China's e-cigarette maker Smoore hits fresh low on regulatory risk concerns

Smoore International Holdings

14/03/2022 04:28

** Shares of China's vaping device maker Smoore
International Holdings Ltd  6969.HK  slump as much as 21.7% to
HK$16.20, their fresh low since debut in Hong Kong in July 2020
    ** Stock on track for a third straight session of decline,
set for the biggest daily percentage decline since March 23 last
year, if losses hold; third biggest percentage decliner in Hang
Seng Composite Index  .HSCI  
     ** Brokers say concerns over regulatory risks in China
continue to cloud the sector with e-cigarettes sales remaining
sluggish and industry participants mostly cautious before the
National Standards for e-cigarettes come into effect in 2Q22  
    ** However, the Guangdong, China-based Smoore proposes to
repurchase shares on the open market within six months for up
HK$1.50 bln ($191.6 mln), in a deal to be financed from existing
available cash reserves and free cash flow  urn:newsml:reuters.com:*:nFWN2VG009
    ** Co says the current trading price of its shares does not
reflect their intrinsic value and business prospects of the
group 
    ** Shares of rival China Boton Group Co Ltd  3318.HK  falls
3.8% and Huabao International Holdings Ltd  0336.HK  drops 8.1%
    ** Hang Seng Composite Index  .HSCI  declines 3.4% and the
benchmark Hang Seng Index  .HSI  falls 3.1%



($1 = 7.8295 Hong Kong dollars)

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