External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

Thematic (Sector/Industry)

<ul><li>NBS 2M23 sales value came flattish YoY, in line with our forecast.</li><li>However, it beat China funds ’ expectation and strongly beat foreign funds’expectation, thus driving today’s sector rally.</li><li>Looking at March, we expect even stronger March data (positive sales YoY) as 1) MTD sales of 30 major cities already recorded 24% growth YoY. 2) Our sales leading indicator GAIN was one of the highest in Feb, indicating very promising March. 3) Recent channel check in major cities suggests sales momentum to continue on stabilized property price and historically low mortgage rate. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

NBS 2M23 sales value came flattish YoY, in line with our forecast.However, it beat China funds ’ expectation and strongly beat foreign funds’expectation, thus driving today’s sector rally.Looking at March, we expect even stronger March data (positive sales YoY) as 1) MTD sales of 30 major cities already recorded 24% growth YoY. 2) Our sales leading indicator GAIN was one of the highest in Feb, indicating very promising March. 3) Recent channel check in major cities suggests sales momentum to continue on stabilized property price and historically low mortgage rate. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Property Sector – NBS 2M23 data: Strong as expected

Asia biased macro & technical analysis, Untying The Gordian Knot

Untying The Gordian Knot

Asia biased macro & technical analysis

A differentiated process with a primary focus on Asia. Technical Analysis as core and Macro drivers that could bring the view to fruition & changes that could make the idea fall apart. The objective is to be the best in class, hence corner shop.

Technical Analysis

Country Garden Holdings Co / Technical Analysis

<ul><li>As a background, can I refer the reader to Substack Note No One Cares 有中国特色 Real Estate Liquidity Spiral to Solvency Challenge 31st October 2022 ?</li><li>It bottoms ticked recovery in the highly leveraged Real estate Index Hang Seng Mainland Property Index (HSPMI) and rallied 103% from trough to peak 27th January 2023.</li><li>The mainland listed Index CSI 300 Real estate (CSI300RE) trough (1st November) to peak (27th November) was 43.5%.</li></ul>

As a background, can I refer the reader to Substack Note No One Cares 有中国特色 Real Estate Liquidity Spiral to Solvency Challenge 31st October 2022 ?It bottoms ticked recovery in the highly leveraged Real estate Index Hang Seng Mainland Property Index (HSPMI) and rallied 103% from trough to peak 27th January 2023.The mainland listed Index CSI 300 Real estate (CSI300RE) trough (1st November) to peak (27th November) was 43.5%.

<ul><li>We saw another week of strong property data where new home/secondary home sales went up 23%/12% WoW.</li><li>This is in line with our sales leading index GAIN and our upgrade report that sales is more sustainable than what market thinks.</li><li>The solid housing recovery has also accelerated housing construction activities that its construction resumption rate recovered to 84.1%, higher than 2022 already, and only slightly lagging behind the infrastructure (87.3%) and government projects (88.2%). </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

We saw another week of strong property data where new home/secondary home sales went up 23%/12% WoW.This is in line with our sales leading index GAIN and our upgrade report that sales is more sustainable than what market thinks.The solid housing recovery has also accelerated housing construction activities that its construction resumption rate recovered to 84.1%, higher than 2022 already, and only slightly lagging behind the infrastructure (87.3%) and government projects (88.2%). Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Property Sector – Property+ Weekly: Sales momentum accelerated on lower tier cities

Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

Index Rebalance

<ul>
<li>News reports indicate that <a href="https://www.smartkarma.com/entities/china-vanke-co-ltd-h" target="_blank" data-smartkarma-citation="entities:18368:1" rel="noopener">China Vanke (H) (2202 HK)</a> is looking to place 300m shares at a price range of HK$12.93-13.20/share to raise around US$500m.</li>
<li>The 300m shares is nearly 33 days of ADV, but around 11-12% of the new shares will be bought by passive trackers early next week and provide near-term support.</li>
<li>
<a href="https://www.smartkarma.com/entities/china-vanke-co-ltd-h" target="_blank" data-smartkarma-citation="entities:18368:1" rel="noopener">China Vanke (H) (2202 HK)</a> trades cheaper than its peers on EV/Sales, EV/EBITDA and forward PE. Shorts have ticked higher in the last couple of weeks.</li>
</ul>


News reports indicate that China Vanke (H) (2202 HK) is looking to place 300m shares at a price range of HK$12.93-13.20/share to raise around US$500m.
The 300m shares is nearly 33 days of ADV, but around 11-12% of the new shares will be bought by passive trackers early next week and provide near-term support.

China Vanke (H) (2202 HK) trades cheaper than its peers on EV/Sales, EV/EBITDA and forward PE. Shorts have ticked higher in the last couple of weeks.


China Vanke (2202 HK): Placement & Index Flows

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Capital Markets

<ul>
<li>China Vanke aims to raise around US$500m in its H-share primary placement.</li>
<li>Vanke had recently stated that it aimed to raise around US$2bn via an A-share private placement, so a placement was expected for sure.</li>
<li>In this note, we will talk about the placement and run the deal through our ECM framework.</li>
</ul>


China Vanke aims to raise around US$500m in its H-share primary placement.
Vanke had recently stated that it aimed to raise around US$2bn via an A-share private placement, so a placement was expected for sure.
In this note, we will talk about the placement and run the deal through our ECM framework.


China Vanke Placement - A Placement Was Expected, Unclear if It Was This One

China

Longfor Properties Co. Ltd. operates in the property development, property investment and property management businesses in China.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Longfor Properties (960 HK)

China Property Sector – NBS 2M23 data: Strong as expected

NBS 2M23 sales value came flattish YoY, in line with our forecast. However, it beat China funds ’ expectation and strongly beat foreign...

CMB International

China Real Estate

It bottoms ticked recovery in the highly leveraged Real estate Index Hang Seng Mainland Property Index (HSPMI) and rallied 103% from trough to peak...

Untying The Gordian Knot

China Property Sector – Property+ Weekly: Sales momentum accelerated on lower tier cities

This is in line with our sales leading index GAIN and our upgrade report that sales is more sustainable than what market thinks.

CMB International

China Vanke (2202 HK): Placement & Index Flows

China Vanke is looking to sell 300m shares in a placement to raise US$500m. Passive index trackers will buy between 11-12% of the new shares early...

Brian Freitas

China Vanke Placement - A Placement Was Expected, Unclear if It Was This One

China Vanke aims to raise around US$500m in its H-share primary placement. In this note, we will talk about the placement and run the deal through...

Sumeet Singh

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)