Embattled property developer New World Development (17 HK) has proposed the spin-off and separate listing of a REIT on the Shanghai Stock Exchange.

The spin-off comprises the mixed-use property (comprising Shanghai K11 Art Mall and Shanghai K11 ATELIER NWT), one of NWD flagship PRC assets.

Trading at a trailing P/B 0.074x. That pretty much says it all. The impact from the spin-off, if completed, will be minimal. This remains an avoid.

Cloudbreak Pharma (2592 HK), a clinical-stage eye-disease drug developer, was listed on the HKEx on the 3rd July 2025 at HK$10.10/share, and promptly fell 39% on debut.

The downward trend continued. Shares were suspended by the SFC on the 10th September 2026, with a last trading price of HK$1.19/share, down 88.2% from IPO.

The SFC said it has “serious concerns“ that Cloudbreak’s 2025 IPO “may have been rigged to create an artificial impression of demand“ for its shares.

Cloudbreak, to me, is a famous Fijian surfing break, hence the somewhat lame title. Sorry about that.

FWIW, one of the eyedrops Cloudbreak is seeking to perfect for pterygiums, are sometimes called “surfer’s eyes” .....

Cloudbreak is suspended by the SFC, so there is nothing to do right now.

This insight is somewhat of a vanity project just to get a handle on what happened here.

Last week, Lotus Horizon (6063 HK) followed in fellow-contractors WK Group (2535 HK) and Superland Group Holdings (368 HK)‘s footsteps, whereby the controlling family exited, triggering an unconditional (massive) takeunder.

Now contractor KFM Kingdom (3816 HK) is suspended pursuant to the Hong Kong Code on Takeovers and Mergers. Its share price is up ~700% since January.

Controlling shareholders exiting given protracted headwinds for Hong Kong’s private residential and commercial property markets makes sense. Less clear are these irrational price movements before a deal is struck.

On the 7th August, Guotai Haitong Securities (601211 CH) pitched a pre-conditional (SASAC/NDRC) Scheme for Guotai Junan (1788 HK) at HK$3/share, a 44.2% premium to last closes. Terms declared final.

The pre-con long stop date is the 31st October - uncommonly nimble. This could (should) be wrapped up before year-end. Clean deal.

A perusal of the s329 investigative reports provides a clearer picture on who holds what. Not that I expect the vote to be a cause for concern.

On the 20th January 2026, Skyworth (751 HK) announced an inter-conditional Scheme and concurrent listing of 70%-held Skyworth Photovoltaic (Skyworth PV) on the HKEx, by way of introduction.

The Dongfeng (489 HK)/Voyah (7489 HK)-like structure appeared fair. The challenge was that Skyworth PV’s key comps were/are A-share listed, and Skyworth PV should trade at an H-share discount.

Currently trading right at the Scheme cash consideration, assigning zero value for Skyworth PV. Skyworth’s share price is 22% below the pre-spin-off announcement price. I can see this trending lower.

In Public Financial (626 HK) Halted: Public Bank (PBK MK) Takeover Expected, I speculated Public Bank (PBK MK) may make a HK$2.50/share Scheme Offer for 73.23%-held Public Financial (626 HK).

And that is what unfolded. It’s a 61.29% premium to last close. The Offer price is final. Dividends will be netted.

I don’t see why this transaction cannot be fast-tracked in say, four months, well ahead of the 31st March 2027 long-stop.

Back in 1Q25, Fosun International (656 HK) took ClubMed operator Fosun Tourism private at ~US$1.2bn via a Scheme: Fosun Tourism (1992 HK)’s Scheme Buyback Vote On The 4th March.

Fosun is now proposing to relist the unit. Word is that Fosun is seeking to raise US$500mn, with a possible listed valuation upward of US$3bn.

With sliding earnings, falling margins, that kind of pricing is optimistic.

Construction subcontractor Lotus Horizon (6063 HK) is suspended pursuant to the Hong Kong Code on Takeovers and Mergers.

I expect Lotus will follow in WK Group (2535 HK) and Superland Group Holdings (368 HK)‘s footsteps, whereby the controlling family exits, triggering an unconditional takeunder.

Loss-Making Lotus is a total bubble stock, up 457% since Feb , 750%+ in 12 months, and trading at 20x P/B. Are shell companies and reverse takeovers making a comeback?

Via an accelerated exchange, Swire Pacific (19 HK) is soliciting tenders from its 2027 exchangeable bond holders and, in parallel, placing Cathay (293 HK) shares to fund the bond repurchase.

Preceding my comments on Swire, are the current setup/unwind tables for Asia-Pacific Holdcos.

These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation >20%.

On the 5th June, Continental Aerospace Technologies (232 HK) (CAT) confirmed an SPA to sell its core business, potentially leading to a cash distribution (HK$0.419-HK$0.436/share), and subsequent winding up.

The SPA requires reg approvals and a Scheme-like vote. 46.4% of the register is supportive. Additional dividends expected from the sale of property. And any leftover funds.

The Circular is now out. The SGM is the 21st September. With payment of the special/property dividend (on or before) the 12th October. “Surplus cash” distribution is expected shortly thereafter.

On the 24th August 2026 , TCL Electronics (1070 HK), a global consumer electronics play, announced the spin-off of its photovoltaic business segment by way of distribution in specie.

1Q26 photovoltaic revs were HK$4.8bn, ~16.4% of group revenue, compared to 18% and 13% in FY25 and FY25. Given lower margins, its % contribution to the bottom line is smaller.

Other significant developments include the Sony Corp (6758 JP) home-entertainment business JV; and the recent HK$5.6bn air-conditioning acquisition.

For those who came in late, I expected ENN (2688 HK)‘s Offer to get up. I was wrong. For all intent and purpose, I’m also wrong on Changhong (3991 HK).

Changhong is trading 50% below terms and 34% below the undisturbed price of HK$0.92/share. A peer basket is down 5% (the median) since the Offer was announced last September.

1H26 financials were solid. Changhong has added net cash of $1.4bn since the Offer was announced. If small, illiquid stocks are your bag, Changhong’s share price is unduly beaten up.

Last week, CK Hutchison (1 HK) reported a 6.1% and 6.4% lift in 1H26 revenue and underlying net profit (excluding one-off items) to HK$241.6bn and HK$12.6bn. Pretty decent numbers.

End-July, CKH offloaded its 49% stake in VodafoneThree for US$5.8bn. No mention of the AS Watson IPO in the results or the anaylsts’ call. Reportedly it’s been delayed to 2027.

The Panama port cessation incurred a HK$496mn hit to EBITDA. CKH has now announced a Investment Treaty Arbitration against the Panamanian Republic, an entirely separate claim to the contractual arbitration.

Public Financial (626 HK) is suspended pursuant to Hong Kong Code on Takeovers and Mergers. Expect a Scheme Offer from Public Bank (PBK MK), holding 73.23%.

Public Bank could offer, say $2.50/share, a 60% premium, which still backs out a low trailing P/B of 0.35x. It may well go higher to factor in the headcount test.

Public Financial is super-illiquid. Look away now if this is not your thing.

After falling 12% post-1H26 results, China Unicom (762 HK) is inexpensive to its parent China United Network A (600050 CH) - its hybrid domestic A-share twin - and to peers

Preceding my comments on Unicom, are the current setup/unwind tables for Asia-Pacific Holdcos.

These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation >20%.

After broker/investment bank Guotai Junan (1788 HK) (GJI) was suspended last month pursuant to the Takeover’s Code, an Offer from its state-backed parent Guotai Haitong (601211 CH) (GHS) was expected.

That unfolded last Friday evening (7th July), with GHS pitching a pre-conditional (SASAC/NDRC) Scheme at HK$3/share, a 44.2% premium to last close, bang in-line with my estimate. Terms are final.

The pre-con long stop date is the 31st October. That’s uncommonly quick. This could (should) be wrapped up before year-end. Plus there are some quirky Scheme vote-blocking %s.

Swire Pacific (19 HK)‘s 1H26 reported profit was HK$6.8bn versus HK$815mn in 1H25.

83%-Held Swire Properties (1972 HK) reported profit of HK$3.6bn vs. a loss of HK$1.2bn in 1H25. 45.12%-held Cathay Pacific (293 HK) reported a 71% increase in underlying profit of HK$6.2bn.

Note: short interest in Cathay, one the best performing global airlines over the past year (in terms of share price), has picked up since the end of May.

On the 27th July 2026, IT integrator Maxnerva Technology Services (1037 HK) announced its two top shareholders - FSK and FDG - had entered into SPA’s with Foxconn at HK$0.6374/share.

Assuming the SPAs complete (primarily requiring Vietnam Competition Commission approval), Foxconn’s stake increases from 6.61% (indirect) to 40.46%, triggering a conditional mandatory general offer (50% tendering condition) also at HK$0.6374/share.

Arguably this is a Hon Hai/Foxconn internal restructuring exercise. It’s a decent premium though; enough to (likely) clear the 50% tendering condition. Listing status maintained, hence a decent back-end proposition

Back on the 29th June 2026, ride-hailer Dida (2559 HK) announced a super clean voluntary conditional offer from Tongcheng Travel (780 HK).

Terms were HK$2.562, a 108.3% premium to undisturbed , comprising a cash component (HK$1.3875/share) plus a special dividend (HK$1.1745/share, 20th July record date). Irrevocables cleared the minimum acceptance of 50%.

The Composite Doc is now out. The Offer is open to tendering. The IFA says fair & reasonable.