Economy enters recession
The territory in the third quarter slid into recession for the first time in a decade, weighed down by increasingly violent anti-government protests and a protracted US-China trade dispute. The economy shrank 3.2 percent in the July-to-September quarter from the preceding period, contracting for a second straight quarter and meeting the technical definition of a recession, preliminary government data released yesterday showed. From a year earlier, GDP contracted 2.9 percent. The readings were the weakest for the territory since the global financial crisis in 2008 and 2009.
Protests hinder Fubon plan
Fubon Financial Holding Co’s (富邦金控) plan to sell its Hong Kong banking business is stalling as protests in the territory hamper talks and undermine the unit’s valuation, people with knowledge of the matter said. Negotiations with potential buyers, mostly from China, have slowed in the past few months and it would probably take longer to reach a deal, the people said. Fubon operates 20 branches and a securities services center in Hong Kong, its Web site showed. A representative for Taipei-based Fubon said that the firm does not comment on market speculation.
Alibaba mulls smaller debut
Alibaba Group Holding Ltd (阿里巴巴) is deciding between launching a sharply reduced US$10 billion Hong Kong share sale this month or delaying the deal until next year as global uncertainty mounts, people familiar with the matter said. China’s largest company is weighing its options for the territory’s biggest first-time sale of stock since 2010, but the window for pulling off its mega-deal this year is closing fast. It must proceed with a required listing hearing — either after its earnings report today or the Nov. 11 Singles’ Day shopping prmotion — or risk postponing a deal altogether until next year, the sources said. Alibaba is reluctant to drag things out, as uncertainty mounts around US-China tensions and the global macroeconomic outlook, they added.
CPC disciplines employees
Three employees of CPC Corp, Taiwan (台灣中油) have been disciplined over an incident on Tuesday last week in which a Tigerair Taiwan Ltd (台灣虎航) airplane was damaged during refueling at Taiwan Taoyuan International Airport, CPC said on Wednesday. The state-run oil refiner said that it has given two employees a major and two minor demerits, and a manager one demerit, saying that they failed to follow standard operating procedure during the refueling. Human negligence was the cause of the damage, CPC said, adding that it has submitted a proposal to the Ministry of Economic Affairs to improve its service.
Taipei 101 awarded honor
Taipei 101, the capital’s iconic landmark and a hot tourist destination, has been selected as one of the world’s most influential tall buildings of the past 50 years. The management of Taipei 101, which was the world’s tallest building from 2004 to 2010, said in a statement on Wednesday that it was awarded the honor by the Council on Tall Buildings and Urban Habitat for its sustainable skyscraper development, which has made it a global icon and has set a worldwide precedent in the field. It is the first such honor that the council has awarded in 50 years, the statement said.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB