Yan Palace Flocks to Shanghai as China’s First Bird’s Nest Stock

The maker of products using the traditional Chinese health food hopes to become the first in its class to go public, but faces growing competition from smaller rivals Key Takeaways: Yan Palace has filed for a Shanghai IPO that would make it the first listed maker of health food products based on traditional bird nests China’s securities regulator asked the company to elaborate on its business model and competitive strategies, as fierce competition has led to steep price cuts By Lau Ming Bird’s nest soup has long been a Chinese…

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Facing Double Whammy in India, Will Xiaomi Look Home for Comfort?

Smartphone maker could face major difficulties in the important Indian market after $725 million worth of its assets were reportedly frozen due to a tax dispute Key Takeaways: Xiaomi has been accused of tax evasion in India, though the company claims its activities complied with local laws Ban of company’s local apps is dealing a second blow to Xiaomi in India, leading some to predict it could switch its focus back to its home Chinese market By Ken Lo Beware the dangers of operating in a foreign land – especially…

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Texhong Eyes Vietnam in World of Diversifying Supply Chains

Leading cotton yarn and fabric maker prepares to launch major new facility in Southeast Asian nation, following the textile industry’s diversification from China Key Takeaways: Texhong is preparing to launch a major facility in Vietnam that will sharply boost its fabric production to complement its larger cotton yarn business Company now manufactures nearly 40% of its output in the Southeast Asian nation and is one of the biggest U.S. cotton buyers in the world. By Doug Young Recent Covid lockdowns that have paralyzed business and festering trade tensions have sent…

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Oriental Culture Builds Up Lively Business on Art, Wine and Tea Traders

Young company has carved out a comfortable niche in C2C e-commerce, fueling triple-digit growth in both revenue and profits last year Key Takeaways: Oriental Culture’s revenue doubled last year to $37.6 million, while its profit soared more fivefold to $11.4 million on a post-Covid rebound Company is trying to create more digital products and services with recent initiatives in blockchain, the metaverse and non-fungible tokens By Doug Young When it comes to the latest high-tech buzzwords, it seems investors like blockchain and the metaverse, but are less excited about non-fungible…

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China’s Self-Dubbed ‘Fruit McDonalds’ Seeks Juice from Hong Kong IPO

Shenzhen Pagoda reportedly hopes to raise $500 million, aiming to attract investors with its booming online business Key takeaways: China’s biggest fruit retailer Shenzhen Pagoda has filed for a Hong Kong IPO, following two previous failed attempts to list in Hong Kong and on the mainland’s A-share market Company’s online retail sales have helped keep revenue growing despite pandemic store closures, but are also dragging on profits By Li Yaoyao and Jony Ho Online distribution channels can help traditional retailers boost their revenues. But getting a similar boost for their…

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Drone Giant DJI’s Russia Halt Pressures Other China Big-Techs

The top maker of pilotless flying devices has suspended its activities in Russia and Ukraine, becoming the first Chinese company to make such a move Key Takeaways: DJI has halted its Russia and Ukraine business and will reassess requirements in different legal jurisdictions, following wide-ranging western sanctions on Russia Other Chinese companies facing similar dilemmas include Alibaba, Lenovo, Huawei and Xiaomi By Tina Yip Russia has quickly become a wasteland for western tech brands, with names like Apple (AAPL.US), HP (HPQ.US) and Dell (DELL.US) all suspending local operations after the…

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Full Truck Alliance Shifts Up a Gear on Regulatory Easing Reports

Trucking app operator’s shares have surged 32% over the last two trading days, even as it forecast Omicron disruptions could cause its business to contract in the second quarter Key Takeways: Full Truck Alliance shares are up 60% from a mid-March low, including a 32% gain since Friday, on reports that Beijing may ease its regulatory oversight of big tech companies Company is currently undergoing a data security review and said its business could contract in the second quarter due to Omicron-related disruptions By Doug Young When are mass disruptions…

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Vaping Leader RLX Gets Doused by Latest Regulatory Wave

China has unveiled new rules banning flavored vapes and taken steps to standardize e-cigarettes in new efforts to bring more order to the sector Key Takeaways: Shares of RLX and its peers fell sharply last month after China’s tobacco regulator announced a new ban on flavored vapes starting in May The group got a small boost earlier this month after the country’s market regulator announced new national standards for e-cigarettes By Judy Yang Life isn’t getting any easier lately for China’s vibrant field of vaping companies, which are facing a…

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E-House Comes Unhinged in China’s Real Estate Crash, Joining List of Victims

Property services provider’s shares are nearly worthless after it became the latest from its sector to default on debt Key takeaways: •      E-House defaulted on $298 million worth of bonds that matured April 18, though it said this week that bondholders had agreed on a restructuring plan •      The company’s default adds to a string of similar missed payments by Chinese developers amid a deepening slump in the nation’s property market By Warren Yang China’s deepening real estate crash is generating a fast-growing cluster of fallen stars. The latest casualty…

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Chindata Potentially Up for Sale as M&A Heats Up in China Data Centers

Chinese rival GDS and U.S. peer EdgeConneX are reportedly considering bids for the smallest of China’s three independent data center operators Key Takeaways: Data center operators GDS and EdgeConneX have reportedly expressed interest in making bids for Chindata Chindata’s control by U.S. private equity giant Bain and the recent departure of its founder may make it ripe for such a buyout By Doug Young    After a turbulent year that saw their stocks lose more than half their value, China’s small field of independent data center operators has suddenly become…

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