The Bank of East Asia Limited (0023)

[butcher]

BEA share price have been relatively stable all these years.  

Activist shareholder, Elliot have issued a letter to BEA:-

http://mms.businesswire.com/media/201602...download=1

[cfa]

Guoco is one of the biggest shareholders . Is this Elliot related to Guoco group ?

[opmi]

Guoco is one of the biggest shareholders . Is this Elliot related to Guoco group  ?

Not. Guoco is Quek Leng Chan of Hong Leong Msia, Guocoleisure, Guocoland.

Elliot is activist fund mgr.

IIS already recommend voting against appt of  some of directors. Cant seem to find the news.

[d.o.g.]

At first, I thought to myself: Elliot is making the same mistake as Laxey did with UIS.

But then I thought again: a US$27bn hedge fund did not have anyone smart enough to shoot down this stillborn idea? 49% of the stock in friendly hands, and Elliot thinks they stand a chance with EGMs and public letters? Can't be. Elliot wants BEA to be sold, but surely they know that the whole point of the placements was to ensure the Li family keeps control of BEA.

So maybe Elliot is not dumb, but they are stuck in the stock and are throwing a Hail Mary that these letters and the website will drive up trading interest in BEA, allowing them to sell and walk away.

As usual, YMMV.

[opmi]

This is a good example why OPMI shareholders should ALWAYS vote
against the general mandate resolutions. The general mandate were probably
used to issue shares to CAIXA and SMBC.

[cfa]

Guoco is one of the biggest shareholders . Is this Elliot related to Guoco group  ?

Not. Guoco is Quek Leng Chan of Hong Leong Msia, Guocoleisure, Guocoland.

Elliot is activist fund mgr.

IIS already recommend voting against appt of  some of directors. Cant seem to find the news.

I thought Guoco HK owns around 19% of BEA , maybe QLC has divested it . Sorry for the confusion.

[butcher]

Background sourced from Wikepedia:-

The Bank of East Asia Limited (Chinese: 東亞銀行有限公司) often abbreviated to BEA (Chinese: 東亞銀行), is the largest independent local bank and the third largest bank in Hong Kong. Its chairman and chief executive is Sir David Li. Its head office is in Central.[1]

It was founded in Hong Kong in 1918 by the grandfather, Li Koon-chun (李冠春), and great uncle of the present chairman, David Li. Today the company has a market capitalisation of HK$68.4 billion (US$8.5 billion), as at 27 February 2011, with consolidated assets of US$50.85 billion (as at 30 June 2008). It is listed on the Hong Kong Stock Exchange with a stock code of 23.[2] The Bank of East Asia has 168 retail branches in Hong Kong, as well as 60 in mainland China and around 30 in the United States, Canada and Britain. Worldwide, the bank employs more than 13,000 people.[3][4]

In 1995, BEA acquired United Chinese Bank, which was fully merged with the bank in 2001. In 2000 it acquired First Pacific Bank.




I remembered the Li family of BEA is a close friend to another HK Chinese tycoon who express his financial support during GFC period when there was an attempted bank run. Forgotten who was it.

The activist shareholder, Mr Elliot have been challenging the corporate governance and other issues since the GFC period, but his efforts are futile.

[butcher]

Its AGM is on 8 Apr 2016 11.30am

Toothless tiger challenges incumbents on that day

http://www.hkbea.com/pdf/en/about-bea/in...rcular.pdf

[specuvestor]

This is the same toothless tiger that fought the Argentina government for 14 years:

http://www.valuebuddies.com/thread-3085-...#pid126572

I would give them the benefit of doubt. They dont need to control BEA. They just need to be enough of a nuisance

[cyclone]

David Li Kwok-po to step down as chief executive at Bank of East Asia, hands over century-old bank’s rein to his two sons
* Li joins a wave of local tycoons stepping down, follows similar moves by Li Ka-shing, Lee Shau-kee and Stanley Ho Hung-sun
* Adrian and Brian Li, who will become co-chief executives from July 1, have set their eyes on digital banking and Greater Bay Area investment

Enoch Yiu & Chad Bray  
Published: 11:09am, 23 May, 2019

David Li Kwok-po will step down as chief executive of Bank of East Asia on July 1, the latest in a wave of a generation of local tycoons to retire.

Li, who turned 80 in March, will remain the executive chairman of the century-old bank. His sons Adrian David Li Man-kiu and Brian David Li Man-bun will take over as co-chief executives, the bank said in a stock exchange filing on Thursday.

“I have worked half a century, and am now 80 years old,” the elder Li said in a telephone interview with the South China Morning Post, after the bank’s announcement. “The future strategy of the bank will be in the hands of the younger generation.”

Like his fellow Hong Kong tycoons Li Ka-shing of CK Hutchison and Lee Shau-kee of Henderson Land, Li is stepping back to facilitate the smooth continuation of his banking empire, which spans more than 200 branches globally and representative offices with 10,000 staff members.

Other tycoons also in the succession process include “King of Gambling” Stanley Ho Hung-sun, Kerry Properties’ Robert Kuok, Shui On Land’s Vincent Lo Hong-shui, as well as Dickson Concepts’ Dickson Poon.

Li is also stepping back at a time of tremendous change in banking, and in Hong Kong’s role with regard to mainland China.

The city’s monetary authority has handed out eight virtual banking licences since March to catch up with China and Japan in letting technology disrupt traditional banking with its bricks-and-mortar branches. More licences are likely to follow.

“I believe they will continue to develop [and grow] the China business, and invest more in digital banking,” Li said of his two sons. “They are not new to the bank. One has worked here for 18 years, while the other has worked here for 16 years. They are ready to succeed as chief executives. I am confident they can lead the bank to growth, and develop it to become bigger and better.”

Li, the third-generation scion of the family that founded Hong Kong’s first Chinese-owned bank, traces his roots to Jiangmen city in Guangdong province, now a city within the “Greater Bay Area” cluster. He received his early education in Britain, studying economics and law at the University of Cambridge. He has been Bank of East Asia’s chief executive since 1981.

More details in https://www.scmp.com/business/companies/...asia-hands