Shares of China Gas Holdings jumped 1.31 per cent yesterday to $1.54 on news that a substantial shareholder tightened its grip on the fashion retailer-turned-piped gas supplier at a premium price. Hai Xia Finance, the investment company of the State Council's Taiwan Affairs Office, agreed to raise its stake in the firm to 15.35 per cent by buying an 8.58 per cent interest for $330 million from managing director Liu Minghui. The move will make the investment company the largest shareholder in the firm. According to a sale and purchase agreement, Hai Xia will buy 190 million shares from Mr Liu for $330 million, valuing the shares at $1.73, a 12.33 per cent premium to yesterday's closing price. The purchase, spread out in five tranches, is conditional upon a Securities and Futures Commission confirmation that Hai Xia and related parties are free from any obligation to launch a general offer for the shares it does not own. Mr Liu's stake will shrink to 8.8 per cent.