Agile Group (HKG:3383) unit Yaxin Investment will divest its entire 25.9% stake in condiments maker Guangdong PRB Bio-Tech for 234 million yuan through two separate agreements, according to a Tuesday Hong Kong bourse filing.
Under the first part of the disposal, Yaxin Investment will sell its 21.16% shareholding in the target to Guangdong Foodstuffs Export Group for 191.2 million yuan.
Separately, Guangdong PRB Bio-Tech will repurchase a 4.74% interest from Yaxin Investment via a capital reduction for 42.8 million yuan.
Agile said the disposal proceeds will be used to repay principal and interest on its bonds due this year, while the capital reduction proceeds will support daily operations, according to the filing.
The property developer expects to record an estimated loss of about 26.3 million yuan from the transactions.
Shares of Agile Group gained almost 3% in Tuesday's late morning trade.