Since the announcement, Hong Leong Asia’s shares have trended steadily higher, closing at $3.43 as at Feb 2.
Analysts from UOB Kay Hian and OCBC Investment Research see further upside for Hong Leong Asia’s share price after the industrial conglomerate announced that its indirect subsidiary is considering an initial public offering (IPO) on the Hong Kong bourse.
On Jan 27, Guangxi Yuchai Marine and Genset Power Co., Ltd., (MGP) an indirect subsidiary of China Yuchai International, applied to list its shares on the Mainboard of the Hong Kong Stock Exchange (HKEX). China Yuchai International, which is listed on the New York Stock Exchange (NYSE), is 48.7%-owned by Mainboard-listed Hong Leong Asia.
