Auto dealer China Yongda hits lowest in over 6 months after buyback

China MeiDong Auto Holdings

15/09/2021 06:35

** Shares of passenger vehicle distributor China Yongda
Automobiles Services Holdings Ltd  3669.HK  fall 5.9% to
HK$11.08, their lowest since March 10 
    ** Stock on course for a third straight session of losses
    ** Stock set for the biggest daily percentage decline since
Aug 20 
    ** The Shanghai-based passenger vehicle services group says
it has repurchased 2 mln shares in the open market for an
aggregate HK$23.7 mln ($3.1 mln) on Sept 13 and Sept 14 (https://bit.ly/3ke1VS5)(https://bit.ly/394xSG2)
    ** Says it may repurchase more shares depending on market
conditions
    ** Citi says it has "buy" ratings on luxury car dealers
including Yongda, but sees key risks from its progress or
setbacks in the development of its car rental and auto finance
businesses as well as higher-than-expected impact from COVID-19 
    ** Shares of rivals Zhongsheng Group  0881.HK  fall 1.4% and
 China MeiDong Auto  1268.HK  slips 0.2%
    ** The Hong Kong Hang Seng consumer goods and services index
 .HSCGSI  falls 1.7% and the Hang Seng Composite Index  .HSCI 
drops 1.4%
    ** The Hang Seng China Enterprises Index  .HSCE  declines
1.1%, and the benchmark index  .HSI  is down 1.4%
    ** Stock of China Yongda down 8.1% this year, as of last
close

    
    ($1=7.7787 Hong Kong dollars)

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