Call it the 'Canning Fok effect'. Shares in Vanda Systems & Communications Holdings leapt 47.29 per cent to $1.09 yesterday after Hutchison Whampoa managing director Canning Fok Kin-ning was appointed the firm's chairman.
Investors hope that Hutchison - by placing Mr Fok at Vanda - will take steps to turn around the loss-making computer services firm.
In July, Hutchison and partner DBS Private Equity agreed to convert $334 million convertible bonds into Vanda shares. After the conversion, Hutchison held 43 per cent of Vanda and DBS 29.6 per cent.
But some investors simply used the news of Mr Fok's appointment to make a quick gain.
'I bought the shares simply because of Canning Fok,' said one investor, who purchased 60,000 Vanda shares yesterday.