Bilibili Enters Live-Streaming E-Commerce; Weibo's Hong Kong Listing Plunges on Debut

Highlights

1. Weibo listed on the Hong Kong stock market today, opening below the issue price

Today, Weibo officiallyListed on the Main Board of the Hong Kong Stock Exchange,The stock price fell below the offering price at the opening of the first trading day, currently down 6.09%, trading at HK$256.2 per share, with an issue price of HK$272.80 per share. Weibo previously went public on NASDAQ in April 2014. After seven years, it has initiated a secondary listing in Hong Kong at the end of this year. The joint sponsors for this offering include Goldman Sachs, Credit Suisse, CITIC Securities, and CICC, with the final offering price set at HK$272.80 per share.

Global Market

1. U.S. stocks rose collectively, and popular Chinese concept stocks closed generally higher.

The Dow Jones Industrial Average rose 1.4% to 35,719.43 points, the S&P 500 Index surged 2.07% to 4,686.75 points, and the Nasdaq Composite Index climbed 3.03% to 15,686.92 points. Apple increased by 3.54%, Amazon rose 2.8%, Netflix gained 2.1%, Google went up 2.87%, Meta (formerly Facebook) advanced 1.55%, Microsoft grew 2.68%. Most popular Chinese stocks also saw gains: Secoo surged 29.87%, Xiaoying Technology rose 18.69%, CBAK Energy Technology Inc. climbed 16.37%, Waterdrop increased by 14.68%, Pinduoduo jumped 12.53%, Bilibili rose 7.3%, iQIYI gained 7.21%, JD.com rose over 3%, while Alibaba and Baidu both increased by more than 1%.

2. Faraday Future: The company has accumulated losses of approximately $2.8 billion, with sufficient cash to last until the FF91 goes into production.

Faraday Future held a conference call, estimating that the company's cumulative losses will reach approximately $2.8 billion as of September 30. It is expected to continue generating significant operating losses in the foreseeable future. However, its CEO stated that there is sufficient funding to complete the FF91 project, with the production launch target still set for July 2022.

3. Japan to Establish "Metaverse" Association

Japan's crypto asset (virtual currency) exchange platform FXCOIN and others will establish a metaverse industry group within this week. The related group will collaborate with administrative agencies such as the Financial Services Agency to initiate market construction, aiming to make Japan a developed country in the metaverse. The industry group to be established is named "General Incorporated Association Japan Metaverse Association."

4. Reports say Apple was forced to lower its total production target for 2021

According to Nikkei, Apple was forced to cut its total production target for 2021. The production of the iPhone 13 series in September and October fell 20% compared to the previous plan. Apple’s production of the iPhone 13 by the end of this year will be only 83 to 85 million units, far below the target of 95 million units. Despite accelerating production in November, the output is still about 15 million units short of Apple's goal of 230 million iPhones for this year. (Cailian Press)

5. Meta Plans to Sell Goods Directly Through Facebook and Other Apps Next Year

Internal documents show that, affected by Apple's new privacy policy, Meta, the parent company of Facebook, plans to start selling more products directly through its apps such as Facebook, Instagram, and Messenger next year. Dan Levy, Vice President of Meta’s advertising and business platform, said that the company aims to transform its applications into major destinations for commerce. (Sina Tech)

6. Ford China Confirms CATL as Power Battery Supplier

Ford Motor's Chief Operating Officer Lisa Drake recently announced that five companies, including CATL, BYD, and Panasonic, have been selected as battery suppliers for Ford. A senior executive of Ford China confirmed that CATL has started supplying batteries to Ford. CATL stated, "The customer's statement is accurate." (Cailian Press)

Domestic Market

1. Three major indices post mixed performance; multiple power sector stocks hit upper limit

The Shanghai Composite Index closed up 0.16% at 3595.09 points, the Shenzhen Component Index closed down 0.38% at 14697.17 points, the ChiNext Index closed down 1.09% at 3368.78 points, and the CSI 300 closed up 0.6% at 4922.1 points. In terms of sectors, the power sector surged in the afternoon, with Gansu Electric Investment among others hitting the daily limit, while real estate, tourism, coal, and liquor also saw significant gains. Lithium batteries, semiconductors, automobiles, chemicals, non-ferrous metals, and military industries plummeted. Over 60 stocks in the two markets rose by 10% or more. Northbound funds net purchased 7.949 billion yuan, marking the fifth consecutive day of net buying, with a turnover of 125.53 billion yuan, accounting for 10.53% of the total turnover of A-shares.

2. The Hang Seng Index opened high and continued to rise, closing up 2.72% on the day.

Hang Seng Index opened high and continued to rise, closing up 2.72% at 23,983.66 points; the Hang Seng China Enterprises Index rose by 252.35 points, closing at 8,527.12 points, with an increase of 3.05%; the Hang Seng Tech Index closed strongly up by 4.21%, at 5,968.50 points. The constituent stocks showed significant gains. Among them, Mingyuan Cloud closed up 15.37% at HK$22.15; Alibaba-SW closed up 12.25% at HK$126.50, marking the largest single-day gain since its listing; Baidu Group-SW closed up 9.79%, Trip.com Group-S closed up 9.54%, and China Literature closed up 7.47%. In addition, Kingdee International, Kingsoft Software, Bilibili-SW, Alibaba Health, Kuaishou-W and other individual stocks also rose by more than 5%.

Northbound funds net purchased 7.949 billion yuan, marking the fifth consecutive day of net buying. China Ping An, China Merchants Bank, and CITIC Securities received net purchases of 534 million yuan, 532 million yuan, and 518 million yuan respectively. Contemporary Amperex Technology (CATL) topped the list for net selling, with an amount of 662 million yuan.

3. Yesterday, 74 new confirmed cases were reported, including 44 local cases.

According to the official website of the National Health Commission, from 0 to 24 o'clock on December 7, 31 provinces (autonomous regions, municipalities) and the Xinjiang Production and Construction Corps reported 74 new confirmed cases. Among them, 30 cases were imported from overseas (8 cases in Shanghai, 8 cases in Guangxi, 3 cases in Fujian, 3 cases in Guangdong, 3 cases in Sichuan, 3 cases in Yunnan, 1 case in Tianjin, 1 case in Shaanxi), including 4 cases converted from asymptomatic infections to confirmed cases (3 cases in Sichuan, 1 case in Guangxi); There were 44 local cases (34 cases in Inner Mongolia, all in Hulunbuir City; 8 cases in Zhejiang, including 5 cases in Ningbo City, 2 cases in Hangzhou City, and 1 case in Shaoxing City; 1 case in Heilongjiang, in Harbin City; 1 case in Shanghai, in Pudong New Area), including 1 case converted from an asymptomatic infection to a confirmed case (in Inner Mongolia). No new deaths were reported. One new suspected case was reported, which was an imported case from overseas (in Shanghai).

4. China's Total Import and Export Value Increased by 22% Year-on-Year in the First 11 Months

According to statistics, in the first 11 months of this year, China's total import and export value was 35.39 trillion yuan, increasing by 22% year-on-year and 24% compared with the same period in 2019. Among them, the export was 19.58 trillion yuan, increasing by 21.8% year-on-year and 25.8% compared with the same period in 2019; the import was 15.81 trillion yuan, increasing by 22.2% year-on-year and 21.8% compared with the same period in 2019; the trade surplus was 3.77 trillion yuan, increasing by 20.1% year-on-year.

5、 New Sub-fund of National SME Development Fund with a Scale of 5 Billion Yuan Signed and Landed

Two New Sub-Funds of the National SME Development Fund Signed Recently, with a Total Committed Scale of 5 Billion Yuan

6. BOYLONDON to Close Tmall Official Flagship Store

British streetwear brand BOYLONDON to officially shut down its Tmall flagship store with 1.83 million followers on December 31st. A clearance sale is currently underway, with the store page displaying "Store closure clearance, limited-time sell-off, nothing left behind." The store’s customer service assistant stated that after the official closure, returns and exchanges will still be honored as usual.

7. WeChat Video Channel Launches Creator Incentive Program to Support 10 Million Original Creators

WeChat Officially Launches "Channels Creator Incentive Program"

8. B Station is rumored to enter the live streaming e-commerce market

Reports suggest that Bilibili is preparing to launch the "Little Yellow Cart" feature in live streaming rooms, allowing users to shop while watching live streams. It is reported that Bilibili has already reached agreements with some UP hosts and brands, essentially completing the first round of merchant recruitment. The grayscale testing will be carried out soon, and users may be able to experience the feature within a week. Bilibili will provide traffic support to UP hosts who are among the first to try live commerce. Another source close to Bilibili confirmed that the launch of the Little Yellow Cart is still in the small-scale internal testing phase.

9. Tencent and SenseTime jointly establish a network partnership enterprise

Recently, Shanghai Xinhujiao Network Partnership (Limited Partnership) was established, with Shanghai Songyu Financial and Tax Consulting Co., Ltd. as the executive partner. The business scope includes network technology services, information technology consulting services, and internet data services. Partner information shows that the enterprise was jointly established by Shenzhen Tencent Industrial Venture Capital Co., Ltd., Shanghai SenseTime Technology Development Co., Ltd., Oriental Cable Network Co., Ltd., and others.

10. Lei Jun Exits as Legal Representative of Xiaomi Technology Wuhan Company

Recently, Xiaomi Technology (Wuhan) Co., Ltd. underwent a business registration change. The legal representative was changed from Lei Jun to Zeng Xuezhong, while Lei Jun stepped down from his positions as executive director and general manager. Xiaomi Technology (Wuhan) Co., Ltd. was established in September 2017 with a registered capital of 210 million RMB. The company is wholly owned by Xiaomi Communications Technology Co., Ltd.

11. OPPO to Launch Its First Self-Developed Chip, Likely a 6-Nanometer NPU

OPPO's First Self-Developed Chip to be Positioned as an Independent NPU (Neural Processing Unit), Release Likely Next Week. An internal OPPO source told 36Kr: "The chip was taped out in June, but it hasn't been announced until now." He stated that this self-developed chip is manufactured using TSMC’s 6nm advanced EUV process technology. Currently, OPPO's chip team has over 2,000 members, with most R&D personnel coming from Qualcomm and Intel. (36Kr)

12. Douyu Co-founder Zhang Wenming Resigns

Douyu Announces that Zhang Wenming Resigns as Director and Co-CEO of the Company for Personal Reasons, Effective Immediately. Meanwhile, Douyu's Board of Directors Appoints Deng Yang, Vice President in Charge of Legal Affairs, as a Director of the Board, and Su Mingming, Director and Chief Strategy Officer, as a Member of the Board's Compensation, Nomination, and Corporate Governance Committee, Both Effective Immediately.

IPO/Major Deals

1. The "Most Expensive New Stock" in A-Share History: Hemei Co., Ltd. Sets Issue Price at 557.8 Yuan per Share

Hemai Co., Ltd. disclosed in its announcement of the initial public offering that the company has finalized the offering price at RMB 557.8 per share. This offering price surpasses Yisheng Biotech, which went public in August this year, setting a new record for the highest IPO price in the A-share market. Hemai Co., Ltd. will conduct its subscription on December 9. The company mainly engages in microinverters and monitoring equipment, with products widely used in the global distributed photovoltaic power generation systems field.

2. Intel Announces Plan to Propel its Autonomous Driving Company Mobileye for Independent IPO

Intel Corporation announced plans to drive Mobileye's U.S. IPO through an initial public offering in mid-2022, a move that has received full support from the company’s board of directors. Intel will remain the majority shareholder of Mobileye. In 2021, shipments of Mobileye's EyeQ® system-on-chip surpassed 100 million units.

3. Volkswagen Prepares for Porsche Brand IPO

According to the German Business Daily, Volkswagen is preparing for the Porsche brand IPO.

4. Largest IPO in South Korea: LG Energy Solution Seeks $12.75 Trillion IPO

South Korean动力电池 giant LG Energy Solution seeks to carry out an IPO worth 12.75 trillion won (approximately 10.8 billion US dollars), making it the largest IPO in South Korea. LG Energy Solution was established in December 2020, spun off from LG Chem's battery business. In the October global动力电池 installation ranking published by South Korean market research firm SNE Research, the company ranked second, behind China's CATL.

5. ZHOU Ling Medical Completes Tens of Millions of Yuan in Pre-A Round Financing

Zhouling Medical Announces Completion of Tens of Millions of Yuan in Pre-A Round Financing, Led by Shunwei Capital, with Follow-up Investments from CASSTAR and Blue Ocean Capital. The funds will be mainly used for the research and development of Zhouling Medical's electrophysiology product series, clinical trials, new product layouts, and the establishment of a cutting-edge technology platform in the industry.

6. Psychological Product "Hope" Completes Millions in Angel+ Round Financing

Psychology Product "hope" Recently Secures Millions in Angel+ Round Funding, Invested by a Well-Known Angel Investor; This Round of Financing Will Mainly Be Used for Product Development and AI Algorithm Optimization. Launched in 2017, hope is a psychology product focused on the spiritual support and mental growth of Generation Z. Currently, the user base of hope has grown approximately twofold since the beginning of the year, with post-2000 users accounting for 90%.

7. Conba: A consortium of 5 companies intends to acquire 42% equity of ZSM

Conba Pharmaceutical announced that as of December 1, the qualified potential transferee identified under this transaction is a consortium composed of five companies, including Beijing Huagai Xincheng Yuanhang Medical Industry Investment Partnership (L.P.) and Guangdong Zhongsheng Pharmaceutical Co., Ltd. The aforementioned transferees intend to acquire 30%, 4.75%, 4%, 2.5%, and 0.75% of ZSM's equity, respectively, through public bidding at the Zhejiang Property Exchange, totaling a 42% stake in ZSM, with a proposed total transaction value of RMB 1.68 billion. According to the company’s preliminary estimates, if this equity transfer is completed at the listed reserve price, it is expected to increase the company's net profit by approximately RMB 2.3 billion.