Asia-Pacific

Viewsroom: ‘Game of Thrones’-style war heads to TV

18 April 2019

HBO’s hit series is ending as parent AT&T, Amazon, Apple and Walt Disney launch their claims to the streaming-video crown. Netflix, though, will be hard to usurp. Elsewhere, India’s weeks-long election gets underway. And global economic growth collides with nationalism’s rise.

Aramco sale would grease Mukesh Ambani’s tidy-up

18 April 2019

The Saudi oil giant is eyeing a stake in the energy assets of the tycoon’s $127 bln Reliance Industries. That would aid Aramco’s strategic ambitions. It would also mean India’s biggest listed group could keep expanding its consumer-to-oil businesses without adding too much debt.

TSMC’s new chips will leave Samsung in the dust

18 April 2019

Quarterly earnings at Taiwan’s $220 bln semiconductor maker fell 32 pct to $2 bln. However, cutting-edge technology means TSMC will benefit first as 5G handsets come into use and its South Korean rival will struggle to catch up. That justifies the rich valuation gap.

Terry Gou’s presidential hopes will rock Taiwan

18 April 2019

Citing support from a sea goddess, the Foxconn founder is running for the top job. Beijing links and a history of outsourcing to cheap mainland factories will be at issue, when the economy is weak. The campaign will also unsettle relations between Taipei, Washington and Beijing

Indonesian election may change some investor votes

18 April 2019

Polls suggest Joko Widodo won another term, but with a narrow enough victory margin to embolden a belligerent opposition. There were pockets of populist success, too. That will temper hopes he’ll finally tackle energy subsidies and even rigid labour rules to woo foreign money.

Veteran Indian bank CEO pushes the limit

18 April 2019

Aditya Puri has been at the helm of the high-performing $90 bln HDFC Bank over two decades. He’s now nearing retirement age. Stunning returns favour a mooted rule change allowing him, and others, to stay on, but blowups elsewhere suggest timely succession may be better.

Short hit pollutes China’s second-hand car lot

17 April 2019

Uxin’s stock lost a third of its value after a research firm accused the newly U.S.-listed auto outfit of fudging numbers. True or not, fumes around an industry backed by Tencent and big buyout names are becoming noxious. It’s reason to steer clear of rivals waiting to go public.

Nippon Paint buys pricey pot of Aussie gloss

17 April 2019

The Japanese brand is paying $2.7 bln for DuluxGroup, sending its Australian peer’s shares to record highs. The hefty premium reflects a shortage of targets and the buyer’s eagerness for expansion. Given a cooling economy Down Under, it may have been better to keep the brush dry.

Share surge is a bet China is back on track

17 April 2019

The economy grew an unremarkable 6.4 pct in the first quarter. That belies a growing optimism that has turned its stock market into a top performer globally in 2019. An impressive credit rebound has helped. The test will be whether animal spirits alone can keep momentum going.

Chinese surveillance giant offers up a fig leaf

16 April 2019

SenseTime has exited a venture in Xinjiang, where efforts to crush Muslim extremism have involved mass detentions. The deal may attenuate bad PR before an offshore IPO, but the $6 bln startup still sells facial recognition tech to China's police. Foreign backers get only thin cover.

Alliances leave Uber tangled in competitive knots

16 April 2019

The ride-hailing giant's IPO papers detail the deals struck when it pulled out of cutthroat markets like China, taking stakes in homegrown rivals instead. The pacts look asymmetrical, tying up mostly Uber. As $65 bln Didi and others expand abroad, the snarl only gets worse.

Small is beautiful for BlackRock in China

16 April 2019

Foreigners can finally control mainland asset managers, but few are likely to sell given the $3.7 trln market’s promise. CICC could be an exception. Its fund arm is tiny, but it has licences that Larry Fink’s firm prizes. If BlackRock buys the outfit, similar deals should follow.

Zero-sum thinking is rising risk to global growth

15 April 2019

U.S. President Donald Trump is not alone in doubting that globalisation helps everyone win. Finance officials at the IMF’s spring gathering wanted more cooperation but often had self-serving ideas about what that entailed. That makes even a mild downturn trickier to handle.

Founder’s exit gives Foxconn opportunity to reboot

15 April 2019

Terry Gou, chairman of the $39 bln iPhone assembler, says he plans to step down from day-to-day operations soon. The details are vague, and there is no obvious succession plan either. A well-managed handover, though, could bring new blood, and a long-delayed governance revamp.

IWG divides to conquer WeWork discount

15 April 2019

The office space group is selling its Japan business for 320 mln pounds. Retreating from one of its most profitable markets makes sense given the local heft of SoftBank, which is backing its $47 bln rival. A plan to offload other regions will reveal value hidden under the desk.

Apple supplier’s rescue leaves Japan red-faced

15 April 2019

An investor group is buying two thirds of Japan Display for $714 mln, an embarrassingly low price for a former national champion. The company will fall into foreign hands, some of them Chinese, which could raise red flags. Managers have little choice but to pray the deal closes.

Africa phone king is China’s tech star in waiting

15 April 2019

Little-known Transsion stands out among those waiting to IPO on Shanghai's new board. The Chinese handset maker has strong Belt and Road credentials as the top brand in the last frontier. With striking similarities to Xiaomi’s early years, there’s plenty to get excited about.

Axing China’s residency rules makes great stimulus

12 April 2019

Officials are relaxing some restrictions that inhibit internal migrants from relocating to big cities. Local governments worried about budgets stymied progress in the past. But rolling back obsolete regulations now could give a big boost to labour productivity and growth.

Morgan Stanley puts its seal on Jack Ma’s bazaar

12 April 2019

The Wall Street bank upped its stake in a mutual funds joint venture using Taobao, Alibaba’s online mall better known for makeup and clothes. E-commerce is playing a bigger role selling Chinese financial assets, but it makes some uncomfortable. This deal could reassure doubters.

Australia’s Crown could be Plan B for Japan losers

12 April 2019

James Packer’s $6 bln casino operator is effectively up for sale after Wynn submitted an offer and then ended talks. Crown would be a decent option for rivals that don’t win a licence in Osaka or Nagoya. The likes of Galaxy, Genting or Melco may yet train their sights Down Under.