Bank of China Restructures Its Focus in Southeast Asia

November 21, 2016

Bank of China will sell its assets in Malaysia and Thailand to its Hong Kong subsidiary for $887 million, the bank recently announce. What’s the purpose of this sale? Read on to find out. And as always, stay with Sentifi to see how the crowd reacts to this news and other news that are shaping the financial markets by the second.

sentifi top attentions november 21 2016

Bank of China Ltd.: Sells assets to restructure

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The fourth-largest lender in the Mainland China is looking to use the money to restructure its business in Southeast Asia. With the assets, Bank of China Hong Kong will be able to transform into a regional bank from a local bank, which can take advantage of all the China-led projects aiming to deepen economic ties across Asia.

Kinder Morgan Inc.: Thousands of people in Vancouver protest against the company

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Texas-based Kinder Morgan recently signed a deal with Canada Prime Minister Justin Trudeau to triple the capacity of the existing pipeline linking the Alberta oilsands with Vancouver Harbour. Thousands of people converged on Vancouver and protested against the deal. More protests are to expected, according to Vancouver Mayor Gregor Robertson.

Currency Crisis & INR: Indians rush to save their black money

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“Black money” refers to rupees, mostly 500- and 1000-rupee notes, that many Indians have accumulated over the years without paying tax. With the goal to tax that money, Prime Minister Narendra Modi banned those bills, and people had to exchange them for new ones. That very policy is throwing the Indian economy into chaos. A third of all business in India is carried out using black money, and people are scrambling to launder their money while waiting in lines to get their hands on the new rupee notes.

Shenzhen Investment Ltd.: Hong Kong firms are excited for Hong Kong-Shenzhen Investment link

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The cross-border investment link between China-based Shenzhen and Hong Kong are being seen as a bliss. Mainland investors see the link as a way to buy relatively cheap growth companies and hedge against the falling yuan. Analysts forecast the net inflows from China into Hong Kong next year would be 160 billion yuan under Shanghai-Hong Kong link and the new Shenzhen-Hong Kong link. Chinese insurers are also expected to invest 400-600 billion yuan into Hong Kong stocks by the end of 2017.

Boral Ltd.: Acquires U.S.-based Headwaters

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Australia’s biggest supplier of construction materials and building products Boral has acquired building products manufacturer Headwaters to double its U.S. business. The purchase offer was at $24.25, representing a 34 percent premium of Headwaters’ one-month volume weighted average price.

LifeLock Inc.: Symantec to buy LifeLock for $2.4 billion

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One of the world’s largest cybersecurity companies Symantec said it has reached an agreement to acquire Arizona-based LifeLock, beating out private equity firms Permira, TPG, Evergreen Coast Capital, just to name a few. LifeLock provides a range of identity-theft protect services for consumers and small businesses, and with Symantec being re-orientating its business more heavily toward cybersecurity, LifeLock is a no-brainer acquisition.

Popeyes Inc.: Reports strong Q3 earnings, updates earnings guidance

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The company reported total revenue increased 4.7 percent, but net income fell from $10.6 million from Q3 last year to $10.4 million. Thus, the company has marked down its earnings guidance for the full-year fiscal 2016. EPS now is in the rage of $2 to $2.05, down from the previous range of $2.10 to $2.15.

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