Biz scene
MARKET
Hong Kong IPO
Chongqing Machinery & Electric Co, the largest diversified industrial company in West China, may raise as much as HK$1.71 billion from a Hong Kong initial public offering.
The producer of machinery, including vehicle parts and power equipment, is offering 1 billion new shares, or a 27.3 percent stake, at HK$1.30 to HK$1.70 each. It may expand the sale by another 150.7 million shares. Credit Suisse Group is managing the sale.
GRAPEVINE
Fuel surcharge
China Southern Airlines Co and Hainan Airlines Co plan to increase fuel surcharges on international flights by 33 percent to pass on the higher fuel costs to customers, the Oriental Morning Post said, citing unidentified ticketing agents.
The levy would be boosted to 800 yuan per ticket from 600 yuan starting June 1, the report said yesterday. It would be the second increase since Jan 1, when the fee was raised by 30 percent, according to the report.
Share sale plan
Shanghai Forte Land Co is poised to sell A shares through an initial public offering to raise 1.58 billion yuan to fund developments, the South China Morning Post reported yesterday, citing unidentified sources.
The developer plans to sell 632 million shares at 10 percent lower than its Hong Kong-listed shares and the China Securities Regulatory Commission will review the application next month, the report said.
BIZ UNUSUAL
Old is gold
Chen Jinglin, from Chongqing, has opened a unique housekeeping company, staffed with the elderly, mostly in their 50s. Chen realized young parents are too busy to look after their children, especially in the big cities. Retired couples, on the other hand, often have no idea what to do with their ample time. It then struck Chen that a venture bringing the two together would make great business sense. The company charges a commission of about 200 yuan per family, and is rapidly gaining popularity.
Fish massage
Southser Loong Palace, a Beijing-based massage center, has replaced masseurs with fish. These "pet mermaids" are from the South China Sea and are said to be naturally drawn to human skin. When they come in contact with human bodies, they discharge a certain substance that's beneficial for skin and cures arthrosis. They also help accelerate blood circulation.
"The special massage is quite popular, and every fish tub for foot massage can turn in a profit of 500 yuan per day," said Jiang, the company's founder.
Furniture maintenance
The growth of luxury furniture has spurred a new career in Beijing - that of furniture housekeeping. Macalline, a furniture mall in Beijing, is delivering individual furniture maintenance services to its VIP clients. The mall selected 10 girls from 200 candidates in Sichuan province who have college educations and are skilled in household maintenance, color matching and interior decoration.
"If the service picks up in Beijing, we'll invest 5 million yuan to train 5,000 housekeepers in the next five years and spread the service countrywide," said Shen Yaojun, manager of Macalline.
LOCAL
Hourly wages up
The indicative hourly wages in Shanghai - in retail, housekeeping, restaurant, wedding, and fitness and entertainment sectors - has been on an upswing in the first half of the year, according to the Shanghai labor and social security office.
Based on the survey of 11,000 workers paid by the hour in 136 types of jobs, the indicative wages for the masters of wedding ceremonies came out on top: 1,600 yuan per hour, 300 yuan more than that in the latter half of last year.
Coal projects
The Inner Mongolia autonomous region plans to launch 12 projects using pulverized coal as a wall-building material during the 11th Five-Year Planning Period (2006-10).
Currently, 4,667 hectares of land in the autonomous region are devoted to storing pulverized-coal reserves, and emissions from pulverized coal reach up to 20 million tons annually.
Inner Mongolia is the country's main thermal power-production base, and its current utilization ratio of pulverized coal is only 40 percent.
(China Daily 05/27/2008 page15)
