China property gets $650 mln vote of no confidence

Country Garden Services Holdings

13/12/2022 03:23

(The author is a Reuters Breakingviews columnist.  The opinions
expressed are her own. Refiles to fix spacing in headline.)
    By Yawen Chen
       HONG KONG, Dec 13 (Reuters Breakingviews) - Controlling
shareholder Yang Huiyan is shedding 7% of Country Garden's
services arm, a first. She doesn’t seem to need the money given
state support for the developer, and it’s an odd time to sell.
It suggests deep scepticism about Beijing’s real estate rescue
package. 
    Full view will be published shortly.
    Follow @ywchen1 on Twitter
    CONTEXT NEWS
    Yang Huiyan, chairwoman of Country Garden Services, disposed
of a 7% stake in the property management company at HK$21.33
apiece for HK$5.06 billion (US$650 million), according to a Hong
Kong exchange filing on Dec. 11. Yang's stake dropped to 36%
after the disposal.
    Country Garden Services’ shares closed down 17% to HK$19.88
on Dec. 12.
    Yang is the daughter of Country Garden’s founder and
Chairman Yeung Kwok Keung. She is a co-chair of the Chinese
developer with a 60% controlling stake.
 (Editing by Pete Sweeney and Thomas Shum)
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