Hong Kong Stock Volatility | CK Asset Holdings(01113) rises nearly 4% again. Institutions believe that the group's sale of UK power assets will increase the likelihood of future share buybacks.

LootboxPhobia · 2026-02-27T05:47:25+00:00

CK Asset Holdings' stock price rose nearly 4%, as the company recently sold its UK electricity grid business, expected to cash out over HKD 110 billion, for mergers and acquisitions and operational funding. Management expressed confidence in enhancing shareholder returns while focusing on investments in Hong Kong residential, distressed commercial real estate, and overseas infrastructure assets. UBS is optimistic about its future share repurchase prospects.

LootboxPhobia

2026-02-27 05:47:25

Abstract generation in progress

CITIC Finance APP learns that CK Asset Holdings (01113) rose nearly 4% again. As of the time of writing, it increased by 3.5%, trading at HKD 49.74, with a turnover of HKD 111 million.

In recent news, three companies under the CK Hutchison Holdings announced the sale of their UK electricity grid assets to French utility company Engie, netting over HKD 110 billion. UBS stated that CK Asset management indicated the cash from the sale will be retained for new acquisition opportunities and general operating funds. They also believe this sale will enhance overall shareholder returns. Previously, management emphasized four priority capital allocations: acquisition of residential land in Hong Kong, distressed commercial real estate assets, overseas infrastructure assets, and share buybacks. After nearly six months of observation, progress on the first three initiatives has been limited.

UBS believes that, given recent cash inflows from the UK railway joint venture and Blue Coast, along with the stock continuing to trade at a 2026 forecast P/B ratio of 0.41 (well below other major developers’ 0.52-0.69), the likelihood of CK Asset conducting share buybacks in 2026 has increased.

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