China Development Bank International Investment (CDBII) said it had signed a letter of intent to buy an energy and resources investment firm, in a possible deal that could be settled by a substantial share placement. The Hong Kong-listed CDBII is 66.16 per cent owned by China Development Bank International Holdings - an offshore unit of China Development Bank. CDBII is looking to invest in Gateway Energy and Resource Holdings, which invests in energy, resources and related infrastructure projects. If the deal materialises, CDBII may issue about 2.29 billion new shares to Gateway shareholders, representing 44.1 per cent of the enlarged share capital of the company. Peggy Sito
Japanese manufacturers are growing increasingly pessimistic, according to a survey released yesterday. The Bank of Japan's "tankan" index for the December quarter slumped to minus 12 from minus 3 in the previous quarter, a result that was much worse than expected. A reading below zero means pessimistic views outnumber optimists. The report largely blamed tensions with China, which have slammed exports to one of Japan's biggest markets, for the deterioration in sentiment. The survey raises the likelihood of further monetary easing. AP