MBCSHCL@EC2611A

The theme of state-owned enterprise (SOE) consolidation is becoming increasingly clear in the Hong Kong stock market 🚢

Expectations for asset consolidation within the COSCO Shipping Group are strong, with historical premiums for central SOE mergers reaching 20-30%.

The logic for Shanghai Electric's equipment manufacturing consolidation exists, and its low regulatory risk is actually an advantage.

The possibility of privatization for COFCO Packaging's consumer packaging segment is worth watching.

Overall, it is recommended to participate via the underlying shares; options lack sufficient liquidity. Watch for signals during the 90-day policy window period for central SOE mergers.

$COSCO SHIP HOLD(01919.HK) has become a bit interesting again recently. Any movement from Trump's side can affect port freight rates. Honestly, such short-term stimulus, purely chasing rallies based on news, is a bit too much for the heart, but it really hurts to miss out on this wave. However, shipping is still a cyclical stock. The right approach is probably to trade less and watch more.

$CKH HOLDINGS(00001.HK) Bloomberg cited sources reporting that Chinese shipping companies are in talks to join a consortium seeking to acquire CK Hutchison's (0001) port assets. This move aims to alleviate Beijing's concerns about this controversial deal.

The report cited sources stating that China COSCO Shipping Corporation $COSCO SHIP HOLD(01919.HK) and several other companies are in discussions with a consortium led by Terminal Investment Ltd. regarding the potential stake held by Chinese investors. The consortium also includes U.S. company BlackRock and its subsidiary Global Infrastructure Partners.