Hong Kong equities jumped for a second straight session on Tuesday, led by Sunac China Holdings after the acquisitive developer sealed a $9.3 billion deal with Dalian Wanda.
At 0525 GMT, the benchmark Hang Seng Index jumped 1.5 percent or 380 points to 25,879.
Shares of Sunac China Holdings gained as much as 11 percent to HK$16.46 in the afternoon session. They were suspended from trading on Monday ahead of news of the agreement with Chinese property giant Dalian Wanda Group.
Among other gainers, Ping An Insurance rose 1.5 percent while China Life Insurance Co. advanced 1.9 percent.
Sentiment across Asia was positive as investors awaited testimony from Federal Reserve Chair Janet Yellen for clues on when the central bank would tighten U.S. monetary policy.
MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.6 percent, with sentiment underpinned by technology-led gains on Wall Street.
Chair Janet Yellen will submit Federal Reserve's semi-annual Monetary Policy Report to Congress on Wednesday.
