epa07086002 (FILE) - Production line workers build passenger cars at Brilliance Automotive, in Shenyang City, Liaoning Province, China, 13 May 2009 (reissued 11 October 2018). German carmaker BMW announced on 11 October 2018, that it will pay 3.6 billion euro to take control over its business in China, the Brilliance China Automotive Holdings. Under the new deal -- which is subject to regulatory and shareholder approval and expected to close in 2022, when China will relax ownership rules for car manufacturing operations in the country -- BMW will increase its stake from 50 to 75 percent, media reported.  EPA/MARK *** Local Caption *** 01728527
American consumers don’t seem keen on big-ticket items such as new cars, which is why auto manufacturers are reducing capacity. EPA

Brilliance plunges 30% after BMW takes over joint venture



Brilliance China Automotive sank by a record after it agreed to give BMW control of their joint venture, diminishing the Chinese carmaker’s exposure to future growth in the world’s largest auto market.

Brilliance fell as much as 30 per cent in Hong Kong trading as a slew of brokerages downgraded the automaker after BMW said on Thursday it is increasing its stake in the venture to 75 per cent from 50 per cent. The partnership accounted for most of Brilliance’s profit last year.

Citigroup cut its price target by 73 per cent and recommended selling the shares, saying the “unfair” deal will hurt the company’s earnings, while CLSA, a Hong Kong-headquartered investment group, said minority shareholders are the losers.

The agreement gives BMW a bigger say over its business in China, and lets it keep more of the earnings it generates in the massive market.

“A smaller stake in the joint venture means less earnings contribution to Brilliance China and that’s the only thing investors are sure of right now,” said Angus Chan, Shanghai-based an analyst at Bocom International, a subsidiary of Bank of Communications in Hong Kong.

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Read more:

Chinese car brand Haval aims to replicate 4x4 success in the UAE

General Motors' car sales plunge in China

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The pact shows China’s government is following through on its pledge to open up the economy to foreign ownership after the 50:50 joint-venture rule that has restricted global brands’ access to the market for decades. BMW said its deal will be completed in 2022.

BMW agreed to pay the Chinese automaker $4.1 billion for the 25 per cent stake, valuing the 50 per cent currently owned by Brilliance in the venture at $8.2bn.

Shares of Brilliance are the worst performer this year among Chinese car stocks traded in Hong Kong. Other Chinese auto stocks have also plunged amid investor concerns that the companies will be left with a smaller share of their ventures’ future earnings should their global partners increase control.

China’s policy change gives foreign carmakers such as Daimler, Volkswagen and General Motors a chance to obtain a bigger control over their businesses in China. In addition to being the world’s largest electric-car market, China is fast becoming a major development and production centre for such vehicles.

EMIRATES'S REVISED A350 DEPLOYMENT SCHEDULE

Edinburgh: November 4 (unchanged)

Bahrain: November 15 (from September 15); second daily service from January 1

Kuwait: November 15 (from September 16)

Mumbai: January 1 (from October 27)

Ahmedabad: January 1 (from October 27)

Colombo: January 2 (from January 1)

Muscat: March 1 (from December 1)

Lyon: March 1 (from December 1)

Bologna: March 1 (from December 1)

Source: Emirates

Expo details

Expo 2020 Dubai will be the first World Expo to be held in the Middle East, Africa and South Asia

The world fair will run for six months from October 20, 2020 to April 10, 2021.

It is expected to attract 25 million visits

Some 70 per cent visitors are projected to come from outside the UAE, the largest proportion of international visitors in the 167-year history of World Expos.

More than 30,000 volunteers are required for Expo 2020

The site covers a total of 4.38 sqkm, including a 2 sqkm gated area

It is located adjacent to Al Maktoum International Airport in Dubai South

Top 10 most competitive economies

1. Singapore
2. Switzerland
3. Denmark
4. Ireland
5. Hong Kong
6. Sweden
7. UAE
8. Taiwan
9. Netherlands
10. Norway

Living in...

This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home. 

MATCH INFO

Uefa Champions League semi-final, second leg
Real Madrid (2) v Bayern Munich (1)

Where: Santiago Bernabeu, Madrid
When: 10.45pm, Tuesday
Watch Live: beIN Sports HD

Our legal consultant

Name: Dr Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

ABU DHABI ORDER OF PLAY

Starting at 10am:

Daria Kasatkina v Qiang Wang

Veronika Kudermetova v Annet Kontaveit (10)

Maria Sakkari (9) v Anastasia Potapova

Anastasia Pavlyuchenkova v Ons Jabeur (15)

Donna Vekic (16) v Bernarda Pera 

Ekaterina Alexandrova v Zarina Diyas

Russia's Muslim Heartlands

Dominic Rubin, Oxford

MATCH INFO

Fixture: Thailand v UAE, Tuesday, 4pm (UAE)

TV: Abu Dhabi Sports

CREW

Director: Rajesh A Krishnan

Starring: Tabu, Kareena Kapoor Khan, Kriti Sanon

Rating: 3.5/5

The Killer

Director: David Fincher

Stars: Michael Fassbender, Tilda Swinton, Charles Parnell

Rating: 4/5 

How to wear a kandura

Dos

  • Wear the right fabric for the right season and occasion 
  • Always ask for the dress code if you don’t know
  • Wear a white kandura, white ghutra / shemagh (headwear) and black shoes for work 
  • Wear 100 per cent cotton under the kandura as most fabrics are polyester

Don’ts 

  • Wear hamdania for work, always wear a ghutra and agal 
  • Buy a kandura only based on how it feels; ask questions about the fabric and understand what you are buying
A cheaper choice

Vanuatu: $130,000

Why on earth pick Vanuatu? Easy. The South Pacific country has no income tax, wealth tax, capital gains or inheritance tax. And in 2015, when it was hit by Cyclone Pam, it signed an agreement with the EU that gave it some serious passport power.

Cost: A minimum investment of $130,000 for a family of up to four, plus $25,000 in fees.

Criteria: Applicants must have a minimum net worth of $250,000. The process take six to eight weeks, after which the investor must travel to Vanuatu or Hong Kong to take the oath of allegiance. Citizenship and passport are normally provided on the same day.

Benefits:  No tax, no restrictions on dual citizenship, no requirement to visit or reside to retain a passport. Visa-free access to 129 countries.

Bob Marley: One Love

Director: Reinaldo Marcus Green

Starring: Kingsley Ben-Adir, Lashana Lynch, James Norton

Rating: 2/5

The team

Videographer: Jear Velasquez 

Photography: Romeo Perez 

Fashion director: Sarah Maisey 

Make-up: Gulum Erzincan at Art Factory 

Models: Meti and Clinton at MMG 

Video assistant: Zanong Maget 

Social media: Fatima Al Mahmoud  

The specs: 2018 Mazda CX-5

Price, base / as tested: Dh89,000 / Dh130,000
Engine: 2.5-litre four-cylinder
Power: 188hp @ 6,000rpm
Torque: 251Nm @ 4,000rpm
Transmission: Six-speed automatic
​​​​​​​Fuel consumption, combined: 7.1L / 100km

ROUTE TO TITLE

Round 1: Beat Leolia Jeanjean 6-1, 6-2
Round 2: Beat Naomi Osaka 7-6, 1-6, 7-5
Round 3: Beat Marie Bouzkova 6-4, 6-2
Round 4: Beat Anastasia Potapova 6-0, 6-0
Quarter-final: Beat Marketa Vondrousova 6-0, 6-2
Semi-final: Beat Coco Gauff 6-2, 6-4
Final: Beat Jasmine Paolini 6-2, 6-2

if you go

The flights

Emirates offer flights to Buenos Aires from Dubai, via Rio De Janeiro from around Dh6,300. emirates.com

Seeing the games

Tangol sell experiences across South America and generally have good access to tickets for most of the big teams in Buenos Aires: Boca Juniors, River Plate, and Independiente. Prices from Dh550 and include pick up and drop off from your hotel in the city. tangol.com

 

Staying there

Tangol will pick up tourists from any hotel in Buenos Aires, but after the intensity of the game, the Faena makes for tranquil, upmarket accommodation. Doubles from Dh1,110. faena.com

 


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