Shenzhen exchange to merge main, SME boards

THE merger of the Shenzhen Stock Exchange’s main board and small and medium enterprises (SME) board will officially kick off April 6, the exchange said Wednesday night.

The China Securities Regulatory Commission approved the exchange’s request to merge the two boards Feb. 5 and the move will impact the more than 1,400 companies listed on the two boards, or more than one third of total A-share companies listed domestically. The SME board is geared toward firms with a small equity scale but promising growth potential, which proposes almost the same listing requirements as the main board. Both boards require firms to be profitable for at least three consecutive years.

Restructuring of Sinochem, ChemChina approved

CHINA gave approval for a restructuring of Sinochem Group and ChemChina Group, two companies that have been long the target of merger speculation.

The State-owned Assets Supervision and Administration Commission (SASAC), which regulates the companies, announced the approval late Wednesday in a one-line statement. In a separate statement, Sinochem said the two firms will become wholly-owned subsidiaries of a new holding company, operated by the SASAC.

Moutai targets 10.5% revenue growth for 2021

CHINA’S leading liquor maker Kweichow Moutai set its revenue growth target for 2021 at around 10.5 percent compared with last year, the company said Wednesday.

The firm saw its revenue rise by 11.1 percent year on year to more than 94.9 billion yuan (US$14.45 billion) in 2020 with its net profit increasing by 13.33 percent year on year to nearly 46.7 billion yuan, the company said. Distilled in the town of Maotai in southwestern China’s Guizhou Province, this famed liquor is often served at State banquets.

Geely weighs reviving IPO of Volvo Cars

ZHEJIANG Geely Holding Group Co. is considering reviving plans for an initial public offering (IPO) of its Volvo Cars unit that could value the business at around US$20 billion, people familiar with the matter said.

Closely held Geely Holding has been speaking with potential advisers about selling shares in Volvo Cars as soon as this year, the people said. It is considering potential listing venues including Stockholm and Amsterdam, the people said.