Glorious Property 0845

[winston]

DJ MARKET TALK:DB Starts Glorious Property At Buy; HK$4.95 Target

0855 [Dow Jones] STOCK CALL: Deutsche Bank starts Glorious Property (0845.HK) at Buy, target price at HK$4.95 pegged on 35% discount to forward NAV estimate, implying 11.6X FY10 P/E.

Notes Glorious Property leading developer from Shanghai, currently has landbank of about 13.6 million sq m in 9 key cities in China; "diversified and sizable landbank makes it possible for the company to benefit from higher margins from Shanghai and volume growth in other cities."

Adds, flagship project, Shanghai Bay, overlooking Shanghai World Expo venue across Huangpu River, will contribute significantly to earnings growth over next 3 years.

( Not sure about this one. Did those peoperty around the BJ Olympics go up in value ? What happened to that 6 Star Dragon Head Hotel & Apartment ? )

Source: Dow Jones Newswire

[winston]

Small position from IPO.

DJ MARKET TALK: Citigroup Starts Glorious Property At Buy

1409 [Dow Jones] STOCK CALL: Citigroup starts Glorious Property (0845.HK) at Buy with target price of HK$5.45. Says Glorious focuses more on key cities that can return higher profitability. House estimates 70% of its asset value come from Shanghai, Beijing, Tianjin, yet its unit land cost/average selling price ratio is only 9.9% - one of lowest in sector - while its estimated gross profit per square meter is CNY6,540psm, among highest in sector.

Says Glorious now trades at 37.5% discount to NAV, 9.3X 2010 P/E and 8.7X 2011 P/E -- attractive in house view.

Source: Dow Jones Newswire

[winston]

Small position from IPO:-

Glorious Property buys prime Shanghai sites for `reasonable' 2b yuan

Mainland developer Glorious Property Holdings (0845) said it has acquired two sites in Shanghai for a total of two billion yuan (HK$2.27 billion) for a commercial project.

The developer, which listed in Hong Kong last month and is chaired by tycoon Zhang Zhirong, said yesterday its wholly owned subsidiary Wuxi Wangjiarui has agreed to buy the entire equity interest in the sites from the vendor, Jiangsu Rongsheng Shipbuilding.

Glorious Property said it considers the acquisition "an excellent opportunity" for the group to acquire two large parcels of land in Xujiahui district - a prime location in the central business district of Shanghai - at a reasonable price.

It intends to develop a large-scale commercial project, comprising office buildings and serviced apartments, on the sites.

The first site, at 143 Xujiahui Road, has a gross site area of 26,221.8 square meters, with a plot ratio of 2.5 times. The site can be developed for commercial, office and cultural use.

The second, at 292 Caohejing Road, has a gross site area of 17,610.9 sqm, with a plot ratio of 4.23 times. It can be developed for commercial and office use.

Glorious Property said the acquisition will be funded through internal resources and/or bank financing.

The company raised net proceeds of HK$7.89 billion in Hong Kong after it went public early last month.

Source: ALFRED LIU, The Standard HK

http://www.thestandard.com.hk/news_deta ... 91123&fc=1

[winston]

DJ MARKET TALK: Citi Keeps Glorious At Buy; Valuation Attractive

1501 [Dow Jones] STOCK CALL: Citigroup keeps Glorious Property (0845.HK) at Buy with target price of HK$3.95. Says Glorious now trades at 35% discount to house estimate NAV, 9.7X 2010 P/E and 9.1X 2011 P/E, attractive in house view especially given recent value-enhancing landbank acquisitions.

Adds market has recently been focusing mainly on contracted sales amount of Chinese developers. Notes with current strong property market, achieving good sales amount not difficult for Chinese developers - instead what house should focus more on is profitability.

Source: Dow Jones Newswire

[winston]

not vested

DJ Glorious Property: Expects No Impact From US SEC Insider-Dealing Probe Against Chairman

HONG KONG--Glorious Property Holdings Ltd. (0845.HK) said Monday it doesn't expect an insider-dealing probe by the U.S. Securities and Exchange Commission against a company owned by its chairman, to affect the Hong Kong-listed firm's business.

The SEC Friday accused Hong Kong-based Well Advantage Ltd.--owned by Glorious Chairman Zhang Zhirong--of insider trading ahead of the disclosure that Chinese state-owned offshore oil giant Cnooc Ltd. (0883.HK) plans to acquire U.S.-listed Canadian energy producer Nexen Inc. (NXY).

The U.S. regulator said Well Advantage and "other unknown traders" used accounts in Hong Kong and Singapore to stockpile Nexen shares based on confidential information about the US$15.1 billion deal, which, if completed, will be China's biggest acquisition of a foreign company.

Glorious said the day-to-day activities of the real-estate developer "are, and will continue to be," conducted by its management team.

"Decisions regarding all material projects and investment activities of the company have been and are required to be made collectively by the board," it said in a statement.

Mr. Zhang and Well Advantage couldn't be reached for comment.

Source: Dow Jones Newswire