SHOUGANG Holdings (HK) has denied reports that it is considering joining forces with Choi Sai-leung to acquire Seapower shares held by Francis Yuen Tin-fan and four others. It adds that it has not discussed the matter with Mr Choi and has no intention of buying Mr Yuen's shares. - ECONOMIC TIMES GREAT Wall Electronic International bought back 1.59 million ordinary shares on March 17 at prices between $1.09 and $1.14 a share. - ECONOMIC TIMES FONG'S Industries says although sales in China account for about half of the company's operating revenue, the non-renewal of China's most-favoured nation (MFN) trade status by the United States this year will not have a major effect on the company's business. It says that regardless of the US policy towards China, the Americans will still have to import textile products. If US companies do not buy from China, they can buy from India or other countries where costs are low. However, these newly developed textile exporters may not have sufficient automation to satisfy market needs, and such possibilities open opportunities for Fong's to expand its operations in those countries. - ECONOMIC TIMES TOMSON Pacific says it will focus on mainland property development in the future and will try to stabilise the sources of its rental income. The company does not expect any major breakthrough in its earnings this year, but says profits will reach a peak between the end of next year and early 1996. In the last fiscal year to March, the company recorded losses of $188 million, a rise of 24.4 per cent over 1992 losses. However, last year's losses reflected the huge deficits incurred by its holding company World Trade Centre Group. Tomson has since broken off relations with World Trade Centre Group. - ECONOMIC JOURNAL C.P. Pokphand International says it has issued floating rate notes worth US$50 million and the money will be used to finance its investment in China. The notes were arranged by Standard Chartered Asia, have a maturity of five years, and will be listed in Luxembourg. The Industrial Bank of Japan, Yamaichi International and National Westminster Bank were involved in the banking syndication. - ECONOMIC JOURNAL HIGH Fashion says its first-half earnings may be affected by a failed sales-incentive plan implemented by its US associate company. However, it believes the situation will improve in the second half. The US associate implemented a number of incentive plansto boost sales. In the year to September 1993, its operating revenue rose sharply. However, problems arose when staff miscalculated the amount of prize money payable in one of those schemes and consequently the cost of the schemes was driven up significantly and profit margins dropped markedly. - ECONOMIC JOURNAL NINETY-SIX units in Block Seven in Phase Five of the Discovery Bay development were offered for internal sale last week and 85 per cent were sold. Another 96 units will be offered for registration from today until Wednesday at an average price of $4,000 a square foot. Units in Phase Seven, which were put on the market at the end of January, sold for an average price of $3,600 a square foot. Prices of the new units increased 11 per cent. Phase Five was developed by New World Development while Phase Seven wasdeveloped by Hong Kong Resorts International. - ECONOMIC JOURNAL NINETY-FIVE units in Phase Two of Bailey Garden, developed by Wheelock and Co were offered for sale on Friday and were all sold in one day. The 95 units included 63 originally planned for sale. The other 32 units were offered because of demand. The 63 units were sold at an average price of $5,800 a square foot, while the 32 were sold at an average of $6,100 a square foot, an increase of five per cent. - ECONOMIC JOURNAL BANKING sources say Lai Sun Development has appointed Mitsubishi Bank to arrange a syndicated loan of $450 million. The loan was put on the market on Friday. - MING PAO THE share price of Techtronic Industries surged in Friday's trading in spite of a falling market. Techtronic says although its Chilean associate company, Gimelli, continues to suffer losses, the $6 million which it was necessary for Techtronic to write offwas offset by a recovery in the European market. Techtronic's core business is in the manufacture of portable electric tools. In Friday's trading the stock closed at $1.55, an increase of 11 per cent on the day. Analysts attribute the strong performance tothe listing of the company's American depository receipts in the United States. - MING PAO IT is reported that CITIC Pacific's plan to spin off DCH Food Mart for a separate listing has been delayed. CITIC Pacific is to publish today its earnings for last year and the market has expected the spin-off plan to accompany the earnings report. Market sources say the spin-off will not be announced until Easter at the earliest. - SING TAO SUNDAY, MARCH 20 IT is reported that Hong Kong companies are keen on taking part in developing power plants in Guangxi province. New World Development and Henderson Land Development will be co-operating with mainland partners for two 300,000-kilowatt fire-powered plants, which will need a total investment of 5.6 billion yuan (about HK$4.96 billion). Hopewell Holdings is reported to have signed a co-operation agreement with mainland partners for the development of two 660,000-kilowatt fire-powered plants. A combined investment of US$900 million is required. A formal contract is to be signed later. - ECONOMIC JOURNAL
