HK's Huarong Int'l hits 4-1/2-year low; flags H1 loss on provisions

XinKong International Capital Holdings

07/08/2018 08:45

** Stock of Huarong International Financial Holdings Ltd
 0993.HK , the brokerage arm of China's Huarong group, on
Tuesday extends losses to fall as much as 5.4 pct to HK$0.88,
the lowest since December 2013
    ** The shares are heading for the 3rd straight day of
decline
    ** Co expects to record a "material net loss" in H1 compared
with a HK$584 million profit in the year ago period due to
provisions to be made against its direct investments in debt
instruments, receivables and loans (https://bit.ly/2vqUmxj)
    ** China's biggest manager of bad debts is trying to exit
early from at least three loans and investments as it wrestles
with a liquidity crunch triggered by an anti-corruption probe
into its chairman. Huarong's attempts to call back loans show
the extent of its liquidity woes  urn:newsml:reuters.com:*:nL4N1UC2FG 
    ** As of the previous close, stock of Huarong International
had fallen 63.24 percent so far this year
    ** Huarong International has underperformed the Hang Seng
Commerce & Industry Index sector  .HSNC  by 29.0 percentage
points in the past one month
    ** As of 0729 GMT, about 85,409 shares of the brokerage firm
changed hands, compared with their 30-day moving average of
282,400 shares a day
     ** Hong Kong benchmark index  .HSI  rises 1.5 pct

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