Business Digest

Julius Baer to pay HK$6.83b for BofA unit

Swiss private bank Julius Baer is buying Bank of America-Merrill Lynch’s wealth management unit outside the US for about 860 million Swiss francs (HK$6.83 billion). The deal will boost the Swiss bank’s assets under management by 40 per cent. Julius Baer also plans to raise 1.19 billion Swiss francs through a rights share issue. Lulu Chen

Swire Properties parent in bid to offload shares 

John Swire & Sons (HK), the parent of listed Swire Properties, offered to sell 234 million shares in the developer at HK$21.46 to HK$21.94 each – a discount of 8 to 10 per cent to yesterday’s market closing price of HK$23.85 — to raise HK$5.02 billion to HK$5.13 billion, according to a term sheet sent to institutional investors. It has an option to sell an extra 54 million shares if demand exceeds those on offer. Eric Ng

Datang units to build coal-fired power plant

Hong Kong and Shanghai-listed Datang International Power Generation and sister firm Datang Huayin Electric Power, both units of state-owned China Datang Group, have agreed to invest 8.6 billion yuan (HK$10.53 billion) to build a 2,000 megawatt coal-fired power  plant in Leizhou, Guangdong. Eric Ng

Titan bondholders favour stake sale over liquidation

Owners of Titan Petrochemicals Group’s debt favour selling a stake over its liquidation, a member of the bondholders committee said. Saturn Petrochemical Holdings, a special purpose vehicle of private-equity firm Warburg Pincus, has asked the Supreme Court of Bermuda to liquidate Titan after it defaulted on HK$825.8 million of principal and HK$35.1million in interest due on its US dollar bonds on March 19. The ruling is due on Thursday. Bloomberg

Chalco to buy 35pc stake in Ningxia Electric

Aluminum Corporation of China agreed to buy 35.3 per cent of Ningxia Electric Power for 2.02 billion yuan to boost energy efficiency. Chalco will buy 23.4 per cent from Bank of China Group Investment for 1.35 billion yuan and 11.9 per cent from China Zhongtou Trust for 675 million yuan. Bloomberg