POWER ASSETS (00006) rated Underperform with TP lifted to HK$57.6 by BofA ML
Bank of America Merrill Lynch said European Commission approved CKI HOLDINGS (01038), POWER ASSETS (00006), CHEUNG KONG (00001) and Li Ka Shing Foundation to acquire Wales & West Utilties(WWU) with HK$7.75 billion. POWER ASSETS will contribute 30% of the investment.
CKI said it would continue to seek for acquisition opportunities after the placement while POWER ASSETS' gearing ratio will climb to around 36% after the acquisition.
Merrill Lynch lifted its 2012 earnings forecast for POWER ASSETS by HK$75 million. POWER ASSETS was rated Underperform with target price raised to HK$57.6 from HK$54.1.
AAStocks Financial News
Fax: 852 2186 8286
Web Site: www.aastocks.com
News Provided by AASTOCKS.com