Merrill Lynch published a report saying that it gave Tianjin Development (00882-HK) a buying rating, with a target price of HK$3.92, corresponding to 6.5 times 2009 PE and 0.36 times PB, a 55% premium over its market price. Shen Wan pointed out that although Tianjin Port Development (03382-HK), a subsidiary of Tianjin Development, will face difficulties in 2009, it will be able to maintain a relatively high growth rate in the long run. This is mainly due to the gradual northward shift in the focus of the Chinese economy; the toll roads and utilities businesses owned by the company will also cushion fluctuations in performance. The development of Tianjin was flat at HK$2.47 yesterday.