[ET Net News Agency, 17 January 2018] Nomura Research lifted its target price for Hang
Lung Properties (HLP)(00101) to HK$26.5 from HK$26, and maintained its "buy" rating.
The research house said its industry surveys show that: (1) Spring City 66 in Kunming is
progressing well with pre-leasing, ahead of its scheduled opening at end-FY2018; (2) the
revamp at Center 66 in Wuxi is yielding positive results starting from 1H 2017 and
momentum is continuing; (3) the asset enhancement initiative (AEI) at Grand Gateway is on
track, with less disruption to its business than expected; (4) momentum at Plaza 66 since
its official re-opening in 3Q 2017 has gone from strength to strength; (5) the revamp at
Forum 66 in Shenyang is on track following recent management changes.
Nomura believes that a multi-year cyclical recovery on the way. There is an upsurge of
investor interest in re-visiting HLP, after its China retail mall operation had been
weighed down in the past few years by the anti-corruption campaign, oversupply,
e-commerce, etc. (KL)