HONG KONG (Reuters Breakingviews) - China Biologic Products makes a good case for why it should go private. Instead of accepting one of two takeover bids offering hefty premiums, the U.S.-listed manufacturer of plasma products opted for a dilutive share sale at a discount to both. Fuzzy math and poor corporate governance create nothing but bad blood.
HONG KONG (Reuters Breakingviews) - Companies around the world just got a stark reminder about how stretched executives can get. Australian billionaire James Packer has resigned from a whopping 22 directorships after quitting the board of casino operator Crown Resorts for mental health reasons. Campaigns against such so-called “overboarding” are on the rise, especially as evidence suggests returns can suffer.
HONG KONG (Reuters Breakingviews) - As China bulls gain momentum, a new breed of bears has awakened, too. Waning concerns about the country’s economy, debt and infrastructure projects were reflected in some of the investment opportunities proposed at Sohn Hong Kong, the annual idea-fest that helps raise money to fight cancer. Scepticism about tech titans, however, suggests a new mindset shift could be underway.
HONG KONG (Reuters Breakingviews) - The global investment community may not be gagging for yet another acronym, but four Chinese tech mega-startups are serving up a ready-made one: MAXD. It even spells out a cautionary message.
HONG KONG (Reuters Breakingviews) - Steve Wynn has left the building even if his name is still on it. In just two months since the 76-year-old casino mogul denied sexual-misconduct allegations, he has stepped down from leadership roles at Wynn Resorts and now is selling his entire stake in the eponymous $18 billion U.S. company. Meanwhile, new boss Matt Maddox is making the best of the bad hand dealt to him.
HONG KONG (Reuters Breakingviews) - For a business built on growing friendships, Facebook is making an astonishing number of enemies. Revelations by two newspapers that some 50 million of its user profiles were inappropriately harvested add to a growing list of outcries over the social network's practices. It has come to the point where founder Mark Zuckerberg will have to prove somehow he is not in way over his head.
HONG KONG (Reuters Breakingviews) - Beware any chief executive without a Plan B. Westfield boss Peter Lowy is the latest to lack one, declaring on Thursday that despite a big drop in the value of a takeover bid from Unibail-Rodamco, there is no alternative to the sale he and his mall operator agreed in December, originally worth $25 billion including debt. The French buyer also says it has no intention of changing the deal terms. Investors could be forgiven for having other ideas.
HONG KONG (Reuters Breakingviews) - Organizing the Olympics is generally a losing economic proposition. In one financial competition, though, South Korea can aim for bronze.
HONG KONG (Reuters Breakingviews) - San Miguel has an alcohol problem. The Philippine conglomerate run by billionaire Ramon Ang is consolidating its beer and liquor businesses with its Manila-listed producer of meat, poultry and feed. A complex share swap suggests the enlarged San Miguel Pure Foods would be worth some $9.1 billion. It trades at a discount, however.
HONG KONG (Reuters Breakingviews) - Hong Kong’s plan to welcome super-voting stock weakens corporate governance, but its appeal to Chinese tech companies also may be exaggerated. Officials from Credit Suisse, BlackRock, PCCW Media and Bain Capital debated the upcoming changes at a recent Breakingviews event.