China Resources needs to win over merger sceptics

Independent shareholders of China Resources Power (CRP) and sister firm China Resources Gas (CRG) are unlikely to vote in favour of their proposed merger unless the firms can provide more details about proposed post-merger investment into riskier new projects and quantify cost savings, analysts said.

While the firms said their proposed merger into a new entity called CR Energy Group would create "the largest Hong Kong-listed, mainland-focused integrated energy utility", analysts said bigger might not be better, unless cost savings and greater profitability could be quantified.

via Business feed http://www.scmp.com/business/china-business/article/1257413/china-resources-needs-win-over-merger-sceptics