JPMorgan released a research report stating that CKH Holdings (00001) achieved steady growth across its core businesses in the first half, with underlying profit rising 11% year-on-year and interim dividend increasing 3%. EBITDA for port, retail, infrastructure, and telecommunications businesses grew by 10%, 12%, 6%, and 12% respectively.

Management indicated that the port asset transaction is progressing smoothly. While completion is expected no earlier than next year, they emphasized that the transaction has entered a new phase involving the introduction of Chinese strategic investors, expressing confidence that there is reasonable possibility for approval. However, JPMorgan cautioned that CKH Holdings' current price level already reflects market expectations for the port transaction approval.

Considering the increased certainty in the group's business growth, the firm raised its target price from HK$54 to HK$58, maintaining an "Overweight" rating. JPMorgan also expects that even if CKH Holdings completes the port transaction, it may only utilize approximately 10% to 20% of the proceeds for special dividend distribution.

As of the end of June, CKH Holdings' net debt ratio decreased from 16.2% at the end of last year to 14.7%. Management revealed a preference for deploying capital in European infrastructure mergers and acquisitions with value-added potential, but will maintain a prudent financial approach amid geopolitical uncertainties.