China Merchants may take control of Best Mart 360, a snack retailer frequently vandalised during 2019 Hong Kong protests

Name: China’s Rebel City: The Hong Kong Protests
Uploaded: 2022-08-25T01:41:46.000Z
Duration: 7 min 30 s
Description: China’s Rebel City: The Hong Kong Protests

Controlling shareholders Lin Tsz-fung and Hui Ngai-fan are looking to sell a 49 per cent stake to the state-owned conglomerate

Best Mart’s shops became the target of radical anti-government protesters who accused it of having ties to gangs that had clashed with demonstrators

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Anti-government protesters vandalise a Best Mart 360 store in Yau Ma Tei. Photo: Winson Wong

Eric Ng

Published: 9:41am, 25 Aug 2022Updated: 5:21pm, 25 Aug 2022

Best Mart 360 Holdings, the Hong Kong snacks vendor which became a regular target of vandalism by anti-government protesters in 2019, could see control of the company transferred to a Chinese state-backed conglomerate. The stock surged by the most since its listing day in 2019.

Controlling shareholders and co-founders Lin Tsz-fung and Hui Ngai-fan have signed a preliminary agreement to sell a combined 490 million shares – representing a 49 per cent stake worth HK$1.3 billion (US$165.4 million) – to China Merchants Hoi Tung Trading.

“The possible transaction is subject to further negotiation and execution of a definitive sale and purchase agreement among the parties,” Best Mart said in a filing to the Hong Kong stock exchange late on Wednesday. No prices or other terms were mentioned.

Lin and Hui each owns 37.5 per cent of Best Mart and the sale would reduce their combined ownership to 26 per cent. Its shares jumped 31 per cent to HK$$2.65 on Thursday, the most since a 43 per cent surge on its listing day in January 2019. The rally added HK$630 million to its market value.

China Merchants Hoi Tung, wholly-owned by China Merchants Group, is in the food, transport and commodities businesses. It has subsidiaries in 10 mainland Chinese cities and seven units overseas.

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China’s Rebel City: The Hong Kong Protests

Founded in 1872, China Merchants Group is one of the nation’s biggest and oldest state-owned conglomerates.

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