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Euro-Asia slumps 9pc on chairman share disposal

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The share price of mainboard-listed Euro-Asia Agricultural (Holdings) has slumped 9 per cent over two days amid concerns about a recent share disposal by controlling shareholder Yang Bin.

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Mr Yang, also chairman of the Shenyang-based producer and trader of flowers and vegetables, last Friday sold 3.75 million Euro-Asia shares for HK$7.79 million. The price of HK$2.075 per share represented a 13.6 per cent discount to the close on April 11.

The sale trimmed Mr Yang's Euro-Asia stake by 0.3 percentage point to 72 per cent, cutting his dividend earnings, previously expected to be HK$81.72 million, by about HK$256,000.

Euro-Asia's final dividend payout for last year is to be based on shareholdings on May 16.

The buyer was one of Japan's top trading groups, Itochu, which on April 10 signed a largely non-binding agreement with Euro-Asia to distribute its floral products to wholesalers in Japan.

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The share sale would consolidate the two's fledgling collaboration, Mr Yang said.

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