600780_CITI GROUP-HK China Property, Conglomerate and Banking News080630

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Per Sq Ft Portable
HK/China Property, Conglomerate and Banking News
 Mortgage rates hike continued in HK: BOC(HK), the leader in HK mortgage
market, announced last Saturday to raise the rates for new mortgage loan
amounting over HK$1.5m by 25 bps, from 2.5% p.a. (P - 2.75%) to 2.75% (P -
2.5%). ICBC (Asia), another local bank will also raise the rate slightly by 0.25%
to relieve the impact from the rising cost of funding.
 Evergrande raised another US$506m from stake sales: Evergrande, the GZbased
developer which scrapped its IPO in March 08, raised US$506m by
selling a stake of about 13% through private placement to a group of investors,
including Mr. Henry Cheng of NWD, Investment fund from Middle East, as well
as Merrill Lynch and Deutsche Banks along with three corporate investors. The
parties will hold around 3.9%, 3.8% and 5.5%, respectively, after the
placement, according to sources. The company said it expects cash back to
continue as around RMB15bn inflow will be generated from 30 completed
projects before the end of October and there are 3 JV projects under
negotiation with other parties, with total investment of about RMB8bn.
 Mortgage rate cut in mainland: Shanghai Everbright Bank announced it would
adjust individual mortgage rate to a relatively low level.