Daily Brief China: ANE Cayman Inc, Alibaba, Pony AI, CIMC Enric Holdings, Minth Group Ltd, China Oil And Gas, Hangzhou Diagens Biotechnology and more

• After ANE Cayman Inc (9956 HK), a road freight transportation play, was suspended pursuant to the Takeovers Code, an Offer from PE outfit Centurium Partners, a pre-IPO investor, was expected. 
• And this is what unfolded. Centurium, together with Temasek and Singapore-based asset manager True Light, are offering HK$12.18/share (best & final) via a Scheme, a 48.54% premium to undisturbed.
• A scrip alternative is present (mix & match). This is a pre-conditional Offer: it requires SAMR signing off. The FA is JPM. This should help smooth over the reg process.

Key points (machine generated)

• Alibaba Group (BABA) is currently priced at $120 per ADS, with a projected valuation of $300 per ADS by 2028, indicating a potential upside of 2.5 times.
• The company’s future valuation is expected to depend on its key segments: Taobao and Tmall Group in the China e-commerce market and Alicloud, which are currently undervalued.
• BABA’s low forward multiple of 11-12 times next year’s earnings, along with revenue growth from Alicloud and potential stock buybacks, suggests downside protection for investors.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Pony.ai is getting ready to complete its IPO in Hong Kong in the coming weeks. Pony.ai is one of the leading autonomous driving companies in China. 
• Pony.ai plans to sell 41.96 million Class A shares under its global offering in Hong Kong, including 4.2 million shares for Hong Kong retail investors.
• The maximum offer price of the Hong Kong IPO is HK$180 (US$23) per share, which could value the company at more than US$10 billion.

• While CIMC Enric Holdings (3899 HK)‘s share price has lagged YTD, its 3Q25 and 9M25 results look decent with 6.2% and 12.9% YoY increase, respectively.
• Its backlog orders amount of Rmb30.8bn, up by 10.9% YoY, is a record high. This is already enough to cover the full-year FY26 projected revenue.
• With a 13.4% 3-year EPS CAGR, its PERs are inexpensive. Meanwhile, it is in an excellent position to thrive under China’s 15th Five-Year Plan (2026-2030).

• After the good run, Minth Group Ltd (425 HK) share price looks a bit expensive. 
• However, it was a value stock before, trading at 0.6x book value while growth remains. 
• Compared to its peers, it is still not too expensive and the growth seem to continue as the company is able to expand its margin. 

• In today’s Morning Views publication we comment on developments of the following high yield issuers: China Oil & Gas, SK Hynix, Meituan, Pakuwon Jati, Nissan Motor
• UST yields were little changed yesterday, with little response to a soft auction of 7Y notes. The market focus will be on the FOMC rate decision today, with the Fed largely expected to reduce rates by another 25 bps.
• Equities notched fresh record highs, supported by expectations of strong Q3/25 earnings from major tech firms.

• The willingness of hospitals/patients to purchase medical AI products/services is still not strong enough. The real turning point for the commercialization of medical AI hasn’t arrived yet.
• The small revenue scale reflects that Diagens’ products have not received widespread recognition from the medical system. Market education cost would be high, leading to increasing selling and distribution expenses
• Valuation should be higher than Basecare (2170 HK) who just focuses on testing kits in assisted reproduction, but should be lower than Xunfei Healthcare, who has better commercialization performance/channels advantage.