HAO TIAN INTL (01341) surged over 13% in late trading. As of press time, the stock was up 11.35% to HK$0.255 with turnover of HK$182 million.
On the news front, PLANETREE INT'L (00613) announced that its wholly-owned subsidiary PCL will issue 850 new shares to HAO TIAN INTL for a consideration of HK$400 million. HAO TIAN INTL will pay through the issuance of 1.6 billion consideration shares. Upon completion, the company will hold 14.8% of HAO TIAN INTL's share capital, becoming its major shareholder. The company's shareholding in PCL will be diluted from 100% to 70.2%, with PCL being all SFC licensed companies.
It is understood that PCL is an indirect non-wholly owned subsidiary of PLANETREE INT'L. HAO TIAN INTL stated that given PCL Group's expertise, resources and market network in the financial services industry, it believes the subscription will benefit the company's further development in financial services. Additionally, the subscription will enable the company to form a strategic alliance with PCL, thereby creating synergies in the sharing of expertise and resources in the financial services industry.