Ex-husband of Longfor chair Wu Yajun to sell HK$1.8bn of shares
The billionaire ex-husband of Longfor Properties chairwoman Wu Yajun is selling 150 million shares worth US$232 million (HK$1.8 billion) in the company through a share placement, according to a term sheet obtained by the South China Morning Post.
Junson Capital, a family office owned by Cai Kui, offered to sell stock in Longfor, one of China’s biggest private developers, at HK$12 per share, a 7 per cent discount to Wednesday’s closing price of HK$12.9. The sale accounts for 2.6 per cent of the company’s outstanding shares and is scheduled to take place on September 8.
Wu was forced to pay about 28 per cent of Longfor’s shares to her ex-husband after divorcing him in 2012, a payout that saw her lose her position as China’s wealthiest woman. The pair had co-founded the company in 1994.
According to the Hong Kong stock exchange, Cai still owns a 29.23 per cent stake in Longfor while Wu owns 44.32 per cent.
Cai resigned from his executive role with Longfor when the Chongqing developer listed in Hong Kong in 2009. Aged 53, he ranks 78th in Forbes’ China rich list, with a net worth of US$2.8 billion.
Longfor is one of the best-performing property developers in China with a market capitalisation of HK$75 billion. Its shares have gained 45 per cent in past 12 months, and closed 0.3 per cent higher on Wednesday.
Its contracted sales in the first eight months of this year surged 86 per cent to 56 billion yuan, about 75 per cent of its full-year sales target of 75 billion yuan.