HK-listed Chinasoft drops most in 7 weeks on discounted share sale

Chinasoft International

05/10/2021 02:55

** Shares of software and information service provider
Chinasoft International Ltd  0354.HK  fall 11.5% to HK$12.04,
the biggest daily pct drop since Aug. 17
    ** Stock hits the lowest since Aug. 31 on the second session
of fall; biggest pct decliner on the Hang Seng sub-index
tracking IT firms  .HSCIIT  and the sixth-biggest pct decliner
on the Hong Kong bourse 
    ** Co plans sale of 162 mln new shares, or 5.28% of the
enlarged share capital, to not less than six third party
investors, raising HK$1.99 bln ($255 mln)
    ** Beijing-based co says new shares will be sold at HK$12.26
apiece, a 9.85% discount to Monday's close  
    ** Chinasoft to use funds for R&D, developing hardware and
software products and solutions (https://bit.ly/2YfpvVR)    
    ** The Hang Seng sub-index tracking information technology
firms  .HSCIIT  falls 2.1%, and the Hang Seng Tech Index
 .HSTECH  declines 2%
    ** The Hang Seng China Enterprises Index  .HSCE  slips 1.4%
and the benchmark index  .HSI  drops 1%
    ** As of last close, the stock up 57.2% this year

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