Everbright Bank slides in HK debut

    SHARES in China Everbright Bank Co., which raised US$3 billion in Hong Kong’s biggest initial public offering this year, Friday fell on their trading debut in a sign of growing concern among investors about the levels of bad debt at Chinese banks.

    Everbright Bank, which is also listed on the Shanghai Stock Exchange, saw its shares drop as much as 5 percent before closing at HK$3.87 (51.3 U.S. cents), down 2.8 percent from the IPO price of HK$3.98.

    Rules to be eased for currency derivatives

    CHINA will simplify and tweak its rules for currency swaps and options to encourage investors to manage their currency risks, the country’s foreign exchange regulator said.

    From Jan. 1, financial institutions that already offer currency forwards to clients can also start providing currency and foreign exchange swaps without needing further approvals, according to the State Administration of Foreign Exchange. Banks can also offer net payments of foreign exchange and currency swaps under the new rules, a step that brings China in line with international practices.

    Ctrip.com invests in eHi Auto Services

    CHINA’S largest online travel agency Ctrip.com International Ltd. is investing over US$100 million in Shanghai-based car rental company eHi Auto Services, with the aim of tapping growing interest in car rentals in the country.

    Ctrip.com will become the second-largest investor in the car rental company, eHi said in a statement Friday, without disclosing the size of the stake Ctrip.com will own in eHi. U.S. car rental firm Enterprise Holdings bought a 15 percent stake in eHi in March 2012.

    Hershey to acquire Shanghai candy firm

    HERSHEY Netherlands, a wholly-owned subsidiary of New York-listed Hershey, has signed an agreement to acquire a Shanghai candy firm.

    Shanghai Golden Monkey Food Group on Friday confirmed the agreement, adding that the acquisition worth 24.168 billion yuan (US$3.98 billion), or 80 percent of its stake, is set to be completed in the second quarter of 2014. Hershey is expected to acquire the remaining 20 percent stake worth 6.042 billion yuan one year after the first transaction.