16/11/2017-10

Nine Bunker expected Wheelock long-term merger nine home

Wharf (00004) Spin-off of Wharf (01997) listed on Hong Kong investment properties including Harbor City and Times Square will be held on the 23rd next Thursday (1000 shares) with Wharf Interim blue-chip holdings until February next year, the HSI quarterly seized another decision. Goldman Sachs quoted Wharf management yesterday as saying that the future should be merged with Wharf (00020), the parent company, but this is not a plan to be implemented in the near future.

50% of the proportion of domestic business limited

Wharf also said it plans to limit its overall equity investment in the Mainland to no more than 50% after the divestment of Hong Kong’s investment properties is planned so as to let investors know that the reorganized Wharf will not be solely based on the mainland real estate business.

Goldman Sachs believes that if the Wharf to take the above deployment means that in the future Wharf may prefer to develop the real estate business in Hong Kong, or Wheelock will overlap the business, so Wharf also ventures business will be further integrated.

Daxinghang good stock price is still down

JP Morgan Chase forecast Wharf earnings growth slow, need to rely on high dividend payout to attract investors. Later, Wharf main asset for the mainland property, the business focus needs to be clarified, it is estimated difficult to fight for investors to reduce the NAV discount rate.

The bank also believes that the stock price of Wharf at a reasonable level, the spin-off of Wharf property before listing will fluctuate, maintaining a “neutral” nine store rating, the target price from 72.4 yuan raised to 76.2 yuan. In addition, Morgan Stanley is to maintain “ownership” of the Wharf rating, the target price from 80.92 yuan raised to 81 yuan.

Wharf closed at 75.4 yuan yesterday, down 2.6%, turnover of 566 million yuan. Wheelock shares closed at 55.95 yuan, down 1.2%.