Media Focus on Multinational Corporations[2021.12.06]






China makes key move to tackle Evergrande default

BEIJING -- A crucial step has been taken in addressing the recent default of property developer China Evergrande Group after Guangdong provincial government held a regulatory talk with its chairman and agreed to send a working group to the company.

The risk resolution arrangements are conducive to comprehensively reviewing Evergrande's debt scale and defusing risks, lowering uncertainties facing upstream and downstream firms and related real-estate companies, protecting the legitimate rights and interests of all parties and maintaining social stability, analysts said.

The provincial government of Guangdong in south China held a regulatory talk on Friday evening with Xu Jiayin, chairman of China Evergrande Group, and agreed to dispatch a working group to the company, at its request, following the property developer's filing to the Hong Kong Stock Exchange that it may be unable to continue to perform its financial obligations.

Later, China's regulatory authorities released several statements responding to the Evergrande default, saying it is an individual case and will pose little impact on the market.

They attributed Evergrande's risk to its mismanagement and blind expansion in diverse directions, noting that most property firms in China are focusing on and properly managing their main lines of business.

【Citi Inc .】

CSRC receives application from Citi to re-enter securities market

The China Securities Regulatory Commission announced on Friday it received Citi Inc's application for regulatory approval for the establishment of a securities company in China, among similar applications by other financial institutions.

A Citi China spokesman said, 'We continue to assess opportunities that will support our global and local clients' onshore business.'

Citi is striving for re-entry in China's securities market with the aim of setting up a wholly owned domestic securities business in the country after it exited the market in 2019, Financial Times reported on Friday.


Ride-hailing giant to delist from NYSE

Beijing-based Didi Global Inc, the country's largest ride-hailing company, on Friday announced it will 'immediately start delisting' from the New York Stock Exchange, where it debuted in late June, and instead 'start preparations for listing in Hong Kong'.

Shortly after its US IPO, which raised $4.4 billion, China's Cyberspace Security Review Office said it had launched a cybersecurity probe into Didi to protect national security and public interest in accordance with the nation's laws. Ever since, Didi has been under mounting pressure.

On the opening day of trading on June 30, Didi's share price was $14. On Thursday, before its delisting announcement, Didi's shares-American depositary receipts-closed lower at $7.80.


Phase 2 of Universal Beijing Resort underway

Universal Beijing Resort, which opened to the public in September to huge enthusiasm, is planning its second phase of construction, a senior official of the Beijing municipal government said.

Cui Shuqiang, Beijing's executive vice-mayor, said at a news conference on Wednesday that the second phase will cover 2.2 square kilometers, with five more hotels expected to be built.


Janssen signs MoU with OrigiMed for strategic collaboration in data science

The Janssen (China) Research and Development Center of Johnson & Johnson (China) Investment Co Ltd signed a Memorandum of Understanding on strategic collaboration with Shanghai OrigiMed Co Ltd in Shanghai on Friday to promote harnessing real-world data for regulatory use and using innovative applications to accelerate clinical development.

By embracing artificial intelligence and advanced analytics with both structured and unstructured data, the collaboration will help provide a comprehensive picture of patients in a real-world setting, deepen the understanding of current therapies, optimize clinical trial designs, and support data-driven decision-making throughout the life cycle of drug development, the two partners said.


Lufthansa to further fuel green push

Lufthansa Group, the largest airline group in Europe, is making strides on its carbon neutrality goals while registering the first profitable quarterly performance since the outbreak of the COVID-19 pandemic.

Its steps included adopting new technologies in aircraft coating to boost fuel efficiency, investing in sustainable aviation fuels and introducing carbon compensation options for customers, said Chen Qian, head of Lufthansa Group Airlines China.


iQiyi launches virtual reality headset for push into metaverse market

China's equivalent of Netflix, iQiyi, unveiled its latest all-in-one virtual reality headset called the Adventure Dream on Wednesday amid an accelerated push into the booming VR and metaverse market.

The company said the Adventure Dream team has linked up and established partnerships with over 100 renowned game developers. It is rapidly expanding its game library by adding three to five new titles per month. Fueled by iQiyi's massive content library, the new gadget will also offer a wide range of the latest films and TV shows.


Work begins on Sinopec's Shandong LNG project

China Petrochemical Corporation, or Sinopec Group, the country's largest oil refiner, said its liquefied natural gas project in Yantai, Shandong province, started construction on Thursday, which will further ensure gas supplies in the northern and eastern regions of the country.

The first phase of the LNG project's receiving capacity is expected to reach 6.5 million tons per year after it is put into operation in October 2023, and it will play a key role in local energy structure optimization and sustainable economic development, said the company.

The first phase includes an LNG tanker berth, four LNG storage tanks and supporting gasification transport facilities. It is expected to transmit 34 million cubic meters of gas daily after construction, with an LNG storage capacity of 550 million cubic meters.

The project will also further facilitate the country's ambitions of peaking emissions before 2030 and achieving carbon neutrality by 2060, it added.


CNPC JV completes 1st green trade finance in Europe

A joint venture of China National Petroleum Corp wrapped up a green trade finance exercise with Standard Chartered in the United Kingdom on Nov 22, the first of its kind in Europe, the company said on Wednesday.

Petroineos Trading Ltd is an integrated refining and energy trading company and also a JV between CNPC, the country's largest oil and gas company, and global chemical company INEOS Group. Petroineos said it completed the green and sustainable development trade financing round with the British lender.

The financing will support the JV's purchase of renewable fuels and raw materials in accordance with the international sustainability and carbon certification, or ISCC, it said.

Petroineos said the cooperation will provide capital and credit guarantees for the JV's biofuel business, while supporting its green transition from oil and gas trade.

A green trade finance transaction usually takes place in renewable energy including wind, photovoltaic and hydroelectric power, as well as clean transport, waste management and water management. It is meant to contribute to the advancement of the United Nations Sustainable Development Goals.


China Electronics Corp launches upgrade in office automation platform

The Stated-owned China Electronics Corp launched an upgrade in its office automation, or OA, platform Lanxin on Wednesday, as the company aims to offer safe cloud-based services including instant messaging for companies and government authorities.


SPIC continues green power push for emissions reductions

China's State Power Investment Corp has seen its installed capacity of clean energy reach 60 percent as of the end of November, up from 43.3 percent in 2016, and vowed to further boost the percentage of installed capacity in wind, hydro, solar and nuclear power in the years to come.

The company has invested 490 billion yuan ($77 billion) during the past five years in clean energy, and has constructed more than 1,000 clean energy projects during the same period. Total clean energy installed capacity has exceeded 69 million kilowatts, it said.

Total installed capacity of the company's projects has exceeded 190 million kilowatts, with that for solar projects exceeding 38 million. Installed capacity for new energy power generation exceeded 75 million kilowatts and renewable energy power generation exceeded 100 million kilowatts, all ranked top in the world, it said.

【Genetron Health】&【AstraZeneca】

Genetron Health announces co-development agreement with AstraZeneca R&D China

Genetron Holdings Ltd, a leading precision oncology platform in China also known as Genetron Health, announced on Tuesday that it had signed a collaboration agreement with AstraZeneca R&D China for the joint development in China of next-generation sequencing-based tumor-informed minimal residual disease (MRD) tests for various solid tumors.

Under the agreement, the two companies will jointly invest capital, and will work together to develop and validate the personalized solid tumor MRD assays for cancer monitoring and recurrence in China.

These assays will be developed based on the genetic analysis of the primary tumor from individual patients at the beginning of treatment. A joint committee will be established to oversee the product development.

For solid tumor clinical trials in China that incorporate the use of NGS-based personalized MRD tests, AstraZeneca plans to incorporate the co-developed MRD test in China-specific studies, subject to fulfillment of individual study criteria.

Depending on further agreement, the scope of the deal may also be expanded to include in vitro diagnostic product registration and commercialization. This is an exclusive, multi-year collaboration agreement between both parties, with exclusivity contingent on certain requirements, Genetron Health said in a press release.


WeChat getting rid of barriers to external links

WeChat, the popular messaging app of Tencent Holdings Ltd, is allowing users to directly access external links in one-on-one chats, the latest answer to Beijing's call to end monopoly and enhance connectivity among internet companies.

In a social media post on Monday, WeChat said it is also water-testing e-commerce links from external sites to be accessible in group chats, which will go into effect successively, the company said.


Sinopec starts world's largest green hydrogen plant

Construction began on Tuesday on the world's largest green hydrogen project, generated from solar energy, in the Xinjiang Uygur autonomous region, to aid China's move toward sustainable energy, said its operator China Petroleum and Chemical Corp.

The project is also China's first 10,000-ton level solar-generated green hydrogen demonstration project. With a total investment of around 3 billion yuan ($470 million), it is expected to produce 20,000 tons of green hydrogen annually after being put into operation in 2023.

The project is expected to reduce carbon dioxide emissions by 485,000 tons each year and help further facilitate China's efforts to peak carbon emissions by 2030 and achieve carbon neutrality by 2060, said the domestic oil giant, also known as Sinopec, the world's top refiner by capacity.


CGNPC takes steps to ensure ample fuel supply for projects

China General Nuclear Power Corp, the country's largest nuclear operator, said its nuclear fuel assembly plant put into production in November will further ensure fuel supply to its projects at home and abroad.

CGNPC Uranium Resources Co Ltd, a subsidiary of CGN, said the nuclear fuel assembly plant will supply 200 metric tons of uranium for fuel assembly each year for 20 years in China.

【Chindata Group】

Chindata Group to construct new 100MW data center campus in Malaysia

Bridge Data Centres, a subsidiary of Chinese hyperscale data center solutions provider Chindata Group, announced the construction of a hyperscale data center campus in Malaysia in an effort to further tap into the Southeast Asian market.

According to the company, work on the 100-megawatt data center, the largest of its kind in Malaysia, is underway in Johor, with Phase 1 set for service towards the end of 2022, and Phase 2 expected to be completed shortly thereafter.