China's Qingdao AInnovation drops most in 8 weeks on discounted share sale

Ainnovation Technology

07/06/2023 03:09

** Shares of Chinese artificial intelligence (AI) solutions
provider Qingdao AInnovation Technology Group Co Ltd  2121.HK 
fall as much as 11.1% to HK$20.90 
    ** Stock on course for the biggest one-day pct decline since
April 11, if losses hold
    ** Stock hits the lowest since June 1 in the second session
of decline; biggest pct loser in Hang Seng Composite Index
 .HSCI  and in Hang Seng Composite Index on information
technology firms  .HSCIIT 
    ** Beijing-based company says it plans to place up to 19.9
mln new shares, or 3.52% of the enlarged share capital, to third
party investors raising HK$392 mln ($49.99 mln) for investment
in research, marketing, strategic expansion and IT
infrastructure 
    ** New shares will be issued at HK$19.70 apiece,
representing a 16.2% discount to Tuesday's close of HK$23.50
each
    ** The Hang Seng Composite Index on information technology
firms  .HSCIIT  gains 2.3% and the Hang Seng Tech Index
 .HSTECH  rises 2.5%
    ** The Hang Seng Composite Index  .HSCI  and the Hang Seng
Index  .HSI  each climbs 1.3%
    ** As of last close, stock up 2.2% this year


($1 = 7.8417 Hong Kong dollars)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))