HK market reverses losses to start week up
Hong Kong shares finished Monday on a positive note, reversing early losses, as investor gear up for the corporate earnings season. The Hang Seng Index edged up 0.15 percent to 16,613. The Shanghai Composite Index edged up 0.42 percent to 3,085, while the Shenzhen Composite Index on China's second exchange gained 0.68 percent to 1,998. Before markets opened, mainland conglomerate Fosun halted stock trading in Hong Kong ahead of an upcoming announcement. Fosun is one of China's largest private-sector conglomerates with a sprawling empire that includes pharmaceuticals, real estate, tourism and finance. It is also one of a number of major Chinese companies with debt issues, facing as much as US$8 billion in bond repayments through 2023. In a statement to Hong Kong's stock exchange Fosun said it was suspending share trading "pending the release of possible inside information". Fosun's debt stood at 261 billion yuan as of June 30, up from 237 billion yuan at the end of last year, according to an earnings report in August. It has also been downgraded by Moody's, which cited weak liquidity and a weakening portfolio amid asset sales. Club Med, fashion house Lanvin and English Premier League football club Wolverhampton Wanderers are among some of the prominent western brands Fosun owns. (AFP)