Goldin Properties shares surge after chairman proposes privatisation plan
Shares of Goldin Properties Holdings, owner of China’s biggest polo club in Tianjin, surged to a 14 month high on Tuesday after its chairman Pan Sutong proposed privatising the property developer.
Goldin at one stage surged 21 per cent to HK$8 per share – the highest since January 2016 – after it resumed trading on Tuesday following a six-day suspension. The shares ended the session at HK$6.69, up 1.7 per cent from the previous close on March 13.
Pan proposed to privatise the company by making a voluntary conditional cash offer to acquire all the shares he doesn’t own, Goldin said in a filing to the Hong Kong stock exchange.
The chairman owns about 62.42 per cent of Goldin Properties. Based on the company’s market capitalisation of HK$24.6 billion, the privatisation bid will potentially be worth as much as HK$8.6 billion.
Its flagship Goldin Metropolitan development consists of Tianjin Goldin Metropolitan Polo Club as well as luxury residential apartments, offices and a convention centre in Tianjin. When finished the integrated development will have a total gross floor area of 1.89 million square metres.
In Hong Kong, sister company Goldin Financial Holdings in December won the development rights for a luxury residential project at the Ho Man Tin MTR station which entails an estimated HK$10 billion investment. In 2014 it secured another residential site in Ho Man Tin for HK$6.38 billion through government tender.
Forbes magazine ranks Pan as the 17th richest person in Hong Kong with a net worth of US$4 billion as of March.