Group 1 - The Hang Seng Index Company announced the quarterly index review results for the Hang Seng ESG Enhanced Index, Hang Seng ESG Enhanced Select Index, and Hang Seng China Enterprises ESG Enhanced Index, effective from December 8, 2025 [1] - The number of constituents in the Hang Seng ESG Enhanced Index will increase from 76 to 77, with the inclusion of Innovent Biologics (01801) and Zijin Mining Group (02899), while Cheung Kong (00001) will be removed [1][3] - The Hang Seng ESG Enhanced Select Index will also see the addition of Innovent Biologics (01801) and Zijin Mining Group (02899), increasing its constituents from 74 to 75, with Cheung Kong (00001) being removed [1][3] Group 2 - The Hang Seng China Enterprises ESG Enhanced Index will include China National Offshore Oil Corporation (00883), Innovent Biologics (01801), and Yum China Holdings (09987), maintaining a total of 45 constituents [1][5] - The inclusion of these companies reflects a focus on enhancing the ESG profile of the indices [1]

Core Viewpoint - CK Hutchison Holdings is considering a dual listing for its subsidiary, Watsons, aiming to raise up to $2 billion, with an expected valuation exceeding $30 billion, potentially making it one of the largest consumer retail IPOs in Hong Kong in recent years [2][4]. Company Overview - Watsons Group, founded in 1841, operates over 17,000 stores across 31 markets, serving more than 6 billion customers annually through both offline and online platforms [4][6]. - The retail segment of Watsons reported total revenue of HKD 98.84 billion for the first half of 2025, reflecting an 8% year-on-year increase, although revenue in China declined by 3.1% to HKD 6.666 billion [4][5]. Financial Performance - For the first half of 2025, Watsons achieved: - Total revenue: HKD 98,840 million, up 8% from HKD 91,469 million in 2024 [5]. - EBITDA: HKD 7,974 million, a 12% increase [5]. - EBIT: HKD 6,180 million, a 14% increase [5]. - Store count: 16,935, a 2% increase from 16,548 [5]. Market Challenges - The Chinese market continues to pose challenges, with a 3% decline in revenue for the fourth consecutive year, attributed to low consumer demand and store closures [12][14]. - Despite the challenges in China, Watsons' European operations showed strong growth, particularly in Eastern Europe, where revenue increased by 16% [12][14]. Strategic Direction - Watsons is focusing on an O+O (Online + Offline) model to adapt to market changes and enhance its global network, leveraging its experience in the Chinese market [14].

Core Insights - CK Hutchison Holdings is considering a dual listing for its subsidiary, Watsons, aiming to raise up to $2 billion [1] - The IPO is planned for the first half of next year, with a potential valuation exceeding $30 billion, making it one of the largest consumer retail IPOs in Hong Kong in recent years [1] Company Overview - Watsons Group, founded in 1841, is a leading global health and beauty retailer operating over 17,000 stores across 31 markets, serving more than 6 billion customers annually through both online and offline platforms [1] - The retail segment of Watsons reported total revenue of HKD 98.84 billion for the first half of 2025, reflecting an 8% year-on-year increase [1] - However, revenue in China decreased by 3.1% to HKD 6.666 billion, indicating ongoing challenges in the health and beauty product sector in that market [1] Parent Company Information - Watsons Group is a member of CK Hutchison Holdings, which operates in 50 countries and regions across four core businesses: ports and related services, retail, infrastructure, and telecommunications [1] - As of November 21, CK Hutchison Holdings has a total market capitalization of HKD 205 billion [1] Previous Listing Discussions - In 2024, there were previous discussions regarding Watsons' potential listing, with Temasek, a sovereign wealth fund holding shares in Watsons, confirming that the listing plan remains intact, although the final decision on timing and details lies with Watsons' board and management [2]

Core Viewpoint - CK Hutchison Holdings (00001) is considering a dual listing for its subsidiary, Watsons, one of the largest health and beauty retailers globally, potentially raising up to $2 billion [1] Group 1: IPO Plans - The groundwork for Watsons' listing in Hong Kong and the UK is already underway, with an IPO planned for the first half of next year [1] - If successful, Watsons' valuation could exceed $30 billion, making it one of the largest consumer retail IPOs in Hong Kong in recent years [1] Group 2: Company Performance - Watsons Group, founded in 1841, operates over 17,000 stores across 31 markets, serving more than 6 billion customers annually through both offline and online platforms [1] - According to CK Hutchison's financial report for the first half of 2025, the retail segment, which includes Watsons, generated total revenue of HKD 98.84 billion, reflecting an 8% year-on-year increase [1] - However, revenue in China amounted to HKD 6.666 billion, showing a decline of 3.1% year-on-year, with ongoing challenges expected in the health and beauty product sector in the second half of the year [1] Group 3: Parent Company Overview - Watsons Group is a member of CK Hutchison Holdings, which operates in 50 countries and regions, focusing on four core businesses: ports and related services, retail, infrastructure, and telecommunications [1] - As of November 21, CK Hutchison's total market capitalization reached HKD 205 billion [1] Group 4: Previous Listing Discussions - In 2024, there were previous discussions regarding Watsons' potential listing, with Temasek, a sovereign wealth fund holding shares in Watsons Group, confirming that the listing plan remains intact, although the final decision on timing and fundraising details lies with Watsons' board and management [2]

Core Viewpoint - The outlook for Hong Kong conglomerates in the coming year remains positive, with several catalysts expected to drive growth, including a projected 5% increase in recurring profits by 2026 and support from a weaker US dollar [1] Summary by Category Profit Growth - The forecast indicates a 5% growth in recurring profits for Hong Kong conglomerates by 2026 [1] Dividend Expectations - Anticipated dividend payouts for the next year are expected to increase by approximately 3% year-on-year, providing a reasonable return for investors during the waiting period for catalysts [1] Valuation and Returns - Current valuations show Hong Kong conglomerates trading at about a 32% discount to their net asset value per share, with a projected dividend yield of 4.6% for 2026, slightly above the ten-year average of 4.5% [1] Preferred Stocks - The top stock picks include Cheung Kong (00001) and Chow Tai Fook (00659), with target prices raised to HKD 61 and HKD 9.6 respectively, as they present the most attractive risk-return profiles [1] - Other favorable stocks include First Pacific (00142) and Swire Properties A (00019), with target prices set at HKD 8.2 and HKD 74 respectively, all rated as "outperform" [1]

Core Viewpoint - The outlook for Hong Kong conglomerates in the coming year is positive, with expected catalysts and a projected 5% growth in recurring profits by 2026, supported by a weak US dollar [1] Summary by Categories Profit Growth - The forecast indicates a 5% increase in recurring profits for Hong Kong conglomerates by 2026 [1] Dividend Expectations - Anticipated dividend payouts for the next year are expected to increase by approximately 3% year-on-year, providing reasonable returns for investors during the waiting period for catalysts [1] Valuation and Returns - Current valuations show Hong Kong conglomerates trading at about a 32% discount to their net asset value per share, with a projected dividend yield of 4.6% for 2026, slightly above the ten-year average of 4.5% [1] Preferred Stocks - The top stock picks include Cheung Kong (00001) and Chow Tai Fook (00659), with target prices raised to HKD 61 and HKD 9.6 respectively, due to their attractive risk-return profiles [1] - Other favorable stocks include First Pacific (00142) and Swire Pacific A (00019), with target prices set at HKD 8.2 and HKD 74 respectively, all rated as "outperform" [1]

Group 1 - The core point of the article is that CK Hutchison's subsidiary, Cenovus Energy, has successfully acquired MEG Energy Corp, with the deal receiving significant shareholder approval and completion [1] - Following the acquisition, CK Hutchison and the Li family remain the largest single shareholders, collectively holding nearly 30% of the shares [1] - The merger was approved by 86% of MEG shareholders on November 6 and was completed on November 13 [1] Group 2 - Cenovus Energy's production in the third quarter reached 833,000 barrels of oil equivalent per day, with oil sands production accounting for 643,000 barrels per day [1] - Post-acquisition, Cenovus's total production capacity is expected to significantly increase to approximately 1 million barrels of oil equivalent per day [1]

Market Overview - The Hang Seng Index (HSI) has support at 25,824 and resistance at 27,862, with a cumulative increase of 3.2% since November, driven by financial and technology stocks [1] - The Hang Seng China Enterprises Index (HSCE) has support at 9,187 and resistance at 9,891, benefiting from favorable policies for domestic real estate stocks and improved profitability in the energy sector [1] - The Hang Seng Tech Index (HSTECH) has support at 5,596 and resistance at 6,389, with a 5% increase in financing for technology stocks in November, indicating a rebound in AI chips and cloud computing sectors [1] Company Highlights - CK Hutchison (00001) plans to increase its stake in UK telecom assets, with its stock price rising 4.15% to HKD 55.25 following the announcement [1] - HSBC (00005) reported Q3 net profit exceeding expectations and plans to increase its dividend payout, boosting trading activity in the Hong Kong banking sector [1] - Tencent (00700) saw a 15% increase in Q3 gaming revenue, with its AI model being applied in financial scenarios, while shareholder Prosus announced a delay in share reduction [2] - SMIC (00981) received increased investment from the National Integrated Circuit Fund, achieving a 98% utilization rate for its 14nm production capacity, with a projected 30% net profit increase in H1 2025 [2] - Kuaishou (01024) reported a 22% increase in advertising revenue for H1 2025, with daily active users for short drama content exceeding 100 million and a 17.6% year-on-year increase in e-commerce GMV [2] - BYD (01211) sold over 300,000 new energy vehicles in October, with overseas factories commencing production and supply chain cost optimization enhancing profits [2] - Meituan (03690) experienced a 20% increase in instant retail order volume in Q3, securing exclusive partnerships with several supermarkets [2]

Market Overview - Hong Kong stocks showed a positive trend, closing up 0.85% as bulls took control, indicating a lack of negative news is perceived as positive [1] - The U.S. House of Representatives is expected to vote on a compromise plan to end the longest government shutdown in U.S. history, which could restore funding to government agencies [1] - The ADP private sector employment report for October showed a decrease of 45,000 jobs, the largest drop in two and a half years, suggesting a cooling labor market and increasing expectations for a Fed rate cut in December [1] Sector Performance - The banking sector saw a rebound with major banks like Agricultural Bank of China reaching new highs, driven by long-term investments from insurance funds and public funds [1] - Consumer sectors are gaining traction, with companies like "Hushang Auntie" seeing a significant increase of nearly 29%, indicating a recovery in consumer sentiment [2] - Retail sales in Hong Kong are projected to rise by 4% year-on-year in October, benefiting retail rental stocks [3] Company Highlights - Baijie Shenzhou reported a 44.2% increase in total revenue for the first three quarters, driven by sales growth of its self-developed products [3] - Xiaomi announced a significant sales figure of over 29 billion yuan during the Double 11 shopping festival, indicating strong consumer demand [4] - The Ximangdu iron ore project, with reserves exceeding 4.4 billion tons, has commenced production, potentially altering the global iron ore supply landscape and benefiting companies like Maanshan Iron & Steel [5] Industry Developments - The Chinese commercial aerospace sector is set to advance with the upcoming maiden flight of the reusable rocket "Zhuque-3," which aims to reduce launch costs significantly [6] - The sportswear manufacturing sector is expected to see a recovery in demand, with Shenzhou International projecting a 15.3% increase in revenue for the first half of 2025 [7] - The company has expanded its overseas production capacity, with 53% of its garment output coming from international facilities, indicating a strategic shift towards globalization [8]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其準確性或完整性 亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚賴該等內容而引致 之任何損失承擔任何責任。 有關 CK HUTCHISON GROUP TELECOM HOLDINGS LIMITED 季度最新交易資訊之海外監管公告 及內幕消息公告 本公告乃由長江和記實業有限公司（「本公司」）根據香港聯合交易所有限公司證券 上市規則第 13.09(2)(a) 條及第 13.10B 條，以及證券及期貨條例（香港法例第 571 章） 第 XIVA 部項下之內幕消息條文而刊發。 本公司董事會謹請其股東及潛在投資者注意隨附 2025 年第三季最新交易資訊簡報。 該簡報載有有關 CK Hutchison Group Telecom Holdings Limited（「CKHGT」，本公司 之間接全資附屬公司）及其附屬公司截至 2025 年 9 月 30 日止季度表現之若干未經審核 財務資料，並已於 2025 年 11 月 12 日分別由 CK Hutchison Group Telecom Finance S.A. （ ...