Hong Kong shares are set to extend gains on Tuesday, taking heart from a Wall Street rally overnight and a recent raft of upbeat Chinese data that pointed to signs of stability in the world’s second-largest economy.
On Monday, the Hang Seng Index closed up 0.6 percent at 22,750.7 points. The China Enterprises Index of the top Chinese listings in Hong Kong rose 1.9 percent.
Elsewhere in Asia, Japan’s Nikkei was up 1.4 percent, while South Korea’s KOSPI was up 0.7 percent at 0052 GMT.
FACTORS TO WATCH:
* Fast fashion, even faster. That’s the next target Esprit Holdings’ CEO Jose Manuel Martínez Gutiérrez is aiming for as the Zara-brand veteran steers the Hong Kong-based clothing retailer through a $2.3 billion turnaround.
* Russia’s Norilsk Nickel, the world’s biggest nickel producer, will have to change its dividend policy due to weak metals markets, its chief executive and co-owner Vladimir Potanin said in a newspaper interview on Monday. The dividends are important for all the company’s shareholders, including aluminium giantRusal, which has net debt of around $10 billion and is struggling with a weak aluminium market.
* Hungary’s energy wholesaler MVM on Monday signed a financing agreement worth 300 million euros ($395 million) with the Bank of China, the Hungarian government’s external affairs and foreign trade secretary Peter Szijjarto said.
* China Huishan Dairy plans to raise up to $1.3 billion in a Hong Kong initial public offering to fund its expansion, with the world’s No.2 economy expected to catch up with its Asian peers in the consumption of infant formula, yogurt and fresh milk.
* Sihuan Pharmaceutical Holdings Group Ltd said its major shareholders Plenty Gold Enterprises Limitedand MSPEA Pharma Holdings B.V., have agreed to sell an aggregate 350 million existing shares of the company to third party investors at an undisclosed price, reducing their stake to a respective 48.26 and 5.24 percent from their current holdings of 53.09 and 7.17 percent.
* Yanzhou Coal Mining Co Ltd said its controlling shareholder Yankuang Group Co Ltd has increased its stake in the company by acquiring 97.72 million H shares in Hong Kong, raising its overall holding in the company to 54.85 percent from 52.86 percent.