Bottom line: Wanda Cinema and Spring Airlines represent a new generation of major private companies to list in China, and should enjoy strong share gains over the short to medium terms following their IPOs.
Spring Air leaps on first 2 trading days
There was plenty of spring in the stocks of 2 hot companies that listed in China this week, with budget carrier Spring Airlines (Shanghai: 601021) and theater operator Wanda Cinema Line (Shenzhen: 002739) jumping 44 percent in their trading debuts. The pair are part of a new generation of privately owned companies starting to list on China’s main stock markets, stealing the spotlight from an older group of state-run firms that still dominate the country’s 2 main stock exchanges in Shanghai and Shenzhen.
Obviously profits and broader performance will be the biggest determiner of whether these companies’ stocks continue to rise after the euphoria of their IPOs starts to fade. But from the perspective of a western buyer like myself, Wanda Cinema and Spring Air are 2 of the first Chinese-listed firms that I’ve seen whose stocks I would personally consider buying. Read Full Post…
The list of major Chinese entertainment firms jumping on the Hollywood bandwagon has just gained an important new member with word that Huayi Bros (Shenzhen: 300027) is on the cusp of investing in a major new production house. I’ve been following the China media scene for more than a decade now, and can say that Huayi was one of the nation’s earliest major players to emerge in a space that was extremely difficult for years due to tough restrictions and extreme fragmentation. But Huayi has shown not only an ability to survive, but also to thrive in a market where the movie theater business is suddenly booming and online video has quickly become an important new revenue source. Read Full Post…
I don’t usually pay too much attention to the domestic Chinese IPO market, largely because most companies that list on the main boards in Shanghai and Shenzhen are stodgy state-run firms that aren’t open to foreign investment anyhow. But new reports that fast-rising real estate and entertainment star Wanda Group is planning 2 new offerings this year actually got me just slightly excited, especially as word buzzes that one of those will be for the company’s rapidly expanding China-based theater chain. While such an offering would almost inevitably come on one of the mainland-based stock exchanges, it would also probably attract huge attention from global investors if Wanda’s billionaire founder Wang Jianlin were to consider a dual listing in Hong Kong. Read Full Post…
Following its landmark purchase of a major US theater chain last year, real estate giant Wanda has embarked on a spending spree to upgrade its new facilities with a major new deal to buy state-of-the-art sound systems from Dolby (NYSE: DLB). The move is the latest in a steady stream of big announcements over the last year that has suddenly thrust one of China’s top real estate companies onto the global stage, as it looks to become one of the world’s biggest theater chain operators. Read Full Post…
The following press releases and media reports about Chinese companies were carried on April 17. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════
China Mobile (HKEx: 941) Restructures Fetion Mobile Messaging Service (Chinese article)
