HK/China Equity Long-Short

Osbert Tang, CFA

Osbert Tang is an equity analyst with over 20 years of experience with focuses on China transport, infrastructure, industrials and utilities sectors. He has been based in Shanghai since 2003, accumulated nearly 20 years of on-ground knowledge on the Chinese economy and financial markets, and has a wealth of contacts with China corporates and government entities. 

Osbert has received votes from top-tier institutional investors and has been a highly-ranked transport and infrastructure analyst in the Asiamoney, Institutional Investors and Greenwich surveys. In addition to his extensive experience with international investment banks including RBS, ABN AMRO (both served as Shanghai Chief Representative), Paribas Asia Equity, Maybank Kim Eng and DBS Securities, he has been a senior analyst with Moody’s Investors Service with focus on ratings of China infrastructure and related LGFV issuers. He has also worked in the area of strategic development at Sun Hung Kai Properties Limited. 

Osbert holds a BBA from the Chinese University of Hong Kong, an MBA from the University of Texas at Austin and a MSSc in Applied Psychology from the City University of Hong Kong. He was accredited with the CFA charter in 1997, and is a member of both British Psychological Society and Hong Kong Psychological Society.

Sinotrans (598 HK): Very Encouraging Profit Recovery Momentum in 2Q20

China Transportation: Strong Aug Export to Benefit Sinotrans (598 HK) And SITC Intl (1308 HK)

Sinotrans (598 HK): Favorable Risk-Return Payoff

Sinotrans (0598 HK): 1Q20 in Line, Still See Positive Risk-Return Payoff at Historical Low Valuation

Sinotrans Limited (598 HK) : Acquisition Spree Expands Global and Domestic Networks

Equity Bottom-Up

<p>China Merchants Group Limited (CMG), the ultimate parent of <a href="https://www.smartkarma.com/entities/sinotrans-limited-h" target="_blank" data-smartkarma-citation="entities:1321:1" rel="noopener">Sinotrans Limited H (598 HK)</a>, announced its plan to increase its stake in Sinotrans by buying 85.8m shares (4% of outstanding H-shares) over the next six months. Along with the earlier announcement related to A-shares, CMG will raise its stake to an estimated at least 57.75% when completed, up from 56.38%. We take this as a vote of confidence in Sinotrans by CMG.</p><p>We believe Sinotrans is a good candidate for privatisation due to: 1.) strong financial position, 2.) profit making business, 3.) good cash flow, 4.) huge fixed asset backing, 5.) parent's track record of privatisation, and 6.) cheap valuation. We would not rule out the possibility for a move by CMG to privatise it in the future..</p>

China Merchants Group Limited (CMG), the ultimate parent of Sinotrans Limited H (598 HK), announced its plan to increase its stake in Sinotrans by buying 85.8m shares (4% of outstanding H-shares) over the next six months. Along with the earlier announcement related to A-shares, CMG will raise its stake to an estimated at least 57.75% when completed, up from 56.38%. We take this as a vote of confidence in Sinotrans by CMG.We believe Sinotrans is a good candidate for privatisation due to: 1.) strong financial position, 2.) profit making business, 3.) good cash flow, 4.) huge fixed asset backing, 5.) parent's track record of privatisation, and 6.) cheap valuation. We would not rule out the possibility for a move by CMG to privatise it in the future..

Sinotrans (0598 HK): China Merchants Group to Increase Stake - A Target for Privatisation?