1. Chinese Fashion Retailer SHEIN Revives Plan for New York Listing in 2022
Chinese fashion retailer SHEIN is reviving plans to list in New York this year and its founder is considering a citizenship change to bypass proposed tougher rules for offshore IPOs in China, two people familiar with the matter said. It was not immediately clear how much the company was looking to raise from its New York debut. The initial public offering (IPO), if finalised, would be the first major equity deal by a Chinese company in the United States since regulators in the world’s second-largest economy stepped in to tighten oversight of such listings in July.
2. CCP state-owned property firms step in to rescue cash-strapped developers
CCP state-owned property firms are expected to acquire more assets from cash-strapped private developers, analysts said, as Beijing steps up efforts to stabilise and tighten control over a crisis-hit sector that accounts for a quarter of its economy. The market has seen over half a dozen deals in recent weeks following easing of rules to issue debt for quality property firms, and initiatives by local governments to facilitate asset disposal for distressed firms.
State-owned China Overseas Land & Investment (COLI) is buying stakes of Shimao Group and Agile Group in a joint venture project for a total of 3.7 billion yuan ($585 million). Regulatory curbs on borrowing have driven China’s property sector into crisis, highlighted by China Evergrande Group, once the country’s top-selling developer but now the world’s most indebted property company.
3. China’s Tencent Fires 70 Staff, Blacklists 13 Firms in Anti-Graft Campaign
Tencent Holdings on Tuesday said it fired nearly 70 staff over bribery and embezzlement incidents last year and named 13 companies it had blacklisted from future contracts. Tencent said in a social media post that it had also reported more than 10 people to authorities over their actions. In 2021, one case involved a former employee from its digital music department asking for and getting favours from its suppliers, Tencent said. Another involved a sports content staffer profiting from using a company he controlled to enter a deal with Tencent, the company added.
4. Residential transactions in China’s 100 cities fell 40% year-on-year in January
The Think Tank Center of China E-House Research Institute released the “Monitoring Report on Residential Transactions in Hundred Cities” on Tuesday, showing that, from January 1st to 23rd, the transaction area of new commercial housing in 100 cities nationwide was 17.57 million square meters, down 20% month-on-month and 44% year-on-year; And it is expected that the month-on-month decline is about 20%, and the year-on-year decline is about 40%. In January, the residential transaction market in 100 cities nationwide was not good, indicating that the current cities are still in the cooling channel, and the recovery of the transaction market is still facing resistance and pressure. Although policies such as credit have been relaxed in general recently, there is still a time lag in the transmission to the field of housing purchases.
5. Why are the top power battery companies running short of money this year?
In recent years, global head battery companies have accelerated the listing process. According to the external media, the first open share subscription application of LG New Energy, the second largest electric motor battery manufacturer in the world, was closed on the day of the opening of the bulk, with a record number of both cumulative subscriptions and subscriptions in Korea. The sum of the seven securities companies, including KB securities, New Korea financial investments, Da-Sin securities, and others, amounts to 114,60 trillion won (approximately 611.2 billion yuan). At the end of 2021, the International Department of the Chinese CSRC disclosed information submitted by China Innovation and Technology Ltd. on the first publicly released form of approval of shares (including general shares, priority shares, etc.) from various types of stocks and stock derivatives outside China Limited.
6. Is Weilai’s establishment of an insurance brokerage company due to pressure or to achieve a closed-loop service?
In recent days, a insurance broker company, known as Wire Insurance Brokers Ltd., has recently been set up at its headquarters in China. In fact, on 27 December 2021, the Shanghai Insurance Exchange launched a new energy vehicle insurance trading platform, and the first listed persons provided insurance coverage for the new energy car exclusive insurance products of 12 insurance companies, such as the insurance policy for safety and security, and the insurance policy to support the landing of the new energy car exclusive insurance product.
Why would Weilai want to be insured on their own when there’s no shortage of new energy car insurance products on the market? It is understood that the China Insurance Industry Association’s New Energy Motors Commercial Insurance Exclusive Clause (on a trial basis), which became operational at the end of 2021, stipulates that all new energy vehicles must be insured with the new energy vehicle. Since the publication of the Articles, a number of new energy drivers have announced a huge increase in their insurance premiums and, in order to address the problem of “new energy vehicles cannot afford to be affordable”, the Federation has issued a letter encouraging car companies to provide their own insurance.
7. By 2025, the emission of construction waste at construction sites of new buildings shall not be higher than 300 tons per 10,000 square meters
According to the website of the Ministry of Housing and Urban and Rural Development, on 25 January, the Ministry of Housing and Construction recently issued the 14th Five-Year Plan Development Plan for the Construction Sector. The Plan proposes to achieve a reduction in the amount of building waste. In 2025, the mechanisms for the quantification and reduction of building waste in the regions were further refined, resulting in no more than 300 tonnes per 10,000 m2 of construction waste (excluding engineering sludge, engineering slurry) from new construction sites, with no more than 200 tonnes of assembly building emissions. Improving systems and standards. Build a system of standards for classification, collection, statistics, disposal and reclamation of waste according to the rule of law, source reductions, systems of resource use systems and building waste.
8. There is still much to be done to reduce food waste in takeaways
A fast-paced lifestyle and a lack of post-dinner hygiene make catering an important part of people’s social life. Recently, the media reported that, in order to occupy a place in the delivery industry, a number of outgrowers were marketing through the establishment of drop-in lines, discounts, etc., to attract consumers. The food was wasted as a result of the take-out, known as “food waste on the fingertips.” The data show that China’s catering industry was already over 650 billion yuan in 2019; as of June 2021, China’s online take-out users reached 469 million. The takeout industry is still growing, particularly as a result of the epidemic, and many consumers are forced to order. If consumers are more than necessary, they are bound to waste a lot of food.
【G Translators- Financial Team】