Bet there's no response to this one!
LDC caught my eye today. It has investments in several Chinese companies and has upped its stake to 51% in one of them, Beijing Success, a profitable company which provides software for securities trading and has strong cashflow. It has issued 14,000 software licences and that is merely the tip of the iceberg and the growth potential is vast. LDC upped its stake at a discount due to a favourable exchange rate. Recent flotations in China have been attracting enormous premiums as pent up investing interest is starting to be unleashed. A couple of Chinese internet stocks in the US have risen by over 10,000% (you did not misread that!!!!) and LDC with a controlling interest intend to float Beijing Success soon. (Even I ain't claiming they will rise 10,000% tho'............. )
LDC has a market cap of about 11 million with approx 54 million shares in issue. Beijing Success made about 1.2 million last year and has a strong balance sheet and cashflow. It seems sure to attract massive interest when floated.
On a 1-2 year basis, that makes LDC a potentially spectacular, if somewhat unusual, Buy!

Thanks hawick too, it's a learning process - i look forward to visiting 2 new sites! Not sure about CYC yet. Still volatile and a long way from profit, watching but not willing to take the plunge yet. You did well to get on board so early rowlandok123. When they take off feel free to remind me of what I missed!!!!

Thanks p.snow im not like that.We make how own decisions in this share buying game.some good some not so good.there out there, we just have to find them.all the best..im looking at WGT..at mo im not ramping just maybe worth a gander....all the best again..dyor

Exchange steps up activity in China with regional office

The London Stock Exchange announced today that it will open a regional office as part of its strategy for attracting listings from China, which is one of the international exchanges key target markets.

The new office, the Exchanges first in Asia-Pacific, will establish a permanent presence in the region and act as a base for senior Exchange executives who visit the region regularly.

In the coming year, Exchange executives will be in China on a number of trips aimed at building relations within the principal economic and financial centres and raising the companys profile. Among these trips:

Chris Gibson-Smith, the Exchanges Chairman, will be in China in April;
Martin Graham, Director of Market Services and Head of AIM, will be at the seventh International High-tech Expo in Beijing in May; and
Clara Furse, Chief Executive, will be in the region again for a week in September.
As part of this, the Exchange is building its ties with the Shanghai and Shenzhen exchanges, two increasingly important exchanges in the region. In January 2004, the Exchange signed Memoranda of Understanding with both exchanges.

Initially, the office will be based in Hong Kong, which remains the Asian centre for international finance. This office will support the Exchanges efforts to attract Asian companies to Londons international market.

In particular, the Exchange will be targeting the large privatisation deals and other medium to large enterprises in China. Since 2002, the medium to large enterprises, of which there are around 4 million, have accounted for over 50 per cent of Chinese GDP and have experienced a growth rate of between 20 and 50 per cent annually.

The Exchange will also continue to promote dual listings in London and Hong Kong through a single prospectus.

Commenting on the Exchanges plans in the region, Clara Furse said:

"As one of the largest and fastest growing economies in the world, China is a core market for the London Stock Exchange. By the same measure, as the worlds most international financial centre, London should be the natural home for dynamic, growing Chinese companies looking to attract international capital. London has more funds under management than New York and a much more pragmatic system of regulation under which international companies can list and raise money".
things are look up

Thanks for the tip rowlandok123. I'll check out WGT. GFM have eased back over the last week or so and you might find them worth a look. dyor and happy hunting - I'll keep a close eye on CYC!

I think China,like Russia,is corrupt and lacks political stability to the
extent that true democracy is only a face mask.Yukos oil in Russia is a prime
example of corruption in what is virtually a totalitarian state.
rgds aj

regards to you too ajren, you're not keen then?

it is probably fair to say russia is corrupt, and i guess not unreasonable to assume the same for china

however ive run SIBIR Energy, JKX, East Europen Trust (EET) and Baring Emerging europe over the past three years and am well pleased, last 12 mos JPMF chinese IT

only russian to go wrong (for me) is/was Middsx engy (penny stock)

obviously i didnt want to gamble all the 'hard earned' so i shrewdly played safe with a couple of nice SAFE UK stocks
British Energy
Marconi

i know where i want to take my riske now

at least you know why the russians are doing things!
here its total incompetance and they get away with it, indeed they move on at our expense and repeat it
still people appear to respect them!

I,m also in this stock, but what does concern me somewhat is the difficulty of valuing the company. It is so hard to value a stake (albeit a controlling stake) in a pre-float company (ie Beijing Success). The other investments seem to be quite minor at this stage. Basically this is a bit of a punt, but it is interesting to be invested in a company on the inside track rather than one that has simply expanded and set up factories in China.

London Asia Capital PLC
08 November 2004



London Asia Capital PLC
('London Asia' or the 'Company')


Agreement with Leading Chinese Venture Capitalist

London Asia, the AIM-listed Greater China focused investment & merchant banking
group, has been appointed corporate finance adviser to Canton Venture Capital Co
Ltd ('CVCC'), a leading Chinese venture capital group.

Under the agreement, London Asia will assist CVCC in listing its investments on
stock markets outside China and finding Western investors or buyers. CVCC will
provide details of all of its current investments, which London Asia will then
screen to identify those which are suitable for listing on AIM, OFEX, the New
York, or Singapore markets, and those for which sale to a trade or financial
buyer is more suitable. London Asia will receive fees for its services, and the
right to invest alongside CVCC.

Based in Guangzhou, CVCC has registered capital of RMB700 million (15 million)
and has to date made over fifty investments in the Guangzhou region, with an
emphasis on the bio-technology and IT sectors. In 2003 it was ranked in the top
seven Chinese venture capitalists, and its General Manager, Mr Wang, ranked in
the top seven Chinese venture capitalists.

Mr Hongmao Wang, General Manager of CVCC, said: 'There is considerable demand
from the companies we have invested in to find Western investors and business as
well as technology partners, and to gain a stock market listing outside China.
We have worked with the London Asia team successfully in the past, and have
already begun work with London Asia on the first potential listing of one of our
portfolio companies.'

New Office

In order to service the above agreement and tap into other opportunities in the
region, London Asia has opened a South China Regional Office in Guangzhou,
headed by Mr Hou Chun Chang, Member, National Peoples Consultative Committee
(NPCC) Mr Chang is a leading figure in the environmental sector in China: one of
the founders of Singapore stock market listed Devotion Eco-Thermal Ltd;
Executive Committee Member of the National People's Congress Environmental &
Resource Protection Committee; Director of the China Association of
Environmental Protection Industry. He is Vice President of the Guangdong
Association of Young Enterprisers, and Guangdong Association of Guangzhou
Association of Outstanding Young Persons. In 2003 Mr Chang was appointed a
Deputy of the 10th National People's Congress. Previous awards and honours
include: 2001 - Ten Outstanding Young Persons of Guangzhou; 1999 - Outstanding
Professional of Tianhe District, Guangzhou; 1998 - Excellent Young Enterpriser
of Guangzhou; 1996 - Ten Outstanding Young Persons of Tianhe District,
Guangzhou.

Mr Hou Chun Chang, said: 'I have worked successfully with the London Asia senior
management team in a few ventures including the Singapore listing of Devotion. I
look forward to developing London Asia's presence in the South China region,
which has the largest number of privately-owned businesses in China. '

Simon Littlewood, London Asia Chief Executive, said: 'This is in line with our
strategy of expanding into new regions in China via working with strong regional
partners. This agreement gives us access to a number of investment and fee
generating opportunities in a region which is one of the most developed in
China, and the appointment of Mr Chang to head our new office there brings in
someone with the necessary experience and contacts, both within industry and
Government, to make the most of the opportunities.'

ENQUIRIES:

Simon Littlewood, CEO Tel 020 7248 7578

Paul McManus, Binns & Co Tel 020 7153 1485
Mob: 07980 541 893

About Canton Venture Capital Co. Ltd

Founded in December 1999, the company's major businesses are venture investment
in the high-tech sector, establishment of venture investment funds, as well as
investment consulting and asset management. Backed by the city government, CVCC
helps small companies and individuals in the process of commercialization of
high-tech products and related services. Based in Guangzhou, CVCC's business
covers the Pearl Delta area and southern China.

CVCC has invested over one billion RMB to date. While CVCC is open to reviewing
projects from different fields, the main areas of emphasis are
telecommunication, Internet, computer software, biotechnology, Chinese medicine
modernization, and agriculture. For additional information, see
www.c-vcc.com
.

About London Asia Capital

London Asia is a leading AIM listed investment and merchant banking group
focused on the SME market in Greater China.

London Asia has identified that as a result of the fast growing Chinese economy
and an underdeveloped financial services industry, there is strong demand for
both capital and skilled financial advisory services in China, especially among
small-to-medium sized enterprises.

London Asia operates two principal businesses within Greater China:

Investment in profitable businesses with exits via IPO or trade sale;
Investment Banking services, mainly corporate finance advisory (fund
raisings, IPO's and M&A) and fund management

London Asia has a growing list of investments, paid for via a mix of cash and
London Asia shares, focused on distinct industry sectors:

Financial Services
Media
Information technology & communications
Infrastructure, energy & natural resources & environment

London Asia has offices and management teams, as well as strong local partners,
across the Greater China region, as well as alliances with a number of Chinese
business parks which gives London Asia access to over 7,000 Chinese businesses.
These provide direct access to investment opportunities, close relationships
with corporate clients, a good level of control over existing investments,
access to local market intelligence as well as providing leverage through a
network of partners. These work in conjunction with our international network in
London, New York, Singapore, Hong Kong and Taiwan.

This company is building up to a dramatic change in fortunes. They have been very active all year. In time we will look back and wonder why we failed to buy in at current levels.

News Headlines
08/11/04 10:15 Agreement with Chinese VC RNS
02/11/04 07:00 Investment in OFEX Operator RNS
28/10/04 07:00 Adviser to Power Projects RNS
26/10/04 08:33 London Asia Capital launches 200 mln usd China fund AFX
15/10/04 07:00 Change of Adviser RNS
09/09/04 07:00 Appt of Asian Operations FD RNS
28/07/04 07:30 Set-up of US Operations RNS
30/06/04 12:30 Malaysian investment RNS
02/06/04 09:52 Senior App't & New Alliances RNS
26/05/04 10:13 Creation of Advisory Panel RNS
27/04/04 07:00 Inv'ment in Capitalink Pte RNS
31/03/04 08:30 Acquisition RNS
22/03/04 10:53 New investments RNS
16/03/04 16:03 Gartmore increases stake RNS
15/03/04 08:45 Strategic Alliance RNS
08/03/04 08:40 Exp'n of Singapore operations RNS
06/01/04 11:06 Strategic Alliance RNS
02/01/04 10:38 Acquisition RNS

The markets turned in the Spring of 2003, since when we have seen people pile into tech stocks on the back of their recovery from the massive loss of faith from the market's peak in 2000. This was followed by a rush to buy into oil minnows on the back of another middle-east crisis and the explosive growth and subsequent demand from China. These oil stocks are now at highly inflated levels and like all bubbles cannot be sustained for ever. Therefore where is the obvious move for hot money? Well it's staring us in the face. Need I say more?

LDC are on the leaderboard this morning!