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Auto

Volkswagen to gain from drivers' switch

Volkswagen AG and fellow German automakers Bayerische Motoren Werke AG and Daimler AG could benefit as more than 90 million Chinese car owners switch vehicles in the next few years because they're the preferred choice of the country's drivers, a study has found. About 40 percent of Chinese car owners plan to swap their domestic-brand cars for a Volkswagen, while almost 90 percent of those looking to upgrade are picking Volkswagen's Audi, BMW, or Mercedes-Benz cars, the Boston Consulting Group said in a research report.

Company

Suitcase firm opens largest store in Beijing

Rimowa, the German suitcase maker, has opened what it is calling its largest global story, in Beijing

The company already has 55 sites in the country, but the new 3-story building on the capital's Huamao Shopping Street promises to be something special, said Dieter Morszeck, its president and chief executive.

Designed similar to its suitcase's characteristic groove structure, Morszeck said the 660.5 sq m site marked an "important milestone" for the company in China".

The store includes a VIP zone on its second floor, where customers can enjoy having their new suitcase custom-painted.

Gazprom to sign contract with China

Russian energy giant Gazprom plans to sign a 30-year gas supply contract with China via the western route, the company's CEO Alexei Miller said. "Gazprom plans to sign a contract to supply China with 30 billion cubic meters of natural gas via the western route over 30 years," Miller told President Vladimir Putin during their meeting on Sept 18. The China-Russia West Route natural gas pipeline project connects gas deposits in western Siberia and the northwestern part of China via Russia's Altai region. Gazprom is expected to sign the 30-year contract with China National Petroleum Corp in November.

M&A

DMG eying acquisitions in foreign markets

DMG Entertainment, the Chinese film and TV company that helped make Iron Man 3, is seeking acquisitions and co-production deals in Hollywood as part of an expansion that includes a share listing in its home country. "There are some major acquisitions that we will be announcing that are in the works," said Dan Mintz, the New York-born chief executive officer of DMG Entertainment. The Beijing-based production company is working on US investments totaling more than $100 million.

Finance

Agriculture M&As hit new high of $9.8 billion

Merger and acquisition deals in China's agriculture sector have reached a record $9.8 billion so far this year, a seven-fold jump from 2013, according to international financial software company Dealogic Plc. Statistics released by the company showed that Chinese enterprises had made 27 deals in the field of agriculture until last month, with several being overseas deals, reported the Economic Information Daily.

Invesco plans local govt bond trading in China

Invesco Ltd is applying to trade China's local government bonds directly, betting that investing in the debt will allow it to skirt volatility from rising interest rates in the US while getting higher yields. China surpassed France, Italy and the United Kingdom this year to become the third-largest bond market in the world, behind only Japan and the US.

China Daily-Agencies

(China Daily European Weekly 09/26/2014 page18)