iBonds demand mostly met

iBond subscribers who have applied for 44 units or less will be allocated the full amount of bonds applied for, the government said on Tuesday.

A total of 155,835 valid applications were received for a total of HK$13.2 billion worth of iBonds, exceeding the final issue amount of HK$10 billion, the government said.

Of the total valid applications, 150,869 have applied for no more than 44 units and will be awarded the full amount, the government said.

China Resources project to cost $3.1b

China Resources Land Ltd said the investment cost for its hotel and mall development in Qingdao in Shandong province will cost 20 billion yuan ($3.1 billion).

The development has a buildable area of 1.2 million square meters, Zhu Cuifang, a media officer at the company's Shandong unit, said by phone.

The Hong Kong Economic Times reported on Tuesday that the developer plans to invest HK$20 billion in the project, without saying where it got the information.

BYD wins 300 electric-car order

BYD Co said it won an order to provide 300 electric-power e6 cars for the 2011 International Universiade Games in Shenzhen, according to an e-mailed statement on Tuesday. The company will also provide 200 electric buses for the games, the statement said. The cars and buses will be used for public transportation after the event, which will held next month.

Lenovo gains EU clearance to buy

Chinese computer maker Lenovo secured EU approval on Tuesday to purchase German electronics retailer Medion AG to reinforce its presence in Europe.

The acquisition, which values Medion at up to $900 million, is Lenovo's biggest since its takeover of IBM's PC business six years ago.

The combined compamy will have a 7.5 percent share of the western European PC market. The European Commission said in a statement that the deal would not hinder competition.

"The Commission's assessment revealed that Lenovo and Medion combined market shares are generally moderate and that a number of credible competitors will remain active for those products," the European Union executive said.

Stocks rise on earnings optimism

Hong Kong stocks surged on Tuesday as China's biggest Internet company by market value posted second-quarter profit that beat analyst estimates, boosting China-related stocks ahead of more earnings results this week.

The Hang Seng Index (HSI) rose 1.3 percent to 22572.08 at the close. The Hang Seng China Enterprises Index advanced 1.3 percent to 12604.68.

China Mobile climbed 1.8 percent to HK$78.10. China Overseas rose 2.2 percent to HK$16.78 and Tencent Holdings Ltd gained 1.9 percent to HK$208.

Baidu Inc said on Monday that second-quarter net income climbed to 1.63 billion yuan, exceeding the 1.5 billion yuan average of analyst estimates compiled by Bloomberg. It also forecast third-quarter revenue that beat analyst estimates as customers spend more on search-engine advertising in the world's second-biggest economy.

Hang Lung Properties Ltd, Cheung Kong (Holdings) Ltd and Hang Seng Bank Ltd are among companies due to report earnings over the next two weeks, after US firms from Apple Inc to Morgan Stanley and Advanced Micro Devices Inc beat earnings projections.

The HSI Volatility Index slipped 0.1 percent to 18.58.

Bloomberg - Reuters

(HK Edition 07/27/2011 page2)