Richard Li's FWD Group falls in Hong Kong debut after HK$3.5 billion IPO
The insurer's stock fell as much as 2.5 per cent on Monday (Jul 7) after selling 91.3 million shares at HK$38 apiece. The shares slipped in grey-market trading on Jul 4. The IPO values the company at more than US$6 billion, according to deal terms seen by Bloomberg. Mubadala Capital and Japan's T&D Holdings were its cornerstone investors, according to a filing.
The debut comes after the tycoon, son of famed Hong Kong businessman Li Ka-shing, tried to take the company public in New York in 2021, which was abandoned after regulatory scrutiny. Subsequent efforts to list at home in Hong Kong were stalled as the city's IPO entered a prolonged slump.
Now, with Hong Kong's equity markets rebounding, Li is seizing a more favourable window to raise capital for the crown jewel of his business empire. Investors' sentiment has been buoyed by a wave of multibillion-dollar deals, with IPOs and follow-on offerings raising US$37.4 billion so far in 2025 – the highest since the record-breaking year of 2021 and a sharp jump from US$5.1 billion during the same period last year.
The city's stock benchmark, the Hang Seng Index, has risen about 20 per cent for the year. Insurers have been particularly hot lately, with shares of AIA Group and Prudential each rising at least 35 per cent since their April lows.
Richard Li, who founded the company in 2013, owns a 66.5 per cent stake in FWD through various corporate entities. His stake in FWD accounts for two-thirds of his US$6.1 billion net worth at the IPO price, according to the Bloomberg Billionaires Index.
The insurer plans to use the proceeds to reduce debt, support growth and enhance its digital capabilities. BLOOMBERG
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Business Times
21 minutes ago
- Business Times
Here are the top 10 best performing stocks in Singapore's STI for the first half
[SINGAPORE] The Singapore market has done well this first half of 2025, as investors flocked to safe havens amid volatility caused by tariff uncertainty and tensions intensifying in the Middle East. The Straits Times Index reached a new high of 4011.78 last Wednesday (Jul 2). As at Friday, the index has advanced nearly 6 per cent year to date (YTD) – comparable to that of the S&P 500, which is up by slightly over 6.7 per cent. Various Singapore Exchange (SGX)-listed counters such as Sembcorp Industries, UOL Group and DFI Retail Group recorded over 30 per cent YTD returns, and are within the top 10 performing stocks in the Straits Times Index. The trio of local banks – DBS, UOB and OCBC – however, are not within this list, as they take 18th, 19th and 20th place respectively, in terms of total returns YTD. YTD, these companies took the top 10 spots: 1. ST Engineering The technology, engineering and defence company had a strong run for the first half of this year, with a YTD return of 72.3 per cent, as the group recorded a surge of contract wins worth nearly S$4.4 billion in Q1. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up As such, this brought ST Engineering's order book to S$29.8 billion as at Mar 31. Some S$7.3 billion of these contracts are expected to be delivered this year. The group's commercial aerospace segment reportedly accounted for about S$1.3 billion of the new jobs, defence and public security S$2.7 billion, and the rest came from the urban solutions and satcom segment. Despite the ongoing tariff war, ST Engineering said on May 9 that it sees 'immaterial financial impact' for the group, but continues to monitor the 'evolving situation'. The counter was trading 0.3 per cent or S$0.02 lower at S$7.78, as at 11:08 am on Monday. On Jun 25, the company also divested its entire equity interest in ST Engineering LeeBoy, a US-based construction equipment manufacturer, for an estimated US$290 million. It also issued US$750 million of 4.25 per cent notes due 2030 via its subsidiary, ST Engineering RHQ, to bolster its capital structure and support future investments. 2. Hong Kong Land The property developer has made a comeback in the first half of 2025 with a YTD return of 49.2 per cent, after announcing that it would sell 147,025 square feet (sq ft) of One Exchange Square to Hong Kong's stock exchange operator for HK$6.3 billion (S$1.1 billion). This is in addition to the group's plans to launch a share buyback programme. Earlier on Mar 7, the company had posted a 44 per cent lower underlying profit of US$410 million for the financial year ended Dec 31, 2024, from US$734 million a year prior. The group, which is part of the Jardine-Matheson stable, has said that it is pivoting its business to focus on ultra-premium mixed-use commercial properties in Asia's 'gateway' cities. As at 11:10 am, shares of Hong Kong Land were trading 1.6 per cent or S$0.1 lower at S$6.24. 3. Sembcorp Industries The state-owned energy and urban development company came in as the third top-performing stock on the SGX, with a 33.6 per cent YTD return. The group has been developing various partnerships in the Asia region, as two commercial agreements involving Sembcorp Industries were inked during the 15th Singapore-Indonesia Six Bilateral Economic Working Groups Ministerial Meeting on Jun 15. Additionally, on Jun 12, the group's wholly owned renewables subsidiary Sembcorp Green Infra was awarded a 50 megawatt round-the-clock power project from Indian public-sector company Solar Energy Corporation of India. The subsidiary was also awarded a solar-energy storage hybrid project by SJVN, an Indian state-owned power company on May 29. Shares of Sembcorp were trading up 2.7 per cent, or S$0.19 at S$7.33 as at 11.10 am. 4. DFI Retail Group The pan-Asian retailer recorded a YTD return of 31.7 per cent, amid various divestments by the company in recent times. The company had sold Chinese supermarket operator Yonghui Superstores to low-cost retailer Miniso in late 2024, leading to an 18 per cent decline in underlying profit for Q1 2025 compared with the same period a year ago. This considering how the Shanghai-listed player contributed US$23 million in earnings in the corresponding period a year ago. The group also divested its 22.2 per cent stake in Robinsons Retail for an undisclosed sum on May 30. Since then, however, analysts from DBS have a 'buy' rating on DFI Retail, and raised its target price from US$3 to US$3.60 on Jun 9, in light of 'a stronger and more focused business strategy'. As at 11.12 am on Monday, shares in DFI Retail were trading 0.7 per cent or US$0.02 higher at US$2.90. 5. UOL Group The real estate player recorded a YTD return of 31.2 per cent, as it secured more tender wins and launched more developments in its joint venture projects. Its indirect subsidiary Qin Rui Jia (Shanghai) Realty Co had teamed up with China Jinmao Holdings Group on a 10:90 basis for the government land sales tender, which closed on Feb 27. Additionally, the group's joint Tampines project with Singapore Land and CapitaLand Development – Parktown Residence – began previews on Feb 7, with prices starting in the S$2,100 to S$2,300 per sq ft range. This comes after UOL's 60 per cent net profit decline to S$227.8 million for the six months ended Dec 31, 2024, though it saw growth across its key segments that drove a 16 per cent rise in revenue to S$1.5 billion for the period. Its shares were trading at S$6.40, 1.2 per cent or S$0.08 lower as at 11.14 am. 6. Jardine Matheson The Hong Kong-based conglomerate is in sixth place with a 26.9 per cent YTD return. This is good news for the group which had announced earlier on Mar 10 that it logged an 11.4 per cent decrease in underlying profit to US$1.5 billion for its full year ended Dec 31, 2024, from US$1.7 billion in the previous corresponding period. The group attributed the fall in profit to significantly lower contribution from Hong Kong-listed automotive dealership group Zhongsheng. The other drag on profit was due to reduced profit from Hongkong Land due to non-cash impairments it incurred from its build-to-sell segment on the Chinese mainland. Shares in Jardine Matheson were trading 0.02 per cent or US$0.01 lower at US$49.35, as at 11.16 am. 7. Singtel The local telecommunications giant had a 25.3 per cent return YTD, after returning to the black with a net profit of S$2.8 billion for its second half ended March, compared with a net loss of S$1.3 billion for the previous corresponding period. Singtel also authorised its first share buyback programme of up to S$2 billion on May 22. The programme, which will be delivered over the course of three years until financial year 2028, involves the purchase of shares in the open market that will subsequently be cancelled. It also incorporated its wholly owned subsidiaries in Singapore such as Singtel International Digital Services (IDS) and IDS Cloud during this period as well. The counter as at 11.16 am was trading at 0.3 per cent or S$0.01 lower at S$3.85. 8. Singapore Exchange (SGX) In eight position, SGX itself recorded a 20.7 per cent YTD return, after seeing various listings on the bourse in H1. Japanese telco Nippon Telegraph and Telephone (NTT) filed to list a real estate investment trust (Reit) on Jun 27 – possibly the largest S-Reit listing in ten years. Meanwhile, software services provider Info-Tech Systems closed at S$0.35, about 16.6 per cent above its initial public offering (IPO) price of S$0.30 on its first trading day on Jul 4. Automotive group Vin's Holdings (VH) also made its listing debut on Apr 15 on SGX this year, as the first IPO on the bourse in 2025. SGX's shares were trading at 0.3 per cent or S$0.04 higher at S$15.21 as at 11.16am. 9. Capitaland Integrated Commercial Trust (CICT) The largest Reit listed on the Singapore bourse had a 16.4 per cent return YTD. This comes after the manager of the trust on May 2 decided to sell its stake in the serviced residence component of CapitaSpring worth S$126 million, with the transaction expected to conclude in the second quarter of 2025. A week earlier, on Apr 25, CICT posted a 0.8 per cent dip in net property income of S$291.5 million for its first quarter of FY2025 from the same year-ago period. This came as revenue shrank 0.8 per cent on the year to S$395.3 million. Units in CICT were trading flat at S$2.20 as at 11.17am. 10. Keppel The asset manager recorded a 16 per cent YTD return thanks to successful green infrastructure tie-ups in H1, and the appointment of former DBS chief executive Piyush Gupta as deputy chairman and non-executive independent director of its board, effective Jul 1. Keppel partnered Asian Infrastructure Investment Bank on Jun 25 to facilitate up to US$1.5 billion worth of sustainable infrastructure investments and financing opportunities in the Asia-Pacific. The venture will last for an initial five-year period up to December 2030. Its infrastructure division will also work with Chinese tech giant Huawei International to design and develop solar photovoltaic systems and battery energy storage system technologies for interconnected power grids across South-east Asia, according to a company statement on May 13. The company on Jun 6 also said it will divest its stakes in a New-York based company and a logistics park in China to unlock more than S$80 million from the monetisation of non-core assets. As at 11.19 am on Monday, the counter was trading 0.3 per cent or S$0.02 lower at S$7.61.
Business Times
39 minutes ago
- Business Times
STI's top performing stocks for the first half year revealed
[SINGAPORE] The Singapore market has done well this first half of 2025, as investors flocked to safe havens amid volatility caused by tariff uncertainty and tensions intensifying in the Middle East. The Straits Times Index reached a new high of 4011.78 last Wednesday (Jul 2). As at Friday, the index has advanced nearly 6 per cent year to date (YTD) – comparable to that of the S&P 500, which is up by slightly over 6.7 per cent. Various Singapore Exchange (SGX)-listed counters such as Sembcorp Industries, UOL Group and DFI Retail Group recorded over 30 per cent YTD returns, and are within the top 10 performing stocks in the Straits Times Index. The trio of local banks – DBS, UOB and OCBC – however, are not within this list, as they take 18th, 19th and 20th place respectively, in terms of total returns YTD. YTD, these companies took the top 10 spots: 1. ST Engineering The technology, engineering and defence company had a strong run for the first half of this year, with a YTD return of 72.3 per cent, as the group recorded a surge of contract wins worth nearly S$4.4 billion in Q1. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up As such, this brought ST Engineering's order book to S$29.8 billion as at Mar 31. Some S$7.3 billion of these contracts are expected to be delivered this year. The group's commercial aerospace segment reportedly accounted for about S$1.3 billion of the new jobs, defence and public security S$2.7 billion, and the rest came from the urban solutions and satcom segment. Despite the ongoing tariff war, ST Engineering said on May 9 that it sees 'immaterial financial impact' for the group, but continues to monitor the 'evolving situation'. The counter was trading 0.3 per cent or S$0.02 lower at S$7.78, as at 11:08 am on Monday. On Jun 25, the company also divested its entire equity interest in ST Engineering LeeBoy, a US-based construction equipment manufacturer, for an estimated US$290 million. It also issued US$750 million of 4.25 per cent notes due 2030 via its subsidiary, ST Engineering RHQ, to bolster its capital structure and support future investments. 2. Hong Kong Land The property developer has made a comeback in the first half of 2025 with a YTD return of 49.2 per cent, after announcing that it would sell 147,025 square feet (sq ft) of One Exchange Square to Hong Kong's stock exchange operator for HK$6.3 billion (S$1.1 billion). This is in addition to the group's plans to launch a share buyback programme. Earlier on Mar 7, the company had posted a 44 per cent lower underlying profit of US$410 million for the financial year ended Dec 31, 2024, from US$734 million a year prior. The group, which is part of the Jardine-Matheson stable, has said that it is pivoting its business to focus on ultra-premium mixed-use commercial properties in Asia's 'gateway' cities. As at 11:10 am, shares of Hong Kong Land were trading 1.6 per cent or S$0.1 lower at S$6.24. 3. Sembcorp Industries The state-owned energy and urban development company came in as the third top-performing stock on the SGX, with a 33.6 per cent YTD return. The group has been developing various partnerships in the Asia region, as two commercial agreements involving Sembcorp Industries were inked during the 15th Singapore-Indonesia Six Bilateral Economic Working Groups Ministerial Meeting on Jun 15. Additionally, on Jun 12, the group's wholly owned renewables subsidiary Sembcorp Green Infra was awarded a 50 megawatt round-the-clock power project from Indian public-sector company Solar Energy Corporation of India. The subsidiary was also awarded a solar-energy storage hybrid project by SJVN, an Indian state-owned power company on May 29. Shares of Sembcorp were trading up 2.7 per cent, or S$0.19 at S$7.33 as at 11.10 am. 4. DFI Retail Group The pan-Asian retailer recorded a YTD return of 31.7 per cent, amid various divestments by the company in recent times. The company had sold Chinese supermarket operator Yonghui Superstores to low-cost retailer Miniso in late 2024, leading to an 18 per cent decline in underlying profit for Q1 2025 compared with the same period a year ago. This considering how the Shanghai-listed player contributed US$23 million in earnings in the corresponding period a year ago. The group also divested its 22.2 per cent stake in Robinsons Retail for an undisclosed sum on May 30. Since then, however, analysts from DBS have a 'buy' rating on DFI Retail, and raised its target price from US$3 to US$3.60 on Jun 9, in light of 'a stronger and more focused business strategy'. As at 11.12 am on Monday, shares in DFI Retail were trading 0.7 per cent or US$0.02 higher at US$2.90. 5. UOL Group The real estate player recorded a YTD return of 31.2 per cent, as it secured more tender wins and launched more developments in its joint venture projects. Its indirect subsidiary Qin Rui Jia (Shanghai) Realty Co had teamed up with China Jinmao Holdings Group on a 10:90 basis for the government land sales tender, which closed on Feb 27. Additionally, the group's joint Tampines project with Singapore Land and CapitaLand Development – Parktown Residence – began previews on Feb 7, with prices starting in the S$2,100 to S$2,300 per sq ft range. This comes after UOL's 60 per cent net profit decline to S$227.8 million for the six months ended Dec 31, 2024, though it saw growth across its key segments that drove a 16 per cent rise in revenue to S$1.5 billion for the period. Its shares were trading at S$6.40, 1.2 per cent or S$0.08 lower as at 11.14 am. 6. Jardine Matheson The Hong Kong-based conglomerate is in sixth place with a 26.9 per cent YTD return. This is good news for the group which had announced earlier on Mar 10 that it logged an 11.4 per cent decrease in underlying profit to US$1.5 billion for its full year ended Dec 31, 2024, from US$1.7 billion in the previous corresponding period. The group attributed the fall in profit to significantly lower contribution from Hong Kong-listed automotive dealership group Zhongsheng. The other drag on profit was due to reduced profit from Hongkong Land due to non-cash impairments it incurred from its build-to-sell segment on the Chinese mainland. Shares in Jardine Matheson were trading 0.02 per cent or US$0.01 lower at US$49.35, as at 11.16 am. 7. Singtel The local telecommunications giant had a 25.3 per cent return YTD, after returning to the black with a net profit of S$2.8 billion for its second half ended March, compared with a net loss of S$1.3 billion for the previous corresponding period. Singtel also authorised its first share buyback programme of up to S$2 billion on May 22. The programme, which will be delivered over the course of three years until financial year 2028, involves the purchase of shares in the open market that will subsequently be cancelled. It also incorporated its wholly owned subsidiaries in Singapore such as Singtel International Digital Services (IDS) and IDS Cloud during this period as well. The counter as at 11.16 am was trading at 0.3 per cent or S$0.01 lower at S$3.85. 8. Singapore Exchange (SGX) In eight position, SGX itself recorded a 20.7 per cent YTD return, after seeing various listings on the bourse in H1. Japanese telco Nippon Telegraph and Telephone (NTT) filed to list a real estate investment trust (Reit) on Jun 27 – possibly the largest S-Reit listing in ten years. Meanwhile, software services provider Info-Tech Systems closed at S$0.35, about 16.6 per cent above its initial public offering (IPO) price of S$0.30 on its first trading day on Jul 4. Automotive group Vin's Holdings (VH) also made its listing debut on Apr 15 on SGX this year, as the first IPO on the bourse in 2025. SGX's shares were trading at 0.3 per cent or S$0.04 higher at S$15.21 as at 11.16am. 9. Capitaland Integrated Commercial Trust (CICT) The largest Reit listed on the Singapore bourse had a 16.4 per cent return YTD. This comes after the manager of the trust on May 2 decided to sell its stake in the serviced residence component of CapitaSpring worth S$126 million, with the transaction expected to conclude in the second quarter of 2025. A week earlier, on Apr 25, CICT posted a 0.8 per cent dip in net property income of S$291.5 million for its first quarter of FY2025 from the same year-ago period. This came as revenue shrank 0.8 per cent on the year to S$395.3 million. Units in CICT were trading flat at S$2.20 as at 11.17am. 10. Keppel The asset manager recorded a 16 per cent YTD return thanks to successful green infrastructure tie-ups in H1, and the appointment of former DBS chief executive Piyush Gupta as deputy chairman and non-executive independent director of its board, effective Jul 1. Keppel partnered Asian Infrastructure Investment Bank on Jun 25 to facilitate up to US$1.5 billion worth of sustainable infrastructure investments and financing opportunities in the Asia-Pacific. The venture will last for an initial five-year period up to December 2030. Its infrastructure division will also work with Chinese tech giant Huawei International to design and develop solar photovoltaic systems and battery energy storage system technologies for interconnected power grids across South-east Asia, according to a company statement on May 13. The company on Jun 6 also said it will divest its stakes in a New-York based company and a logistics park in China to unlock more than S$80 million from the monetisation of non-core assets. As at 11.19 am on Monday, the counter was trading 0.3 per cent or S$0.02 lower at S$7.61.
Business Times
2 hours ago
- Business Times
Germany's 34.1 billion euros pension gives mandate to China stock fund
[HONG KONG] A German pension fund has tapped a Chinese firm's Hong Kong arm to help it invest in local stocks, in a rare move among global allocators that have been cautious about gaining exposure to the nation's equities. KZVK, which manages 34.1 billion euros (S$51 billion), gave US$50 million to Fullgoal Asset Management (HK) in the second quarter, according to sources with knowledge of the matter. The mandate is to invest in Chinese equities listed in Hong Kong, the mainland and the US, the sources said, asking not to be identified as the information is private. Stocks in China and Hong Kong have seen modest gains following a series of economic stimulus measures since September. But the sharp sell-off in recent years – fuelled by regulatory crackdowns, an economic slowdown and geopolitical tensions – caught many long-term allocators off guard. As a result, analysts note that most China public market mandates are renewals rather than new allocations. 'We have not observed a significant trend of European and US asset owners allocating mandates to Greater China,' said Cameron Systermans, head of multi-asset for Asia at consulting firm Mercer. 'This aligns with our current recommendations to clients, to construct equity portfolios without long-term strategic tilts towards individual countries.' Despite the mandate, KZVK has maintained a low exposure to China. The pension is underweight China relative to the size of its economy and market capitalisation, management board member Oliver Lang said in an interview published in May by Investment & Pensions Europe. The Hong Kong manager is a unit of Shanghai-based Fullgoal Fund Management, which oversees about US$200 billion in assets and counts Canada's Bank of Montreal as a shareholder. Its Hong Kong arm manages around HK$30 billion (S$4.9 billion), one of the sources said. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Cologne-based KZVK, whose full name is Kirchliche Zusatzversorgungskasse des Verbandes der Diozesen Deutschlands, manages funds for more than 240,000 pensioners. Large global institutions, when investing in emerging markets, tend to make a minimum allocation of US$50 million, according to a 2024 survey by Representatives for KZVK did not reply to requests for comment. A spokesperson for Fullgoal Fund declined to comment. Meanwhile, assets are flowing to other parts of Asia. The number of ex-China equity funds has surged in recent years, with record launches in 2023 and 2024, according to a report published last week by Morningstar. Such funds accumulated an unprecedented US$10.5 billion in net new capital last year. 'The regulatory crackdowns and governance issues, rising geopolitical tensions around the world, and economic uncertainty in China since the Covid-19 pandemic have unsettled investors,' Mathieu Caquineau, a senior principal for equity strategies ratings at Morningstar, wrote in the report. That is 'fuelling the appeal of ex-China offerings.' BLOOMBERG
