01792 Overview

Placement Agreement Update: CMON has entered into a second supplemental agreement with the placing agent regarding its earlier placement, revising the placement price from HKD 0.80 to at least HKD 0.95 per share.

Discount and Proceeds: The new placement price reflects a discount of approximately 15.93% compared to the closing price of HKD 1.13 per share, with expected maximum net proceeds from the fundraising around HKD 9.4 million.

Upcoming Policy Address: The new Policy Address is scheduled for September 17, with expectations for potential relaxation of the new CIES, adjustments to stamp duties, and the introduction of the "Property Connect" scheme.

Market Reactions: JPMorgan expressed skepticism about the simultaneous rollout of all proposed measures, noting that if the policies are weaker than anticipated, developers may experience short-term profit-taking following the announcement.

Developer Preferences: Among developers, JPMorgan favored HENDERSON LAND and SINO LAND, while recommending CMON and LINK REIT for risk-averse landlords.

Upside Potential: The broker identified greater upside potential in HANG LUNG PPT and WHARF REIC, indicating a more favorable outlook for these companies in the current market context.