Hao Tian International Construction Investment Group (HKG:1341) said it agreed to invest HK$400 million in a unit owned by fellow Hong Kong-listed firm Planetree International Development (HKG:0613), according to a Hong Kong bourse filing Wednesday.

Shares of Hao Tian International fell nearly 4% in late morning trade Thursday, while Planetree rose nearly 3%.

Under the agreement, Hao Tian International will subscribe to 850 Planetree (BVI) Capital shares in exchange for 1.6 billion shares of the company priced HK$0.25 each.

The shares to be issued by Hao Tian represent 17.30% of its issued share capital and 14.75% as enlarged by the sale, whereas the share to be purchased represent 42.5% of Planetree (BVI)'s issued share capital and 29.8% as enlarged by the sale.

Hao Tian International said it was investing in Planetree, a brokerage with licenses to deal in a number of securities, to increase its presence in the financial markets of Hong Kong and mainland China.

Hao Tian International is mainly engaged in the construction machinery leasing business.