Bossini shares slide after sale falls through

Bossini International Holdings, the retail chain best known for its cheap T-shirts and shorts, attracted the attention of a mystery window shopper this week but failed to make a sale.

The potential buyer of the chain disappeared after sending the company's shares on a roller-coaster ride earlier in the week.

The stock surged 54.69 per cent in the first two days of the week on news controlling shareholder and chairman Law Ka-sing was selling his stake, which could have triggered a mandatory takeover offer. Names floated as possible buyers included Japan's Fast Retailing, the operator of the Uniqlo casual wear stores.

But the company abruptly announced on Wednesday night that Mr Law's negotiations with the potential investor had ended, sending the shares down as much as 20.88 per cent before they closed 14.29 per cent down at 39 HK cents yesterday.

'The controlling shareholder has further informed the board that he is not in discussion or negotiation with any other person regarding any disposal of his shares,' Bossini said in a filing to the Hong Kong stock exchange on Wednesday.

Some analysts were puzzled yesterday by the saga, saying it was rare for so few details of a large deal to be disclosed. Before the company's announcements, there had been no media reports, speculation or rumours about the share sale.