Cheng taking on cheerleader's mantle for public offerings
An initial public offering luncheon without a tycoon cheerleader is like congee without rice.
For a second day, New World Development chairman Cheng Yu-tung was seen at an investor luncheon, this time for Shenzhen-based property developer Fantasia Holdings, along with his buddy Joseph Lau Luen-hung, the chairman of Chinese Estates Holdings.
On Monday, the two were at the Sands China luncheon. Cheng, a substantial shareholder of Sands rival Sociedade de Turismo e Diversoes de Macau, said he would subscribe for Sands shares.
Yesterday was the third time in two months Cheng agreed to root for a new listing. Last month, both Cheng and Lau showed up for the investor luncheon of Evergrande Real Estate Group. The Guangzhou-based developer has surprised the market with a 30 per cent gain since its debut last week.
Cheng's high profile comes after his other buddy Lee Shau-kee, the chairman of Henderson Land Development, publicly warned investors of the low returns from buying flotations since September. Uncle Four has suffered a paper loss on Metallurgical Corp of China, one of the few new listings still under water.