IN BRIEF (Page 24)

Govt reassures foreign firms on Internet rules

The Ministry of Industry and Information Technology said in a statement on March 30 that China's draft Internet regulation on domain names, the addresses used to navigate the Web, will not affect foreign companies' normal business in China. The statement says: "The draft rule asks websites that engage in network access within the borders of China to register their domain names in the country. Companies accessing networks outside of the country will not be affected." The industry regulator published the draft regulation last week, which asked Internet service providers to block access to websites whose domain names are registered outside China.

BRICS bank plans to issue first bond in Q2

The New Development Bank, established by the BRICS countries of Brazil, Russia, India, China and South Africa, will sell its first bond by the second quarter of this year. Leslie Maasdorp, the bank's vice-president chief financial officer, said the bond, denominated in renminbi, will be worth 3 billion to 5 billion yuan ($462-770 million; 412-687 million euros) and will be sold in China's onshore interbank bond market. The bank became operational in late February and is headquartered in Shanghai.

Foxconn agrees to $3.5b takeover of Sharp

Electronics manufacturer Foxconn, also known as Hon Hai Precision Industry Co, has agreed to a deal to take a 66 percent stake in Japan's Sharp Corp for $3.5 billion. It would be the first takeover of a major Japanese electronics producer by a foreign company. Foxconn, which assembles most of the world's iPhones, first offered to invest in the troubled Japanese firm in 2012, but talks collapsed over price. Foxconn and Sharp said they would form "a historic strategic alliance".

Grids back Northeast Asia cooperation

State Grid Corp of China announced on March 30 it would establish a Northeast Asia grid cooperation scheme in collaboration with firms in three neighboring countries, marking the first step in building a framework for a global energy interconnection. The State Grid has signed a preliminary agreement with Japan-based SoftBank Corp, Russia-based Rosseti and Korea Electric Power Corp in an effort to support the global transformation toward a sustainable and cleaner energy supply. The program is estimated to invest $50 trillion and is due to be established by the end of 2050.

Midea buys Toshiba's white goods business

Toshiba Corp said on March 30 it had agreed to sell an 80.1 percent stake in its home appliance unit to China's Midea Group Co for 53.7 billion yuan ($8.3 billion; 7.3 billion euros) as the industrial conglomerate proceeds with restructuring after an accounting scandal. Under the agreement, Toshiba will keep the remaining 19.9 percent stake in the Toshiba Lifestyle Products and Services Corp unit, and Midea will be licensed to use the Toshiba brand worldwide for 40 years.

Film Carnival invests $500m in LA studio

Film Carnival, a private company based in Zhejiang province, has agreed to invest at least $500 million in the Los Angeles studio of former Walt Disney boss Dick Cook to make movies to be distributed worldwide. The deal is the latest tie-up between Hollywood and Chinese companies, as China offers overseas producers more investment opportunities and both look to increase their presence in each other's film industries. Film Carnival will finance 100 percent of the movies developed, produced, distributed and marketed by Dick Cook Studios.

Singaporean store to open in Tianjin

A Singaporean store is due to open by the end of April in Sino-Singapore Tianjin Eco-city, a sustainable community in Tianjin Binhai New Area. Jointly sponsored by the eco-city's administrative committee and the Singapore Food Manufacturers' Association, the store will sell more than 5,000 kinds of commodities including imported food, fresh vegetables, seafood, wine, pharmaceuticals and clothing from countries including Singapore, Thailand, Japan and South Korea.

ChemChina's takeover poses no security issue

Swiss agriculture company Syngenta AG said on March 25 that its planned sale to state-owned conglomerate China National Chemical Corp poses no food safety or national security issues. The company was responding to US lawmakers who raised concerns over the $43 billion takeover. "We welcome a full review of the transaction by the US government and will continue to work closely with all agencies as we move forward in the review process," the Dow Jones newswire quoted a Syngenta spokesman as saying.

ENN to take large stake in Santos

ENN Group, China's private energy player, will buy a $750 million stake in Santos Ltd, making it the largest shareholder in the Australian energy firm. Its subsidiary, ENN Ecological Holdings, will acquire Hony Capital's 11.7 percent shareholding, while Hony will also buy a $380 million stake in ENN through a private agreement. Santos said the acquisition was subject to certain conditions.

Car-audio maker opens center in Suzhou

New York-listed Harman International Industries Inc, one of the world's largest car-audio makers and connected technology providers for automotive, consumer and enterprise markets, has opened a global product development center in Suzhou, Jiangsu province, with a view to expanding demand in China. Dinesh Paliwal, Harman's chairman, president and chief executive officer, said the center will work closely with fast-growing automakers and will specifically allocate resources to develop products to serve the expanding cost-effective automotive segment.

Samsung Pay hits crowded market

South Korea's Samsung Electronics Co announced on March 29 the launch of its mobile payment service in China, an already crowded market that Apple Inc entered nearly six weeks ago. Samsung Pay has a powerful partner in China - bank card provider UnionPay. The Korean electronics giant said its service currently supports credit and debit cards from nine Chinese banks and is available on its top-end Galaxy smartphones, with midrange models to follow.

Maserati to recall 20,000 defective cars

Italian luxury carmaker Maserati will recall 20,842 vehicles in China because of a design defect. The affected vehicles include imported Maserati Quattroporte and Ghibli models manufactured between March 22, 2013, and Dec 3, 2015, according to the General Administration of Quality Supervision, Inspection and Quarantine. A defective design of the floor mat and accelerator pedal may result in the pedal getting stuck in the working position, increasing the risk of collision, the watchdog said.

(China Daily Africa Weekly 04/01/2016 page24)