Technology investor vLink Global will acquire a third of debt-ridden B-Tech (Holdings) through a share swap in a transaction that could help the property developer from being liquidated.
B-Tech creditors have filed petitions to wind up the company which in September had borrowings of HK$311 million and a net asset value of HK$298.9 million.
B-Tech made net losses of HK$904.5 million and HK$456.2 million for the two years to March last year.
VLink will also extend a loan of HK$29.5 million to B-Tech.
'The advance of loans of HK$29.5 million from vLink and the introduction of a financially strong shareholder would help B-Tech to alleviate its immediate financial difficulties,' read a joint announcement by the two firms.
Upon completion, vLink will be the largest shareholder in B-Tech with a 33.3 per cent stake. B-Tech will in turn hold 3.7 per cent of vLink.
