Category Archives: Stock market

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.

JD.com shareholders are getting nervous – Shaun Rein

While the criminal case for sexual harassment against JD.com CEO Richard Liu is still unclear, to say the least, its shareholders are getting nervous, says financial analyst Shaun Rein, and author of…

Tencent’s investment strategy disclosed – Matthew Brennan

Tencent’s investment strategy is mostly a black box, where observers try to find a red line by looking at what the internet giant is doing. Tencent analyst Matthew Brennan got the unique possibility to discuss those issues with Tencent Investment Partnership Manager, Li Zhaohui, and published a translation on China Channel.

Pinduoduo just a ‘flash in the pan’? – Shaun Rein

The successful IPO of Pinduoduo,  the third e-commerce platform in China after Alibaba and JD.com, took many by surprise. But it does not mean Pinduoduo will be equally successful in the future, warns business analyst Shaun Rein, author of The War for China’s Wallet: Profiting from the New World Order, at the South China Morning Post. Just days later, it was accused of hosting counterfeit goods.

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 stock markets are different – Ann Rutledge

China’s is officially heading for more reforms of its financial markets. But their stock markets are still a very different creature compared to the stock markets elsewhere, says financial analyst Ann Rutledge in Knowledge@Wharton.

Internet giants changed into investment vehicles – Shaun Rein

Internet giants Baidu, Tencent and Alibaba increasingly buy into innovative companies to stay ahead of the competition. They have become dominant investment vehicles, says business analyst Shaun Rein, author of The War for China’s Wallet: Profiting from the New World Order, to the South China Morning Post.

At last: opening the China markets for IPO’s – Shaun Rein

Many successful Chinese companies listed in the US, rather than in China, because of the stringent regulations in their own country. Now going IPO in China is at least becoming easier, says business analyst Shaun Rein, author of The War for China’s Wallet: Profiting from the New World Order to Harbour Times. And some Chinese companies might come back from the US.

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.