place in Hong Kong. Read Full Post…
The following press releases and media reports about Chinese companies were carried on July 18. To view a full article or story, click on the link next to the headline.
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China Blocks GSK (London: GSK) Finance Head From Leaving Country (English article)
The following press releases and media reports about Chinese companies were carried on July 17. To view a full article or story, click on the link next to the headline.
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Smithfield’s (NYSE: SFD) China Bidders Plan Hong Kong IPO After Deal – Sources (English article)
The retail world is buzzing with the latest reports that global giant Carrefour (Paris: CARR) is considering a potential withdrawal from China, as it tries to figure out how to make money in a market with huge potential but also massive competition. A Carrefour source in China was quick to deny the possibility of a sale, but clearly big discussions are happening behind the scenes on what’s likely to be some major changes for the world’s second largest retailer. One of the company’s biggest handicaps is its failure to recognize the rapid rise of e-commerce in China, which has put it at a disadvantage over other traditional retailers like Walmart (NYSE: WMT) and Suning (Shenzhen: 002024). Read Full Post…
The following press releases and media reports about Chinese companies were carried on June 20-22. To view a full article or story, click on the link next to the headline.
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Spreadtrum (Nasdaq: SPRD) Announces Receipt of Acquisition Proposal (PRNewswire)
More US Senators Concerned By Shuanghui-Smithfield (NYSE: SFD) Deal (English article)
Regulator Says Alibaba’s Yu E Bao Product Violates Securities Rules (Chinese article)
China Mobile (HKEx: 941) Halts New User Registration For Skype-Like Jego (Chinese article)
Zynga China Reportedly Laid off 18 Pct Employees, GM to Resign (English article)
The following press releases and media reports about Chinese companies were carried on June 21. To view a full article or story, click on the link next to the headline.
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SEC Charges China MediaExpress, CEO With Fraud (English article)
Alibaba’s 1688.com Launches Group Buy Channel (English article)
China’s regulators have never been known for moving fast on anything, and that case seems to apply even more when it comes to allowing foreign players into emerging markets like third-party payment services. More than 2 years after China began awarding licenses for its domestic companies to offer such, foreign companies are still waiting for equal rights in the lucrative domestic market. But now US e-commerce giant eBay (Nasdaq: EBAY) is saying it could soon become the first foreign licensee to enter the market, providing both a big opportunity but also a major challenge as it seeks to catch up to Chinese rivals with more than a 2-year head-start. Read Full Post…
Just 2 weeks after reporting that web portal Sohu (Nasdaq: SOHU) had broken off talks to buy PPTV, a sudden flurry of new reports have appeared saying several other companies are bidding for the online video company, including leading e-commerce firms Alibaba and Suning (Shenzhen: 002024). Rather than reflecting PPTV’s attractiveness, I suspect this sudden flurry of talks is being driven by a impatience among its shareholders who have pumped big money into the money-losing company but have received little returns so far. If that’s the case, I would expect to see PPTV acquired most likely by the end of this month, though perhaps at a far lower price than the investors were originally seeking. Read Full Post…
I have to commend Alibaba founder Jack Ma for his ability to keep his company in the headlines with growing frequency lately, as he seeks to build hype in the run-up to the e-commerce leader’s massive IPO. At the same time, however, Ma runs the very real risk of media burnout if his company continues to flood the market with this steady stream of news bits, even if many of them are truly newsworthy. Read Full Post…
The following press releases and media reports about Chinese companies were carried on June 5. To view a full article or story, click on the link next to the headline.
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EU Gives China 2 Months To Resolve Solar Panel Row (English article)
The following press releases and media reports about Chinese companies were carried on June 4. To view a full article or story, click on the link next to the headline.
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Alibaba in Talks to Acquire PPTV – Sources (English article)
Lenovo (HKEx: 992), NEC (HKEx: 6701) To Establish Smartphone JV (English article)
Canadian Solar (Nasdaq: CSIQ) Signs Loan Deal with China Development Bank (PRNewswire)
Sale Of AIG’s (NYSE: AIG) ILFC Unit To Chinese Investors Hits A Snag (English article)
SMIC (HKEx: 981) Announces Establishment Of JV In Beijing (HKEx announcement)
