Sinolink allots Enerchina shares
Property developer Sinolink Worldwide Holdings yesterday announced a special interim dividend in the form of more than $950 million worth of shares in its 75 per cent held Enerchina Holdings, a mainland clean energy and public utility company.
Shareholders will receive five Enerchina shares for every 10 Sinolink shares in a move that will dilute Sinolink's stake to 45 per cent.
Sinolink chief executive Francis Tang Yui-man said the dividend reflected the value of the company's property developments and at the same time put the focus on its energy business.
He added that the company had 'consulted professional investors', including Britain's The Children's Investment Fund Management (TCI) before making the decision. TCI will also receive Enerchina shares in the distribution.
A total of 1.42 billion Enerchina shares will be distributed, representing approximately 29.33 per cent of the issued share capital of the company.
Enerchina shares closed down 5.63 per cent at 67 cents yesterday.
Sinolink chairman Ou Yaping will own 690 million Enerchina shares after the distribution, representing 14 per cent of the company.
