Elevator Pitch
I upgrade my rating on Hong Kong-listed China integrated energy company Kunlun Energy Company Limited (OTCPK:KUNUF) [135:HK] from Neutral to Bullish.
China's national pipeline company, China Oil & Gas Pipeline Network Corporation, recently proposed to acquire a number of oil & gas assets, and the implied transaction multiples have been more favorable than expected. The overhang on Kunlun Energy regarding a potential sale of its assets such as its Shaanxi-Beijing pipeline and three LNG terminals at low valuations could be removed. Taking into consideration the latest developments, I see Kunlun Energy