Daily Brief Financials: Jilin Jiutai Rural Comm Bank, Hang Seng Index, Keppel Corp, Bandhan Bank Ltd, Sunac China Holdings, Bitcoin, IP Group PLC and more

• Jilin Jiutai Rural Comm Bank (6122 HK), a small bank focusing on rural and small business lending,  is suspended pursuant to the Takeovers Code.
• Jilin Jiutai was initially suspended on the 12th March. Then on the 31st March, it indefinitely postponed its FY24 results. The share price is down 61% in the past year. 
• My guess is that Jilin Province Trust will put Jilin Jiutai out its misery via an Offer by way of a Merger by Absorption.  Pricing? Perhaps HK$0.80/share.

• In our previous insight we highlighted a buy-the-dip opportunity in the HSI INDEX in the HSI Index during the late-March pullback. However, Trump’s tariff announcement dramatically shifted the outlook.
• Following a sharp drop to 19260, the Hang Seng Index staged a fierce rally to 21000—but momentum has since stalled.
• The index has rallied for three straight weeks (including this one), but remains below key resistance levels. Our model signals weakness, and a likely pullback ahead.

• Wanda sells hotel business to Tencent-backed firm for $347M, indicating a strategic shift in their business operations.
• Keppel raises $1.5B for data centre, education funds, and urban renewal, showing a focus on diverse investments.
• Cushman & Wakefield appoints Matthew Bouw as APAC CEO for EMEA, highlighting leadership changes in the real estate industry.

• We interacted with Microfinance BU (Business Unit) managers of Bandhan Bank Ltd (BANDHAN IN) across major states in India. 
• Our objective was to understand the current collection trends and asset quality issues especially in the Microfinance Portfolio. 
• Based on our interactions, we would like to put a case for declining provisions going ahead. 

• In today’s Morning Views publication we comment on developments of the following high yield issuers: Sunac China
• US President Donald Trump has ramped up pressure on Fed Chairman Jerome Powell. In a Truth Social post yesterday, Mr Trump called for “pre-emptive cuts” in interest rates, stating that “there can almost be no inflation, but there can be a slowing of the economy unless Mr Too Late, a major loser, lowers interest rates now”.
• The latest salvo came after White House economic advisor Kevin Hassett said on Friday that the Trump administration was studying whether it could fire Mr Powell. Mr Trump also told reporters on Friday that Mr Powell would resign if the President asked him to.

• Market inefficiencies persist in crypto markets, particularly in cross-exchange arbitrage and futures basis trading
• Traditional factor models can be adapted for cryptocurrency markets with size, momentum, and liquidity factors showing statistical significance
• On-Chain metrics provide unique alpha signals unavailable in traditional markets

IP Group made good progress in crystallising its portfolio values through exits, with proceeds of £183m collected in FY24, most notably from the realisations of Featurespace and Garrison Technology. Meanwhile, its performance continued to be negatively affected by the demanding environment for early-stage businesses, as well as some company-specific setbacks and the de-rating of the share price of Oxford Nanopore (ONT). That said, several portfolio holdings exhibited good business traction and interest from potential buyers, and IP Group’s shares now trade at a wide 59% discount to end-2024 NAV. In this note, we outline important future milestones across IP Group’s portfolio, which we encourage investors to track for indications of positive momentum.