HK-listed auto dealer China MeiDong falls on discounted share-sale plan

China MeiDong Auto Holdings

03/06/2020 03:19

** Shares of China MeiDong Auto Holdings Ltd  1268.HK  fall
as much as 8.2% to HK$16.14, after the automobile dealer plans
sale of $165.2 mln new shares at discount
    ** Stock ranks the fourth most actively traded shares in
early trade and is on track for the biggest intraday pct decline
since April 17 
    ** Company has agreed to sell 81 mln new shares, or 6.51% of
the enlarged share capital, to controlling shareholder Apex Sail
Ltd raising HK$1.28 bln ($165.2 mln) to fund mergers and
acquisitions and for working capital  urn:newsml:reuters.com:*:nFWN2DF0UQ
    ** The shares will be sold at HK$15.84 apiece, or a 9.9%
discount to the closing price of HK$17.58 each on Tuesday 
    ** Apex will buy the new shares on completion of sales of
the same amount of existing shares at the same price to not less
than 6 independent investors 
    ** Stock of the Guangdong-based firm has risen 72% this year
as of last close 
    ** China Meidong has outperformed the Hang Seng Commerce &
Industry Index sector  .HSNC  by 27.3 percentage points in the
past one month
    ** The Hang Seng China enterprises index  .HSCE  rises 1.4%,
and the benchmark index  .HSI  is up 1.2%


($1 = 7.7505 Hong Kong dollars)

 (Reuters Messaging: donny.kwok.thomsonreuters.com@reuters.net)