CX Daily: Tencent Eyes Controlling Stake in Sino-Japanese Insurer

Insurers /

Exclusive: Tencent eyes controlling stake in Sino-Japanese insurer

Technology and finance giant Tencent Holdings Ltd. is eyeing a controlling stake in Great Wall Changsheng Life Insurance Co. Ltd., a Sino-Japanese joint venture, sources with knowledge of the matter told Caixin.

The life insurer is 70% owned by China Great Wall Asset Management Co. Ltd., one of the nation’s “Big Four” asset management companies (AMCs). Major Japanese insurer Nippon Life Insurance Co. holds the rest.

China Great Wall has put the 70% stake up for sale and priced it at 3.97 billion yuan ($614 million), according to a post (link in Chinese) released Tuesday on the Shanghai United Assets and Equity Exchange. The price is higher than the equity’s valuation of 2.25 billion yuan, the post showed.

Dragon Man /

Ancient skull discovered in China represents new human species, scientists say

Chinese scientists announced Friday that a fossilized skull dating back more than 146,000 years represents a new human species, shedding light on mankind’s origins and evolution.

An international research team led by Ji Qiang, a professor at Hebei GEO University (HGU), made the announcement in a paper, which was published in peer-reviewed scientific journal The Innovation. The skull was reportedly discovered in 1933 in Harbin, Northeast China’s Heilongjiang province, the paper said.

FINANCE & ECONOMY

A supermarket worker sorts cuts of pork June 9 in Taiyuan, North China’s Shanxi province. Photo: VCG

Pork /

Now with too many pigs, China moves to prop up pork prices

China’s government will buy up pork under an emergency program designed to prop up prices amid an ongoing slump in the oversupplied live hog market, the country’s top economic planner said.

The National Development and Reform Commission (NDRC) said Monday in a statement that a key market indicator crossed a threshold requiring the government to intervene under a new system to monitor and regulate prices in the hog industry.

The five-day average of the pig-to-feedstuff ratio, a cost-benefit indicator that compares the prices of domestic pigs and corn, fell below 5:1 last week, triggering the highest-level warning under a three-tiered system, according to the statement.

ESG /

China issues new requirements for ESG disclosures

China’s top securities regulator issued new rules outlining requirements for domestically listed companies to add environmental, social and governance (ESG) disclosures to annual financial reports.

The China Securities Regulatory Commission (CSRC) published the new disclosure rules for publicly traded businesses Monday on its website. The new rules add a new chapter on environmental and social responsibility, requiring companies to disclose pollutant emission situations, environmental impacts and administrative penalties arising from environmental issues.

Unemployment /

China’s graduates shouldn’t stress over unemployment, economist says

China’s record number of fresh college graduates this year shouldn’t be overly worried about unemployment as their long-term career prospects remain bright with companies increasingly seeking out well-educated workers, according to a senior labor economist.

As China’s economy transitions from high-speed growth to high-quality development, there has been rising demand for highly skilled workers, Feng Shuaizhang, dean of the School of Economics at Jinan University, wrote in the May edition of China Reform (link in Chinese), a Caixin-affiliated magazine.

Quick hits /

China’s manufacturing holds firm as recovery stabilizes

BUSINESS & TECH

IPO /

Tesla-rival Xpeng targets $1.8 billion in Hong Kong listing

Chinese electric vehicle manufacturer Xpeng Inc. set a guideline issue price of HK$165 ($21.25) per share for institutional investors ahead of its planned dual primary listing on the Hong Kong exchange next week, Caixin learned.

The price is 8.33% lower than the Guangzhou-based carmaker’s initial offering price of HK$180 per share. It values the flotation at just over HK$14 billion, which would make it the fifth-largest new offering on the bourse this year.

The listing was several times oversubscribed by institutional investors, according to people close to the deal. Xpeng, which already trades its shares in New York, will hold a meeting Wednesday to decide the final listing price.

Vicki Zhao /

A-list actress Zhao Wei’s husband sued over $25.8 million debt

The businessman husband of A-list actress Zhao Wei, also known as Vicki Zhao, was sued in Hong Kong for nearly HK$200 million ($25.8 million) of high-interest debt, three years after the power couple was banned from trading in Shanghai stocks over irregularities related to a failed takeover bid.

Hong Kong-licensed lender Max Pointer Ltd. filed its lawsuit against Huang Youlong in the Hong Kong High Court, saying it was owed two sums of money plus interest. Court documents showed the total figure was HK$298 million, including a one-year loan for HK$100 million and a three-month loan for HK$50 million, both carrying annualized interest rates as high as 24%.

Self-driving cars /

Shenzhen pushes forward legislation on autonomous vehicles

The southern Chinese city of Shenzhen is close to enacting the country’s first legislation on intelligent connected vehicles including autonomous cars.

The city’s legislative body conducted a second review Monday of draft rules on the administration of intelligent connected vehicles and will hold a third review in August before the measure becomes law, Caixin learned. The booming metropolis of more than 17 million people is a leading Asian financial center and one of China’s wealthiest cities.

Alzheimer /

Hong Kong team touts 96% accurate blood test for Alzheimer’s

An international team led by researchers in Hong Kong said it developed a blood test that can be used to spot the early signs of Alzheimer’s disease with more than 96% accuracy.

“With the advancement of ultrasensitive blood-based protein detection technology, we have developed a simple, non-invasive, and accurate diagnostic solution,” Nancy Ip, vice president for research and development at the Hong Kong University of Science and Technology, was cited as saying by a university announcement.

Quick hits /

China cancer drugmaker surges in Hong Kong trading debut

Opinion: Deciphering China’s culture of innovation

Energy Insider /

Energy Insider: CNPC sets new investment arm for low-carbon initiatives; China’s largest oil refining complex makes progress

Hot Topics /

China certified malaria-free, Huawei’s new way to unlock devices, stolen Picasso recovered

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Today's CX Daily was compiled and edited by Kevin Guo (xinguo@caixin.com).