Mao Geping Cosmetics (HKG:1318) said its controlling shareholders and several executive directors plan to reduce their holdings in the company's H shares, according to a Tuesday Hong Kong bourse filing.

Shares of the cosmetics firm were up over 3% in Wednesday morning trade.

The company said Mao Geping and Wang Liqun, together with other executive directors, intend to collectively dispose of up to 17.2 million H shares within six months, mainly through block trades.

The proposed reduction represents no more than 3.51% of the company's total issued share capital.

The shareholders said the plan is driven by personal financial needs, with proceeds to be used for investments in the beauty industry supply chain and other personal purposes.