Singapore Exchange Suspends Trading in Shares of Three Speculative Companies after their prices plunged dramatically

Oct 3, 2013

Singapore Exchange Suspends Trading in Shares of Three Companies

CHUN HAN WONG

SINGAPORE—Singapore Exchange Ltd. suspended trading on three companies’ shares after their prices plunged dramatically in early Friday trade, wiping out strong gains notched in recent months. In less than an hour of trading, sterilization-services provider Blumont Group Ltd. lost more than 56% of its market value, while share prices of Asiasons Capital Ltd. and LionGold Corp. Ltd. plunged by 61% and 42% respectively. Friday’s sharp drops followed weeks of substantial gains in the three companies’ share prices, which had prompted the exchange to issue official queries seeking explanations for the increases. Read more of this post

Fears spread over chaebol’s debts; Investors, creditors study balance sheets after Tongyang’s woes

Fears spread over chaebol’s debts

Investors, creditors study balance sheets after Tongyang’s woes

BY MOON GWANG-LIP [joe@joongang.co.kr]

Oct 04,2013

Tongyang

A group of investors in Tongyang Group bonds stages a protest near the residence of Chairman Hyun Jae-hyun yesterday afternoon after allegations arose that the company issued fraudulent commercial paper

In the wake of the sudden financial meltdown of Tongyang Group, one of Korea’s top 40 conglomerates, attention is shifting to the debt levels of other large companies. Rumors are spreading in the local financial industry that some affiliates of Dongbu Group, Hanjin Group, Hyundai Group and Kolon Group – all within the top 40 – could face the same fate as the Tongyang subsidiaries now under court receivership. Financial authorities are cautioning against overreaction from investors and creditors-? they don’t want scared creditors making things worse for companies by calling in debts. But, some market analysts say that the Tongyang crisis may serve as a wake-up call for overdue financial reforms at many conglomerates.

Chaebol Leverage

Read more of this post

Pig Sales Fly Blind as Data Cut by Shutdown Hampers Firms

Pig Sales Fly Blind as Data Cut by Shutdown Hampers Firms

For Brian Duncan, a 49-year-old hog farmer in Polo, Illinois, the government shutdown is converting the economic fundamentals of his business into a guessing game. Duncan relies on U.S. Department of Agriculture commodity data to price his hogs. That information flow has been cut off with the partial shutdown of the federal government, which entered a fourth day today. The lapse has had a dramatic effect on his operation in north-central Illinois, he said. “Everyone in the food chain relies on the government to be an unbiased source of prices,” said Duncan, who sells 50,000 pigs a year to meat packers, including Tyson Foods Inc. (TSN), Smithfield Foods Inc. and Cargill Inc. “We have no clue what the price of hogs is or the price of the pork.” Read more of this post

Swiss Retirees Traverse Pension-Fund Abyss by Dog Walking

Swiss Retirees Traverse Pension-Fund Abyss by Dog Walking

Swiss retirees are soothing concerns over the country’s 42.4 billion-franc ($47 billion) pension-fund deficit by walking dogs, tending bars and giving financial advice. The number of pensioners for hire at Zurich-based Rent a Rentner AG almost doubled to 2,245 this year, said Peter Hiltebrand, who founded the online booking agency in 2009. The retirees, who range from age 60 to 90, set their own fees, starting at a minimum of about 20 francs an hour. “It started out as a crazy idea because I didn’t just want to stay home all day after I retired and wanted to remain active,” said 69-year-old electrician Hiltebrand. “I thought surely there must be other pensioners who’d be interested.” Read more of this post

How to spot a healthy biotech investment

How to spot a healthy biotech investment

PUBLISHED: 7 HOURS 10 MINUTES AGO | UPDATE: 4 HOURS 42 MINUTES AGO

MICHAEL BAILEY, The Australian Financial Review

The equity analysts call them “pre-cash flow” companies. All investors really have to go on are the promises. Such companies provide a rare opportunity for ordinary investors to get in on the ground floor of potentially huge, global businesses. There are two main types of pre-cash flow companies in Australia. One type – junior resources explorers – is on the nose as commodity prices wane. As a result, there’s more interest in the other type: biotechnology companies, or “biopharma” as the sector is sometimes known. The success stories out of this sector are well known, but be warned. For every “ten bagger” like a Mesoblast or Sirtex, there are dozens of others that have wiped out their investors or perhaps struggled to break even. More dauntingly, success relies heavily on approval from the only regulator that big pharmaceutical companies care about – the US Food & Drug Administration (FDA). Read more of this post

Construction chaos in Australia: another builder collapses as sector faces 40th straight month in doldrums; 20-year-old Walton Construction handed over to administrators

James Thomson Editor

Construction chaos: another builder collapses as sector faces 40th straight month in doldrums

Published 04 October 2013 08:48, Updated 04 October 2013 10:09

The carnage in Australia’s building sector shows no signs of abating, with yet another major construction group placed in the hands of corporate undertakers yesterday. Craig Walton, managing director of Walton Construction, described Thursday as the toughest day of his life as he handed control of his 20-year-old construction group to administrators. ‘‘It is also the saddest day because of the impact on our employees and their families who have been so loyal and outstandingly professional over the whole journey,” Walton told Fairfax. The company, which at its peak turned over $360 million and had 340 employees, has been buffeted by the seemingly never-ending post-GFC construction sector hangover. Read more of this post

Around 40% of phone numbers that listed companies in China provided to investors go unanswered or are constantly engaged

Under 60% of Chinese listed companies answer the phone

Staff Reporter

2013-10-04

Around 40% of phone numbers that listed companies provided to investors go unanswered or are constantly engaged, according to the China Securities Investor Protection Fund Corporation, a securities supervisory body established by China’s State Council or cabinet. The corporation recently posed as an anonymous client and made three rounds of phone calls to 2,468 companies listed on China’s A-share market and published its results. Of the 7,404 phone calls the company made, around 58.7% were answered and their questions were properly addressed. Around 40.1% of their calls went unanswered while the remainder were busy or had another situation which prevented a satisfactory outcome. The company said it received valid and useful information in 85.3% of calls which were answered and around 91.7% of staff members answering the calls were polite and friendly. The percentage of answered phone calls was highest among companies listed in Hong Kong’s Growth Enterprise Market which allows growth companies to raise capital based on a strong disclosure principle. 73.7% of these companies picked up the phone. They were followed by the Small and Medium Enterprise Board, Shanghai Stock Exchange’s Main Board and Shenzhen Stock Exchange at 63.1%, 52.8% and 52.7%, respectively.

%d bloggers like this: