Li Ka-shing opts for succession China-style
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
Li Ka-shing is taking the Chinese approach to succession. After years of leaving investors guessing, Hong Kong’s richest man named his eldest son Victor as heir to his business empire. That should prevent a power scramble, and assures him a loyal follower who shares his values. The newcomer will even be surrounded by a coterie of long-time Li acolytes. It’s not dissimilar to the leadership transition happening in Beijing.
Graff Diamonds IPO gleams but doesn’t dazzle
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
It’s hard to think of a company more plugged into the 0.1 percent than Graff Diamonds. The UK diamond merchant, which in 2011 sold rocks worth almost $100 million to a single customer, plans to list its shares in Hong Kong, in an offering that could raise $1 billion and value the whole at $4 billion. Strip out the hype over the ascent of the super-rich, and the valuation looks solid if not a steal.
Temasek makes unlikely corporate governance hero
(The author is a Reuters Breakingviews columnist. The opinions
expressed are his own)
By John Foley
HONG KONG, May 18 (Reuters Breakingviews) – Temasek is
taking a stand – sort of – on corporate governance. The
Singaporean state investment fund abstained last week from
backing the re-election of a group of board directors at
Standard Chartered (STAN.L: Quote, Profile, Research), according to people familiar with
the situation. The reason, StanChart suggests, is Temasek’s
preference for a more independent governance structure.
Property slowdown leaves China on shaky ground
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
China’s property chickens are coming home to roost. Last week’s economic data shows that a year of falling prices is finally changing developers’ speculative behaviour.
Temasek’s triple personality bodes well for returns
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
Temasek is turning into a financial chimera. Where that mythical beast was part lion, goat and serpent, the Singaporean fund combines aspects of a hedge fund, private equity house and investment bank. That combination sounds good for returns, though it might not sit well with Temasek’s political ties.
“Cabbage in formaldehyde” is toxic dish for China
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
China’s food industry is accident-prone. Milk laced with melamine, fake eggs, glow-in-the-dark pork and cadmium-tainted rice have all made headlines. Now there is formaldehyde-laced cabbage, found in Shandong province. Thus treated, the vegetables will last for a week. The economic effect of food-scares can last far longer.
China and U.S. should avoid human rights fight
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
An escaped Chinese dissident takes refuge in the U.S. embassy. It’s a diplomatic crisis, but needn’t become an economic one. Washington values rights, but it also needs a stable and cooperative China. As for Beijing, it has a chance to improve its image.
Jailing IPO bankers is a step too far
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
Hong Kong shouldn’t rush to lock up miscreant sponsors of initial public offerings. The city’s securities regulator rightly wants to toughen up the regime for new listings. But talk of making bankers individually and criminally liable for what goes in the prospectus is overkill, and such policy would make Hong Kong less efficient.
Temasek tinkering could put StanChart in play
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
Could Temasek’s tinkering put Standard Chartered in play? The Singaporean fund’s recent reshuffle of its bank assets has revived talk about its 18 percent stake in the UK-based emerging markets lender. Now might be a good time to find a new owner.
Growth is the least of China’s three big worries
By John Foley
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
China’s present condition can’t be summed up in a few tenths of a percentage point. True, judged by the headlines, GDP growth of 8.1 percent in the first quarter of 2012 was a miss. Economists polled by Reuters expected 8.3 percent. Investors shouldn’t overthink it: growth is the least of China’s three big worries.










