HK-listed Li Ning drops most in over 5 weeks on discounted share sale

Viva Gold

28/10/2021 04:11

** Shares of China home-grown sportwear group Li Ning Co Ltd
 2331.HK  fall 8.1% to HK$87.50, their biggest daily percentage
drop since Sept 20, set for a second straight session of decline
    ** Stock hit the lowest since Oct 19; the most actively
traded shares by turnover and the biggest percentage decliner in
the Hang Seng Index  .HSI  and Hang Seng China Enterprises Index
 .HSCE  
    ** Li Ning plans sale of HK$10.5 bln ($1.35 bln) worth of
new shares to major shareholder Viva China  8032.HK , raising
proceed for international expansion and for investment in newly
launched product categories  urn:newsml:reuters.com:*:nL1N2RO01W
    ** Viva will buy the new shares following sale of the same
amount of existing shares to third-party investors at the same
price of HK$87.50 apiece, or a 8.09% discount to Wednesday's
close
    ** Viva shares fall 3.8% 
    ** Bigger rival ANTA Sports  2020.HK  slips 1.4% 
    ** The Hang Seng consumer goods and services index  .HSCGSI 
slips 0.5% while the composite industry index tracking consumer
staples  .HSCICS  gains 0.3%
    ** The Hang Seng China Enterprises Index  .HSCE  and the
benchmark index  .HSI  ease 0.3% each
    ** As of last close, Li Ning stock up 78.6% this year

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