Preferential shares are out for Li

CHEUNG Kong (Holdings) will not join the stream of companies issuing convertible bonds or preferential shares in the near future.

Chairman Li Ka-shing said yesterday his group had no plan to raise funds through such issues, despite their increasing popularity.

But, showing his usual prudence, he would not rule out the possibility. ''We have not any such plan for now, but I dare not say [we will not do so] forever,'' he said.

Mr Li was speaking at a reception at Furama Hotel for Hong Kong businessmen to celebrate China's National Day.

Convertible bond issues have recently become a popular fund-raising method.

Guangdong Investment led the way when it launched a US$102 million convertible bond issue last month.