Year I - Number 42 - Tuesday May 29, 2012 Editor-in-chief: Tiago Azevedo Deputy editor-in-chief: José I. Duarte MOP 6.00
Govt urged to rethink telecoms network Page 4
‘INSIDER’ TRADING STIFLING COMMERCIAL PROPERTY MARKET
Worker wage pledge for when firms go bust Page 7
IPOs: HK proposes class actions
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ommercial properties are bought and sold in Macau by insiders without the assets ever coming onto the open market, several institutional investors have told Business Daily. That means it’s impossible for outsiders to
New casino patent war turns on court papers What may be a misunderstanding over court paperwork could lead to gaming equipment supplier Shuffle Master being charged with ‘disobeying’ Macau customs. It follows a new flare up of the long-running patent war between Shuffle Master and Macau firm LT Game. That happened during Global Gaming Expo Asia last week. The Customs Service has accused Shuffle Master of ignoring its instructions and a Macau court order by removing covers from its Rapid electronic multi-game during the show. Shuffle Master says it had the court’s permission.
compete on price by offering a higher bid. But many overseas investors would urgently like to get into the Macau property game. Annual capital appreciation for certain grades of property reached 20 percent in 2011 according to some reports. One of the institutional investors spoken to by Business Daily – Platinum Asset – does manage a diverse group of properties in Macau and is in talks with Matrix Asset Management in the United Kingdom about investment here. “The UK market generates stable yields. However, capital appreciation is much faster in Asia,” Platinum Assets’ Joe Liu said. “The big money for property funds comes from retail and office spaces. Residential properties are there to balance the
portfolio,” he said. “However, a lot of the commercial properties are not transacted in the open.” According to media reports commercial property here appreciated by 20 percent in value in 2011 – an estimate Mr Liu finds conservative. “Some commercial and retail deals have gone up 20 percent in a few weeks after being transacted off the market,” he said. “Many of these properties are sold quickly to someone the property agent already knows, and the deal might be done overnight, so the supply is very tight,” he said. His company intends to fill the gap by brokering more crossborder deals. More on pages 2 & 3
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HANG SENG INDEX
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Letter activists told zip it for now
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Activists were prevented from handing in a letter questioning the integrity of Secretary for Transport and Public Works Lau Si Io and his cabinet yesterday. It related to the La Scala land featured in the latest corruption trial of Mr Lau’s predecessor Ao Man Long.
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May 28
HSI - Movers
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Name
Govt bins plans for waste tender
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www.macaubusinessdaily.com
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The government has renewed the territory’s waste management contract – pushing back a long-promised public tender by another year. The incumbent – Macau Waste Systems Company (CSR) – is a joint venture by Hong Kong’s Swire SITA Waste Services Limited, and local company, H. Nolasco. A director of the latter, Frederico Marques Nolasco da Silva, and two former directors of CSR have been jailed for bribing disgraced secretary for Transport and Public Works, Ao Man Long.
Pages 8 & 9
%Day
CHINA OVERSEAS
4.06
CHINA RES LAND
3.36
CITIC PACIFIC
2.88
WHARF HLDG
2.87
BANK OF CHINA-H
2.45
BANK EAST ASIA
-0.95
WANT WANT CHINA
-0.98
POWER ASSETS HOL
-1.18
TINGYI HLDG CO
-1.44
TENCENT HOLDINGS
-1.57
Source: Bloomberg
Vacant pause – workforce drops 1,600
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Macau’s workforce fell by 1,600 in April – but it’s not clear how many of them left town, retired or simply gave up looking for work. What is clear is that Macau’s labour squeeze is still chronic and needs urgent improvement. As we reported yesterday, the restaurant trade is struggling to fill 15 percent of its vacancies.
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2012-5-31
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