Orient Securities to launch HK share offering

    ORIENT Securities Co. plans to launch an up to US$1.15 billion share offering in Hong Kong today, IFR reported, in what is expected to be the first of several mainland brokerages lining up to raise funds in the city this year.

    Mainland brokerages raised US$22.4 billion in Hong Kong last year and most of them mentioned margin finance, or lending for stock purchases, as a key area for expansion and where they would invest a portion of the proceeds. Orient Securities said it would only “selectively” develop margin financing, which faced tough restrictions by mainland regulators last year to prevent systemic risk in domestic capital markets.

    Ant Financial looks to buy stake in Thai firm

    ANT Financial Services Group, Alibaba’s financial services affiliate, is seeking to buy a 20 percent stake in Ascend Money, an online payment provider based in Thailand, according to a notice on the website of China’s Ministry of Commerce.

    Alipay (Hong Kong) Holding Ltd., part of Alibaba Group Holding Ltd.’s Ant Financial Services Group, is also seeking an option to increase its stake in Ascend to 30 percent at a later date. No further details on the dollar value of the deal, the approval process or a time frame were given.

    Brokerages’ futures units under investigation

    THE futures units of two brokerages in China are under investigation, the latest in a series of securities industry probes to accompany speculative frenzies in the nation’s markets.

    Guotai Junan Securities Co., China’s third-largest brokerage by market value, said the China Securities Regulatory Commission suspects a “failure to effectively perform its duty as an asset manager.” Orient Securities Co. also issued a similar statement Friday.

    Postal Savings Bank may file for HK IPO

    POSTAL Savings Bank of China, the nation’s biggest lender by number of branches, may file for a Hong Kong initial public offering (IPO) worth up to US$8 billion this week, people close to the deal said, in what is expected to be the world’s biggest listing of the year.

    While the offering has come down in size from an up to US$15 billion mooted in December due to a slide in Hong Kong stocks, it is expected to draw much investor interest by virtue of its huge customer base and as it is considered to have a much lower ratio of bad loans than rivals.