Sun Hung Kai Financial

  • Overview
THE SCOOP

Sun-rise

Sun Hung Kai & Co. Limited is a Hong Kong-based investment holding company that operates under the name Sun Hung Kai Financial (SHKF).  The firm, which in 2007 was named Best Broker in Hong Kong by FinanceAsia, focuses on five main business areas: wealth management and brokerage, asset management, corporate finance, consumer finance and principal investments.  The corporate finance group offers IPO, M&A, corporate restructuring and capital markets advisory services.  SHKF has more than HK$50 billion in assets under management.  The firm's 1,300 employees work from offices in Hong Kong, mainland China, Macau, Singapore and Brunei.

Sun Hung Kai & Co. Limited was founded in 1969 by Fung King Hey, Kwok Tak Seng and Lee Shau Keeâ€"though it is now primarily controlled by a family trust set up by Kwok Tak Seng.  Branching out in the 1970s and 1980s, Sun Hung Kai Securities Limited was listed on the stock market in Hong Kong in 1975, followed by Sun Hung Kai & Co. Limited in 1983.  Shenzhen and Shanghai came next, as Sun Hung Kai Investment Services Limited began trading on both exchanges in 1993â€"one of the first approved brokers and lead underwriters on those exchanges.  In 2006, the firm took on the name Sun Hung Kai Financial to assemble all of its financial businesses under one roof.

Buying and selling

In March 2007, SHKF agreed to buy a 9.1 percent stake in Ambrian Capital, an independent investment bank in London, for approximately HK$90 million.  In the area of corporate finance, SHKF plans to work closely with Ambrian Capital to raise capital for Asian companies in the European capital markets, focused on alternative investment market listings on the London stock exchange.  The two firms also will collaborate in the areas of fund management and commodities.

To streamline its business to focus exclusively on wealth management, brokerage, asset management, capital markets and consumer finance, SHFK agreed in June 2007 to sell off its 22.43 percent stake in Yu Ming Investments.  Yu Ming is a Hong Kong-based financial services firm that invests in securities and properties.  SHKF struck another deal in November 2007.  For approximately HK$1.9 billion, Dubai Investment Group took ownership of 9.88 percent of SHKF and a seat on its board.  For SHKF, the partnership will provide "a strategic opportunity to tap into the growing capital flows from the Middle East to the Greater China markets," according to executive chairman Lee Seng Huang.  In December 2007, Dubai Investment Group's CEO, Abdulhakeem Kamkar, was appointed as a nonexecutive director of SHKF.

Efficiency amidst crisis

Despite a volatile first quarter in 2009, Sun Hung Kai Financial reported a sharp rebound in equity indices in the second quarter.  The group’s profit, sans tax deduction, jumped to HK$655.4 million from 2008’s profit of HK$581.7 million in the same period reviewed.  An increased market activity in the Wealth Management & Brokerage division also played a key role in the improvement.  A number of factors keyed in the improved performance, one of which was the involvement of the group’s consumer finance business and another was the recovery of the financial market.  The gained profits signify a progressingâ€"albeit slowâ€"recovery of the firm’s growth strategy.

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Sun Hung Kai Financial


1201 CITIC Tower
1 Tim Mei Avenue
Central
Phone: +852-3920-2888
Fax: +852-3920-2789
www.shkco.com

STATS


  • Employer Type: Public
  • Stock Symbol: 0086
  • Stock Exchange: HKSE
  • Chairman: Lee Seng Huang
  • 2008 Employees: 2,800

SALARY FINDER

SALARY FINDER

Health Service Administrator

  • $0
  • 25
  • 50
  • 75
  • 100
  • 100+
Yearly Salary Range (US$ Thousands)