Tag Archives: China company stock news

China Tech Start-Ups: Coming Home? 中国科技企业扎堆国内上市?

There’s an interesting report out this morning noting that a growing number of Chinese tech start-ups that once looked like strong candidates for New York IPOs are opting for home listings instead, deterred by higher scrutiny and weak sentiment overseas and a much friendlier — if not volatile — environment on ChiNext, China’s 2-year-old Nasdaq-style enterprise board. In the latest move on that front, Chinese media are reporting a company called Baofeng, maker of a popular online and cellphone video player, has filed to make a public listing on the ChiNext, reversing its plans last year when it said it would make a 2012 listing overseas. (Chinese article) Frankly speaking, Baofeng does have the exact profile of a company that would have traditionally gone to either the Nasdaq or New York Stock Exchange to raise funds as its first choice a year ago, followed by Hong Kong as a second choice and the ChiNext as a distant third. But much has changed from a year ago, when foreign investors were still quite bullish on Chinese Internet stocks, giving them relatively rich valuations compared with peers based in more developed western markets. Such stocks have suffered a major reversal of fortune over the last year, with investors dumping their shares following a series of accounting scandals that also led to higher regulatory scrutiny and the delisting of a number of smaller players. Amid all the scandals last year, China’s securities regulator also got involved, trying to insert itself into the overseas listing process as the central government also reportedly discussed either limiting or shutting down that process completely. As far as I know, nothing specific has happened yet in terms of new Chinese government oversight, though a number of big-name western investment banks have refused to underwrite New York IPOs for some China firms over concerns about their accounting. In one of the highest profile cases, Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) both reportedly resigned from an IPO last summer for leading group buying site LaShou, which went on to hire some smaller banks but has yet to make an offering. (previous post) The lone Chinese company that did make a New York IPO this year, discount retailer Vipshop (NYSE: VIPS) was an unqualified disaster, pricing well below its indicated range and falling 30 percent since its trading debut. This new report notes that Baofeng is just the latest example of a Chinese tech start-up going to ChiNext rather than overseas, following similar moves by firms like online game developers Wushen Century Network Technology and Suzhou Snail Game. It’s probably too early to say if this move to the ChiNext will be a long-term phenomenon, and I suspect these start-ups that list there will quickly discover the market’s high volatility is far less desirable than the more stable environments in New York and Hong Kong. But if the ChiNext can implement reforms to lower volatility in the market, perhaps by opening up to more foreign investors, it could seize this opportunity to quickly position itself as a strong alternative to New York and Hong Kong for China’s vibrant field of tech start-ups.

Bottom line: A recent move by tech start-ups to China’s Nasdaq-style enterprise board could become a viable IPO alternative if the board can create a more stable listing environment.

Related postings 相关文章:

China IPO Winter Goes On as Vipshop Flops 唯品会大跌,中国IPO冬季持续

Outlook Cloudy As Shanda Refiles for Literature IPO 盛大文学重启赴美IPO计划

China IPO Train Hits Bump With Vancl Resignation 中国上市事件撞上凡客诚品CFO辞职

Low-Cost Apple iPhone to Bite ZTE, Lenovo 苹果推低端iPhone 冲击中兴和联想

The rest of the world may be buzzing about Steve Jobs’ announcement that he will retire as CEO of Apple (Nasdaq: AAPL), but my attention has been captured by a smaller piece of news that Apple may soon enter the low-cost smartphone business. Apple never discusses its future plans, and accordingly this latest piece of news is only gossip so far, citing two knowledgeable sources saying a low-cost version of the iPhone 4 is now being developed to go head-to-head with a segment of the market now dominated by phones running on Google’s (Nasdaq: GOOG) free Android operating system. (English article) If true, such a development could provide not only headaches for Google and Android, but also for the growing field of Chinese smartphone makers that have relied on the free operating system to develop low-cost models favored not only in developing markets like China, but also by cost-conscious consumers in developed  markets like the US and Western Europe. Up-and-comer ZTE (HKEx: 763; Shenzhen: 000063) would be most vulnerable to such a move by Apple, having staked its future on grabbing global market share with its low-cost Android based smartphones. Other companies that look vulnerable include Lenovo (HKEx: 992), whose young smartphone initiative is already sputtering just a year after its launch, and ZTE rival Huawei, which is also trying to make a splash with smartphones as growth for its older telecoms equipment business starts to slow. Such a move by Apple could also hit the prospects of TCL Communications (HKEx: 2618), whose cellphone business has posted a strong comeback in the last year after taking a serious hit after it acquired money-losing assets from Alcatel (Paris: ALUA) six years ago. I actually know the Reuters reporters who wrote the Apple low-cost iPhone story, and both are quite reliable so I’m fairly confident it’s only a matter of time before low-end iPhones hit the market. If and when that happens, look for the Chinese smartphone makers to suffer big headaches as a result.

Bottom line: Apple’s launch of a low-end iPhone could further cement its dominance in the global smartphone market, at the expense of Chinese players like ZTE, Lenovo and Huawei.

当人们热议乔布斯辞去苹果(AAPL.O)首席执行官(CEO)职务时,我关注的新闻是,苹果或即将打入低端智能手机市场。苹果从不讨论其未来计划,但两名消息人士透露,苹果正在研发低端版iPhone 4,将与谷歌(GOOG.O)Android操作系统手机占据的一部分市场进行正面交锋。尽管这还只是传闻,但如果消息属实,这一研发不仅让谷歌和Android业者头痛,也会让中国智能手机制造商苦不堪言。後者依赖免费的Android操作系统,研发低成本机型,这些低端机型不仅受到中国等发展中国家青睐,在美国和西欧等发达市场,也受到节俭消费者的欢迎。苹果此举或让中兴通讯(0763.HK)(000063.SZ)最“受伤”。中兴将公司未来押宝在利用低端Android智能手机掠夺全球市场的战略上。其它容易受创的公司包括联想(0992.HK)和华为。联想启动仅一年的智能手机项目已取得不俗成效,华为则因电信设备业务增长放缓,同样试图推智能手机业务提振业绩。苹果推低端版iPhone也会对TCL通讯(2618.HK)发展造成影响,TCL通讯六年前收购阿尔卡特-朗讯(ALUA.PA)亏损的手机资产後一度严重受创,但去年该部门业绩强势反弹。我认识报导苹果可能推低端版iPhone手机消息的两位路透记者,他们的消息都很可靠,所以我很有理由相信,该款手机上市只是时间问题。如果苹果发布低端版iPhone 4,我预计将让中国智能手机商极为头痛。


Related postings 相关文章:

China Mobile Nears iPhone Deal, Continues 4G Press 中移动iPhone协议近尾声 加紧4G攻势

Apple on a China Roll, Ambushing Nokia, Lenovo 苹果伏击诺基亚和联想 在华发展势如破竹

Apple’s COO Comes Calling on China Mobile 苹果首席运营官造访中移动

Hertz, GE Give Jolt to BYD Electric Cars 赫兹新项目为比亚迪“加油

After months of announcing electric car deals that have largely left me unimpressed, BYD (HKEx: 1211) has finally come up with a tie-up that looks like a move in the right direction in its uphill quest to boost its costly alternate energy vehicle program. Ironically, or perhaps appropriately, BYD, the struggling auto maker backed by Warren Buffett, was surprisingly quiet during this latest announcement, leaving most of the talking to Hertz, the US auto rental giant which is teaming up with General Electric (NYSE: GE) in this latest initiative. (English article) The initiative will see Hertz offer BYD’s E6 electric vehicles for rent in Beijing, Shanghai and BYD’s hometown of Shenzhen, with GE helping to build up an initial network of 770 charging stations. This is exactly the kind of public-private partnership that we need to see more of from BYD, whose electric vehicle tie-ups to date have mostly been with local governments and have put few if any of its cars in the hands of consumers whose mass buying power will be critical to the success of any electric car initiative. Hertz and GE bring two strong private-sector partners into this equation, no doubt with strong support from city governments, ensuring that decisions will be made on a commercial basis rather than a political one. This program also offers the advantage of scalability if it proves popular, with the national potential that only a private sector organizer could bring. If it works, I wouldn’t be surprised to see Hertz and GE eventually bring EVs by other car makers like SAIC (Shanghai: 600104) into the program eventually, and expand the program throughout China

Bottom line: BYD’s new partnership with Hertz and GE marks its smartest tie-up to date to promote its struggling electric car business, and could provide a template for future development.

数月来比亚迪(1211.HK)宣布的电动车协议大多平淡无奇,但日前一次联合看起来终于像是走到了正确的方向上,朝着推动比亚迪替代能源汽车目标努力。不过很有意思但也很恰当的是,比亚迪对于此次合作意外地安静,大多数发言都出自美国租车公司赫兹国际(HTZ.N)。 赫兹联合通用电气(GE)(GE.N)在华推广电动车,且将优先采购中国国产电动汽车,最先选定车型是比亚迪E6,初期先在上海、北京和深圳三地试点推广。GE将帮助建成第一批共770个充电站。这正是比亚迪需要推出更多的“公私联姻”模式。迄今为止比亚迪的联合对象多属地方政府,并未把多少电动汽车推到消费者手中。此次合作中,当地政府的支持当然毋庸置疑,而赫兹与GE的参与,相当于两个强大的私营部门角色加入其中,从而保证相关决定基于经济基础而非政治基础。该项目如被证明很受欢迎,具备在全国推广的潜力,将带来规模效应,而向全国推广,操作上只有私营力量才能运作。我认为,如果方案可行,赫兹与GE可能会逐步将其他厂商,如上汽集团(600104.SS)的电动车引入项目中,并面向全国推广该项目。


Related postings 相关文章:

BYD Toots Electric Horn in Shenzhen 比亚迪在深圳奏响电动汽车号角

BYD: Running on Empty? 比亚迪:累了?

◙  BYD EV Buses Get German Toehold 比亚迪电动车在德国找到立足点