Market Insight | TRAD CHI MED Surges Over 8% as Company Discloses Latest Privatization Updates

Zhitong
2024.08.16 02:07

TRAD CHI MED rose more than 8%, as of the time of publication, it rose by 8.44% to HKD 4.11, with a turnover of HKD 3.1 billion. In terms of news, on August 15th, TRAD CHI MED issued an announcement disclosing the latest situation of privatization. The announcement stated that as of the joint announcement date, the company has submitted the relevant documents for review and approval to the State-owned Assets Supervision and Administration Commission, the Ministry of Commerce, and the National Development and Reform Commission regarding the necessary notifications, filings, or applications related to overseas direct investment approvals; and regarding the necessary notifications, filings, or applications related to anti-monopoly approvals, the relevant documents have been submitted to the State Administration for Market Regulation for review and approval. In February this year, TRAD CHI MED announced that China National Pharmaceutical Group intends to privatize TRAD CHI MED at a price of HKD 4.6 per share. Based on the relevant shareholding proportion of China National Pharmaceutical Group, the total cost of this privatization is approximately HKD 15.45 billion. Regarding the reason for this privatization, TRAD CHI MED believes that due to the limited trading volume in the secondary market, its function as a financing platform for a listed company is restricted

According to the information from the Wise Finance APP, TRAD CHI MED (00570) surged more than 8%, as of the time of publication, it rose by 8.44% to HKD 4.11 with a turnover of HKD 310 million.

On the news front, on August 15th, TRAD CHI MED released an announcement disclosing the latest situation regarding privatization. The announcement stated that as of the joint announcement date, the company has submitted the necessary notifications, filings, or applications related to overseas direct investment approvals to the State-owned Assets Supervision and Administration Commission, the Ministry of Commerce, and the National Development and Reform Commission for review and approval; and regarding the necessary notifications, filings, or applications related to anti-monopoly approvals, the relevant documents have been submitted to the State Administration for Market Regulation for review and approval.

In February of this year, TRAD CHI MED announced that China National Pharmaceutical Group intends to privatize TRAD CHI MED at a price of HKD 4.6 per share. Based on the relevant shareholding proportion of China National Pharmaceutical Group, the total cost of this privatization is approximately HKD 15.45 billion. Regarding the reason for this privatization, TRAD CHI MED believes that due to the limited trading volume in the secondary market, its function as a financing platform for a listed company is restricted

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