Securities official fired
The Chinese Communist Party (CCP) has sacked the assistant chairman of the China Securities Regulatory Commission (CSRC), the official Xinhua news agency reported yesterday, days after it was announced he was the subject of a graft probe. Zhang Yujun (張育軍) is under investigation for suspected “serious violation of discipline,” the party’s Central Commission for Discipline Inspection said on Wednesday last week, using the euphemism it employs for corruption. Zhang is the first CSRC official to come under investigation amid the stock market turmoil, which started in June.
Plan to sell Russell wavers
London Stock Exchange Group PLC’s plan to sell Russell Investments to China’s Citic Securities Co (中信證券) is faltering and might soon collapse, people with knowledge of the matter said. The plunge in the Chinese stock market since mid-June and investigations into some Citic Securities executives have derailed the discussions, the people said. China’s biggest listed brokerage had been in advanced talks to buy the fund management business for about US$1.8 billion, a person with knowledge of the matter said in July.
Deezer to sell shares
French music-streaming service Deezer yesterday said it plans to launch a public share offering on the Paris stock exchange in the hopes of consolidating its position in the online music market. Founded in 2007, the company has 6 million subscribers and 16 million individual users each month. Its main rival, Sweden’s Spotify Ltd, claims 75 million users, of whom 20 million subscribe to its paid version and is valued at more than US$8 billion.
Snoop starts cannabis site
Snoop Dogg is rolling his love for cannabis into a new lifestyle Web site intended to be an online “encyclopedia” for anything anyone would want to know about pot. Merryjane.com went live on Monday, featuring a home page inviting people to apply for early access to a beta version of the platform. The full launch is expected next month. The rapper described it as an online venue for information, insights, news and business guidance about the marijuana world and includes celebrity allies such as Seth Rogen and Miley Cyrus.
Mizuho to help Greenland
Greenland Holdings Corp (綠地控股), China’s biggest listed developer, said Mizuho Financial Group Inc is to help it with debt financing as the builder seeks overseas investment. The Japanese lender is to supply bond market and international capital market services to Greenland, according to an e-mailed statement on Monday. Mizuho is also to provide the developer with property investment targets in Japan and services in asset management, after the two agreed to cooperate on global businesses including financing, the statement said.
Kickstarter changes to PBC
Crowd-funding platform Kickstarter on Monday officially made social good part of its business model by changing its US corporate status. Kickstarter changed from a standard for-profit structure to being a public benefit corporation (PBC) that is out to make money, but bound to take into account the effects of business decisions on society as well as on shareholders, its founders said. Less than 1 percent of US companies have opted for PBC status, including Patagonia Inc, Kickstarter said.
UPGRADE AND TRANSFORM: Although the cross-strait trade deal might remain, the Ministry of Economic Affairs said businesses should prepare for any disruptions Taiwan might face a decline in foreign trade with China if the cross-strait Economic Cooperation Framework Agreement (ECFA) ends this year, Minister of Economic Affairs Shen Jong-chin (沈榮津) said yesterday. The agreement, which was signed and put into effect in 2010 to reduce trade barriers across the Taiwan Strait, is expected to end this year, despite not having an exact termination date. “We have not received notification [from China] that it wishes to terminate ECFA,” Shen told reporters prior to attending a meeting at the Legislative Yuan. “Even if we are notified, the agreement would only cease after six months.” While acknowledging the
Disposable rubber gloves are indispensable in the global fight against COVID-19, but a month’s lockdown in Malaysia, where three of every five gloves are made, has upended the supply chain and threatens to hamstring hospitals worldwide. Top Glove Corp Bhd, the world’s biggest maker of medical gloves by volume, has the capacity to make 200 million gloves a day, but a supplier shutdown has left it with only two weeks’ worth of boxes to ship them in, its founder said. “We can’t get our gloves to hospitals without cartons,” executive chairman Lim Wee Chai (林偉財) said in an interview. “Hospitals need our
OVERSEAS EXPANSION: The electronics maker said that it is on track to start shipments from its plant in Vietnam in the first half of next year Electronics manufacturer Pegatron Corp (和碩), a major supplier of Apple Inc’s iPhone 11 series, yesterday reported a 73.8 percent year-on-year surge in net profit to NT$19.32 billion (US$637.5 million) for last year. While attributing the growth to an increase in factory utilization rate, as well as operational efficiency, the company said non-operating income, which nearly tripled to NT$8.56 billion, also contributed to its bottom line. Earnings per share rose to NT$7.4 last year from NT$4.25 in 2018, it said. Pegatron’s board of directors yesterday proposed to distribute a cash dividend of NT$4.5 per share, implying a payout ratio of 60.81 percent. Addressing potential risks
Kim Forest Enterprise Co Ltd (金萬林) yesterday said that it plans to apply to the US Food and Drug Administration (FDA) for emergency use authorization (EUA) for a COVID-19 testing kit that it developed this month. Given that the FDA has been issuing such authorizations to expand the pool of available testing resources in the US, it expects to obtain approval, the company said in a statement. From last month to Tuesday, the US regulator issued 16 EUAs for as many diagnostic devices, according to its Web site. “Our diagnostic kits are not rapid-screening, but they would be able to provide the results