China Strategic boss defends deal

Charles Chan Kwok-keung yesterday defended a controversial deal to sell 30 per cent of China Strategic Holdings to a mystery Shanghai businessman. 'Maybe this is a little bit complicated, but I think it's a fair deal for everybody,' the company chairman said.

Shareholders would benefit even though the stake would be sold for $52.11 million, a discount of 88.16 per cent to net asset value, Mr Chan said. He was unable to give further details on the buyer. 'I don't know him personally,' he said.

Key assets would first be transferred to a private firm, Group Dragon Investments, in which they would receive shares.