On 8 July 2008, Shenzhen Chunda Investment Co. Ltd, the largest shareholder of the company announced that it will reduce its stake in the company. From 5 May to 7 July 2008, Shenzhen Chunda sold 3.04 mln shares of the company, accounting for a 1.01% stake, following which, it still holds a 20.29% stake.

On 9 July 2008, Shenzhen Fuding Investment Guarantee Co. Ltd, the second-largest shareholder of the company, claimed that it will also cut its holdings of the company. Shenzhen Fuding sold 17.85 mln shares, accounting for a 5.94% stake and remains the second-largest shareholder of the company with 47.66 mln shares of the company, accounting for a 15.86% stake. Shenzhen Fuding revealed that it intended to cover the investment cost by selling shares of the company. Shenzhen Fuding originally held 65.47 mln shares of the company, accounting for a 21.8% stake.

From 24 to 31 July 2007, Shenzhen Fuding sold 15.02 mln shares of the company, accounting for a 4.99% stake and from 4 to 8 July 2008, Shenzhen Fuding sold 2.84 mln shares of the company, accounting for a 0.85% stake.

In addition, the company declared that its largest shareholder is undergoing negotiations to bring in partners and there exists uncertainties in the above mentioned major issues.


Source: Chinese Business News

Date: 9 Jul 2008

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