Category Archives: Beida

In China, small print can kill you – Paul Gillis

Registering offshore, through so-called VIE’s or variable interest entities, is more popular than ever for Chinese companies, even though the Chinese government tries to stop this circumventing trick. Tencent Music Entertainment was the last one to use it for its IPO and get away with it because investors seldom read the disclosure, says Paul Gillis, accounting professor at the Peking University, at the Nikkei Asian Review. And for good reasons.

Why the investors did not buy Xiaomi’s valuation – Paul Gillis

The Hong Kong IPO of China’s success story Xiaomi disappointed greatly. Beida accounting professor Paul Gillis explains at Quartz why the investors did not buy the company’s valuation. “I think it is hard for investors to buy the valuation.”

An emerging China tech IPO bubble? – Paul Gillis

China tech companies feel the pressure from their investors to join the emerging IPO wave, and that might not be a good development, says Paul Gillis, Beida accounting professor, at Nextunicorn.ventures.

How China’s Dead Sea Scrolls ended up in Washington – Ian Johnson

In a Washington mall, the Chu Silk manuscript – China’s equivalent of the Dead Sea Scrolls can be found. Journalist Ian Johnson describes how those precious relicts disappeared from China and ended up in the US, a journey now meticulously describes by the Chinese scholar, Prof. Li Ling of the Peking University for the New York Times. 

HK auditors: still not up to standards – Paul Gillis

Five years ago Hong Kong, once a center of international finance, was demoted by the European Union as a financial regulatory area on a similar footing. Beida accounting professor Paul Gillis applauds that after five years the HK legislators start to move to reform the auditors, but feels the action is far from enough, he writes on his weblog.

Chinese spinoffs: a different story – Paul Gillis

Spinoffs are typically business transactions where the total of all entities increase their value by splitting up their existing business. But not so for Chinese companies, listed in the US, argues Beida accounting professor Paul Gillis. Not the shareholders or the company gains, but mostly management, he explains at his weblog.

Experts on the US-China trade war at the China Speakers Bureau

Who to turn for advice to now US president Donald Trump seems to be heading for a trade war with China – and the rest of the world? A few experts at the China Speakers Bureau have started to make sense out of the erratic behavior of the leader of the world’s largest economy. Making sense out of what the world’s second-largest economy will do will only be slightly easier.

Can a trade war hit the Big Four? – Paul Gillis

Import duties – increased during a trade war – focus on goods, not services. Nevertheless, the Big Four accounting firms can still suffer from a trade war, writes Beida accounting professor Paul Gillis on his weblog. But those subtleties might not be spent on China when they are drawn into a full-scale trade war.

How KPMG Hong Kong got itself into serious problems – Paul Gillis

Beida accounting professor Paul Gillis describes on his weblog how auditor KPMG Hong Kong got itself into trouble for signing off papers on China Medical, a company convicted in 2012 for looting US$400 million from its investors. Problem: KPMG Hong Kong was not really in charge and now the Hong Kong legal system caught up with this omission.

How bike-sharing might work – Jeffrey Towson

Bike-sharing firms like Mobike and Ofo might work out, explains Jeffrey Towson, investment professor at the Peking University. “It is unusual but not crazy,” he tells about the pervasive marketing strategy of bike-sharing. Independent assets moving around might just be the new thing.